Demand Media, once valued higher than the New York Times, is seeing a rapid decrease in profits because of Google changing its search algorithms. Does this mean the beginning of the end for "content farms"?
You might now be running in your head to a well worn path of justified resistance, phoning up the ol’ gang, circling the hippocampian wagons of amygdalian resistance. Hold on a sec, pilgrim. Yahoo urges its employees to switch from using outlook to Yahoo Mail in a bizare internal email. Meanwhile, as Microsoft abandons the hated practice of stack ranking Yahoo adopts it as its own. But hey, they have Katie Couric now!
The Prophet: Meet Dave Ramsey, the most important personal finance guru in America. There's probably no better way to learn about the financial lives of individual Americans than to spend a few hours listening to The Dave Ramsey Show, which airs in every major media market in the United States...Listen long enough and you realize you are hearing the raw, unfiltered tragedy of the economic plagues facing 21st-century America. [via]
Ex-Amazon employee Eugene Wei on Amazon's "profitless business model" fallacy, and why the claims that Amazon is not profitable are fundamentally wrong. "If Amazon has so many businesses that do make a profit, then why is it still showing quarterly losses, and why has even free cash flow decreased in recent years? Because Amazon has boundless ambition. It wants to eat global retail. This is one area where the press and pundits accept Amazon's statements at face value. Given that giant mission, Amazon has decided to continue to invest to arm itself for a much larger scale of business. If it were purely a software business, its fixed cost investments for this journey would be lower, but the amount of capital required to grow a business that has to ship millions of packages to customers all over the world quickly is something only a handful of companies in the world could even afford." Wei also previously touched on this in Amazon, Apple, and the beauty of low margins.
When the announcement had been made that Wimbledon FC would be moved to Milton Keynes, to later be rebranded MK Dons, a meeting was called by Wimbledon fans. Toward the end of a charged meeting in the Wimbledon Community Centre, Kris Stewart, then chair of the Wimbledon Independent Supporters Club, realized that the fans had no chance of hanging on to their club and that no amount of protests would stop the franchise moving to Milton Keynes. In that moment Stewart made his walk through the crowd toward the microphone. “I’m tired of fighting,” he said before issuing a spontaneous rallying cry that has become legendary among fans of AFC Wimbledon. “I just want to watch football.” (SLTheMorningNews)
Few industries would routinely pay millions per unit of an item, sight unseen, with minimal (and sometimes no) market research. So how can the TV business afford to operate this way? To understand the economics of scripted television, we need to examine the idiosyncratic journey of a show from concept, to pitch, to script, to screen. And we’ll see why, in a business where only a few hits stand out any given year, lavish spending is the cost of staying relevant. -- The Economics of a Hit TV Show
As the 2013-14 NBA season approaches, the last year of the reign of Commissioner David Stern, Sports Business Journal takes an in-depth look at his successor, New Media enthusiast, marathon runner, and fan of competitive balance, Adam Silver. [more inside]
"... and so I took an economics course and I loved it," during a phone interview in the early morning today. Likewise, conversations with Robert Shiller and Lars Peter Hansen, shortly after the 2013 Sveriges Riksbank Prize in Economic Sciences was awarded jointly to them for their academic contributions to the field of asset pricing. UChicago News, Yale News, New York Times, Wall Street Journal, Washington Post, and Bloomberg report. [more inside]
Blackberry will be harvested by a private equity firm for US $4.7 billion. Generally blamed for their own decline by disdaining the massive rush of popularity of competing smartphones and becoming increasingly well-known for the bizarre behavior of their leadership, Blackberry hoped to turn things around by ejecting their co-CEOs, rebranding from Research In Motion to the name of their sole product, and launching a new spate of products: OS 10, new generation of touchscreen phones, and planning a second attempt at tablets. In spite of some misguided punditry predicting a new era, they won no love from either the reviewers or the public. [more inside]
Quit. Quit early and quit often, not when something is hard, but when something isn't for you. That's the way you find your genius, (YT) says Prof. Deepak Malhotra, who gave this among other tips to graduating students at Harvard Business School in a speech on how to avoid the tragedy of living an unhappy life. [more inside]
Before retiring in May 2013, Sir Alex Ferguson spent 26 seasons as the manager of Manchester United, the English football (soccer) club that ranks among the most successful and valuable franchises in sports. During that time the club won 13 English league titles along with 25 other domestic and international trophies—giving him an overall haul nearly double that of the next-most-successful English club manager. In 2012 Harvard Business School professor Anita Elberse had a unique opportunity to examine Ferguson’s management approach and developed an HBS case study around it. Now she and Ferguson have collaborated on an analysis of his enormously successful methods.
