How Woman Can Close the Pay Raise Negotiation Gap, and More – Chicago News
Let’s explore some of the most interesting stories that have emerged from Chicago business schools this week.
Are You Willing to Stretch the Truth While Negotiating? – Kellogg Insight
Research trends have found that men are more willing to lower personal ethical standards during negotiations than women when it comes to pay raise negotiation.
However, a new study from Northwestern University Kellogg School of Management‘s Maryam Kouchaki, Assistant Professor of Management and Organizations, finds that there’s a situation that throws a wrench in the works: “when women negotiate on behalf of others.”
Kouchaki and her UC Berkeley co-author Laura Kray write:
“A woman who is negotiating on behalf of someone else will lie at roughly the same rate as her male counterpart. But, if she is negotiating on her own behalf, she is much less likely to deceive. Women in advocacy roles [get] as much done as men.”
You can read more about Kouchaki’s pay raise negotiation research here.
Will EU Migrants Pay Their Fair Share of Taxes? – Chicago Booth News
The Chicago Booth Initiative on Global Markets surveyed its European Economic Experts Panel, which is comprised of “50 economists and top researchers,” about whether recent European migrants are likely to “contribute more in taxes paid than they receive in benefits and public services.”
LSE’s Daniel Sturm writes, “Being younger and typically better educated, their [the migrants’] fiscal contribution tends to be positive as suggested by recent research for the U.K.”
Goethe University Frankfurt’s Jan Pieter Krahnen agrees:
“As [the] employment rate among migrants goes up over time, and much of taxation is indirect anyway, chances are that the statement comes true.”
Director of the European IGM Panel Christian Leuz is less optimistic. “[It is] too early to tell. Labor market outcomes are often worse for [a] long time. Demographics are [a] plus. Much depends on fast integration into [the] labor market.”
You can read more from the panel’s discussion here.
Faculty and Students Team Up with Northern Illinois Food Bank – Quinlan School of Business News
Loyola University Quinlan School of Business’ Urban Social Benefit Incubator teamed up with the Northern Illinois Food Bank to develop a “new system for serving its families” to replace the precarious first-come, first-served process it currently employs.
Quinlan is proposing “an online ordering system that allows for pick-up at strategic locations in the community, such as a grocery store.”
Harry Haney, Associate Director of Quinlan’s Supply and Value Chain Center, who is helping spearhead the initiative, writes:
“It’s important to us to serve nonprofits and social enterprises to help make a difference in the community. Plus, our students are learning the real-world side of business and gaining additional educational exposure.”
You can read more about Loyola’s food bank initiative here.
Curbing the Conspiracy Mindset at Northwestern, and More – Chicago News
Let’s explore some of the most interesting stories that have emerged from Chicago business schools this week.
Conspiracy Theories Abound. Here’s How to Curb Their Allure – Kellogg Insight
Northwestern Kellogg Clinical Professor of Management and Organizations Cynthia Wang took a social psychological approach to understand what drives conspiratorial perceptions like Pizzagate, and “what are things that can be done by organizations that can prevent this mindset,” highlighted in a recent release from Kellogg Insight.
Wang co-authored a new paper with UCLA’s Jennifer Whitson, Penn State-Erie’s Joongseo Kim, Ohio State’s Tanya Menon, and Ball State’s Brian Webster, which finds that “individuals who exhibit a desire to take action in pursuit of their goals are less prone to conspiratorial thinking.”
The group began to focus on “regulatory focus theory (RFT), which looks at how people go about achieving their goals.” Kellogg Insight explains:
“RFT proposes two main strategies. People with a “promotion-focused” orientation aim to do everything in their power to achieve their hopes and dreams. In this mindset, individuals believe they can shape their future, suggesting that they feel a high degree of control over their environment. Those with a “prevention-focused” orientation, on the other hand, act diligently to protect the security they already have.
The researchers hypothesized that prevention-focused people might be more prone to believe conspiracy theories because conspiracies can feel like a threat to their security. The team suspected that people with a promotion focus, however, would be more skeptical.“
The team surveyed three groups of people, including military personnel and college students. Consistently, they found that people who were more “promotion” focused thought they had more agency in what happens to them, and therefore more control. In this frame of mind, those that felt they had more control were less susceptible to believe conspiracy theories.
You can read more about the group’s research here.
