Premium retail space in premium markets is no longer a draw in a market shifting further online. Many shopping malls struggle to find profitable tenets and now the problem is hitting Fifth Avenue as well.
Interesting read on how networks reliance on sports may alter if tech companies enter the bidding for broadcast rights.
The economy continues to grow strong. The growth after seasonal adjustmentsmwas 3.2%. Combined with strong jobs and wage growth, the economic outlook remains positive and strong.
Although not official, many sports news agencies are reporting that the AAF will suspend operations and move towards folding short of completing their inaugural season. The spring football league some hoped would serve as a talent farm for the NFL, where the fringe players could harness their skills. Unfortunately, the league is struggling financially.
Football is king in the American sports world, but it needs to fit into a convenient block of the calendar year. After the Super Bowl, sports fans continue to watch potential free agent news while shifting to other sports. One has to question whether competing with the NCAA tournament was the best approach. Combine the interest in the NBA playoff run and Opening Day in MLB, there might not be a convenient window for another football league.
Given the potential quick hook for the AAF, one must question whether resurrecting the XFL makes any sense. The financial situation for the XFL is much different.
Like Dell and other mature tech companies, Apple will move towards services to offset losses in equipment sales. The same strategy for HP and IBM.
If hiring managers struggle to fill positions, they might need to reconsider their candidate pools. There are plenty of people who do not partake in marijuana, legal or illegal. In certain, the impact of influence while on the job could be catastrophic, like the building incident in Philadelphia not that long ago. Recreational use may be legal but companies need to consider whether use is an acceptable risk.
The above article is a great read on how an iconic American company lost it’s way.
Sears made many mistakes along the way. The lack of concern about the rise of Walmart, Best Buy, and Home Depot. The merger with a bankrupt KMart. The clear lack of concern for store maintenance and appearance. The biggest one was not really knowing its customers and prospective customers.
From the above article,Sears did a lot of things first that are now staples of retail. But, their customer base was not one that sought those conveniences. A clear lack of connection was Sears believing its customers would drive 25 miles to purchase an appliance if they had any other option.
Like many mature companies, Sears leadership valued returns more so than customer growth. Profitability in the near term placed greater importance than profitability in the long term. Sears needed to connect with new audiences to augment its base.
Sears was a great retailer that stood by its products. Sears was a fixture in the homes of many generations. The shame is many future generations may not experience the unique experience of shopping at a Sears.
Small and medium businesses, especially new operations, have the challenge of matching service standards in competing for customers against industry leaders. Industry leaders benefit from brand awareness of not only their name, but their product lines. New players must generate both.
In many industries, there are minimal performance expectations that producers must meet to qualify as a viable option for consumers. In the above article, community banks struggle to meet the convenience standards big banks established in the minds of consumers. Online banking capabilities makes people less likely to go into a branch.
Community banks need to find strategies to provide similar convenience if they want to avoid bank runs.
Free enterprise will always be the sources of our nation’s best ideas. In the above link, Synova might have found a direct solution to utilizing garbage for the creation of power, which would reduce landfill utilization and ocean pollution. While some on the far left of center want to create green armies, Synova uses innovation and entrepreneurship to identify rational solutions.
GE attains some needed cash flow help as it prepares to spin off health care. One division, biotech, will not be part of the new company, but will find a new home in Danaher.
CEO Larry Culp Hope’s to restructure the iconic conglomerate in order to provide better returns and improve retained earnings.