Crain’s New York Business, Education Report: “Startup Factories”

New York’s colleges are stepping up support of budding entrepreneurs with courses, mentoring, networking, awards. High marks were given to Pace’s Lubin School of Business, where a 2011 pitch contest drew an audience of 400 — including venture capitalists, angel investors and bankers.

A special Education Report in the April 23 issue of Crain’s New York Business focuses on how New York’s colleges and universities have ratcheted up their commitment to supporting budding entrepreneurs in recent years.  With courses, mentoring, networking and cash awards, they are growing crops of would-be entrepreneurs that they say are far better prepared than their predecessors. 

Lubin Professor Bruce Bachenheimer,  Director of Pace’s new Entrepreneurship Lab, was interviewed by Steve Garmhausen for the article and his comments are highlighted below.  Read the Education Report in its entirety by clicking here:

  • One of the latest manifestations of the trend: the February launch, by Pace University’s Lubin School of Business, of an entrepreneurship lab that aims to facilitate collaborations between students in schools as diverse as nursing and business.  “The idea is that it will involve all Pace students and faculty from all the schools,” said Bruce Bachenheimer, director of the lab and of Lubin’s entrepreneurship program. “We’re stressing an interdisciplinary, hands-on experience to find new ways to solve difficult problems.”
  • Entrepreneurship programs are trying to teach just about everything else. The most straightforward subjects include writing a business plan and doing financial, competitive and market analysis.  “When it comes to the harder stuff, such as the ability to recognize opportunities, Pace and other schools use case studies, brainstorming lessons and other exercises to nurture that skill. “It’s kind of like teaching music or painting,” explained Mr. Bachenheimer.
  • Pitch programs—in which teams of students, alumni and others vie for cash prizes by developing and pitching business ideas—are a centerpiece of the entrepreneurship push among the city’s schools.  Pitch contests have also proved to be a great way to network and meet investors. The most recent contest at Pace drew an audience of 400, including venture capitalists, angel investors and bankers, said Mr. Bachenheimer.
  • Schools are grappling with the question of how to gauge the success of their entrepreneurship programs.  And by one definition, entrepreneurship training doesn’t have to result in a business launch to be successful. If a person is trained to size up opportunities and take initiatives, he and his employer have an edge, said Mr. Bachenheimer. “The nature of work is changing dramatically,” he said. “There’s no more ‘Give me a job and tell me what to do.’ ”

 

 

 

 

The Christian Science Monitor: “No, Chinese inflation isn’t a good sign”

Experts say that Chinese inflation is a natural side effect of a healthy economy. Here’s why they’re wrong, acccording to “Guest Blogger” Joseph Salerno, a professor of economics in Pace’s Lubin School of Business.

The Christian Science Monitor writes that it has “assembled a diverse group of the best economy-related bloggers out there – “The Circle Bastiat” – and we are proud that Lubin’s Joseph Salerno is one of them!

Dr. Salerno’s most recent article focused on inflation in China. It is embedded below, or read it online.

No, Chinese inflation isn’t a good sign

Experts say that Chinese inflation is a natural side effect of a healthy economy. Here’s why they’re wrong.

By , Guest blogger / April 10, 2012

Well, well, well, the Chinese economy is experiencing inflation. Overall consumer prices rose by 3.6 percent in March 2012, year-over-year, including an upsurge in food prices of 7.5 percent. Even the prices of venerable Chinese herbal medicines took an upward leap of 8.3 percent. According to a CNNMoney report, inflation is “the price of prosperity.” The report goes on to fatuously instruct us, “While inflation poses challenges for consumers, it is the byproduct of one of the most robust economies in the world.” A comparison of China’s 9.2 percent real GDP growth in 2011 with the paltry 1.2 percent growth rate for U.S. real GDP in the same year is thrown in as supposed proof of this statement.

But this is utter nonsense and one of the most deeply entrenched myths in both academic economics and media commentary. Basic economic theory demonstrates that “economic growth,” which is nothing but  an increase in the supplies of various goods and services, is in and of itself deflationary. An increase in the supply of any good (or service), with the supply of money and all other factors fixed, results in a fall in its price and a growth in its sales, as the excess supply of the good drives the equilibrium price down and expands the quantity demanded. This irrefutable economic truth has been illustrated time and again since the late 1970s by sharp declines in the prices of items like personal computers, video game systems, HDTVs, digital cameras, and cell phones and of (uninsured) medical procedures like Lasik eye surgery and cosmetic surgery. Furthermore, this fall in prices has not caused stagnation in these industries but has instead coincided with their rapid expansion. I have explained this phenomenon of  “growth deflation” in more depth elsewhere.

