Krista Harris Fellowship for SMU Business Students

By MissBiz aka Jackie Howatt
Published and Copyright November 28, 2006
Saint Mary's University Journal


Have you ever dreamed of working in the fast-paced, ever-evolving realm of broadcast media? Does working for a large and well-respected company sound appealing to you? Saint Mary’s University and the Canadian Broadcasting Corporation (CBC) are partnering up to provide SMU business student an opportunity of a lifetime. CBC is launching a special bursary and internship program - the Krista Harris Fellowship. I had the privilege of sitting down with Susan Mitton, Director of CBC Radio in the Maritimes, and Jane Chalmers, VP of CBC Radio Canada, to discuss the Fellowship program further; specifically the significant impact that Krista Harris had on the CBC organization and why her legacy of leadership will motivate and spawn future leaders in the broadcasting world.

Krista Harris had a very close relationship with Saint Mary’s University; she loved it here very much. The Cape Sable Island native graduated with a Bachelor of Commerce at SMU in 1987 with a Summa Cum Laude and the Birks Medal for the highest standing in the Faculty of Commerce. “She worked her way through Saint Mary’s on scholarships. She was a star and a self-made person”, says Chalmers. “Her heart is here in Halifax”. From there, Krista taught at Saint Mary’s as an accounting professor. It was at the end of this six year teaching stint that she really began to focus on her career at the CBC.Scanning over the application for the Krista Harris Fellowship, I was immediately stunned at the accomplishments that Krista accomplished during her time at CBC.

“Krista loved the CBC and was a fervent supporter of public broadcasting. She held a variety of positions at the CBC from 1994 to 2006, including Regional Director of Operations for CBC Radio in the Maritimes; Regional Director of CBC Radio in the Maritimes; and Executive Director of Production and Resources for CBC Radio Nationally.”

Speaking with Ms. Chalmers and Ms. Mitton, it is clearly understood that Krista Harris was an integral component of the CBC team. “Many employees have told me that she was by far the best boss they ever had. She was a person of great passion, and had to work in something that she believed in, and she found her home at CBC.” Chalmers adds, “She was really able to build a team, she trusted people, and she had people working for her that were doing things that they would otherwise not do for anyone else.”

“I wish I could take credit for getting her into the CBC – she came through the door in the finance department. I went after Krista [for Operations Manager] because she could see the big picture. She really got what we are all here for. She loved it, and she loved the people in it. She was able to stick handle with sensitivity in a way I had never come across before”, says Mitton. “She was a very interesting combination of a girl from a small town who just took off.”

The Krista Harris Fellowship is granting one business student per year the opportunity to work on the corporate side of the CBC organization here in Halifax. In discussing the purpose and benefits of the Fellowship program for business students, Chalmers explains, “Because Krista’s name within CBC is held in such high regard, we needed to find something that was appropriate to put her name on. I would say that for students, we need to attract management and manager inside CBC. She came from [Saint Mary’s] and rose up the ranks very quickly.” Krista Harris is a keynote SMU Alumni who was a representation of the quality experiences that Saint Mary’s University and the Sobey School of Business provides. The Fellowship is a way in which CBC aims to celebrate and honor the student excellence that Saint Mary’s produces.

“The Krista Harris Fellowship awards one full-time student a $2000.00 bursary and a six-week paid immersion ($750/week) at CBC in Halifax. The customized work program will be under the tutelage of the Regional Director and Regional Operations Manager of CBC Maritimes and will be designed to expose the fellow to all the facets of the CBC’s operations in Halifax including Radio, Television and On-line production; Finance; Human Resources; and Communications”.

Award winners will be entitled to use the designation: Krista Harris CBC Fellow (year of award).This is an excellent opportunity for any business interested in broadcasting and media. The applicant must possess the following:

• A mimimum GPA of 3.0 in the current year
• Demonstrated leadership in extra curricular and/or community activities
• Knowledge and interest in local and national current affairs and culture
• Is legally eligible to work in Canada
• And will currently be a full time MBA student, or finishing the 3rd or 4th year of the Bachelor of Commerce program at Saint Mary’s University.

For more information regarding the Krista Harris Fellowship program, visit Dr. David Wicks, Dean of Commerce in the Sobey building, office #212. Applications must be submitted to Dr. Wicks by February 1, 2007. The announcement of the Fellow will be made by March 15, 2007.

Blogging For Business

By MissBiz aka Jackie Howatt
Published and Copyright 21, 2006
Saint Mary's University Journal


I saw a t-shirt the other day that announced in big bold letters, “I Don’t Want To Read Your Blog.” I was a little concerned that this person was so opposed to reading blog that they actually felt the need to spend money on a shirt that stated it. I must admit that it did take some of the wind out of my sails as I just began a blog in early September. Even though blogs, MySpaces, and Facebooks are now uncontrollably rampant, they can and do serve a functional purpose – especially if it coincides with a business of some kind.

