Fixing the Game: Bubbles, Crashes, and What Capitalism Can Learn from the NFL

( 4 )

Overview


American capitalism is in dire straits, caught in a perilous pattern of increasing volatility, decreasing investor returns, and ongoing bad behavior by executives. And it?s getting worse. Since the turn of the twenty-first century, we?ve seen two massive value-destroying market meltdowns and a string of ethics breaches, including accounting scandals, options-backdating schemes, and the subprime mortgage debacle.

Just what is going on here? Is it the inevitable decline of the ...

See more details below
Other sellers (Hardcover)
  • All (32) from $1.99   
  • New (15) from $1.99   
  • Used (17) from $1.99   
Fixing the Game: Bubbles, Crashes, and What Capitalism Can Learn from the NFL

Available on NOOK devices and apps  
  • NOOK Devices
  • NOOK HD/HD+ Tablet
  • NOOK
  • NOOK Color
  • NOOK Tablet
  • Tablet/Phone
  • NOOK for Windows 8 Tablet
  • NOOK for iOS
  • NOOK for Android
  • NOOK Kids for iPad
  • PC/Mac
  • NOOK for Windows 8
  • NOOK for PC
  • NOOK for Mac
  • NOOK Study
  • NOOK for Web

Want a NOOK? Explore Now

NOOK Book (eBook)
$13.99
BN.com price
(Save 43%)$24.95 List Price

Overview


American capitalism is in dire straits, caught in a perilous pattern of increasing volatility, decreasing investor returns, and ongoing bad behavior by executives. And it’s getting worse. Since the turn of the twenty-first century, we’ve seen two massive value-destroying market meltdowns and a string of ethics breaches, including accounting scandals, options-backdating schemes, and the subprime mortgage debacle.

Just what is going on here? Is it the inevitable decline of the American economy? Is it the new normal in a technology-enabled global marketplace? Or is it possible that the very theories we’ve embraced to underpin our capital markets are actually producing these crises?

In Fixing the Game, Roger Martin reveals the culprit behind the sorry state of American capitalism: our deep and abiding commitment to the idea that the purpose of the firm is to maximize shareholder value. This theory has led to a massive growth in stock-based compensation for executives and, through this, to a naive and wrongheaded linking of the real market—the business of designing, making, and selling products and services—with the expectations market—the business of trading stocks, options, and complex derivatives. Martin shows how this tight coupling has been engineered and lays out its results: a single-minded focus on the expectations market that will continue driving us from crisis to crisis—unless we act now.

Using the National Football League as his primary example, Martin illustrates that it is possible to take a much more thoughtful and effective approach than we now do to the intersection of the real and the expectations markets and to governance in general in the capital markets. Martin shows how we can act to end the destructive cycle, including:

• Restructuring executive compensation to focus entirely on the real market, not the expectations market
• Rethinking the meaning of board governance and role of board members
• Reining in the power of hedge funds and monopoly pension funds

Concise, hard-hitting, and entertaining, Fixing the Game advocates seizing American capitalism from the jaws of the expectations market and planting it firmly in the real market—and it presents the steps we must take now to do so.

Read More Show Less

Editorial Reviews

Publishers Weekly
Amid the glut of economics books and theories saturating current markets emerges a unique concept. Martin, dean of University of Toronto's Rotman School of Management, proposes that capitalism can avoid bubbles and crashes by emulating the NFL. In the NFL the focus of the real game is on the fans, rather than the owners. Therefore, the goal is to put a real product on the field. If it pleases the fans, it will then reward the owners. Martin (The Design of Business: Why Design Thinking is the Next Competitive Advantage) argues that corporations aim to "feather nests" of their executives which leads to market upheavals based on an "expectations" market rather than a real market of tangible goods and services. If the real market is dominant, companies will focus on even better ways to serve their customers, as opposed to focusing on traders in an "expectations" market; in turn they will always profit, regardless of the results. Martin cites well-known examples of corporate greed but also details the psychological toll on many executives who lose their "sense of authenticity" in the current climate. He concludes his very accessible text with suggestions for reform that will improve both authenticity and the bottom line. (May)
From the Publisher

“excellent book” – The Guardian

“All business leaders, not just the one who wants to be chief executive of the “American company” should take notice.” “Professor Martin makes the point particularly vividly, observing that the way we currently reward corporate C.E.O.’s is roughly equivalent to rewarding football teams for exceeding expectations rather than winning games.” — The New York Times Economix blog

"As Roger Martin details in his brilliant, Fixing the Game: Bubbles, Crashes, and What Capitalism can Learn From the NFL, CEO pay exploded when companies adopted reward systems based upon maximizing shareholder value.” — Huffington Post

