Alexander Petri’s blog on the Washington Post recently featured a humorous interpretation of  Lululemon’s most recent PR fiasco. When CEO Chip Wilson famously said “some women’s bodies actually don’t work”. This was in response to a question about a defaulted batch of fabric which resulted in too-sheer yoga pants. When he said “its about the rubbing of the fabric between the thighs” we viewers could sense that the Bloomberg interview was in fact not going to be a graceful moment for him.

The fact of the matter is that Chip Wilson’s badly worded comments reflect a contradiction between Lululemon’s stated Value Proposition, and its apparent opinions. As a spokesperson for his brand, Wilson should espouse everything his company claims to promote: that is, healthy living, positive attitude and ethical responsibility. Having said that, it is extremely unethical to comment on some women’s size as opposed to others. Also, stating that they just “don’t work” is in bad taste. His actual apology is what enraged so many bloggers, like Petri to write about him. From a business perspective, this reflects badly on the company. And as a female potential customer, I can safely say that I have no desire to purchase Lululemon Yoga Pants, but I know that most consumers would probably stay unaffected. This story reflects how important Public relations are for popular brands such as Lululemon who claim to stand for grand ideals.

Lululemon would need to hire a stellar PR team to rectify the damage caused by this media debacle. I am personally very curious in finding out how exactly the company bounces back from this, and if it is able to retain its current market segments and loyal customers.

Isabel Vidri’s COMM 101 blog recently featured a post about Burger King offering a healthy version of the fast food classic: the french fry. I was most amused by her evaluation that Burger King was clever in developing a product that maintained the same level of consumer satisfaction without “taking the fun out of it” when she compared the new “Satisfries” with Mcdonald’s salads.

This innovative approach to junk-food is a step in the right direction for Burger King, offering similar products but capturing different consumer segments at the same time. With this new approach, it is possible that Burger King could in fact retain customers that it was bound to lose due to the increasingly pervasive culture of health and fitness. It has effectively created a “point of difference” with all of its competitors, and this new product might help it bridge the gap between Mcdonald’s, its main competitor. This story is an interesting look into how a company’s “key activities” can have a positive impact on its “value statement” and even its “revenue streams”. Burger King is bound to benefit from this new product.

Yash Multani recently wrote a blog post about PepsiCo’s $5.5 bn investment in India. This venture was particularly interesting to read about due to the various stakeholders involved. Yash points out that it will benefit the Indian economy by employing from the vast pool of idle workers(creating up to 100,000 jobs), and he also identifies how it will benefit PepsiCo through reaching new customers in untapped market segments.

I agree with his analysis completely, but I also would like to add my thoughts on the matter. This inflow of FDI will do more to restore investor confidence in the region. Since India’s growth rate has slowed to 5%, the lowest its has been in a decade, some investors and analysts speculated that India would no longer be a favourable country for investment. Indeed Pepsico’s confidence in the nation will spark further interest. The range of products on offer from the corporation range from soft drinks, to juices, snacks and even breakfast cereals. While Pepsi cola itself is a beloved brand in India, this will open up opportunity for the company to market all of its brands to the consumer segments. It is a cost for Pepsico in the short term, but will most likely have far more positive long-term implications for the company.

Bollywood actors endorsing Pepsi over the years. Pepsi is a very popular brand in India and a household name.

Amy Cuddy’s TED Talk

“Our bodies change our minds, and our minds can change our behavior, and our behavior can change our outcomes.” – Amy Cuddy

I wanted to share this video for a variety of reasons. Firstly, I find that there is a distinct value in working on perfecting your personal image and brand (Hmm, I think that’s the aspiring Marketing student speaking up). The video gives insight into ways people can maximize their potential through simple self-improvement practices. 

I believe this is very important in the world of commerce, and this comes as no surprise, since Amy Cuddy is in fact a professor of Business Administration at Harvard Business School and uses these insights to teach her students how to master and gain access to the opportunities they seek out.