In my view, the main reason for the uneven management sex ratio is our inability to discern between confidence and competence. That is, because we (people in general) commonly misinterpret displays of confidence as a sign of competence, we are fooled into believing that men are better leaders than women. In other words, when it comes to leadership, the only advantage that men have over women (e.g., from Argentina to Norway and the USA to Japan) is the fact that manifestations of hubris — often masked as charisma or charm — are commonly mistaken for leadership potential, and that these occur much more frequently in men than in women. -- The Harvard Business Review asks why are less than competent men getting leadership positions when much more qualified women aren't?
Launching my first product :
Brand, Make, Sell Sell, Make, Brand
A corporation is not a living creature. It has no soul. It has no heart. It has no feelings. It can neither experience towards you nor enjoy from you even the concept of loyalty. It is a legal fiction, and it exists for one purpose only: to make profit. If you assist in this goal in the long term, your ongoing association with the organization is facilitated. If you detract from it consistently, you will be cut. Family is “where they have to take you in no matter what you’ve done.” A corporation is… well, it’s sort of the exact opposite of this.Be loyal to yourself.
In 2003, the New York Times published a lengthy article by Lisa Belkin about women who were choosing to leave the workforce to be stay-at-home moms: The Opt-Out Generation. In the the last ten years, the article's conclusions regarding upper-middle-class women's choices about work and motherhood have been debated, studied, rediscovered, denied, lamented, and defended. It's been noted by many that "most mothers have to work to make ends meet but the press writes mostly about the elite few who don’t." Ms. Belkin's piece also never mentioned what what a disaster divorce or the death of a spouse can create for dependent women in such situations. After a decade, the Times is revisiting the topic: The Opt-Out Generation Wants Back In.
Of all the occupational golden ages to come and go in the twentieth century—for doctors, journalists, ad-men, autoworkers—none lasted longer, felt cushier, and was all in all more golden than the reign of the law partner. Noam Schreiber on The Last Days of Big Law: You can't imagine the terror when the money dries up. Former law partner Steven J. Harper, author of The Lawyer Bubble, believes the profession to be in existential crisis. Another former partner weighs in. Libertarian law professor Richard Epstein presents a more sanguine view.
Plagued by the realities threatening many retail stores, Sears also faces a unique problem (alternate link): [CEO Eddie] Lampert. Lampert runs Sears like a hedge fund portfolio, with dozens of autonomous businesses competing for his attention and money. An outspoken advocate of free-market economics and fan of the novelist Ayn Rand, he created the model because he expected the invisible hand of the market to drive better results. If the company’s leaders were told to act selfishly, he argued, they would run their divisions in a rational manner, boosting overall performance.
This was not the act of a fringe contingent. The letter—which, until now, has never been published in its entirety—is signed by 154 staffers, including J.D. Salinger, Calvin Trillin, John McPhee, Jamaica Kincaid, Saul Steinberg and Janet Malcolm. There are a few notable abstentions, including John Updike and Charles McGrath, who would soon be named Gottlieb's deputy. At the bottom, it reads "cc: S. I. Newhouse."The Letter: Robert Gottlieb's Tenure as the New Yorker's Managing Editor, Elon Green, The Awl (SLTheAwl)
Steve Lovelace created a map that shows the corporation that best represents each state of the US.
