Smith School In the News

April 2024

Reuters – April 12 – Dean’s Professor of Finance Michael Faulkender comments in “If Trump wins, he plans to free Wall Street from 'burdensome regulations,'” including: [Faulkender] has called publicly for scrapping bank stress testing, opens new tab under the 2010 Dodd-Frank Act in favor of stronger capital requirements, saying that requiring banks to pass the same set of evaluations leaves the system open to collapse if they all run into the same problems at once. …Asked about his policy positions, Faulkender pointed to his previous writing, opens new tab about ESG investing. “As the academic literature has documented, ESG is too much in the eye of the beholder,” he told Reuters. “Therefore, it can and has been used to deviate from the fiduciary duty that money managers have to their clients, and it has distracted financial supervisors from the safety and soundness criteria that should be used in ensuring the ongoing strength of the U.S. financial system.”

GARP – April 12 – Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi’s latest CRO Outlook column: "Reflections on Daniel Kahneman’s Contributions to Risk Management: The Power of Human Frailties" Intro: All major risk management failures of the past 50 years have been driven at least partly by human biases and tendencies. Now is a good time to remember what a legendary psychologist and professor taught us about the impact of behavior on risk-taking.

National Mortgage Consumer – April 11 – Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi contributes to “A California CRA Law Undercuts Itself” including: The reasons banks have retreated from mortgage lending, especially FHA programs, mostly stem from the 2007-2008 financial crisis, [says Rossi]. Many banks no longer had an appetite for volatile assets such as mortgage servicing rights, he says. Banks were also getting burned on the origination side through non-traditional mortgages, such as alt-A and subprime loans. But regulators’ lack of guidance also played a role. “Another big reason the banks got out,” says Rossi, “particularly around FHA lending, but even more broadly, in the years following the financial crisis there was an awful lot of uproar by banks in terms of the lack of transparency of repurchase demands that were being made by the GSEs [Government Sponsored Enterprises], private mortgage insurance companies, and also by the FHA.” Mortgage repurchases occur when buyers of mortgage-backed securities, such as Fannie Mae or Freddie Mac, determine there are defects in how a loan was made, leading them to demand a repurchase by the lender. After such hefty penalties were levied, Rossi noticed a prevailing attitude among banks – that there was a lack of consistency in the way FHA and the agencies audit for defects in the way banks underwrite or value loans from a collateral standpoint.

CBS News – April 11 – “When Should You Sell Your Gold Investment?” quotes Clinical Professor of Finance David Kass: Gold is considered an inflation hedge, and if you think inflation has already tempered or will be soon, that might prompt you to sell your gold investment. This could be especially true if you increased your gold allocation relative to other assets due to recent conditions. "Gold has been in demand as an investment in times of high inflation and political instability," says David Kass, clinical professor of finance at the University of Maryland. With gold hitting new price peaks and "with inflation being reduced close to target levels of about 2% in both the United States and abroad, it would appear that now would be a good time for investors to reduce their stakes in this precious metal and return to their normal asset allocation," he adds. 

Poets & Quants – April 10 – A Review of ‘The Top Of U.S. News’ Part-Time MBA Ranking’ Includes (scroll down) “Maryland vaults into the Top 10, rising 11 places in one year”: The biggest movement in the upper tier of programs belonged to Maryland Smith School of Business, which jumped 11 places from 21st last year, reaching the top 10 for the first time. Maryland’s previous highest placement in the ranking was in 2018, when it was 15th. … U.S. News‘ part-time ranking “capture(s) our excellence in program innovations around leadership and digital transformation that includes AI, technology management and commercialization, experiential learning, and industry/government networking in our programs,” Smith School Dean Prabhudev Konana says of Maryland’s Flex MBA, a 24-28 month program that doesn’t require applicants to submit a Graduate Management Admission Test score. “And this latest recognition, including by peers across other business schools, reinforces our profile of exceptional students, world-class faculty and innovative curriculum amongst the best and most respected business schools in the country.” Maryland Smith Associate Dean of MBA Programs Rosellina Ferraro credits the experiential learning and networking components of the Flex MBA, which has campus locations in Baltimore, Rockville, Md., and Washington, D.C. “Our campuses are located in the midst of Smith alumni-led, elite corporations, government agencies, nonprofits and NGOs, and we’re leveraging this into a wealth of opportunities in terms of networking, consulting projects and career advancement more broadly,” she says.

Fox Business – April 9 – ‘Allowing the Trump Tax Cuts to Expire Would Depress Wages: Michael Faulkender’ is the Kudlow segment-title featuring Dean’s Professor of Finance Michael Faulkender.

Business Insider – April 8 – Professor of the Practice Clifford Rossi, with a student research team, contributes data and analysis to “The Fed is monitoring banks with both high commercial real estate exposure and uninsured deposits. These 60 banks are in the top quantile for both,” including: Clifford Rossi, the director of Smith's Enterprise Risk Consortium, examined fourth-quarter call reports for 765 banks and found that about 400 of them had CRE exposure above 300% relative to their Tier 1 capital, which is one of the thresholds regulators use to identify high CRE concentration risk. He also found that a small percentage reported higher than the industry average for uninsured deposit ratios. Specifically, banks above 36.5% uninsured deposits relative to their total deposits are in the highest 25% of banks with a high CRE threshold. This increases their vulnerability to a liquidity shock in the event they experience a credit crunch from their CRE portfolios, Rossi said.

Yahoo Finance – April 8 – “Why Jamie Dimon, Elon Musk, and Bill Ackman Took Sides in the Disney-Peltz Proxy Battle” quotes Clinical Professor of Finance David Kass: "Disney is one of the best-known consumer brands. And it's been that way for decades," said David Kass, a professor of finance at the University of Maryland. That millions of customers are impacted by its moves builds a natural audience for its corporate developments, he said.

Fox Business – April 3 – Dean’s Professor of Finance Michael Faulkender gives analysis via a Making Money with Charles Payne segment, “Stocks Hold on to Gains After Fed Chief Powell’s Comments,” followed by an Evening Edit segment, ‘Biden ex-Chief of Staff Admits US Prices too High’ (April 4), including "Another group that's really been hurting under this administration is what has typically been a core Democratic constituency, which is young people, but they, of course, are the ones that have a disproportionate portion of their income go to things like food and energy," [Faulkender said] Thursday on "The Evening Edit." "They're the ones that are really struggling to buy houses and buy cars due to the high interest rate environment that we're seeing under this administration," he added.

Scripps News - April 3 - Clinical Professor of Finance David Kass discusses “Stock Market Making Record Gains.” 

CBS News/WJZ – April 3 – “Maryland Trucking Business Feels Supply Chain Impact from Key Bridge Collapse: 'Ton of Uncertainty'” quotes Professor of Logistics, Business and Public Policy Martin Dresner: Nationally, the Port of Baltimore plays a big role in specific industries. "It's an important port for specific coal shipment exports, cars and other roll-on roll-off shipments like tractors," Martin Dresner, a professor at the R.H. Smith School of Business at the University of Maryland, said. … Both Marcin and Dresner say they are hopeful things will get back to normal soon. "Supply chains that use the Port of Baltimore will recover and will bounce back and the port will recover as well," Dresner said.

WWL Radio (New Orleans) ­– April 3 – Associate Professor of Supply Chain Management Philip Evers discusses the economic and supply chain effects from the Key Bridge collapse, in a segment, “Will the Baltimore Bridge Disaster Have Ripple Effects Around the Country?

Expansion Solutions Magazine – April 3 – Dean’s Professor Marketing Jie Zhang comments extensively in “Retail World Negotiates Change, Adjusts on Strength” including: Overall, the retail industry “is going strong and defying the expectations of many experts,” said Zhang. “One example was the 5.6 percent rise in retail sales last year that outpaced the inflation rate of 3.4 percent,” according to the U.S. Department of Labor. “That’s a key indication that the retail market is going strong.” The main story in recent years “is the economy’s recovery from the COVID-19 pandemic and the corresponding rise in consumer confidence,” said Zhang. “While consumers have cut spending on goods, they’re spending more on services, travel and entertainment.” In terms of the hottest sectors, restaurants and food are still hot. “In the past two years that sector has made a gradual, yet remarkable recovery,” she said, noting that total restaurant sales in the U.S. were $997 billion last year, which represented 10 percent growth from 2022, according to the National Restaurant Association…

Expansion Solutions Magazine – April 3 – Associate Professor of Strategy and Entrepreneurship David Kirsch, gives EV market analysis in “Automotive Market Looking Stronger, though Challenges Remain” including: Kirsch thinks “the EV hype is cooling and many of the commitments that incumbent manufacturers made are being walked back and slowed down. The EV outlook is still positive,” he said, “but not as positive as it was even several months ago.” He feels that all concerned taking a more cautious approach to the EV transition would be the best first step, which could be making that rather obvious aforementioned choice. “There may be a renewed interest in hybrids, especially plug-in hybrids,” he said “as a transitional technology. “That would have three benefits to consumers,” said Kirsch. “The first is that a plug-in hybrid can electrify as many as 95 percent of an average driver’s total vehicle miles traveled. Therefore, the plug-in hybrid driver might only need to use the internal combustion side on a long trip. “Secondly,” he said, “the gasoline engine makes range anxiety a non-issue; the third benefit concerns costs. The price of a typical plug-in hybrid is higher than that of a comparable internal combustion engine-powered vehicle, but it’s still less than a pure EV.”

MBA Crystal Ball – April 1 – Assistant Dean of MBA and MS Admissions Shelbi Brookshire contributes to “Pre MBA Courses: What are they? How do They Help?,” including: … “Oftentimes, incoming MBA students do not fully appreciate how quickly they must get acclimated – not just to the academics of the program, but also — to a new culture while also launching their career journey.” … “Students should be ready to engage with their institution’s career services resources no later than day one,” she says. “They should also allow themselves at least a week before their orientation activities to get settled in their apartments, learn the transportation systems, find their favorite restaurant/grocery store, etc”. … Here’s Shelbi’s recommendation for pre-MBA academic preparation: “Students should have a solid grounding in quantitative coursework. It is highly recommended they take a statistics or data modeling class if they have not ever or it’s been more than 5 years. A Math for Business class will also be extremely beneficial.”

MoneyGeek – April 3 – Research Professor Kislaya Prasad gives separate explainer Q&As on “The Definition of Utility in Economics(…To explain how human wants and desires for goods influence their decisions and, ultimately, prices, economists invented the concept of utility. It is the level of satisfaction or pleasure that people derive from consuming goods and services. The invention, or discovery, of utility, was a bold idea since utility is not directly measurable in the same way that costs of production are. Its discoverers in the 1870s—William Stanley Jevons, Leon Walras, and Carl Menger—are justly celebrated even today…) and “Gross Domestic Product (GDP): Definition, Types and Alternatives(…The per capita real GDP is also imperfect as a measure of the welfare of a society because it disregards how the benefits of growth are distributed. For instance, if you looked at a graph showing the growth of per household real GDP in the US vs. one showing median household income, you would see a divergence, with median household income growing much more slowly. This reflects the growing inequality in the US. The real GDP also disregards a number of things that contribute to our happiness. All non-market activities are excluded (such as caring for children and older adults within families). Increases in GDP can also come at the expense of the degradation of the environment. Some of the most polluted cities in the world today lie in some of the fastest-growing economies, and the impact on health is a genuine concern. Real GDP is also imperfect for long-term comparisons because we are forever inventing new goods and services that improve life. However, so long as we keep its limitations in mind, real GDP is a useful barometer of the health of an economy…)

Maryland Today – April 1 – “UMD Program (TerpTax) Makes Filing Returns Less Taxing” includes: …Verma is one of around 40 student volunteers this year who are forgoing some weeknight workouts or hanging with friends to help fellow students, alums and local residents wade through the United States’ convoluted tax system. Every weeknight from the end of January until well after “T-Day”, students meet with clients needing assistance, under the careful oversight of Samuel Handwerger, CPA, a 30-year tax veteran and Robert H. Smith School of Business lecturer. “I really wanted to do something to give back as part of the university’s commitment to service,” said Handwerger. “And it was just a natural for me.” He launched TerpTax in 2015 after then-accounting Chair Martin Loeb suggested reviving a defunct UMD tax assistance program to help people around the community. Handwerger conducted a trial run with just six undergraduate student volunteers helping 40 people complete their returns. By 2023, the number of clients ballooned to 1,100.

March 2024

FOX Business – March 29 – Dean’s Professor of Finance Michael Faulkender discusses the U.S. economy in a Kudlow segment “Americans are Putting More on Credit Cards and are Discouraged.”

Bloomberg Law – March 29 – “Biden Scrutiny of Labor Competition Extends to Bank Noncompetes” quotes Associate Professor of Management and Organization Evan Starr: “We’ve seen a reconsideration of how various federal agencies can make labor markets more competitive. Noncompetes have been part of that discussion,” said Evan Starr, an associate professor at the University of Maryland who researches noncompetes. “I see the FDIC move here as another extension of that federal push.” … “I don’t think we’ve ever seen so much regulatory scrutiny on the fine print of employment contracts—and it’s coming from all angles,” Starr said.

Federal News Network – March 29 – Associate Professor of Logistics Philip Evers comments in “Will That Bridge Collapse in Maryland Affect Federal Supply Chains?: [Evers said] Baltimore's specialized equipment will help the region survive the disruption and draw most companies back to the area. Baltimore’s main import and export, cars and coal, respectively, require specific facilities that would be prohibitively expensive for other ports like Norfolk to install or expand. However, shipping companies that move more standardized cargo may consider moving to other ports. “The longer it takes to get ships flowing back through [the port], the more likely it is that some business can move away,” Evers said.

Related coverage featuring Evers:

Clear Admit – March 29 – ‘Real Humans Alumni’ series features Smith MBA graduate Erick Loyo, ’20.

FOX 5 DC – March 28 – Professor of Logistics, Business and Public Policy Martin Dresner comments in “Biden Administration Approves Maryland's $60M Request for Baltimore Key Bridge Response,” including: ”The Port of Baltimore is important for particular cargo, [according to Dresner]. "It does what we call ‘roll on, roll off’ business," Prof. Dresner said. "That’s cargo with wheels like cars and tractors. I believe it’s the largest port in the United States for this, or the east coast for ‘roll on, roll off’ type traffic." It’s also a major port for coal exports, Dresner added. He added, it’s possible that the current closure of the port will result in potential delays for industrial and consumer shipments. "So, for example, the companies that are importing automobiles through the port of Baltimore, if they can’t import more automobiles or they can’t figure out another way to get those automobiles into the country, there could be some shortages of some automobiles that come in through that port," he explained. "Usually, there is some safety stock or extra inventory in the supply chain so depending on the industry, it could be anywhere from a few days or several months. If the companies already have that inventory in their supply chain, they may be okay." … Related: Dresner comments via Business Insider’sBaltimore Port Closure Could cost $15 Million Per Day in Lost Economic Activity.”

USA Today – March 28 – Dean’s Professor of Entrepreneurship Brent Goldfarb comments in “DJT stock hits turbulence: More volatility ahead for Trump's high-flying Truth Social” “The only way to get to that number is to imagine some sort of immense growth in the platform,” [said Goldfarb]. But Goldfarb sees "no path to profitability" for Truth Social. “Unless you believe that Truth Social is the next Facebook or TikTok, I don’t see a reason (for it to be valued this high)," he said.…Last month, Truth Social had five million desktop and mobile visitors, according to Similarweb, a data and analytics company. Facebook, on the other hand, has 3 billion monthly active users. Truth Social does not release user figures. “The stock is a way to invest in Trump. The ticker DJT is not a coincidence in any way,” Goldfarb said. “It’s a perfectly above-board way to push money into his pockets.”

Tech Times – March 25 – “The Hunt for Opportunity: 4 Key Strategies to Get Your Next Tech Job with Rose Consulting Group” quotes Distinguished Professor of Marketing Roland Rust: In a recent Tech Times article, [Rust] wrote a book that discusses how 'feeling' jobs are replacing tech/'Thinking' jobs. He notes a case study featured in The Washington Post, where individuals are transitioning from tech careers to fields such as psychology, a trend he predicts in his book. So, if you have always wanted to go into psychology or any other 'feeling' job, now might be a good opportunity.

Supply Chain Dive – March 21 – “Can 7-Day Delivery Give OnTrac an Edge in a Soft Market?” quotes Dean’s Professor of Marketing Jie Zhang: However, expectations may have shifted further in Sunday delivery’s favor since that survey took place. Weekend delivery is an important perk for retailers looking to compete more effectively against the likes of Amazon, Walmart and Target, [said Zhang]. All three have made heavy investments in recent years to deliver to customers faster. “From the shopper’s perspective, it’s not like most people absolutely need that weekend delivery, but to know that it is within their range as one of the options they could check really makes a huge difference,” Zhang said.

Poets & Quants – March 20 – “How to Succeed in Business with AI on your Side” overviews Smith’s AI-related faculty expertise and curriculum development, and quotes Balaji Padmanabhan, Dean’s Professor of Decisions, Operations and Information Technologies: Business school graduates will have an enormous opportunity to shape the future of work with AI, and that starts now. “One of the big opportunities is thinking of how work itself – every single person, every single task within a business – can be transformed using smart humans with an AI friend,” Padmanabhan says. And sometimes that requires thinking about what starting with a clean slate today might look like – an exercise that by itself can unlock tremendous value.

Fox Business – March 19 – Dean’s Professor of Finance Michael Faulkender gives analysis in a Kudlow program segment, “Summers Warns Inflation Higher Than Reported.”

Wall Street Journal – March 18 – “Tech Job Seekers Without AI Skills Face a New Reality: Lower Salaries and Fewer Roles” references the UMD-LinkUp AIMaps project co-led by Michael D. Dingman Chair in Strategy and Entrepreneurship Anil K. Gupta with supporting research by Assistant Professor of Information and Decision Science Kunpeng Zhang and Dean’s Professor of Information Systems Siva Viswanathan: AI job listings overall are up 42% following the public release of ChatGPT in late 2022, according to University of Maryland researchers.

Associated Press – March 15 – “Businesses are Ready for April’s Total Solar Eclipse with Celestial-Themed Doughnuts and Beer” quotes Dean’s Professor of Marketing Jie Zhang: Hotels and resorts along the prime path are luring in visitors with special packages and Southwest and Delta are selling seats on eclipse-viewing flights. Cities, museums and parks are staging watch parties to draw in tourists as well as residents. “This is a special event and ... the travel industry certainly is in a very good spot,” said Jie Zhang, a marketing professor at the University of Maryland’s business school. She also noted the eclipse craze arrives at a time when consumers are continuing to ramp up spending on new experiences.

GARP – March 15 – Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi addresses “Balancing the Business Model and Concentration Risk” in his latest CRO Outlook column for the Global Association of Risk Professionals. Summary: It is extremely difficult to identify, measure and manage adverse concentrations. Why is it important to understand the effects of concentration risk on different business units and risk types, and what steps can financial institutions take to address this challenge?

Fox Business – March 14 – Dean’s Professor of Finance Michael Faulkender discusses economics and policy in a “Wholesale Inflation Comes in Hotter than Expected” Kudlow segment– following a March 11 discussion, on The Evening Edit, on President Biden’s State of the Union address.

The Business Monthly – March 11 – "UMD Smith Offering Free Control Risk Assessment for Nonprofits, Small Firms" covers Smith’s Justice for Fraud Victims’ announcement of providing small businesses and nonprofits with pro bono control risk assessments and quotes Accounting Lecturer and JFV advisor Samuel Handwerger: “A risk assessment can reveal control weaknesses in an organization and will make pragmatic suggestions” as to how to solve them, said Smith Accounting Lecturer and JFV Director Samuel Handwerger. “It is normal for small businesses and nonprofits to have inherent control weaknesses because of their size. This is why they are most vulnerable. We can help find and institute easy mitigating controls without increasing the organization’s budget.”

Freakonomics Radio – March 9 – No Stupid Questions podcast, in a “Do You Need a Routine” episode, references research co-authored by Assistant Professor of Management and Organization Aneesh Rai: So, let me tell you about a study that I did with […] Aneesh Rai. He’s now a professor at the University of Maryland School of Business. And we wanted to ask the question: what is this tradeoff between flexibility on one hand and routine or kind of, um, “I know what I’m going to do in advance,” right? Where do we draw that line? And so, what Aneesh did was he partnered with this organization called Crisis Text Line. It’s this non-profit where, if you are having a crisis, like you’re having maybe even suicidal thoughts, that you actually can text a certain number, and then a volunteer on the other end will text you back, and you have a conversation. For people of a certain generation, they’re more comfortable, actually, with texting when they’re in distress.

Business Insider – March 9 – Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi comments in “These 28 Regional and Community Banks Exceed Regulators' Threshold for High Commercial Real Estate Concentration Risk: Here's What's Really at Stake” including: This report is also a lagging indicator: an ongoing review may not show that things have deteriorated much further, [said Rossi]. "By the time you're looking at that call report data, it's kind of like looking up at the stars," Rossi said. "That star has already probably blown up billions of years ago and you're seeing stale data."… The Basel III endgame proposal would change this by setting a standard risk-weighting system rather than allowing banks to define it. It would also require banks to increase their capital to offset risk, Rossi noted. The downside of this proposal is that it could pass the added costs to depositors and borrowers, Rossi added.

Nikkei– March 9 – “Nvidia Stock on Meteoric Rise. Will Earnings Keep Up?” quotes Dean’s Professor of Entrepreneurship Brent Goldfarb: Nvidia's P/E ratio could also go the other way, ballooning further. Brent Goldfarb, a professor at the University of Maryland, has named four factors that make bubbles more likely during periods of innovation: uncertainty, the emergence of "pure play" companies tied tightly to the new technology, the alignment of narratives, and the involvement of novice investors.

Marketplace Radio – March 8 – Clinical Professor of Finance David Kass comments in “What You Need to Know About Nvidia and the AI Chip Arms Race”: Right now, Nvidia is the leading manufacturer of chips for generative AI and it’s a very profitable company, explained David Kass, a clinical professor at the University of Maryland’s Robert H. Smith School of Business. Another reason Nvidia’s share price may have skyrocketed in recent months is because the success of the stock itself is attracting additional investment, Kass said. Kass explained individuals and institutions may be jumping on the train because they see it leaving the station. Or, in other words: FOMO, he said. Kass said he doesn’t see similarities between Nvidia’s rising stock and the dot-com bubble in the early 2000s, when many online startups tanked after their share prices reached unrealistic levels thanks to an influx of cash from venture capital firms that were overly optimistic about their potential.

Kass said some of these companies not only failed to make a profit but weren’t even able to pull in any revenue either, unlike Nvidia, which is backed by real earnings. He does think there could be a correction or a point where Nvidia stock will be perceived as overvalued. He explained the larger your company, the more difficult it is to sustain your rate of growth. Once that growth rate comes down, there could be a sharp sell-off. But Kass said he doesn’t think there will be a sustained and/or a steep downturn for the company.

Phys.org – March 8 – Gender Bias Leads to Lower-Rated Female Films, Researchers Say overviews a study by Associate Professor of Management and Organization David Waguespack. Originally published by Maryland Today. Related coverage at NewsGram, others.

GARP – March 8 – “The Bottom Line on Trust: Institutions Can’t Count on It” quotes Professor of the Practice Clifford Rossi: “Companies underestimate the long-term cost from lost business associated with a lack of trust,” reasoned Clifford Rossi, professor-of-the-practice and executive-in-residence at the University of Maryland’s Robert H. Smith School of Business and director of the Smith Enterprise Risk Consortium. “Once you’ve lost that trust,” he said, “you have increased the speed at which you will see deposits run on you.”

Boston Globe – March 8 – “Sam Adams Brewer Has Long Kept Former Employees on a Tight Leash. Now Some are Suing to Break Free” quotes Associate Professor of Management and Organization Evan Starr, referencing/linking to his Subjective Beliefs about Contract Enforceability paper: Employees tend to believe their noncompetes are enforceable even when they’re not, as appears to be the case with Hockenberry, said Evan Starr, a business professor at the University of Maryland who has studied noncompetes. And this causes them to miss out on good jobs out of fear of legal action.

Human Resources Director – March 8 – “4 in 10 Women Feel Underpaid – Compared to 2 in 10 Men” – quotes a recent Harvard Business Review piece co-authored by Associate Professor of Management Science and Statistics Margret Bjarnadottir: …Using the structured approach to understand the locus of pay inequity, organizations would do the following: Assess the pay gap by department. Understanding that the pay gap is larger in department B allows the organization to allocate more significant raises to department B, therefore eliminating departmental inequities. Determine where in the pay distribution the differences are. Understanding that women are more likely to be at or below expected pay, and are unlikely to be well above expected pay, allows the organization to allocate raises to rebalance these differences. Recognize the benefits and limitations of data. By using a data-driven approach, the organization can identify the locus of pay inequity and take action to rectify and close pay gaps. However, managers must be kept in the loop. There may be cases where some employees should not be given raises (due to factors outside the data) or where some employees should get larger raises than those suggested by the quantitative analysis.

Poets & Quants (via Yahoo Finance) – March 7 – “Attention MBAs: Maryland Smith Unveils An AI Jobs Map With 90% Accuracy” features the UMD-LinkUp AI Maps project, including: It could be the next big thing to help MBA students and grads find jobs in AI: A new AI job mapping tool out of the Smith School of Business at the University of Maryland goes beyond using a simple keyword search, pinpointing which regions have the most jobs available and in which sector. Incredibly, it operates at a rate of 90% accuracy — much higher than similar tools designed to perform the same function. “Other similar tools have been found to be 70% inaccurate, mostly because they are using a keyword search,” says Professor Anil Gupta, one of the professors behind the tool.

Wondery– March 7 – “Pepsi: Doing Good Business… Dr. Hank Boyd on Race in Marketing and The Legacy of Pepsi's Special Markets Team” features Boyd, clinical professor of marketing, discussing, in a podcast: “the wider significance of the Pepsi special markets team and its work, the progress in corporate racial equality in the years since and the challenges that still remain.

Everyday AI – March 6 – Podcast episode, “The Dispersion of AI Jobs Across the U.S. – Why it Matters,” features Michael Dingman Chair and professor of Strategy Anil K. Gupta discussing UMD-LinkUp AI Maps, a project he co-leads and involves Smith co-researchers Siva Viswanathan, Kunpeng Zhang and Hanwen Shi.

US News & World Report – March 6 – Executive Director of Admissions Maria Pineda comments in “MBA Waitlist Strategy: What to Do Next,” including: Once you’ve decided you want to remain on the waitlist, consider reaching out to the admissions committee to touch base and make sure they know you’re still interested. Pineda says her team offers waitlisted applicants the opportunity to schedule a consultation with an admissions officer to get tips for improving their applications. Not all admissions teams provide personalized feedback on your application like this, but Pineda says contacting the admissions committee is a good way to show you’d be interested in attending the school if you’re accepted off the waitlist. However, Pineda also warns applicants to be careful not to pester the admissions committee with constant updates and emails.

Tech Times – March 6 – “San Francisco Startup Ema Unveils Universal AI Employee Set to Transform Workflows” quotes Distinguished University Professor Roland Rust: Rust emphasizes tech layoffs and predicts a fall in "thinking" occupations that require high cognitive involvement. His 2018 study, published in "The Feeling Economy: How Artificial Intelligence is Creating the Era of Empathy," between 2019 and 2021, anticipated this transition, as reported by Tech Times. Rust advocates integrating intuition, empathy, creativity, and interpersonal skills into the profession as artificial intelligence technology advances. Rust observes that the surge in AI adoption is expediting the obsolescence of "thinking" jobs, particularly within the technology sector, heralding the advent of the "feeling economy." This fundamental shift emphasizes individuals' need to adjust to changing job dynamics and develop competencies less vulnerable to automation.

Wall Street Journal – March 5 – Michael D. Dingman Chair in Strategy and Entrepreneurship Anil K. Gupta explains the UMD-LinkUp AI Maps project in “AI Talent Is in Demand as Other Tech Job Listings Decline, including: AI-related jobs including machine-learning engineers and data scientists existed before the debut of OpenAI’s ChatGPT, [said Gupta]. The chatbot put a user interface on the technology, he said, opening eyes about ways to embed AI into products and workflows even as the tech talent market was still pulling back after a period of overhiring.

Wall Street Journal – March 5 – Michael D. Dingman Chair in Strategy and Entrepreneurship Anil K. Gupta explains the UMD-LinkUp AI Maps project, which he co-leads and involves Smith co-researchers Siva Viswanathan, Kunpeng Zhang and Hanwen Shi, in “AI Talent Is in Demand as Other Tech Job Listings Decline: Postings for artificial-intelligence-related roles are growing and touting higher pay.” … Related coverage via Poets & Quants’ “Attention MBAs: Maryland Smith Unveils An AI Jobs Map With 90% Accuracy” – also published at Yahoo Finance.

Coworking Café – March 4 – Professor of the Practice in Systems Thinking and Design Gerald Suarez contributes, in a Q&A section, to “Shifting Gears: A Year-on-Year Review of America’s Top Cities for Work/Life Balance & Mental Health.”

Fox Business – March 1 – Dean’s Professor of Finance Michael Faulkender discusses “Economic Freedom Declining in the US” in a Kudlow segment.

WalletHub – March 1 – Dean’s Professor of Marketing Jie Zhang explains the preponderance of ‘Celebrity Endorsements in Car Insurance Ads.’

February 2024

Baltimore Sun Education (special section) – Feb. 2024 – “Accessible Technology Programs: Graduate Students Enjoy Opportunities and Convenience” (Page 4) includes Professor of Decision, Operations and Information Technologies Balaji Padmanabhan and Associate Dean of MBA Programs Rosellina Ferraro discussing Smith’s specialization in AI for full-time MBA students, including: [According to Padmanabhan], “We wanted a specialization that is forward-looking and current. This specialization has four components that will dive into AI’s capabilities, design, applications and governance for business.” The first component, the foundation of AI, focuses on understanding the capabilities of AI and providing context for the companies who want to use the technology. The second component is AI design. This portion of the program addresses questions like, “How do you build on today’s AI capabilities to design solutions that combine what AI has to offer with human capabilities and other business assets?” Padmanabhan says businesses need to think about human- and problem-centered design, not just automation. Solution and governance, the last two components, focus on solving problems in a financially responsible way. “AI tackles problems in social media, digital marketing and other applications in finance and supply chain management,” he says. The last course covers governance strategy content for AI, and it, too, is design-focused, looking for the best way to solve a problem.

AACSB Research News – Feb. 28 – “UMD Smith School Maps AI Jobs Across U.S.” (scroll down) highlights UMD-LinkUp AI Maps, including: This new model tracks the dispersion of AI jobs with 90 percent accuracy, explains Anil K. Gupta, Michael Dingman Chair and professor of Strategy, Globalization and Entrepreneurship. “We are using highly specialized [large language models] to assist with filtering AI jobs for an accurate and timely assessment of what constitutes an AI job.”

USA Today – Feb. 28 – Dean's Professor of Finance Michael Faulkender comments in “'Shrinkflation' Fight: Dems Launch Bill Saying Shoppers Pay More for Less at Stores,” including: Critics and political opponents say Casey's bill would go too far by telling companies how to package their products. “Do you have any idea how communist in nature that would be?" asks Mike Faulkender, who served as assistant secretary for economic policy at the Treasury Department under former President Trump. Companies, he says, should be allowed to mitigate inflation's effects by reducing container sizes instead of hiking prices. "Do you want the government to preclude that?" he asks. ... Faulkender says companies don't set prices to cover costs, plus a profit margin, but rather to respond to the laws of supply and demand. In other words, if shoppers are willing to pay higher prices, companies can and should charge them. Otherwise, he says, there would be product shortages...

Yahoo Finance – Feb. 27 – “Warren Buffett’s First Earnings Letter After Charlie Munger’s Passing: 4 Future Investing Plans” quotes Clinical Professor of Finance David Kass: Buffett Adopted a More Somber Tone: Buffett’s first letter since Munger’s death had a more serious and somber tone than previous letters, some experts noted. Said experts noted that earlier letters had humor throughout. David Kass — clinical professor of finance at University of Maryland’s Robert H. Smith School of Business — also noted that this letter was unusually critical of the regulatory environment faced by Berkshire Hathaway Energy. “He also seemed less optimistic about Berkshire’s future but did acknowledge that it was built to last a long time,” he said. Kass added that Buffett also indicated the personality of the upcoming annual meeting on May 4 will change: The on-stage abruptness and humor of Charlie Munger will be replaced by the serious and businesslike Greg Abel. Abel is CEO of Berkshire Hathaway Energy and is widely viewed as Buffett’s successor. He will be joined by Ajit Jain, vice chairman for non-insurance operations. “Since Munger was the ‘architect’ and Buffett was the ‘general contractor,’ I do not anticipate Buffett’s strategy changing from what it otherwise would have been with Charlie,” said Kass. “However, I do expect dramatic changes when Buffett is no longer there.”

National Mortgage Reports – Feb. 27 – Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi comments in “Buyer Beware: Unpriced Climate Risk the Housing Market’s Bubble in the Bloodstream,” including on SERC’s forthcoming Mortgage Climate Risk Analyzer: “Few disclosures exist for any climate-related risk exposures,” says Rossi… “Our real estate rules haven't yet caught up to this late-breaking risk that everybody's now focusing on,” he warns. … “In the state of Maryland,” where Rossi lives, he explains, “they're big time on seeing this as a major issue. They would probably say this is a four-alarm fire.” As for the GSEs and the FHFA, Rossi senses their perceived severity of this issue ranks as a 4 out of 5; investors closer to a 3. The Smith Enterprise Risk Consortium at the University of Maryland, where Rossi serves as director, is trying to raise awareness about these systemic climate risks. With the help of his master’s students, Rossi merged the entire set of 2021 Home Mortgage Disclosure Act (HMDA) loan data with the Federal Emergency Management Agency’s (FEMA) National Risk Index database, which maps assorted climate risks at the census tract level. Their creation is the Mortgage Climate Risk Analyser (MCRA), a mapping tool that attaches severity scores to individual census tracts for various hazards, allowing users to toggle between property types, loan types, hazard types – even which government agencies have the largest exposure to certain regions, hazards, or loan types. The MCRA also assigns dollar amounts to potential losses in a given census tract, given the number of homes affected.

WalletHub – Feb. 26 – Accounting Lecturer Samuel Handwerger gives insights into ‘The Biggest Mistake People Make When Using Personal Loans to Consolidate Credit Card Debt.’

WTOP – Feb. 24 – Dean’s Professor of Finance Michael Faulkender comments extensively in “Analysis of Potomac Yard Arena Revenue May Overestimate Va. Profits, Economist Says,” (Audio) including: Adding the arena would bring $34 million a year in tax revenue for Alexandria, and over $40 million per year for the state of Virginia, the report found. Michael Faulkender, dean’s professor of finance at the University of Maryland and former assistant secretary for economic policy at the Department of the Treasury, said the financial forecasts are “too optimistic, too rosy, from a present value standpoint.” The revenue projections for Alexandria, he said, are realistic. It makes sense that there may be economic activity in Alexandria that might have otherwise happened elsewhere, but “when you go out to the level of the Commonwealth of Virginia, that’s a little bit more questionable,” Faulkender said.

Barron’s – Feb. 23 – Clinical Professor of Finance David Kass’Berkshire Stock Split” Letter to the Editor is published: In Andy Serwer’s excellent discussion about the relative absence of stock splits in recent years, I would add two points (“Stock Prices Are Astronomical. How They Became So Costly,” Up & Down Wall Street, Feb. 16). First, buying round lots of 100 shares was very popular 40 years ago because of the existence of an “odd lot differential,” which resulted in shareholders paying higher commissions per share for the purchase or sale of fewer than 100 shares. Second, in addition to Berkshire Hathaway issuing lower-priced Class B shares in 1996, it also split its B shares 50-for-1 in 2010 as part of its acquisition of Burlington Northern. Thus, Berkshire’s Class B shares represent a 1,500:1 stock split relative to the Class A shares.

The National Desk via CBS Austin – Feb 23 – “Capital One-Discover Merger Raises Concerns About Effects on Credit Card Holders” quotes Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi: But questions about whether the deal will be helpful for consumers still linger. “You've got more consolidation, potentially higher rates on these things already than what you see for some of the smaller players on the marketplace and you go, ‘is this a great idea or not for consumers?’ And that's a good question,” [said Rossi]. Capital One is already over the $250 billion in asset holdings and is subject to heightened scrutiny and risk management standards, which could help soothe concerns about the potential for trouble in a merger. It is also a credit card company first and conducts traditional banking businesses secondarily, which creates a different risk profile than what was observed at SBV, First Republic and Signature. “The banking crisis really has — just from a general standpoint — it has heightened the regulatory community's antennae as it relates to anything big that these larger institutions want to take on,” Rossi said.

Forbes – Feb. 22 – Rudolph Lamone Chair of Strategy and Entrepreneurship and Ed Snider Center for Enterprise and Markets Director Rajshree Agarwal produces column “Strategies to Enable High Performers Transform Organizations,” including: My research with Gilad Chen, Miriam Erez, Brent Goldfarb, Moran Lazar and Ella Miron-Spektor published in the Academy of Management Journal shows that high performing teams focus on both resource seeking and similarity-attraction strategies for their formation: team members represent differences in expertise so they complement each other and are aligned in their mindset and values. Team synergies then bloom through seamless collaboration of activities towards the joint purpose.

RetailWire – Feb. 21 – “What’s the Recipe for Total Wine’s Success?” quotes Dean’s Professor of Marketing Jie Zhang: The shopping experience includes flat-panel monitors spouting information about products, particularly located near tasting stations. The middle of the store features a high-tech wine education center for events, tastings, and classes. A “Meet the Makers” series enables virtual tastings with producers in places such as Napa Valley. “I kind of see it as the Barnes & Noble of the industry,” University of Maryland business professor Jie Zhang told The Daily Record. “They have the competitive prices part — that is like Walmart. They have the large assortment like Home Depot, but they also emphasize the customer education part — that is like Barnes & Noble, like how they bring in speakers and authors … to really educate consumers.”

Financial Times’ Agenda Week – Feb. 20 – “Boards Don’t Need to Predict the Climate to Ease Supply Risks” quotes and cites research co-authored by Research Professor Emeritus Sandor Boyson, including: Boards looking to start understanding how climate will affect their supply chain should try to understand where their main “hubs” are, [said Boyson]. These hubs are places that are critical, for instance, because many different suppliers go through them or because they provide a component that’s particularly difficult to source elsewhere. “Once you identify [the hubs], investigate their capabilities,” Boyson said. “How are they dealing with risk mapping and continuity planning on that site? Are they even looking at climate risk?” Contingency planning for extreme weather events should include factors like alternative energy backups and temporary and medical plans for locally impacted workers, Boyson said.

Chicago Booth Review – Feb. 20 – “How Some Experiments Use Emails to Control for Systemic Bias” references research recently published in Nature and co-authored by Assistant Professor of Management and Organization Aneesh Rai: In one project, Kirgios and her coauthors—University of Maryland’s Aneesh Rai, Harvard’s Edward Chang, and University of Pennsylvania’s Katherine L. Milkman—sent emails ostensibly from students asking for career advice to nearly 2,500 white, male city council members across the United States. The recipients were about 25 percent more likely to respond to an email purportedly from a woman or minority writer when it mentioned the requester’s demographic identity.

GoBankingRates via Yahoo Finance – Feb. 20 – “Warren Buffett’s Mystery Stock: 4 Expert Takes on What You Should Buy” quotes Clinical Professor of Finance David Kass.“Based on Berkshire’s sales of these equities, I recommend investors look elsewhere to invest their money,” said David Kass, clinical professor of finance at University of Maryland’s Robert H. Smith School of Business. What Did Buffett Buy? Buffett notably added to Berkshire’s stakes in Chevron, Occidental Petroleum and Sirius. According to Kass, Berkshire also revealed in its 13F that it had added about $2 billion — or 14% — to its stake in Chevron. “That was its largest purchase during Q4 (other than the mystery stock) and I would recommend it as a conservative investment yielding a 4% cash dividend along with a large stock buyback program,” said Kass. What Is Warren Buffett’s Mystery Stock? “My guess for the ‘mystery stock’ in Berkshire’s portfolio is JPMorgan Chase,” said Kass. He argued that Berkshire’s 10Q filing for the third quarter of 2023 indicated an unexplained purchase of $1.2 billion of “banks, insurance and finance” stock. “Buffett has always admired Jamie Dimon and has praised him frequently,” Kass continued. Kass further noted that Berkshire’s investment officer, Todd Combs, has been on JPMorgan’s board of directors since 2016 — and that JPM is generally acknowledged to be the best managed and most profitable bank. “In recent years it has substantially outperformed Berkshire’s investments in Bank of America (second largest holding after Apple) and Citigroup,” added Kass. “A 5% stake in JPM would currently equal $26 billion which would ‘move the needle’ for Berkshire and would qualify as an ‘elephant’ that Buffett has been seeking.” Related coverage via TalkMarkets, InvestorsObserver and CNBC TV 18.

WalletHub – Feb. 26 – Accounting Lecturer Samuel Handwerger gives insights into ‘The Biggest Mistake People Make When Using Personal Loans to Consolidate Credit Card Debt.’

Financial Times – Feb. 19 – Business School Insider (scroll down) highlights, links to the UMD-LinkUp AI Maps project co-led by Michael D. Dingman Chair in Strategy and Entrepreneurship Anil K. Gupta, with collaborators including Associate Professor of Information and Decision Science Kunpeng Zhang and Dean's Professor of Information Systems Siva Viswanathan: Tracking AI jobs the University of Maryland’s Robert H. Smith School has co-developed a mapping tool to track the creation of US-based jobs that require AI skills. The site called UMD-LinkUp AI Maps helps to visualise the spread of such roles by sector and geographic level. … Related: Gupta demonstrates and discusses UMD-LinkUp AIMaps for DC News Now (via Yahoo News).

Tech Times – Feb. 19 – “Mark Zuckerberg Says Big Tech Layoffs Are Not AI's Fault” includes: According to Roland Rust, Distinguished University Professor and David Bruce Smith Chair in Marketing at the University of Maryland's Robert H. Smith School of Business, the story surrounding these layoffs frequently ignores a crucial background. The continued layoffs at IT companies portend a fall in "thinking" jobs in the labor market, which Rust predicts will push workers to seek more "feeling" professions.

Maryland Today – Feb. 19 – “Accolades: Faculty and Staff Awards and Honors” includes recognitions of Smith professors Trevor Foulk, Bruce Golden, Mary Harms, Roland Rust and Bobby Zhou.

CNBC – Feb. 18 – “Warren Buffett’s Berkshire Keeps New Stock Pick Secret — Again. Here’s What it Means” quotes Clinical Professor of Finance David Kass: David Kass, a finance professor at the University of Maryland’s Robert H. Smith School of Business and a Berkshire shareholder, suspects that Buffett could be buying back JPMorgan. “Buffett has always admired Jamie Dimon and has praised him frequently,” Kass said by email. “Todd Combs has been on JPM’s board of directors since 2016 at age 44 and remains the youngest of its 12 directors today at age 52. JPM is generally acknowledged to be the best managed and most profitable bank.” … Related: “Warren Buffett’s “Mystery Stock”?,” via Hedge Fund Alpha.

VinePair – Feb. 16 – Associate Professor of Management and Organization Evan Starr comments extensively in “When Brewers Enforce Non-Competes, Everybody Loses,” including: “ The best evidence points in the direction that, actually, firms are also made worse off under non-competes... Non-compete agreements impose higher hiring costs on everybody. … What it promotes is effectively some stagnation, where workers are not sorting to their best job.”

CBO Blog – Feb. 15 – “Presentations on CBO’s New Projections” has Congressional Budget Office Director Phil Swagel highlighting and connecting The Budget and Economic Outlook: 2024 to 2034 to his Feb. 12 participation in the opening Smith’s Finance Grand Challenges Speaker Series.

Knowridge – Feb. 15 – “How Tech Layoffs Herald the Shift Towards an Empathy-Driven Job Market” features insight from Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust, including: This wave of layoffs in the tech world is hinting at a bigger change in the job market that many are missing, according [Rust]. Rust and his colleague Ming-Hui Huang saw this coming years ago. They wrote about it in 2018, backed it up with more research in 2019, and then laid out the whole scenario in their 2021 book, “The Feeling Economy: How Artificial Intelligence is Creating the Era of Empathy.” Rust explains that as artificial intelligence (AI) gets better at doing the “thinking” jobs, humans will need to focus more on “feeling” jobs. These are jobs that require what computers can’t do (yet), like understanding emotions, being creative, and genuinely connecting with other people. Related coverage via Tech Xplore (Tech layoffs signal 'feeling economy' shift), Tech Times (Tech Layoffs Signal a Broader Decline of ‘Thinking’ Jobs, Expert Says) and DIGIT News (AI Takeover Ushers ‘Feeling Economy’ Era For Tech Workers).

Medscape – Feb. 15 – “Urologist Sues Health System Over Noncompete Clause” quotes Associate Professor of Management and Organization Evan Starr: "There's actually been a long-standing push for bans on physician noncompetes going back to some of the first states to pass them, like Colorado, Delaware, and Massachusetts, in the late 1970s and early 1980s," [said Starr]… "The patient doesn't get the choice to sign a noncompete, but they're going to be impacted by that agreement if the physician has to leave the area," he said. Interestingly, one profession — lawyers — is the only occupation in the US for which noncompete agreements are banned, says Starr. "Basically, the American Medical Association (AMA) and other physician governing bodies haven't made the same policies to exempt themselves that the lawyers have."

Fox Business – Feb. 14 – Dean’s Professor of Finance Michael Faulkender discusses U.S. economic policy, via Kudlow, including the topic of restoring executive budget impoundment authority and how to address an ‘unsustainable US federal budget’ (in a 30-second summary): "1) Unleash American energy abundance to drive down the cost of everything we produce; 2) Send power back to the people through deregulation – let businesses and individuals operation their own lives; 3) massively slash the spending – there’s no reason for the bureaucracy to spend the amount of money that it does, 4) Extend pro-growth tax reform; 5) let’s make sure we’ve got sound money and sound financial institutions; 6) let’s make sure out trade deals around the world are reciprocal – it should no longer be the case that American manufacturers suffer a disadvantage.” ... Related: Daily Caller News Foundation's “Here’s How Much More Expensive A Super Bowl Party Has Gotten Under Biden” quotes Faulkender, including: “The reduction in purchasing power of American households has greatly impacted their ability to enjoy the prosperity they were realizing prior to the pandemic,” [Faulkender told the DCNF]. “Most American families have exhausted the savings they accumulated during the pandemic and are now resorting to credit cards. Either they fall further in debt at elevated interest rates, or they have to cut back.”

Maryland Today – Feb. 13 – “Super Bowl Ads Superlatives” features reactions to the commercials by Smith marketing professors Hank Boyd, Mary Beth Furst and Idil Yaveroglu.

DC News Now – Feb. 12 – Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust comments in “Time to Buy a New TV? What Major Retailers Likely Won’t Share About Prices.”

WTOP – Feb. 9 – Clinical Professor of Marketing Hank Boyd comments in “Companies Deliver Star Power in Pricey Super Bowl Ads — Which Ones Will Stick?,” including: Some companies are famous for keeping their commercials under lock and key until they air, worried about spoiling the new surprise. But Boyd said smarter companies will at least run them by key employees ahead of time to get their reaction. And he wouldn’t be surprised if some of them at least mentioned Taylor Swift, or even parodied all the attention her relationship with Travis Kelce has brought to the NFL this year. “I think that advertisers now can create ads on such short time spans and clocks, why not take advantage of what everyone’s talking about,” he said. “So, the idea of finding one’s true love and having it wrapped around the greatest brand out there and sports — the NFL — makes sense.”

GARP– Feb. 9 – Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi writes, for his latest CRO Outlook column, “Geopolitical Risk is Spreading Across the Risk Spectrum. Are You Prepared?” Summary: Whether we’re talking about, say, the Israel-Hamas armed conflict, the ongoing Russia-Ukraine war, or attacks on commercial shipping vessels in the Red Sea, geopolitical threats are escalating, causing headaches for businesses worldwide. What proactive steps can financial institutions and their risk managers take to assess and mitigate these risks?

Katie Couric Media – Feb. 8 – “A Behind-the-Scenes Look at How Super Bowl Commercials Are Really Made” reprises previously published comments by Ralph J. Tyser Professor of Marketing Amna Kirmani: Last year, some companies shelled out over $7 million just for the rights to air a commercial during the event. That’s up from a rate of about $6.5 million for a 30-second spot in 2021, [Kirmani] told us. “That’s just a ridiculous amount of money,” Kirmani says. But the research continues to show that for emerging businesses like the handful of cryptocurrency companies that bought spots during the game in 2022 (think Larry David’s now supremely ironic FTX spot) and even for big, legacy brands like Anheuser Busch, Frito-Lay, and Coca-Cola “the return on investment is very high,” she says. A splashy commercial creates brand awareness and signals to consumers that these companies are thriving with money to burn. “For some companies, they blow their entire year’s advertising budget on this because they can make such a splash,” Kirmani says. Related coverage via SheKnows.

Maryland Today – Feb. 7 – “UMD’s Online Graduate Programs Jump in U.S. News Rankings” includes, regarding Smith MBA’s No. 11 overall ranking: "We are proud that the Smith School has been recognized for the excellence of our online programs,” said Dean Prabhudev Konana. “We have been doing this for many years and continue to expand our online program offerings to help students develop their skills amid evolving global realignment and technological advancement in business and society."

WTOP – Feb. 7 – Clinical Professor of Marketing Hank Boyd comments in “Here’s Why Stanley Cups are the Trendiest Water Bottles out There,” including: ...And Boyd said rest assured, whatever the next trend is, a marketing professional is scouring social media trying to find those mavens before you do. “Companies have always tried to say, ‘Look, can we generate some demand? Can we sort of create it?'” Boyd said. “But they’re not alone. The consumer comes into the equation. They’re a huge part of it. So they help shape the narrative and decide what the next item is going to be, or the next thing. So they have to work in conjunction or in tandem. And what the consumers decide, that’s hard to say.”

FEI Weekly Podcast – Feb. 7 – Dean’s Professor of Accounting Rebecca Hann discusses her ‘Price of an Accountant Shortage’ research in an episode, “The Longer the Accounting Shortage Continues the Worse Things Will Get,” for the series presented by Financial Executives International. Summary: Whatever the industry thinks of as a possible solution to the declining number of accounting students and professionals, there is near unanimous agreement on the dire consequences of the problem. Declining financial reporting quality and increased stress on the existing workforce are just two aspects of the fallout.

Marketplace Radio – Feb. 7 – Associate Clinical Professor of Finance Elinda Kiss comments in “New York Community Bank’s Woes Could Signal Trouble for Other Regional Banks”: None of these factors are a clear sign that NYCB will fail, said Elinda Kiss, a finance professor at the University of Maryland. “What we wanna concern ourselves with more than anything else is, is there sufficient liquidity? Will they lose a lot of deposits?” she said.

American Banker – Feb. 6 – “Concerns About New York Community Mount After Chief Risk Officer's Exit” quotes Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi: Finding the best candidate as quickly as possible is paramount, said Rossi, who is now a professor at the University of Maryland School of Business. "This is not some officer buried in the hierarchy," Rossi said Tuesday. "This is the most senior risk officer in the organization, so it's important for the bank to put a person in that place, and it's important for regulators to see that they are putting someone in place."

BizNews – Feb. 6 – “Rudeness in Healthcare: The Deadly Fixation That Could Cost Lives” highlights research by Associate Professor of Management and Organization Trevor Foulk, including: “If you go into the doctor and say ‘I think I’m having a heart attack’, that can become an anchor and the doctor may get fixated on that diagnosis, even if you’re just having indigestion,” Foulk stated. “If doctors don’t move off anchors enough, they’ll start treating the wrong thing.”

TERP Magazine – Winter 2024 – “How to Succeed in Business Without Really Dying" (In Wilderness Survival Class, Students Rely on Wits, Not a Whiteboard)” features Clinical Professor of Management and Organization Oliver Schlake’s “Creative Problem Solving” class that’s part of the Business, Society and the Economy (BSE) program of College Park Scholars.

Maryland Daily Record– Feb. 5 – “UMD Smith School to Kick Off Speaker Series with Former White House Economists” includes: A trio of prominent economists who worked under recent White House administrations will launch a “Finance Grand Challenges” speaker series organized by the Office of Executive Education at the University of Maryland’s Robert H. Smith School of Business. The event on Feb. 12 at 6 p.m. in Van Munching Hall’s Frank Auditorium is free and will involve Congressional Budget Office (CBO) Director Phillip Swagel and ExxonMobil Chief Economist Tyler Goodspeed in a discussion moderated by former U.S. Treasury official and Smith School Dean’s Professor of Finance Michael Faulkender.

Wall Street Journal – Feb. 3 – “A Simple Way to Get Workers to Save More for Retirement” references Assistant Professor of Marketing Joseph Reif: When I asked a sample of American workers if they wanted to enroll in a retirement-savings plan, 15% chose not to save. However, when I told people that they already had an account, and asked how much they wanted to save, only 8% chose to save zero. We cut the percentage of those not saving in about half. Since then, I’ve replicated the results with professors Hal Hershfield at UCLA and Joseph Reiff at the University of Maryland.

Interesting Engineering – Feb. 2 – “RETINA: A Blink into Consumer’s Mind Using Deep Learning” features eye-tracking research co-authored by Distinguished University Professor and PepsiCo Chair in Consumer Science Michel Wedel: [Wedel] explained that RETINA utilizes the complete time series of raw eye-tracking data from both eyes, allowing for a more nuanced understanding of user behavior… Wedel emphasized that the algorithm's ability to incorporate raw eye movement data from each eye sets it apart. "It's a lot of data—several hundreds of thousands of data points, with millions of parameters—and we use it for both eyes separately," he said. … Coverage also from Maryland Today, Tech and Science Post, and others.

Harvard Business Review – Feb. 2 – Associate Professor of Management Science and Statistics Margret Bjarnadottir co-authors “A Better Way for Companies to Address Pay Gaps.” Summary: Income inequality remains a troubling issue, despite years of progressive and proactive approaches and legislation. All too often, workers of one particular group (usually women or people of color) are systematically underpaid across an organization. The remedy for such pay gaps is often to focus on those workers who are most underpaid. This article explains why this approach falls short and how using a structured approach to pay equity analysis will help companies not only address systematic biases, but also address the exact point of pay inequity in their salary structure.

Politico’s E&E News – Feb. 2 – “These Activists Think Psychedelics Could Save the Planet” includes: Another speaker, Bennet Zelner, is a business school professor at the University of Maryland. He’s studying how psychedelic experiences affect leaders when they make decisions. The goal, he said, is to try to find out whether psychedelic experiences “lead to more connected decision making that takes into account a larger range of stakeholders and a longer time horizon.” To tackle climate change, Zelner said, it won’t be enough to develop policies that promise to do less harm to the environment. “It’s not going to be enough if we’re not able to shift into a more connected attunement, if we’re not able to shift into a place where we recognize — in the deepest possible way — the intrinsic interconnectedness of all things and all beings and the mutuality of the relationships that support life.”

Phys.org via MSN – Feb. 1 – “When Firms Internalize Political Stigma” summarizes research by Assistant Professor of Management and Organization Reuben Hurst: The Unite the Right Rally in Charlottesville, Va., in 2017 stigmatized local employers by creating the impression that strongly anti-diversity attitudes put on display by white supremacists were widespread in the community. Employers sought to counteract this "stigma by association" by dramatically increasing the extent to which they included pro-diversity language in their job advertisements…

Transactions on Engineering and Computer Science – Feb. 2024 – Lawrence Gordon, EY Alumni Professor of Managerial Accounting and Information Assurance, writes “Technology and an Organization's Business Model,” including: The primary objective of this article is to argue that the business model of contemporary organizations needs to embrace four additional technological developments. These developments are what I have referred to as the ABCD of technology (Gordon, 2018). The acronym ABCD stands for Artificial Intelligence (A), Blockchain (B), Cybersecurity (C), and Data Analytics (D). These four aspects of technology are having a major impact on the way business is being conducted throughout the world. Although each one of these aspects of modern technology can play an independent role in facilitating an organization’s success, there are also important interactive effects among these components of technology.

January 2024

DeepLearning.AI – Jan. 31 – “AI Jobs Grow Beyond Established Hubs” reports on UMD-LinkUP AIMaps co-led by Michael D. Dingman Chair in Strategy and Entrepreneurship Anil K. Gupta with contributing researchers Associate Professor of Information Systems Kunpeng Zhang and Dean's Professor of Information Systems Siva Viswanathan. Related coverage at Library Journal, and Maryland Daily Record.

American Marketing Association – Jan. 30 – Dean’s Professor of Marketing P.K. Kannan and co-authors explain their new Journal of Marketing study, via “Striking the Right Balance Between Big and Small Influencers in Livestream Commerce,” including: In examining the economic viability of various influencer mix strategies, we find that cost plays a pivotal role in formulating strategy. In general, for companies that can afford big influencers, the combined strategy and the big-influencer-only strategy perform similarly and work better than the small-influencer-only strategy. However, for companies where the costs of hiring big influencers are high, the combined strategy outperforms the big-influencer-only strategy but is dominated by the small-influencer-only strategy. The allure of combining both influencer types might be tempting, but companies should recognize that in the realm of livestream commerce, they might inadvertently undermine each other. Thus, the idea is not about merely employing influencers, but doing so judiciously. Tailoring approaches according to the unique characteristics of products, campaign objectives, and influencer dynamics can spell the difference between a successful campaign and a missed opportunity.

NASA Technology Transfer Program – Jan. 29 – University of Maryland MBA Students Recommend a Solution for Space Junk with NASA Technology features a Smith FLEX MBA Action Learning Project Capstone and quotes its faculty facilitator and Director of Federal and Veteran Affairs Frank Goertner: “We designed Maryland Smith’s tech management program to prepare America’s next generation of technology strategists to innovate responsibly across both business and government,” said Frank Goertner, Director of UMD’s Graduate Program in Technology Management and the team’s faculty facilitator. “There’s really nothing more exciting than to see that happen before they even graduate – above all for a partner like NASA on an issue of such lasting global importance.”

Expansion Solutions – Jan. 29 – Tom Corsi, the Michelle L. Smith Professor of Logistics, contributes to “Logistics: Enhanced Distribution Points, Analysis en Route,” including …When people discuss logistics and infrastructure, it’s hardly unusual for the talk to wind its way back to COVID-19 and how it changed the game for warehousing and distribution. The pandemic-inspired market, for instance, sparked the obvious increase in online shopping that “required a significant change in the location of warehouses and distribution points,” [said Corsi]. That’s for sure, but what wasn’t as often part of the conversation was just how that would happen, how it would look and how long it would take; it’s a transformation that’s very much in progress, with much activity still in the pipeline and newer structures having been unveiled. Before that world-shaking event, siting warehouse parks was easy, said Corsi. “Distribution areas would be located on fringes of urban areas” that could be called exurbs.

Scientific American – Jan. 29 – Assistant Professor of Management and Organization Aneesh Rai writes “The Secret to Accomplishing Big Goals Lies in Breaking Them into Flexible, Bite-Size Chunks” based on his recent study published by the Journal of Applied Psychology. Findings summary: Breaking down big goals into bite-size pieces had a meaningful and sustained impact on volunteering. Both groups who were encouraged to focus on a smaller subgoal (volunteering four hours weekly or eight hours every two weeks) volunteered 7 to 8 percent more than their peers who were simply encouraged to hit their big goal with a little work each week. This may sound like a modest increase, but when scaled across an organization with thousands of volunteers, our intervention translated to thousands of additional hours volunteered each month at essentially zero cost to the organization. We also found suggestive evidence that the more flexible “eight hours every two weeks” framing, in particular, led to more durable benefits over time. Although volunteering declined each week during the 12-week experiment across all participants, this decline was slower in the “eight hours every two weeks” condition than in the stricter “four hours every week” condition. This finding suggests that making modest goals flexible might encourage more long-term perseverance.

DataQuest Online – Jan. 28 – EY Professor of Managerial Accounting and Information Assurance Lawrence Gordon writes “Cybersecurity Risk: A Technology Problem Requiring an Economic Solution.”

DRG Media Group (South Dakota) – Jan. 27 – “South Dakota’s Annual Economic Development Conference to Feature Two Keynote Speakers” includes: A pair of dynamic speakers will keynote the event under the theme “Freedom Works Here,” along with a series of breakout sessions and time for networking. Michael Faulkender, Dean’s Professor of Finance at the University of Maryland, will bring an understanding of both financial economics and public policy to this event. Faulkender’s insight is sure to educate and inspire his listeners. “Not all states are experiencing the growth and prosperity happening in South Dakota. Nationally, the U.S. economy remains challenging, and I look forward to sharing policy prescriptions to improve our fiscal situation and unleash affordable American abundance,” said Faulkender.

DaxStreet – Jan. 26 – “Will Tesla Directors Stand Up to Elon Musk’s Request for Increased Control” references published comments from Clinical Professor of Finance David Kass: University of Maryland professor David Kass points out that Musk’s unique influence within the company could set the stage for negotiations. Referring to Musk’s recent social media post on platform X, Kass underscores Musk’s desire to secure 25% voting control. Musk emphasizes the strategic balance he seeks, significant enough to influence decisions yet open to potential reversal.

Bloomberg (via MSN) – Jan. 25 – “Washington Area Sees AI Job Surge With Federal Agencies Embracing New Tech” quotes Michael D. Dingman Chair in Strategy and Entrepreneurship Anil K. Gupta and draws from UMD-LinkUP AIMaps, a project co-led by Gupta with contributing researchers including Associate Professor of Information Systems Kunpeng Zhang and Dean's Professor of Information Systems Siva Viswanathan: “On the demand side, it’s the government,” said Anil K. Gupta, a professor at UMD’s Robert H. Smith School of Business and the project’s co-leader. “On the supply side, it’s not necessary that these are jobs within US government agencies.” He cited employers such as defense-industry giants Lockheed Martin Corp. and Northrop Grumman Corp. as well as consultant Booz Allen Hamilton Holding Corp. The region is also a base for AI powerhouses including Amazon.com Inc. ... Along with its geographical spread, AI is penetrating an ever-growing range of industries. Retail ranks “pretty high up” in terms of job openings, said Gupta. “The Walmart effect is pretty significant.” The supermarket giant rolled out generative AI search on its mobile application earlier this month.

Clear Admit – Jan. 25 – “Real Humans of the UMD Robert H. Smith School of Business MBA Class of 2025” profiles Smith full-time MBAs Anna Huertazuela, Yaye Sene, German Salazar, Santhosh Kumar, Jack Treanor and Zainab Yahaya.

BBC Radio– Jan. 24 – Dean’s Professor of Finance Michael Faulkender discusses economic policy issues (6:40-11:20) timed with the New Hampshire Presidential Primary. … Related: Faulkender co-authors, via the Daily Caller Time To Take A Buzzsaw To Biden’s Beloved Climate Law.

FIND MBA – Jan. 22 – Dean's Professor of Decisions, Operations and Information Technologies Balaji Padmanabhan comments in “Should You Use ChatGPT to Help Write Your Online MBA Application?”: Other business schools agree that AI tools can be helpful, in terms of equalising access to those without very strong written communication skills. “They can help provide language and framing and bring the equivalent of professional editing help to everyone, in a sense levelling the playing field with regards to having access to such help,” [says Padmanabhan]. “However, it is your responsibility to ensure that the narrative in these essays properly reflects your lived experiences -- and end up conveying what you, as an applicant, feel you want people who read your essays to walk away with.” … He warns that applicants to Smith’s Online MBA program should be aware of the potential risks, including plagiarism. “There is evidence that in some cases generative AI tools end up lifting entire sub-sections from previously published content. Doing so without proper acknowledgement in most cases will likely constitute plagiarism,” says Padmanabhan. “That could happen in your case if these tools are given carte blanche rights to draft essays,” he adds. “Claiming you didn't do it yourself, or that your AI tool did it, will not absolve you of responsibility. Everything you submit will remain on the record.” … His advice is use these AI tools not to create application content from scratch, but to develop your content first and then refine, if permitted by the institution you’re applying to. “That is, provide your best starting point and have these tools directionally improve it using prompts such as ‘improve the grammar of this draft’ or ‘improve the formatting of this resume’,” Padmanabhan says. Furthermore, he calls for disclosure of all AI use in your application. Indeed, ChatGPT has ignited fears among business schools that MBA students will use it to cheat in their essays, prompting calls for clear disclosure policies.

Techopedia – Jan. 20 – Clinical Professor of Finance David Kass contributes to “Big Tech Stock Predictions for 2024: Winners and Losers”: David Kass, a finance professor at the University of Maryland’s Robert H. Smith School of Business, offers his expert tech stock analysis and predictions. Kass provides a compelling outlook for tech stocks in an environment with lower interest rates and rapid advancements in AI. “The outlook for tech stocks in 2024 is very bright. A combination of lower interest rates expected during the year and continued progress in these companies’ development and application of artificial intelligence (AI) should propel their shares higher. … “So far in 2024, five of the super seven are already substantially outperforming the major indexes. Those five are: NVIDIA (+10.5%), Meta Platforms (+5.8%), Microsoft (+3.3%), Alphabet (+2.1%), and Amazon (+1.8%). Two components have declined: Apple (-3.4%) and Tesla (-11.9%). Salesforce (3.5%) has also outperformed the market year-to-date, but Advanced Micro Devices (-0.6%) and Intel (-6.2%) have underperformed in 2024. However, these companies will likely achieve significant earnings growth in 2024. … “AI is a multi-trillion-dollar market opportunity in which the tech stocks mentioned here are expected to be among the key players. My predictions for individual tech stocks in 2024 include the outperformance by NVIDIA, Alphabet, Amazon, Meta Platforms, Microsoft, Apple, Salesforce, and Advanced Micro Devices. However, I am somewhat less optimistic concerning Tesla and Intel.”

MDPI (Multidisciplinary Digital Publishing Institute) – Jan. 19 – “Statistical Framework: Estimating the Cumulative Shares of Nobel Prizes from 1901 to 2022,” with co-authors including Bruce Golden, The France-Merrick Chair in Management Science, and UMD graduate student Xu Zhang, is featured as published at Stats, including: Studying trends in the geographical distribution of the Nobel Prize is an interesting topic that has been examined in the academic literature. To track the trends, we develop a stochastic estimate for the cumulative shares of Nobel Prizes awarded to recipients in four geographical groups: North America, Europe, Asia, Other. Specifically, we propose two models to estimate how cumulative shares change over time in the four groups.

Yahoo Finance – Jan. 18 – “The Tesla Spotlight has Turned on its Directors as Elon Musk Asks for More Control. Are They up to the Fight?” quotes Clinical Professor of Finance David Kass: Musk warned earlier this week that for him to steer the all-electric carmaker to become a global leader in artificial intelligence and robotics, he'd need even greater sway over the company’s decisions. "He does have bargaining power in the sense that there is only one Elon Musk," said David Kass, a professor of finance at the University of Maryland. “It looks like a negotiation.”

Korn Ferry Briefings – Jan. 18 – “The Year of Election Angst” quotes Dean’s Professor of Finance Michael Faulkender: Politics and business have always been intertwined, of course, but in recent years they seem to have merged into one big ball of risk for corporate leaders. Whether it’s US trade tensions with China, Russia’s invasion of Ukraine, or the Israel-Hamas war, corporate leaders consistently rank geopolitical risk among the top concerns for the global economy and business. “The tensions have elevated the business risk for leaders in a way that it wasn’t 10 or even five years ago,” says Michael Faulkender, former assistant secretary for economic policy at the US Department of the Treasury and a professor of finance at the Robert H. Smith School of Business at the University of Maryland.

The National Desk via WJLA – Jan. 18 – Professor of the Practice and Smith Enterprise Risk Symposium Director Clifford Rossi comments in “Banks Push Back Against Proposal to Cap Overdraft Fees to as Low as $3”: Some have also questioned what innovation is being harmed by the removal of overdraft fees, which have declined or already been done away with at some of the most profitable banks in the country. “That's a very weak argument. What is the nature of innovation? When I'm thinking of innovation, I'm thinking that we're going to be leveraging artificial intelligence to somehow bring down the cost of loan products to our customer base, that's innovation,” said [Rossi], who also worked in high levels of risk management for several large banks. “Innovation around overdraft fees, I don't know what that is.” … Banks are also gearing up a fight over Basel III Endgame, a set of reforms that would require them to hold more capital to cover emergencies and aims to improve regulation, supervision and risk management. “When you look at it from just the cold light of day, just the hard facts on this, you are talking about a bank, like Bank of America, these NSF fees and overdraft fees account for less than half of a percent of their total revenue a year,” Rossi said. “This is not a big deal and yet they are fiercely determined to fight CFPB tooth-and-nail on these things.”

Knoxville News Sentinel – Jan. 16 – “Haslam Family Sells Remaining Pilot Ownership to Berkshire Hathaway in Billion-dollar Deal” quotes Clinical Professor of Finance David Kass: Berkshire is a “preferred owner” for retaining employees and preserving companies, professor David Kass told Knox News last year. He’s a clinical professor of finance at the Robert H. Smith School of Business at the University of Maryland who studies Berkshire and Buffett.

Harvard Law School Program on Negotiation Blog – Jan. 15 – “The Anchoring Bias: Consumers, Beware!” quotes Professor of Marketing Jie Zhang: In price anchoring, retailers “mark up the prices and then offer seemingly deep discounts to make the deals look more attractive,” University of Maryland marketing professor Jie Zhang told the Washington Post. The Post explains: “This usually involves a retailer raising the price on a particular item–say a flat-screen TV–for a short period, only to mark it down to the original price while marketing it as a limited-time, steep discount.” Or the retailer might never actually sell the item at its “full price” at all.

Dataquest Magazine – Jan. 2024 – Lawrence Gordon, EY Alumni Professor of Managerial Accounting and Information Assurance, produces a guest column, “Cybersecurity Risk: A Technology Problem Requiring an Economic Solution (reposted).” Intro: Cybersecurity refers to the protection of information that is transmitted via any computer network, including the Internet. The risk of harmful cybersecurity failures due to cyber-attacks is what most refer to as cybersecurity risk (or simply cyber risk). Unfortunately, the number of successful cyber-attacks on organizations is increasing at an alarming rate. Phishing, social engineering, denial-of-service, and ransomware are among the many cyber threats confronting organizations in today’s interconnected digital world. As a result, cybersecurity risk is a critical problem confronting senior executives and Boards of Directors in large publicly traded corporations, as well as in small and medium size firms.

UCLA Anderson Review – Jan. 2024 – “Was Research – on Physicians and Noncompete Agreements – Before Its Time?”: Years after a paper goes unpublished, it’s fodder for a major Federal Trade Commission proposal” highlights research by Associate Professor of Management and Organization Evan Starr and how the FTC is citing the findings, along with Starr’s related, co-authored work, in the commission’s proposed ban on noncompetes – expected to be decided in April 2024: The question of how noncompete agreements affect health care has become a lot more popular. And the data needed to pose credible arguments for and against barring noncompetes has piled up. … With independent medical practices rapidly being sold to investors or corporations, more doctors are signing contracts that bar them from quitting to start their own local practices or to join existing ones nearby. (Typically, the bans last a year or more.) Are these restrictions, the researchers wondered, resulting in more physician choices for patients or fewer? Fewer, they found. Looking at states that tightened or loosened noncompete restrictions between 1976 to 2010, the researchers saw that the number of medical practices rose, and practice closures fell, when employers had little or no control over where a doctor could work after leaving their employment.

GARP – Jan. 12 – Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi gives “New Year's Resolutions for Risk Managers in 2024” in his latest CRO Outlook column. Summary: Finding balance in managing risk and return is extremely challenging, especially during periods of uncertainty fueled by geopolitical tensions, cyber threats, financial instability and other volatile events. But financial institutions and their FRMs can take steps to curtail this year’s biggest projected tail risks by, for example, cultivating situational risk awareness, developing war-gaming exercises, improving contingency planning, hiring talented people, and performing honest assessments of their governance and their risk exposure.

University Business – Jan. 10 – Adjunct professor Dan Goldsmith (marketing management) is highlighted as among contributing faculty members from “elite institutions” to a hybrid community college startup called Campus in “This Community College Startup May Be the Prototype for Student Success,” including: Professors’ competitive salary rates, coupled with the institutions’ foundation mission for student success, frees up their ability to focus on what matters, rather than being burdened by demands to meet their basic living needs or meeting course completion quotas, Goldsmith asserts. “Campus has really built a model where all of those barriers between instructors and students are torn down,” he says.

FIND MBA – Jan. 8 – Associate Dean of MBA Programs Rosellina Ferraro comments extensively in “How Online MBA Programs Will Change in 2024” (What does the future hold for these digital degrees? We spoke to three leading global business schools to find out.): “The trends of flexibility and convenience will continue to drive demand for Online MBA programs,” [Ferraro] predicts. “Negative perceptions about the quality of education in online MBA programs have waned. So, students can now focus on finding the Online MBA program that best fits their professional goals and life circumstances,” she adds… Ferraro says: “The shift to remote work reflects the continued desire for flexibility. Students can have access to programs offered across the country and across the world, giving them more choice. The desire for continuous learning may attract a more mature student looking to enhance their skill set or shift to a new career path entirely.” …Ferraro at the Smith School of Business makes a similar observation: “The advancements in AI technology are likely to have a significant impact on the learning landscape for all MBA programs, irrespective of delivery format,” she says. “AI technology, such as ChatGPT, can be utilized by faculty to enhance the learning experience by creating engaging opportunities and challenging students to build on what AI can offer.” But there are challenges on the horizon. With the rising popularity of alternative and micro-credentials, how might Online MBA programs need to adapt to remain competitive and relevant in 2024? “While there is a good deal of discussion about the popularity of micro-credentials, it is still not clear that they are valued by employers,” states Ferraro. “The MBA is still a highly valued degree, but programs should offer specializations that are relevant to today’s business environment.”

Pharma Manufacturing Magazine – Jan. 8 – MS in MS Quantitative Finance student Matthew Rumrill and Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi co-author “How Vulnerable is Your Pharma Facility to Natural Disaster?” (Assessing facility risk should be an essential part of your supply chain management process).

MarketWatch – Jan. 7 – “I Want to Blow the Whistle on my Former Employer’s ‘Shady Practices,’ But I Signed an Nondisclosure Agreement. Can I Break my NDA?” draws from research co-authored by Associate Professor of Management and Organization Evan Starr: Noncompete clauses are probably more common than most people think and, as you experienced, they are often buried within reams of paperwork. Not everyone who has signed one knows they've done so. In fact, up 47% of private-sector workers are bound by noncompetes, studies have found. What's more, 38% of employees say they have agreed to at least one noncompete clause in the past, according to this study [co-authored by Starr] and published in the Journal of Law and Economics. You may find yourself stymied when it comes to taking a new job in your industry, at least for the duration of your noncompete agreement. "Non-competes are more likely to be found in high-skill, high-paying jobs, but they are also common in low-skill, low-paying jobs and in states where non-competes are unenforceable," the Michigan and Maryland researchers wrote. "Only 10% of employees negotiate over their non-compete, and about one-third of employees are presented with their non-compete only after having already accepted their job offer.” … Republished at Morningstar.

Sinclair’s The National Desk – Jan. 3 – “National Debt Ended 2023 at New Record High” quotes Dean’s Professor of Finance Michael Faulkender: “Since a large portion of the federal government’s debt has maturities of a couple years or less, that means a lot of the interest that we’ll be paying last year and this year on the national debt is now at these much higher interest rate levels," [said Faulkender]… “There’s not just an economic security component, there’s a national security component associated with retaining our status as the world’s reserve currency. And the less effort we put into addressing our unsustainable fiscal situation, the more we potentially jeopardize that status.”

CBS News – Jan. 3 – Clinical Professor of Finance David Kass discusses why “Just 7 Companies Drove S&P 500's Growth in 2023” in a live interview segment. Description: Wall Street ended 2023 on a high note, and a group of companies known as the "Magnificent Seven" dominated. David Kass, professor of finance at the University of Maryland, joins CBS News to discuss if the outsized success of so few companies poses a risk to the economy.

Washington Informer – Jan. 3 – “Maryland’s Department of Commerce Presents Exporting Seminar” previews “All About Exporting” on Jan. 18 from 9-10:30 a.m. in Van Munching Hall 1505 – a “seminar will feature representatives from the state’s Commerce Department, U.S. Commercial Service, the Center for Global Business at the Smith School of Business and the Maryland-DC District Export Council.”

Past Years

December 2023

Jacksonville (IL) Journal Courier – Dec. 31 – Assistant Dean of Experiential Learning Nicole Coomber comments throughout “Analyzing the New Workday Dead Zone: Bosses, Don't Expect Anything Between 4 and 6 p.m.

TalkMarkets – Dec. 30 – Clinical Professor of Finance David Kass writes “Berkshire Hathaway is a Counter-Cyclical Asset” and gives the “2023 Percentage Returns To 5 Largest Stocks.”

International Business Times – Dec. 29 – “What Could Trigger The First Interest Rate Cut In 2024 – Clues From Greenspan's Fed" quotes Clinical Professor of Finance David Kass: David I Kass, clinical professor of finance at the University of Maryland, adds progress in inflation and an unexpected external shock resulting from a significant geopolitical event to the factors that could trigger an interest rate cut. “If the Fed's preferred measure of inflation, core PCE, declines below 3% toward the Fed's projected level of 2.4% in 2024, a rate cut is very likely,” he told IBT. “Similarly, the unemployment rate exceeding the Fed's projection of 4.1% in 2024 would likely lead to a rate cut as the Fed attempts to prevent a recession. An external shock from a major geopolitical event that might create an economic slowdown would also lead to a rate cut.” 
… Previous IBT pieces quoting Kass: 
- “US Stocks And Bonds Head Into The New Year With Plenty Of Tailwinds” (Dec. 28): David I Kass, Clinical Professor of Finance at University of Maryland, believes that the rally in stocks and bonds will broaden in 2024, not only in the U.S., but also in Europe, too. In addition, he provides a good insight on the direction of interest rates and the U.S economy. “The Federal Reserve's economic projections released on December 13 indicate a likely reduction in the Federal Funds rate from 5 1/4% - 5 1/2% currently to 4 1/2 - 4 3/4%, or three cuts of 1/4% each in 2024," Kass said. "Core PCE inflation is also projected to decline from 3.2% in 2023 to 2.4% in 2024. The historically low U.S. unemployment rate of 3.7% is projected to increase to only 4.1% in 2024.”
- “Why The Magnificent Seven Rally Could Last For Many More Years” (Dec. 27): At current prices, both Meta and Alphabet are the most undervalued with forward P/E ratios of 19 and 20, respectively," David I Kass, clinical professor of finance at the University of Maryland, told IBT. “Their forward P/E ratios approximately equal that of the S&P 500 (about 19) but are likely to achieve superior growth in the years ahead. Similarly, Apple with a forward P/E of 28 and Microsoft with a P/E of 29 appear to be undervalued or fairly valued with substantially greater projected growth than that of the overall market.”

