Best Business Books 2004: Are We There Yet?

Though the American economy was still sluggish in 2004, the global economy had its best year in more than two decades. Global economic growth was estimated at five percent in 2004, but forecasts indicate it will probably drop to three percent this year as risks to investments increase everywhere. Observers also predict that Brazil, Russia, India, and China will be the major sources of growth in the next ten years. Recovery in the United States is still slow and steady, but war, interest rates, and oil prices blew it off course. Hot business trends for 2004 in the United States included: 1) authenticity or uniqueness, gained from using local materials and ingredients, traditional and artisanal methods, and environmentally friendly and socially responsible practices; 2) youthfulness, as in boomers trying to return to their youthful selves and see "35" as the demographic age everyone can admit to and enjoy; 3) multitasking and memory loss, the first being necessary owing to the time shortage in our overextended lives, while the second results from trying to do too many things at once; 4) the obesity problem among Americans, which is hardly news to anyone but the industries (e.g., healthcare and pharmaceuticals, food service) that thrive from helping people lose weight; and 5) "being" spaces or "The Third Place," after home and work or school, which businesses like Starbucks, Borders, and even McDonald's are designing to give customers a comfortable environment and sense of community in which to wile away the hours with food, drink, and Wi-Fi.

Several outstanding books analyze the state of the U.S. and world economies in 2004. Laurence Kotlikoff and Scott Burns's The Coming Generational Storm as well as Peter Peterson's Running on Empty show how, instead of looking at demographics and social security, politicians look at the next election when making important economic decisions. Daniel Altman's Neoconomy examines how George W. Bush's shaping of the economy changed our society—for better or worse remains to be seen. Leaders and managers of corporations weren't overlooked either: Confronting Reality byLarry Bossidy and Ram Charan studies Home Depot, 3M, and Cisco to help devise a methodology that would take companies to the next level. Stephen Covey, in The 8th Habit, seeks to create a workplace where everyone will feel valued. Similarly, Patrick Lencioni's well-organized, prescriptive fable, Death by Meeting, addresses the huge hidden cost of productive hours lost to ineptly run meetings.

With corporations ever expanding into global operations and markets, globalization remains a hot topic in the business world. Jagdish Bhagwati's In Defense of Globalization looks at globalization's history so far and makes suggestions for guiding its development. Robert Isaak's The Globalization Gap also presents new ideas and innovations to humanize globalization, while Paul and Anne Ehrlich's One with Nineveh advocates changing current business practices to become more societal-friendly.

However, with stock markets still reacting violently to current events, investing for good returns in healthy corporations remains on the minds of investors across the generations—from "Millennials" to the "Silent Generation" alike. This is why Michael Finney urges us to be wise consumers in Consumer Confidential and Andy Kessler discloses his practical investment approach in Running Money.

If 2003 was the year of the "jobless recovery," then 2004 was the year of the "almost recovery." As we remain hopeful that 2005 proves rosy, patrons will continue to seek titles on investments, the economy, and small business opportunities.

AULETTA, KEN. Media Man: Ted Turner's Improbable Empire (Enterprise). Norton. 160p. ISBN 0-393-05168-4. $22.95. In this short but dynamic biography of Turner, Auletta (Three Blind Mice), who was granted unique access to the man and his insiders, describes how Turner's upbringing by a domineering father and his marriage to and later divorce from actress and radical Jane Fonda influenced his life and career. He also shows how Turner revolutionized TV by turning a tiny Atlanta station into a national cable powerhouse.

DERMAN, EMANUEL. My Life as a Quant: Reflections on Physics and Finance. Wiley. 292p. ISBN 0-471-39420-3. $29.95. South African physicist Derman is known for developing various trading tools like an options-pricing method and for co-inventing the pricing options on Treasury bonds. Packed with details and as entertaining as a novel, this memoir follows Derman's career in physics and then financial engineering as one of Wall Street's leading experts on quantitative analysis.

