Media Coverage: July 2007

Patent Baristas, 07/27/2007—Article on patent research by Daniel Cahoy, associate professor of business law. Cahoy "suggests an innovative licensing framework that separates countries into three economic development tiers with different royalty mechanisms. Such a nuanced system, the article argues, will lead to more predictability and effective institutional mechanisms, ensuring continued innovation and greater access to essential medicines." (The Myths Of Doha: Compulsory Licenses).

RadioPA Networks, 07/24/2007—Donald Hambrick, Smeal Chaired Professor of Management, was interviewed regarding his study on CEO narcissism. RadioPA Networks has 64 affiliates in Pennsylvania.

The Philadelphia Inquirer, 07/23/2007—Article on corporate management research by Donald Hambrick, Smeal Chaired Professor of Management. "Hambrick, who declined to name any of the participants in his study, is trying to prove a point: that companies headed by narcissistic CEOs have higher highs and lower lows than those headed by humbler types. The professor of management at the university's Smeal College of Business based his conclusion on some interesting metrics, such as the size of the CEOs' photos in the annual report and how often they refer to themselves using the first-person singular 'I' or 'me' in media interviews. (Studying Company Chiefs: Is There A Narcissism Link?) This article also appeared on PhillyInc.biz.

NewsRX.com, 07/23/2007—Article on patent research by Daniel Cahoy, associate professor of business law. "A Penn State researcher argues that ambiguous international rules outlining when and how governments may 'break' pharmaceutical patents may end up significantly reducing incentives for innovation while at the same time failing to increase access to medicines." (Study Urges Compensation-Based Approach To Drug Patent Compulsory Licensing). This article appeared in seven NewsRX.com publications, including Biotech Week and Science Letter.

The San Diego Union-Tribune, 07/22/2007—J. Edward Ketz, associate professor of accounting, is quoted regarding accounting scandals. "The essential problem is the human heart and its insatiable greed," said Ketz. "If our rules or our institutions could deal with this issue, then society could celebrate the end of accounting scandals, as well as other callous behaviors. As it is, the investing public better remain vigilant for a long time to come. Its pocketbook depends on it." (Running An Audit On Accounting Scandals).

The Washington Post, 07/21/2007—Brent Ambrose, professor of real estate, is cited regarding risk and fixed-rate and adjustable loans. "The higher interest charged on fixed-rate loans reflects the added risk such loans pose for lenders, said Brent Ambrose, a real estate professor at Pennsylvania State University. With fixed loans, lenders bear the risk of financing a mortgage that borrowers can then refinance without penalty if rates go down, he said." (A Tidier Way To Borrow). This article also appeared in the Austin American-Statesman and the Rockford (Ill.) Register Star, among other newspapers.

MoneyShow.com, 07/19/2007—Fariborz Ghadar, director of the Center for Global Business Studies, comments on oil prices. Ghadar "thinks the 'fear premium [in oil prices] may be $5 to $6 a barrel' now. And in the future? 'It all depends on what happens in the Middle East,' he says. 'I don't think [a military confrontation with Iran] is in the market. If that happens, we could get $100 oil for sure." (Editor's Note).

The Associated Press, 07/17/2007—Article on corporate management research by Donald Hambrick, Smeal Chaired Professor of Management. "If your boss' ego barely fits through the door of his cushy corner office, prepare yourself for a roller coaster ride. Companies led by narcissistic chief executives tend to change strategy more frequently and have more extreme performance fluctuations, according to new research by Penn State's Smeal College of Business." (Business Water Cooler Stories: Egotistical Execs). This article appeared in dozens of newspapers and Web sites.

Pittsburgh Post-Gazette, 07/15/2007—Article on corporate management research by Donald Hambrick, Smeal Chaired Professor of Management. "Whether it's because of Chrysler's Lee Iacocca, General Electric's Jack Welch, Tyco International's Dennis Koslowski, Hewlett-Packard's Carly Fiorina, or Berkshire Hathaway's Warren Buffett, there's no doubt in Donald Hambrick's mind that CEOs are much more public figures these days than they were 20 or 30 years ago." (It's No Greek Myth: Narcissistic CEOs Often Good For 'Wild Ride').

