The Downside of Really Awesome Headquarters
The “Living Room” at Zynga’s SF Headquarters
Our discussion on the benefits of fostering a positive organizational culture through unconventional workspaces made me want to search and see if other companies were doing what Zappos and Google are. I found this article about Zynga, maker of many of the games featured on Facebook. They offer all the benefits and comforts of home including prepared food and lots of play time. Research shows a clear correlation between a positive culture and stimulating environment and increased employee productivity.
But is this even what employees want?
Employers are trying to encourage workers to stay longer and to incorporate their job into more aspects of their life. Sure it’s great that some companies now provide benefits like free gyms and even places to sleep. But has anyone stopped to analyze the effect of all this on the employee? Their lives become centered around their work, they don’t go home more often and their is no true chance to escape the work environment. One might ask why you’d want to escape such a great environment but “work” and “life” should still be kept very separate, in my opinion. Organizations should be hesitant to fully adopt this approach before understanding the full effects.
Sources
Image from Zynga Inc. at http://company.zynga.com/news/company-images
“What You Can Learn From Zynga’s Cool Company Culture” by Kate Freeman. Retrieved from http://mashable.com/2012/05/20/zynga-office-perks/
Google+ gets a C-
Google rarely fails at anything.
They’ve successfully expanded from a search engine to a corporation that is seemingly entrenched in every corner of our lives. But Google does have one project that isn’t a success right out of the gate: Google+. The service has been discussed a lot recently because of Google’s revamping of the notorious YouTube comments section that now forces YouTube account holders to make a linked Google+ account.
I can honestly say that none of my friends use Google+ (unless bound by rules like the above). And this is precisely why I don’t use it. If it’s a social networking site, then why isn’t my social network on there? If Google+ wants to compete with Facebook and Tumblr then it should have followed their example and first appealed to a niche market. Facebook was originally for elite college students. The “elite” factor made everyone else want to join. And when everyone and their cat joined, the new crop of cool kids moved onto Tumblr, whose attraction might be waning as Yahoo! takes over and companies swarm to self-promote on the site.
The lesson for Google here is that when it comes to social media, people seem to prefer what looks like organic growth spread by word-of-mouth over what looks like a hostile corporate takeover.
Source: “Why Google+ is Failing” by Rodney Brazeau
Lighting Up Africa
Though some people still believe Africans to be destitute people living without running water and electricity in huts, this is simply not true. But during my family’s trip to Nigeria last year, it was clear that the nation did have an energy problem. Though estimates vary wildly, more people live in the former capital Lagos than in New York which makes it very difficult for the Power Authority to provide electricity to every home. As a result, rolling blackouts happen so frequently that most people just use a backup generator. But in my experience, these generators smelled terribly, were heavy, extremely noisy and clearly polluting the environment.
Enter Power for Africa, a company that is trying to change this reality. You can check out their website here. They sell the Solar2Africa400® solar-powered portable generator that can be set up quickly and easily.
All that’s included in the Solar2Africa Package
Products like these demonstrate the power of social entrepreneurship; this generator has the potential to change the lives of hundreds of millions of people. Africa is the “last frontier” in business — I’m excited to see the day she moves past her biggest obstacles and can fiercely compete on the world stage.
Source: powerforafrica.com
Do you Want Shoes with That?
According to blogger Jason Del Rey, H&M and Zara are to haute couture as to what Triple O’s tries to be to fine dining: cheaper but still high-quality alternatives that get you the product faster and more conveniently.
First consumers wanted fast food and now we have fast fashion, where JustFab is charging ahead, mostly uncontested, in the shoe market. I think it’s obvious why they’re successful . It takes much less time and energy to buy shoes online than it does to pick them out in person.
But this isn’t a unique service. You can buy shoes online in many other places and for cheaper too. What is unique –and controversial– is their subscription policy where customers are automatically charged $39.95/month for a pair of shoes. A subscription is genius because it reminds the customer every month and keeps them coming back while the buying process is made easier with the “personalized boutique” that shows products the customer will likely prefer.
JustFab is merely taking advantage of the trend towards faster living — consumers want what they want and they want it now. In the future, will we want to buy homes online? Or Completely shift to opensource online university education?I just wonder what entrepreneurs will speed up next.