Fox Business – Dec. 28 – Dean’s Professor of Finance Michael Faulkender discusses U.S. economic policy and trends, via Kudlow (starting at :40) and Evening Edit (Dec. 30). Related – also from Dec. 30 – Faulkender further discusses the U.S. Economy via 77 WABC’s Larry Kudlow Show (40:20-52:30) and in comments in the Daily Caller News Foundation’sAmericans’ Finances Took A Beating In 2023 Amidst Persistent Inflation And High Interest Rates.”

Baltimore Sun – Dec. 27 – Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi writes “Factoring Climate Risk in Pension Choices Not so Simple.” Opening: In a recent commentary in The Baltimore Sun, Maryland Comptroller Brooke E. Lierman tried making the case as to why incorporating climate risk into investment decisions for the Maryland State Retirement and Pension System (SRPS) follows sound financial principles (“Md. comptroller: Climate risk is an investment risk, so why is Congress trying to prevent me from considering it?” Dec. 18). The comptroller is correct that all potential risks to the pension fund should be examined, including climate risk, however, that holds only if the underlying processes and analytics used to assess that risk are accurate and validated. In this case, they are far from robust and would not be something I, as a former risk manager and banker, would be comfortable in using to make decisions for my personal investments, let alone a portfolio over $62 billion.

Voice & Data – Dec. 23 – EY Alumni Professor of Managerial Accounting and Information Assurance Lawrence Gordon comments in “Your Bills in India. As Cheap as a Haircut!” (The voice and data rates in India are the most affordable in the world. Have telcos in India cracked some magical formula and can others catch up?): Asking an Economics expert should help. [Gordon] unwraps this side. “In the US, for example, a few major telecom companies like AT&T, Verizon, and T-Mobile make up a very large percentage of the market. In India, there seems to be a larger number of key players in the telecom industry. India’s population is such that a company can more easily reach economies of scale. This is an important factor since telcos have to invest a substantial amount into building infrastructure. Besides, there are substantial fixed costs for the player in this sector.” Gordon reminds us how all this is more complicated than just looking at comparative advantages. “There are national security issues that come into play when thinking about the telecom Industry.” He also touches on the role of the state. “I would assume that the government plays a significant relative role in terms of incentivising the sector and regulating it to keep prices low, given that the country’s per capita GDP is quite low. … As to whether the lower rates are sustainable, Prof. Gordon chooses to reverse the question and ask if the higher rates are sustainable. “In the long run, my answer to the latter question would be No.”

Maryland Today – Dec. 21 – “Task Force on Antisemitism and Islamophobia Members Named” includes Clinical Professor of Information Systems Hassan Ibrahim as “among [UMD] students, faculty, staff and administrators, who bring a range of perspectives, including those from different religious, cultural and other backgrounds, to ensure a comprehensive and inclusive approach to addressing antisemitism and Islamophobia on campus.”

Voice of America – Dec. 21 – “Chinese Still Largest Group of Foreign Students in US” includes: “And just going through all the examinations, taking TOEFL, and also physical exams as well. Took a lot of vaccines. But I will say, it's worth the trouble if you're determined to come,” [Shawn Zhan] said. The Test of English as a Foreign Language assesses the English language ability of a student who wants to enroll in an English-speaking university. Zhan is in his last school year at the University of Maryland. He is graduating with a degree in economics and plans to stay in the U.S. for graduate school. “I'm going to continue in the business school program in MSBA, the Master of Science in Business Analytics, for one more year,” he said.

Seeking Alpha – Dec. 18 – Clinical Professor of Finance David Kass gives “10 Stocks for 2024”: Summary: U.S. stocks in 2024 are expected to perform well due to projected decreases in interest rates by the Federal Reserve. The S&P 500 has historically shown positive returns and is a good long-term investment. Recommended stocks for 2024 include Alphabet, Amazon, Apple, Berkshire Hathaway, Meta Platforms, Microsoft, Nvidia, Occidental Petroleum, Uber Technologies, and Vanguard S&P 500 ETF.

American Banker – Dec. 18 – “Progressive Groups Target Asset Managers After Their ESG Support Wanes” quotes Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi: Clifford Rossi, a former chief risk officer at Citigroup, said that declining support from asset managers for shareholder proposals related to climate and social issues is due in part to new regulations enacted in recent years, which loosened the rules for filing and holding proxy votes. But he indicated that there could also be other factors. “These filings are trying to get a better handle on understanding why there's been such a sudden change in course by these large asset managers,” said Rossi. He described asset managers as stuck in a position where any decision "will invite scrutiny from both sides.”

Black Enterprise – Dec. 18 – “Master the Art of Salary Negotiation: 4 Tips to Secure your Financial Future” quotes Associate Professor of Management and Organization Rellie Derfler-Rozin: Salary negotiations are never predictable. So, it’s imperative to understand the basics of negotiation 101. From setting expectations and anchoring high to maintaining appropriate body language, the mental psychology of negotiation can be complex. “The goal is to learn how to get to a place where you are happy with the negotiation outcome, and your partner is also happy with the outcome and wants to negotiate with you further in the future. This is an invaluable skill in the dynamic business environment, in which reputation builds very quickly and is very important to maintain,” according to [Derfler-Rozin].

Yahoo Finance – Dec. 15 – Clinical Professor of Finance David Kass comments in “Warren Buffett Just Bought 10.5 Million More Shares in Major Oil Company – What It Means for Investors”: David Kass, clinical professor of finance at University of Maryland, Robert H. Smith School of Business, noted that Buffett has expressed his admiration for OXY CEO Vicki Hollub, who has stressed her desire to have OXY earn rates of return that exceed its cost of capital, reduce the amount of debt on its balance sheet, buy back shares of its common stock and pay a cash dividend. Indeed, during the company’s May annual shareholder meeting, Buffett said Hollub was “an extraordinary manager of Occidental,” according to a transcript. ... “Buffett’s purchase of OXY shares earlier this week signals his approval of OXY’s purchase of CrownRock,” said Kass. “Over 80% of OXY’s petroleum reserves are located in the United States -thus minimizing geopolitical risk.” Kass added that Buffett’s additional purchases of OXY stock earlier this week signals his confidence not only in the management of OXY, but the overall economy. “Buffett is a long-term investor with large investments in both OXY and Chevron whose value is primarily determined by the price of oil,” he said. “This indicates that he is expecting oil currently trading at $70 per barrel to return to a 40-year average of $80 in the years ahead.”

Fortune – Dec. 14 – “How Apple Finally Cracked the India Market—at Exactly the Right Time” quotes Anil K. Gupta, Michael D. Dingman Chair in Strategy and Entrepreneurship: Apple has caught another break in recent years: India’s middle class, whose annual household income is between $6,000 and $37,000, more than doubled from 2005 to 2021, and now accounts for one-third of India’s population. What’s more, the smartphone market has matured to the point that consumers in emerging countries like India are upgrading their devices from their introductory models, a trend that Apple will benefit from as a “premium aspiration brand,” says Anil Gupta, a professor at the University of Maryland’s Smith School of Business and author of several books on India and China. …Workers like Narayani are one cog in Apple’s larger India ecosystem that could one day feed itself. “A large installed base of iPhones in India will also create a large and growing market for Apple to capture revenues from services consumed by iPhone users on apps downloaded from the App Store,” says Gupta. “Given India’s economic growth, I consider it highly probable that, within 10 years, iPhones could have a 15% market share in India.” … Also at Yahoo Finance.

GoBankingRates – Dec. 14 – Clinical Professor of Finance David Kass comments in “Do Warren Buffett’s Latest Investment Moves Signal Recession ‘Right Around the Corner’ – Experts Weigh In”: David Kass, clinical professor of finance at University of Maryland’s Robert H. Smith School of Business, noted that Buffett’s recent net sales of equities in Berkshire’s portfolio through Sept. 30 is indicative of his view that the stock market was fully valued, offering relatively few equity investments that were attractive at current prices and interest rates. However, Kass added that on Dec. 13, Berkshire filed a Securities and Exchange Commission (SEC) form which revealed its purchase of an additional $590 million of shares in Occidental Petroleum a few days earlier, resulting in Berkshire increasing its stake in Occidental to more than 27%. “Buffett’s previous cautious investment behavior in 2023 related to stock market valuation, and not a forecast of a recession,” he said. “Buffett historically has not altered his investment strategy based on macroeconomic forecasts. He is a long-term investor who holds on to his portfolio throughout economic cycles and adds to his equity investments over time.”

Daily Caller News Foundation – Dec. 11 – Dean’s Professor of Finance Michael Faulkender comments in “Here’s The Secret Behind Biden’s Jobs Numbers. Hint: It’s Not Manufacturing”: “There are essentially two economies right now – the private sector economy and the government economy,” [Faulkender] told the Daily Caller News Foundation. “With massive deficit spending and a complete disregard for its cost, the government is expanding its activities, and the result is hiring in the government, health care, and social assistance industries.” … “Because of the higher inflation and interest rates that have resulted, the private sector economy is struggling and not doing much hiring,” Faulkender told the DCNF. “After accounting for the end of the auto strike, manufacturing employment declined in November and pending home sales are at the lowest level since the housing crisis. The problem is that these massive deficits are unsustainable; an economy built on something unsustainable will not be able to continue. I fear that this current approach will cause massive harm to the American people when a bond market auction fails, and the Treasury is forced to implement immediate across-the-board cuts.” … Related: Faulkender discusses the latest Fed policy developments, via Fox Business’ The Evening Edit (Dec. 13).

Business Insider – Dec. 9 – “Check Out the NDA Jeff Bezos' Housekeeper was Forced to Sign Before She Could Clean his Toilets” quotes Associate Professor of Management and Organization Evan Starr: “This sort of thing is common with celebrities who are trying to protect their image, their reputation," said Evan Starr, a professor at the University of Maryland who studies nondisclosure agreements and reviewed Wedaa's agreement at Business Insider's request. What is rare, though, is for the full text of the agreement to enter the public record. … Wedaa was paid $250 for signing the agreement, a transaction that Starr speculated could have been intended to make the agreement more enforceable. If a dispute were to arise over the NDA, "Bezos' side can argue that this isn't coercion, it was an exchange, they agreed to these conditions in exchange for this amount of money," Starr said.

U.S. House Committee on Ways & Means – Dec. 7 – “Hearing on Hidden Cost: The True Price of Federal Debt to American Taxpayers” includes Dean’s Professor of Finance Michael Faulkender’s testimony, with his opening statement including: The impact on the American people of higher debt service costs is not limited to merely the potential for higher future taxes to cover these growing expenditures. Growing interest costs have the potential to crowd out funding for other government services. Additionally, mortgage rates paid by American home buyers directly result from long-term borrowing rates for the U.S. government. Since January 2021, 30-year fixed mortgage rates have risen from an average of 2.77% to 7.22%. This translates to a monthly principal and interest payment on a $250,000 mortgage rising from just over $1000 per month to $1700. The best way for us to improve access to home ownership for young people is to get interest rates back down, which means deploying fiscal and regulatory policies in ways that result in lower inflation and therefore lower interest rates. We should stop relying entirely on the Federal Reserve to curb the inflation that has crushed household budgets over the last three years.

Baltimore Sun – Dec. 7 – “Alum’s $10 Million Gift to Goucher Comes with a Clouded [Purdue Pharma] Connection” quotes Associate Professor (Logistics, Business and Public Policy) Gideon Mark: [Mark said] that while board members are not responsible for a company’s day-to-day operations, “they have ultimate oversight over the company.” ... “The buck’s got to stop somewhere,” Mark said, “and it stops with the board.”

Maryland Today – Dec. 7 – “Bookshelf” highlights Management: An Interactive Approach co-authored by Assistant Dean of Experiential Learning Nicole Coomber: This textbook focuses on developing critical thinking skills essential for successful managers and business leaders, incorporating a blend of topics and integrating global, inclusive and ethical perspectives with practical, real-world examples.

Yahoo Finance – Dec. 6 – “University of Maryland Robert H. Smith School of Business and UMD's School of Medicine Partner to Expand Business Education Opportunities for Medical Students and Faculty” describes the newly expanded MD-MBA degree program and includes: “In today's environment, excellent patient outcomes also depend on the financial well-being of both patients and providers," says Smith School Dean Prabhudev Konana. “Physicians with business acumen are better equipped to create innovative solutions for the benefit of their patients.” Related coverage via Maryland Daily Record, others.

FIND MBA – Dec. 5 – “Top 10 Online MBA Programs for Artificial Intelligence” includes: The Smith School of Business offers an Online MBA program with a robust focus on AI, data science and analytics. The program emphasizes the importance of data analysis and its practical applications in modern business environments. Students gain a strong foundation in quantitative skills and data-driven decision-making, which are crucial in today’s data-centric business landscape.

Fox Business – Dec. 5 – Dean’s Professor of Finance Michael Faulkender discusses a “rise of recession fears” in “Government Driven Economy is Not Sustainable Growth.”

Wired – Dec. 4 – Associate Professor of Management and Organization Evan Starr expands on his research in “Innovation-Killing Noncompete Agreements Are Finally Dying”: [Starr] who coauthored the study on the prevalence of NCAs, says that the agreements do correlate with greater investment. But overall, innovation still suffers: Employee mobility, entrepreneurship, information flow across firms, and the effort employees put into their work all suffer when NCA enforcement goes up, Starr writes in an October report for policymakers that summarizes noncompete research. … Research shows that NCAs also harm workers. Starr’s report points to several recent studies which found that workers who labor under noncompetes earn less than those without them, and that when states enforce the agreements more stringently, wages fall. … Had OpenAI staff jumped to Microsoft to work on AI, they may have had to tread carefully. Instead, Altman and his loyal staff were reunited at OpenAI. “It’s interesting to think about a world where Sam Altman did have a noncompete,” says Starr. “What would happen if he was fired and he had to sit out of the AI world for two or five years? We might all suffer because of that.” Perhaps. Although reasonable minds may differ.

DataQuest – Dec. 2 – Lawrence Gordon, EY Alumni Professor of Managerial Accounting and Information Assurance, comments extensively on automotive cybersecurity in “There’s a Rat Under the Hood,” including: [Gordon notes], “Of course, the technical computer science/engineering aspects of automotive cyber-security are critical issues that need to be addressed. The automakers and regulators are cognizant of these cyber-security issues and are (and have been for about a decade) addressing them. In contrast, I don’t think most auto-buyers (i.e., consumers) are very knowledgeable about cyber-security issues related to the smart devices in modern cars. The above notwithstanding, in my opinion the elephant in the room is the ‘economic aspects of automotive cybersecurity’.” … Being hacked hurts—and everyone, no matter what seat they are in. The economic aspects of automotive cybersecurity involve several issues, as Prof. Gordon outlines. “First, the cost of initially incorporating a high level of cybersecurity into cars is costly. Thus, the question that immediately comes to mind is who will bear that cost? As I see it, the automakers will initially bear this cost, but ultimately the majority share of this cost will be passed on to the auto-buyers. Second, cyber-attacks on automobiles can be very costly to auto-buyers. To the extent that automakers don’t have to reimburse car owners for their losses resulting from cyber-attacks, these costs are externalities from the automakers’ perspective (i.e., consumers absorb the costs). To the extent that automakers have to reimburse car owners for their losses (e.g., as a result of lawsuits or regulations), these costs will be borne by the automakers.”

ComicBook.com – Dec. 1 – Justice League: Zack Snyder Addresses Reports About Snyder Cut Fans Using Bots references earlier comments by Associate Professor of Management and Organization David Kirsch: …This seemingly resulted in some surprising trends, such as a single-day spike on February 27th where over 25,000 votes were cast, as opposed to the usual daily average of between 4,000 and 15,000 votes. David Kirsch, a University of Maryland professor who is cited in the article, also argues that the activities of the accounts voting for Snyder "certainly do not look like they were generated by a human user.”

November 2023

Yahoo Finance Live – Nov. 29 – Clinical Professor of Finance David Kass joins a discussion on “Munger-Buffett Legacy Cannot be Easily Reproduced”: KASS: He brought that sort of a second opinion, so to speak, to Buffett. And the two of them just were certainly thinking on the same wavelength and together made just a team that I don't think could easily be reproduced. I've said before, there's only one Warren Buffett, and of course, there's only one Charlie Munger. And certainly, as a team, there was only that one Buffett-Munger team. But I think certainly going forward, Munger's input to the investment process at Berkshire will continue in terms of his principles… KASS: I think there's every reason in the world. I don't see Berkshire doing any worse, let's say, in the years ahead. Certainly, Berkshire has substantially outperformed the market over its 55-year history under Warren Buffett. In recent years, it's been tracking the S&P 500. But going forward, in Buffett's recent words, it's been built to last. I think it is well-diversified, growth opportunities. And then with Greg Abel coming in at some point when Warren is no longer there, I think the succession plan is in place, and the outlook is just as bright as it has ever been.

The Diamondback – Nov. 29 – UMD Students Find Community Through Ranked Undergraduate Entrepreneurship Opportunities” quotes Dingman Center Venture Programs and Operations Coordinator Alex Onufrak: This university’s business school hosts the Dingman Center for Entrepreneurship, which provides advising and holds an annual entrepreneurship pitch competition. [Onufrak said] the center’s accessibility to students helps create success among all entrepreneurs on campus. “We’re open to the entire campus, we engage every discipline, we help support ventures from [the] idea stage all the way to when they’re raising money.”

NPR – Nov. 28 – Clinical Professor of Finance David Kass comments in “Investor Charlie Munger, the Longtime Business Partner of Warren Buffett, has Died”: “They complemented each other in their approach to investments in a very nice way,” says David Kass, a finance professor at the University of Maryland. Munger was a “value investor,” who liked to buy stocks when a company's share price was low relative to its fundamental value. But he also believed in the power of trusted brands — and in valuing growth. Munger grew up in Omaha, Neb., not far from Buffett's childhood home. According to Kass, a local physician introduced them to each other, and "they hit it off immediately." Today, Buffett may be better known, but Kass says Munger played a big role in what was a really unique business partnership. Related: Germany’s Handelsblatt quotes Kass in “Buffett's companion Charlie Munger dies at the age of 99” followed by “What Charlie Munger's Death Means for Berkshire Shareholders.”

Wiley Online Library – Nov. 27 – “Advancing Scholarly‐practice and Theory Through Participatory Inquiry and Prospective Theorizing” features new research by Associate Professor Toby Egan, including: “Our current situation as researches and scholar-practitioners leads us to questions such as: ‘How might we access a broad and informed understanding of [Human Resource Development (HRD)]-related problems and key issues?’ ‘Who needs to be at the table for such investigations?’ and ‘How might we arrive at practical, good theory, including those aimed at our greatest challenges?’ We suggest that the future of impactful HRD research, theory and practice will involve (a) the renewal of HRD as a participatory endeavor and (b) the importance of theorizing that is forward-thinking and prospective…”

Daily Mail (UK) – Nov. 24 – “Don't Get Stung on Black Friday! Experts Reveal How to Spot if an Online Sale is REALLY a Good Deal – as Many Products were LESS Expensive Earlier in the Year” quotes Dean’s Professor of Marketing Jie Zhang: ‘A tactic which is used pretty widely by a lot of retailers involves raising the regular prices of a product so you can then advertise it as a deeper percentage discount,’ [Zhang] told DailyMail.com. ‘It really plays into that consumer psychology and makes shoppers feel like they are getting a really great deal. I would advise people to always be cautious of percentage discounts.’ …Zhang notes that a host of companies – both in store and online – are guilty of rapid price fluctuations around sales seasons. ‘Several big-name retailers have had legal cases against them on these kinds of issues,’ she said. ‘But online is like a wild west, there are a lot more no-name retailers and sellers to be wary of.’

Daily Caller News Foundation – Nov. 23 – “These Four Key Economic Indicators Paint A Grim Picture For 2024 “ quotes Dean's Professor of Finance Michael Faulkender: “The two indicators that are most troubling are that (1) consumer expectations are low — this is a problem because consumption is 65-70% of national output — and (2) tighter credit conditions since income has not kept up with inflation and many households have exhausted their pandemic savings,” [Faulkender] told the Daily Caller News Foundation. “Therefore, they are reliant on credit to maintain their current consumption levels. Both of these point towards a pullback in economic activity, consistent with the reduction in retail sales that we saw in October.” … Interest on the U.S.’ sovereign debt cost the government $659 billion in fiscal year 2023 and could increase even more in 2024, according to The Washington Post. The sum was larger than the $476 billion spent on interest in 2022 and the $352 billion spent in 2021. “Based on these recent outcomes, I would not be surprised if we were (right now) on the front end of a recession,” Faulkender told the DCNF.

Associated Press (via MSN) – Nov. 22 – “Black Friday is Almost Here. What to Know About the Holiday Sales Event’s History and Evolution” quotes Dean’s Professor of Marketing Jie Zhang, including: Jie Zhang, a professor of marketing and the Harvey Sanders Fellow of Retail Management at the University of Maryland’s Robert H. Smith School of Business, points to a 1951 mention of “Black Friday” in a New-York based trade publication — which noted that many workers called in sick the day after Thanksgiving in hopes of having a long holiday weekend.

GARP – Nov. 21 – Professor of the Practice Smith Enterprise Risk Consortium Director Clifford Rossi discusses trends, threats and opportunities in the commercial and residential real estate markets in a “Real Estate Risk in Volatile Times” podcast produced by the Global Association of Risk Professionals. … Related from GARP: Rossi was part of a recent expert panel for an “Emerging Risks in Global Real Estate” webinar.

Washington Post – Nov. 21 – A Common, Illegal Tactic Retailers Use to Lure Consumers quotes Dean's Professor of Marketing Jie Zhang: They “mark up the prices and then offer seemingly deep discounts to make the deals look more attractive,” said Jie Zhang, a professor of marketing at the University of Maryland. “This is a form of deceptive pricing.” It’s a tactic meant to trick shoppers into thinking they’re getting a better price than usual. This usually involves a retailer raising the price on a particular item — say a flat-screen TV — for a short period, only to mark it down to the original price while marketing it as a limited-time, steep discount. Sometimes it’s more brazen, involving products never actually listed at the full price and only appearing with a supposed markdown. The tactic is done “pretty often,” Zhang said, and “it’s hard for consumers to detect.” … Related: “‘It’s To Trick Us’: Shoppers Slam Target Over Alleged Fake Black Friday Prices” at Bored Panda (and similarly on other consumer-information blogs) quotes Zhang from the Washington Post article.

New York Times – Nov. 20 – Associate Professor of Management and Organization Evan Starr comments in a column on Sam Altman’s firing by OpenAI and subsequent hiring by Microsoft, “What Happens When a Founder Leaves”: A downside of noncompete agreements is that they put smart people such as Altman on ice, Evan Starr, an associate professor at the University of Maryland, told me. That is bad for innovation and, he said, offsets the benefit of increasing the security of investment.

Expansion Solutions Magazine – Nov. 20 – Tej Anand, academic director for Smith’s MS in Information Systems programs, comments in “Health Care Challenges, Solutions Cross Vast Spectrum”: “This complex ecosystem consolidation is driven by the desire of stakeholders to garner a bigger slice of the health care spending pie and increase their negotiating power and leverage,” said Anand. “Larger health systems get bigger by acquiring smaller players and in many regions of the country there is now a concentration of only one or two such systems to serve all the health care consumers in that region.” Stakeholders are also “seeking to vertically integrate, with payment and benefit administrators acquiring health systems and vice versa,” he said, pointing out that Optum Health, a subsidiary of United Healthcare, acquired physician practices across the country; and CVS Health acquired Caremark and Aetna. Stakeholders are “also placing bets on the most likely places where health care spending is likely to increase and racing to grow in those areas,” said Anand, noting that this trend also encompassed Walgreens acquiring VillageMD and Carecentrix; CVS Health acquiring Signify Health to complement its Minute Clinics; and Amazon acquiring PillPack and OneMedical.

Maryland Today – Nov. 20 – Dean’s Professor of Marketing Jie Zhang explains how low inventories could affect Black Friday and holiday shopping in “Weeks of Black Friday Sales? It’s Not Your Imagination.”

Expansion Solutions Magazine – Nov. 20 – Professor Emeritus Charles Olson comments in “Strong Oil, Gas Markets, Cleaner Coal in 2024”: “One trend is that there is much more oil, gas and coal available to the market than we knew of in the past―at least 10 years’ worth, according to Chevron,” [said Olson], and “100 years’ worth” of coal, “which is being replaced to a degree by hydrogen, which has become more available via the Inflation Reduction Act.” He also added that’s crucial information in regard to manufacturing steel, since coal is often used to make it, though that course is changing. “Cleveland-Cliffs,” for instance, “is more often using hydrogen instead of coal, because coal is dirty and hydrogen is clean,” said Olson. “I think this approach will catch on, because it’s economical and there is much pressure from environmentalists and society, in general, to operate in a more efficient, cleaner way.” But he doesn’t think coal will go away altogether. “It’s still dirty relative to gas, but it’s cleaner than it was. And we’ve had to use more coal in recent years due to the Russian-Ukraine conflict and the market in Europe.” The production processes for oil have also become much more efficient due to the use of fracking to get product out of the ground. “It used to cost the oil companies $50-$60 per barrel to break even,” he said, “but today, that number is $30 per barrel.” There has been similar progress with gas. The oil companies don’t have to drill as far down to harvest the crude oil due to fracking, “which saves time and money. Refineries are cheaper, too, because they have also increased efficiency,” Olson said.

WTOP – Nov. 17 – Associate Professor of Operations Management Yi Xu comments in “Your Thanksgiving Dinner Should Cost a Little Less This Year. Here’s Why”: [Xu] noted that’s the biggest reason why dinner will be about 4.5% cheaper, on average, this year. “We have had a good season for turkey farms. We don’t have significant bird flu, those kinds of things going on this year,” he said. “Also, things like eggs, those things are down as well … Some milk products, dairy products are down as well. Those are also important items for Thanksgiving dinner.” … But overall, what you’re seeing now might be the new normal for the next several years. “Food prices depend on a lot of things in addition to general inflation in the economy,” Xu said. According to Xu, supply and demand is influenced by a lot of things besides just disease. “Factors such as geopolitical issues, those will impact the supply of food in dramatic ways, just like oil. But I think in the long term, as long as the general inflation rate is stabilized, probably the food prices will stabilize as well.”

GARP – Nov. 17 – Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi, in his latest CRO Outlook column for the Global Association of Risk Professionals, writes: Operational Risk Capital Proposal: Time to Hit the Pause Button.” Summary: The so-called Basel III Endgame could lead to significant amendments in operational loss estimation at big banks. But these recommended regulatory revisions could have unintended consequences, and all parties involved would be wise to reconsider B3E’s operational risk impact before pushing forward.

International Business Times – Nov. 17 – “Why High-Interest Rates Have Not Pushed The U.S Economy Into A Recession Yet”: quotes Clinical Professor of Finance David Kass: “The primary reasons high-interest rates have not yet pushed the economy into a recession are the historically low unemployment rate of 3.9%, David I Kass, Clinical Professor of Finance at the University of Maryland, Robert H. Smith School of Business, told the International Business Times. Professor Kass sees another set of macroeconomic factors that have helped American households keep on spending money, like a shallow average home mortgage rate of 3.8%; consumer balance sheets with large cash balances from the recent monetary and fiscal stimulus in response to the pandemic; relatively little consumer debt as compared to the Great Recession (2007-09); and the Consumer Price Index (CPI) and the Core Personal Consumption Expenditures Index (less food and energy) currently at 3.7% down substantially from 9.1% in June 2022 (CPI). He's also pointing out that previous recessions resulted from the Federal Funds rate being increased to much higher levels than the current 5 1/4% – 5 1/2%.

Phys.org – Nov. 16 – “Study Suggests Corporate Culture Thwarts Efforts to Hire Innovative Candidates” covers recently published findings co-authored by Associate Professor of Management and Organization Waverly Ding, Dean’s Chair in Organizational Behavior Debra Shapiro and Smith PhD graduate Hyeun J. Lee, now at the University of Toronto, including: Despite the rhetoric from CEOs about the importance of recruiting for innovation, entrepreneurs face an established hiring bias. According to a recent study in the Strategic Entrepreneurship Journal, recruiters are 23 to 29% less likely to rank a former startup founder as a top candidate against their corporate executive peers. The authors demonstrated that recruiter characteristics can have a lot to do mitigating this bias, as does the size of a company.

Carrier Management Magazine – Nov. 16 – Smith experts' insights are featured separately in “How Employees Can Help Cut ‘Quiet Cutting’ Out of Their Careers” (Professor of the Practice in Systems Thinking and Design Gerald Suarez) and “Analyzing the New Workday Dead Zone” (Assistant Dean of Experiential Learning Nicole Coomber).

FIND MBA – Nov. 15 – Graduate career consultant Adam Shpall comments in “Online MBA Networking: Unlocking Digital Connections for Career Success”: “Connecting online and arranging virtual meetings has the advantage of being able to reach a broader audience and is more efficient than meeting people in person,” [says Shpall]. “While many would say that nothing replaces face to face in-person networking, connecting online has become significantly more commonplace and if done effectively, will have a lasting impact.” Additionally, he points out that over the past several years, the degree of online networking opportunities has exploded, many lending themselves to the virtual environment. “Many programs which we used to offer in-person are now being conducted remotely,” Shpall says. “These virtual adaptations have the potential to reach a much larger audience of students, alumni and employers – and they are also easier to orchestrate and more cost effective. ”One example of an event the Smith School now more regularly conducts online is mock interviews in which alumni from companies coach current Online MBA students, including those headquartered far away from the campus in Maryland, such as Amazon and Microsoft on the US west coast…Indeed, the Smith School’s Shpall says that networking as an Online MBA graduate has enumerable benefits for one’s career. “When you go through a rigorous MBA program, you build strong bonds with classmates who are all going through the same experience as you,” he concludes. “These classmates come to learn to trust you in terms of the quality of work you can deliver, and these connections can be maintained for a lifetime.”

Maryland Today – Nov. 14 – “Congrats! You’ve Been Elected. Now What?” quotes Senior Faculty Specialist Sarah Wolek: The online toolkit offers guidance on building an inclusive team, encouraging public engagement, leading productive committee meetings, and creating a website and transition report. [Wolek] had a similar experience after being appointed last spring to represent District 16 in Maryland’s House of Delegates. “You have so many things that are coming at you, from relationship building and connecting with stakeholders, to learning the ropes of the institution you are going to be a part of,” she said. “You may be walking into an institution that has a storied history, culture and way of working that you’re not used to, and so as an outsider coming in, you're not only having to learn the work, you're also learning how the work is done so you can be most effective.”

International Business Times – Nov. 12 – “Stocks Roar Back Led By Technology Shares – Will Moody's And Inflation Spoil The Rally?” quotes Clinical Professor of Finance David Kass: “The Federal Reserve will be paying careful attention to the upcoming Producer Price Index and Consumer Price Index reports next week, as well as the Personal Expenditure Index, which will be released on November 30,” David Kass, clinical professor of finance at the University of Maryland Robert H. Smith School of Business, told IBT. “With the current unemployment rate of only 3.9%, the Federal Funds rate of 5 1/4%-5 1/2% may be increased by 1/4% at the next FOMC meeting on Dec. 12-13, 2023,” he added. “If these measures of inflation indicate that little or no progress is being made in reducing the rate of price increases.”

Daily Caller News Foundation – Nov. 11 – “Americans Are Increasingly Failing To Make Debt Payments AsInflation Continues To Put ‘Strain On Consumers’” quotes Dean's Professor of Finance Michael Faulkender: “Consumers pay for things three ways: income, savings and credit,” [Faulkender] told the DCNF. “We know that wages have not kept up with inflation over the last 2.5 years and that many households have spent all of the savings accumulated during the pandemic. Therefore, in order to maintain their spending levels, they have been adding to their credit card balances, such that aggregate balances have now eclipsed $1 trillion. Rising credit card debt in a rising interest rate environment with incomes not keeping pace will put more and more households into financial difficulty, resulting in delinquencies.”

IEDP – Nov 10 – “How Team Member Selection Goes Wrong”: (New Study Reveals How Perceptions of Competence Versus Interpersonal Skills Can be Inaccurately Judged When Choosing Team Members) features research by Associate Professor of Management and Organization Rellie Derfler-Rozin, with co-authors including Smith PhD graduate Hyunsun Park, and includes: The study’s key finding is that there is a marked difference in the accuracy of team members’ perceptions of a candidate’s competence and their perception of that person’s interpersonal skills. The competence aspect relates to task-related performance and providing task-related ideas and suggestions. The interpersonal performance in the team relates to behaviors aimed at supporting the team’s social and collaborative dynamics. Both matter and should be balanced when decisions are taken.

Maryland Today – Nov. 10 – Frank Goertner, director of federal and veteran affairs and director of the Graduate Program in Technology Management, and Dingman Center for Entrepreneurship Managing Director Michael Hoffmeyer are among veterans at UMD reflecting on their military service and how they carry it forward in their academic roles in “An Enduring Call to Serve.”

Harvard Business Review – Nov. 8 – Management and Organization professors Trevor Foulk and Vijaya Venkataramani co-author a summary of their recent research in “How Creative Collaboration Can Strengthen Relationships.” Summary: We know that creativity can lead to better products or services. But can it also help us get along with each other at work? A research study set out to answer this question and found that, indeed, when people are put in a position to be creative, they tend to view others more fondly because they recollect each person’s unique contributions to the process. This may only work in situations where psychological safety is present, however, as unsafe environments can lead to negative group outcomes and perceptions.

Entrepreneur – Nov. 7 – “Top 50 Best Undergraduate Programs for Entrepreneurs in 2024” highlights Smith’s Dingman Center for Entrepreneurship: Dingman Center: This award-winning hub, established in 1985, creates an inclusive environment to educate, empower and equip students with skills to be an entrepreneur and provides the resources to make their ideas a reality.

Business Insider - Nov. 6 - "Warren Buffett Swapped Cash for Bonds, Sold a Chunk of Chevron, and Sped up Buybacks in October. Here are 3 Tasty Nuggets From Berkshire Hathaway's Earnings.” quotes Clinical Professor of Finance David Kass: Berkshire previously disclosed that it sold HP stock worth about $500 million in September, which explains some of the cost-base decline in consumer products. As for the commercial segment, David Kass, a finance professor and Buffett blogger, suggested on X that Berkshire may have sold its $800 million stake in General Motors. The release of Berkshire's quarterly stock-portfolio update in mid-November will confirm or refute his suspicions.

TalkMarkets - Nov. 4 - Clinical Professor of Finance David Kass gives “5 Highlights Of Berkshire Hathaway’s 2023 Third Quarter Earnings Report” and the “2023 Percentage Returns To 5 Largest Stocks” (for Nov. 4).

Fox 5 DC - Nov. 3 - Accounting lecturer Samuel Handwerger discusses the Smith School’s Justice for Fraud Victims program and its collaboration with Prince George’s County law enforcement in "UMD Business Fraud Prevention Seminar Aims to Curb Online Financial Crimes.”

Fox Business - Nov. 1 - Dean’s Professor of Finance Michael Faulkender discusses the economy and economic policy in ‘Biden and Powell Differ on U.S. Economy’ Evening Edit segment, including: “…You’ve trapped people into renting for potentially the foreseeable future, because the price of houses hasn’t really moved all that much but interest rates have more than doubled. The result is that you have people unable to make the kinds of monthly payments. So instead of building equity and starting homeownership, they’re staying in rental properties for a much longer time period, and [President] Biden doesn’t want you to take that into account at all…” … Related: Faulkender comments in Axios’ “‘America First’ buzzsaw for the IRA,” including: Expect IRA changes to be a Day 1 issue, said Faulkender, the [America First Policy] institute's chief economist. "We are going to review every rule, every notice, everything the administration has done in its implementation of that statute…”

October 2023

Maryland Daily Record - Oct. 31 - “UMD Smith School, Montgomery College Launch Pathway to Business Analytics Master’s Degree Program” announces: a ‘2+2+1’ track structured for students to complete the master's portion in one year, following two years each at the associate and undergraduate levels through which master's level credits are accumulated… Related coverage includes Yahoo Finance, which quotes Professor of the Practice and MS in Business Analytics Academic Director Suresh Acharya: “We took a very market-driven approach,” says Acharya, noting (according to Coursera-reported U.S. Bureau of Labor Statistics data) that business analyst jobs – collectively with those for management analysts and operations analysts – are on track for growth up to 25% by 2030. Much of this growth, he adds, is expected in the Washington, D.C. area, including Montgomery County.

The Economic Innovation Group - Oct. 31 - Associate Professor of Management and Organization Evan Starr produces a research brief “Noncompete Clauses: A Policymaker’s Guide through the Key Questions and Evidence.” Introduction: In the wake of growing anecdotal and empirical evidence, the centuries-old debate over how to regulate noncompete clauses has hastened towards a contentious resolution: ban them. These post-employment restrictions, known simply as “noncompetes,” prohibit departing workers from starting or joining a competing firm for a period of time and often in a circumscribed geographic area. Historically, most U.S. states have enforced noncompetes on a case-by-case basis, seeking to balance the harms to workers and society that stem from direct restraints on competition with the firm’s need to protect its legitimate business interests. The status quo, however, is on the verge of significant change. In 2023, the Federal Trade Commission proposed to ban noncompetes nationwide; for the first time in over a century, a state (Minnesota) has passed a ban on noncompetes, while another state’s proposed ban awaits the governor’s signature (New York); and the general counsel for the National Labor Relations Board declared that noncompetes violate the National Labor Relations Act. This recent policy action follows the many state policies passed since 2015 which have banned noncompetes for physicians, tech workers, and workers earning below specified thresholds. Why did this historic debate over noncompetes move so abruptly towards banning them? Alongside increased media scrutiny and hard-to-stomach anecdotes of noncompetes unnecessarily derailing the lives of workers, new empirical evidence on the prevalence and harms of noncompetes and their enforceability has tilted the scales.

The Mortgage Reports – Oct. 30 – Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi contributes to “Housing Market Predictions: The Real Estate Forecast for the Next 5 Years,” including: “…Home prices have remained well above long-term fundamentals in many metro areas, with some areas seeing further pressure from pandemic-era demographic shifts that have occurred in certain high-cost densely populated areas to other markets in Texas, Tennessee, and Florida, for example. Financially vulnerable segments, such as low- and moderate-income and minority borrowers, are most affected by these headwinds. Little relief on either supply or mortgage rates is expected until inflation moves back to the Fed’s 2% target. Mortgage originators are under severe pressure financially with non-depository mortgage lenders most vulnerable. The mortgage market is experiencing a dramatic downturn with refinances at historically low levels, which if it continues, only puts a further drag on the overall economy in 2024 that will face several risks next year.”

Baltimore Banner – Oct. 30 – “New Grocery Store to Fill Void Left by Price Rite Closure in Southwest Baltimore” quotes Associate Professor of Marketing Bobby Zhou: “For a local grocery store, it cannot be opened in a neighborhood where the number of households is really small. If it’s really small, that’s just not going to be economically viable.”

Barron’s – Oct. 27 – In a “To the Editor” submission, Clinical Professor of Finance David Kass gives “The Case for Spinoffs”: Regarding “Big-Name Stock Spinoffs Are Going Mainstream. Here’s Why.” (The Economy, Oct. 18): In addition to the tax-free nature of these transactions to both the parent corporation and the recipient shareholders, this restructuring permits the spun-off company to make its own managerial decisions without having to go up a corporate ladder for time-delayed approvals. Further, these companies’ managers would probably have their interests closely aligned with shareholders through substantial stock ownership and stock options. Spinoffs, on average, have outperformed the market, including several associated with John Malone’s Liberty Media. One outstanding performer has been Chipotle Mexican Grill, which was spun off by McDonald’s in January 2006. Its compounded rate of return has been 28% a year, which has handily outperformed McDonald’s return of 15% a year over the past 17 years.

Maryland Today – Oct. 27 – Professor of Marketing Jie Zhang explains “shrinkflation” in a Halloween context, via “Honey, They Shrunk the Candy.”

TechTarget – Oct. 25 – Information Systems professor Balaji Padmanabhan contributes to “The Human Problem with Generative AI in HR,” including: But there will be pitfalls to HR's adoption of AI, including the risk of putting too much trust in AI recommendations, [said Padmanabhan]. The complacency risk “will never go away,” Padmanabhan said. “And once the comfort level increases, that risk may actually increase in time.” … One of the initial generative AI applications is writing job descriptions. Here, Padmanabhan can see how complacency might take over. He said employees might stop checking future job description outputs once the AI system correctly constructs the first 10 job descriptions. Padmanabhan said other generative AI risks include the “huge problem” of incorrect answers. LLMs don't understand the underlying knowledge in their data; instead, they learn how to connect words. “They're learning the structure of language, which is what they’re meant to do,” he said. Padmanabhan said generative AI needs verification systems to double-check any outputs. One model might be verification as a service, where humans with expertise in benefits, for instance, review an LLM’s responses.

Fortune – Oct. 25 – Research co-authored by Associate Professor of Management and Organization Evan Starr is a focus of “A Company’s Pro-choice Stance on Abortion is the Equivalent of a 12% Wage Increase, New Research into Job Seekers’ Interest Shows”: In We’ve Got You Covered: Employer and Employee Responses to Dobbs v. Jackson, my coauthors, Pawel Adrjan, Svenja Gudell, Allison Shrivastava, Jason Sockin, Evan Starr and I provide the first evidence on the impacts of a company making a public announcement to cover out-of-state abortion care on recruitment of new workers and job satisfaction amongst existing employees. The results we uncover are based on the analysis of data from Indeed and Glassdoor, consisting of 3 billion job seekers’ clicks on U.S. job postings and 6.5 million company reviews.

HousingWire – Oct. 25 – Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi writes “How to Avert an Impending Homeowners Insurance Crisis” (timed with the FHFA’s property insurance symposium in November) including: To ensure the vitality of both homeowners insurance and mortgage markets, a combined private-public insurance solution at a national level is required to distribute natural disaster risk more efficiently, thereby lowering the costs and access to insurance and helping reduce pressures from a housing affordability crisis already in full bloom. This could be attained by creating a new government-sponsored enterprise (GSE) under the regulatory purview of the Federal Housing Finance Agency (FHFA) that already regulates Fannie Mae and Freddie Mac. The existing National Flood Insurance Program (NFIP) would be restructured into this new hazard insurance GSE.

MIT Sloan Management Review – Oct. 25 – Dean’s Professor of Management Subra Tangirala co-authors “There Actually Is an ‘I’ in Team,” covering his research, with Smith PhD graduates Elad Scherf and Alex Ning Li. Summary: Research shows that when dealing with fundamental change, teams that retrain individuals before focusing on collaboration have better results.

AACSB Insights – Oct. 24 – People and Places includes (scroll down): The University of Maryland’s Robert H. Smith School of Business in College Park has launched a collaboration with Montgomery College, a community college in Rockville, Maryland. The partnership provides a pathway for students in Montgomery’s new Associate of Arts in Business Analytics program to earn a Master of Science in Business Analytics (MSBA) from the Smith School. Through the 2+2+1 track, students can spend two years at Montgomery, two years in the undergraduate program at Smith School, and one year completing their MSBA degrees. Students practice using Excel, R, Tableau, and SQL; learn to summarize, visualize, and analyze data; study ethical issues in data management; and take part in project-based capstone projects. … Related coverage via “UMD Smith, Montgomery College Initiate Pathway to a Business Analytics Masters” at Science Newsnet, Yahoo Finance, others.

Baltimore Banner – Oct. 23 – “Eddie’s of Roland Park Thrives as a Family Business Even as Other Grocers Close” quotes Associate Professor of Marketing Bobby Zhou: Local grocers have to be innovative in their appeal and approaches to keep customers, said one marketing expert. Focusing on hyperlocalized tastes is one good strategy, said Bobby Zhou, associate professor of marketing with the Robert H. Smith Business School at the University of Maryland. Zhou added that local grocery stores can also build personal relationships with their customers to stand out from larger chains. “When you go to Walmart and Target, consumers can hardly relate to the employees there, but if you buy stuff from people who are actually from the community, the psychological distance is automatically shortened. You feel good about supporting the community,” Zhou said.

WTOP – Oct. 21 – “Businesses are the Biggest Targets of Financial Crimes. Help is Being Offered in Prince George’s Co.” references the Nov. 3 Business Fraud Prevention Seminar at the College Park Marriott presented by Smith’s Justice for Fraud Victims and Prince George’s County Police Financial Crimes Unit and free with advance registration.

International Business Times – Oct. 19 – Clinical Professor of Finance David Kass comments in “What P&G Price Hikes Tell About Basic Consumer Goods Inflation And US Economy”: P&G's solid financial performance is a story of brand strength for must-have products and a resilient economy driven by robust consumer demand. “P&G has been able to raise prices as a result of both its pricing power on its well-established brands that are perceived to be of high quality, as well as the financial strength of consumers,” David I Kass, a finance professor at the University of Maryland's Robert H. Smith School of Business, told IBT. “As a result of the recent monetary and fiscal stimulus in response to the pandemic. Consumers with higher than average incomes have been relatively price insensitive and generally have had an inelastic demand for household goods.” Kass doesn't expect the tailwind from robust spending to continue, as consumers run out of accumulated savings and the government stimulus programs are depleted. “Consumers are likely to become more price sensitive, which should lead to the substitution of lower cost goods and, therefore, a reduction in goods inflation,” he added.

The National Desk via WJLA – Oct. 17 – “Fearing AI-induced Financial Crisis, SEC Chair Pushes for Guardrails” quotes Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi: While Gensler framed the likelihood of a financial crisis as a certainty, that prediction is not universal. A broad financial crisis based on predictive models would require many of the country’s largest banks to lack human oversight of them and move forward without questioning the generated results. “I can't recall that any model that I'm aware of that has actually ever precipitated a financial crisis. I'm fond of saying that all models are wrong, some are useful, and they're only meant to be guideposts,” [said Rossi] who also worked in high levels of risk management for several large banks. “I can't imagine the industry just blindly implementing models and not having human intervention or overrides on those models.” The Consumer Financial Protection Bureau has cited issues about flaws in data sets to make recommendations in automated tenant screening programs. “The issue there is that there's a lack of transparency and explainability associated with these models, and that creates or invites a huge potential for fair lending issues,” Rossi said.

Psychology Today – Oct. 17 – Associate Professor of Management and Organization Trevor Foulk writes “Halloween Special: Why Do We Find Clowns So Creepy?

Financial Economists Roundtable – Oct. 16 – Dean's Chaired Professor Lemma Senbet co-authors the newly released 2022 Statement of the FER, “The Controversy Over Proxy Voting: The Role of Asset Managers and Proxy Advisors.” From the summary: This discussion concludes with a set of policy recommendations, such as: (a) requiring disclosure of advisory firms’ other businesses, (b) increasing the transparency of the business model of proxy advisory firms, particularly around the rationale for their general guidelines for voting recommendations, (c) ensuring that the regulatory burden on proxy advisory firms does not discourage entry, and (d) increasing the regulatory oversight of the voting process with a view to incorporating investor preferences in proxy voting.

Business a.m. – Oct. 16 – “Surviving the Attention Economy: How to Keep Audiences Engaged” features research co-authored by Dean’s Professor of Marketing Wendy Moe and includes: Why do some articles captivate readers and encourage them to keep reading, while others make them lose interest after just a few sentences? And how does the content (i.e., the language used) shape whether audiences stay engaged? This study addresses these questions by utilizing natural language processing of over 600,000 reading sessions from 35,000 pieces of content, combined with controlled experiments.

WYPR Radio – Oct. 16 – Assistant Professor of Information Systems Lauren Rhue discusses her research as it applies to ‘Bias and AI Technology’ (16:35-25:37).

Daily Caller News Foundation (via MSN) – Oct. 15 – “Runaway Inflation ‘Unlikely’ To Be Reeled In Under Biden Administration, Experts Say” quotes Dean’s Professor of Finance Michael Faulkender, including: “We must continue to remember that it is not only monetary policy that determines inflation, [Faulkender told] the DCNF. “It is also fiscal and regulatory policy. Yes, monetary policy can get us back to 2% if the Fed keeps raising interest rates high enough. The problem is that the Biden Administration keeps pouring gasoline on the inflation fire by running $2 trillion deficits while imposing costly regulations that take supply offline.”

GARP – Oct. 13 – Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi writes, for his latest CRO Outlook column, “How to Reduce Bank Failures: A Novel Approach. Summary: “Poor risk governance, culture and infrastructure have been responsible for many financial meltdowns, including this year’s SVB and Signature Bank fiascoes. Regulators keep trying to fix this problem by increasing capital requirements, but there is a better solution: a quality score that assesses the effectiveness of banks’ risk management.”

Poets & Quants – Oct. 13 – “The Favorite Professors Of Executive MBAs” excerpts Smith executive MBA grad Glen Martin’s 2023 Best & Brightest Executive MBAs profile: “At the Robert H. Smith School of Business, I had the pleasure of learning from some truly extraordinary professors. However, there was one professor who stood out to me: Dr. Cristian Dezsö and his macroeconomics class. His enthusiasm and humor made the class so enjoyable; not to mention his impressive professional insights on domestic and international economics. He had a unique ability to explain complex ideas in simple terms, all while tying in the bigger picture and showing us how it affects our society.”

Bloomberg Businessweek – Oct. 11 “Business Schools Seek to Build Entrepreneurs with New Programs” quotes Dingman Center Managing Director Michael Hoffmeyer and MBA graduate Jasmine Snead Ferguson, including: “As the market in terms of demand for MBA broadly has declined in recent years, I think business schools have become much less complacent and much more competitive in terms of really understanding, ‘What are the  needs in the market?’,” [says Hoffmeyer]. … Jasmine Snead Ferguson had launched a business, Aurora Tights, before she started as a full-time MBA student at Maryland’s Smith school in 2019… At Smith, much of her coursework covered facets starting and running a business, specifically as a woman of color. And as part of Ladies First, an initiative to increase the number of women involved in entrepreneurship at the University of Maryland, Ferguson says she often received meaningful advice from a mentor, especially about how to frame seeming disadvantages as opportunities, when meeting with prospective funders and more.

Washington Post – Oct. 10 – The Fall Guide to Graduate and Executive Education extensively quotes Dean Prabhudev Konana including: Universities Meet Demand as Adoption of AI Accelerates,” including: “AI systems, particularly Generative AI, have evolved fast and will get better and more ubiquitous,” [said Konana].“We should embrace, not resist, AI, and be aware of the strengths, weaknesses, dangers and opportunities.” … “We encourage faculty to embrace generative AI for its pedagogical value,” Konana said. “Students must learn to use AI to drive their creativity and recognize AI limitations on societal and ethical issues.” … For example, Konana said, students should learn to use ChatGPT for simple, low-level text while focusing on higher-level thinking—as they’re likely to do in their jobs someday. “You don’t use exactly what ChatGPT gives you; you use it like scaffolding and create on top of it. Any generative AI produces content based on past work,” he said. “It is not forward-looking. Students must learn to be forward thinkers, recognize flaws in AI output, and understand limitations.” … At the University of Maryland-Smith, “We’re evolving our curriculum to address AI in the context of marketing, supply chain, finance, problem solving, and adoption strategy—including risk and algorithm development ethics,” Konana said. “To accelerate this, we hired information systems professor Balaji Padmanabhan, who specializes in contextual AI and designed one of the first technology-focused MBA electives while at the Wharton School.”

Washington Post – Oct. 7 – “Holiday Shopping Season is Here, at Least According to Retailers” quotes Professor of Marketing Jie Zhang: The start of the holiday shopping season has been inching back for years, long abrading the novelty of Black Friday, which got its name because the rush of sales the day after Thanksgiving could change the retailers’ books from red to black. Powerful retailers like Amazon usually set the bar for early promotions, forcing competitors to follow, [said Zhang]. Bookshop.org, an online platform for independent book stores, is offering free shipping to directly compete with Prime Day. And Amazon’s July Prime Day event coincided with big sales from Target and Walmart, boosting online retail sales by 0.6 percent, according to the U.S. Census Bureau. “It really is this vicious cycle,” Zhang said. “Everybody tries to beat their competitors, be the first to be on the market for holiday sales … and it just pushed everyone to be earlier and earlier.”

Wall Street Journal – Oct. 6 – Dean Prabhudev Konana describes Smith’s strategy to answer a ‘nationwide shortage of accountants’: Professors even waved students away from accounting, warning students that classes would be very rigorous. “Many students subsequently flocked to marketing and supply-chain management, said Prabhudev Konana, the dean of the University of Maryland’s business school, where the number of accounting majors fell by about 30% since 2018. Konana is now trying to integrate recently buzzy issues such as blockchain and cryptocurrency into the curriculum to broaden accounting’s appeal again. “Rather than start to teach about debits and credits in the very first class, get them excited,” he said.

Reuters – Oct. 6 – “US Would Struggle to Block Exxon's Politically Unpopular Megadeal” quotes Clinical Professor of Finance David Kass: It could not be learned how long Exxon and Pioneer plan to give themselves to complete their deal or whether the latter will negotiate a hefty break-up fee to allow for the possibility that regulators thwart their tie-up. David Kass, a finance professor at the University of Maryland and former FTC antitrust economist, said regulators would have to show they have conducted a thorough analysis of Exxon's deal for Pioneer given the key role the Permian basin plays in energy production. “(The basin) is a very significant factor in this case,” he said.

DataQuest – Oct. 4 – “The Poison is Not in a Dart. It’s in the AC Duct” quotes EY Alumni Professor of Managerial Accounting Lawrence Gordon: Data poisoning usually refers to situations where the training data used in ML models is intentionally corrupted by a hacker, if we see it from the gaze of Cybersecurity expert Prof. Lawrence A. Gordon, EY Alumni Professor of Managerial Accounting and Information Assurance, Robert H. Smith School of Business, University of Maryland. “Thus, in terms of the CIA (Confidentiality, Integrity, and Availability) triad considered in cybersecurity, data poisoning is a form of data Integrity cyber breach. Given the growing importance of ML models (which fall under the umbrella of AI), it seems (at least to me) that data poisoning should be a serious concern to organizations.”

Fox Business – Oct. 3 – Dean’s Professor of Finance Michael Faulkender explains implications of U.S. Treasury bond prices declining (beginning at 38-minute mark), via the Kudlow show: “[Further contributing] to the decline in bond prices today and the sharp increase in yields was the JOLTS (Job Openings and Labor Turnover Survey) report that came out this morning. We were not expecting an additional million job openings… and that really spooked the market because you have a Federal Reserve that believes that a strong job market means inflation and therefore increases the likelihood of future rate increases beyond what we were thinking about a week ago, and so that’s sending bond yields much higher, anticipating the Fed’s going to keep interest rates higher for longer. That’s going to destroy [home] affordability even more because the 30-year mortgage interest rate is set off of the 10-year bond yield and so expectations of more interest rate increases by the Fed are going to raise interest rates on mortgages and that’s going to send affordability to even worse levels…” Related: Faulkender discusses “Effects of Government Spending” via TBN Centerpoint (10/4).

September 2023

TalkMarkets – Sept. 30 – Clinical Professor of Finance David Kass gives the “2023 Percentage Returns of The 5 Largest Stocks.”

Baltimore Sun – Sept. 29 – Accounting lecturer Samuel Handwerger explains LLCs and shell companies as part of “As the Archdiocese of Baltimore Faces Potential Bankruptcy, Untangling its Assets Proves Murky,” including: [Handwerger] said the practice of creating corporations to shelter assets is a “typical” strategy in the business world, and is practiced by for-profit and nonprofit companies alike. There is a difference between control of an asset and ownership of one, Handwerger said. Just because one person controls something doesn’t necessarily mean they own it — even if they have the final say over whether it can be sold. Such thin degrees of separation are legal, so long as the corporations actually function independently. If there’s commingling of assets, like bank accounts for the parish with the larger archdiocese, then it’s possible a judge could determine the assets aren’t in fact separate. “It’s unfortunate for the victims,” Handwerger said. “There are corporate formalities in order to keep that shell strong and protect those assets, and my suspicion is [the Baltimore diocese] probably did that.”

Daily Caller News Foundation – Sept. 28 – “Mortgage Rates Spike To 22-Year High As Houses Become Increasingly Unaffordable” quotes Dean’s Professor of Finance Michael Faulkender: “When the President[Biden] took office, the average interest rate on a 30-year fixed rate mortgage was approximately 2.7%,” [Faulkender] told the Daily Caller News Foundation. “Such a dramatic increase in house payments has not been accompanied by anywhere near that increase in paychecks. Over the time since inauguration day, real wages have declined approximately three percent, meaning an hour of working results in three percent less an American worker can purchase than just 2.5 years ago.”

Science Newsnet – Sept. 28 – In “How a Repatriation Tax Challenge Before SCOTUS Could Upend the Tax Code,” Accounting Lecturer Samuel Handwerger describes implications of Moore v. United States, a case before the Supreme Court that challenges the Mandatory Repatriation Tax provision of the 2017 Tax Cuts and Jobs Act.

Almanac – Sept. 26 – “Albert S. “Pete” Kyle: Wharton-Jacobs Levy Prize” documents Smith’s Kyle, Charles E. Smith Chair Professor of Finance, accepting the Wharton-Jacobs Levy Prize for his research on market microstructure, on Sept. 22, 2023, in New York.

Washington Post – Sept. 25 – “Their Podcast is in Trouble. A Biden-led Crackdown May Save Them” references research by Associate Professor of Management and Organization Evan Starr to add context to how a noncompete clause in a contract for two former sports-talk radio hosts could test new National Labor Relations Board guidance: Roughly 30 million workers collectively lose as much as $300 billion a year in wages because of noncompete agreements, according to the Federal Trade Commission. (The FTC has proposed its own ban on noncompete agreements, but it is not due out until next year and is likely to face immediate legal challenge.) Evan Starr, a University of Maryland economist, has found that as much as 18 percent of the labor market is covered by a noncompete agreement.

WalletHub Expert Opinions – Sept. 22 – Accounting Lecturer Samuel Handwerger, in essay form, gives “Best Student Credit Cards” advice.

Science Newsnet – Sept. 22 – Clinical Professor and Associate Area Chair of Marketing Mary Beth Furst describes “Why the UFC-WWE Merger is a One-Two Marketing Punch.”

Harvard Business Review – Sept. 21 – Dean’s Professor of Marketing Rebecca Ratner co-authors “Research: Consumers Choose Shared Experiences Over Quality Ones.”

International Business Times – Sept. 21 – Clinical Professor of Finance David Kass comments on recent Fed-related developments in “Stocks, Bonds, And Oil Under Pressure from Massive Headwinds”: David I. Kass, Clinical Professor of Finance at University of Maryland Robert H. Smith School of Business, provides further insight into the recent FOMC decision. “Although the FOMC voted 12-0 to maintain the target range for the federal funds rate at 5-1/4 to 5-1/2 percent as expected, its statement (“inflation remains elevated”) and Chair Powell's subsequent press conference was hawkish in tone,” he told IBT. “The quarterly economic projections of Federal Reserve Board members and Federal Reserve Bank presidents revealed that there was likely one more 1/4 percent rate increase this year and only two 1/4 percent rate cuts in 2024.”

HHS/Stockholm School of Economics – Sept. 21 – “European Quant Marketing Workshop” previews the next-day “Digital Customer Engagement” presentation by Dean’s Professor of Marketing Wendy Moe, including: In this workshop, Professor Wendy Moe will provide an overview of how metrics and models of customer engagement have evolved. She will then discuss recent research that examines how certain linguistic features affect consumers' engagement with content.

TechXplore – Sept. 21 – “New AI-Powered Analytical Model Tracks Baseball Players' Path to the Big Show” describes an analytical model from Associate Clinical Professor of Information Systems Adam Lee and graduate student Chung-Hao Lee that could help teams predict the likelihood of prospects reaching the majors. Republished from Maryland Today.

Fox Business – Sept. 20 – Dean’s Professor of Finance Michael Faulkender discusses the Federal Reserve pausing an interest rate hike and the potential federal government shutdown in “The Fed has a lot of Work Cut Out for Itself.”

The Messenger – Sept. 20 – “1 in 5 Americans Willing to Go Into Debt for the New iPhone 15, Survey Finds” quotes Professor of Marketing Jie Zhang: “Smartphones have become an essential tool for most people's everyday lives. They are also indispensable for how we stay connected with others and express ourselves to the public,” [Zhang] told WalletHub. “Not surprisingly, so many people feel the need to get the latest and greatest phones, even if they have to get into debt for it.”

Seeking Alpha – Sept. 20 – “Coca-Cola: Economic Castle Continues to Grow with $106.1B in Brand Value” quotes Clinical Professor of Finance David Kass’ blog notes on organizing a Smith-student-group visit with Warren Buffett in 2013: Based on these numbers, it is unsurprising that Coca-Cola has been able to maintain its robust economic castle, otherwise known as moat, with a leading market share of 43.7% in the global non-alcoholic beverage sales, as similarly expounded by Warren Buffett in 2013: I came up with this term 40+ years ago because in capitalism, you have these economic castles. You need 2 things – a moat around the castle, and you need a knight in the castle who is trying to widen the moat around the castle. How did Coca-Cola build their moat? They deepened the thought in people’s minds that Coca-Cola is where happiness is. The moat is what’s in your mind. (Professor David Kass, University of Maryland).

NSS Magazine (Italy) – Sept. 19 – “Why is Solo Dining Becoming More and More Complicated?” references extensively Dean’s Professor of Marketing Rebecca Ratner’s “Inhibited from Bowling Alone” research, including: The trend of bars and restaurants turning away solo patrons – a practice noted and criticized on social media as well – runs the risk of further discouraging people from going out and doing things alone. This is because the habit of giving up on something just because one is alone is already quite prevalent. [Ratner] explained to The Washington Post that people tend to believe they have less fun when alone, underestimating how enjoyable an experience going to a museum, theater, cinema, or a restaurant alone could be. In her study titled "Inhibited from Bowling Alone," conducted with marketing professor Rebecca Hamilton, Ratner found that people think they have less fun when alone, but in reality, this is not the case…

Yahoo Finance – Sept. 19 – “Business Fraud Prevention Seminar Forthcoming from UMD, Prince George's County” includes: The (Nov. 3) seminar will explore the latest financial fraud tactics against businesses and practical counter methods, says JFV director and Smith Accounting and Information Assurance Lecturer Samuel Handwerger. “The digital age is fueling financial crimes against the business community in several ways.”

U.S. News & World Report – Sept. 18 – “US News Best Colleges” shows UMD rising in the business category (as reported by Maryland Today): to 21st overall, and No. 11 among public institutions, improving in four top-25 specialties:

  • Entrepreneurship: No. 21 overall; No. 9 among publics
  • Management information systems: No. 6 overall, No. 5 among publics
  • Management: No. 20 overall, No. 13 among publics
  • Supply chain management/Logistics: No. 14 overall, No. 11 among publics

Pensions & Investments – Sept. 15 – “University of Maryland Finance Professor Wins Wharton-Jacobs Levy Prize” details Albert “Pete” Kyle’s selection for the prestigious honor for his research on market microstructure, based on his 1985 Econometrica paper, “Continuous Auctions and Insider Trading.”

Wiley Online Library – Sept. 17 – “Option Momentum” features new research co-authored by Professor of Finance Steve Heston and forthcoming in the Journal of Finance. Abstract: This paper investigates the performance of option investments across different stocks by computing monthly returns on at-the-money straddles on individual equities. We find that options with high historical returns continue to significantly outperform options with low historical returns over horizons ranging from six to 36 months. This phenomenon is robust to including out-of-the-money options or delta-hedging the returns. Unlike stock momentum, option return continuation is not followed by long-run reversal. Significant returns remain after factor risk adjustment and after controlling for implied volatility and other characteristics. Across stocks, trading costs are unrelated to the magnitude of momentum profits.

WalletHub Ask the Experts – Sept. 13 – Professor of Marketing Jie Zhang comments on results of WalletHub’s “2023 iPhone Survey (More than 1 in 5 Americans think that the new iPhone is worth going into debt).”

Newsweek – Sept. 13 – Actor Matt Damon’s co-authored op-ed “We're Working to End the Water Crisis—With the Right Kind of Investment” cites Dean’s Professor of Finance Michael Faulkender’s paper ‘Understanding the Rise in Corporate Cash’ (in The Review of Financial Studies): At least 2 million Americans don't have running water or a working toilet at home, costing the U.S. economy $8.58 billion each year. At the same time, U.S. companies are holding $5.8 trillion in cash on their balance sheets, more than triple their $1.6 trillion in 2000. That's one huge reason for them to join the growing momentum in balance-sheet ESG investments, which has helped make impact investing a trillion-dollar market.

Maryland Today – Sept. 13 – “Accolades: Faculty and Staff Awards and Honors” includes: Rajshree Agarwal, Rudolph Lamone Chair of Strategy and Entrepreneurship and Director of the Ed Snider Center for Enterprise and Markets, was named an Academy of Management fellow and was appointed to the Federal Economic Statistics Advisory Committee. It advises the directors of the Department of Commerce's statistical agencies (the Bureau of Economic Analysis and the U.S. Census Bureau) and the commissioner of the Department of Labor's Bureau of Labor Statistics.

The Guardian – Sept. 10 – “Going Solo: Why Eating and Travelling on my Own is Such a Pleasure” quotes Dean’s Professor of Marketing Rebecca Ratner: “When people do things alone, they enjoy themselves more than they expect to,” says professor of marketing Rebecca Ratner, who has studied how people feel about the idea of undertaking hedonistic activities alone, and then how much they enjoy actually doing them. “People also overestimate the benefits of being with someone else,” she says.

Financial Times – Sept. 10 – “How the Masters in Management Brand is Building Abroad” includes: Digital tools and techniques that were widely adopted in teaching during Covid-19 remain important — although many younger students are keen to return to in-person learning. As we report, the Robert H. Smith School of Business at the University of Maryland is launching a new Online Master of Science in Management Studies this year, while Audencia offers students the option of taking one semester in its degree fully online.

GARP – Sept. 8 – In his latest CRO Outlook column for the Global Association of Risk Professionals, Smith Enterprise Risk Consortium Director and Professor of the Practice Clifford Rossi writes “SVB and Signature Bank Fallout: Why We Need a New Approach to Regional Bank Regulation and Risk Management”: Summary: Regulators seem intent on once again increasing capital and liquidity requirements for banks of a certain size – but data shows that mid-sized financial institutions remain less risky than larger banks. What’s needed, instead, is a more proactive safety and soundness strategy that addresses the root causes of recent bank scandals: poor governance and ineffective risk management.

Health Reporter – Sept. 7 – “Supply Chains of Crucial Drugs Threatened by Climate Risks” covers analysis by Smith Enterprise Risk Consortium Director Clifford Rossi and Master of Quantitative Finance students Matthew Rumrill and Harini Mantripragada. Related coverage in Maryland Today’s ‘Pharma Facilities Sit in Path of Tornadoes, Other Weather Disasters.’

Financial Times – Sept. 6 – Rellie Derfler-Rozin, academic director of the Master of Science in Management Studies Program comments in “Why Young Business Students Want to go Back to School”: Accordingly, the majority of MiM programmes are delivered full-time on campus, with only a few exceptions such as the Robert H Smith School of Business at the University of Maryland, which has launched a new online Master of Science in Management Studies this year, alongside its traditional on-campus programme. “Following the pandemic, we learnt we can do more things online,” says Rellie Derfler-Rozin, academic director of both programmes. As more degrees go digital, she says that business schools should reassess the role of the campus in the post-pandemic world. “As educators, we have a responsibility to be more thoughtful about the value of being in-person, and how to make those experiences even more meaningful.”

Bloomberg – Sept. 6 – Trump Plans Harsher Trade and Tax Policies for His 2024 Comeback Bid cites Dean’s Professor of Finance Michael Faulkender as chief economist for the America First Policy Institute and its role in shaping economic policy for a potential Republican-led administration in the White House.

TalkMarkets – Sept. 2 – Clinical Professor of Finance David Kass gives the “2023 Percentage Returns of The 5 Largest Stocks.”

Fox Business – Sept. 1 – Dean’s Professor of Finance Michael Faulkender discusses the August 2023 U.S. jobs report.

August 2023

Newswise – Aug. 31 – Smith Enterprise Risk Consortium Director and Professor of the Practice Clifford Rossi and Smith Master of Quantitative Finance student Harini Mantripragada examine ‘Hurricane Risk Implications for Low-to-Moderate-Income Mortgage Borrowers.’

LeMonde – Aug. 30 – “The company will not be the place for resolving political conflict” reviews Associate Professor of Management Evan Starr’s co-authored study of post-Dobbs U.S. job trends.

CNBC – Aug. 30 – “Warren Buffett, who Turns 93, is at the Top of His Game as He Pushes Berkshire Hathaway to New Heights” quotes Clinical Professor of Finance David Kass: “He’s still at the top of his game. His mental acuity is sharp as ever,” said David Kass, a finance professor at the University of Maryland’s Robert H. Smith School of Business, who once held private lunches for his students and Buffett.” … “It’s groundbreaking in the sense that I’m not aware of any prominent investor, hedge manager investing in Japan,” Kass said. “The country is in a deflationary environment for decades, and these companies were just sitting out there being ignored.” … “His preferred holding period is, in his words, forever. He still has this infinite time horizon, even at the age of 93,” Kass said.

The Wall Street Transcript – Aug. 31 – Adjunct finance professor Joseph Rinaldi discusses “Increasing Exposure to High Dividend Utility Stocks and Bank CDs.”

Maryland Daily Record – Aug. 30 – UMD Smith School to host Customer Analytics Workshop” previews the Office of Executive Education’s virtual workshop, in Oct. 9-22 sessions, for professionals in business-to-business and business-to-customer settings … Also at the Daily Record: “UMD Smith School and Partners Launch Sports Management Program.” (Aug. 29).

MarketWatch – Aug. 28 – “September Is a Bad Month for the Stock Market. Why Gold Is a Different Story” references a ‘Seasonal Asset Allocation’ paper co-authored by Russell Wermers, Paul J. Cinquegrana ’63 Endowed Chair in Finance and Center for Financial Policy director, for evidence that: “seasonal affective disorder”(SAD) is the source of September’s poor stock market performance. …The authors of this recent study connected these monthly SAD changes with the stock market by measuring flows of cash into and out of equity mutual funds. After controlling for other possible factors that could potentially also explain those flows, the researchers found a high correlation between changes in the incidence of SAD and equity mutual fund flows. The month experiencing the biggest net outflow is September. Both a strong statistical and a strong theoretical case can therefore be made for why September may be a below-average month for stocks. While this doesn’t guarantee that the stock market will lose ground in this coming September, it does increase the probability that it will decline.

MBAGradSchools – Aug. 28 – Associate Dean for Strategic Initiatives P.K. Kannan discusses his research in “Utilizing Data-driven Approaches in Business: A One-on-One with Dr. P.K. Kannan.” It draws from his recent papers “Identifying market structure: A deep network representation learning of social engagement” (with Associate Professor of Information Systems Kunpeng Zhang) and “Measuring the real-time stock market impact of firm-generated content.”

TalkMarkets – Aug. 26 – Clinical Professor of Finance David Kass gives the “2023 Percentage Returns Of The 5 Largest Stocks.”

New York Daily News – Aug. 25 – “Hochul can End Noncompete Clauses: Noncompete Agreements are Pervasive and Un-American” cites research by Associate Professor of Management and Organization Evan Starr: One study by University of Maryland economist Evan Starr estimates that roughly 1 in 7 workers making $40,000 or less sign noncompetes.

Fox Business – Aug. 25 – Dean’s Professor of Finance Michael Faulkender explains ‘How the Fed can Stop Inflation’ Including: “...If instead what we have is a ‘pro-supply side’ kind of economic approach where we actually encourage businesses to come in and bring additional supply on line, we’d have that boost in quantity supplied that brings prices down, rather than thinking the only way to bring prices back to a two-percent inflation level is by continuing to suppress demand.”

Human Resource Development Quarterly (via Wiley Online Library) – Aug. 24 – Associate Professor Toby Egan co-authors “Reconsidering our Uneconomic Growth Model: Human Resource Development's Role in Advancing Sustainability.”

TechTarget – Aug. 21 – “Abortion Benefits Become Double-Edged Sword” quotes Associate Professor of Management and Organization Evan Starr: [Starr], one of the researchers on the study, said the findings "suggest that firms that announce that they will cover out-of-state abortions experience an increase in job seeker interest, but it is coming mostly from states where abortions are already legal." The abortion benefit is "more of a way to signal firm culture rather than provide an actual fringe benefit," Starr said. On the flip side, covering out-of-state abortions is a turnoff for others in the company, notably men, he said. Related coverage via Forbes’ “Companies Offering To Pay For Abortion Travel See Major Uptick In Recruitment.”

WTOP (via SoundCloud) – Aug. 21 – Dean’s Professor of Marketing Rebecca Ratner discusses her consumer behavior research related to shared memories in “Most would Reject Travel Upgrades to Stay Close to a Friend or Romantic Partner.”

GARP – Aug. 18 – Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi gives a Q&A on ‘Building a Healthy Risk Culture’ for the Global Association of Risk Professionals. Intro: Banks with effective risk cultures are less prone to errors and more equipped to handle shocks. But what specific steps do they need to take to develop proper risk management values, and what are the traits CROs desire when they search for talent to support their risk management beliefs?

My Worst Investment Ever podcast – Aug. 18 – Clinical Professor of Finance David Kass joins host and award-winning stock market analyst Andrew Stotz for an episode titled “Don’t Invest in a Company Unless the CEO Owns a Large Stake.”

BetaNews – Aug. 18 – Chris Todd, MBA ’13, writes “What to Look for in a Third-Party Vendor While Cutting Budgets.”

The Economist – Aug. 17 – “Do Abortion-Related Benefits Help American Firms Recruit?” reviews research co-authored by Associate Professor of Management Evan Starr, who in previous Maryland Today coverage, says the findings “suggest that company-sponsored, out-of-state abortion care policies are unlikely to substitute for state policies sanctioning abortion.” Additional coverage via an NBC News segment, “How Decision to Overturn Roe v Wade Impacts the Job Market (and its follow-up coverage at Daily Caller), plus articles at Fortune, Bloomberg, MarketWatch, Jezebel, HR Brew and others.

USA Today – Aug. 16 – Consumer behavior research related to shared memories co-authored by Dean’s Professor of Marketing Rebecca Ratner is featured in ‘Who gets the seat upgrade if only one is offered? What most flyers do,’ including: Ratner said the idea of shared experience is a crucial one when it comes to travelers opting in or out of doing things or even sitting together. “Let’s say you wanted – while you’re traveling – you wanted to see a show that was available, but there aren’t seats together. Our research shows people will forgo the experience altogether,” she said. “They think they won’t have shared memories.”

The National Desk (via CBS Austin) – Aug. 16 – Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi comments in “Banks Could Have Credit Ratings Downgraded as Fitch Sees Risks in Economy, Interest Rate Increases”: “It's something certainly to keep an eye out for when the rating agencies say something and want to at least kind of say, ‘well, what's going on there?’ But I would temper that conservative view that they're coming out with or pessimistic view somewhat on the future of banking,” [said Rossi]. “Everybody needs to take a deep breath and say, ‘yep, rating agencies are probably trying to be cautious in an environment where there is a lot of volatility.’ We've already seen some stumbles with some pretty sizable banks and that's not in the distant past,” Rossi said. “But is that a reason for the sector to be downgraded as a whole and/or a large number being downgraded from there?”

WalletHub – Aug. 16 – Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust weighs in for the Ask the Experts portion of a Citi Double Cash Card review.

Newswise – Aug. 16 – Accounting Lecturer Sam Handwerger explains the “Safe Harbor [accounting method] for Crypto Fraud Victims and Relevance to the Celsius Network Case.”

National Mortgage Professional – Aug. 15 – “Why IMBs Don’t Need A CRA Cramdown” quotes Professor of the Practice and Smith Enterprise Risk Consortium Director Clifford Rossi: The reasons banks have retreated from mortgage lending, especially FHA programs, mostly stem from the 2007-2008 financial crisis, [says Rossi]. Many banks no longer had an appetite for volatile assets such as mortgage servicing rights. Banks were also getting burned on the origination side through non-traditional mortgages, such as alt-A and subprime loans. “Another big reason the banks got out,” says Rossi, “particularly around FHA lending, but even more broadly, in the years following the financial crisis there was an awful lot of uproar by banks in terms of the lack of transparency of repurchase demands that were being made by the GSEs [Government Sponsored Enterprises], private mortgage insurance companies, and also by the FHA.”

Financial Times – Aug. 13 – “ICE’s $12bn mortgage tech deal builds heft in US home loans” quotes Professor of the Practice Clifford Rossi: Financial risk specialist Clifford Rossi, a veteran of several large lenders and professor at the University of Maryland, suggested financial regulators could make a strong case for designating ICE as systemically important because of its expansive mortgage market reach — a label that involves additional oversight. “By concentrating the technology solution in the hands of, say, one or two providers, it puts more pressure on the [system] plumbing,” he said, adding: “If there is a hiccup in the origination or in the servicing process, that can have pretty significant adverse impacts on not just the companies, but also on the customers downstream.” Republished at the Business Telegraph.

Dialogue – Aug. 12 – “Global Enterprise 2030,” co-authored by Michael D. Dingman Chair in Strategy and Entrepreneurship Anil K. Gupta and Haiyan Wang (MBA ’95), examines the “structure and dynamics of the global economy in 2030 [as] dramatically different from those in 2010 or even 2020” and how “global enterprises that hope to stay or emerge as the winners in the new era must rethink and redesign almost all key aspects of their strategies and organizations.”

