kottke.org posts about business
In the high stakes game of making restaurant reservations in NYC, restaurants and their patrons are engaged in attempting to outflank one another in vying for tables at prime times. “I have a well-connected friend in the entertainment industry, and I often say I am calling from his office in order to score a weekend reservation at a crowded restaurant. If NYC restaurants are going to play the game this way, we have no choice but to play along with them.”
I feel like I’ve linked to this before but here it is again (maybe): a list of how companies got their names. “Mattel - a portmanteau of the founders names Harold ‘Matt’ Matson and Elliot Handler.” (via khoi)
Stay Free interviews Giles Slade, the author of a book on planned obsolescence. “Companies profit more when products have shorter lifespans - because they sell more products that way. This is no conspiracy theory but, rather, simple economics. Small wonder, then, that product lifespans are shrinking across the board. In 1997, a PC was expected to last 4 or 5 years; by 2003, only two years, and today the life expectancy is even less.”
Interesting article about the myth of American women opting out of the workforce to stay home to raise families. Most of the stories focus on white, married, upper-class women with high-earning husbands, maternity leaves are getting shorter, and bias and inflexibility in the workplace forces many women to “choose” to stay at home with the family. “The American idea of mothering is left over from the 1950s, that odd moment in history when America’s unrivaled economic power enabled a single breadwinner to support an entire family. Fifty years later we still have the idea that a mother, and not a father, should be available to her child at every moment.”
Business innovation. “Southwest has been able to generate more profits over the last 30 years than all of its incumbent competitors combined.” Other examples: Google, Vanguard, W.R. Hambrect.
Zombie brands: products that were discontinued but then come back to life. Examples: Tab, McRib, and Life magazine. More on zombie brands.
Quentin Tarantino talks about his success in the movie business. The bit about just doing something and not having to ask permission is great: “Here’s the thing: they can write a mean letter, they can write a mean memo, but these guys don’t have any real fight in them. If you’re an artist, as opposed to a careerist, and your movie is more important to you than a career in this town, they can never beat you. You have a loaded gun, and you know you’ve got what it takes to put it in their faces and blow their heads off.”
Not sure why I’m surprised, but when Apple came up with the idea for their Apple Stores, they appoached the design of the stores like they would any other product: they built a prototype first:
“One of the best pieces of advice Mickey ever gave us was to go rent a warehouse and build a prototype of a store, and not, you know, just design it, go build 20 of them, then discover it didn’t work,” says Jobs. In other words, design it as you would a product. Apple Store Version 0.0 took shape in a warehouse near the Apple campus. “Ron and I had a store all designed,” says Jobs, when they were stopped by an insight: The computer was evolving from a simple productivity tool to a “hub” for video, photography, music, information, and so forth. The sale, then, was less about the machine than what you could do with it. But looking at their store, they winced. The hardware was laid out by product category - in other words, by how the company was organized internally, not by how a customer might actually want to buy things. “We were like, ‘Oh, God, we’re screwed!’” says Jobs.
But they weren’t screwed; they were in a mockup. “So we redesigned it,” he says. “And it cost us, I don’t know, six, nine months. But it was the right decision by a million miles.” When the first store finally opened, in Tysons Corner, Va., only a quarter of it was about product. The rest was arranged around interests: along the right wall, photos, videos, kids; on the left, problems. A third area - the Genius Bar in the back - was Johnson’s brainstorm.
Lots of other great stuff in the article as well. Sounds like the Apple Store is an underrated piece of Apple technology.
My friends Zach and Youngna are in the NY Times this morning in an article about how difficult it is for “senior beauty analysts” and “vice presidents for global marketing” to produce and market products to twentysomethings who wouldn’t even trust a “senior beauty analyst” to watch their bag while they went for a pee. The Times also had to draw a distinction between Mr. Klein, Calvin and Mr. Klein, Zach: “no relation”.
David Chang of Momofuku and Ssam tells us about the “money piece”, the ticket in the kitchen of a restaurant that gets randomly upgraded to VIP (or soigné) treatment for the evening. Nice idea.
Sometimes I think that what Americans are best at is inventing new forms of conspicuous consumption. A man who sells snow guns for personal use (so that the kids can play in the snow even when the weather doesn’t oblige) says, “New Jersey is a big area for us. There’s no snow, and lots of disposable income.”