What does the crowdfunding landscape look like for game developers one year after Kickstarter exploded onto the scene?
Josh Way's MST3k/Rifftracks-esque series FUN WITH SHORTS (previously) returns after a long haitus with the businessman filmstrip PROMOTION BY-PASS and the utterly bizarre stop-motion cartoon MUNCHERS
The problem is that cinema, as I define it and as something that inspired me, is under assault by the studios and, from what I can tell, with the full support of the audience. The reasons for this, in my opinion, are more economic than philosophical, but when you add an ample amount of fear and lack of vision and a lack of leadership you’ve got a trajectory that is pretty difficult to reverse. - "Retired" director Steven Soderbergh speaks to the San Francisco International Film Festival about the state of cinema - (summary, full audio at bottom of page 2)
Phish has consistently been one of the most popular and lucrative touring acts in America, generating well over a quarter billion dollars in ticket sales. Yet, by other measures, the band isn’t popular at all... Phish doesn’t make money by selling music. They make money by selling live music, and that, it turns out, is a more durable business model. (via) [more inside]
"“It just felt really good, when this all started, to have the sexy sports celebrity from Boston who seemed to like Rhode Island and showed up in Rhode Island, and who built this exotic new business, even though no one knew what it was,” says the historian Ted Widmer, who grew up in Providence and works at Brown. “It seemed like the digital economy, or biotech, or whatever. But then it turned out that it wasn’t the new digital economy. It was some 13-year-old’s medieval fantasy.” "Curt Schilling, Rhode Island, and the Fall of 38 Studios.
Aereo is a web service that allows subscribers to watch broadcast TV on their computers or mobile devices. The broadcast networks are furious. Aereo is ready for a PR fight, and is currently winning the legal battle. Variety wonders: Is Aereo Actually a Good Thing? [more inside]
Justin Timberlake likely made his new album to fulfill a contract he signed with Live Nation in 2009.
Is Giving the Secret to Getting Ahead? [Adam] Grant, 31, is the youngest-tenured and highest-rated professor at Wharton.... Grant might not seem so different from any number of accessible and devoted professors on any number of campuses, and yet when you witness over time the sheer volume of Grant’s commitments, and the way in which he is able to follow through on all of them, you start to sense that something profoundly different is at work. Helpfulness is Grant’s credo.... For Grant, helping is not the enemy of productivity, a time-sapping diversion from the actual work at hand; it is the mother lode, the motivator that spurs increased productivity and creativity. In some sense, he has built a career in professional motivation by trying to unpack the puzzle of his own success. He has always helped; he has always been productive. How, he has wondered for most of his professional life, does the interplay of those two factors work for everyone else? [more inside]
Mike Merrill decided to sell shares in his life. He now has 160 shareholders who can tell him what to do.
The AR-15 is more than a gun. It's a gadget. It's an addiction and the future of firearms manufactures. It's the most wanted gun in America and more than anything it is a symbol of the cycle of fear that drives assault weapon sales.
The fascinating story of the origins of those high priced headphones all the kids are wearing these days.
Ann Patchett opened a new independent bookstore in Nashville, despite being told that books are dead.
Last One Falling - photographer Amy Connolly documented the last days of a Liverpool branch of HMV whilst working there in 2011, a stark contrast to the images of the flagship store in the sixties and seventies (previously). The chain yesterday announced it was entering administration after 91 years on the high street. [more inside]
The 1992 BBC investigative documentary series The Look, aiming to examine the 'serious side of fashion', is available to watch online. The episodes cover the power of licensing luxury names, who benefits from catwalk shows, how the industry commodifies identity, the story of Yves Saint Laurent, the power of the press, and how fabric itself makes a difference. [more inside]
Network scanning do cost. Recent patent lawsuits have been praised or condemned as fair or absurd. BlueWave Computing fights back against a lawsuit that initially attempted to charge the company $1,000 per employee for a license to some “distributed computer architecture” patent, or basically, if your employees use a scan to email feature in the office, you have to pay a lot of money. Others have been targeted. Stop Project Paperless results.
