By Ser Jing Chong - September 27, 2012 | Tickers: AMZN, AAPL, NFLX, SBUX | 0 Comments

Ser Jing is a member of The Motley Fool Blog Network -- entries represent the personal opinions of our bloggers and are not formally edited.

Quality of managements a very important factor in determining the success of an investment, along with the quality of the business and its valuation. Usually, when discussing good management, words like integrity, capital allocation and visionary are thrown into the mix. While it is true that managements who are honest and upright, able to invest capital appropriately and who can prepare their business for changes in consumer and economic conditions are important, there seems to be another factor that is not discussed as much the ability to Adapt.

In Tim Harfords excellent book, Adapt: Why Success Always Starts with Failure, he highlights the importance of adopting a trial-and-error process for organizations in dealing with the complexities of the modern world. Organizations should go through a stage of learning, variation and selection. In learning, organizations should have leaders who are willing to listen to feedback coming from people leading the efforts from the ground and make adjustments to their strategies. In variation, the organization must be allowed to experiment and try out various ideas on a scale that would be not be disastrous should the ideas fail. In selection, the leaders of the organization must be able to come up with better feedback loops to know how existing and new operations are faring in essence, they cannot be shielded in their ivory towers, which ties back to the idea discussed in learning. These three principles form the idea behind the ability to adapt.

When these three principles are translated into a business setting, it would mean that companies do not solely depend on their leaders to come up with a path to success but rather, a companyshould beable to adapt as a whole for a greater shot at prosperity. That is where a companys management can be crucial to a companys success this might seem paradoxical, but please bear with me for a while. For a company to be able to adapt, its management must first set the right tone, being willing to make quick changes and learn from what is actually happening on the ground. So, even though management should not always be counted upon to come up with breath-taking visionary plans for a companys future, they should be counted upon to set the right framework for the company to adapt by being able and willing to make changes in a trial-and-error process. In finding out what actually works, resources are then much better allocated.

Starbucks (NASDAQ: SBUX)actually provided a great example of how top management can allow the company to adapt. Back in 2005 to 2007, Starbuckss ex-CEO Jim Donald was caught up with expanding Starbuckss store count even though the expansion efforts were becoming unprofitable. Starbucks opened a total of 2505 stores from FY2005 to FY2007 and even though earnings had grown by a cumulative 19.3%, comparable store sales (comps) growth in the US fell to 4% from a high of 11% in FY 2004. Comparable store sales are a very important metric for Food & Beverage retail companies and the slowdown in comps growth started to show cracks in Starbucks policy of indiscriminate expansion. Starbucks founder Howard Schultz had to send a letter to Donald to highlight his concerns about the commoditization of our brand. If Donald could learn, he might have caught on to the deteriorating Starbucks experience from his ground staff. Schultz has since been shown to be very perceptive towards how customers perceive the Starbucks brand when they walk into a store with moves such as changing the way breakfast sandwiches were prepared so as to avoid the smell of food overpowering the aroma of coffee and decreasing the amount of automation during the coffee making process to infuse that human touch into the Starbucks experience.

In variation and selection, Starbucks recently spent $100 million to acquire LaBoulange Bakery in an effort to improve the core food offerings for Starbucks. This seems to be a classic trial-and-error process where a small amount of resources (for a company generating revenues north of $11 billion in FY2011, $100 million is a relatively small amount for an acquisition) is devoted to a project to test for feedback. Starbucks also spent $30 million to acquire Evolution Fresh, a company that sells premium, high-quality fresh fruit juices in a bid to enter the juice market. After the acquisition, they rolled out the juices into existing Starbucks stores to gauge demand before deciding to open their first stand-alone Evolution Fresh store in Bellevue, Washington. Again, management gauged demand in the Bellevue store before deciding to open a2nd one in Downtown Seattle. These calculated moves in addition to other projects like the Verismo machine, shows how Starbucks is trying to adapt. It has resulted in business success judging by how revenue and earnings grew by a cumulative 24% and 86% respectively from FY2007 to FY2011 while the first 9 months of FY2012 has already shown a 14.6% and 15.5% increase in revenue and earnings respectively compared to the corresponding period in FY2011. More importantly, comps growth in the US has increased to 8% in FY2011.