“what the reader gets in Fixing the Game is deeply thoughtful business commentary with an excellent marketing case study to boot, namely the NFL” — Graziadio Business Review

“One of the few business school leaders to confront the disgrace of business leadership through the economic crisis, Martin is also a big football fan, and draws provocative lessons from his enthusiasm for the sport.” - CBS News

Named the Best Management Book of 2011 by strategy+business magazine

“Fixing the Game is a passionate, timely, and incisive look at how today’s capitalist system, with its commitment to shareholder value, is leading to bubbles and crashes. He presents some tough-minded solutions.” – The Globe and Mail

“American capitalism hangs in the balance, writes Martin. His book gives a clear explanation as to why this is so and what should be done to save it.” “Brilliant new book…” - Forbes.com

“His conclusions have a global relevance” – Financial Times

“recommend Roger Martin's new book, Fixing the Game, which explores the demands of Wall Street vs. the common sense decisions of Main Street…Martin is clear where successful CEOs and their Boards need to focus -- and that's on the actual game on the real field, not the one played by the bookies.” – Huffington Post

“very accessible text with suggestions for reform that will improve both authenticity and the bottom line.” - Publisher’s Weekly

“a lively, intricate but accessible argument, neatly stitched together with references to the NFL and other sports when analogies are helpful.” - Globe & Mail

“it often offers the additional feel-good fillip of a practical path toward improvement. It is a universe of engaging stories and ultimately uncontentious outcomes -- think the wildly popular oeuvre of Malcolm Gladwell.” - Reuters

“Roger Martin has written a book that is at once original, insightful, and inspirational. With his ‘tell-it-as-it-is’ bluntness, he chronicles the failures of modern-day capitalism and offers clear and realistic policy recommendations for ‘fixing the game’ and building a better world for investors. If you enjoy wit and seek wisdom, this is the book for you.”
—John C. Bogle, founder and former chief, The Vanguard Group

“We’ve gone from an economy based on making things to one based on making things up. Wall Street has been remodeled as a casino in which the expectations market, reflected in stock prices, has become more important than the real market in which real factories are built, real products are developed and sold, and real dollars show up on the bottom line. Roger Martin offers a riveting account of how the expectations game is beginning to destroy the real game, threatening the future of American capitalism. Through his brilliant analysis of the NFL (which will entrance even those who don’t follow the market), he shows us how we can get back to the real game of building for the present and the future. Fixing the Game is a must-read for all who care about business being a positive agent for change in the world. And that should be all of us.”
—Arianna Huffington, cofounder and Editor-in-Chief, The Huffington Post

“Fixing the Game is an essential book, one that should be read by leaders in the business community and financial regulators worldwide. Martin identifies the insidious trap that can so easily seduce entrepreneurs and CEOs—the temptation to simply trade value rather than create it—and provides clear, compelling advice on how to keep focused on the real game—of creating and satisfying customers, running a business legally and ethically, and staying true to a well-thought-out ‘real-world’ strategy.”
—Nandan Nilekani, Chairman, Unique Identification Authority of India, and former CEO, Infosys Technologies Limited

“Fixing the Game artfully links theory and practice, and reminds us that getting both right is important if we are going to fix capitalism. Roger Martin asks provocative questions about what constitutes good management, and forces the reader to consider the ways in which elegant logic or a compelling theory actually undermines commonsense business practice. And along the way he identifies changes—in regulation, business, and governance—that will realign private incentives with the public good.”
—Judith Samuelson, Executive Director, Business and Society Program, the Aspen Institute

Read More Show Less

Product Details

  • ISBN-13: 9781422171646
  • Publisher: Harvard Business Review Press
  • Publication date: 5/3/2011
  • Pages: 272
  • Sales rank: 732,876
  • Product dimensions: 5.80 (w) x 8.30 (h) x 1.10 (d)

Meet the Author


Roger Martin is dean of the Rotman School of Management at the University of Toronto and a professor of strategic management at the school. He authored The Responsibility Virus, The Opposable Mind, The Design of Business and many articles in leading business publications including Harvard Business Review, BusinessWeek, Fast Company, and Barron's.
Read More Show Less

Customer Reviews

Average Rating 4
( 4 )
Rating Distribution

5 Star

(2)

4 Star

(1)

3 Star

(0)

2 Star

(0)

1 Star

(1)

Your Rating:

Your Name: Create a Pen Name or

Barnes & Noble.com Review Rules

Our reader reviews allow you to share your comments on titles you liked, or didn't, with others. By submitting an online review, you are representing to Barnes & Noble.com that all information contained in your review is original and accurate in all respects, and that the submission of such content by you and the posting of such content by Barnes & Noble.com does not and will not violate the rights of any third party. Please follow the rules below to help ensure that your review can be posted.