DOLAN, BRIAN. Wedgwood: The First Tycoon. Viking. 396p. ISBN 0-670-03346-4. $24.95. Josiah Wedgwood (1730–95), considered the father of our label-obsessed society, grew up in a family of struggling potters, performing experiment after experiment in an effort to develop attractive forms of pottery. He later transformed the process of shopping for pottery by holding demonstrations in an early version of the showroom. Historian Dolan fully reveals the life of this entrepreneur who beat the odds and went on to invent one of the most recognizable luxury brand names in the world.

GARDNER, HOWARD. Changing Minds: The Art and Science of Changing Our Own and Other People's Minds. Harvard Business School Pr. 288p. ISBN 1-57851-709-5. $26.95. In this nonprescriptive study, Gardner (Harvard) explores a striking paradox of human development: as children we easily change our minds, but as adults we become more resistant. Drawing on years of research and even analyzing the behavior of individuals like President George W. Bush, Margaret Thatcher, and Nelson Mandela, Gardner identifies seven levers that aid or thwart the process of mind change, e.g., reason and real-world events. (LJ 4/15/04)

MORTENSEN, KURT W. ROBERT G. ALLEN. Maximum Influence: The 12 Universal Laws of Power Persuasion. AMACOM: American Management Assn. 240p. ISBN 0-8144-7258-3. pap. $17.95. Accessible but backed up by psychological research, this book is chock-full of advice on how to create a successful career. Mortensen and Allen teach techniques of persuasion, influence, and motivation, showing us how to read others, make people trust and like you, and even persuade them to change their mind.

SHERMAN, RUTH. Get Them To See It Your Way, Right Away: How To Persuade Anyone of Anything. McGraw-Hill. 256p. ISBN 0-07-142273-0. pap. $14.95. Loaded with charts, tips, forms, and exercises, this guide provides a step-by-step approach to becoming a successful communicator. Communication consultant Sherman presents well-structured chapters on such topics as setting goals, listening, and asking solid questions.

SUROWIECKI, JAMES. The Wisdom of Crowds: Why the Many Are Smarter Than the Few and How Collective Wisdom Shapes Business, Economies, Societies and Nations. Doubleday. 320p. ISBN 0-385-50386-5. $24.95. According to Surowiecki, the "collective intelligence" of crowds depends on four important factors: diversity of opinion, independence of members from one another, decentralization, and a method for gathering opinions. Born out of his New Yorker column, "Financial Page," this book explores the contentious idea that many are smarter than the few and pinpoints its manifold effects. (LJ 4/1/04)

ALTMAN, DANIEL. Neoconomy: George Bush's Revolutionary Gamble with America's Future. Public Affairs. 304p. ISBN 1-58648-229-7. $26.95. Neoconomy is a system in which high savings rates lead to fast economic growth and rapidly rising living standards. Altman, a columnist for The Economist, explains in this compelling book the roots of the current administration's economic policy and how it might play out in either the neoconomist's dream or a nightmare for America's citizenry.

KOTLIKOFF, LAURENCE J. SCOTT BURNS. The Coming Generational Storm: What You Need To Know About America's Economic Future. MIT Pr. 328p. ISBN 0-262-11286-8. $27.95. In this sobering study, Boston University economist Kotlikoff predicts that our government's decades of fiscal irresponsibility—including tax cuts and extravagant spending—will combine with an unprecedented demographic shift to create a crisis for society in general. The future, he warns, will bring a generational imbalance where too many retirees are dependent on too few working-age people. (LJ 3/15/04)

MALLABY, SEBASTIAN. The World's Banker: A Story of Failed States, Financial Crises, and the Wealth and Poverty of Nations. Penguin Pr. 432p. ISBN 1-59420-023-8. $29.95. Economist Mallaby presents an insightful, even-handed assessment of the World Bank, its leader Jim Wolfensohn, and the West's attempts to tackle the problem of global poverty. He discusses the challenges of global financial crises, AIDS, and the emergence of terrorist sanctuaries.

