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Tag: Operations & Logistics

  • How AI and Machine Learning Are Improving Fraud Detection in Fintech

    How AI and Machine Learning Are Improving Fraud Detection in Fintech

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    Opinions expressed by Entrepreneur contributors are their own.

    Internet fraud is a menace in our various financial institutes, and many fintech companies have been victims of this fraud game. Detection of these attacks comes in two ways: through inconsistent traditional methods or using ever-growing artificial intelligence mechanisms.

    Traditional methods, such as the rule-based method, are still widely used by most fintech companies in contrast to AI. At the same time, some are adjusting to leverage machine learning and artificial intelligence, improving ways to detect fraud. Hence, bringing us to the question below.

    How have AI and machine learning improved fraud detection in the fintech industry? What specific applications does this technology touch, and what mechanisms complement it? We have compiled key areas where its application has become highly beneficial.

    Related: Fraud Detection In Fintech: How To Detect And Prevent Frauds In the Lending Industry

    Fishing out identity thieves before they penetrate a server

    Identity theft is common, but with the rise of AI, its effect on the fintech industry has been reduced drastically. Users are bound to become more susceptible to fraud in this area when activities like creating accounts, submitting applications or filing tax returns become more computerized. Digitized data is easier to access, giving identity thieves more possibilities to penetrate the server. For instance, identity thieves can create accounts in someone else’s name, get access to that person’s benefits or even steal their tax returns using the stolen identification information. In curbing these anomalies, AI is to the rescue. AI-driven identity theft detection systems such as pattern recognition are pretty good at reducing the danger of such scams and spotting them early on. Depending on the circumstance, the models may be able to identify suspicious transactions, behaviors or information in the supplied documents that do not fit the customer’s usual patterns of behavior, therefore averting a possible danger.

    Quick detection of credit card fraud through identification of unusual transactions

    Customers may secure their credit card and account information in various ways, such as by utilizing virtual private networks or virtual cards or checking the website certifications. However, with fraud tactics becoming more sophisticated, organizations handling credit card transactions and transfers must scan them to avoid any risks. AI methods such as data mining have been provided with a sizable dataset that includes both kinds of transactions (i.e., card transactions and transfers) to be trained to spot fraudulent behavior. By analyzing it, the model can spot fraud red flags. Are there possible ways the illegal transaction can be flagged and detected on time? Yes, for instance, a rapid spike in the customer account’s weekly or monthly transaction values or a purchase made in a store that doesn’t ship to the country where the account holder resides. All these can be swiftly detected with the help of AI, and fraud can be mitigated on time to avoid running losses.

    Related: How Artificial Intelligence Is Changing Cyber Security Landscape and Preventing Cyber Attacks

    Detection of money laundering amidst account activities

    Fintech companies and banks use deep learning AI algorithms such as neural networks to uncover undiscovered connections between criminal conduct and account activity. Money laundering is difficult to identify with traditional approaches since the signs are frequently quite subtle. Still, since the emergence of artificial intelligence, every action is carefully considered because such practice typically involves large sums of money and is carried out by organized criminal organizations or entities that appear to be genuine.

    Despite a thorough mechanism put in place, individuals are undoubtedly susceptible to errors. It gets challenging to spot money laundering-related acts among cover-up activities because they leave no room for suspicion, but AI has been at the forefront of detecting such. For instance, a wrong transfer of funds might be the key to revealing a set of illegal activities. In addition, there are situations when several transactions on an individual’s account come together but don’t appear legitimate when scrutinized. These patterns could be quickly identified by AI systems put in place, and fraudulent activity could be prevented on time.

    Early detection of fraudulent loan and mortgage applications

    In recent times, most fintech companies and banks heavily rely on fraud detection AI technologies to assess loan and mortgage applications by fraudsters. It is a crucial component of their risk assessment and aids the analysts in their day-to-day job. With machine language, they can extract pertinent data from the applications and analyze them using a model developed through a dataset that includes both legitimate applications and those flagged as fraudulent. The essence of AI in this area is to detect trends that can likely lead to fraud so that alarms can be swiftly raised, whether accurate or not. It allows the analyst in charge to scrutinize further, which could either lead to acquittal or fraud prevention. It also helps fintech companies to predict the chance of a customer committing fraud as it can help forecast trends by examining consumer behavior data.

    Related: Digital Twins: AI & ML Transforming the Fintech Landscape

    Banks and fintech companies still occasionally believe that rule-based methods are safer and more straightforward. Traditional rule-based methods and AI tend to support one another but will likely change sooner. This is due to the complexity of rule-based systems having their bounds and the fact that fraud efforts are getting more sophisticated and dynamic than in the past. The rule-based method is a losing struggle since it necessitates the creation of new rules each time new patterns appear. Instead of constantly being one step behind, fintech companies can actively foresee fraud using AI and machine learning techniques to safeguard their financial integrity.

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    Taiwo Sotikare

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  • Oklahoma Man Charged $4,500 at Starbucks After Tipping Error

    Oklahoma Man Charged $4,500 at Starbucks After Tipping Error

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    A coffee run in Oklahoma turned out way more expensive than one family had planned, according to The Sacramento Bee.

    An Oklahoma man was charged nearly $4,500 for a coffee order with the vast majority of it a tip, and then, per reports, he and his wife had to go through a minor odyssey involving bounced checks and calls to customer service to get it back.

    In early January, Jesse O’Dell went to a Starbucks drive-thru in Tulsa and ordered coffee. Later, when his wife was shopping with their kids, one of her credit cards was declined. That’s when the family found out a Starbucks charge for $4,456.27. The Bee confirmed the receipt.

    “I felt disbelief… I don’t have that kind of money sitting around to just play with,” he told the outlet.

    Related: ‘Tip Culture Is Getting Insane’: Starbucks Customers Furious Over Company’s New Tipping System

    Starbucks added a tipping system to its stores last year, much to the chagrin of some customers who expressed themselves online. It offers customers the opportunity to add $1, $2, $5, or a custom amount.

    “I know how to press buttons. I didn’t press that button,” he told the Bee.

    O’Dell first went to the store to try and get a refund, where he was told he put in that tip. Then, he claims he had to reach out multiple times to the local district manager. Finally, he said Starbucks refunded him via paper checks.

    They bounced.

    “We’ve had to ask for help, we’ve had to cancel trips,” O’Dell told the Bee. O’Dell told local outlet KOKI that they called the company’s customer service lines some 30 to 40 times that day in a panic.

    A Starbucks spokesperson told the Bee that the checks had a typo, and they had sent the money again. It also told the outlet that O’Dell accidentally entered the $4,444.44 tip, which O’Dell disputes.

    O’Dell told the Bee that he is currently waiting on the deposits to clear.

    Starbucks did not immediately respond to Entrepreneur’s request for comment.

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    Gabrielle Bienasz

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  • 3 Marketing Fails That Demonstrate The Importance of Fundamentals

    3 Marketing Fails That Demonstrate The Importance of Fundamentals

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    Opinions expressed by Entrepreneur contributors are their own.

    The temptation to find a simple solution to the ever-more-complex initiative of marketing growth is strong. Explore an effective website for just about any technology software you can apply to marketing, and soon enough, you’ll be convinced that this is the solution for your growth challenges.

    Consider the explosion of interest in AI (artificial intelligence) with the recent release of Chat GPT. (Click this Google Trends search, and you’ll see the buzz quantified.)

    ChatGPT is an impressive example of the power of AI (try a few queries and see what it generates). But AI’s influence can be misapplied or under-applied, and the precision of its algorithms can be debated ad nauseam. The same is true for most marketing technology (Martech) solutions I’ve encountered.

    Now, this article is not taking aim at the Martech industry in general or ChatGPT specifically. Martech has helped the industry take massive strides forward, even with the headwinds of the macroeconomy and privacy regulations curtailing data access. But technology, for all of its power, has huge adoption challenges. It is simply not a magic bullet for growth.

    While I’m at it, neither is any single initiative, no matter how often you hear buzzphrases like “customer-centric marketing” and “content is king.”

    Yes, it’s incumbent on good marketers to look for solutions to their challenges, whether they’re measurement, creative or audience-based. And yes, the industry changes so rapidly that it’s a big part of a marketer’s job to stay up to date with trends and releases that can improve performance, efficiency, or both.

    That said, none of this is a substitute for marketing fundamentals.

    Whether your fundamentals version traces back to David Ogilvy or the 5 Ps (people, product, price, placement, and promotion, an evolution of McCarthy’s 4 Ps), they must serve as your bedrock.

    Let’s look at three examples of fundamental marketing fails:

    1. Uber’s Jump Bikes and Scooters

    Another fundamental that’s been drilled into me in my marketing career is that things have to start with a market need for a product. How many products are created to fit a fad or a founder’s vision without an at-scale, long-term need to match?

    The echo chamber of Silicon Valley provided a great example of this in Uber’s “Jump” line of bikes and scooters — a market created out of the shaky idea that people “needed” these vehicles all over the streets of San Francisco to get where they needed to go. In a famously compact, walkable city, and without a mobility component that would have accommodated differently-abled people from whom walking wasn’t an option, the scooter project fell on its face and choked scrap yards in the process.