What then is the cause of the accelerating Chinese inflation? We need look no further than the money supply. The broad measure of the Chinese money supply, M2, which includes currency in circulation and all bank deposits, increased by 13.6 percent in 2011, although the People’s Bank of China had targeted a 16 percent increase. The PBOC has announced that it will set the money supply growth rate at 14 percent for 2012. This inflation targeting policy, so beloved by contemporary macroeconomists, augurs more rapid price inflation for Chinese consumers for years to come. More important,  China’s long-standing super-loose monetary policy means that inflationary credit expansion has fueled a great part of the rapid growth of the Chinese economy, which is therefore unsustainable and doomed to collapse. Indeed, the pace of Chinese economic growth has already begun to falter in the last two quarters. In response, the PBOC has already cut reserve requirements twice in the last three months.

Having allowed the inflation tiger out of its cage, the Chinese government is now desperately hanging on to its tail. It must either cage the tiger forthwith  and confront the damage it has already wreaked in the form of a collapse in its economic growth rate; or it must inevitably lose its grip and permit its burgeoning market economy to be devoured by the beast in an inflationary breakdown and reimposition of direct controls.

The Christian Science Monitor has assembled a diverse group of the best economy-related bloggers out there. Our guest bloggers are not employed or directed by the Monitor and the views expressed are the bloggers’ own, as is responsibility for the content of their blogs. To contact us about a blogger, click here. To add or view a comment on a guest blog, please go to the blogger’s own site by clicking on blog.mises.org.

Monster.com: “11 Social Media Tips for Small Business”

You’ve put together profile pages on a few popular social media sites, made occasional posts, and responded when you were aware of activity. Isn’t that enough for a small business like yours? According to Lubin Marketing Professor Paul Kurnit, “A clear, compelling message should travel across platforms that are most relevant for the communication, not the other way around. The huge attractiveness of social media is price is minimal and buzz can be maximized.”

Paul Kurnit offers up Tip #8 to John Rossheim, Monster Senior Contributing Writer, on creating and maintaining a social media strategy that’s a brand-building, rain-making machine for your business.

 8) But remember, as with any branding, marketing or selling effort, your social media activity must have the ultimate goal of gaining and retaining customers and increasing sales.“Too many companies just throw something up against the proverbial social media wall, hoping something will stick,” says Paul Kurnit, professor of marketing at Pace University’s Lubin School of Business in New York.

To read all 11 social media tips from the Monster.com article which was picked up by a number of newspapers across the country including the San Jose Mercury News, click here

Time.com: “The ‘Cash Cow’ of U.S. Universities: Professional Certificates Instead of Degrees”

In February, Pace’s Lubin School of Business and the Association of International Bank Auditors joined forces to introduce a six-month program leading to a Certified Compliance and Regulatory Professional certificate. Professional certificates are valuable for mid-career professionals who don’t have time to plod through the programs of study required for advanced degrees but who need to update their skills regularly.

An article written by Jon Marcus for The Hechinger Report and appearing on Time magazine’s website today focused on the boom in certificate programs at four-year colleges.
 
Certificate programs can be added and updated more quickly than conventional academic ones.  And they can help workers keep up with fast-changing fields such as information technology and intelligence, or get raises or promotions.
 
But a main reason for the explosion in the number of professional certificates at traditional universities, administrators concede, is that they bring in revenue, largely from mid-career students who pay the full cost without needing institutional financial aid, or whose employers reimburse them for tuition.
 
 
“A global economy and the rapidity of progress in technology require continuous education,” said Neil Braun, the dean and a former president of the NBC Television Network and CEO of Viacom Entertainment. “Certificate programs are very useful for people who see the world around them changing faster than they can keep pace.”
 
Students see the benefit of a professional certificate more narrowly: to distinguish them from other candidates for scarce jobs.

Peekskill-Cortlandt Patch: “Please Fill Out This Application: Give us References and Your Facebook Username & Password”

With social media exploding in popularity more and more employers are looking at prospective employee’s Facebook pages. But, how far can they and should they go?

Lisa J. Stamatelos (pictured) is an adjunct professor of human resources management at Pace University’s Lubin School of Business.  The following is from her “Workplace – Wild and Wonderful” column which appears in the Peekskill-Cortlandt Patch. 

Face it, your employer or potential employer may want to check out your Facebook page.

This past week I heard on the news that some employers are not only looking at what they are able to see on a person’s Facebook page, but are outright asking individuals to logon to their Facebook account so they can look at it. Whoa, can they do that? The fact is, right now, they can. Is it violating federal law? TechCrunch reported that this past Wednesday the House of Representatives voted down a proposed amendment to FCC legislation that would have prevented current or potential employers from seeking access to employee Facebook accounts. It is possible that new legislation addressing this issue will be introduced.  Further, Democratic Senators Richard Blumenthal (CT) and Chuck Schumer (NY) are planning to introduce an equivalent bill in the Senate. In the meantime, what should you do if it happens to you now? 

