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The McKinsey Quarterly Newsletter

June 2001
http://www.mckinseyquarterly.com

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==========On The McKinsey Quarterly Web site this month=========

How fast is too fast?
"Speed is god, time is the devil." That's been the mantra of new-business
builders during the Internet mania of the past few years. But does speed
to market really create competitive advantage? In the research project
underlying this article, McKinsey looked at 80 Internet companies and
found that speed was an advantage for only 10 percent of them. For the
rest, moving too quickly resulted only in wasted resources, missed
opportunities, and flawed strategies.
http://mckinseyquarterly.com/ab_g.asp?ar=1082&nlink=1

Remaking market making
Many Wall Street watchers believe that the low-cost electronic trading of
securities will destroy market making and brokerage. But this
doom-and-gloom prognosis results from a fundamental misunderstanding of
the way technology is changing the business. Companies that use the
technology right can greatly increase the volume of the trades they
process--and boost margins as well.
http://mckinseyquarterly.com/ab_g.asp?ar=1083&nlink=2

E-performance II: The good, the bad, and the merely average
Round two of McKinsey's e-performance scorecard has some good news for the
beleaguered business-to-consumer Internet sector: one dot-com in five is
now profitable. E-tailers in particular have stronger reasons for optimism
than do media and content sites, which continue to search for a winning
business model.
http://mckinseyquarterly.com/ab_g.asp?ar=1079&nlink=3

The false promise of mass customization
Mass customization has been the future of manufacturing for more than two
decades now--and for some manufacturers, it probably always will be. While
Dell Computer may be the poster child for build to order, many other
companies have gotten mass customization wrong. Will automakers be the
next to stumble? Click here to find out.
http://mckinseyquarterly.com/ab_g.asp?ar=1089&nlink=4

The race to the bottom
The wrong pricing strategy can destroy corporate value faster than almost
any other business mistake--and there's nothing like deregulation to make
this mistake more painful. When industries are about to be deregulated,
managers habitually adopt ill-conceived pricing policies that are almost
guaranteed to damage their companies. We think there's a better way.
http://mckinseyquarterly.com/ab_g.asp?ar=1078&nlink=5

McKinsey on broadband
Check out the site's newest content category, focused on the broadband
industry. Here you'll find articles on the latest strategies and tactics
for players in the broadband access, devices, and applications segments,
as well as in-depth looks at how broadband is changing the music industry
and the newspaper and magazine businesses.
http://mckinseyquarterly.com/ced_g.asp?L2=38&nlink=6


+++++++++++++++++Also on the site this month++++++++++++

Mutually assured survival
http://mckinseyquarterly.com/ab_g.asp?ar=1084&nlink=7

Brazil's head start in on-line banking
http://mckinseyquarterly.com/ab_g.asp?ar=1041&nlink=8

Making solutions the answer
http://mckinseyquarterly.com/ab_g.asp?ar=1080&nlink=9

The dynamics of European broadband
http://mckinseyquarterly.com/ab_g.asp?ar=1092&nlink=10



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