    Related: 5 Crypto Marketing Fails and How to Avoid Them

    2. Made.com

    This one’s a failure of placement — where the customer finds a product.

    With notable exceptions (Wayfair, Overstock), the furniture industry presents many challenges. Beyond the expensive logistics of shipping large items, buying furniture online requires the user to take a big leap of faith and trust that customer reviews (many of which are proving fake) will provide reasonable assurance that, yes, the product will look and feel good in your home even if you’ve never seen it or touched it in person.

    Beyond that, furniture etailers importing overseas goods often incur huge warehousing costs. Made.com was building a healthy business by turning that model on its head and purchasing goods only after taking orders for them, thereby reducing warehousing risks, until they overreacted to the online purchasing shift wrought by COVID.

    Just as the first vaccines were hitting the public in the spring of 2021, Made.com doubled down on its warehouse space, jacking up operating costs without considering that furniture customers who could return to shopping in person would be more likely to do so than customers in other, less sensory-dependent verticals. This failure to predict customer behavior was also a failure of people, and largely because of it, Made.com collapsed last November.

    Related: Ask These 5 Questions Before You Blame Your Company’s Failures on the Marketing

    3. A shoe company

    Since this company was a former client of my agency, I’m not going to name-shame them. But we had some tussles over promotions, another of the 5 Ps.

    This company had a CPA (cost per acquisition) target of $60 for new customers, but they were only willing to pay $20 per customer referral of new customers. Instead of optimizing referrals and lowering overall CPA, they pumped money into paid marketing campaigns with their $60 CPA target. My agency runs paid campaigns on all channels, but I could see the failure in this logic.

    Related: More Is Not Better: How to Effectively Target Retail Promotions

    While this is only an example, it’s part of a more significant marketing issue. In my experience, people tend to think about promotions as sales or discounts, but they can and should expand their options to include BOGOs, giveaways and rebates. Back in a college marketing class, I learned that rebates are a phantom cost — 80% of them go unclaimed, and as soon as they expire, all those “costs” go back to your bottom line.

    Whether it’s customer referrals, BOGOs, or giveaways of slow-moving clearance products, use promotions to lower your overall acquisition costs — but only if you have a solid plan to maximize customer lifetime value after the first purchase. Otherwise, you risk acquiring customers at a loss with no hope of profit.

    There’s a common thread here: neither Martech, content, mobile, nor any other shiny object would have prevented these. And there’s a lesson as well: marketing and growth leaders charged with keeping their eyes on the big picture must ensure their fundamentals are in order before leaping to take advantage of the next big thing.

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    Bryan Karas

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  • Uber Posts ‘Strongest Quarter Ever,’ Revenue Up 49%

    Uber Posts ‘Strongest Quarter Ever,’ Revenue Up 49%

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    In a bleak period for tech companies, Uber has soared.

    In its most recent quarterly earnings report, the ride-share giant posted $8.6 billion in revenue for the quarter ending on Dec. 31.

    That’s a 49% uptick from the same time period last year, per The New York Times.

    “We ended 2022 with our strongest quarter ever, with robust demand and record margins,” said CEO Dara Khosrowshahi in the earnings report.

    It appears that among the technology industry, which has laid off thousands of workers and broadly struggled amid inflation and people returning to post-lockdown life, Uber is something of an outlier.

    Related: More Than 1,600 Tech Workers Are Being Laid Off A Day On Average In 2023, According to a New Report

    Companies from Amazon to Meta to Google have offloaded thousands of employees, but the post-pandemic buffets were more like a wind at Uber’s back.

    “All of those other tech companies in hindsight now look to have overhired during the digital boom of the pandemic, when we were all stuck inside using digital services,” an analyst at D.A. Davidson, Tom White, told the NYT.

    Uber has two main business sectors: mobility, which covers things like ride-hailing, and delivery, which includes services like Uber Eats. Across its entire business, the company reported an increase in total bookings of 19% in the quarter year-over-year.

    Daniel Ives, a tech analyst at Wedbush Securities, told CNBC it was the company’s best quarter since its IPO in 2019.

    There’s “green grass ahead,” Ives added.

    Uber’s positive performance further puts pressure on competitor Lyft to “cut costs,” he said. Lyft is set to post its fourth-quarter earnings after the market closes on Thursday.

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    Gabrielle Bienasz

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  • Become A Pro At Setting Attainable Business Goals With These Tips

    Become A Pro At Setting Attainable Business Goals With These Tips

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    Opinions expressed by Entrepreneur contributors are their own.

    Business leaders are constantly setting lofty, impressive-looking goals for themselves and their companies. But what good are those goals if they’ve been thrown out the window within a couple of weeks? It’s time for business leaders to take charge and set intentions that can actually be achieved — not just high-minded ambitions that will fade away soon after.

    Instead of settling for vague directions, they should strive to make their objectives actionable and attainable with the right activities. Now more than ever, it’s essential for businesses to have tangible outcomes rather than empty promises.

    Related: The 5 Golden Rules of Goal-Setting

    Let your managers manage

    Sitting in the C-suite brings its perks, but it also removes you from many of the day-to-day operations your company executes. Your team leaders, however, are in the trenches. While executives set the direction, they should require their team leaders to set the milestones. These critical front-line players have an intimate understanding of how their team performs and what attainable milestones are.

    Without practical goals, employees risk simply shutting down or meandering aimlessly through flavor-of-the-month objectives. With realistic milestones, teams are fueled by purpose. Encouraging your team leaders to set these milestones ensures they are realistic and translates to buy-in.

    It bears repeating that your team managers require some direction. A clear, unbiased look at the last year can help set them on the right path. Executives should look at what was successful in that past year, determine why it worked, and figure out how to carry those same successes into the next year. Provide your front-line managers clear guidance on company goals and next steps, then step away. If you become a micromanager, you will squeeze your company to death.

    Related: 8 Reasons You Should Give Your Employees More Control

    Hold regular Azimuth Checks

    Once you’ve established realistic milestones for the year, it’s time to hold your team accountable for meeting them. One way leaders can do this is with quarterly reviews. And look, I get it. These meetings seem like a time suck. In practice, if it’s not ten minutes or less, I’m trying not to zone out on you. But at the end of the day, these quick check-ins can ensure that you and your team are on the same page and that everyone is clear on their expectations. Quarterly reviews vastly improve transparency as well as give leadership a chance to reinforce a united front.

    Regular meetings provide a great opportunity for communication down to the lowest level and create a more personalized feel than the typical canned newsletter. Most people send those newsletters straight to their trash folder anyway. Your employees want to know what’s going on in the organization and where they’re headed, and they want to hear it straight from the top.

    However, C-suite leaders can’t be the only ones presenting these ideas and goals. During these presentations, the entire leadership team needs to bring their A-game; the rest of the company needs to feel their excitement. We don’t have time to be company cheerleaders at every given second. More importantly, most people who work for your company barely see the CEO, so the front-line managers need to take that vision and share it with the rest of the team.

    Regular company-wide check-ins assure employees that their jobs are secure, that they’re working for a company with an actual vision and supporting goals, and that their leadership is motivated to succeed. On the ground level, I tell my team leaders that I want every single presenter to come to that room with three things they’re going to do this year to improve themselves as a manager, which helps them set personal goals that hopefully align with the company goals.

    Related: The Real Secret to Entrepreneurial Success (That’s Not What You Think)

    Implement accountability to track progress

    Organizations move by the minute, so you must monitor progress and hold your people accountable. Establishing key performance indicators (KPIs) is a must, and it can be good practice to make progress open knowledge throughout the organization. My company displays everyone’s KPIs on centralized screens in our offices. This may cause many leaders to recoil in horror, but this transparency provides several key benefits.

    First, it helps your team look out for teammates. I don’t believe you should automatically eliminate your bottom 10% — you should motivate them instead. Displaying everyone’s progress on KPIs lets your subordinate leaders notice if someone is suddenly underperforming so they can spring into action and figure out the issue.

    One of our employees started missing KPIs, and our open tracking allowed her managers to notice. After some investigating, we found that her mother had been diagnosed with a terminal illness, and she had tried to leave it at home to avoid burdening the rest of her team. You can’t leave things like that at home, though, and instead of jumping to conclusions and terminating her, we were able to help her get through this trying time by letting her work remotely so she could care for her mom. With this accommodation in place, her KPIs skyrocketed back in no time.

    The other benefit of KPI tracking is that it fosters healthy competition in your team. One of my companies had a banner year last year, and the top performers were able to double their salaries through bonuses. Peer pressure isn’t necessarily a bad thing. By encouraging some competition among your team, you can help them reach milestones you wouldn’t have thought possible. Your team may very well be capable of reaching new heights, but if you’re not holding them accountable, they almost certainly won’t.

    Related: Fostering This Trait Is One of the Hardest Things for Leaders to Get Right

    Your team deserves success

    A key responsibility of a good CEO is to develop the next generation of CEOs. I want my employees to be CEOs someday, and I want them to be millionaires. But to do that, we need accountability measures. You will always have individuals trying to set the bar as low as possible; you have to hold them accountable.