I put the question to the students in my Human Resources class at Pace University in Pleasantville. As I looked out at the class I saw shock on most of their faces. Some insisted that an employer can’t do that. One young lady felt that asking for the information was akin to asking for the key to her diary  Another student said he would refuse and would not care if he did not get the job. I then asked, “What if you really need and/or want the job?” Would you give in? I saw the wheels turning. Don’t you just hate it when your professor asks you to think? Some changed their minds and indicated that they would comply. Others stood their ground.           

Even if an employer does not ask you outright to look at your Facebook page they can still peruse what is available to them. Obviously, the first thing to do is to make sure you do not have anything on any of your social media accounts that you do not want an employer to see. Next, use the privacy settings only allowing those you want to give permission to view your page. Keep in mind, there are “go arounds.” For example, I have heard that some companies will make up fictitious names and attempt to “friend” an applicant. I have also been told that if your page is blocked an employer might try to view one of your friends’ pages and gain access to information about you that way.      

Personally, I see demanding this information as an invasion of privacy. I would not ask this of an applicant. However, I would investigate if something alarming was brought to my attention. Pay attention to what you are posting. As Sergeant Phil Esterhaus of Hill Street Blues used to say, “Hey, let’s be careful out there.”

About this column: Lisa J. Stamatelos is the President of LJS HR Services. Stamatelos is a Human Resources Professional with over 20 years of management experience working with rapidly growing and changing companies. Her expertise includes employment law, recruiting, employee and labor relations as well as training and development. Stamatelos received her Bachelor of Business Administration (summa cum laude) and Master of Business Administration from Pace University. You can reach her at lisa@ljshrservices.com and visit her website, www.ljshrservices.com twitter.com/HRAficionada

 

Pace NYC EVENT ADVISORY – Thursday, April 5, 2012, 6PM: “Africa is Open for Business”

Despite its undoubted poverty and hardship, Africa is also a continent of innovation, enterprise and opportunity. Join us for a panel discussion on Thursday, April 5 at 6 pm on Pace’s NYC Campus – West Lecture Hall – to learn why trade, investment and business are on the rise in Africa.

AFRICA is not only open for business … 

It is a place of enormous business opportunity.  Here’s why:

  • IMF recently projected economic growth in Africa to reach 5.8% in 2012.
  • Sub-Saharan Africa is expected to grow at a faster clip than Brazil and India, boasting six of the 10 fastest growing economies over the last 10 years and projected to have seven of the ten fastest growing economies over the next five.
  • Offers a consumer base of more than 900 million people.
  • Growing faster than the OECD, Latin America, Eastern Europe and Middle East.
  • By 2020, five cities will each have household spending to rival Mumbai
  • Its regulations and laws encourage investment. Between 2006 and 2011, 39 African countries rose up the World Bank’s “Ease of Doing Business” Index.
  • Retail and financial sectors are attracting interest.
  • Chinese, Indian and Brazilian companies are increasing their investments.
  • Twenty African companies can now lay claim to revenues of at least $3 billion, while small and medium-sized African businesses are seeking new openings.

JOIN US FOR A PANEL DISCUSSION. Where is this growth coming from? How does this boom differ than others in Africa’s past? What opportunities exist for exporters and investors? These questions and more will be addressed by these experts currently doing business in Africa:

  • Andrew O. Coggins, PhD, Professor of Management – Pace’s Lubin School of Business
  • Tanya Cole, U.S. Commercial Service International Trade Officer, U.S. Department of Commerce, Long Island USEAC
  • Shawn Hazan, Director of Business Development/Global Markets at BJI Fashion Group
  • Oumar Nabe, PhD, MBA, President & CEO – Reveal Analytics, LLC
  • Pascal Niedermann, CEO – The Maestro Group
  • Camille Richardson-  Senior Commercial Officer, U.S. Embassy in Kenya
  • Michael Sudarkasa, CEO, Africa Business Group
  • Myles M. Matthews, Adjunct Professor – International Marketing, Pace’s Lubin School of Business (Moderator)  

When: Thursday, April 5, 2012, 6-8 pm  

Venue: Pace University, West Lecture Hall, One Pace Plaza, NYC.   

RSVP/Cost: mmatthews@pace.edu, (212) 831-0900.  Free; photo ID required for entry.  

Media Contact: Samuella Becker, sbecker2@pace.edu, 212-346-1637 or 917-734-5172

Crain’s New York Business: Executive Moves, April 2, 2012

Lubin Professor Bruce Bachenheimer’s appointment as Director of Pace’s new entrepreneurship lab continues to make news.