“During the 1920s, the British firm Parker-Holladay created a fictional character named Bill Jones. Mr. Jones’ dispensed his friendly advice to British clerical workers through colorful lithographic posters emblazoned with his get-right-to-the-point maxims." Why not enjoy this collection of can-do, yes-sir business motivational posters before you head back to work?
Alan Cooper and the Goal Directed Design Process The heart of the problem, he concludes, is that the people responsible for developing software products don’t know precisely what constitutes a good product. It follows that they also do not know what processes lead to a good product. In short, they are operating by trial and error, with outcomes like customer satisfaction achieved by little more than blind luck. By Hugh Dubberly, first published AIGA GAIN Journal, 2001
When Michael Woodford discovered a staggering level of fraud in the optical multinational, Olympus, he was determined to expose it. As CEO of the company he was promptly fired for his efforts, and believed his life was in danger. [more inside]
Elves are infesting our shelves! Originally a self-published labor of love, The Elf on the Shelf rose to fame after being photographed in the arms of actress Jennifer Garner. Five years later, it has spawned a movie, a float in the Macy's parade and a bit of a backlash.
Most occupations require people skills. But for some, a preternatural capacity for concentration and near-total recall matter more. Those jobs, entrepreneur Thorkil Sonne says, could use a little autism.
The African King With A Multi-Billion Dollar Empire RBH functions as a communitybased investment company whose primary investment aim is to generate the income required for the funding of sustainable projects. Income generated from RBH’s commercial interests is invested in infrastructural development, as well as in the members of the Nation itself. Over the past decade, more than R4 billion ($475 million) has been spent on roads, utilities, schools, clinics and other public amenities. This has benefited not only the Bafokeng, but other people living in the North West Province of South Africa, the area which the RBN calls home.
Entrepreneur Jia Jiang has decided to overcome his fear of rejection through a sort of exposure therapy desensitization: he's "seeking one rejection on purpose every day for 100 days" by making crazy requests of strangers, filming each encounter on his iPhone and posting them to his blog. Here's his attempt on Day 3 to order doughnuts shaped (and colored) like the Olympic rings at a Krispy Kreme in Austin, TX. [more inside]
At least 112 workers died in Tazreen garments factory fire in Bangladesh. The reasons of the fire are the subject of investigation, but the firefighters put the blame for the tragedy on the lack of fire exits. Since 2006, over 500 garment factory workers died in Bangladesh fires caused often by poor safety standards and shoddy electrical installations. The garments made in the Tazreen factory were sold by C&A, among others. Clothing makes up 80 percent of the country's $24 billion in annual exports.
Last year saw the 100th anniversary of another such tragedy.
Last year saw the 100th anniversary of another such tragedy.
"We have little trouble recognizing that a chess grandmaster’s victory over a novice is skill, as well as assuming that Paul the octopus’s ability to predict World Cup games is due to chance. But what about everything else?" [Luck and Skill Untangled: The Science of Success]
In last night's episode of Independent Lens on PBS, filmmaker Alex Gibney presented the case that America's richest citizens have "rigged the game in their favor," and created unprecedented inequality in the United States. "Park Avenue: Money, Power and the American Dream" [video, website]
Derek Smart has been making games for over 20 years. He sold his first games in plastic baggies at hobby stores. Yet his longevity is somewhat of an anachronism. Many gamers today don't even know who is is, in spite of the fact that his games have sold well enough to keep his company in business since 1992. And the games themselves, well they're mostly terrible. Especially his first, Battlecruiser 3000AD. The Verge takes an in-depth look at the hotheaded perfectionist millionaire game developer whose impenetrable, terminally overhyped games sparked one of the most legendary flamewars in internet history.