Experience Stern | News & Events

Excerpt from American Banker -- "'This book alleges that Fannie Mae and Freddie Mac were run as the largest hedge fund on the planet. The four authors, all professors at the Leonard N. Stern School of Business at New York University, argue that Fannie and Freddie should get out of the business of promoting homeownership for low-income households.' — Kate Berry, reporter at American Banker"

Excerpt from Quartz -- "There’s no question Uber, which connects private drivers with people looking for rides, is a fast-growing concern that serves a real need in the market. But Aswath Damodaran, a New York University professor who makes a habit of publicly analyzing start-up values, says that the number is likely wishful thinking and a more accurate valuation is probably closer to $6 billion."

Excerpt from Crain's New York Business -- "'Small businesses are struggling with lower demand and the expectation of greater value while their rent and other costs aren't going down proportionally,' said Jeffrey Carr, clinical professor of marketing and entrepreneurship at New York University Stern School of Business."

Excerpt from Forbes -- "Creative people have been pooling and exchanging resources for generations. Now, the emerging Internet-enabled sharing economy makes it easier than ever to swap, say, legal advice for lumber. That’s the kind of transaction that OurGoods, a new resource-sharing platform for artists, actually facilitates. OurGoods also serves 'designers, technologists, makers, farmers, and activists,' said co-founder and activist Caroline Woolard when we talked to her at the recent Sharing Economy Summit at NYU’s Stern School of Business. 'Artists have a lot of skills and also education, but don’t necessarily have money to pay each other to get their work done,' said Woolard."

Excerpt from The Globe and Mail -- "'This is a setting that is very easy to be manipulated either by one individual bank or by a group of them,' said Rosa Abrantes-Metz, an associate professor with New York University's business school, whose research identified a series of unusual trades before the gold benchmark was announced. 'It completely lacks oversight and involves a very small group of competitors, so it is easy to co-ordinate behaviour,' she said."

Excerpt from Bloomberg -- "During my time at the Bank of England, I often commented on the inverse relationship between the success of Aston Villa and the performance of the U.K. economy. During the past three years, as the economy started to recover, Aston Villa struggled. Its current turmoil bodes well for the strength of the recovery. In the longer term, the U.K. will continue to benefit from its ability to attract talent from around the world, whereas the England football team suffers from being forced to select only English players."

Excerpt from Business Insider -- "David Yermack, a finance professor at New York University, has written a wonderful paper showing a correlation between the times CEOs take private jets to their vacation homes and movements in the company's stock. It is, perhaps, not surprising that CEOs go on vacation after announcing good news, and that they stay in the office when bad news is announced — propelling their stock up and down, respectively."

Excerpt from The Economist -- "'Collective attempts at liquidation to meet withdrawal requests would lead to ruinous fire sales,' write Stephen Cecchetti of Brandeis University and Kim Schoenholtz of New York University. 'After this happened even once, people would simply flock to the narrow banks, and there would be no source of lending.' To prevent this, the authors argue, governments would have to intervene to save the 'not-so-narrow intermediaries.'"

Excerpt from Forbes -- "If you can engage your strengths, you’ll find more gratification in work; if you find gratification, you’ll shift into a more positive, approach-oriented mindset; and in such a mindset it will be easier for you to see the bigger picture—the contribution you are making to a larger enterprise—within which your job might turn into a calling. Work at its best, then, is about connection, engagement, and commitment."

Excerpt from Fox Business -- "I think it's less about Uber and it's about the sharing economy. This is the biggest thing that investors have been excited about in a long time. The reason why? The sharing economy - it's not just an economic revolution, it's a behavioral revolution. These companies like Uber are shaping and changing behavior."

Excerpt from Fox Business -- "You've got to be about sales and distribution at this point. You've got the platform, it's all about making that pitch pitch-perfect for the venues - what are the advantages in making the change because they're steeped in inertia, these whole point-of-sale systems. That's going to be the big challenge for you guys."

Excerpt from Techonomy -- "Conversely, big cities—as progressive as they might be—often struggle to attract sharing platforms because of their strict and complex regulations. Such cities should be updating their regulations, Sundararajan said, because cities that embrace the sharing economy will see more economic growth than cities that don’t."

Excerpt from MetroMBA -- "'I’ve always been an entrepreneur and I love the idea of working for yourself and putting passion into what you do on a daily basis,' Jon explains. 'Before Stern I was just an aspiring entrepreneur. The Stern MBA program has transformed me into a business executive with the skills and tools that I need to succeed as an entrepreneur.'"

