Chapter 1: Taking Risks and Making Profits - McGraw-Hill Introduction to Business

[VIDEO] Airlines Sell Legroom at a Premium Price

September 28, 2023

In the early days of air travel, carriers provided passengers with luxurious amounts of legroom. As the video below explains, however, today’s planes have far more seats with far less space between them, potentially resulting in uncomfortable experiences for tall travelers.

Questions:

Why do modern airlines “unbundle” the costs of travel by charging additional fees for luggage and seat selection?
Do you think government regulators should require air carriers to provide passengers with “comfortable” amounts of legroom? Why or why not?

Ethics, Transportation, Product Distribution, Air Travel, Supply & Demand, Product Development, Global, Regulation

Chapter 1: Taking Risks and Making Profits, Chapter 2: Economics, Chapter 3: Globalization, Chapter 4: Ethics and Social Responsibility, Chapter 9: Production and Operations Management, Chapter 14: Product and Price, Chapter 15: Distribution, Bonus Chapter A: Business Law, Videos

WGA and Hollywood Studios Reach Tentative Agreement

September 26, 2023

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For 146 days, members of the Writers Guild of America (WGA) have picketed in front of Hollywood movie and television studios, demanding increased financial security and more control over their work. Talks mostly broke down as the months stretched on, until last week when the two parties met over five straight days and brokered a tentative deal. Although this agreement still needs to be written into a contract and ratified by the WGA’s more than 11,000 members, industry observers Continue reading →

Management, Motivation, Product Development, Ethics, Entertainment, Unions, Streaming, Strikes, Film & Television, WGA

Chapter 1: Taking Risks and Making Profits, Chapter 4: Ethics and Social Responsibility, Chapter 7: Management & Leadership, Chapter 10: Motivation, Chapter 11: Human Resource Management, Chapter 12: Labor Management and Unions, Chapter 15: Distribution, Bonus Chapter B: Technology and New Media

Unimpressive Instacart Debut Decreases Confidence in IPOs

September 22, 2023

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For years, going public on the New York Stock Exchange or Nasdaq was the culmination of a longtime dream for many companies. After all, initial public offerings (IPOs) gave stakeholders a good chance to get rich quick while also bringing in new capital to expand their businesses even further. Unfortunately, this has not been the case for the last 18 months as rising inflation and growing economic uncertainty has created a poor environment for IPOs. In recent weeks, though, several Continue reading →

Stock Exchange, Instacart, Regulation, Global, Interest Rates, Ethics, IPO, Inflation

Chapter 1: Taking Risks and Making Profits, Chapter 2: Economics, Chapter 3: Globalization, Chapter 4: Ethics and Social Responsibility, Chapter 5: Forms of Business Ownership, Chapter 19: Securities Markets, Chapter 20: Money and Financial Institutions, Bonus Chapter A: Business Law

[VIDEO] Why Sweetgreen Struggles to Earn a Profit

September 20, 2023

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The fast-casual dining chain Sweetgreen has developed a nationwide following of fans by selling fresh salads that start at $15 apiece. Although the company certainly charges a hefty amount for one of its signature bowls, Sweetgreen still struggles to make a profit due to high labor costs and expensive ingredients. This video examines the chain’s money troubles while also looking at its plans for profitability, including automation and expanding outside of major cities.

Questions:

What are some reasons why Sweetgreen Continue reading →

UAW Begins Strike Against Big Three Automakers

September 15, 2023

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While South Korean car makers Kia and Hynudai face legal action from seven American cities, domestic auto companies also have their fair share of problems on the horizon. For weeks, Detroit’s Big Three–Ford, General Motors, and Stellantis (owner of Chrysler)–have been deadlocked in negotiations with the United Automobile Workers (UAW). Representing more than 150,000 workers across the industry, the union has demanded a 36 percent raise over four years, pointing to rising inflation and big corporate profits. Carmakers, meanwhile, Continue reading →

