28 Ocak 2010 Perşembe

Gazeteler için yeni gelir kaynağı : uygulamalar

Çağan Çağlar'dan:

Gazete tirajları ve gelirleri son 10 yılın en büyük çözümsüz sorularından birisi. Azalan tiraj ve gelirler karşısında gazete firmaları ücretli içerik yolunu (paid content)zorlayan stratejiler geliştiriyorlar birbiri ardına.

Kullanıcıların ise yorumu çok net; Ücretsiz başka yerde bulabildiğim içeriğe neden para vereyim ki?

Ücretli sunulacak içeriğe verilecek ekstralar ise kaynak gücü v.s. gösterilerek hep kısıtlanıyor nedense. Bu konudaki en güzel örnek Financial Times'dan. Bir biri ardına geliştirdikleri uygulamalar ile ücretli aboneliği sonuna kadar zorlayacaklar görünüyor.

Kullanıcılardan sadece internet için para almayı düşünmek te çok mantıklı değil. Apple sayesinde mobil kullanıcılar itunes'a zaten para ödemeye alıştılar. En çok indirilen ücretli uygulamalar oyunlar olsa da gazete haberleri, çeşitli mobil fonksiyonlar sunan uygulamalar da başı çekiyor.



En iyi ücretli örneklerden biri Guardian'a ait aplikasyon. Marka, Iphone uygulamalarının 70 bine yakın indirildiği haberini kendi teknoloji blog'unda 'Uygulama 2.39 Paund olmasına rağmen, bu başarı Iphone kullanıcılarının ödeme yapmaya istekli olduklarını göstermektedir' sözleri ile anons etti.

Kullanıcıların başka hiç bir yerde bulamayacakları bir 'hizmet' para almanın tek yolu.

Ama endüstri para bulmaya çalışmaktan, bu 'hizmetin' ne olabileceğini düşünmeye pek vakit ayıramıyor gibi...

'Markalı' içerik hiç bir zaman ölmez, ölmeyecek te. Ama formatta değiştirecek.. Okur ve kullanıcıların ihtiyaçlarının nereye, ne şekilde kaydığını takip eden, ve buna yönelik hızlı aksiyon alanlar da kazanacak.

Kazananın kimler olacağını da hep beraber 2010'lu yıllarda göreceğiz.

Thinking Big: How the Creative Class Is Changing Business

From the Creative Class:

by Steven Pedigo

lightbulb
Richard recently appeared on Big Think to share his ideas on how the Creative Class is impacting the way businesses think.
Now more than ever, companies need unconventional thinking to work within the new rules set by the economic recession. Richard Florida has persuasively demonstrated how artists, scientists, engineers, writers, musicians and more can revitalize an entire city from urban decay. With today’s companies dealing with a deep recession, what can members of the Creative Class do for businesses?"

What should we rename ‘FP8′?

From Gary Finnegan (Blogactiv):

“What’s in a name? That which we call a rose
By any other name would smell as sweet.”

- William Shakespeare


EU officials are toying with the idea of renaming Europe’s Framework Programme for Research and Technological Development. At present, the seventh framework programme (FP7) is under review and governments are already jockeying for position in the battle for funding that will precede the launch of ‘FP8′.

The idea of renaming FP8 should be welcomed given its potential to improve public understanding of what the EU does in terms of its multi-billion euro support for research. 

The move should also be welcomed by looking to improve SME involvement in the framework programmes. The trouble with the rather lengthy current title is that so few European citizens know what it it’s all about.
Imagine the framework programme were a product given to marketeers and brand managers to sell to the public. They would surely have come up with something shorter than the Framework Programme for Research and Technozzzzz…..

And they would have avoided adding yet another acronym to the alphabet soup of European science jargon. Who needs the FP8 when we already have ERA, ERAB, REA, ESF, COST, EIT, and KICs?

So. What should it be called? 

Well, it has to be short, simple and, ideally, work in several langauges. At the very least it should translate readily or use familiar terminology.

One sugguestion might have been to go for something like Euroscience - but this is already taken.
You might prefer Euroresearch or Euroinnovation, although those are (a) not as linguistically universal and (b) not strictly accurate since the focus is on science and research rather than specifically on innovation.

How about SciFund? Or ResFund?

“Have you put in your SciFund grant application?”

Works for me.

Let us know what you think…

Unlocking Creativity

From Idea Connection:

If knowledge is the mind of the Talent Age, creativity is its heartbeat.

27 Ocak 2010 Çarşamba

A Transatlantic Innovation Dialogue

From the EU:

A recent initiative between the EU and the US is to start a Transatlantic Innovation Dialogue as part of the Transatlantic Economic Council. This Council works on better mutual recognition of existing regulation. But the new emphasis is on future Innovations - such as electric cars, smart grids, eco-efficient or nanotech-based products - which will [...]

Bill Gates says innovation can leverage change

From MSNBC Innovation:

In this file photo, Microsoft co-founder Bill Gates makes remarks at the National Conference of State Legislatures heldJuly 21, 2009 at the Pennsylvania Convention Center in Philadelphia. The needs of the poor are greater than the money available to help them, but that's not enough to discourage Bill Gates in his work as co-chair of the world's largest charitable foundation.

2010: The Year of Innovation

From Schumpeter's Century:

Thomas Friedman issues the call, which should be shouted from the rooftops (NYT):
What the country needs most now is not more government stimulus, but more stimulation. We need to get millions of American kids, not just the geniuses, excited about innovation and entrepreneurship again. We need to make 2010 what Obama should have made 2009: the year of innovation, the year of making our pie bigger, the year of “Start-Up America.

15 Ocak 2010 Cuma

"VALLEY OF THE WOLVES"- ISRAEL

Fron Deniz Tansi International:

Series of the Valley of the Wolves become a 'decoder' for Turkish viewers since 2003. Serie which is called by her fans as 'valley' completed the 7th year and reached to the international format with Valley of the Wolves Iraq. Serie applicated Ergenekon case's PR from 2007 reluctantly. Valley of the Wolves Iraq emphasized regional peoples' fraternity against US invasion in the context of Islamic sensitivities and Ottoman past. In spite of Ottoman approach, Turkishness was considered as a founder element. Meanwhile serie's heroic character Polat Alemdar took the revenge from US commander who was put sacks on Turkish officers heads in Erbil.
Valley of the Wolves Gladio recently tried to show that NATO's Cold War network which was called Gladio in Italy and Turkish branch was named as 'counterinsurgency' still continues. İskender Büyük character was evaluated as a composition about Turkish agents situation, why they call themselves as to serve Turkish state and nation but in fact to US and Israel.

Valley of the Wolves' advertorial was done in Valley of the Wolves Iraq. However, serie's producers announced that, the time is Valley of the Wolves Palestine's turn. It seems that, the new film guaranteed viewing records. Why in the last episode of the serie, Polat Alemdar impressed Israeli consulate, killed all Israel's security service agents and escaped his closest guy Memati Baş's son. According the serie's scenario, Israel didn't condemn Turkey because of child snatching. The serie's producers repeated their allegations from Valley of the Wolves Iraq related Israeli doctor's organ trade. According to valley's producers, Israeli media published these allegations.
When Polat Alemdar was killing the last Israeli agent in consulate, agents' blood bounced to Israeli flag. After the serie's last episode, Israel's deputy foreign minister Ayalon summoned Turkish ambassador Oğuz Çelikkol to his room in Knesset. He has invited Israeli press to his room and told them in Hebrew, 'look, he is sitting on the lower level from us, on the table only Israeli flag stands and we do not smile'. The behaviour was out of diplomatic kindness and was just like a child's attitude. In fact Israeli foreign minister and leader of Israel Beytinu Party, Avigdor Lieberman damages Israel's foreign policy not only related Turkey but also in many events and countries. But this situation is Israel's own problem.

Losing Turkey means 'strategic desolation' for Israel. On the other hand, Turkish-Israeli tension started with 'one minutes' crisis by Turkish PM Erdoğan. In the first year of the bilateral stress, reached worse point. In October 2009 drill crisis, after serie of Farewell crisis which concern Israeli soldiers as baby killer in Gaza operation deepened the crisis. And the serie was broadcasted in state run TV. (TRT)

Despite crisis, some positive steps were observed since Republic Day of Turkey. (October 29)Israeli trade minister Ben Eliezer attended Turkish embassy's reception in Tel Aviv. He has given messages as frankly. Ben Eliezer visited Turkey in November 2009. In December Turkish president Gül and Israeli president Peres met in Kopenhag during Climate Summit and peres repeated his invitation to Turkish president. After the summit, Turkey offcially invited Israeli defence minister and Labor Party's
leader Ehud Barak. The invitation was scheduled for January 17, 2010. However Valley of the Wolves Ambush broke the process. Aforementioned Ayalon's kindness risked Barak's scheduled visiting. Ayalon considered something about the behaviour, it was not agreed by Turkey. At last, Israeli PM Netenyahu intervened into the process. And he declared that, Ayalon apologised from Turkey. Turkey will evaulate the situation. Withdraw the ambassador from Israel is among the options.
Turkish PM aware of creating popularity in the Middle East with anti Israeli discourse. He is awarded by King Faisal prize by Saudi Arabia. But it must be understood that, foreign policy can be done with benefits not emotions.

