Experience Stern | News

Excerpt from CCTV -- "Now that China's become the world's largest investor – investing twice as much as the US last year in real terms, so it's really the largest investor by a wide margin – the efficiency of China's investment is a matter of global concern. And China's financial system will largely determine the efficiency of that investment because it's the financial system that decides which projects get financed. And China's financial system has been dominated by its banking sector, while the stock market's been a bit of a side show. But what our research is finding is that China's stock market is actually doing quite well and probably deserves more attention and more capital."

Excerpt from CNBC -- "'I think the central bank is making occasional interventions to make traders understand that this [the yuan] can go up or down. It does look like tactical maneuvering more than anything else,' Michael Spence, professor of economics, at the NYU Stern School of Business, said on CNBC, with regards to whether the central bank was deliberately guiding the yuan lower in order to support the economy."

Excerpt from WIRED UK -- "The next time someone says that Twitter is worth $50 billion because it's going to have $100 billion in advertising revenue, stop them and ask, 'Well, if it's going to have $100 billion in ad revenue, then who's losing? Because it can't be coming from The New York Times, as most newspapers are penny change in this market. It's got to be coming from Facebook or Google. So if you have Twitter, Facebook and Google in your portfolio and you're telling me that each of these companies is going to be collecting enormous revenues, then I have a problem. Because you have all winners and no losers. It's not a zero-sum game; at some point for every winner there have to be some losers."

Excerpt from CNBC -- "It looks like China is not scheduled for any kind of hard landing as far as I can see, and they're really just nervous because they're waiting for the household sector to kick in and sort of help out because the export sector is contributing next to nothing to growth and they don't want to overuse the investment lever."

Excerpt from Ecommerce Times -- "'In the case of Zappos, because it is about prospective job candidates, people are going to be very measured and selective about what they say and do on these internal forums,' Ghose told the E-Commerce Times. 'They would want to give the best possible impression to prospective recruiters, and so their content will be very carefully curated.'"

Excerpt from Forbes -- "One theoretical economical model that comes to mind that supports Kelly’s belief is Michael Spence’s signalling model of education. In this model, a person with high ability, ability that cannot be directly observed by prospective employers, looks for some way to signal that ability to differentiate himself from lower ability competitors."

Excerpt from Mashable -- "'I've noticed that in cities where Uber competes with Lyft, the pricing is substantially lower than in markets where they don't compete,' said Arun Sundararajan, professor of Information, operations and management sciences at New York University. 'New York is one of the markets where they don't compete with Lyft.'"

Excerpt from mbaMission -- "An expert on game theory and its practical application to business strategy, Adam Brandenburger ('Game Theory and Business Strategy') was voted the NYU Stern MBA Professor of the Year in 2006, and in 2008 received an NYU Excellence in Teaching award in recognition of his teaching and course development work."

Excerpt from Financial Times -- "I think the best way I can explain [the difference between price and value] is with an analogy. Let's suppose you go to look at a house that you want to buy. Your realtor points to the house. She names a price, or he names a price, and you say, 'Where did you come up with that number?' And the reality is, he or she came up with that number by looking at other houses in the neighborhood and what they sold for. A lot of people invest the same way. If you ask them, why are you paying $50 for Twitter or $600 for Apple, the reality is they haven't valued the company in any real sense, they've priced the company by looking at what other people are paying for the stock. That's the essence of the difference. Price is based on what other people pay. Value is based on what you think you can get back in cash flows from investor."

Excerpt from The Globe and Mail -- "In the retail sector, Mr. Galloway argued that Amazon.com Inc. is a big winner at the expense of brands that have weak digital strategies, such as Target. He offered what might be the best metaphor I’ve ever heard to explain what Amazon is doing by building gigantic fulfilment centres outside of urban areas. He suggests that while the cable company is your conduit for digital bits (think cable modem service), Amazon’s fulfilment business is set to become your conduit for atoms (physical stuff). Because Amazon spends so much money on technology and fulfilment, Mr. Galloway says it’s like they’ve gone underwater with a huge oxygen tank and forced their competitors, who have much smaller oxygen tanks, to dive down too. He calmly predicts that the weaker players will run out of air and drown."