Apple launched its new line of products with highly expected 5S. But what came as a surprise was the fact that they had also launched iPhone 5C. The difference between iPhone 5S and 5C are many, but the most significant of all is the price.This is a surprising move as Apple has made a shift in its business strategy and started targeting broader customer audience.

The brand positioning of Apple can be best described as being “refined”. Apple has its products design minimalistic, and essentially removing the stereotype of electronic devices being bulky and insipid. Naturally, these differnetiated products were priced relatively higher to other products. Nonetheless, the fact that Apple has decided to launch a cheaper alternative to its product sheds the light that Apple is trying to expand its customer base and branch out to the public. In other words, it is trying to make a move in to the “low cost” area from its “product uniqueness” grid of Porter’s Generic Strategy table.

One blog writer states in his blog that Apple’s move was a very poor one, as it completely defies Apple’s high-end image. Apple’s new line-up of 5Cs are not selling as much as expected and this is perhaps just an omen of more bad news to come.

(image from http://www.nytimes.com/2013/09/11/technology/apple-shows-off-2-new-iphones-one-a-lower-cost-model.html)

CHEN, B. (2013, September 10). Apple unveils faster iphone, and a cheaper one, too. Retrieved from http://www.nytimes.com/2013/09/11/technology/apple-shows-off-2-new-iphones-one-a-lower-cost-model.html

Bill Gates has been reported of having donated $750 million (US Dollars) to fight AIDS, TB and malaria. This act of donation comes to show how wonderful, caring and loving man Bill Gates is, but is this all there is to it? By donating a huge amount of money, Bill Gates can win the attention of the public and get free advertisement. In fact, it is a great move as a marketing strategy, although quite costly. Nonetheless, the amount of the donation is only a small portion of money he has earned. So in that sense, a huge amount of money for us may not be much to Gates. Also, whether Gates has intended it as a marketing move or not, he had to invest certain amount of money into it regardless. The blog posted in Computer World states that his donations were his application of return on investment analysis to philanthropy. But in the end, nobody knows what his real aim is behind the donation. Then, let us retain faith in humanity by believing in the good.

(Image from http://www.cnn.com/2012/01/26/health/switzerland-gates-donation/)

Chapple, I. (2012, January 26). Gates donates $750 million to fight aids, tb and malaria. Retrieved from http://www.cnn.com/2012/01/26/health/switzerland-gates-donation/

Many large firms do or pretend to carry a shared value in its business model whether as a part of its responsibility to contribute to the society or as a part of its marketing campaigns. The article on Timberland’s attempt to show its opposition to child labor and its effort to improve work conditions of the employees appears to be the latter case. The way Timberland did so was by enabling local cluster development. Timberland worked outside of its firm to provide secure environment work space for its employees by having the All-China Women’s Federation to provide daycare service and education for its employees’ children. In India, the firm invested money on water projects so that not only its workers, but also other people in the city could have fresh, clean water supplied.

Timberland made a great move of having its shared value known to the world through this strategy. The return may not be so evident in the short-run, but the company’s shared value will certainly differentiate it from other shoe manufacturers. Customers will be assured that their shoes are made by the firm that “cares”. Also, assisting with the improvements of life standards of the workers will certainly  bring long-term returns to the company.

One of the blogs I found discussed about Timberland’s sustainability project of planting two million trees in Haiti. This blog post just comes to show how both Timberland’s brand positioning as a eco-friendly firm and its marketing strategy are working.

(image from http://www.theguardian.com/sustainable-business/timberland-better-life-factory-workers-children)

Kaye, L. (2012 , July 5). How timberland is building a better life for factory workers’ children. Retrieved from http://www.theguardian.com/sustainable-business/timberland-better-life-factory-workers-children

I found this interesting article discussing the value of time in financial aspect. It discusses how our every action is costing us money or sometimes earning it. This article is directly tied into the notion of time value of money, and I must say that this article is oversimplifying the matter.