Ayalon's inconsiderateness is the fact. But the situation must not be used an opportunity to legitimize of Neo Ottoman policies. Israel is US' strategic partner but also Saudi Arabia is one of the partner of US. It must not be forgotten that, Turkey is member of NATO and ally of USA.

There was an interesting incidence that Lebanon PM Hariri was in Turkey during 'lower sofa crisis' Hariri tries to cover Hizballah's political situation why the organization is one of the coalition partner in his cabinet. It means also to keep Iran's nuclear position why Hizballah is Iran sponsored militant organisation. But Hariri's bloc and Hizbalah's bloc were competitors in Lebanon elections. Hariri is a pro western Arab leader and closer with Saudi Arabia.

Series and films can create an illusion for Turkish foreign policy an even anti Israeli discourse could build a popularity for Turkish PM.
On the other hand Jordan, Lebanon (PM), Saudi Arabia and Egypt would not applicate anti Western approaches and not beliavable.

In the conclusion, like Israel and Saudi Arabia samples, each country has a different route to connect with US. Expectation from Turkish policy to get a balance with great powers (include Russia and China) and regional powers (include Israel,Iran, Saudi Arabia). It means to have connections with all parties. Why it is different from Cold War. And also Turkey's alliance to the West is essential with US and EU.

Through Arab countries facilitating to reach US patronage can be attractive with new Ottoman dreams for the current political spectrum in Turkey and can be gained new domestic political steps. Radical movements in Israeli cabinet can serve to the policy. But pro US Arab opening could conclude that, Turkey can be a further actor for Valley of the Wolves Iran.

New films' most important adventure can be realized in Kurdistan Regional Government's plato in Iraq.

14 Ocak 2010 Perşembe

EU innovation chief to leverage structural funds for research

From EurActive:

Europe's incoming innovation commissioner is pledging to tap the EU's structural funds to build research infrastructure and capacity. Máire Geoghegan-Quinn also revealed she would chair meetings of EU commissioners with responsibilities for innovation as part of her new 'cross-cutting' portfolio.

Does Entrepreneurship Education Lead to More Start-ups?

From Campus Entrepreneurship:

NO, according to a new study from the Kauffman Foundation (did you expect someone else to publish an entrepreneurship study? — yes, there is a monopoly in entrepreneurship research, but that is a discussion for another day).

The Venture Capital Blog at the WSJ highlights the research by Dane Stanler and Paul Kedrosky. They find that recessions, taxes, venture capital levels, and entrepreneurship education do little to affect new firm foundation. In fact, they found that during the period 1977-2005, start-up levels remained nearly constant (fluctuating between 3-6% a year). Here is a snippet from the WSJ:

Even entrepreneurship education and venture capital don’t seem to have a noticeable effect on start-up creation. The late 1970s to early 2000s “experienced a veritable explosion in efforts to promote and increase new-firm formation,” the authors write, pointing out that more than 2,000 universities offered entrepreneurship courses in 2005 compared with 200 in the late 1970s. At the same time, the amount of capital raised by venture firms rose to $100 billion in 2000 from $424 million in 1978, all the while the levels of start-up formation remained flat.

Awhile back we posted on the SBA study by Chad Moutray that found entrepreneurs are not business majors. This led to a paper by yours truly asking if all the money spent on entrepreneurship education was wasteful?

More questions: Are new firms the correct variable to measure? Are all start-ups equal? What about job creation? Is that really what we are after here? Or living standards and incomes? Lots more questions to be investigated surround entrepreneurship education and new venture creation. What are your thoughts on these studies?

13 Ocak 2010 Çarşamba

12 Trends to Watch in 2010

From EFF:

It's the dawn of a new year. From our perch on the frontier of electronic civil liberties, EFF has collected a list of a dozen important trends in law, technology and business that we think will play a significant role in shaping online rights in 2010.

In December, we'll revisit this post and see how it all worked out.

1. Attacks on Cryptography: New Avenues for Intercepting Communications

In 2010, several problems with cryptography implementations should come to the fore, showing that even encrypted communications aren't as safe as users expect. Two of the most significant problems we expect concern cellphone security and web browser security.

GSM, the technology that underpins most cellphone communications around the world, uses a deeply flawed security technology. In 2010, devices which intercept phone calls will get cheaper and cheaper. Expect to see public demonstrations of the ability to break GSM's encryption and intercept mobile phone calls. We hope that this will prompt the mobile phone industry to replace its obsolete systems with modern and easy-to-use cryptography.

SSL (in its newer versions known as TLS), the basic security technology of the world wide web, is exhibiting similarly severe flaws. Several powerful practical attacks against real-world SSL implementations were published in 2009; more problems and concerns will emerge throughout 2010. SSL security must be improved.

Despite flaws in how SSL is used, it's still the best system for web security around, and so it also needs to become more widely deployed. Google set a fantastic example this week when it set GMail to use SSL by default — in 2010 we hope to see other online service providers follow its example.

2. Books and Newspapers: .TXT is the new .MP3

Since 2000, the music industry has most spectacularly flailed (and failed) to combat the Net's effect on its business model. Their plans to sue, lock-up and lobby their way out of their problem did nothing to turn the clock back, but did cause serious damage to free speech, innovation and fair use.

These days, the book and newspaper industries are similarly mourning the Internet's effect on their bottom line. In 2009, Rupert Murdoch changed the tone of the debate when he called those who made fair use of his papers' content 'thieves'. We think 2010 and beyond will see others in the print world attempt to force that view, and break the fair use doctrine by lobbying to change accepted copyright law, challenging it in the courts, or by placing other pressures on intermediaries.

A cluster of similar battles around user control are also gathering around e-reader products like Kindle and Google Book Search, many of which rewrite the rules for book ownership and privacy wholesale.

So, in 2010, will the printed word step smartly into the digital future, or will it continue to stay stuck in the denial and bargaining phase that dominated digital music's lost decade?

3. Global Internet Censorship: The Battle for Legitimacy

For years, the obvious benefits of an uncensored Internet have kept advocates of Net blocking on the defensive. But new filtering initiatives in Australia and Europe combined with growing rhetoric around child protection, cybersecurity and IP enforcement means that blocking websites isn't just for authoritarian regimes any more.

That's not to say tyrants aren't paying close attention to the West's new censors. When democratic governments complain about Iran and China's net policing in 2010, expect defenses of 'we're only doing what everyone else does'.

2010 will see the publication of Access Controlled, a new book from the OpenNet Initiative chronicling the globalization of Internet censorship; we're excited to see it but concerned about the ways restrictions in different countries reinforce each other.

4. Hardware Hacking: Opening Closed Platforms and Devices

An increasingly active hobbyist community is figuring out how to make a range of devices more useful and open. They are learning how to install new software or make third-party parts, devices, and services work with proprietary high-tech products like video game consoles, printers, portable audio players, home entertainment devices, e-book readers, mobile phones, digital cameras, and even programmable calculators. And, oh yes, contending with restrictions on both cars and garage doors.

Frequently, indignant manufacturers are threatening these tinkerers with legal troubles. Often, these threats are legally baseless — but this hasn't stopped manufacturers from bullying hobbyists into keeping quiet about their innovations.

It confirms the prediction that EFF board member Ed Felten made in 2006: that the rationale offered for 'Digital Rights Management' was shifting away from hard-to-defend claims that DRM could stop copyright infringement, and toward uses of DRM to control the functionality of objects in general (often in ways only tenuously connected to copying anything).

In 2009, EFF asked the Copyright Office to protect hobbyists who unlock and jailbreak their smartphones, and we stood up for developers who figured out how to load new operating systems onto TI programmable calculators. EFF's panel of judges also chose to honor Limor Fried of Adafruit Industries with a Pioneer Award in part to encourage the hardware hacking community to continue their good work.

In 2010, phone jailbreaking will become even more mainstream, and the concept will be routinely applied to other sorts of devices. EFF's Coders Rights Project will have no shortage of work to do defending users and developers who want to make their hardware do more than it was designed for.

5. Location Privacy: Tracking Beacons in Your Pocket

It's easier and cheaper than ever for computers to keep track of where you are: there are so many more potential sources of information about your whereabouts, and so many reasons it might be useful or interesting to you, your friends, your boss, or the government.

EFF has fought for location privacy rights, including checks on the government's ability to use your cell phone to find you and to access the information that social networks, mobile operators, and transportation systems collect about where you are and where you travel.

In 2010, awareness of location privacy as an issue will enter the mainstream in the U.S. as a critical mass of end users voluntarily adopt technologies that use or share their physical location — and start to wonder who has access to this information. Many more courts will grapple with these questions this year, building upon the important 2009 decisions in the Connolly case in Massachusetts and the Weaver case in New York. EFF is awaiting the decision in U.S. v. Jones in the Court of Appeals for the District of Columbia, where we asked a court to limit law enforcement use of these devices.