    The most important thing to remember is that you need to be self-aware when setting these goals and milestones. As a CEO, I have a BHAG. But that doesn’t mean your employees have to have the same. Be fair, be realistic, but encourage them to push the envelope whenever possible. Treating your employees like future leaders can help them develop the maturity and sense to carry out your company’s vision. Your team deserves success, and you owe it to them. Crafting realistic and attainable goals is only one small way to do that.

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    Shannon Scott

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  • Win Back Your Time With These 4 Alternatives to Boring Meetings

    Win Back Your Time With These 4 Alternatives to Boring Meetings

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    Opinions expressed by Entrepreneur contributors are their own.

    There is perhaps one thing all employees will collectively agree on: Meetings steal time, and a lot of it at once, too.

    The average number of meetings held every week has been steadily climbing, and that’s no surprise in today’s hustle culture work environment. A survey conducted by Dialpad of more than 2,800 working professionals found that around 83% of them spend between four and 12 hours per calendar week attending meetings.

    On average, employees end up spending 30% of their workweek attending meetings, and in some cases, these sessions are nothing but wasted hours that could’ve been used more productively.

    Meetings are not only taking a toll on employees but on the economy as well.

    The burden of meetings in the workplace is not only costing employees, and their employers valuable time, but it’s also costing the economy billions each year. One study predicts that unproductive meetings cost the economy around $37 billion annually.

    Amid the pandemic, teams quickly managed to navigate the virtual office with video conferencing platforms to help them effectively communicate and link with their fellow team members. Although this presented a temporary solution for the time, the aftermath has seen employees now complaining of video fatigue, unorganized meetings, limited digital features and a lack of work-life privacy for those employees working from home.

    It’s often hard to say whether meetings can be productive or not, yet in the same breath, depending on the need or requirements of the company, most meetings end up becoming catch-up sessions for employees, leading to valuable hours being lost and team members being held back.

    Instead of deep diving into the pros and cons of meetings, it’s time to take a look at some of the alternatives to meetings that entrepreneurs can embrace in the new year. Though the transition might be hard at first, it’s often better to stay ahead of the curve than to continuously implement outdated practices that no longer serve the good of the company and its employees.

    Related: You Might Reconsider That Team Meeting When You Find Out How Much it Really Costs

    1. Embrace digital collaboration tools

    With the rise of technology in the workplace, whether it’s onsite or remote, it’s time that entrepreneurs embrace collaboration tools that help to establish more transparency and team assessment.

    Using digital collaboration tools will not only help streamline communication and brainstorming sessions, but it can help keep employees accountable with team reports and provide entrepreneurs with more transparency in terms of the reflected reports. Additionally, it’s possible to set near and long-term goals, making it easier for employees to track their progress, and define their productivity.

    It’s better to have a shared objective among employees, to ensure that every person is on the same page and that there is clear guidance going forward. This not only helps employees make better use of their time but also helps them work more effectively in teams towards a company goal.

    Digital collaboration can help to break down teams as well, making it easier for like-minded employees to discuss work-related topics, spark creativity among each other and boost employee communication efforts among each other.

    2. Make better use of email

    Yes, that meeting you scheduled could’ve been an email, and it’s a shared opinion among many employees these days. Instead of having employees attend meetings that might have nothing to do with their work, try and send out a team email that contains the most important information you want to share.

    For decades we’ve been using emails to communicate with clients, businesses and other colleagues, and most of the time we’ve managed to get the right message across.

    It’s important to make use of emails more sparingly instead of filling up employee inboxes with hundreds of unnecessary and unimportant emails every day. Make sure to send out one or two emails every day, perhaps one in the morning and one at the end of the workday to make sure all employees are on board for the next day.

    Emails work just as well as regular meetings, especially for the smaller and less important information sessions that don’t necessarily require an entire team to attend.

    Related: Got Too Many Meetings? Here’s How to Cut Back

    3. Send a recorded video

    Another alternative could be to send a recorded video to employees. This is perhaps more suitable for situations where a walk-through of a new project or process needs to be discussed, or an explanation needs to be added to a specific point.

    Video messages can be short yet informative and, in some ways, they can be a bit more personal than simply sending out a daily email or weekly roundup newsletter.

    With video messages, it would require you to record on demand and cover as much information within the video snippet as possible. There is also the possibility that you might need to edit the video, which will require you to have access to video editing software.

    Although this alternative might not be the most conventional, it’s by far an easier and more time-efficient practice than having members join a conference call that requires a stable internet connection to maintain video quality throughout the call.

    4. Initiate message threads

    Often employees that work in an office or on-site will collaborate through a team management platform such as Slack, Nifty or Google Teams. These platforms allow for seamless communication between members and can easily be an avenue through which employees can share information and other important documents.

    As an entrepreneur, it’s easy to share a message or document via the platform that will help to initiate a thread that can get employees more involved. Keeping employees engaged means that everyone is clear about the message and those that have any queries can have their questions answered in real time.

    It’s perhaps best practice to initiate a thread once all employees are online or present and indicate when a thread has ended. This way employees will know when they are required to attend and whether relevant information will be shared among participants.

    Related: Could Banning Meetings Be the Key to a Happier Workforce?

    Final thoughts

    It’s not possible to completely cancel out the importance of meetings, whether in person or virtual. Today’s employees often regard meetings as pointless and a waste of time, and instead of having this attitude manifest itself within your company and business, ensure that you seek out some alternatives to unproductive meetings.

    The idea with meetings is to share valuable information between interested employees, but also ensure that all team members are on the same page regarding progress and any potential changes that might be ahead. Be sure to choose an alternative that suits the company and its employees, and better yet, make sure to implement a structure that encourages employee engagement and effectively communicates the message.

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    Pierre Raymond

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  • CEO Tim Cook Says iPhones Are Worth the High Prices

    CEO Tim Cook Says iPhones Are Worth the High Prices

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    iPhones are notoriously expensive, and when compared to prior models, have risen dramatically in price. Still, Apple CEO Tim Cook thinks customers will keep opening their wallets, even amid tough economic times.

    During Apple’s earnings call on Friday, an analyst at Bank of America Merrill Lynch asked Cook if continuing to increase the overall price consumers pay for iPhones was “sustainable.”

    Cook said that because the iPhone has become “integral” to people’s lives, with everything from debit cards to health data to access to smart homes, people will “really stretch” to pay for the technology.

    Apple’s reported quarterly earnings were a “stunning miss” for the multi-trillion-dollar company, according to CNBC, clocking in below analyst estimates on earnings per share and revenue.

    The company also broadcasted the largest year-over-year drop in quarterly revenue it’s reported since 2016.

    iPhone sales for the quarter were down about 8% compared to the same quarter last year, the company reported. Apple reported production issues in China with its iPhone 14 Pro and iPhone 14 Max prior and cited that as a reason for its struggles to sell the phones in the most recently reported earnings period during the call, per CNBC.

    Related: Apple Says COVID-19 Restrictions in China Will Delay iPhone 14 Pro and Pro Max

    Meanwhile, iPhones continue to get more expensive. As Insider calculated, the most expensive version of the iPhone 3GS, released in 2009 (a descendant of the first iPhone, which came out in 2007) with storage and memory, would cost $962 today adjusted for inflation.

    The 14 Pro Max, along with one terabyte of storage, cost $1,600, an increase of about 66.3%.

    The Washington Post noted in 2018 that the company still tries to cater to people who have less cash on hand, by selling older models of iPhones at lower prices.

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    Gabrielle Bienasz

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  • Harness These 4 Effective Strategies to Succeed in Untapped Rising Economies

    Harness These 4 Effective Strategies to Succeed in Untapped Rising Economies

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    Opinions expressed by Entrepreneur contributors are their own.

    Before the global economy can recover and stabilize market patterns, the focus must be placed on dynamic markets where costs are lower and production is higher, over industrialized countries.

    In emerging markets, there are generally fewer rules and regulations than in developed countries. Governments are more willing to trade with other nations and conduct business as long as their people and companies see economic prosperity.

    Emerging markets are integral to any company’s growth strategy, but what factors make it so? This article answers that question and discusses strategies for entering one.

    What do rising economies look like in 2023?

    Emerging markets are the growing economies of developing nations that have become dynamic enough to increase participation in global trade. These markets have many characteristics similar to already developed markets but with a much lower cost and a higher enthusiasm for new products.

    • Integration — Welcomes investment, focuses on barter and supply rather than manufacturing, and engages more with global markets.
    • Liquid equity — Increased local debt and equity in both domestic and foreign markets, with easy cash flow.
    • Increased trade — Lower transportation, storage and labor costs result in higher profit margins that help increase trade for both domestic and international investment.
    • Enhanced legislative support — Foreign investment taxes and regulations are less stringent in emerging nations, allowing for an easy flow of goods and investment.

    Related: Is Now the Right Time to Take Your Company Global?

