http://blogs.ubc.ca/lydialin/2014/11/10/blackberry-seeks-to-expand-in-china/

In her post Lydia says that “Blackberry utilizes the focus strategy (differentiation)”however, I consider that Blackberry has not worked enough to differentiate its product from other smartphones in the market. When I read and watched a video about the new Passport, I did not get the feeling of seeing something new. I think that the company is not offering a product whose attributes are unique nor better than the ones offered by other companies, or at least their advertising is not showing that.

In order to succeed, the company should try to innovate and create a product that is exclusive. Nowadays, the smartphones market is highly competitive and some brands have already a position in the consumer’s mind. It is important to say, that these brands are going more and more global, which makes it even more difficult to establish a position anywhere. For these reasons, I consider that it will not be easy for Blackberry to enter in the Chinese market. However, I agree that a partnership will be very beneficial right now. Working with companies such as Lenovo or HTC Cop., might help Blackberry develop a new device that stands out.

References

Lin, L. (November 10, 2014). Blackberry seeks to expand in china. Retrieved November 11, 2014, from http://blogs.ubc.ca/lydialin/2014/11/10/blackberry-seeks-to-expand-in-china/

http://www.womenonbusiness.com/cost-savings-telecommuting-1-trillion-per-year/

I never imagined that telecommuting could be beneficial to society. It is amazing to know that tele work could have a huge economic impact on the nation, companies, employees and the environment. I think this info graphic will definitely change the way of thinking of many people or at least make them consider this option. This will be an incentive to some companies to incorporate this work arrangement mainly because it will allow them save reduce their costs.

I have always considered that allowing employees work at home, will affect negatively their performance and will cause the company to lose money. Being at home, employees might be more tempted to procrastinate and will have more distractions. As Susan mentioned: “not all employees are good candidates for telecommuting”. However, now knowing the cost savings that telecommuting implies, I think that every company should consider this option.

Before making a decision, companies should carry out a careful analysis to see if the company itself is suitable and  hire employees that show talent and strong commitment to work. Businesses will not only have economic benefits, but they will also be able to hire those who were did not use to be hired because they could not live near to their jobs.

References

Gunelius, S. (2014). Cost savings of telecommuting would be over $1 trillion per year. Retrieved November 9, 2014, from http://www.womenonbusiness.com/cost-savings-telecommuting-1-trillion-per-year/

Picture. (1997). Retrieved, 2014, from http://inst.eecs.berkeley.edu/~eecsba1/sp97/reports/eecsba1d/report/figs/telecommute.gif

In Ecuador, the families that receive money from a family member who works illegally in Spain or the United States, usually do not know how to use these funds. Instead of investing that money in order to  satisfy their basic needs, some Ecuadorian families use it  to buy luxury articles. In 2012, I volunteered in a small community in my country and I noticed that sometimes  people did not even had where to sleep, but they had the biggest TV or a brand-new car. This observations made me conclude that the problem is not a lack of resources but a lack of knowledge on how to manage those resources.

The same happens when the United Nations provides a country with funds. Citizens allocate their resources incorrectly impeding them to make a long impact. This is why social enterprises and initiatives such as Arc, play an extremely important role in our society. Arc provides the people in underdeveloped and developing countries with the knowledge to manage their resources the best way possible.

I think Arc is a great initiative and I found it really inspiring. In the future, I  would totally love to be a social entrepreneur and help the small Ecuadorian communities!

References

Kroeker, J. (2014). Retrieved November 8, 2014, from http://news.ubc.ca/2014/06/30/upward-arc/

Photograph. (2012). Retrieved November 8, 2014, from http://berbula.blogspot.ca/2012/04/otavalenos-por-el-mundo.html

Starbucks will be launching an app late this year that will give their customers the opportunity to make pick-up orders and pay for their favorite coffee from their phones. This decision might seem risky, however the company is aware of the difficulties that it might encounter by implementing this modality. According to the article “Starbucks Has Bigger Plans in Mobile Payments Than Most People Realize“, “the Coffee Company “has been testing the order-ahead process and conducting tests to determine how long it takes for different brews to cool”. Moreover, the company is considering letting their customers use the app to pay for goods in other partner stores.