Sources
Jason Del Rey – “Is JustFab the Next H&M, or Direct-Marketing Black Magic?” (http://allthingsd.com/20130923/is-justfab-the-next-hm-or-direct-marketing-black-magic/)
JustFab.ca (http://www.justfab.ca/how-justfab-works.htm)
All Brand New
Just like my classmate Natasha mentioned in her blog, it seems that nowadays getting ahead in business is all about being different and not necessarily being better. I agree with her on the point that brand image has become even more important lately in an age where image is all about being first on the scene. People pay more attention to who is innovating, especially in the technology sector.
Take, Hewlett-Packard for example. I’m sure their PCs haven’t gotten any worse since they started making them, yet their name doesn’t even come up when you’re talking about the top tech movers-and-shakers. Whose names do come up? Google & Apple.
Apple didn’t invent the PC obviously, but they made it cool. While Microsoft and HP were waxing on about functionality, Apple created products designed like no one had ever seen. And everyone hurried to catch up.
- This is exactly the problem.
Unless HP starts reallocating funds back into R&D and either produces something new or puts a shiny, new exterior on something old, then they’ll forever be playing catch up. The game isn’t about functionality anymore; you can buy a decent laptop/tablet/PC anywhere. I truly believe that quality isn’t as much a point of difference with average tech consumers anymore. They just want something new and different that’ll make them stand out, which explains why people will buy generations of products when there’s little functional difference between them.
Image from Syracuse.com at http://blog.syracuse.com/technofile/2007/08/why_apple_isnt_worried_about_h.html
Why Marketing Isn’t Always About You
First, watch this Budweiser ad:
Touching, right?
Scott Stratten discusses the brilliance of this ad on his blog, UnMarketing. This post is incredibly useful because it demonstrates an important rule of marketing that Cole Nakatani explained in class on November 12: When marketing your company, focus on the WHY and not the WHAT.
Why does your company make this product/offer this service? Because people need to know what your values are to form a connection. Stratten’s post highlights why Budweiser resounded more with consumers than any other beer company could simply by showing that they’re a brand of the people. They made it seem like the “Big Game” was just as important to them as they knew it is to millions of Canadian hockey fans. The crucial part of this advertisement was the fact that it wasn’t even about Budweiser; they didn’t ask you to buy their product, they simply unfurled the banners and let their name speak for itself.
Total World Domination: How A Different Kind of Invisible Hand is Running Our Economies
My classmate Cherry Chang wrote an enlightening piece on the ethical issues regarding designer Kenneth Cole’s capitalization on the Syrian Civil War. Her discussion of the profitability of disaster reminded me of a book I once picked up: The Shock Doctrine .
In it, Klein explains how she believes that governments (especially America’s) have long been using disasters (real or invented) to push through controversial policies and/or spread capitalism while citizens are still shocked by the crisis. The name for this method: Disaster Capitalism. The strongest case for her beliefs is The Iraq War where “at the most chaotic juncture in Iraq’s civil war, a new law is unveiled that would allow Shell and BP to claim the country’s vast oil reserves…. Immediately following September 11, the Bush Administration quietly out-sources the running of the “War on Terror” to Halliburton and Blackwater”. If true (and I personally think it is), this method shakes the commonly-held belief that free-market economies have triumphed because they are simply better; instead it would appear that our beloved capitalism needed a little help from some disastrous friends. Now I wonder, what would the world’s economies look like if it weren’t for the American government’s employment of shock doctrine tactics?
If the USA were a corporation, I would recommend that they re-evaluate their aggressive marketing strategy for their product, capitalism, before consumers are completely turned off and potential trading partners are scared away.
Sources:
Klein, Naomi. The Shock Doctrine: The Rise of Disaster Capitalism. London: Penguin, 2008. Print.
https://blogs.ubc.ca/cherrychang/2013/09/11/blog-1-business-ethics-using-disaster-to-sell/
SECULAR SOCIETY: The High Cost of Implementing Quebec’s Charter of Values
A certain controversial charter has recently ignited national debate on religious tolerance in Canada. The Charter of Quebec Values seeks to prohibit public employees from wearing any religious attire like turbans and hijabs. Though most talk concerning the subject has centred on the blatant discrimination and social impact of the proposal, I have wondered what the economic effects would be.