I am not sure if its her charisma or her research which makes me excited to incorporate her recommendations into my daily life, but I do know that since watching this video I have felt confident in all sorts of nerve wracking situations. Such as, University and job interviews. I know there are some people out there, who might actually read this post and not be as in awe with Cuddy as I am. I encourage you all to “fake it ‘til you become it!”

The Funded

Who says one man can’t change the world? While I can’t speak for people attempting to transform our world one good deed at a time, I can in fact explore the work of Adeo Ressi, an entrepreneur who is changing the landscape of start-ups.

Just last week I learned that 75% of all start-ups are bound to fail, this article only rubs salt on the wound when it explains that in fact 90% of all start-ups fail. All of my confidence in my own ability would invariably be shattered in learning this statistic. How on earth could I start a start-up with the odds piled up against me?

Well, reading this article, and about the work of thefunded.com I am definitely less nervous about the future of entrepreneurs.

Ressi’s idea is that he can actually make successful entrepreneurs if he choses from a pool of applicants. Through a mixture of immersion workshops and educational seminars, Ressi’s company aims (and achieves) to reduce the 90% failure rate to as low as 10%.

This week’s lectures were based on entrepreneurship and applying these skills on a social level. I feel that companies like The Funded and Arc are an example of applying invaluable skills to cases and extracting the maximum success out of them.

https://www.youtube.com/watch?v=k_ITwbtxfiY

This is an interesting story as it highlights issues such as ethics within companies, as well as touching upon artistic liberties that Disney has used over the years.

Over the years, Disney has been accused of perpetuating negative ethnic and gender stereotypes (think: Pocahontas and Cinderella), and mis-educating youths on the realities of adult life. While this may be debatable, it is the most recent controversy that Disney is caught in the centre of that is interesting to view from a business perspective. The link attached is a clip from the segment of Jimmy Kimmel Live!, which airs on Disney owned ABC. The segment “Kid’s Table” is meant to provide commentary as well as satire on common issues. The one featured in the clip asks the panel of children what should be done about US debt in China.

“Killing all the Chinese” is an idea suggested by an audacious little boy (perhaps no older than 4), which sent the Chinese community in the U.S. into outrage. Disney has been trying to quell the situation through PR and Marketing “Damage Control” (i.e., public apologies). This issue brings to the surface the various ethical issues which face companies. The dilemma arises when, Kimmel, a widely-loved American comedian and household name, makes humour of U.S.A.’s debt crisis, however engages in discourse which angers a national and ethnic group.

As a comedian, Kimmel makes lots of jokes and most of them do touch on sensitive topics, but it is quite obvious that Disney is taking special interest in this particular case because of it’s financial interest in China. Should this anger us as observers? I don’t see Disney apologizing to any Aboriginal tribes of North America for misrepresenting them in Pocahontas, or to the Arab and South Asian communities of the world for mixing up their cultures in Aladin? It seems that due to China’s financial interests in China it takes special notice to this particular case. While it is a good step to rectify this mistake, Disney should make active efforts in all of its controversial involvements.

http://www.thestar.com.my/Business/Business-News/2013/11/12/DiGi-revamps-organisational-structure-management.aspx

Most consumers never come in direct contact with the entity behind their favourite and most essential products. In the case of telecommunications, a service we use almost every minute of every day, it is interesting to study how organizational structure actually affects the consumer experience.

DiGi, is one of the largest cellular providers in Malaysia. The article attached discusses how the company looks to “re-vamp” its organizational structure, so that the company is able to provide a better service to its customers. This policy, effective in the start of 2014 aims to re-shuffle current leadership and create a new division. The image below depicts two types of  organizational structures.

DiGi’s latest move makes it more like the wider-base model, meaning that there will most likely be a shorter chain-of-command between leaders and employees. This will promote efficiency– due to shorter chain as well as more specialization in tasks. This also fosters closer relationships between employees and their leaderships. Some criticism of Organizational structure A, is that as time goes on, employees feel demotivated and more alienated from the core mission of the company and its value statements. Thus, I believe this move from DiGi is a positive one, and it remains to be seen if DiGi customers will ever feel a difference in approach translated into their lives.

           Organizational Structures