PETERSON, PETER G. Running on Empty: How the Democratic and Republican Parties Are Bankrupting Our Future and What Americans Can Do About It. Farrar. 272p. ISBN 0-374-25287-4. $24. Claiming that too many key economic decisions are made with the next election rather than the next generation in mind, Peterson (Gray Down) predicts that this year's trade gap will be near $500 billion and that Social Security will be insolvent by 2042. All this, he explains, is owing to President Bush's tax cuts, out-of-control spending, and "Enron-style" accounting. Peterson's solutions include indexing Social Security to prices, not wages, and pursuing more nonpartisan politics.

ANGELL, MARCIA. The Truth About the Drug Companies: How They Deceive Us and What To Do About It. Random. 336p. ISBN 0-375-50846-5. $24.95. The pharmaceutical industry remains under fire, and medical writer Angell (Science on Trial) here provides another timely and compelling exposé of the corruption involving corporations, the government, and the medical establishment. She discusses, among other things, how the FDA is affected by the industry and how pharmaceutical companies influence medical education and research. (LJ 7/04)

PRINS, NOMI. Other People's Money: The Corporate Mugging of America. New Pr. 336p. ISBN 1-56584-836-5. $26.95. Exceedingly well documented, this fascinating tale breaks down the interconnected relationships among corporations, Wall Street, and government regulators. Prins, who has worked for such prestigious firms as Goldman Sachs and Bear Sterns, shows us how executives walk away with big money while ordinary folks lose their pensions, savings, and jobs through Congress's systematic deregulation of the industry.

BHAGWATI, JAGDISH. In Defense of Globalization. Oxford Univ. 304p. ISBN 0-19-517025-3. $28. Although he perceives it as a positive force that lifts countries out of poverty through accelerated economic growth, Bhagwati (Columbia) doesn't think globalization is always governed properly. Here he offers solutions to improving the system while thoroughly examining both its myths and realities. Extensively researched, this timely study is ideal for scholars. (LJ 3/15/04)

CHUA, AMY. World on Fire: How Exporting Free Market Democracy Breeds Ethnic Hatred and Global Instability. Anchor: Doubleday. 368p. ISBN 0-385-72186-2. pap. $14. Using case studies and personal recollections, Chua (Yale Law) perceptively argues in this original and highly provocative treatise that free markets and democracy taken to countries in Latin America, Asia, and Africa have not resulted in an equal spreading of wealth but instead continue to produce ethnic conflicts and a class of extremely wealthy plutocrats.

EHRLICH, PAUL R. ANNE H. EHRLICH. One with Nineveh: Politics, Consumption, and the Human Future. Island Pr. 376p. ISBN 1-55963-879-6. $27. This readable discussion of current global economic and environmental trends such as overpopulation and overconsumption is nearly overwhelming in its breadth and detail. The Ehrlichs, both affiliated with Stanford, place the crisis in the needed context and offer sound advice on how to reform corporations and limit their abuse of power.

ISAAK, ROBERT A. The Globalization Gap: How the Rich Get Richer and the Poor Get Left Further Behind. Financial Times: Prentice Hall. 275p. ISBN 0-13-142896-9. $24.95. This critical and insightful analysis of globalization recognizes that it is inevitable but presents fresh ideas on how to make it work better economically and socially for both the poor and the rich. Isaak, an academic and a consultant, lays out the current failures of globalization clearly and persuasively.

DENT, HARRY S., JR. The Next Great Bubble Boom: How To Profit from the Greatest Boom in History, 2005–2009. Free Pr: S. & S. 336p. ISBN 0-7432-2299-7. $26. By analyzing past booms and busts, economic forecaster Dent uses demographic trends and the recurring economic cycles to demonstrate how investors should plan for retirement, move investments, and diversify. Young readers will benefit from learning how economic trends can affect their careers, education, and financial decisions.