Motivation, Cars, Ethics, Transportation, Manufacturing, Strikes, Unions, Labor Relations

Chapter 1: Taking Risks and Making Profits, Chapter 4: Ethics and Social Responsibility, Chapter 9: Production and Operations Management, Chapter 10: Motivation, Chapter 11: Human Resource Management, Chapter 12: Labor Management and Unions

American Cities Sue Automakers over Increased Car Theft

September 13, 2023

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On the massively popular app TikTok, searching for the trending topic “Kia boys” will result in hundreds of videos of people joyriding in cars. These aren’t overly enthusiastic owners, however: these users take advantage of the South Korean automaker’s lax security standards to steal vehicles for fun and Internet clout. For example, one video shows a gloved hand easily starting a car using just a screwdriver and a USB cable while a computerized voice repeats the phrase “this is why Continue reading →

Manufacturing, Transportation, Crime, Legal, Product Distribution, South Korea, Product Development, Global, Cars, Ethics, Regulation

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 4: Ethics and Social Responsibility, Chapter 9: Production and Operations Management, Chapter 14: Product and Price, Chapter 15: Distribution, Bonus Chapter A: Business Law

[VIDEO] How One Farm Makes Most of MLB’s Dirt

September 8, 2023

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When Major League Baseball groundskeepers prepare an infield before a game, not just any dirt will do. 26 out of 30 teams in the league depend on professional grade stuff made by Duraedge Products in Pennsylvania, which mines and processes Pittsburgh red bed claystone to create “infield mix.” This video follows the entire process from mining to mixing, showing how every year Duraedge transforms 30,000 tons of clay into a vital product for baseball teams around the country.

Questions:

Why Continue reading →

Product Development, Management, Transportation, Operations Management, Entrepreneurship, Product Distribution, Manufacturing, Facility Location

Chapter 1: Taking Risks and Making Profits, Chapter 6: Entrepreneurship, Chapter 7: Management & Leadership, Chapter 9: Production and Operations Management, Chapter 14: Product and Price, Chapter 15: Distribution, Videos

Luxury Picnic Planners Try to Dodge Bad Weather

September 6, 2023

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When indoor gatherings became restricted during the pandemic, people turned to outdoor events like picnics in order to socialize while staying safe. Spotting an opportunity, some event planners launched luxury picnic companies that have since turned into profitable enterprises. From romantic dinners to full-scale weddings, these outdoor dining startups charge as much as $300 per person for gourmet meals with elaborate decor and cozy seating. That is, as long as the weather cooperates.

For example, Rachel LeBar of Colorado Luxe Continue reading →

Product Development, Crisis management, Food & Drink, Operations Management, Entrepreneurship

Chapter 1: Taking Risks and Making Profits, Chapter 6: Entrepreneurship, Chapter 7: Management & Leadership, Chapter 9: Production and Operations Management, Chapter 14: Product and Price

Product Returns Drive a Multi-Billion Dollar Resale Industry

August 30, 2023

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America’s biggest retailers have often embraced product returns as a key aspect of their business, starting with J.C. Penney and his namesake company in the early 20th century. Allowing customers to return any product with no questions asked, other big companies like Walmart and Amazon would go on to follow his example in the years to come. “It’s a hallmark of successful American retail,” said Dale Rogers, business professor at Arizona State University. “If you make it easy to shop, Continue reading →

[VIDEO] Why Car Companies Still Use Expensive Clay Models

August 25, 2023

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For nearly a century, car companies all over the world have built life-size clay models of vehicles in order to make all sorts of design decisions. But don’t let the humble materials fool you: luxury brands like Bentley often spend more than $650,000 to make just one model. This video looks at the benefits of building these pricey prototypes during the development process and why virtual reality tools won’t entirely replace clay anytime soon.

Questions:

What are the advantages Continue reading →

Product Development, Marketing, Cars, Global, Transportation, Manufacturing, Automation, Virtual reality

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 9: Production and Operations Management, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Bonus Chapter B: Technology and New Media, Videos