Blogs act as a reciprocal communicating tool for both the visitor and the blogging company. They offer an interactive and personal experience for potential customers that ultimately encourage them to become involved, give feedback, and monitor developments within the business. They benefit the blogging business in many ways as well, as there is a continuous free flow of communication with the customer, which means instead of paying a high priced consulting company to figure out what the customer wants, a blog allows the business to hear it directly from the customer.

In my personal experience with blogging, there is no better way to obtain interest and feedback for a new and developing business than starting a blog that tracks the progress of that business. True, there wont be many visitors at first, which is why starting a blog should be more for personal reasons and then for the business, or else it will not survive for very long. There has been widespread speculation regarding the usage of blogging in the corporate world, however, which has somewhat desensitized readers. Major corporations, such as Wal-Mart, have been accused of fronting grass root blogs in order to impose or change a particular image or stream of thought regarding their operation. In this sense, a blog can be a very useful tool, but a very damaging one as well.

Many use blogs or other alike web communication services to unleash personal reflections in a diary-like format. It is important to note that if you do decide to use a blog as a marketing tool for your growing business, it must be treated in a very professional way. Professional means that the topics discussed should center around the issues and happenings of the business - unless a specific type of business calls for a more edgy demeanor, of course.

Nothing makes the customer or client feel more involved in a business than allowing them to track the progression of a business. Blogging regularly about the ups and downs of the business is a sure way to reach the customer on a personal level, which can in turn translate into brand loyalty.

Blogging as a start-up is somewhat feeding into the insurgence of the health food and organic trends of the day as well. Even though the two may seem unrelated, there is a logical connection between these two phenomenons. It all has to do with the growing concern and involvement that the consumer is now willing to go to in order to understand what they are consuming. Just as a consumer wants to understand what is exactly in their food and where it came from, they appreciate knowing who the businesses they deal with are and what they stand for.

Despite what a t-shirt may say, blogging isn’t all bad. It gives businesses the opportunity to get to know their customers’ wants, needs, and even more importantly – their ideas and input. Blogging serves as a valuable medium to make that personal connection between entrepreneurs and the outside world, and should be seriously considered when beginning a new venture. On a more personal level, blogging can also be a motivator to actually forge ahead with the business.

A Message To Big Business: We Don't Need Your Money, We Need Your Support

By MissBiz aka Jackie Howatt
Published and Copyright November 14, 2006
Saint Mary's University Journal


Support systems for “young” entrepreneurs are overwhelming these days. With the over-abundance of business plan competitions, small business centers, and funding programs from various private and public sector organizations, it seems as though becoming a successful entrepreneur is a simple career choice. This may be so, but there are very real glass ceilings that virtually prohibit the development of some businesses. The unfortunate aspect of this reality is that the businesses that “claim” they support entrepreneurship are apart of these exasperating barriers. This article is based on personal experience, and hopefully serves as a wake-up call to those resource-enriched businesses out there that could make all the difference in an entrepreneurial venture in a real way.

First, I need to expose the motivation behind this article in order to shed some light on where I am coming from. For a year and a half during my university career, I was apart of a very ambitious tech start-up. Myself, along with four other male colleagues (one being a former SMUSA President), set out to implement an intricate loyalty based program that required the support of large and small retail chains in Canada. During that year and a half, we developed a 180 page business plan, with detailed graphs and explanations of how the system would be set-up through the Interac and banking system, and then brought to the marketplace. This essential banking program necessitated three important primary partners: a bank, a merchant, and possibly a university.

We hit the pavement running looking to bring these essential players together. We set up about a dozen meetings with various business leaders in Atlantic Canada, including Paul Sobey, the CEO of Empire (the holding company of Sobeys, Empire Theaters, etc), Jay Forbes, the now former CEO of Aliant, Brent Currie, the VP Marketing of Scotiabank, Jamie Baillie, the CEO of Credit Union Atlantic, just to name a few. Although they were extremely impressed and saw the need and value-added aspects of the business, their common response was that they needed another business to be apart of our project before they signed on. One of the executives (mentioned above) said, “I realize how frustrating it can be, it’s like everyone has a pen in their hand and they are just waiting for the other person to sign on first”. They understood our situation, but still did very little to really help us. Becoming involved in an outside entrepreneurial venture seemed too “risky” to these companies, even though most of the above would claim they “sponsor” or “fund” small business programs. We didn’t need the money. We needed a name on paper. We could have done a lot with just a signature. We didn’t even need that per se. Just their reference or contacts would have helped.

