Politicians are vying for credit for the genesis of the growing economy (USA). Today, what matters most is that we sustain the economic and job growth. Thus, the government must not intervene with tariffs, tax hikes, and unnecessary rules. Like it or not, the reality is that lower corporate taxes are good for companies, the […]
Senator Elizabeth Warren Plans To Rein In Big Businesses And CEOs
Senator Warren plans to stifle the influence of big businesses and several CEOs. The Senator is not a fan of Wall Street or corporations, especially large firms and their CEOs. Many folks agree with her. They see several CEOs collect massive bonuses while their decisions hurt consumers and other stakeholders. To fix these problems, Senator […]
Empower Frontline Workers Eliminate Silos Create Stakeholder Value
Leaders must empower frontline workers and outlaw silos. Frontline workers create value for businesses. Silos destroy value and encourage individual department’s performance, often at the expense of the organization’s overall goals. Still, many firms create organizational structures and design compensation and benefits systems that encourage silos. Besides, they create departmental goals, and reward executives with […]
Strategy Choices and Long Term Plans
Ask ten business people what strategy is, and most will give the same answer: It is a long-term plan. My undergraduate students give a similar reply on the first day of my strategic management class. Besides, many folks use the word to inflate the importance of their activities. One business executive bragged, “I am excited because after […]
3 Crucial Mistakes Entrepreneurs Make Initially
Many entrepreneurs make three crucial mistakes at the outset. They do not pay sufficient attention to customers’ preferences; they ignore their competition because their product thrill them, and third, they neglect to follow their business strategy. Indeed, some have no strategy.
Budgeting Like Dieting Doesn’t Work, Here is an Alternative
Budgeting, like dieting, doesn’t work because folks don’t embed it in their lifestyles. Usually, it’s a chore that a finance person recommends. Is there a better alternative to achieve the goals of budgeting? Most people spend and then try to save what is left, usually, not much, if any. Take Warren Buffet’s advice, “Do not save […]
Corporate Welfare Destroys Jobs Long Term
General Motors’ notice to shutter several plants reminds us that corporate welfare does not produce long-term sustainable businesses. It’s a band-aid and a colossal waste of taxpayers’ funds. Government could apply those funds to help retrain workers, assist them to find new jobs, and minimize loss of income during the transition to their new situations. […]
Budget Remaining At Year-End Available Only To Complete The Goal
Budget remaining at year-end? What happens then? First, understand what a budget isn’t. It is not a bucket to accumulate funds for various activities. Neither is it a straitjacket, nor a scheme to show what we can’t do. A budget is a highly directed tool designed to achieve specific goals. It is our best estimate […]
Counter-Intuitive Strategies Can Yield High Margins While Being Attentive To Customers’ Needs
Counter-Intuitive Strategy At Costco, people pay an annual membership fee for the “privilege” of shopping—to spend! This counter-intuitive strategy generates the bulk of Costco’s profits. Still, most businesses haven’t been able to copy it. Starbucks’ coffee demands a premium. Why? Starbucks’ doesn’t merely sell coffee and other products. Indeed, Starbucks’ strategy is to provide the […]
Why Public Corporations Delist Shares From Stock Markets and Become Private
Why do some public corporations choose to be private and delist their shares from stock exchanges? On Oct. 29, 2013, Dell announced that Michael Dell, founder and CEO, and Silver Lake Partners, a leading global technology firm completed acquisition of Dell’s outstanding shares. Michael Dell said he can focus on building the company, ”Not the […]