WTOP – Aug. 12 – Dean’s Professor of Marketing Rebecca Ratner discusses her recent research in “Most Would Reject Travel Upgrades to Stay Close to a Friend or Romantic Partner, Study Finds.”

77 WABC – Aug. 12 – Dean’s Professor of Finance Michael Faulkender discusses the U.S. economy including the latest Consumer Price Index (CPI) report from the Bureau of Labor Statistics, on the Larry Kudlow Show (also via Player FM).

Maryland Today – Aug. 11 – “Company-Sponsored, Out-of-State Abortion Benefits a Poor Substitute for State Policies, Research Finds” covers a new study co-authored by Evan Starr, associate professor of management and organization, including: While companies that offered out-of-state abortion travel benefits enjoyed a substantial rise in job seeker interest, they suffered a deterioration in employee satisfaction. Overall, the results published this week on the Social Science Research Network website “suggest that company-sponsored, out-of-state abortion care policies are unlikely to substitute for state policies sanctioning abortion,” [says Starr]. Related coverage at Indeed Hiring Lab.

Washington Business Journal – The Aug. 11-17 issue’s “Back Page” highlights a Dingman Center for Entrepreneurship-hosted startup bootcamp: PITCH THIS: The University of Maryland Robert H. Smith School of Business hosted the Junior Achievement of Greater Washington’s Entrepreneurship Summit at the Edward St. John Learning and Teaching Center on July 28. The “start-up bootcamp” hosted over 70 high schoolers from the D.C. area and Canada, where students pitched ready-to-launch, socially conscious businesses to a panel of business leaders. Winning students, from left, Erin Graham, Norah Brahimi, Kierra Hall, Sandy Iligan, Ayati Arggawal, Micah Smith and Nathaniel Asfaw.

Chief Investment Officer – Aug. 10 – “ICPM Gives Top Research Award to Paper Exploring Active vs. Passive Investing” highlights work co-authored by Professor of Finance Russell Wermers as receiving the top prize in the International Centre for Pension Management’s 2023 Research Awards: They used a proprietary database to explore the relationship between the structure and size of defined benefit pension plans and their choice of active vs. passive management, internal vs. external management and allocation to public vs. private markets. They found a strong role for economic scale in pension plan investments: large plans have stronger bargaining power over their external managers in negotiating fees as well as access to better-performing funds, relative to small plans. Large plans, hence, pay significantly lower fees.

Newswise – Aug. 10 – “Anil K. Gupta Recognized by Strategic Management Society for Scholarly Impact,” covers SMS’s selection of Anil K Gupta, Michael D. Dingman Chair in Strategy and Entrepreneurship, for its 2023 CK Prahalad Award for Scholarly Impact on Practice.

AACSB Insights – Aug. 8 – “People and Places” highlights focus areas to Smith’s Master of Science in Information Systems (MSIS) program – artificial intelligence, cloud computing and emerging technologies: The new focus areas are designed to provide students with the skills to use information technologies to solve complex business problems. The school also is adding a January 2024 cohort start date for the program as a way to offer more scheduling flexibility for candidates, including those who have just earned three – or four-year undergraduate degrees. The MSIS is a STEM-designated, in-person program.

GoBankingRates – Aug. 8 – “Warren Buffett’s First Job — and the Money Lessons You Can Learn From It” quotes Clinical Professor of Finance David Kass: “Buffett has said that having the right temperament is more important than any other quality as a predictor of investment success,” said David Kass, clinical professor of finance at University of Maryland’s Robert H. Smith School of Business. “It is not necessary to have an IQ greater than 125. He has said jokingly that if you have an IQ that is greater than 125, you should sell the extra points. His bottom line recommendation is: The best investment anyone can make is in themselves. This will provide you with the knowledge and skills to most likely succeed as the economic environment changes.”

Seeking Alpha – Aug. 8 – Clinical Professor of Finance David Kass writes “Berkshire Hathaway Is Undervalued by 6%.” Related: Kass gives the “2023 Percentage Returns Of The 5 Largest Stocks (for Aug. 12) via TalkMarkets.

Food Safety Magazine – July-August 2023 – PhD candidate in supply chain management Abhay Grover co-authors (with Smith Masters’ in Business Analytics student Geetanjali Menon and Clare Narrod at UMD’s Joint Institute for Food Safety and Applied Nutrition) “Digital Transformation of Supply Chains to Meet Foreign Supplier Verification Program Requirements,” which examines how digital supply chains are transforming the food industry, helping businesses achieve transparency, traceability, and accountability required for FSVP compliance. Technologies like Blockchain, AI, IoT, and AR/VR play a vital role in ensuring food safety and enhancing overall supply chain efficiency.

TalkMarkets – Aug. 6 – Clinical Professor of Finance David Kass gives “5 Highlights of Berkshire’s 2023 Second Quarter Report” and the “2023 Percentage Returns Of The 5 Largest Stocks” (Aug. 5).

ABC News Radio – Aug. 4 – Dean’s Professor of Marketing Rebecca Ratner draws from her research on shared memories to answer ‘Would you take a first-class airline upgrade or a spot closer to a concert stage if it meant leaving your friend or family back in the cheap seats?

VoxEU – Aug. 4 – Associate Professor of Finance Cecilia Bustamante co-authors “Carbon Trade-offs: How Firms Respond to Emissions Controls” as “a framework showing that whilst carbon pricing mechanisms curtail firms’ carbon emissions, as it becomes costlier to comply, these mechanisms also tilt polluting firms’ investment mix towards short-term abatement and away from green innovation. Subsidies for innovation can partly offset this shift and, overall, can boost firms’ green investment.”

InvestorPlace – Aug. 4 – Clinical Professor of Finance David Kass comments in “Donald Trump’s Third Indictment Is a Death Sentence for DWAC Stock”: Dr. David Kass, a clinical professor of finance at the University of Maryland’s Robert H. Smith School of Business, sees Trump’s third indictment posing a negative impact on DWAC stock. A former member of multiple government offices, including the Bureau of Economic Analysis, Kass is an expert on corporate finance and health economics. He shared with InvestorPlace that he believes multiple events may be pushing DWAC down. In his words: “The indictment of former President Donald Trump with respect to the events of January 6, 2021, made the headlines and contributed to the 6% decline in DWAC on Wednesday. (The Nasdaq index declined by 2% on August 2.) Although the possibility of this indictment may have been discounted by the market, the news of the extent of the charges very likely contributed to DWAC’s negative performance.” The second factor that Kass highlights is the recent resignation of Marcum LLP, the accounting firm hired to audit Digital World. Bloomberg reports that the auditor has been dealing with regulatory problems of its own. While Kass notes that this news likely flew largely under the radar, he believes it could significantly impact DWAC stock as it puts the TMTG merger in even further jeopardy.

International Business Times – Aug. 4 – “Stocks Get A Boost From Amazon Earnings, Steady Bond Yields” quotes Clinical Professor of Finance David Kass: “Fitch's downgrade of U.S. debt will have only a very short-term psychological impact on stocks and bonds,” said David Kass, clinical professor of finance at the University of Maryland, Robert H. Smith School of Business. “With the S&P 500 up 20% and Nasdaq up 37% year-to-date, this downgrade will provide a convenient excuse for profit-taking in the equity market, especially as we enter the historically weak months of August and September.”

Poets & Quants – Aug. 4 – The “Best & Brightest Executive MBAs Of 2023” quotes Professor and Chair of Accounting and Information Assurance Michael Kimbrough and Associate Professor and Chair of Logistics, Business and Public Policy Cristian Dezso in profiles of Smith EMBAs Cietta Kiandoli and Glen Martin.

The Business Monthly – Aug. 1 – Associate Professor (Decision, Operations and Information Technologies) Jui Ramaprasad comments in Howard Board of Ed Sues Social Media Companies,” including: The shame of what’s transpired, [said Ramaprasad], “is that once-meaningful social engagement has turned negative. “Like any business, social media companies want to make money, and many do it through advertising. With a newspaper, content is curated,” said Ramaprasad. “However, when users are involved in creating content and there isn’t as much gatekeeping, it can often be negative or hateful. That draws more attention and drives up the advertising revenue.” So as social media platforms have grown, “It’s become a whole new ballgame,” she said. “It’s not just about bullying moving online. In previous generations, the issues stayed at school; now the kids bring it home (on their devices). And it can even be about people idealizing exercising habits, for instance, and everything looking perfect to a viewer who has an eating disorder.”

July 2023

Maryland Daily Record – July 31 – UMD Smith School Adds January Start for MSIS Degree announces the new January cohort start date to accommodate applicants with three- and four-year undergraduate degrees for the Master of Science in Information Systems program and highlights newly designated focus areas including artificial intelligence, cloud computing and emerging technologies.

National Mortgage Professional – July 30 – “What To Do When Profits Bolt Down” extensively quotes Professor of the Practice Clifford Rossi, including: “Simply put, no matter what type of entity the mortgage company is, they need to be practicing good interest rate and liquidity risk management practices,” he said. … Rossi, who formerly held senior risk management and credit positions at Freddie Mac and Fannie Mae, says that mortgage institutions now are not as stable as they once were. “Due to structurally what’s been happening over the last 15 years, traditional banks have largely exited the origination and servicing sides of the industry, which led non-bank financial institutions to take that space over,” he explained. “Generally speaking, though, they suffer from certain characteristics that make them volatile: They’re thinly capitalized, they don’t have to adhere to certain risk requirements, have volatile liquidity and sources of liquidity, [and their] depositories are dependent on low-cost deposits.”

Forbes – July 30 – The Rise Of Master In Management, Master Of Finance And Other Business Degrees includes: Master’s programs are considerably less expensive than pursuing an MBA. …The opportunity cost of being out of the workforce for one year just after college is also considerably less than that of taking two years off work at a presumably higher rank and salary. Of course, the investment costs are only half the story! It’s important to remember that the returns are also higher for an MBA. Finally, some programs even allow alumni to return later for an MBA at their school—and apply the credit for relevant master’s courses to the MBA. An example is the Robert H. Smith School of Business at the University of Maryland.

TalkMarkets – July 29 – Clinical Professor of Finance David Kass gives the “2023 Percentage Returns Of 5 Largest Stocks.”

Thinkers50 – July 27 – “Harnessing Alternative Data for Competitive Advantage” reprises an article co-authored by Michael D. Dingman Chair in Strategy and Entrepreneurship Anil K. Gupta in California Management Review, addressing companies having “access to a tsunami of non-traditional data for creating and capturing value.”

Clear Admit – July 27 – Admissions director Maria Pineda describes Smith’s Full-time MBA Program for prospective students in an updated Admissions Director Q&A.

Fox Business – July 26 – Dean’s Professor of Finance Michael Faulkender discusses economic policy in a “‘Bidenomics' is a top-down government-controlled economy,’” segment of The Evening Edit. Related: Faulkender discusses “Treasury Secretary Yellen’s Visit to China,” via Newt Gringich’s Newt’s World podcast and “Central Bank Digital Currencies” with former Attorney General Matthew Whittaker on Whittaker’s Liberty & Justice podcast.

Reason Magazine – July 26 -"New Study Reveals Large Firms' Role in Innovation," quotes Serguey Braguinsky related to his NBER paper (Mega Firms and Recent Trends in the U.S. Innovation): “Mega firms, especially new mega firms…were small startups just some 20 years ago, and they became what they are today by winning in a competitive environment,” says the study's lead author, Serguey Braguinsky of the University of Maryland. …“I think this strongly suggests that free markets have a self-correcting mechanism built into it and should be able to keep the U.S. innovation engine running,” says Braguinsky. “Provided,” he adds, that “they are free from various distortions.”

WalletHub – July 26 – ‘Ask The Experts’ section of “2023's States with the Highest Job Resignation Rates” features Clarice Smith Professor of Management Debra Shapiro with co-researchers, Professors Peter Hom and Wei Shen (both at Arizona State University), discussing the effect of leader departures on employee turnover. (They draw from a stream of research, among which is their 2016 article in Academy of Management Review, titled “How Do Leader Departures Affect Subordinates’ Organizational Attachment? A 360-Degree Relational Perspective,” with additional co-author Rajshree Agarwal, Rudolph Lamone Chair of Strategy and Entrepreneurship.)

FOX 5 DC – July 24 – Clinical Professor of Marketing Hank Boyd comments in “New Washington Commanders Owners Working to Rebuild Trust”: “The good times definitely look like they're coming back. This looks like a new era," said Hank Boyd, Marketing Professor at the University of Maryland. Boyd says personal stories from these new owners and an acknowledgement of the fans’ frustrations are the right notes. "What great marketing is all about is that you gotta put yourself in the shoes of the fans,” Boyd said. “I think as long as they're making meaningful steps, and it doesn't feel disingenuous, fans will get it and say ok, we can re-engage now. It's like that cloud is now gone and we can now come back,” Boyd said. Boyd also said showcasing diversity in ownership is important.

The EvoLLLution – July 24 – Office of Digital Learning Director Paul Walsh writes “Navigating Microcredentials and VFR (Visual Flight Rules).” Summary: A successful implementation of microcredentials requires sticking to your institution’s mission, specializing in areas in need and constantly evolving.

TalkMarkets – July 22 – Clinical Professor of Finance David Kass gives the “2023 Percentage Returns For 5 Largest Stocks .”

Barron’s – July 21 – Clinical Professor of Finance David Kass’ letter to the editor, “Higher Equity Prices,” is published: “As noted by Ben Levisohn, the dollar has recently been declining, and a weaker dollar should be good for risk assets (“Inflation Rarely Falls This Fast. What It Means for the Stock Market,” Up & Down Wall Street, July 14). One additional reason for this positive impact is that a weaker dollar will result in higher reported earnings by U.S. multinational corporations. When these companies report their financial results, they convert their foreign earnings into U.S. dollars. If the U.S. dollar weakens against the foreign currencies in which the earnings were generated, the translated value in U.S. dollars will be higher, leading to higher reported earnings. This in turn should result in higher equity prices.”

AACSB Insights – July 19 – “Research Roundup: July 2023” features (scroll down) “Training Employees to MYB (‘Manage Your Boss’)” co-authored by Dean’s Professor of Management Subra Tangirala and includes: In a paper published in Personnel Psychology, the researchers suggest that employees who are adept at MYB have better working relationships with their supervisors, are better able to foster trust in the workplace, and receive higher performance ratings from their managers.

Maryland Daily Record – July 18 – “Applications Open for UMD Smith’s Online Management Studies MS Program” includes: “The (30-credit) program (starting in fall 2023) will position students to excel as leaders in any industry — especially those that require adaptability, creativity and quick thinking,” says Associate Professor of Management and director of the program Rellie Derfler-Rozin. “Students further will learn innovative ways of handling workplace challenges, as well as have the opportunity to refine their strategic thinking skills and develop essential business acumen through designated experiential learning classes that feature mentoring from our MIM Advisory Council members.”… Also published at Yahoo Finance, others.

KSL – July 17 – “Cash In on Your App Idea” quotes Professor of Marketing Jie Zhang based on research co-authored with Distinguished University Professor and PepsiCo Chair in Consumer Science Michel Wedel: “Offering a paid version in an early stage can help generate sales revenue quickly to help offset the development and marketing costs of an app and fund the development of future upgrades and launching a free version," Jie Zhang, a professor of marketing, tells the Robert H. Smith School of Business at the University of Maryland. Zhang adds that there may come a time when you can stop offering a paid version and switch to a free version when it's "strong enough to make money.”

GOBankingRates via Yahoo Finance – July 14 – “$2.75 Billion From Just 3 Stocks: Warren Buffett’s Top Earners in 2023” quotes Clinical Professor of Finance David Kass extensively: According to [Kass], clinical professor of finance at University of Maryland, Robert H. Smith School of Business, the outlook for Apple for the rest of the year is very bright. “Apple, Berkshire’s largest equity holding, representing about 50% of its $300+ billion portfolio, has the largest U.S. stock market capitalization of about $3 trillion,” Kass said. “It is growing rapidly and enjoys an extremely loyal customer base within its ecosystem. In addition to its cash dividend, it is returning capital to shareholders through a very large share buyback program. Berkshire currently owns 5.6% of Apple. Warren Buffett is a big fan of Apple CEO, Tim Cook.” … Buffett has been steadily increasing his stake in the company and has now accumulated more than 224,000 shares, representing a 25% stake…And according to Kass, this is the result of Berkshire CEO, Vicki Hollub, planning to use its free cash flow to pay down its debt and reduce its preferred stock, buy back its common shares, increase its cash dividends, and invest in projects where its return on capital exceeds its cost of capital. “With oil prices likely to be stable in the months ahead, the outlook for Occidental is very good,” said Kass. According to Kass, Bank of America, under CEO Brian Moynihan, is a very conservatively run bank and is Berkshire’s second largest equity holding, representing about 10% of its portfolio. “It recently announced a 9% increase in its quarterly cash dividend and is also buying back its shares. Its outlook is also very bright,” said Kass. He added that although Buffett likes to receive cash dividends, he does not like to pay them to his shareholders. “He prefers to re-invest the cash flow generated by Berkshire. Berkshire has not declared a dividend since 1967,” Kass said.

Technical.ly – July 13 – “In Q2, DC-area Companies are Back in the Billion Zone” quotes Professor of the Practice Clifford Rossi: [Rossi] agreed that deals are likely going to stay small. In this environment, he said, investors are a little more hesitant to cut those large checks. But he sees the Q2 data as a positive in total and expects to see even more deals coming out of the third quarter than the region saw in the first half of the year. “A lot of that is accounting by how well the market performs,” Rossi said. “If we see continued moderation in inflation, and we see continued moderation and holding the line on raising interest rates, then I would expect to see maybe more of a positive end to the last half of 2023.”

U.S. Senate Committee on Banking, Housing and Urban Affairs – July 13 – A “Bank Mergers and the Economic Impacts of Consolidation” subcommittee hearing includes expert testimony from Dean’s Professor of Finance Michael Faulkender including through his opening statement (30:20-35:33) and describing (1:04:00-1:07:00) complexity in banking mergers and acquisitions and the disadvantage to small and community banks in competing with big banks on technology. Related: Faulkender discusses former President Trump’s economy versus President Biden’s economic situation on Fox Business’ ‘The Evening Edit’ (July 17).

eCampus News – July 12 – “Movers and Shakers” includes: Amid expanding its artificial intelligence and machine learning curricula — including for its recently STEM-designated MBA programs, the University of Maryland’s Robert H. Smith School of Business has hired Balaji Padmanabhan as a full professor of information systems. Related coverage via AIthority and Yahoo Finance.

WalletHub – July 12 – Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust contributes consumer advice on car insurance in an “Ask the Experts” Q&A.

Pharmaceutical Engineering Magazine – July-August 2023 – Professor of the Practice Clifford Rossi produces “A Systemwide Approach to Managing the Risks of Continuous Manufacturing.” Opening: Advanced technologies such as CM have the potential to greatly transform pharmaceutical production processes by improving drug quality and supply continuity for consumers worldwide while benefiting the company’s bottom line. For much of the pharmaceutical industry, batch manufacturing (BM) processes that have been relied upon for decades remain the preferred approach for most oral solid dosage (OSD) drug products. Considerable uncertainty exists, however, among manufacturers regarding the costs and benefits of CM technology, including several risks that, so far, are holding companies back from making the leap to CM.

Pluribus News – July 11 – “Noncompete Contracts Face Fresh Scrutiny in States” quotes Associate Professor of Management and Organization Evan Starr: Studies suggest about half of U.S. companies use the contracts for some workers and a third use them for all workers, [said Starr], who has studied noncompetes extensively. “It just becomes a part of the onboarding material, and becomes standardized in the workplace,” Starr said. Employees rarely negotiate noncompetes and are often given them after accepting a job offer, he and his research partners have found. Noncompetes can hold down wages and prevent workers from quitting to start their own businesses, Starr and other researchers have found. The Federal Trade Commission estimates that eliminating all noncompetes could raise U.S. workers’ earnings by over $250 billion a year. ...A key question is how companies will respond if they can no longer use noncompetes, Starr said. Some may resort to suing over theft of trade secrets. Others may do nothing, he said. “Maybe noncompetes were just prohibiting moves [to a rival business],” he said, “and there was actually no competitive threat.”

Barron’s – July 11 – “After Spring Crisis, US Banks Face Subdued Profit Outlook” quotes Professor of the Practice Clifford Rossi: [Rossi] said the shift in monetary policy has also burdened banks with unrealized losses, which reflect the erosion in value of long-term US Treasury-linked assets due to interest rate increases. "I think there's still a liquidity risk for some of these institutions until we get past these interest rate issues," Rossi said.

GoBankingRates – July 11 – “Invest Like Warren Buffett With These 3 Passive Income Stocks” quotes Clinical Professor of Finance David Kass: “However, in a recession, the overall stock market is very likely to decline which would create buying opportunities. He seeks companies with growth potential that are reasonably priced and returning capital to shareholders through both cash dividends and stock buybacks,” said David Kass, clinical professor of finance at University of Maryland, Robert H. Smith School of Business. Kass noted that Apple currently represents close to 50% of Berkshire Hathaway’s equity portfolio, and at the 2023 Berkshire Hathaway annual meeting on May 6, Buffett described Apple as being Berkshire’s best business. “He began to accumulate his stake in Apple in 2016. Berkshire’s investment in Apple of $31 billion is worth about $175 billion today, representing a profit of $144 billion. Since Apple has a large stock buyback program, Berkshire’s 5.6% stake in Apple is likely to grow to 6% in the near future without Berkshire buying any additional shares,” he added. Kass noted that Louisiana Pacific is a relatively small position, which indicates it was likely purchased by one of Buffett’s portfolio managers, Todd Combs or Ted Weschler. “Over the past two years it has bought back between 10% and 20% of its shares each year.”

Sinclair’s The National Desk via WJLA – July 11 – “In Push to Protect Banking System, Banks Could Have to Hold More Cash” quotes Professor of the Practice Clifford Rossi: “Taking it to at least $100 billion makes a lot of sense. Then you're going to be looking at more of those kinds of SVB, Signature Bank risks in a much more scrutinized way than what we had coming into the first quarter,” [said Rossi], who also worked in high levels of risk management for several large banks. While more banks would qualify for tighter scrutiny, it is only a few dozen in a system made of thousands. “The additional dedication of resources, the examiners and others that have to go into those banks to do that work, it's incremental for the amount of risk, as we saw, to the system,” Rossi said.

International Business Times – July 10 – “Stocks And Bonds Take A Wild Ride On Conflicting Jobs Reports – What Is Next?” quotes Clinical Professor of Finance David Kass: David Kass, clinical professor of finance at the University of Maryland's Robert H. Smith of Business, sees the Federal funds rate rising by 1/4% later this month and another 1/4% before the end of the year as reported in the Economic projections of the Federal Reserve Board on June 14. “The stock market may experience a decline of about 5%-10% over the next few months before continuing its recent uptrend in November and December with the S&P 500 closing the year at 4600-4800.”

Seeking Alpha – July 9 – Clinical Professor of Finance David Kass publishes “2023 Berkshire Hathaway Annual Meeting: Summary of The 48 Questions And Answers.” Also posted at TalkMarkets (in addition to his “2023 Percentage Returns Of 5 Largest Stocks” posts for July 1 and July 8.”

Psychology Today – July 7 – Associate Professor of Management and Organization Trevor Foulk writes “Why You’re Not Very Good at Knowing How Common Things Are,” including: One of the little tricks our brains use when interpreting the world is to conflate the ease with which we can recall something with its frequency. Referred to as the "availability bias,” this means that if it’s easy for us to recall an example of something happening, our brain will interpret that ease as meaning that thing must happen often.

Fox Business – July 7 – Dean’s Professor of Finance Michael Faulkender joins a Kudlow show discussion on the jobs report and tightening of the U.S. labor market.

Study International – July 6 – “University of Maryland: Embracing AI in Business” profiles Smith’s Master of Science in Marketing Analytics program.

Irish Tech News – July 6 – Associate Professor of Management Science and Statistics Margrét Bjarnadóttir discusses data-driven strategies, and more, as part of a “Tackling Pay Equity Challenges” Q&A.

MIT Sloan Management Review – July 3 – “Amid Growing AI, Humanize Communication to Strengthen Relationships” cites research co-authored by doctoral candidate in marketing Sanghwa Kim: There have always been people who prefer to write business notes by hand, but it’s never before carried such a significant connotation — that a real person has taken the time to write out a personalized message rather than choosing an easier option. And a recent study shows how powerful that can be: Researchers from business schools at the University of Maryland and Yonsei University in South Korea found that “presenting a handwritten note has a positive and significant effect on customer spending” and that “warmth underlies the key findings.”

FIND MBA – July 3 – Assistant Dean of MS and MBA Admissions Shelbi Brookshire and Graduate Career Consultant Adam Shpall contribute to “Strategies for Maximizing Your Online MBA Experience,” including: An applicant’s biggest mistake is assuming that price point is the only aspect they should be assessing, [adds Brookshire]. “Instead, they should identify three-to-five extremely important aspects of what they want out of the experience, not just the degree. These factors include what type of faculty teach the courses and to what extent do students have access to career resources and the school's alumni population. …Further, the Smith School’s [Shpall] says that relationships are built on trust. “One of the ways to build strong relationships with peers is to go out of your way to assist them, whether that is learning about their career aspirations and offering to make a connection for them or going above and beyond in your deliverables on a project.”

Journal of Accountancy – July 1 – Adjunct Professor of Accounting Stacey Ferris contributes a guest piece on “A Taxonomy for Classifying Digital Assets.”

Becker Friedman Institute – July 1 – “Conference on Discrimination in the 21st Century: Fostering Conversations Across Fields” recaps a University of Chicago-hosted event including a presentation by Assistant Professor of Finance Agustin Hurtado: Several presenters shared research on the more subtle ways in which discrimination shapes peoples’ life trajectories during adulthood. Agustin Hurtado discussed how Asian, Black, and Hispanic-owned banks close racial disparities by expanding minority mortgage access. He also presented evidence consistent with superior information driving this effect, prompting a lively discussion among the audience about what, exactly, a minority-owned bank is. (Are the effects tied to ownership alone or additional bank features?).

June 2023

Brookings – June 8 – Lemma Senbet, William E. Mayer Chair Professor of Finance, co-authors “Financing Climate-Resilient Infrastructure in Africa,” including: This Policy Brief proposes three mechanisms whereby the G20 [nations] can support African countries: providing grant funding and technical assistance to the Programme for Infrastructure Development for Africa (PIDA) to increase the number of high-quality bankable projects and mobilise financiers; strengthening the coordination of climate financing from the G20 countries to the continent; and unlocking financial technology and entrepreneurship to mobilise financing for bankable projects. This Brief further recommends that the G20 should use its technical capacity, financial muscle, and convening power to put African countries on the path towards climate resilience.

Forbes – June 5 – “Immigration Agency Report Shows High H-1B Visa Salaries” includes: Several economists have examined the topic and have concluded that H-1B visa holders earn the same or more than comparable U.S. professionals: … After examining the skills and compensation of over 50,000 IT professionals in the United States, University of Maryland researchers Sunil Mithas and Henry C. Lucas, Jr. (Robert H. Smith Professor of Information Systems Emeritus) wrote, “[C]ontrary to popular belief, non-U.S. citizen IT professionals are not paid less compared to American IT professionals.”

TalkMarkets – June 4 – Clinical Professor of Finance David Kass gives the “2023 Percentage Returns Of 5 Largest Stocks.”

MarketWatch – June 1 - Best New Ideas in Money podcast episode “Would $10,000 Convince You to Move to a New City?” features Associate Professor of Management Evan Starr discussing his recent paper for Brookings (‘Work-from-anywhere as a public policy’) including: “So if a locality wants to bring in a bunch of workers and jobs, historically, the main way to do that has been to try to bring in companies.” … “In this day and age where we have these remote workers who can work from anywhere who aren't tied to location, we can now separate the company from where they live. And so, we can have these municipalities competing for the location of the individual while simultaneously having employers competing over their labor. So, we've split this classic connection of where you work and where you live. And I think that kind of gave all of these programs, these work from anywhere as policy programs a boost.”

Yahoo Finance – June 1 – ‘Smith to Launch Enterprise Risk Consortium’ includes: “The consortium will position Smith "as an academic leader in applied risk management through thought leadership, education and outreach to industry and governmental organizations, and by formalizing industry ties to Smith students interested in careers in risk management," says Clifford Rossi, PhD, professor of the practice and executive-in-residence for the Smith School.”

May 2023

Bloomberg Law - May 31 – Associate Professor of Management and Organization Evan Starr comments (16:20-17:00) on FTC-proposed ban on noncompete agreements, as part of Bloomberg’s Uncommon Law podcast.

American Banker – May 29 – Professor of the Practice Clifford Rossi writes op-ed “What's Needed to Prevent Future Bank Failures.”

CNBC – May 26 – Dean’s Professor of Finance Michael Faulkender and Isabella Weber of the University of Massachusetts Amherst discuss price hike feedback loops, the inflationary role of corporate profits, and insufficient supply for excess demand an episode of The Exchange archived as “Higher Corporate Profits Are an Outcome, Not a Cause, of Higher Prices, Says Michael Faulkender.”

Wall Street Journal – May 25 -“U.S. Regulator Vows Tough Line on Problem Banks” quotes Professor of the Practice Clifford Rossi: The too-big-to-manage issue is real, said Clifford Rossi, a former chief risk officer at Citigroup’s consumer lending group who now is a professor of the practice of the University of Maryland’s Robert H. Smith School of Business. “Anything can go wrong for an institution that large,” he said. “You think of all the operational processes, controls and systems—it only takes one issue to create some sort of a headline risk.

Citybiz – May 24 – “UMD Smith Names Michael Hoffmeyer as Dingman Center Managing Director” announces Hoffmeyer joining the center, that Smith School Dean Prabhudev Konana says is “pushing forth an ambitious strategic vision to create opportunities for UMD students, alumni and community by enhancing entrepreneurship opportunity that is inclusive and contributing broadly to the local, regional, and national entrepreneurship ecosystem.” Related coverage at PotomacTech Wire, Maryland Daily Record, others.

MedBound Times – May 24 – Professor of the Practice in Systems Thinking and Design Gerald Suarez explains “Pursuing Work-Life Balance Isn’t a Want, It’s a Need for Success."

Issues in Science and Technology – May 23 – “Materially Different” includes an extended critique by Associate Professor of Management and Entrepreneurship David Kirsch of an essay on the roots of the modern EV revolution by Matthew Eisler.

WUSA-9 – May 23 – Dean's Professor of Finance Michael Faulkender explains the debt ceiling.

MIT Sloan Management Review – May 23 – “Don’t Get Distracted by the Hype Around Generative AI” cites the book, "Bubbles and Crashes: The Boom and Bust of Technological Innovation," by professors management and entrepreneurship Brent Goldfarb and David Kirsch: Business leaders who don’t want to miss a great opportunity but don’t want to waste time and money implementing oversold technologies would do well to keep in mind some fundamental realities about tech bubbles. First, these phenomena rely on narrative — stories that people tell about how the new technology will develop and affect societies and economies, as business school professors Brent Goldfarb and David Kirsch wrote in their 2019 Unfortunately, the early narratives that emerge around new technologies are almost always wrong. Indeed, overestimating the promises and potencies of new systems is at the very heart of bubbles.

The Conversation – May 23 – Dean's Professor of Marketing Rebecca Ratner co-authors “Travelers will Refuse an Upgrade to Sit Near a Loved One – New Research into When People Want to Share Experiences” summarizing her research published by the Journal of Consumer Psychology and covered also at multiple sites including "Why Consumers Forgo Front-row Seats: Sacrificing ExperienceQuality for Togetherness" at Phys.org.

DS News – May 23 – “House Committee Examines LLPA Fee Structure” cites Professor of the Practice Clifford Rossi among experts testifying in the recent House Financial Services Committee Subcommittee hearing examining pricing changes implemented by the Federal Housing Finance Agency and the impact on the mortgage marketplace.

GARP Risk Intelligence – May 22 – Measuring Corporate Culture: It’s Complicated” quotes Clinical Professor of Finance Clifford Rossi: “Culture is important because it establishes whether or not risk management is viewed in a favorable way as a valued business partner,” [said Rossi]. “Any institution that does risk management well has a good risk culture – good risk DNA – from the board to the executive committee and on down the line,” Rossi insisted. “The tone is set from the top. It will provide that stature and credibility for risk management to be effective in this role.”

MiM Guide – May 22 – Suresh Acharya, academic director of MS in Business Analytics programs, comments in “ChatGPT Boosts Appeal of Masters Programs in Business Analytics”: [The Smith School] is also adapting its MS in Business Analytics program to ensure students are prepared to enter an AI-driven work environment. In the “Big Data and AI” course, the school encourages faculty to have a discussion on these emerging technologies to provide a reasonable grounding. “There are also co-curricular activities, workshops, guest speakers and virtual conferences, through which students are getting more exposure to these topics. AI will only continue to grow – we need to make sure our students are prepared for it,” [says Acharya]. Additionally, the excitement around the possibilities of generative AI appears to have boosted already-high interest in studying business analytics at the master’s level. “The demand for our MS in Business Analytics continues to be robust. Our students are getting internship offers that have turned into job offers. We have had students receive multiple offers, as well.”

Washington Post – May 21 – “The Man in Charge of Knowing When the U.S. Runs Out of Money” quotes Dean’s Professor of Finance Michael Faulkender: “I could not, to this day, tell you his politics,” said Michael Faulkender, who served as assistant secretary for economic policy during the Trump administration. Faulkender worked closely with Lebryk when Treasury was tasked with figuring out how to send tens of millions of stimulus payments during the coronavirus pandemic, an effort Lebryk helped lead. “He always seemed to be relaxed and under control.” … Related: Faulkender discusses economic policy including the debt ceiling via WABC radio’s Larry Kudlow Show.

National Mortgage News – May 18 – “More Disclosure on Fannie Mae, Freddie Mac Fees Needed: House Hearing” quotes Professor of the Practice Clifford Rossi: …[Rossi] also called for more disclosure in LLPAs, and suggested potentially rethinking them altogether. “While on the surface it can be argued that the LLPAs are transparent by virtue of pricing by risk attribute, the exact mechanics are murkier, thus setting the stage for second-guessing the new grids and the need for a new approach,” he said. “I actually propose eliminating the current [credit score/loan-to-value ratio/LLPA] grids altogether and updating the guarantee fees consistent with achieving a target rate of return taking into account the [Enterprise Regulatory Capital Framework].”

Baltimore Sun – May 18 – Dean’s Professor of Finance Michael Faulkender comments in “Baltimore’s CFG Bank has Grown its Own Way, Quadrupling in Size in Just a Few Years”: There is a balancing act at the core of nearly every lender. Any bank can tip into trouble if it has too many long-term assets and short-term depositors pull out their money, [Faulkender said]. Silicon Valley Bank, for example, failed in March because it purchased a large amount of U.S. Treasury bonds during the pandemic, when interest rates were at historic lows, Faulkender said. As interest rates rose, these long-term securities lost value, he said, spooking depositors who withdrew their money. In other words, there was a bank run. “That liquidity transformation issue is the fundamental challenge in banking,” Faulkender said. “Anybody could be caught in that dilemma if you are doing any kind of low-interest lending funded out of deposits.”

HousingWire – May 18 – “House Subcommittee Takes Aim at FHFA’s LLPA Policies” quotes Professor of the Practice Clifford Rossi from his related congressional testimony: “Today we have a sort of Frankenstein approach to credit pricing, cobbling together average pricing for ongoing fees with quasi-risk-based pricing for upfront fees,” he said in his written statement. “It is no surprise then that we have arrived at a place where so much heated debate has occurred on these fees. Fundamentally, the FHFA should immediately eliminate the FICO and LTV LLPA grids and request the Enterprises to update their guarantee fees to reflect that change while conforming to actuarial-based pricing.”

B Magazine – May 18 – “Mid-Atlantic B Corps Help Advance the Study of Business as a Force for Good” includes: We then heard from Nima Farshchi, from University of Maryland’s Center for Social Value Creation and Office of Experiential Learning, about how students are being engaged in projects, live case studies, classroom coaching, and direct interaction with B Corps and social entrepreneurship.

The FCPA Blog – May 18 – “Board-level ‘Risk Committees’ are Great, Unless they Destroy the Company” quotes Professor of the Practice Clifford Rossi: First Republic’s risk committee was notable because it was the board’s only standing committee with just three members instead of five, according [to Rossi]. And although the risk committee had an outside advisor, “none of the three members have direct banking risk management experience; their backgrounds are in health care, venture capital and academia, though they each are highly accomplished in their respective fields.” … Expertise is essential for a nuanced understanding of risk. Prof Rossi, who I mentioned above, says “while audit is critically important, the diversity and complexity of risks require a very different set of skills, balanced between quantitative and qualitative.”

TalkMarkets – May 16 – Clinical Professor of Finance David Kass details “Major Changes To Berkshire Hathaway’s Portfolio During The First Quarter Of 2023” and gives 2023 Percentage Returns Of 5 Largest Stocks (May 20). … Related: Kass discusses U.S. inflation the inflation rate and the potential for a recession, via Sina News (May 6).

GARP Risk Podcast – May 12 – In “Risk Management’s Latest Trial by Crisis,” Professor of the Practice Clifford Rossi discusses recent turmoil in the banking system, where risk management fell short, and the profession’s readiness for future challenges… Related: Rossi writes guest column, “What lessons can be learned from the recent banking crisis?” in American Banker’s May 2023 issue.

Poets & Quants – May 12 – “Best & Brightest Online MBAs: Class Of 2023” includes profiles of graduating Smith students McGeady Bushnell and Wing Pokrywka and references them in its main feature: Back East, the University of Maryland’s McGeady Bushnell has been serving as the Congressional and Legislative Liaison for the U.S. Navy’s Chief of Naval Personnel. Here, he assists in developing policies that support over 450,000 sailors and their families. … The Class of 2023 is packed with happy endings…Wing Pokrywka’s exposure to data-driven decision-making enabled her to hit the ground running when she was hired by Instacart as a senior marketing manager before finishing her final year at the University of Maryland’s Smith School.

FIND MBA – May 12 – Adam Schpall, career services assistant director and MBA career consultant, comments in “Life after an Online MBA: A World of Possibilities,” including: [Schpall] says employers are looking for skills related to leadership, strategic thinking, communication, the ability to work collaboratively and network, as well as analytical thinking, problem-solving and resilience. “You will notice that a lot of these skills are soft skills, as many of them can’t be farmed out to the bots,” he adds, in an apparent nod to artificial intelligence.

Maryland Daily Record – May 10 – “UMD Smith launching Doctor of Business Administration Program” announces the program “designed for working professionals to elevate their careers as leaders in business organizations and government agencies that utilize cutting-edge technologies and business analytics to drive growth and innovation.” … Coverage also via AIThority, Inside Higher Ed’s ‘Colleges New Programs‘ and others.

Wall Street Journal – May 9 – “This Strategy Beat the World’s Top Hedge Funds—Don’t Try it” cites Russ Wermers’ research (False Discoveries in Mutual Fund Performance: Measuring Luck in Estimated Alphas): In a sobering study released more than 15 years ago designed to weed out mere luck, academics Laurent Barras, Olivier Scaillet and Russ Wermers looked at thousands of mutual funds between 1975 and 2006 and determined that only 0.6% of managers had enough demonstrable skill to outweigh their funds’ costs.

CNBC – May 9 – “The 2023 CNBC Disruptor 50: How we Chose the Companies” identifies Michael D. Dingman Chair in Strategy and Entrepreneurship Anil K. Gupta as part of CNBC’s Disruptor 50 Advisory Board.

Wall Street Journal – May 9 – Some Airlines Avoid Twitter, Putting a Popular Travel Hack at Risk quotes Roland Rust, Distinguished University Professor and David Bruce Smith Chair of Marketing: Other social-media platforms are “not really set up for the same kind of response to individual comments as Twitter is,” [says Rust].

Maryland Today – May 9 – “UMD Risk Study Helps Maryland Homeowners Prepare for Weather Extremes” features Professor of the Practice Clifford Rossi’s newly created index to help homeowners, financial services firms and governments prepare for the increasingly volatile weather.

Food Safety Magazine – May 9 – Abhay Grover, PhD candidate and instructor in supply chain management, writes guest column, “Transforming Food Safety: How Autonomous Mobile Robots are Changing the Inspection Game.”

Hindu Business Line – May 9 – “Greening the MBA, Not Greenwashing it” includes: The traditional pedagogical approach in management education should be re-evaluated in favour of a more personalised and modern approach such as heutagogy. This learning approach, which is centred on self-determined learning, is more closely aligned with the demands of the modern workplace and the development of transferable trans-disciplinary skills that are essential for life-long learning. Incorporating heutagogy through self-directed projects and coaching, business schools such as the University of Maryland’s Robert H. Smith School of Business and the Faculty of Business at the University of Wollongong are embracing this approach in their MBA and executive education programmes.

National Mortgage Professional Magazine – May 2023 – Professor of the Practice Clifford Rossi produces op-ed: “Why Nonbank Mortgage Companies Bear Close Watching.”

CNBC – May 6 – “Warren Buffett on Microsoft-Activision Deal: Microsoft has Met the Opposition More Than Halfway” shows Buffett responding to a question from Clinical Professor of Finance David Kass during the 2023 Berkshire Hathaway Shareholder’s Meeting: CNBC’ Becky Quick: “This question comes from David Kass, who is a professor at the business school at the University of Maryland: ‘At last year’s annual meeting, Warren [Buffett] mentioned that Berkshire had taken a large stake in Activision Blizzard as a merger arbitrage play. Since the UK regulator has blocked its acquisition by Microsoft, has Berkshire reduced or sold its stake?’ Buffett (condensed): I think Microsoft has been remarkably willing to cooperate with governing bodies. They wanted to do the deal and met them – the opposition – it seems to me more than halfway. But that doesn’t mean that it gets done if a given country, in this case, the UK, wants to block it…

Marketplace Radio – May 5 – Associate Clinical Professor of Finance Elinda Kiss contributes to “Here’s Why the U.S. has so Many Banks”: In the last 50 years, deregulation has allowed lenders to operate across state lines, making it easier for them to merge when they’re in trouble. Alas, here we are with 4,000 banks. Elinda Kiss, who researches financial regulation at the University of Maryland, expects that number to shrink. “Yes, I think we will see more consolidation. I don’t have an idea what’s the perfect number of banks,” she said. She said no one really knows the magic number between too many banks and too few with too much market power.

The M Report – May 5 – “How Digitalization Changes How People Search for, Finance Housing” quotes Assistant Professor of Information Systems Lauren Rhue from her ‘Commentary on Digitization of the Housing Search’ paper: Carrying out these efforts requires more clarity about key values and goals, writes Lauren Rhue (University of Maryland, Smith School of Business) in her commentary on the papers. Illustratively, she observes, fairness in credit is relatively easy to understand: all borrowers with the same profile should receive the same amount of credit. In contrast, “societal disagreement about what fairness means for previously redlined neighborhoods and their residents” will hamper efforts to use digitalization to address discrimination in those neighborhoods.

CNBC – May 4 – “Berkshire Hathaway is Outperforming During Turmoil, but Warren Buffett’s Favorite Child Geico is in Trouble” quotes Clinical Professor of Finance David Kass: In 1976, Buffett invested at $2 per share in Geico when it was in financial trouble, and Berkshire acquired the rest of the company in 1995. “It was sort of Buffett’s first love,” said David Kass, a finance professor at the University of Maryland’s Robert H. Smith School of Business. “I think he has a strong emotional and sentimental attachment to it.” Kass recalled Buffett referring to Geico as his “favorite child” during a meeting with his students in 2005.

Maryland Today – May 4 – Dean’s Professor of Finance Michael Faulkender explains the urgency to raise the federal debt ceiling, in “That Absolutely Has to Happen.” … Related media appearances include Faulkender discussing issues surrounding the debt ceiling showdown via Fox Business’ The Evening Edit and interest rates in a Just the News segment on Real America News.

Wall Street Journal – May 4 – "Warren Buffett’s Formula for Success: One Good Decision Every Five Years" quotes Clinical Professor of Finance David Kass: David Kass, a finance professor at the University of Maryland’s business school, rattled off some more, from railroads (Burlington Northern) to razors (Gillette). But at the top of his list was the transformative investment that Mr. Buffett has called his first business love. This romance began in 1951, when Mr. Buffett learned that his professor and intellectual hero Benjamin Graham was chairman of Geico and rode the train from New York to Washington to visit its corporate headquarters. He arrived on a Saturday morning only to discover that Geico’s employees weren’t in the habit of working on Saturday mornings. Finally, a custodian heard Mr. Buffett pounding on the doors and not only let him inside but introduced him to the other person in the office, which is how the eager young student found himself receiving an education in the insurance business from the CEO. The compassion of a weekend janitor would alter the course of business history, as Mr. Buffett’s investment in Geico began his lifelong fascination with insurance… Related: The New York Post quotes Kass in “The fight for fortune and family who sold Warren Buffett Berkshire Hathaway”: “Buffett did it out of sheer vindictiveness…He bought the company (a failing New England textile company called Berkshire Hathaway) to get back at the guy (Seabury Stanton) who had been trying to cheat him.”

Washington Post – May 3 – Why Your Flight is Early, Even When it’s Late: quotes Distinguished University Professor Roland Rust: “You can’t really know if the flight is going to be on time because they put in this fudge time,” said [Rust]. “But if the plane takes off on time, it’s definitely going to be on time.”

Maryland Today – May 3 – “Study Suggests Fixes for Persistent Geographic Inequity in Liver Transplants” describes research into increasing equity in liver transplants for people from around the country while preserving the maximum number of viable organs for transplant, by Dean's Professor of Management Science and Operations Management Raghu Raghavan, Associate Professor of Marketing Liye Ma and Smith PhD graduate and Carnegie Mellon University faculty member Shubham Akshati.

American Banker – May 3 – “Renewed Volatility in Regional Bank Stocks Puts Pressure on Policymakers” quotes Professor of the Practice Clifford Rossi: JPMorgan's purchase of First Republic was intended to calm fears, but investors are thinking that the crisis “isn't behind us,” [said Rossi]. “We're in an environment where deposits are willing to move at a moment's notice at the first sign of panic,” he said, adding that banking executives and regulators may not have fully grasped the “instantaneous” impact of deposit runs in an era of digital banking. Related: Rossi writes, in his CRO Outlook column for GARP Risk Intelligence, “First Republic Fallout: A Call for More Effective Bank Board Risk Committees.”

Barron’s/Agence France-Presse – May 1- Professor of the Practice Clifford Rossi comments in “Relief at First Republic Sale, but US Banks Still Face Pressure”: SVB, First Republic and a third casualty, Signature Bank, were essentially “one-offs,” said [Rossi]. “Going forward, JPMorgan taking over First Republic does put that chapter behind the industry,” Rossi said. … However, the Fed has said new capital rules and other big changes “would not be effective for several years” following public comment, according to the central bank’s April 28 report on the SVB failure. But Rossi said that in the wake of the bank failures, the Fed will feel pressure to demonstrate it will be proactive in trying to get ahead of problems. … “Any time an event like this takes place, the regulators get much more assertive,” Rossi said. … Related: Law360’s “How RE Headwinds Shaped First Republic Risk-Sharing Deal” quotes Rossi, including: "We've seen it for some time — there were rising delinquencies on the auto and credit card side, a lot of rumbling going on about the commercial real estate market, particularly the central cities with the return to work post-COVID not going that quickly," said Rossi. "There are a lot of vacancies going and cash flows being left behind." … Rossi discusses the ‘Fed’s Review of SVB’s Collapse,’ via WTOP and comments in “In Review Highlighting its Own Failures, Fed Calls for Tighter Regulations on Banks,” for Sinclair’s National Desk.

HousingWire – May 1 – Professor of the Practice Clifford Rossi addresses recent changes to LLPA fees in op-ed: Setting the Record Straight on Mortgage Pricing.” … Related: Inman News’ Fannie and Freddie’s Fees Going up Monday Despite Industry Objections quotes Rossi, including: But [Rossi said] the pricing changes “will increase the cost of borrowing for a sizable borrowing cohort that presents very low credit risk while greatly lowering the cost of borrowing for borrowers that pose significant credit risk to Fannie and Freddie,” Rossi said in a commentary piece Tuesday.

April 2023

Poets & Quants – April 30 – Associate Clinical Professor of Marketing Mary Beth Furst comments on Smith MBA Philip (P.J.) Thomas in his Best and Brightest MBAs: Class of 2023 profile, including: As the President of the MBAA, he was a strong supporter of the STEM designation for the MBA program because he saw how it will improve the graduate experience for international students in the future. I believe his previous experience with Global Citizen’s Curtis Fellowship primed him to look for such opportunities. As program manager, he focused on marketing efforts to grow the fellowship program dedicated to developing professional and leadership skills in college-age South African students.

All Events In – April 28 – Previewed is “Henry Ford, Elon Musk, and the Journey from Genius to Infamy” – a lecture in Chicago on May 18, 2023, by Associate Professor of Management and Entrepreneurship David Kirsch, hosted by Neubauer Collegium for Culture and Society.

Science Newsnet – April 28 – Charles E Smith Chair in Finance and Distinguished University Professor Pete Kyle explains why the “Fed-Predicted Recession is More Likely Severe than Mild.”

Capital B – April 28 – Assistant Professor of Information Systems Lauren Rhue comments in “Black People Still Experience Racial Bias in the Hiring Process. Can AI Help?”: “If you can create a machine learning algorithm to make recommendations as opposed to a human making those decisions, you see more diversity just because the criteria is consistently applied. We can benefit from just having consistent criteria,” she said. But companies must have the “political will” at every stage of the process to minimize the bias, she added. “There’s cause for hope in the use of these technologies. We just need to have the will to try to increase diversity at every single stage,” Rhue said. “If we can get that political will, then a lot of the issues with AI bias will fall away, and a lot of the promise of the technology will come to the forefront.”

DS News – April 28 – “Collaboration Between Professor and Students Take on Mortgage Climate Risk” describes new research led by Professor of the Practice Clifford Rossi to quantify climate risk for homeowners and mortgage lenders, including: “This is not just about managing risk, it's also about managing uncertainty—a much harder game.” Rossi led a group of 11 students in Smith's Master of Quantitative Finance program in a recent experiential learning project with government-sponsored mortgage enterprise Freddie Mac. The students built a model that leverages machine learning to pinpoint the regions of the country with the highest climate risk and the implications for homeowners and the mortgage industry.

The Daily Caller – April 26 – “A Down Payment On Fiscal Sanity” op-ed by Dean’s Professor of Finance Michael Faulkender includes …“There is no prospect of Congress balancing the budget this year, and a default on the national debt would be both financially catastrophic and a source of national embarrassment. The debt ceiling must be raised. At the same time, the federal government has a spending problem…”

Maryland Today – April 25 – “U.S. News Ranks UMD Graduate Programs Highly” includes: For specific programs, the highlights this year include: The Robert H. Smith School of Business’ information systems program at No. 11 and part-time MBA at No. 21 (a jump from No. 25 last year)… The Smith School was ranked No. 12 overall for online MBA programs earlier in 2023, in addition to online marketing at No. 6, online MBA business analytics program at No. 8; online MBA programs for veterans at No. 10 and online general management at No. 11; online masters in business programs (excluding MBA) at No. 16.

Law360 – April 24 – Professor of the Practice Clifford Rossi comments in “Independent Mortgage Banks Face New Scrutiny,” including: With that money, the IMBs originate the home loans, which they then securitize or sell, typically to Ginnie Mae and the other government-sponsored enterprises, Fannie Mae and Freddie Mac. “Here's the problem with these kinds of institutions: They are thinly capitalized to begin with,” said Rossi. “In the mortgage space, they are what we call monoline entities, meaning they're at the mercy of the mortgage cycle. So feast or famine, basically.” Additionally, IMBs' liquidity is “highly dependent” on funding from commercial banks and other private sources, Rossi said. “But imagine, like what we had happen here with the recent bank failures ... if they have very few lines of credit, meaning their own funding sources are not diversified, they can evaporate in a moment's notice," he said. "And that is really problematic.”

Yahoo Finance Live – April 24 – Clinical Professor of Finance David Kass discusses the Fed’s 2019 decision to loosen rules for midsize banks, bank regulation, and the outlook for regional banks in “U.S. Banking: Smaller Companies ‘More Likely to go to Regional Banks,’ professor says.” ... Related: TalkMarkets (April 23) excerpts Kass’ comments in “Smith Experts React To Fed Recession Prediction

Association for Talent Development – April 24 – Professor of the Practice Clifford Rossi writes “Avoiding Risk Events Through Better Training.”

Wall Street Journal – April 21 – “Fed Rethinks Loophole That Masked Losses on SVB’s Securities” quotes Clinical Professor of Finance David Kass: “One way of making banks safer for the whole economy is to ensure a larger capital buffer,” said David Kass, a finance professor at the University of Maryland’s Robert H. Smith School of Business.

New York Times – April 21 – Professor of Practice and the Academic Director for the MS in Business Analytics programs Suresh Acharya adds context to “Help! Spirit Airlines Left Us Behind in Guatemala City,” including: [Acharya cautioned that we should not expect all airlines to have equally deft, customer-friendly communications systems. “It may have just been a manual oversight,” he said. “With Spirit or another low-cost, no-frills airline, their IT infrastructure and integration are probably not that automated.” He noted that since delays are costly to airlines, often requiring overtime payments to crews and causing delays that can ripple across the system, airlines will jump on any chance to speed up departures even after delays have already been announced, although it sometimes means leaving passengers behind. This is especially true on international flights and at domestic “slot-controlled” airports where the F.A.A. has imposed limits on takeoffs.

Maryland Today – April 21 – “Faculty Member Appointed to Maryland House of Delegates” profiles Sarah Wolek, senior faculty specialist for the Management and Organization Department.

NBC News – April 20 – “Big Businesses Rally to Preserve Their Right to Limit Ex-Workers’ Job Options” quotes Associate Professor of Management and Organization Evan Starr: The outcome of the battle will affect large swaths of the U.S. workforce. Roughly 30% of private sector employers currently use noncompete agreements for all their workers, [said Starr]. Businesses that use the policies typically cite the need to protect trade secrets and other sensitive information from rival firms looking to poach talent.…In the five years after Oregon banned enforcement of noncompetes for employees earning less than the median U.S. family income for a family of four, hourly workers’ wages grew 6%, Starr’s research found, and their job mobility also rose 17%. “There are many things that firms can do to protect themselves without noncompete agreements,” Starr said. If the FTC adopts new limits, he said, “we’ll definitely see more of the reliance on nondisclosure, non-solicitation [agreements] and more of the kind of perks such as higher wages, better benefits, etc.” … Related: American Antitrust Institute announces Starr joining the AAI Advisory Board of experts in the fields of antitrust and consumer protection law economics, and business in the United States and abroad.

Maryland Today – April 20 – “Pitch Dingman Winner Closes the Hood on Labs’ Energy Waste” features Sustainabli, a UMD-student-led startup, which developed Sashimi Sash Manager—an installable lab sensor and digital dashboard— to reduce energy loss from fume hoods in laboratories, among multiple winners in the competition hosted by Smith’s Dingman Center for Entrepreneurship.

Sinclair’s The National Desk via CBS Austin – April 20 – Professor of the Practice Clifford Rossi comments in “Securing a loan more difficult after bank collapses, including”: “Banks are just generally becoming more cautious. In some senses, they’re a harbinger of what might be lying ahead, so they’re anticipating a slowdown,” said [Rossi]. “If that happens, then with higher rates still kind of out there, borrowers are going to be facing more difficulty in getting loans, qualifying for high-quality loans…We know the banks are well-capitalized, generally speaking, so they will be able to withstand when people talk about a mild recession and whatnot,” Rossi said. “We’ll see what that looks like, but I don’t think that the liquidity issues that we saw were necessarily at all related to economic weakness, or potential economic weakness as much as it was in part due to the market being spooked over the unrealized losses due to interest rates rising and that banks had perhaps not managed that interest rate risk exposure.”

WTOP – April 19 – “Maryland Grad Aims to ‘Change Generationally What Health Care’ Looks Like” profiles Aishwarya Tare (College of Information Studies ’22) and her transformative “Meridian Health” app, as a $10,000 prizewinner in the Dingman Center for Entrepreneurship’s Pitchman Dingman Competition (Audio version of story).

DC News Now – April 19 – Associate Professor of Marketing Bobby Zhou gives consumer advice via “Apple Launches High-Yield Savings Account, Why Shopping Around for Rates May Stretch Consumers’ Cash”: [Zhou] told DC News Now that consumers should review savings account deals regularly. “Just because you are attracted to a nice offering initially, does not mean that you can give Apples, and Googles and Amazons the right to lock you in for an extended period of time and then as a consumer you miss out on better opportunities elsewhere.” “The big takeaway here is that as long as consumers are being very careful, they are paying attention to their monthly statement credits, I don’t think they have significant worries [about signing up for savings accounts],” Zhou said.

VOA News – April 17 – Lemma Senbet, William E. Mayer Chair Professor of Finance, comments (0:42-1:15 in embedded video) in, “Event Brings Diaspora Together to Support East Africa”: “Those of us in the diaspora have left the region, but the region has not left us. So, this is a mechanism for us to give back – to give back not just money, but also capacity-building, technical assistance and get connected so that we help the world from where we came from and impact life there.”

WTOP – April 17 – “Did Your Flight Arrive Early? Airlines Plan it That Way” quotes Roland Rust, Distinguished University Professor and David Bruce Smith Chair in Marketing: “The airline apps have made it easier for passengers to keep up with potential delays. Sometimes the messages in the apps are ahead of what they know at the gate,” [said Rust] “Besides purchasing travel insurance and reading the small print on the insurance policies, there really aren’t many, or any, strategies that passengers can use to protect themselves from delays,” he said.

TalkMarkets – April 15 – Clinical Professor of Finance David Kass gives the “2023 Percentage Returns Of 5 Largest Stocks.”

GARP Risk Intelligence – April 14 – “Silicon Valley Bank: The Postmortems Came Fast and Furious” quotes Professor of the Practice Clifford Rossi, including: For Clifford Rossi and Sim Segal, risk management veterans and consultants now also in university roles, the latest crisis has re-exposed recurring managerial and behavioral weaknesses. [Rossi] perceived a “disconnect” between SVB’s public statements and filings – “they were making it sound like [they] had good practices in place” – and a “much less rosy” reality.

WTTG-FOX 5 – April 14 – Clinical Professor of Marketing Hank Boyd contributes to “Washington Commanders Stadium Decision Could be First Hurdle for Potential New Owners” … “And you want your team to be the local favorite, to have folks say I have an affiliation, I have a connection to this team, and it means something to me. And unfortunately, over the years, they were starting to separate. It’s not the way it used to be for the Washington Commanders…”

Maryland Today – April 13 – “Smith Professor, Students Take On Mortgage Climate Risk” features Professor of the Practice Clifford Rossi and his project with Master of Quantitative Finance students to quantify the risk of extreme weather, including: The students created an interactive dashboard of all 13 million single-family mortgage loans originated in 2021 and merged it with the Federal Emergency Management Agency's National Risk Index tool for all 78,000 census tracts across 18 different climate hazards, including earthquakes, wildfires, hurricanes, coastal and river flooding, tornadoes and drought. Then they randomly selected 1 million mortgage loans and used a battery of different machine learning models and performance statistics to analyze the data, looking for such effects as adverse selection against Freddie Mac and fellow GSE Fannie Mae, impact on low- and moderate-income borrowers and minorities, and other key effects.

Investopedia – April 13 – “What Is Black Thursday? History, Significance, and Aftermath” extensively cites Charles E. Smith Chair Professor of Finance Albert “Pete” Kyle’s paper, “Large Bets and Stock Market Crashes.”

Technical.ly – April 13 – Professor of the Practice Clifford Rossi comments in “In Q1, DC-Area Companies are Making a Venture Capital Comeback,” including: Rossi noted that although the economy is still “trying to find its way,” the numbers for DC are still pretty strong. He said both interest rates and cash burns are still high, and investors are on the hunt for quality companies that don’t need a lot of financial runways to get going. “They’re going to be looking for people that have good potential in a market that may become a little bit more suspect over the next six months to the one-year horizon,” Rossi told Technical.ly. He does think, though, that interest rates are approaching a peak, and with Q1’s strength, it might be time for founders to think about raising again since interest rates tend to signal where the economy is heading. “Given that, this might be a time to dip more than maybe a toe in the water and see if there aren’t some opportunities out there,” Rossi said.

Barron’s (Agence France-Presse) – April 12 – “US Banks Face Increased Scrutiny Of Q1 Results After SVB Collapse” quotes Professor of the Practice Clifford Rossi: While investors view the sector as having stabilized, industry watchers are expecting a muted or downcast tone as banks -- whose well-being is considered critical for the economy as a whole -- begin releasing their quarterly updates. "They're going to be setting expectations that their earnings are going to soften," [said Rossi].

AACSB Insights – April 11 – Robert H. Smith Chair in Organization Behavior and Associate Dean for Research Gilad Chen contributes to “Time for More Grant-Seeking in Business Schools?” including: Many academic leaders believe that funding agencies and business scholars are not on the same page when it comes to interests and capabilities. But whether this is true can depend on the school. At the Smith School, for example, “I think there’s actually quite strong alignment,” says Chen. “We have faculty who do research on climate finance or supply chain risk assessment. We have faculty who have been very successful at getting grants around healthcare, technology, and information systems.”

Maryland Today – April 11 – Associate Professor of Marketing Bobby Zhou comments in “As Streaming Surges Past Cable, Researcher Predicts New Changes in What You Watch,” including: The biggest factor playing into the new change lies in streaming’s personalization capabilities, [said Zhou]. “Each viewer can enjoy tailored content even if they are streaming on different devices in the same room,” he said. To Zhou, the companies best positioned for success through this shift are Netflix, TikTok and YouTube. All three are already capturing the attention of U.S. adults, and their gains will likely continue due to teenagers’ preference for social media and streaming.

Knoxville News Sentinel – April 10 – “Berkshire Hathaway launches new era of Pilot Company ownership with CEO change” extensively quotes Clinical Professor of Finance David Kass: “He will leave the business alone,” said David Kass, clinical professor of finance at the Robert H. Smith School of Business at University of Maryland, who studies Berkshire. Kass said it’s rare for Berkshire to bring in new management. But, when it bought a minority stake of Pilot back in 2017 with plans to own a majority in 2023, the deal hinted at a CEO shift. Haslam said his family plans to retain 20% ownership. Kass, the professor who studies Berkshire, said it’s likely the holding company’s preference “to own 100% rather than share ownership. (But) they will leave it to the discretion of the family.” Berkshire outright bought Maryville-based Clayton Homes for $1.7 billion in 2003, and the company maintains its corporate headquarters there. As for change within the company, Kass called Buffett “the preferred owner” for anyone looking to sell their business but maintain culture, stabilize employment and keep the company intact. “I would expect there to be minimal change in the culture and the atmosphere, the working conditions, compensation,” Kass said. “Whatever attributes are important to the business and the employees; I would expect to pretty much stay the same.” As for Berkshire’s future, Kass said Abel, the heir apparent to Buffett, 92, would maintain the legendary investor’s methods.

Maryland Today – April 10 – “UMD Study: To Close Gender Pay Gap, Use Analytics” features research by Margrét Bjarnadóttir, associate professor of management science and statistics.

MarketWatch – April 8 – “Gensler’s Meme-stock Reforms are Meant to Help Retail Traders. Some Investor Protection Advocates Aren’t so Sure” quotes Assistant Professor of Finance Thomas Ernst and cites his research: There are also concerns that the design of the auctions, as proposed by the SEC, could lead to worse prices for retail investors. [Ernst] authored a paper published last month with former SEC Chief Economist Chester Spatt arguing that such auctions could lead to a "winner's curse" that could lead to worse prices for retail investors. Currently, brokers route orders to market makers based in part on how cheaply they have filled orders in the past, Ernst said, while the SEC proposal would require brokers to submit each individual order to a competitive market process. "These auctions are actually less competitive than the current system," Ernst said. because market makers and exchanges would worry that they have less information about the order than their competitor, and therefore bid more conservatively. "The winner's curse is if you win the auction, it means that everyone else thought that you bid too aggressively," he said.

Neru Lending (via Finance Videos Network) – April 7 – Accounting Lecturer Samuel Handwerger gives advice on ‘Filing for a Tax Return Extension.” Previous, related segments cover crypto taxation and special advice for recent college graduates.

Expansion Solutions Magazine – April 5 – David Kirsch, associate professor of management and entrepreneurship, contributes to “EV: The Future of Mobility”: For many years, David Kirsch was contacted every December and asked, “If this was the year that EVs were finally going mainstream. It wasn’t until December 2022 “that no one called me,” said Kirsch, … “because it happened.” … “I tell people if they want to see the future of EVs to go to Norway, a small country where 80 percent of new vehicles that were sold last year were EVs,” Kirsch said. “That number is due in part to an unusual tax structure; they have high tariffs on imported internal combustion vehicles.” In Norway, he said, it’s easy to see how all of those EVs can be accommodated because a solid infrastructure is in place. “The change in mode of transportation in Norway has occurred because many seemingly minor infrastructure reforms have been implemented,” which can include making reservations for charge spots on highways and greater availability of chargers in apartment buildings. “That’s what we’ll eventually see in the U.S.” he said, while governments and industry “work out where to locate chargers and how to make sure everyone has access to them.”

TechTarget – April 5 – DEI initiatives hurt by budget cuts, hostile politics” quotes incoming Assistant Professor of Management and Organization Reuben Hurst and cites his research: Researchers worked with a tech company that was filling business development and software engineering positions. They sent invitations to qualified people to apply for openings, some of which described the company as having a flat hierarchy. Researchers also conducted a separate survey to gather more information about applicants' employer preferences. In a paper released last year, they found that women were least likely to apply for a job at a flat organization. "Women were disproportionately repelled by an employer that characterizes itself as having a flat hierarchy," Hurst said. Women perceived flat organizations as environments with less opportunity for career advancement, both in terms of promotions and pay raises, and with heavier workloads, Hurst said.

Business Insider – April 5 – Clinical Professor of Finance David Kass contributes to “Warren Buffett's Berkshire Hathaway Faces a Brutal Mix of Economic Headwinds. It Will Capitalize on the Chaos, 8 Experts Say”: David Kass, a Buffett blogger and finance professor at the University of Maryland: "Elevated inflation and rising interest rates are likely to depress operating earnings. But they may present investment opportunities for Berkshire if the equity markets decline substantially in the weeks ahead." … "Berkshire's cash position equaled $129 billion at the end of last year. I would like to see Buffett put more cash to work such as continuing to increase his stake in Occidental Petroleum at attractive prices and accelerating his buying back of Berkshire shares at current or lower prices." Related, Kass reports, via TalkMarkets: Berkshire Hathaway Has 30% Stake In Occidental Petroleum

Expansion Solutions Magazine – April 5 – “Headquarters Market Still Mired in Flux” quotes clinical professor Oliver Schlake: Another part of the location puzzle concerns how companies are allowing more remote work depending on how far away from the office workers live, especially since many people moved during the pandemic to where the cost of living was less when they discovered they could work efficiently at home. “There is a discount for the companies since they don’t have to [be concerned with the local costs of housing of] an employee and can sometimes pay an employee less,” [said Schlake], “since they are already saving money. An employee’s location is now part of the negotiating process.”

AACSB Insights – April 4 – Smith Dean Prabhudev Konana writes op-ed, “Everybody’s Business.” Summary: In a global, market-driven economy where social issues impact every aspect of life, business schools are more relevant than ever.

Pitchfork Economics – April 4 – Associate Professor of Management and Organization Evan Starr explains his recent study on the enforceability of noncompete agreements in a ‘Banning Noncompetes is Good – Actually’ podcast segment.

77 WABC – April 1 – Dean’s Professor of Finance Michael Faulkender discusses economic policy including Fed Chairman Jerome Powell’s effect on inflation, via the Larry Kudlow Show. Related: Kudlow, moderating an H.R.1 Energy Roundtable with Congressional leaders, recognizes Faulkender: [Faulkender] raised the point that if you look at refined petroleum products, they affect every part of American life and every part of the American economy. It’s really quite remarkable and that’s why this bill is so important because it permeates the whole economy. If you lower the cost of that, you not only promote economic growth, you reduce inflation, you help reduce interest rates, you help reduce life’s worries for middle income folks.” (Faulkender on April 3 noted: “OPEC cutting oil production speaks to why energy independence is so critical and why I worked on H.R.1.”)

TalkMarkets – April 1 – Clinical Professor of Finance David Kass gives the “2023 Percentage Returns Of 5 Largest Stocks.”

March 2023

Minnesota Reformer – March 31 – Associate Professor of Management and Organization Evan Starr co-authors “Franchise Owners are Colluding to Suppress Minnesota Workers’ Wages.” Intro: In many Minnesota franchises, franchise owners within the same franchise agree not to hire from each other, keeping wages down and profits up. It is already illegal for non-franchise business owners to use this anti-competitive strategy to limit workers’ freedom. Minnesota legislators are moving to close a franchise-owners loophole…

IR Magazine – March 30 – Sean Cao, associate professor of AI, FinTech and sustainability, co-authors “From Man Versus Machine to Man Plus Machine: The Art and AI of Stock Analysis (Encouraging news for humans in the age of AI),” including: The superior performance of an AI analyst does not rule out the value of human inputs. If human and machine have different relative advantages in information processing and decision-making, then human analysts may still contribute critically to a ‘hybrid’ analyst: one who makes forecasts that combine human knowledge with the outputs/recommendations from AI models.

Research.com – March 29 – “Best Business and Management Scientists” includes 17 Smith School professors in its latest ‘best scientists’ rankings.

MarketWatch – March 29 – ‘Smith School and Foretell Reality Partner to Enhance Supply Chain Management Education Using Virtual Reality’ quotes Humberto Coronado, Master of Science in Supply Chain Management academic director: “I believe that VR technology is a game-changer in teaching supply chain concepts. The immersive experience goes beyond traditional classroom lectures and textbook readings, providing students with a higher level of knowledge and capabilities. With the help of VR technology, students will gain a unique advantage as they enter the corporate world.” (Related via Smith News: Smith Students Learn Supply Chain Management With Immersive VR.)

AACSB Insights – March 28 – “People and Places” announces MBA programs at the University of Maryland’s Robert H. Smith School of Business in College Park are now STEM-designated (scroll down).

Plat4Mation – March 28 – “Important digital strategy lessons learned from the SVB collapse quotes Professor of the Practice Clifford Rossi: Let’s start from the conclusion of Prof. Clifford Rossi (University of Maryland) in Newswise: “SVB’s stunning collapse is a reminder that despite our best efforts to regulate the banking sector following the 2008 financial crisis, banks can and will fail from time to time. In the case of SVB, an unusual confluence of events; over-concentration in a volatile sector, poor investment strategy, risk management practices and board risk oversight ultimately doomed this bank.”

Fox Business – March 27 – Dean’s Professor of Finance Michael Faulkender comments regarding and ahead of upcoming congressional hearings related to recent bank failures in a “SVB Collapse Should've Been 'Extremely Clear' to Regulators” segment, including: “If you don’t think the regulators are always going to stay on top of every single source of risk out there, then the solution is to have greater capital, so it can absorb whatever risk shock may come its way. My hope is that we move away from this idea that the regulators are going to micromanage all the banks and keep the risk out of the system and have all these banks do all the same thing, I instead would like to see a return to a discussion of what capital requirements are going to ensure that they can absorb whatever risk arises.”

American Banker – March 27 – “How Interest Rate Risk Sneaked Up on Dozens of Community Banks” quotes Professor of the Practice Clifford Rossi: “It was risk management 101,” [said Rossi]. “They need to be all over that.” … Rossi, the University of Maryland professor and former banker, agreed that looking at one metric never tells the full story. But he said it’s an “irrefutable fact” that a decent number of banks took on far more interest rate risk than they should have.

TalkMarkets – March 26 – Clinical Professor of Finance David Kass gives the “2023 Percentage Returns Of 5 Largest Stocks.”

Harvard Business Review – March 23 – Dean’s Professor of Marketing David Godes co-authors “Research: The Pros and Cons of Soliciting Customer Reviews” Many companies chase customers for online reviews by sending them solicitation emails. These emails aren’t always a good idea...

The Hill – March 22 – Professor of the Practice Clifford Rossi writes op-ed “Bank Failures are Wakeup Call to Address Widespread Bank Board Governance Deficiencies.”

Wall Street Journal – March 22 – “Bank Failures Train Spotlight on Shortcomings in Risk Management” references Professor of the Practice Clifford Rossi: But the board-level risk committees often don’t go beyond that single qualified member and can sometimes lack the expertise to stand up to senior management, [said Rossi]. The problems can be serious, Dr. Rossi says. His research found most of the failures of the previous financial crisis could be traced to deficiencies in risk governance. His paper proposed some policy solutions, including more scrutiny of risk management from regulators and insurers.

Global Association of Risk Professionals (GARP) – March 22 – publishes Professor of the Practice Clifford Rossi’s white paper, “Reimagining the Federal Home Loan Bank System,” that shows restructuring the FHLB can reduce systemic risk and create more competition in the U.S. mortgage secondary market.

FinanceBuzz – March 21 – Distinguished University Professor Roland Rust contributes to “Airlines are Padding Their Scheduled Flight Times by More than 10%” (Scroll down to the 'Ask our Experts').

Maryland Matters – March 21 – Sarah Wolek, senior faculty specialist and founding director of the Intentional Life Lab for the Ed Snider Center for Enterprise and Markets, is nominated for a vacancy to serve in the House of Delegates representing Bethesda-based District 16: Wolek said during the interview process that she would champion special education students and their families in Annapolis. She also wants to bring a focus to issues of mental health and well-being, pathways to home ownership, and reimagining education for a new economy to her work as a delegate.

Wall Street Journal – March 20 – Dean’s Professor of Finance Michael Faulkender co-authors op-ed “Want to Prevent SVB-Style Collapses? Scrap Dodd-Frank” arguing that Dodd-Frank makes individual banks more similar and therefore the system is less resilient… Individual banks will still fail. But if the objective is to curb failure of the system, more capital and operating model diversity are important.

MBA Crystal Ball – March 20 – Assistant Dean of MBA and MS Admissions Shelbi Brookshire contributes to “How to stand out as an over-represented MBA applicant,” including: “A candidate needs to understand where their background (i.e., years of experience, test scores, undergraduate degree and GPA, etc.) falls regarding their competitiveness for their schools of choice. Once they understand and narrow down the number of schools they are considering, the best advice is to engage with the admissions team. Every school hosts virtual webinars, invites students to engage with a recruiter and often offers the opportunity to digitally meet current students. It is equally important to understand why that school is a good fit for the candidate’s post degree goals (i.e., a finance fund, an entrepreneurship center, etc.). The more a candidate invests in a specific program, the more the program understands if that candidate is a good fit for their program’s value proposition.

Baltimore Sun – March 18 – Rudolph P. ‘Rudy’ Lamone, former dean of the University of Maryland Robert H. Smith School of Business, dies” pays tribute to Rudy Lamone, also professor emeritus of management science and founder of Smith's Dingman Center for Entrepreneurship. Republished by The Washington Post, others.

India Education Diary – March 18 – “University Of Maryland Expert Analyses Huge Loan Loads On Cars” features insights from Charles E. Smith Chair Professor of Finance Albert "Pete" Kyle.

Baltimore Sun – March 17 – “Will the Collapse of two U.S. Banks be Followed by More?” quotes Dean’s Professor of Finance Michael Faulkender: [Faulkender] blames Silicon Valley Bank’s failure on bad timing, bank mismanagement and insufficient Fed oversight. Silicon Valley Bank “had this massive deposit influx,” said Faulkender, who served as assistant secretary for economic policy in the Treasury Department from 2019 to 2021. “From a risk-management perspective, they incorrectly bought long-term bonds,” he said. “The massive increase in interest rates devalues the bond. They have to then sell the bonds to meet the needs of the depositors, and they took losses.” He added that “any bank that’s sitting on that combination is potentially also in trouble,” questioning why regulators weren’t more closely monitoring interest-rate risk at Silicon Valley Bank after raising rates.

Agence France-Presse via Barron’s – March 17 – “Interest Rate Risk: SVB's Nemesis A Well-known Foe In Banking” quotes Professor of the Practice Clifford Rossi: SVB's meager hedging operation "astounds me," said Clifford Rossi, a former risk management executive at Citigroup and a professor at the University of Maryland. Rossi estimates SVB's hedging program should have been twice its size. At the end of 2022, SVB reported $120 billion of these investment securities, or 55 percent of total assets, more than double the average of US banks.

Slate – March 16 – Associate Professor of Management and Organization Evan Starr co-authors op-ed “Companies Say They Need Noncompete Clauses. Here’s How WeKnow That’s Not True.” Related: Why Noncompetes Could Soon Be a Non-Thing via Maryland Today.

Lending Tree Expert Insights – March 15 – Clinical Associate Professor of Finance Elinda Kiss gives personal finance advice on credit card awards, via “Best Rewards Credit Cards in March 2023.”

Psychedelics Today (podcast) – March 15 – “Vital Psychedelic Conversations” includes Associate Professor of Logistics, Business, and Public Policy Bennet Zelner discussing a market system for the emerging psychedelic-wellness industry.

Washington Times – March 15 – Clinical Professor of Finance David Kass gives context to the Silicon Valley Bank collapse in “Bankers Put Focus on Woke Causes”: “The reason for the failure was clearly poor judgment, poor management and maybe lack of supervision by regulators,” said David Kass, who teaches advanced financial management and business finance at the University of Maryland’s School of Business. “The bank did not have a risk officer. That’s absurd. It was just very poor management at the bank for investment policy.” As for a connection between the bank’s woke policies and its collapse, Mr. Kass said, “I don’t see the link.” Mr. Kass said even some stock analysts at major banks were rating SVB shares as a good buy within one week of its collapse. He noted that JPMorgan and Wells Fargo rated SVB stock as “overweight” or worth buying on March 9 and Goldman Sachs rated it as “buy” on March 3. “A lot of people were asleep at the switch,” he said.