    Best strategies for winning in rising economies in 2023

    Opportunities in vibrant markets need to be pursued aggressively. The right plan can aid in generating higher revenue owing to population size alone. Investors can increase their chances of success and return on investment by utilizing one of four strategies when entering these markets:

    1. Understand the political and commercial environment

    It’s crucial to be aware of the political situation in any country you want to invest in. The political forces that govern emerging markets can have a significant impact on your ability to generate profits.

    Foreign policies that are conducive to investment and a vibrant economy can be strengthened by stable governments that are receptive to such efforts. Having an understanding of shifting political environments and having the assistance of local political forces can make investments safer.

    Stability is a prerequisite for prosperity, and prosperity requires an open economy where money and goods can move freely across national boundaries. Emerging markets embrace good business practices and investment to boost their economies and bring them up to speed with those of developed nations. In some circumstances, emerging markets may even offer significantly larger returns due to the environment.

    2. Hire local teams

    The major purpose of investing in developing markets is to expand your business and capitalize on local opportunities. Hiring local people and resources is more logically efficient because they are more familiar with indigenous scenarios, which in turn can boost investment opportunities.

    Local hiring also increases the economy of the community and strengthens emotional attachment among locals, motivating them to work harder and support long-term objectives in these markets. Additionally, the lower wages result in cost savings that don’t just boost earnings but also support local economic development.

    For example, emerging economies like Saudi Arabia allow massive investment but make it compulsory that the board have local members. They also fix a percentage of local employees to be hired against the foreign workforce. In the long run, this also sends the political message that foreign companies bring business and prosperity.

    Related: The Benefits and Risks of Launching New Products in New Markets

    3. Let go of assumptions

    CEOs and businesses believe they can conduct business in emerging economies and marketplaces in the same way they do in developed countries; yet, infrastructural quality varies by country. For instance, political officials or pragmatic leaders often enforce contracts in developing economies instead of the legal system.

    4. Utilizing extensive distribution to reach customers

    Utilizing extensive distribution helps raise product awareness and ensures that the company reaches the maximum number of people. It enables businesses to expand their reach and gain the best possible market coverage and when done right, this strategy has the potential to generate millions of loyal customers.

    There is a lot of untapped potential in emerging markets. If investors can combine local practices with their expertise and technical innovation, the opportunities are virtually limitless.

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    Pritom Das

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  • Building Inspectors To Twitter: Meeting Rooms Aren’t Bedrooms

    Building Inspectors To Twitter: Meeting Rooms Aren’t Bedrooms

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    Go bed permit — or go home.

    The San Francisco Department of Building Inspection told Twitter’s construction contractor Monday that it needed to change the classification for meeting rooms that are instead being used as bedrooms, according to Insider.

    The correction notice said “it was observed that some of the conference rooms were being used as employee sleeping or rest areas,” per the outlet.

    Twitter’s CEO and owner, Elon Musk, purchased the company in October and then took it private, laid off half the staff, and installed a different and “extremely hardcore” work culture.

    An early photo of an employee sleeping in the office in a sleeping bag went viral.

    Related: Photo Exposes Overworked Twitter Employee Sleeping on Office Floor: ‘Pushing Round the Clock’

    In early December, Forbes reported on a photo of a meeting room at Twitter being converted into bedrooms, with armchairs and a bedside table, which set off an investigation from the Department of Building Inspection.

    The BBC also reported in early December around that time an employee said Musk had been sleeping at the office since completing the purchase and that one conference room had become a “hotel room.”

    A worker at the city’s Planning Department told the San Francisco Chronicle that the distinction is important because meeting rooms cost different amounts than bedrooms for buildings that are used commercially.

    Related: The Woman Photographed In a Sleeping Bag at Twitter HQ Is Now One of the Company’s Most ‘Influential Leaders.’

    Musk previously called the conversions simply “providing beds for tired employees,” on Twitter.

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    Gabrielle Bienasz

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  • 5 Marketing Strategies That Work Even in Uncertain Times

    5 Marketing Strategies That Work Even in Uncertain Times

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    Opinions expressed by Entrepreneur contributors are their own.

    The startup world is in disarray as I write this, and the economic outlook is not great. Many companies are performing mass layoffs, scaling back on initiatives and rethinking their entire approach to sales and marketing. It won’t always be this way — it’s a cycle — but that doesn’t make it much easier while you’re going through it. The big question every marketer seems to have is, “What can we do?”

    Start with these five startup marketing moves. They make a great foundation for any marketing strategy, even in the best of times, but they’re particularly prudent in the worst. Implement these, and when the cycle comes back around, you just may find yourself head and shoulders above your competitors.

    Related: 5 Marketing Mistakes Startups Must Avoid in Order to Survive

    1. Talk to your customers!

    When in doubt, talk to your customers. What are they going through, what do they need, and what do they anticipate happening over the next three, six, 12 months? What’s troubling them may be news to you, and what’s troubling you may not matter to them at all. Here are a few questions to get the conversation going:

    • How are things now compared to this time a year ago?

    • Are you looking to spend more, less or about the same in this area?

    • What’s your biggest challenge right now?

    • What do you think the biggest challenge will be in six months? 12?

    • What would make you buy this thing or upgrade your account?

    • What would keep you from spending money on this?

    • What are we doing that you particularly like? That you don’t?

    Use these customer interviews to shape your marketing.

    2. Create frictionless buying experiences

    The best customer experiences remove everything that stands in the way between the customer and making a purchase. “Frictionless” is always a good target, but uncertain times like these are when you need to look for over-the-top ways to remove friction.

    A few ideas to get your gears turning:

    • Build a migration tool that enables customers to switch their data from competitors to you.

    • Offer something incredible for free or at a massive discount to get people in the door — your lowest tier plan, onboarding, shipping, a managed service, etc. Hubspot did this incredibly well during the Covid-19 pandemic.

    • Show the product or pricing, and put the control in the buyer’s hands.

    • Do the work for customers — create templates, packages, widgets or something similar that they would normally have to invest time and energy into.

    Through this, you can turn a nasty landscape into a great opportunity for both you and your customers.

    Related: 7 Free Steps to Market Your Bootstrapped Startup

    3. Communicate clearly and consistently

    The companies that are present are the ones that are remembered. This is especially true in times of uncertainty, volatility and crisis. The caveat is that you cannot simply repeat what everyone else is saying. You must lead.

    Take a stance on a topic, flesh out your positioning and messaging, and communicate it. If there’s so much volatility that you don’t yet know what your position is or don’t have the data to make a decision, share that. Bring people into the loop. Become the go-to brand or thought leader. Getting all eyes on you creates significant leverage for your sales and marketing.

    4. Bet bigger where you can

    A knee-jerk reaction in uncertain times is to cut back, but think about it: All of your competitors are cutting back. This is the perfect time to double down on what’s working. You can increase the gap between yourself and your competitors. Then whenever the cycle rights itself, you’ll be so far ahead with so much momentum, no one will be able to catch you.

    You still need to be responsible with your resources. If you can invest actual dollars into projects and channels that are already working or that you know your customers need, great. If you don’t have the money, invest your time.

    Options that take more time than money include:

    • Building your presence and brand on social media

    • Content creation for your blog and other channels

    • Public relations and earned media — find outlets and ways to tell your story

    • Refreshing your existing content, website and workflows

    • Search engine optimization

    • Strengthening your customer or follower community

    Note: If you’re under pressure to increase revenue yesterday, account upgrades and repeat purchases are likely your lowest-hanging fruit. Otherwise, invest in creating a larger gap between you and competitors.

    Related: 7 Paid Marketing Steps to Fuel Your Startup’s Growth

    5. Audit your operations

    Operations tend to fall in the bucket of “we’ll worry about that later.” You typically have enough fires to put out trying to create and capture demand, among other tasks, that operations get pushed to the side. But these times when everyone is pausing and reevaluating are perfect opportunities to review your operations and metrics, like:

    • Cost to acquire a customer

    • Customer retention and repeat purchases

    • Annual contract value or annual spend

    • Workflows

    • Automations

    • Customer personas and buying journeys (see section 1)

    • Quarterly objectives and key performance indicators

    “That which gets measured gets improved.” Audit your operations and other metrics to determine how good or bad of a situation you’re really in, where you can improve and where you can afford to bet bigger (see section 4). Use this data to inform your marketing strategy.

    Don’t react too soon

    All things come in cycles. No matter how daunting the current situation is, there are sunny days coming when your business can thrive. Be careful not to make such hasty decisions — you don’t want to suffer long-term in exchange for temporary relief. Watch your metrics, take care of your customers, communicate clearly and consistently, and take a few big bets. You may be surprised by how well things can turn out for you.

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    Kenneth Burke

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  • How to Create a Successful Product Portfolio

    How to Create a Successful Product Portfolio

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    Opinions expressed by Entrepreneur contributors are their own.

    Crafting a successful product portfolio might sound daunting, and it certainly can be if you’re not well-prepared. But in reality, it doesn’t have to be an overwhelming process. With the right strategies and knowledge, you can create and maintain a strong product portfolio that meets your customers’ needs and stands out from the competition.

