As we discussed in class many moons ago, about the future. New technology has designed a robot to build a house in the span of three days. The company is based in Australia by the name of Fastbrick Robotics. The robot name is Hadrian X after the Roman Emperor Hadrian famous for the wall of fame. This robot is coming to disrupt the home building industry by removing many people from jobs. Hadrian X can lay 1,000 bricks per hour. The robot must have directions from 3-D layout structure to calculate the location and size of each brick.
As we discussed in class networking is an essential part of advancing your career. People often say "It's not what you know, it's who you know“. These days, it’s not enough to keep your head down and produce A-plus work. You need to connect with others, be vocal about your interests and career goals, and build relationships with people you might not otherwise have met.
Here's some advice when trying to network:
1. Be intentional. Networking should always be done with an intention, and not just to collect business cards and be seen. Approach networking as you approach your work: Set a goal for yourself and find a networking opportunity that meets that goal.
2. Have an icebreaker. It can be tough to walk up to a stranger and start conversation, no matter how confident you are. But having a line ready to go in order to generate conversation is crucial. I have found much success with a simple, “What brings you here to this event?” It works every time—it goes straight to the point and builds on your first common interest: that fact that you’re both there for a reason!
3. Be open about your career goals. Being confident and speaking up about you future goals could intrest someone around you that could potentially become a business partner in the long run.
4. Follow up. If you have a great conversation with someone at a networking event and exchange contact information, send him or her a note and remark on your interaction. Mention something specific you enjoyed about speaking with the person. If you offered to connect him or her with someone else, follow through. Networking isn’t over when you walk out of the event!
Millennials are known for many things such as being civic-oriented, conscious, and the largest, most diverse generation in history. But analysts say this generation is missing one thing, their willingness to take risks.
To some, this is seen as a problem. Studies show that our youth puts us in the best position to take risks but we look for security instead. Economically, millennials struggle and cannot afford to risk it all on uncertainty. However, risk avoidance and cautiousness does not help stimulate the economy, innovate technology, or produce many entrepreneurs.
According to a survey by Babson College, 41% of 25 to 34 year olds state that their biggest roadblock to starting a business is the "fear of failure." In today's business world, most would say to "embrace failure" rather than seeing it as a fear but not to millennials. Studies show we prefer to get it right the first time rather than stumbling and starting again.
Check out Barbara Corcoran's speech at Entrepreneur's Growth conference. Although it's fairly long, I encourage you to choose at random five minutes to watch and you'll want to watch more. Her words are both inspirational and motivational and she encourages people to put themselves into situations where they might fail and then learn how to bounce back.
I decided to go back on the topic previously discussed in class on business ethics. I plan to be a well-rounded entrepreneur and in order to be a successful business woman, this topic stuck out the most to me. Furthermore, knowing the importance of ethics is highly praised within the business industry weather it's your own company or you're in corporate America. If you're serious about fostering ethical behavior throughout your organization, you can turn these three principles into implementable means to communicate that effectively.
In this way, ethics won't simply be relegated to your HR department, but it will pervade management at all levels. Setting the right example, stress the importance of means, and framing ethics to highlight prevention, are the three principles that will lead you to success.
There are many ways for one to learn ethical norms, at home, at school, in church, or in other social settings. Although most people acquire their sense of right and wrong during childhood, moral development occurs throughout life and human beings pass through different stages of growth as they mature. Ethical norms are so ubiquitous that one might be tempted to regard them as simple commonsense. On the other hand, if morality were nothing more than commonsense, then why are there so many ethical disputes and issues in our society today?
When most people think of ethics, they think of rules for distinguishing between right and wrong, such as the Golden Rule ("Do unto others as you would have them do unto you"), a code of professional conduct like the Hippocratic Oath ("First of all, do no harm"), a religious creed like the Ten Commandments ("Thou Shalt not kill..."), or a wise aphorisms like the sayings of Confucius. This is the most common way of defining "ethics": norms for conduct that distinguish between acceptable and unacceptable behavior. Growing up these are the sayings I heard from everyone around me that made me get back in line when I was getting off track. They reminded you of your true will and to always be good to others no matter what.
Below is a video, which I found pretty interesting and well stated about the ethics in business.
In class last week, we had the pleasure of discussing the importance of International Business and Foreign Business strategies that are used. A key question that could be asked is
“What is International Business and why is it so important?”
International Business is all commercial transactions that take place between two or more countries and it is so important because international and domestic sometimes does not work hand and hand. I believe the best companies to use to measure the international diameters and markets are Fortune 500 companies. Fortune 500 companies are known because of their marketing strategies have lead them into a plethora of international trades and leadership roles.