6. Net Neutrality: The Rubber Hits The Road

Anyone who watched John Hodgman's famous Daily Show rant knows what Net Neutrality means as an abstract idea. But what will it mean when it makes the transformation from idealistic principle into real-world regulations? 2010 will be the year we start to find out, as the FCC attempts to implement the plan it adopts after its 107-page request for input about how to ensure a neutral Net.

But how far can the FCC be trusted? Historically, the FCC has sometimes shown more concern for the demands of corporate lobbyists and 'public decency' advocates than it has for individual civil liberties. Consider the FCC's efforts to protect Americans from 'dirty words' in FCC v. Pacifica Foundation, or its much-criticized deregulation of the media industry, or its narrowly-thwarted attempt to cripple video innovation with the Broadcast Flag.

With the FCC already promising exceptions from net neutrality for copyright-enforcement, we fear that 2010 could be the year when the FCC's idea of an 'Open Internet' proves quite different from what many have been hoping for.

7. Online Video: Who Controls Your TV?

Like the print business, the television business is being radically disrupted by the Internet. The disparate and powerful industries affected — telco, cable, satellite, ISP, software, and production — are engaged in a battle for dominance. But as big business dukes it out, consumer rights risk being left behind.

Two especially bad initiatives to keep an eye on this year: TV Everywhere is a new DRM-laden attempt by the mainstream television industry to trip up innovative upstarts like Boxee. Another scheme, Selectable Output Control, is Hollywood's latest effort to start driving analog interfaces into extinction in favor of DRM-restricted digital interfaces — meaning that Hollywood would decide what you can record on your DVR, rather than you.

In 2010, expect industry to advance those initiatives, as well as to introduce new and similarly problematic schemes along the same lines. EFF, as usual, will be there to try to stop them.

8. Congress: Postponed Bad Legislation Returns

In retrospect, 2009 wasn't disastrous for online civil liberties in federal technology law. With Washington entirely distracted by health care reform, a lot of the most problematic proposed federal technology legislation was delayed, postponed or temporarily forgotten.

In 2010, we may not be so lucky. Key provisions of the Patriot Act, having recently been granted a three-month extension, are up for re-authorization before April 1. The Snowe-Rockefeller Cybersecurity Act, which would grant the President the power to disconnect the Internet, is likely to return sometime in 2010. And, with immigration reform considered a top priority for Congress this year, we can expect to see the national identification card scheme REAL ID (or its twin, PASS ID) again soon.

9. Social Networking Privacy: Something's Got To Give

For some, social networking sites are the Internet. Facebook now has over 350 million accounts — roughly the same as the total number of Internet users worldwide a decade ago. That means that the bad guys who were exploiting security weaknesses in the wider Net in the last decade will now turn in force on the bigger networking sites. And by bad guys, we mean everyone from criminals, to unethical data-mining companies, to ISPs who can't resist snooping on that remunerative personal data passing down their pipes, to governments seeking new ways to track their citizens.

Will a major privacy scandal or two fix the social networking sites' casual attitude to their customers' personal data? Will new laws? Or will technologists and increasingly sensitive Net users find a their own way to protect their privacy?

10. Three Strikes: Truth and Consequences

In countries across the globe, the entertainment industry has been pushing for laws requiring ISPs to terminate their users' connection at the whim of the entertainment industry. In 2009, they got their wish — in France and South Korea, at least. This year will see the spin battle over what is actually happening in those countries.

Expect media industry reports describing amazing local declines in filesharing, aimed at policymakers in other nations considering the same. And look out for local press reports from these three strikes ground zeroes, documenting the calamitous consequences of disconnections, the lack of financial return to working artists, and the political blowback for the politicians who championed these unjust laws.

11. Fair Use of Trademarks: Mockery At Risk

Parody and mockery have long been favorite tools for online political expression and activism. But the powerful entities being mocked sometimes lack a sense of humor about the situation. Increasingly, they're turning to trademark law to badger would-be jokers into silence.

Of course, abuse of copyright law, which governs ownership of content, is nothing new. But until recently, we haven't seen as much abuse of trademark law, which governs ownership of names and logos. Fair Use principles, which allow creative re-use of intellectual property, apply to trademarks just as they apply to copyrights. In either case, IP bullies are just as happy to ignore those principles and make bogus legal threats.

Recently, trademark threats have been levied against activists like The Yes Men, who mocked the U.S. Chamber of Commerce. They've targeted NYTimes.se, which mocked The New York Times and corporations like DeBeers. They've targeted The South Butt, a clothing line which mocks The North Face. And, only a few days ago, they targeted environmental activist Brian DeSmet for mocking Peabody Energy.

In 2010, expect to see plenty of similar bogus threats. Some of them will lead to litigation, and those battles could in turn lead to important new legal precedents with serious implications for free expression online.

12. Web Browser Privacy: It's Not Just About Cookies Anymore

In the late 1990s, when the conventions for the modern web browser were being determined, certain expectations were established for web browser privacy. Users who wished to take extra measures to protect their privacy could simply choose to de-activate or limit their browser's use of cookies. This would protect them from most of the worst online tracking practices.

And that's how it remained for some time. Or so most web users thought.

As it turns out, corporations seeking to track individuals' use of the web were hard at work developing new and unexpected methods of profiling. For a long time, many of these methods either remained unexamined or were simply performed covertly and hidden from the public. But as we enter 2010, awareness and scrutiny of them is on the rise

Try browsing the web while using a tool like the Firefox add-on RequestPolicy, and you'll see that many major sites share your web activity with dozens of advertisers and advertising networks. With few technical or legal restrictions on the ability to track you around the web, companies you may never have heard of may have profiles of you which include things about your web use that you don't even remember.

This year the Federal Trade Commission is taking a fresh look at privacy and the use of profiles to target ads based on individuals' behavior on the web. We'll be participating in the process by providing testimony to the FTC, as well as launching our own study of just how easy individual browsers are to track, and how they can be made more privacy-protective.

New History on the Invention of Entrepreneurship

From Campus Entrepreneurship:

Great new book (h/t Schumpeter’s Century) coming out this week on the ‘history of enterprise’. The title, The Invention of Enterprise: Entrepreneurship from Ancient Mesopotamia to Modern Times, is really intriguing and I look forward to reading it. It is an edited volume and is supported by Kauffman and its series on innovation and entrepreneurship.

According to Brian of Schumpeter’s Century, you can download a sample chapter at the book’s official website. You can also pre-order from Amazon. This appears to be a work of economic history and I look forward to experiencing their approach to entrepreneurship. Here is a short snippet from the book description:

Whether hailed as heroes or cast as threats to social order, entrepreneurs–and their innovations–have had an enormous influence on the growth and prosperity of nations. The Invention of Enterprise gathers together, for the first time, leading economic historians to explore the entrepreneur’s role in society from antiquity to the present. Addressing social and institutional influences from a historical context, each chapter examines entrepreneurship during a particular period and in an important geographic location.

I’ll let you know when I read this one. Looks to be worth reviewing.

10 Best Undergrad Entrepreneurship Programs

From Capus Entrepreneurship:

According to US News & World Report, the 10 best undergraduate entrepreneurship programs in the US are led by perennial powerhouse, Babson College in Babson Park, MA.

The top 10 are below. If you want to see all top 24, you need to purchase a premium membership — I have not inquired as to its cost. I will see if I can find them some other way and will post if I do.

1. Babson College – MA

2. University of Pennsylvania – PA

3. University of Southern California – CA

4. Indiana University (Bloomington) – IN

4. Massachusetts Institute of Technology – MA

6. Syracuse University – NY

7. University of Arizona – AZ

8. University of California (Berkeley) – CA

9. University of Texas (Austin) – TX

10. Ball State University – IN

Pretty interesting top 10 entrepreneurship programs. The pack is led by a small college, but filled out by muscular research universities. Odd that no schools from Illinois, Michigan, or Ohio make the list, but Indiana has two top 10 entrepreneurship programs. Yes to Arizona, but nothing in Florida. Thoughts?

Career Development Opportunities Trump Pay

From Creative Class:
ArchitectureBuildingWorkRuralUrban
Forty percent of employees in a survey were more interested in career development than pay and benefits.
From the Saturday Globe and Mail:
Career development prospects top the criteria for job candidates considering a new employer, a new survey finds.
Forty percent of 1,300 respondents to a survey by staffing service Right Management Inc. said the potential for career development is the most important factor when choosing a new boss.
That was followed by work-life balance (21 percent); innovative workplace (15 percent); and competitive pay and benefits (12 percent). Only 8 percent cared most about having good rapport with their manager.
My thought here is the answer likely depends upon where you are in your life. Certainly it makes sense for younger knowledge workers to prioritize career development opportunities as an investment — pay will come later. For those with young families (especially women, as per last-week’s discussion) work-life balance may be more important. And later in life the paycheck may trump everything as retirement looms and university-aged children are needing help.
What would you prioritize?