I think this is a great idea to build customer loyalty because nowadays people are increasingly using mobile apps to purchase products and services. With this technology, customers will not have to wait anymore during busier hours. If the project works accordingly, the clientele will be happier and therefore, will be more willing to buy again. Additionally, being one of the few companies that offer this service, will attract more clients and differentiate the brand from other coffee stores. Having a point of difference will make the company stand out and reinforce the position that is has in the consumer’s mind.

References

del Rey, J. (2014). Starbucks has bigger plans in mobile payments than most people realize. Retrieved October 9, 2014, from http://recode.net/2014/07/17/starbucks-has-bigger-plans-in-mobile-payments-than-most-people-realize/

Starbucks. (2014). Image. Retrieved October 10, 2014, from http://www.starbucks.com/blogmedia/df312a67-02e2-4eee-a678-7bb5172707e1

Nowadays, more and more companies are committed to certain societal issues. As stated by the goodpurpose® study: “…values are the new currency; Purpose is the new paradigm”.

Companies such as Save on Meats shows its engagement with the community by contributing to various organizations such as Atira, PLEA, the Greater Vancouver Food Bank, the Vancouver Community College, the Developmental Disabilities Association and many others. Save On Meats’ philanthropic activities do not only involve providing free food, but also offering employment opportunities, giving free cooking classes and fundraising.

Abbott Laboratories, a healthcare company that owns brands such as Ensure, Glucerna and Similac, has a foundation that carries out several projects for the benefit of the community too, one of them is the Ultra Rice Nutrition Project. Working together with an international health organization (PATH), Abbott provides the rice consumer population in India with the nutrients they need.

Since “87% of global consumers believe business should place equal weight on societal issues and business issues” creating shared value should be a priority for every company. Moreover, contributing to the well-being of the community or the environment will bring many benefits to a company by attracting new potential customers.

References

(2014). Retrieved October 17, 2014, from http://www.abbottfund.org/

(2014). Retrieved October 17, 2014, from http://www.abbott.com/our-products.html

(2014). Retrieved October 17, 2014, from http://saveonmeats.ca/community-partners/

(2014). Retrieved October 18, 2014, from http://www.path.org

Blotter, J. (October 14,2014). Retrieved October 18, 2014, from  http://www.fastcoexist.com/3019856/10-ways-todays-purpose-driven-brands-can-bring-their-core-values-to-life

Graph. Retrieved October 18, 2014, from http://www.abbott.com/abbott-citizenship/upside-in-action/the-wonder-grain.html

Photograph. Retrieved October 18, 2014, from http://www.westender.com/news/save-on-meats-faces-multiple-lawsuits-1.1359477

The post ‘There will be no pipeline’ in The Vancouver Sun called my attention because something similar happens in my country , Ecuador. The article mentions a tension going on between Endbridge and the First Nations. The company is planning the construction of its Northern Gateway pipeline in 2015 to extract the oil from an area which is owned in part by the Yinka Dene Alliance. The group of six First Nations opposes to this project claiming that a spill would be a tragedy for their communities since most of their food comes from the Nak’al Koh River and that the waterways form an “important physical and spiritual presence.” Even if the project could benefit the community, the Nak’azdli think they should not risk their land.

In my opinion, companies should always respect and prioritize the well being of the society, they should not menace it. Even if the probabilities of a rupture is very small, the Yinka Dene Alliance is not happy with their project and Endbridge should now try to come to an agreement with them. Endbridge in this case, did not analyze carefully the externals factors before taking a decision and now their company may not be able to complete their project having wasted their money and time.