Marketplace Radio – March 14 – “Financial Meltdowns Often Spur Changes to Financial Regulation. So Where Do We Go From Here?” quotes Professor of the Practice Clifford Rossi: Banks themselves also need to take a closer look at their own internal regulation, including the expertise of their boards’ risk committees, [said Rossi]. “They’re like the first line of defense in knowing where the bodies are buried at these companies,” he said. “And if they’re just passively going along, you’re not going to change it, I don’t care how much regulation you heap on them.”

Related coverage featuring Rossi:

American Banker – March 13 – “Four Days Into Banking Crisis, Questions Outnumber Answers” quote Professor of the Practice Clifford Rossi: Other industry watchers have crossed off the big banks. [Cliff Rossi] said he doesn’t anticipate banks such as Citigroup or U.S. Bancorp “coming out of the woodwork” and doing a deal. “There has to be some strategic value for taking on the assets of these companies,” Rossi said in an interview. “I don’t see a ready buyer that’s waiting in the wings.”

CNBC – March 13 – Dean’s Professor of Finance Michael Faulkender comments in a ‘Fed to Review Silicon Valley Oversight’ segment, including: Well, you know, the cause ultimately of SVB S failure was that as your report just indicated, they had quite a lot of long-term assets that were in the form of treasury securities, of course, then funded by short term deposits. And so, it's that asset liability mismatch and a significantly rising interest rate environment that ultimately led to their insolvency, right. They didn't have sufficient equity capital to absorb the losses… Related analysis by Faulkender via Fox Business’ The Evening Edit (second clip) and Newsmax.

Wall Street Journal – March 13 – “In Retrospect, Berkshire Hathaway Cut Its Position in Regional Banks at The Right Time” quotes Clinical Professor of Finance David Kass: David Kass, a finance professor at the University of Maryland's Robert H. Smith School of Business, said he could see Berkshire potentially eyeing other options as well. "Financial institutions are well within his circle of competence," Mr. Kass said.

Financial Times – March 13 – Business School Insider’s Research Round-up (scroll down) highlights research by Hui Liao, Smith Dean’s Professor in Leadership and Management: When the award goes to … someone else: When it comes to award announcements, do you feel sorry for nominees who didn’t win? Perhaps, you shouldn’t as in the long run, non-winning nominees collaborated with other employees better, according to a study in the Academy of Management Journal. Additional coverage of the study includes Forbes’ “What Happens To Unsuccessful Nominees In Employee Awards?” and Medscape’s “Losing an Award Can Affect Motivation and Performance.”

Insightful Accountant – March 13 – "Eyeing the Future of Accounting" Overviews Smith’s collaboration with the Deloitte Foundation in the Deloitte Foundation Accounting Scholars Program (DFASP) and quotes Assistant Dean of MS Programs Emanuel Zur: [Zur] calls the collaboration with the Deloitte Foundation a vital move to expand the opportunities for students who are underrepresented in accounting and tax to gain advanced knowledge extending far beyond the fundamentals in accounting. “In doing so, we are proud to enhance the Smith School's equitable environment to critically strengthen the pipeline of racially and ethnically diverse talent entering a CPA profession that is becoming more perceptive and sensitive to the changing landscape of diversity, equity and inclusion in the workplace.”

DC News Now – March 13 – Professor of the Practice Clifford Rossi comments in “Banking worries? How your money is protected by federal insurance”: Clifford Rossi, a business professor at the University of Maryland and a risk management analyst said, “We’ve had 40 years of relatively low-interest rates and I think now that we are seeing rates go back up, and they’ve gone back up quickly, that some institutions are going to be caught sideways. He added, “I don’t think that this is anything that the average consumer should at all be losing sleep over.”

TalkMarkets – March 12 – Clinical Professor of Finance David Kass gives the “2023 Year-To-Date Percentage Returns Of 5 Largest U.S.Stocks.”

Washington Post – March 10 – “Noncompete Clauses are Everywhere, Even for Dancers and Hair Stylists” quotes Associate Professor of Management and Organization Evan Starr: A Labor Department study published in June 2022 estimated that 18 percent of Americans, or 1 in 5, are bound by noncompete agreements, but other research suggests it could be closer to 5o percent. [Starr], who co-authored the Labor Department study, says these agreements cause labor market “frictions” that can, among other things, suppress pay while imposing costs on firms wanting to hire… Nearly a dozen states restrict noncompete use based on salary thresholds, but the University of Maryland’s Starr argues that the state-by-state approach does not address a core issue: “Noncompete agreements themselves have chilling effects, and [firms and workers] have to spend a lot of money to try to get them voided,” he said.

FIND MBA – March 9 – Assistant Dean of MBA and MS Programs Shelbi Brookshire contributes to: Applying for an Online MBA: Do’s and Don’ts (In a buyer’s market, it pays to do your homework, demonstrate a keen commitment and clear career goals): When it comes to ensuring a high level of commitment, applicants should compile a list of approximately three criteria they want out of business school, [says Brookshire]. For instance, how important is it to be able to leverage robust career resources, or have access to quality faculty? Does the program have mandatory in-person residencies? How engaged is the alumni community? Brookshire says: “Do not assume all Online MBA programs are the same and understand why there are different price points. Invest time in understanding whether the school truly meets your criteria. One way to learn more is to ask for a connection to current students or recent alumni.”

USA Today – March 9 – “New lawsuit against Tiger Woods could get ugly after breakup with girlfriend: What we know” quotes Associate Professor of Management and Organization Evan Starr: “The Speak Out Act does not cover all alleged illegal activity – it only covers sexual harassment (and assault),” said [Starr] whose research aided the legislation. “By invoking this argument, she is implying something about sexual harassment (or assault) in this relationship.”

Wall Street Journal – March 8 – “Where Musk’s Twitter Gambit Stands Nearly Five Months In” quotes Clinical Professor of Finance David Kass: Mr. Musk, one of the world’s richest people, could continue making interest payments on Twitter’s debt by injecting more of his personal wealth or finding other equity investors. “To the extent the company does come up short in meeting their interest payments and he needs to raise perhaps a little more equity capital, I could see him contributing additional equity himself,” said David Kass, a finance professor at the University of Maryland.

AACSB Insights – March 8 – New Programs (scroll down) announces Smith’s new track in climate finance to students in the Master of Finance and Master of Quantitative Finance programs. Concurrent coverage includes Financial Times' B-School Insider (subscriber-only digital access): Climate focus The University of Maryland’s Smith school will offer a new track in climate finance to their Finance and Quantitative Finance master degrees, starting in spring 2024. This will include a consulting project related to climate finance and risk management with a corporate or government sponsor.

Stuff You Should Know – March 7 – Episode “Noncompete Agreements, Come on” of the globally popular podcast includes discussion (starting at 29:05) of research on the topic by Associate Professor of Management and Organization Evan Starr. Related: Starr discusses the proposed FTC rule on noncompetes via Slingshot (starting at 1:12 in embedded video), a podcast produced by The Sling, an economic analysis and competition policy news outlet.

Maryland Today – March 6 – Charles E. Smith Chair Professor of Finance Albert (Pete) Kyle describes the rising cost of auto loans as a troubling sign for the economy, via “Four-Figure Monthly Payments for Four Wheels.”

WalletHub – March 6 – Accounting Lecturer Samuel Handwerger contributes personal finance advice in the “2023 WalletHub Tax Survey.”

TalkMarkets – March 4 – Clinical Professor of Finance David Kass gives the “2023 Year-To-Date Percentage Returns Of 5 Largest U.S. Stocks.”

Poets & Quants – March 1 – Smith MBA programs’ recent STEM-designation is the focus of “Another B-School Goes ‘Super STEM,’ Giving All Its MBA Programs The Designation” and includes comments from Assistant Dean and Executive Director of the Office of Career Services Neta Moye and Assistant Dean of MBA Programs Rosellina Ferraro: “The Smith School STEM-designated MBA program prepares future business leaders to make better business decisions by offering a curriculum focused on technology and data analytics techniques and complementing them with skills in leadership and strategic thinking,” Ferraro says… “Our STEM designation signals to employers that graduates from our program understand how to uncover data-derived insights to drive value creation,” [says Moye]. “This is a skill valuable to any organization whose competitive advantage depends on data analytic capabilities, organizations well beyond the technology sector including consulting, finance, retail, and consumer products.” Related coverage via The Business Monthly's “Smith MBA Programs Now STEM-Designated.”

Baltimore Sun – March 1 – “Outlier or trend? As QB Lamar Jackson seeks new deal with Ravens, guaranteed money remains a question” quotes Clinical Professor of Marketing Hank Boyd: With so few top-end quarterbacks signing lucrative deals in a given year, one contract can have a large impact on others. [Boyd], who has consulted for the NFL, said he could see other players applying pressure to receive a Watson-like contract. “Once it gets done, everyone else says, ‘I want that,’” he said. The Ravens could also trade Jackson to a team more willing to pay the contract that he wants. An NFL quarterback is perhaps the most important position in American professional sports and there would be many suitors for Jackson — just as there were for Watson last year. Four quarterbacks are expected to be drafted in the first round in April, and there are few enticing free agents for teams that miss out on a top prospect. “I think most teams are on the hunt for a really good quarterback,” Boyd said.

February 2023

Fox Business – Feb. 28 – Dean’s Professor of Finance Michael Faulkender discusses "Making the Trump Tax Cuts Permanent" in a Kudlow segment.

Consultancy.uk – Feb. 28 – “The crypto Industry is Still Reeling From the Effects of FTX” quotes Professor of the Practice Clifford Rossi: “The stunning collapse of FTX was an age-old story of financial mismanagement, excessive risk-taking and insufficient regulation and risk management.”

Finance Videos Network – Feb. 27 – Accounting Lecturer Samuel Handwerger gives ‘Tax-filing Advice for Recent Graduates.’ (Handwerger advises TerpTax, serving low-to-middle income tax filers in the UMD and College Park community and taking appointments through April 7, 2023.)

BusinessBecause – Feb. 27– “What Are The Best Online MBAs In Business Analytics?” highlights Smith’s program among those in the recent U.S. News & World Report ranking for this category.

Fox Business – Feb. 27 – Dean’s Professor of Finance Michael Faulkender discusses the U.S. economy and inflation, via The Evening Edit (starting at 2:00), including: “If you look at price increases net of wages, American people are worse off by 3.6 percent. Yes, wages have gone up, but nowhere near to keep up with inflation that has arisen from the Administration’s policies. When you impose this amount of spending when you run these kinds of massive deficits on the American economy, you are going to see this kind of inflation.”

TalkMarkets – Feb. 26 – Clinical Professor of Finance David Kass shares “6 Quotes from Warren Buffett’s Letter To Shareholders And Berkshire Annual Report” and “10 Highlights Of Berkshire Hathaway’s 2022 Annual Report And Warren Buffett’s Letter To Shareholders.” (Feb. 25).

LexBlog – Feb. 24 – Assistant Professor of Finance Bruno Pellegrino co-authors a summary of recent research in “The Great Startup Sellout and the Rise of Oligopoly,” including: Startup acquisitions by incumbent firms have been on the rise for the last few years. These acquisitions often allow larger companies to acquire new technologies or talent, while startups gain access to resources and a wider customer base. … In a new paper, we shed new light on this debate by documenting how venture capital exits have shifted from IPOs to acquisitions by incumbents and show evidence of how this might have affected competition in the United States.

Harper’s Bazaar – Feb. 24 – “Everything You Need to Know about Swedish Death Cleaning” quotes Assistant Dean of MBA Programs Rosellina Ferraro from a previous NBC News story: According to NBC, Swedish death cleaning fits into the psychology minimalism and can essentially make you happier. It stems from this idea that happiness doesn’t come from stuff or material goods but rather connection and relationships. Once you go through a process of possession slimming, you’ll ultimately identify what’s truly important and pleasureful to your life. [Ferraro] told the outlet of the practise: “If you pare down, the argument is that you can better focus on the really important things in life.” … “The idea of de-cluttering and streamlining our lives resonates because it may feel like it pushes back against this crazy chaotic world we live in.”

CNBC – Feb. 24 – Clinical Professor of Finance David Kass contributes to “Warren Buffett’s Must-read Annual Letter Arrives Saturday. Here’s What to Expect From the Investing Legend”: “We have a roughly 15-year period of abnormally and historically low interest rates. The short-term rates we have now are more normal,” said David Kass, a finance professor at the University of Maryland’s Robert H. Smith School of Business. “Interest rates are the main determinant of equity prices, to quote Buffett, so I think I’m looking for and expecting a discussion on interest rates.” … “One comment Buffett may make in his letter is that it’s not so painful to be sitting in cash. There is an alternative now and it’s called Treasury bills, or short-term Treasuries,” Kass said. The rising-rate environment could also benefit Buffett’s famous deal-making. Not only due to falling asset prices, but because he also has ample liquidity to tap into, whereas his competitors such as private equity firms have to borrow to make deals. “Private equity and others who are thinking of making acquisitions would have to go into the market to borrow [at] higher interest rates. This would confer a competitive advantage back to Berkshire,” Kass said.

Baltimore Banner – Feb. 24 – Dean’s Professor of Entrepreneurship Brent Goldfarb explains the function of business improvement districts in “Creating a more attractive and safer York Road with a business improvement district”: Such business districts are just another way for the city to supply services, [said Goldfarb]. And just like every other policy decision, there are “winners and losers.” The areas under business improvement districts tend to look more attractive, Goldfarb said, and businesses usually thrive and property values increase. On the other hand, these districts can also price people out with rent increases. The annual fees for the district could take a toll on businesses that were “barely making it” or if the clientele changes. “It’s just a question of how deliberate the City Council is in addressing that.”

Maryland Today – Feb. 24 – “Smith School to Offer Online Master of Science in Management Studies” highlights the new OMiM program that provides students with a broad set of business management knowledge to complement their passions, including how to lead effective teams, market products and make smart business decisions based on data.

Barron’s – Feb. 24 – Clinical Professor of Finance David Kass addresses “T-bills vs. Equities” in a Letter-to-the-Editor, including: Randall W. Forsyth cites several analysts who argue that Treasury bills currently yielding 5% are providing strong competition for equities (“Can the Stock Market Keep Rallying? Hopes Are Fading,”) Up & Down Wall Street, Feb. 17). But to determine the appropriate level of equities, one should also consider long-term interest rates. From 1960 to 2007, the 10-year Treasury averaged 6.84%. It is currently at 3.82%. Similarly, over the past 45 years, the 30-year Treasury has averaged 6.30%. It is currently at 3.87%. At a November 2016 meeting with University of Maryland students, Warren Buffett said, “Stocks are cheap if long-term rates [30-year Treasury] are at 4%, four or five years from now.” At that time, the 30-year Treasury was at 2.8%. Since equities are considered long-term investments, and most corporations borrow primarily long term to match the time horizon of their projects, today’s historically low long-term interest rates should not be ignored in equity valuations. Discounted-cash-flow valuations are calculated by discounting future cash flows by the weighted average cost of capital. This calculation would incorporate a company’s long-term cost of debt..

MIT Sloan Management Review – Feb. 22 – Associate Professor of Management and Organization Evan Starr gives an extended interview in “What an FTC Noncompete Ban Could Mean for Workers and Businesses” (Full-length version also via Tribune Content Agency). Intro: In January, the U.S. Federal Trade Commission proposed a ban on noncompete clauses in employment contracts. In addition to barring new noncompete agreements with employees and independent contractors, the rule would require employers to rescind existing ones. To understand what a federal ban could mean for workers and businesses, why it’s facing opposition, and how employers can prepare, we spoke with [Starr], who studies noncompetes at the University of Maryland’s Robert H. Smith School of Business. Related: Starr’s research is referenced in the Indianapolis Star’s “Eyeing Health Care Costs, Indiana Lawmakers Want to Ban Doctor Noncompetes (Feb. 22).

Knowledge at Wharton – Feb. 21 – “How ‘Strategic Silence’ Helps Employees” features research co-authored by Dean’s Professor of Management Subra Tangirala, including: Conducting a qualitative study and two field studies, the professors found that employees who use strategic silence most effectively consider three factors in deciding when and how to speak up: issue relevance, issue readiness, and target responsiveness. First, they determine whether speaking up would align with the goals of the recipient or the current situation (i.e., relevance). Second, they determine whether they are ready to talk or need to hold off until they collect more data, find a solution, or think through some other aspect of the problem or idea (i.e., readiness). Third, they wait until the recipient — usually a manager — is in the right cognitive (not too busy) or emotional state (not in a bad mood) to hear the message (i.e., responsiveness).

Inside Mortgage Finance – Feb. 21 – “Ohio Environmental Mishap Poses Housing Questions” quotes Professor of the Practice Clifford Rossi: Typically, in the event of a natural disaster, such as a flood or a hurricane, Fannie Mae and Freddie Mac issue press releases alerting borrowers and servicers to verify property damage and outlining the process for providing relief to those affected. In the case in East Palestine, because it’s an isolated incident and it hasn’t been declared a disaster by the Federal Emergency Management Agency, “it’s more of a wait-and-see situation,” Rossi said. Mortgage servicers could seek guidance from the GSEs, FHA and VA on how and when to offer forbearance and loan-modification programs to borrowers financially impacted by the train derailment and evacuation, Rossi said. Also, it can get trickier, Rossi said, if a borrower decides to not return to his home due to concern regarding health even after state officials have given an all-clear. “The issue in this case is if there’s no direct acknowledgment by a governmental agency that this is a bona fide existing health issue,” then there likely won’t be protections for borrowers who decide to walk away from their mortgage, he explained. “The protocols have to be rooted in some scientific basis,” Rossi added.

WalletHub – Feb. 20 – Clinical Professor of Marketing Hank Boyd gives insights on “Credit Cards for Groceries,” via “Ask the Experts.”

GARP (Global Association of Risk Professionals) – Feb. 17 – Professor of the Practice Clifford Rossi’s latest CRO Outlook column addresses “The Risk Appetite Dilemma: How to Overcome Obstacles and Enhance Risk-Adjusted Return,” including: Risk appetite statements can yield many benefits, but only when they adhere to established risk-tolerance levels and make use of proper metrics that consider threats across every profit center.

Maryland Today – Feb. 16 – “$30M in Grand Challenges Grants Awarded” introduces an “unprecedented UMD grants program” to support study into “society’s most pressing problems including pandemics, racism, threats to democracy and literacy deficits,” and including Smith researchers Vojislav “Max” Maksimovic, Louiqa Raschid, Debra Shapiro and Liu Yang, whose projects are featured in Smith Faculty Leading, Collaborating in UMD Grand Challenges Projects.

CNBC – Feb. 15 – “Watch Charlie Munger speak at the Daily Journal Annual Meeting” includes Berkshire Hathaway Vice Chairman Charlie Munger answering a question on stock buybacks from Clinical Professor of Finance David Kass, via moderator Becky Quick at 1:00:40 in the embedded video. The exchange (condensed and edited for clarity) includes: Kass via Quick: President Biden has proposed increasing the tax on stock buybacks from its current level of one percent to a new higher level of four percent. What are your views on taxing stock buybacks? Munger: I’m strongly opposed… A good culture has a lot of people that are good fiduciaries, and it’s like stealing to do something dumb with the corporate money, when you get more value for your shareholders by buying back your own stock… I like encouraging morality, decency, and honor and so forth in dealing with the people you’re the fiduciary for… I agree with our President on some things, but this is not one of them.

MetaNews – Feb. 15 – “Chat Fishing: How Artificial Intelligence Could Affect Online Dating” quotes Associate Professor of Information Systems Jui Ramaprasad: [Ramaprasad] observes, platforms have been using AI to improve user experience for some time. Ramaprasad has recently published research into a feature that reveals ‘who likes you’ (WLY) on dating apps. So it pays to listen when she says bots on dating apps could be a cause for concern. She explains: “Pushing the recommendation-algorithm path further, is using AI for the steps after an initial match on a dating site or a real estate listing site, i.e., chat-bots ‘making the first move’? This seems scary.”

Maryland Today – Feb. 13 – Marketing professors Hank Boyd and Judy Frels discuss commercials that flourished and flopped in “Super Bowl Ads 2023: Overindulging on Food, Drink and Celebs.”

Financial Times – Feb. 13 – “MBA Ranking 2023: Business School Profiles” describes Smith’s climb to 57th globally and No. 31 among US programs: The Robert H Smith School of Business in the US is one of two equal highest climbers, up 28 places to 57th. The school improved its performance in several categories including its careers service, ranked 42. One graduate commended the “amazing” careers support: “I could never have gotten myself that many interviews and they even helped me negotiate my offers to get me an even higher salary.”

Fox Business – Feb. 13 – In an Evening Edit segment, Dean’s Professor of Finance Michael Faulkender comments on Blackrock CEO Larry Fink’s advocacy for government action for $50 trillion of investment toward net-zero carbon emissions by 2050, including: “You’ve got the White House and a number of regulatory agencies imposing this ‘woke capitalism-ESG’ approach sacrificing long-term for America’s population in order to fund these green initiatives. So, we’re putting national security at risk and energy security at risk and we’re putting retirement security at risk.”

Maryland Today – Feb. 13 – Associate Dean for Culture and Community and Clinical Professor of Information Systems Zeinab Karake contributes to “How to Turn Your Office Chair Into an Opportunity for Exercise.”

The Diamondback – Feb. 13 – “Some Companies in Maryland Could Transition to a Four-day Workweek Under New State Bill” quotes Associate Dean for Research Gilad Chen: [Chen], who conducts research on organizational effectiveness and employee motivation, said the four-day workweek is only one part of an ongoing conversation about balancing employee productivity and well-being. Working from home or telecommuting could be other possible solutions with even better environmental benefits, Chen explained.

TalkMarkets – Feb. 11 – Clinical Professor of Finance David Kass gives the “2023 YTD Percentage Returns Of 5 Largest U.S. Stocks.”

Wall Street Journal – Feb. 10 – “U.S. Government Borrowing Costs Rise as Debt Ceiling Fuels Partisan Clash” quotes Dean’s Professor of Finance Michael Faulkender: But the Fed has raised its benchmark interest rate much faster than the CBO had expected, pushing the key rate to between 4.5% and 4.75% at its most recent meeting, a level last reached in 2007. The Fed’s actions has in turn pushed up yields on Treasurys, which were at roughly 3.6% on the benchmark 10-year note this week, an increase from around 2% a year ago. Those increases in yield gradually filter into U.S. interest costs as debts roll over. “I could not say definitively where the line was” for too much borrowing, said Michael Faulkender, a Treasury official during the Trump administration. “Finding out where the limit is, is catastrophic because it means we’ve had a bond market failure. That’s a depression.”

Global Association of Risk Professionals (GARP) – Feb. 10 – Professor of the Practice Clifford Rossi is the primary source for “What Do CROs Look for in a Risk Manager?” including: For entry-level positions, Rossi believes a good CRO doesn’t micromanage the process, instead offering guidance to underlings and trusting them to make good hiring decisions. When he held the top risk management post, he says his staff would occasionally ask for his help in evaluating young candidates to determine their communications or problem-solving skills. “When hiring junior risk managers, I sometimes did a 30-minute interview with promising candidates and tried to sell them on working for us,” Rossi recalls.

Katie Couric Media – Feb. 10 – “A Behind-the-Scenes Look at How Super Bowl Commercials Are Really Made” quotes Professor of Marketing Amna Kirmani, including: But the research continues to show that for emerging businesses like the handful of cryptocurrency companies that bought spots during last year’s game and even for big, legacy brands like Anheuser Busch, Frito-Lay, and Coca-Cola “the return on investment is very high,” she says. A splashy commercial creates brand awareness and signals to consumers that these companies are thriving with money to burn. “For some companies, they blow their entire year’s advertising budget on this because they can make such a splash,” Kirmani says.

Bloomberg – Feb. 9 – “Brazil’s Richest Man Loses Billions as His M&A Machine Breaks Down” quotes Clinical Professor of Management and Organization Paulo Prochno: [Prochno] says there’s an additional aggravating factor in the 3G playbook: Executives are often given contracts loaded with outsize bonuses for hitting profit targets. “That really gives strong incentives for people to not be ethical,” says Prochno, a Brazilian native who’s followed Lemann’s overseas expansion for years. Like Gulbrandsen, he says he doubts that Lemann and his partners, Marcel Telles and Carlos Sicupira, knew about the accounting irregularities, but says that matters only to a degree. They created “a system that leads to this behavior,” Prochno says.

The Atlantic – Feb. 9 – Clinical Professor of Marketing Hank Boyd comments in “The Tech Giants Want What the NFL Has”: Buying game rights ratchets up the companies’ platform to sell us things, in part because the very thing we’re watching on is something they’re selling us. Google could use the very existence of Sunday Ticket to plug YouTube TV subscriptions: After all, everyone knows Google, but not everyone might know YouTube TV. “Now, believe me, they’re gonna know YouTube TV, and they’re gonna be searching for it because of that access to the Sunday Ticket,” Hank Boyd, a marketing professor at the University of Maryland’s business school who has previously consulted with both the NFL and companies that work with it, told me. And while Google can’t replace national commercials during games that broadcast networks still produce, it will have what would normally be local advertising slots to sell, which it can use to boost all kinds of Google products.

Forbes – Feb. 7 – “New USCIS Data Show H-1B Denial Rates Remain Low” cites research co-authored by Hank Lucas, Robert H. Smith Professor of Information Systems Emeritus: …[Lucas] examined the skills and compensation of over 50,000 information technology (IT) professionals, and found, "[C]ontrary to popular belief, non-U.S. citizen IT professionals are not paid less compared to American IT professionals.”

InvestorPlace via Business Insider – Feb. 7 – “Should You Invest In Reg A+ Startups?” quotes Associate Professor of Management and Entrepreneurship Brent Goldfarb: But successfully marketing to brand enthusiasts is one thing, and making good on the promises of a return on investment is another. [Goldfarb] has his own reservations about the sorts of companies found on equity crowdfunding sites: “Crowdfunded companies are very high risk, and, as is the case with most entrepreneurial ventures, are more likely than not to fail. Hence, as such, companies in aggregate should only comprise a small percentage of their investments. This thinking sits behind the SEC’s crowdfunding rules, as well as the rules that determine which investors qualify as accredited. In general, investors who invest broadly in the public markets by buying index-based securities will outperform investors who invest in startups, including crowdfunded startups. Admittedly, investing in startups on crowdfunding platforms or otherwise is more fun.”

Financial Times – Feb. 6 - Are CEOs with MBAs good for business?” reviews a working paper co-authored by Assistant Professor of Finance Alex X. He.

Phys.org – Feb 6 – “Retailers can Gain from Reducing Food Waste, Study Finds” overviews research by research published in the Journal of Sustainable Marketing by marketing professors Jie Zhang and Michel Wedel.

Fairly Competing (podcast) – Feb. 6 – “Guest Starr Discusses The Research Behind the FTC’s Proposed Noncompete” Ban” features Associate Professor of Management and Organization Evan Starr. Segment intro: The FTC’s proposed ban on noncompete agreements (and other “de facto” noncompetes) relies in large part on the research of [Starr]— one of the leading scholars in the field. Join John, Ben, and Russell as they talk with Professor Starr about the strengths and weaknesses of his research…

Food Industry Today – Feb. 6 – “Retailers Can Gain From Reducing Food Waste” covers research in the Journal of Sustainable Marketing by marketing professors Michel Wedel and Jie Zhang, including: Even as higher food prices make Americans think twice about what goes in the grocery cart, nearly 40% of food in the United States is wasted—mostly by shoppers who don’t eat what they bought and by retailers who fail to sell their goods. Large retailers are the main link between farmers, producers, packaged food manufacturers and consumers, so they can play a big role in reducing waste. And they stand to benefit from doing that. ... Also published by Maryland Today.

The Observer – Feb. 6 – Clinical Professor of Marketing Hank Boyd comments in “So Mickey Mouse Is About to Enter the Public Domain. Can Anyone Actually Make Money Off Him?”: “People mockingly refer to it as the Mickey Mouse protection act,” says Hank Boyd, a lawyer and clinical professor of marketing at the University of Maryland’s Smith School of Business. “But even Disney I think realizes you can only go to the well so many times.” … Then there is also old-fashioned market power. “You have an image of Steamboat Willie, and you decide to do something really far afield,” says Boyd. “Let’s say there’s a small market out there that says it’s pretty cool.” If it gets big enough, Disney can come in and compete. Who’s more likely to win?”

The Spokesman-Review – Feb. 5 – "Airlines’ Many Challenges Leaving Flyers Feeling ‘Worse and Worse’" quotes Distinguished University Professor Roland Rust: “The pandemic threw everything into reverse and then threw everything into accelerating forward again, and there was no way the system could manage that,” said Roland Rust, a professor who studies consumer service in air travel and other industries at the University of Maryland. … Rust said that the “just in time” nature of the system – with flights and connections closely interlocked – means that any single airline’s delay or cancellation can ripple through the entire country. ... For Rust, it’s a symptom of a system in which consumer service has had just one trajectory: “Worse and worse.”

MDPI Open Access Journals – Feb. 5 – “Fanbois and Fanbots: Tesla’s Entrepreneurial Narratives and Corporate Computational Propaganda on Social Media” by Associate Professor of Management and Entrepreneurship David Kirsch and Mohsen Chowdhury is published by World Electric Vehicle Journal and accessible via MDPI, a Switzerland-based academic open access publisher. The study was previously summarized here.

TalkMarkets – Feb. 5 – Clinical Professor of Finance David Kass gives “The Rotation from Value Stocks (2022) Into Growth Stocks (2023 YTD).”

77 WABC – Feb. 4 – Dean’s Professor of Finance Michael Faulkender discusses the January jobs report on the Larry Kudlow Show, including: “Normally in January you lose about three million jobs because of the temporary hiring that takes place during the holiday season. So instead of three million layoffs, there were only two-and-a-half million layoffs, so it looks as though we gained over a half-million jobs. My hypothesis about the jobs market, recently, is that we're suffering from a labor shortage, so a lot of the historical ways of thinking about jobs reports perhaps are not accurate.” … Faulkender co-authors a Feb. 3 op-ed in the Indianapolis Star, “Protect Indiana's Pension Plans by Keeping 'Woke' Politics Out;" discusses the U.S. economy, via Fox Business’ The Evening Edit; and co-authors "The Federal Government Is Dining Out On Your Dime" at the Daily Caller.

American Banker – Feb. 3 – Professor of the Practice Clifford Rossi co-authors, with Robert Brammer and Matthew Lightfoot, “Fed's Climate Scenario Pilot is a Waste of Time and Resources,” including: Modeling the physics of climate change has improved significantly in the past decade. However, the socioeconomic models underpinning bank climate scenarios at best provide regulators with a false sense of security that climate scenario results are credible and at worst may lead to suboptimal policy and investment decisions over time. We present a case for a robust simulation-based approach that regulators and large banks should adopt that would significantly improve results.

Maryland Today – Feb. 3 – “A UMD Podcast-Palooza” highlights Future of Humanity hosted by Anand Anandalingam, Ralph J. Tyser Professor of Management Science: Can we cultivate lab-grown meat that’s both climate-friendly and humane? Will AI enhance, rather than overshadow, human endeavors? Anandalingam trains his lens on these and other potentially life-changing technologies of the next 20 to 50 years.

Finance Videos Network – Feb. 2 – Accounting Lecturer Samuel Handwerger discusses “Crypto Taxation.” … In a separate segment, Dean’s Professor Emeritus of Leadership and Motivation Edwin Locke discusses his books "A Theory of Goal Setting and Task Performance," “The Selfish Path to Romance” and "The Illusion of Determinism: Why Free Will is Real and Causal."

Washington Business Journal – Feb. 1 – ‘Deloitte Foundation, Smith Collaborate on Scholarships for Master’s of Accounting Students’ highlights Smith’s new Deloitte Foundation Accounting Scholars Program “supporting a racially and ethnically diverse student population and to strengthen the pipeline of diverse talent entering the CPA profession.” … Related coverage via Poets & Quants and The Business Monthly.

January 2023

MIT Sloan Management Review – Jan. 31 – ‘Salary Transparency Laws [will] Change Employee Compensation?’ quotes Rajshree Agarwal, Rudolph Lamone Chair of Strategy and Entrepreneurship: “This will occur not only because of the law but also because of competitive dynamics among firms in human capital/talent markets." (Viewable scrolling down and clicking top, left-corner square.)

Associated Press – Jan. 31 – “Elon Musk’s Tesla Tweet Trial Delves into Investor Damages” quotes finance professor Steve Heston as a an expert witness in the class-action lawsuit on behalf of Tesla shareholders: Heston, reviewed an even denser report analyzing the impact of Musk's tweets on more than 2,000 types of Tesla stock options, drawing largely upon a formula known as the Black-Scholes model widely used by companies to value executive compensation packages. When pressed by a Musk lawyer about the reliability of his model, Heston acknowledged: “All models deviate from reality, which is why they are models.” … Related coverage quoting Heston via BNN Bloomberg.

Bloomberg Law – Jan. 31 – “FTC Noncompete Proposal Breathes New Life Into Lawmaker Efforts” quotes Associate Professor of Management and Organization Evan Starr: Lawmakers, activists, and academics opposed to noncompetes in the workplace have warned for years of the paralyzing effects of such agreements, which they say hamper social mobility. Workers are passionate about the issue even as it has been largely off of Congress’s radar, [according to Starr]. “Those workers on the back end realize they can’t take another job in their industry for two years or they have to move their whole family. It’s very jarring for workers who realize that they can be held to these restrictions,” [said Starr]. “It evokes very, very strong feelings among workers about fairness, about their ability to provide for themselves.”

Technicall.ly – Jan. 30 – Professor of the Practice Clifford Rossi comments in “How should founders be preparing for a recession?” [Rossi explains a recession] as follows: The unofficial definition is two consecutive quarters of negative GDP growth. Per this definition, we actually experienced one last year. But whether or not we’re officially in a recession is up to folks at the National Bureau of Economic Research, who say they also explore factors like unemployment — meaning that we can experience a recession’s effects without technically being in one. Rossi currently predicts a mid-2023 recession but anticipates nothing near the tumult of 2008. “We’re certainly seeing numbers that, on days, seem like they’re relatively strong; the economy still seems to be hanging in there pretty well,” Rossi told Technical.ly. “But at the same time, there are these warning signs, particularly with rates as elevated as they have been relative to where they were in the past, that seem to suggest that we could be in for a bumpy ride.”

Harvard Law School Forum on Corporate Governance – Jan. 30 – Lemma Senbet, William E. Mayer Chair Professor of Finance, co-authors as part The Financial Economists Roundtable, “The Controversy Over Proxy Voting: The Role of Asset Managers and Proxy Advisors,” as an analysis, with policy recommendations on “the future of shareholder rights and corporate governance with a focus on the role played by large asset managers and proxy advisors.”

FIND MBA – Jan. 30 – Assistant Dean of MBA & MS Admissions Shelbi Brookshire comments in “Why an MBA is a ‘Safe Harbor’ in a Recession”: [Brookshire] spells out the reasons for MBA applicants to be optimistic; the factors leading to the current fall in competition. “A significant portion of the US population are aging out of pursuing an MBA with fewer than 20 percent in the traditional age range,” she says. “In addition, the economic and workforce volatility of the pandemic has made prospective students more risk averse and have less appetite for incurring large amounts of debt,” she adds, particularly with interest rates increasing from historic lows. ... “There are also a number of substitutes ranging from industry specific certificates to specialty master’s programs that employers are recognizing as value-adds when considering a new employee,” Brookshire says, suggesting there are more ways to upgrade credentials.

CGTN America – Jan. 30 – Clinical Professor of Finance David Kass discusses factors behind Southwest Airlines’ Q4 losses and the economic state of the airline industry more broadly in “Southwest Reports Q4 Net Loss of $220M.”

Focus on This (podcast) – Jan. 30 – 'Avoid Repeating Mistakes' includes Clinical Professor of Management and Assistant Dean Nicole Coomber discussing data-driven strategies for increasing personal productivity (Starting 15:08 in embedded video).

Los Angeles Times – Jan. 26 – “Column: The FTC is Pushing New Rights for Workers. Big Business is Pitching a Fit, of Course” cites research by Associated Professor of Management and Organization Evan Starr: Academic studies cited by the FTC, the White House and the Treasury Department have found that as many as 38% of workers have labored under such a clause at some point in their working life. Only 1 in 10 workers negotiated over their noncompete restrictions, and about one-third were presented with the clause “after having already accepted their job offer,” researchers at the University of Michigan and the University of Maryland found. On average, noncompete clauses reduce hourly wages by anywhere from 2% to 21%. A 2008 Oregon ban on noncompete clauses for hourly workers in Oregon, according to a study by Michael Lipsitz of the FTC and Evan Starr of the University of Maryland, “improved average occupational status in Oregon, raised job-to-job mobility, and increased the proportion of salaried workers without affecting hours worked.” ... Related: The National Law Review’s “Potential Impact of the FTC’s Proposed Rule to Ban Noncompetes Nationwide ” cites Starr's research, and the Seattle Times' “Seattle-areaMan Says NoncompeteAgreements Cost Him a New Job” (Jan. 30) quotes Starr: “There’s been a push from policy policymakers, state level and federal, to go after attempts to limit labor mobility and hold wages down,” says Evan Starr, a University of Maryland economist who studies the issue.

FIND MBA – Jan. 26 – Director of Graduate Career Coaching Dori Jamison comments in “Ready to Switch Careers? How an Online MBA Can Help(Summary: Online students are keen to explore wider opportunities, prompting business schools to ramp up career services.) Most business schools are ramping up the career support they offer to Online MBA candidates, as they switch roles more often. “There are more resources available for these programs around career coaching,” [says Jamison]. There are big benefits associated with career transitions. “Changing careers provides the student with an opportunity to find their passion and do what they love,” says Jamison. “They typically have previous experience where they are learning more and more about what they want out of their career and the MBA is a great vehicle to leverage their previous experience to do something they are excited about. Changing careers can also provide more growth potential.” … Like Imperial College, the Smith School is seeing a rise in Online MBA students seeking coaching support to help them transition into new careers. “We have seen appointment requests for topics like ‘career targeting’ triple in the last three years,” Jamison says. What has led to this change in employment outcomes? “It can be said that there is less risk,” she continues. “With more competition and options in the MBA space, online degrees are becoming more popular and have less stigma around quality. The online environment is also becoming a more acceptable platform for networking and building relationships, so students are finding they may not be missing as much compared to a traditional degree,” adds Jamison.

US News & World Report – Jan. 25 – “8 Best Warren Buffett Stocks to Buy in 2023” quotes Clinical Professor of Finance David Kass: Oil and gas giant Chevron is another large Berkshire holding that investors should consider, says University of Maryland finance professor David Kass. It is "an extremely well-managed international oil company," he says. … Another oil and gas producer in Berkshire Hathaway's portfolio that Kass likes is Occidental Petroleum. It is also very well managed, he says. Plus, Berkshire may make a friendly acquisition of the company at a premium of at least 25% over its current market price, he adds. … If the Fed raises its key interest rate to the 5%-to-5.25% target range this year as the central bank projected in December, consumer staples such as Coca-Cola should perform relatively well and be less sensitive to interest rate hikes than the industrial and financial stocks in Berkshire Hathaway's portfolio, Kass says. He also points out that KO should only experience a minimal decline in sales if a recession hits because of its status as a consumer staples stock. … Related: Kass gives the 2023 Year-To-Date Percentage Returns Of 5 Largest U.S. Stocks By Market Capitalization (for Jan. 29) via TalkMarkets.

Expansion Solutions Magazine – Jan. 25 – Center for Social Value Creation Director Nima Farchshi comments extensively in separate pieces, “Going Green: The Only Way to Grow” and “Plastics: Projections Rising with Demand for Biodegradable,” including: As far as changing perceptions about the need to recycle, “Many ESG funds have already been successful, though several southern states, such as Texas, Kentucky, Louisiana and others, are in the process of rejecting it,” said Farshchi. He noted, however, that ESG funds “performed well during the pandemic.” ... Farshchi added to that observation and also suggested following the lead of the European Union, which is setting requirements for plastic waste in an effort to reduce the amount by around 20 percent by 2030; and total greenhouse gas emissions by 55 percent by 2030 from where they stood in 1990. Apparently, those efforts in the EU have been noticed in Washington. “Also, the Biden administration is pushing for a House Resolution for the Environmental Protection Agency to increase regulations on plastic since the 2022 United Nations Climate Change Conference a few weeks ago,” he said, noting the next conference is set for Nov. 30, 2023, when world leaders will again discuss shared metrics to reach goals.

Expansion Solutions Magazine – Jan. 25 – Dean’s Professor of Operations Management Wedad Elmaghraby comments in “Data Center Sector to Expand Exponentially” including: Businesses today are “devouring data in their effort to create positive monetary outcomes that often require big data capabilities. That’s why we continue to see the rise in the number of data centers,” said Elmaghraby. “More and more of what businesses do requires the services of data centers, whether it’s managing emails, human resources or capturing and processing big data that is critical to their business’ competitive advantage.” To do that successfully, they need to process a large number of transactions and data in a timely manner, she said. “Quick answers, quick analysis and quick touchpoints. Nobody wants to send an email and have it get to their customer two hours later.”

Maryland Today – Jan. 25 – “Pitch Dingman Competition 2023Expands to USM Schools” means Smith’s Dingman Center for Entrepreneurship “has introduced a fourth track to its signature competition, as a trial run for a larger competition in the future. This pilot will include students from nearby schools with similar pitch competitions: Bowie State University, the University of Baltimore and the University of Maryland, Baltimore County.”

Fast Company – Jan. 24 – “IPOs Decline as Large CompaniesGobble up More Startups. That’s Bad for Innovation” references and quotes from research by Assistant Professor of Finance Bruno Pellegrino, including: But a new paper … shows that despite a relatively recent uptick in IPO activity, what we’re witnessing is actually a longer shift: Fewer companies are going public, more are being acquired, and that’s likely part of a big-picture strategy by established companies to insulate themselves from would-be competitors. The study’s authors—economist Florian Ederer from Yale School of Management and assistant professor Bruno Pellegrino from University of Maryland’s Robert H. Smith School of Business—conclude that the trend is “accompanied by” an increase in the opportunity costs of going public, and the result is an increase in oligopoly power. “Dominant companies that are disproportionately active in the corporate control market for startups have become more insulated from the pressures of product market competition over the same period,” the study reads. “These facts are consistent with the hypothesis that startup acquisitions have contributed to rising oligopoly power.”

Business News Daily – Jan. 23 “Simplicity Is Key to Effective Online Advertising” overviews eye-tracking research in the Journal of Marketing Research co-authored by Distinguished University Professor Michel Wedel.

TalkMarkets – Jan. 21 – Clinical Professor of Finance David Kass gives the “2023 Year-To-Date Percentage Returns Of 5 Largest U.S. Stocks.”

790 KABC (Los Angeles) – Associate Professor of Management and Entrepreneurship David Kirsch discusses the history of the electric vehicle and its implications on the environment moving forward, in “A Climate Change with Matt Matern.”

USA Today – Jan. 19 - “How Noncompete Agreements Harm Women and People of Color: 'Consequences can be Devastating’” quotes Associate Professor of Management and Organization Evan Starr: “There are now several studies which suggest that noncompete agreements more strongly affect women and people of color.

Additional, same-week coverage quoting Evan Starr and-or referencing his research on noncompete agreements:

  • Bloomberg via SFGate - “Noncompete Ban Holds Out Promise of Better Pay Without Inflation”: That spate of high-profile layoffs has added to concern about the risk of a U.S. recession, even though labor markets remain broadly strong. In that event, widespread noncompete agreements could hamper the economy’s ability to bounce back, [according to Starr]: “Noncompetes would prevent workers from finding a job in their industry” when they get laid off, he says, “and as a result, drag out a recovery.
  • Financial Times - “In labour markets, the devil is Often in the Detail” (Non-compete clauses buried in contracts stack the deck against workers): The story starts in the US, where economists and law professors such as Evan Starr and Orly Lobel have mapped out the extent to which employment clauses traditionally associated with top executives have actually spread across the workforce... Non-disclosure agreements; non-disparagement clauses; non-compete clauses — many American workers are now tangled in a thicket of the stuff. One study by Starr found that 70 percent of employees with unenforceable non-competes mistakenly believed they were enforceable.
  • The Nation – “The FTC’s New Rule Against Noncompetes Could Raise Wages by $300 Billion”: The FTC has estimated that its proposed ban, if enacted, will raise wages by nearly $300 billion a year. [Starr], who has studied noncompetes, argues that this is a low estimate, because when firms can no longer game a patchwork of state laws to keep using them, the impact may be even larger than past studies have found.
  • Wall Street Journal video - “Why the FTC Says Noncompete Clauses Are Hurting the Economy.”

Fox Business – Jan. 19 – Dean’s Professor of Finance Michael Faulkender joins the Kudlow program for a live in-studio panel discussion on “Restoring Prosperity in America."

DC News Now – Jan. 19 - Clinical Professor of Finance David Kass explains the economics of “Consumers to Start Paying for COVID Shots, Feds Poised to End Free Vaccine Program.” … Kass, via Al-Araby TV, discusses economic implications of more than 20,000 Americans losing their jobs in the technology sector during the first week of this year, representing 20% of those who lost their jobs in this sector during the entire year 2022. The segment (in Arabic) also is accessible via Facebook and a full-length video download.

TalkMarkets – Jan. 14 – Clinical Professor of Finance David Kass gives the “2023 Year-To-Date Percentage Returns Of 5Largest U.S. Stocks By Market Capitalization

Fox Business – Jan. 13 – Dean’s Professor of Finance Michael Faulkender discusses, on Kudlow, the potential for global recession in 2023 including: “The first half of this year is going to be into a recession, because of the activity the Fed has engaged in. You see the pullback in activity around home purchases and households starting to run through some of the money they accumulated during the pandemic. The savings rate is at one of lowest levels we’ve seen in a long time. The consumer sentiment number is still way down. So, indications suggest that at some point consumers are going to run out of money or certainly curtail the amount they have, and that’s going to lead to a mild recession in the beginning of this year.”

GARP – Jan. 13 – In his latest CRO Outlook column published by the Global Association of Risk Professionals Professor of the Practice Clifford Rossi writes “Reducing Operational Risk with Systems Engineering.” Summary: What are the underlying problems behind the operational failures that have plagued large banks? Should they consider a systems engineering approach to either supplement or replace the flawed project management processes that are currently in place?

Lipstick Alley – Jan. 13 – The women’s interest blog focused on social issues, quotes Associate Professor of Management and Organization Trevor Foulk among other academic experts in (Tips on being Resilient & Cultivating Spaces To Build Yourself Back Up. Having hobbies, passions, and a positive mindset about the Future): Trevor Foulk, who researches organizational behavior at the University of Maryland, told the Washington Post that rudeness is sort of like the common cold. It’s easy to catch and pass on to others. “When it comes to incivility, there’s often a snowballing effect. The more you see rudeness, the more likely you are to perceive it from others and the more likely you are to be rude yourself to others,” he said.

Technical.ly – Jan. 12 – “Q4 was the DC Area’s Lowest Quarter for VC Activity Since 2016” quotes Professor of the Practice Clifford Rossi: All that said, why are Q4’s numbers so low? Clifford Rossi, professor of the practice and executive-in-residence at the University of Maryland’s School of Business, attributes the figures to investors being a bit more conservative as of late. “My sense would be that investors are being a bit more circumspect given the potential for some deterioration in the economy,” he told Technical.ly.

CFO Dive – Jan. 12 – Associate Dean of Research Gilad Chen comments in “Quiet Hiring Dos and Don’ts”: One potential downside to quiet hiring exists when it is poorly managed, [Chen said] in an interview with CFO Dive. “Employees who are sent to new positions may feel their current position is in jeopardy, and it may be threatening to employees,” he said. However, if managed effectively, this concept could be motivating for employees, and become a part of their job rotation and career development opportunities, he said. For example, Google uses quiet hiring as a recruitment tool. “You bring in people for temporary positions, but it’s almost like a trial period, and that’s actually very motivating to those employees,” said Chen.

New Books Network – Jan. 11 – “Understanding Technology Bubbles” reprises a discussion with Smith management and entrepreneurship professors David Kirsch and Brent Goldfarb discussing their book Bubbles and Crashes.

US Army – Jan. 11 – “Soldier Finds Balance with Sikh Faith and Army Service” profiles Maj. Simratpal Singh (MBA ’20) whose career has included instructing West Point cadets on economics and principles of finance (“Smith prepared me to be an instructor at West Point by exposing me to the wonderful faculty who used creative ways to teach students,” said Singh in a separate article).

The New Yorker – Jan. 10 – In a Q&A, Associate Professor of Management and Organization Evan Starr discusses: “What a Ban on Non-compete Agreements Could Mean for American Workers.” Related coverage via Maryland Today’s “Management Professor’s Research Spurs U.S. Proposal to Ban Noncompete Agreements.”

Phys.org – Jan. 9 – “How the Experience of Almost Winning Impacts the Performance of Nominees” summarizes research by Smith Dean’s Professor in Leadership and Management Hui Liao ... Related coverage includes posts at Today’s Chronic and Science Newsnet.

Marketplace Radio – Jan. 9 – Associate Professor of Management and Organization Evan Starr comments in “The FTC’s Proposed Noncompete Ban Could be a Boon for Lower-Wage Workers: But noncompetes hardly ever go to court, according to University of Maryland economist Evan Starr. “They tend to be enforced informally in exit interviews, in threatening letters to workers,” he said. A few states, including California, have stripped noncompetes of any legal teeth; others have banned them for lower-paying positions. But workers don’t always know that, Starr said. Sometimes just the threat of a lawsuit is enough. “Low-wage workers generally don’t have the wherewithal to finance litigation even for a frivolous noncompete agreement,” he said. If the FTC’s proposed ban goes through, Starr said those workers will have a lot more leverage. As for their employers, he said there are alternatives — like nondisclosure agreements that protect sensitive information without limiting workers’ mobility. Related: Starr comments extensively in MarketWatch’s “FTC Wants to Ban Noncompete Agreements. This Man was Forced to Sign 4 Noncompetes. ‘It Just Doesn’t Feel Right,’ He Says.”

Advantage Biz Marketing – Jan. 6 – “Top Online Courses to Get Ahead in Dynamics Marketing” cites Smith MBA marketing courses.

Baltimore Sun – Jan. 6 – Hank Lucas, Robert H. Smith Professor of Information Systems Emeritus, writes op-ed, “Lessons for CEOs from Southwest Airlines’ Meltdown,” including: Much of the blame for this disaster has been assigned to Southwest’s network operating model: Southwest planes follow routes from one city to another, rather than operate from a hub where planes fly back and forth between two cities. The network model provides greater utilization of planes and less time on the ground, but it is highly sensitive to disruptions, like those from major storms. Southwest managers failed to fully understand the weaknesses in their operating model and failed to mitigate them, and much of this failure came from massive under-investments in information technology.

New York Times – Jan. 5 – "U.S. Moves to Bar Noncompete Agreements in Labor Contracts" quotes and references research by Associate Professor of Management and Organization Evan Starr: The agency estimated that the rule could increase wages by nearly $300 billion a year across the economy. Evan Starr, an economist at the University of Maryland who has studied noncompetes, said that was a plausible wage increase following their elimination. Dr. Starr said noncompetes appeared to lower wages both for workers directly covered by them and for other workers, partly by making the hiring process more costly for employers, who must spend time figuring out whom they can hire and whom they can’t. … Dr. Starr said that noncompetes did appear to encourage businesses to invest more in training, but that there was little evidence that most employees entered into them voluntarily or that they were able to bargain over them. One study found that only 10 percent of workers sought to bargain for concessions in return for signing a noncompete. About one-third became aware of the noncompete only after accepting a job offer. … Related: Starr is quoted in both TechTarget’s “FTC Proposed Ban on Noncompetes seen as Boldest Possible” and Business Insider’s “Ditching Noncompete Clauses Would be a Win for Workers' Rights and Employees in Low-Wage Jobs.”

December 2022

FIND MBA – Dec. 30 – Assistant Dean of MBA Programs Rosellina Ferraro and Assistant Dean and Executive Director of the Office of Career Services Neta Moye comment in “Online MBAs Refreshed for Digital Age”: Covid-19 accelerated what was already underway — a shift to a “digital-first” world, [says Moye]. “Organizations adopt digital strategies and operations to fuel growth and profit. To get there, they need employees with digital skills. Students see that digital skills will set you apart today; and they know that soon, they will be table stakes just to get in the door,” she explains. While it may be tempting to think this only applies to technology companies who build and sell digital solutions, Moyes says that surveys suggest more and more organizations will see a substantial percentage of their growth coming from digital products and services or improvements in operations fueled by digital tools and technologies. In response, the Smith Online MBA program offers a wide variety of course offerings that are foundational to building digital skills, such as social media and web analytics, and customer equity management. “MBA programs continually strive to update their course offerings to meet the skills required for success in today’s marketplace,” [says Ferraro].

Maryland Daily Record – Dec. 28 – Professor of Marketing Jie Zhang comments in “Retail Strong in Holiday Shopping Season Despite Inflation”: [Zhang notes] inflation is definitely playing a role in retail spending. “It is putting so much pressure on so many households, limiting their ability (to spend),” she said. “A lot of shoppers go into this holiday season with a strict budget and, if we look at overall spending, we can be fairly optimistic that we are going to see total spending is going to be higher than last year.” However, she cautions, we need to factor in the 8% inflation rate into these numbers. “Personally, I think (spending) is probably going to be slightly lower than last year if we subtract by the 8% inflation rate.” Zhang notes the retail industry is seeing a bipolarization trend which is certainly a reflection of the purchasing power across the income spectrum. People in the lower to middle incomes are feeling the brunt of the pressure of inflation as well as rising interest rates. “That would certainly limit people’s willingness to open up their wallet especially if they have to carry balances on their credit cards,” she said.

Analytics Insight – Dec. 28 – Smith’s Professional Certificate in Data Science and Business Analytics is profiled as part of “Top 10 Harvard Approved Business Analytics Courses to Do in 2023.”

Motley Fool – Dec. 23 – Clinical Professor of Finance David Kass contributes to “Top 10 Financial New Year's Resolutions for 2023” including: …In fact, Dr. David Kass, Professor of Finance at University of Maryland's Robert H. Smith School of Business, says, "Interest rates on credit card balances have soared to as high as 19% during 2022, far exceeding the 7% rate of inflation." With interest rates that high, even a small amount of debt has the potential to skyrocket. Kass says that to pay off debt successfully, it's a good idea to set up a monthly budget. That could help you reduce your spending in different categories to free up cash for debt payoff purposes.

Psychology Today – Dec. 23 – “Thrill of Going to Holiday Parties Alone” cites Dean’s Professor of Marketing Rebecca Ratner’s research: Another worry is that being out in public on your own just won’t be much fun. But that doesn’t hold up, either. In one of a series of studies conducted by Rebecca Ratner and Rebecca Hamilton, students who were either alone or with a friend were asked to predict how much they would enjoy going to an art gallery. The students who were on their own thought they would enjoy it less. But then, after they, and the students who were with a friend, actually did go to the gallery, it turned out that the students on their own enjoyed the experience just as much as the students who were with a friend. Other research by the same team showed that there are some experiences in public places that are more enjoyable on your own than with other people. Related: Ratner discusses the same research for Germany-based Süddeutsche Zeitung Sz in Bist du alleine hier? (Are You Alone?).

Seeking Alpha – Dec. 23 – Clinical Professor of Finance David Kass gives “10 Stocks For 2023.”

Fox Business – Dec. 23 – Dean’s Professor of Finance Michael Faulkender joins Independent Institute senior fellow Judy Shelton to discuss “President Biden Touting his Economic Plan.”

LexBlog – Dec. 22 – Professor and Chair of Accounting and Information Assurance Michael Kimbrough, based on his research, co-authors “Can Corporate ESG Reports Clear Up ESG Ratings Confusion?

Federal News Radio – Dec. 22 – MBA student and Space Force Captain Jared Bogdan discusses applying his technology management study at Smith to support the national defense strategy in “Why a Space Force Captain Went Back to School.” Summary: The Air Force and the business school at the University of Maryland have teamed up. Their program helps Air Force and Space Force officers get their MBAs, specializing in technology management. The officers return as faculty members of the Air Force Academy. Ultimately, they hope to speed up technology adoption by the armed services.

New York Post Editorial Board – Dec. 19 – “Terrible Toll of COVID ‘McCarthyism’, Chief Twit’s Improv Management and Other Commentary” excerpts a recent Washington Times op-ed by Deans’ Professor of Finance Michael Faulkender: Far from her “bleak picture,” in January 2021 it “was eight months into rapidly falling unemployment, strong GDP growth, and low, stable inflation.” “No further economic rescue was needed,” but Democrats’ American Rescue Plan brought “more government spending, advancing a vision where people’s livelihoods are separated from the virtues of work and where domestic energy production is vilified.” The result: “Consumer prices rising 13.8% since Mr. Biden, Ms. Yellen and their team took office, a historic labor shortage, and now the most rapid rise in interest rates in decades, coinciding with minimal economic growth.” Americans “need a return to pro-growth policies that encourage work, encourage investment, and boost energy production, with the private sector once again leading the way in generating abundant prosperity for all.”

USA Today – Dec. 18 – Nicole Coomber, assistant dean and associate clinical professor of management and organization, writes “What's Downshifting Your Career – And is it Right for You?” – including: For my latest research project, my co-authors and I interviewed working moms about their experiences during COVID. What we found: After an initial hustle that saw people committing extra time to ensure their organization succeeded, people started to realize the increased workload wasn’t going away. We interviewed women in spring and summer 2021, right when that weariness started to set in. They told us the situation forced a reassessment. What is truly important? What values do they want their lives to reflect? You can only run at top speed for so long.

USA Today – Dec. 18 – In the career advice column “Will Your Remote Job Stay That Way?”, Assistant Dean of Doctoral Programs and Dean’s Professor of Accounting Rebecca Hann writes, in part: Trying to find a new job where you can work from home? The pandemic prompted many jobseekers to look for remote or hybrid work, but how do you know whether the job you're applying for now will stay remote in the coming years? Some of the biggest clues can come from a company’s competitor.

Global Association of Risk Professionals (GARP) – Dec. 16 – Professor of the Practice Clifford Rossi writes, as his latest CRO Outlook column, “FTX Fiasco: Risk Management Lessons Learned.”  Intro: The failure of the crypto giant has shined a spotlight on the crucial role of CEOs, who must lead the development of comprehensive, engaging risk cultures.

Voice of America – Dec. 15 – “Biden Counters China Africa Strategy” (Beginning at 5:35) includes William E. Mayer Chair Professor of Finance Lemma Senbet discussing the just-concluded U.S.-Africa Leaders’ Summit that included a new agreement with the African Continental Free Trade Area to give American companies access to 1.3 billion people and a market valued at $3.4 trillion, along with a U.S. pledge to support the African Union's admission as a permanent member of the G20. Senbet, involved in consultative processes leading up to the summit including meetings in Congress for input to related bipartisan legislation under development, said, in part: “There are tremendous opportunities for growth. The question is how we get to the next level. One of the things Africa did was establish a large free trade area, basically trying to integrate the markets and labor, and service and trade and commodities. And this [has] incredible potential for building a vast market for the benefit of the world. And Africa partnering with the U.S. will help speed up the implementation of the trade agreement.”

Wiley’s Online Library – Dec. 10 – “Beliefs Aggregation and Return Predictability,” previews research forthcoming in the Journal of Finance co-authored by Albert “Pete” Kyle, the Charles E. Smith Chair Professor of Finance: We study return predictability using a model of speculative trading among competitive traders who agree to disagree about the precision of private information…

PolitiFact – Dec. 9 - “Corporate Profits do Not Drive Inflation, but Inflation Boosts Company Profit” references Dean’s Professor of Finance Michael Faulkender: Also, wages have not kept pace with rising prices for consumer goods and services, partly because salaries for the workforce’s middle tier tend not to be adjusted for sudden changes. That means for companies, revenue has risen but labor costs have increased by less, or not at all — and companies have captured that differential as profit, said Michael Faulkender, a University of Maryland finance professor who was the Treasury Department’s assistant secretary for economic policy from 2019 to 2021. Related: Faulkender co-authors op-eds at Fox News and the Daily Caller.

ESG News – Dec. 9 – “Six Ways Companies Can Drive Environmental, Social Change” summarizes a new report, The State of Environmental and Social Value Creation,” produced by Smith’s Center for Social Value Creation that “sets out a framework for understanding how companies across industries can generate meaningful, measurable improvement in environmental and social performance.” Related coverage at Investor’s Hub, Science Newsnet, others.

Cloudwords.net – Dec. 8 – “The Future of Streaming: How to Cut Costs & Save Money on Streaming Services in 2022” includes an ‘Ad-Based Revenue vs Higher Subscription Rates’ section by Dean’s Professor of Marketing Wendy Moe, including: “When these streaming services were just providing access to content created by others, the subscription model made sense… The original Netflix product offered a limited number of movies per month for a fixed subscription rate. Of course, there was also an unlimited option, but that was more expensive, and Netflix had to carefully weigh the price of the subscription against the likely cost of providing the licensed content. Now, the industry is moving toward a model where these platforms are creating their own content and providing that to their subscribers. As a result, the cost of serving these subscribers is increasing while the subscription fees they are getting remains relatively fixed. … The alternative is raising subscription rates, which consumers may not tolerate as well. This change would take the industry full circle and the streaming services will have the same business model as the ‘old school’ broadcast networks where they invest in content (e.g., producing series, licensing movies, paying for broadcast rights to sporting events) and pay for it with advertising revenue.”

Money Control – Dec. 6 – “Don’t Write Off Twitter Just Yet” references Clinical Professor of Finance David Kass: With business innovation, and prudent financial management, Musk could smooth over the costs and expect more. David Kass, a finance professor at the University of Maryland’s Robert H Smith School of Business, believes Musk could well attract investments from large funds with the prospect of an initial public offering in three to five years.

Finance Videos Network – Dec. 5 – Accounting Lecturer Samuel Handwerger gives a podcast discussion on “Business Financial Fraud.”

Fox Business – Dec. 1 – Dean’s Professor of Finance Michael Faulkender discusses America's economy and the job market in a segment, “US is in a ‘Continuous Loop’.”

CPG Specialist (Financial Times-produced) – Dec. 1 – “Tyson CFO Pleads Not Guilty to Charges of Criminal Trespass, Public Intoxication” quotes Assistant Dean and Associate Clinical Professor of Management Nicole Coomber: “It’s a huge responsibility to give the financial management of the firm to someone who has been accused of a criminal offense, and even a trial could be a huge distraction for a CFO,” Coomber said via email. “f I were a shareholder, I’d like to see a leave of absence from John Tyson while he focuses on his trial.”

Bankrate – Dec. 1 – Professor of the Practice Clifford Rossi comments in “Mortgage rate forecast for December 2022: A celebratory pause?,” including: While the Fed has some impact on mortgage rates, specifically variable-rate products, fixed mortgage rates are primarily influenced by the 10-year U.S. Treasury yield. The spread between the two has widened, but the yield has also dropped recently. “Consequently, I see some moderation in mortgage rates by the end of the year,” [says Rossi], who for December expects the 30-year rate to average 6.8 percent to 7 percent and the 15-year rate to average 6.1 percent to 6.3 percent. ... A recession in 2023, however, could switch things up again, especially if the job market suffers. “If inflation remains well above 6 percent or 7 percent in the first quarter of 2023, I could see additional smaller rate hikes in the 25 – to 50-basis point range, assuming the labor market holds up,” says Rossi. “A noticeable rise in the unemployment rate could, however, make the Fed think twice about even modest rate hikes early next year…and a wildcard that could severely affect the supply chain and add to inflationary pressures is a potential rail strike. If that were to occur, I could see mortgage rates loitering around the 7 percent level for some time.”

Legal Theory Blog – Dec. 1 – “Anenson & Gershberg on Stare Decisis and California Pension Precedent” previews research forthcoming in Loyola of Los Angeles Law Review by Smith professors T. Leigh Anenson and Jennifer Gershberg.

November 2022

CQ Roll Call – Nov. 30 – “Public Companies with Global Chains Fared Worse During Pandemic, Study Says” summarizes research co-authored by Lemma Senbet, The William E. Mayer Chair Professor of Finance, including: “Internationalization is not always a positive driver of firm value,” the authors wrote. “In certain cases, such as a global pandemic, where governments are forced to restrict the flow of people and goods to contain the virus, real factor exposures of [multinational companies] can become liabilities relative to those of [domestic companies].” Relying on international supply chains was a liability for many multinational companies, the authors concluded.

Forbes – Nov. 30 – Mojo Rawley is Thriving After WWE With a Powerful Business That Helps Wrestlers” includes: Dean Muhtadi (MBA ’11), formerly known as the highly energetic Mojo Rawley, was prepared for life after wrestling before even signing a WWE contract. Starting in the seventh grade, Muhtadi worked as an intern for Morgan Stanley at the age of 11. Despite going on to become a decorated collegiate athlete, who later turned pro, Muhtadi continued to build a solid foundation off the field by earning his MBA from the University of Maryland’s Smith School of Business.

Yahoo Finance – Nov. 30 – “Study Shows What Soccer Can Teach Managers About Hiring Top Talent” summarizes research co-authored by management professor Gilad Chen revealing how and when teams can make the most of new talent they pick up after the tournament. The findings also translate to the corporate world, where companies looking to win the war for talent often pay a premium to attract superstar employees. … Article also featured at Groundbreak Carolinas and related coverage via Maryland Today’s “Study Finds Hiring Stars on the Field or at the Office Can Pay Off.”

WalletHub ‘Ask the Experts’ – Nov. 29 – Distinguished University Professor Roland Rust answers “Why is Allstate so Philanthropic?”: Rust: “Insurance is often a lifetime relationship, but the initial brand choices are made by the young. The younger generation has demonstrated a greater interest in the social good, which means that a company that is seen as philanthropic may have higher appeal to the group they target the most for initial sales.”

Sinclair Broadcasting Group – Nov. 28 – Professor of the Practice Clifford Rossi comments in “Housing Market Winter Outlook: Still a Seller's Market, Just a Softer One,” including: Is there a danger of a housing market crash, like we saw in 2008? “No. Not at all,” said Rossi, who has held senior executive roles in risk management at multiple large financial services companies, including Citigroup, Countrywide Bank and Freddie Mac. “This is so totally different than a 2008.” Borrowers are more insulated from a downturn than they were in 2008, Rossi said. Mortgage products are also fairly pristine from a credit quality standpoint now, he said. … Rossi said both buyers and sellers are probably better off waiting until the spring or summer to see what happens with rates and the economy. He’s not expecting the market to deteriorate, but he thinks rates could edge lower and prices might soften. Rossi said a potential buyer should get their down payment ready and get prequalified for a loan. Be ready to act if rates come down a bit and the right home hits the market, but don’t be hasty, he said.

Washington Post – Nov. 25 – “Black Friday Isn’t What it Used to Be. Here’s Why.” Quotes Professor of Marketing Jie Zhang: “We are in unique economic situations — inflation has been at a 40-year high and a lot of families’ budgets are being squeezed from all fronts,” [said Zhang]. “So there isn’t as much enthusiasm to open up wallets coming into this holiday shopping season.”

Vulcan Post – Nov. 25 – ‘Will Twitter be the Next MySpace?’ quotes Clinical Professor of Finance David Kass: Instead of losing his investment, Musk can buy back Twitter’s debt from lenders at a steep discount to reduce the company’s debt load and interest costs, as well as its valuation… This will end up being beneficial for the company in the long run. Besides that, according to finance professor David Kass, Twitter could also replace some of its debt with equity and if successful, Twitter can generate positive free cash flow in two or three years… Kass also gives the “2022 Percentage Returns Of 5 Largest U.S. Stocks By Market Capitalization,” via TalkMarkets, for Nov. 27.

WUSA-9 - Nov. 23 - Smith senior Ronit Tuladhar discusses his research in “Did Social Media Influencers Pump Up Cryptocurrencies?”:  People like Ronit have grown up following online influencers since they were kids. But this was the first time he saw them promoting cryptocurrencies… Ronit found it wasn’t just gamers. All different social media influencers in 2021 were somehow involved in talking about cryptocurrencies on their platforms… One gaming YouTube influencer he focused on had millions of followers across several platforms. In June of 2021, this influencer promoted a coin called “Milf Token” for a few weeks. Ronit saw that after it was promoted on the influencer’s platforms the number of people buying it rose. At its peak, $20 million a day was invested into it. But then, not long after the peak, the influencer stopped promoting the coin. “It just completely plummets over the course of the entire month,” Ronit explained. As of this report, online exchanges show that "Milf Token" today only has about $30 traded on it daily. In the meantime, the influencer has removed all his posts about "Milf Token." The people who bought the coin are out of luck. “There needs to be some sort of legal consequence for what these influencers are doing,” Ronit said.

NPR – Nov. 23 – Associate Professor of Management and Entrepreneurship David Kirsch comments in “How Silicon Valley Fervor Explains Elizabeth Holmes' 11-Year Prison Sentence”: Holmes' punishment does come amid signs of a tech sector becoming less frothy. Both Big Tech companies and startups are laying off staff, new $1 billion companies are becoming harder to spot and venture capital firms are warning of a tough road ahead. Has the tech bubble burst, or is it about to burst? That determination, experts say, is easier made in hindsight. Tech bubbles don't pop in the way a bubble pops from chewing gum," [said Kirsch], who wrote a book about bubbles and crashes. Investment bubbles tend to deflate slowly. ... Kirsch, who studies tech entrepreneurs, was similarly skeptical about a major shakeup in the venture capital-backed tech startup world. The venture community is vulnerable to a shiny new story. They have been. They always will be, he said. “We're kidding ourselves if we think the recipe is going to change because Elizabeth Holmes goes to prison.

Skift – Nov. 22 – “Hilton Uncovers a Lot More About Blended Travelers After Student Competition” reviews the Adobe Analytics Challenge 2022, including the pitch by Smith MS in Marketing Analytics classmates I-Ju Lin, Chu-Hsuan Tsao and Yiling Kang, who captured the $35,000 top prize: They examined the cross-device customer journey of those booking travel with Hilton and used anonymized data from a portfolio of 18 brands and 7,000 properties worldwide to understand how consumers are making purchase decisions digitally across devices.

Maryland Today – Nov. 22 – Professor of Marketing Jie Zhang explains that after two years of robust holiday spending during the pandemic, inflation will dampen consumers’ plans this season, in Holiday Shopping Forecast: It’s Beginning to Look a Lot Like … Listless.

Wall Street Journal – Nov. 21 – How Elon Musk’s Twitter Faces Mountain of Debt, Falling Revenue and Surging Costs quotes Clinical Professor of Finance David Kass: The company could also replace some of the debt with equity, both from Mr. Musk and from outside investors, said David Kass, a finance professor at the University of Maryland’s Robert H. Smith School of Business. For that, Mr. Musk would need to persuade potential investors that he has a viable long-term business plan, he said. Replacing debt could enable the company to generate cash. Mr. Musk has said some of his latest Tesla Inc. stock sale, yielding almost $4 billion in cash, was because of Twitter. If successful, the company could generate positive free cash flow in two or three years, which it could use to pay down the residual debt and eventually go public again, Mr. Kass said. “The prospect of an eventual IPO within three to five years would be a very attractive enticement for large funds,” he said.

Maryland Today – Nov. 21 – Smith professors Martin Dresner (logistics) and Roland Rust give preemptive strategies for travelers in “These Post-COVID Air Travel Strategies Might Just Save Your Holiday.”

FIND MBA – Nov. 21 – Assistant Dean of MBA and MS Admissions Shelbi Brookshire contributes to How to Survive and Thrive on an Online MBA, including: At the Smith School in the US, each MBA candidate is paired with a personal specialist who ensures end-to-end support from admission through to graduation. These specialists proactively reach out to students during critical points in the Online MBA. “This regular and systematic activity keeps the student progressing toward graduation, uncovers challenges the student might be facing, and allows the support specialist to take action to assist at-risk students,” Brookshire says.

Forbes – Nov. 20 – “With Holiday Travel Here, Reviewing A Report On Best Airlines Of 2022” Distinguished University Professor Roland Rust: What measures can airlines undertake to diminish their pilot shortage? “With the military no longer being the source that it once was, airlines now may need to take on their own training. For example, United Airlines now runs a school that promises a job to all graduates, at one of United's regional carriers (which also are the primary source of pilots for the top jobs at the legacy carriers).”

TalkMarkets – Nov. 19 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns Of 5 Largest U.S. Stocks By Market Capitalization.”

Jornal Económico (Portugal) – Nov. 18 – Assistant Professor of Finance Bruno Pellegrino is awarded the Portuguese Competition Authority’s AdC Prize for Best Paper on Competition Policy for his paper “Product Differentiation and Oligopoly: a Network Approach.”

BusinessBecause – Nov. 18 – “5 of the Best Masters in Finance in the US” features the Smith’s Master of Finance program.

Poets & Quants – Nov. 16 – “Is The Online MBA Now For Career Changers?” highlights the Smith School: For the past two years, we’ve asked 2022 graduates if their online MBA degrees directly led to them changing industries and job functions. Those using the degree to switch job functions climbed from 44.44% last year to 45.42% this year. Graduates of the University of Maryland Smith School of Business reported the highest rate of job function changes at a frothy 81.82%.

Maryland Today – Nov. 15 – “Multinational Firms Suffered Disproportionately During Pandemic, UMD Study Finds” covers research by William E. Mayer Chair Professor of Finance Lemma Senbet.

Investing.com – Nov. 15 – “Taiwan Semiconductor Among Warren Buffett's Latest Buys” quotes Clinical Professor of Finance David Kass: In the first nine months of 2022, Berkshire poured $66 billion into stocks, 13 times more than what it invested during the same period in 2021. “This is classic Buffett,” said David Kass, a finance professor at the University of Maryland’s Robert H. Smith School of Business. “He is being greedy when others are fearful and fearful when others are greedy.” … Related: Economy Watch references Kass in “Occidental Petroleum: Warren Buffett Ups Stake While David Tepper Exits”: David Kass, a finance professor at the University of Maryland’s Robert H. Smith School of Business believes that Berkshire would eventually acquire Occidental. The last major acquisition by Berkshire was way back in 2015 when it acquired Precision Castparts. In 2022, the company announced the acquisition of Alleghany for over $11 billion.

Wall Street Journal – Nov. 14 – “Berkshire Hathaway Bought $9 Billion in Stock in Third Quarter” quotes Clinical Professor of Finance David Kass: Overall, Berkshire spent $66 billion buying stocks in the first nine months of the year. That is more than 13 times its spending over the same period in 2021. “This is classic Buffett,” said David Kass, a finance professor at the University of Maryland’s Robert H. Smith School of Business. “He is being greedy when others are fearful and fearful when others are greedy.” … Related: Kass gives the “2022 Percentage Returns Of 6 Largest U.S. Stocks By Market Capitalization for Nov. 12," via TalkMarkets.

Maryland Today – Nov. 11 – “A Three-Decade QUEST (Multidisciplinary Honors Program Celebrates 30th Anniversary of Solving Problems with Corporate, Government Partners)” quotes Interim Associate Dean for Undergraduate Programs Joseph Bailey: One of QUEST’s trademarks is a semester-long capstone course in which students consult on a problem that one of the program’s corporate or governmental partners is experiencing. “It was always a customer-centric program—that has continued on through the many years, but what customers are worried about and thinking about, that’s changed,” [said Bailey].

Science Newsnet – Nov. 10 – Accounting Lecturer Samuel Handwerger writes “Will ERC Equal PPP in Terms of Fraud?”: With the IRS warning about “ERC mills” – third parties improperly advising businesses to claim the employee retention credit, Handwerger explains Congress’ shifting guidelines, the “less-than-scrupulous consultants” and a newly bolstered IRS as “a perfect storm” for ERC fraud exposure.

Maryland Today – Nov. 10 – “$1M Award to Support Data-Driven Fight Against Pandemics” quotes and cites Dean’s Professor of Management Systems Louiqa Raschid as principal investigator for a new NSF-funded project: “We think the benefits of PandEval will be twofold: increasing trust and confidence in our public health infrastructure and giving decision makers epidemiological models that are customized to specific population segments,” said Raschid. “This can be invaluable for things like vaccine rollouts and health-related mandates.”

CFO Magazine – Nov. 8 – “Tyson CFO Arrested, Reviving Critics’ Concerns Over Inexperience, Conflict of Interest” quotes Assistant Dean and Associate Clinical Professor of Management Nicole Coomber: “We can have blind spots when it comes to our loved ones… Typically, any family-run business where a family member is appointed to leadership needs to make sure they have a transparent governance model, and a family charter that specifically addresses how they will manage any conflicts of interest,” [said Coomber]. Related: Food Dive’s Nov. 8 report “New Tyson CFO Arrested on Trespassing, Public Intoxication Charges” quotes Coomber extensively.

California Management Review – Nov. 7 – Michael D. Dingman Chair in Strategy and Entrepreneurship Anil K. Gupta co-authors “Harnessing Alternative Data for Competitive Advantage.” Summary: Companies now have access to a tsunami of non-traditional data for creating and capturing value.

CFO Dive – Nov. 7 – Assistant Dean and Associate Clinical Professor of Management Nicole Coomber comments in “New Tyson CFO Arrested for Trespassing, Public Intoxication”: Among the major concerns was how or whether the board would go about removing the younger Tyson from his post should circumstances indicate a termination might be in order. Tyson’s arrest now puts the board in a difficult position, [according to Coomber]. “If a family member is in crisis, you want to support that person. However, if an executive has committed an illegal act, you must return to your written policies. It is crucial for the company at this point to make sure that they are adhering to whatever they have written down in their code of ethics.” … Coomber commented separately for Financial Times newsletter CPG Specialist in “Tyson's Newly Minted CFO Arrested for Public Intoxication, Criminal Trespassing” (not online): The arrest should be a wake-up call for Tyson, one corporate management expert said. “The company needs to take a hard look at their own decision-making and not just scapegoat him for the problem,”[Coomber said.] “I can't imagine that this is the first sign of any issues with this executive, and if they ignored the signs that he had substance abuse issues they need to examine their own blind spots.”

TalkMarkets – Nov. 5  – Clinical Professor of Finance David Kass gives “5 Highlights of Berkshire Hathaway’s 2022 Third Quarter Report.