Yuxuan Tang is Ready for His 48 Hours of Fame – Gies School of Business Blog
Gies College of Business senior Yuxuan Tang was one of four University of Illinois students drawn from the Illinois MakerLab and selected to compete in Season 3 of the PBS show Make 48, a “televised national invention competition that gives teams 48 hours to come up with an idea, create a prototype, and present their idea to a panel of judges.”
Tang writes, “It’s an honor. The competition is like a sped-up creation process. Being able to make the model is important, but the rest of the team should diversify. You need some people to see ‘How’s the market? What do customers think of this service?’ That’s what business people do.”
You can read more about Tang’s work here.
Graduate Students Tackle Issue of Clean Water in Haiti – Quinlan School of Business Blog
Loyola’s Masters of Social Justice student Josh Goralski spoke with the Quinlan School of Business Blog about his social enterprise, which “focuses on building water filtration businesses [in Haiti] funded through micro-financing.”
This idea is an extension of a business idea he and his undergraduate classmates at Rockhurst University developed to address the 5,700 Haitians water-related diseases claim each year. According to the article, “52.4 percent of Haiti’s rural population does not have access to clean water.”
Loyola student Josh Goralski, pictured in Haiti / Photo via luc.edu
“Water filters would be sold by local community members. The sellers would be trained and certified to micro-finance the filters affordably for their community members.” According to the article, the ceramic water filter that the Haitian water enterprises sell can “provide clean water for a family of five for up to 10 years with little maintenance, and save families $400+ USD over 10 years.”
Goralski writes that his goal is to “empower communities. We wondered, how do we work with a local community partner, provide access to business education training, and empower these communities?”
You can can read more about Goralski’s work here.
Turning Ocean Garbage Into Helpful Prosthetics, and More – Chicago News
Let’s explore some of the most interesting stories that have emerged from Chicago business schools this week.
How “Speed Factories” Help Companies Adapt to Capricious Consumers – Kellogg Insight
In a new study co-authored by Northwestern Kellogg Professor of Managerial Economics and Operations Jan Van Mieghem, Vlerick Business School’s Robert Boute, and Cardiff Business School’s Stephen Disney, the trio survey the return on investment for “speed factories” or local-market facilities “designed to quickly pump out products with shorter life cycles and less predictable demand.”
In the e-commerce age, speed factories are in high demand for manufacturers of realms of sneakers and sports apparel where they “offer fast turnaround to meet demand [for] custom-made products for very small local markets.”
Van Mieghem writes, “Amazon and fast-fashion trends mean that companies have had to increase their speed from product design to delivering that product to customers. If things must happen in days or weeks rather than months, you can’t be doing that from somewhere in Asia.”
The catch is that production costs are often extremely high. However, the trio found that speed factories are “worthwhile, despite their cost, and are best used as part of a portfolio of on and offshore production.”
Van Mieghem adds, “It’s about maintaining the flexibility to bring certain products in and move others out of a speed factory as needed.”
You can read more about the trio’s research here.
Anacortes Couple Turns Ocean Plastics into Prosthetics – K5 News
Gies College of Business Online MBA (iMBA) student and Anacortes, Washington resident Chris Moriarty and his wife Laura co-created the nonprofit Million Waves Project, which “takes littered plastics from the beaches for use in the creation of prosthetics.”
According to a recent profile on Seattle’s K5 News, “It takes just 15 plastic bottles, $45, and two-and-a-half days to make one hand. The couple uses open source software, a company that processes the plastic into filament and a 3-D printer.
In the K5 profile, Chris said, “We thought, wouldn’t it make a lot of sense to take something deplorable in one sense and something heartbreaking in another, put them together and see what we could do.”
Laura adds, “It is daunting. Life is daunting. But like we tell our kids, that doesn’t mean you don’t move forward and try.”
Taking Stock of Market Uncertainty – Quinlan School of Business Stories
The Loyola University Quinlan School of Business blog recently profiled Assistant professor Hae mi Choi, Ph.D. about her research on how macroeconomics and market uncertainty influence financial analysts’ incentives over time.
Professor Choi explained that “financial analysts’ incentives and their forecasting performances are affected by market uncertainty, [which is] when investors have difficulty assessing the current and future market conditions because there is a lot of volatility within the market.”