    In this article, we’ll walk through the steps necessary to craft a successful product portfolio.

    Related: How to Nail a Successful Product Launch

    Do your research

    Before you start creating your product portfolio, you must do some research and understand the market landscape. Gather as much information as possible about your potential customers, competitors, and industry trends. This will help you develop a compelling product roadmap and ensure your products stay on top of the latest technological advances.

    Consider using various research methods such as surveys, interviews, focus groups or observation studies to gain insights into customer needs and preferences. Other data sources include industry reports, competitive analysis, analytics from existing products or customer feedback from existing users. Take the time to analyze all available data points to get a complete picture of the current market environment and identify growth opportunities.

    Related: Assume Potential Customers Don’t Know Anything About Anything

    Identify your goals

    Once you’ve done your research, it’s time to set goals for your product portfolio. Think about what success looks like for each product and establish clear objectives with measurable metrics such as customer satisfaction scores or user engagement numbers. To ensure accuracy, break down objectives into smaller tasks and milestones that can be tracked more easily over time. This will enable teams to assess progress regularly while also allowing flexibility should plans need to change due to unexpected circumstances or new requirements arising mid-way through development cycles.

    Consider long-term implications such as future expansion plans or scalability issues when setting goals. This will ensure that products remain relevant in the years ahead, even if certain technologies become obsolete or new solutions enter the market.

    Design with intent

    When designing product features, take the time to think through their purpose and how they can benefit users. Consider who is using the product and why they may want or need certain features or functionality. This could range from simple usability enhancements for novice users to advanced capabilities for more experienced ones. Keep an eye out for any gaps between user intent and existing features that a new offering in your portfolio could fill. This could open up opportunities for growth while also providing value to users at the same time.

    Try to incorporate design elements that resonate with different types of customers — whether visual design styles that match branding guidelines or interactive components that are easily accessible regardless of experience level with a certain type of device or technology platform.

    Related: 5 Strategies To Build an Online Portfolio Boosting Any Business Website Performance

    Execute effectively

    No matter how well-planned a project may be, ultimately, its success hinges on execution. Develop an agile workflow that allows fast iterations while preserving quality standards, making progress visible throughout development cycles. This will enable teams to make quick decisions based on feedback from stakeholders and changing market conditions without compromising overall results.

    Utilize feedback from customers and other stakeholders along the way. This can help identify problems before too many resources have already been invested in a particular direction. It also ensures that all points of view are considered when making decisions about feature development or improvement. This will help create products that truly meet customer needs rather than just incorporating features because they sound good on paper but don’t necessarily deliver real value in practice.

    Strive for transparency throughout every stage of development. This will build trust amongst stakeholders involved in the project and make it easier for everyone involved to keep track of the progress being made against established milestones & objectives.

    A successful product portfolio requires careful planning, research, intentional design and effective execution. By investing the time to do these tasks correctly, you can create products that meet customer expectations and deliver significant value in return. Whether you’re looking to launch a new product or revamp your existing one, following these steps will ensure that your portfolio is strong and positioned for success.

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    Christopher Massimine

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  • 3 Things To Automate In Your Airbnb To Achieve Passive Income

    3 Things To Automate In Your Airbnb To Achieve Passive Income

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    Opinions expressed by Entrepreneur contributors are their own.

    Automating your Airbnb listing means being hands-free with the business. And this is the first step towards the location freedom you’ve always wanted. Location freedom is having the ability to go anywhere in the world and still earn money despite not being physically present. So when it comes to managing your Airbnb, how do you automate the process, and what strategies do you need to implement?

    Ask any Airbnb host about their goals in the business, and you’ll probably get a standard answer in return, “We all want passive income and location freedom.” And who wouldn’t want to continue earning money wherever they are, right?

    However, operating an Airbnb business is like any other full-time job — you’ll feel excitement and exhaustion during your run. But there’s a bunch of smart hosts who know how to manage their Airbnbs, remove the stress from the equation, and continue enjoying the fruits of their labor. You can be one of them. You can use their strategies and automate these three essential things in your Airbnb listing so you can work ON your business and not in it.

    Related: How To Create 7 Streams of Income for Passive Wealth

    1. Cleaning

    This is probably the most important aspect of running a short-term rental business. However, as vital as it is, you also shouldn’t try to save money by cleaning your property. If your goal is to be truly independent with your business, you need to automate it.

    For this, you can hire a professional cleaning company, or you can hire people you know. And there should be a system for your crew because for your business to be truly automated, it needs a process to follow. For example, your crew needs to be there right after the guests leave at a specific time window (for example, from 10 AM to 3 PM).

    When you put this on autopilot, your team will automatically pick up where the guests left off, clean during the window, and you don’t have to clean the place yourself.

    2. Maintenance

    The next thing you need to automate is maintenance. Hiring a maintenance person will ensure that anything broken will be fixed as soon as possible. This person ideally will work on call, and you should let them know that you have a window and that if there’s ever any handy work that needs to be done, they should do it during that window.

    As for the compensation, it is recommended you pay both your maintenance person and cleaners on a case-by-case or per-project basis.

    3. Communications

    And last but not least, the communications.

    This part of the operations is vital because it will make sure that you’re streamlining the tasks needed to be done and that you’re not doing all the work yourself. For this, you can use Slack, a communication platform that’s easier to manage.

    With proper communication, you must add the owner, the cleaners, the maintenance person and everyone involved in maintaining that property. For example, you can ask your cleaning crew to post pictures of the property after each cleaning. They can also visually inspect the property to see if anything’s missing or needs repairs.

    If there is, you can then tag your maintenance person so they can come over and handle it during the cleaning window. This will make everything easier for you.

    We recommend you do the communications for the first three properties you launch so you can experience it first-hand. Plus, it’s also difficult to delegate communication when you haven’t done it and don’t understand it yourself.

    The most important thing to remember during these operations is that you don’t do the cleaning or the maintenance yourself. Delegate those things or hire somebody else. This way, you’ll be able to start working on the business and not in the business.

    Related: 4 Powerful Tips To Create A Successful Airbnb Business

    Passive income through Airbnb short-term rentals

    As you know, Airbnb is a home-sharing platform where you can list your property so that guests worldwide can book your place for a brief time. But this is more than just a place made for visitors who like comfortable stays. It’s also a good business venture for people looking for passive income.

    So if you own a property, you can launch your listing and use the automation strategies we just shared with you. If you’re a newbie just looking around for tips for getting your Airbnb business started, then you tuck these tricks away for future use.

    Related: How to Start an Airbnb Business Without Owning Property

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    Jorge Contreras

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  • 5 Things All Successful and Profitable Media Productions Need

    5 Things All Successful and Profitable Media Productions Need

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    Opinions expressed by Entrepreneur contributors are their own.

    Great television shows and films have staying power, which means they capture and keep the viewers’ attention and often motivate them to action. For some shows, this could mean tuning in week after week for each new episode.

    For documentary films, it could mean changing a lifestyle or habit to help effect change. Successful media productions have several qualities that help encourage viewership, inspire action and leave viewers satisfied. For the producer, successful productions mean an increase in profit. These essential qualities cross genres, locations, production lengths and much more.

    A structure to fit the genre

    There are various ways to develop a storyline, but certain expectations exist for particular genres. Many television shows follow the three-act structure that tends to define literary works. The beginning, the middle and the end divide a storyline across an individual segment and an entire series. The characters, settings and plot unfold differently through these periods, giving the viewer a way to follow the show without getting lost.

    It’s also important to remember how the audience will watch the production. Productions developed for television must account for commercial breaks or other interruptions, such as programming changes. Building up tension with dramatic elements or omitted information can keep viewers engaged with the show and keep them from changing channels during a commercial. In a film, think about where to insert some comic relief or how to bring an audience down from an intense moment of action.

    Related: 10 Ways Producing Television Taught Me to Succeed

    A clear but unique point of view

    For a production to receive the attention that will (ideally) make it successful and profitable, it should stand out and be distinct from other shows or films in its genre. There is an audience for every type of production out there, but chances are, someone else is already filling the market with a product.

    Viewers want a fresh new take on something familiar. Changing how you host a talk show or incorporating elements you need to become more familiar with gives you a way to present something different. The newness of your presentation and idea needs to make sense while generating the necessary curiosity to see more.

    A storyline containing meaningful conflict

    Whether you’re filming a sports theme, documentary, talk show or comedy, it’s imperative to include significant conflict elements to generate viewership and satisfy your audience. Conflict can take many forms and add to the development of an idea, such as with a talk show. Healthy conflict involves reasoning between two or more ideas to inspire dialogue. It could also include situations that test a particular character, whether physically, intellectually or emotionally.

    If you’re developing a television series, incorporate conflict that spans the entire series or across several episodes. The desire for resolution helps attracts viewers over the duration, but working in shorter periods of conflict within an episode can attract and hold their attention over the short term. In longer films, it’s crucial to keep conflict from playing out too long, at least with brief moments that offer some sort of resolution. An audience needs hope when watching characters they can trust and relate to.

