April 30, 2016

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Sr. Lecturer Homa Bahrami
Effective Leaders Learn to Change It Up

If there’s one skill that today’s executive may want to hone, it’s the ability to adapt and transform. Homa Bahrami, a senior lecturer at UC Berkeley’s Haas School of Business, studies knowledge workers in the technology sector where flexibility is essential. She coined the term, “super-flexibility,” and has developed a playbook to teach professionals how to transform the way they organize, lead, interact, and drive change continuously. (04/29/2016)

Prof. Catherine Wolfram
Wolfram, Gertler to lead energy program to help alleviate poverty

Energy holds the power to alleviate poverty and promote economic growth for the 2 billion people without access to reliable electricity. Yet little insight exists into how countries could maximize the benefits of their energy investments to this effect while minimizing economic and environmental costs. A $19M UK grant will fund Energy for Economic Growth (EEG), a five-year global research program aimed at South Asia and Sub-Saharan Africa Energy, led by Profs. Catherine Wolfram and Paul Gertler. (04/25/2016)

Prof. Nancy Wallace
Nancy Wallace Named Chair of the Fed’s Model Validation Council

Haas Real Estate and Finance Prof. Nancy Wallace was recently named chair of the Federal Reserve Board’s Model Validation Council, a group of five academics that provides independent rigorous assessment of the Fed’s own benchmark stress testing models.  These models are used to determine the effectiveness of the individual banks’ stress test models. (04/07/2016)

Asst. Prof. Panos Patatoukas
How Manufacturers Win by Not Playing the Field

Less can be more when it comes to manufacturers and the number of business-to-business relationships they maintain. Doing business with a limited number of major customers allows manufacturers to hold fewer inventories for a shorter time, according to new research by Panos N. Patatoukas. Patatoukas says inventories comprise a significant part of a firm’s assets — as much as 25 percent for the average manufacturer — and can be costly and risky to hold as inventories can become obsolete. (04/04/2016)

Asst. Prof. Juliana Schroeder
I’d Like to Thank … Myself

When Leonardo DiCaprio accepted his Oscar for Best Actor in “The Revenant” this year, he acknowledged the hard work of the movie’s entire team. But such generosity isn’t always the case. On large teams—such as big film production crews—size can lead people to inflate their own contributions while diminishing their team members’ work. A new study by Juliana Schroeder finds that the bigger the teams, the more individual members of a team “over-claim” their contributions. (03/07/2016)

Want to Be Seen As a Leader? Get Some Muscle.

Forget intelligence or wisdom. A muscular physique might just be a more important attribute when it comes to judging a person’s leadership potential. Study participants in a series of experiments conducted by Cameron Anderson and Aaron Lukaszewski at Oklahoma State University, overwhelmingly equated physical strength with higher status and leadership qualities. (02/24/2016)

Prof. Andrew Rose
How Hollywood Beats Military Might in the Global Marketplace

Pop culture assets like Star Wars, Taylor Swift, and the NBA not only contribute to ramping up American appeal, they also increase demand for American goods aboard. Economists call this “soft power,” the ability to attract and positively influence others. Even though countries tend to wield “hard power” by flexing their economic or military strength, a new study by Andrew Rose found that countries admired for their soft power tend to sell more exports in the global marketplace. (02/01/2016)

Andreea Gorbatai
Women Have the Edge in Crowdfunding

Academic research shows females to be at a marked disadvantage in getting bank loans, venture capital funding, and other sources of money needed to grow a business. But, in one venue, women seem to have a notable edge—the fast-growing world of crowdfunding. (01/26/2016)

Three Haas faculty named among world’s most cited researchers

Henry Chesbrough, Stefano DellaVigna, and Ulrike Malmendier have been named among the 2015 Thomson Reuters Highly Cited Researchers, according to “The World’s Most Influential Scientific Minds 2015,” published Jan. 14. The three are among 70 global researchers honored in the field of economics and business, and among 38 UC Berkeley researchers from a variety of fields on the list. (01/20/2016)

Assoc. Prof. Gustavo Manso
Why Entrepreneurs Don’t Lose

Tempted to launch a new business? Entrepreneurs statistically fail more often than not, but by research Gustavo Manso suggests that the financial risk is not as great as previously thought, as failed entrepreneurs can return to the salaried workforce and recover their earnings quickly. (01/19/2016)