Choi explains the value of her research to Quinlan students:
“If you want to be a good investor, you need to not only understand what’s going on within a firm, but also the macroeconomic conditions and the stock market conditions in general. Understanding how other investors in the stock market process information and how financial markets function is fundamental, as it impacts the wealth of us all.”
You can read the full interview here.
Northwestern Investing in Green Companies, and More – Chicago News
Let’s explore some of the most interesting stories that have emerged from Chicago business schools this week.
The Case for Investing in Green Companies – Kellogg Insight
Northwestern University Kellogg School of Management professor of finance Ravi Jagannathan recently co-authored a new paper, which found that the more companies adopted greener practices, as defined by environmental, social, and governance (ESG) criteria, the more adaptable they are to changes in environmental regulations and the higher likelihood their share prices could increase.
Jagannathan and his co-authors stressed the importance of environmental risk, “particularly in the age of social media.”
He adds, “Today’s consumers can communicate and mobilize much faster—for instance, to shame a company for its unsustainable practices. Social media has made it easy to identify violators. If you invest in companies with shady environmental practices, you may be caught by surprise.”
He also adds, “Companies that pollute more now will be adversely affected by more stringent environmental laws coming into play and by alternative technologies spurred by environmental concerns.”
“What is standing in the way of coal is not regulation. You need to worry about alternative technologies catching up in response to consumers’ concerns.”
Jagannathan advises companies to “prepare for ESG-related changes [or they] will lose out in the long run.”
Read more about Jagannathan and his team’s research here.
Is There an Expert in the House? – Chicago Booth News
Three University of Chicago Booth School of Business entrepreneurs recently participated in a lunchtime panel, “The Cross-Disciplinary Formula for a Successful Venture,” held at the Harper Center in Hyde Park as part of the Polsky Center for Entrepreneurship and Innovation’s Innovation Fest.
The panelists discussed the impact that Booth community resources had on their startups and use the talk as an opportunity to offer advice to aspiring entrepreneurs on financing, product development, marketing, and personal growth.
ExplORer Surgical CEO and co-founder Jennifer Fried, MBA ’15 whose startup functions as a “a new digital playbook for operating personnel,” wrote about the “many cross disciplinary programs [it] took advantage of,” including the Polsky Center and the UChicago Startup Investment program.
Ascent Technologies co-founder Brian Clark, MBA ’17, whose firm “helps companies build and manage regulation compliance programs,” characterized this “sense of collectivism and community, [which] allows new ventures to thrive and grow.”
Tovala co-founder David Rabie, MBA, ’15, whose food technology company “pairs a steam-based oven with a meal-kit subscription service,” unpacked the challenges of bringing a new product to market.
“We’re trying to fundamentally change the way people think about eating at home. We have customers as young as 20 and as old as 85, but our real target is young families. It’s a massive market and we’re still trying to figure out the best way to reach these customers. We haven’t cracked that nut yet.”
Glean more insights from Chicago Booth entrepreneurs here.
Business and the Cycle of Nature – Quinlan School of Business Blog
Loyola Quinlan professor of sustainable business management Nancy E. Landrum, Ph.D., recently wrote an article for the Quinlan blog that “outlines how businesses can learn from nature’s 3.8 billion years of survival.”
She writes:
“Businesses generally use resources in a more linear fashion: we take resources from nature—water, plants, animals, minerals—and we transform them into products to sell. The products are then used and discarded. This has led to a depletion of resources and an abundance of waste.”
“But it can be quite simple if approached from the lessons of the cycles of nature: renewable, without waste, and conducive to life. If every company’s actions followed these simple guidelines learned from nature’s 3.8 billion years of survival, then it becomes clear that the company is creating conditions for its own survival.”
Read Dr. Landrum’s entire article here.
Notre Dame Startup News, and More – Chicago News
Let’s explore some of the most interesting stories that have emerged from Chicago business schools this week.
Mendoza MBA Student’s Tech Startup Secures $600K Investment – Mendoza Ideas & News
Notre Dame University’s Mendoza College of Business recently profiled current student Cory Bailey ’18, whose startup SecūrSpace is to trucks and shipping containers what Airbnb is to housing.
Bailey explains that SecūrSpace, which recently secured a $600,000 investment, attempts to provide an effective solution to the issue of temporary storage sites outside of normal shipping routes.