Big Blue's Smarter Marketing Playbook

From NYT:

A London speech by I.B.M.'s Sam Palmisano provides a lessons-learned tutorial that explains the success of the company's Smarter Planet campaign.

İnternet sektöründen en güncel bilgilere "türkçe" ulaşmak için güncel adresler

Sosyal Medya Pazarlama - Çağan Çağlar'dan:

Ben habere değil, haber bana ulaşsın' diyenlerden değilseniz, internet sektörü ile ilgili en güncel bilgilere aşağıdaki blog ve internet sitelerinden ulaşabilirsiniz.

Turk.internet.com
Kendimi bildim bileli okurum. Bir baktım da internet sektörüne girdiğim 2000'den bu yana yayında imiş, şaşmamak lazım :) İnanılmaz kapsamlı bir kategori yapısı var, 11 senelik arşivi düşünüldüğünde sektör için tartışmasız en değerli kaynak.

Webrazzi
Türkiye'nin özellikle web20 alanında en güncel bilgilere sahip blog'u.
Melek yatırımcılar, dünyada internet alanındaki önemli gelişmeler, mobil de yer verdikleri diğer konular.

Mindshare Interaction Blog
Türkiye'nin en büyük medya planlama ajanslarından Mindshare'in digital ekibi tarafından hazırlanan blog. Oldukça güncel olan blog'u tüm ekip farklı alanlarda destekleyerek yazıyor. Sadece müşterilerinden yazdıklarını sakın düşünmeyin, rakiplerin başarılı işlerini yazdıklarına bizzat tanık oldum. Blog'da digital dünyaya ilişkin birbirinden farklı konulara değiniliyor. Bazen bir viral, yeni açılan bir internet sitesi, bazen de yararlı istatistiksel veriler paylaşılabiliyor.

Bigumigu
2005 bu yana en düzenli güncellenen blog'lardan biri. Reklam, pazarlama, tasarım dünyasındaki yenilikleri ve gelişmeleri kullanıcılarına aktarıyor. Gerçekten çoğu zaman ilk onlardan duyduğum çok olmuştur.

Mediacat Online
Reklam sektörün en iyi dergilerinden biri. Son aylarda digital haberler bölümü ile güncel içerik sunuyor izleyicilerine.İzlemekte fayda var.

Pazarlamadunyasi.com
Kendini Pazarlama ve pazarlama iletişimi ile ilgili tüm bileşenleri bir arada sunan pazarlama portalı olarak tanımlıyor. Kendimi her ay sektörün önemli isimleri ile düzenli yapılan röportajları okurken buluyorum. Ayrıca çok ciddi bir bilgi de var içinde... sektörün önemli kitaplarından, ajans bilgilerine, önemli linklere tek yerden erişmek mümkün.

Digital Age
Digital alanda türkçe yayın yapan yegane dergilerden birinin internet sitesi.
Sektörden haberler, incelemeler v.b. için ilk başvuru adreslerinden biri olmalı.

Digithell
Son ayların en çok konuşulan dijital ajanslarından Digital MacCann'in blog'u. Henüz Mindshare'in ki kadar güncel değil, ama konuk yazarları da kabul edeceklerini açıkladıklarından, daha sıklıkla güncelleneceğine eminim.Ajanstan haberler, müşterileri için yaptıkları işler gibi konulara ilk elden erişebilirsiniz...

11 Ocak 2010 Pazartesi

Mixing Open Source and Proprietary Software Strategies

Fron Open Source Science:

Q&A with:Gaston Llanes
Published:January 11, 2010
Author:Julia Hanna

Adopting a new business model can be a strategic, game-changing play in any industry. But knowing when and how to try something new can be tricky, particularly in the constantly evolving software industry.

The open source (OS) movement is one model—it's going strong after nearly 30 years and still has its die-hard supporters. Meanwhile, other firms try to maximize profits by keeping a tight, proprietary hold on all intellectual property. Increasingly, however, software companies are taking a "best of both worlds" approach by creating products that use a combination of OS and proprietary software code.

In their working paper 'Mixed Source,' HBS associate professor Ramon Casadesus-Masanell and postdoctoral fellow Gaston Llanes consider scenarios in which theoretical software firms compete through different business models under a variety of conditions.

Their findings highlight the complexities managers face in navigating an increasingly competitive industry. But if there's no easy recipe for software firms, even in the seemingly ideal balance of mixed source, these results indicate recurring patterns and strategies that managers can take into consideration when setting the course for their own firms. A Q&A with Llanes follows.

Julia Hanna: How did you come to be interested in this particular area of research?

Gaston Llanes: We started to look at this topic because so many commercial firms were devoting resources to developing open source products. That sort of behavior is initially puzzling to economists because the firm is participating in the development of something that is going to be given away for free. Once you begin studying these organizations, however, you notice that one way they do profit is by selling complementary goods and services. For example, IBM sells consulting services and proprietary software that are complementary to the OS software it develops, and Sun sells complementary hardware such as servers.

Another combination that interested us is mixed source software, where firms develop OS software while selling some part that is closed, or proprietary. That model sounds like it should work well for all companies, since it seems to represent the best of both worlds—innovation and value capture—but it's more nuanced than that, as our paper shows. We wanted to get a clearer sense of when a profit-maximizing firm should adopt a mixed source business model and what that model might look like under different circumstances.

Q: Can you first explain the technical details behind mixed software?

A: Sure. In industry speak, software is composed of two modules—the core, or base, and the extensions. There's an asymmetry between these two because the base can be used without the extensions, but to use the extensions you need the base. So, there are a few overall business models that currently exist in the software industry: proprietary, OS, or a mixed model, opening either the extensions or the base. In the software industry, the open extensions model is sometimes referred to as "open edge."

Q: Walk us through one of the market scenarios in your paper.

A: In the first case, we examine a monopoly-type situation, where the firm is the only one with a product in that market segment. We find that when the value of the complementary good and user innovation is low (meaning that the technical possibilities for users to improve the software are limited), the firm will choose a mixed source model. In this instance the firm doesn't open its core, because it has something to lose by creating a direct OS competitor. So the firm opens the extensions, because it can benefit from user innovation, but customers can't use the OS software without purchasing the core product. It's a relatively inexpensive way to become open—you don't lose much. Stata, a software product used in econometrics, is a good example of this.

In cases where values are intermediate, we find that the firm prefers to open the core product only. And when the value of the complementary good and user innovation are high in a monopoly situation, the firm will open both modules and use a pure OS model, because the quality improvement that occurs when modules are opened outweighs any potential competition.

Q: But it's not always a good idea to adopt an OS model.

A: Right, it really depends on your product and the competitive landscape.
For example, if you have an OS competitor like Apache or the Free Software Foundation, you may not want to be so open. This is an interesting point to make, because usually people think if you face competition from OS you are going to respond by becoming more open, always. But that's not the case.

In fact, one of the examples in our paper shows that a firm is more likely to use a proprietary business model when it faces competition from an outside OS project, particularly when the outside OS project has a base module. In that case, a combination of the outside base module and the proprietary firm's open extensions could result in a stronger free competitor. So the firm is more likely to open substitute modules, rather than complementary ones, to the outside OS project. We do find that the firm will prefer to adopt the modules developed externally when they're of higher value than the firm's own modules. In that case, increased openness obviously results in greater value creation and value capture.

Q: It seems that open source software, particularly when it's part of the 'mixed' model, is becoming more prevalent.

A: Yes, even Microsoft has jumped on the bandwagon to some extent. It's partnered with Novell to put some of Microsoft's technologies on Linux and other open platforms. The Mono project consists of porting the .NET framework onto Linux, and the Moonlight project is about providing an offer of Silverlight, a Web-based digital video technology, for Linux. And in July 2009, Microsoft agreed to contribute some of its technology to Linux under a licensing agreement that allows developers outside Microsoft to modify the code. They are being very strategic, approaching it product by product.

Q: Your paper also considers several different scenarios between two competitive, for-profit firms. Can you talk about those findings?

A: The method we use is a two-period game where in the first period (the strategy period) business models are chosen, and in the second period (the tactics period) firms interact by making tactical pricing choices as allowed by their models. Many different things can happen in this instance, so it's much more complex.

We study two firms, H and L, where we assume that firm H has modules of higher quality than firm L. We find that when the external quality difference between two firms is low, one firm competes through a proprietary business model and the other opens one module, generally the extensions. As the quality difference grows, cannibalization concerns lessen, and both competitors elect to compete through the same mixed source business model.

We also find that both firms may prefer to compete through the proprietary business model when H is the first mover, although that never happens when L is the leader—a low quality firm is more interested in competing through a mixed source business model than a high quality firm. But when the low quality firm is first to act in the market, and the higher quality firm reacts, the lower quality firm may "leapfrog" the higher quality firm. It's a good recommendation for the low quality firms and a cautionary note for high quality firms. If a low quality firm is quick enough to act in the market, it may surpass its higher quality competitors.