The Hill – Nov. 4 – Dean’s Professor of Finance Michael Faulkender writes op-ed, “America First Policies will Revitalize our Economy.”

GARP CRO Outlook  – Nov. 4  – Professor of the Practice Clifford Rossi writes “How to Avoid the Risk Mechanic Syndrome in Machine Learning.” Summary: Complex, ML-driven risk models are trending at financial institutions, sometimes at the lamentable expense of critical-thinking skills. Consequently, there’s also now a greater demand for risk managers with technology backgrounds – but firms that adopt the latest modeling marvels would be wise to adopt a hybrid approach where cross-trained data scientists, economists and statisticians work side-by-side.

WalletHub – Nov. 2 – Ralph J. Tyser Professor of Marketing Amna Kirmani addresses ‘Car Insurers Using Celebrity Endorsers,’ in a brief “Ask the Experts” Q&A.

American Banker – Nov. 1 – “Pushback From U.S. Banks Softens GFANZ Climate Rules” quotes Professor of the Practice Clifford Rossi: [Rossi said] that GFANZ “got a little ahead of its skis” and was “overly aggressive” on how decarbonization plans should proceed. “I think they got an earful from bankers when they started to see that these restrictions came in a little bit harsher than they thought they were going to be,” said Rossi... He added that pushback from conservative lawmakers on climate commitments “has had a ‘stop and let's think long and hard’ effect on these institutions." Economic developments this year, including the war in Ukraine's impact on energy prices, are “resetting people's expectations on how fast initiatives transitioning to a green economy can actually happen.”

Phys.org – Nov. 1  – Do IPO Firms Become Myopic? summarizes research co-authored by finance professors Vojislav (Max) Maksimovic and Liu Yang, including: “After firms go public, or have their Initial Public Offering (IPO), [they, compared to private firms] respond more to investment opportunities and have higher productivity in their early public years.”

HuffPost – Nov. 1 (Originally published Oct. 27)  – Undermining You At Work, According To Science And 'The (Netflix series) Mole' quotes Associate Professor of Management and Organization Trevor Foulk and references his research: “If someone is paranoid, they might interpret a simple benign interaction as an insult,” [said Foulk]. “For example, if someone walks by in the hall and doesn’t say ‘hi,’ under normal circumstances you’re like, ‘Oh, they’re just busy today.’ But when paranoid, you’re like, ‘Oh, they’re mad at me, why didn’t they say ‘hi?’ Oh, I hope they’re not talking about me behind my back.’” … And generally, the more powerless you feel in your organization, the more paranoid you are likely to be, Foulk and his colleagues say in a study they published in the journal Organizational Behavior and Human Decision Processes. [Foulk] found that supportive organizational environments can lessen powerless employees’ paranoia. “Since paranoia is a state of vigilance to potential threats, when we feel supported we are a little less worried about those threats,” Foulk said. “If you’re worried that people are talking behind your back, conspiring against you, etc., but you also feel that if it came to it, your manager would support you, the threat that those people represent –– again, whether real or not –– doesn’t seem as bad, since you know you’ll be able to protect yourself even if the threat became real.”

October 2022

Fox Business – Oct. 31 – Dean’s Professor of Finance Michael Faulkender discusses with Larry Kudlow the Federal Reserve's monetary policy options under current regulatory and fiscal challenges… Related: Faulkender discusses the latest GDP report and what it signals about the US economy, via 77 WABC’s Kudlow Show (Oct. 29).

WMAL (via SoundCloud) – Oct. 31 – Dean’s Professor of Accounting Rebecca Hann discusses her recent research in “Remote Work Became Commonplace During the Height of the Pandemic but the Trend Began Before COVID Finds One University of Maryland Researcher (Parts one and two).”

TheBayNet.com – Oct. 30 – “Technology And Business Accelerators Provide Resources To Many New Maryland Businesses” references Smith’s Dingman Center for Entrepreneurship: The Robert H. Smith School of Business is another major catalyst in that space. Their relentless effort always brings some unique yet superb outcomes. Every year their Terp Startup Accelerator 2022 Cohort provides seed funds for a few out-of-the-box ideas selected from the students. Maryland is the place for new businesses, and that is for a reason.

TalkMarkets – Oct. 30 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns Of 6 Largest U.S. Stocks By Market Capitalization.”

GARP Risk Podcast – Oct. 28 – Professor of the Practice Clifford Rossi discusses “Tail Risk: How to Incorporate Extreme Events into Financial Risk Modeling”: Summary: Risk modelers have recently been befuddled by rare and powerful non-financial events, including the pandemic, geopolitical conflicts, radical weather happenings, and a supply-chain crisis. What are the characteristics and impacts of these unpredictable incidents? In this podcast, [Rossi] will address these issues, and also share his views on how financial institutions can better understand these risks and link them properly to financial losses.

Clear Admit – Oct. 28 –“Real Humans of the UMD Smith MBA Class of 2024” comprises profiles and Q&As featuring Smith MBAs Abiola James, Anuja Balaji, Courtney McClammy, Jonathan Fogg, Christiaan Van Der Merwe and Tydearian Cocroft.

New York Times – Oct. 26 – “How Biden Uses His ‘Car Guy’ Persona to Burnish His Everyman Image” quotes Associate Professor of Strategy and Entrepreneurship David Kirsch: “It’s convenient for senior American politicians to have a favorite American muscle car,” said Kirsch, a professor at the University of Maryland’s business school and the author of “The Electric Vehicle and the Burden of History.” “It is a type of affinity with the American worker, and I think it does connote an image of male virility and machismo that is important for a leader who wants to appear strong.”

Harvard Business Review – Oct. 26 – Dean’s Professor of Management Subra Tangirala explains his recent research in co-authoring “When Speaking Up, Timing is Everything.” Summary: Raising ideas or concerns to managers can raise your profile positively, but not if your busy manager doesn’t have the headspace for it. The authors present research suggesting that people who wait until their contribution is relevant to their unit’s agenda, fully researched, and likely to fall on receptive ears are not only more likely to get listened to, they are also more likely to get promotions and pay raises.

Fox Business – Oct. 25 – The Kudlow ‘Biden’s War on Fossil Fuels’ segment includes Dean’s Professor of Finance Michael Faulkender’s comments on energy policy and recession: Faulkender: “The most important thing we can do, Larry, is unleash American energy. At the end of the day, low-cost access to energy has a broad impact across the economy. And so, the most we can do to help economic ingenuity here in the United States is to bring down energy prices and to end the war on American energy.” Kudlow: “…A great answer – a concise, on-target, superb answer by a distinguished economist.”

Alpha Beta Stock – Oct. 25 – “Why Did Apple Stock Split?” references previous comments by Clinical Professor of Finance David Kass: University of Maryland business professor David Kass argues that stock splitting was a practice used by companies to keep their stock prices in the mid-double-digit range. Moreover, companies did this as often as possible because broker commissions were fixed, and investors preferred trading in “round lots” of 100 shares. In contrast, if an investor purchased less than 100 shares, broker commissions were amplified, the reason behind holding “round lots.”

WalletHub Ask the Experts – Oct. 25 – Accounting Lecturer Samuel Handwerger explains the ‘Age Algorithm in Car Insurance Premiums.’

Poets & Quants – Oct. 24 – “Maryland Smith Unveils New Military Scholarships for the Full-Time MBA Program” (scroll down) quotes Director of Federal and Veteran Affairs Frank Goertner: “At Maryland Smith, we see military and veteran professionals as more than just business students…They are strategic assets for our school, our communities, and our united economy. That’s why we lead the Initiative for Veteran Lifelong Leadership and continue to expand our investment in this diverse inspiring cadre of learners.”

Daily Caller – Oct. 22 – Dean’s Professor of Finance Michael Faulkender co-authors op-ed “An Inflation Nation — The New Norm.”

TalkMarkets – Oct. 22 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns Of 6 Largest U.S. Stocks By Market Capitalization.”

Mortgage Banker Magazine – Oct. 19 – Professor of the Practice Clifford Rossi describes, in a Q&A, “Where the Housing Market is Headed.”

FIND MBA – Oct. 18 – Assistant Dean and Executive Director of the Office of Career Services Neta Moyeand Executive Director of MBA admissions Shelbi Brookshire comment in “Hot Job Market Boosts the Appeal of Online MBAs”: “The current hot job market has a unique underpinning of economic uncertainty creating volatility in overall demand. The schools with nimble and customizable delivery, whether it be entirely online or hybrid, are seeing steady demand while those with less flexible programs are trending back towards pre-pandemic levels,” says Brookshire]. In addition, [Moye] says there are strong arguments for pursuing an Online MBA now, as recessionary fears rise. “Working professionals are now more adept at navigating hybrid and online meetings and may, in fact, find they prefer an online option,” she says, pointing to the shift in working practices driven by the pandemic. “They have learned how to connect and build community in a virtual environment, work in teams, and manage deadlines effectively,” adds Moye. “All these skills will translate to an Online MBA program.” Furthermore, senior professionals that find themselves working from home may also have additional time previously dedicated to commuting, further boosting the appeal of Online MBA programs. “Depending on the commute, this could be a substantial chunk of time that could be invested in earning credentials valuable in a new position or new career,” says Moye, adding that such a move would be well worth the investment. “The additional credential offered by earning an MBA differentiates employees in industries that rely on strong communication, conceptual thinking, effective team dynamics, and analytical skills. As the job market tightens, these points of differentiation are necessary to ensure the most career options.” … In any case, Brookshire at the Smith School points out that there are plenty of other ways that students can fund Online MBA courses, including scholarships that the business school offers to admitted candidates and a payment plan that facilitates three or four installments per semester, to spread out the cost of the degree.

Journal of Accountancy – Oct. 2022 – Adjunct Professor of Accounting Stacey Ferris co-authors “What CPAs need to know about NFTs,” including: This article explores what CPAs need to know about NFTs today and why there is so much hype around them. What problems do they solve? What differentiates an NFT from other digital assets and gives it value? How are they created? And for accounting purposes, what are the types of NFTs?

DATAQUEST Magazine – Oct. 2022 – Professor of the Practice in Systems Thinking and Design Gerald Suarez comments in “The Great Resignation: Would the birds come back?” (Pages 8-13 in this digital copy), including: “The unimaginable future became a reality in a short period of time, requiring employers to react and iterate their strategic initiatives and navigate ambiguity and complexity while maintaining continuity of operations and empathic working conditions. These disruptions allowed employees to reconceptualize their purpose, reframe their values, seek new meaning in work, and calibrate their work expectations, hence the birth of ‘The Great Resignation.’ Employees removed the fears that blocked them from making different career choices, embraced the values that bolster them, and chose new options with courage and resolve.” Prof. Suarez’s reckoning, the implications of this shift will continue to ripple through and expand through time like a pebble hitting a calm pond. “Employers will find themselves catching up with unanticipated consequences, including the emerging mind-set where flexibility, good working conditions, mental health, engagement, and sense of belonging, and having a mission, not just a job, are paramount to employees.” As to employers, they must grapple with adopting automated and digital solutions and seeking ways to integrate people and technology synergistically. “Effectively embracing virtual and augmented reality will allow employers to leverage remote interactions without eliminating the human elements that shape the organization’s culture.”

MBA (Mortgage Bankers Association) Newslink – Oct. 17 – “FICO: Understanding the Risks of Multiple Credit Scores in Mortgage Lending” summarizes recent research by Professor of the Practice Clifford Rossi.

Cincy Chic – Oct. 17 – “How Have Dress Codes Changed, and Are They Similar for Men and Women?” references and links to extensive comments by Professor of Marketing Jie Zhang: Dress codes as a whole have relaxed since the pandemic, and much of it has to do with re-accommodating staff that may have been working from home for the past two years. As stated [by Zhang], relaxed dress codes make the transition back to the office easier and serve as an incentive for those who may have become accustomed to the comfort of telecommuting.

TalkMarkets – Oct. 16 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns Of 6 Largest U.S. Stocks By Market Capitalization.”

Voice of America – Oct. 14 – William E. Mayer Chair Professor of Finance Lemma Senbet discusses economic challenges facing Africa, as part of coverage of the IMF-World Bank Group Annual Meetings, in a VOA Africa Tonight (6:00-11:12) broadcast.

Wall Street Journal – Oct. 12 – Dean’s Professor of Finance Michael Faulkender co-authors op-ed “Censorship Is a Consumer Harm.” Opening: The litmus test for government antitrust actions has traditionally been the consumer-welfare standard developed by Robert Bork: If consolidated market power doesn’t lead to higher prices, consumers haven’t been harmed, and there’s no justification for government to act. By this view, Big Tech is off the hook. Its prices are low, sometimes free. This view is too narrow. For one thing, digital networks with monopoly power can charge higher prices for advertisements, ultimately passed on to consumers.

HousingWire – Oct. 12 – Professor of the Practice Clifford Rossi writes op-ed “ICE/Black Knight Merger Could Raise Mortgage Costs.” Opening: It’s no coincidence that the post-2008 crisis mortgage expansion happened to occur during a period marked by transformative technological change in the industry. However, a double whammy of building economic headwinds and a proposed merger between ICE Mortgage Technology and Black Knight threatens to upend much of the benefit from robust competition that fostered considerable innovation in mortgage technology over the last decade.

National Mortgage News – Oct. 11 – “The Strange Litigation Onslaught Against CrossCountry Mortgage” quotes Professor of the Practice Clifford Rossi: Mortgage industry experts say such actions, if they occurred, would have crossed the line ethically, if not legally. “Downloading, say, the entire customer database would in my opinion constitute a breach of confidentiality or a noncompete agreement an employee might have,” said Clifford Rossi, Citigroup's former chief risk officer for consumer lending and currently a professor at the University of Maryland.

USA Today – Oct. 10 – Career advice columns “How to Ask for What you Want Before Taking a Job” by Associate Professor of Management and Organization Rellie Derfler-Rozin and “Avoiding a Bad Boss – and Joining the Right Team” by Associate Director of Executive MBA Career Coaching, Programming and Outreach Rachel Loock are republished.

Wall Street Journal – Oct. 8 – “September’s Stock-Market Woes May Bode Well for October” quotes Russell Wermers, the Paul J. Cinquegrana ’63 Endowed Chair in Finance, and cites his research, including: Seasonal affective disorder, known as SAD, is a depressive mood disorder related to the change of seasons that severely afflicts a small percentage of the population. According to [Wermers], who co-wrote a study correlating SAD with mutual-fund flows, it also is “associated with a greater level of risk-aversion by a much larger body of the population.” Though we tend to associate SAD with the winter months, Dr. Wermers says that what affects the stock market isn’t the absolute number of those suffering from SAD at any particular point, but changes in that number. And the biggest month-to-month change in those suffering from SAD—and the risk aversion with which it is associated—occurs in September, when daylight wanes faster than in any other month, he says. That, in turn, leads to a significant net outflow from mutual funds in the average September, the research found.

GARP – Oct. 7 – Professor of the Practice Clifford Rossi writes “The Forecast for U.S. Housing Risk: Cracks in the Foundation?” as his latest CRO Outlook piece for the Global Association of Risk Professionals. Summary: The American housing market has fared well this year, but there have been some ominous signs lately – particularly in the non-banking sector. Should we be worried about housing risks across the short – and long-term or is the market now well-protected from systemic threats?

Maryland Today – Oct. 7 – “Gender Bias Plagues Online Doctor Reviews, Study Finds” summarizes recently published work at JMIR Formative Research by Associate Professor of Management Science and Statistics Margrét Bjarnadóttir.

Associated Press – Oct. 5 – “Twitter Under Musk? Most of the Plans are a Mystery” quotes David A. Kirsch, professor of strategy and entrepreneurship: “This is not a car manufacturer where, good enough, all you have to do is beat General Motors. Sorry, that isn’t really that hard,” said David Kirsch, a professor of strategy and entrepreneurship at the University of Maryland who’s studied Twitter bots’ effect on Tesla’s stock price. “You are dealing here with all of these other companies (that) also have very sophisticated AI programs, very sophisticated PhD programmers...everyone is trying to crack this nut.” Related: Best Gaming Pro quotes Kirsch in “What kind of Twitter will Elon Musk run?” (Oct. 7)

Washington Times – Oct. 4 – “Housing Market Needs Deregulation, not Whitewashed Credit Data” quotes and refers to research by Professor of the Practice Clifford Rossi: [Rossi points out in a new research paper that the interest by policymakers to expand access to borrowers with little to no credit history could “disrupt” how the mortgage industry has traditionally used credit scores to allocate financing… VantageScore, a credit-score model development firm created by the credit reporting agencies, announced that starting in October they would “stop factoring all medical debts” into their scores. According to Dr. Rossi, “VantageScore’s approach to analyzing unscorable consumers is to relax the criteria FICO applies in generating a credit score.”

September 2022

CFO Dive – Sept. 30 – Assistant Dean and management and organization professor Nicole Coomber comments in “Tyson Heir CFO Pick Draws Ethical Fire,” including: “Research on cognitive biases demonstrates that we often think of decisions as ‘business decisions’ rather than ethical ones. One risk here is a ‘slippery slope,’ where the CFO might make small lapses (such sharing company documents that only the CFO might have access to with family members) that grow into larger ones,” [said Coomber]. Another concern around the appointment is Tyson’s age…The younger John Tyson will take the financial helm at just 32. “I think we will see more C-suite leaders in their 30s. Experience is a double-edged sword; it can lead us to think we know the right answer when we are faced with situations similar to what we have already experienced,” said Coomber. 

MIT Sloan Management Review – Sept. 29 – Rudolph Lamone Chair of Strategy and Entrepreneurship Rajshree Agarwal weighs in on "Is Tesla’s Era of Dominance Coming to an End?" (From the “Table” menu button): “As is consistent with industry evolution research, the resurgence of EV technology (which lost out to the internal combustion engine around the turn of the 20th century) was led by Tesla, but the new wave of entrants includes startups — some of which are spinouts of Tesla — and established firms in the automobile industry. Thus, the EV segment will grow, and Tesla’s dominance will recede even if Tesla continues to grow.”

Accounting Today – Sept. 29 – “Deloitte Launches Artificial Intelligence Initiative (with UMD Smith)”  quotes Wedad Elmaghraby, dean’s professor of operations management: “The DIAL program enables Smith and Deloitte to continue their critical collaborations at the forefront of cutting-edge research and emerging technology," said, in a statement last week. "This includes partnering with local industry and federal partners to drive innovation for the public good, creatively pushing our students to embrace analytics challenges in new and unexplored areas of importance, and investing in our understanding of ethical, trustworthy artificial intelligence to further its potential promise.” Related coverage by The Evolving Enterprise, The Business Monthly, others.

European Pharmaceutical Review – Sept. 29 – Professor of the Practice Clifford Rossi explains how the introduction of pharmaceutical manufacturing quality ratings by the FDA can reduce drug shortages and improve pharmaceutical company financial performance, in “Economics and Risks of FDA’s Quality Management Maturity Rating Programme.”

Noema Magazine – Sept. 29 – “Who Gave the Battery Such Power? ” quotes Associate Professor of Management and Entrepreneurship David A. Kirsch: Another chance came for the electric car, in 1996 when General Motors introduced the EV1, complete with a futuristic digital display and keyless entry. By 2006, a documentary asked in its title “Who Killed the Electric Car?” Again, GM had aced the marketing portion of the business, Turner writes, but fell short on providing a product that drivers could rely on. Or perhaps both stories are too simple. Men early last century were more interested in gas-powered cars because the sound gave them a chance to attract attention, and a faulty engine gave them a chance to show off their mechanics know-how. Men controlled wealth, so they were better customers. Historian David Kirsch concluded in his 2000 history of electric vehicles, which is cited in both books, that the problems with oil were not a result of gas-powered vehicles per se, but rather of the “massive expansion of the automobile transport system.”

Online Marketing Scoops – Sept. 29 – “Apple Removes a Trading App Linked to Crypto Scams from The App Store” quotes Professor of the Practice Clifford Rossi: Apple can promise trust in transactions, account protection, and ease of use by reducing cost and time for consumers when they need access to the financial banking system. This means more market penetration while maintaining privacy, security, and transparency. In addition, [Rossi said] that having a digital or crypto wallet and its own stable coin or a crypto pegged to the price of a fiat currency, could give Apple a competitive advantage over other retailers and will increase the competitive landscape of the personal banking and payment processing industry.

Poets & Quants – Sept. 28 – “Favorite Professors of The MBA Class Of 2022” include Associate Professor of Logistics, Business and Public Policy Rachelle Sampson — excerpted from Smith grad Daylin Russo’s profile in P&Q’s Class of 2022 Best & Brightest MBAs, including: “During my first semester in my first year of the program, our economics professor Dr. Rachelle Sampson had an incredibly positive and profound impact on me. For some, the prospect of waking up early to simply roll out of bed and get onto a Zoom lecture might not seem very enticing. But with Dr. Sampson, this was absolutely not the case. In fact, it was quite the opposite: learning about economics and public policy in her “Managerial Economics and Public Policy” class at 10 a.m. could not have been more exciting. The way she seamlessly linked topics together and connected concepts to current events helped me to effectively learn the course material and understand the enormity of their impacts. Her focus on long-term, sustainable profitability of firms and her passion for ESG integration into corporate strategy also helped me to conceptualize my short-term and long-term career goals.

WalletHub – Sept. 28 – Clinical Professor of Marketing Henry C Boyd III gives insights into MasterCard and its backstory via an ‘Ask the Experts’ Q&A.

Poets & Quants – Sept. 28 – MS in Business Analytics Academic Director Suresh Acharya comments in “Maryland Smith to Relaunch Online Business Analytics Master’s — At Half The Price,” including: Among the faculty teaching in the new Smith OMSBA will be Michel Wedel, an expert in consumer science and among the top 2% of the most-cited scholars and scientists worldwide…“Michel Wedel is a renowned researcher,” Acharya says. “There are 15 faculty members in the Smith School that rank in the 2% of most published in the entire country. Michel Wedel teaches Advanced Marketing Analytics in our program — so that’s the kind of caliber we have in that one category. But we have a bunch of wonderful research faculty, and the students will have access to them. “Another featured teacher is Gisela [Bardossy]. She has been teaching for a long time, has won a number of awards. In my mind, what she does so well is she connects so well with the students. You can be a wonderful teacher and deliver, but you also need that human connection.”

SciDev.Net – Sept. 27 – Lemma Senbet, William E. Mayer Chair Professor of Finance, comments in “USAID Deepens ‘Localisation’ Efforts with Focus on Africa”: [Senbet] said the shift was “welcome but overdue.” “For years the dominant modality for donor engagement has been top down and disempowering. Localisation is bound to yield better development outcomes, including self-reliance,” he said in comments on Twitter.

Federal News Network – Sept. 26 – “New Course Would Teach Feds to Manage Latest IT” features Assistant Dean Joseph Bailey discussing Smith’s recently launched Tech Management MBA Specialty Elective Track and Graduate Certificate targeting managers in public and private sectors.

TalkMarkets – Sept. 24 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns Of 6 Largest U.S. Stocks By Market Capitalization.”

MarketWatch (via MSN Money) – Sept. 21 – “September's SAD Tale: Seasonal Affective Disorder Could Explain Why Stocks are Being Hit Hard this Month” references research co-authored by Russell Wermers, Paul J. Cinquegrana ’63 Endowed Chair in Finance: Researchers were able to connect these monthly SAD changes with the stock market by measuring flows of cash into and out of equity mutual funds. Perhaps the most prominent study establishing this connection appeared in [“Seasonal Asset Allocation: Evidence from Mutual Fund Flows.”] The researchers went to great lengths to eliminate the possibility that monthly changes in the incidence of SAD were a proxy for some other factor previously found to explain stock market changes. After controlling for those other factors, they found a high correlation between the data in the accompanying chart and flows into and out of equity mutual funds. The month experiencing the biggest net outflow is September. That’s strong circumstantial evidence. Even more compelling is what emerged when the researchers studied the correlation between SAD and mutual fund flows in Australia. Since that country is in the southern hemisphere, the incidence of SAD should be the mirror opposite of the U.S. pattern. Sure enough, mutual fund flows in Australia follow the same pattern as in the U.S., shifted six months forward.

Poets & Quants – Sept. 22 – “Busy Month For Deloitte: Consulting Giant Announces Major B-School Initiatives” highlights the newly announced Deloitte Initiative for AI and Learning (DIAL) that builds upon previous Deloitte and Smith collaborations, such as the Smith Analytics Consortium and quotes Dean’s Professor of Operations Management Wedad Elmaghraby: “The DIAL program enables Smith and Deloitte to continue their critical collaborations at the forefront of cutting-edge research and emerging technology,” [says Elmaghraby]. “This includes partnering with local industry and federal partners to drive innovation for the public good, creatively pushing our students to embrace analytics challenges in new and unexplored areas of importance and investing in our understanding of ethical, trustworthy artificial intelligence to further its potential promise.” … Related coverage via, The Business Monthly, Maryland Today, Maryland Daily Record, AiThority, others.

Baltimore Sun Education – Fall 2022 – Assistant Dean Joseph Bailey describes Smith’s Interdisciplinary Business Honors Program, as part of “Innovative Business Programs: Hands-on Work Critical to Today’s Marketplace” (Page 7), including: [Bailey says] the program was established in order to attract some of the brightest incoming freshmen and “celebrate a diversity of perspectives.” The students will enter what Bailey calls a “living program” and delve into subjects that shape the landscape of business. In this inaugural class, Bailey says the students will focus on what the future of the workplace will look like. He says they will explore ways in which businesses will likely organize themselves in the future, something that has already been sparked by reactions to COVID-19. “We’re reinventing organizations in real times these days and the pandemic has been a huge accelerator for that. Now we have to determine what this means for the future,” Bailey says.

Supply and Demand Chain Executive – Sept. 20 – (originally published Sept. 15) “Weather-Proofing Supply Chains Against Climate Risk” summarizes a study co-produced by Research Professor Emeritus Sandor Boyson and Smith's Supply Chain Management Center.

FIND MBA – Sept. 19 – Associate Clinical Professor of Marketing Mary Beth Furst helps explain how “How Online MBAs Improve Remote Leadership”: In [Furst’s] experience, the most sought-after skills focus on transformational leadership. “Virtual and flexible workspaces require a leader who can motivate teammates to enthusiastically contribute, communicate clearly and authentically, and empathize with team members juggling new challenges created by work-from-home arrangements,” she says. At Maryland Smith, many courses provide opportunities for students to work in teams to research, design, analyze, write, and present on various topics. These experiences provide real-world applications where students test and prove their ability to manage teams remotely. Demand for such content and experiences looks set to only grow in the coming years, as the pandemic drives what is likely to be a permanent shift in working practices. Furst says: “With more employers deciding to forego in-person work in favor of continuing more flexible work-from-home arrangements, leading and working in remote teams is here to stay for the foreseeable future.”

The Hill – Sept. 17 – Accounting Lecturer Samuel Handwerger writes op-ed “Yeshiva v. YU Pride Alliance and its ‘tax-exempt status’ backstory.”

GARP – Sept. 16 – Professor of the Practice Clifford Rossi, in his latest CRO Outlook column for the Global Association of Risk Professionals writes:A Call to Arms: Incorporating Extreme Events into Financial Risk Models.” Summary: Recent nonfinancial incidents including geopolitical conflicts, the pandemic and a supply-chain crisis, have destabilized markets and sent risk managers scrambling for answers. What steps can we take to better understand these unpredictable risks, and how can we properly link them to financial losses?

Brookings – Sept. 15 – Associate Professor of Management and Organization Evan Starr co-authors: “Work-From-Anywhere as a Public Policy: 3 Findings from the Tulsa Remote Program.”

Inside Mortgage Finance – Sept. 15 – Professor of the Practice Clifford Rossi discusses Ginnie Mae's new issuer eligibility requirements and how they might impact mortgage lenders and issuers in the government home loan space in “McCargo Sets Listening Tour on Ginnie IssuerEligibility Standards”: Clifford Rossi, a professor at University of Maryland’s Robert H. Smith School of Business, said Ginnie, unlike Fannie Mae and Freddie Mac, faces significant counterparty risk and would be on the hook for paying investors if a large servicer went out of business. Although Rossi supports Ginnie’s move to bolster the long-term viability of its issuers through the new standards, he said it’s possible some of them will re-calculate their participation in the program. One of the consequences of having fewer Ginnie issuers could be less access to capital for FHA and VA home loans, he noted, which would probably lead to higher interest rates for borrowers. Those are tradeoffs policymakers must make, he added.

Poets & Quants – Sept. 15 – “11 Lessons from The Best & Brightest Class of 2022” highlights Smith executive MBA graduate Aimee Smart: For Aimee Smart, the advantage of undertaking an MBA mid-career is that she could immediately apply the concepts she was learning in the classroom. “Throughout the program, I had several mini epiphanies. I gained a deeper understanding of the other interdependent factors, beyond the technical elements, that underlie business decisions when considering in-licensing new technology, enabling me to develop valuation models and build more complete business cases,” says Smart, Vice President of Clinical Development and Regulatory Processes at Lung Biotechnology PBC. ... “One lesson that had a significant and lasting impact was thinking about my organization through Lencioni’s Five Dysfunctions of the Team Model. This led to my starting a change project with my leadership team that was focused on improving organizational health. To date, we have significantly improved the function and quality of our meetings and overall communication.”

Maryland Today – Sept. 14 – “How Creativity Conquers Rudeness” summarizes new research by Management and Organization professors Trevor Foulk and Vijaya Venkataramani.

Baltimore Sun – Sept. 13 – “A University of Maryland Professor Wants to Expose the Hidden Bias in AI, and Then Use it for Good” quotes and features research by Assistant Professor of Information Systems Lauren Rhue, with additional comments by Associate Professor of Information Systems Jui Ramaprasad. Republished by Government Technology among others. Coverage of Rhue’s study also in the ASEE First Bell newsletter (not online) and in an ABC Radio News segment – recently airing nationally and currently accessible for playback via SoundCloud.

G20 Insights – Sept. 13 (originally published Aug. 30) – William E. Mayer Chair Professor of Finance Lemma Senbet co-produces a policy brief “Resolving Debt Crises In Developing Countries: How Can The G20Contribute To Operationalising The Common Framework?

Baltimore Sun Education – Fall 2022 – Assistant Dean for Specialty Undergraduate Programs Joseph Bailey describes Smith’s Interdisciplinary Business Honors Program, as part of “Innovative Business Programs: Hands-on Work Critical to Today’s Marketplace” (Page 7), including: [Bailey says] the program was established in order to attract some of the brightest incoming freshmen and “celebrate a diversity of perspectives.” The students will enter what Bailey calls a “living program” and delve into subjects that shape the landscape of business. In this inaugural class, Bailey says the students will focus on what the future of the workplace will look like. He says they will explore ways in which businesses will likely organize themselves in the future, something that has already been sparked by reactions to COVID-19. “We’re reinventing organizations in real times these days and the pandemic has been a huge accelerator for that. Now we have to determine what this means for the future,” Bailey says.

Maryland Today – Sept. 12 – “From Bugs to Bronze Age, Nearly 300 Courses Get Creative Boost” quotes Humberto Coronado, director of the MS in Supply Chain Management program: In the Robert H. Smith School of Business, [Coronado] is working with PepsiCo on a new virtual reality experience that will take students inside a real manufacturing plant to see how a product travels from creation to a customer’s hands. Companies such as DHL, Wal-Mart and Amazon are already using similar virtual reality technology in their day-to-day operations, he said, and giving students a technological “head start” at UMD is crucial. “My students are gonna be crazy about this,” Coronado said.

Inc. – Sept. 11 – Inc.: “Warren Buffett Just Turned 92. Here's the Best Birthday Gift He Says He Ever Got” quotes Clinical Professor of Finance David Kass: The discussion came in the context of a talk Buffett did with 20 MBA students back in 2013. One of the students asked him how his understanding of markets contributed to his political views. Here's part of what Buffett said, according to the recollections of Professor David Kass of the University of Maryland, who took notes: Imagine that it is 24 hours before you are born. A genie comes and says to you in the womb ... "I am going to assign to you – determination of the political, economic and social system into which you are going to emerge. You set the rules ... What's the catch? One catch – just before you emerge you have to go through a huge bucket with 7 billion slips, one for each human. Dip your hand in and that is what you get. You could be born intelligent or not intelligent, born healthy or disabled, born black or white, born in the US or in Bangladesh, etc. You have no idea which slip you will get. Not knowing which slip you are going to get, how would you design the world? ... I call this the "Ovarian Lottery." My sisters didn't get the same ticket. Expectations for them were that they would marry well, or if they work, would work as a nurse, teacher, etc.”

WBAL TV – Sept. 11 – Associate Clinical Professor of Finance Elinda Kiss recounts leading colleagues to safety during 9/11 in “UMd. Professor's Calm Leadership on 9/11 Helped to Save Lives.”

Fortune – Sept. 10 – “The Unconventional Timing of Warren Buffett’s BYD Stock Sale Reinforces His Famed Investment Philosophy” quotes Clinical Professor of Finance David Kass: “Buffett generally holds his instruments for many years; he eventually exits most of them when he views them as fully valued, or their future prospects have become less attractive,” David Kass, professor of finance at the University of Maryland, told Fortune. … BYD’s Hong Kong shares have risen by over 2,700% since Berkshire bought its BYD stake back in 2008, climbing rapidly since early 2020. “The share price has recently reflected the improved performance and outlook for the company,” Kass says, and so Buffett may consider shares to be “fully valued.” … And Buffett may now be looking for his next big bet. “Perhaps Buffett has identified other investments that are currently more attractive,” says Kass. … Related: Kass guest pieces at TalkMarkets: “Warren Buffett Sells Shares In BYD” (Sept. 11) and “2022 Percentage Returns Of 6 Largest U.S. Stocks By Market Capitalization” (Sept. 10)

Pharmaceutical Executive – Sept. 9 – “The Manufacturing Edge on Path to Market” quotes and cites research by Professor of the Practice Clifford Rossi: In 2020, [Rossi] began to explore the financial aspects of continuous pharmaceutical manufacturing. “For decades, it’s been significantly cheaper to manufacture overseas, especially in China,” he says. “I assumed that pharma manufacturers were not investing in continuous manufacturing due to the financial risks and economics, and perhaps even due to tax rates.” To investigate further, Rossi developed a stochastic financial model that also showed him something different than expected. Continuous manufacturing in new facilities provided economic benefits and even an economic advantage for US manufacturers as compared to batch manufacturers abroad. He found the contribution of continuous manufacturing to the expected net present value over the life cycle of a drug to be nearly $500 million. “When comparing investments in continuous or batch strategies for a new US facility, the results clearly suggest that the lower costs associated with continuous manufacturing should lead to more investment in it—even for generic firms,” he says. “It seems that continuous manufacturing may not only be worth the investment, but its adoption could also help to reshape global pharmaceutical supply chains.”

The Business Monthly – Sept. 6 – “Maryland Smith Relaunches Online Master’s in Business Analytics” announces the program’s new iteration and quotes its academic director, Professor of the Practice Suresh Acharya: “Live sessions allow students to interact with faculty and gain further clarification on the content, plus asynchronous coursework will facilitate networking among cohort members.” … The relaunch also is announced at AACSB Insights (scroll down) among other outlets.

DATAQUEST Magazine (India) – Sept. 2022 – Does AI Need Dog-Walkers? The ‘Human in the Loop’ Vacuum” (page 34) quotes Roland Rust, Distinguished University Professor and David Bruce Smith Chair in Marketing: The current AI revolution substitutes machines for people in accomplishing thinking tasks, points out [Rust]. “The result is that humans need to adjust. In my 2021 book, “The Feeling Economy: How Artificial Intelligence Is Creating the Era of Empathy,” (with Ming-Hui Huang) we discuss the implications of this shift. Put simply, thinking AI will drive humans to emphasize “feeling intelligence” more than “thinking intelligence.” That is, as AI does more of the thinking, humans (both consumers and businesspeople) will focus more on feeling. For the near future, this means that work teams will involve both AI (for cutting edge thinking) and people (for personal interactions and feeling intelligence). The shift toward feeling may make women, who on average have a higher capacity for empathy, more important in the economy. This also calls for retraining thinking workers to be more effective with people.”

August 2022

USA Today Network (via Columbus Dispatch) – Sept. 4 – Associate Director of Executive MBA Career Coaching, Programming and Outreach Rachel Loock writes “How to Avoid a Bad Boss – And Join the Right Team.”

Retail Dive – Sept. 1 – “Retailers Take Expensive Measures to Clear Inventory Ahead of Peak Season” quotes Professor of Marketing Jie Zhang: Businesses are employing a variety of tactics, including steep discounts, order cancellations and pack and hold strategies, in an attempt to clear their shelves of stagnant products and make room for holiday inventory. “None of them is a perfect tool, but retailers have to resort to them for lack of better options,” Jie Zhang, a marketing professor at University of Maryland’s Robert H. Smith School of Business, said in an email. … Markdowns and order cancellations, while effective in clearing excess stock, are “very hurtful” to retailers’ bottom lines, Zhang said. That is proving true for Nordstrom – the retailer estimates it will lose $200 million in gross profits in the second half of the year due to markdowns and clearance efforts.

Business Insider – Aug. 31 – Clinical Professor of Finance David Kass is quoted in “The 'Buffett Effect' Has Wiped About $35 Billion off BYD's Market Value – as Investors Fear Warren Buffett Will Sell More Shares of the Chinese EV Maker”: “Berkshire can sell up to an additional 5% of its shares, or almost 11 million shares, bringing its stake down to 19.0% without being required to report,” David Kass, a finance professor at the University of Maryland, told Insider.

Breakbulk – Aug. 31 – “US Trucking’s Wild Ride: Topsy-Turvy of Pandemic-Era Trucking Not Over Yet” quotes Professor of Logistics Thomas Corsi: Supply chains of every type have been stressed nearly to breaking point. U.S. trucking has seen record-high rates and demand, with capacity shortages in some markets. Motor carriers and their partners continue to try to expand capacity, but efforts are being hampered… [Corsi] said, when asked if record rates could spark a capacity glut, that he has seen some softening in rates, but: “I wouldn’t think this environment will lead companies to make an over-investment in capacity.” In fact, he anticipates slower growth in the market going forward, and for the driver shortage to continue for some time. ... Corsi also said that as we look to the future, the diversification of equipment with driverless trucks, EVs and other innovations may have a more extensive impact on capacity and rates.

Maryland Daily Record – Aug. 31 ‘Smith School Relaunching Online Master of Science in Business Analytics’ announces a new iteration of the program with “both asynchronous learning and periodic live touchpoints with the faculty” and a first cohort starting in January 2023.

Wall Street Journal – Aug. 30 – Dean’s Professor of Finance Michael Faulkender produces op-ed “Biden’s Outrageous Attack on PPP Loan Recipients: The Covid-era program provided for forgiveness because it mostly aided the borrowers’ employees” and further discusses the article and related issues via Fox Business and on 77 WABC New York’s Larry Kudlow Show.

CNBC – Aug. 30 – “Warren Buffett’s 91st Year Marked by a Huge Focus on Berkshire Hathaway’s Energy Empire” quotes Clinical Professor of Finance David Kass: If Buffett pulls off an even bigger deal on Occidental, the Benjamin Graham acolyte will have come “full circle,” according to David Kass, a finance professor at the University of Maryland’s Robert H. Smith School of Business. In 1942 at the age of 11, Buffett bought his first stock — three shares of Cities Service’s preferred. Cities Service was bought by Occidental 40 years later, and Vicki Holub, now Occidental CEO, had worked with Cities Service at the time.

Bureaubiz (Denmark) – Aug. 30 – ‘Entrepreneurs as Crucial for Growth in the Danish Agency Industry’ extensively cites research by Rajshree Agarwal, Rudolph Lamone Chair of Strategy and Entrepreneurship and Director of the Ed Snider Center for Enterprise and Markets (Danish-to-English translation): American professor Rajshree Agarwal from the University of Maryland can help understand the annoyances of agencies. She researches the development of industries and where new actors come from. New actors can come from three places. It can be from educational institutions. Think Mark Zuckerberg and Harvard. In a Danish context, it could be Mads Paaskesen and Kristian Larsen, who started PL & Partners while attending Køge Business School. It can also be what she calls 'able founders'. Some who have prior knowledge of the agency industry. And those who believe that it can be done in a better way… Professor Rajshree Agarwal has also found that new players emerge as a result of a technological innovation that the existing players are unsure of how to handle business-wise. The agency industry is hit every 18 months by a new marketing technological innovation. One of the bigger ones was when Google launched AdWords almost 20 years ago. It changed marketing in all categories. Or when Facebook gave us a new language in social media 15 years ago. All new agencies are born on the basis of an unmet customer need. A need which is a consequence of a recent marketing technological innovation.

GARP – Aug. 26 – Professor of the Practice Clifford Rossi summarizes his recent white paper in his latest CRO Outlook column for the Global Association of Risk Professionals: “Multiple Credit Scores in Mortgage Lending: Understanding the Risks.” Summary: As policymakers consider allowing the use of multiple credit scores in mortgage underwriting, banks need to be alert to risks to lenders and consumers.

The Social Media Monthly – Aug. 26 – Dean’s Professor of Marketing P.K. Kannan examines Peloton’s rise and fall and how the company can get back to where it was, in “Getting Peloton Into Shape.”

Forbes – Aug. 25 – “Consumer Confidence Rises But Most Americans Are Spending Less” quotes Clinical Professor of Finance David Kass: There’s a slight uptick in people saving more than usual: 12% compared to 10% a month ago. And 13% of respondents report putting more than usual toward their loans and credit card debt. These are two smart money moves during a recession, says David Kass, a clinical professor of finance at the Robert H. Smith School of Business, University of Maryland. “Consumers under these conditions should consider paying down consumer debt and holding off on large purchases,” he adds… Most experts anticipate the Fed to deliver their fifth consecutive rate hike. While peak inflation may be close, the Fed is still wrestling with stubbornly high prices. Kass expects three more outsize rate increases in September, November and December, amounting to somewhere between 100 and 125 basis points in total. The current fed funds rate is 2.25% to 2.5% and the Fed predicts it will reach 3.1% to 3.6% by year’s end. “These rate hikes will raise consumer borrowing costs, for example, on home mortgage and automobile loans,” Kass says. “In addition, the fear of losing their jobs as the economy slows down will result in consumers saving more and spending less.”

U.S. News & World Report – Aug. 25 – Professor of the Practice in Systems Thinking and Design Gerald Suarez contributes to a “The 10 Best Times to Switch Jobs” slideshow, including “You’re feeling burned out,” “You no longer feel challenged” and “You’ve just finished a big project.” The full article, ‘Best Times to Switch Jobs,’ is at WTOP.

Forbes – Aug. 23 – Professor of the Practice Clifford Rossi comments in “A Year After Confirming New Director, How Has The CFPB Fared?”: Even those used to the chaotic nature of politics have been surprised by the stark pendulum shifts at the CFPB from one administration to the next. “For most financial industry folks, I think they’d characterize it more as regulatory whiplash,” [says Rossi] … In July, the major credit reporting bureaus announced this debt would no longer be included in credit score calculations. The CFPB’s announcements on this topic helped bring about this change, says Rossi. Expect more from the CFPB in the next year on all these core issues, especially on emerging technology issues that have not been addressed. “There will be a big focus on nonbanks, and I think there should be. You’ll even hear the banks say this,” says Rossi, referring to the fintech companies that offer banking services like deposit accounts and mortgages but are not fully chartered banks by the FDIC … For cryptocurrency, the agency will stick to the consumer impacts as it plays catch-up on regulations, predicts Rossi. “They’re trying to help consumers have better transparency,” he says. The government has to sort out what it can do and which agency should take the lead in areas like crypto and artificial intelligence applications to financial services. “Regulators are always behind the eight ball where financial innovation takes place,” adds Rossi.

Wall Street Journal – Aug. 21 – Clinical Professor of Finance David Kass comments in “Warren Buffett Not Expected to Bid for Control of Occidental Following Approval for Bigger Stake”: “There are other reasons to doubt a Berkshire takeover of Occidental is imminent. One of them is price, said David Kass, a professor of finance at the University of Maryland’s Robert H. Smith School of Business. … So far, Berkshire has bought virtually all of its Occidental shares at a price in the range of $50 to $60, Mr. Kass said. The highest price Berkshire paid was $60.37 in July, according to filings. Mr. Buffett is a well-known bargain-hunter, so it is difficult to imagine Berkshire rushing to buy more Occidental shares at the current price, Mr. Kass said. … At age 11 in 1942, Mr. Buffett made his first investment: three shares of Cities Service’s preferred stock. Forty years later, Occidental went on to acquire the oil company, which Ms. Hollub had just joined the year before. Mr. Buffett’s investment in Occidental this year shows his first stock purchases “coming full circle 80 years later,” Mr. Kass said.”

Fox Business – Aug. 19 – Dean’s Professor of Finance Michael Faulkender analyzes ‘Federal Reserve Policies and Their Effects on the U.S. Economy,’ including: “While we’re seeing an increase in retail sales, we still have consumer sentiment at its lowest level in 50 years, and the housing market saw significant declines last quarter – such that were about 20 percent off from where we were a year ago. So, overall, I think GDP for third quarter is going to be pretty flat, even with the jobs growth we’ve seen recently. Consumers are going to pull back because of the price increases, particularly in food… I think we’re going to be pretty mild in terms of growth for the rest of the year.” … Faulkender continued his analysis of Fed policy and the economy on 77 WABC Radio’s Larry Kudlow Show (Aug. 20).

CNBC – Aug. 19 – “Warren Buffett Gets Permission to Buy Up to Half of Occidental Petroleum, Boosting the Shares” quotes Clinical Professor of Finance David Kass: David Kass, a finance professor at the University of Maryland’s Robert H. Smith School of Business, said an acquisition down the road is likely. “I think it is likely that Buffett will buy the whole thing eventually. The 50% limit may have been set to receive FERC approval for a non-controlling stake,” Kass said. “He clearly plans to purchase additional shares. So far his maximum purchase price has been $60.37 per share.” … Seeking Alpha quotes Kass from CNBC in “Could Warren Buffett Really Buy Occidental Petroleum?” (Aug. 21).

HousingWire – Aug. 19 – Professor of the Practice Clifford Rossi writes “Ginnie Mae’s Revised Requirements Reduce Risk.”

Clear Admit – Aug. 18 – “Admissions Director Q&A” features Senior Director of Admissions for MBA and Specialty Masters Programs Maria Pineda.

GARP – Aug. 17 – “Understanding the Risks of Multiple Credit Scores in Mortgage Lending” highlights and links to a new white paper by Professor of the Practice Clifford Rossi. Summary: Competition among credit score providers is heating up, with increased focus by regulators on expanding equitable access to credit for consumers with little or no credit experience. Dr. Clifford Rossi presents an empirical analysis of how to assess alternative credit scores and understand their impact on credit risk, profitability and efforts to expand credit to previously unscorable consumers.

Wall Street Journal – Aug. 15 – “Warren Buffett’s Berkshire Hathaway Keeps Spending Through Volatile Markets” quotes Clinical Professor of Finance David Kass: Filings have shown some of that money went toward Occidental Petroleum Corp., another top holding. It is likely that the company’s 13F will show some of the remaining investment went toward buying more shares of Chevron, as well as Apple, said David Kass, finance professor at the University of Maryland’s Robert H. Smith School of Business. Note: Article subsequently was updated minus, but confirming the accuracy of, Kass’ 13F prediction.

TalkMarkets – Aug. 14 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns of the 6 Largest U.S. Stocks By Market Capitalization” and “6 Highlights of Berkshire Hathaway’s 2022 Second Quarter Earnings Report” (Aug. 9).

The Hill – Aug. 12 – Research Professor and Academic Director of the Center for Global Business Kislaya Prasad writes op-ed “When it Comes to Green Energy, ‘Friend-Shoring’ Shouldn’t Cut Out China.”

Washington Post – Aug. 12 – “How Can Bad Weather Ruin Your Flight? Let us Count the Ways.” quotes Martin Dresner, professor and chair of the Logistics, Business and Public Policy Department: “It’s really frustrating when you go to the airport, and it’s beautiful there, but your plane’s coming from some place where it’s not so great,” said Martin Dresner, a professor at the University of Maryland’s R.H. Smith School of Business who studies air transport policy… Dresner, chair of the Air Transport Research Society, said it can take a few days to reposition planes and crew back to where they’re supposed to be in cases of serious disruption. And then there are the desperate travelers to consider. “Because the airlines are operating at fairly close to capacity, you have to fit in the passengers somewhere,” he said. “It’s difficult to reschedule the passengers if you don’t have available seats.”

B2B News Network – Aug. 11 – ‘B2B News for Thursday, August 11’ includes Associate Professor of Management and Organization Rellie Derfler-Rozin’s insight for effective negotiating – for professionals at any level: With lay-offs and labour shortages happening in tandem, it’s a good time for all workers to re-visit the fundamentals of negotiations. Practical advice comes from [Derfler-Rozin]. “The goal is to learn how to get to a place where you are happy with the negotiation outcome, and your partner is also happy with the outcome and wants to negotiate with you further in the future,” said Derfler-Rozin. “This is an invaluable skill in the dynamic business environment, in which reputation builds very quickly and is very important to maintain.”

Washington Times – Aug. 11 – Dean's Professor of Finance Michael Faulkender writes op-ed “The Latest Big Government Socialism Bill is the Wrong Answer for our Nation’s Problems.”

Finbold – Aug. 8 – “Dot-Com Bubble Explained | The True Story of 1995-2000 Stock Market” cites Associate Professor of Management and Entrepreneurship David A. Kirsch as founder the Dot Com Archive: Contrary to public opinion (that most dot-com companies failed), according to David Kirsch, director of the Dot Com Archive, 48% of dot-com businesses were still around in late 2004 (though at lower valuations). He adds that the dot-com survival rate is as good as or better than that for other technologies (e.g., automobiles, TVs) in their formative years.

Al Araby TV (via Twitter) – Aug. 7 – Clinical Professor of Finance David Kass comments in coverage of an Arabic-language report on the U.S. Congress debate on recession (via Twitter).

Fortune – Aug. 5 – “U.S. Companies are Hoarding More and More Cash Overseas” cites research co-authored by Dean’s Professor of Finance Michael Faulkender.

Fox Business – Aug. 5 – Dean’s Professor of Finance Michael Faulkender explains why the Inflation Reduction Act would ‘have the opposite effect’ in a segment titled “Senate to Vote on Dems' Inflation Reduction Act Tomorrow.” Related: Faulkender co-authors op-ed in the Washington Times: “The Biden Administration’s Recession Has Arrived. Just Don’t Call It That.” (Aug. 5).

One Vision (via Irish Tech News) – Aug. 4 – Nima Farshchi, executive director of alumni and corporate engagement and director of the Center for Social Value Creation, discusses multiple Maryland Smith initiatives to ‘Create a Better World Through Business Principles.”

Bethesda Magazine – Aug. 2 – “Female Candidates Say Greater Representation on County Council Would Benefit County Other Candidates” references Jacqueline Manger, managing director of the Ed Snider Center for Enterprise and Markets: …[I]ncreasing the number of female voices could force the legislative and executive branches of county government to engage in more difficult, but productive conversations on issues facing the county. Jacqueline Manger, currently trailing Luedtke in the District 7 race, said she’s conducted research that shows that diversity in companies — both in terms of gender and ethnicity — can often lead to better outcomes.

July 2022

Poets & Quants – July 30 – The Best & Brightest Executive MBAs Of 2022 profiles Maryland Smith’s Aimee Smart and Sira Duson, includes: The best business schools attract the top talent. Make no mistake, the 2022 Best & Brightest EMBAs are as accomplished and decorated as they come… Sira Duson founded the Society of Black Vascular Surgeons after entering the EMBA program at the University of Maryland’s Smith School… The publication further quotes Clinical Professor of Marketing Judy Frels (“Sira is a surgeon and a medical school faculty member, yet she doesn’t wield her credentials as a reason people should listen to her or follow her. People follow her because she’s done the quiet, relentless, hard work of earning every single person’s respect.”) and Research Professor Kislaya Prasad (“I recall expressing amazement at how [Smart] managed to juggle so much so well in both her professional and personal life. Over the course of the semester, I had the chance to personally witness her focus, hard work, and determination to learn an initially unfamiliar subject.”)

Just the News – July 28 – Dean’s Professor of Finance Michael Faulkender discusses current U.S. economic policy, including whether we are in the midst of recession and stagflation, in “Just the News, Not the Noise” (begins at 52:10): “Traditionally we would consider two consecutive quarters of negative GDP growth to be a recession, and the Commerce Department came out this morning and gave us that report – we lost 1.6 percent on an annualized basis in the first quarter of 2022 and we lost another 0.9 percent, annualized, this most recent quarter. Historically, that’s how we’d define a recession... We have high inflation – the highest we have seen in 40 years – 9.1 percent, year over year, was reported last month. And we’re now at two quarters in a row of negative growth. So, stagflation generally is thought of as low to negative growth with high increases in prices. It’s stagnant inflation, and that’s exactly what we’ve got.”

Boca Raton Observer – July 25 – “Mind Your Manners: The Rise of Rudeness” quotes management professor Trevor Foulk and references his research: Unfortunately, research has found that rudeness can spread like wildfire and is as contagious as the common cold. According to a study conducted [by Foulk], someone who is treated with disrespect is either more likely to behave rudely towards others or is more sensitive to others’ comments. The study found that our mindset is incredibly affected by exposure to rude behavior. “When rudeness is on our minds, it tends to color our interpretation of others’ behaviors and not give them the benefit of the doubt,” Foulk wrote in a piece published by Psychology Today. “We tend to see the world through ‘rude-colored glasses,’ interpreting even benign interactions with others as potentially harmful or threatening.”

FIND MBA – July 25 – “Top 10 Online MBAs for Switching Careers” highlights Maryland Smith as among such programs: Online MBA students looking for a more expansive and comprehensive experience can select the General Track at Maryland: Smith, which provides a look at the key concepts across various disciplines. There are ample opportunities for online participants to gain the skills and expertise they need for a wide variety of careers, from finance and accounting to marketing and sales, operations and production.

Newswise – July 18 – Professor of the Practice Clifford Rossi explains why “The Fed Stress’ Non-Transparency Hampers Banks.”

Baltimore Banner – July 18 – G. “Anand” Anandalingam, Ralph J. Tyser Professor of Management Science, comments in “What Maryland’s Governor Can do About Gas, Inflation and the Economy,” including: States can give corporate tax breaks, or tax holidays, for years at a time, and give away land or ease the building costs of related infrastructure, like roads, sidewalks and utilities, Anandalingam said. Enriching the state’s secondary education system can also encourage corporate investment. “Companies like to locate themselves in places where they can hire well-educated and really talented young people,” he said.

Marketplace Radio – July 15 – Albert “Pete” Kyle, Charles E. Smith Chair Professor of Finance, helps answer “Where did the stock market’s $7 trillion loss in value go?”: When headlines proclaim that these markets have declined by a certain amount, what they’re basically saying is that if you sold shares today, you would receive less in payment than if you had sold it at some point in the past when the price was higher, [explained Kyle] “It’s what historically people have called ‘paper losses,’” Kyle said. “But it’s real money for someone who actually is going to sell now as opposed to having sold out several months ago.”

GARP – July 15 – In a CRO Outlook column for the Global Association of Risk Professionals, Professor of the Practice Clifford Rossi writes: “Avoiding the Model Myopia Trap.” Summary: We're witnessing an analytics revolution these days where machine learning and data science are coming to the forefront of many areas of business and risk management analytics. These techniques offer tremendous opportunities to improve our insights into risk management, but we also need to avoid the "calculator syndrome." When handheld calculators became a commonplace sight (including apps on virtually every mobile phone) the joke is that it allowed our basic math skills to atrophy. We need to be on guard, particularly new modelers so that they don't fall into the trap of becoming so overly enamored with the technique that they lose their ability to develop models based on business and economic relationships and not be dependent on what a black box algorithm spits out. The art and science of modeling holds as much as it does for risk management.

B2B News Network – July 15 – ‘What’s Up With Elon’ quotes Associate Professor of Management and Entrepreneurship David A. Kirsch: “Musk’s general argument – that somehow he was surprised by the extent of bots on Twitter – doesn’t pass the laugh test because even if Musk didn’t order the fanbots that we observed, he’s known they were there – in many cases for seven or more years – or longer than we’ve had computational corporate propaganda,” Kirsch said. “We date the public debate about computational propaganda to its political manifestations in the 2016 elections here and in the U.K., but we found corporate activity predated political propaganda by several years.” … Related: Kirsch draws from his research on pro-Tesla Twitter bots to explain “Elon Musk’s Irony: Bots, the Impetus to Abandon His Twitter Deal, Have Propelled Tesla, via Science Newsnet (July 13).

Marketplace Radio – July 14 – Clinical Professor of Finance David Kass comments in “JPMorgan Pauses Stock Buybacks as Profits Slump”: “We don’t know if this’ll be a Category 1 hurricane or a Category 5 hurricane,” [said Kass]. “An appropriate defensive strategy by large corporations would be, ‘Hey, maybe we should start conserving our cash now.’”

Al Araby TV (via Twitter) – July 14 – Clinical Professor of Finance David Kass comments in “A Judicial Confrontation Between Twitter and Elon Musk” … Kass gives related analysis via “Musk’s Buyer’s Remorse and Potential Deal Outcomes” at Science Newsnet (July 12).

Wall Street Journal – July 13 – “Warren Buffett’s Berkshire Hathaway Adds to Big Oil Bet” quotes Clinical Professor of Finance David Kass: Generally accepted accounting principles recommend that investors include a proportionate share of a company’s earnings in their own results once they own at least 20% of the company’s common stock. With analysts expecting Occidental to report about $10 billion in earnings this year, Berkshire could increase its reported profit by about $2 billion if it winds up acquiring 20% of Occidental’s shares, according to David Kass, a finance professor at the University of Maryland’s Robert H. Smith School of Business. That would be a significant lift for Berkshire. At the moment, the company only includes Occidental’s dividend payments—less than $100 million annually—in its earnings, Mr. Kass said. Last year, Berkshire posted a record profit of about $90 billion.

Los Angeles Business Journal – July 13 – “Women Managers Competitively Advocate for Subordinates” overviews research by Cristian Dezsö, Associate Professor in the Logistics, Business and Public Policy department.

WalletHub – July 11 – Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust contributes to the Ask the Experts segment of “Best Capital One Credit Cards.”

Maryland Daily Record – July 7 – Clinical Professor of Finance David Kass comments in “Business Leaders Struggle to Have Confidence in the US Economy, Survey Says”: Despite the lack of optimism in the current economy, [Kass] does not expect the economy to remain at this state for too long. “Even if we go into a recession, the Federal Reserve and Congress can act to offset it. Within a year we’ll be out of it. It’s not going to be a recession like the Great Depression that lasted many years.” Kass also mentioned that the unemployment rate was at 25% during the Great Depression, whereas right now it is at 3.7%. Kass said the concerns of business leaders are legitimate, but that the business climate overall remains stable. “Right now, we haven’t faced this inflation problem in 40 years, so maybe we aren’t as used to it as we would be,” Kass said. “A lot of the concern is certainly justified. We need to get through this period, but in my opinion, the pessimism is a bit extreme.”

WRAL – July 4 – “Fact Check: Biden Says 'Inflation is Higher' in Other Developed Nations” quotes Dean’s Professor of Finance Michael Faulkender: “The Biden administration and its allies in Congress provided entirely too much stimulus into an economy that was already dealing with supply shortages,[" said Faulkender]. "This is necessarily inflationary and was totally predictable.”

TalkMarkets – July 2 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns of the 6 Largest U.S. Stocks By Market Capitalization – Half-Year.”

June 2022

ABC News – June 30 – Are record corporate profits driving inflation? Here's what experts think” quotes Dean’s Professor of Finance Michael Faulkender: [Faulkender] compared companies charging high prices to an individual who puts his or her home on the market at a favorable time. “Let’s say I bought a house five years ago, and I’m looking to sell it for whatever reason. Do I price it at what the market will bear or what I bought it for plus a politically correct predetermined markup?” he said. “I’m going to price it at what the market can bear.” The high prices at the grocery store or the pump are the expected outcome of a market in which individuals have ample money to spend but few products to buy, Faulkender said. “The limited supply available goes to those with the highest value,” he said. “The profits then generated are a consequence but not the cause.”

Yahoo News – June 30 – A “Liquidity and Capital Risk Webinar Set for July 20” will be led by Professor of the Practice Clifford Rossi, with experts from Deloitte and Ginnie Mae.

Maryland Daily Record – June 29 – “UMD Business School Filling Second Cohort of Blockchain Business Imperative” previews the session starting July 11, including: Over its six weeks the program covers economic inefficiencies that blockchain will impact, an overview of foundational blockchain technologies, a conceptual understanding of blockchain, implementation details for Bitcoin, Ethereum and Hyperledger, exploration of various blockchain business applications including NFTs, DeFi, CBDC and potential opportunities and challenges stemming from blockchain.

USA Today – June 28 – Rachel Loock, associate director of executive MBA career coaching, programming and outreach, gives career advice in a “How to Approach In-Person Networking Again” guest column.

American Banker – June 28 – “Red States' Pushback on Guns, Abortion, Climate Puts Banks in Bind” quotes Professor of the Practice Clifford Rossi: The partisan back-and-forth on climate change is placing banks between “a rock and a hard place,” [said Rossi]. “They know they have to comply with regulatory requirements that are coming,” said Rossi, a former chief risk officer at Citigroup and the founder of the consulting firm Chesapeake Risk Advisors. “At the same time, if states were to pull or divert their funding, that’s real financial hardship that they have to deal with today.”

CityWire Selector – June 28 – Russell Wermers – “How we Identify the Best Ideas From the World's Best Investors” cites research by Russell Wermers, the Paul J. Cinquegrana '63 Endowed Chair in Finance and Director of the Center for Financial Policy: In 2012, academics Russ Wermers and Tong Yao, along with investor Jane Zhao, found (here) that stocks that were held in greater weight on aggregate by previously successful managers tended to outperform.

NBC News – June 27 – “Microsoft is Removing Emotion Recognition Features from its Facial Recognition Tech,” cites Assistant Professor of Information Systems Lauren Rhue’s research: In addition to critiquing the scientific basis of emotion AI, the human rights groups also asserted that emotion AI is manipulative and discriminatory. A study [by Rhue] found that across two different facial recognition softwares (including Microsoft’s), emotion AI consistently interpreted Black subjects as having more negative emotions than white subjects. One AI read Black subjects as angrier than white subjects, while Microsoft’s AI read Black subjects as portraying more contempt.

WalletHub – June 27 – Ralph J. Tyser Professor of Marketing Amna Kirmani gives credit card advice in an “Ask the Experts Q&A.”

GARP – June 24 – “Getting Schooled on Risk: Graduate Programs Cultivate Talent for the Times” describes Professor of the Practice Clifford Rossi’s production and leadership of experiential learning projects for Smith graduate students, including: This spring semester, two teams of University of Maryland students participated in seven-week, experiential learning projects involving extensive data analysis – assignments the academic said he arranged along with sponsors Fannie Mae and Freddie Mac. …The Fannie cohort built a comprehensive housing market risk index, while the Freddie team developed a financial flood risk vulnerability score for the 283 U.S. counties most at risk according to the First Street Foundation Flood Model. [Rossi] explained that students learned how to collaborate as colleagues; put together and preside over a project from start to finish; and communicate technically-complicated information to senior managers – including a CRO and regulators in attendance. … As to the significance of this for students and potential employers, Rossi remarked, “Almost to a person, I hear students say that when they go for job interviews, this is all their prospective employers want to talk about.” ... “It’s a high-class vocational program,” he said.

Kiplinger – June 24 – “Could Buffett Buy Out Occidental Petroleum (OXY)?” quotes Clinical Professor of Finance David Kass: “Buffett has been consistently adding to his stake in Occidental this year when its price dropped,” says David Kass, a professor of finance at the University of Maryland's Robert H. Smith School of Business and noted Buffett expert. “He has at least a five-to-10-year time horizon,” Kass adds, “and will take advantage of market volatility to add to his stake when the opportunity drops into his lap.”

Wall Street Journal – June 23 – “Congress Unlikely to Heed Biden’s Call for Three-Month Suspension of Gas Tax” quotes Dean’s Professor of Finance Michael Faulkender: Michael Faulkender, who was assistant secretary for economic policy at the Treasury Department during the Trump administration, said some of the benefits of a potential holiday would likely be offset without a corresponding increase in gas supplies. That is because the holiday would likely boost Americans’ demand for gas, putting upward pressure on underlying prices, he said... “The fundamental problem is that there is insufficient supply,” said Mr. Faulkender. “A gas tax holiday solves a political problem, not an economic problem.” … WSJ’s What Is a Federal Gas Tax Holiday? And How Much Would You Save at the Pump?” requotes Faulkender.

PolitiFact – June 22 – “Fact-Checking Joe Biden on Inflation Rates Among US’s Economic Peers” quotes Dean’s Professor of Finance Michael Faulkender: “The Biden administration and its allies in Congress provided entirely too much stimulus into an economy that was already dealing with supply shortages… This is necessarily inflationary and was totally predictable.”

Forbes – June 21 - Rudolph Lamone Chair of Strategy and Entrepreneurship Rajshree Agarwal writes “Why The AICO Act Will Threaten Consumers And Merchants’ Ability To Choose And Stifle Innovation.”

Seeking Alpha – June 21 – Clinical Professor of Finance David Kass gives “14 Stocks for Midyear 2022.”

FIND MBA – June 21 – “One Degree, Two Formats: Distinction Blurs Between Online and In-Person MBAs” quotes Clinical Professor of Management Paulo Prochno: At Maryland University’s Robert H. Smith School of Business, Online MBAs participate in virtual job fairs and mock interviews facilitated by the Office of Career Services. In addition, live sessions via Zoom are part of every course, with students encouraged to keep their cameras turned on so everyone can see one another’s reactions during discussions. “These sessions typically include virtual breakout rooms for small group discussions. Collectively, this format works to increase self-awareness and aptitude for collaborating and exchanging knowledge with peers,” [says Prochno]. He insists that the online program provides exactly the same MBA degree, but with changes in the sequence of courses and format of delivery. A key, supporting factor at Maryland Smith is that Online MBA students collaborate with the same faculty who deliver the school’s on-campus programs.

USA Today Network (via The Columbus Dispatch) – June 19 – Associate Director of Executive MBA Career Coaching, Programming and Outreach Rachel Loock gives career advice in “No Summer Vacation for Job Searches.”

Grid – June 19 – Clinical Professor of Marketing Henry C. Boyd III explains how Juneteenth has gained new prominence and how it can evolve into a national recognition of the past, in “How Companies Can Avoid a ‘Juneteenth Ice Cream’ Mess.”

Seeking Alpha – June 18 – Berkshire Hathaway: “Berkshire Hathaway: Hit to Book Value Could be Drastic But a Buying Opportunity Comes With it” references prior related analysis by Clinical Professor of Finance David Kass. Related: Kass gives the “2022 Percentage Returns of Largest U.S. Companies by Market Capitalization for June 18,” via TalkMarkets.

GARP (Global Association of Risk Professionals) – June 17 – For his latest CRO Outlook column, Professor of the Practice Clifford Rossi writes “Can Your ERM Framework Accommodate Risk Entanglement?

Wired – June 16 – “After Layoffs, Crypto Startups Face a ‘Crucible Moment’” quotes Associate Professor of Management and Entrepreneurship David Kirsch, including: “It could be that crypto is the canary in the coal mine,” [says Kirsch]. He describes the contractions in crypto startups as one potential signal of “a great unraveling,” where more startups are evaluated for how well they can deliver on their promises. If history is any indication, those that can’t are fated for “the death spiral.”

Baltimore Sun – June 16 – Dean’s Chair in Marketing Science P.K. Kannan comments in “How Baltimore-Area Consumers are Handling ‘Sticker Shock’ at the Grocery Store,” including: Consumers have come to expect to pay certain amounts for food products, giving them price reference points in the grocery store and elsewhere, and during inflationary times, sticker shock inevitably sets in, [said Kannan]. “That gets ‘encoded’ as a loss, and sometimes these losses that you feel can really play a big role in how you will react,” Kannan said. Consumers are likely to feel the “loss” of a price hike more acutely than the “gain” of a discount, behavioral economists say. And, Kannan said, they tend to respond by changing habits, limiting impulse buying, comparing prices among multiple stores, buying vegetables at one place and packaged goods at another, or buying in bulk. “They are trying to reduce the total amount of spending on food and other things,” he said. But “given that prices are rising all over, they may not be able to do that very well.” … Manufacturers that explain price increases as a result of factors such as higher shipping and raw materials costs might be better at retaining customers and market share, Kannan said… “Being transparent about the reasons for the price increase may get them some Brownie points from consumers,” he said. “They don’t want to be seen as a manufacturer who is price gouging.”

DIG (Digital Innovation for Growth) – June 16 – In “Reflections from Maryland,” Norwegian School of Economics PhD student Oskar Bolin describes his six-month study under Roland Rust, Distinguished University Professor and David Bruce Smith Chair in Marketing, including: As part of my PhD at NHH, a six-month research stay at the University of Maryland has been included. Consequently, I had the opportunity to audit a PhD-level course on Strategic Marketing by Professor Roland Rust at Smith school of Business. Rust is the co-author of the book “Feeling Economy: How artificial intelligence is creating the new era of empathy” (2021). In the book, Rust and Ming-Hui Huang of National Taiwan University argue that manufacturing technology (e.g., industrial robots) is the pillar of the physical economy, information technology (e.g., mechanical AI) is the driving force of the thinking economy, and AI (cognitive technology) is the backbone of the feeling economy… Related: Rust’s and Huang’s research is the focus of “Don’t Want AI To Steal Your Job? Prepare Yourself With ‘Feeling Tasks’” (June 15) at EdTimes.

USA Today – June 15 – Professor of the Practice in Systems Thinking and Design Gerald Suarez gives career advice in “Career Burnout? Here's How to Fix it.

DATAQUEST Magazine – June 14 – In his guest column on cybersecurity, “The Invisible Thread in Our Digital World,” EY Alumni Professor of Managerial Accounting and Information Assurance Lawrence A. Gordon explains why “having a well-mapped approach, clear frameworks and investment models can equip organizations for surviving confidently in a world punctuated with attacks, breaches, and bad actors.”

Observer – June 13 – Dean’s Professor of Finance Michael Faulkender explains CEO compensation in “CEO Pay Jumped 16 Percent Last Year, the Biggest Increase in Seven Years”: Much of CEO compensation is received in stocks or stock-option awards. And that explains the big jump in their pay, said Faulkender]. “When the market performs as well as it did in 2021—the S&P 500 rose 26.9 percent—and considering that CEO pay is incentive based, it’s not surprising,” Faulkender said. “This year, if the S&P 500 continues to fall, you would expect to see CEO compensation come down.” Perhaps we shouldn’t be so scandalized by the high CEO salaries, Faulkender said. Many of the big companies have grown and are no longer regional but are now global, he added. CEO pay has grown with the size of the business. “As a percentage of the value of the company, CEO compensation hasn’t risen all that much although the absolute dollar amount has,” Faulkender said. “If you look at people at the tip top of their professions—athletes and lawyers for example—you see massive increases in compensation.”

Poets & Quants – June 12 – Maryland Smith’s Anthony Duellman and Lynze Hagan are profiled among the “Best & Brightest Online MBAs: Class Of 2022.”

Observer – June 9 – Professor of Marketing Jie Zhang comments in “Target’s Inventory Problem Won’t be Easy to Fix,” including: Retail companies like Target make decisions way ahead of time, [said Zhang], “For some it’s about a year ahead of time when they decide what to order and how much to buy from vendors,” Zhang said. “They made their predictions around this time last year when there was surging demand. They thought that demand would stick. Unfortunately for them, it didn’t.” Back in the spring of 2021 people had quite a bit of cash on hand, Zhang said. “They spent it on home improvements,” she added. “Demand was high for home office furnishings and for items needed for kids attending school virtually.” … So Target and others have opted to sell unpopular items at deep discounts and to cancel orders from suppliers, Zhang said. “They’d rather pay a penalty fee to suppliers for cancellation than have more products shipped and add to the already excessive inventory.”

WalletHub Ask the Experts – June 9 – Accounting Lecturer Samuel Handwerger answers “What should drivers consider when determining their liability coverage levels?,” including: “Conclusion: While state laws might limit the dollar amount of a compensatory liability award, these are always significantly above the minimum coverage amount. As a result, minimum state liability coverage for auto insurance is not feasible for most of us. Generally, the $250,000/$500,000 choice will be the most prudent.”

Truck Transport News – June 8 – “Coercion Claims by Drivers At Record Breaking Levels” quotes Michelle L. Smith Professor of Logistics Thomas Corsi: But coercion and its effect on exacerbating fatigue “is definitely still a problem,” [said Corsi] “I serve as an expert witness on accident cases that overwhelmingly occur when drivers are working on not enough sleep and end up plowing into a car because they’re working way too many hours,’’ Corsi said. “They’re on very strict time commitments that a broker or a carrier made to a client, but there are huge safety implications. These guys clearly are really stretched.”

Observer – June 8 – "Biden’s Easing of Tariffs on Solar Panels Won’t Erase All the Obstacles to Solar Expansion in the U.S.” quotes Clinical Professor of Finance David Kass: Biden’s plan “should lead to a greater supply of solar panels being imported and a greater output of electricity produced by solar,” said Kass]. “But the other side of the coin is that we also are trying to increase our own capacity to manufacture solar panels and this will actually slow down our path to self-sufficiency.”

Maryland Today – June 8 – Clinical Professor of Marketing Henry C Boyd III discusses companies’ mistakes in commercializing Juneteenth in “Why Companies Can’t Treat Every Holiday as a ‘Holiday.’”

Protocol – June 6 – “Musk Can't Blame Bots to Get Out of the Twitter Deal” quotes Clinical Professor of Finance David Kass: “Musk does not have any ground to stand on to void the agreement that he signed,” [Kass] told Protocol. Kass said Musk has two ways out of the acquisition: One would be a regulatory holdup, which doesn’t look likely now that the FTC’s window to intervene has closed. The other would be if Musk doesn’t gather enough debt funding for the deal to happen, in which case he’d pay Twitter $1 billion and break up with the company once and for all. … Also from Kass: He gives the “2022 Percentage Returns Of Largest U.S. Companies By Market Capitalization,” (for June 4) via TalkMarkets.

New York Times – June 3 – “‘Greedflation’ Rewriting Economics, or Do Old Rules Still Apply?” quotes Dean’s Professor of Finance Michael Faulkender: “With a price adjustment, people who have substitutes or maybe can do with less of it will choose to consume less of it, and you have the allocation of goods for which there is a shortage go to the highest-value usage,” Dr. Faulkender said. “Every good in our society is based on pricing. People who make more money are able to consume more.”

Observer – June 3 – Clinical Professor of Marketing Henry C Boyd III comments in “All Shook Up: Elvis-Themed Weddings in Las Vegas Are Canceled in a Trademark Crackdown,” including: In general, “once you file with the U.S. Patent and Trademark Office it’s your job to look over the landscape and if someone is using your trademark without your permission, it’s trademark infringement,” says [Boyd]. “You have to be your own watchdog.” Trademarked names can be worth a lot and company trademarks can be worth billions. Companies that don’t keep an eye out for infringers could lose control of their trademarks, Boyd says. “You don’t want your mark to become generic, or to engage in full or partial abandonment of the mark.” Just ask Kimberly-Clark, owner of Kleenex. Boyd was surprised that ABG just now decided to go after trademark infringers. “ABG acquired Elvis around 2013,” he says. “So we’re talking almost a 10-year window. There have always been Elvis wedding chapels and themed parties in Vegas. Why exercise that right now?” The trademark laws don’t apply to Elvis live shows or tributes, Boyd says. That’s because there is a right of publicity statute, he says. Still, the publicity exception doesn’t cover everything. “If I use Elvis to draw people into a store, by having everyone dressed as Elvis, so customers can say they bought their iPhone from Elvis—that’s not going to fly,” Boyd says. This might be a case where the trademark owners are shooting themselves in the foot…

TAdvisor – June 2 – “How Robotics and Automation will Inform Supply Chains” quotes Professor of the Practice Suresh Acharya: Most companies spend less than $10 million on cloud technology The cloud is at an important transition point, [said Acharya]. He compared it to how drivers moved from using paper maps to apps like Google Maps and Waze. “They all take drivers from point A to point B, but apps constantly use new information about things like accidents, construction and weather to tell drivers where to go to save time and nerves. We're really comfortable getting real-time information that they can use to make real-time decisions. Supply chains are undergoing such transformation,” Acharya said.

Observer – June 2 – Dean’s Professor of Entrepreneurship Brent Goldfarb comments in “Seattle’s New Law Makes Gig Work Pay More Like Regular Employment”: Right now it’s not possible to know exactly how things will shake out after such laws go into effect, [said Goldfarb]. “Two things could happen if you increase wages for the gig worker in Uber or Lyft: The company eats the difference or they raise the cost of rides,” Goldfarb said. “If the company raises the cost of rides, then fewer people may take rides at the higher prices and then there would be less work to go around,” Goldfarb said. … When a single company raises the price, then consumers may turn to a competitor, Goldfarb said. But if a new law forces all companies to raise their prices then the outcome will depend on the elasticity of demand. “I’m guessing the companies themselves may not know the answer to this,” he added.

Destination CRM – June 1 – Associate Professor of Marketing Bobby Zhou contributes to “Putting Your Business to the Text”: [According to Zhou], the cost of acquiring new customers is also lower with messaging, given that these platforms already have a vast user base. “Also, the ease of use and convenience has made these platforms a great channel to interact with customers,” Zhou says. “Customers do not need to visit a brand’s main webpage to engage with it. And from the brand’s perspective, the costs of developing and maintaining the presence on third-party messaging platforms can be lower than operating their own online stores, giving brands extra incentives to rely on these messaging platforms.” …Zhou further cautions that reliance on third-party messaging can also lead to loss of full control over the interaction environment with consumers (compared to, for example, interaction on your company’s own website), a potential loss of rich behavioral data depending on the agreement with the platform, and increased consumer expectation regarding the speed of response.