And therein lies the problem. Much of their support is a total façade. I’m not saying that my particular case defines their stance in every situation, but it is an indicator at the very least. They’ll support the overall “cause” of entrepreneurship, but when faced with a real-life encounter, they close their doors.

Something else that furrowed my brow was an incident that took place last year regarding the same tech-start up. The two teams I was involved with at the time won the top two positions in the SMUBDC’s What’s The Big Idea? Annual Competition. I am very grateful to Saint Mary’s University for stimulating entrepreneurial desire within the student body. However, I came out of that awarding experience with a bitter taste in my mouth; not from the competition itself, but from one of the affiliated business involved in the competition. Upon my arrival at the awards ceremony for What’s The Big Idea?, my business partner and I were immediately ushered over to a well-known incubator investment company, who operate in the business community here in Halifax. We spoke with four or five of the representatives from this company, with the impression that they really enjoyed our idea - they were actually an influential component to our winning “Most Creative Business Idea”. They had already read our business plan at that point and were well versed in the overall idea. After we had won, my business partner and I were very pleased, and planned to go to their downtown office to set up a meeting in order to discuss further project development. We arrived at the downtown office shortly after the awards ceremony and spoke to one of the representatives we had conversed with only a few hours before. He said that the idea was too complex to fund and incubate and, “you’re ahead of the market right now”. Ahead of the market? I thought that’s what made a successful business – thinking ahead of competition? It was disappointing to say the least, because on the surface they seemed very supportive, but after confronting them about one-on-one support – real support - they declined.

The disheartening aspect of this is that most entrepreneurs with grand venture concepts do not need the funding at first. They need support from those who have experience, who work in related industries, and who can align them with potential investors. If one large company would have simply stated on paper that they supported our concept and would help us (not financially) to set up a beta program, we would have been set. Donating $1,000 toward a business plan competition which promotes the formation of “Big” business ideas is appreciated, but serves more as a goodwill tactic for the donator than anything else. It gets their name on posters and on bulletin boards within the University for years on end. But when the business that they gave the funding to comes knocking for actual involvement, they shy away.

I’d like to challenge these businesses to come out from underneath the safeguard that is known as “the business competition”, and to really consider being more receptive to individual entrepreneurial start-ups that need more than just $1,000 and a handshake. What is there to lose if no money is exchanged? For a company like Scotiabank (who, coincidentally, was the donator of our $1,000 prize in the What’s The Big Idea? Competition), they only stand to gain by keeping their doors a little more open (despite the bureaucracy that permeates such organizations). And take Sobeys, for example, we were four entrepreneurial students from their business school! Even if they hadn’t put a dime into our idea, it would look good for them on a marketing standpoint to actually develop and foster an idea (and become that merchant we so desperately needed) that was created by students from their own school. Sobeys in particular should take a more active role in partnering (or facilitating connections) with student businesses for this reason. Saint Mary’s University houses many enterprising young people who already have their own businesses set up. The marketing aspect works on both sides of the coin for Sobeys as well – for those big ideas (like ours) that need more support than actual funding, the Sobeys name can be utilized as a major networking tool. And as for Sobeys - by placing a driven entrepreneurial team from their school on a platform, they are fundamentally promoting the value and effectiveness of their Sobey School of Business.

It is my wish that big businesses recognize their importance in not only encouraging entrepreneurship, but helping where it counts. “Where it counts” may be a meeting, a contact, or even a consideration. I shudder at the hypocrisy that I’ve been shown over the past few years, and I will do whatever I can to make big businesses understand the importance of listening to our ideas – especially since it is us young people who will dictate the success of their business in the future. Strategically speaking, it would be smart for them to keep an ear to the ground, and to listen to our business ideas, since we are the upcoming influencers in the marketplace. “Think BIG” is Donald Trump’s most recognizable quote, but it is hard not to lose faith in it when these rigid businesses are scared to take a chance, and are seemingly prone to “thinking small”.

Interviewing the Interviewer: Karl Gomf Reveals His Opus

By MissBiz aka Jackie Howatt
Published and Copyright November 8, 2006
Saint Mary's University, The Journal


By tracking the personal experiences of other entrepreneurs, Karl Gompf, from Winnipeg, Manitoba, may not realize it - but he has set out on an entrepreneurial adventure of his own. Currently in the research phase of his developing book, Mr. Gompf has traveled all across Canada, stopping off in every province, excluding the North West Territories – which may be next, along the way. The purpose of his journey is to document the familial impacts on budding entrepreneurs and the emotional and situational affects family may or may not ingrain or impose on a young self-starter. In doing this, he has conducted over fifty interviews with entrepreneurs (and in some cases their family members) in the hope that his work will provide a foundation for supportive communication between entrepreneurs and their families.