Of course, our every action can be calculated in the form of numbers, but we must remember that they also possess intangible value. Although the article discusses how brushing your teeth costs $1.22 (Australian Dollars) and boiling and eggs costs $,2.33 it does not take into account of its future value. For instance, the cost of brushing your teeth is a minuscule amount compared to what you must have paid once your had gone rotten. Also, apart from its financial value, the act of brushing your teeth will help you maintain your oral health and have positive, psychological effect on you. Thus, even though the article argues that time is money and thus time must not be wasted, it is premature to determine if certain action (or cost) is worth it before figuring out its future value. Jim Lorenzen has also written a blog post on the time value of money. He also agrees that figuring out the value of time is important before making decisions.

(image from http://www.thelivingwine.com/blog/whats-the-right-way-to-brush-your-teeth/)

Padley, M. (2013, June 26). Cost of a cold one can really burn. Retrieved from http://www.smh.com.au/money/planning/cost-of-a-cold-one-can-really-burn-20130625-2otfw.html

Reward systems are imperative for companies to motivate their employees and ultimately drive the company forward. They often focus us promising promotions, increasing salaries and recognizing their works one way or other. However, Google takes a different approach. They provide a cafeteria with free gourmet food and snacks to its employees.

This reward system sounds bizarre in the beginning, as employees are being rewarded with or without making an achievement. They are simply being rewarded just for going to work. However, this kind of reward system may actually be the real motivators of the workers. This unconditional care towards its employees not only move the employees, but also ultimately nurture them. What we notice in many successful companies is that its employees like what they do and are passionate about it. In other words, rewards such as promotions and salaries come second in their priority list. Then, why is Google adopting such reward system? The reason is that having the unconditional reward system of providing a cafeteria and free food will provide employees with comfortable working space that they can grow fond of. It is to aid them in liking what they do and liking where they work rather than luring them to work.

As this blog suggests the goal of Google is to “explain to the employee why he or she is valuable, and to select rewards that are thoughtful”.

(image from http://www.businessinsider.com/google-employee-favorite-perks-2013-3)

Business Insider. (n.d.). Google employees reveal their favorite perks working for the company. Retrieved from http://www.businessinsider.com/google-employee-favorite-perks-2013-3

I recently read this article on Forbes on the five things the best managers do and don’t do. The article by Harvard Business Review (HBR) lists various factors such as being broad-minded and diplomatic, but I noticed that this article conflicted with the article we read as a class on what makes a good manager. The latter article lists that the need for power is what ultimately makes a good manager rather than the need for achievement. However, the former article states that both factors, the need for power and achievement, must be emphasized.

I would personally like to believe the notion Forbes article came up with, that the good mangers are driven by hunger for power and achievement. Nonetheless, this sounds to be too idealistic at the same time. Of course, it would be splendid for managers to have both of the characteristics, but it will eventually come down to one factor gradually outweighing the other. Then, recalling the HBR article, it will be the manager with the need for power that will be remembered as a good manager. As we are considering what makes a good manager not an ideal manager, it is ultimately power that drives one and his firm forward.

(Image from http://www.forbes.com/sites/victorlipman/2013/09/09/5-things-the-best-managers-do-and-dont-do/)

Lipman, V. (2013, September 9). 5 things the best managers do and don’t do. Retrieved from http://www.forbes.com/sites/victorlipman/2013/09/09/5-things-the-best-managers-do-and-dont-do/

Scott Cook–the co-founder of a newly rising tech company, Intuit–redefines the lean start-up strategy by stating that this strategy is not only for start-up companies. The aforementioned strategy places emphasis on communication with the potential customers and experimentation involving trial and error of the product/service. The strategy is originally outlined for companies newly entering the market, but Cook claims his firm made successive gains from following this strategy even when it had already become successful.

Cook is absolutely right for stating that lean start-up is a versatile strategy that can be utilized even by firms that are already well on its way. The benefit of using the strategy is that the firm can minimize risks by being attentive to customer’s needs. This benefit is a factor all companies desire whether a start-up firm or not. In that sense, starting and maintaining a successful business is essentially the same; we all want to minimize risks for a bigger gain. Although the Harvard magazine article mainly regards this strategy to be intended for start-up companies, it is imperative to revise our preconception of the strategy for even successful companies fear risks.

(Image from http://lean.st/)

Nobel, C. (2013, February 25). Lean startup strategy not just for startups. Retrieved from http://www.forbes.com/sites/hbsworkingknowledge/2013/02/25/lean-startup-strategy-not-just-for-startups/