AI, diversity, economy, entrepreneurship, new economy, risk management

Diversity Matters… Especially In Business

Even before the economic crisis wrought by the Coronavirus, the economy is changing at a rapid pace. Companies in many sectors that have been pillars of the economy have fallen on hard times. Companies that were leaders in industrial America have seen their market cap fall by 2/3rds in the past year. Leaders in retail have closed hundreds of stores and laid off thousands of people. Even technology companies that started off strong in the past 10 years have suffered setbacks in the past year due to corporate governance issues.

As technology advances, the challenge for businesses to stay competitive becomes amplified. In the last 5 years, advances in robotics and AI (Artificial Intelligence) have significantly added to the bottom line of companies. That pace of change seems to be accelerating. But even as technology expands its importance, what will human workforce need to look like.

Continue reading “Diversity Matters… Especially In Business”
economy, entrepreneurship, new economy, retirement, risk management

The Work of Nations: 30 Years On…

When I first read “The Work of Nations” by Robert Reich in the mid-1990s I had almost no background in macroeconomics. (1) But in reading it, Reich was able to effectively describe how radically the economic system was changing as a result of Globalization. Reich at the time was Bill Clinton’s Secretary of Labor and a key member of his economic team.

As context, China’s economy in 1991 was $400 billion compared to $6,174 billion for the US. China entered the global trade organizations in 1992. Today China’s economy is $15.6 trillion compared to $23 trillion for the US for 2021. (11)

Continue reading “The Work of Nations: 30 Years On…”
AI, economy, entrepreneurship, new economy, retirement

“Morning in America…”

I was driving into work today and a Chevy Volt sped by me. Yesterday a Tesla Model S was parked in front of my office. In Q2 of 2019 Tesla produced over 72,000 cars, including the mass production version Model3. By Q3 of 2021 Tesla had produced 240,000 cars. (1)

Technology is bringing a renaissance to American manufacturing. (2) New industries and new job descriptions are being created, even as “old economy” jobs become antiquated and outsourced to robots. (3)

Technology is allowing people to use their existing assets in order to bring in more income, such as Uber and Lyft (using the car) and AirBnB (using the house). Websites such as Amazon, Ebay, Shopify and Etsy allow people to open their own virtual shops, without the need for brick and mortar retail space. The internet allows more and more people to connect to influencers and decision-makers, allowing people to earn money as consultants and contractors.

I remember when I was in middle school in the 1970’s, times were hard for my parents… I remember thinking as a teenager ‘I want a simple government job where I don’t have to worry about things like pink slips, bankruptcy, or how are we going to afford presents for Christmas.’

Continue reading ““Morning in America…””
entrepreneurship, risk management

Management Flaws in Corporate America

The most recent rounds of corporate earnings reports for retail companies has by and large been very disappointing. Many companies are struggling to survive in an environment dominated by a few large ecommerce companies. (1) Life in an age of COVID has driven many to rely upon online sales.

Disappointing earnings have resulted in lowered outlooks and fallen stock prices of many retail companies. (2)

I recently had the opportunity to talk to several people who work in corporate America, particularly retail. What I learned is scary.

In addition to focusing on closing stores and reducing costs, many companies are resorting to extreme discounting and price matching strategies in order to draw in more traffic and stimulate sales. However, the net impact of this approach has been to alienate the company’s high value core clients (due to impaired customer service) and to attract a clientele that is focused on lower price and discounts. As a result margins are being squeezed even more than before.

Continue reading “Management Flaws in Corporate America”
Climate change, economy, entrepreneurship, environment, ESG, life insurance, new economy, protection, retirement, risk management, Socially Responsible Investing, SRI

Embracing the Future: An Interview with Charlotte Markward

I met Charlotte and her Husband Randy years ago at a Green Drinks in Philadelphia. It was before the days of Tesla, widespread solar power and organic food sections at the grocery store. People got together to share a beer and dream about a future that would be more sustainable. Things have changed a great deal in the past few years.

Charlotte is a graphic designer based in Philadelphia. She has agreed to share some of her experiences and insights so that we all might have an easier path to financial security.

Charlotte has been interested in supporting socially responsible investing for many years. I asked her what it means to her. Charlotte said, “For one thing it’s smart. We have a finite amount of resources and we are running out of them. To continue doing things in the old ways is to set yourself up for failure. Green investment is where the growth will be.”

Continue reading “Embracing the Future: An Interview with Charlotte Markward”
economy, entrepreneurship, income

In Memoriam, Alan Krueger and Raising the Minimum Wage

Anyone who knows me, knows I don’t easily shed tears. But I did on Monday March 18th, 2019. For over an hour I wept.

On this day it was announced that Alan Krueger, beloved Princeton economist, had passed away over the weekend. (1)

Michael Mckee of Bloomberg said “He was one of the nicest people in economics, always willing to sit down and explain concepts to you, to talk with you, it’s a real shock…” Peter Coy continued, “If he were just a nice guy it would be one thing, but he was also a deep scholar…” McKee explained, “There are a lot of economists doing important work, but Krueger really had an enormous impact on public policy outcomes.” All concurred, “It’s a tragedy.” (3)

Continue reading “In Memoriam, Alan Krueger and Raising the Minimum Wage”
economy, entrepreneurship, health, key man insurance, life insurance, protection, risk management

Protecting your business, and your legacy

Most business owners, CEOs and executives are laser focused on driving their business or enterprise towards success. They are responsible for preserving and expanding sales and revenue. They are responsible for hiring and firing. They are responsible to investors and stakeholders to manage risk and ensure success. They handle client relationships, research and development, marketing and IT… As leaders they wear many hats and carry a lot of weight on their shoulders.

But what happens when a CEO or leader within a company passes away? What is the impact on the business and the employees who depend on that business for their livelihood?

Continue reading “Protecting your business, and your legacy”