A Cartoonist’s Take on the Economic Impact of The Charter
And I’m clearly not the only one. Canadian Business magazine conducted a poll to determine how Canadians would react to implementation of the Charter. Of the 49% who felt they would be affected, only 11% said they would comply willingly. This spells big trouble for Quebec employers; trouble that their economy really can’t afford. It may be the intention of Mme. Marois’ government to preserve the state’s secularity, but this may come at the cost of alienating immigrants and visible minorities who will gladly take their skills elsewhere. According to Supriya Dwivedi, the province which already “struggles to retain its immigrants, would […] face an even greater exodus of workers” if the Charter passes.” One would think that the PQ would have thought about all this before, but perhaps the economic cost of placating an alarmingly minority doesn’t seem too high to them.
Sources: Evans. “Charter of Quebec Values; A Graphic Guide.” Cartoon. Northeastnews.ca. Northeast News, 18 Sept. 2013. Web. 6 Oct. 2013. <http://www.northeastnews.ca/charter-of-quebec-values/>. Melanson, Trevor. “If Quebec Charter Passes, Employees More Likely to Fight Back than Cave: Poll.” Canadian Business. Rogers Communications, 20 Sept. 2013. Web. 6 Oct. 2013. <http://www.canadianbusiness.com/economy/if-quebec-charter-passes-employees-more-likely-to-fight-back-than-cave-poll/>.
Words: 200
Whose Job Is it Anyways?
This is how Cenovus Energy, an oil company operating in Alberta wants consumers to see the oil sands:
The Greener Side of The Oil Sands
And this is apparently how singer Neil Young sees them:
Nevada Nuclear Test Site. – This is what a real ‘wasteland’ looks like.
Young recently said that “Fort McMurray looks like Hiroshima. Fort McMurray is a wasteland”.*
Statements like these are exactly the kind of publicity Cenovus does not want. With the green movement moving us towards sustainable living and cleaner, more efficient technologies, the reputation of the Alberta tar sands is being heavily soiled. As an Albertan, I support the oil sands industry. I see its positive impact on our economy. I also truly believe that “Big Oil” is trying to clean up its act, if only for the sake of good press.
But is it even their job to do so?
We all reap the rewards of these operations, citizens and government alike. So why is it not the government’s responsibility to ensure revitalization? Friedman stated that corporations cannot have “social responsibilities” because the executive is accountable to only his employers and employees. The government is supposed to protect and represent the will of the people. Though it is the ethical thing to do, in my opinion, it really isn’t the company’s job to clean up after themselves. But it is beneficial to everyone that they do.
*”Neil Young Calls Fort McMurray Oilsands ‘a Wasteland'” CBC.ca. CBC News, 10 Sept. 2013. Web. 11 Sept. 2013.
Other Sources:
“The Social Responsibility of Business is to Increase Profits”. Milton Friedman
Top image from Cenovus Energy, Bottom image is of the Sedan Crater
Why Ethical Business Is Our Business
In light of recent events and our class discussion on ethics, I’m reminded that people sometimes have a certain perception of business students. We’re greedy, or uncaring about social issues. Yet, while reading articles about the Sauder Frosh incident, I noticed many comments about how disappointing it is that our ‘nation’s future leaders’ would supposedly participate in such behaviour. One commentator referred to us as “Captains of Industry”. It didn’t dawn on me until then that despite the stereotyping, people still expect leadership not only from Sauder grads but from the entire business world. Why? Well, I guess when you’re in an industry that affects literally everyone, people look to you to keep to moral standards. This is why it is very important for business schools to continue to put an emphasis on ethical business practices. Another commentator on HuffPost stated that “all that’s wrong with the business culture in Canada is summed up with the statement that the Honour Code will, “help Sauder students represent the brand well in the business community…”.” and that we’re in “big trouble” if students aren’t instead well grounded in ethics and values. Perhaps we can repair the brand by worrying less about it and more about the character of the students representing it.