Another interesting outcome is that when user innovation between the two products is low—regardless of which firm moves first—one firm decides to use a mixed source model, while the other is proprietary. So a firm differentiates itself instead through its business model. But when the innovation and quality differential are higher in both firms, the firms tend to look more alike, choosing the same business model.

Q: Can you give an example of a firm adapting its business model?

A: Yes, this case actually motivated me to start working in this area. IBM was facing competition from JBoss, a growing new firm with an open source business model. In response, IBM in 2005 bought a small firm called Gluecode that sold products in the same market segment as JBoss. IBM then opened the Gluecode product and adopted a mixed source strategy as a response to the competition it faced from JBoss. It's a good example that shows firms can adapt their business models in response to competition from other firms.

Q: What factors should managers take into account when it comes to using, or not using, a mixed source business model?

A: They should take into account who their competitors are and what the nature of the competition is. They should also weigh the importance of user innovation for their market and the value of their complementary good. In the case of some software products, the complementary product is very important. For instance, a server operating system is very complex and will probably require support, or at least training, if you run into problems. But if you are talking about a desktop operating system that is easier to use, the complementary good is not as valuable—it's more difficult to use an open source model in that case because then you don't have much to sell in the way of services.

If anything, our research plainly shows that value creation doesn't necessarily lead to value capture. Instead, for-profit firms should choose a business model to capture as much value as possible, taking into account the likely strategic and tactical reactions of other firms. It's impossible to give a unique recipe for all software firms—it really depends on the industry's configuration and the placement of your product with respect to competitors.

Q: Your paper concludes by citing other industries where new technologies, regulatory changes, and customer demands have driven the innovation of new business models. Can you talk about that a bit?

A: Yes, even if your company is operating in an established market, some organizations have shown that it's possible to open up space in a crowded industry by thinking of a new way of doing business. Ryanair, IKEA, Cirque du Soleil, and Betfair (online betting) have all grown quickly through innovation in their business models.

Q: So are mixed source business models seen as the next big innovation strategy in the software industry?

A: This is being discussed quite a lot right now. In the past, a pure OS model was the big thing, but there were many firms that then found they had a hard time being profitable. For example, some observers say that Sun Microsystems ended up being acquired by Oracle because it was too open.

There is definitely a lot of thinking out there about what is the right degree of openness. The conflict between more 'fundamentalist' developers who believe all code should be open and those who don't see it that way still exists. In the long run, however, it goes without saying that you can only subsist if you have enough revenue to sustain the development of the product.


About the author

Julia Hanna is associate editor of the HBS Alumni Bulletin.

Arthur C. Clarke's ‘2010’ still beyond reality

From MSNBC Innovation:

An artist's conception shows a fusion-driven space vehicle on its way to Saturn. Nuclear fusion propulsion is featured as the "Sakharov drive" in Arthur C. Clarke's "2010: Odyssey Two," but such systems don't exist in the real-life 2010.The year 2010 has arrived, but humans have yet to travel out to the gas giants of our solar system as portrayed by Arthur C. Clarke in his book '2010: Odyssey Two' — much less unearth alien artifacts on the moon.

Mobil Pazarlama 101 - Markalar için mobil'e giriş kılavuzu

Cağan Çağlar'dan:

Bugün internet kullanıcıları, internete sadece PC'den, kucaklarında ki notebook'lardan değil, ellerindeki cep telefonları aracılığı ile de ulaşıyor.

Üstelik 'on the go' halinde ihtiyaç, masa başındakinden çok daha farklı, daha lokal, acil hatta gerçek ihtiyaca 'satışa' yönelik. Hal bu iken markaların mobil telefonlardan erişilebilinen mobil web sitelerine çeki düzen vermelerinin de tam sırası.


Ama peki hangi cihaza göre?

Minicik bir soru cümlesi bu, ama arkasında inanılmaz bir kaos, maliyet ve bilgi eksikliği de barındırıyor. Çünkü bugün dünyada birbirinden çok farklı platform ve teknolojilerde üretilen farklı cep telefonları, markalar, modeller mevcut. Biri için yaptığınız diğerine kesinlikle uyacak demek değil.

Basit bir örnek vermek gerekirse; Bugün şirketiniz için yaptırdığınız web sitesinin sadece Internet explorer'da değil, firefox'da, safari'de, chrome'da, kısacası tüm browser'larda çalışması için yazılımını ona göre planlamak ve geliştirmek zorundasınız. Mobil dünyada ise bu seçenekler onlarca kat daha fazla.

Mobil dünyaya adım atarken derin bir nefes alın, elimizdeki cihazlar küçücük ama mobil dünyanın kuralları hem kendine has, keşfetmesi her zaman çok kolay değil, hem de bazen yetişebileceğimizden de çok hızlı olabiliyor.

Mobil'de yolunu kaybetmiş, nereden başlayacağını bilemeyen marka sahipleri için bir mini rehber var aşağıda, umarım işinize yarar....

Markalar için mobil pazarlama 101.

Öncelikle Mobil siteye ihtiyacınız var mı karar verin. Eğer hedef kitleniz cep telefonu kullanmıyorsa elbette gerek yok, ama işin açıkçası bu kadar nishe bir markete bugünün dünyasında kim hitap edebilir, emin değilim.

Cevabın evet var, hem de nasıl olduğunu varsayarak devam ediyorum :)

Önce müşterilerinizin 'on the go' halinde sizin web sitenizde ihtiyaç duyacağı bilgileri ve fonksiyonları bir listeleyin.

Kampanyalar, ürün tanıtımları, fiyat listesi, bayi listesi, iletişim bilgisi
v.b. gibi bir çırpıda sıralanabilir. Elbette her markanın, hedef kitlenin ihtiyaçları birbirinden farklı, buna en iyi cevabı müşteriniz verecektir, size mobil sitenizden ulaşmalarına imkan verin.

Mobil site mi? Yoksa Iphone app'den mi başlamalı?

Evet uygulamalarçok moda, bugün özellikle Iphone, Android, Blackberry için markalar bir biri ardına aplikasyonlar üretiyor, yayına alıyor. Ama siz siz olun önce cep telefonu markası bağımsız, tüm cihazlardan erişilebilen bir mobil site yapmakla işe başlayın.

Bu mobil sitenin boyutları görüntüleyen cihaza göre mobil server tarafında ayarlanabileceğinden geniş ekranlı telefonlarda bu siteyi biraz genişleterek idare edebilirsiniz rahatlıkla. İkinci hedefiniz ise Iphone kullanıcıları olmalı, tabi eğer müşterileriniz arasında Iphone kullanıcıları hatırı sayılır bir oran oluşturuyor ise. Burada da yine Iphone app. değil, mutlaka önce dokunmatik ekranlara uyumlu bir tasarım ve uygulama hedefleyin öncelikle. Kısacası önce mobil web'i çözün, herkesler size ulaşabilsin, işini görsün, extralara sonra başlarsınız.

Mobil siteyi şirket içinde çözebilir miyim? Nereden destek alabilirim?

Web sitenizin yazılım faaliyetlerini eğer şirket içerisinde çözümlüyorsanız, mobil'i de burada yaparız demeden önce iki defa düşünün. Mobil dünyanın farklı kuralları olduğunu, bu işin iyi bir yazılımcı /digital ajans ile çözülemeyebileceğini öngörün. Sürekli gelişen, yeni teknolojilerin takip edilmesi gereken inanılmaz bir sektör.

Sitem hazır, peki mobil sitemi nasıl duyurabilirim?

Kesinlikle öncelikle marka web sitenizden. Tüm mobil sitelerinizi, aplikasyonlarınızı, ürün ve servislerinizi buradan tanıtın. Sizin markanız ile ilgilenen müşterilerinizin ilk bakacağı yer orası.

Yönlendirmeleri aman unutmayın. Bugün web sitenize giren kullanıcının mobil cihazdan bağlandığı rahatlıkla görülebilir. Mobil sitenizin adresini bilmeyen kullanıcılar doğal olarak web sitenize gireceğinden, onların hayatını kolaylaştırın ve mobil sitenize yönlendirin, emin olun çok hoşlarına gidecektir. Üstelik cihazlarına uygun tasarımlı farklı bir site varsa, mobil server'ınız bu bilgiyi de doğal olarak ayrıştıracaktır, direkt o özel tasarımlı siteye yönlendirebilirsiniz. (Elbette sitenizin footer'ında ana siteye dönebilmek için bir link ile.)

Türk mobil kullanıcılarına ulaşmanın yollarını bulun. Ürün/servislerinizin kalitesine dikkat edin, bırakın müşterileriniz aralarında konuşsun, yaysın.

Lansman döneminde mobil sitelerde 'mobil pazarlama' reklam kampanyaları yapabilirsiniz. Bugün Türkiye'de mobil kullanıcıların en çok ziyaret ettiği sitelerin bir listesi malesef bir yerlerde yok. Ama operatör siteleri, haber siteleri, oyun siteleri her ülkede olduğu gibi Türkiye'de de çok popüler.

Yatırımlarınızı planlayın.