Tax tips for graphic designers and visual artists. “If seeing the visual art of others is vital to your own creativity, keeps you abreast of current design trends, or clues you in to the latest fashion, then consider the costs [of going to the movies or renting DVDs] a tax deduction.” (thx, shane)
Update to the whole annoying Flickr/Yahoo login business: Heather Champ is personally giving refunds to people with pro accounts who don’t want to switch their login to Yahoo.
Update: Just so this is clear, Heather is refunding people out of her own personal PayPal account and funds. Anyone who takes her up on it gets a punch a nose from me.
Update: I didn’t read this carefully enough…it’s not Heather’s personal money. And no punch in the nose, although I might poke you in the ribs or something. (thx, rich)
I wanted to write more about this, but I don’t have the throughput right now and the article is 5 days old at this point, so this shorter post will have to do. Michael Pollan, who is doing some of the best food writing out there right now, wrote an article in the most recent NY Times Magazine on how we should be thinking about eating. In it, he blames the rise of nutritionism (the emphasis on the nutrients contained in food rather than the food itself) for our increasingly poor diets. This goes in the must-read pile for sure, if only for the great “silence of the yams” pun. If you absolutely can’t handle the length, skip to the “Beyond Nutritionism” section at the end for Pollan’s rules of thumb for eating, my favorite of which is #5: “Pay more, eat less.”
Update: Meg summarizes Pollan’s rules of thumb with some notes of her own.
Here’s a fun rumor. I heard that the staff of the Daily Show and Colbert Report upload the shows to YouTube as soon as they can after the shows air and then the next day, lawyers from Comedy Central hit YouTube with takedown requests for the uploaded shows. Which makes total sense…sort of. The people making the shows want them to be seen while the lawyers want to ensure that people are paying to see them. It’s a crazy media world we live in.
An update on Bryant Simon, the fellow who’s studying Starbucks from around the world in order to write a book about the company. An observation from Britain: “Starbucks is dirtier in Britain. Americans have been taught to do part of the labour, and they clean up after themselves. In the US, part of Starbucks’ appeal is its cleanness.” 2006 New Yorker piece about Simon and his Temple University page. (via bb)
CEOs of companies whose board members are socially well-connected get paid significantly more than those who work at companies with less connected board members. “Academics have found little evidence that higher executive pay leads to better company performance, and the recent study of three thousand companies actually found that the firms whose directors were the most well connected — and which paid their C.E.O.s most lavishly — in fact underperformed the market. Markets work best when people make independent decisions about how much a commodity — in this case, the C.E.O. — is worth. They stop working well when people simply imitate what others are doing, or when non-market factors (like how well you get along with the boss) intrude.”
Lengthy interview with Steve Jobs from 1995. “I’m convinced that about half of what separates the successful entrepreneurs from the non-successful ones is pure perseverance.”
David Denby had a great piece in the New Yorker last week about the present and future of movies. I was surprised to learn that Hollywood hates the movie theater-going experience as much or more than the rest of us:
Consider the mall or the urban multiplex. The steady rain of contempt that I heard Hollywood executives direct at the theatres has been amplified, a dozen times over, by friends and strangers alike. The concession stands were wrathfully noted, with their “small” Cokes in which you could drown a rabbit, their candy bars the size of cow patties; add to that the pre-movie purgatory padded out to thirty minutes with ads, coming attractions, public-service announcements, theatre-chain logos, enticements for kitty-kat clubs and Ukrainian bakeries-anything to delay the movie and send you back to the concession stand, where the theatres make forty per cent of their profits. If you go to a thriller, you may sit through coming attractions for five or six action movies, with bodies bursting out of windows and flaming cars flipping through the air-a long stretch of convulsive imagery from what seems like a single terrible movie that you’ve seen before. At poorly run multiplexes, projector bulbs go dim, the prints develop scratches or turn yellow, the soles of your shoes stick to the floor, people jabber on cell phones, and rumbles and blasts bleed through the walls.
If we want to see something badly enough, we go, of course, and once everyone settles down we can still enjoy ourselves. But we go amid murmurs of discontent, and the discontent will only get louder as the theatre complexes age. Many of them were randomly and cheaply built in response to what George Lucas conclusively demonstrated with “Star Wars,” in 1977: that a pop movie heavily advertised on national television could open simultaneously in theatres across the country and attract enormous opening-weekend audiences. As these theatres age, the gold leaf doesn’t slowly peel off fluted columns. They rot, like disused industrial spaces. They have become the detritus of what seems, on a bad day, like a dying culture.
