Category: Entrepreneurship

“We Embrace New Technology”

(p. 2D) . . . , the first digital images created by the earliest digital cameras “were terrible,” Rockbrook’s Chuck Fortina said. “These were real chunky images made by big, clunky cameras.”
Viewing those results, some retailers dismissed the new digital technology and clung doggedly to film. But Rockbrook Camera began stocking digital cameras alongside models that used film, Fortina said.
“Film sales were great, but we just knew digital was going to take over,” Fortina said. As those cameras and their images improved, the retailer saw a huge opportunity. ”Instead of thinking this is going to kill our business, we were thinking people are going to have to buy all new gear,” Fortina said of the switch from analog to digital.
“By 2000, film was over,” he said. Companies that didn’t refocus their business found themselves struggling or forced to close their doors.
Today, Rockbrook Camera is constantly scouring the Internet, attending trade shows and quizzing customers and employees in search of new technologies, Fortina said. “We embrace new technology,” he said.

For the full story, see:
Janice Podsada. “More Ready than Not for Tech Shifts; How 3 Omaha-area businesses altered course and thrived amid technological changes.” Omaha World-Herald (SUNDAY, SEPTEMBER 27, 2015 ): 1D-2D.
(Note: ellipsis added.)
(Note: the online version of the story has the title “How 3 Omaha-area businesses altered course and thrived amid technological changes.”)

Entrepreneurs Creating Healthy, Tasty Meat, Without Killing Animals

(p. B2) “The next couple of years will be exciting ones,” says Joseph D. Puglisi, a Stanford University professor of structural biology who is working on meat alternatives. “We can use a broad range of plant protein sources and create a palette of textures and tastes — for example, jerky, cured meats, sausage, pork.”
“The true challenge will be to recreate more complex pieces of meat that are the pinnacle of the meat industry,” he added. “I believe that plausible, good-tasting steaks and pork loins are only a matter of time.”
Puglisi is advising Beyond Meat, a start-up that is a leader in the field, with investments from Bill Gates and both Biz Stone and Ev Williams of Twitter fame, not to mention Kleiner Perkins Caufield & Byers, the venture capital firm that backed Google and Amazon. Beyond Meat says its sales are doubling each year.
“We’re really focused on the mainstream,” said Ethan Brown, the founder of Beyond Meat, over a lunch of fake chili, meatballs and hamburgers.
. . .
“We want to create the next great American meat company,” Brown says. “That’s the dream.”
. . .
The mainstream food industry isn’t saying much publicly. But recently released documents from the American Egg Board, a quasi-governmental body, show it regarded Hampton Creek’s egg-free “Just Mayo” spread as a “major threat.” In one internal email, an Egg Board executive jokingly suggests hiring a hit man to deal with Hampton Creek.
. . .
. . . if I can still enjoy a juicy burger now and then, while boosting my health, helping the environment and avoiding the brutalizing of farm animals, hey, I’m in!

For the full commentary, see:
Nicholas Kristof. “The (Fake) Meat Revolution.” The New York Times, SundayReview Section (Sun., SEPT. 20, 2015): 11.
(Note: the online version of the commentary has the date SEPT. 19, 2015.)

