Monthly Archives: June 2018

  • Permalink Gallery

    What Twitter reveals about a company’s reputation and productivity

What Twitter reveals about a company’s reputation and productivity

Reputation plays an important signalling role in an imperfect information world and companies endeavour to preserve it. In this study, I evaluate empirically the role of reputation for companies that engage in Twitter. The results confirm that getting negative tweets, many expressing grievances, strongly correlates with low firm performance, suggesting the importance of social media (SM) in times when […]

  • Permalink Gallery

    Navigating the fintech landscape with a customer-market-competition matrix

Navigating the fintech landscape with a customer-market-competition matrix

New fintech firms are bringing a stream of technology innovations to the financial services industry, and banks and other incumbent firms are experiencing extraordinary competitive pressures and process-disrupting new rivalries in many of their primary business areas. Industry and academic observers think this is a revolution, with financial services as a whole due for major improvements in the efficiency […]

The ethical downside of hiring based on internal referrals

Increasingly, organizations are turning to referral-based methods to hire new employees (i.e. “recommend a friend/acquaintance”). In fact, these practices are estimated to account for up to 50 per cent of new hires and some organizations pay up to $20,000 to people referring someone they know for a job. The practice itself is relatively simple – it consists of a hiring manager […]

  • Permalink Gallery

    Quantifying structural reforms in OECD countries: a new framework

Quantifying structural reforms in OECD countries: a new framework

In many OECD countries, economic growth has yet to recover the lost ground suffered in the aftermath of the financial crisis. In some of them, unemployment has been persistently high, investment rates disappoint, and productivity is extremely sluggish – a “low growth trap”.

Put differently, all three sources of sustainable long-run growth under-perform. This jeopardises societies’ ability “to make good […]

June 18th, 2018|Economics|0 Comments|
  • Permalink Gallery

    The Politics of Financial Risk, Audit and Regulation: A Case Study of HBOS – Book Review

The Politics of Financial Risk, Audit and Regulation: A Case Study of HBOS – Book Review

The Politics of Financial Risk, Audit and Regulation: A Case Study of HBOS. Atul K. Shah. Routledge. 2017.

Find this book: 

In The Politics of Financial Risk, Audit and Regulation: A Case Study of HBOS, Atul K. Shah examines the HBOS collapse of 2008, and uses it as a platform to more broadly critique the ways in which finance is regulated by […]

June 17th, 2018|Book Review|0 Comments|

Why tech markets are winner-take-all

‘Competition is for losers. If you want to create and capture lasting value, look to build a monopoly’– Peter Thiel, cofounder of PayPal and Palantir

In the 1960s, IBM dominated the mainframe market. It still does. In the 1980s, Microsoft and Intel dominated the PC software and processor markets. They still do. From the 1990s, with the World Wide Web, […]

  • Permalink Gallery

    When organisations take more than they give to the equality agenda

When organisations take more than they give to the equality agenda

When an organisation makes loud claims about equality at work, they’re not contributing to the agenda. They’re taking from it. They’re withdrawing reputation and brand equity and depositing little back in return.

To return that equity, they need to take meaningful action. You can often spot ‘meaning’ because it brings risk and scrutiny. It’s likely to lead to a structural […]

  • Permalink Gallery

    Rowntree and the search for a British approach to management

Rowntree and the search for a British approach to management

The Rowntree management conferences are a unique repository of thinking about management in general and British management in particular. Held over a span of nearly twenty years, they encapsulate a certain strand in management thought that, unlike many other contemporary management theories, was liberal, human-centred and forward-looking. They are an experiment – tried once and never really repeated – […]

June 14th, 2018|Management|0 Comments|

AI’s lack of transparency triggers a debate over ethics

Alexa may be up to more tricks than just unnerving us with her creepy laugh.

The artificial intelligence technology that drives Amazon’s digital assistant and others like it is being used in an ever-growing list of applications. Some, like a Netflix recommendation on what to binge-watch next, are relatively benign. Others, however, hold high stakes: sizing up job applicants, reviewing […]

  • Permalink Gallery

    Cryptocurrencies: the future of money, speculative bubble or something else?

Cryptocurrencies: the future of money, speculative bubble or something else?

This month’s episode of the LSE IQ podcast investigates whether cryptocurrencies are the future of money, a speculative bubble that will burst, or something else.