Observer – June 1 – Professor of the Practice Clifford Rossi comments in “Biden’s Housing Plan Sounds Good in Theory But Needs Lots of Help If It’s Going to Work,” including: Standing in the way are the folks who think there should be more affordable housing, just not in their backyards, [said Rossi]. On the financial side of things, the administration is pushing for Fannie Mae and its sister company, Freddie Mac, to make changes in what they’re willing to buy from banks. Fannie Mae could change its rules so that it could purchase loans made to builders before a multifamily dwelling is constructed, for example. And Freddie Mac could write new rules for “chattel loans,” which are made for mobile homes, but not the land they will sit on, Rossi said. The problem with these chattel loans is that they tend to be shorter term and more costly than typical mortgages, Rossi said. If Freddie Mac could come up with a way to solve that problem, “that would be a game changer for the market that needs it to be on board,” he added. The administration also would like to promote modular housing like mobile homes, which are cheaper than the standard on-site construction. The cost savings are “the reason why the administration wants to promote scaling up of those homes,” Rossi said. But there’s been some pushback from builders who don’t like the competition.

May 2022

The Hill – May 30 – “SEC Looms Over Musk-Twitter Deal” quotes Clinical Professor of Finance David Kass: By filing that disclosure after the 10-day deadline, Musk may have netted $156 million according to University of Maryland business school professor David Kass. “Either he’s underpaid by $156 million by withholding this information, or he had $156 million profit as a result of holding this information,” he explained. “And of course shareholders who sold their shares during this time period… were in effect shortchanged.” … More from David Kass: He gives the “2022 Percentage Returns Of Largest U.S. Companies By Market Capitalization” (for May 21), via TalkMarkets.

Observer – May 28 – Associate Professor of Management and Organization Evan Starr comments in “As Apple Store Workers Organize, the Company Pushes an Anti-Union Message”: Research shows that unions tend to be good on average for workers, [said Starr]. Studies show that “there is roughly between 10 and 20 percent wage bump,” Starr said. “Union workers are also more likely to have health insurance, pensions and retirement savings vehicles.” While it’s clear the average worker benefits from being part of a union, some individual workers might be hurt by unionization, Starr said. “If you’re somebody with a potential for high income, someone who would shoot up the ranks and gets lots of outside offers, it can be negative,” he added. “This type of person might not want to be encumbered by having a union negotiate for them.” Also, because many unionized companies value seniority, someone who is new to the company might not fare as well as they would in a non-union company, Starr said. Similarly, if the company needs to lay off workers, the rule is often last-hired, first-fired, regardless of how productive the worker is.

SHRM – May 27 – “AI Adoption Will Cause Workforce Reorganization” summarizes Assistant Professor of Finance Alex Xi He’s research and includes his comments, including: A junior-level worker entering the workforce will know more about how to use AI data to make predictions, [said He]. "We found that AI is making the firm less top-heavy and flatter. It's not surprising, because AI has the ability to make predictions and that makes the entry-level workers more capable to make decisions. They can do more, and there is less need for middle managers.”

Observer – May 26 – Clinical Professor of Finance David Kass comments in “Long Covid Will Have a Massive Impact on the U.S. Economy”: Based on the new numbers, long Covid is likely to have a major impact both on the healthcare system because many of these patients will need years of care, and to the general economy because of the loss to the workforce of people with severe symptoms having to quit work. “The 18 to 64 year old group is the working age population,” [said Kass]. With people withdrawing from the workforce, that increases wage pressure during a time when there is already a shortage of workers.” One good thing for these workers is the greater acceptance of work from home, Kass said. “Those with long Covid may still be able to work from home to some extent, but probably not as effectively as they would have if not for long Covid,” he added.

FIND MBA – May 25 – Assistant Dean and Executive Director of Career Services Neta Moye comments in “Online MBA Degrees Come of Age”: “This stigma is lessening, and a strong factor is the reputation of the institution which grants the degree and its accreditation,” says Neta Moye, assistant dean and executive director of career services for the Robert H. Smith School of Business at the University of Maryland in the US. The Smith School is accredited by AACSB International, a leading accrediting agency for master’s degree programs in business administration. And like Loades, Moye says that students receive the same MBA degree and diploma from the institution regardless of the format. Moreover, in the current red-hot job market, employers are reaching out to career centers at business schools not just for traditional full-time MBA hiring intakes, but for all openings where MBA skills are sought. “If an employer is posting a ‘just in time’ job with us, they want access to students in all our programs and do not differentiate,” says Moye. “We consider this a great thing. Our talent bench is deep, and employers appreciate that right now.”

Washington Center for Equitable Growth – May 25 – Assistant Professor of Finance Bruno Pellegrino co-authors “Common Ownership in the U.S. Economy,” summarizing his ‘Tale of Two Networks’ research. … Related: Pellegrino co-authors “A Tale of Two Networks: Common Ownership and Product Market Rivalry” (May 20) via Harvard Law School Forum on Corporate Governance.

New York Times – May 24 – Professor of the Practice Suresh Acharya comments in “Help! The Airline Changed My Flight Itinerary (for the Worse),” including: The six airlines (American, Delta, United, Southwest, Alaska, JetBlue) I asked would not provide specific data. To be fair, such figures would be very complicated, since many airlines schedule flights 330 days in advance that are “essentially placeholders,” [said Acharya], who has worked on airline optimization systems for two decades. The schedules solidify 90 to 180 days in advance, he said, and many changes — like a switch to a larger aircraft — are barely noticeable to customers. That matters because, according to Professor Acharya, airline algorithms rank passengers in order of importance, based on variables that might include fare class, loyalty status, whether you paid in miles or dollars, how big your group is and whether you’re an airline employee.

MoneyWeek – May 23 – “JD Sports Will Get Back on Track – Here's How to Play it” (Sportswear retailer JD Sports was a profitable trade in 2019 and is worth watching again) cites research by Dean’s Professor of Finance Jeffrey Tate: Similarly, a 2009 study by Ulrike Malmendier of the Haas School of Business and Geoffrey Tate of the University of Maryland found that the US firms whose CEOs won a major award lagged the market by as much as 26% over the next three years.

CNN Business – May 20 – Associate Professor of Management and Organization Rellie Derfler-Rozin comments in “Prices Are Rising. How Much Should Your Salary Increase?”: If you have an offer and the salary falls short of what you were hoping to make, don't be shy about negotiating -- just be sure to do your homework first. "There is more leverage, there is a shortage of labor, companies need good employees, and, with inflation, it is justified to ask for more," [said Derfler-Rozin]. "There is room to negotiate. The key part is the preparation." …"I encourage people to go beyond what you find on the web," said Derfler-Rozin. "If you know people that have worked there or worked in a similar place, try to have a conversation with them informally and get their advice. People are usually more willing to help and mentor... than we actually anticipate." … While inflation can be part of your reason for negotiating a higher salary, Derfler-Rozin said it shouldn't be the central argument. Instead, she said to put most of the focus on your unique skills and values. After showing excitement for the offer, she recommended saying something like: "I would hope we can discuss something that appropriately reflects the value I am bringing to the company based on my past performance, skills and education. Also, naturally taking into account factors such as the location cost of living and the rising inflation."

American Banker – May 20 – “Banks’ Hidden Role in the Carbon Footprints of Large Corporations” quotes Professor of the Practice Clifford Rossi: Banks have pushed back on the “tricky business” of reporting the financed emissions of corporate cash holdings because they are cautious about passing information to their clients that’s dependent on measurements collected at the portfolio company level, [said Rossi]. “I can’t imagine having to wrap my arms around the types of information for all the levers we need at a company level to do that on a reliable basis.”

Forbes – May 20 – Clinical Professor of Finance David Kass comments extensively in “The Great Retail Reset Hits the Bullseye: Getting Back On Target,” including: [Kass also noted the tightrope that the Federal Reserve Chairman Powell is walking regarding a “soft landing” as they tighten monetary policy in tandem with consumers already beginning to change their spending patterns… Like a doctor making a prognosis, Dr. Kass noted that we have learned to expect a recession about every 10-years, and it is particularly true when we experience the parallel effects of both monetary and fiscal policy tightening, combined with high inflation. On a positive note, he stated that the economy is still strong with only a 3.6% unemployment rate, closing on the lowest unemployment in 15 years. He believes that there is less than a 50% chance of a full-blown recession. He further postulated that inflation should be down to between 4-5% by year’s end.

Observer – May 19 – Research Professor and Center for Global Business Academic Director Kislaya Prasad comments in “New Sanctions on Russia Could Trigger a Default That Will Be Felt Across the Global Economy”: A default’s “direct effect would be on Russia itself and to some extent also on those holding the debt—a good amount of which is held by western banks,” [said Prasad]. Bond holders most likely wouldn’t lose everything, Prasad said. “It’s likely there would be some attempt to renegotiate and pay at a later date,” he added. “In other cases (of default), such as Argentina, there have always been people to buy up debt at a discount who have the ability to wait longer or the ability to press their case to get repaid at a higher rate.” ... The other side of the coin is that Russians are not able to buy technology and luxury goods, Prasad said. “That’s a big problem for the Russians,” he added. Still, Prasad thinks the future for Russia and Russians might not be so dire – as long as the economy continues to receive support from China. “Russian foreign debt is small,” he said. “They are getting enough money from oil sales, and they don’t need to borrow much in international markets right now.”

Medical News Today – May 19 – “How has the Pandemic Changed Our Behavior?” cites recent comments on consumer behavior by Professor of Marketing Jie Zhang: Moving forward, these and other pandemic-fueled spending habits may have changed consumer behavior long-term. For instance, according to Prof. Jie Zhang, professor of marketing, and Harvey Sanders Fellow of Retail Management at the Robert H. Smith School of Business at the University of Maryland, people are now shopping online more. They are also buying more staple items in bulk, and investing in at-home entertainment options, she notes in an interview.

Observer – May 19 – Dean’s Professor of Finance Michael Faulkender contributes to “In Tech, the Rich Get Richer as Big Companies Raise Pay While Struggling Startups Lay Off Workers”: Another important data point: Quit rates are the highest on record, [said Faulkender]. If you want to retain talent in an inflationary period, you need to raise salaries, he added. Some tech companies may be cutting back staff hired to facilitate work from home during the pandemic, Faulkender said. “Some tech firms that supported larger scale activity don’t need that many workers anymore,” he added. Moreover, even though overall there is strong demand for tech workers, that doesn’t apply to all companies, Faulkender said. “Startups are inherently more risky especially if they have models that are not proven,” he added. “There’s less capital out there funding new ventures now and that will hit startups more acutely. When the economy is tightening you look for them to fail more quickly than established entities.”

CNBC – May 17 – “The 2022 Disruptor 50: How We Chose the List of Companies” cites Michael D. Dingman Chair in Strategy and Entrepreneurship Anil K. Gupta as among the 2022 CNBC Disruptor 50 Advisory Council members “who again offered us their time and insights.”

Observer – May 17 – Orkand Corporation Professor of Management Science Zhi-Long Chen comments in “The US Food and Drug Administration Shares the Blame in the Baby Formula Shortage”: Back in early 2020, during the beginning of the Covid-19 pandemic, “a lot of people were going to the grocery store and buying a lot of basic items, including baby formula,” said [Chen]. “So, at that time there was a lot of demand,” Chen said. “As the virus situation improved, that led to lower demand. The baby formula manufacturers saw there was much lower demand and they cut production.” … Normally the demand for baby formula is very stable, Chen said. And because manufacturers were responding to a short term “demand distortion,” rather than looking at what might happen long term, there’s a shortfall now. Fixing the problem will take time because companies ordered smaller amounts of the ingredients necessary to the formula and now, they can’t easily scale up, Chen said.

NTD Business – May 17 – Clinical Professor of Finance David Kass comments in a ‘Warren Buffett Spends Big on Stocks’ segment, starting at 8:21. … Related: Kass, via TalkMarkets, gives the “2022 Percentage Returns Of Largest U.S. Companies By Market Capitalization” (for May 21).

WMAR ABC-2 – May 17 – Clinical Professor Oliver Schlake is noted as part of the June 13 “B’More BOLD Conference for Entrepreneurs & Innovators”: [T]he conference will feature a special scenario planning workshop with world-expert Oliver Schlake, Ph.D., of the University of Maryland Robert H. Smith School of Business, as we seek to create a strategic roadmap for Ukrainian entrepreneurs.

Wall Street Journal – May 16 – “Warren Buffett Spends Big as Stock Market Sells Off” quotes Clinical Professor of Finance David Kass: This year has changed that. With tightening monetary policy, slowing economic growth and sustained supply-chain disruptions putting markets on edge, Mr. Buffett is in his element, [said Kass]. “This is what I’d consider to be Warren Buffett’s sweet spot,” Mr. Kass said. “The almost wholesale selling in the market has provided Berkshire an opportunity to buy securities at bargain prices.” … Related: Kass gives the “2022 Percentage Returns of Largest Companies by Market Capitalization,” via TalkMarkets (May 14).

MoneyControl – May 13 – Associate Professor of Management David Kirsch and co-researcher Mohsen Chowdhury discuss their findings in a Q&A, “Are Bots Propping up Tesla’s Stock? Two Researchers Share Why There is Reason to Investigate.” Related coverage of the study, via The Edge Markets: “Tech: Will Twitter make Elon Musk a better pied piper?” (May 11).

Global Association of Risk Professionals – May 13 – Professor of the Practice Clifford Rossi writes a Risk Intelligence column, “Building a Unified Theory of Risk Management: How and Why.” Summary: To improve enterprise risk management, move further away from risk silos, and gain a better understanding of both obvious and hidden risks, the financial services industry needs to create a new risk paradigm. This can only be achieved by developing a framework that unites the four forces of risk management: culture, psychology, governance, and environmental risk.

TheWrap (via Yahoo News) – May 12 – “Did Zack Snyder Stans Rig the Oscar ‘Fan Favorite’ Vote With Online Bots?” quotes Associate Professor of Management and Entrepreneurship David Kirsch: David Kirsch, a University of Maryland professor who has studied fanbots, agreed that the pro-Snyder accounts “certainly do not look like they were generated by a human user” — though they were on the border of his research team’s cutoff point to definitively declare them bots. Extended coverage quotes Kirsch, by Vanity Fair (“Zack Snyder’s Fan-Voted Oscar Wins May Have Been Rigged by Bots”), others.

The Business Monthly – May 10 – ‘Maryland Business Adapts Set for June 3’ previews the forthcoming event organized by Smith’s Center for Global Business to showcase companies that have demonstrated resilience through global economic shocks and connect companies to resources to compete globally.

WalletHub Ask the Experts – May 10 – Clinical Professor of Marketing Hank Boyd explains metal credit cards’ pros and cons and increasing popularity in “Best Metal Credit Cards.”

Washington Post – May 8 – “Musk Says He Will Ban Twitter Spam Bots, But He Has Been a Beneficiary” quotes and references research by Associate Professor of Management and Entrepreneurship David Kirsch, including: But it is reasonable to wonder whether a Tesla contractor or subcontractor is responsible for some of the pro-Musk tweets, [says Kirsch], who this month will present the first of three papers examining bot influence on Tesla’s fans and share prices. The main other class of suspects would be “individual shareholders or pro-Tesla individuals who have the tech skills to do this,” Kirsch said. The presence of some bots became obvious not long after the carmaker’s stock was being hurt by reports of Model S cars catching on fire. In one span of 75 minutes in November 2013, eight new accounts appeared on Twitter and began posting about the stock. … In the ensuing years, just those eight accounts went on to post 30,000 times using the stock symbol TSLA — at such regular intervals and at such volume that the odds of them representing eight real people are infinitesimally small, Kirsch said. One account, @danrocks4, issued bursts of posts on average every third hour around-the-clock for more than six years, according to Kirsch and co-author Mohsen Chowdhury.

TalkMarkets – May 7 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns of Largest U.S. Companies By Market Capitalization.”

Kiplinger – May 4 – Clinical Professor of Finance David Kass comments extensively in “Warren Buffett's Inflation Plan: Buy, Buy, Buy When prices are rising at the fastest pace in four decades, cash is trash. That helps explain Buffett’s biggest Q1 binge, [says Kass] …In addition to a number of other attractive attributes, Warren Buffett also sees an inflation hedge in Chevron, Kass says. And even if oil prices level off or reverse trend, a stake in CVX is better than sitting in cash and equivalents. “Chevron has a large stock buyback program and pays a cash dividend of 3.5%,” Kass says. “That makes it a relatively safe cash alternative. Instead of earning essentially zero on Treasury bills, why not earn a dividend yield and a buyback yield that combined probably come in somewhere in the high single digits?”… “Oil, I believe, is a good hedge against inflation.” This stocks-down-inflation-up dynamic helps explain the sudden and stark reversal in Berkshire’s balance sheet. Related: Kass’ commentary on Buffett’s spending activity is referenced in the following day in Kiplinger’s ‘ Stocks Suffer Worst Losses of 2022 .’

Charles Koch Foundation – May 4 – Rajshree Agarwal, Rudolph Lamone Chair of Strategy and Entrepreneurship and Director of the Ed Snider Center for Enterprise and Markets, describes the Snider Center’s Intentional Life Lab in “How to Empower Students to Live Intentional Lives.”

Futurism – May 3 – Associate Professor of Management and Entrepreneurship David Kirsch discusses his research in “Twitter Bots Love Tesla. Elon Musk Is Pledging to Destroy Them.”

The Observer – May 3 – Nicole Coomber contributes to “As U.S. Workers Head Back to the Office, One Million Women Are Left at Home,” including: Offering flex time, an option to work from home, could help many women return to work, experts say. “There’s been a lot of buzz about the recently announced Airbnb policy of ‘work from anywhere,’” [said Coomber]. “That’s definitely a trend we see.” Coomber and colleagues have been interviewing women to find out what the most important barriers are to staying on the job. Along with flexibility, the moms also say they need to have some structure to their jobs. In other words, they want to know in advance when they will be working and when they will be off, Coomber said.

Washington Post – May 2 – “The Flawed Math Behind Elon Musk’s Twitter Deal” references a working paper by Associate Professor of Management and Entrepreneurship David Kirsch and Mohsen Chowdhury exploring whether tweets from fanbots are related to changes in the price of Tesla’s stock.

Harvard Business Review – May 2 – Research Professor Emeritus Sandor Boyson co-authors “How Exposed Is Your Supply Chain to Climate Risks?

Maryland Daily Record – May 1 – Clinical Professor of Management Oliver Schlake describes how entrepreneurs can benefit from a farmers market setting in “Farmers market alumni are making it big in Baltimore,” including: The model guarantees a steady stream of potential customers for each vendor and has a low barrier to entry — just the fee for setting up a booth, plus the cost of any materials. It’s not unlike selling a product on Amazon or Etsy, [according to Schlake].

Poets & Quants – May 1 – “100 Best & Brightest MBAs: Class of 2022 includes and features Maryland Smith’s Daylin Russo.

April 2022

Bloomberg – April 30 – “Buffett Speaks at Berkshire Hathaway Annual Meeting” includes: CNBC reporter Becky Quick identifies [Clinical Professor of Finance] David Kass as the source for (he’s an avid Buffett watcher and a finance professor). He’s asking about Biden’s tax plans… Buffett says that he has no point of view that he’d want attributed to him. Munger says he pays whatever taxes they pass, and he doesn’t want to engage in any lobbying about policies. Related: Kass gives “10 Highlights of Berkshire Hathaway’s 2022 Annual Meeting,” via TalkMarkets (May 1).

Kellogg Insight – April 30 – Dean’s Professor of Finance Michael Faulkender’s research ("Understanding the Rise in Corporate Cash: Precautionary Savings or Foreign Taxes”) is the basis for “Why Are U.S. Companies Hoarding So Much Cash?.”

CNN Business – April 29 – Associate Professor of Management and Entrepreneurship David Kirsch comments in “Electric Car Startups Want to Avoid Same Fate as Britain's 1890s Bike Bubble”: [Kirsch said] he expects some electric vehicles startups to survive but many to fail. "The stories are unraveling," Kirsch told CNN Business. … US electric vehicle companies aren't the only ones to see their valuations reduced. Chinese electric vehicles startups have taken a hit, too. Nio's stock has fallen 49% this year, while X-Peng is down 52% and BYD's has dropped 17%. Even the world's most valuable automaker, Tesla, hasn't been immune; its stock is down 27% this year. Kirsch views the falling stock prices of companies that wish to rival Tesla as evident of how difficult it is to turn startups that inspire investors with a story into businesses that prove themselves on paper with revenue and profits. "Some of these companies are being exposed in a way," Kirsch said. "There's a saying, when the tide goes out, you see who isn't wearing a bathing suit."

CNBC – April 29 – "Berkshire Hathaway’s Annual Meeting is Here: What to Expect from Warren Buffett and Charlie Munger": “One might expect buybacks to slow down simply because the price of Berkshire has gone up,” [said Kass]. “Buffett will only buy back shares if he considers them to be at a sufficient discount from intrinsic value.” Berkshire’s investments lately only made a small dent in his $140 billion-plus war chest, leaving Buffett watchers wondering if a major investment is on the horizon. “The recent declines in the stock market resulting from the anticipated tightening of monetary policy by the Federal Reserve may provide additional attractive opportunities for Buffett in the near future,” Kass said. The story expands on Kass’ comments from an April 23 CNBC Pro column “Warren Buffett is on a Roll. Here is What’s Behind his Big Moves and What Could Come Next.” …Related: Kass gives a Q&A with National Business Daily (China) in “Buffett's Shareholders Meeting is About to be Held, Business School Professors Explain the Investment Logic of ‘Stock Gods’” (April 28).

Observer – April 29 – Professor of Marketing Jie Zhang comments extensively in “As the Pandemic Ebbs, Americans are Shifting Their Spending from Goods to Services and Travel," including: “People have just been locked up at home too long and now there’s a pent up demand for restaurants, outdoor entertainment, leisure activities and travel,” Zhang said. “And they’ve learned over the past two years that the pandemic isn’t just going to be suddenly over. Covid cases will come in waves. But right now, a wave has ended, and case numbers are low in the U.S. and many parts of the world.” So, people see the current situation with the virus as a window of opportunity, she said.

San Francisco Examiner – April 29 – Associate Professor of Management and Organization David Kirsch comments extensively in ‘We Know Bad Things are Going to Happen,’ with Musk and Twitter, including: “Musk’s Twitter activity constitutes a novel tool for corporate engagement mobilization and polarization,” Kirsch writes in a working copy of the research being presented at a conference in June. “While Musk’s deft use of Twitter delighted and engaged the fanboys, the techniques employed also mobilized a subset of Twitter users to challenge and oppose Musk, leading to polarization.” … “A policy unit inside of Twitter over the last couple of years was sort of focused on trying to tamp down some of the extremism, reduce some of the really harmful trolling and create more healthy conversations,” Kirsch says, referring to Twitter’s Healthy Conversations program.

Investor’s Podcast Network – April 28 – Clinical Professor of Finance David Kass gives an in-depth “Buffett’s Biggest Blunders” interview for the network's “We Study Billionaires” series.

European Pharmaceutical Review – April 28 – Professor of the Practice Clifford Rossi writes “Can Continuous Manufacturing add Shareholder Value for Pharmaceutical Companies?.”

Delicious Food – April 28 – “McDonald’s Ice Cream Woes Have Inspired Memes, Mockery and Now, a Federal Lawsuit” quotes Clinical Professor of Finance David Kass: [Kass says] the agency gets involved when there are both numerous complaints about a product and “sufficient substance” to the complaints. Kass said he was perplexed that McDonald’s had gone so long without finding a permanent fix for its ice cream machines. “Customers, if they’re disappointed frequently enough, will go elsewhere,” he said.

The Diamondback – April 28 – Associate Clinical Professor of Finance Elinda Kiss comments in “UMD Students, Faculty Discuss Importance of Student Debt Cancellation”: “Much of the inflation is due to supply chain issues as the country is coping with reallocation of resources after the pandemic,” Kiss said in an email. “Pausing student loan debt repayments puts dollars in the pockets of the graduates that they can use to spend to buy the higher priced goods and services.” …The average student takes out $8,474 a year to attend this university, according to the college ranking site Niche. The issue goes beyond just this university, according to Kiss. “One of the major problems with student loan debt is not the impact on University of Maryland graduates, most of whom are able to get good jobs after graduation, but with students who attend for-profit predatory schools … whose students were misled and defrauded,” Kiss said.

New York Times – April 27 – “Will Elon Musk Save Twitter or Destroy It?” quotes Associate Professor of Management and Entrepreneurship David Kirsch: Whatever Musk’s public statements, it bears noting that “no one has profited more from the existence of Twitter than Elon Musk,” as [Kirsch] told The Los Angeles Times. “Donald Trump used Twitter to win the presidency, but Elon Musk used it to sustain the Tesla narrative and support the stock when the company was in danger of collapse.”

USA Today – April 27 – Dean’s Professor of Finance Michael Faulkender comments in “Critics Say Corporate Greed is Making Inflation Worse, Citing Record Profits Despite Rising Costs”: [Faulkender] disagreed that executives' comments to analysts amount to evidence of price gouging. "The fact that CEOs get on earnings calls (and talk about) making money isn't a shock," he says. …Faulkender says criticism of corporate profit margins fails to account for the laws of supply and demand. Consumer demand was turbocharged by federal stimulus payments at the same time that global supply kinks created product shortages, he says. “Prices are not set” to cover costs plus a profit margin, says Faulkender. “They are set to bring quantity demanded into equilibrium with quantity supplied. When there is excess demand, prices rise and those selling the product receive higher revenue as a result. Faulkender also notes that wholesale costs have risen more rapidly than retail prices, underscoring that businesses haven’t passed all their increased expenses to consumers.

Reuters – April 27 – “Musk’s Criticism of Twitter Staff Triggers Backlash” quotes Associate Professor of Management and Entrepreneurship David Kirsch: "If he proves incapable of tamping down the polarization, Twitter will slowly start to become less relevant because certain types of conversations will no longer be able to take place on it," [said Kirsch].

Business Insider – April 27 – Clinical Professor of Finance David Kass contributes to “Warren Buffett is on a Buying Spree. 7 Experts Analyze the Investor's Recent Trio of Purchases, and Break Down Why he Spent $23 Billion on Them”: "The confluence of these three large investments in a short period of time might be coincidental. Buffett waits patiently for opportunities to develop and pounces on them when they occur… Occidental may have become more attractive to Buffett because he expects high oil prices to continue. In the current inflationary environment, oil prices would be expected to remain high and oil companies would appear to be attractive investments… The HP investment might have resulted from a very attractive price, which Buffett considered to undervalue the company. It also possesses a highly regarded and respected brand name with a 'moat' protecting its market share in its laptop computer and printer businesses.”

Style and Polity – April 27 – “Social Capital is a Key Driver of Small Business” summarizes research by William A. Longbrake Chair in Finance Vojislav Maksimovic, Associate Professor of Finance Liu Yang and PhD finance student Sophia Xue: A community’s social capital – the level of trust and cooperation among residents – is conventionally associated with the likes of higher SAT scores and less youth violence. But a new study drawn from Payment Protection Program (PPP) and U.S. Census data shows that the same metric also correlates positively with business development…

Morning Brew – April 25 – “One-Way Video Interviews are Impersonal, Candidates Say, and Raise Privacy Concerns” cites research by Assistant Professor of Information Systems Lauren Rhue: Studies have indicated that algorithmic bias is most prevalent in the facial scans of non-white people: For example, a 2018 study [by Rhue] found that two different facial-analysis programs determined that images of Black NBA players were respectively interpreted to be more angry or contemptuous than those of white players.

Rolling Stone (via Rolling Stone India) – April 25 – “The World’s Richest Man Just Bought the World’s Most Influential Social Media Platform — What Could Go Wrong?” quotes Clinical Professor of Finance David Kass: The potential sale comes amid speculation that Musk has been gaming the Securities and Exchange Commission. He was 11 days later in declaring that he’d bought more than five percent of the company earlier this month, a move that allowed him to net over $150 million as he continued to buy stock before disclosing his stake, which prompted the price to rise. “I really don’t know what’s going through his mind. Was he ignorant or knowledgeable that he was violating securities law?” University of Maryland finance professor David Kass told The Washington Post.

The Economist – April 23 – “Elon Musk’s Twitter Saga is Capitalism Gone Rogue” cites research by Associate Professor of Management and Entrepreneurship David Kirsch: Tesla, which on April 20 reported record sales in the first quarter, goes from strength to strength. Twitter helped fuel its rise. It may not be just his Twitter “fanboys” who have bolstered the Tesla narrative. According to David Kirsch of the Robert H. Smith School of Business at the University of Maryland, tweets generated by “fanbots,” or what he claims are pro-Tesla algorithms, accounted for 23% of all messages on Twitter containing the hashtag #tsla between 2010 and 2020, or 36,000 tweets.

Washington Business Journal – April 22 – Professor of the Practice Clifford Rossi writes op-ed, “Greater Washington Must Incentivize Domestic Drug Manufacturing” (via investing in advanced manufacturing technologies, such as continuous manufacturing, or CM), including: This transformation is overdue. This dynamic — along with corporate tax rates, differential labor and manufacturing expenses, supply chain management and environmental costs — feeds into a U.S. pharmaceutical sector dependent on both foreign manufacturing and decades-old batch processing practice, which is a sequence of steps that can be inefficient and prone to more manual errors with its labor-intensive approach.

Observer – April 22 – Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust comments in “Verizon Raised its Minimum Wage to $20 an Hour As the U.S.’s Lowest Paid Workers Make Unprecedented Gains,” including: As wages rise, companies will most likely reach a limit on what they are willing to spend on labor costs, Rust said. “Companies will seek a way to not use labor,” Rust said. “Artificial intelligence is becoming big and you’re going to see it more and more. Rising wages are going to bring more pressure to apply AI to various tasks.”

The Street – April 22 – “Elon Musk Wants to Get Rid Of One of the Worst Parts of Twitter” quotes Associate Professor of Management and Entrepreneurship David Kirsch: “Kirsch said "looking at tweets from Tesla IPO to 2020, we found a set of accounts that did not exhibit human-like behavior ... Using Botometer ... we identified these accounts as programmed users generating pro-Tesla content." … "The #fanbots were active in the pro-Tesla movement using #TSLA and $TSLA, whereas accounts active in the counter-movement around #TSLAQ and $TSLAQ were human users," Kirsch said. "This imbalance suggests that the fanbots were a strategic resource supporting the Tesla narrative."

Inside Mortgage Finance – April 22 – Professor of the Practice Clifford Rossi elaborates on Fannie Mae and Freddie Mac discussing ways to proactively deal with risks of climate change, via “Risk Expert Says GSEs are Assessing Their Exposure to Climate Risk,” including: “[GSEs are] gearing up, along with FHFA, for building the infrastructure to assess the risk and be able to manage it. They’re coming up with what we call a ‘climate risk taxonomy’ so they can define all the various risks they’re exposed to.” Perhaps most important, they’re trying to understand the nature of the exposure in their portfolios to these risks. “The companies will be engaged with climate model vendors. Just like a reinsurance company that has a climate model, they’ll say, ‘Run all our properties through the model and tell us what our exposure is from the dollar standpoint.’”

Al Araby TV (via Twitter) – April 19 – Professor of the Practice in Systems Thinking and Design Gerald Suarez helps explain the trend toward a four-day workweek.

Baltimore Sun Education – April 19 – In separate, continued articles on Page 7, Associate Dean of Undergraduate Programs Victor Mullins describes Smith’s Business Leadership Fellows Program and Professor of the Practice Clifford Rossi previews plans for climate finance and risk management education programs for professionals.

WalletHub (Ask the Experts) – April 19 – Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust shares insights via a “2022’s Best Airlines” Q&A.

Global Association of Risk Professionals (GARP) – April 15 – ‘Risk Executives on the Move’ highlights Professor of the Practice Clifford Rossi: [Rossi] is on the 16-member FDA Pharmaceutical Science and Clinical Pharmacology Advisory Committee… His previous research effort “underscores the importance of more focus on drug safety, efficacy and making sure that we have adequate manufacturing quality and technology to do that. Looking especially at how we finance and invest in that area is something that I’m thrilled to have a voice in now,” said Rossi.

The (New York) Observer – April 13 – Clinical Professor of Finance David Kass comments for "Americans Want to Fly Again, and Delta Airlines is Benefiting," including: It’s very likely the other airlines will show similar trends when they release their first quarter reports, [said Kass], a clinical professor of finance at the University of Maryland. Kass attributes the recovery to Americans’ urge to hit the road… Things may be a little more up in the air come 2023, Kass said. “Many economists are predicting that with the Federal Reserve likely to raise interest rates sharply over the next year, year-and-a-half, to bring down inflation, that could lead to a recession in 2023,” Kass said. “And that would probably have a negative impact on the airlines next year.” Ideally, the reserve will manage to achieve the delicate balance that would lead to a “soft landing,” Kass said. “But that is extremely difficult to achieve and hard to predict.”

Los Angeles Times – April `12 – “Elon Musk’s not-so-secret weapon: An army of Twitter bots touting Tesla” references new research by Associate Professor of Management and Entrepreneurship David Kirsch that “concludes that 500-plus million Tweets/day has played a significant part in the “stock of the future” narrative that has propelled Tesla’s market value… Reporting on reaction to the LA Times piece and Kirsch’s study, the Wall Street Journal’s “Meet the Twitter Army of Elon Musk Superfans” includes: David Kirsch, the University of Maryland professor who conducted the research, said he has never had a position in or against Tesla stock… Further related coverage: Kirsch discusses (at 44:00) his research connecting fanbots and Tesla stock movement, via BBC Business Matters.

FIND MBA – April 12 – Interim Associate Dean of Master’s Programs Paulo Prochno comments in “Why Global Study Trips are a Must for Online MBAs,” including: “During some periods of the pandemic we had to change the residencies to virtual,” says [Prochno]. “For the global programs, we offered a virtual alternative, too — students worked on a project with a foreign company and attended multiple virtual company visits, virtually meeting senior executives of companies in the chosen countries.” Still, he says the trips were “very valuable”, in the sense that they let students learn more about the opportunities and challenges of doing business overseas. “There was also the opportunity to apply knowledge from multiple courses in a real project that will help a company abroad,” says Prochno. “That experiential learning is essential to understand in more depth how the multiple business areas relate to each other.”

Forbes – April 11 – Professor of the Practice Clifford Rossi comments in “Apple And Crypto—Here’s What You Should Know”: In addition, [Rossi] said that having a digital or crypto wallet and its own stable coin or a crypto pegged to the price of a fiat currency, could give Apple a competitive advantage over other retailers and will increase the competitive landscape of the personal banking and payment processing industry.

FreightWaves – April 11 – “Truckers are Filing Coercion Complaints with the Feds at a Record Pace” quotes Academic Director of the MS Supply Chain Program Thomas Corsi: But coercion and its effect on exacerbating fatigue “is definitely still a problem,” Thomas Corsi, academic director for supply chain management at the University of Maryland’s Robert H. Smith School of Business, told FreightWaves. “I serve as an expert witness on accident cases which overwhelmingly occur when drivers are working on not enough sleep and end up plowing into a car because they’re working way too many hours. They’re on very strict time commitments that a broker or a carrier made to a client, but there are huge safety implications. These guys clearly are really stretched.”

USA Today Network (via The Arizona Republic) – April 8 – In separate career-advice columns, Professor of the Practice in Systems Thinking and Design Gerald Suarez writes “Learn How to Connect with New Colleagues in a Remote Work Setting” and Senior Director of Employer Relations Cynthia O’Brien writes “Got Job Offers? Here's How to Decide on the Right One.”

Global Health NewsWire – April 8 – Ritu Agarwal, Distinguished University Professor and Robert H. Smith Dean’s Chair of Information Systems, explains “3 Keys to Addressing Bias in Health Data and Algorithms and Why it Matters.”

Global Association of Risk Professionals (GARP) – April 8 – Professor of the Practice Clifford Rossi writes “Credit Access and Risk: A Balancing Act.” Summary: GSEs have in the past have relied on a singular credit score to evaluate borrower credit risk, but the FHFA is now considering whether Fannie Mae and Freddie Mac should be allowed to use a multi-score approach. The question is whether this would expand access to credit or simply create greater risk for GSEs and for capital markets.

Internal Auditor – April 8 – James Lager, adjunct professor and chief ethics adviser for the U.S Government Accountability Office, co-authors “Toward a More Perfect Objectivity.” Summary: Rather than treating objectivity as a best intention or ignoring the objectivity problem as unsolvable, internal auditors can best honor their professional obligations by using behavioral science insights to reach for objectivity.

Denver Business Journal – April 7 – “Colorado Legislators Look to Limit Noncompete Agreements” quotes Associate Professor of Management and Organization Evan Starr: [Starr] said that between one-third and two-thirds of all employees under such agreements are required to sign them after they have accepted a job, when they have little to no negotiating leverage to push back. And 30% of firms that use noncompete agreements do so indiscriminately for all workers, regardless of salary or managerial level.

Business Insider – April 7 – “Warren Buffett Just Revealed a Huge Stake in HP — After Ruling Out Ever Owning the Computing Stock in 1998” quotes a Tweet by Clinical Professor of Finance David Kass: It's also possible that one of Buffett's two investment managers, Todd Combs and Ted Weschler, oversaw the HP purchases. However, the sheer size of Berkshire's position suggests their boss was the mastermind, [Kass] tweeted on Thursday. … Kass, via Talkmarkets, gives the “2022 Percentage Returns of Largest US Companies by Market Capitalization” (April 9).

WRAL TechWire – April 7 – “Survival of the Fittest Entrepreneurs: It’s Becoming Harder to be Successful, Study Finds” includes a summary of a working paper (‘Are Entrepreneurs Penalized during Job Searches?’) by Associate Professor of Management and Organization Waverly Ding, Clarice Smith Professor of Management and Organization Debra Shapiro and postdoctoral researcher Hyeun Lee, including: The study revealed that former entrepreneurs were 23% to 29% less likely to be selected [when applying for jobs] than those with no entrepreneurial experience… Based on their findings, the researchers recommend that large firms develop anti-bias training programs to mitigate the penalty on former entrepreneurs during the recruiting process. They also point out that picking the right person for recruiting can help. For example, the entrepreneurial penalty can be reduced by using recruiters who have entrepreneurial aspirations themselves.

Maryland Today – April 7 – Accounting Lecturer Samuel Handwerger gives “Tips for Last-Minute Tax Filers.”

Washington Post – April 6 – “Elon Musk Delayed Filing a Form and Made $156 Million” (and quoted from here in a separate report by The Daily Beast among others): The late filing netted Musk $156 million, [said Kass]. “I really don’t know what’s going through his mind. Was he ignorant or knowledgeable that he was violating securities law?” he said. Whoever was handling the trades for Musk should have known, Kass said… Separate coverage quoting Kass: Mercury News/Bay Area News Group’s “Elon Musk’s Missed Twitter Deadline Made Him Millions, Experts Say”: “The rest of the world was ignorant that he was purchasing the shares,” [said Kass]. “Once it became known that he was purchasing those shares, you got that spike.” Kass estimated that the delayed disclosure delivered an extra $156 million in stock value to Musk. … Sinclair Broadcast Group’s “Elon Musk's Long-Standing Battle Against SEC Takes Center Stage after Twitter Buy”: “Certainly the people around him who filled out the forms for him, whether it be his attorneys or financial consultants, should have informed him of that deadline once it was crossed," [Kass told] The National Desk.”

Law360 – April 5 – ‘Windfall Tax On Profits Would Help Consumers’ quotes Dean’s Professor of Finance Michael Faulkender from his testimony before the Senate Budget Committee: Michael Faulkender, an assistant Treasury secretary for economic policy under former President Donald Trump, said imposing a 95% windfall profits tax on corporations would lead to disaster. "Any company that created new products, successfully entered new markets, or shifted their offerings in response to changes in consumer preferences following the pandemic would be punished," said Faulkender, now a finance professor at University of Maryland. Additional coverage of the hearing and Faulkender’s testimony includes “The Big Plan to Shied Biden from Inflation Attacks” at Liberty Nation “Corporate Media Ignore Hearing on Corporate Greed," via the Albany Herald.

Agence France-Presse (via Yahoo News) – April 5 – Associate Professor of Management and Entrepreneurship David Kirsch comments in “Twitter Names Elon Musk to Board, Further Lifting Shares”: But others said Musk's motivation behind the Twitter investment probably has little to do with national politics. "Twitter is a key resource for him," [said Kirsch], who has written extensively on electric vehicles and modern technology. Musk currently has more than 80 million followers on the platform, which Kirsch said has likely saved him hundreds of millions of dollars in advertising. "He is the master of the platform, at a certain point he couldn't afford not to have a say in how it's managed," said Kirsch. "All the politics are secondary."

Forbes – April 4 – “Two Years Later, Was The PPP Worth It?” references Dean’s Professor of Finance Michael Faulkender related to his 2019-2021 role of Chief Economist and Assistant Secretary for Economic Policy at the US Treasury through which he led the implementation of the Paycheck Protection Program (PPP).

Los Angeles Times – April 4 – Associate Professor of Management and Entrepreneurship David Kirsch comments in “What Would Free Speech Look Like on Elon Musk’s Twitter?”: “No one has profited more from the existence of Twitter than Elon Musk,” said David Kirsch, a professor at the University of Maryland’s Robert H. Smith School of Business and coauthor of the recent book “Bubbles and Crashes.” “Donald Trump used Twitter to win the presidency, but Elon Musk used it to sustain the Tesla narrative and support the stock when the company was in danger of collapse.” … “No one has been more adept at using Twitter to control public narrative” than Musk, said Kirsch, who’s currently researching the effect of Twitter bots on Tesla’s stock price and reputation. (Bots are automated Twitter accounts created to resemble real people and are often used to flood the app with programmed messages.) Musk may be investing “if he believes that Twitter is adopting policies that limit his ability to use the platform,” Kirsch added.

TechTarget – April 1 – “New Study Reveals How AI will Change Future Workplaces” overviews Assistant Professor of Finance Alex Xi He’s working paper.

March 2022

Expansion Solutions Magazine – March 31 – Clinical Professor Oliver Schlake comments as the primary expert source for “Selecting a Headquarters: A Nuanced Affair,” including: Another need to consider is what kind of human resources are required to grow the business, as well as the level of education and/or a trade skill. “Then if the company has enough workers, you have to see what the competition is like to hire more,” [Schlake said]. “If the labor force is shallow, employees will cost more to hire.” So, such moves require taking a long view. “You have to take a few years to think about where to move to, then work within a five-year horizon and know how you want to grow your business,” said Schlake. “Will that be organically or by buying other companies?”

Forbes – March 30 – Rudolph Lamone Chair of Strategy and Entrepreneurship Rajshree Agarwal writes “Exercising Freedom In Your World To Uphold Freedom In The World.”

MIT Sloan Management Review – March 30 – “Is Blockchain a Disruptive or a Sustaining Innovation? What Experts Say” quotes Rudolph Lamone Chair of Strategy and Entrepreneurship Rajshree Agarwal: “The effect of blockchain on ‘supply’ and ‘demand’ of financial transactions is radical and disruptive. In line with industry evolution studies, this opens up the competitive realm for both new entrants and incumbents.”

The Diamondback – March 30 – Clinical Professor of Finance David Kass explains the causes and implications of high gas prices in “UMD Commuter Students Express Worry for Their Wallets as Gas Prices Stay High.” Also from David Kass, via TalkMarkets: “2022 Percentage Returns of the Largest Market Capitalization” (for April 1).

Fortune – March 29 – Assistant Professor of Finance Alex Xi He comments on his NBER working paper on the effects of managers’ business education on wages and labor share, including: “It used to be the case that when a firm grew, it shared part of its growing profits with its workers,” [said He]. “For [firms with] managers with a business education, we do not find a wage increase after firms grow in profits.” … “A smaller portion of the economic surplus is going to workers and a larger portion is going to either capital or profits.” Also reporting on the study: Axios, Bloomberg, Brookings, Forbes and Quartz.

Lexington Park Leader – March 29 – “CTSi Earns Honors for Innovative Work During Pandemic” previews the June 3 Maryland Business Adapts event and highlights CTSi as one of the companies to be featured in the Center for Global Business-organized program to take place in Baltimore.

Making the Rounds (American Medical Association podcast) – March 25 – “Ritu Agarwal on Shaping Health IT Research, Education and Outreach” features Agarwal, Distinguished University Professor, Robert H. Smith Dean's Chair of Information Systems and co-director of the Center for Health Information and Decision Systems (CHIDS) discussing her paper, “Socioeconomic Privilege and Political Ideology are Associated with Racial Disparity in COVID-19 Vaccination,” co-authored with CHIDS colleagues, as well as the center’s focus areas of EHRs, Health IT from the patient-side, and the current A.I. revolution and resurgence.

WUSA-9 – March 23 – Associate Professor of Management and Entrepreneurship David Kirsch explains “What NFTs Have in Common with Tulip Bulbs from the 1600s.”

Scripps National News – March 22 – Associate Professor of Management Evan Starr draws from his research stream to weigh in for a report on “More Evidence Worker Noncompete Contracts Hurt Wages.”

Bloomberg – March 21 – “Buffett’s Deal Drought Ends With $11.6 Billion Alleghany Buy” (republished minus paywall at Yahoo Finance) quotes Clinical Professor of Finance David Kass: “Buffett, in part, may be sending a signal to the world, to investors, to financial markets, that even in this current environment of great uncertainty, that he still thinks there are wonderful opportunities to invest in at least U.S. companies going forward,” [said Kass]. Related: Kass, via TalkMarkets, gives the “2022 Percentage Returns of the Largest Market Capitalization” for March 19 and March 26.

WDVM News – March 16 – Clinical Professor of Finance David Kass ‘Explains Inflation and the Possible Solutions.”

Retail TouchPoints – March 15 – “Retailers Can Cushion Price Increases’ Impact With Greater Transparency” extensively quotes Dean's Chair in Marketing Science P.K. Kannan, including: But what’s most effective is for retailers to be transparent with customers about why they’re raising prices. “A retailer may have loyal customers who love what you’re selling, and if you indicate to them what your cost structure is and how it’s gone up, it may help consumers understand that they’re not being taken advantage of,” said Kannan.

Financial Times – March 13 – “Do online MBAs broaden access to business education?” quotes Interim Assistant Dean Paulo Prochno: Although, in principle, online learning could be a global playing field, online MBAs appeal largely to local learners. This is partly because some countries — notably China and the US — either do not recognise online degrees from overseas institutions, or restrict access to post-graduation work visas for online, as opposed to on-campus, foreign students. Furthermore, coordinating live lectures across multiple time zones poses a challenge for course administrators, and relatively few business schools have a globally recognised name. “You would have to spend a lot of money to get the brand off the ground overseas,” says Paulo Prochno, assistant dean of online programmes at the University of Maryland’s Smith School of Business.

New York Times – March 11 – Clinical Professor of Finance David Kass comments in “McDonald’s Ice Cream Woes Have Inspired Memes, Mockery and Now, a Federal Lawsuit” (also in the Times' Sunday print edition): David Kass [a former economist with the commission], says the [FTC] gets involved when there are both numerous complaints about a product and “sufficient substance” to the complaints. Professor Kass said he was perplexed that McDonald’s had gone so long without finding a permanent fix for its ice cream machines. “Customers, if they’re disappointed frequently enough, will go elsewhere,” he said.

Scripps National News – March 11 – Associate Professor of Management and Organization comments in “More Evidence Worker Noncompete Contracts Hurt Wages” (following a US Treasury release of “The State of Labor Market Competition” extensively citing Starr’s research.

Maryland Today – March 11 – “Giving Day Smashes Fundraising Record With $3.75M Total” quotes Dean Prabhudev Konana, after Maryland Smith fundraised the second-highest total among UMD units: “This Giving Day was a testament to Smith's very strong community,” [said Konana]. “The funds raised to promote entrepreneurship, provide scholarships and enhance student experiences will have such a powerful impact on the school's mission, and I'm truly thankful to each of our donors for their confidence in us.”

GARP (Global Association of Risk Professionals) – March 11 – In his guest column – “Is Standard Scenario Analysis Outdated?” – with Russia-Ukraine as a backdrop, Professor of the Practice Clifford Rossi examines the viability of game theory and simulation-based approaches for projecting and assessing highly volatile risk events with uncertain outcomes.

The Hill – March 11 – Director of Federal and Veteran Affairs Frank Goertner writes “A No-Fly Zone in Ukraine Could Work.”

ASBMB Today (American Society for Biochemistry and Molecular Biology) – March 10 – “Underpaid: Women Scientists in the Academy” cites research by Rudolph Lamone Chair of Strategy and Entrepreneurship Rajshree Agarwal and Associate Professor of Management and Organization Waverly Ding, including: It may not be surprising to many of us women scientists who work at universities and colleges that we are underpaid compared with our colleagues who are men. Yet an analysis in the journal Nature Biotechnology n fall 2021 revealed that the gender pay gap is smaller for women who work in biotechnology and pharma. This remarkable finding has negative implications for retaining the next generation of women in academic science — and for reaching diversity, equity and inclusion goals at our universities and colleges.

Maryland Today – March 9 – In “A Fluid Situation,” Research Professor and Center for Global Business Academic Director Kislaya Prasad and Professor of Marketing Amna Kirmani explain why banking bans are more likely than oil and vodka boycotts to influence Russian policy.

Capital News Service TV – March 8 – In a “Russia Sanctions” segment (2:10) Associate Clinical Professor of Finance Elinda Kiss explains SWIFT and the implications of blocking Russia access to the network.

MBA Crystal Ball – March 7 – Senior Director of Admissions for MBA and Specialty Masters Programs Maria Pineda gives five essay tips as part of “How Important are MBA Essays, and Why?

TalkMarkets – March 5 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns of Largest U.S. Companies by Market Capitalization.”

Washington Post – March 3 – Associate Professor in Decision, Operations and Information Technologies Jui Ramaprasad comments extensively in “How to Avoid Falling for a Tinder Swindler or a Fake German Heiress” including: The first of Hayut’s victims that viewers meet in “The Tinder Swindler” is cast as a believer in the Disney fairy tale, exactly the kind of person primed to trust that grand romantic gestures — like whisking someone away on a private jet on a first date — are genuine. Confirmation bias, or the tendency to interpret information in ways that align with a person’s existing beliefs, is a powerful force. “If you want to see something as true, you’ll see it as true,” says [Ramaprasad]. “These people wanted to find love, and this guy played into that.” Often, Ramaprasad continues, scammers are able to identify someone’s vulnerabilities. In the case of the Tinder Swindler, that was women seeking love. With “Inventing Anna,” Sorokin’s friends wanted to be part of the glamorous life she led — the dinners, the parties, the clothes. They wanted to believe it was real.

Connecticut Examiner – March 2 – Associate Professor of Management and Organization Evan Starr is a source for “Legislators Consider Bill to Restrict Non-compete Agreements, Disagree on Workplace Impacts”: Starr, who submitted testimony on the bill last year, told CT Examiner that non-competes have been around since the time of trade guilds, when master craftsmen wanted to prevent apprentices from taking the skills they had learned and setting up competing shops. …Sorenson and Starr also say that there needs to be better data collection around how frequently non-competes are used and the contents of the agreements. Starr said he has asked the Federal Trade Commission several times to investigate the contents of employee contracts. … Starr acknowledged that it can be difficult to police what employers put in their contracts. However, Starr, Sorensen and McKernan all said they believed that having legislation would make a difference.

Maryland Today – March 2 – “MPower Partnership Announces $3M in Seed Grants for Collaborative Research” spotlights 17 studies selected for the funding, including “Precision Therapy for Neonatal Opioid Withdrawal Syndrome (NOWS)” co-led by Distinguished University Professor and Robert H. Smith Dean's Chair of Information Systems Ritu Agarwal.

February 2022

CNBC – Feb. 28 – Dean's Professor of Finance Michael Faulkender discusses why removing Russian banks from S.W.I.F.T. could harm the global economy and how much Russia will be impacted by the allies’ sanctions in ‘I Do Fear Russia Will Get Around a Fair Number of These Sanctions.’

Maryland Today – Feb. 28 – "Eye-Opening’ Traveling Exhibit Reveals Atrocities of Tulsa Race Massacre" quotes Associate Dean for Culture and Community Zeinab Karake, who brought the exhibit to UMD: “As Winston Churchill said, ‘Those who fail to learn from history are condemned to repeat it.’ And this is one part of history we definitely do not want to repeat, [said Karake]. “Students told us in their feedback that it was an eye-opener and that they were glad to be exposed to it.”

India Education Diary – Feb. 28 – Roland Rust, Distinguished University Professor and the David Bruce Smith Chair in Marketing, and Clinical Professor of Marketing Hank Boyd explain how the “Olympics Can Defeat Threats Of Pandemic Protocols, Ballooning Costs And Diplomatic Clashes.”

TalkMarkets – Feb. 26 – Clinical Professor of Finance David Kass writes “5 Highlights Of Berkshire Hathaway’s 2021 Annual Report.”

American Banker – Feb. 25 – “CFPB Proposal Aims to Curb Bias in Automated Appraisals” quotes Professor of the Practice Clifford Rossi: Some experts are concerned that regulators have limited resources to evaluate algorithmic computer models. “More concerning is the CFPB does not have the technical resources to properly evaluate these models,” [said Rossi].

Institutional Investor – Feb. 25 – Associate Professor of Management and Entrepreneurship Brent Goldfarb contributes to “ESG and Alpha: Sales or Substance?”: There is little reason to doubt that money flowing into investments can increase prices for a time, thereby allowing early investors to accrue higher returns. Sometimes the rising prices can in turn give a veneer of authenticity to the investment strategy. Stock bubbles are formed in this way, and one could easily see this happening with ESG investing. According [to Goldfarb] market bubbles often continue until some contrary evidence reverses the feedback process. Then, fear of losses causes more selling and drives prices lower. At the same time, research has shown that increasing the supply of capital to sustainable companies will push up their stock prices and lower their future returns, not the opposite.

Louisville Courier-Journal – Feb. 25 – “Guaranteed Income Programs are Expanding Across the Nation. What can Louisville Expect?” quotes Professor of Finance Michael Faulkender: But critics argue free money can be misused or disincentivize work, and some question its need in the wake of pandemic stimulus and an economy facing inflation and more job openings than people to fill them. “The last thing we need to be doing is paying people to not work,” [said Faulkender]. “If people would like money, there are 11 million job openings.”

Maryland Today – Feb. 25 – Associate Director of Executive MBA Career Coaching, Programming and Outreach Rachel Loock is the source for “A Post-Zoom Guide to Meeting Etiquette.”

WNYC – Feb. 24 – Associate Professor of Management and Organization Rellie Derfler-Rozin discusses her ‘Motivation Purity Bias’ research as part of a Brian Lehrer Show segment titled “Managers Are Less Likely to Hire People Who Ask About Salary. Will NYC’s New Wage Law Help?

WalletHub – Feb. 23 – Professor of Marketing Jie Zhang answers “How Have Consumer Spending Habits Changed During this Last Year?

Capital.com – Feb. 22 – Clinical Professor of Finance David Kass comments in “$100+ oil futures expected as Russia enters Ukraine”: [Kass said] if three Middle East countries increased their output it would help the markets. According to the Joint Organisation Data Initiative (JODI), a database of energy statistics, Saudi Arabia’s oil production in January 2022 was 10.02 million barrels per day. JODI believes that Saudi Arabia has the capacity to produce 12 million barrels per day. OPEC data shows UAE oil production was 2.92 million barrels a day last month and has the capacity to produce 4.2 million barrels per day. The cartel also said Kuwait’s oil production in January 2022 was 2.58 million barrels per day but has the capacity to produce 3.15 million barrels per day.

TheStreet – Feb. 22 – “Financial and Economic Thought Leaders Join Amberwave Partners' Economic Advisory Board” includes Professor of Finance Michael Faulkender’s appointment to an Amberwave Economic Advisory Board of “leading economists with wide-ranging experience in financial markets and policymaking at the highest levels” and focused on values-based investing in “companies that are most supportive of JSG (American jobs, security and growth).”

FIND MBA – Feb. 22 – “The Best Online MBA Programs Facilitate High-Touch Interaction Between Participants and Instructors” extensively quotes Interim Associate Dean of Master’s Programs Paulo Prochno: At [Maryland Smith], every Online MBA course has synchronous live sessions on Zoom. “The experience is smooth, and it allows for different forms of interactions such as breakout rooms and chat,” [says Prochno]. “We ask students to have their cameras on all the time, so it’s even better than being in a classroom, as everyone can see everyone’s reactions during the live sessions.” For the asynchronous elements, the business school uses Canvas, a course management system that supports online learning and teaching. It allows professors to post grades, information, and assignments online. “Enhancements in technology for virtual classes have improved the overall experience, so the interactions are even more meaningful now compared to a few years ago,” Prochno says. He says that learning from other participants and teaching staff is essential to the overall MBA experience. “An Online MBA is a professional degree focused on developing skills that are essential for senior management positions. There is a lot of tacit knowledge that needs to be developed during the program; exchanging experiences and working in groups to solve practical problems is an essential element,” says Prochno.

Maryland Today – Feb. 22 – ‘Women Managers Go to Bat for Subordinates’ features research by Logistics, Business and Public Policy associate professor Cristian Deszö.

TalkMarkets – Feb. 19 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns of Largest U.S. Companies By Market Capitalization.”

Harvard Business Review – Feb. 18 – Dean’s Professor of Management Subra Tangirala co-authors “The Unintended Consequences of Asking for Employee Input” based on his research forthcoming in the Journal of Applied Psychology.

WUSA-9 – Feb. 17 – Associate Professor of Management and Entrepreneurship David Kirsch explains how NFTs play into the new digital economy, in “Financial Investment or Fad? A Closer Look at the NFT Craze”: [Kirsch] explained an NFT starts as a digital file: an image, a sound, or video. The creator then adds another layer of code on it. That code then registers that file on the ledger of the internet, what is called the Blockchain. It’s that authentication that makes it unique. “I can take a picture of this wall and share it with you or-I can take a picture of this wall and make it into an NFT,” Kirsch said. “Then it is a certified, singular version of that picture of that wall.” … Kirsch is a little more blunt about the future of NFTs. “If you want my honest answer, I’m going like 99% fad, 1% business development on the NFTS” he approximated.

The Diamondback – Feb. 17 – “UMD Business School Hosts Discussion on Predicted Global Trends” recaps Research Professor and Center for Global Business Academic Director Kislaya Prasad’s discussion with Kearney’s Global Business Policy Council Managing Director Erik Peterson on Kearney’s recent “Promise and Perils: Global Trends 2021-2026” report, as part of CGB’s Distinguished Speakers in International Business Series.

Yahoo Finance – Feb. 16 – The livestream interview, “Charlie Munger Speaks at the Daily Journal’s Annual Shareholder’s Meeting” includes CNBC’s Becky Quick identifying Clinical Professor of Finance David Kass and relaying a pair of his questions to Munger (starting 37:37), which yielded the Berkshire Hathaway Vice Chairman’s views on the movement against stock trading in Congress and the antitrust scrutiny (here) on big tech.

Pensions & Investments – Feb. 16 – ‘3 win Markowitz Award’ includes Russ Wermers, Paul J. Cinquegrana ’63 Endowed Chair in Finance and Center for Financial Policy director, receiving Special Distinction honors for his paper “Active Investing and the Efficiency of Security Markets” as part of the 2021 Harry M. Markowitz Awards from the Journal of Investment Management and New Frontier Advisors.

Maryland Today – Feb. 15 – Marketing professors Amna Kirmani, Hank Boyd and Judy Frels critique the Super Bowl 56 commercials in “Super Bowl Ads: Celebrities, Cars and Crypto.” Kirmani, in addition, commented extensively on Super Bowl advertising in Katie Couric Media’s “A Behind-the-Scenes Look at How Super Bowl Commercials Are Really Made” and Boyd previewed the ads via WTOP radio just prior to the Super Bowl kickoff.

Healthline Magazine – Feb. 15 – Associate Professor of Marketing Yogesh Joshi contributes research findings and related comments to “Local Lockdowns and COVID-19: How Effective Were They?,” including: In Joshi’s study, he and his colleagues found that stay-at-home orders reduced mobility in most countries they looked at. But after a while, people began moving around more in the community, even though the stay-at-home order continued. One of their analyses showed that on average, by 7 or 8 weeks after the start of the lockdown, mobility was essentially back where it started. “When lockdowns extend for long periods of time, then the past data shows us that mobility levels start rebounding,” said Joshi. While they didn’t look specifically at the effectiveness of shorter stay-at-home orders — sometimes called “circuit breakers” — Joshi “speculates that shorter lockdowns should yield higher compliance, in terms of [people] staying at home.”

The Business Monthly – Feb. 14 – “Maryland Smith targets startups with Blockchain Accelerator” (an initiative of the Supply Chain Management Center and the Dingman Center for Entrepreneurship) includes: Participants will showcase their progress and business models to the Dingman Center Angel Group and other attending venture capitalists during the virtual Demo Day. “The Dingman Center Angels is one of the region’s most active investor networks,” said [Dingman Center Managing Director] Holly DeArmond. “Partnering on this blockchain accelerator will allow us to build a pipeline of strong, investment-ready companies for our investors, while also providing the accelerator participants with connections to active angels at the Demo Day.”

TalkMarkets – Feb. 12 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns of Largest U.S. Companies By Market Capitalization.”

Bloomberg Law – Feb. 9 – “Red State Lawmakers Look at Noncompete Bans for Low-Wage Workers” includes: Research into Oregon’s ban on noncompetes for low-wage workers—published by [Maryland Smith Associate Professor of Management and Organization] Evan Starr and FTC Economist Michael Lipsitz—found the law might have helped produce a small boost to wage growth and job mobility.

KCM (Katie Couric Media) – Feb. 11 – Ralph J. Tyser Professor of Marketing Amna Kirma comments extensively in “A Behind-the-Scenes Look at How Super Bowl Commercials Are Really Made,” including: This year, some companies shelled out over $7 million just for the rights to air a commercial during the big game. That’s up from a rate of about $6.5 million for a 30-second spot last year, [Kirmani told us]. “That’s just a ridiculous amount of money,” Kirmani says. But the research continues to show that for emerging businesses like the handful of cryptocurrency companies advertising during this year’s game and even for big, legacy brands like Anheuser Busch, Frito-Lay, and Coca-Cola “the return on investment is very high,” she says. A splashy commercial creates brand awareness and signals to consumers that these companies are thriving with money to burn.

AI TechPark – Feb. 11 – “CHITA 2022 Set for March 4-5 in D.C.” previews the 12th Annual Conference on Health IT and Analytics, hosted by the Maryland Smith’s Center for Health Information and Decision Systems (CHIDS), and quotes conference chair and CHIDS co-director Ritu Agarwal, Distinguished University Professor and Robert H. Smith Dean’s Chair of Information Systems: The conference is designed to “deepen our understanding of strategy, policy and systems fostering health IT and analytics’ effective use, and to stimulate new ideas with both policy and business implications… This forum provides a vibrant venue to facilitate collaboration among academia, government and industry.”

Bloomberg – Feb. 10 – Clinical Professor of Finance David Kass contributes to “Warren Buffett’s Top Stock Last Year Was the Bank He’s Been Bailing On”: That progress came too slowly for Buffett. His pullback from the bank started in 2017, a year after the scandals began erupting, and then accelerated during the pandemic. The reduction probably reflects Berkshire rethinking its bank exposure amid Covid-19’s fallout, and a shift toward Bank of America, in part because of frustration with the pace of Wells Fargo’s cleanup, [said Kass]. Buffett has “very high ethical standards” when it comes to stock picks, Kass said. ... Generally, Buffett “likes financials, he likes banking, he understands it well,” Kass said. “And he switched his allegiance, in terms of an investment perspective, to Bank of America.”

Global Association of Risk Professionals – Feb. 10 – “Managing People Is Risky Business” (Amid the pandemic and the Great Resignation) quotes Professor of the Practice Clifford Rossi: “Companies are trying to fumble their way through this new world,” [observed Rossi]. Rossi recommended employers pay attention to what people say they want. “It’s a competitive labor market out there,” he cautioned. “It’s about relationships and trust.” … Do employers get it – that business as usual may very well be a thing of the past? “COVID has completely blown up the standard business model,” Rossi cautioned. “I’m not sure how many companies have come to that realization.”

Analytics Insights – Feb. 9 – “Top 10 Online Business Data Science and Analytics Courses” includes: Maryland Smith’s “Professional Certificate Program in Data Science and Business Analytics (homepage)” as “one of the best online business data science and analytics courses to take in 2022.”

Small Business CEO – Feb. 8 – “4 Reasons Going for a Post Grad is Worth it” cites Maryland Smith’s Online MBA Program: Moreover, COVID-19 has helped everyone realize that you no longer have to be physically present in school. Still, rather you can pursue your higher education in your field of interest through an online MBA from the Robert H. Smith School of Business at the University of Maryland. The prospects of getting a postgraduate degree are numerous, and you do not want to miss out on the opportunities that can come your way if you proceed with specializing in your field.

Technical.ly – Feb. 7 – “UMD is Launching a Blockchain Accelerator” announces Maryland Smith’s 45-day virtual program – at the intersection of venture capital and blockchain and created by the Supply Chain Management Center and the Dingman Center for Entrepreneurship.

Baltimore Sun Education – Feb. 6 – “STEM Programs: Advancing Education for All Students” (Page 3) features Maryland Smith’s Artificial Intelligence and Machine Learning for Business Leaders certificate program and quotes its academic director, Professor of the Practice Suresh Acharya: “What business leaders need to understand is that the world of AI and ML is moving fast, and the technology is sweeping us away unless the leaders are grounded… This is what the program helps them do. It’s not a coding class or one where we prove mathematical theorems. What you need to understand are the parameters, what it can do, what kind of data makes sense and to understand where this can take you.”

TalkMarkets – Feb. 5 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns Of Largest U.S. Companies By Market Capitalization.”

Global Association of Risk Professionals – Feb. 4 – In “Model Risk Challenges and Opportunities in 2022,” Professor of the Practice Clifford Rossi explains why “rapidly-changing economic, regulatory and environmental conditions this year should heighten risk model teams’ focus on data, technology and climate change.”

Forbes – Feb 2 – Rudolph Lamone Chair and Professor in Strategy and Entrepreneurship Rajshree Agarwal writes “Lessons From The Road To Super Bowl LVI For Enterprise And Markets,” which references research co-authored with Smith professors Gilad Chen and Brent Goldfarb and includes: “Success accrues to entrepreneurial teams formed with precision–when founders pay attention to who best fills the gaps and who best fits in–as tightly knit pieces of an intricate puzzle.”

Forbes – Feb. 2 – Associate Professor Jui Ramaprasad in the Decision, Operations and Information Technologies department comments in “Social Media Influencers, Beware What You Post”: Influencers shouldn't be overly political even if they are trying to take a stand on important issues of the day. If there are two very vocal sides of that issue, perhaps it is best not to get involved. Otherwise, an influencer can become part of the story – and not in a good way. "In terms of being conscious of social media posts (generally): it is critical for all of us to realize that the posts we make on social platforms become our story," [said Ramaprasad]. "They form the public personas in the eyes of those who read the posts. Readers cannot observe what happens offline, or if someone's views have evolved unless these views are publicly posted," added Ramaprasad… “Authenticity in social media posts has been shown to be valued by consumers," continued Ramaprasad. "At the same time, society is evolving and finally recognizing important issues around bias, discrimination, racism, etc. – so indeed, when one's authentic perspective includes such views as expressed by these reality stars, there will be some repercussions. This often results in being 'cancelled' by the public or – as these stars experience – cancelled by their employer.”

Tasting Table – Feb. 1 – “Why Boycotting KFC And Other Big Companies Doesn't Work The Way You Think” quotes Ralph J. Tyser Professor of Marketing Amna Kirmani: "Boycotts generate typically negative publicity, brands want to avoid it, and as a result they may reach out to organizers of the boycott to discuss what they should be doing," [Amna Kirmani tells Refinery29].

January 2022

Poets & Quants – Jan. 30 – Maryland Smith Launches ‘Blockchain Business Imperative’ Certificate Program (scroll down) includes: Topics that the program will cover over its six weeks include an in-depth understanding of the economic inefficiencies that blockchain will impact, an overview of foundational blockchain technologies; a conceptual understanding of blockchain; implementation details for Bitcoin, Ethereum and Hyperledger; exploration of various blockchain business applications including NFTs, DeFi, CBDC; and a final discussion on potential opportunities and challenges stemming from blockchain.

TalkMarkets – Jan. 29 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns Of Largest U.S. Companies By Market Capitalization.”

Maryland Daily Record – Jan. 28 – “UMD Smith School Launching Tech Management MBA and Graduate Certificate Programdescribes the forthcoming collaboration (including the Feb. 25 free information session) with the “A. James Clark School of Engineering and School of Public Policy to deliver multi-disciplinary skills modern leaders need to successfully identify and implement technology across their organizations and markets.”

Harvard Business Review – Jan. 27 – Associate Professor of Management Science and Statistics Margret Bjarnadottir co-authors “Using People Analytics to Build an Equitable Workplace.”

AACSB Insights – Jan. 25 – New Programs (scroll down) announces: Maryland Smith’s Blockchain Business Imperative certificate: During the six-week synchronous program, students will get an overview of foundational blockchain technologies, learn about cryptocurrencies, and explore blockchain business applications.

MSN Money – Jan. 24 – “U.S. News Ranks 2022 Best Online Programs” includes: Tied at No. 12 among all online MBA programs, the University of Maryland—College Park's Robert H. Smith School of Business was ranked best for marketing.

Washington Post – Jan. 23 – Professor of Business Law T. Leigh Anenson comments in “Federal Prosecutors Have Been Investigating D.C.’s Pension Board, Responsible for $10 Billion Retirement Fund”: Experts on public pensions say best practices recommend reporting all fees so that credit rating agencies can evaluate whether the funds are making unwise investments — as can the tens of thousands of retirees who depend on the fund for their retirement income. An opaque listing of fees could hide an unwise investment or even an improper one, such as a conflict of interest or a bribe. “Do you have to disclose these fees, and should you be having these super-high fees? I think it’s a huge problem when they’re doing that,” [said Anenson], who has published papers on states’ varying rules for public pension funds and advocated stricter state laws mandating transparency measures such as listing all fees.

TalkMarkets – Jan. 22 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns Of Largest U.S. Companies By Market Capitalization.”

TalkMarkets – Jan. 21 – Clinical Professor of Finance David Kass gives regulatory insights via “The Microsoft/Activision Blizzard Merger And Antitrust.” Also at TalkMarkets: Kass gives the “2022 Percentage Returns of the Largest US Companies by Market Capitalization for Jan. 15.”

Business Insider – Jan. 20 – “Warren Buffett is Ready to Deploy $80 Billion if the Market Crashes This Year” quotes Clinical Professor of Finance David Kass: “If the Federal Reserve's projected interest-rate increases result in the stock market declining by at least 10% in the coming months, that may provide a fertile background for Berkshire to invest some of its $150 billion in cash. Berkshire's recent, $1 billion yen-bond issue may indicate future investments in Japan. On the other hand, more aggressive US antitrust policies may discourage Berkshire from acquiring companies.”

USA Today – Jan. 20 – Career-advice guest columns feature insights from Assistant Dean and Executive Director of the Offices of Career Services Neta Moye, Associate Director of Executive MBA Career Coaching Rachel Loock and Director of MBA Career Coaching Dori Jamison: This is the Most Important Question You'll Get Asked in a Job Interview” (Moye), “How to Prepare for Your Zoom Interview” (Loock) and “A Simple Guide for Writing the Perfect Cover Letter” (Jamison).

TheStreet – Jan. 18 – “I Don't Trust Bitcoin, But Should I Give Up on Crypto?” quotes Clinical Professor of Marketing Henry C. Boyd III: “Bitcoin is very volatile. It's very risky,” [said Boyd]. He explains that it is for this reason that he has not yet personally invested a penny in the crypto space.

Institutional Investor – Jan. 18 – “Here’s What Companies Can Return When They Don’t Just Focus on Shareholders” covers research co-authored by Associate Professor of Logistics, Business and Public Policy Rachelle Sampson. Smith PhD candidate Nathan Barrymore also contributed to the work jointly released by FCLT Global and The Wharton School and also covered by IR Magazine and others.

The Business Monthly – Jan. 18 – “Maryland Smith Launches Blockchain Certificate Program” announces a six-week synchronous online certificate program on blockchain technology and its potential economic impact across industries.

SHRM – Jan. 18 – Associate Director of Executive MBA Career Coaching Rachel Loock contributes to “Jargon: It Creates a Wall Between Managers and Employees”: Jargon can even damage your credibility by skipping over issues that deserve more thought. … And chances are, that "one-off situation" isn't, [said Loock]. When you work in the same industry for years, "jargon falls out of your mouth without [your] thinking," Loock said. But consider how daunting this jargon may be for a new or early-career employee, Loock continued. She suggests that HR provide a glossary of common terms and acronyms in their onboarding packet to familiarize new employees with the organization's lingo.

Security Boulevard – Jan. 18 – “Protecting VFX Production Studios from Content Loss and Exposure” references research by Associate Professor of Marketing Liye Ma: As far back as 2014, [Ma] found that pre-release piracy reduces box office revenues by close to 20% more than when piracy occurred following release. According to Ma, pre-release piracy is particularly harmful because the impact “comes disproportionately from individuals most passionate about and most interested in watching the movie.”

Southern Maryland Chronicle – Jan. 18 – “University of Maryland Predictions for the Mattress Industry, Revisited” assesses a 2015 analysis of the mattress industry by Dean’s Chair in Marketing Science P.K. Kannan.

Salon – Jan. 15 – “How Better Airline Technology Could Minimize Flight Disruptions” includes input from Professor and Chair of Logistics, Business and Public Policy Martin Dresner: Southwest has different vulnerabilities, [said Dresner]. The airline lacks strong hubs with spare crews and planes that other airlines use to pick up the slack when something goes awry (unless, as in the American example, the hub is affected).

Scienmag – Jan. 13 – “Researchers Develop New Metrics to Better Decipher how Companies Exploit Investment Opportunities” covers research co-authored by William A. Longbrake Chair in Finance Vojislav (Max) Maksimovic: In applying the new metrics to predict firm disclosures, Maksimovic and Hoberg show that firms with early life cycle products disclose less in order to hide from rivals. But mature firms disclose more in order to attract synergistic partners – for strategic alliances. And other mature companies are usually the targets… Related coverage via Phys.org.

The Fashion Law – Jan. 13 – Center for Financial Policy Senior Consultant Kristen Fanarakis writes guest column “As New York Lawmakers Unveil the Fashion Act, is Larger Reform on The Way?

UnDark Magazine – Jan. 12 – Professor and Chair of Logistics, Business and Public Policy Martin Dresner comments in “How Better Airline Technology Could Minimize Flight Disruptions”: Southwest has different vulnerabilities, [said Dresner]. The airline lacks strong hubs with spare crews and planes that other airlines use to pick up the slack when something goes awry (unless, as in the American example, the hub is affected). When bad weather grounded flights in Florida, a big area for Southwest, those planes and crews were then out of position for the next flights scheduled across the country — and so on. “It’s a bit of a cascading effect,” said Dresner, who also heads the Air Transport Research Society, a nonprofit dedicated to transportation research. “Unless you have some surplus crew and surplus aircraft available, then you’re going to be in a very tight situation.”

AACSB Insights – Jan. 11 – “People and Places” (scroll down) announces Maryland Smith’s new Tech Management MBA Specialty Elective Track and Graduate Certificate, including: The 10-month graduate certificate program, which begins in August, is a collaboration with the university’s School of Engineering and School of Public Policy. Students will learn how to identify and implement technology across their organizations, how to quantify the lifespan value and risk of investments in new technology, and how to explore legal and ethical implications of new technology.

EFMA Magazine – Jan. 11 – In a Q&A, Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust discusses “The Growing Importance of the Interpersonal in an AI-Driven World,” including: “The Feeling Economy is what emerges as AI takes over more of the thinking tasks. With physical tasks and thinking tasks both automated, humans will need to focus on the area in which they have a differential advantage over AI. For a while, humans will still have an advantage in common sense, creativity, and holistic reasoning, but soon those advantages will dissipate. At that point, focusing on feeling tasks, such as interpersonal relationships, will be what people need to do.”

Poets & Quants – Jan. 11 – “Maryland Smith Unveils Tech Management MBA & Graduate Certificate Program” (scroll down) includes: Students also will gain a broader strategic understanding of the new economics of innovation and data, how to quantify the lifespan value and risk of investments in new technology and explore both the legal and ethical implications of technology development or adoption.

TalkMarkets – Jan. 8 – Clinical Professor of Finance David Kass gives the “2022 Percentage Returns Of Largest U.S. Companies By Market Capitalization.”

Global Association of Risk Professionals (GARP) CRO Outlook – Jan. 7 – Professor of the Practice Clifford Rossi produces guest column “Risk Management Predictions for 2022: Seeking Alternatives in Times of Uncertainty.” Summary: Interest rate risk, regulatory changes, supply chain disruptions, credit risk and human-capital risk are among the threats that will likely be top of mind for risk professionals over the next 12 months, as they attempt to navigate unpredictable, pandemic-altered markets.

Barron’s – Jan. 7 – Clinical Professor of Finance David Kass comments on Graham Holdings stock buybacks, via Letters to the Editor. Kass writes: Andrew Bary presents an excellent case for the undervaluation of Graham Holdings (“This Mini Berkshire Hathaway Flies Under the Radar. And Its Stock Is Cheap,” Dec. 30). However, I disagree with his suggestion that stock buybacks should be given a higher priority than purchasing additional businesses. Presumably, Graham’s recent acquisitions of a consumer internet company and a Virginia Ford dealership represent opportunities for the company to earn an expected rate of return on invested capital that exceeds its cost of capital. These acquisitions would then be expected to add to shareholder value. A company should buy back its shares only when value-enhancing investments are unavailable, and its shares are trading below intrinsic value. This is the same approach being followed by its role model, Warren Buffett’s Berkshire Hathaway.

Global Association of Risk Professionals (GARP) – Jan. 7- Professor Emeritus Dilip Madan is recognized as financial engineer of the year by the International Association for Quantitative Finance and Northfield Information Services, via “University of Maryland Professor Wins Annual Quantitative Finance Award.”