John Paul Stapp Thumbed His Nose at the Precautionary Principle

(p. C7) In the early 19th century, a science professor in London named Dionysus Lardner rejected the future of high-speed train travel because, he said, “passengers, unable to breathe, would die of asphyxia.” A contemporary, the famed engineer Thomas Tredgold, agreed, noting “that any general system of conveying passengers . . . [traveling] at a velocity exceeding 10 miles an hour, or thereabouts, is extremely improbable.”
The current land speed for a human being is 763 miles an hour, or thereabouts, thanks in large part to the brilliance, bravery and dedication of a U.S. Air Force lieutenant colonel named John Paul Stapp, a wonderfully iconoclastic medical doctor, innovator and renegade consumer activist who repeatedly put his own life in peril in search of the line beyond which human survival at speed really was “extremely improbable.”
. . .
Initial tests were carried out on a crash-test dummy named Oscar Eightball, then chimpanzees and pigs. There was plenty of trial and error–the term “Murphy’s Law” was coined during the Gee Whiz experiments–until Stapp couldn’t resist strapping himself into the Gee Whiz to experience firsthand what the cold data could never reveal: what it felt like. On May 5, 1948, for example, he “took a peak deceleration of an astounding twenty-four times the force of gravity,” the author writes. “This was the equivalent of a full stop from 75 miles per hour in just seven feet or, in other words, freeway speed to zero in the length of a very tall man.”
Stapp endured a total of 26 rides on the Gee Whiz over the course of 50 months, measuring an array of physiological factors as well as testing prototype helmets and safety belts. Along the way he suffered a broken wrist, torn rib cartilage, a bruised collarbone, a fractured coccyx, busted capillaries in both eyes and six cracked dental fillings. Colleagues became increasingly concerned for his health every time he staggered, gamely, off the sled, but, according to Mr. Ryan, he never lost his sense of humor, nor did these ordeals stop Dr. Stapp from voluntarily making house calls at night for families stationed on the desolate air base.
. . .
After 29 harrowing trips down the track, Stapp prepared for one grand finale, what he called the “Big Run,” hoping to achieve 600 miles per hour, the speed beyond which many scientists suspected that human survivability was–really, this time–highly improbable. On Dec. 10, 1954, Sonic Wind marked a speed of 639 miles per hour, faster than a .45 caliber bullet shot from a pistol. Film footage of the test shows the sled rocketing past an overhead jet plane that was filming the event. The Big Run temporarily blinded Stapp, and he turned blue for a few days, but the experiment landed him on the cover of Time magazine as the fastest man on earth. The record stood for the next 30 years.

For the full review, see:
PATRICK COOKE. “Faster Than a Speeding Bullet–Really.” The Wall Street Journal (Sat., Aug. 22, 2015): C7.
(Note: first ellipsis, and bracketed word, in original; other ellipses added.)
(Note: the online version of the review has the date Aug. 21, 2015.)

The book under review, is:
Ryan, Craig. Sonic Wind: The Story of John Paul Stapp and How a Renegade Doctor Became the Fastest Man on Earth. New York: Liveright Publishing Corp., 2015.

Should You Care How Other People Perceive You?

(p. B2) Sadly, it does appear that being flawed in one area may help in others. In an article in The Atlantic titled “Why It Pays to Be a Jerk,” the author Jerry Useem quotes several studies that show that nice guys don’t usually win. Donald Hambrick, a management professor at Penn State, told the magazine, “To the extent that innovation and risk-taking are in short supply in the corporate world, narcissists are the ones who are going to step up to the plate.”
Not everyone thinks Jobs was a jerk. Eddy Cue, Apple’s senior vice president for Internet software and services, wrote on Twitter that he felt the Gibney film was “an inaccurate and meanspirited view of my friend. It’s not a reflection of the Steve I knew.”
But the black hat-white hat version of Jobs may be too confining.
In a fascinating interview last year with Graydon Carter of Vanity Fair, Jonathan Ive, Apple’s famed designer and longtime friend of Jobs, recounted a telling story. He remembered a time when Jobs had been tough — too tough, in Mr. Ive’s estimation — on his team. Mr. Ive pulled him aside and told him to be bit nicer. “Well, why?” Jobs replied. “Because I care about the team,” Mr. Ive responded. “And he said this brutally, brilliantly insightful thing, which was, ‘No, Jony, you’re just really vain,’ ” Mr. Ive recalled. “He said, ‘You just want people to like you, and I’m surprised at you because I thought you really held the work up as the most important, not how you believed you were perceived by other people.’ ”
That story and the documentary left me with me with two questions: Would you rather do something extraordinary that benefits the lives of millions of people? Or be liked by several hundred? And does it have to be an either-or question?
The answer, like Jobs, is complicated.