The interview with Karl Gompf was interesting on a few different levels. First, he is a great example of bootstrapping a venture for the sake of fulfilling a passion (very entrepreneurial in and of itself). Second, he is usually the one interviewing – it was interesting turning the tables and interviewing an interviewer. Third, writing his book seems like a very organic turn in his career. His book harmonizes his educational background with his personal life experiences. His background consists of instructing various classes such as Family Dynamics at the post-secondary level, working with ‘troubled children’, and being a father of two entrepreneurial sons.

In order to do anything, whether it is starting a business or writing a book about business, there must be an underlying motive for doing it in the first place. Mr. Gompf states, “[The book] came about from my two sons. They started a customer feedback and market research company together called TellUsAboutUs. As I was watching their company grow, they were talking about how some young entrepreneurs would come up with ideas for a company and their parents would say that their ideas were crazy. The book came about through these conversations.”

This interview allowed him to expound on some of the emerging themes that we may see in the book. He recounts a few interviews where the parents had an obvious negative impact on their child’s psyche. “I interviewed three young women in Vancouver who started their own company, which provides garnishes for bars such as cherries, limes, salt, etc. They said that their parents would say things to them that were more ‘challenging’ – not necessarily putdown comments, but more like ‘that won’t work’. Starting a company, you just don’t want to hear that, even if it’s true.”

This theme is carried over in another notable interview he had. He explains, “I interviewed one woman who is now in her forties and owns a successful business. As I interviewed her she was basically in tears because there were obviously unresolved familial issues there related to her company start-up.” He then reflects, “I’m finding though, that the true entrepreneur just forges ahead anyway. If they are driven to do it, they won’t let anything stop them. But some people were in tears or on the verge of tears during the interview because they were remembering hurtful things that were said”.

During interviews, some topics are generally more restricted to discuss than others, as some interviewees may find them offensive, such as religion, childhood upbringing, sexual orientation, and so on. Mr. Gompf touches on his experience with this. “There are some things I would like to go into [in the interviews] but [are] difficult to touch on, like what their family background was like. It’s not really my business but these are things that can have a huge impact on an entrepreneur.” He explains that the careers that the entrepreneurs’ parents had could explain their positive or negative reactions to the idea of entrepreneurship. If a parent had a bad experience in business, they might have more negative things to say because of this, and their negativity could really affect the child because they understand that ‘if dad failed, then I might fail too’. But on the other hand, having a parent with entrepreneurial experience can be a huge asset to the young entrepreneur. It’s how the family entrepreneurial dynamic plays itself out that’s most important.”

Karl Gompf’s project is fascinating in itself, but the motivating part of his story is not necessarily in the writing of his book, but the expedition he has undergone to make it happen. Discussing the financial decisions of taking on this project, he explains, “I decided not to go for a grant. I’m not sure, but in the United States I believe there are grants for this sort of thing. I just decided to do it on my own budget – kind of low key”. He adds, “I also have Aeroplan points, so I get free flights”. He is making great use of the budget that he does have, however. During his stay in Halifax, he and his wife, Monica, both stayed at Halifax Backpackers on Gottingen Street; a hostel for “experiential” travelers on a tight budget. Staying at Halifax Backpackers was extra convenient for him, as he interviewed the two young entrepreneurs who founded it as well.

In order for this book to have the educational impact he wishes, the topic of publishing arose. “I’m at the point where I need to decide if I want to self-publish or get a publisher. I was told that if you self-publish you probably won’t get into places like Chapters. Past that, you have to do your own marketing which is a downside because most people don’t have the time to hustle and sell. I haven’t crossed that bridge yet”.

As both of his children, Tyler and Kirby, became entrepreneurs themselves, the question came up regarding the impacts that he and his wife may have had on their own children’s decision to be entrepreneurs. “Good question,” he says. “Because my background has been working with ‘troubled’ kids, out of that I learned a lot about the balance between helping, and allowing them to make their own decisions. My style in seeing our sons develop the company was to listen and encourage, but never to put down. In my experience I know that one negative said to a child could hurt them forever”.

Monica Gompf remembers an incident that she thinks may have had an effect on her eldest son’s career choice. “I remember when our son graduated from university and he had a job that he really liked - working with RVs. I remember saying to him something like, ‘that’s not a very good job’, because my expectation was, ‘you just got a degree… go out and use it!’ I’m sure that he knew I wanted him to be more productive, and not to be an employee”. The Gompf’s did support their sons in becoming entrepreneurs. The fact that they co-signed a loan for their sons to cover start-up costs resonates a deep support. Mr. Gompf notes that many young entrepreneurs said their company would not have survived without some family backing in one way or another.