Negotiation Tip: Gain Sympathy and Gain the Advantage

Is sympathy considered a sign of weakness or is there a place for sympathy in negotiations? Research by Prof. Laura Kray suggests that when one party conveys information with emotional reasons behind it, the other party is more likely to develop sympathy, be more willing to compromise, and find creative solutions. (12/15/2015)

Assoc. Prof. Rui de Figueiredo
Channeling Influence: How Companies Use Campaign Contributions To Compete

After the 1996 telecom deregulation, American cable, broadband, and phone companies became highly strategic in their campaign finance strategy, using donations to state legislators to gain advantage with appointed regulators.And when their competitors started opening their wallets, companies and PACs became even more generous, according to new research by Assoc. Prof. Rui J.P. de Figueiredo. (11/30/2015)

Prof. Terrance Odean
Stock Market Bubbles: Investor Emotions Fuel the Frenzy

In the late 1990s, investor emotion played a significant role in inflating the dot-com bubble and ultimately, making a lot of people rich. Emotional excitement not only creates stock market bubble but research by Prof. Terrance Odean shows that the frenzy actually causes them to grow. For the study’s experiment, participants’ emotions were stimulated by watching popular action films—such as Mr. and Mrs. Smith with Brad Pitt and Angelina Jolie playing married assassins—prior to making buying or selling stocks. (10/27/2015)

Prof. Richard Sloan
Flagging a Stock Price Crash

When Barracuda Network’s stock price tumbled almost 35 percent in one day last September, a new system developed by Prof. Richard Sloan had already flagged the signs that led to the fall. The new crash-risk system, based on a study of 14 years of stock data, aims to help investors actively avoid price crashes. The system is based on flags which researchers developed from variables associated with stock price declines. When a company receives three or more flags, it is significantly more likely that its stock price will crash. (10/12/2015)

Asst. Prof. Sameer Srivastava
Workplace Mentors Benefit Female Employees More Than Men

The success of online networking sites such as LinkedIn illustrates the popularity of building a wide-ranging contact list. Yet when it comes to raising one's profile within the workplace, female employees stand much to gain from formal, face-to-face mentoring programs, according to a study that finds women gained more social capital from affiliation with a high-status mentor than their male counterparts. (10/12/2015)

Frequently Discounting Maximizes Retailer Revenues

Study finds that a “discount-frequently” pricing strategy allows retailers to charge high prices when demand is high and is also flexible unlike an “every day low price” strategy or “static pricing” to better match supply with demand. The result: increase revenue and customer loyalty. (09/21/2015)

Why Voters Often Opt For Bad Policies

Why do voters often opt for bad policies? Is it because the media and the schools haven’t done a good job educating them, or is it the fault of politicians who pander to short term electoral considerations? A novel experiment by Professor Ernesto Dal Bó, the Phillips Girgich Professor of Business at UC Berkeley’s Haas School of Business, and his co-authors pinpoints another cause. (08/27/2015)

Prof. Ming Hsu
How to Trust What Your Customers Say About Your Brand

Marketers would love to get inside the consumer’s brain. And now they can. Marketing Profs. Ming Hsu and Leif Nelson are using functional magnetic resonance imaging (fMRI) to see if what people say about brands matches what they are actually thinking. With Yu-Ping Chen, Berkeley-Haas Ph.D., the researchers used fMRI to test a classic marketing proposition that consumers associate human-like characteristics to brands. (08/04/2015)

Prof. Ross Levine
How Stock Market’s “Spare Tire” Keeps Economy Churning During Crises

Stories about corrupt CEOs raiding the corporate piggy bank would appear to be the best argument for shareholder protection laws known as “anti-self-dealing laws.” But there’s another bonus. A new study by Ross Levine finds in countries with strong legislation to prevent fraudulent corporate behavior, banking crises have a less severe impact on firms and the economy in general. (07/27/2015)

Associate Prof. Dana Carney
If You Demonstrate that “Black Lives Matter,” Others Will Too