Denby also considers what happens to movies when the primary target audience (12-30 year-olds make up 50% of the movie-going population) may prefer to watch movies on DVD, their computers, or on iPods.
No exhibition method is innocent of aesthetic qualities. Platform agnosticism may flourish among kids, but platform neutrality doesn’t exist. Fifty years ago, the length of a pop single was influenced by what would fit on a forty-five-r.p.m. seven-inch disk. The length and the episodic structure of the Victorian novel — Dickens’s novels, especially — were at least partly created by writers and editors working on deadline for monthly periodicals. Television, for a variety of commercial and spatial reasons, developed the single-set or two-set sitcom. Format always affects form, and the exhibition space changes what’s exhibited.
As a fan of watching movies on the big screen of a theater, I hope that sort of movie making doesn’t go away anytime soon.
Whole Foods’ stock is going down, but maybe it shouldn’t be. “The whole idea of good food and gourmet eating has begun to transcend the PBS-store bag toter.”
Malcolm Gladwell on the difference between secrets and puzzles, particularly as it relates to something like the Enron scandal. I think this is one of the more interesting pieces from Gladwell in recent years. Having lived in California during the blackouts and the absurdly high electricity bills, I want Skilling’s head as much as anyone, but Gladwell has a good point here. There’s more on his blog, including a question: “According to the way the accounting rules were written at the time, what specific transgressions were Skilling guilty of that merited twenty-four years in prison?” Also note the similar themes to one of my favorite articles from last year, The Press’ New Paradigm.
A pair of trend maps for 2007, both based on subway maps. The top one depicts the top online companies/brands & how they’re connected while the bottom one deals with ideas (with the River of Consciousness standing in for the Thames).
Both maps were found in this article about internet predictions in 2007. I don’t know about you, but I find these types of maps fun to look at, but completely inscrutable informationally speaking. Surely there’s a more enlightening way to present this information than in Tube map form.
With rising domestic silk prices, decreasing sales and retiring masters, Japanese-made kimonos may become a thing of the past. One of the last remaining masters, 102-year-old Yasujiro Yamaguchi, says, “It cannot be helped. All we can do now is keep trying to make kimonos so beautiful that they will no longer be able to resist it. What choice do we have?” (via rc3)
A record-breaking year for Goldman Sachs; they’re setting aside $16.5 billion for salaries, benefits, and bonuses. That’s $622,000 (!!!!!!) for each employee. Instead of the typical business puff piece telling us about what these i-bankers are going to do with their money (cars, houses, expensive dinners!), how about investigating where all this money is coming from and what, exactly, Goldman does that’s so beneficial to the economy to earn such incredible profits.
Took in The Art of the Book lecture at the 92nd Street Y last night. Milton Glaser, Chip Kidd (“a modern day Truman Capote” I heard him described as afterward), Dave Eggers, with Michael Beirut moderating. One of the most interesting comments came late in the proceedings from Dave Eggers, who described one of the main goals of the McSweeney’s design staff as attempting to design the books as well and as beautifully as they could as objects so that people would be compelled to save them. That way, even if people didn’t have time to read them soon after purchase, they couldn’t bear to throw/give the book away and would instead put it on their shelf in the hopes — McSweeney’s hopes, that is — that the buyer would at some point pull it down off the shelf and give it another try.
This design goal runs counter to the design process behind most contemporary book jackets, which are engineered almost entirely for the purpose of eliciting in the potential buyer a “buy me” reaction within two seconds of spotting them. McSweeney’s, as a champion of authors, wants the writing to be read while most major publishing companies, as champions of their shareholders, want books to be purchased. People buying books is important to the goal of getting the writing within them read, but McSweeney’s emphasis on designing books to last in people’s homes is a clever way to pursue that goal after the sale.
Although Nintendo finds itself in third place in the video game console wars behind Sony and Microsoft, the company is doing really well financially while Sony and MS are maybe breaking even with their efforts. “Nintendo knew that it could not compete with Microsoft and Sony in the quest to build the ultimate home-entertainment device. So it decided, with the Wii, to play a different game entirely.”
How would Shakespeare do in Hollywood today? He’d be raking in the dough on royalties, but because most of his stories were based on previous work, he might not have been able to write them in the first place without being sued for copyright infringement.
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