Before the interview wrapped up, he offered a token of advice for the parents of entrepreneurs, based on his research findings this far; “Parents need to walk a fine line between being supportive when they need to be, but without taking control. When a young entrepreneur is struggling financially, a parent who brings them a meal can make all the difference. It’s the small things we do and say that affect people”. He states, “The true entrepreneur is passionate about what they’re doing, and they’re going to do it anyway – but there is a parental aspect in the background somewhere that is often not talked about, and hasn’t really been written about.” His book hopes to reconcile this issue by creating a basis for discussion between entrepreneurs and parents.

The book remains un-named for now as, “the name will pop up in an interview somewhere that will just fit.” Still in the research and interviewing phase, he projects that his book will be on bookshelves by 2009. Until then, he will be devoting much of his time and energy nurturing his brainchild. “Making money is not my goal with this book, but if it can be helpful to somebody somewhere, then it’ll be worth it.”
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The interview with Karl and Monica Gompf took place on
November 2, 2006.

Shopping Our Way to the Unemployment Line: The Big-Box Impact

By MissBiz aka Jackie Howatt
Published and Copyright November 1, 2006
Saint Mary's University, The Journal


Last week, on October 16, 2006, I read about the Wal-Mart Supercenter strike in Hialeah Gardens, Florida on businessweek.com. Coincidentally, my Retail Management class was simultaneously doing an in-depth assignment regarding big-box retailers and their detrimental sociological and economic affects. Like many, I’ve been aware of the negative impacts of power-retailers, like Wal-Mart. But with so much of it in the news lately, and even right now as I flip through this collection of Wal-Mart news articles compiled by my professor, it is literally making me sick to think about the future of retailing, and the monster we have all created.

When brainstorming this article, I couldn’t find a concrete storyline, or a cohesive way in which to write it. I concluded, however, that my goal is simply to expose some of you to the political issues taking place right now regarding the unbelievable power that big-box retailers (namely Wal-Mart) inflict upon our economy, and our lives. Wal-Mart seems to be making headlines every day. I cannot possibly cover every damaging account, but I want to highlight some of the more notable instances that might make you think twice about this retail goliath (and others like it).

First, Wal-Mart has made an art of “squeezing” their suppliers and streamlining their inventory and channel distribution so perfectly that it is basically impossible to compete with their intelligence. This is the main strategy that their company is built upon. It was a genius approach of retailing ten years ago, and they grew exponentially because of it. Their share price peaked in 2000 at $70 (signonsandiego.com). Analysts believe that the popularity of Wal-Mart came at a time when the baby-boomer generation also peaked at retirement age. This extensive demographic found it convenient to buy almost every necessity under the sun, underneath one roof, and at a price that was compatible with their fixed income. But now that Wal-Mart has accumulated an established market-base, and as the severe decline in one of their largest target-markets (the baby-boomers) looms ahead, their operational strategies are severely impacting everyone – even you – the taxpayer.

The most prevalent and ongoing political issue regarding Wal-Mart is unionization, or the lack there of. Simply put, Wal-Mart cannot “afford” to deal with a unionized workforce. By “afford” I don’t mean that they literally cannot pay their employees a decent salary, because they can; Wal-Mart is the largest company in the world - period. They can’t “afford” it because their entire business is based upon the lowest guaranteed prices. Unionization would cause wages to increase, therefore inflating product prices. Unionization has been a major sore spot for Wal-Mart and they have generated negative publicity because of their determination to avoid the subject altogether. A milestone example of this can be seen in the case of Wal-Mart store number 3643 in Jonquiere, Quebec in 2004/2005. The employees of this small town Wal-Mart location obtained union certification, but soon after they did, Wal-Mart shut its doors - for good. Wal-Mart claimed that the location wasn’t making any money. This left 190 people unemployed, not to mention the physical concrete void they left standing in the middle of a small forestry town.

Refusing unionization and paying their employees minimal hourly wages with inadequate benefits is somewhat old news, but gives an idea of where the company and its employees stand. Making recent headlines, however, is that Wal-Mart is clamping down even harder on their operations with a new set of employee rules and restrictions just issued within the past few months. These new policies are a direct reaction to their stagnating same-store sales, and therefore, their need to cut costs across the board to remain profitable.

