In the coming weeks we will be bringing you a range of articles and podcasts from the European Business Summit which has just been held in Brussels. Video interviews include:

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Well, maybe not. INSEAD professors Kishore Sengupta and Luk Van Wassenhove say their research has revealed what they call the 'experience trap.' "Conventional wisdom holds that as we do more things more often, we learn from experience and get better and better, and what we found in our research was that actually some of it may not be the case," Sengupta says.
http://knowledge.insead.edu/TheExperienceTrap080201.cfm?vid=17 »

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Counting the cost

The Société Générale case, in which a rogue trader ran up losses of around five billion euros, underscores the inadequacy of internal controls within banks, suggesting that central bank regulators should perhaps play a more active role in controlling the trading books of large banking institutions. However, INSEAD Professor of Banking and Finance Jean Dermine argues that relying on central banks alone is not the best solution and "pressure should be exercised on financial institutions to do a better job themselves."
http://knowledge.insead.edu/SocieteGenerale080202.cfm?vid=18 »

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Related article: Craig Smith on why managers fail to do the right thing

Winning with value

Too many companies focus on just the cost of software systems, rather than look at the business value they generate. That may not be surprising given the complexities of trying to assess the value of software assets, but according to a new study by INSEAD professor Soumitra Dutta, companies who do this are taking the easy way out.

In the study called 'Recognising the True Value of Software Assets', Dutta argues that this key existing asset represents 'enormous hidden value for the firm.' But for organisations to switch their attention to value rather than focus on cost will require a shift in mindset, he says.
http://knowledge.insead.edu/winningwithvalue080203.cfm?vid=19 »

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The value creation imperative

It's been just over 400 years since a Dutch company became the first organisation to sell shares and became publicly traded. By 2007, more than one billion people owned a stake in the world's companies worth more than $75 trillion.

Kevin Kaiser, INSEAD Affiliate Professor of Finance, says that's a dramatic change from the days when monarchs and dictators owned everything and used their country's resources for their good alone. Now, we own the companies as shareholders and Kaiser says that has a number of consequences. 
http://knowledge.insead.edu/valuecreation080103.cfm?vid=20 »

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Identifying, assessing and mitigating political risk

Businesses try to avoid investing in countries or areas of an economy where they face a high probability that their investment returns will be reduced or even eliminated completely by political developments. Yet while investors the world over are willing to spend considerable time and money employing lawyers and accountants to carry out ‘due diligence’ on planned investments, particularly those in foreign jurisdictions, very few resources - if any - are allocated to  examining the political factors that may influence the success of the venture.
http://knowledge.insead.edu/politicalrisk080204.cfm »

Islamic microfinance gains popularity in war-torn Afghanistan

After spending several years in Iran as a refugee struggling to make a living, Shooperi Sharif never imagined that one day she would have a business of her very own. Last year, the 34-year old mother of three took out an Islamic microfinance loan to expand her business -- it was an Islamic loan as she's one of thousands of Afghans who refuse to take interest-bearing loans. 
http://knowledge.insead.edu/islamicmicrofinance080205.cfm »

The impact of ageing

“Ageing of populations is often viewed very negatively. Yet we need to constantly keep in mind that it is a sign of success,” says Gavin Jones, co-editor of a new book called ‘The Impact of Ageing: A Common Challenge for Europe and Asia’. That’s because ageing populations in Europe and East Asia represent success in terms of lowering unsustainably high birth rates to replacement level, and prolonging life expectancy, he says. Jones adds that Asia needs to learn from Europe’s experiences and plan ahead.
http://knowledge.insead.edu/impactofageing080206.cfm »