A fundamental shift is occurring in digital asset markets, evident in the relentless rise of bitcoin and crypto ETFs as well as the proliferation of meme coins, most recently $TRUMP, backed by the new US President himself. The appointment of Paul Atkins, known for favouring market-driven solutions over heavy-handed enforcement,…
Start-ups: innovation-driven venturesThe traditional start-up model typically emphasises disruptive innovation and rapid scaling, often requiring significant technological advantage and financial capital in its initial phases. It appeals to founders driven by a mission to revolutionise industries and solve problems in the market. To succeed, founders must not only develop a compelling solution…
“Am I too late?” This is the question that plagues traders trying to make gains from “novel” information. After all, there is always a chance that the signal that they are about to trade on has already been priced in by the market. When speculators contemplate trading based on a particular…
Consider this man. He takes daily post-lunch naps and frequently dozes off in a lounge chair after dinner. He spends his afternoons at home rather than at the office, tending to his garden and golfing. He spends months away from work on vacation. He prides himself on avoiding “hustling”. “I’m…
We are relatively cautious about what we buy when the stakes are high. But do we apply the same level of scrutiny to the most important investments of our lives – choosing a partner or a career path? Divorce and turnover rates suggest not. While we won’t weigh in on the…
India’s luxury landscape is at a crucial juncture. With a booming economy, the world’s largest population and a dynamic, youthful demographic, the country has been dubbed the next luxury hub, especially at a time when luxury consumption in China is declining as spending softens. Is the centre of the world’s luxury market shifting from…
We're often warned against opening Pandora's box, a metaphor for unleashing a torrent of evils on the world. Yet, we forget an essential detail: Elpis – the spirit of hope – remained within the box. Even when the world seems consumed by chaos, hope endures.Throughout history, philosophers and leaders have…
The year 2023 was named the hottest on record, and 2024 is on track to be even warmer. We are already feeling the impact of the climate emergency, but the problem runs deeper. Climate change is just one symptom of our planet’s health crisis. From resource depletion to social inequality, the…
Why do we resist trusting AI recommendations? How can we improve the pricing and approval process for new health technologies? In what ways does board risk oversight impact environmental and social performance? What effect do career transitions and frictions have on performance? And how do past negative experiences with creativity…
Former General Electric CEO Jack Welch once said: “If the rate of change on the outside exceeds the rate of change on the inside, the end is near.” To remain competitive, companies must adapt quickly to an ever-evolving business landscape. In times of growth, they may expand rapidly and hire aggressively.…
It’s the conversation that’s dominating board rooms and strategy meetings. How are firms preparing for, or already harnessing, the potential of AI for their organisation? A KPMG survey found that 65 percent of executives anticipate a significant impact from generative AI (GenAI) within the next few years, even as many firms…
In terms of the E&S issues they “wash”, the most frequently identified claims related to firms’ impacts on climate change (30 percent of all allegations), consumer health benefits (22 percent), and waste handling (11 percent). Other allegations related to biodiversity, animal welfare, as well as employee rights and safety. Further, we…
Imagine having two wallets – one filled with cash, the other with airline miles or hotel points. Which would you reach for when it’s time to pay? The answer, according to our new paper, coauthored with Freddy Lim from the National University of Singapore, says a lot about you as a…
Then there’s "Hump Day", in which a talking camel excitedly asks office workers what day it is. No prizes for guessing what the correct answer is. The 2013 campaign, by auto insurance firm GEICO, did not just increase brand awareness and engagement. It became a cultural phenomenon. The clincher? The simplicity…
In some sectors, workers are constantly pushed to extremes, not unlike stunt performers whose bodies are treated as tools – stretched and sacrificed to meet professional demands. Notably, similar patterns are observed in soul-sucking, albeit prized, careers such as consulting, investment banking and other financial services. The recent deaths of…
Already the world’s fastest-growing major economy, India is on track to become the third largest by 2030. However, this development comes with a significant challenge − sustainability. India ranks seventh globally for climate vulnerability, and both its consumers and companies are generally unwilling or unable to pay a ‘green premium’…
Emerging technologies like big data, AI and blockchain are reshaping finance. New products, such as platform finance, peer-to-peer lending and robo-advisory services, are examples of this transformation. These developments raise important questions: How concerned should traditional financial institutions be? What strategies can fintech and “techfin” (technology companies that move into…
Diverse research findings by INSEAD faculty this month include a new strategy that could help improve tax collection and a way of improving the safety and reliability of AI in healthcare. Other research looks at how taking part in standard-setting organisations (SSOs) can help technology companies get better at forecasting.Another study…
From virtual assistants to self-driving cars to medical imaging analysis, the use of modern AI technologies based on deep-learning architectures has increased dramatically in recent years. But what makes us put our faith in such technologies to, say, get us safely to our destination without running off the road? And…
It is perhaps no coincidence that the South Korean economy is also dominated by sprawling firms or chaebols. As we found in our study, now published as a working paper by the National Bureau of Economic Research, these large firms played a pivotal part in the growth miracle of the country…
