Turnaround that almost cost bankrupcy

21 Aug

According to The Guarding a federal judge has approved Kodak’s plan to emerge from bankruptcy protection. It seems interesting that company once so notorious in film and photo printing business has hit the bottom so harsh – but I suppose this is the price to pay for everyone who’s core competencies loses value in today’s world of business and who is over confidential to change.  Continue reading

The concept of core competences and how they might be measured

18 Aug

In highly competitive markets core competence is the central concept for corporate strategy.[1] Core competences means particular skill or competence of a company that is fundamental to its business success,[2] for example, McDonald’s probably has a skill in real estate management that allows company to locate their restaurants in the most densely populated areas. Or Lattelecom probably has a core competence in financing and monetizing infrastructure that leads to sustainable competitive advantage.

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Myth about costs and time consumption of financial analyses

5 Jan

Recently I have come across many misuses or avoidance of using financial analyses in corporate governance by some CEOs or pretty large companies in Latvia. Each time I try to understand the point of a person that is avoiding financial analyses as some kind of ‘disease’. It turns out that arguments usually are more or less the same. Summarizing main arguments against using financial analyses or even using some KPI are that it is expensive or it takes much time. By such reasoning obvious it is easy to relay on data received from accountant rather than calculating KPIs. As I do not agree to such reasoning I give few arguments for using financial analyses.

Simple financial analyses can be done using pencil and paper or in more ‘sophisticated way’ by using excel spread sheet. In times of start-up businesses when new projects and creative ideas tend to get born each day it would not be wise to employ expensive tools however it is more than important to use financial analyses and see perspectives. It is more expensive not to use financial analyses for day to day business than using it. Continue reading

Social sales – extend your reach

16 Nov

Recently term ‘social sales’ have come to a spotlight. This week LinkedIn and HootSuite organized a webinar on the subject which was really easy to follow on HootSuite and twitter as well under hash tag #salesissocial.

What is a social sale? Social sale can be defined as a sales where sales person is informed about the person it is trying to sell to and tries to deliver a custom-fit solution, product or service for him or her. Social changes the sales games – allows us to customize the information we are delivering! Continue reading

New York ground to a halt – Force Majeure in action

31 Oct

US financial markets largely closed the last few days. It seems to be unprecedented case in history. It seems that large part of the world has stopped for few days. Continue reading

Success story of Latvia?

22 Oct

Last couple of days I had a chance to be present at several events that tend to address some of the issues that are present in Latvia. For example, migration of people to other countries, level of education and is Latvia an attractive place to live. Yesterday Paul Krugman posted in The New York Times Opinion pages his conclusions based on real GDP growth and unemployment rate of Latvia. Continue reading

Dogs will have new beds thanks to donations of studens

21 Oct

Students of Stockholm School of Economics in Riga – leading business school in the Baltic/Nordic region, has donated income from a project developed during studies to animal shelter “Labās mājas”. Project aim was to develop a new brand – Ko?Nu, and to sell it to a specified product target group. Money donated will be used to buy new beds for dogs. Continue reading