References

BlackburnNews.com. (2014, October 10). [Photograph]. Retrieved from http://blackburnnews.com/sarnia/sarnia-news/2014/10/10/enbridge-pipeline-setback/

Hoekstra, G. (2014, August 16). There will be no pipeline. Retrieved October 5, 2014, from http://www.vancouversun.com/news/There+will+pipeline/10122968/story.html

St. John’s Cathedral. (2012, May). [Photograph]. Retrieved from http://http://stjohnscathedral.files.wordpress.com/2012/05/yinka-dene.png

http://blogs.ubc.ca/reemabhide/2014/09/10/nestle-extracting-b-c-s-drinking-water-for-free/

In her article “Nestlé extracting B.C.’s drinking water for free“, criticizes the fact that Nestlé does not have to pay for the water they take from the ground while the customers are charged $1.19. I totally agree with her  in the fact that the company should not only focus on making more profit but should also think about all the stockholders, including the community.

But, how can the company care about the community if there is not any regulation that protects them? The company should just charge the customers for the cost that the company faces during the extraction of water, costs such as  machinery, employees,  administrative expenses and many others. As stated by Reema, it is unfair for the District of Hope to pay that price.

If there was a law, the company would pay for the water they extract just as it happens in some places in Ontario. However, this money would go to the government and therefore would not benefit the consumers because the price of the product would not decrease. In my opinion the most effective solution  would be that the government and Nestlé came to an agreement to decrease the price of the water that belongs to the community. As my classmate said, it is not ethical from the company to do this and I think that some actions should be taken inmeadiatly.

References

Bhide, R. (2014, September 10). “Nestlé extracting B.C.’s drinking water for free” | Reema Bhide’s Blog [Web log post]. Retrieved from http://blogs.ubc.ca/reemabhide/2014/09/10/nestle-extracting-b-c-s-drinking-water-for-free/

Fumano, D. (2013, August 14). ‘Wild West’ of groundwater: Billion-dollar Nestlé extracting B.C.’s drinking water for free – Local – Times Colonist. Retrieved October 4, 2014, from http://www.timescolonist.com/news/local/wild-west-of-groundwater-billion-dollar-nestl%C3%A9-extracting-b-c-s-drinking-water-for-free-1.587568

[Graph]. (2014). Retrieved from http://eraoftechnology.wordpress.com/2014/03/15/over-inflating-your-opinion/

According to an article from The Globe and Mail: “From healthy fries to Segways: Why most products fail” around seventy percent of new products are not successful and not having a good marketing strategy might be one of the reasons.

The objective of a marketing strategy is not only to increase sales but to differentiate the brand from competitors. In order to do it, an analysis of the internal and external factors should be done. However, some companies do not do it carefully and fail. An example given in the article is the New Coke.

By 1985, Coca Cola Company already had its position but Pepsi was becoming first in the consumer’s mind. To avoid this the company took a risky decision, they reformulated their recipe and named it the New Coke.

The decision made some people began to panic, the company did not think about the strong bond that some customers had with the brand. In the article “The real history of New Coke” says that “A man in San Antonio, Texas, drove to a local bottler and bought $1,000 worth of Coca-Cola”. The consumers wanted the “old coke” so Coca Cola Company brought the Coca Cola “Classic” back to shelves.

Even if the New Coke was not successful it helped the company realize that Coca Cola had a very strong position in the consumer’s mind when their customers began to protest the CEO’s decision. The change of the 99 years old formula also proves that as stated by Al Ries and Trout it is very difficult to change the customer’s impression once it is formed and that it is better to introduce more brands rather than replace an existing one.
 

References

[Photograph]. (2013). Retrieved from http://www.retronaut.com/wp-content/uploads/2013/03/221.jpg

Conversations Staff. (2012, November 14). The Real Story of New Coke: The Coca-Cola Company. Retrieved September 28, 2014, from http://www.coca-colacompany.com/history/the-real-story-of-new-coke

Quick MBA. (n.d.). Product Positioning. Retrieved September 28, 2014, from http://www.quickmba.com/marketing/ries-trout/positioning/

THE GLOBE AND MAIL. (2014, September 18). From healthy fries to segways: Why most products fail – The Globe and Mail. Retrieved September 28, 2014, from http://www.theglobeandmail.com/report-on-business/industry-news/marketing/burger-kings-failed-healthy-fries-campaign-not-unexpected/article20680200/

There are many reasons to return a product: the product did not work, it differs from listings, missing parts, etcetera. In these cases, the company can at least improve their services to avoid returns, but these reasons are not always rational.