For the full commentary, see:
Andrew Ross Sorkin. “Decoding Steve Jobs, in Life and on Film.” The New York Times (Tues., SEPT. 8, 2015): B1-B2.
(Note: the online version of the commentary has the date SEPT. 7, 2015.)

French Billionaire Entrepreneur Starts Small and Cuts Costs

On Mon., October 13, 2014, Iliad dropped its bid for T-Mobile, after lack of interest from some of the T-Mobile board and from the majority owner, Deutsche Telekom AG.

(p. B1) Iliad wants to improve T-Mobile US’s cost structure by applying its own ultraslim cost base, under which it has kept costs to a minimum in everything from IT services to back office to equipment purchases. Iliad estimates it will be able to save about $2 billion annually by cutting out costs such as sending paper bills, and savings on equipment and IT systems, Mr. Niel said.
. . .
(p. B4) . . . before Mr. Niel can execute his American dream, Iliad has to win over T-Mobile US’s board, which could prove a formidable challenge.
. . .
He says he is sticking to the same principle that has guided his ascent from a teenage computer programmer in a working class Paris suburb to one of France’s richest men.
“I always follow the same idea: Start small and disrupt to create something big,” he said.

For the full story, see:
RUTH BENDER. “Will This Billionaire Bring $3-a-Month Phone Plans to U.S.?” The Wall Street Journal (Sat., Aug. 2, 2014): B1 & B4.
(Note: ellipses added.)
(Note: the online version of the story says it was updated on Aug. 4, 2014.)

Feds Constrain Startups

(p. A15) Virtually every state has suffered a drop in startups, which suggests that this is a national, and not a regional or state, problem.
. . .
If history is any indication, many of today’s economic heavyweights will ultimately decline as new businesses take their place. Research by the Kaufman Foundation shows that only about half of the 1995 Fortune 500 firms remained on the list in 2010.
Startups also have declined in high technology. John Haltiwanger of the University of Maryland reports that there are fewer startups in high technology and information-processing since 2000, as well as fewer high-growth startups–annual employment growth of more than 25%–across all sectors. Even more troubling is that the smaller number of high-growth startups is not growing as quickly as in the past.
. . .
Surveys by John Dearie and Courtney Gerduldig, authors of “Where the Jobs Are: Entrepreneurship and the Soul of the American Economy” (2013), show that entrepreneurs report being hamstrung by difficulties in finding skilled workers, by a complex tax code that penalizes small business, by regulations that raise the costs of doing business, and by difficulties in obtaining financing that have worsened since 2008.

For the full story, see:
EDWARD C. PRESCOTT and LEE E. OHANIAN. “Behind the Productivity Plunge: Fewer Startups; New businesses were created at a 30% lower rate in 2012 than the annual average rate in the 1980s.” The Wall Street Journal (Thurs., June 26, 2014): A15.
(Note: ellipses added.)
(Note: the online version of the story has the date June 25, 2014.)

Analyst Conflict of Interest in Predicting Tesla Stock Price

(p. A1) Just like the Internet stocks of yore, Tesla has its own Wall Street cheerleader: Adam Jonas, Morgan Stanley’s auto analyst. Jonas could not be less interested in mundane factors like earnings per share; indeed, he has had to lower his 2015 earnings estimates several times; he now predicts the company will lose $2.70 a share. But never mind: In the future that he envisions, Tesla will be the most important car company on earth.
Just a few weeks ago, in fact, Jonas raised his share price target for Tesla from $280 to $465, which would make Tesla more valuable than General Motors or Ford. Had anything fundamental changed for Tesla? Of course not!
Jonas based his new target on something he labeled Tesla Mobility, which he describes as “an app based, on-demand mobility service.” Where did he learn about Tesla Mobility? Who knows? Tesla, a company hardly averse to hype, has never acknowledged its existence.
And that’s not the worst of it. No, the worst is the timing of his call. It came days after Tesla announced that it would be issuing stock to raise yet more money — and that Morgan Stanley was among the underwriters. (The company raised close to $800 million.)