Several of the new policies are not sitting well with Wal-Mart employees, for example, pushing the part-time workforce from 20 percent to 40 percent, wage capping, strictly monitoring employee absences, and hiring “healthier” and subsequently younger employees (marketplace.publicradio.org). These procedures would be desirable for any cost-leader company, as implementing these strategies will “trim the fat” from the bottom line. However, because Wal-Mart already provides little compensation (or empathy) to their employees, the backlash was expected - and arguably justified.

A policy I found particularly grabbing was the “hiring and promoting a healthier staff” initiative. Even though this is bad news for those older Wal-Mart employees who face being shafted due to their ailments, Wal-Mart is actually performing a service to us taxpayers by applying this procedure. Just to shed some light on the ramifications that Wal-Mart’s low wages combined with minimal to nil health insurance can impose on taxpayers: “Reliance by Wal-Mart workers on public assistance programs in California comes at a cost to the taxpayers of an estimated $86 million annually; this is comprised of $32 million in health related expenses and $54 million in other assistance” (http://www.dsausa.org). Even though this is an American statistic, the affects are mirrored throughout the global economy. This same study also reports that, “If other large California retailers adopted Wal-Mart’s wage and benefits standards, it would cost taxpayers an additional $410 million a year in public assistance to employees”. If Wal-Mart wants to hire healthier employees, it might lessen the impact on taxpayers, however, this faintly mitigates their burden on society, as their employees need to be subsidized in other ways due to insufficient wages.

The power that Wal-Mart bestows over its employees is devastating. But it doesn’t stop there. When a business becomes so pervasive and domineering as Wal-Mart has become, it sends a rippling affect throughout the community and the global economy as well. They wreak havoc on their suppliers and competitors wherever they go. It is almost impossible to compete with Wal-Mart, especially if a nearby business carries similar products or services, because they will consistently outdo any price point. A Wal-Mart supplier suffers greatly because their margins become almost non-existent due to Wal-Mart’s “squeezing” affect, as mentioned earlier. Suppliers find themselves in a tangled web. Wal-Mart’s business keeps manufacturing facilities at full capacity, which means consistent business, however, with little margin leeway and a full staff, it is hard to turn a profit.

“Therein lies the basic conundrum of doing business with the world's largest retailer. By selling a gallon of kosher dills for less than most grocers sell a quart, Wal-Mart may have provided a ser-vice for its customers. But what did it do for Vlasic? The pickle maker had spent decades convincing customers that they should pay a premium for its brand. Now Wal-Mart was practically giving them away. And the fevered buying spree that resulted distorted every aspect of Vlasic's operations, from farm field to factory to financial statement” (fastcompany.com).

Jim Wier, the owner of the Snapper lawn-equipment company, is otherwise famously known as “the man who said no to Wal-Mart”. While Wal-Mart was pressuring his company to supply more mowers, Mr. Wier was determined not to turn his decades-old company into a Wal-Mart pawn. “Why would you buy a walk-behind mower from Snapper that costs $519? What could it possibly have to justify spending $300 or $400 more? That's the question that motivated Jim Wier to stop doing business with Wal-Mart. Wier is too judicious to describe it this way, but he looked into a future of supplying lawn mowers and snow blowers to Wal-Mart and saw a whirlpool of lower prices, collapsing profitability, offshore manufacturing, and the gradual but irresistible corrosion of the very qualities for which Snapper was known. Jim Wier looked into the future and saw a death spiral” (fastcompany.com).

Wal-Mart is so convenient for the end-consumer. We can’t deny that. We’ve all shopped there at some point. But even though we’ve all heard bits and pieces of anti-Wal-Mart anecdotes, I think many of us choose not to look too far into it, for fear that we might feel compelled to “put ourselves out” a little bit, and to reconsider the convenience and gratification that Wal-Mart provides us. Like global warming, maybe if we ignore it and walk with our heads down, it’ll go away. This is so not the case. Every dollar you spend is comparable to a vote. Do you believe in the Wal-Mart “party”? Do you support their “platform”, their “campaign”, their values, their impacts, their actions? Would you vote for them?

Consolidation and acquisition is the most widespread fear among consumers in regards to big-boxes. With Wal-Mart providing everyday essential products (even groceries) at rock-bottom prices, and with Best Buy providing every gadget imaginable at rock-bottom prices, and with companies like Home Depot, Staples, Shoppers Drug Mart, and Costco following suit, will there be any room for competition (choice) in the future? Will we eventually be shopping at one giant Supercenter like mindless robots? Will any of us who will either work for a small company or start a small company ourselves stand a chance? “Are we shopping our way straight to the unemployment line?” (fastcompany.com).

