Pay, Power and Politics: Where Did Carlos Ghosn Go Wrong?


carlos-ghosn_a59ebdf6-f15d-11e8-84c6-a70c31b0a588

One of the trending stories.

Did Ghosn have far too much control at the three companies? Apparently yes, noted MacDuffie, pointing to a Nissan director’s comments at a news conference where “he was critical of how much power is centralized in one person” in the alliance. Ghosn, 64, is approaching retirement and had already announced his plans to exit all roles in the alliance by 2020. “If he hadn’t emerged as such a hero from the early stages of this turnaround [at Nissan and Renault], many people would have said it’s a little risky to concentrate that much power in one person.”

The complete article

Knowledge&Wharton

Image source

Christmas Without Toys R Us: Who Will Fill Its Stockings?


636653632601278330-toys04

Kahn remarked on how competitive the category has become, with all kinds of retailers trying to cash in. “I think of it as a ‘defender’ category,” she said. “If you’re a family – and that’s the kind of customer a lot of retailers want – then you have to buy your kids’ toys somewhere. So you’re seeing toys showing up in interesting [places].” Even electronics purveyor Best Buy is offering toys this year, Kahn noted. “You go into the store to buy toys, and while you’re in there you are buying in other categories. I think that’s one of the reasons why it’s a really competitive area right now.”

The complete article

Knowledge@Wharton

Image source

Yelp’s Heyday Is Over


yelp-five-stars-2

Will Zomato face a similar struggle in India?

Part of Yelp’s woes seems related to its new no-term deals, meaning advertising clients are not locked into a contract. While that move initially resulted in a jump in new accounts, it also means businesses aren’t obligated to continue to advertise if they’re not impressed with the results of their advertising — and seemingly, more and more business owners are taking their ad dollars elsewhere, especially as diners flock to other platforms. “I opened a new restaurant a few months ago, and for every five Google reviews we get, we get maybe one Yelp review,” says Danny Teran, co-founder of the NYC-based Watson Hospitality Group. “Three or four years ago, that wasn’t the case.”

The complete article

Whitney Filloon — Eater

Image source

Money: 5,000 Years of Debt and Power


577px-billets_de_5000

The first lie is that if finance is entirely free, globalised and unregulated, it will develop instruments to insure against risks (derivative products), rendering impossible the spread and intensification of the blaze. After two decades of stable inflation and financial liberalisation, the financial community, the media, and the political establishment loved to proclaim that systemic crisis had now become impossible (‘this time it’s different’). But the impossible did happen. This owed not to some external mega-event but rather to the fact that speculation had eroded from within any sense of reason and any barrier to the appeal of greed. This first lie is also the basis for the other two.

The complete article

Michel Aglietta — Verso

Image source

The god of China’s big data era


maxresdefault

Are we heading towards a nightmarish world where our every action is going to be rewarded or punished by the Government?

An Orwellian characterisation of social credit is the favoured narrative of English-language media and academia. Countless media stories compare the system with Nineteen Eighty-Four or other more contemporary cultural references such as the Netflix series Black Mirror. The underlying depiction of social credit in these instances is of ‘big data meets big brother’: a corporatist state spying on its population, hoarding vast swathes of personal data to be algorithmically synthesised into a single three-digit score that dictates one’s place in society. Punishments such as bans on individuals purchasing tickets for air travel have hit the headlines.

The complete article

Adam Knight — ECFR

Image source

The Peter Principle is a joke taken seriously. Is it true?


2000px-peters_principle-svg

The Peter principle states that “every employee tends to rise to his level of incompetence”. If someone is good at her job, she’ll be promoted into a job that demands different skills. If she’s good at the new job too, she’ll be promoted again, requiring yet another set of skills. One day, she will arrive at a job for which she is wholly unsuited, and there she will stick. Since when did a manager ever get sacked for anything?

The Peter Principle is satire: it mocks management and it mocks books about management. It is striking, then, that most people take it quite seriously. The Harvard Business Review has published numerous straight-faced responses.

Two questions, then: is the Peter principle true? If so, what can we do about it?

The Complete Article

Tim Harford

Image Source

The Constant Consumer


online-shopping-kffb-621x414livemint

We have become an active consumer all through the day thanks to technology.

In light of Amazon’s all-encompassing ambitions, the strategy behind several of the company’s most important product initiatives — Alexa, Amazon Prime, physical retail stores (including Amazon Go and Whole Foods), and Amazon Key — becomes clearer. These products seek to redefine what being a customer means by immersing us more completely within the Amazon universe. Formerly, being a customer was a role one assumed upon physically entering a store or ordering something from a company. Amazon promises to create a newer type of environment, a hybrid of the digital and the physical, that lets us permanently inhabit that role: the world as Everything Store, which we’re always inside.

The complete article

Drew Austin — Real Life

Image source