Peter Singer on charitable giving

In the Washington Post: Heartwarming causes are nice, but let’s give to charity with our heads

"You’d have to be a real spoilsport not to feel good about Batkid. If the sight of 20,000 people joining in last month to help the Make-A-Wish Foundation and the city of San Francisco fulfill the superhero fantasies of a 5-year-old — and not just any 5-year-old, but one who has been battling a life-threatening disease — doesn’t warm your heart, you must be numb to basic human emotions.

Yet we can still ask if these emotions are the best guide to what we ought to do. According to Make-A-Wish, the average cost of realizing the wish of a child with a life-threatening illness is $7,500. That sum, if donated to the Against Malaria Foundation and used to provide bed nets to families in malaria-prone regions, could save the lives of at least two or three children (and that’s a conservative estimate). If donated to the Fistula Foundation, it could pay for surgeries for approximately 17 young mothers who, without that assistance, will be unable to prevent their bodily wastes from leaking through their vaginas and hence are likely to be outcasts for the rest of their lives. If donated to the Seva Foundation to treat trachoma and other common causes of blindness in developing countries, it could protect 100 children from losing their sight as they grow older."

The market for medical referrals

The medical profession finds (explicit) advertising repugnant, but specialists depend upon referrals, so there's a marketing industry at work: The Surprising Secret Behind Doctor Referrals

"Most patients assume that if they've got an ailment their family doctor can't fix, they'll be referred to a specialist who's, well, special for reasons they expect: ... So it may come as a surprise that the nattily dressed guy or gal sitting two chairs down in the waiting room, the one who brought that jumbo tin of caramel popcorn for the front-desk staff, may play a role in determining the next surgeon they see.


"With specialists' operating margins having fallen in the past decade and health care reforms putting increasing pressure on their bottom line, more are turning to this burgeoning group of marketing pros to open new-patient pipelines. For anywhere from $3,000 to $10,000 a month, these so-called referral-development consultants will provide marketing plans and dispatch a "physician liaison" to pound the pavement and praise the doctors' prowess. The pitches can focus as much on waiting-room decor as on clinical credentials, but in the end, marketers say, they're sparing doctors the roadside-billboard approach to bringing in patients, and reshaping a long-ignored, but important component of doctoring. "I tell doctors how to sell their business without looking needy, cheesy, greedy or sleazy," says Stewart Gandolf, founding partner of Healthcare Success Strategies, a Southern California medical marketing firm, which says it helped double referrals for one Midwest ophthalmologist in a six-month period.

"But while no one can fault a doctor for trying to drum up business in tough times, critics say that medicine and marketing can make for strange bedfellows. To be sure, accepting payment for a referral is illegal and patient advocates say that no doctor will intentionally make a bad referral....[But] a steady stream of thank-you gifts might keep a specialist top-of-mind. (Even years later, the Mobile, Ala., dental community still raves about one oral surgeon's gift basket: ribs and bottles of Jack Daniels.)

...

"The American Medical Association's Code of Medical Ethics requires doctors to provide patients with "relevant information" about potential procedures, but has no guidelines on what to tell them about the specialist to whom they're being sent. "It goes against the basic trust that is the centerpiece of the physician patient relationship," says Peter Clark, director of the Institute of Catholic Bioethics 

...

"If doctors are just getting in on the referral game, hospitals have been at it for some time -- and on a larger scale. Whereas patients see a hospital only as a place for serious tests and procedures, administrators see a hospital also as a collection of business areas (radiology, ORs, cancer centers) with specific revenue targets -- goals most readily reached when providers send along more patients. When hospitals buy physician practices and become their bosses, federal law prevents them from tying doctors' compensation to in-house referrals. But they are allowed to incentivize them by offering bonuses based on the overall performance of the hospital. "Go into a hospital board room, and 99 percent of the time they're talking about referrals and physician relations," says Timothy Crowley, a former managing director at Leerink Swann, a health care investment bank.

"Indeed, at a recent Hospital and Physician Relations Summit in Scottsdale, Ariz., hospital administrators and doctors gathered for three days to collectively fret about everything from "physician alignment" to "referral leakage." In one session, a Pennsylvania hospital official identifies one type of leak -- proactive patients doing their own doctor research -- as a growing challenge. Not that patients can't be corralled. Many hospitals now employ staffers called "navigators," who help recovering patients with paperwork and follow-up appointments. Part of their job, though, is insuring that the patients' next specialist has the same hospital logo on his or her lab coat.

The job market for assistant professors in marketing

That's the title of a new paper by César Zamudio, Yu Wang, and Ernan Haruvy, which looks at the market for marketers as a two sided matching problem.

Here's the abstract:
"We measure the value of different types of matches between job candidates and marketing departments by applying a structural two-sided matching model to a dataset of placements in the entry-level marketing professor job market in 1997 – 2005. Our results show that a match between a candidate trained in a particular field and a department with comparable faculty is not always the most valuable match. We find evidence for publications serving as quality signals for job candidates, especially publications in top marketing journals. Author positions close to the first and a large number of co-authors seem to be valuable signals of job candidates’ research productivity. Finally, matches between candidates who graduated from top ranked departments and top ranked hiring departments generate especially high matching values."