    Related: 5 Steps to Craft a Story That Hooks Your Audience Every Time

    A screen full of believable characters

    Your storyline and presentation engage more viewers when the characters are interesting, relatable, and believable. This is important whether you produce a daily talk show, mini-series or full-length film. Your audience wants to be captivated by those they are watching, whether it’s their interactions with one another, how they respond to situations or how they handle emotional or physical challenges. While not everyone can relate to being a superhero, the drama and friction inherent in unconventional relationships are something many can appreciate.

    If the media production is a newscast, keep the audience in mind when selecting anchors for a particular story or segment. Seasoned anchors may appear more sympathetic and understanding when discussing sensitive information or social problems. Characters developed for a comedy shouldn’t abandon all maturity and seriousness, especially in real-world scenarios where subtly is necessary.

    Related: Top 10 Horror Movie Entrepreneurs

    A dialogue that enhances character perception

    Whether it’s a rom-com, sports talk show or marketing production, the audience knows the importance of less is more when it comes to dialogue. Unnecessary, filler conversation is unappealing and creates the perception that the production is slow or out-of-touch. All dialogue or discussion should work to draw the audience into the storyline or segment, often done through humor, honesty, passion and more. Make sure the dialogue fits both the show and the character. When a character is known for a sense of humor or the inability to be discreet, it helps bring the characters to life and causes the show to stand out from others in the field.

    These are just some of the critical factors to consider when planning your next media production. While it’s important to have your idea and vision for the work in mind, it’s how the audience will perceive and engage with the end result that matters. Their loyalty is what makes it successful and profitable.

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    Eric Weinberger

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  • Study: IRS Audits Black Americans The Most

    Study: IRS Audits Black Americans The Most

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    A study worked on by academics at several major institutions in collaboration with the U.S. Department of the Treasury found that Black Americans are anywhere from 2.9 to 4.7 times more likely to be audited by the IRS.

    The working paper was published January 31 by the Stanford Institute for Economic Policy Research.

    “The disparity is unlikely to be intentional on the part of IRS staff,” according to a summary fo the study.

    “Rather, as the team’s research demonstrated, the racial disparity in audit selection is driven by a set of internal IRS algorithms that Goldin likens to the recipe for Coca-Cola. That is: It’s completely secret,” it added.

    However, despite the fact that the IRS keeps many details under wraps about how exactly its algorithms select people to audit, the research team was able to identify the disparity (in tax returns from 2014, Black Americans were 2.9 to 4.7 times more likely to be audited than other groups) and suggest possibilities for what could be behind it.

    The study found that the IRS was more likely to flag Black Americans through its “Dependent Database,” which uses risk scores and other factors to create a database of taxpayers who might have not-reported income, then generates an automatic letter audit.

    The study was not able to say why, but it did show that “the bulk of the observed racial disparity” was related to by-mail, lower-effort audits (rather than ones that take place in person).

    One reason for the disparity is the increased auditing of people who claim the Earned Income Tax Credit, (EITC) which gives a tax break to families of low or moderate income. That disproportionately affects Black taxpayers.

    However, the largest racial disparity actually occurs because, within the group of people who claim EITC, the IRS is also much more likely to select Black Americans.

    Black Americans faced 45% of audits among those who claim EITC — but were only 21% of the total group.

    “The racial disparity in audit rates persists regardless of whether EITC claimants are male or female, married or unmarried, raising children or childless,” per the summary.

    The study proposed a few other explanations, borne out by its data analysis, from the possibility that the racial bias is introduced by a potential focus on the number of instances of unreported tax income (versus how much actual income is not reported — i.e., attempting to find the largest number of reported income).

    Another was the fact that the IRS audits people who report income from a business less often because those audits are more expensive, and that also disproportionately results in Black taxpayers facing audits.

    The business income situation feeds into a larger trend of the IRS lacking the funds to audit high-income taxpayers, and thus focusing on lower-cost audits, which “have a racially disparate impact.”

    The study used U.S. Census data to predict the likelihood a taxpayer identifies as Black, as the IRS does not collect data on race.

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    Gabrielle Bienasz

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  • 5 Trends Redefining Business and Entrepreneurship

    5 Trends Redefining Business and Entrepreneurship

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    Opinions expressed by Entrepreneur contributors are their own.

    Being an entrepreneur or business owner today has proven extremely challenging. As we enter the new year, we have many variables to consider. Fortunately, every new year presents an opportunity to position ourselves for success, provided we make ourselves aware of the forecasted trends.

    As we enter the new year, let’s look at five prevailing trends affecting entrepreneurs and business owners. We’ll discuss how to use this information to shield yourself from uncertainty while maximizing your efforts.

    1. Technology will continue to grow

    Technology and digitalization may be the only factors not influenced by geopolitics. Indeed, innovation has never occurred at a more blistering pace than it has through the early 2020s. In 2023, experts predict AI (artificial intelligence) and VR (virtual reality) will continue to grow and expand into new sectors and industries.

    Early adopters can enjoy new, time-saving, and money-saving benefits. In other cases, they will find they’ve put the cart before the horse and will need to wait for their customers to catch up. Whatever your industry, it’s critical that you stay on top tech news and watch for products that have the potential to benefit (or hurt) your bottom line.

    2. Sustainability will take a front seat

    It only took one summer of high gas prices to completely change how the world feels about electric cars. Now, green and sustainable technology is trending more than ever. In August, a new study revealed that 66% of U.S. consumers would be willing to pay more for sustainable products.

    And while many business owners feel this trend only applies to energy or high-polluting industries, this couldn’t be further from the truth. Modern consumers are interested in green and ethical sourcing at all levels of the supply chain. From how factories are powered to the treatment of labor to how the final products are packaged, every step in the process could be a potential marketing goldmine (or a PR nightmare).

    3. Employee/employer relationships will continue to change

    Few things in the post-pandemic world changed as dramatically as work. And while corporate leaders see this shift as a major threat to their productivity, smaller enterprises may be able to capitalize on new employment trends. For instance, by offering remote or hybrid work options, you can instantly make yourself more attractive to potential employees. Many of these might accept less pay in exchange for more freedom. Sometimes, you save thousands by doing away with your office space.

    Of course, only some businesses lend themselves to remote work. That’s where you should refer back to #1 on this list. Technology is moving so quickly that it could effectively replace many paid positions within the next 12 months. Couple this with the growing viability of third-party manufacturing, and you suddenly have many new avenues to expand or cut costs.

    4. Customers will demand better experiences

    Deloitte recently published a great article on the true value of the customer experience. It highlights how much has changed regarding what customers look for in a business, product, or service. Indeed, while price point and quality are still very important, modern consumers tend to identify with the brands they use in the same way they might identify with a friend or significant other. For this reason, they crave experiences that bring them and their brand “closer together.”

    This can be as simple as including personalized or exclusive items with your products or streamlining the buying experience. Whatever the case, the goal is to make your customers feel special, boosting loyalty and encouraging them to promote your brand to others. Of course, technology will also play a pivotal role in this process. From recommendation engines and automated after-sales support to 3D dressing room experiences, the more you can offer your customers, the better.

    5. Everything will be affected by economic factors

    The world entered 2023 with a war in Ukraine, an energy crisis in Europe, and record inflation nearly everywhere else. While these might seem like problems “for the big guys,” every single business will be affected by these factors in the coming year. Whether it comes from late supply shipments, increased fuel costs, or overpriced products, we’re all likely to feel some economic pinch.

    Without a crystal ball, the only real solution to this problem is for business owners to map out their entire supply chain and identify any parts that might be at risk. Where is your manufacturing done? Who handles your shipping? Are any of the materials in your products susceptible to supply chain problems? If your business is more service-oriented, will it be affected by inflation, energy prices, or demand decay? The more you know now, the better you can be prepared later.

    Every new year presents new challenges for entrepreneurs and business owners. But in the end, that’s all they are! With a little preparation and a commitment to staying on top of industry news, you can put yourself in a position to weather any storm. More importantly, you can take advantage of opportunities you might not have considered in the “old days” of 2022.

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    Larry Jones

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  • How Small Businesses Can Beat the Big Companies to Top Talent

    How Small Businesses Can Beat the Big Companies to Top Talent

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    Opinions expressed by Entrepreneur contributors are their own.

    Finding the perfect job candidate can take a lot of work for a small business or startup. With the current competitive market, small businesses find it harder to attract top talent than larger, more established companies. In a survey of small business owners by NFIB Research Foundation, 44% of respondents said that they had few or no qualified applicants for open jobs.

    Small businesses might struggle to find top talent for plenty of reasons, such as increased competition, social media inactivity or failure to connect with recruits on a personal level. If you want to attract top employees, your company must have a clear and unique identity and be able to demonstrate its differentiators and core values.

    Here’s how savvy small business owners can start being strategic about attracting qualified employees.

    Related: How Small-Business Leaders Can Recruit Like the World’s Top Companies

    1. Focus on flexibility

    People care deeply about flexibility at work. The ADP Research Institute conducted a survey that found 67% of employees feel more empowered to work in flexible arrangements since the start of the pandemic. Successful companies, including American Express, the largest credit card company in the U.S., have followed this advice by offering flexible hours, working arrangements and contracts.