The company of my choice is The Home Depot, Inc. This is a home improvement supplies retailing company that sells tools, construction products, and services.
According to The Home Depot, Inc. page they operates many big-box format stores across the United States (including all 50 states, the District of Columbia, Puerto Rico, the Virgin Islands, and Guam), all 10 provinces of Canada, and the country of Mexico. Segmentation variables such as demographics and geographic play an important factor with foreign markets. The Home Depot have already expanded in Mexico and Canada, but is currently planning on Europe and Asia for future international opportunities, according to the Atlanta Journal-Constitution. Expansion into Europe and Asia isn't imminent, but America's largest home improvement retailer could be forced to consider opportunities there as its growth potential in the U.S. shrinks. In addition to offering another avenue for growth, successful international expansion would set Home Depot.
Chairman and Chief Executive Bob Nardelli apart from his competitors. Nardelli said he has no plans to make international expansion his legacy at Home Depot, but it would accomplish the third part of his stated strategy of "enhancing the core, extending the business and expanding the market." As I was analyzing this case, I don’t believe that is a positive statement coming from the founder.
International expansion is a strong strength to have according to Porters Forces and especially when it comes to competitors.
Define Ethics:
Business ethics is the study of proper business policies and practices regarding potentially controversial issues, such as corporate governance, insider trading, bribery, discrimination, corporate social responsibility and fiduciary responsibilities.
Define Morals:
Morals refer to an individual's own principles regarding right and wrong.
Stealing is wrong.
Lying to get a date is OK.
Define Values:
Values describes individual or personal standards of what is valuable or important.
A civilized society's first line of defense is not the law, police and courts but customs, traditions and moral values. Behavioral norms, mostly transmitted by example, word of mouth and religious teachings, represent a body of wisdom distilled over the ages through experience and trial and error.
"I see little to no admission of moral error from O'Reilly nor from Fox News," he writes. "O'Reilly blamed others, and his victimization. He used to mock liberals as the 'whiny left' when it came to blaming society for crimes by-say-black youths. O'Reilly said his 'departure' was not his fault but the cost of being a media personality."
Fox News faces growing legal troubles just a week after firing star anchor Bill O'Reilly. Eleven current and former employees filed a class-action lawsuit claiming they subjected minorities in the company to "abhorrent, intolerable, unlawful and hostile racial discrimination." This suit expands on a discrimination suit filed last month.
Wednesday April 24, 2017
Corporate Social Responsibility (CSR)
Social responsibility is an ethical framework and suggests that an entity, be it an organization or individual, has an obligation to act for the benefit of society at large. Social responsibility is a duty every individual has to perform so as to maintain a balance between the economy and the ecosystems.
The brand's marketing message "Red Bull gives you wings" can be seen amongst multiple marketing channels. This company has a powerful presence internationally. They took advantage of the ability to gain access to new customers, achieve lower cost and enhance the firm's competitiveness and gain access to resources and capabilities in foreign markets. The Red Bull flavoring is still produced in Bangkok and exported into manufacturing plants internationally. Red Bull's founder was the first to introduce energy drinks to the west by adjusting the taste. Red Bull also associated itself with many extreme sports teams and events to promote and reinforce their brands image. Red Bull has also turned to Media to help with launches and accessibility to the products. Red Bull has also use student markets on many college campuses across the world. At student events, you can find cars with Red Bull cans on top that promotes the name and representatives giving out free samples. Red Bulls "Wing Team" is the face of there company across the world. This team is all girls and mission driven. Each day they have set goals and milestones that must be achieved in various zones. Even though Red Bull is a local company they tend to think and act globally which has been shown through their many events that is hosted around the world in places like Africa, Germany, and New Zealand. Red Bull tends to use the same competitive strategy and many of the country markets. In recent years' energy drinks consumption has grown which is given Red Bulls Market Andy's and Rapid expansion.
Diversification: How do companies diversify their businesses?
New Product
Old Product in New Market
Acquire Business
Reason Why:
Growth
Risk
Four Strategies:
Concentric - Expand into new markets with same product
Conglomerate - Operate new business that are not related
Veritical - Buy businesses along the production line - Control
Horizontal: Buy competition
:
Why Diversify
McDonald's Diversification Strategy.
What is a conglomerate?
Group on should have sold
Agriculture
Farms diversify by expanding product lines and using items both to sell and to use in production of other goods. Dairy farms produce milk as their core product, but from this root, a farm can branch into making related products such as cheese or ice cream. A farm with enough space can grow different crops, thus having multiple product lines. Some farms raise cattle for sale and use the cattle’s organic matter to fertilize and support the growth of crops; similarly, wheat or corn can go to market or into the mouths of livestock.