The article “4 Data-Driven Tips To Optimize Your Return Policy For The Holidays” gives us some examples: some customers order items to wear once and return them, others want to try them on without any intention of keeping them and others try different sizes and colors to pick their favorite. Not surprisingly, according to a Custora’s data analysis these customers have the highest likelihood to return items purchased online.

The problem of this returns is that is expensive for the companies to handle with them. The publication “Returns a 10 billion pain” says that returns “add up to a $10-billion-a-year headache for Canadian merchants, and the problem is only getting worse”. So why would a company have return policies if it costs them money? To build customer relationships. Many shoppers will be attracted to a specific company just because of their return policies and the facilities to return the product. They will be more willing to buy if they know that returning an item is quick and cheap, and they could become loyal customers.

Therefore making it easier for clients to return items and offering them liberal policies can increase a company’s sells. This is why improving this service is very important. Sears for example, will offer a new service in which Customers will be able to choose and pay for products online and pick them up at the store without getting out of the car, and make returns in the same way.

References

[Photograph]. (2013). Retrieved from http://www.shopify.com/blog/4767512-9-tips-on-creating-an-ecommerce-return-policy

Elkind, J. (2014, September 24). 4 Data-Driven Tips To Optimize Your Return Policy For The Holidays. Retrieved September 28, 2014, from http://marketingland.com/4-data-driven-tips-optimizing-return-policy-drive-holiday-growth-101011

Okerlund, K. (2014, April 10). Top 10 Reasons for a Product Return. Retrieved September 28, 2014, from http://www.chargeback.com/blog/top-10-reasons-for-a-product-return

Strauss M. (2006, November 22). Log In – ProQuest. Retrieved September 28, 2014, from http://search.proquest.com/docview/387272359/fulltext?accountid=14656

Tuttle, B. (2014, September 18). Sears Lets Shoppers Do Returns, Exchanges Outside Stores in Their Cars. Retrieved September 28, 2014, from http://time.com/money/3398578/sears-returns-customer-service/

CVS announced that it will stop selling cigarettes and other related products which will reduce their sales by 2 billion dollars. This decision was supposed to be made in order to reduce the availability of cigarettes and therefore their consumption, making a great contribution to society.

We might think that this decision is for the benefit of the community only and we might assume that the company is not socially responsible since is not acting to increase its profits (according to Freedman’s definition). However, the company’s resolution is not as philanthropic as it appears. CVS is planning to provide new products and services such as smoking cessation programs and insurance plans so they will increase their revenue.

However, this innovative idea could not benefit every stockholder (financiers, employees, customers, etc.). CVS has about 26000 pharmacists and nurses that control chronicle illnesses that are related to smoking. So, if people stop smoking, they will not need the employee’s services anymore once the treatment is finished. This will possibly cause staff cutbacks and the company sooner or later will possibly go into decline. If this happened, the manager would have failed trying to find the entrance for all the stockholders.

References

Strom, Stephanie. “CVS Vows to Quit Selling Tobbaco Products.” 
The New York Times 5 February 2014: 1. The New York Times. 10 September 2104 http://www.nytimes.com/2014/02/06/business/cvs-plans-to-end-sales-of-tobacco-products-by-october.html?_r=0.

Zimmerli, Walther Holzinger, Markus Richter, Klaus. “The Social Responsability of Business Is to Increase Its Profits.” 
Corporate Ethics and Corporate GovernanceJanuary 2007: 173-178. Proquest Ebrary. 10 September 2014 http://site.ebrary.com/lib/ubc/reader.action?docID=10187339&page=171.

Freeman, Edward. “What Is Stakeholder Theory?. ” You Tube. 01 October 2009. You Tube. 10 September 2014 http://www.youtube.com/watch?v=bIRUaLcvPe8.

[Graph]. (2013). Retrieved from http://www.hartinmedia.com/what-are-the-benefits-of-csr/

[Photograph]. (2010). Retrieved from http://moneysavingmom.com/2010/06/cvs-deals-for-the-week-of-june-6-13-2010.html