Strategic Management

Strategic Management

3. Go to www.nytco.com/investors and check whether the New York Times Company’s recent financial reports indicate that its business model is working. Can the company’s business model remain sound as more consumers go to the Internet to find general information and stay abreast of current events and news stories? Is its revenue stream from advertisements growing or declining? Are its subscription fees and circulation increasing or declining? Read the company’s latest press releases. Is there evidence that the company’s business model is evolving? To what degree does its strategic response to changing industry conditions seem proactive and deliberate versus reactive and adaptive (emergent)?

I would like to address the typical “Big Business” information that is spread through the media to establish a better foothold within a particular marketplace. It seems that information is always favored in the eye of the beholder; come information contained within the New York Times Media Conference notes. Even to the moderately informed individual, one can read through those notes and get a warm fuzzy of confidence in wanting to buy a pile of stock because of the perceived strengths that the company presented. If further research was not conducted into other financial discussions of the actual stability of the New York Times, a large investment may not be warranted. It is very obvious there is a large discrepancy between the Media Conference notes, the 2012 Annual Meeting of the Stockholders, and the 2012 First Quarter Earnings Conference Call.

The Media Conference notes showed, for the most part, percentage increases in almost all aspects of the business from earnings, growth, digital subscriptions, and even strong advertising revenue streams (Robinson, 2011). The other two reports seemed to take a slightly different view and tone while addressing the stockholders in the company and having the Chairman/CEO of the New York Times present...