It’s not uncommon in the shipping world for trucks to tack on an additional 50-mile trip to a temporary storage site, Bailey explained to Mendoza Ideas & News. “And so these trucks are taking these containers way outside of L.A. and New York and other port cities because they’ve got nowhere to put them,” he said.
Thanks to the aforementioned donation, which mostly came from a Notre Dame alum, Bailey hopes to expand his project in the near future.
You can read more about Bailey and SecūrSpace here.
How a Room’s Lighting Shapes Our Decisions – Kellogg Insights
Northwestern University Kellogg School of Management assistant professor of marketing Ping Dong and Feinberg School of Medicine associate professor of psychiatry and behavioral sciences Dorothy Sit recently published new research that explores how a simple thing like lighting “can change how likely we are to make pleasurable versus practical decisions.”
Dong writes, “Ambient light is a very important experience that is easily manipulated. This shows a new psychological consequence of darkness—consumers more often choose the option that provides immediate pleasure.”
According to the article, there’s a very real possibility that “consumers are also more likely to make pleasurable choices in darker settings—reaching for a candy bar instead of an apple, or buying trendy high heels instead of practical flats—not because they feel physically hidden, but because that feeling of psychological distance frees them to do what they really want.”
You can read more about the duo’s curious research here.
Linking Sustainability, Corporate Governance, and Gender – Quinlan School of Business Blog
Starting next month, Quinlan School of Business management professor Anne Reilly will present ongoing research into “significance of gender diversity in corporate sustainability governance” at several international conferences this year.
Reilly explains that for the second paper, she and her team found that “almost half of the companies studied have at least one person as a designated sustainability leader, and over 50 percent of these leaders are women—compared to the typical 25 percent representation of women executives.”
She elaborates, “Companies are continuing to develop governance roles dedicated to sustainability, and this accountability should strengthen their strategic emphasis on this critical issue. Further, the presence of women leaders as active change agents for sustainability supports progress in gender diversity and inclusion in executive governance.”
Read more about Reilly’s research here.
The Wells Fargo Scandal and a Pattern of Deceit – Chicago News
Let’s explore some of the most interesting stories that have emerged from Chicago business schools this week.
What Makes Deceit Such a Hard Habit to Break? – Kellogg Insights
New research from Northwestern University’s Kellogg School of Management‘s management and organizations department reveals why the Wells Fargo’s and Bernie Madoff’s of the world often find themselves in cycles of deceit and misconduct.
“Because morally questionable behavior is uncomfortable, people don’t want to take responsibility for it,” explains assistant professor Maryam Kouchaki, who, along with assistant professor Nour Kteily and associate professor Adam Waytz, explore what they dub a cycle of “self-dehumanization.”
It’s a process where “people subtly adjust their self-image and begin to view themselves as possessing fewer of the human traits that would curb that bad behavior. They, themselves, aren’t to blame, this line of thinking goes—they’re just not capable of behaving any better.”
You can learn more about the trio’s research here.
Business Students Develop Sponsorship Proposals for Special Olympics – Kellstadt Business Blog
As part of DePaul’s Sports Management faculty director Andy Clark’s winter quarter sports sponsorship marketing course, Kellstadt Graduate School of Business MBA students collaborated with Arena Partners on “attendance-driving ideas and sponsorship strategies” for the Special Olympics’ 50th Anniversary Celebration set to take place in Chicago this coming July.
At one point, the class hosted Kellstadt alum, DePaul Board of Trustees member, and Special Olympics of Illinois Board Chair Karen Atwood MBA ’82, who spoke of the potential impact that Kellstadt MBAs can have on their communities.
“I always think when you can see the impact that your actions, your ideas and your support bring to the larger community, the more it reinforces why the Vincentian values are so important.”
You can find out more about the Special Olympics project here.
Solutions Summit – Quinlan School of Business
The Loyola’s Quinlan School of Business Leadership Hub just announced its first annual Solutions Summit; a networking extravaganza designed especially for vice presidents, directors, and managers; supply chain leaders; and family-owned businesses.
This year’s inaugural event will host Alberto Ruocco, a Senior Executive Partner at cybersecurity leader Gartner; Reynolds VP of Category Management Nancy Bedwell; and Susan Ramonat, CEO of Spiritus, a Blockchain leader. This year’s event will be held on October 9 at the Schreiber Center on 16 E. Pearson St., Chicago.
To register for this year’s Solutions Summit, click here.
