Tag Archives: Strategy

Restoring Liberty To The States

Meltzer 3Dr. Allan H. Meltzer is an American Economist and the Allan H. Meltzer professor of Political Economy at Carnegie Mellon University’s Tepper School of Business. He is the author of a large number of academic papers and books on monetary policy and the Federal Resrve Bank. Dr. Meltzer’s two volume books, “A History of the Federal Reserve”, are considered the most comprehensive history of the central bank.   He is considered one of the world’s foremost experts on the development and application of monetary policy. Currently he is also President of the Mont Pelerin Society. Dr. Meltzer originated the aphorism “Capitalism without failure is like religion without sin. It doesn’t work.”

This is a monthly column written by Professor Meltzer for Defining Ideas of the Hoover Institution.

It is posted in   http://www.hoover.org/research/

Our Constitution is explicit about who makes laws. Article 1 says: “All legislative powers herein granted shall be vested in a Congress.” One might think that the clause could not be misinterpreted or ignored, but it has been. An overwhelming number of federal laws are now made by administrative agencies under the executive branch. Our Constitution provides a government of checks and balances to protect citizens against tyranny, but these agencies are not subject to those checks and balances and they run roughshod over our liberty.

They pass their own rules and enforce the rules they make. In the event of challenge, they adjudicate the matter and issue judgments. Complaints can be heard in the regular court system, but that is a slow process. An outrageous example was a decision that closed a major accounting firm—Arthur Andersen—in 2003. By the time, the courts decided that the administrative decision was wrong, the Arthur Andersen personnel had scattered and the offices had closed. That is one well-known example but there are many others.

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Acquisition criteria and your initial acquisition plan

DRJOHN2Dr. John Psarouthakis, Executive Editor, www.BusinessThinker.com. Founder and former CEO, JP Industries, Inc, a Fortune 500 industrial corporation. Adjunct professor, Strategy and Acquisitions, Ross School of Management, University of Michigan

This is the 3rd of short articles of my thoughts about Acquisition
of a business.

            An acquisition business plan needs to be developed before you begin your search to buy a company. Three overall categories of decisions need to be made: 

1)    Why do you want to buy a company?

2)    What type of company do you want to buy?

3)    How are you going to go about buying the company?

In determining why you want to buy a company, you should ask yourself and develop answers for each of the following questions:

1)    Do you want to run the business yourself or do you want others to help you?

2)    How long you plan to keep the business;

3)    Whether you plan to buy other businesses over time

4)    If buying additional companies over time, do you plan to buy related or unrelated companies?

5)    In determining what type of company you want to buy, you should ask yourself, at the outset:

6)    What industry are you interested in?

7)    How large a company do you want to purchase and manage?

8)    How profitable does the company need to be?

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Strategic Thinking*

DRJOHN2Dr. John Psarouthakis, Executive Editor, www.BusinessThinker.com. Founder and former CEO, JP Industries, Inc, a Fortune 500 industrial corporation. Adjunct professor, Strategy and Acquisitions, Ross School of Management, University of Michigan

This is the 3rd of short articles of my thoughts about Leading and Managing winning companies.

Analysis is the critical starting point of strategic thinking. Faced with problems, trends, or situations that appear to come packaged as a whole by common sense of the moment, the strategic thinker dissects them into their constituent parts. Then, having discovered the significance of these constituents, he reassembles them in a way calculated to maximize his advantage. ( briefly, separating the small unit and expanding it as a company in itself applying its technology to a broader possible array of products) True strategic thinking contrasts sharply with the conventional linear thinking. It also contrasts with the risks based on intuition, reaching conclusions without any real breakdown to the components or analysis. No matter how difficult or unprecedented the problem, the best possible solution can come only from a combination of rational analysis, based on the real nature of the problems / challenges, and imaginative reintegration of all the different components into a new pattern, using nonlinear brainpower.

*From :
“The Mind of a Strategist”,
by Kenici Ohmae.