Netflix (NASDAQ: NFLX)also displays a tremendous ability to learn based on their data-collection of subscribers viewing habits. This allows them to find out what makes a program popular and they can use that data to decide on content spending and then judge the wisdom of their decision through any changes in subscribers viewing habits as well as subscriber count. Yes, Netflixs stock price collapsed from a high of $300 in July 2011 to $56 in September 2012, however, the business performance of Netflix has been outstanding -number of subscribers grew from 857 thousand in FY2002 to 28 million in Q2 2012.

Management of Netflix has also adopted a great variation and selection strategy by spending not more than 5% of its content budget on original programming. Netflix wants to use its huge algorithmic data set to try and predict what kind of as-yet-unmade original programs would be popular and then finance the production of such programs it is Netflixs attempt to produce highly sought after original content that can drive subscriber growth and retention. By limiting the budget to only 5% of its planned spending on content, it allows Netflix the freedom for trial-and-error without catastrophic consequences should the foray into original content fail. Furthermore, the potential for rewards are good based on Netflixs predictive algorithms and the success of their first original production, Lilyhammer. It would be interesting to see how Netflix continues to adapt and strive for business success.

There are other great success stories out there such as Apple (NASDAQ: AAPL)adapting to allow3rd party App developers into Apples ecosystem through the App Store. Steve Jobs initially refused 3rd party App developers in the original iPhone and the App Store was only functional a day prior to the release of the iPhone 3G. Jobs was widely acclaimed to be a visionary but even he was capable of adapting to what was happening on the ground and cater to customers wants without posing any potential for long-lasting damage to Apple as the App Store was merely a conduit for developers and users and Apple did not have to sink in large costs to set the whole thing up. The App storenow hasmore than 700 thousand apps for download and has definitely helped to strengthen Apple's iOS ecosystem.

Originally posted here:
These Companies Adapted Their Way to Success

LOS ANGELES, Sept. 26, 2012 /PRNewswire/ -- Cameron Brock, leading personal injury attorney in Los Angeles, believes that after an accident, you deserve someone in your corner. He thinks you should pursue justice even if the defendant in your case says you share some of the fault, and the State of California agrees with him. As a Law Firm with a 97% success rate, and a no-win-no-pay plan for every case, calling The Law Offices of Burg & Brock when you may share some fault is the smartest thing you can do.

An interesting legal precedent was set in Maryland that caused personal injury law to be a little tougher on victims than it is here in California for over 150 years. The idea of "contributory negligence" was first applied to a Maryland case in 1847 when a plaintiff fell into an opening near the defendant's cellar window. The plaintiff's leg was broken in the fall, and a lawsuit ensued. However, the defendant successfully argued that the plaintiff could have used "reasonable care" to avoid the accident. Thus whatever construction or maintenance issue was primarily to blame, the plaintiff's own contribution of negligence made it impossible to win damages. Today, the position of the Maryland Supreme Court seems to be softening on this issue.

A leading personal injury lawyer Cameron Brock is aware that defendants will often claim that partial fault on the part of a plaintiff makes them somehow immune to paying a settlement. They may even suggest that the law is on their side, as though the Maryland law applies. Particularly large organizations might be eager to point out the ways in which your case is unwinnable because their huge team of lawyers will inevitably defeat your case on the grounds that some of the fault is yours, but when you have Cameron Brock the finest personal injury lawyer in Los Angeles you won't have to feel intimidated.

If this case sounds anything like yours, fear not. A different legal precedent ensures that you're much more protected in the Golden State. In a 1975 case called Li vs. Yellow Cab Co., a car accident for which defendant and plaintiff shared unequal portions of fault would have, according to 1975 law, prevented the plaintiff from receiving damages. Fortunately, the California Supreme Court ruled that the old law was out of touch, and that something called "comparative" negligence came into play. The plaintiff was, apparently, able to "recover," or get some form of payment.

