Global financial crisis weighs on Vietnam’s economy

Over 2008 Vietnam’s economy has been suffering from overheating, high inflation and a large trade deficit. It has also started feeling the impact of the global financial crisis as shrinking external demand and falling commodity prices weigh on exports and tourism. The government has eased its tightening policy to prevent the economy from a deeper slowdown.

Leader-first impressions count

Most new leaders don’t realize that their first few days are absolutely crucial for developing relationships with subordinates – and that getting it wrong is not only difficult to reverse but can also trigger vicious performance spirals. Professor Jean-François Manzoni and Research Fellow Jean-Louis Barsoux argue in Chapter 20 of the OWP book 2008, Riding the Winds of Global Change, that taking the time to build relationships should be a new leader’s top priority.

Managing talent

When executives talk about business talent, generally they refer to emerging or established leaders within the company. Equating “talent” with leadership potential is incomplete because other talent categories are essential for the success of the business model. In a recent study, we have observed three categories of “business model critical” employees:

If the global financial crisis become a global trade crisis

At this perilous hour there has to be a very loud bugle warning that the world economy could be facing disaster. This is not Cassandra. This is a cold hard look at reality and matching it with rhetoric.

There is little disagreement that this is the worst global financial crisis (GFC) since 1929. It took a little while to own up to that reality, but it is not any more seriously challenged. However the “conventional wisdom” remains that while a repeat of 1929 may be occurring, there is little chance of a repeat of 1930, referring to the passage of the Smoot-Hawley Tariff in June of that year that precipitated the world into protectionism, trade wars and the catastrophic social, economic and political repercussions that ensued. In other words, the GFC will not degenerate into a GTC (global trade crisis).

Opportunity-based marketing

While it would be true to say that much of marketing lore has been around for the last thirty odd years, it would be equally true to say that a good deal of it has not been particularly effectively applied. Is there really anything new under the marketing sun these days or is it just the same old, same old?

The short answer is that it is same old … but with a marked difference. Current marketing emphasis is heavily on closing the gap between mindset and execution, and maximizing the amount of sophistication that can be obtained from very often fundamental concepts. The rise and times of the application of an “opportunity-based marketing approach” is a classic example of this zeitgeist.

New metrics for business development

Many companies today are striving for more innovation, more new products and faster top-line growth. All of this depends on effective business development. In some companies, business development is viewed as a strategy and applies more to acquisitions or targeting of major investments. In any event, business development is an important sub-discipline of marketing and needs to be pushing the launch of new products and services, and obtaining a foothold in new territories or segments. What are some of the challenges companies face when getting out there?

The battle for consumer mind

Retailers have not only gained strength over the last 20 years but have also outgrown their leading branded suppliers by far. In Chapter 18 of the OWP 2008 book “Riding the winds of global change” (published in September 2008), Professor Martin A. Koschat and Research Fellow Willem Smit examine the dynamics and future trends of retailer versus manufacturer brand power.