Research Highlight

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How to Compete in China’s E-Commerce Market

A surprising number of high-profile Western companies have stumbled in e-commerce in China, including Amazon and Google. This article offers a list of workable strategies to succeed in Chinese e-commerce, gleaned from U.S. companies’ experiences.

There is no one-size-fits-all solution. However, in a market like China’s, where local knowledge and culture are crucial to success, more thought should be given to how to better serve local customers and adapt in a rapidly changing market.

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Why Showing Your Face at Work Matters

Working from home or other remote work arrangements can be beneficial to both employees and companies. However, these nontraditional arrangements also have hidden pitfalls. Employees who work remotely may end up getting lower performance evaluations, smaller raises and fewer promotions than their colleagues in the office — even if they work just as hard and just as long. The difference is something called “passive face time” -- the simple act of merely being seen in the workplace.

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When Is an Outsider CEO a Good Choice?

On average, CEOs recruited from outside the company perform about the same as those who come up through the ranks, the authors’ research suggests. But there are certain circumstances in which outsider CEOs tend to do better: CEOs recruited from outside the company outperform those who come up through the ranks at companies with a recent history of poor performance. The author studied CEO succession in 90 single-business organizations over 30 years in the U.S. airline and chemical industries.

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Enhancing Relationships With Customers Through Online Brand Communities

Online brand communities can bring customers closer to a brand, generate “buzz” and enhance brand loyalty. Yet, important as online brand communities are to consumer markets, little is known about the role they play in consumer decision-making. Although the popularity of online brand communities as a means of gathering pre- and post-purchase information continues to grow, knowledge about how to effectively manage those conversations remains scant.

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The Perils of Social Coupon Campaigns

Social coupons have become a popular form of marketing promotion. Businesses such as restaurants, car washes and dry cleaners pitch coupon discounts through Internet sites such as Groupon and LivingSocial in hopes of attracting a new crop of customers. But a poorly designed coupon campaign can do serious harm to a business’s profit margin. While the coupons can generate value for customers and the social coupon service providers themselves, they can lead businesses into a thicket of problems.

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The Case for Standard Measures of Patent Quality

The current balkanized approach to measuring patent quality is not serving the users of the world’s patent systems. Like those advocating for the metric standard two centuries ago, we have an incompatibility problem today in the international patent system. But how the global patent system is organized and managed has far-reaching implications for innovation, consumer choice and corporate profits.

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Are CEOs Getting the Best From Corporate Functions?

At too many large companies, corporate functions like HR and IT don’t get enough strategic direction from the CEO. The result of this undermanagement is mixed performance. While some corporate functions fulfill their roles highly effectively and win praise from the heads of operating units, most do not. Without sufficient guidance, corporate functions can become — often unintentionally — self-serving.

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Image courtesy of Flickr user utpal.

Should Top Management Relocate Across National Borders?

International relocations of entire corporate headquarters are rare. But the relocation of top management team members is happening more and more. For instance, a desire to be close to its major global customers led Halliburton Co., an international oil services group, to relocate the company’s CEO from Houston to Dubai. But there are strategic costs and benefits of such decisions. Deciding which option to pursue depends on the strength and interplay of the relocation drivers and barriers.

Image courtesy of Flickr user Electrolux Design Lab.

Should You Have a Global Strategy?

Senior executives weighing strategies appropriate for today’s global economy will hear contradictory advice. Some say you need to move quickly, before competitors, to establish a worldwide presence; others cite data showing that this approach is often less profitable. The reality is that neither approach is appropriate for every circumstance. Therefore, executives need to understand when to pursue one route and when to pursue the other.

Image courtesy of Flickr user alvazer.

The Business Models Investors Prefer

Why are investors so bullish on companies like Apple and Disney? Is it metrics, management, industry prowess, good investor relations or good timing? Probably all of these. But something else may be at work, too. According to research conducted at the MIT Sloan School of Management, the stock market consistently values certain types of business models more highly than others. In recent years, investors have favored models focused on intellectual property and highly innovative manufacturing.

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Can Marketing Lift Stock Prices?

Traditional marketing practices are increasingly viewed with skepticism. In many organizations, marketers struggle to document the return on investment for expenditures; as a result, marketing has less influence in the boardroom — and marketing is viewed as a questionable cost rather than a worthy investment. This article is based on a study that found that certain marketing techniques can influence a company’s stock market valuation — if the techniques increase customer lifetime value.

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Image courtesy of Flickr user Linh_rOm.

What Great Projects Have in Common

From time to time a company’s project truly stands out, creating exceptional value and having an impact on the industry. IBM’s AS/400 development effort in the 80s was a game changer and gave IBM a competitive edge. Apple Inc.’s success in creating the iPod portable media player and iTunes online store is another more recent example of a great project — one that changed the way people listen to and buy music. Why are such projects so rare — and why can’t more projects be like them?

Showing 61-80 of 224