The “Black Lives Matter” hashtag evolved as a call for social change aimed at increasing the conversation about racial inequality. But what if social change was less dependent on talking and more dependent on nonverbal communication? New research by Dana Carney finds observing a white American engage in small nonverbal acts such as smiling more often, making eye contact for longer periods of time, and standing in closer proximity to a black American makes the observer less prone to racial biases. (07/07/2015)

Asst. Prof. Sameer Srivastava
Female Managers Do Not Reduce the Gender Wage Gap, Study Finds

Working women are “leaning in” and supporting more females in leadership roles, but a new study finds that having a female manager doesn’t necessarily equate to higher salaries for female employees. In fact, women can sometimes take an earnings hit relative to their male colleagues when they go to work for a female manager. (06/11/2015)

Chesbrough Book Explores New Frontiers in Open Innovation

In his new book, Haas Adjunct Professor Henry Chesbrough and his co-authors extend their analysis of open innovation to include socially focused non-profits, high-tech “platform” companies like Symbian, and the difficulties businesses have in capitalizing on the fruits of internal research and development that fall outside their core competencies. (06/05/2015)

Prof. Cameron Anderson
We All Want High Social Status

Not everyone may care about having an impressive job title or a big, fancy house but all human beings desire a high level of social status, according to a newly published study from Cameron Anderson. “The desire for status can drive all kinds of actions, ranging from aggression and violence, to altruism and generosity, to conservation behavior that benefits the environment. says Anderson. The more we understand this basic driver, the more we can harness it to guide people’s decisions and actions to more productive paths.” (05/18/2015)

The Cost of Staying Cool When Incomes Heat Up

The continual increase in global incomes means people are living more comfortably, including having the ability to afford air conditioning. Staying cool is good but there’s a wealth of fallout. The demand for more “AC” will also cause consumers to use more electricity causing stress on energy prices, infrastructure, and environmental policy, according to a new study by Lucas Davis and Paul Gertler. (04/27/2015)

Asst. Prof. Adair Morse
UC Berkeley Takes Lead in Understanding Crowdfunding Revolution

Crowdfunding is changing the future of finance by fostering the exchange of capital through new technology channels and by providing a more equal playing field for funding investors and recipients. In April 2015, researchers at UC Berkeley’s Haas School of Business and the Fung Institute for Engineering Leadership established CrowdBerkeley for the purpose of better understanding crowdfunding. (04/15/2015)

Assoc. Prof. Terry Taylor
Saving Lives by Making Malaria Drugs More Affordable

Research by Prof. Terry Taylor, forthcoming in Management Science, determines that the “shelf life” of malaria-fighting drugs plays a significant role in how donors should subsidize the medicine in order to ensure better affordability for patients. (04/06/2015)

Incentives that Lead to a Better-Trained Workforce

A one-time outcome-based financial incentive, if based on proven psychological techniques, could help workers embrace a long-term and sustained interest in training,says Teck Ho, the William Halford Jr. Family professor of marketing at Berkeley-Haas. (03/16/2015)

Assoc. Prof. Zsolt Katona
Content Creators Leave Social Networks When Messaging Gets Too Easy

It’s not much harder or more expensive to send a tweet or a Facebook post to hundreds or even thousands of people than to just a handful. So you’d think that the ease of communicating with lots of people via social networks would result in more and more people sharing their thoughts, political views, and cat videos.But that’s not the case, say Associate Prof. Zsolt Katona and Prof. Ganesh Iyer at UC Berkeley’s Haas School of Business. (02/27/2015)

Asst. Prof. Clayton Critcher
Marketing Prof. Clayton Critcher Honored with SAGE Young Scholars Award

At Berkeley-Haas since 2010, Marketing Prof. Clayton Critcher continues to build his career by studying how people navigate life as economic, political, and moral beings and by shedding light on consumer behavior.In recognition of his body of research, Prof. Critcher has received a 2015 SAGE Young Scholars Award from the Foundation for Personality and Social Psychology (FPSP). (02/09/2015)

Asst. Prof. Sameer Srivastava
Keep Your Enemies Close? Study Finds Greater Proximity to Opponents Leads to More Polarization

Encouraging adversaries to have more interpersonal contact to find common ground may work on occasion, but not necessarily in the U.S. Senate, according to research co-authored by Sameer B. Srivastava, assistant professor, Haas Management of Organizations Group. (02/01/2015)

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