Prof. Baba Shiv, one of our advisors, just published a fascinating paper on the power of our beliefs to influence brain activation, and on how marketing can influence those beliefs:

Price Tag Can Change The Way People Experience Wine, Study Shows (Science Daily)

- According to researchers at the Stanford Graduate School of Business and the California Institute of Technology, if a person is told he or she is tasting two different wines—and that one costs $5 and the other $45 when they are, in fact, the same wine—the part of the brain that experiences pleasure will become more active when the drinker thinks he or she is enjoying the more expensive vintage.

- “What we document is that price is not just about inferences of quality, but it can actually affect real quality,” said Baba Shiv, a professor of marketing who co-authored a paper titled “Marketing Actions Can Modulate Neural Representations of Experienced Pleasantness,” published online Jan. 14 in the Proceedings of the National Academy of Sciences. (Note: link here)

This Stanford article provides an overview of his research: click Here.

- “The belief in the academic field is that emotions are essential to decision making, otherwise you’ll end up making bad decisions,” Shiv says. “But,” he adds, explaining his huge contrarian streak, “I can show the opposite as well, that Read the rest of this entry »

Motto Magazine brings a great interview between Anita Sharpe and Michael Ray, on How To Reach Your Highest Goal. Very fun weekend reading material, including plenty of quotes and reflections on how creativity can be trained/ enhanced by one of my favorite Stanford MBA professors. Some quotes:

• “But as the 1980s began, Ray and Myers kicked off more than two decades teaching one of the most influential and talked about courses at Stanford University’s Graduate School of Business — a class on creativity and innovation. They taught MBA students who would go on to become some of the greatest creators in the world of business, including eBay’s first president, Jeffrey Skoll, and Good to Great author Jim Collins.”
• “When (Apple co-founder) Steve Jobs came to our class, everybody was saying we have to get into the computer business. He said, you don’t necessarily have to do that. He said, go into San Francisco and get a job as a waiter and find out what comes out of that.”
• MOTTO: You have had a number of renowned and successful students. How would you summarize the characteristics that they share that contribute to their inner and outer success?
• RAY: A sense of openness of consciousness. Those people who are Read the rest of this entry »