In 2008 a person or group going under the pseudonym ‘Satoshi Nakamoto’ published a white paper setting out the fundamentals of a peer-to-peer electronic cash system called bitcoin. This would do away with the need […]

  • Permalink Gallery

    A postgraduate degree protects you against the business cycle

A postgraduate degree protects you against the business cycle

College graduates receive a wage premium over non-college workers. However, both types of workers are subject to similar wage shocks over the business cycle. As the share of workers with postgraduate degrees has doubled since 1980, I compare postgraduates to those who only have bachelor degrees. I document a new fact: in the US, postgraduates experience smaller shocks to […]

Ten questions to help you turn strategy into reality

Sustainable growth depends on delivering the right strategies the right way. Yet this is something that organisations appear ill-equipped to do. Our work at the Brightline Initiative is examining what causes the gap between strategy and implementation and how it can be closed. Our research suggests that business leaders need to answer ten key questions for their strategies to more effectively […]

  • Permalink Gallery

    Two corporate governance mechanisms: activism and hostile takeovers

Two corporate governance mechanisms: activism and hostile takeovers

Hostile takeovers have long been considered the quintessential disciplinary governance mechanism. A similarly confrontational strategy has lately come to prominence by way of activist hedge funds that buy into poorly run firms and use the threat of hostile tactics to pressure management into accepting specific proposals to improve shareholder value.

Our paper compares these two governance mechanisms within a unified framework where any outside investor […]

The fallacy of basic economic rights

One of the main questions dividing the left and the right is about how economic rights rank compared to other rights and public goals. That is, the question is about what can or cannot outweigh economic rights.

Basic vs prima facie rights

The left regularly argues that economic rights can be outweighed by legitimate state interests, like social justice, such that […]

Why endorsements may advantage MBA applicants

The graduate school application process can be daunting and highly competitive, particularly in the case of Masters of Business Administration (MBA) programmes. The process starts when candidates submit an application that typically includes their resume, cover letter, essays, transcripts, and standardised test scores. Akin to screening and hiring assessments in many of today’s corporations, applications are then evaluated by […]

  • Permalink Gallery

    Brexit and Beyond: Rethinking the Futures of Europe – Book Review

Brexit and Beyond: Rethinking the Futures of Europe – Book Review

Brexit and Beyond: Rethinking the Futures of Europe. Benjamin Martill and Uta Staiger (eds). UCL Press. 2018.

Find this book: 

With a deal on the post-Brexit transition period agreed in March, the UK and the European Union are getting closer towards building a framework for their new political, economic and security relationship. At the same time, both the process and consequences […]

June 10th, 2018|Book Review|0 Comments|
  • Permalink Gallery

    Jobs cannot be created by fiat: efforts to do so will cause harm in the long run

Jobs cannot be created by fiat: efforts to do so will cause harm in the long run

What’s the difference between a developed country and a developing country? Filling station attendants.

Whereas most of the western world allows you to fill your tank, you will still find filling station attendants in some of the largest economies in the developing world, and nearly everywhere on the African continent. The primary defence is jobs; in Brazil, for example, a 2000 […]

June 9th, 2018|Economics|0 Comments|

Whether you like it or not, office politics is unavoidable

We meet many people in organisations who have an ingrained aversion to organisational politics. They see politics as divisive, sinister and illegitimate. They say: ‘Without politics, this organisation would function smoothly’. They are wary of the competition for jobs, status and power which often leads to dishonesty and manipulation. They fear that political skill is incompatible with personal authenticity […]

How the WPP board bungled Martin Sorrell’s departure

At first sight, Martin Sorrel’s departure from Wire and Plastic Products (WPP) — the company he founded and grew into an industry-changing and defining global force — underlines the importance and significance of independent-minded supervision of executive boards by non-executive directors. To many it appeared that the WPP board behaved impeccably when they appointed external legal advisors to investigate […]

Why the co-working industry must take creativity seriously

The rapid, ongoing growth of the co-working industry reflects a broader transformation: over the past decade or so, work has not merely become increasingly flexible and entrepreneurial – it has also been reinvented as a commodity. Sold to people desiring autonomy, comfort and a cure to entrepreneurial loneliness (among other things), co-working providers are refashioning work as a consumer experience requiring […]