Gary Hamel interviewed by Peter Day

In a recent edition of Global Business on the BBC, Peter Day interviewed Gary Hamel, Visiting Professor of Management at the London Business School. The one-to-one discussion takes a few minutes to warm up but ten minutes in there is a remarkable discussion about the values, competencies and qualities displayed by Apple corp.

Emerging from the financial and economic crisis, individuals are now more suspicious of large institutions. Fewer people than ever think that executives behave ethically; the wedge between people and organizations has grown wider. There is a “hole in the soul of business” - and Hamel argues that many corporations have become morally untethered using a corporate language that is alien to people.

Maximizing shareholder wealth is a crazy idea, shareholders do not create wealth, employees do. And the approach of Apple is revealing. Apple has effectively reinvented four different industries - it is a company committed to doing extraordinary and beautiful things - they have the mind of engineers and the heart of artists. The consumer experience of Apple is on a different plane to many other different businesses - you open the box and a product pops out ready to use. When you peel away the Apple business, you just get layer after layer of innovation. Apple’s core competence is about the satisfaction that people derive from products.

Apple’s profitability per square foot of retail space is up to four times higher than other top performing retailers - they are more profitable than Tiffany’s! And that - in retailing - takes some doing!

Unit 2 Macro: Evaluation on Supply-Side Policies [21 May 2012]
Unit 2 Macro: Migration and the UK Economy [20 May 2012]
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Unit 2 Macro: The Importance of Productivity [20 May 2012]
Unit 2 Macro: Revision Notes on Supply-side Policies [10 May 2012]
Unit 3 Micro: Innovation in Markets [10 May 2012]
Unit 2 Macro: Model answer for revision data question [9 May 2012]
Unit 2 Macro: Growth and Development Glossary [5 May 2012]
Robert Schiller - Finance and the Good Society [1 May 2012]
Tullow Oil and African Development [25 Apr 2012]
Unit 4 Macro: The Euro Zone Crisis (Revision) [22 Apr 2012]
Unit 3 Micro: The Third Industrial Revolution [20 Apr 2012]
Unit 3 Micro: Quiz on Business Costs and Profits [11 Apr 2012]
Apple Being Naughty! [11 Apr 2012]
Unit 3 Micro: Evaluation Question on Supermarkets [11 Apr 2012]
Unit 1 Micro: Market Failure in Private Health Care [8 Apr 2012]
Unit 3 Micro: Revision on Monopoly Price and Output [6 Apr 2012]
Unit 3 Micro: Monopoly and Economic Welfare [6 Apr 2012]
Unit 1 Micro: Revision on Price Elasticity of Supply [5 Apr 2012]
Unit 4 Macro: Productivity Improvements in China [3 Apr 2012]
Unit 1 Micro: Revision on Producer Subsidies [2 Apr 2012]
Unit 3 Micro: Post Office Threatens Smaller Photo Businesses [2 Apr 2012]
Unit 3 Micro: Revision on Scale Economies, Technology and Prices [1 Apr 2012]
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Unit 2 Macro: Revision on Capital Investment [30 Mar 2012]
Unit 3 Micro: EU Imposes Further Price Cap on Mobile Phone Companies [29 Mar 2012]
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Unit 2 Macro: Policies to Drive Economic Recovery [9 Mar 2012]
Unit 2 Macro: Focus on UK Manufacturing [6 Mar 2012]
Unit 1 Micro: Breaking Down the Cost of Gas [4 Mar 2012]
The Economics of Climate Change - Stern 5 Years On [21 Feb 2012]
Unit 1 Micro: Public Goods [11 Feb 2012]
Unit 4 Macro: Focus on India - Comparative Advantage [27 Jan 2012]
Unit 4 Macro: Focus on India - World’s Cheapest Computer [26 Jan 2012]
Unit 1 Micro: Can the UK Computer Games Industry Grow [24 Jan 2012]
Unit 3 Micro: 3D Printing and a Manufacturing Revolution [23 Jan 2012]
Unit 1 Micro: Nano Technology and Energy Efficiency [17 Jan 2012]
Using Infographics in the classroom [15 Jan 2012]
Unit 4 Macro: Does Manufacturing Matter? [10 Jan 2012]
Unit 2 Macro: Factors Driving Business Investment [10 Jan 2012]
2012 - Carnage on the High Street [28 Dec 2011]
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Unit 3 Micro: Tacit Collusion in the Supermarket [27 Nov 2011]
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Unit 3 Micro: Brand Loyalty in Mobile Phones [27 Nov 2011]
Unit 3 Micro: Patent Wars might Stifle Innovation [23 Nov 2011]
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AS Macro: The State of British Business [13 Nov 2011]
Unit1 Micro: Australia pass Carbon Tax [8 Nov 2011]
Unit 3 Micro: Impulses to Change Management Models [5 Nov 2011]
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Can the “invisible hand” solve Africa’s poverty? [13 Oct 2011]
Keynes Prize: The Economics of Cities (2) [13 Oct 2011]
Keynes Prize: The Economics of Cities (1) [12 Oct 2011]
Why Is Macroeconomics Such A Mess? [11 Oct 2011]
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A2 Micro: Oligopoly [20 May 2011]
A2 Micro: Price Discrimination [19 May 2011]
A2 Micro: Entry Barriers in Markets [19 May 2011]
Unit 3 Micro: Monopsony Power in Markets [19 May 2011]
A2 Micro: The Importance of Profit [19 May 2011]
A2 Micro: Market Structure, Conduct & Performance [19 May 2011]
A2 Micro: High and Low Marginal Cost Products [19 May 2011]
A2 Micro: Consequences of Price Discrimination [19 May 2011]
A2 Micro: Examples of Price Discrimination [19 May 2011]
Unit 3 Micro: Perfect Competition [19 May 2011]
A2 Micro: Competition and Efficiency [19 May 2011]
A2 Micro: Outsourcing [18 May 2011]
A2 Micro: Business Growth [18 May 2011]
A2 Micro: Innovation and Economic Policies [18 May 2011]
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