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Silence is not golden when it creates doubt

Something that has bothered me for a while is the deafening silence coming from management in defense of their companies. When their stock values are being pummeled on a daily basis, the fact that they have so little to say for themselves creates further doubt and hurts them more.

I'm not advocating talking heads with smiling faces proclaiming that everything is fine and trying to build confidence with optimistic speeches. I am advocating that they tell us what is working and what is not working, and what their short-term strategy is to ride out the storm or turn things around. When there are things they are concerned about, they should share those too.

Continue reading Silence is not golden when it creates doubt

More valuable than gold, oil, land, stocks, & Treasury notes

The most valuable thing on earth after life itself is TRUST.

Why is President Bush watching his approval rating collapse month after month -- Do you trust him? What has he done to build trust? Why are we so comfortable living with England having nuclear weapons and are panic-stricken by Iran's having them -- do you trust them? What have they done to build trust?

What was the cause of Adam & Eve's being banished from the garden of Eden? A breach of trust. Right from the start, up until this very moment it is trust that creates brotherhood between peoples and also builds strong brands. Trust that allows a temporary leap of faith until the facts are known and it is trust that positions the market place for "just-in-time" manufacturing and without which the process would come to a swift and grinding halt.

Johnson & Johnson did all the right things way back when they had the now-historic Tylenol tampering scare to contend with and they wisely focused their attention on maintaining trust at all costs. Enron did all the wrong things. Arthur Anderson drowned in a sea of mistrust flowing from their own questionable ethics and we witnessed a very valuable enterprise rapidly collapse. In my architecture practice I have lectured on this subject constantly to everyone who would listen; staff, clients, consultants, public officials etc. Anything that builds trust is a good thing, anything that reduces trust is a bad thing!

Continue reading More valuable than gold, oil, land, stocks, & Treasury notes

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DJIA+123.1110,441.27
NASDAQ+28.822,174.86
S&P 500+14.661,106.04

Last updated: November 23, 2009: 01:00 PM

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