Innovation, by Order of the Kremlin

Description: AROUND the time that Apple Computer was making it big in California, Andrey Shtorkh was getting a first-hand look at the Soviet approach to high tech: he guarded the fence keeping scientists inside Sverdlovsk-45, one of the country’s secret scientific cities, deep in the Ural Mountains.

Source: NYTimes.com

Date: 04/10/2010

Link: http://www.nytimes.com/2010/04/11/business/global/11russia.html?ref=business

Questions for discussion:

  • What does this article suggest about changing attitudes towards business and entrepreneurialism in Russia?
  • Do you believe the movement described here is genuine and sustainable?

Buffett’s $50 million credit card blunder

Description:  Peddling credit cards isn’t so easy that a caveman can do it. That seems to be the conclusion Berkshire Hathaway (BRKA, Fortune 500) chief executive Warren Buffett reluctantly reached last year, when he shut down a money-losing credit card business he had dreamed up for Berkshire’s Geico car-insurance unit.

Source: CNNMoney.com
 
Date: 02/27/2010

 Link: http://money.cnn.com/2010/02/27/news/companies/berkshire.geico.fortune/index.htm

Questions for discussion:

  • Explain the failure of this product?
  • Does this article suggest that Warren Buffett might be a better financial analyst than a marketing expert?

GM’s chief gets $9 million

Description:  General Motors chairman and chief executive, Ed Whitacre, Jr. will receive a compensation package worth $9 million, the automaker said Friday.

Source: CNNMoney.com

Date: 02/19/2010

Link: http://money.cnn.com/2010/02/19/news/companies/GM_salary/index.htm

Questions for discussion:

  • Do you believe this compensation is appropriate in light of GM’s history and connection to TARP? 
  • Do you believe there can be negative reaction from employees or customers because of the compensation?

Stop blaming Big Business

Description:  The top-grossing movie in the world, Avatar, is on screens now, and it clearly identifies the most evil force in the universe. It’s business.

Source: CNNMoney.com

Date: 01/29/2010

Link: http://money.cnn.com/2010/01/28/news/economy/business_populism.fortune/index.htm

Questions for discussion:

  • Do you agree with the argument presented by the reporter?
  • Do believe attitudes toward “big business” have changes because of the crisis?
  • What are the possible consequences for the management if they have?

Yahoo CEO Gives Herself B-Minus Grade in First Year

Description: Carol Bartz gives herself a B-minus in her first year as chief executive officer of Yahoo! Inc., saying she could have moved faster to reorganize the company and strike a Web-search agreement with Microsoft Corp.

Source: Bloomberg.com

Date: 01/08/2010

Link: http://www.bloomberg.com/apps/news?pid=20601109&sid=a.Nuu2H6FSPY

Questions for discussion:

  • How would you grade Carol Bartz and Yahoo!? Explain your thinking.
  • Are you optimistic about the future for Yahoo!? Explain your thinking.

More top job changes at GM

Description:  Lutz taken out of marketing role, head of engineering becomes president of GM North America.

Source: CNNMoney.com

Date: 12/04/2009

Link: http://money.cnn.com/2009/12/04/autos/gm_management_changes/index.htm

Questions for discussion: 

  • What do you think is motivating the many management changes taking place at GM? Explain your thinking.
  • Do you think the changes are seen as positive developments for the firm by customers or investors? Explain your thinking.

Steve Jobs – CEO of the Decade

 Description:  Apple’s CEO is Fortune’s top business leader of the last 10 years for his impact on computing, movies, music and cell phones.

Source: CNNMoney – video report
 
Date: 11/04/2009

Link: http://money.cnn.com/video/technology/2009/11/04/tt_steve_jobs_apple_ceo.fortune/

Questions for discussion: 

  • Summarize the contribution made by Steve Jobs to Apple?
  • What motivational role has Jobs played as CEO at Apple?
  • Do you think Apple would have been as successful without Jobs? Explain your answer.

U.S. Companies’ Electronic-Discovery Spending Tripled in 2009

Description: Budgets for managing electronic data tripled this year at average-sized U.S. companies, according to a study, as businesses braced for an influx of lawsuits stemming from a recession that’s been partly blamed on fraud.

Source: Bloomberg.com

Date: 10/20/2009

Link:  http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a_qD_YdAZA7o

Questions for discussion:

  • Why is spending in this area increasing so drastically?
  • How important is this problem from a legal, ethical, and managerial point of view?
  • Do you think managers will deal differently with electronic information such as email in the future? Explain your answer.

Next great Windows OS?

Description:  Windows 7 is drawing rave reviews, but can Microsoft parlay the momentum into its other products?

Source: CNNMoney – video report
 
Date: 10/13/2009

Keys:  Marketing (p388), New product development (p420), Management (p252)

Link: http://money.cnn.com/video/technology/2009/10/13/tt_windows_7_ballmer_microsoft.fortune/

Questions for discussion: 

  • What do you think Microsoft’s future looks like, especially in terms of new products?
  • Do you agree with the criticisms of Microsoft’s management since Bill Gates left active decision-making of the firm? Explain your answer.

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