They write about the somewhat complicated unraveling they see in the market:
"The expertise structure of the marketing arena has caused the hiring process within each field to unravel differently. This is a consequence of the way research productivity is judged by marketing faculty from different fields. As of today, most candidates have defended their dissertation proposals by the time they participate in the market. CB [consumer behavior] and strategy job candidates are often expected to have multiple finished projects in their research pipeline, preferably submitted to top journals, by the time they participate in the market. This expectation requires that the candidate be involved in projects which are in advanced planning stages, and pursue active collaborations with senior faculty members. Modeling candidates, however, are only expected to have constructed a plan for their dissertation, along with preliminary results. This is because modeling articles often have a longer time to submission and the review process is considerably slower. Thus, modeling departments hire based on the promise of each candidate’s research proposal. To summarize, depending on the candidate’s field, he or she may be evaluated based on a promise of a planned project, or based on a rich portfolio of finished projects in which the candidate’s relative contribution is unknown.

Unraveling of pre-Christmas sales

Stores Push Black Friday Into October says the NY Times (today,Thursday, Oct 28):


"The first “Black Friday Now” deals at Sears will be available beginning Friday and Saturday. Amazon’s electronics department will offer sales on items like Blu-ray players and high-definition TVs on Friday, and Toys “R” Us is putting all the items in its 80-page Christmas toy book on sale on Sunday.


"Black Friday creep has been around for a while, but analysts say this year breaks new ground: the range of stores offering early discounts is wider, the discounts are steeper and the sale periods longer — in some instances, a full month before the real thing. Sears, for example, offered early promotions last year but expanded the hours and days this year, while Amazon is beginning earlier than ever.

“Consumers have been trained to buy merchandise only ‘on sale,’ ” Sherif Mityas, a partner in the retail practice at the consulting firm A. T. Kearney, said in an e-mail. “Given a limited budget, if retailers don’t capture that first or second purchase, they may find themselves with a lot of inventory the week before Christmas and the need for massive discounting to save the holiday.”

"Some shoppers asked for a longer sale period, both for convenience and out of nervousness over crowds, said Barbara Schrantz, executive vice president of marketing and sales promotion at Bon-Ton Stores. After a Wal-Mart employee was trampled and killed on Black Friday in 2008, stores increased their crowd-control measures, but they do not want safety concerns to keep shoppers away from stores.

"In some instances, deal hunters say, stores are just hijacking the Black Friday label. Mike Riddle, who started the site Black-Friday.net in 2006 to track deals, said shoppers should not believe that “special” prices for the Friday were necessarily lower than the usual price.

“Retailers are taking advantage of the term,” he said, citing the first Sears “Black Friday Now” circular as “nothing more than their weekly ad rebranded.” Tom Aiello, a spokesman for Sears Holdings, said the prices were not standard discounts; so far, customer response has been positive about this weekend’s deals, he said.

"Traditionally, stores used low prices on the Friday after Thanksgiving to attract shoppers, who, they hoped, would put full-price items in their carts alongside the bargains.

The market for beauty queens

Beauty queens are marketed as prizewinners, but they are also employees, as the firing of Miss California makes clear: Donald Trump to Miss California: You're fired.

"Wednesday brought another breathtaking twist to the saga of Carrie Prejean, the now-former Miss California USA who got the ax from the pageant's boss Donald Trump ...for not honoring her pageant commitments.
Trump told TMZ.com that Prejean refused to appear at roughly 30 events to which she was contractually bound. ...

Pageant officials say Tami Farrell, first runner-up to Prejean, will take over those responsibilities. Which, to be honest, nobody really understands. But they sound very important."

Market for recorded music

Digital Sales Surpass CDs at Atlantic
"Atlantic, a unit of Warner Music Group, says it has reached a milestone that no other major record label has hit: more than half of its music sales in the United States are now from digital products, like downloads on iTunes and ring tones for cellphones. "

"At the Warner Music Group, Atlantic’s parent company, digital represented 27 percent of its American recorded-music revenue during the fourth quarter. (Warner does not break out financial data for its labels, but Atlantic said that digital sales accounted for about 51 percent of its revenue.)
With the milestone comes a sobering reality already familiar to newspapers and television producers. While digital delivery is becoming a bigger slice of the pie, the overall pie is shrinking fast. Analysts at Forrester Research estimate that music sales in the United States will decline to $9.2 billion in 2013, from $10.1 billion this year. That compares with $14.6 billion in 1999, according to the Recording Industry Association of America.
As a result, the hope that digital revenue will eventually compensate for declining sales of CDs — and usher in overall growth — have largely been dashed....
Instead, the music industry is now hoping to find growth from a variety of other revenue streams it has not always had access to, like concert ticket sales and merchandise from artist tours. “The real question,” Mr. Rose said, “is how does the record industry change its rights structure so it captures a fairer percent of the value it creates in funding, marketing and managing the launch of artists?” "

In related news, a Boston judge has thrown out a suit by the RIAA (Recording Industry Association of America) against Boston U., seeking to subpoena IP addresses at which illegal downloads may have been made, on the grounds that
"The University has adequately demonstrated that it is not able to identify the alleged infringers with a reasonable degree of technical certainty. As a result, the Court finds that compliance with the subpoena as to the IP addresses represented by these Defendants would expose innocent parties to intrusive discovery."

Market for marketing professors

Dan Goldstein at LBS has published his impressions of and advice about the interviewing process at the American Marketing Association annual meetings: If you can get through this, you can be a marketing professor, EVERYTHING YOU EVER WANTED TO KNOW ABOUT THE AMA INTERVIEWS (2008 edition)

The Marketing meetings come half a year earlier than the Economics meetings, but they have a family resemblance. (I gather that years ago the Marketing job market meetings happened at the same time as Economics, as part of the ASSA meetings, but that the Marketing market unraveled...)

HT to Katy Milkman (who is on the market this year)