For the full commentary, see:
Joe Nocera. “The Tesla Cheerleader.” The New York Times (Sat., AUG. 29, 2015): A1 & A19.
(Note: ellipsis added.)
(Note: the online version of the commentary has the date AUG. 28, 2015.)

Belgian Government Mandates Mayo to Be No Less than 80% Fat

(p. A1) BRUSSELS–Mayonnaise here is a sauce celebre, so important that a 60-year-old royal decree governs what goes in it.
. . .
Belgian mayonnaise must contain at least 80% fat and 7.5% egg yolk. European rivals are permitted to sell mayo with a mere 70% fat and 5% egg yolk.

For the full story, see:
TOM FAIRLESS. “No Yolk, Belgian Food Producers Fed Up with Mayonnaise Rules; But effort to relax royal recipe doesn’t go down well with chefs; yellow peas.” The Wall Street Journal (Mon., Sept. 20, 2015): A1 & A10.
(Note: ellipsis added.)
(Note: the online version of the story has the date Sept. 20, 2015 and the title “In Belgium, Mayonnaise Makers Want a New Recipe; But effort to relax royal recipe doesn’t go down well with chefs; yell;ow peas.”)

Autism Is “Inseparably Tied to Innovation”

(p. 11) “NeuroTribes” is beautifully told, humanizing, important. It has earned its enthusiastic foreword from Oliver Sacks; it has found its place on the shelf next to “Far From the Tree,” Andrew Solomon’s landmark appreciation of neurological differences. At its heart is a plea for the world to make accommodations for those with autism, not the other way around, and for researchers and the public alike to focus on getting them the services they need. They are, to use Temple Grandin’s words, “different, not less.” Better yet, indispensable: inseparably tied to innovation, showing us there are other ways to think and work and live.

For the full review, see:
JENNIFER SENIOR. “‘Skewed Diagnosis; A Science Journalist’s Reading of Medical History Suggests that the ‘Autism Pandemic’ Is an Optical Illusion.” The New York Time Book Review (Sun., AUG. 23, 2015): 11.
(Note: the online version of the review has the date AUG. 17, 2015, and has the title “‘NeuroTribes,’ by Steve Silberman.”)

The book under review, is:
Silberman, Steve. Neurotribes: The Legacy of Autism and the Future of Neurodiversity. New York: Avery/Penguin Random House, 2015.

Disneyland Started as a “Nightmare” and “Fiasco”

(p. C12) Sixty years ago, on July 18, 1955, the “Happiest Place on Earth,” better known as Disneyland, opened to the public. But on that day, the former orange grove in Anaheim, Calif., was one of the most miserable places in America. A heat wave caused the park’s new asphalt to stick to people’s shoes. A gas leak forced parts of the site to close, a plumbers strike led to a water shortage, and lax security resulted in dangerous overcrowding.
Reviewing the $17.5 million theme park, a journalist wrote in a local newspaper, “Walt’s dream is a nightmare…a fiasco the like of which I cannot recall in 30 years of show life.”
Undeterred, Walt Disney added ever more attractions and innovations, transforming mass leisure from its violent origins in the ancient world to today’s amusement-park industry, with $12 billion of annual revenue in the U.S.

For the full commentary, see:
AMANDA FOREMAN. “HISTORICALLY SPEAKING; From Gladiators to Mickey Mouse: Disneyland Turns 60.” The Wall Street Journal (Sat., July 18, 2014): C12.
(Note: ellipsis in original.)
(Note: the online version of the commentary has the date July 15, 2015, an has the title “HISTORICALLY SPEAKING; From Gladiators to Mickey Mouse: Disneyland Turns 60.”)