Hepsini bir arada yapmaya çalışıp zorlamayın kendinizi. Adım adım ilerleyin. Dünyada da markaların da kafası karışık bu konuda, kabul etmek lazım. Kimi android'e, kimi Blackberry'ye, kimi de Iphone'a yatırım yapıyor.

Siz siz olun, markanızın kafasını karıştırmayın.

Tüm sorularınızın cevabı her zaman olduğu gibi müşterinizde saklı.

Putting the "Public" In Publicly-Funded Research

From EFF:

Sometimes an idea is so blindingly, obviously good that you have to wonder why it hasn’t already been implemented.

A few years ago, the National Institutes of Health (NIH) had an idea like that. Why not create a free, public, online archive of findings from research studies that were funded by Americans' tax dollars? That way, members of the public could keep up to date on the latest health findings by reading about discoveries that they paid for and would otherwise be unable to access. To ensure academic publishers could recoup any investment made by publishing research in traditional print journals, scientists could wait 12 months before making the research available to the public, but no more. The policy was voluntary at first, then made mandatory — much to the consternation of commercial science publishers. (Make no mistake — scholarly publishing is a significant profit center, for publishers if not authors. For example, a subscription to Brain Research, the leading neuroscience journal, can cost a library over $23,000. Much of that is pure profit, as authors provide the content free of charge.) When Rep. John Conyers introduced legislation to end the policy earlier this year, public criticism and a wave of protest helped stop the bill in its tracks.

Now the Obama Administration (specifically, the Office of Science and Technology Policy, or OSTP) is considering extending the policy to other federal agencies that fund academic research. For example, the National Science Foundation spends $6 billion a year supporting basic research in America's colleges and universities. If the fruits of that research were publicly accessible online, the taxpayers who actually paid for it could read and use it in new and interesting ways, just as patients and their families have used the newly accessible NIH-sponsored medical studies to help make informed medical decisions. Scholars and entrepreneurs could also access the research, promoting innovation in science and technology. Moreover, creating a publicly available research archive is simply fair. Your tax dollars paid for this research; you should have a chance to actually see those dollars at work.

Now, the public has an opportunity to show support for this innovative, common sense idea. Since December, the OSTP has been hosting an involved discussion on their blog, asking for input on every angle of public access, including which federal agencies should adopt public access policies, which file formats could help solve compliance and archival issues, and what the ongoing role of the government should be. The OSTP was originally going to close the comment period on January 7, but the moderators have decided to keep it open until January 14 in light of the holiday season's effect on the ability of the public to comment. If you care about the availability of research and want the government to implement a policy that's good for innovation, consider contributing to the great discussion taking place on the OSTP blog. You can find the complete collection of public access policy blog posts here, and the most recent call for comments here. Even though commercial publishers don't like it, public access policies are an obvious way to maximize the usefulness of scientific research that taxpayers pay for. Head to the OSTP blog and share some ideas for how it should be done.

The European Year of Creativity and Innovation 2009 has ended. Long live creativity and innovation!

From Innovation Unlimited:

On the 16 and 17 December, the Swedish EU presidency formally closed the European Year of Creativity and Innovation 2009 with a conference entitled Create Innovate Grow. However, many of the participants did not want to view the conference as an end point.

New year, new science

From Nature:

Nature looks at what key events may come from the research world in 2010.

Campus Builds Capacity to Absorb Its Own Innovation

From Creative Class:

LightbulbInnovationTechnologyAbstract

In University and the Creative Economy, Richard Florida and colleagues build an economic development case around a region’s ability to capitalize on innovative technologies and research being produced at universities. Silicon Valley and Research Triangle are exemplary models. What if a region does not have this ability? Appropriately, they suggest a region work on developing the capacity to absorb university output through campus-industry partnerships. Otherwise, valuable intellectual property goes elsewhere. Or, worse off, and probably more common, it disappears into a black hole of uncommercialized ideas and patents.

Now, for regions that have universities but neither the current ability to absorb, nor the means to create a working capacity, is there an additional solution? Is it time for the universities to build their own infrastructure to absorb and commercialize their own creativity? Maybe this is the crossroads where higher education and economic development policy can tango?

How about new policies that substantially invest in universities absorbing their own innovative output when a region is not equipped? Incentivize the universities to transform economy by building infrastructure to commercialize the talent and academic ingenuity they harness. Maybe University Hospitals is a viable model in health care, but expand into other industry development aligned with a university’s output. Maybe we can learn from Chinese university-run businesses. Let’s equip universities, as my grandma used to say, with the whole “kit and caboodle” so a region can benefit.

What’s the risk in doing so?

WSJ Sees Struggles in 2010 for Entrepreneurs

From Campus Entrepreneurship:

Collen Debaise of the WSJ wrote a piece predicting tough times in 2010 for entrepreneurs. Traditional sources of funding (personal savings, friends, stock & real estate assets) have all been hit during the recent downturn.
There is some good data in the story, though I think it a bit odd that they chose to highlight a chef/restaurateur in LA as representative (though he is an immigrant). From the article:
Funding from angel investors, or high-net-worth individuals who provide capital to young companies, fell 30% to $9.1 billion in the first half of 2009 compared with the same period a year earlier. That figure is expected to remain flat for 2010, according to Jeffrey Sohl, director of University of New Hampshire’s Center for Venture Research, which tracks the data.
What is encouraging, Mr. Sohl says, is the number of deals has ticked up slightly. While angels are investing less—$370,000 per deal in 2009, versus $530,000 in 2008—about 24,500 ventures received funding during the first half of 2009, compared with 23,100 the year earlier.
The article is worth reading, but after a decade in high-growth startups and industries, I think there are more struggle years for successful entrepreneurs than there are easy/flush years. 2009 was difficult and 2010 will also be a challenge, but for entrepreneurs, being short of resources and struggling is always part of the deal.

7 Ocak 2010 Perşembe

International Differences in the Size and Roles of Corporate Headquarters: An Empirical Examination

From HBS:

Published:
January 7, 2010
Paper Released:
December 2009
Authors:
David Collis, David Young, and Michael Goold

Executive Summary:
Are small headquarters more nimble and efficient than large ones? Not necessarily, according to HBS adjunct professor David Collis and coauthors David Young and Michael Goold. Even within a single industry in one country, the variance can be enormous: In Germany in the late 1990s, for instance, Hoechst, the chemical and pharmaceutical manufacturer, had only 180 people in the headquarters function at the same time that Bayer had several thousand. This paper seeks to fill gaps in the research by using a unique database of over 600 companies in seven countries to determine whether systematic differences in the size and roles of corporate headquarters between countries actually exist, and if so, how they differ. In particular, the authors examine whether there is a systematic difference between market- and bank-centered economies, and between developed and developing countries. Key concepts include:
  • Contrary to popular expectations, corporate headquarters in the United States are about twice the size of European counterparts yet appear to be more effective.
  • It is not universally valuable to have small corporate headquarters. While companies with small headquarters can be successful, it is clear that larger headquarters can also be correlated with high performance and executive satisfaction with their role and cost- effectiveness.
  • Japanese headquarters are substantially larger than elsewhere—a factor of nearly four times Europe. However, those headquarters are becoming smaller because of dissatisfaction with their performance.
  • The developing country model of headquarters appears to fit none of the developed country models.
  • There is no 'market-centered' and 'bank-centered' model of corporate headquarters, suggesting that at the level of key corporate decisions, other phenomenon have important independent influences.
  • The size and role of corporate headquarters vary widely both between countries and within countries. There is more variation within each country than there is between countries.

Abstract

This paper examines differences in the size and roles of corporate headquarters around the world. Based on a survey of over 600 multibusiness corporations in seven countries (France, Germany, Holland, UK, Japan, US, and Chile) the paper describes the differences among countries, and then applies a model of the factors determining the size of corporate headquarters (Young, Collis, and Goold, 2003) to systematically examine those differences.
The data shows that there are significant differences among countries in the size and role of corporate headquarters, and strongly suggests the existence of a developing country model, a European model, a US model, and a Japanese model of corporate headquarters. Contrary to popular expectations, corporate headquarters in the US are about twice the size of European counterparts. Headquarters there exert a higher level of functional influence and have larger staffs in certain key areas, such as IT and R&D. US managers are generally more satisfied than their European counterparts with their larger more powerful headquarters which suggests that, at least in the US context, large corporate headquarters can create value.
Japanese headquarters, as might have been expected, are substantially larger than elsewhere - a factor of four times larger than in Europe. However, those headquarters are becoming smaller because of dissatisfaction with their performance. It is clear that having headquarters the size of the Japanese firms in the survey is not conducive to value creation.
More specifically, the evidence cannot refute a hypothesis that the slope of the relationship between firm size and the size of corporate headquarters is the same across all countries, but that there are significant differences in the intercept for Chile, the US, Japan, and the European countries. What the data indicates is that at a firm employing 20,000, a European corporate headquarters would on average employ 124 individuals, a US headquarters would have 255 employees, and Japan 467 employees.
The paper also examines differences between countries in the extent to which they perform the two key corporate tasks of control and coordination. The US and Chile chose to be somewhat more interventionist in the traditional tools and processes used to monitor and control business units - setting strategy, budgets, and administering capital budgets. However, there was a significant difference in the degree of influence in operational affairs between countries. The US and Japan exerted far more influence than the other countries over every activity from IT and purchasing, to marketing, R&D and HR issues.
The US was also found to have significantly larger legal, tax, and treasury functions than the common European model, perhaps reflecting a more legalistic institutional structure. Japan also has significantly larger tax, treasury, and corporate management functions, but overall was not that much larger than the common European model.
While the causes of these observed differences cannot be directly determined from the research, suggestions are made that the institutional infrastructure, the size and homogeneity of the domestic market, and cultural factors within countries are important underlying drivers.
36 pages.