We have to collectively understand the implications of walking into a Wal-Mart (or any big-box retailer) and purchasing toilet paper for the sake of saving fifty cents. The implications run far deeper than you think. Society has created a monster that feeds off of our physical and moral laziness. I’m not saying to never shop at a Wal-Mart again, but next time you find yourself walking into a big-boxed retailer, ask yourself, “is it worth it?”.

YouTube Acquisition An Entrepreneurial Success

By MissBiz aka Jacqueline Howatt
Published and Copyright October 18, 2006
Saint Mary's University, The Journal

It had to happen sometime. A week ago, and to no surprise, YouTube (the fastest growing video sharing network) was acquired by none other than Google. The $1.65 billion purchase (an all-stock deal) was by far the most extravagant investment Google has initiated in its eight-year operation. It is also said to be one of the most risky, as YouTube has been confronted by companies regarding copyright infringement laws. Nevertheless, after learning about the YouTube acquisition, I realized that there is an emerging, and all-too-familiar pattern taking shape. Some call it Web 2.0, others call it Bubble 2.0 – I call it a window of opportunity and entrepreneurship at its best.

Chad Hurley, 29, and Steve Chen, 27, were just your average University grads, trying to make a decent living in the USA tech-hub, otherwise known as California. They met while both working as employees for PayPal, before it was acquired in 2002. After the company was bought by EBay, Chen remained with the company while Hurley went on to become a personal consultant. They kept in touch over the next few years. In 2005, they both attended a dinner party hosted by a former PayPal colleague. During the party, a mutual friend, named Jawed Karim, complained that he couldn’t easily post video footage of that night on the internet for his friends and family to see. A light went off, and at that moment, Hurley and Chen gave birth to their brainchild, and named it YouTube.

For the next eighteen months, the development and operations of YouTube mostly took place out of Hurley’s basement in Menlo, California, and then eventually graduated to a small office above a pizzeria in San-Mateo, California. Like Google, YouTube obtained funding from the Venture Capital company, Sequoia Capital, for $11.5 million, who owns a cool 30% stake in the company. Since implementation, the company has grown incredibly. In January 2006, YouTube members were posting about 8,000 videos daily and watching 3 million videos per day. Jumping ahead just four months to April 2006, video posts were up to 35,000 daily, and views were an unprecedented 35 million per day!

During a casual luncheon at the American fast-food chain, Denny’s, Chen and Hurley sat down with a Google representative who agreed to purchase the company for $1.65 billion in Google stock. Soon after the news went public, Google’s share price jumped $8.50 to close at $429 on the NASDAQ. Needless to say, despite the swirling speculation that YouTube may undergo litigation due to copyright infringement (as YouTube members continue to post unauthorized artistic work), investors were satisfied to learn of the promising acquisition.

In favor of budding entrepreneurs everywhere, a recent and familiar trend of fast tech start-ups and buy-outs, similar to that of the dot-com boom is becoming more prevalent. Last year set the pace for this “bubbling” re-emergence of the dot-com era, with EBay purchasing Skype for a mind-boggling $2.5 billion in cash and EBay stock. Since then, small start-ups have been churning out social networks, which have collectively revolutionized the way people use the internet.

MySpace was acquired for $580 million by News Corporation in July of 2005, and has since exploded in popularity - becoming one of the company’s most valued investments. At its peak, about 250,000 people joined MySpace every day. The reason for this acquisition, and others like it (YouTube), is due to their advertising potential. This remains to be seen, as YouTube is surprisingly an unprofitable business, meaning, advertising revenue is less then operational expenses.

This trend has some market analysts thinking dejavu, and they believe that the next major acquisition could set-off this ticking time bomb. USNews.com describes this fear in detail in an article written last week entitled, “YouTube Fallout: Beware of Next Deal”. However, the fact that these sites are currently cost-centers is not dampening their alluring potential. Tech companies are still clamoring over themselves to get on the social network bandwagon, and offering large sums of money to purchase small, but rapidly growing companies.

The college-student networking site, Facebook, is another company in the upcoming acquisition role-call. Mark Zuckerburg, a Harvard student, created Facebook in 2004 as an alternative to student ID booklets. In the first three weeks, 6,000 Harvard students signed up as members, and Zuckerberg has since launched the network to schools everywhere. In March 2006, rumors were a-buzz that Facebook rejected a $750 million buy-out initiated by Viacom because it was holding out for a $2 billion sale. Just recently, speculation hints that Yahoo may be interested in acquiring Facebook for $1 billion. Either way, due to the hyper-competition of the tech world (companies actually cannibalize their own products just to stay ahead of trends), the popularity of Facebook will inevitably decline just as fast as it is growing. They can’t afford to hold out much longer.

