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POPSMB, eh? The argument that the MBA is a differentiating equilibrium only holds if nobody else is getting an MBA.
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POPSTech M&A Takes A Tumble A troubled economy tends to slow down merger and acquisition activity across the board -- this isn't just a tech problem. But it's interesting to see the effect on a company like Google, which traditionally made massive amounts of acquisitions; they've made on four deals in 2008, compared with 14 during the same period in 2007.
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POPSCategory 4 Financial Storm From JP Morgan's congressional testimony a few years after a major bank panic in 1907. An exchange between Morgan and his inquisitor for the government, attorney Samuel Untermyer. Untermyer: "Is not commercial credit based primarily upon money or property?" Morgan: "No sir. The first thing is character." Untermyer: "Before money or property?" Morgan: "Before money or property or anything else. Money cannot buy it...because a man I do not trust could not get money from me on all the bonds in Christendom."
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POPSGreg Mankiw On Freddie And Fannie The Harvard economist weighs in. He called for reform in 2003, but he's not bragging. He's just expressing regret that bailouts aren't the answer to the financial crisis.
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POPSNo Figurehead For Halston Looks like not one individual can live up to this brand's namesake. Bonnie Takhar, ceo of Halston, says the newly-revived label will use a group of designers rather than one creative director. Marco Zanini, last year's creative director, resigned earlier this year.
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POPSBlackstone Profit Lower, Financing Still Difficult Second-quarter earnings plunged to $99.9 million, after taxes but before noncash charges for vesting equity-based compensation and amortization of intangible assets, from $735.6 million a year earlier. In the first quarter of 2008, it lost $93.6 million.
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POPSTasti D Going Global Tasti D-Lite, New York City's favorite mystery frozen yogurt, is going global, according to the WSJ.
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POPSJil Sander for Sale, Again? WWD reports that minimalist clothing line Jil Sander--which has seen a resurgence in popularity since current creative director Raf Simmons joined the label--is up for sale by private equity firm Change Capital Partners. They bought the brand from Prada in 2006.
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POPSSocial networking gone wild? Is their irrational exuberance in the social networking world these days? A billion dollar price tag for the less technologically savvy site Linked In could hint at such a bubble. Yes it generates revenues already unlike many companies during the dot come heyday. On the flipside, times are ripe for innovative social networking sites built by entrepreneurs, as long as you can attract a following - which is getting harder and harder in the crowded social networking world.
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POPSThe Blockbuster Deal Is Back How far away they went is illustrated by these stats: No. of deals done so far this year: 1,362 Value: $278.43 billion; last year, 2,000 worth $659.99 billion.
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POPSAT&T, Blackstone Eyeing Huawei Phone Unit It's not surprising that private equity firms are interested in Huawei's cellphone unit. But a bid from an operator like AT&T, Verizon or Vodafone would point up how competitive the wireless industry is getting--enough that carriers want their own phones.
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POPSEven condos in San Francisco! The San Francisco market for condominiums, even at the high it seems, won't be coverage by AIG. This is new. Word here has been that San Francisco's real estate market is too special (and supply constrained) to feel sub prime pains.
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POPSMotorola Axes Two More Executives New CEO Greg Brown has been cleaning house since January. The latest casualties: the company's treasurer and its head of mobile devices for the Europe, Middle East and Africa.
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POPSIt's the little things. Today the Dealbook points out that J. Crew's stock price has more than doubled. A few weeks ago the Times columnist dug into the little things the CEO Micky Drexler has done to turn around the company. You see it when you walk in their stores -- members of the staff are helpful. The layout's amazing and the clothes are much much more enticing than a year or two ago. Big or small, it's important for all business owners to focus on the little things like merchandising that can generate big returns in the long run.
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POPSSony BMG Stake On The Block? The Financial Times' German language edition broke this story on Tuesday but for some reason, it hasn't yet been picked up by the English language edition of the FT.
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POPSMotorola Caving To Icahn? Carl Icahn has been pushing for Motorola to break up its business. The company named a new CFO Thursday with experience that seems well-suited to handle a spin-off.
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POPS3M Deal With China Collapses This is significant for at least three reasons. First, it shows that the U.S. is scrubbing international merger deals more closely after reforming the CFIUS process last year. Second, it's an indication of China's growing role in the hi-tech arena. Finally, as Harris points out, it could have repercussions for U.S. businesses working in China. Keep an eye out for similar deals to emerge in the near future.
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POPSA Busy Weekend for Strategic Warriors It's a busy weekend for many. Some investors are certainly trying to ready a "white knight" bid for Yahoo!--but any deal that involves a lot of leverage is going to involve slicing and dicing alot more of Yahoo! than Microsoft has suggested. We've heard all the rumors too--but again, $44.6 or so billion is still a big chunk of change. Private equity investors have to see a way to significant upside in the deal in the not-so-distant future--that spells even more dismemberment than Microsoft would likely cause. News Corp? It's own market cap is a mere $60 billion--taking on Yahoo! would be more of a merger than an acquisition, and News Corp. investors might punish Murdock by taking his stock down another 10-20%. Can Yang wring more money out of Microsoft? Again, only likely at the expense of employees. Our prediction: Microsoft will take the prize home.
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POPSBlodget In CNET Takeover Offer Disgraced financial analyst turned blogger Henry Blodget is offering to take over the management of struggling online media company CNET. Yes, this is a joke.
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POPSEMI Said To Seek Lower Trade Group Dues If this is true, it won't deal "a blow to the fight against music piracy," given how spectacularly unsuccessful that fight has been so far. The reason why piracy is so rampant is NOT because the RIAA and the IFPI haven't been devoting enough resources to the fight. It's because the labels still haven't fully embraced new purchasing options that would make acquiring legal music as convenient as unauthorized alternatives, like the P2P services that continue to flourish.
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POPSTribune Looks For New Rules The $8.2 billion private equity deal to take Tribune co. private could get complicated - the company hopes the FCC loosens its rules on cross ownership of media properties in the same market.
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POPSPriivate Equity Taxes. Populist issue brewing \When Newsweek gets round to writing about an issue, it means it is well entrenched in the political zeitgeist in Washington. Lawmakers are looking at closing loopholes such as letting private-equity partnerships pay tax at the 15% capital-gains rate rather than the 35% ordinary income tax rate.