Thomas J. Sargent

Thomas Sargent is Rowan Distinguished Professor of Finance at the Wharton School of the University of Pennsylvania.

Most Strategy Failures Are Sequencing Failures

In 1997 British Airways spent tens of millions of pounds repainting its tailfins with world art. The designs were attractive and the execution was competent. But the rebrand was a disaster. The problem was that no one had thought about what British Airways should be before deciding what it should look like. Margaret Thatcher famously draped a handkerchief over a model tailfin at a trade show. The planes were eventually repainted.

The Crippling Effects of Unnecessary War

In California, gas stations are facing a unique challenge. The station signs are only configured to go up to $9.99 per gallon and at several stations the price of diesel has reached that maximum. Diesel prices are higher than they have ever been in history.

Worse, according to some news reports the advertising of the maximum price of $9.99 per gallon is meant to signal to truck drivers that they have run out of diesel altogether. Expensive diesel is a hit to the economy, but running out of the fuel at any price is a whole different kind of crisis.