Reviews by Our Customers Under the Age of 13

We highly value and respect everyone's opinion concerning the titles we offer. However, we cannot allow persons under the age of 13 to have accounts at BN.com or to post customer reviews. Please see our Terms of Use for more details.

What to exclude from your review:

Please do not write about reviews, commentary, or information posted on the product page. If you see any errors in the information on the product page, please send us an email.

Reviews should not contain any of the following:

  • - HTML tags, profanity, obscenities, vulgarities, or comments that defame anyone
  • - Time-sensitive information such as tour dates, signings, lectures, etc.
  • - Single-word reviews. Other people will read your review to discover why you liked or didn't like the title. Be descriptive.
  • - Comments focusing on the author or that may ruin the ending for others
  • - Phone numbers, addresses, URLs
  • - Pricing and availability information or alternative ordering information
  • - Advertisements or commercial solicitation

Reminder:

  • - By submitting a review, you grant to Barnes & Noble.com and its sublicensees the royalty-free, perpetual, irrevocable right and license to use the review in accordance with the Barnes & Noble.com Terms of Use.
  • - Barnes & Noble.com reserves the right not to post any review -- particularly those that do not follow the terms and conditions of these Rules. Barnes & Noble.com also reserves the right to remove any review at any time without notice.
  • - See Terms of Use for other conditions and disclaimers.
Search for Products You'd Like to Recommend

Recommend other products that relate to your review. Just search for them below and share!

Create a Pen Name

Your Pen Name is your unique identity on BN.com. It will appear on the reviews you write and other website activities. Your Pen Name cannot be edited, changed or deleted once submitted.

 
Your Pen Name can be any combination of alphanumeric characters (plus - and _), and must be at least two characters long.

Continue Anonymously
Sort by: Showing all of 4 Customer Reviews
  • Posted May 25, 2011

    Fixing American Capitalism

    Roger Martin (Dean, Rotman School of Management, The University of Toronto) has written an insightful and easily understood description of the problems with contemporary American capitalism. Martin's book is a must read for anyone who cares about the well-being of the American economic system and how Wall Street/hedge funds have virtually corrupted true American capitalism. Using management of the National Football League as a paradigm, Dean Martin describes the Agency Theory problems and suggest how the problems could be corrected. The central theme wending through the book is the notion of American companies not being focused on the real market of producing goods and services to satisfy customer needs and wants, but concentrating their energy on the expectation market of Wall Street/hedge funds and "maximizing" shareholder value. Martin, highlighting the threat to American capitalism from the expectation market, states: "... a real market orientation creates individual and societal good, while an expectations orientation creates a downward spiral that threatens both individual well-being and the health of our economy. American capitalism is in danger, and the danger stems directly from the way we have linked the real world to the expectations world [i.e., Wall Street and hedge fund casinos], amplifying the influence of the expectations market on the real market."

    1 out of 1 people found this review helpful.

    Was this review helpful? Yes  No   Report this review
  • Posted October 26, 2012

    more from this reviewer

    Winning Idea that corporate America can score by following the National Football League

    Roger L. Martin, dean of the University of Toronto’s Rotman School of Management and a life-long sports enthusiast, believes the 2008 mortgage meltdown was only the most recent crisis in the chronically ill US economy and that another setback is inevitable unless American business leaders change their approach. He traces the US economy’s problems to the mid-1970s, when corporate philosophy shifted from serving consumers to placating shareholders. He calls for a return to the old business model of paying executives based on real achievement not on meeting or missing projections. He cites the US National Football League (pre-referee strike) as the perfect illustration of how well a real-rewards model can work if executives put their customers first. “It isn’t about how profitable a company wants to be,” Martin says, “It is about in what way the company becomes profitable.” getAbstract believes that his playbook can help corporations get back in the game.

    Was this review helpful? Yes  No   Report this review
  • Posted January 17, 2012

    Amazing

    If you ever wondered exactly what seemed wrong with capitalism these days, why so many companies made so much money without actually making anything, this is the book for you.

    Was this review helpful? Yes  No   Report this review
  • Anonymous

    Posted December 3, 2011

    No text was provided for this review.

Sort by: Showing all of 4 Customer Reviews

If you find inappropriate content, please report it to Barnes & Noble
Why is this product inappropriate?
Comments (optional)