Portfolio.com, 07/13/2007—Article on corporate management research by Donald Hambrick, Smeal Chaired Professor of Management. "Companies led by narcissistic chief execs tend to make more frequent strategy changes, undertake larger acquisitions, and experience extreme performance swings, according researchers at Penn State's Smeal College of Business." (Put Your Ego To Work).

PhillyBurbs.com, 07/12/2007—Blog entry on corporate management research by Donald Hambrick, Smeal Chaired Professor of Management. "Factor this one into your investment portfolio. A Penn State management professor thinks he's found why some CEOs make bold moves—they're narcissists." (Narcissistic CEO Often Cause Of Company's 'Wild Ride').

The Associated Press, 07/11/2007—Article on corporate management research by Donald Hambrick, Smeal Chaired Professor of Management. "The bigger the ego, the wilder the ride. Companies led by more narcissistic CEOs tend to make more frequent strategy changes and larger acquisitions, according to a new study by Penn State University researchers." (Study: More Narcissistic CEOs Take Companies On Wild Rides). This article appeared on several Web sites, including Forbes.com and MSNBC.com, and in newspapers, including the Houston Chronicle, Miami Herald, and Wall Street Journal Europe.

PhillyInc.biz, 07/11/2007—Article on corporate management research by Donald Hambrick, Smeal Chaired Professor of Management, appears on the Philadelphia Inquirer's business blog. "If your boss' portrait hangs on the office wall and adorns company statements, if he or she is quoted in every company news release, if you hear the pronouns 'I' and 'My' a lot from the front office, you might want to take some time to read this new study from Pennsylvania State University's Smeal College of Business, entitled 'It's All About Me: Narcissistic CEOs and Their Effects on Company Strategy and Performance.'" (Mirror, Mirror On The Boardroom Wall). An abbreviated version of this article ran in The Philadelphia Inquirer.

Athens Banner-Herald, 07/11/2007—Terrence Guay, clinical assistant professor of international business, comments on defense industry politics. "Though the Centers for Disease Control and Prevention gives Georgia a strong case for hosting the facility, Georgia legislators don't have the long-standing political clout in Washington that Texas and Mississippi have, said Terrence Guay, a Penn State expert on the defense industry. 'Going purely on political influence, Texas could probably have this wrapped up,' Guay said." (UGA Site Finalist For Biodefense Lab).

United Press International, 07/10/2007—Article on patent research by Daniel Cahoy, associate professor of business law. "Regardless of the approach that is ultimately adopted, Cahoy argues: 'A revision of essential international law is required to both better enable access and shore up innovation incentives. Considering the problem in terms of remuneration, rather than the legal right to license, one can arrive at clearer, more equitable solutions.'" (Study Urges Drug Patent Licensing Revision). This article also appeared on several Web sites.

MSN Money, 07/09/2007—Fariborz Ghadar, director of the Center for Global Business Studies, comments on the effectiveness of economic sanctions. "Many experts in international business ... say sanctions are counterproductive in a global economy. To them, it makes more sense to try to influence countries by staying engaged economically. 'If we don't do it somebody else will step in,' says Ghadar. He points to Sudan, where Chinese companies picked up the slack in the energy sector after Western companies pulled out." (Are You Investing In Terrorism?).

Centre Daily Times, 07/01/2007—Pat Cataldo, associate dean for executive education, writes in his monthly column about career transitions. "Parting with style, aplomb, grace, and good feelings may some day prove to be critical to your personal success or the success of your new employer. You just never know for sure," Cataldo writes. (Planning The Right Job Exit Strategy).

CentreDaily.com, 07/01/2007—Pat Cataldo, associate dean for executive education, writes in his blog about career transitions. "Remember that country song by Johnny Paycheck?" Cataldo writes. "Well, 'Take This Job and Shove It,' may be a great title for a song but it's no way to move your career forward." (Thinking Ahead in Business—Transition).

BizEd, July/August 2007—Article on weather prediction markets research being conducted by the Laboratory for Economics Management and Auctions. "In the experiment, business and meteorology students use allotted funds to bet on what they believe the high and low temperatures will be in different U.S. cities on a given day. As the going rates for various temperatures fluctuate within the market, the researchers can weight the market's confidence in what temperatures will be reached." (Want To Know The Weather? Check The Markets).