For an official legal opinion, and to set your case in motion, go to http://www.legaldefenders.com or call 1 (888) 509-2998 to get you free consultation now.

PR Submitted by http://www.cyberset.com

See more here:
According to Law Offices of Burg & Brock, You Can Win Damages Even if the Accident Was Partly Your Fault

Real Madrid winger Angel Di Maria believes that he has become the player he is today as a result of his coach Jose Mourinho.

The Argentina international was signed from Portuguese side Benfica in 2010 and has enjoyed two successful campaigns with the Spanish capital outfit, guiding them to Copa del Rey and La Liga triumphs. He has already assisted five goals this season, as he looks to build on last term's tally of 17.

"The day he told me to come, I was at the World Cup and I wasn't doing very well but he kept trying and I think that most of what I am doing today is thanks to him and I try to repay that with hard work every day," Di Maria told reporters.

Having tasted domestic glory, Di Maria admits the Champions League would be the ultimate reward but insists Los Blancos are determined to challenge on all fronts, with the Supercopa already in the bag.

"The first year with Mourinho, we won the Copa then La Liga a year later, and I wish this year that we are able to win not only the Champions League," he added. "We are going to fight for every title as we are Real Madrid and that is what we have to do. We will see what we end up with."

Real Madrid has experienced a slow start to the season, winning only two of its five opening league matches and allowing fierce rival Barcelona to open up an eight-point lead.

Nonetheless, Mourinho's side will be hoping to close that gap when it entertains Deportivo La Coruna at the Santiago Bernabeu on Sunday.

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Original post:
Di Maria puts personal success down to Mourinho

KANSAS CITY, MO (KCTV) -

In a unique effort to keep truant kids in class, a judge is heading to a Kansas City school to hold court.

The first day of the Success Court program was cut short a week prior because someone phoned in a bomb threat, but Wednesday they will start again. The program started because too many students are skipping school at Northeast High School.

There are no desks and no teachers inside one Northeast High School room. It was a store room that has recently been transformed into a Success Courtroom. The judge works for free to help troubled teens who are cutting class.

"Parents are not engaged in their student's educational journey. You have problems in the community dealing with gangs, substance abuse, domestic violence. These kids are in that element," said Executive Director of Student Intervention Luis Cordoba.

To stop negative influences, the school district modeled the Success Courtroom program after the Independence School District's.

"We focus on those kids that are high at-risk, this is a prevention program where parents say, 'I'm having a challenge getting my kids to school, and yes, I know they are not achieving academically,'" Cordoba said.

The program aims to get troubled teens back on the right track. It focuses on kids with 60 to 80 percent attendance, disruptive behavior and lack of family involvement. It is a voluntary program that requires weekly sessions at 6:30 a.m. Wednesdays. To date, 10 students and their parents are participating.

"I'll use my own personal experience. I too was a child labeled as learning disabled. I too was a child that didn't like coming to school but, if you surround yourself with positive mentors, it only took one teacher to say, You know what? You can do it,'" Cordoba said.

The weekly sessions scheduled for seventh- and eighth-grade students are structured to promote education and social skills, something the kids will miss if they're absent from regular classes.

Original post:
Success Court a unique effort to keep kids from habitually skipping class

SCHILLER PARK, Ill.--(BUSINESS WIRE)--

Life Fitness, global leader in commercial fitness equipment manufacturing, today released its 2012 Fitness and Technology Survey, which found nearly three-quarters of regular exercisers use some type of technology device during their workouts. More than half of respondents consider themselves more successful at achieving their weight and fitness goals because of technology. The new survey evaluated the habits of exercisers from seven countries who own smartphones or tablets and exercise at least twice a week.

Technology is integrated into so many aspects of our lives today, but this report is the first time weve been able to show just how plugged in exercisers are today and what access theyd like to have tomorrow, said Chris Clawson, president, Life Fitness. This is vital intelligence for fitness facilities around the world to help them understand what tech tools motivate their members to continue exercising, as well as retain their memberships.

