From Bank of America Merrill Lynch – The Chief Financial Officers of Asia’s largest companies are embracing growth for 2014. 76% of respondents expect revenues to grow this year. However, profit expectations are falling. The proportion of Asia’s CFOs that expects profits to grow has dropped to 60%, down from last year – suggesting that it is getting tougher to extract value from revenue growth. Asia is no longer the high growth, high earnings market that it used to be. CFOs in Asia are now thinking about strategies to improve operational efficiencies to drive profitability.
Fresh Pick of the Day, May 25, 2014: Alice + Olivia: A Global Brand Spawned by a Need for a Perfect Pants
“If, as Mark Twain once proclaimed, “Clothes make the man,” do trousers then make the woman? They do if you’re Stacey Bendet.
Thirty-six-year-old Bendet is the founder and creative mind behind Alice + Olivia, a $150 million global women’s clothing company that is little more than a decade old. Bendet described the origin and rapid-growth of Alice + Olivia at the recent Retail and Consumer Goods Growth Summit, organized by Knowledge@Wharton, Wharton’s Jay H. Baker Retailing Center and Momentum Event Group.”
From Leadership Challenge website – “Leadership is not about personality; it’s about behavior—an observable set of skills and abilities. And when we first set out to discover what great leaders actually do when they are at their personal best, we collected thousands of stories from ordinary people—the experiences they recalled when asked to think of a peak leadership experience.”
Fresh Pick of the Day, May 22, 2014: “Scaling the Sharing Economy, From New York to Topeka and Beyond – from Knowledge@Wharton”
From Knowledge@Wharton – “The shared economy, perhaps best known for crowd-powered marketplaces such as travel accommodation site Airbnb and transportation-focused Lyft, blossomed as the recession set in. At the same time, social platforms were establishing broad footholds. Collaborative consumption, made more feasible by evolving technology, offered consumers ways to personalize their experiences without having to own their own cars, vacation homes and items that may be out of reach financially. It also presented fresh streams of income for people with something to spare or share.”
From BBC News “Nothing can prepare you for becoming a company chief executive, says the boss of US multi-national General Electric, Jeff Immelt. You might think that for those who have risen steadily through a company’s ranks, eventually reaching the top spot and becoming the boss might feel part of a natural progression. But Mr Immelt, who joined GE in 1982, says his 19 years’ experience counted for very little once he himself became chief executive in 2001. ‘I was brought up in the GE system and I went through a very public succession process – and really three days after I became CEO none of that mattered one bit,’ he says.”
Fresh Pick of the Day, May 19, 2014: “Does Breaking Bread Help Make a Negotiation a Success?” From Stanford Business Re:Think
From Stanford Business Re:Think: “People negotiating a deal commonly have a meal or two together. Sharing a meal seems a gesture of goodwill — after all, who’s going to fight in one sentence and then say, pass the sushi in the next? You might suppose, then, that negotiating while eating can only help bring good deals to fruition. Not so fast. While such thinking propels the lunchtime scenes everywhere from the Four Seasons in New York City to Chateau Marmont in Los Angeles, new research from Stanford Graduate School of Business calls it into question. Professor Margaret Neale and doctoral student Peter Belmi find that sharing food does help create more valuable deals in competitive negotiations. But in situations that are cooperative, such as when the two parties are friends, meal sharing reduces the overall value of the deal.”
From Knowledge@Wharton – “weaker-than-expected economic growth may at least have the virtue of uncovering some diamonds in the rough. Uncertain growth is also causing investors to get choosier about their PE investments. Expect money to gravitate toward large firms with solid track records, and also towards niche firms that offer a unique approach. Firms in the middle could get squeezed.”
From FT.com – “Bright spots are emerging as a result of macroeconomic and social change. The focus is swinging back to developed countries where half of luxury’s total global sales are made to consumers in their traditional markets”