What our model showsAs energy companies continue to install bigger wind turbines further offshore in the name of maximising energy output, our results counter the conventional wisdom that associates larger turbines with higher efficiency and profitability. The findings shed light on the inherent trade-offs in turbine size and wind farm…
Responding to the rise in sales and popularity of Chinese electric vehicles (EVs), the United States and European Union have imposed hefty import taxes to curb the market penetration of Chinese EVs and protect local automotive manufacturers. Scholars have cautioned that such industrial policies should be temporary, as they can have unintended lasting…
Sustainability is no longer just a buzzword – it has become critical for life on our planet. It will also be a key actor in shaping corporate strategy and success. The shift towards sustainability has been increasingly embraced, and the common way companies do this is through the ESG (environmental, social and governance) framework. But even though corporate impact on…
Leadership happens in groups, as does most work. Without followers, who and what are we leading? As such, leaders must understand what groups need if they want to maximise performance. While most leaders should be familiar with the idea of executive coaching on an individual basis, they may know less…
Be it making deals for multimillion-dollar penthouses, corporate office suites or cosy suburban homes, negotiations often involve multiple stakeholders, long-term engagements and high stakes. This requires professionals to navigate incompatible interests in a conflict-prone environment.In the first part of our practice briefing published in the Journal of Property Investment & Finance,…
Nicolas, a busy senior executive, really enjoyed working in the construction industry. He knew his company had a mandatory retirement age, but he didn’t give it much thought. He figured that retirement would give him more time to perfect his golf game and travel with his wife.On the day he…
The world is knee-deep in a housing crisis. According to the United Nations, 1.6 billion people – one in every five – lack adequate housing, and the number could rise to 3 billion by 2030. It is a problem that plagues rich and poor countries alike, from Burundi to the…
In the digital age, social movements increasingly transcend national and cultural borders. #MeToo, for one, remains a global phenomenon seven years since it burst into the public consciousness. It has increased awareness of sexual offences and challenged traditional gender roles and stereotypes around the world. It may also have had an…
Wealth inequality, long a pressing issue that was exacerbated by Covid-19, remains a significant problem to governments and policymakers around the world. Many nations including the United States, Japan and France have recorded skyrocketing income disparities in the past few years, while South Africa has claimed the unenviable title of…
The past two decades, have seen many industries shaken to the core by a series of digital disruptions. This started with the advent of the internet, followed by the rise of social media, smartphones and now the shockwave of generative AI (GenAI). Industries such as media, advertising, mobility, tourism and…
Shifting influences Perhaps more importantly, our analysis found that the strength of these stakeholder influences is actually dynamic and can be negatively impacted by external economic crises. For a start, an economic slowdown or recession reduces the bargaining power of the labour force. This is because a tough economic environment…
Back in the early 1980s, plenty was written about the decline of American business on the global stage. One of the main criticisms levelled at US firms was their over-reliance on administrator CEOs. As a famous 1980 HBR article pointed out, these experts in finance and operations were too focused on short…
In the competitive world of business, entrepreneurs have long sought novel formulas such as the Business Model Canvas and the Lean Start-Up Method in their quest for success. The most potent tool, however, might be one that's centuries old: the scientific approach.From a series of experiments involving 759 start-ups across…
The biggest sustainability challenge today is not a lack of enthusiasm. We observe many more business leaders every day who are eager to engage in sustainability efforts, driven by factors such as government regulations, societal expectations, stakeholder demands or their own aspirations.The real challenge lies in effectively harnessing this enthusiasm…
Consider this: Heathrow Airport in the United Kingdom currently uses more energy than the entire west African country of Sierra Leone. Despite Africa accounting for less than 4 percent of global greenhouse gas emissions, many of its countries face significant threats from climate change, including increased droughts, floods, heat waves and potential crop…
Lately when I give lectures on leadership to various audiences, the topic of AI hardly ever fails to come up in the question-and-answer period. From what I hear, many people see AI as an ever-present and very worrisome development.It’s a paradox: On the one hand, plenty of observers are scared by how AI is…
People often ask us how to better understand others to be a more effective leader. Can we decipher a frown or someone’s folded arms to better understand them? Of course, some knowledge on reading people can be helpful. However, the challenge is that humans are, well, human, and that reactions don’t…
This month’s selection of new research by INSEAD faculty investigates how AI (artificial intelligence) can both enhance and constrain the human experience; size penalties in bond-market trading; and whether new inventions benefit younger and older workers to the same degree. Other recently released studies look at how multitasking can have…
In the pursuit of breakthrough innovation, it is easy to be dazzled by star performers, from successful CEOs and prominent lawyers to award-winning scientists. Mention electric vehicles, and Elon Musk springs to mind; radioactivity research, and Marie Curie comes to the fore. However, this fixation can overshadow the crucial role played by…
One of the realities of today’s financial markets is the outsized shareholder voting power held by the leading mutual funds. In 2021, the top three asset management companies (BlackRock, State Street and Vanguard) owned around 23 percent of S&P 500 firms. This made them the largest shareholders in 88 percent…