Crain’s New York Business included Professor Bachenheimer’s appointment in this week’s Executive Moves column, along with his photo: 

Pace University:
Bruce Bachenheimer, 50, was promoted to director of the university’s entrepreneurship lab. He will continue as clinical professor of management. He was previously program director of entrepreneurship at the Lubin School of Business.

Military Advanced Education: “Pace to Encourage Entrepreneurship”

Military Advanced Education, the Journal of Higher Learning for Today’s Servicemember, reports on the opening of Pace’s new Entrepreneurship Lab in the April issue.

Military Advanced Education saluted Pace’s launch of an Entrepreneurship (E-Lab) which is expected to both nuture the entrepreneurial spirit on campus and serve as a beacon for innovation in the Lower Manhattan community. In addition to the site in Manhattan, the publication noted that Pace opened an Entrepreneurship Lab at the Goldstein Academic Building on its Pleasantville, NY, campus.

Military Advanced Education quoted Neil S. Braun, dean of the Lubin School of Business, on the meaning of entrepreneurship:

“Entrepreneurship, in its broadest sense, is a personal approach for developing ideas into plans and plans into reality. It is interdisciplinary ‘doing.’  Entrepreneurial leadership is as important in large companies as it is in startups; it’s a mindset toward relentless problem solving that leads to successful execution” said Braun, who in his career has assumed many different type of roles, including internet entrepreneur, television network president, corporate attorney, CEO and film producer. “It is therefore at the heart of business education; it is the ultimate capstone for applying the knowledge and skills of the discrete disciplines to a product or service for a specific market opportunity.”

Professor Bruce Bachenheimer, the E-Labs leader, discussed the importance of an entrepreneurial mindset:

“The Entrepreneurship Lab aims to foster an entrepreneurial mindset – a way of thinking and acting that focuses on developing new ways to solve problems and create value,” said Bachenheimer, who drafted the initial proposal of the E- Lab. “These skills are important not only for those seeking to establish a new venture, but are increasingly critical in a wide variety of professional careers given today’s hyper-competitive marketplace, where rapid technological innovation and globalization has led to corporate downsizing and a dramatic change in the very nature of work.”

BusinessNewsDaily: “Five Technologies Your Business Should Be Using”

Looking to promote your business? Lubin Professor Paul Kurnit recommends the “very viral” Pinterest, which allows users to organize and share images of things they love on virtual boards, similar to a collage or scrapbook.

What is the latest technology you can use to boost your business?

Pinterest. This is essentially an online scrapbooking site, where people use virtual pinboards to group and post favorite images, including those of weddings, home decor, favorite recipes and more. 

“It is the new darling of the Internet, but businesses have not really tapped into its potential,” said Paul Kurnit, marketing professor at Pace University, in an interview with Kim Zimmerman of BusinessNewsDaily. “It is 80 percent female, but it is very viral and a younger audience.”

While the site is female-oriented at the moment, Kurnit added it could easily attract a more male audience, who might “pin” pictures of cars or the latest tech-gadgets they want. 

Deliver Magazine: “Direct the Marketing Focus at Women”

Lubin Professor Paul Kurnit on how direct marketing influences the spending of women, whether the product is doing itself a disservice by targeting women differently than men and the importance of reaching female spending power.

Despite the good dollars and sense it makes to create a direct marketing campaign aimed at women, getting it right can be a challenge — considering marketers do not want to stereotype or offend.

Avoid One Big Basket

“In general, I think businesses get too sloppy and greedy by trying to be all things to all people,” says Paul Kurnit, clinical professor of marketing at Pace University. “Brands that do this run the risk of being nothing to anyone.”

Kurnit points out in Deliver, a magazine for marketers from the United States Postal Service, that even the biggest brands clearly understand the need to customize their communications, messaging and media for different market segments. 

For example, a prominent women’s organization and one of the global leaders in the breast cancer movement doesn’t send the same information out to all women, but creates personalized direct mail based on demographics.

Make it Relational, Not Transactional

Segmenting women into various groups is a critical step in direct marketing, but choosing what to send to those women is just as essential.

Paul Kurnit of Pace University cites the luxury travel market as a perfect example. Today’s travel operators are targeting women with brochures that feature photos not just of glamorous destinations but of couples being together and having a good time in those places. “By focusing on the relationship, not just the destination, they are speaking to their female customers,” says Kurnit.

Think Beyond the Bedroom

As for the future of direct marketing, the real winners will be the companies that take an integrated approach and combine direct mail marketing with online activities, like the new Cards app. The application allows users to design the card online, but then it gets printed out by the third party, put in an envelope and sent by regular mail to the recipient.

“Today’s woman is online, but her lifestyle still demands a personal touch,” says Kurnit.