A sampling of results is listed below. To view the full report and methodology, visit http://www.LifeFitness.com/Survey.

Exercisers already plugged in

Tuned in and toning up

Keeping pace with young, tech-savvy exercisers

For more information on Life Fitness visit http://www.LifeFitness.com.

About Life Fitness

Life Fitness is the global leader in commercial fitness equipment. The company manufactures and sells strength and cardiovascular equipment under the brand names Life Fitness and Hammer Strength and distributes its equipment in more than 120 countries. Headquartered outside Chicago, in Schiller Park, Ill., Life Fitness is a division of Brunswick Corporation (BC).

Originally posted here:
New Life Fitness Report Links Technology to Workout Success

KUALA LUMPUR, Malaysia, Sept. 26, 2012 /PRNewswire/ --The rising green consciousness in Asia Pacific is generating demand for natural products, and the personal care active ingredients market has been cashing in, especially with synthetics coming under scrutiny for its lack of sustainability. Customers' growing awareness and affinity for natural ingredients, higher affordability, and environment consciousness is turning them toward premium natural personal care products.

New analysis from Frost & Sullivan (http://www.chemicals.frost.com), Strategic Analysis of Asia-Pacific Personal Care Active Ingredients Market, finds that the market earned revenues of US$116.6 million in 2011 and estimates this to reach US$176.4 million in 2017.

"Technological innovations are giving market participants a competitive edge by enhancing the ingredients' functionality," said Frost & Sullivan Senior Research Analyst Dr.Nandhini Rajagopal. "Following the success of the new ingredients, manufacturers are replacing traditional materials with innovative ingredients; for instance, light emollients are replacing some silicon products in final formulations."

The cosmetics industry is riding a crest due to the higher spending power of the people in the region. As the Asia Pacific is expected to be economically strong for the next few years, the demand for cosmetics, and thereby, active ingredients, is likely to be high.

Meanwhile, changing lifestyles and poor food habits are also altering strategies in the personal care active ingredient market. Premature aging due to lifestyle habits has created a new target group of 27-40 year olds for personal care products.

Apart from these shifting patterns, the biggest challenge faced by the active ingredient suppliers in the Asia Pacific is the smuggling and counterfeiting of ingredients. They are also significantly pegged back by competition from low-priced Chinese products.

As these illegal products evade import duty and sales tax, their suppliers can afford to price them competitively and still gain huge margins, placing enormous pressure on legitimate suppliers.

Countries need to design strict regulations and enforce adherence to eliminate the threat from counterfeit and smuggled personal care products. Further, suppliers could also establish local manufacturing facilities to mitigate the effects of this challenge.

"Strategic relationships between manufacturers will also help synergise their strengths and overcome individual weaknesses," noted Rajagopal. "While vertical integration of industries can result in higher margins, horizontal integrations are expected to expand the product line."

Such alliances have been useful to the majors operating in this segment, and could be replicated by other participants.

Read more:
Frost & Sullivan: Natural Ingredients' Success Alter Business Plans in the Personal Care Active Ingredients Market

MINNEAPOLIS and ST. PAUL, Minn., Sept. 25, 2012 /PRNewswire/ --Although some Americans will celebrate National Ask a Stupid Question Day on September 28, financial questions plague many people throughout the year. Remind yourself that when it comes to providing for your future, there is no stupid questionthen read on.

"Financial matters can seem intimidating to some people, so they shy away from asking honest questions," said Jim Sathre, Senior Vice President at M&I, a part of BMO Financial Group , "As bankers, we welcome the opportunity to help people get answers to their financial questions."

Here are a few common financial questions:

Do I really need to create a monthly or yearly budget? Yes! Creating a budget prevents you from spending more than you earn. By keeping track of what you spend, you'll be able to see where and how you spend your money, not just how much of it you spend.