Finally, another high-profile social networking site, myYearbook.com, is following on the heals of its two major predecessors, YouTube and Facebook. Still in a fairly infantry stage, the company is hoping to gain the volume necessary (and relatively quickly before the market goes bear) to harvest a nice profit. The website, which has been dubbed “The Next $1.65 billion start-up” by Inc.com, was founded by Geoff Cook - a 26 year old Harvard graduate who saw an opportunity for a worldwide online yearbook. There is little talk of acquisition yet, but with 6,000 new members joining daily, it wont be long before this company is making headlines on Wall Street.

Not only is there an obvious pattern of social networking start-ups, but most of these websites are founded by University-aged entrepreneurs. This is a major source of inspiration for students who are looking to start a business, or who already own a business. As the founder of myYearbook.com says in an Inc.com interview, “I started my first site with $600. All you need is hosting space and a merchant account (to accept credit cards).”

There is no doubt that the acquisition of YouTube feels like a mini-feat for all student entrepreneurs. It serves as a reminder that with the right skills, contacts, foresight, and ability to seize opportunities, it is possible to go from nothing to something these days, and in a short amount of time. Even though YouTube is an inspiration, it is also frustrating, because the rest of us feel left behind. The only way to overcome this cognitive dissonance it to believe in your own ideas, don’t be afraid to develop them, and make confident decisions along the way. Don’t let anyone tell you it can’t be done, persevere, don’t procrastinate, and as Donald Trump would say, THINK BIG!

MissBiz on "The Rag"

By MissBiz aka Jackie Howatt
Published and Copyright October 4, 2006
Saint Mary's University, The Journal

The title of this column is not entirely what it seems - so let me explain. Last week I had an assignment for one of my marketing classes that required me to explore the shopping atmosphere in downtown Halifax. There were specific stores to visit during my travels. I stopped in at Venus Envy (for those of you who do not know – this is basically a sex toy/ book store) and coincidentally came across something that would make a great article: alternative menstrual products.

For those of you who are either a) allergic to pads or tampons, b) worried about the environmental affects that menstrual products have on the environment, or c) sick of spending money on this biological accessory – read on.

As you may know, pads and tampons are possibly linked to several health problems – not just yeast infections, but serious diseases like breast cancer, cervical cancer, endometriosis, and womb tumors. According to Natracare.com,“Tampons are commonly made from a blend of chlorine-bleached conventional cotton and/or synthetic products, such as rayon, polypropylene and plastic, and Pads often contain a blend of chlorine bleached pulp, polypropylene, polyacrylates and plastic. Chlorine bleaching produces an unwanted byproduct called dioxin -- a substance linked to cancer, endometriosis, low sperm counts and immune system suppression”. As mass production matures, consumers are increasingly concerned in regards to the food they eat and the products they use, hence, the explosion of the organic and health food industries. It is therefore surprising that the issue of all-natural menstrual products is not more mainstream then it is.

The sanitary pad substitute I purchased at Venus Envy is a 100% cotton pad that ultimately looks more like a terry-cloth washcloth than anything (as seen in the corresponding picture) and which set me back only $10.00. They also sell reusable tampon substitutes, such as, The DivaCup (approximately $46.00), and The Sea Sponge ($10.00).


The DivaCup website reports that, “In 1998, 7 billion tampons and 13 billion sanitary pads and their packaging made their way into landfills and sewage systems in the USA alone!” Because pads are not biodegradable they have accumulated for decades in landfills. Menstruation.com provides a “Disposable Pad and Tampon Cost Calculator” so anyone can calculate how many products they will use over their lifetime. Being 22, I will approximately use 7,722! Let’s just say 4,000 women attend Saint Mary’s right now. On average over our lifetimes, we will collectively use 34,749,000 sanitary products. That is a mind-blowing amount of waste.

My initial thought when I saw the assortment of reusable and organic substitutes at Venus Envy was, “I wonder what the financial impact would be over a lifetime?” Using the same calculator on menstruation.com, I figured out that I would spend approximately $1,800 on disposable sanitary products over my lifetime. Let’s say I purchased a DivaCup once every five years, I would end up spending $495.00 over a lifetime. Even though it may not seem like a huge difference, and it might not be a lot of money spread out over a 45 years period, other financial factors can come into play by continuing to use disposable sanitary products. The more waste we accumulate, the higher our taxes will be to accommodate landfill space. Also, if you experience rashes, itchiness, hives, or yeast infections due to the synthetic materials found in pads and tampons, you will be spending money on medication and treatments.

To find out more about reusable and all-natural menstrual product substitutes, check out the following website: http://www.divacup.com/, http://www.gladrags.com/, http://www.bloodsisters.org/ or visit Venus Envy on Barrington Street.