Paper Information

Cosmic Log: Looking ahead with 2020 vision

From msnbc.com: Innovation:

Science editor Alan Boyle's Weblog: Experts on science and technology predict how the world will look in 2020 — but in some cases, the future may not be worth it.

'Wise men' discuss EU's 2020 strategy

From EurActive:

Spanish Prime Minister José Luis Rodríguez Zapatero hosted a meeting with prominent EU 'wise men' in Madrid yesterday (5 January) to discuss Europe's economic and social strategy for the next decade. EurActiv Spain reports.

YEMEN AS A NEW FRONT...

From Deniz Tansi International:

Last year new elected Obama administration in US underlined two military option on their agenda. First one indicated to withdraw troops from Iraq, the other was to send more combat troops to Afghanistan. Withdrawing troops from Iraq schedule was based on the Statue of Forces Agreement (SOFA) which was signed between US and central Iraq governments. According to SOFA, US troops withrew from Baghdad -Iraq capital- in June 2009. US troops will totaly withraw from Iraq until December 2011.
The other US military approach was about to send more combat troops to Afghanistan. NATO operation which was started after 9/11 by UN Security Council resolution still continues in 2010. And it seems to sustain in an open ended process. In this context, US demanded combat troops from her allies include Turkey. But allies -also Turkey- rejected the offer. Why Taliban captured the social infrastructure not only in Afghanistan but also in Pakistan . Even US called the region as Afpak, it means to accept -de facto- Taliban sovereignty in both countries' depth. Taliban is the projection of Al Queda which is the network terror organisation on the global scale.
We mean Wahabi-Selefi doctrine's network Al Queda; it totaly rejects modernity and modern life style and found new life spheres in the different geoghraphies.
The most significant one is middle Iraq in the post US invasion process. Al Queda manipulated Sunni resistance and converted the territory as a training camp. Al Queda's network has an intensive agenda from Afpak to middle Iraq; as well to Caucasus. Currently it has reached to Yemen with a tangible ground.
Yemen's Al Queda is blamed related to attempt plane attack in US . It was called as Christmas Day attack in US. However there is one more struggle in Yemen between Yemen government and Iran sponsored Shia militants. Saudi Arabia and Yemen are fighting with Shia militants under US supervisory. Iran prolonges Shia influence from Persian Gulf to Gulf of Eden. Meanwhile Saudi Arabia is disturbed by Southern Iraq why on the both side of Saudi-Iraq border mostly Shia population lives.
The most interesting point indicates that, even Saudi Arabia and Iran hesitated from Al Queda.
Yemen government also fight with Al Queda and Iran sponsored Shia militants. In this context Yemen is becoming a front against these forces and the country is supported by US-Saudi axis.
In 2010 Yemen is added as a new front after Afghanistan and Iraq.
We will see the outcomes of the effect in this year.

5 goodies from The Times

From Dan Pink:

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Stuck on an airplane this morning, I had a chance to read today’s New York Times almost from cover to cover. (Ink on paper is a pretty good technology, no? — Ed.) Five stories, most of them small and easily overlooked, made me think, smile, or wince.

1. Person of the day. When retailer H&M couldn’t sell certain pieces of clothing, it mutilated the perfectly good garments and tossed them into a dumpster. Graduate student Cynthia Magnus found out, was appalled, and suggested to the company that this practice was wasteful. When her pleas went unanswered, she alerted the Times — and, lo and behold, H&M announced yesterday that it would donate unworn clothing to charity.

2. Obvious idea of the day. Maybe it makes more long-term sense to spend taxpayer dollars on schools and universities than on prisons and wars. The unlikely tag team of Schwarzenegger and Kristof make the case.

3. Dubious idea of the day. Instant coffee laced with skin-enhancing collagen?

4. Good hire of the day. The great Bill Moggridge is going to head the Cooper Hewitt, National Design Museum. Awesome choice.

5. Letter of the day. On Sunday, the Times’s David Carr wrote a long article about the countless virtues and inevitable staying power of Twitter. In today’s Letters section, Boomer Pinches (Love the name! -Ed.) of Northampton, Mass., offers his response: “I very much enjoyed the first 140 characters of David Carr’s article, ‘Why Twitter Will Endure.’”

2010 Social Media Predictions

From the Crative Class - Ricard Florida:

2010 Social Media Predictions:

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Every year, Computerworld asks people in the geek community for their New Year’s predictions. The full article is here.

My responses included:

We will see social networking fatigue, but savvy users will continue to use platforms to build their personal brands. For most people, updating Facebook gets tedious, and your “friends” really don’t care which Hogwarts faculty member you are. Twitter takes a lot of work, although it can be a great personal brand-builder, with enough effort. LinkedIn is improving, mostly because of its Answers section; users can become well-regarded authorities in their subject areas by investing an hour or two per week posting thoughtful questions and responses. Plaxo? Please stop pestering me. You’re too far down my social networking depth chart for me to spend any time with you.

And

While the concept of a social networking guru might seem quaint by 2013 (do you have a photocopier guru in your office?), there is an opportunity in 2010 for people who really understand how to make social networking happen within the enterprise. While there are still a lot of carpetbaggers and “gee-whiz” cheerleaders playing in this market, I still find that there are a lot of people who don’t have a basic understanding of social networking and are reluctant to ask for help.

What are your thoughts? What will 2010 have in store for social networking?

Rockefeller Foundation's Push Toward Design and Innovation

Rockefeller Foundation's Push Toward Design and Innovation:

"Antony Bugg-Levine leads the 'Accelerating Innovation for Development' initiative at the Rockefeller Foundation. He discusses the focus on design and innovation"

5 Ocak 2010 Salı

Group Creativity

From IdeaConnection:

Group Creativity:

"Even with the information explosion and the growing necessity for specialization, the development of innovations still requires group interaction at various stages in the creative process."

Web 2.0 Suicide Machine Offs Your Online Identity [Social Networking]

From lifehacker.com:
Web 2.0 Suicide Machine Offs Your Online Identity [Social Networking]:


Sure, joining Twitter and Facebook seemed like a good idea at the time, but maybe you've changed your mind and want your life back. Web 2.0 Suicide Machine erases your persona like you were never there.

Photo by jonsson.

If you're sick and tired of being beholden to the siren song of constantly updating your social networks, it might be time to get out. Trouble is, you can't just suddenly stop updating or your friends might harass—or worse, "poke" you—to find out if you're okay.

Simply deleting your accounts won't necessarily solve the problem because you'll still leave little traces of yourself all over the social networking sites that are as easily associated with you as a fingerprint. Web 2.0 Suicide Machine completely eradicates your entire existence from the servers of sites like Twitter, LinkedIn, and MySpace. (Facebook currently blocks the webapp's IP address, so you're out of luck there for the time being.)

To use the tool you'll need to hand over your login credentials for the corresponding webapp (you won't need them anymore anyway, right) and let the the Suicide Machine do its thing. If you do decide to off yourself, be aware it can't be undone—so be sure you're serious.

Are you so over social networking that you're ready to disappear yourself, or do you want to stick around and enjoy the party a little longer? Share your thoughts in the comments.

Wired Science’s Most Popular Space Stories of 2009

Wired Science’s Most Popular Space Stories of 2009:

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We love space, and so do you. This is a fact, well established by our Christmas-morning-level anticipation every time Hubble or Cassini or Spitzer release a new image, and your happy, clicky, tweety responses to virtually anything we post that has to do with space.
So we were surprised to find that there was just one space story among our most popular stories for 2009. Our “Earth from space” galleries and posts did well, but we don’t think those qualify as space stories. The sole celestial finalist was just a simple reminder that the annual Perseids meteor shower was peaking, with some viewing tips.
The Perseids are great and all, but we couldn’t let space be this underrepresented in our 2009 roundups, so here are the rest of our most popular spacey offerings of the year.
Image: NASA/JPL/CICLOPS

Best of HBS Working Knowledge 2009

Best of HBS Working Knowledge 2009:

What were the management trends in 2009? Fascination with social networking and rethinking common wisdom about goal setting. Here are the Top 10 articles and Top 5 working papers that appeared in HBS Working Knowledge in 2009. Enjoy!