How do I start paying off debt? First, stop increasing it. Stick to the budget you just setbe realistic, but if you're paying $90 a month for a gym membership you never use, put that money toward paying down debt. Make a list of the debts you owe and when they must be paid. Next, prioritize them. Start with the debt with the highest interest rate. If the bills are past due, they should be paid first. Delinquent payments negatively affect your credit score, and your credit score affects, well, everything.

Do I have the proper amount in my emergency fund? Simply put, if your "emergency fund" is your credit card, the answer is no. Credit cards are great for things if you have the money to pay them off at the end of the month and even help build your credit score if it needs a boost. An emergency fund prevents you from having to use high interest credit cards unexpectedly. Start building your emergency fund by making it part of your monthly budget. Rule of thumb: it should be able to sustain your living expenses for three to six months.

Should I set money aside for future investments? Planning ahead can save you from tons of stress later. By thinking into the future about what large purchases you may want to make, you can set savings goals to help you earn things you want on your own terms.

"Decide on a fixed dollar amount to set aside from each paycheck to put in a savings account you know you will not touch," recommends Sathre. "When the time is right, you will have accrued interest and saved your money for the perfect house, vacation or new car."

Should I overpay my mortgage? There are many benefits to overpaying your mortgage. You will be able to pay the principal amount of your mortgage and accrue less interest. Keep in mind, though, that you should pay down debts with higher interest rates first.

Handling money can be confusing for anyone, but asking the right questions can lead to financial success. When in doubt, remember that the only stupid question is the one that you don't ask.

Read the original:
Asking The Right Questions Can Lead To Financial Success

Support will increase Junior Achievement's Economics for Success reach and impact for Canadian students

TORONTO, Sept. 25, 2012 /CNW/ - Junior Achievement of Canada and Economical Insurance are pleased to announce a new national partnership focused on encouraging Grade 8 students to stay in school and acquire the knowledge and skills needed for their future success. Under the new partnership, Economical Insurance is providing $100,000 for volunteer support for Junior Achievement's Economics for Success program delivery in ten locations* across Canada.

Junior Achievement's Economics for Success program is an interactive program that allows students to examine their future and explore different opportunities for their own success. Inspiring volunteer mentors from Economical will visit the classroom and share their experience in order to help equip students with the skills needed to define their own positive future plan.

"Thanks to Economical's investment, Junior Achievement can continue to inspire today's young people to stay in school, become financially literate and become the leaders for tomorrow," said Stephen Ashworth, president and CEO (acting), Junior Achievement of Canada. "Our mentor volunteers from Economical play a crucial role in helping today's students become better prepared for the workforce and be successful in life."

"I can't say enough good things about this program that I participated in as a volunteer early in my career," said Karen Gavan, Economical's president and CEO. "It's a great program that helps our youth realize their full potential by understanding the importance of budgeting, investments, and business finance and staying in school to better their chances of achieving the standard of living and lifestyle that they aspire to. And our volunteers seem to get more out of the experience than they give from interacting with students and seeing their enthusiasm for learning new skills from someone from outside the classroom."

Junior Achievement is the largest youth business organization in Canada and plays an important role in developing Canada's future leaders by providing them with the confidence and knowledge needed to define personal success, enhance their workforce readiness and pursue their dreams. Last year alone, more than 226,000 young Canadians experienced a Junior Achievement program from over 13,000 committed business mentors. Junior Achievement programs, including Economics for Success, are delivered by volunteer mentors to bring the business world experience into the learning environment.

"Support from Economical will ensure greater delivery, reach and impact of Junior Achievement by building the tools and knowledge for our students," said Stephen. "Junior Achievement is thrilled to be partnering with Economical to make a positive impact on young Canadians in communities across Canada."

About Junior Achievement of Canada

For more than 55 years, Junior Achievement has inspired and prepared more than 4 million youth to succeed. Through partnerships with both large and small organizations, as well as individual business leaders, Junior Achievement of Canada is able to inspire and empower young achievers by providing programs that prepare them for the workforce, educate on the importance of financial literacy and encourage youth's entrepreneurial spirit. For more information, visit http://www.jacan.org.