Excerpt from Fortune -- "Kim Schoenholtz, a professor at NYU Stern School of Business, said that, to make a real difference, the ECB would have to buy around €1 trillion in assets, but said that would involve buying all manner of low-quality debt and would trigger yet another political storm. 'Unfortunately, it’s very difficult for them to have a substantial impact without breaking glass,' Schoenholtz said."

Excerpt from Financial Times -- "Scott Galloway, clinical professor of marketing at the NYU Stern School of Business and founder of L2, a think-tank for digital innovation, advises: 'The best collaborations let bloggers do what they do best: curate content that resonates with their established audience. Discerning readers will quickly detect when a blogger has gone corporate.'"

Excerpt from The Globe and Mail -- "Figuring out the backdating issue began in the 1990s with research by David Yermack, a finance professor at New York University. His work showed that several companies were awarding options and then seeing the stock price rise after the grant date. He believed executives were using insider information to pick the dates, knowing positive news was in the works which would drive up the price. (This is known as spring-loading)."

Excerpt from Business Insider -- "Since that was more than three times higher than any other NBA team had sold for and matched the price tag for the most expensive sports franchise sale in US history (the sale of the Los Angeles Dodgers in 2012), the bid raised questions about whether a sports franchise can be valued, how it is priced and whether there is an ego premium embedded in this particular offer. I am not a Clippers fan, but I love sports, and these questions not only deserve answers but have broader implications for valuing entertainment and media businesses."

Excerpt from MBAPrograms.org -- "The takeaways are learning what measurements from social media to use, and seeing the relationship between the actions you take on this platform and their results. 'The causal relationship is more useful and reliable than mere prediction,' says Ghose. All this, he adds, can improve one's management skills because they teach you how to use data to drive decisions."

Excerpt from MSN -- "'It's critical that you figure out who you are and be comfortable with it. What is important is what you do and how you do it, not where you come from or what you look like. That’s going to be very important for your future,' he said."

Excerpt from Bloomberg Businessweek -- No one expected a lovefest when Meera Joshi, the chairwoman of New York’s Taxi and Limousine Commission, and David Estrada, the vice president of government relations for ride-sharing startup Lyft, sat on a panel to discuss 'Regulation and New Business Models' at a recent conference at New York University. Lyft would love to operate in New York City, but city regulations prohibit the startup’s version of a taxi service, in which nonprofessionals use private vehicles to shuttle passengers. This is exactly the kind of regulatory obstructionism that infuriates proponents of the so-called sharing economy, but an audience expecting fireworks was disappointed. The mutual affection was so thick that several times the moderator apologetically noted his inability to create any contentiousness."

Excerpt from Entrepreneur -- "In an experiment conducted at the Stern School of Business at New York University in 2003, male and female graduate students who assessed the leadership capabilities of a real-life successful entrepreneur named Heidi were far more inclined to admire this accomplished individual when she was recast as Howard. Judging the likeability factor. Students given the case study about Heidi perceived her as 'selfish,' 'out for herself,' and 'a little political' -- in short, not as likable as Howard. When this experiment was replayed in 2013, substituting Kathryn and Martin for Heidi and Howard, students actually liked Kathryn slightly better than Martin (8 versus 7.6) -- but they didn’t trust her nearly as much (6.4 for Kathryn, 7.8 for Martin). As the evaluators explained to CNN correspondent Anderson Cooper, who staged the replay, 'men seem more genuine,' whereas women seem to be 'trying too hard,' making them less trustworthy."

Excerpt from Next City -- "Those five stages — technical possibility, social adoption, regulatory reaction, civil disobedience, and negotiated settlement — argued [speaker Clay] Shirky, are likely going to echo throughout the sharing economy over the next few years. And we’re at least on Stage Two; Shirky told of recently trying to street-hail a Manhattan taxi cab to take his nine-year-old daughter to dance class by waving his arms and scanning the horizon. His daughter’s assessment of that approach: 'Uh, Dad, don’t you have Uber?'"

Excerpt from The Huffington Post -- "Economist William Baumol noticed that in certain of our endeavors labor costs continue to rise though labor productivity does not increase. His famous example was a Beethoven quartet which takes exactly as much time to play today as it did one hundred years ago and with exactly the same number of players. But those musicians now make more money."

Excerpt from Harvard Business Review -- "Boeing’s decision to minimize its assets was made with Wall Street in mind. RONA is used by financial analysts to judge managers and companies, and the fixation on this kind of metric has influenced the choices of many firms. In fact, research by the economists John Asker, Joan Farre-Mensa, and Alexander Ljungqvist shows that a desire to maximize short-term share price leads publicly held companies to invest only about half as much in assets as their privately held counterparts do."