Restaurants
A restauranteur can tap revenue streams beyond serving meals in the restaurant. Grocery stores can carry the restaurant's line of salad dressings, marinades, or sauces, for example. A restaurant might have a gift shop to sell gifts tailored to the restaurant, its menu, or community, such as cookbooks, travel books and videos, souvenirs, and postcards.
Sporting Goods
The sporting goods market encompasses a customer base with diverse sports and recreational interests. Many retailers will have an assortment of choices to meet these needs. For example, a store may carry shoes for runners, basketball players, golfers, soccer players, and baseball players. Sports and outdoor equipment includes balls, bats, gloves, shin guards, golf clubs, camping gear and fishing poles. Diversification has led outdoor stores to include outdoor apparel, GPS devices, and cameras along with the more traditional fishing poles, rifles, and tents.
Construction Equipment
Construction equipment dealers diversify by branching out their goods, services and locations. Geographic diversity can help a dealer hedge against a slowdown in construction or industrial activity in one region. Other dealers have added safety consultation, training, and construction materials such as pipes to their staples of maintenance and rentals. Dealers may choose farm equipment to counterbalance significant drops in construction equipment sales and rentals. For example, by one estimate, construction machinery sales in 2009 dropped 40 percent against only a 5-percent decline in farm equipment sales.
Conglomerate Diversification
Some businesses merge with or acquire other businesses. Congolmerate diversification can involve related or often unrelated enterprises. For example, an entrepenuer might operate a restaurant, a car dealership, and a land development business under one umbrella. Financial considerations, rather than similarities among lines of business or other strategic concerns, predominate mergers and acquisitions.
April 19, 2017 - Class #23
The Process
1) When to consider Diversification
a) Building Stockholders Wealth
b) Risk Adverse
Mistake - Myspace
2) Approach to Diversification
a) Acquisition
b) New Internal Business
c) Joint Venture
3) Diversification Path
a) Related
- Transfer competitive Advantage
- Cost Sharing - Economies of Scale
- Brand
b) Unrelated
- Growth Industry
- Undervalued Stocks
- Struggling Companies
4) Evaluation
a) Attractiveness
b) Position Strength in new market
c) Strategic Fit
d) Resource Fit
e) Rank Options and allocate resources
f) Update new corporate Strategy with addition(s)
The class discussion/blog on March 22 2017, dealt with the benefits of investing in real estate and in order to be successful in this endeavor is is extremely important to carry a positive attitude. Possesing an uplifting state of mind is critical to getting to be noticeably effective in land contributing, as it is in any fruitful attempt in life. Pessimistic discourse and considerations can weaken and shield a man from fulfilling their objectives. Figure out how to change the way you converse with yourself as well as other people and you will change the result of your life's adventure. For instance, how about we take a gander at the subject of endeavoring to show signs of improvement and more advantageous physical shape. Instead of the lines of, "I can never get thinner,"or "Regardless of how much a work out, I never get more solid", it is critical to begin have the correct self-talk with lines such as "I know I can get more fit on the off chance that I eat solid sustenances and exercise routinely,". This same strategy works with regards to putting resources into land. In the event that you hush up about making explanations and others, for example, "I can't ever discover an opportunity to do this business," "There are not a single arrangements in sight around there," "There are an excessive number of different financial specialists in my general vicinity to contend with," or "Individuals will know I'm not extremely educated in contributing when I converse with them" then stop. Change your self-converse with, "In the event that I utilize legitimate time administration I will observe an opportunity to be effective at this business," "The more offers I make, the more arrangements I will make for myself," "By being tireless, I will be the one to discover the arrangements in my general vicinity," and "The more circumstances I chat with individuals, the more certain and proficient I will progress toward becoming." Each attempt and business enterprise is a learning background. With confidence and trust in yourself, you can be fruitful at the things you buckle down for. Talking in a positive way can help manufacture certainty and confidence with which you can succeed, particularly as your experience demonstrates your announcements genuine. Whatever you say and think will turn into your world. Change the way you converse with yourself as well as other people and you will alter the course of your life.The Importance of Having A Positive Mindset in Real Estate Investing with Sam Sadat
As we discussed in class Outsourcing is a practice used by different companies to reduce cost by transferring portions of work to outside suppliers. This has been proven to be an effective cost-saving strategy that most major companies in the United States use. Companies such as Nike, Apple, Microsoft etc. all use outsourcing for the advancement of their company.
Apple for example prides itself on creating and innovating their products while keeping their current consumers at their fingertips and attracting new customers. In the United States, design is as far as Apple is willing to go. They outsource thousands of manufacturing jobs to countries such as China, Korea, Taiwan and Mongolia to not only save money, but to save time as well.