    Consider being flexible with policies and practices that affect work-life balance. This approach demonstrates that you care about your employees’ overall well-being and helps attract talent who might not have predictable schedules or work arrangements.

    2. Foster a community

    Creating a sense of connection is crucial for small businesses that want to attract competitive talent. An ideal workplace is built on a shared purpose, mutual trust and care for the community around it. It’s not just about the money for employees; it’s about finding fulfillment in their work and enriching their lives.

    One way to set yourself apart when building your community is to look to the local, larger community at hand. Small businesses are known for fortifying communities all over the country, connecting people through shared experiences and helping regional economies thrive. By creating a sense of community within your business that’s connected to the one outside of it, you capitalize on local talent while providing a fulfilling work environment that retains employees.

    Related: 4 Ways to Level the Playing Field of Small Business Recruitment

    3. Make a good first impression

    Small business teams might find it hard to set aside the time necessary to write detailed job descriptions because of the pressure to complete other tasks. However, the first step in attracting skilled workers that fit your precise needs is writing an accurate job description. A job posting, description included, is often the first impression a new job seeker has of your business. So, make it a good one.

    Not only does an effective job description include a list of required skills and expectations for the role, but it also gives the reader an insight into your company culture. Do you care about work-life balance? Is your compensation competitive, and does it include the preferred benefits? Do you understand the nuances of employees’ lives? A good job description will communicate those answers when crafted with the seeker in mind.

    4. Nurture company culture

    A company’s culture establishes expectations for how employees interact and collaborate. Whether you build your culture through concrete practices or relaxed camaraderie, a strong company ethos can serve as a way to break down the barriers between teams that are siloed and provide guidance for decision-makers.

    Warby Parker is a great example of building a solid company culture that retains employees. The whole team is involved in a new employee’s onboarding and training, fostering stronger relationships and increasing a new hire’s sense of belonging and support.

    For a small business, even little things such as flex time, a casual dress code or pet-friendly offices can impact staff morale and loyalty. Creating the right company culture will help spread the word about your business and why top talent should want to work for you.

    Related: How Small-Business Owners Can Build a Strong Corporate Culture

    5. Offer real benefits

    Although there is no federal law mandating that small businesses (i.e. those with 50 or fewer employees) offer health insurance or paid leave, regulations on employee benefits can vary from state to state. Plus, creating a more comprehensive benefits package is a great way to attract the best workers. Employee benefits improve your worker’s productivity, health, well-being and job satisfaction.

    Almost half of the employees surveyed by SHRM said that health insurance was either the top deciding factor or a positive influence when choosing their current job. What’s more, 29% of employees said that their overall benefits package was a significant factor when deciding to look for work elsewhere. Benefits matter to your employees, so they should matter to you.

    6. Consider hiring remote workers and freelancers

    A small business can employ forward-thinking strategies faster and more responsively than most established enterprises. Keep an open mind when looking for a “specific” kind of employee: independent contractors and remote workers are becoming more common these days.

    Many skilled and talented people are available for hire as freelancers or contract workers. Even among traditional employees, it is important to consider allowing people to work from home as more people expect this option from employers. Remote work can be one of the key benefits of working at a small company.

    Related: 3 Powerful Techniques to Effectively Manage Your Remote Team

    7. Drive home what makes a small company unique

    A great advantage for small businesses is the ability to respond to creativity with agility. Big companies can be hesitant to make significant changes, but small businesses can take bigger risks while affecting fewer people. This can make employees and job seekers more excited to work for your business. According to Gallup, when a worker perceives their company as agile, they’re likelier to believe that the organization is a good fit for customers, ahead of competitors, financially secure and prosperous.

    The ability to be agile encourages new ideas and helps businesses adapt to new innovative solutions quickly. A company’s ability to quickly and effectively adapt to its changing needs is key to its success, especially when adding new employees to the mix.

    It’s more critical than ever to find the right people with the right skills for the job. So, you need a solid small business recruitment strategy when seeking new talent. A group of skilled and enthusiastic employees will flock to a company that appreciates and nurtures their talents. In return, they’ll bring new skills and energy to your business and ensure you can compete in today’s market.

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    Sarah Mayer

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  • 3 Recession-Proof Strategies for Small Business Owners

    3 Recession-Proof Strategies for Small Business Owners

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    Opinions expressed by Entrepreneur contributors are their own.

    Unless you’ve been hiding under a rock, you’ve probably read the dreary forecasts from JPMorgan, Citi and Goldman Sachs, which all agree that 2023 will be a rough year for the economy, perhaps even kicking off a “mild recession.”

    But try as they might with their recession talk on the heels of a global pandemic, supply chain chaos and market upheaval, we resilient entrepreneurs aren’t ready to throw in the towel quite yet.

    Small business owners’ most significant advantage is our ability to stay nimble and pivot toward opportunity. I say this as someone who built and exited a company after the last recession — when many founders rode a wave of “creative destruction” where smaller competitors thrived as big firms faltered. The little people, not the corporate behemoths, were best positioned to pick up the pieces and innovate.

    To see how others feel about this moment, Hello Alice surveyed 2,635 small business owners to gauge their sentiment heading into the new year. The findings, published in partnership with Mastercard, show that while nearly two-thirds of entrepreneurs are worried about a potential recession, an astounding 73% predict their businesses will grow this year.

    If that sounds counterintuitive, I agree. But a closer look at the results illustrates how scrappy entrepreneurs can be in the face of adversity. Rather than wait and see what happens, owners are already crafting action plans and seeking solutions to prepare them for the challenges ahead.

    Based on our survey results, here are three strategies for small business owners hoping to beat the 2023 trendlines.

    Related: 7 Recession-Proof Industries to Protect Your Money

    1) Make sure you have access to working capital now

    In uncertain times, small business owners need additional funding, particularly those mainly relying on bootstrapping.

    Why? Here are a few findings to set the scene:

    • 66% of owners said their expenses increased in 2022
    • 70% said their revenue stalled or decreased in 2022
    • 70% plan to apply for funding in 2023

    So far, entrepreneurs have successfully combatted inflation with price increases and adjustments to product offerings. Nearly two-thirds of owners said their business ended 2022 in a financial position as good or better than the year before. But the convergence of expenses and revenue tells a story of shrinking margins squeezed by inflated costs. You can’t raise prices forever, and events like a recession are certain to upend sales forecasts.

    Consider the following options to ensure you have ample working capital to overcome any financial surprises:

    • Develop a relationship with your bank. Lay the groundwork now, and you’ll have a friendly face to help you navigate available resources and facilitate potential financing applications.
    • Seek out a business credit card. Credit cards help you cover unexpected expenses and pursue new opportunities, often while earning valuable rewards that you can reinvest in your business.
    • Visit the Small Business Funding Center. This free resource matches you with relevant grants, loans, and credit opportunities.

    Related: How to Know If You Need Funding (and How to Get It)

    2) Get scrappy with tech solutions

    In our outlook survey, businesses ranked marketing among their top concerns. Owners are worried that price increases will reduce their overall customers, and the end of budget-friendly digital marketing makes customer acquisition more difficult (and expensive) than ever.

    Thankfully, a growing range of tech solutions can help owners optimize their marketing efforts while fitting into any budget. Here are a few ideas to get started:

    • Adopt software tools. Platforms like Constant Contact, Hubspot Marketing Hub and Sprout Social help you target your audience and amplify your reach.
    • Explore freelance help. Resources like Fiverr, Upwork, and MarketerHire can match you with affordable digital marketing support to take the work off your plate.
    • Look for discounts. Take advantage of introductory offers and seasonal discounts to test-drive tools before making a long-term commitment. Not sure where to look? The Hello Alice Business Solutions Center is one free resource that curates deals on popular software solutions to help owners shop and save.

    3) Be ready to fail fast and fail often

    Finally, in a reassuring sign that owners feel confident, a majority of small businesses plan to hire this year. According to our survey, twice as many business owners plan to hire in 2023 (52%) as were actively hiring in 2022 (26%). Growing headcounts are a proxy for growing businesses, but there’s still an inherent danger to making big changes, especially during uncertain times.

    Instead, operate with a startup mentality that sets up low-stakes experiments to explore an idea’s potential. Rather than dump your marketing budget into TikTok, test the waters with different types of content. Before bringing someone on full-time, trial them on a part-time or project basis. Set goals, measure outcomes, and assess where to go from there.

    Some of your 2023 experiments are sure to fail, but this innovative mindset helps you conserve valuable resources to invest in long-term growth in the years to come. And remember, the economy may flounder for a bit, but as entrepreneurs, times of uncertainty are when we thrive.

    Related: By Failing to Prepare, You Are Indeed Preparing to Fail

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    Carolyn Rodz

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  • Lauren Sánchez Is Heading to Space on a Girls Trip

    Lauren Sánchez Is Heading to Space on a Girls Trip

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    Sorry, Jeff — this one is for the girls.


