Winning Moves Blog

With many retailers struggling, some of their suppliers signaled an intent to sell directly to consumers, like internet marketers do. This cuts out retailer middlemen.

For example, Procter and Gamble is trying direct-to-consumer selling, according to a July Wall Street Journal article which I commented on in my most recent newsletter about P&G’s interest in cutting middlemen. As I discussed in that newsletter, companies like Procter and Gamble have valuable strengths in their relationships with retailers. And, building on strengths—not throwing them away—is generally what succeeds.

That’s why it’s encouraging Continue reading “Treating Middlemen as a Valuable Resource” »

Big Data, analytics and technology can lead to better decision making and enhanced productivity, enabling companies to compete more effectively in today’s fast changing world. To reap those benefits, however, data needs to be meaningful and technology must be used appropriately. Otherwise, their beneficial impact can remain elusive. That’s why a common theme on this website has been that Big Data, analytics and technology often require human Continue reading “Human Emotions and Why Smart Computers Still Can’t Do It All” »

We repeatedly hear about the struggles of traditionally bricks and mortar retailers. Many have been closing stores as retailing undergoes tremendous change and online shopping continues to grow. While internet marketers like Amazon thrive, the outlook for physical retail stores is often portrayed bleakly.

But, there are signs that bricks and mortar has a fighting chance of “As Technology Reigns, What Bricks and Mortar Malls…” &raquo

A recent Wall Street Journal article (May 26, 2016) with the headline “Focus Is In, Scale Is Out for Tech Giants,” tells that major tech companies have been shedding lines of business.

The article mentions that Microsoft has been dismantling the smartphone business it invested billions to acquire not all that long ago. The article also discusses HP’s efforts to slim down, and includes a picture of Hewlett Packard Enterprise CEO Meg Whitman next to a chart showing her company’s revenues in decline. According to the article, tech companies need to scramble as the market changes and “scrambling is hard when you are huge.” Regarding the tech sector’s tendency to shed assets and shift toward greater focus, the Wall Street Journal article says, “That is quite the change. Scale once mattered in tech.”

But, the Wall Street Journal’s statement about scale can Continue reading “Scale Still Matters, Despite Giant Companies Shedding Businesses” »

The most recent earnings report for Alphabet, Google’s parent company, indicated that the company’s big bet moonshot businesses did not perform well in terms of revenue and earnings. The article “Big ‘Bets’ Temper Google’s Earnings” by Jack Nicas in the April 22, 2016 issue of the Wall Street Journal, reported that losses from Alphabet’s moonshot laden non-Google units increased to $802 million, although revenue from those units more than doubled to $166 million. As the article points out, Alphabet “posted healthy increases in first quarter revenue and profits, driven by the growing strength of its core Google business on mobile devices,” but in the company’s non-Google businesses, losses grew.

The weak financial performance of Alphabet’s moonshots is not surprising. Nor, is it necessarily discouraging. Continue reading “Alphabet’s Moonshot R&D: Potential Value for Google, Not Necessarily New Revenue Streams” »