At a large, established company, several employees get together and hatch a plan for a new business. Eventually, they make the leap, exiting their old firm and launching a venture that takes off and achieves great heights.
This oft-repeated tale is usually considered a business success story. Spin-offs have the potential to generate great value. New companies create jobs and spawn new products and services. When the process starts happening at a number of firms in the same place at the same time, business clusters form, spreading prosperity across an entire region.
Caroline Flammer, Lecturer, Global Economics and Management
We generally think of corporate social responsibility (CSR) as a sort of feel-good policy, as something that is good for public policy or public relations but not a company’s bottom line. But my research finds that good corporate citizenship can actually lead to superior financial performance. A company’s social engagement is actually a resource that can create positive value and improve competitiveness. Read More »
I am just back from an exciting weeklong trip to China to meet applicants for a new program MIT Sloan is helping develop at Yunnan University for women entrepreneurs. The program is part of Goldman Sachs’s 10,000 Women Initiative. Goldman’s initiative is a $100 million campaign designed to provide business and management education to promising female entrepreneurs in developing countries.
I met 15 candidates and found them each to be impressive – educated, articulate, and brimming with ideas. They have already experienced some success: some of them had at least 1 million yuan in revenue, which is about $150,000. Read More »
It’s no secret that the labor market is tough these days. But the issue isn’t just the number of people who are unemployed. It’s also income inequality and the low pay of retail employees that’s concerning. Retail employees represent close to 20% of the U.S. workforce.
In retail, conventional wisdom holds that if you want to offer the best prices then you can’t afford to invest in your employees. Typical retail workers receive minimal training, irregular hours, and no benefits for part-timers. Turnover is high with understaffing common.
Wages are so low that retail workers tend to rely more on public assistance than workers in other industries. If companies actually invested in their employees by offering better jobs, many of these people could move into the middle class, which is critical in our economy.