TOP 10 ARTICLES OF 2009

  1. Understanding Users of Social Networks

    Many business leaders are mystified about how to reach potential customers on social networks such as Facebook. HBS professor Mikolaj Jan Piskorski provides a fresh look into the interpersonal dynamics of these sites and offers guidance for approaching these tantalizing markets.

  2. Social Network Marketing: What Works?

    Purchase decisions are influenced differently in social networks than in the brick-and-mortar world, says Harvard Business School professor Sunil Gupta. The key: Marketers should tap into the networking aspect of sites such as Facebook.

  3. Uncompromising Leadership in Tough Times

    As companies batten down the hatches, we need leaders who don't compromise on standards and values that are essential in flush times. Fortunately, such leaders do exist. Their insights can help other organizations weather the current crisis, says HBS professor emeritus Michael Beer. Q&A.

  4. Sharpening Your Skills: Managing Teams

    The ability to lead teams is fast becoming a critical skill for all managers in the 21st century. Here are four HBS Working Knowledge stories from the archives that address everything from how teams learn to turning individual performers into team players. Questions asked include: How does a team leader win the confidence of the group? What's the best method for developing team goals? How can individual performers be developed into team players? How do teams learn?

  5. When Goal Setting Goes Bad

    If you ever wondered about the real value of goal setting in your organization, join the club. Despite the mantra that goals are good, the process of setting beneficial goals is harder than it looks. New research by HBS professor Max H. Bazerman and colleagues explores the hidden cost when stretch goals are misguided. Q&A.

  6. Sharpening Your Skills: Career & Life Balance

    Achieving a life that balances the pleasures and demands of work and life has never been easy. Here are four HBS Working Knowledge stories from the vault that address everything from spirituality in leadership to understanding when 'just enough' is truly enough. Questions asked and answered include: How do I get past a feeling of being stuck in life or work? Can I resist the temptations of success? Am I working too hard? Is there room for spirituality at the office?

  7. 10 Reasons to Design a Better Corporate Culture

    Organizations with strong, adaptive cultures enjoy labor cost advantages, great employee and customer loyalty, and a smoother on-ramp in leadership succession. A book excerpt from The Ownership Quotient: Putting the Service Profit Chain to Work for Unbeatable Competitive Advantage by HBS professor emeritus James L. Heskett, professor W. Earl Sasser, and Joe Wheeler.

  8. Goals Gone Wild: The Systematic Side Effects of Over-Prescribing Goal Setting (Working Paper)

    A working paper made the Top 10! For decades, goal setting has been promoted as a halcyon pill for improving employee motivation and performance in organizations. Advocates of goal setting argue that for goals to be successful, they should be specific and challenging, and countless studies find that specific, challenging goals motivate performance far better than 'do your best' exhortations. Lisa D. Ordóñez, Maurice E. Schweitzer, Adam D. Galinsky, and HBS professor Max H. Bazerman argue that it is often these same characteristics of goals that cause them to 'go wild.'

  9. High Commitment, High Performance Management

    High commitment, high performance organizations such as Southwest Airlines, Johnson & Johnson, McKinsey, and Toyota effectively manage three paradoxical goals, says HBS professor emeritus Michael Beer. His new book explains what all companies can learn. Q&A.

  10. Can Entrepreneurs Drive 'People Movers' to Success?

    Call them next-generation driverless taxis or people movers, the age of personal rapid transport is just around the bend. Could PRT change the face of public transportation in cities and smaller communities? HBS professor Benjamin G. Edelman weighs the benefits and opportunities for entrepreneurs and for society. 'Right now, the field is wide open,' he says.

TOP 5 WORKING PAPERS OF 2009

  1. Goals Gone Wild: The Systematic Side Effects of Over-Prescribing Goal Setting

    Download the PDF. For decades, goal setting has been promoted as a halcyon pill for improving employee motivation and performance in organizations. Advocates of goal setting argue that for goals to be successful, they should be specific and challenging, and countless studies find that specific, challenging goals motivate performance far better than 'do your best' exhortations. Lisa D. Ordóñez, Maurice E. Schweitzer, Adam D. Galinsky, and HBS professor Max H. Bazerman argue that it is often these same characteristics of goals that cause them to 'go wild.' Key concepts include:

    • The harmful side effects of goal setting are far more serious and systematic than prior work has acknowledged.

    • Goal setting harms organizations in systematic and predictable ways.

    • The use of goal setting can degrade employee performance, shift focus away from important but non-specified goals, harm interpersonal relationships, corrode organizational culture, and motivate risky and unethical behaviors.


  2. Do Friends Influence Purchases in a Social Network?

    Download the PDF. In spite of the cultural and social revolution in the rise of social networking sites such as Facebook and MySpace (and in South Korea, Cyworld), the business viability of these sites remains in question. While many sites are attempting to follow Google and generate revenues from advertising, will advertising be effective? If friends influence the purchases of a user in a social network, it could potentially be a significant source of revenue for the sites and their corporate sponsors. Using a unique data set from Cyworld, Raghuram Iyengar, Sangman Han, and HBS professor Sunil Gupta empirically assess if friends indeed influence purchases. The answer: It depends. Findings are relevant for social networking sites and large advertisers. Key concepts include:

    • There is a significant and positive impact of friends' purchases on the purchase probability of a user.

    • However, there are significant differences across users. Specifically, this social effect is zero for 48 percent of the users, negative for 12 percent of the users, and positive for 40 percent of the users.

    • 'Moderately connected' users exhibit 'keeping up with the Joneses' behavior. On average, this social influence translates into a 5 percent increase in revenues.

    • Highly connected users tend to reduce their purchases of items when they see their friends buying them. This negative social effect reduces the revenue for this group by more than 14 percent. This finding is consistent with the typical fashion cycle wherein opinion leaders or the elite in the fashion industry tend to abandon one type of fashion and adopt the next in order to differentiate themselves from the masses.


  3. 'I read Playboy for the articles': Justifying and Rationalizing Questionable Preferences

    Download the PDF. We want others to find us good, fair, responsible, and logical; and we place even more importance on thinking of ourselves this way. Therefore, when people behave in ways that might appear selfish, prejudiced, or perverted, they tend to engage a host of strategies designed to justify questionable behavior with rational excuses: 'I hired my son because he's more qualified.' 'I promoted Ashley because she does a better job than Aisha.' Or, 'I read Playboy for the articles.' In this chapter from a forthcoming book, HBS doctoral student Zoë Chance and professor Michael I. Norton describe various means of coping with one's own questionable behavior: through preemptive actions and concurrent strategies for reframing uncomfortable situations, forgoing decisions, and forgetting those decisions altogether. Key concepts include:

    • Because people do not want to be perceived as (or feel) unethical or immoral, they make excuses for their shameful behavior—even to themselves.

    • People cope with their own questionable actions in a number of ways, from forgoing certain experiences to rationalizing, justifying, and forgetting-a remarkable range of strategies allowing them to maintain a clear conscience even under dubious circumstances.


  4. Corporate Social Entrepreneurship

    Download the PDF. Accelerated organizational transformation faces a host of obstacles well-documented in the change management literature, according to HBS professor emeritus James E. Austin and Ezequiel Reficco. Because corporate social entrepreneurship (CSE) expands the core purpose of corporations and their organizational values, it constitutes fundamental change that can be particularly threatening and resisted. Furthermore, it pushes the corporation's actions more broadly and deeply into the area of social value creation where the firm's experiences and skill sets are less developed. The disruptive social innovations intrinsic to the CSE approach amplify this zone of discomfort. Fortunately, the experiences of innovative companies such as Timberland and Starbucks show how these challenges may be overcome. Key concepts include:

    • Values-based leadership, the synergistic generation of social and economic value, and strategic cross-sector alliances are key ingredients to achieving a sustainably successful business.

    • For companies to move their corporate social responsibility (CSR) activities to the next level, they need to rethink their current approaches to CSR, tapping into the creativity of each individual.




  5. The Devil Wears Prada? Effects of Exposure to Luxury Goods on Cognition and Decision Making

    Download the PDF. Gandhi once wrote that 'a certain degree of physical harmony and comfort is necessary, but above a certain level it becomes a hindrance instead of a help.' This observation raises interesting questions for psychologists regarding the effects of luxury. What psychological consequences do luxury goods have on people? In this paper, the authors argue that luxury goods can activate the concept of self-interest and affect subsequent cognition. The argument involves two key premises: Luxury is intrinsically linked to self-interest, and exposure to luxury can activate related mental representations affecting cognition and decision-making. HBS professor Roy Y.J. Chua and Xi Zou show that exposure to luxury led people to think more about themselves than others. Key concepts include:

    • Luxury does not necessarily induce people to be 'nasty' toward others but rather causes them to be less concerned about or considerate toward others.

    • Exposure to luxury goods may activate a social norm that it is appropriate to pursue interests beyond a basic comfort level, even at the expense of others. It may be this activated social norm that affects people's judgment and decision-making.

    • Alternatively, exposure to luxury may directly increase people's personal desire, causing them to focus on their own benefits such as prioritizing profits over social responsibilities.