    Jeff Spicer / Stringer I Getty Images

    The Amazon executive chairman’s girlfriend, a former journalist who collaborates with him on philanthropy, is bringing a girl gang to space

    Jeff Bezos’ girlfriend, Lauren Sánchez, said in a new interview with the Wall Street Journal that she planned to take an all-female trip to space with the Amazon founder’s space manufacturing company, Blue Origin.

    Five women will join her on the journey.

    “It’s going to be women who are making a difference in the world and who are impactful and have a message to send,” she told the outlet.

    The mission is set for early 2024, and the passengers’ names will be announced at a later date.

    The WSJ’s report was Sánchez’s first solo interview, the outlet noted, since her relationship with Bezos went public in 2019, shortly after his divorce announcement from now ex-wife, MacKenzie Scott.

    The interview also talks about Sánchez’s relationship with Bezos and the business advice he’s given her (keeping meetings under an hour, speaking last as a boss).

    Sánchez is a former broadcast journalist and a helicopter pilot who founded her own filming company Black Ops Aviation, per Insider.

    “Right now, I’m immersing myself in philanthropy and strategic giving,” she told the outlet. She also has a new production company, Adventure & Fellowship.

    Bezos and Sánchez also work together on picking the winner for the Bezos Award for Courage & Civility, which was awarded to Dolly Parton in 2022, giving her $100 million to dole out to charities as she pleased.

    But don’t expect Bezos to crash the girls’ trip. “He’ll be cheering us all on from the sidelines,” Sánchez said, adding that Bezos is “excited to make this happen with all of these women… He’s very encouraging and excited, and he’s thrilled we’re putting this group together.”

    Sánchez’s nonprofit work includes This Is About Humanity, which helps give supplies to kids separated from their parents at the U.S.-Mexico border, supporting the Bezos Earth Fund, which fights climate change, and working with the Bezos Academy, a system of free Montessori schools.

    Bezos told CNN in an exclusive that aired in mid-November that, like many other billionaires have pledged to do, he would give away most of his money.

    Ex-wife Scott, meanwhile, has donated over $14 billion since 2019, much of it coming from the settlement with Bezos.

    Bezos has always planned on giving his money away, Sánchez told the outlet.

    “Jeff has always told me since I’ve known him that he’s going to give the majority of his money to philanthropy,” she said.

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    Gabrielle Bienasz

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  • 12 Things I Learned Working at Uber, Instawork and Intro

    12 Things I Learned Working at Uber, Instawork and Intro

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    Opinions expressed by Entrepreneur contributors are their own.

    My entrepreneurial journey began when I was 12. I decided to take a shot at greatness with Shovel Squad, a snow removal business in the suburbs of Chicago, IL. I set out to make my mark in the world, and not only did it turn out to be quite lucrative (all cash mind you) but retention was through the roof.


    sarayut Thaneerat | Getty Images

    My experience with Shovel Squad at such a young age gave me the confidence to push myself to gain new experiences and knowledge. Over the years, I have been fortunate to work at Uber, Instawork, and now Intro, where I am the Head of Business Operations. Each new job has helped me evolve into the entrepreneur I am today, and I’d like to share with you all the lessons that have shaped my professional journey.

    So, let’s get into it.

    1. Integrity first

    Operate with strong morals. You can be intelligent, hardworking, and also humble. Brilliant jerks might deliver short-term results, but crush long-term culture. Be honest and never fudge your metrics.

    2. Time is a finite resource

    Just because someone asked you to do something, it doesn’t mean you should. Remember that for every request you say “yes” to, you’re saying “no” to something else. Is that trade-off worth it?

    Related: Book a one-on-one video call with top business leaders

    3. Be adaptable and positive

    Startups change. All. The. Time. You need to be willing to pivot to higher-impact work. Sometimes you learn you are sprinting straight in the wrong direction and need to turn around. Learn to disagree and commit. Don’t be afraid to kill your baby.

    4. Close the loop

    Don’t wait for people to follow up (that goes for peers and managers). When you commit to something, write it down. If you can’t follow through on your commitment, communicate early and tell them why. Be proactive.

    5. 10x yourself

    If you are getting paid $150k, how do you deliver value in excess of $1.5m? $15m? How do you automate 20% or even 80% of your current workload to focus on higher-impact projects? Impact is everything.

    6. Handcraft, first. Scale, second.

    Don’t obsess over scaling an initiative before you know if it works. Test your hypothesis in a small and controlled manner to prove the impact.

    Handcrafted: The founders of Airbnb took photos of the first listings in NYC

    Scaled: Airbnb builds user flow to upload listing photos with best practices

    If it works; then, break your back to scale!

    Related: 12 Ways Entrepreneurs Can Sharpen Their Leadership Skills

    7. Keep things simple and execute

    Don’t overcomplicate things.

    Distill your big vision into stages, break those stages into groups of smaller tasks, and start executing. It’s better to make 10 decisions per day with 80% accuracy instead of 2 decisions per day with 100% accuracy.

    Move fast.

    8. Own your metrics

    You should know your OKRs and all sub-metrics.

    If this doesn’t come naturally to you, I recommend taking out a piece of paper and physically writing down your metrics every morning and afternoon (I did this and it helped tremendously).

    It is absolutely critical to spot when things are moving in the wrong direction.

    9. Make some magic

    Obsess over your customers. Deliver insane value so they want to shout on the rooftop about you. You need customers to refer two people, that refer two people, that refer two people, and so on. Referrals are critical for exponential growth.

    10. Constraint breeds creativity

    Imagine you had 1/10th of your budget. What can you accomplish? What automation can you build to avoid the extra hire? What skill can you pick up on Youtube? How do you do more with less?

    Every dollar invested is a dollar you need to pay back.

    Related: 6 Habits of Effective Entrepreneurial Leadership

    11. Always be learning

    What you did to get to this point does not guarantee your future success.

    Go deeper into your function or expand your breadth of skills. Find podcasts, Youtube channels, Medium articles, Substack blogs, and mentors that will help you grow. Reinvent yourself constantly.

    12. Hustle hard and laugh often

    Tragically, some of my teammates passed away from freak accidents and terminal illnesses. I’ll never forget them and am so grateful for my time with them. All of our days on this planet are numbered. If you are going to spend 8-12 hours per day working… don’t waste it. Do great work and treat people well. And have some fun.

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    Brad Klune

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  • Akio Toyoda Steps Down As President and CEO of Toyota

    Akio Toyoda Steps Down As President and CEO of Toyota

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    Toyota, the world’s largest maker of cars, is embarking on a leadership change.


    Courtesy company

    Akio Toyoda, Koji Sato, and Takeshi Uchiyamada.

    Akio Toyoda, the grandson of Toyota’s founder, is stepping down as president and CEO of the company, a position he has held since 2009. (The company was once called Toyoda, but the spelling was changed to make it more fortuitous.)

    “I believe that, over these 13 years, I have built a solid foundation for passing the baton forward,” he said in a press conference Thursday, per a company transcript.

    Toyoda said the change occurred because the current chairman of the company’s board, Takeshi Uchiyamada, resigned. He will stay on the board, but Toyoda will be the new chairman.

    Toyoda also noted that the top job was not easy: “In retrospect, these 13 years have been a period of struggling to survive one day after the next. That is my honest feeling.”

    Koji Sato, who previously held titles including president of Lexus International (Lexus is owned by Toyota), will become the new president and CEO.

    Toyota was founded in 1926 by Sakichi Toyoda. In 2021, the company sold 10.5 million cars (including affiliates). This was the most out of any automaker in the world, per CNBC.

    One oft-cited reason for the company’s success is its Toyota Production System (TPS), which evolved as a way to eliminate waste in the production process. It started with two concepts, “jidoka” which means “automation with a human touch” — in practice this means the company stops a production process as soon as an error is detected. The second concept is the “Just-in-Time concept, in which each process produces only what is needed for the next process in a continuous flow,” the company writes.

    Philosophically, TPS centers on employee engagement and customer satisfaction, and it has since been adopted (in some form) by rival car manufacturers and even places like hospitals, per a 2008 study from Harvard Business Review. The method helped the St. Bernard Project rebuild homes after Hurricane Katrina in 2005 in half the time, per Forbes.

    Toyoda took over as CEO in 2009 when the company was in veritable crisis, per The Associated Press. It lost some $4.6 billion yen that year, amid the larger financial crisis, and it was Toyoda’s job to put the company back on track. The year prior, in 2008, the company had its first operating loss in 70 years.

    Amid the pandemic and continued supply chain issues, there have still been some struggles. The company reported a 20% expected decline in operating profit in May.

    Toyota has also had a slower push into electric vehicles — despite being an innovator with its hybrid Prius in 1997, per CNBC.

    Toyoda’s move appeared to take many by surprise, per Reuters.

    “I myself was surprised. Ten out of 10 analysts had probably been thinking that Toyoda would carry on for a while, so that came as a huge surprise,” said Koji Endo, senior analyst at SBI Securities said, per the outlet.

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    Gabrielle Bienasz

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