About Economical Insurance

Read the rest here:
Economical Insurance® invests $100,000 to prepare young Canadians for their future success

CHICAGO, Sept. 25, 2012 /PRNewswire/ -- Although some Americans will celebrate National Ask a Stupid Question Day on September 28, financial questions plague many people throughout the year. Remind yourself that when it comes to providing for your future, there is no stupid questionthen read on.

"Financial matters can seem intimidating to some people, so they shy away from asking honest questions," said Julie Curran, Regional President, BMO Harris Bank. "As bankers, we welcome the opportunity to help people get answer to their financial questions."

Here are a few common financial questions:

Do I really need to create a monthly or yearly budget? Yes! Creating a budget prevents you from spending more than you earn. By keeping track of what you spend, you'll be able to see where and how you spend your money, not just how much of it you spend.

How do I start paying off debt? First, stop increasing it. Stick to the budget you just setbe realistic, but if you're paying $90 a month for a gym membership you never use, put that money toward paying down debt. Make a list of the debts you owe and when they must be paid. Next, prioritize them. Start with the debt with the highest interest rate. If the bills are past due, they should be paid first. Delinquent payments negatively affect your credit score, and your credit score affects, well, everything.

Do I have the proper amount in my emergency fund? Simply put, if your "emergency fund" is your credit card, the answer is no. Credit cards are great for things if you have the money to pay them off at the end of the month and even help build your credit score if it needs a boost. An emergency fund prevents you from having to use high interest credit cards unexpectedly. Start building your emergency fund by making it part of your monthly budget. Rule of thumb: it should be able to sustain your living expenses for three to six months.

Should I set money aside for future investments? Planning ahead can save you from tons of stress later. By thinking into the future about what large purchases you may want to make, you can set savings goals to help you earn things you want on your own terms.

"Decide on a fixed dollar amount to set aside from each paycheck to put in a savings account you know you will not touch," recommends Curran. "When the time is right, you will have accrued interest and saved your money for the perfect house, vacation or new car."

Should I overpay my mortgage? There are many benefits to overpaying your mortgage. You will be able to pay the principal amount of your mortgage and accrue less interest. Keep in mind, though, that you should pay down debts with higher interest rates first.

Handling money can be confusing for anyone, but asking the right questions can lead to financial success. When in doubt, remember that the only stupid question is the one that you don't ask.

See the article here:
Financial Success Comes from Asking Questions

By: Kelly Chen

Updated: 9:47 p.m. ET

On Monday we begin American Graduate Week with a panel discussion moderated by senior correspondent Ray Suarez. We hear from several former at-risk students who share their personal stories and lessons learned on how they overcame their situations.

The panel includes:

Victor Rios, a former gang member turned sociology professor who mentors and studies at-risk youth. In an earlier NewsHour interview, Rios explained the importance of having someone take an interest in his life early on. "It was important for me to hear an adult tell me, 'Listen, we know you are a mess-up, we know you are a dropout, but we still believe in you."

Watch his story here:

Adam Steltzner may have led the landing team for the rover Curiosity on Mars, but he almost didn't make it to his high school graduation. Stelzner, now popularly known as the NASA engineer with the Elvis hair, struggled throughout school. "I passed my geometry class the second time with an F plus, because the teacher just didn't want to see me again," he told NPR. When adults told him he'd never amount to anything, he prioritized a life of sex, drugs and rock and roll. It was science -- the constellation Orion, in particular -- that later inspired him to go back to school and pursue engineering.

Stephanie Krauss: At 15, the self-described "punk kid from New Jersey," enrolled in rehab; she left a changed woman. Despite a troubled home life and chronic truancies in school, Krauss managed to pass the GED and by 18, she was a college graduate. She is now the president of Shearwater Education in St. Louis, which re-engages young adults back to school. Of the 75 students at Shearwater Education, half of them are parents, a quarter are actively homeless and a quarter are currently in foster care, says Krauss.

Watch her story courtesy St. Louis TV:

Original post:
Former Dropouts and Their Paths to Success