Yahoo Finance – Jan. 6 – “The SCORE Foundation Welcomes Liz Sara as President” introduces adjunct marketing professor Liz Sara as the leader of the nation’s largest network of volunteer business mentors.

Forbes – Jan. 4 – Rudolph Lamone Chair of Strategy and Entrepreneurship Rajshree Agarwal writes “Six Pillars For Building An Intentional Life In This New Year.”

Women’s Wear Daily – Jan. 4 – “What to Watch: The Mass Channel” quotes Professor of Marketing Jie Zhang: At the same time, both Walmart and Target have been able to flex their expansive store fleets – something Amazon and other e-commerce players are not able to do online – so shoppers could touch and feel products in person. In addition, both Walmart and Target have experimented with small-format stores in urban areas. (In Walmart's case internationally.) "Walmart's widespread store locations not only continued to serve a large number of American shoppers in the offline space, but also allowed the retailer to utilize stores as fulfillment centers to meet online demand and to shorten delivery times," [said Zhang]. This explains why both Target and Walmart continued to make gains in recent quarters.

ProMarket – Jan. 3 – Associate Professor of Management and Organization Evan Starr writes “The Ties that Bind Workers to Firms: No-Poach Agreements, Noncompetes, and Other Ways Firms Create and Exercise Labor Market Power.”

BusinessBecause – Jan. 3 – “19 Books To Read Before Your MBA” includes Assistant Dean and Executive Director of of Career Services Neta Moye’s selection and review of Amy Admondson’s “The Fearless Organization: Creating Psychological Safety in the Workplace for Leading, Innovation, and Growth.”

WalletHub – Jan. 3 – Professor of the Practice Clifford Rossi gives consumer advice about the new “Discover it” secured credit card, via an “Ask the Experts” Q&A.

TalkMarkets – Jan. 1 – Clinical Professor of the Practice David Kass gives the “2021 Percentage Returns of 8 Largest U.S. Companies by Market Capitalization.” Previous iterations published on December 24 and December 18.

December 2021

U.S. News & World Report – Dec. 27 – “How Long Do Lockdowns Keep People at Home?” summarizes Associate Professor of Marketing Yogesh Joshi’s Nature Scientific Reports-published paper “Lockdowns lose one third of their impact on mobility in a month.” Related coverage at Insurance Journal (Dec. 28).

Seeking Alpha – Dec. 22 – Clinical Professor of Finance David Kass guest authors “12 Stocks for 2022.”

Washington Business Journal – Dec. 21 – “University of Maryland has a New Tech Education Program for Grad Students” announces Maryland Smith’s Tech Management MBA Specialty Elective Track and Graduate Certificate program and quotes co-directors Joseph Bailey and Frank Goertner, including: Bailey, Smith School’s assistant dean for specialty undergraduate programs who will also be academic director of the new program, said the impetus for the program came from discussions with the university's talent-seeking corporate partners, like Amazon Web Services, Google and Facebook, as well as what students and alumni shared about their career path needs… “We weren’t just following the market outside. We were also following what we were noticing in the internal market,” said Goertner, who is also the Smith School’s director of federal and veteran affairs. “An increasing number of our MBA students, in particular our working professional MBA students, if they were either in the tech field or going into the tech field, they were hungry for a curriculum that goes deeper than the sort of standard introductory material.”

AACSB Insights – Dec. 21 – “People and Places” announces “Robert H. Smith School of Business launching a nine-month Data Science and Business Analytics certificate program” (scroll down).

MxM India – Dec. 20 – Dean’s Chair in Marketing Science P.K. Kannan’s previously published analysis of the impact of increased Amazon’s presence in digital advertising is referenced in “Digital Duopoly changes to Triopoly” (Google and Facebook duopoly in digital advertising has been converted to a triopoly by Amazon).

Accounting Today – Dec. 17 – “On the Move” announces (scroll down) Accounting Lecturer Patrick McNamee’s reappointed to the Federal Accounting Standards Advisory Board (full announcement).

Financial Times – Dec. 12 (Previously omitted) – “New Basic Income Schemes Divide the Midwest” quotes Professor of Finance Michael Faulkender: Faulkender, who was the senior US treasury official responsible for implementing the Paycheck Protection Program in the Trump administration, is among those who oppose cash payouts without work requirements. “Our economy today has plenty of jobs that require minimal skills,” he told the FT, noting that many employers still struggle to fill job openings. “You don’t fix poverty by creating dependency,” he says.

Capital.com – Dec. 17 - “JP Morgan Fined $200m for Unapproved Firm Communications” quotes finance professors David Kass and Clifford Rossi: “What’s going on here is the upholding of the market’s integrity and maintaining investors’ confidence,” [Kass] told Capital.com, adding the hefty fine “isn’t a slap on the wrist” for the bank. …The bank’s admission of guilt is notable, [said Rossi]. Companies normally try to avoid admitting they violated laws in order to protect themselves against litigation and reputational reason… “There is a risk of JP Morgan’s reputation being tarnished,” he said. Rossi said traders' and bankers’ technology have changed the way traders, salespeople and bankers communicate… “It can be difficult with all the technology available to have that close of a handle on what traders are doing,” Rossi said.” Even the best risk management, compliance systems aren’t 100%.” He added since following employees’ communications became more difficult during the pandemic when employees started working from home. However, SEC documents state the record-keeping issue began before the start of Covid-19 in March 2020. The breakdown started in January 2018. In the high-stake game of banking, Rossi said, traders tend to be more risk takers and it is the job of risk management to “reel them back from the edge.”

TechTarget – Dec. 17 – Dean’s Chair in Marketing Science P.K. Kannan contributes to “Predictive Analytics in Marketing: Achieving Success,” including: Having your own data is important. "You can buy third-party data for identification purposes mostly, or for whom to target," [Kannan said]. "But if you want to do predictive modeling, you're taking all the variables you have about the customer and linking them to their actions. So you want data on your own variables. That's what lets you do the predictive analysis that then lets you know the actions customers are going to take with you."

Psychology Today – Dec. 15 – Assistant Professor of Management and Organization Trevor Foulk writes “How Rudeness Changes Our Brains.”

WBFF (Baltimore FOX 45) News – Dec. 15 - Dean’s Chair in Marketing Science P.K. Kannan comments extensively in “Addicted Maryland: Online Shopping and Taking Control of Your Spending,” including: “This whole industry here really depends on you being online,” said Kannan. “The display ads that you see are a highly sophisticated targeting algorithm that is working behind in order to make sure that you get the right piece of information in front of you, which is relevant for you, and this targeting has become more precise.”

The Motley Fool (The Ascent) – Dec. 15 - Professor of the Practice Clifford Rossi gives advice for borrowers in an ‘Ask the Experts’ Q&A as part of “Today's Mortgage Rates: Still Near Historic Lows” (scroll down).

The Business Monthly - Dec. 13 – “upGrad, UMD Partner on Business Analytics Program” quotes Research Professor Kislaya Prasad, academic director of Maryland Smith’s new Data Science and Business Analytics program: “We live in the age of data. The storied companies of our times – such as Google, Amazon, Facebook, Netflix – are all powered by data science. It’s not just tech. All industries are realizing the value in data-driven decision making, so it is not surprising that data skills have become critical for advancement in corporate careers.”

WalletHub - Dec. 13 – Professor of Marketing Amna Kirmani gives auto insurance consumer advice, as part of “Best Car Insurance in Maryland: Ask the Experts.”

TalkMarkets – Dec. 11 – Clinical Professor of Finance David Kass gives the “2021 Percentage Returns of 8 Largest U.S. Companies by Market Capitalization.”

WTOP – Dec. 10 – Clinical Professor of Finance David Kass comments on inflation via “Top News at WTOP” (beginning at 7:10). Kass’ WTOP contribution is related to his same-day Newswise commentary ‘Inflation Surge: Fed Policy Implications,’ including: “I expect the Federal Reserve to raise short term rates four times, by 1/4% each time, during 2022, raising the Federal Funds rate from 0-to-1/4% to 1-to-to-1 1/4%. With the unemployment rate down to 4.2% in November 2021 from 14.8% in April 2020, the Federal Reserve can satisfy its joint mandate of maximizing employment and price stability by beginning to raise interest rates in 2022. Since much of the inflation in the economy is a result of short-term supply chain bottlenecks, I would expect inflation in 2022 to gradually return to its historical average of about 3%. The stock market should continue to do well in 2022, with the economy continuing to recover from the pandemic.”

Academy of Management Perspectives – Dec. 10 – “When Helping Hurts the Helper” summarizes workplace research by Assistant Professor of Management Jennifer Carson Marr showing why anticipatory help from higher-status coworkers can be threatening with the helper subsequently viewed negatively. Related coverage via Maryland Today (Dec. 6).

Maryland Today – Dec. 9 – “Banking on Happiness” features research by marketing Assistant Professor Ali Faraji-Rad examining “banking happiness” as a phenomenon through which consumers hang on to happy moments to cope with future sadness.

Technical.ly – Dec. 7 – “Student Entrepreneurship org Innov8MD Heading Into 2022 With a New Leadership Team” identifies new directors of the organization including Maryland Smith Center for Social Value Creation Director Nima Farshchi and Jasmine Snead-Ferguson (joint MBA and MPP ’21) and quotes Farshchi: “As the director of the Center for Social Value Creation, I have had the pleasure of seeing how University of Maryland students at the Smith School have been able to create a better world through business… Innov8MD takes a similar mindset in a different landscape. Being on the Board allows us to collaborate with other phenomenal resources across the region and give our student entrepreneurs additional opportunities to tackle our grand challenges. I am excited to see all the great things our community will achieve… We’re currently getting input from student entrepreneurs, entrepreneurship centers, alumni, faculty, investors and other stakeholders in our ecosystem to see what their needs are and then we will be putting together programming and resources to address those needs.”

HRTech Series – Dec. 6 – Research Professor Kislaya Prasad, academic director of Maryland Smith’s forthcoming Data Science and Business Analytics Program, describes the significance of the certificate program: “We live in the age of data. The storied companies of our times – such as Google, Amazon, Facebook, Netflix – are all powered by data science. … “It’s not just Tech,” says Prasad … who also is academic director of Maryland Smith’s Center for Global Business. “All industries are realizing the value in data-driven decision making. So, it is not surprising that data skills have become critical for advancement in corporate careers.”

TalkMarkets – Dec. 4 – Clinical Professor of Finance David Kass gives the “2021 Percentage Returns of 8 Largest U.S. Companies by Market Capitalization.”

Carrier Management – Dec. 3 – “‘Prohibitive Voices’: How Moral Coworkers Drive Others to ‘Do the Right Thing’” features research by Clarice Smith Professor of Management and Organization Debra Shapiro. … Related: “Study Shows How Your Coworkers’ Morals Can Help You Do the Right Thing” via Lab Manager Magazine (Nov. 30).

Destination CRM – Dec. 2 – Associate Professor of Marketing Bobby Zhou comments extensively through “Is Your Company Ready for Shoppable TV?” … Related: “Can’t Wait for the Ads? Tune in to Shoppable TV” via Maryland Today (Nov. 29).

US News & World Report – Dec. 1 – “How Joe Biden Plans to Save Christmas” quotes Professor and Chair of Logistics, Business and Public Policy Martin Dresner: …Dresner notes that supply problems are not remotely as drastic as they were early in the pandemic, when people hoarded toilet paper. "We haven't seen whole product categories wiped out," he says. But Dresner cautions that shortages are still happening, not only because of supply chain disruption but because of the closure of factories in places like Vietnam because of the pandemic – things Biden cannot change. "With politicians, they make the mistake of claiming credit for stuff they have nothing to do with. And then they get blamed for stuff they have nothing to do with," Dresner says.

Associations Now – Dec. 1 – Professor of the Practice in Systems Thinking and Design Gerald Suarez comments throughout “What to Consider When Planning 2021 Staff Holiday Parties,” including: “Customize to the culture of the company,” [said Suarez]. “Do things that reinforce the values of the company, that reinforce the vibe you want to create.” … Whatever an association plans for an in-person event, be mindful that this is a fluid situation. I spoke to Suarez prior to Thanksgiving and news of the omicron variant, and he said, presciently, “I would maintain a sense of flexibility because, frankly, we may be a variant away from having to make dramatic changes to whatever plans we had.”

Poets & Quants – Dec. 1 – “Maryland Launches 9-month Data Science and Business Analytics Certificate Program” (scroll down) announces Maryland Smith’s Professional Certificate Program in Data Science and Business Analytics to help both technical and non-technical professors understand and make data-driven business decisions, beginning January 2022.

November 2021

Israel Hayom – Nov. 30 – “Study Sniffs Out Surprising Secret to Startup Success” covers research co-authored by management professors Rajshree Agarwal, Gilad Chen and Brent Goldfarb and recently published as “Forming Entrepreneurial Teams: Mixing Business and Friendship to Create Transactive Memory Systems for Enhanced Success” in the Academy of Management Journal. … Related: Teknovation’s “Research Confirms Importance of Two Factors in a Successful Startup” (Nov. 30), “A Hybrid Approach To Building A Startup” at LIFE&Health Advisor (Nov. 30), “U Maryland Study Finds Startups That Mix Business and Friendship Are More Successful” at Tech Transfer eNews Blog (Dec. 1) and “The Most Successful Startups Mix Business and Friendship to Build Teams, Study Shows” via SalesTech Star (Nov. 30).

TalkMarkets – Nov. 27 – Clinical Professor of Finance David Kass gives the “2021 Percentage Returns of 8 Largest U.S. Companies by Market Capitalization.”

Forbes – Nov. 25 – Dean’s Chair in Marketing Science P.K. Kannan contributes to “Retailers Turning to Social Media to Promote Black Friday and Small Business Saturday,” including: “Social media is being used increasingly by businesses, especially by those focusing on millennial and Gen-Z customers, who use these types of media more than anything else,” [said Kannan]. “So, gift items, electronics, apparel, video games, etc., are product categories that are likely to be heavily featured in social media and that makes it an ideal medium to search for #blackfridaydeals,” added Kannan. “Any product category targeted at these demographics should be featured prominently in these channels.” … (Regarding Small Business Saturday) “Small businesses have been very successful in targeting customers and effecting conversions on social media,” said Kannan. “This is especially true if the products are targeted at millennial and Gen-Z customers. Social media is an ideal channel to precisely target customers based on their behavioral and psychographic profiles. This leads to very efficient targeting and so the display and video ads lead to conversions with relatively low acquisition costs.” ... The other positive of social media is the serendipity of becoming a viral hit, suggested Kannan. “Gen-Z's especially trust word of mouth of their peers and do not trust advertisement pitches. So, if an item from the small business becomes a viral sensation, it can lead to a windfall in sales. So, I would strongly recommend small businesses use social media on a regular basis and for Small Business Saturday.”

USA Today via Yahoo News – Nov. 24 – Clinical Professor of Marketing Henry C. Boyd III comments in “The Riddle of the Red Cup: How Starbucks Made a Reusable Container a Holiday Tradition”: …And this year, [Boyd] said the red cup represents something almost “encouraging” that we’re close to being back together after what’s been a terrible nearly two years. “Anything that feels like a mark of normalcy, we’re just like ‘welcome, please come in.’” he said. “So I think they’re the beneficiaries of this.” …The Starbucks holiday cup celebrates its 25th anniversary next year, and it shows no sign of slowing down. So will we be talking about Starbucks holiday cups on an annual basis forever? “It’s hard to tell. It seems like it resonates with people, establishes good will that you’re a good corporate citizen. I love that they’re incorporating that 50 percent of the cup is recycled material so we can be green and a good corporate citizen.” Boyd said. “So yeah, as long as folks are resonating with it and happy with it, you just keep on going.” After all, he said, as a marketer, finding something that cuts through the clutter, has a consistent message, builds the brand and just catches on is so difficult. “Once it’s there, you don’t want to tinker with it or mess with it,” he said. “If it’s doing you well, you just keep it intact and keep on marching.”

TechRegister – Nov. 24 – Column “Artificial Intelligence vs. the People Person” references Distinguished University Professor and David Bruce Smith Chair in Marketing and his research: … Not so, [says Rust] who recently analyzed (yes, the irony is thick) U.S. labor market data in a report he entitled The Feeling Economy. Thinking jobs are now also on the AI chopping block…

TalkMarkets – Nov. 20 – Clinical Professor of Finance David Kass gives the 2021 Percentage Returns of 8 Largest U.S. Companies by Market Capitalization.

Harvard Business Review – Nov. 19 – Assistant Professor of Management Trevor Foulk co-authors “When Your Authority Fluctuates Throughout the Day.”

WYPR – Nov. 18 – Professor and Chair of Logistics, Business and Public Policy Martin Dresner discusses “What Will it Take to Ease Supply Chain Snags?” (starting at 14:45).

Maryland Today – Nov. 18 – “How Your Coworkers’ Morals Can Help You Do the Right Thing” summarizes Clarice Smith Professor of Management and Organization Debra Shapiro’s ‘Prohibitive Voice as a Moral Act’ findings in the Journal of Business Ethics for Research.

WalletHub – Nov. 18 – Clinical Professor of Management Oliver Schlake gives personal finance advice in a “Compare Credit Cards” Q&A.

CNBC – Nov. 16 – Clinical Professor of Finance David Kass comments in “Why More Iconic Companies Like GE and J&J May be About to Get Smaller”: “Decision making, including allocation of capital, is quicker without the need to receive approvals from additional levels of management at the parent corporation,” [said Kass]. He has followed spinoffs for many years and said the data going back decades is clear on the outperformance of companies that were spun off relative to the overall market… “Consolidation (acquisitions) may be more likely to occur during a bull market that is not yet perceived to be fully valued. However, in later stages of bull markets, divestiture may be a very effective approach to maximizing shareholder value,” Kass said. The “conglomerate discount,” he added, is removed when individual businesses can trade on their own and be more easily valued by the market. Related: Kass discusses the General Electric breakup, via Busan English Broadcasting (South Korea).

Forbes – Nov. 16 – Rudolph Lamone Chair in Entrepreneurship and Strategy Rajshree Agarwal writes “How To Reframe (Unfair) Negative Performance Reviews Of Team-Based Activities For Long-Term Gains.”

HousingWire – Nov. 15 – Professor of the Practice Clifford Rossi comments in “A Zillow Problem…or an iBuying Problem? (The company’s pricing forecast volatility may be an issue inherent to iBuying)”: Rossi recalls working at risk management in Fannie Mae and Freddie Mac when, after connecting to Netscape on a dial-up modem, employees could access a proprietary data storage system of county property records. That storage of those records begat one of the first home pricing algorithms, initially used in the late 1990s as guideposts for bundling mortgages. By 2004, Rossi said, Fannie Mae and Freddie Mac greatly expanded the application of AVMs via the “property inspection waiver” by which mortgage lenders could “streamline operations” by using an AVM appraisal output, instead of a human appraisal, to issue a loan. When the housing bubble burst, pricing model use was rolled back. “But since about 2012,” Rossi said. “There has been a little bit more relaxation in how the AVMs get applied.” … AVMs can also fall short in evaluating a home’s condition or the surrounding neighborhood. “There could be shag carpeting that has been around since the 1970s,” Rossi, the Maryland professor, said. “There could be a run-down, abandoned home on the block.” These issues can generally be addressed after in-person inspection, which Opendoor, Offerpad and power buyers conduct.

TalkMarkets – Nov. 13 – Clinical Professor of Finance David Kass gives the “2021 Percentage Returns Of 8 Largest U.S. Companies By Market Capitalization.”

USA Today – Nov. 12 – Can Travel Make you Happy? Many Americans Plan to Find out as They Plan Trips for 2022 quotes Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust: [Rust] sums up the [2022 travel] outlook in a few words: “High prices and fewer options. So book now if you see a rate you can live with because it's not getting any cheaper.”

Poets & Quants – Nov. 12 – “2021 Brought Historic Gains For Women At The Top Business Schools” identifies Maryland Smith as among “a record eight Forté schools [that] enrolled 45% women in their cohorts in 2020.”

ValueWalk – Nov. 12 – Clinical Professor of Finance David Kass guest blogs “Did Berkshire Hathaway Sell Its Shares In StoneCo Ltd. During The Third Quarter?.” Related: Kass gives “Year-to-Date (Nov. 6) Percentage Returns of the 8 Largest Stocks” via TalkMarkets.

Diamondback – Nov. 12 – Professor and Academic Director of the MS in Supply Chain Management Program Thomas Corsi explains supply chain disruption in the context holiday retail in “Are People Getting Too Jolly Before Turkey Day?”: …“Now we have 30 percent more containers and 30 percent more goods being purchased, most of them coming from Asia. And that means a lot more traffic,” Corsi said. With such a high surge in demand, the ability to handle the increased traffic of products cannot be generated instantly, Corsi explained. In normal circumstances, this would be difficult to handle. However, the impact of COVID-19 and health restrictions have affected other important players in the process, Corsi said. This includes the longshoreman who loads and unloads the containers, the trucks and truck drivers who carry the containers to the warehouses and the warehouses themselves, where there is limited space.”

Pharma Manufacturing – Nov. 11 – In “Continuous Versus Batch: Weighing the Choices,” Professor of the Practice Clifford Rossi writes about his research comparing risks and rewards of “batch” versus “continuing” manufacturing in the pharmaceutical industry.

Supply Chain Dive – Nov. 10 – Professor of Practice and the Academic Director for the MS in Business Analytics programs Suresh Acharya comments extensively in “Cloud Technology, Now Within Reach, Helps Supply Chains Scale,” including: Cloud is at a major transition point, [said Acharya]. He likens it to how drivers went from using paper maps and AAA TripTiks to apps like Google Maps and Waze. They all get drivers from point A to point B, but apps are constantly using new information about things like accidents, construction and weather to tell drivers which way to go to save time, and frustration. "We are really comfortable with real time information that they’re able to ingest to make a real time decision," he said. “That’s the kind of transformation that supply chain is going through.”

Bloomberg – Nov. 9 – In “GE Breakup Raises Questions About Future of Conglomerate Model,” Clinical Professor of Finance David Kass explains how the development reflects on Berkshire Hathaway: Part of the key to Berkshire’s ability to remain a conglomerate has been its decentralized management style, [said Kass]. “The managers at Berkshire have almost complete independence in running their businesses. They don’t have to go through the red tape of corporate headquarters as GE has and most companies do,” [said Kass]. “As long as Buffett is there, the structure will stay the same. And after Warren Buffett is no longer there, it will probably be Greg Abel running the company, they’ve already pledged to maintain the culture.”

ProMarket – Nov. 8 – Associate Professor of Management Evan Starr and his research are cited in “Antitrust’s Labor Market Problem”: …Starr and various coauthors showed that anticompetitive covenants not to be compete were far more common than people had realized…

Science Newsnet – Nov. 8 – ‘A Scientist’s Take on Climate Models and Risk Management Applications’ previews a Nov. 17 online discussion by Professor of the Practice Clifford Rossi and Tim Canty, associate professor in UMD’s Department of Atmospheric and Oceanic Science.

San Antonio Express News – Nov. 5 – ‘The Keys to Black Rifle's Fast Growth: Great Coffee and Political Polarization ’ quotes Clinical Professor of Finance David Kass: “With a SPAC, you can get to the market sooner,” [says Kass]. “The downside, from the investors’ point of view, is that there’s less due-diligence that would be done.”

FIND MBA – Nov. 3 – Executive Director of Career Services Neta Moye comments in “They Don’t Come Cheap, but Online MBA Degrees Can Lead to Lucrative Career Paths Across a Diverse Range of Industries”: Online MBAs are often taken by older students who already have substantial work experience and are reluctant to study full-time because of professional commitments. They are starting from a higher base salary, so the increase is less steep than for full-time graduates who will earn less overall. “But an Online MBA can lead to fulfillment of career goals even if the percentage increase in salary is not huge,” [says Moye]. Indeed, 61 percent of Smith’s Online MBA graduates, with support from the career services team and alumni, have used their degree to change roles or companies, or have been promoted. In addition, 67 percent have received a compensation increase. Of those, 50 percent increased the salary by 20 percent or more. “The highest-paying career paths are not dramatically different from what you would see in a full-time MBA program,” says Moye. The most lucrative jobs are in professional services, which includes accounting and consulting firms, along with the technology sector, healthcare, government, aerospace and consumer products. The highest paying roles within these sectors are in general management, consulting, marketing or sales and operations.

Scientific American – Nov. 3 – Associate Professor of Management and Entrepreneurship David Kirsch and his electric vehicle history expertise are referenced in “The New Deal Came Too Late for Electric Vehicles: Lack of Energy Infrastructure Explains the Rise of the Gasoline Cars”: What if electricity had been available at a broader scale? To bring out the oomph of our models, we imagine a counterfactual world where electricity grids had diffused at a similar pace but 15 or 20 years earlier. The simulations suggest this would have sufficed to tip the balance in favor of electric vehicles, especially in metropolitan areas. The most plausible counterfactual scenario is a dual transportation system—also suggested by technology historian David Kirsch —with electric vehicles servicing metropolitan areas, and gasoline cars having a stronger position in touring and the countryside.

HousingWire – Nov 3 – “5 Takeaways from Zillow’s Nightmare” (The company's future is uncertain after the stunning collapse of its iBuying division) quotes Professor of the Practice Clifford Rossi: Automated valuation models for homes have been around since at least 1996 when Fannie Mae and Freddie Mac developed the “automated underwriting score card,” [said Rossi]. Unclear, Rossi said, is if technology has developed much beyond putting county property records into a database and developing a formula from those numbers. “I’m a very pro-automated valuation model person, they are an extraordinarily important part of risk management,” Rossi said. But Rossi added that automated models cannot control how valuation decisions are made – or be a silver bullet for fast-scaling iBuyers.

WashingtonExec – Nov. 3 – Decision, Operations and IT lecturer Kenyon Crowley is “Named Accenture Federal Services Analytics Leader.”

The Ritz Herald – Nov. 2 – “U.S. Immigration System Can be Win-Win for United States and Foreign Workers” features research and related policy recommendations from Rudolph Lamone Chair of Strategy and Entrepreneurship Rajshree Agarwal.

October 2021

Poets & Quants – Oct. 30 – Assistant Dean for Specialty Undergraduate Programs Joseph Bailey and Associate Dean for Undergraduate Programs Victor Mullins explain “Why Maryland Smith Is Launching 2 Programs Focused on The Future Of Work.” Related: An AACSB Insights “New Programs” roundup (Nov. 2) announces the Interdisciplinary Business Honors Living-Learning Program and Smith Business Leadership Fellows Program.

TalkMarkets – Oct. 30 – Clinical Professor of Finance David Kass gives the “Year-to-Date Percentage Returns of the 8 Largest Stocks.”

NBC News – Oct. 29 – Professor of Practice and Academic Director for the MS in Business Analytics Program Suresh Acharya comments in “Shipping Companies are Having a Bumper Year, Racking up Profits While They Can”: “It’s not just that demand has picked up, but demand has picked up in a very different way,” [said Acharya]. “Increasingly, stores are glorified showrooms,” he said. “It’s quite possible that this will continue to be our shopping behavior going forward.” The sudden shift to e-commerce impacted the availability of containers in addition to the amount of available space on vessels, Acharya added. “What goes into a container, rather than being uniform things, is a hodgepodge of things, which means you need more containers,” he said. … “We’re still in a period where we don’t fully understand if this is a ‘coming out of a pandemic’ thing or a long-term norm. I think it’s anyone’s guess,” Acharya said. “What the container companies are gauging is, is this near-term pain or is this here to stay?”

Forbes – Oct. 28 – Rudolph Lamone Chair of Strategy and Entrepreneurship Rajshree Agarwal writes “Four Steps To Ensure America And Immigrants Benefit From A Win-Win” based on her research forthcoming in Organization Science. Related: “UMD Research Finds Visa Policies Stifle Immigrant Entrepreneurship” at Maryland Today and “Complex U.S. Immigration System Limits Entrepreneurship, Innovation” via Science Newsnet.

Quality Digest – Oct. 28 – “How Employees Can Become Better Organizational Citizens” features research co-authored by Dean's Professor of Management Subrahmaniam Tangirala.

Behavioral Grooves – Oct. 27 – Assistant Professor of Management Trevor Foulk discusses “Why Does Rude Behavior Really Us So Much” in a podcast series that features the world’s top behavioral experts.

WMAR-2 (ABC Baltimore) – Oct. 26 – “Supply Chain Shortages and Your Holiday Shopping Season” includes comments from Martin Dresner, professor and chair of logistics, business and public policy: [Dresner] tells WMAR-2 News that the changes in our spending behavior is a big part of the cause. "We've had a decrease in supply and increase in demand," he says. "And that's caused the bottlenecks in our supply chain." With manufacturing plants shutting down and/or implementing health and safety protocols, there's been a decrease in production. "Every holiday season, there are products that are in high demand and ones that are going to be stocked out," says Dresner. "So, I mean, I think the demand is always variable." … Another gift idea that may be in shorter supply – travel. "I think there could be pent up travel demand," says Dresner. "And so, next year we can have a shortage of travel space, you know, the airlines... at current prices there may be insufficient seats to accommodate travel demand."

Slate – Oct. 25 – Research by Associate Professor of Management Evan Starr is referenced in “The Ridiculous Practice That Stopped Some Nurses From Working in a Pandemic”: This is roughly consistent with earlier research; a 2014 online survey found 18 percent of workers said they were bound by noncompete agreements. Evan Starr, the lead author of that 2014 survey, believes the new results are significant. “This is the first government-collected data on noncompete agreements,” he told me recently. The fact that it’s a large, random, government-sponsored survey gives it extra credibility. … A study published last year looked at the results of a 2007 Oregon law that banned the enforcement of noncompete agreements against lower-paid and hourly workers. The economists Michael Lipsitz and Evan Starr crunched the numbers and estimated that the law raised the wages of hourly workers by 2 to 3 percent.

Washington Post – Oct. 25 – Professor of Finance Michael Faulkender comments in “Chicago Poised to Create One of the Nation’s Largest ‘Guaranteed Basic Income’ Programs”: Critics worry that guaranteed income programs will discourage people from finding jobs and drain the labor force, a particular concern amid the record job openings in the country this year, said Michael Faulkender, who served as an assistant treasury secretary for economic policy during the Trump administration… “There are still millions of low-skilled jobs out there, and you have small business owners who can’t find workers to join their companies,” [said Faulkender]. Proposals like the one in Chicago feed the “process of reducing the willingness of people to participate in the workforce,” he said. Related: Faulkender comments in WUSA9’s “Montgomery County Launches Plan to Give $800 a Month to Hundreds of Residents."

Forbes – Oct. 23 – Dean’s Chair in Marketing Science P.K. Kannan comments extensively in “A ‘Metaverse’ Of Questions: What’s Behind Facebook's Rebranding?

TalkMarkets – Oct. 23 – Clinical Professor of Finance David Kass gives the “Year-to-Date Percentage Returns of the 8 Largest Stocks.”

The Economist – Oct. 22 – Professor of Finance Michael Faulkender comments on using new data sources related to his helping craft the Paycheck Protection Program as Assistant Treasury Secretary in “Enter Third-Wave Economics: How the Pandemic Reshaped the Dismal Science”: Second-wave economics nonetheless remained constrained by data. Most national statistics are published with lags of months or years. “The traditional government statistics weren’t really all that helpful—by the time they came out, the data were stale,” [says Faulkender]. The quality of official local economic data is mixed, at best; they do a poor job of covering the housing market and consumer spending. ... Many studies using real-time data suggested that the Paycheck Protection Programme, an effort to channel money to American small firms, was doing less good than hoped. Yet small-business lobbyists ensured that politicians did not get rid of it for months. … Still, Mr. Faulkender says that the special support for restaurants that was included in America’s stimulus was influenced by a weak recovery in the industry seen in the OpenTable data.

The Street – Oct. 22 – “What's Behind Charlie Munger's Big Bet on Alibaba?” quotes Clinical Professor of Finance David Kass: [Kass] suggested his conviction may be solidified by the input of a few trusted advisors that are very attuned to the tech space in China specifically. "He relies heavily on the advice of his friend, [Himalaya Capital Management founder] Li Lu, who is very knowledgeable about the best investments in China," he told Real Money. "Munger would not have made this investment without the approval of Li Lu." ... Kass added that while Munger is nearing a century on this Earth, his investment style has always favored a long-term approach. Indeed, among his many golden nuggets of investing advice, patience is a recurring theme. "Waiting helps you as an investor and a lot of people just can't stand to wait," Munger is famously quoted as saying. "If you didn't get the deferred-gratification gene, you've got to work very hard to overcome that."

Brookings – Oct. 21 – William E. Mayer Chair Professor of Finance Lemma Senbet coauthors “Sub-Saharan Africa’s debt problem: Mapping the pandemic’s effect and the way forward.”

Capital News Service via WTOP – Oct. 21 – Professor of Logistics, Business and Public Policy Martin Dresner comments in “With Holidays Ahead, Small Businesses Struggle with Supply Chain Disruptions: The pandemic forced many factories overseas to shut down, dramatically reducing production. There are also shortages of ships, containers and truck drivers. The lack of coordination among transportation and logistics industries is at the root of the disruptions, said Dr. Martin Dresner, professor of logistics and public policy at University of Maryland’s Smith School of Business. “Just saying let’s have more throughput at the port probably will not solve the problem if there’s not enough truck drivers to take those containers away from the port,” Dresner said.

Science Newsnet – Oct. 21 – Professor of the Practice Clifford Rossi gives “Finance Themes to Watch for During COP26.”

Maryland Today – Oct. 19 – “A Meeting to Plan Fun with Friends? Setting Expectations Can Benefit Even Casual Get-togethers” covers research by Dean’s Professor of Marketing Rebecca Ratner.

Forbes – Oct. 18 – : “Founding Teams Need The Right Mix Of Skills And Personality To Succeed” covers research in the Academy of Management Journal by management professors Gilad Chen, Rajshree Agarwal and Brent Goldfarb.

CBS News (online) – Oct. 18 – “Supply Chain Issues: ‘There Really Are Problems Everywhere,’ Even For Small Companies” includes Professor of Logistics, Business and Public Policy Martin Dresner as the lone source in a ‘What is the supply chain’ section.

Business Insider – Oct. 17 – P.K. Kannan “The Supply Chain Crisis is Partly Your Fault, and You Can Help Fix It” quotes Dean's Chair in Marketing Science P.K. Kannan: Still, shoppers buying up products as quickly as they see them — and in large quantities — can result in a shock on the supply chain that's known as the "bull-whip effect." "When you crack a whip, a small action at the hand propagates into a big effect at the end of the whip," [said Kannan]. “It is the same with supply chain — a small shock in demand upstream can create a big shock downstream.”

TalkMarkets – Oct. 16 – Clinical Professor of Finance David Kass gives the “Year-to-Date Percentage Returns of the 8 Largest Stocks.”

Phys.org – Oct. 14 – “How Your Firm's Tweets Affect its Value—Both Temporarily and Permanently” overviews new research co-authored by Dean’s Chair in Marketing Science P.K. Kannan in the Journal of Marketing… Related: Kannan co-authors a summary of the same study -- “Measuring the Real-Time Stock Market Impact of Firm-Generated Content -- via the American Marketing Association.

Maryland Today – Oct. 12 – “Pressing Play: Esports Have Become an International Phenomenon” quotes Clinical Professor of Marketing Henry C. Boyd III: Overall, esports is capitalizing on younger millennial and Generation Z consumers whose childhoods were filled with these types of games, [says Boyd]. Competition organizers, he says, have also had the foresight to combine gaming with other forms of entertainment to hold attention spans—for example, a Lil Nas X performance hosted last November by the Roblox platform garnered 33 million views and, a few months earlier, several Fortnite shows by rapper Travis Scott collected 45.8 million views… “It’s a game, but it’s really more than a game,” Boyd says. “This is something that’s defining a generation.”

The Diamondback – Oct. 12 –Thomas Corsi, academic director of the MS Supply Chain Program, comments in “UMD Dining Services Experiences Some Food Shortages”: Corsi said the shortages the Dining Services have experienced are linked to labor shortages in factories, farms and trucking, which existed before the pandemic but were also exacerbated by it. “The explanation [for food shortages in the dining halls] is labor shortages and any kind of productivity impact from COVID restrictions,” Corsi said.

Higher Ed Dive – Oct. 11 – Rebecca Bellinger, executive director of the Center for Global Business, discusses Maryland Smith’s virtual digital marketing internship, as part of “Virtual Work is Here to Stay. Here's How Colleges Can Help Students Land Remote Internships.”: However, some colleges are also tapping their local networks to create remote internship opportunities for students. When the pandemic first hit, the University of Maryland launched a virtual digital marketing internship in a matter of weeks. At the time, numerous students saw their internship opportunities vanish. Meanwhile, the exporting industry was facing a crisis as the pandemic disrupted the supply chain. The university saw an opportunity to link college students with local exporters who needed interns to work on things like social media marketing and website analytics. It also got the program approved to be eligible for a grant from the state's commerce department to help partially fund the cost for employers. The first summer, the university drew more than 100 applications and had about two-dozen students participate in the program. This summer, that number increased to about 30 students. Despite the return to some normalcy, programs like this have sticking power. "There's going to be more demand for this kind of flexibility in the workforce, especially among students," [said Bellinger]. "We're going to see more remote opportunities for companies and for students.

Maryland Today – Oct. 11 – Professors Jie Zhang (marketing), Martin Dresner and Jon Crocker (both supply chain and logistics) explain why a “Supply Chain Slowdown [is] Expected to Snag Holiday Shopping Season.”

Business Insider (via MSN Money) – Oct. 10 – “Burned Out Frontline Workers are Seeking out the Lesser Evil in Their Job Searches” quotes Dean’s Professor of Marketing Science P.K. Kannan: It's not just employees. The ongoing labor crunch has even prompted a few employers to reach across industry lines in order to attract new applicants… But the ongoing exodus is likely going to hurt some sectors more than others. [Kannan] told Insider that restaurant workers in particular "found other options" after eateries shut down.

TalkMarkets – Oct. 10 – Clinical Professor of Finance David Kass gives the “Year-to-Date Percentage Returns of the 8 Largest Stocks.”

Bloomberg Quicktake – Oct. 8 – Associate Professor of Management and Organization Evan Starr explains noncompete employment agreements including consequences and courses of action for workers, in a “Take the Lead” segment (11:48-17:30). … Related: Starr comments extensively about implications of noncompetes for physicians in Chicago Medicine Magazine’s Sept. 2021 cover story “Where Can I Go?” (Pages 19-24).

About Manchester (UK) – Oct. 8 – Comments from Associate Professor of Management and Entrepreneurship Brent Goldfarb are referenced in “Make Money Trading Futures with Bitcoin”: If bitcoin is really a bubble, then no one can say when it bursts. All the signs of an extremely overheated market are now being observed – high volatility and excitement, [says Goldfarb]. He expects new success stories of people who have made a fortune on cryptocurrency to emerge in the coming months, and this will attract even more newcomers to this market.

Wealth Professional – Oct. 7 – “Academics Reveal New Insights into Momentum Investing” covers research co-authored by Charles E. Smith Chair Professor of Finance Albert “Pete” Kyle, including: It’s an age-old question for investors: when to buy stocks and when to sell them. While picking the sweet spot may be elusive for many, new research shows how markets gain momentum and how investors can make better decisions based on it. The study [co-authored by Kyle] highlights that if every investor had the same information and thought the same way, they would believe that there was no way to predict the market because stock prices would react to information in the knowledge that all investors will make the same decisions. … The paper, “Beliefs Aggregation and Return Predictability,” also is overviewed at Phys.org and ValueWalk.

Washington Post – Oct. 4 – Associate Professor of Management and Organization Evan Starr co-authors an op-ed, “What Happens When States Limit Nondisclosure Agreements? Employees Start to Dish,” drawn from his paper Non-Disclosure Agreements and Externalities from Silence.

Knowledge@Wharton – Oct. 4 – “How Employees Can Become Better Organizational Citizens” explains research (‘Creating organizational citizens’) co-authored in the Journal of Organizational Psychology by Dean's Professor of Management Subra Tangirala.

INFORMS – Oct. 4 – The Institute for Operations Research and the Management Sciences, the largest association for decision and data sciences, names Distinguished University Professor and Special Advisor to the Dean Ritu Agarwal as a 2021 Honorary Fellow for “pioneering contributions to information systems research in the application of digital technologies and analytics to healthcare, and for dedicated service and leadership in the information systems community.”

TalkMarkets – Oct. 2 – Clinical Professor of Finance David Kass gives the “Year-To-Date Percentage Returns Of 8 Largest Stocks.”

Psychology Today – Oct 1 – “Why Some Things Are More Fun to do Alone” features research co-authored by Dean's Professor of Marketing Rebecca Ratner. The study, Navigating shared consumption experiences, is newly published in the Journal of Marketing Research.

September 2021

New York Times – Sept. 30 – Associate Professor of Management Evan Starr contributes to “Why Are Fast Food Workers Signing Noncompete Agreements?”: You would think that noncompete agreements would not exist in states where they are unenforceable. Wrong. Some employers in California, for instance, get workers to sign them anyway in hopes that they won’t realize they’re unenforceable, [says Starr], who has become the go-to source for data on noncompete agreements… Employers are actually more likely to mention noncompete agreements to departing employees in states where they’re unenforceable than in states where they’re enforceable, Starr’s research found. Starr was an adviser to the Uniform Law Commission . ... Related: “The Contract You Didn't Realize Some Fast Food Workers Sign” at Mashed quotes Starr: "The key idea is that it's going to [get] workers to stay longer, stunt their mobility, prohibit them from taking better jobs in their chosen field, and reduce entrepreneurship.”

Medical Xpress – Sept. 30 – “New Study Shows Path to Uninterrupted Supply of Safe, Effective Drugs for U.S. Consumers” explains findings by Professor of the Practice Clifford Rossi in FDA-funded research.

Destination CRM – Sept. 29 – Marketing professors Michel Wedel and Jie Zhang draw from their recent research to comment extensively through “Are Paid Mobile Apps Still A Thing … And Should They Be?

Maryland Daily Record – Sept. 29 – “UMD Smith School Launches Risk Management Program” announces the Center for Financial Policy’s joint offering with Deloitte for government financial professionals beginning on January 11, 2022.

Motley Fool’s The Ascent – Sept. 29 – Professor of the Practice Clifford gives personal finance advice in a pair of Q&As: “Best Refinance Lenders of October 2021” and “Best Mortgage Lenders of October 2021.”

Forbes – Sept. 28 – Rudolph Lamone Chair of Strategy and Entrepreneurship Rajshree Agarwal describes her recent research, co-authored with Maryland Smith faculty colleagues Gilad Chen and Brent Goldfarb, in “We Can Work It Out!: How To Build Entrepreneurial Teams For Enhanced Success.

CNN Business – Sept. 26 – Associate Professor of Management and Entrepreneurship David Kirsch comments in “Rivian is not Tesla. That’s Exactly What Buyers Want”: [Kirsch said] Rivian's team, product and investors all look promising, but there are no guarantees it will meet expectations. Rivian is the first to market with a modern electric pick-up, but it remains to be seen exactly how much demand there are for electric pick-ups… "Rivian is being priced as if it's already crossed the production hell chasm," Kirsch said of reports Rivian is being valued as much as Ford or GM. "It might take a lot more time or money, or they might run out of time and money." … Related coverage: “What sets Rivian apart from Tesla” at Luxuo.

TalkMarkets – Sept. 25 – Clinical Professor of Finance David Kass gives the “Year-To-Date Percentage Returns Of 8 Largest Stocks.”

Agence France-Presse via Yahoo News – Sept. 24 – “Iceland's Trailblazing Wage Law Narrows Gender Pay Gap” quotes Associate Professor of Management Science and Statistics Margrét Bjarnadóttir: “It really proves that, by putting the burden on employers and forcing them to take a look at the data, then we start making progress.”

New York Times – Sept. 23 – Guest column “You Deserve a Bigger Paycheck. Here’s How You Might Get It.” references Associate Professor of Management Evan Starr and his recently published research in the Journal of Law and Economics and Management Science: The work on labor market concentration has been supplemented by growing evidence that employers collude with one another and engage in other anticompetitive practices. Evan Starr and his co-authors have found that agreements not to compete — where employers block workers from moving to competitors — are extremely common (as many as nearly 40 percent of workers have been subject to one) and are associated with lower wages.

Business Insider – Sept. 23 – “Holiday Hiring Wars: Amazon, Walmart, UPS, and FedEx face Off in a Race to Staff More Than 335,000 workers in a Brutally Tight Labor Market” quotes Dean’s Chair in Marketing Science P.K. Kannan: The current tight labor market within the supply chain is a challenge for all businesses. But it will weigh more heavily on certain employers than others. "Small businesses cannot afford to pay what Walmart or Amazon would be able to pay," Dr. P.K. Kannan, the Dean's Chair in marketing science at the University of Maryland Robert H. Smith School of Business, told Insider. "They will try to pay and hang onto the workers they have, but that workforce would come under tremendous pressure."

Maryland Today – Sept. 22 – “Diagnosis Rude” overviews research by Assistant Professor of Management Trevor Foulk’s Journal of Applied Psychology-published study, “Trapped by A First Hypothesis: How Rudeness Leads to Anchoring.”

Maryland Daily Record – Sept. 21 – ‘Maryland Business Adapts’ Event Announces Call for Nominations” announces the nominating process to recognize Maryland-based exporting companies for resilience in the pandemic, in a forthcoming, second annual event organized by Maryland Smith’s Center for Global Business.

Phys.org – Sept. 20 – ‘The Most Successful Startups Mix Friendships and Business to Build Teams’ features research in the Academy of Management Journal co-authored by Maryland Smith professors Rajshree Agarwal, Gilad Chen and Brent Goldfarb. Republished by UK’s BusinessFast, TechCodex, others.

GARP (Global Association of Risk Professionals) – Sept. 20 – Professor of the Practice Clifford Rossi comments extensively in “The Risk Management Renaissance: What it Means for Aspiring FRMs and Early-Career Professionals,” including: “Even without a crisis, risk management talent is always in demand… In the last 20 years, though, we’ve had 9/11, the financial crisis, and the pandemic, which all increased the need for risk management.” … Rossi says fintechs — which have prospered since the pandemic’s onset — offer great opportunities for early-career risk managers. “Most of these companies haven’t experienced heavy regulation,” he observes. “So, their risk management capabilities aren’t nearly as well-developed as commercial banks with federal oversight.” Also from GARP: “Boardroom Diversity Directives: Window Dressing, or Potentially World-Changing?” quotes Rossi: “If you have a highly diverse and well-skilled board, it’s the best of both worlds,” claimed Clifford Rossi]. But he cautioned: “You have to have the right people on board to protect shareholders.”

TalkMarkets – Sept. 18 – Clinical Professor of Finance David Kass gives the “Year-To-Date Percentage Returns Of 8 Largest Stocks.”

USA Today – Sept. 17 – Professor of the Practice in Systems Thinking and Design Gerald Suarez (Thinking About a Career Switch? Here's What You Should Keep in Mind.) and Associate Professor of Management and Organization Rellie Derfler-Rozin (Follow this Advice When Negotiating for Your Next Job) are featured as career-advice guest contributors. … Related coverage at Localiq.

Maryland Today – Sept. 17 – “Spotlight on Faculty and Staff for Convocation” includes Distinguished University Professor and Special Advisor to the Dean Ritu Agarwal receiving the President’s Medal for “extraordinary contributions to the intellectual, social and cultural life of Maryland.”

Clear Admit – Sept. 16 – Senior Director of Admissions for MBA and Specialty Masters Programs Maria Pineda highlights Nicole Coomber and Vijaya Venkataramani as faculty of interest to prospective MBAs, as part of the “Admissions Director Q&A” series.

Bizwomen (The Business Journals) – Sept. 15 – “Gender Pay, Promotion Gaps Wider in Academia Than in Industry, Research Shows” overviews Nature-published research ‘Trends in gender pay gaps’ by Rudolph Lamone Chair of Strategy and Entrepreneurship Rajshree Agarwal and Associate Professor of Strategy and Innovation Waverly Ding.

Science Newsnet – Sept. 15 – Logistics, Business and Public Policy Professor and Chair Martin Dresner describes ‘Aviation’s (post-pandemic) Unprecedented Opportunity.’

Bloomberg Law – Sept. 14 – Associate Professor of Management Evan Starr contributes to “Gaming Industry Nondisclosures Become Key Test of #MeToo Laws ”: Broad nondisclosure agreements tend to be concentrated in the tech industry, but it is by no means the only industry where they are widely used, [said Starr] who has studied the impact of restrictive agreements. Starr said employees in states with laws restricting the reach of nondisclosure agreements are more willing to share information about their work experiences online. That willingness to speak can help end problematic employment practices perpetuated by NDAs, Starr said.

Salon – Sept. 12 – “The Psychological Toll of Wanting Your Kid to be ‘Perfect’” quotes Assistant Dean of the Full-Time MBA Program Nicole Coomber: "Autonomy is an important piece of this where you have to actually buy into whatever the goal is," [Coomber notes]. Requiring that a child practice piano for hours each day when they'd rather be playing soccer "can really backfire," she added. Kids can end up feeling like their parent's project or product — and push back by quitting. No matter how much bravado accompanies that move, there's often also a sense of having let themselves and their parents down.

CoinDesk – Sept. 12 – Professor of the Practice in Finance Clifford Rossi helps explain “DeFi (Decentralized Finance) and the 3 Cs”: There is a reason banks ask mortgage applicants for pay stubs and bank statements, and it’s not some twisted desire to make borrowers reveal their innermost secrets. “The foundation for determining the credit quality of secured consumer loans such as mortgages ... has been well-established over the years by the three Cs of underwriting,” [said Rossi]. In Rossi’s formulation, the Cs stand for “Creditworthiness or willingness-to-pay, Capacity to repay the obligation and Collateral (equity stake).” Other versions of this old banker’s saying also include a fourth C, for Capital (savings), and sometimes a fifth, for Conditions (reasons for taking out the loan). “Reliance on any one of the Cs might miss other important aspects of the borrower’s risk profile that could ultimately pose greater or lesser collective risk to the owner of that risk,” said Rossi, a former banking executive and regulator…

TalkMarkets – Sept. 11 – Clinical Professor of Finance David Kass gives the “Year-To-Date Percentage Returns Of 8 Largest Stocks.”

WJLA ABC-7 – Sept. 11 – Commemorating the 20-year anniversary of the 9-11 terror attacks, Associate Clinical Professor of Finance Elinda Kiss is the subject of ‘Professor Recalls Arduous Journey out of NYC on 9/11, Shares Lessons Learned.’

U.S. News & World Report – Sept. 9 – Executive Director of MBA and M.S. Admissions Shelbi Brookshire contributes to “10 Ways to Nail Your MBA Interview: During group or team challenge interviews, an overbearing presentation is a deal-breaker, so it's essential to listen and collaborate well with others. During video calls, it's crucial to appear professional throughout, [says Brookshire]. "Test your technology, ensure you have good lighting and join the virtual interview on time… Brand and presence are still as important in digital formats.

SCIENMAG – Sept. 9 “What AI Analysis of 100 Million Social Media Interactions Can Teach Product Managers” overviews just-published research in the Journal of Marketing by Assistant Professor of Information and Decision Science Kunpeng Zhang and Associate Dean for Strategic Initiatives P.K. Kannan.

AdvisorSmith – Sept. 9 – Professor of the Practice in Finance Clifford Rossi gives insights through a “Cyber Liability Insurance” Q&A.

WBAL TV (NBC-Baltimore) – Sept. 9 – Station President and General Manager Dan Joerres makes a recently aired segment featuring Associate Clinical Professor of Finance Elinda Kiss the focus of his “Remembering 9-11” editorial: University of Maryland Professor Elinda Kiss was in the World Trade Center complex on 9/11. Twenty years later, she chooses to remember the spirit of America, not the attack on America. "I don't want to ever see a situation like Sept. 11. I don't want to ever see us attacked. But I wish we could all be a little friendlier like we were in September many years ago," Kiss said. … Related: Maryland Today’s “9/11: 20 Years Later” includes Kiss recounting her ground zero experience of the 9-11 terror attacks.

Knowledge@Wharton – Sept. 7 – How Companies Can Benefit from Employees’ Emotions cites Myeong-Gu Seo as co-author of new research (‘Creative and Cross-Functional Benefits of Wearing Hearts on Sleeves’) in Organization Science.

Communication Intelligence – Sept. 5 – Professor of the Practice in Systems Thinking and Design Gerald Suarez comments extensively through “Why Specifically Compassion Is a Core Need and Helpful Leadership Asset.”

USA Today Network via The Milwaukee Journal Sentinel – Sept. 5 – Associate Professor of Management and Organization Rellie Derfler-Rozin’s op-ed gives “Tips to Getting, and Being Happy with, Your Next Job.”

USA Today Network via The Arizona Republic – Sept. 5 – Op-ed by Professor of the Practice in Systems Thinking and Design Gerald Suarez covers ‘Tips for the Process of Changing Jobs.’

Poets & Quants – Sept. 4 – “Best & Brightest Executive MBAs Of 2021” includes testimonials for Maryland Smith profiled honorees by Executive MBA Program Academic Director Rob Sheehan for Jessica Zeiser and Associate Research Professor Joseph Bailey for Kabir Mulchandani.

TalkMarkets – Sept. 4 – Clinical Professor of Finance David Kass gives the “Year-To-Date Percentage Returns Of 8 Largest Stocks.”

Psychology Today – Sept./Oct. 2021 – “A Table for One” (print-only, but adapted from the magazine’s blogpost How It Feels to Be Alone in Public) is based on Dean’s Professor of Marketing Rebecca Ratner’s “Inhibited from Bowling Alone” study. … Related: “How to Enjoy Being Single,” via Psyche, includes: In one memorable study, [Rebecca Ratner] recruited 86 participants from a university campus and invited them to attend an exhibition at an art gallery. Some were alone, others were in pairs with an existing acquaintance. Before they saw the exhibition, they were asked to estimate how much they would enjoy the experience – and, after they’d had a look around, they had to rate their actual enjoyment. ... The lone participants tended to envision a dim view of the experience without a partner. Yet Ratner and [co-author Rebecca] Hamilton found that the presence of a companion made no difference to their overall enjoyment. Importantly, the experience seemed to reduce their feelings of self-consciousness. After visiting the exhibition by themselves, the lone participants were less likely to assume that others had formed a negative judgment, as compared with their fears before the experience.

Tech Xplore – Sept. 4 – Associate Professor of Human Resource Management and Organizational Behavior Cynthia Kay Stevens explains “Employer Pitfalls of the TikTok Resume Trend.”

Inside Higher Ed – Sept. 2 – “The Grass May Be Greener for Women in Industry” quotes Rudolph Lamone Chair of Strategy and Entrepreneurship Rajshree Agarwal and overviews her Nature-published research, ‘Trends in gender pay gaps,’ co-authored with Associate Professor of Strategy and Innovation Waverly Ding.

FIND MBA – Sept. 2 – Assistant Dean for Part-time MBA and Online Programs Paulo Prochno comments in “Competition for a Place in the Next Academic Year is Heating up for Prospective Students”: “The online mode of delivery reduces some of the opportunity costs of pursuing an MBA,” [says Prochno]. “The year of the pandemic was an exception, as many people thought it was a good moment to pursue an MBA, given the uncertainties in the work environment. But now that most companies are hiring again, the need to get an MBA is still there.” So he expects the boost in applications to continue on into the next academic year. “With the forced move to online work brought [about] by the pandemic, many people who didn’t think that they could perform well in an online setting changed their minds,” says Prochno. At the same time, after more than a year fully online work, many professionals are feeling the need for in-person interactions. “With that, programs that offer more flexibility in shifting from online to in-person [teaching] as needed will be increasingly more attractive,” he adds. … Of course, with an increase in attractiveness comes heightened competition for an Online MBA place. What is his advice for standing out in the application process? “Highlight your skills and professional achievements,” Prochno advises prospective students. “A crucial element in a good MBA program is the exchange among students, so applicants need to show they will bring interesting perspectives to the classroom discussions.”

Fortune – Sept. 1 – Maryland Smith is ranked No. 20 in Fortune Education’s “Best Executive MBA Programs in 2021” and alums Dawn Walton, Alex Attumalil and Sylvia Bugg are featured in “Executive MBAs Helped Launch the Careers of These 10 C-Level Executives.”

WalletHub – Sept. 1 – Professor of Marketing Jie Zhang previews Labor Day weekend automobile retail in an “Ask the Experts” segment.

August 2021

Associated Press – Aug. 31 – Professor of Marketing Amna Kirmani comments in “Millennial Money: Be ready to work for Labor Day bargains”: Some people padded their savings accounts by staying home during the pandemic. And some set aside the advance payments of the child tax credit they received, [points out Kirmani]. As a result, Labor Day staples like car sales, appliance deals and mattress markdowns might not be a given in 2021 — or, not as impressive. Products in low supply aren’t expected to be discounted much, if at all. That’s the case with some cars, Kirmani predicts. … Comparison shopping on the internet is the best option for finding the lowest price, according to Kirmani. Seek out deal comparison sites and sales roundups that do the homework for you or start monitoring prices yourself before Labor Day so you can judge the value of a sale. … If you want it but could go without for a few months, try holding off until some of the supply chain issues are under control. Black Friday sales — which Kirmani says are historically better than Labor Day — will be coming in November. But it’s difficult to predict what those sales will look like this year.

Minneapolis Star Tribune – Aug. 30 – “Maybe These NDAs Really Protect Only the Bad Employers” references a working paper, Non-Disclosure Agreements and Externalities from Silence, co-authored by Assistant Professor of Management and Organization Evan Starr.

Diverse: Issues in Higher Education – Aug. 26 – Rudolph Lamone Chair of Strategy and Entrepreneurship Rajshree Agarwal expands on her recent study co-authored with faculty colleague Waverly Ding in “Gender Pay Gap Greater in Academia Than Industry Among Non-Tenured Faculty.”

The Economic Times – Aug. 26 – Distinguished University Professor and Special Advisor to the Dean Ritu Agarwal is named to the Advisory Council on Responsible Digital Transformation for the new Centre for Digital Transformation: The centre is an initiative of the Indian Institute of Management Ahmedabad and Bank of America “to become a vibrant knowledge hub for academia, policymaking and the private sector by facilitating cutting-edge research on digital transformation and innovation.” … Coverage also by FinTech and Finance News.

Capital.com – Aug. 25 – Clinical Professor of Finance David Kass comments in “Thoughtworks Ready for IPO, but Still Searching for a Price”: [Kass] said it’s not uncommon for companies to delay such information prior to an IPO. Examples include Facebook in 2012, and more recently, Robinhood Markets and Snowflake. Kass said the company and its underwriters might not have a grasp on the market prices yet, along the lines of Snowflake’s experience. The night before its IPO, the company estimated its value at $90 per share. The morning before the market opened Wall Street predicted $120 a share. In fact, the price was $240 per share. That price held up, Kass said. Snowflake “had no idea what the market was like,” Kass said. “The underwriters had no feel for it.” … Kass noted that Goldman Sachs and J.P. Morgan are experts at walking through IPOs. But something did catch his eye about the offering. “Apparently this offering isn’t just raising cash for the company but is an opportunity for early investors to cash out.”

LiveHelpNow – Aug. 24 – Professor of Marketing Jie Zhang comments in “Shopping Cart Abandonment: Prevent It, Manage It, Reduce It.”

Christian Science Monitor – Aug. 23 – Associate Professor of Management and Entrepreneurship David Kirsch comments in “Dawn of the Electric Vehicle Age? One Car Shopper’s Experience”: In many ways, today is reminiscent of the early days of automobiles, when cars powered by steam, gasoline, and electricity were all vying for supremacy. Vehicles were expensive, so mostly wealthy people were buying them. Back then, the widespread opinion was that gasoline, steam, and electric vehicles would all find their place in the 20th century, [says Kirsch]. “The big surprise was ... only internal combustion really survived past World War I.” … If successful, the incentives could jump-start EV sales. If not, U.S. automakers could be stuck with a big backlog of unsold electric cars. “I’m of two minds. The sort of policy wonk in me says this is just about a managed transition,” But “as a professor of entrepreneurship and someone who thinks a lot about capitalism, our history with managed transformations is pretty poor.”

Lab Manager Magazine – Aug. 23 – “To Be More Creative, Teams Must Feel Free to Show Emotions” overviews research at Organization Science by Associate Professor of Management and Organization Myeong-Gu Seo… Related coverage in B2B News Network’s (Aug. 25) Daily News Roundup (scroll down).

Forbes – Aug. 22 – Associate Professor of Information Systems Jui Ramaprasad comments in “Taliban Takeover Presents New Challenges for Social Media Companies”: “It is still unclear what role platforms like Twitter and Facebook want to take in managing the information that they facilitate the spread of,” [said Ramaprasad] “Though Facebook has instituted the Oversight Board – “The Facebook Supreme Court” – and Twitter has become more active in suspending and even banning accounts, e.g. Donald Trump, a clear policy on what constitutes the criteria for suspension or account locking,” said Ramaprasad. “If Donald Trump was banned for potential for further inciting violence, one would think that the Taliban would be as well. But this is the result of shying away from clear, uniform and consistent policies and implementation of these policies.” … Given those facts, the social media companies may now have to be far more straightforward about what is allowed to be posted on the platforms, and what should be subject to removal. “Indeed, concisely outlining what constitutes a violation of platform policy – e.g., the spreading of ‘conspiracy theories, disinformation, and hate speech’ – is not always straightforward in implementation, it is not sustainable to continue to evaluate these on a case-by-case basis.”

BombBomb Customer Experience Podcast – Aug. 22 – Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust discusses “How Artificial Intelligence is Driving the Feeling Economy.”

Insurance.com – Aug. 19 – Associate Clinical Professor of Finance Elinda Kiss comments in “How Do You Get a Life Insurance Policy for Seniors”: When looking for the best term life insurance make sure to consider whether you would prefer level term or yearly renewable. "Term insurance is useful primarily for income replacement if the insured dies while he or she is working and has a surviving spouse or children who are dependent on that income," [says Kiss]. "This policy is best when there is a specific need, such as retirement debt that needs to be paid off. But it will not pay out if the policyholder dies after the term expires." … Whole life insurance policies are usually easier to get for seniors than term life insurance. "Whole life insurance is primarily useful for avoiding taxes. The ability to accrue and borrow against the cash value has a drawback: The insurance company will deduct the amount outstanding from the death benefit," notes Kiss. … However, final expense life insurance is often no medical exam required life policies. Instead, you may have to answer a few health-related questions to get covered. "Be aware that the cost per $1,000 for this type of policy is very high because there are no medical questions required; therefore, healthier people may pay the same high rates as those who are not as healthy," cautions Kiss.

Nature – Aug. 18 – “Academia, a Promised Land?” by Rudolph Lamone Chair of Strategy and Entrepreneurship Rajshree Agarwal and Associate Professor of Strategy and Innovation Waverly Ding is a “Behind the Paper” series interpretation of their research that reveals a wider gender pay and promotion gap in academia relative to industry among science and engineering doctorate holders.

Daily Maverick (South Africa) – Aug. 18 – Research – “The Feeling Economy: Managing in the Next Generation of AI” -- by Maryland Smith professors Roland Rust and Vojislav Maksimovic is central to “Women Prepare for Their Time to Shine,” a guest piece produced by the University of Cape Town Graduate School of Business to promote its annual Women in Business Conference.

The Times (of London) – Aug. 17 – “Breakthrough Innovation Study Wins $75,000 Prize” announces Associate Professor of Business and Public Policy Rachelle Sampson winning one of the UK’s largest academic prizes – the Panmure House Prize for: …Her proposed research (with a team including Maryland Smith colleague Brent Goldfarb) that looks at U.S. patents between 1980 and 2017. The project aims to demonstrate that long-term-oriented firms – supported by government-funded R&D, stronger scientific orientation, a more centralised organisation and greater investment– are more likely to produce breakthrough innovations such as Dupont’s nylon or AT&T Bell Labs’ transistor.

Nasdaq – Aug 17 – Maryland Smith is cited among seven U.S. schools reporting women comprising 45 percent of incoming MBA enrollment in “Women Enrollees Top Men for First Time at This Elite MBA Program.”

BusinessBecause – Aug. 17 – Assistant Dean and Executive Director of Career Services Neta Moye recommends Amy Edmondson’s “The Fearless Organization” as essential reading in “MBA Reading List: 19 Books To Read Before Your MBA.”

Seeking Alpha – Aug. 16 – Clinical Professor of Finance David Kass writes “Berkshire Hathaway is Undervalued by 17%.”

The Hill – Aug. 16 – Professor of Finance and former Assistant Secretary of the Treasury for Economic Policy Michael Faulkender writes op-ed “Biden is Dead Wrong About the Trump Tax Cuts, Spending and Debt.”

TalkMarkets – Aug. 15 – Clinical Professor of Finance David Kass reports “Major Changes To Berkshire Hathaway’s Portfolio During The Second Quarter Of 2021,” plus “Companies That Have Reverse Stock Splits Underperform” (Aug. 14) and “Year-To-Date Percentage Returns Of 8 Largest Stocks” (Aug. 14).

Baltimore Sun Education – August 2021 – Maryland Smith’s AI Leadership for Healthcare certificate program is featured among “Degree and Certificate Programs [that] Drive Health Care.”

Global Association of Risk Professionals – Aug. 13 – A Risk Intelligence column, “What a Difference a Pandemic Makes: Risk Management Is Having Another Moment,” highlights work by Professor of the Practice Clifford Rossi to promote governmental risk management: Consider [Rossi], who was Citigroup’s consumer lending division CRO during the 2008 crisis. These days, Rossi is collaborating with faculty colleagues on projects that he characterized as being “at the nexus of climate science and financial risk analytics,” with “applicability” for corporations, official entities like the Federal Emergency Management Agency, and local governments. Additionally, Rossi revealed that he has lately had the chance to flex his risk muscles assisting the U.S. Food and Drug Administration as part of an Office of Management and Budget mandate to federal agencies to incorporate enterprise risk management (ERM) into their decision-making.

01net (Italy) – Aug. 13 – “How Brands can Use Facebook Data for Popularity Tests” overviews research by Assistant Professor of Information and Decision Science Kunpeng Zhang and Associate Dean of Master’s Programs Wendy Moe, whose work yielded a new machine learning algorithm that can scroll through social media posts to understand how consumers perceive specific brands.

Slate – Aug. 12 – Associate Professor of Management and Entrepreneurship David Kirsch comments extensively in “The Stock Market is Still Weird from GameStop,” including this quote: “GameStop without a billion dollars is just kind of a flailing, languishing mall stock. With [$1B], maybe it’s a total relaunch. Right? A billion dollars is a hundred series A rounds. That’s a lot of pivots, a lot of new bets, a lot of R&D...”

SciTechDaily – Aug. 12 – “Privilege and Politics Influence Vaccine’s Racial Disparity – ‘Structural Inequities Pose a Serious Threat To Progress’” covers Center for Health Information Decision and Systems research co-authored by professors Ritu Agarwal and Gordon Gao… Related coverage at News-Medical.Net: “Socioeconomic Privilege and Political Ideology Correlate to Racial Disparities in COVID-19 Vaccination” and Medical Xpress: “Study Shows Privilege, Politics Influence Vaccine's Racial Disparity.”

Financial Times – Aug. 10 – “The NDA Boom is Bad for Both Employers and Workers” references Assistant Professor of Management and Organization Evan Starr and his research: [‘Bundling Postemployment Restrictive Covenants’] published recently by Natarajan Balasubramanian, Evan Starr and Shotaro Yamaguchi suggests that roughly 57 percent of US workers are covered by NDAs, ranging from 44 per cent in accommodation and food services to 69 per cent in professional services. Tech companies often make visitors sign them at the front desk.

Maryland Today – Aug. 9 – Professor of Marketing Jie Zhang discusses retail trends indicating “’Relaxed’ as the New ‘Business Casual.’”

China Daily – Aug. 9 – “West's Vaccine Hoarding Harms Poor Countries” references and quotes Research Professor Kislaya Prasad from his recent op-ed at Fortune.

Newswise – Aug. 9 – In a “Myth of the Scholar-Athlete” essay, Robert H. Smith Professor of Information Systems Emeritus Henry C. Lucas discusses implications of SCOTUS earlier this summer siding with college athletes against the NCAA, allowing an increase in education-related compensation.

TalkMarkets – Aug. 7 – Clinical Professor of Finance David Kass gives “6 Highlights of Berkshire Hathaway’s Second Quarter Report.” … Also at TalkMarkets, Kass reported the “Year-To-Date Percentage Returns Of 8 Largest Stocks for Aug. 7.”

July 2021

Morningstar – Aug. 5 – “Who Dares Loses: Buffett on Luck, Taxes and a Challenge” revisits Clinical Professor of Finance David Kass’ insights, initially via CNBC, on Warren Buffett’s views on luck and the ‘ovarian lottery’: [Kass] was the first to publish Warren Buffett’s views on luck and the ‘ovarian lottery’ based on notes Kass took when Buffett was speaking at a 2013 graduate student event. Kass recalls: “Warren Buffett has stressed the importance of luck in his life, focusing not only on where he was born but also when. His primary skill of allocation of capital has worked well for him in the United States and in his lifetime. Having the good luck to win the ‘ovarian lottery’ is a major determinant in success in life in general and in business in particular.”

Maryland Today – Aug. 4 – Clinical Professor of Marketing Henry C. Boyd III describes how the pandemic has forced marketers to be nimble and adjust their promotional campaigns, in “A Fraught Summer Olympics Keeps Marketers on Their Toes.”

The Social Media Monthly – Aug. 3 – Dean's Chair in Marketing Science P.K. Kannan writes an op-ed titled “How Digital Marketing Can Drive Traffic to Stores.”

ValuePenguin – July 31 – “When Can I Deduct Health Insurance Premiums on My Taxes?” includes Accounting Lecturer Samuel Handwerger giving financial and tax planning advice in a Q&A (scroll down).

TalkMarkets – July 31 – Clinical Professor of Finance David Kass gives the “Year-to-Date Percentage Returns of the 8 Largest Stocks.”

Maryland Today – July 30 – "Privilege, Politics Influence Vaccine's Racial Disparity" reveals how social determinants of health—from home internet access to accessibility of health-care facilities—correlate to racial disparities in COVID-19 vaccination among white and Black populations, according to new research in the Proceedings of the National Academy of Sciences by Maryland Smith professors Ritu Agarwal, Gordon Gao, Jui Ramaprasad, Smith senior research scientist Michelle Dugas, and Smith doctoral students Gujie Li and Junjie Luo.

InvestorPlace – July 30 – "3 Auto Stocks to Buy as They Transition to Tech-Stock Status" quotes Clinical Professor of Finance David Kass: "Legacy automobile companies such as Ford and General Motors can be valued more like technology companies when they are able to demonstrate that their forthcoming electric vehicles are perceived to be competitive technologically with industry leaders such as Tesla and Nio. Although Ford and General Motors do not have cult-like figures such as Elon Musk running their firms, there is still an opportunity to increase their valuations above current levels."

HousingWire – July 29 – Professor of the Practice in Finance Clifford Rossi writes "Risks of Nonbank Mortgage Sellers and Servicers Revisited" to expand on his previous (July 28) HousingWire op-ed on "Why Ginnie Mae's Proposed Liquidity Standards are Sorely Needed."

TechTarget – July 29 – Professor of the Practice in Systems Thinking and Design Gerald Suarez comments in "U.S. Lawmaker Seeks National Four-Day Workweek": The four-day workweek was not gaining much traction in the U.S. until the COVID-19 pandemic "sort of revitalized the conversation," [said Suarez], The pandemic began "to trigger some questions that were suppressed, like, 'Why am I working so hard?'" Suarez said. Many businesses discovered, for example, that they could maintain connectedness, human contact and efficiencies even by working remotely. "We began to look for meaning and fulfillment, and not just jobs," he said... The four-day workweek was a natural extension of the remote work conversation. "In a culture that values overcommitments and overwork, and saturation of emails and business as a badge of honor, we're beginning to say when we detach, when we let go, we experience something more fulfilling," Suarez said. The tension with the four-day workweek is that firms must maintain the same pay with reduced hours and retain the same level of performance, Suarez said. If you're going to reduce hours, you need to maintain continuity of operations, and that will force you to streamline business processes, he said. Some firms that have tried a four-day workweek have seen a spike in productivity, "at least initially," Suarez said.

B2B News Network – July 28 – 'Psychological Safety at Work' cites research by Dean's Professor of Management Subra Tangirala: Most organizations cannot provide that level of psychological safety. Partly that's because people don't enjoy hurting each other's feelings or taking away the opportunity to save face. Those are the findings of new research by an international team of management academics [composed of Tangirala, Elad N. Sherf, Sofya Isaakyan and Hannes Guenter] "When employees speak up publicly, we see that managers are often threatened by it. Managers have this tendency to react negatively to public voice because they feel that they lose control of the conversation and look inept in front of everyone," said Tangirala. "This can have a very bad effect on organizations because employees who are not part of in-groups of the managers usually only have opportunities to reach the managers in public meetings."

Maryland Today – July 28 – 'Don't Put Your Emotions in a Box at Work' features research newly published in Organization Science by management professor Myeong-Gu Seo.

Barron's – July 24 – Clinical Professor of Finance David Kass' "Exception to the Rule" commentary is published as part of "Barron's Roundtable: Sizing up the Stocks": To the Editor: The suggestion that stocks are overvalued based on the "Rule of 20," which posits that the sum of inflation and the stock market's price/earnings ratio should add up to 20, and is based on data going back to 1957, omits an examination of interest rates ("By This Key Measure, the Stock Market Is Trading at Dot-Com-Era Levels," Up & Down Wall Street, July 16). The 10-year U.S. Treasury rate averaged 5.75% from 1957 through 2021, and 6.65% through 2007, prior to the Great Recession. However, it currently equals only 1.31%, its lowest level over this 65-year time period. Since interest rates are to asset prices what gravity is to matter, the Rule of 20 cannot be applied to determine if current stock market valuations are excessive.

WalletHub – July 24 – Professor of the Practice in Finance Clifford Rossi and Professor of Marketing Amna Kirmani give consumer advice on credit-building (Rossi) and auto insurance reviews (Kirmani).

Associated Press via ABC News – July 22 – Associate Professor of Logistics Management Philip Evers helps explain Amazon's "key for business" initiative in "Amazon's Mission: Getting a 'Key' to Your Apartment Building," : [Evers said] Amazon's desire to get the device into as many buildings as possible may be a way to keep competitors out. "The landlord may say, 'You know, I'll do this for one company, but maybe we don't want it for every delivery company that's out there'," he said. He added that Amazon could find other uses for the service, like having delivery people pick up returns left in the lobby instead of making shoppers schlep to the post office. Amazon declined to share any future plans.

International Business Times – July 22 – Op-ed co-authored by management and entrepreneurship professors David Kirsch and Brent Goldfarb addresses "What Bitcoin's Link With Tesla Means For Public Trust In Our Financial Markets."

Wall Street Journal – July 21 – Assistant Professor of Management Evan Starr comments in "The Noncompete Clause gets a Closer Look": Around 32% of U.S. companies include the clauses in all of their employment contracts regardless of position or pay, according to a survey… Use of noncompete clauses surged partly because templates can be found easily online and pasted into contracts, [said Starr, one of the authors of the survey]. … Even in states where the clauses would be voided by courts, companies still add them because they expect few employees to challenge, Mr. Starr said. He added that he has seen a noncompete clause for a volunteer role at a nonprofit organization in California. "If you ban noncompetes for some or all workers, there needs to be some way to incentivize firms to comply," he said. … Mr. Starr sees places for compromise. "The uncontroversial parts are that low-wage workers should by and large not be bound by noncompete agreements, and that you shouldn't be able to surprise a worker with a noncompete on day one of a new job," he said. The FTC could also look at limiting the duration of noncompete clauses, many of which require former employees to sit out of the labor market in their field for two years or more, or at limiting their geographic scope, he and other experts said. … The increase in remote work complicates the question even further. "Setting a federal benchmark can go a long way toward mitigating some uncertainty for firms and workers," Mr. Starr said.

Lab Manager Magazine – July 20 – "Have Something to say? Your Boss Wants You to do it in Private" overviews research by Dean's Professor of Management Subra Tangirala.

Bloomberg Radio – July 17 – Assistant Professor of Management Evan Starr discusses President Biden's call the FTC to ban or limit employee noncompetes (starting at 6:57) in the second part of a Bloomberg Law podcast titled "Elon Musk Stars in His Own Courtroom Drama."

Fair Play Talks – July 17 – "Empathetic Leadership Crucial for Employee Wellbeing, Say Experts" extensively quotes Professor of the Practice Gerald Suarez.

Washington Post – July 14 – 'Fact Checker: Biden Bungles Story About Low-Wage Noncompete Agreements' quotes Assistant Professor of Management Evan Starr: In the EPI survey, of the 65 construction firms that replied, 30.7% said all employees were subject to noncompete agreements. "With the widespread use of noncompetes we found in construction, Biden's example seems quite plausible to me," Colvin said. [Starr at the Robert H. Smith School of Business] also said the asphalt example did not seem surprising: "Certainly noncompete clauses can and do include geographic restrictions broader than the state." The White House official did not provide a specific example to back up Biden's statement but noted that the EPI study found noncompete agreements remain prevalent in a host of blue-collar jobs.

Journal of Accountancy – July 13 – EY Alumni Professor of Managerial Accounting and Information Assurance Lawrence Gordon contributes to "Fit Cybersecurity Into Your Accounting Courses": Tell students why cybersecurity matters. Some accounting students may wonder why they need to learn about cybersecurity, viewing it as solely a matter for IT. So discuss the "why and how" with students. "The most important tip would be to get your students to understand how, as an information system, accounting relies on cybersecurity, as do all information systems," [said Gordon]. Explain how cybersecurity is a vital component of internal controls, and how disclosure issues and decisions must be addressed. "What's the cost of a cybersecurity breach? That's an accounting issue," he said, as an example. ... Vary the assignments. Accounting faculty can offer a mix of assignments for students around the topic of cybersecurity. Gordon provides students with "problems and little scenarios" and asks them probing questions, such as "How much should a firm invest in cybersecurity?" and "What's the impact of COVID-19 on cybersecurity?" He also asks students to read articles online that explain topics such as how to do a penetration test, a way of testing a computer network or application to find security holes.