Although outsourcing may be beneficial to the company, there are lots of risks that could negatively affect their products, sales and consumers. Some risks that companies that use the outsourcing techniques needs to be aware of are product quality problems, threat to security and confidentiality, bad publicity and ill-will etc.
Foxconn is the factory in China that produces the Apple products that we know and love. These products are hand made by over 265,000 employees daily. Employees spend at least 12 hours' day, where they only earn a little over $2 an hour. They put a lot of effort into these products and they feel that they deserve higher pay. Most employees of Foxconn have never seen a finished Apple product. This goes to show that although Apple may be saving money by outsourcing, the employees that are completing jobs that would pay over $20 in the US are not being compensated as they should.
In several class discussions we've mentioned the impact that the new Mercedes Benz Stadium will have on not only the AUC community but the entire West End/Vine City area. The real estate effect that the 1.2 billion dollar stadium will have will not be instant but the transformation of the entire community is prevalant in ways other than money.
The Falcons have hired the technology company Daktronics to build a 360-degree, 63,000-square-foot HD video board that will be positioned at the center of the stadium giving every fan a perfect view of the action. Also, Mercedes-Benz Stadium have partnered with IBM to be the official systems integrator for the venue which will feature a Passive Optical Network (PON). The PON will be the first of its kind to ever be used in an NFL stadium as it will drastically reduce the amount of power and cooling required for technology throughout the stadium and will help contribute of the overall sustainability aspect of the building.
The stadium is scheduled to open July 30, 2017 and with each countdown day there is more of a presence of the Atlanta Falcons (and Atlanta United soccer) in a community that they have no roots in. Gentrification, overpriced real estate, and misused infrastructure are on the way in the West End and while there may be citywide excitement there are issues that need to be addressed. The AUC and the leaders of these institutions have a social responsibility to protect the residents and withhold the history of this area.
The Atlanta Falcons hired Brookings, S.D.-based Daktronics (NASDAQ: DAKT) to build a first-of-its-kind circular LED video display for the team's new $1.4 billion stadium. The 63,800-square-foot,non-traditional LED video display will be more than five stories high and three times as large as the current largest single display board in the NFL.
Millennials are known for many things such as being civic-oriented, conscious, and the largest, most diverse generation in history. But analysts say this generation is missing one thing, their willingness to take risks.
To some, this is seen as a problem. Studies show that our youth puts us in the best position to take risks but we look for security instead. Economically, millennials struggle and cannot afford to risk it all on uncertainty. However, risk avoidance and cautiousness does not help stimulate the economy, innovate technology, or produce many entrepreneurs.
According to a survey by Babson College, 41% of 25 to 34 year olds state that their biggest roadblock to starting a business is the "fear of failure." In today's business world, most would say to "embrace failure" rather than seeing it as a fear but not to millennials. Studies show we prefer to get it right the first time rather than stumbling and starting again.
Check out Barbara Corcoran's speech at Entrepreneur's Growth conference. Although it's fairly long, I encourage you to choose at random five minutes to watch and you'll want to watch more. Her words are both inspirational and motivational and she encourages people to put themselves into situations where they might fail and then learn how to bounce back.
During a past class session we talked about the five generic competitive strategies and economies of scale. In which I found an article on Forbes.com discussing why successful companies focus on competitive advantage and not just making a profit. In the article the writer talks about, "A company's profits are the result of its competitive advantages. Therefore, successful investment managers focus on whether a company's competitive advantages will enable it to defend and grow profits."
An example of a company that has come into the industry and took over is Uber. Uber came into play six years ago and has already dominated the industry and over-powered the yellow taxicab company. One competitive advantage they have over the taxicab is everything is run on an app. With having an app it gives plenty people of access to it because of how big technology has become. Mostly everyone has a smartphone where they link up their accounts to their phones such as social media, debit cards, and email to be able to easy access to communicate throughout the day. Another strategy they have used is the low-cost provider strategy that allows a company to sell at a lower price than your competitors to attract customers. This is known as a price advantage. Companies using this strategy will typically earn low margins but achieve high sales volumes. Low-cost providers aim their products at the broad market, making them appeal to as many consumers as possible to achieve high sales volume.
When focusing on competitive advantage as a company for every dollar you make a percentage of that should be reinvested back into your company for marketing, developing new products, or improving existing products. It's about having your brand stand out compare to your competitor. Once your brand and services can out-stand competitors you can expand on that competitive advantage.
Contrary to popular opinion, a company's profits are not the result of the products and services it sells. And when evaluating whether to invest, successful investors don't only focus on a company's profits. I know what you're thinking: "He has it backward - corporate profits do come from selling products and services, and successful investors only focus on a company's profits."