The Swaddle – July 12 – "Experiencing Rude Behavior Reduces Our Critical Thinking Skills, Study Shows" quotes Assistant Professor of Management Trevor Foulk and cites his research: The application of anchoring bias is most commonly observed in medical cases — a theory researchers were able to prove in the present study. "If you go into the doctor and say 'I think I'm having a heart attack,' that can become an anchor and the doctor may get fixated on that diagnosis, even if you're just having indigestion," [Foulk explained]. "If doctors don't move off anchors enough, they'll start treating the wrong thing." In the present study … residents at a hospital were given an incorrect suggestion before they had to diagnose a patient, and before the simulation, they had one doctor behave rudely towards the residents. The result was that the residents kept treating the "anchor" suggestion despite new discoveries. "Basically, what we're observing is a narrowing effect. Rudeness narrows your perspective, and that narrowed perspective makes anchoring more likely." … The culture of rude and uncivil behavior is rampant in any job setting, and the present findings aim to take stock of the damage negative attitudes can cause. "In important domains, where people are making critical decisions, we really need to rethink the way we treat people," Foulk said. "We hear 'If you can't stand the heat, get out of the kitchen.' It's almost like being able to tolerate people's treatment of you is like a badge of honor. But the reality is that this bad treatment is having really deleterious effects on performance in domains that we care about — like medicine. It matters."

Agility PR Solutions – July 12 – "Social Media Science: How Brands Can Use Facebook to Figure out if People Like Them" overviews research by Assistant Professor of Information and Decision Science Kunpeng Zhang and Associate Dean of Master's Programs Wendy Moe.

Idaho Statesman via Yahoo News – July 11 – "Albertsons Ignored Safety Issues Before Fiery I-84 Crash that Killed Airmen, Families Say" quotes Thomas Corsi, academic director of the MS Supply Chain Program: "Albertsons did not come close to meeting the industry standard of care applicable to it and violated its own policies in both selecting Krujex Freight Transport Co. and the continued use of that carrier's services to deliver product to Albertsons stores through the date of the fatal crash on June 16, 2018, and thereafter," [Corsi] wrote in a court document. … Corsi, who has served as a professor at the Maryland university since 1976, wrote that Albertsons should have never hired Krujex, which had a poor safety record. And the trucking company should have passed on hiring Tsar. … "I have concluded, based on my background and experience, that a cause of the subject crash was the KFTC driver's failure to respond to the slow-moving traffic queue ahead, most likely due to performance decrements associated with fatigue," Corsi wrote. … Corsi said Krujex and Albertsons, which operates its own fleet of 250 trucks, bore "direct responsibility" for the crash. The grocer, he said, had an "unquestioned responsibility" to assess Krujex's ability to safely transport its products.

Maryland Daily Record – July 10 – Associate Professor of Marketing Yogesh Joshi comments in "A New McCormick Product Sold Out in Under an Hour – Again": [Joshi] said that partnerships between influencers and brands can be powerful marketing tools for two reasons. Not only are the influencers able to drum up excitement around the product, but they are also able to help companies develop products that they know will be popular among their colleagues and fans. "Finding the right person is quite important because when you have the right person, the input you get for the product you're trying to make is very relevant," he said. "Not only have you engaged the influencer, but you've also created a product that's of a higher quality. It kind of works hand in hand."Even if it wasn't the company's plan, limited runs of items can be strong marketing tools, Joshi said. Common with products like Nike sneakers, a limited-edition product (especially one that sells out as quickly as this seasoning did) can lead to a lot of buzz and conversation that will still benefit the company even when the product is no longer limited. "Scarcity is a fairly popular tactic that brands sometimes use to launch and promote new products," he said. "If there are many people who are interested, it creates demand and conversation around it, and a lot of that stays around."

NPR – July 9 – 'Biden Moves to Restrict Noncompete Agreements' quotes Assistant Professor of Management Evan Starr: Even in states that ban noncompetes, companies have continued to include them in employment contracts, an issue that [Starr] hopes the FTC will address. … "I think the focus should be on trying to deter their use in the first place," says Starr, instead of just making them unenforceable. … In his research, Starr has found that many workers are unaware of state laws prohibiting noncompetes, so when faced with threatening letters from their employers they are unlikely to put up a challenge. Unlike Beck, Starr anticipates the FTC will issue a ban on noncompetes covering most workers. He says banning them for low-wage workers is largely uncontroversial, and there is growing evidence that a ban would benefit high-skilled workers as well.

NPR – July 9 – Clinical Professor of Marketing Henry C. Boyd discusses "Name, Image, Likeness and College Athlete" in a panel discussion hosted by Louisville affiliate WFPL (at 11:15-13:55, 25:15-26:57,45:50-5:10 in the embedded audio file).

TechTarget – July 9 – "Biden Noncompete Agreement Order a Warning for Businesses" quotes Assistant Professor of Management Evan Starr: Biden's executive order "signals a broad federal interest in reforming noncompete policies, which is something that we have never seen before," said [Starr], who recently testified on Connecticut's noncompete legislation. … "Noncompetes clearly fall under the purview of the FTC per the Sherman Act, because they are restraints of trade," Starr said. "But for whatever reason, the federal government has not generally regulated noncompetes, leaving it mostly to states. So it will be interesting to see where the FTC goes from here."

Naturopathic News and Review – July 5 – "Being Rude Can Lead to 'Anchoring' in Medical Scenarios" overviews research co-authored by Assistant Professor of Management Trevor Foulk.

Investing.com – July 5 – "Dollar Weakens as Payrolls Result Eases Rate Hike Concerns" quotes Clinical Professor of Finance David Kass: However, while Friday's jobs report said that nonfarm payrolls grew by a higher-than-expected 850,000 in June, the unemployment rate was also higher than expected and the pace of hourly earnings growth slowed, easing concerns that the central bank would raise interest rates sooner than expected. This report "would probably not convince the Federal Reserve to change its current policy [said Kass]. ... Republished by Yahoo Finance.

Poets & Quants – July 3 – Poets & Quants MBAs to Watch – Class of 2021 features, among new full-time MBA grads worldwide, profiles of Maryland Smith's Maria Herold and Rachel Loya.

TalkMarkets – July 3 – Clinical Professor of Finance David Kass gives the "Year-To-Date Percentage Returns Of 8 Largest Stocks."

Quartz – July 2 – "A Shipping Container Shortage is Snarling Global Trade" quotes Professor of the Practice Suresh Acharya: The shortage of shipping containers is yet another symptom of the havoc the pandemic has wrought on international supply chains. As a result, freight costs are rising, which in turn leads to higher prices for consumer goods."This matters in the near term because the supply issues will have a direct impact on inflation,"[said Acharya].

VentureBeat – July 2 – Findings by information systems professor Kenpung Zhang and Associate Dean of Masters Programs Wendy Moe are reviewed in "Researchers Develop Algorithm to Identify Well-Liked Brands."

The Social Media Monthly – July 2 – Associate Professor of Information Systems Jui Ramaprasad's op-ed addresses "How Do We Stop Social Media Ads That Target Teens and Minors."

ValueWalk via FinTechZoom – July 2 – Clinical Professor of Finance David Kass' blogpost "Charlie Munger Loves Zoom" is republished.

E&E News – July 1 – Professor of the Practice Clifford Rossi comments in "Condo Collapse Could Stoke Miami Climate Fear in Homebuyers": So how might the Champlain Towers South disaster shake things up even more? [Rossi said] there are several short- and long-term possibilities. He said the collapse — regardless of its cause — could "dampen interest" in South Florida properties similar to the 12-story Champlain Towers South… The condominium disaster in Surfside, Fla., "will certainly have buyers [who are] interested in buying into the condo market down there — and other Florida cities, for that matter, that are located close to the shore — to think twice about purchasing a property," said Rossi, who also previously worked as Citigroup Inc.'s chief risk officer."And that could have somewhat of a chilling effect even in a pretty hot market like it is [in Florida] today and in many places around the country," Rossi added. … (Growing awareness of sea-level rise, in addition to"hyper-salient events" such as major hurricanes or the Surfside collapse… can lead to a diminishing of the premium that people are willing to pay for coastal living) … Rossi echoed that point. If the investigation shows the building collapsed solely due to construction or maintenance errors, there may not be any long-term implications for the local market. But it would be different if the investigation provides"incontrovertible evidence" of contributing environmental factors common to the entire region, Rossi said."That could be a catalyst for more people rethinking retiring down in areas like that and saying it's not worth the potential risk out there that we face — to be situated that close to the shore."

June 2021

OZY – June 30 – Clinical Professor of Marketing Henry C. Boyd comments in "The Ground Shifts Under College Sports": (The University Athletic Association of the Philippines is an international facsimile of the NCAA — boasting a strong college sports system yet without any rules governing payments or compensation.) Shouldn't the home of capitalism and the free market follow the Filipino way? The current model is"not in keeping with market forces," [Boyd tells OZY]."If you have the talent, you should be able to work with people to be compensated."

U.S. House Committee on Financial Services News – June 30 – "Hybrid Hearing – Addressing Climate as a Systemic Risk: The Need to Build Resilience within Our Banking and Financial System" includes testimony from Professor of the Practice Clifford Rossi (beginning at 39:30 in embedded video).

Quartz – June 29 – Assistant Professor of Management Evan Starr contributes to "An Airport Executive Warns its Concessionaires Not to Steal one Another's Employees": If both airport eateries were independent franchises under the same parent company, then"it's kind of a legal gray area,"[says Starr]. Quartz reached out to Star Concessions to clarify if the company owns both eateries but did not hear back at the time of publication.… A no-poach policy could hurt employee's mobility and hurt any wage gains. The workers are also not aware of no-poach agreements, says Starr. If you submit an application to the stall next door, and the application asks for your private employment—that information could get you kicked out of the applicant pool if a Sbarro had an agreement with Auntie Anne's not to hire from each other, he says.

Bloomberg Law – June 29 – Assistant Professor of Management Evan Starr comments in "Employee Noncompete Clause Limits Adopted by Three More States": States also are beginning to enact provisions allowing for civil penalties against companies that use illegal or abusive noncompete contracts, and in some cases making it easier for workers to win attorney fees in court cases where employers seek to enforce noncompetes, [said Starr]. The new Illinois legislation allows the state attorney general to pursue enforcement action against employers related to noncompete contracts and potentially win civil penalties. Penalties are a less common feature of state noncompete laws, but the idea could catch on as a way to deter companies from using them in situations where they're illegal or unenforceable, Starr said. His research shows that even in California, where noncompetes are banned and unenforceable under state law, a significant portion of workers are asked to sign them anyway, he added. "No court in California would sanction a noncompete agreement, and yet these agreements have chilling effects on workers," Starr said. "Workers don't want to fight out a lawsuit," and in many cases might not know state law makes the contracts unenforceable.

Supply Chain Brain – June 26 – Professor of the Practice Suresh Acharya discusses implications of a U.S. oversupply of COVID vaccine in "What to do About the Vaccine Surplus."

TalkMarkets – June 26 – Clinical Professor of Finance David Kass gives the "Year-To-Date Percentage Returns Of 8 Largest Stocks."

ESPN's The Undefeated – June 25 – "The Low-Key Cool of 'Jake, From State Farm' Has Actor Kevin Miles Superstarring" quotes Clinical Professor of Marketing Henry C. Boyd: "Jake is like the guy next door, the boy next door that grew up," [said Boyd] "The perception is there that, man, you went out of your way, Jake. You gave me the inside deal." Insurance can be dull, and it can take antics and hyperbole to stand out. But Boyd calls Jake's charisma, charm and conventional good looks something that can win for State Farm. "He's become a franchise success," said Boyd. That success marks a universal, all-American appeal. But don't misunderstand. Without the slightest patina of performative ethnicity, he still feels authentically Black.

Maryland Today – June 25 – Associate Clinical Professor of Finance Elinda Kiss gives consumer finance advice in "A Hot Housing Market Calls for Cleaning Out Your Closets or Your Bank Account."

InvestorPlace – June 24 – 'Overlooked Blue Chip Stocks for Eagle-Eye Investors' quotes Clinical Professor of Finance David Kass: "So far in 2021, blue-chip stocks have outperformed high-risk high-return investments. As of June 5, 2021, the Dow Jones Industrial Average, which consists of 30 large blue-chip companies, has increased by 13.6%, while the Nasdaq (made of more high-risk, high-return stocks) has risen by only 7.2%. The S&P 500, which is heavily weighted by the large blue-chip stocks, is up by 12.6%. This relative relationship is likely to persist throughout the balance of the year… Interest rates are likely to be stable or increase slightly in the second half of 2021. Any increase in interest rates should result in high-risk, high-return stocks further underperforming blue-chip stocks since future cash flows of high-risk companies will be discounted at a higher rate resulting in lower valuations relative to blue-chip companies that have more reliable income streams over the near term." … Also at Business Insider's Markets Insider.

Poets & Quants – June 23 – "5 Biggest Surprises Of Online MBA Programs" quotes Maryland Smith online MBA graduate Jose DeJesus: "In a traditional classroom, you have very little visibility into your classmates' lives," [adds DeJesus]. "With an online program, you see people taking class from hotel rooms, trains, at home, and in offices. There is something powerful in seeing how everyone "grinds" it out through the program. Everyone is facing different pressures but still looking to learn and better themselves. There is nothing more motivating than that."

Maryland Today – June 23 – "Returning a Favor via Social Media Could Drive Healthier Habits, UMD Research Shows" overviews research from the Center for Health Information and Decisions Systems by Senior Associate Dean Ritu Agarwal and Professor Gordon Gao.

Bloomberg – June 23 – "Warren Buffett Steps Away From Middleman Spot in Gates Divorce" quotes Clinical Professor of Finance David Kass: "Buffett maybe wants to steer clear of the personal conflict between Bill and Melinda Gates and keep his own personal relationships with both of them separate from this decision," [said Kass]. Still, the investor's statement Wednesday signaled continued support for the foundation, and some Buffett family foundations, with $4.1 billion in donations. "He's sending the very positive signal that he's certainly maintaining his very generous contributions," Kass said.

Baltimore Sun – June 22 – Marketing professors Jie Zhang and P.K. Kannan comment on the post-pandemic business-attire market in "Baltimore-Area Women Come Face-to-Face with an Old Foe After a Year of Pandemic: The Underwire Bra."

The Mortgage Reports – June 21 – Professor of the Practice Clifford Rossi weighs in to "Late-2021 Mortgage Rate Predictions: How High Will Rates Go?": 30-year mortgage rates by late 2021: 3.6% (and) 15-year mortgage rates by late 2021: 2.6%... "These projections are based largely on what happens to the yield curve between now and the end of the year," explains Rossi, "which is likely to steepen a bit more as fixed-income markets build inflationary expectations into their views. "The Fed has signaled a commitment, at least for the time being, to keep short-term rates very low, so we could see a steeper yield curve ahead — which will affect the direction and level of mortgage rates."

FocusTechnica – June 21 – "When Employees Lack Power at Work, They Get Paranoid – And Aggressive" overviews research by Assistant Professor of Management and Organization Trevor Foulk.

Global Association of Risk Professionals (GARP) News – June 19 – "Swans, Rhinos and Elephants Are Animating Risk Debates" quotes Professor of the Practice Clifford Rossi: Risk awareness, informed by an integrated view of risks, "is incredibly important and is a function of the type of event that may have occurred at an earlier time (e.g., South Korean MERS epidemic of 2015), and also what I refer to as risk sensitivity," [says Rossi]. "Risk sensitivity is in turn dependent upon a set of management cognitive biases and the level of risk aversion of management – the point being that management teams that exhibit greater degrees of risk aversion and less bias (e.g., herd mentality, recency bias, etc.) wind up being more sensitive to risk events and risk-taking than other managers, which heightens their risk awareness to uncertain events. "We still tend to be far more siloed in assessing risk than we should be," Rossi continues, "and as we learned from the global financial crisis, we often find risks collide with one another. For example, subprime mortgage credit losses contributed to a liquidity crisis and to massive reputation risk, legal, regulatory and market risks during that period."

Maryland Daily Record – June 18 – Clinical Professor Oliver Schlake comments in "140 Years Later, Otterbein's Ovens Are Still Baking Away": The longevity of a family-owned business such as Otterbein's can be a rarity in the United States. … [Schlake said] there are several factors that could inhibit the growth of family-owned business in the U.S.Schlake's family has owned a bakery in Germany for at least 75 years, but he said family businesses can struggle to survive in the U.S. He attributed this to a number of reasons, including the hesitancy among some business owners to be open to organic growth, which is growth by increasing output and enhancing sales from within. For a family-owned business to have success in the U.S., Schlake said it is important to uphold traditions and "have an active, symbiotic relationship with the community." "You expect people to pay a premium because you're selling them something that is more satisfying than just getting food," Schlake said. "It's not just calories … you're eating an experience, you're eating into a tradition." At the same time, Schlake said relying too much on tradition can be "a very dangerous trap" for family-owned businesses. It is important to strike the balance between upholding traditions and evolving.

The Big Think – June 18 – "Don't be Rude to Your Doctor" overviews research by Assistant Professor of Management Trevor Foulk.

ValueWalk – June 17 – Clinical Professor of Finance David Kass gives insights in "21 for 2021: Midyear Stocks to Watch."

STAT News – June 17 – "Gender Bias Toward Men in Patent Awards Results in Less Biomedical Innovation for Women" quotes Associate Professor of Management Waverly Ding and references her research: Thinking more broadly this way about the implications of a lack of female patent holders may still be relatively new. Waverly Ding, who studies gender issues related to entrepreneurship and science and author of a 2006 Science study showing the gender gap in patenting, pointed out that people haven't really thought about the consequences of her findings on society at large. "If we have a more diverse innovation workforce, then we're going to have better results in terms of the quality and the type of patents we're getting," Ding said, adding, "But we have never really looked into this assumption, and no one had tried to quantify what it means to have women's representation." … None of the female researchers STAT spoke to were surprised at the study's findings. "Women bring their unique perspectives, their interests, their preferences," said Ding.

ABS News and Research – June 16 – "Apple Stock Split: History, Reasons & Brief Analysis," quotes Clinical Professor of Finance David Kass: Kass argues that stock splitting was a practice used by companies to keep their stock prices in the mid-double-digit range. Moreover, companies did this as often as possible because broker commissions were fixed, and investors preferred trading in "round lots" of 100 shares. In contrast, if an investor purchased less than 100 shares, broker commissions were amplified, the reason behind holding "round lots."

US News & World Report – June 14 – "What Are Congress Members Trading?" quotes Clinical Professor of Finance David Kass: [Kass says], "Since members of Congress do have access to inside information such as the outlook for the overall economy, specific industries, and individual companies, large transactions on either the buy side or the sell side might serve as a useful signal as to major changes that could be forthcoming that could affect the securities involved." … Related: Kass, via TalkMarkets, gives "The Year-to-Date Percentage Returns of the 8 Largest Stocks" (June 12).

Poets & Quants – June 12 – "Best and Brightest Online MBAs: Class of 2021" profiles Maryland Smith's Yenny Andrade Castillo and Jose DeJesus, with the overview including: At the same time, the University of Maryland's& Yenny Andrade Castillo has spent nearly a decade at the World Bank. "Working for the World Bank has been a rewarding experience. I've traveled on missions to the Philippines, Malaysia and South Africa, and I've seen the developmental impact of the World Bank's work in helping poor people," she writes. "At the same time, I've progressed in my professional career, advancing from an assistant position to associate portfolio officer in the Private Equity Funds unit at IFC."

StudyFinds ("Research in a Nutshell") – June 11 – "Rudeness can Lead to Serious Mistakes in Life-or-Death Situations" covers "Trapped by A First Hypothesis: How Rudeness Leads to Anchoring," co-authored by management professor Trevor Foulk and forthcoming in the Journal of Applied Psychology… Related coverage includes posts at News-Medical.net, Scienmag, Medical Xpress and a recent at Hidden Brain: …Turns out, rude experiences can trigger the anchoring bias – our tendency to focus on one piece of information when making a decision, even if the information is irrelevant. After experiencing rudeness, doctors and medical residents were more likely to anchor to an incorrect diagnosis, for example. Rudeness made it harder to think clearly and make good decisions. "Rudeness narrows your perspective, and that narrowed perspective makes anchoring more likely," said Trevor Foulk, one of the study's authors. "We really need to rethink the way we treat people." It can't hurt to ask: What can I do to be a little bit kinder today?

Southern Maryland Chronicle – June 10 – "Cars are About to Cost a lot More in Maryland After the Pandemic" quotes Professor of the Practice Suresh Acharya: Chip shortage, [according to Acharya], left most of the auto manufacturers hungry for even the basic components of their cars or trucks… Most cars nowadays have capabilities like artificial intelligence. They can parallel park the vehicle, keep you within the lane, protect your bumper to get harmed in case of a potential collision by avoiding the same and help you keep focused on the road by barring all sorts of distractions. With these cars, you also get some mind-blowing entertainment options, infotainment systems, and internet connectivity. According to the professor, we are nowadays driving "smart devices on wheels."

Supply Chain Masters (Belgium) – June 9 – "Research: Why Managers Ignore Employees' Ideas," co-authored by management professors Subra Tangirala and Vijaya Venkataramani, is republished from Harvard Business Review.

WalletHub – June 9 – Professor of Marketing Jie Zhang answers "What's the Deal with Credit Card Deals?"

Financial Post – June 8 – Management professor Trevor Foulk discusses his recent workplace behavior research in "Forget Everything You Thought You Knew About Power."

Yahoo Finance – June 8 – "10 Best Stocks to Buy According to Warren Buffett" quotes Clinical Professor of Finance David Kass: Last year, Buffett sold huge stakes in bank stocks, including JPMorgan Chase & Co. (NYSE: JPM), The PNC Financial Services Group, Inc. (NYSE: PNC) and Wells Fargo & Company (NYSE: WFC) amid financial volatility caused by the coronavirus crisis. This move was the result of, in the words of a finance professor David Kass at the University of Maryland's Robert H. Smith School of Business, "extreme caution" practiced by Buffett as bank stocks are prone to losses and vulnerability during difficult times such as the one heralded by the pandemic.

Science Newsnet – June 8 – "Eye Tracking Study Shows How Online Ads Help Consumers Shop Faster" covers a recent study co-authored by Distinguished University Professor and PepsiCo Chair in Consumer Science Michel Wedel.

TalkMarkets – June 5 – Clinical Professor of Finance David Kass gives the "Year-to-Date Percentage Returns of the 8 Largest Stocks."

Maryland Daily Record – June 3 – "UMD Honors Five Exporting Businesses for Resilience During COVID-19" reviews the same-day Maryland Business Adapts event organized by Center for Global Business and quotes CGB Executive Director Rebecca Bellinger: "While each company's pivots were assessed on their own merits against an award rubric, we were quite pleased that the five companies ultimately chosen were diverse in ownership, business model, industry and adaptive strategies."

dot.LA – June 2 – "Quincy Jones' New NFT Platform Wants to Take the Guilt Out of Artist NFTs" quotes Associate Professor of Management and Entrepreneurship David Kirsch: [Kirsch said] it's unclear if OneOf's platform can pull in enough users to make it work. "What's really going to matter is if people want these tokens or not," he said. "Are people interested? Are there superfans for whom access to an NFT of one of their artists whom they follow is worth paying money for? That's what's going to make or break this in my view."

Valor Economico (Brazil) – June 1 – "Giving Employees a Voice in Changing Scenarios Increases Resilience, Says Study" quotes Dean's Professor of Management Subra Tangirala and summarizes his research: In experiments they did with some teams, they asked managers to encourage people to express themselves; to create spaces where they were heard; to recognize or reward the speaker. When the three actions took place, the researchers stated that the performance was higher, compared to that obtained by the teams that did not undergo this intervention. "Not only to prevent productivity, after the shock of change, from falling even further, but also to recover more quickly," [said Tangirala].

May 2021

Wall Street Journal – May 29 – "Paycheck Protection Program Closes to New Applications" references Professor of Finance Michael Faulkender and his recent study: A December study by Michael Faulkender, who was assistant secretary for economic policy at the Treasury Department during the Trump administration and worked closely with the SBA to administer the PPP, said the program saved 18.6 million jobs. Mr. Faulkender and co-authors based their estimate on an analysis of county-level unemployment-insurance claims. Mr. Faulkender said that as the nation entered a sudden economic crisis last year, the SBA and Treasury had to balance getting money to businesses quickly with fraud-prevention measures…

GARP (Global Association of Risk Professionals) – May 29 – Professor of the Practice Clifford Rossi comments in "The Archegos Collapse: Not Just a Family Office Affair: A nonbank fund's failure exposes a risk and regulatory blind spot": "Counterparty Risk Management 101 should have been happening," [said Rossi] Banks should have been able to answer the basic questions, he continued: "Who are your counterparties, and how do you ensure you have appropriately assessed their risks?" … Archegos was "regularly putting up $15 of collateral to borrow $85." That alone should have been a red flag, Rossi argued. He believes that anyone "borrowing from a regulated financial institution should have some oversight."

BusinessBecause – May 29 – BusinessBecause Online MBA Guide 2021 quotes Assistant Dean for Part-time MBA and Online Programs Paulo Prochno and Career Center assistant director Julie Neill: (Prochno): "An online program covers traditional MBA ground that prepares students to take more senior management roles, giving them a view on how the different functions contribute to the overall results of a company. This requires both hard and soft skills. The latter can be developed through lively synchronous sessions that include virtual breakout rooms for small group discussions through which students exercise such skills as emotional intelligence and collaborative problem-solving" (Page 20) … (Neill): " An online MBA has the added advantage of preparing leaders to collaborate with a diverse group of peers in a virtual environment, a skillset that will undoubtedly become increasingly important in the future of work." (Page 17).

InvestorPlace – May 28 – "Money Moves for Recent Grads: Top Finance Tips for Recent Graduates" quotes Clinical Associate Professor of Finance Elinda Kiss: If you're anything like me, figuring out your budget probably feels a bit like guessing how many jellybeans are in a jar. But as [Kiss told InvestorPlace], it might not be fun, but "it is important to start and stick to a budget." She went on to say: "You can download a personal finance app on your phone (e.g., Mint.com) to track your spending and account balances. You need to understand your living expenses from utilities to rent to transportation; you will face some monthly expenses that previously were negligible or nonexistent. This will be a large portion of your monthly budget." … Related: Wealth Creation Investing quotes Kiss in "Retirement Funds For Rookies: Everything New Grads Need To Know" (May 26).

Times of News – May 28 – Associate Professor of Management David Waguespack explains "Implications of Dwindling Oscars Viewership and Movie Audience Fragmentation."

American Marketing Association – May 27 – "When to Release Free and Paid Apps for Maximal Revenue" overviews research co-authored by marketing professors Jie Zhang and Michel Wedel and Maryland Smith PhD graduate Seoungwoo Lee.

Haptic – May 27 – "Feeling Intelligence will be Dominant in the Economy" by Europe-based Haptic R&D Consulting overviews the book, The Feeling Economy: How Artificial Intelligence Is Creating the Era of Empathy, co-authored by Distinguished University Professor David Bruce Smith Chair in Marketing Roland Rust.

Harvard Business Review – May 26 – Associate Professor of Management David Waguespack co-authors "Dispersed Teams Succeed Fast, Fail Slow."

Science Newsnet – May 26 – "Why Italy's Economy Stopped Growing" explores an NBR working paper co-authored by Assistant Professor of Finance Bruno Pellegrino. … Related coverage by NbaRevolution (Italy).

MarketScale – May 26 – Dean's Chair in Marketing Science P.K. Kannan discusses 'store within a store' strategy for large retailers, via a video embedded in a reposting of "Walmart Closing Most In-Store McDonald's."

CNBC – May 25 – Michael D. Dingman Chair in Strategy and Entrepreneurship Anil K. Gupta is cited for helping select the 2021 CNBC Disruptor 50 list.

Science Newsnet – May 25 – Accounting Lecturer Samuel Handwerger explains "The 280E Tax Code as an Obstacle for Cannabis Firms and the SAFE Banking Act." … Related coverage at Financial Daily Newswire.

CBS News (online) – May 24 – Associate Professor of Management and Entrepreneurship David Kirsch comments extensively through "Should You Invest in Dogecoin? Expert Suggests Keeping Away from Controversial Cryptocurrency Market."

Business Insider – May 24 – Clinical Professor of Finance David Kass comments in 'Warren Buffett Built a $4 Billion Chevron Stake in 6 Months — Then Halved it Last Quarter': Berkshire may also have cut its Chevron position because it wanted to take some profits off the table, [Kass told Insider]. "Buffett may have decided to realize a 35% profit in a short period of time," Kass said, pointing out that Berkshire spent an average of $83 per Chevron share, and the company's stock price surged as high as $112 last quarter. The Berkshire chief may also have determined that oil prices were more likely to fall than rise in the coming months, weakening the near-term outlook for Chevron stock, Kass added… Berkshire slashed other bank holdings, and eliminated its JPMorgan and Goldman Sachs stakes entirely last year. Those disposals might indicate that Buffett is bracing for a wave of defaults, Kass said. The investor may have plowed over $2 billion into Bank of America stock over 12 days last fall because he considered the lender to be less risky than its peers, he added. "Buffett's exit from GS, JPM, and WFC is perhaps a reflection of his fear of very bad outcomes from the pandemic with numerous defaults on bank loans, especially commercial loans," Kass said. "Bank of America has less exposure to commercial loans than JPM and WFC." … Additional coverage of David Kass: 'Year-To-Date Percentage Returns of 8 Largest Stocks' (May 22), via TalkMarkets.

American University Law Review – May 22 – Assistant Professor of Information Systems Lauren Rhue co-authors "Tracing the Invisible: Information Fiduciaries and the Pandemic" as a call for "for more robust solutions to protect individuals' privacy—whether those individuals are currently visible or invisible to pandemic technology—if pandemic technology is to provide the universal coverage necessary for a public health emergency, such as the COVID-19 pandemic."

Maryland Matters – May 22 – "TikTok and Google Docs: Small Businesses Thrive After Adapting to the Pandemic" quotes Distinguished University Professor David Bruce Smith Chair in Marketing Roland Rust: The pandemic sped up the online shopping trend that existed prior, [said Rust]. "We are in an environment where a substantial percentage of the buying is going to happen online and that is probably always going to be true," Rust said. … Ninety percent of consumers will buy products from a brand they follow on social media, found a 2020 study by software company, Sprout Social Inc. Any smart business goes where the people are and, during the pandemic, they weren't walking down the street, Rust said.

American Banker – May 21 – "What Could be in Store for Banks after Biden Climate Change Order" quotes Professor of the Practice Clifford Rossi: But despite the executive order, regulators are likely to continue moving carefully on climate change until they get their arms around current climate models and how they can measure bank exposure, [said Rossi] "You can make some terrible economic decisions based on this," said Rossi, a former senior risk executive at Citigroup, who is studying the effects of climate change on housing. "We have to understand what's going on first with the climate models we use before making assessments."

ValueWalk – May 21 – Clinical Professor of Finance David Kass explains why 'SPACS Have Fallen from Favor.'

Baltimore Sun – May 18 – Professor of Finance Michael Faulkender writes "As the U.S. Returns to Normal, so Must the Federal Reserve."

Quirk's Media – May 18 – "How a Zero-Sum Mindset Can Undermine Workplace Negotiations" overviews Associate Professor of Management Rellie Derfler-Rozin research on the impact of zero-sum thinking in the employment negotiation process… Related coverage in Communications of the ACM's "Myths About Workplace Negotiations."

Bloomberg Opinion – May 16 – 'Meritocracy Is the Key to Boosting Economic Growth' highlights research by Assistant Professor of Finance Bruno Pellegrino: [Pellegrino shows] that countries with high meritocracy scores have enjoyed much more of a bonus from new technology than countries with low scores such as Italy. Italy's loyalty-based management style had no negative consequences for productivity growth in the decades before 1995. But when the IT revolution took off, loyalty-based management reduced Italy's productivity growth by between 13 and 16 percentage points. This result suggests that the meritocracy dividend is growing along with the IT revolution: Meritocracy is not just the secret sauce of economic growth in the long term, but also a secret sauce that is becoming ever more potent.

Salon – May 16 – A 'Quest for Perfect Parenting' piece sourced from multiple studies and PhDs quotes Associate Clinical Professor of Management Nicole Coomber: Lack of feedback is also an issue, [says Coomber]... "In terms of parenting, what kind of job has less clarity on deliverables and goals and less feedback, right?" she asks. "When you put people in a job that is completely amorphous, and they don't know if they're doing a good job or a bad job, that is a recipe for perfectionistic tendencies."

MarketScale – May 15 – "Walmart to Close Most In-Store McDonald's By End Of Summer" quotes Dean's Chair in Marketing Science P.K. Kannan: "If you look at it from the viewpoint of McDonald's," Kannan said, "During the COVID pandemic, 70 percent of their sales came from drive-throughs, and even as they are looking forward when Walmart is changing their store formats … McDonald's is facing a challenge because they must also upgrade with these new stores."

TalkMarkets – May 15 – Clinical Professor of Finance David Kass gives the "Year-to-Date Percentage Returns of the 8 Largest Stocks."

Phys.org – May 13 – "Research Reveals Negative Effects of Hotel App Adoption on Customer Spending" features a newly published findings by Dean's Chair in Marketing P.K. Kannan in the Journal of Marketing Research.

Science Newsnet – May 13 – "What it Means to Be Green (in the fund management industry)" previews an upcoming webinar co-hosted by Maryland Smith's Center for Financial Policy and Center for Social Value Creation… "Pitfalls of a Zero-Sum Mindset" (May 12) previews a Maryland Smith-hosted webinar delivered by management professor Rellie Derfler-Rozin on her recent research on the impact of zero-sum thinking in the employment negotiation process.

Washington Post – May 12 – "'Help Wanted' Signs Point to Big Summer Travel Problems" quotes Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust: But smaller companies didn't have that luxury (retaining employees by shifting them to other divisions), and now they are paying the price. "With fewer workers, the quality of service in hospitality is likely to be affected in the coming months," [says Rust]. "And there's not much that travelers can do about it."

FIND MBA – May 12 – Director of Online Programs Danielle Wang contributes to "In a Locked-Down World, Online MBAs Create a Sense of Community": [Wang] says that a significant and ongoing challenge for online students is accessing the breadth of resources that are typically available to their counterparts taking on-campus courses. This includes taking advantage of networking events and career-coaching services. Successful online students have common attributes, she says. "Drive to succeed and self-management are particularly important." Also critical are time management skills, given that students complete the majority of their coursework at their own pace. "They need to be constantly vigilant about setting and meeting weekly learning goals, including staying ahead of coursework deadlines," says Wang. She also notes the pandemic has crystalized some of the benefits of remote study, including the ability to adjust to unexpected work demands, job changes or relocations.

American Marketing Association – May 11 – Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust co-authors "How Social Media and AI Enable Companies to Track Brand Reputations in Real Time" as an overview of his newly published study in the Journal of Marketing.

Marketing Directo (Spain) – May 11 – "Advertising and Art Put Eyes on Each Other: Are Brands the Medici of the 21st Century?": quotes Assistant Professor of Marketing Yajin Wang: Still, "the younger generations seem more open when it comes to celebrating success. And they seem to understand that if you want to be a famous artist, you are not going to be famous solely because of your works."

Customer Talk (Netherlands) – May 11 – "Emotional Artificial Intelligence: Still a Long Way to Go" cites research by Assistant Professor of Information Systems Lauren Rhue: Analyzing and categorizing people based on their inner emotions is misguided according to a large group of people. A study [by Rhue] found that emotion recognition technology assigns more negative emotions to people of certain ethnic races and their faces as twice as angry. then stamps other faces. The problem with emotional recognition – aside from the inherent biases – is that human emotions are not limited to facial expressions or voice intonations. When an individual laughs, it does not always mean that he is actually happy.

Maryland Today – May 10 – Professor of the Practice Suresh Acharya explains why a pandemic-driven shortage of computer chips means "Cars (are) About to Cost More."

Poets & Quants – May 9 – Associate Dean of Master's Programs Wendy Moe comments on Jasmine Snead and Virginia Pierrie – both selected and profiled (Snead here and Pierre here) for "100 Best & Brightest MBAs: Class of 2021": "…[Pierrie] was a key team member in communicating decisions to the students and providing the administration with feedback on how her classmates were handling the [COVID-prompted] transition [to virtual activities]. Early feedback helped both faculty and staff adjust and provide the best experience possible for our students. In addition, she worked with her fellow MBAA board members and each of the individual clubs to transition their programming online." … [Snead] designed and implemented the first ever "Winternship Challenge" in partnership with the Office of Career Services. This challenge helped motivate her fellow classmates over the winter break in their job search and was so successful that it was held again the following winter… [Snead as] VP of Diversity, Equity and Inclusion has led the MBA Association to host events that educated her classmates as to the effects of systemic racism and what they could do as individuals to change it… She has inspired many in the Smith community to do more for our program and the college to make sure that our commitment to diversity goes beyond the surface and starts to influence how we think about curriculum and the culture of the full-time MBA program.

Sina Finance – May 8 – Clinical Professor of Finance David, in an interview, explains "Buffett's Rejection of the Climate Change Proposal is to Protect the Interests of Individual Shareholders": …Regarding the shareholders proposal for enhanced disclosure of climate change at this meeting, [Kass] believes that Buffett's approach is to protect the interests of shareholders, but such an approach may lose some customers in the long run…

Arirang Korea – May 8 – Research Professor and Center for Global Business Professor Kislaya Prasad discusses 'Global Imbalance in the COVID-19-Vaccine Rollout' (video, at 6:15) as part of the South Korea news channel's weekly Foreign Correspondents program.

TalkMarkets – May 8 – Clinical Professor of Finance David Kass gives the "Year-to-Date Percentage of 8 Largest Stocks."

Fast Company – May 7 – "Welcome to the Post-Sellout Era" quotes Assistant Professor of Marketing Yajin Wang: It's almost quaint now to recall how Moby was pilloried by fans for selling out when his 1999 album Play became the most licensed of all time. All 18 tracks were featured in a TV show, movie, or commercial, and in some instances all three (nothing says upscale hotel lobby to me more than track three, "Porcelain"). When Honda licensed indie darling Vampire Weekend's "Holiday" for a Civic commercial a decade later, there appeared to be no blowback whatsoever. "Younger generations seem to openly celebrate being successful. There's an understanding that if you want to be a famous artist, it can't just be about your artwork," says [Wang].

eeDesignit – May 6 – "Harnessing AI for a More Equitable Workplace" overviews research by Associate Professor of Management and Statistics Margrét Bjarnadóttir… Related coverage at Tech HR Series.

Forbes – May 5 – Rajshree Agarwal writes op-ed: "Lessons From The 2009 American Recovery And Reinvestment Act For The American Jobs And Infrastructure Plan."

InvestorPlace – May 5 – Dean's Professor of Information Systems Anand Gopal gives insights from his research for 'Gun Stocks Amid Surging Firearm Sales': [Gopal], who recently published the study "Traders, guns, and money: The effects of mass shootings on stock prices of firearm manufacturers in the U.S.," wrote in an email to InvestorPlace, "Stock prices for U.S. firearm manufacturers appear to fluctuate based on two factors — an increase in the probability of firearm regulation and the short-term perception of danger to life and property."… As long as the fear of restrictions hangs over the sector, gun stocks will do well. As Gopal wrote, "This raises the question — are the current prices already factoring in the Biden Administration's intentions and the ongoing crises with the pandemic and unrest on the southern border? My sense is that no, these prices will continue to rise till we hit the next inflexion point — the 2022 midterm elections."

Bloomberg – May 3 – "Abel's 'Extreme Confidence' Seen as Ticket to Following Buffett" quotes Clinical Professor of Finance David Kass: "There's only one Warren Buffett," [Kass] said in a phone interview. "But he brings other strengths to the table," Kass said of Abel. "He exudes extreme competence."... Related coverage quoting Kass includes: Entrepreneur "Warren Buffett Reveals Who Will Be His Successor Once He Leaves" (May 3), (May 3) and Business Insider Meet Greg Abel, the 58-year-old Berkshire Hathaway vice chairman just tapped as Warren Buffett's successor (May 3).

NTD Business – May 3 – Clinical Professor of Business David Kass comments in "Buffett and Munger Talk Earnings, SPACS" (Video – 2-minute mark): Reporter: Berkshire Hathaway, reporting and operating income of $7 billion. That's 20 percent higher than the same period last year. Its assortment of insurance, manufacturing, transportation, retail and utility businesses are generally recovering as the economy reopens. Kass: "Their first-quarter earnings I thought were excellent. It looked like they were firing on all cylinders." … Related: Kass gives "6 Highlights of Berkshire Hathaway's 2021 First Quarter Report," via ValueWalk (May 3) and 'Year-to-Date Percentage Returns of 8 Largest Stocks,' via TalkMarkets (April 1).

Debtwire – May 1 – Professor of the Practice Clifford Rossi comments in "FHFA gets an earful on climate risk; FHLB, GSE and CRT projected losses near USD 50bn": (newsletter-subscriber access only): Data firms, academics and investors have been busy enhancing and assessing models that in some cases show lenders are woefully underestimating costs associated with natural disaster risks and climate change. Risk officers at large mortgage companies are "scrambling" to understand what those costs will do to profits, some in anticipation of regulatory scrutiny, [said Rossi]. "This is a brave new world for anybody who is credit investing in the space," Rossi said. "Within the last six months, I've seen the interest (in climate risk modeling) shoot up in intensity," with that being closely correlated with the new presidential administration, he added. A common thread through his letter, as was also evident in a study published by Rossi in August 2020, is related to how investors and the government-sponsored enterprises aren't properly accounting for rising climate risks, in light of the storms that have walloped parts of the US in recent years and expectations around increasingly severe weather…

April 2021

Vox – April 30 – "How the US Won the Economic Recovery" (in response to COVID) cites Professor of Finance Michael Faulkender and his supporting data.

Salon – April 30 – Assistant Dean of the Full-time MBA Program Nicole Coomber contributes insight referencing management-faculty colleague Trevor Foulk to "What Women Know About the Science of Perfectionism": In a milder iteration, perfectionistic thinking can make you feel less fulfilled and inspired. [Coomber] pointed to the work of her colleague Trevor Foulk, Ph.D. on "maximizing" which he later explained, "basically means looking for the best, most optimal solution." On the other hand, "satisficing" entails establishing minimum criteria and being cool with anything that fits the bill. Foulk and a colleague found associations between a maximizing mindset and decreased motivation. As Coomber put it, "If you are always seeking the best, most optimal outcome then you actually enjoy work less." That helps explain why self-oriented perfectionism is a risk factor for burnout.

Maryland Today – April 30 – Clinical Professor of Marketing Henry C. Boyd III explains the rise and collapse of a European soccer Super League in "Why European Soccer Fans Gave Super League a Red Card ."

Quartz – April 28 – Professor of the Practice Clifford Rossi comments in "Banks Still Aren't Accounting for the Emissions They Finance": Picking winners in the low-carbon economy will not be easy, [said Rossi]. Eliminating obvious culprits like coal-fired power plants is only a first step. Assessing transition risk for a specific investment requires assumptions about the trajectory of the economy and the climate itself, said Rossi. Conventional climate models are ill-suited to the task because they don't yield very accurate insights at the level of geographic granularity or time horizon most relevant to investment planners—what the climate will be like for a specific factory in 10 years, for example. Likewise, the economic models banks can use to translate those climate forecasts into market forecasts—and thus make decisions about transition risk—are loaded with uncertainty about the economic toll of climate impacts and the pace of the clean energy transition. In other words, many financial institutions won't know precisely what to do with the data on portfolio emissions even after they have it. "This is not something they're well-equipped to handle," said Rossi.

Maryland Today – April 28 – "The Ugly Side of Beauty AI" features research-related insights from Assistant Professor of Information Systems Lauren Rhue.

NPR – April 27 – Professor of Finance Michael Faulkender comments in "Did Emergency PPP Loans Work? Nearly $800 Billion Later, We Still Don't Know": Michael Faulkender, who as assistant Treasury secretary for economic policy in the Trump administration helped craft the loan program, argues that it played a much larger role, helping to save more than 18 million jobs during its early months. "I think relative to how devastating things could have been, PPP was extraordinarily successful." … Faulkender argues that without the loan program, even more people would have been dumped into the unemployment system, which was already overwhelmed by millions of laid-off workers seeking benefits... Faulkender stresses that the program was originally designed as a kind of economic lifeboat — to keep workers and businesses afloat and together for what was expected to be a brief shutdown, lasting perhaps two months.

CoinTelegraph – April 24 – Accounting lecturer Samuel Handwerger writes "NFTs and US taxes: What you should know." ... Also picked up by Investing.com, among other outlets.

TalkMarkets – April 24 – Clinical Professor of Finance David Kass gives the "Year-To-Date Percentage Returns Of 8 Largest Stocks."

Forbes – April 22 – "Understanding Social Media, The First Amendment And The Calls To Incite Violence" quotes information systems associate professor Jui Ramaprasad: "While banning users is one option, platforms are also starting to think – and should think – about how information/misinformation is spread, and which content should be privileged… When algorithms are behind this process of determining what we see on our feed – no matter what platform we are on – it is not clear that the "true" information is privileged over the false."

Science Newsnet – April 21 – "'Best White Paper' Shows Potential Way to Harness AI for a More Equitable Workplace" covers research by Associate Professor of Management Science and Statistics Margrét Bjarnadóttir… Clinical Professor of Marketing Hank Boyd gives 'Business Lessons from Europe's Soccer Turmoil' (April 22).

SiriusXM BYU Radio – April 20 – Professor of the Practice Suresh Acharya explains the global semiconductor shortage including its supply chain implications, via "Chip Shortage."

WYPR (On the Record) – April 20 – Assistant Dean of the Full-time MBA Program Nicole Coomber discusses "Navigating the Return to the Office."

American Banker – April 19 – Professor of the Practice Clifford Rossi comments in "AI Enables Banks to Spot Bias Claims in Customers' Complaints": Using AI technology to manage risk has been embedded in most financial institutions' compliance and risk management systems for years. "Risk managers identify and rank-order where hot spots are from a compliance standpoint.," said [Rossi]. Complaints that may appear unrelated to bias do not mean there is no reputational or business risk, Rossi said. Finding those specific complaints can be a challenge as well given that the CFPB received roughly 542,300 complaints last year and nearly 60% of them were about credit reporting, according to a recent CFPB report. "All this information comes in and just like in the old days, you get people looking over complaints — and some might gloss over some important contextual comments that would have been addressed if they had been elevated earlier.

TalkMarkets – April 17 – Clinical Professor of Finance David Kass gives the 'Year-to-Date Percentage of the 8 Largest Stocks.'

CGTN America – April 16 – Ralph J. Tyser Professor of Marketing Amna Kirmani discusses "How Corporations are Responding to Georgia's New Voter Laws."

Going Concern – April 14 – Accounting Lecturer Samuel Handwerger writes op-ed "Where Does Janet Yellen Want to Be Taxed?"

WNHN/Pacifica Radio Network – April 14 – Associate Professor of Accounting Nick Seybert discusses his recent research ("Recruiting Dark Personalities for Earnings Management"), via "The Attitude with Arnie Arnesen (1:30-25:30)."

Sinclair/WJLA ABC-7 – April 14 – "Companies Defend Voting Rights as GOP Lashes out Against 'Woke Corporations'" quotes Ralph J. Tyser Professor of Marketing Amna Kirmani: "It's much harder for mass-market companies like Coca-Cola or Delta to take a stand because they run higher risks of backlash from part of their consumer segment," said [Kirmani]. "Why would they do it? They do it because there's a big risk of backlash if they don't." … "There are many consumers, particularly millennials and younger consumers, who care deeply… They have been saying for several years they want corporations to represent values, presumably values with which they agree."

Consulting-Specifying Engineer Magazine – April 13 – Dean Prabhudev Konana describes, in a Q&A, "How Tech is Shifting the Educational Landscape."

SupplyChainBrain – April 13 – Professor of the Practice Suresh Acharya explains 'The Global Semiconductor Shortage.'

MarketWatch – April 12 – Charles E. Smith Chair Professor of Finance Albert "Pete" Kyle comments in "'Optimism has Huge Risks': Why New Investors, Excited by GameStop's Rollercoaster Ride, Should Rethink Their Rose-Colored Glasses": …Woo cut his rating to sell after being at hold since June 2019. He also lowered his stock price target to $10 — far below Monday's closing price of $145 — from $12, which makes him the most bearish of the seven analysts surveyed by FactSet. But this does show one thing. "Optimism has huge risks to it," said [Kyle]. "Because the last person who becomes optimistic and jumps in the stock market is the one who gets clobbered by the inevitable decline that will occur when people become pessimistic again."Kyle said it's hard to glean the full takeaway from the Schwab survey because the poll participants might already be inclined to trade in the market, and therefore have a rosy view of it. The "more naïve a trader" is more likely their expectations informed by the market's latest activity, he said…

Capital Monitor – April 12 – Professor of the Practice Clifford Rossi comments in "Climate Stress Tests are Flawed, but Here to Stay": ...As well as making clear that the first round of climate stress tests should not dictate capital buffers, banks, lobby groups and others have also raised concerns about the accuracy of a test that looks 30 years into the future, when bank balance sheets tend to be much shorter term. [Rossi], is concerned that supervisors will consider the job done and "take their eyes off the ball of the next crisis… My concern is that regulators will feel comfortable once they've ticked this off their list, but they're using scenarios that are only as good as our last crisis… Covid provided the perfect example – our adverse scenario modelling was based on a 2008-style crisis, which was nothing like what we saw in 2020. And none of our scenarios worked."

DOMESTIKA Curious Minds Podcast – April 12 – Distinguished University Professor and PepsiCo Chair in Consumer Science Michel Wedel explains the social media marketing effectiveness of Knolling (flat lay photography), via "Always be Knolling."

Science Newsnet – April 12 – Professor of Finance Michael Faulkender describes "A U.S. Corporate Tax Hike's Potential Cost on Global Competitiveness."

TalkMarkets – April 10 – Clinical Professor of Finance David Kass gives the "2021 Year-To-Date Percentage Returns Of 8 Largest Stocks."

Associated Press via Washington Post – April 8 – Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust comments in "Cash-rich Restaurateurs Take Advantage of Pandemic to Expand": When "desperation sets in for everyone," a kind of creative destruction may result, said [Rust]. Companies then look to dismantle established processes to make way for more sustainable methods of service. Before the pandemic, said Rust, many restaurants had little reason to put away cash. They often operated on models that required revenues to circulate back into the business, a feedback loop that is rock-solid if income is guaranteed... Overall, "forces are pushing for concentration… Chains are pushing out moms and pops," many of which don't have enough capital saved to weather the pandemic storm.

Maryland Today – April 8 – "Alexa, What Time Should I Take My Meds?" covers research into enhancing telehealth for patients' self-care, by Associate Professor of Management Science and Statistics Margrét Bjarnadóttir, France-Merrick Chair in Management Science Bruce Golden and doctoral student Lida Apergi.

Baltimore Sun – April 6 – 'Award-winning Luxury Men's Clothier J.S. Edwards Closing' quotes Assistant Professor of Marketing Yajin Wang: Without weddings and large events canceled and with indoor dining limited for much of the last year, there wasn't a need for luxury clothing, [Wang] said. Instead, casual wear became the attire of choice for many who have been working from home... "I do think that trend is likely to stay at least to some extent" as businesses choose to cut costs by closing office buildings after a year of working remotely has proved to be more efficient, Wang said.

Search Engine Land – April 6 – "Should You Still Advertise at the Point of Purchase? Data Says 'Yes'" assesses new research by Distinguished University Professor and PepsiCo Chair in Consumer Science Michel Wedel: These results show that advertising at the point of purchase (like on Google Shopping or Amazon) can help shoppers find the advertised product more quickly, in part by helping them eliminate products that didn't have the features they were looking for. The researchers concluded that the ads, rather than convincing shoppers to buy a certain product, helped guide them to find and buy a product they'd already decided to purchase.

Fast Company – April 5 – "Jaw-dropping Study: Executives Who Manipulate Earnings are Hired for Their Lack of Ethics" covers research by Associate Professor of Accounting Nick Seybert… Related coverage at

Ladders: "Companies are hiring bosses with these qualities for a terrible reason" (April 6).

CBC Radio – April 5 – Professor of Marketing Amna Kirmani discusses strategy behind "Big Brands [Taking] Aim at the State of Georgia's New Voting Laws."

Fortune – April 4 – Research Professor and Academic Director of the Center for Global Business Kislaya Prasad writes op-ed "Unless the U.S. Changes its Vaccine Policy, the World will Look at us Like Hoarders." … Also featured by Maryland Today: "U.S. Should Share Vaccines to Cover the Globe" (April 6).

TalkMarkets – April 3 – Clinical Professor of Finance David Kass gives "2021 Year-to-Date Percentage Returns of 7 Largest Stocks."

Associated Press via ABC News – April 1 – Associate Professor of Management and Entrepreneurship David Kirsch comments in "Biden Aims to Juice EV Sales, but Would his Plan Work?": [Kirsch] said the Biden plan isn't really a tipping point that will turn consumers from combustion to electric vehicles. "There will be some good changes that will happen because of the scale of this investment, and those should not be minimized," Kirsch said. "I think electrification was coming anyway." … Yet Kirsch says that no matter how effective Biden's plan is or isn't in fighting climate change, the spending on modernizing the transportation fleet and infrastructure is long overdue. "What we're doing is playing catch-up on some long-delayed investment," he said.

MIT Technology Review – April 1 – Assistant Professor of Information Systems Lauren Rhue discusses the popularity and implications of beauty filter software, via the podcast segment "In the AI of the Beholder."

March 2021

ScienceDaily – March 31 – "Firms Recruit Dark Personalities for Earnings Management" features new research in the Journal of Business Ethics co-authored by Associate Professor of Accounting and Information Assurance Nick Seybert. … Also covered at Phys.org, World News Monitor, others.

Philanthropy News Digest – March 28 – "Citizen-Donors of the World" examines a study by marketing professors Yajin Wang and Amna Kirmani that explores "residential mobility" as correlating with higher levels of donations to people and causes outside their local community.

Enterprise Radio – March 27 – Maryland Smith Distinguished Research Fellow and National Taiwan University professor Ming-Hui Huang discusses 'The Feeling Economy' book co-authored with Distinguished University Professor Roland Rust, via "How People Can Effectively Partner with Advanced AI in the Coming Feeling Economy."

Politico – March 26 – Professor of Finance Michael Faulkender comments in " Congress's Trillion-Dollar Question: How Many Jobs did Small-Business Rescue Save?" : One estimate by [Faulkender] put the number of jobs saved in May at 18 million. Faulkender led the Treasury Department team that implemented the program with the SBA… PPP funds relieved pressure on state unemployment insurance systems, which faced huge operational challenges, Faulkender said. He also points to the fact that the U.S. avoided losing jobs at all last May when some economists were expecting 20 percent unemployment. "We did not see the depths of what we could have seen and we recovered faster than we otherwise would have," he said.

Technical.ly – March 26 – " 8 Digital Health Trends Emerging from the Pandemic " quotes CHIDS Managing Director Kenyon Crowley: Alongside telemedicine, tools that can screen a patient at home or diagnose a symptom remotely are also showing promise, said [Crowley]. The pandemic showed "the ability to move more care services to the home environment, where appropriate," he said. "If Amazon is getting to the point where it can send a package in two to three hours, the ability of a clinical service provider to have a test at your door in a day or two is not far off."

B2B News Network – March 26 – ' Intentionally Bad Bosses ' highlights, as part of a broader roundup story, new research co-authored by Associate Professor of Accounting and Information Assurance Nick Seybert: Recruiters and human resource professionals are tasked with weeding out potentially bad bosses…except when that is exactly what higher management want. Questionable ethical standards? Narcissistic tendencies? Those qualities define a person willing to participate in manipulating earnings which can get them the job. "Dark personality traits are often framed as an accidental byproduct of selecting managers who fit the stereotype of a strong leader," says [Seybert]. "However, our research found that this is often no accident." The research found that dark personalities "can fulfill a specific nefarious purpose." If a company feels they need to inflate their earnings, then people with dark personalities are hired to do exactly that.

Medical Bag – March 25 – Senior Associate Dean Ritu Agarwal and Professor Gordon Gao comment extensively in " Provider Confusion Often the Cause of Patient Access Rights Violations " (Republished).

CNN Business – March 24 – Clinical Professor of Management and Assistant Dean of the Full-Time MBA Program Nicole Coomber shares insights into teaching her own classes remotely while managing her childrens' virtual schooling in " How Four Working Mothers are Doing a Year into the Pandemic ."

CityBizList – March 24 – " Global Opportunities for Businesses in Maryland " describes a pair of collaborative initiatives between the Maryland Department of Commerce and Maryland Smith's Center for Global Business: the Maryland Global Consulting Program and the Global Marketing Virtual Internship Program.

Financial Times – March 23 – " Change of Menu: Kraft Heinz Bets on Old Brands to Win New Consumers " quotes Clinical Professor of Finance David Kass: [Kass] said: "Everyone is looking at this. This is [3G's] largest investment, and they have a great reputation for cutting costs, but the question is how successful will they be in growing a company's top line and bottom line?" … European rivals Nestlé and Unilever "have both been innovating to some extent in the food product area", said Kass. Unlike them, Kraft Heinz has not moved into plant-based substitute meats, though Patricio points out it does make bean burgers and "protein pots."

TalkMarkets – March 20 – Clinical Professor of Finance David Kass gives the " One Year Percentage Return of 7 Largest Stocks ."

Ladders – March 18 – "Got a Powerful Boss? They Probably Have This Problem" quotes Assistant Professor of Management and Organization Trevor Foulk and summarizes his research forthcoming in the Journal of Applied Psychology: "Power is generally considered a desirable thing, as leaders often seek power, and it's very rare for leaders to turn powerful roles down," says [Foulk]. "However, this view is qualified by the fact that many leaders feel exhausted and overburdened by their work. Our work helps shed light on this paradox, as it helps us understand why leaders might want powerful positions (they achieve more goal progress and feel that their work is more meaningful), but also face substantial consequences (their jobs feel more demanding in a way that causes anxiety and physical pain)."

FIND MBA – March 17 – Assistant Dean for Part-Time MBA and Online Programs Paulo Prochno contributes to "How to Secure a Competitive Online MBA Place": Another school enjoying a bump in applications is the University of Maryland's Smith School of Business. "Some people lost jobs or were furloughed, so they decided it was a good time to start an MBA," says [Prochno]. "Others were looking at the future and thinking that two years from now, companies will be in growth mode. Also, working online has cancelled commuting, so people have more time available to do an MBA."In 2020, Smith launched a new Flex MBA program, enabling students to switch back and forth between online and on campus learning. "Those changes do make the program more attractive to new students, so the idea is to grow the whole pie," says Prochno. … Also at FIND MBA: Maryland Smith is among "Top 10 Online MBA Programs for Employer Funding" (March 17).

Women's Wear Daily (via Yahoo News) – March 16 – "Walmart and Target Push Essential Advantage" quotes Professor of Marketing Jie Zhang: "Walmart well utilized its logistic and technological strengths to expand its market position during the pandemic," said [Zhang]. "The surge in demand for online shopping, including purchases of essential products, created a great opportunity to broaden the reach of its e-commerce business to many new customers… Walmart's widespread store locations not only continued to serve a large number of American shoppers in the offline space, but also allowed the retailer to utilize stores as fulfillment centers to meet online demand and to shorten delivery times."

The Daily Beast (via Reader Supported News) – March 15 – Dean's Chair in Marketing Science P.K. Kannan comments in "Newsmax Ratings are Collapsing but Insiders Claim Victory": While some Newsmax insiders feel that the plummeting viewership is much ado about nothing, as other cable news networks also experience a post-inaugural erosion, others suggest that the fledgling network's days of hoping to compete head-to-head with Fox are all but over, and that Newsmax will inevitably return to the fringes. "I would look at it from the viewpoint of consumer marketing," said [Kannan], who has studied the dynamics of the cable industry. "Let's say you have Post and Kellogg cereals and each has a brand of raisin bran, and then a new, healthier version comes out with no sugar and some raisin bran eaters might like the healthier option even though it's bland. So they're going to focus on the consumers who want the healthier version and take them away from Post and Kellogg." … "After a while, you see that it starts dissipating. I don't think it's going to go back to the level of, say, August 2020"—when "Newsmax was not a player" and drawing a total viewership in the barely measurable 30,000 range. "But over time it will slowly erode. They will have to fight for their survival, like they were doing before."

Poets & Quants – March 15 – "Meet the Masters of Supply Chain Management" includes a profile of Maryland Smith's Angela Murca.

MBA Crystal Ball (India) – March 15 – "Best Entrepreneurship Ideas after MBA" features a Q&A with Dingman Center for Entrepreneurship Managing Director Holly DeArmond.

TalkMarkets – March 13 – Clinical Professor of Finance David Kass gives the "One-Year Percentage Return Of 7 Largest Stocks."

Wall Street Journal – March 11 – "What came before the $9 billion bet on flying taxis," references research by- Associate Professor of Management and Entrepreneurship David Kirsch on New York City's 1987-1912 electric taxi industry: In New York, the electric-taxi business boomed. In June 1898 alone, nearly 1,600 customers traveled a total of 4,400 miles, according to [Kirsch]. They paid 30 cents a mile, more than $9.75 in today's money. (Horse-drawn cabs charged 50 cents a mile.)

Tadias Magazine – March 11 – Lemma Senbet, William E. Mayer Chair Professor of Finance, explains the new African Continental Free Trade Area designed to help member states overcome chronic burdens on commerce and their economies.

Renal and Urology News – March 10 – Senior Associate Dean Ritu Agarwal and Professor Gordon Gao comment extensively through "Provider Confusion Often the Cause of Patient Access Rights Violations," including: ..Agarwal said there are numerous examples of adverse outcomes associated with lapses in health information privacy, including discrimination and denial of employment. "Unfortunately, the rules and regulations have not evolved with the rest of the healthcare industry, which has increasingly focused on patient empowerment and engagement as a key element of health and wellness." … The use of AI poses significant challenges that will need to be addressed. "Patient health data is like a gold mine," Dr. Gao said. "There needs to be more changes to HIPAA for a "fair use" of the data so the algorithms can learn from it. This can lead to better decision support for doctors, which will benefit all of us. "By no means," he continued, "are we suggesting to weaken privacy protection. Rather, by leveraging technology, we can achieve the dual goal of enhancing privacy protection and improving information sharing for better care."

Scientific American – March 9 – Professor of the Practice Clifford Rossi comments in "Big U.S. Banks May Curb Lending to Fossil Fuel Companies": "It's good for regulatory oversight, from their standpoint," said [Rossi]. "By getting ahead of this and making these declarations about these commitments, it puts them in a positive light with regard to the regulator," he added. "[They're] demonstrating that they're being proactive as opposed to waiting until it's foisted onto them." … That left observers wondering how the banks intend to make good on their commitments—or if they themselves know. "I'm not at all surprised that the description of their commitments are fairly hazy and will remain that way for some time," said Rossi, the risk management expert. "It's more of a strategic vision, maybe aspirational in some sense. The board and the CEO are saying, 'That's the direction we need to go; we want that as our target.' And now they'll circle the troops and get them marching down a path."

Business Insider – March 9 – Assistant Professor of Management and Organization Trevor Foulk's research and comments contribute to "How to tell if your personality traits are a bad match for remote work- and what research says to do about it": Highly neurotic people often have trouble disconnecting from work and the remote environment exacerbates these tendencies, says [Foulk], who's published research in this area. "In an office, it's easy for neurotic employees to see all of their co-workers packing up for the day, and think, 'It's time for me to do the same.' But now, they're not getting those visual cues as much," he says. "When you combine that with the fact that basically anytime is now work time, it can create a scenario where any minute they're not working, they feel guilty about it." If this describes you, Foulk recommends creating a social system that signals when the workday is considered "over" by your group. Perhaps you and your team members can turn off your green Slack lights at the same time; or maybe you and your favorite colleagues develop your own ritual for signing off. … (Republished by FNTalk.com).

TalkMarkets – March 6 – Clinical Professor of Finance David Kass gives the "One-Year Percentage Return Of 7 Largest Stocks."

CBS New York – March 5 – Albert Pete Kyle, the Charles E. Smith Chair Professor of Finance, comments throughout "Stimulus Check Update: Are Relief Payments Bad For The Economy?": "I would err on the side of moderation and conservatism in the sense of not make it too big… Because the dangers of doing too much are really catastrophic. The dangers of doing not enough are that you can do more…"

Nikkei (Japan) – March 5 – "Buffett, is it a shadow of mythical power? Pros and cons of deviation from reality" quotes Clinical Professor of Finance David Kass: "Mr. Buffett, who has a very optimistic outlook for the future of the United States, may not have wanted to look away from his predictions by touching Corona," said David Kass…

LSE Business Review – March 4 – Associate Professor of Management and Organization Cynthia K. Stevens co-authors "Cross-understanding will help complex and diverse teams achieve mutually agreeable solutions" … Also at Qrius (formerly The Indian Economist).

TechTarget – March 4 – "Employee-Poaching Risk Increases with Remote-Work Hiring" quotes Assistant Professor of Management and Organization Evan Starr: Workers in Washington, D.C., may no longer have to worry about noncompete agreements. Its new law broadly prohibits noncompete agreements. "The D.C. bill is among the most expansive in the country," said [Starr]. D.C.'s law imposes financial penalties on employers that attempt to impose noncompete agreements in violation of the law. The law also requires employers notify employees about the noncompete law. But remote work will challenge state boundaries, over which state noncompete laws apply, Starr said.

Bollyinside – March 4 – "Maryland Smith Experts Assess Bitcoin's Viability As A Currency And An Asset" features insights from Associate Professor of Management and Entrepreneurship Brent Goldfarb and Clinical Professor of Finance David Kass.

The Connected Enterprise (podcast) – March 3 -Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust discusses his book, The Feeling Economy, via "The Feeling Economy: Roland Rust on AI and New Business Opportunities." … Related: Rust writes guest piece, "The Feeling Economy and Customer Empathy," for StrategyDriven (March 3), and his Feeling Economy co-author Ming-Hui Huang writes, via Ms. Career Girl, "The Female Advantage: Why women will be on top when AI Rules the Business World" (March 2).

Science Newsnet – March 3 – Professor of the Practice Clifford Rossi gives insights on "Climate Risk Management for Financial Organizations."

February 2021

Washington Post – Feb. 26 – Assistant Professor of Management Trevor Foulk's research and comments help explain "Homecomings used to feel special. But that was before we spent all our time at home": In a two-week study conducted [by Foulk] at the beginning of the coronavirus pandemic, subjects reported feeling like themselves again within the 14-day span of the research. [Foulk] said most stressors are episodic — they happen and are finished, like losing a job or going through a breakup. "Because we've generally thought of stressors that way, no one ever really asked, 'Do we start recovering even while the thing is happening?'" … The study suggests that people rebound more quickly than you might expect. Despite the continued presence of the stressor, "our psychological immune system was still working in a surprisingly efficient way," Foulk wrote. … But we adapted, after a fashion. As the pandemic dragged on, Foulk said, our days came to revolve around home as they once had around work. "That's what you miss now," he said.

Maryland Today – Feb. 26 – Senior Associate Dean Ritu Agarwal explains "How COVID-19 is changing healthcare."

Forbes – Feb. 25 – Rajshree Agarwal, Rudolph Lamone Professor of Entrepreneurship, writes "How and Why To Mentor In Your Chosen Village."

ERE.net – Feb. 24 – Distinguished University Professor and David Bruce Smith Chair in Marketing

Roland Rust writes "The 'Feeling Economy' and Its Impact on Hiring" based on his book "The Feeling Economy.

Maryland Today – Feb. 24 – Accounting Lecturer Samuel Handwerger gives "4 Reasons to File Your Taxes Early" headlining Maryland Today this morning.

Sciencenewsnet – Feb. 24 – "People who move give more to global causes" covers research co-authored by marketing professors Yajin Wang and Amna Kirmani.

Maryland Today – Feb. 23 – Robert H. Smith Professor of Information Systems Emeritus Henry C. Lucas explains how "How a Patchwork of Federal IT Is Slowing Vaccinations."

SmartBrief – Feb. 22 – "Community connections help independent restaurants stay afloat amid pandemic" reviews a Maryland Business: Rebooted webinar co-moderated by Clinical Professor of Marketing Judy Frels and Washington Post food writer Tim Carman.

HealthWorks Collective – Feb. 20 – "How Will the Supply Chain Support Vaccine Distribution?" quotes Professor of the Practice Suresh Acharya: …However, many items that are regularly delivered to those vaccine destinations above also require cold storage, so proper delivery is more important than actually creating spaces to keep the vaccines cold. "if any point along the vaccine supply chain is not able to maintain the requirements of the cold chain, then we can have issues of spoilage and obsolescence," says Suresh Acharya, Professor of Practice at the University of Maryland Robert H. Smith School of Business.

TalkMarkets – Feb. 19 – Clinical Professor of Finance David Kass updates "The One-Year Percentage Return of the 7 Largest Stocks."

The Social Media Monthly – Feb. 19 – Information systems professor Jui Ramaprasad writes "How McDonald's Found a New 'Authenticity' With McRib Memes."

The Future Raise – Feb. 19 – "How Tesla's Bitcoin Play Fits into Cryptocurrency Taxation" features insights from accounting lecturer Samuel Handwerger… Also published at OLT News, Bit-Smart and Crypto News BTC.

Luzerner Zeitung (Switzerland) – Feb. 19 – Marketing Professor Jie Zhang comments in "Ski slope, aquarium and a ferris wheel: is this what the future of the American shopping center looks like?": [Zhang] points out that in the future shopping centers will have to offer consumers much more than just a shopping experience. But Zhang also says it might be years before such a mall can operate at full speed. At the moment, many people would not want to be in an enclosed space for long periods of time – let alone on a roller coaster or in an indoor pool. Operators are therefore well advised to carefully consider investments.

CNN Business – Feb. 18 – "Here's What We Can Learn from The GameStop Craze" quotes Associate Professor of Management and Entrepreneurship David Kirsch: "The real fear is that the air may be coming out of this speculative bubble and will infect other stocks," said [Kirsch]. Kirsch added that the huge rally in Tesla and the current market infatuation with so-called "blank check special purpose acquisition company stocks, or SPACs, could eventually subside. … In other words, anyone who is looking to buy or sell a financial asset has to do their homework. "It's good to democratize the stock market, but look where it leads us, … There is a need for more market literacy"

Market Realist – Feb. 18 – "Bill Gates Once Helped Steve Jobs With a $150 Million Investment in Apple" quotes Clinical Professor of Finance David Kass: "Apple's $2 trillion valuation represents about 10 percent of GDP for the U.S. and about 7 percent of the S&P 500," [Kass] told NBC News at the time. "Its iPhone is ubiquitous. It has transformed the way we live. Its ecosystem is self-sustaining."

ScienMag – Feb. 18 – "Social Tool Tracks Brand Reputation In Real Time And Over The Long Term" describes a Brand Reputation Tracker -- a framework for assessing brand reputation in real time and over time – developed by an international team of researchers including Roland Rust, Distinguished University Professor and David Bruce Smith Chair in Marketing.

The Business Monthly – Feb. 17 – "Forum on Strategic Retail Management" previews Professor of Marketing Jie Zhang moderating a Feb. 24 retail-strategy discussion with James Thomson of Buy Box Experts and Katherine Cullen and Adam Lukoskie of the National Retail Federation – as part of the Maryland Business: Rebooted webinar series.

OilPrice.com via Yahoo Finance – Feb. 17 – "Chevron Is Buffett's Latest Billion-Dollar 'Mystery' Investment" quotes Clinical Professor of Finance David Kass: "He is undoubtedly building a large position now and may reveal it in his next 13F," [Kass] told Business Insider in November. "Buffett has received confidentiality treatment several times in the past," Kass noted.

Business Creators Radio – Feb. 16 – "How Humans Can Effectively Partner with Advanced AI in the Coming "Feeling Economy" is an interview with Roland Rust, Distinguished University Professor and David Bruce Smith Chair in Marketing, based on his book, "The Feeling Economy."

Business Insider – Feb. 13 – Associate Professor of Management and Entrepreneurship David Kirsch comments in "Tesla's big bitcoin buy won't worry the SEC, experts say, and could legitimize crypto as a diversification strategy": "To me, it feels a little bit like coming up with a new story," [Kirsch] told Insider. "You don't have to buy bitcoin to accept it for payment." He also said that he saw some connections between Tesla's move and the recent battle over the stock price of GameStop, a struggling retailer whose shares were run up by a trading community on Reddit, forcing some Wall Street hedge funds that had shorted the stock to cover their positions. Kirsch expressed concern that Tesla was jumping into bitcoin soon after being included in the S&P 500 index, putting Tesla's shares into the retirement portfolios of everyday investors with retirement funds. "The risk is multiplied," he said. "It's not necessarily a legal concern, but it goes to trust in markets and stability." But a consensus does appear to have developed around Tesla's bitcoin play. "This legitimizes bitcoin for others," Kirsch said. "And it brings bitcoin into the mainstream."

TalkMarkets – Feb. 13 – Clinical Professor of Finance David Kass gives the 'One-year percentage change to date of the 7 largest stocks.'

Washington Business Journal – Feb. 12 – "For University of Maryland's new business school dean, helping first-generation students is key" introduces and profiles Prabhudev Konana as Maryland Smith's Dean.

GARP (Global Association of Risk Professionals) – Feb. 12 – Professor of the Practice Clifford Rossi comments extensively in "Risk Management Silicon Valley-Style," including: "At this point [big tech companies'] policies regarding use of their platforms seem much more like a visceral reaction to current events in terms of some of the actions being taken for whatever strategic objectives they may have, rather than a methodical exercise in risk management."

Clear Admit/Metro MBA – Feb. 11 – "New Flex MBA for Part-Time Students at Maryland Smith" reports on Maryland Smith's newly designed MBA program for part-time students taking courses through the school's Baltimore, Rockville, and Washington, D.C. locations. Also reported via Poets&Quants (Scroll down), Maryland Daily Record, others.

Forbes – Feb. 9 – Rajshree Agarwal, Rudolph Lamone Professor of Entrepreneurship, writes "Being Enterprising In Your Own World To Change The World."

The Guardian – Feb. 9 – I thought buying things would make me feel better. It didn't': The rise of emotional spending" quotes Dean's Chair in Marketing Science P.K. Kannan: … It turns out that companies know when I am weak – and this is when they target me. "Companies will know what kind of content you engage with at different times during the day," says [Kannan]. Marketers even analyse the circadian rhythms of their users and schedule their content at times when they are particularly receptive to buying things online.

MultiBriefs – Feb. 9 – Drawing from their book "The Feeling Economy," Roland Rust and Ming-Hui Huang co-author 'Are Knowledge Workers Doomed?'

Maryland Today – Feb. 8 – Marketing professors Henry C. Boyd III, Judy Frels and Amna Kirmani review the Super Bowl 55 commercials in "Super Bowl Ads That Scored—Even When the Game Didn't."

Maryland Daily Record – Feb. 8 – "'It's the future': Canton salon now accepts bitcoin payments" quotes Associate Professor of Management and Entrepreneurship Brent Goldfarb: [Goldfarb] said bitcoin's volatility makes it ineffective as an actual currency. If it's expected to go up, consumers will want to hold it until it's at its most valuable; if it's expected to go down, they will get rid of it as quickly as possible. "That's bad if you're a currency, because you really want currency to lubricate trade, not get in the way of trade," he said… Despite not believing in the bright future for bitcoin, Goldfarb noted that there is little risk in using it as part of your business model unless you put all of your money into bitcoin, which will be next to impossible unless many more companies begin to accept it as payment. "Rent isn't in bitcoin and electricity isn't in bitcoin," he said.

AMEinfo (Business news for Middle East region) – Feb. 7 – 'Electric vehicles and batteries in the driver seat in 2021' quotes Associate Professor of Management and Entrepreneurship David Kirsch: "EV entrepreneurs have figured out they can ride the Tesla wave," said [Kirsch] It's a phenomenon he thinks has all the hallmarks of a bubble, with Tesla's mind-blowing $800-billion valuation stoking imaginations.

TalkMarkets – Feb. 6 – Clinical Professor of Finance David Kass updates the "One-year percentage change of the seven largest stocks."

PR News – Feb. 5 – "Realigned CSR, Online BrandMarketing, Fun Shopping to Mark 2021" includes an outlook contributed by Michel Wedel, PepsiCo chair in consumer science:"The pandemic accelerated the shift toward online and mobile shopping. A large part of this shift will be permanent, as consumers have incorporated new behaviors into their altered lifestyles. The shift toward online is beneficial for branded products because of the trust and consistency they provide…"

WTOP – Feb. 4 – Clinical Professor of Marketing Henry C. Boyd III previews Super Bowl 55 ads in "Super Bowl commercials: Expect a different tone this year."

School for Startups Radio – Feb. 4 – Distinguished University Professor and David Bruce Smith Chair in Marketing Roland Rust and host Jim Beach discuss (31:20-53:30) Rust's book "The Feeling Economy: How Artificial Intelligence Is Creating the Era of Empathy," including the assertion: "AI does the thinking tasks. People just pushed into things where they have a differentiation advantage over AI, things like emotional intelligence and empathy."

CNET – Feb. 1 – "Reddit's AMC, GameStop surge happened because of anger over Wall Street" quotes Associate Professor of Management and Entrepreneurship David Kirsch: "In one sense, this is 'Occupy Wall Street' via the trading desk rather than from Zuccotti Park."

Food Logistics Magazine – Feb. 1 – Professor of the Practice Suresh Acharya writes guest column on "The Importance of End-to-End Supply Chain Visibility."

Diamondback – Feb. 1 – Clinical Professor of Finance David Kass comments in "UMD students profit off of GameStop gains during Wall Street frenzy": When investing in the stock market, an individual can either invest a long or a short, [Kass] said. The individual investors invested in a long, which is when a person buys shares of a company, expecting it to do well. If the prices of shares go up, the investor makes a profit. With a short, which is what hedge fund