FINNEY, MICHAEL. Michael Finney's Consumer Confidential: The Money-Saving Secrets They Don't Want You To Know. Berrett-Koehler. 216p. ISBN 1-57675-300-X. pap. $14.95. Backed by some 25 years of research in the field, Finney summarizes an array of good consumer strategies and provides tips on saving on insurance, cars, home buying, and travel as well as advice on investing, writing letters of complaint, and privacy issues. We ought to be "good consumers," he advises, i.e., to get what we ask for and get the best deal every time.

KESSLER, ANDY. Running Money: Hedge Fund Honchos, Monster Markets, and My Hunt for the Big Score. HarperBusiness: HarperCollins. 320p. ISBN 0-06-074064-7. $24.95. In an entertaining style and through fascinating case studies, Kessler (Wall Street Meat) has written another insider's tale of how Wall Street works, focusing on hedge funds and the importance of intellectual property. He explains how America's economy has evolved beyond industrialization and provides numerous tips on how to invest wisely and for maximum profit.

BOSSIDY, LARRY RAM CHARAN. Confronting Reality: Doing What Matters To Get Things Right. Crown. 288p. ISBN 1-4000-5084-7. $27.50. Using as models companies like Home Depot, KLM, and Cisco, Bossidy, retired chair of the board of Honeywell International, and Charan (What the CEO Wants You To Know) here show executives and managers how to maximize performance by tying together financial targets, external realities, and internal activities such as selection of employees and operating tactics. Their approach is simple but effective.

COVEY, STEPHEN R. The 8th Habit: From Effectiveness to Greatness. Free Pr: S. & S. 432p. ISBN 0-684-84665-9. $26. Covey follows up The 7 Habits of Highly Effective People with this engaging reevaluation of today's business environment. He introduces the eighth habit—an answer to the soul's yearning for significance and the organization's imperative for superior results—which he believes leads to managers communicating to employees their worth and potential so clearly that they begin to see it in themselves. (LJ 10/1/04)

LENCIONI, PATRICK M. Death by Meeting: A Leadership Fable…About Solving the Most Painful Problem in Business. Jossey-Bass. 272p. ISBN 0-7879-6805-6. $22.95. This thought-provoking book suggests a simple but revolutionary cure for the most painful yet underestimated problem in today's business world: bad meetings, which claim incalculable numbers of hours each year. Lencioni (The Five Temptations of a CEO) encourages critical thinking and productive collaboration rather than boredom and dread.

UNDERWOOD, JIM. What's Your Corporate IQ? How the Smartest Companies Learn, Transform, Lead. Dearborn Trade. 256p. ISBN 0-7931-8573-4. $22. Change is a key concept in today's business world, and Underwood (More Than a Pink Cadillac) asks us to embrace it. Using case studies, he defines 17 attributes that underlie corporate success and provides a roadmap to implement the concepts outlined in each case. He also summarizes 15 self-defeating practices of ineffective leaders.

ZAGULA, JOHN RICHARD TONG. The Marketing Playbook: Five Battle-Tested Plays for Capturing and Keeping the Lead in Any Market. Portfolio. 313p. ISBN 1-59184-038-4. $22.95. These two former Microsoft executives–turned–venture capitalists discuss the five basic strategies of marketing campaigns, illustrating how each works, how to pick the best one for a given situation, and how to implement it effectively in the real world.

HEFFERNAN, MARGARET A. The Naked Truth: A Working Woman's Manifesto on Business and What Really Matters. Jossey-Bass. 288p. ISBN 0-7879-7143-X. $24.95. Using concrete examples, Heffernan, former producer for the BBC, urges women to help change the business world to reflect their humanitarian values, take sustainability seriously, and recognize that the business world is emotional. Without glossing over the facts or oversimplifying, she offers hopeful solutions and acknowledges that women's choices are limited and women work differently from men.

SEMLER, RICARDO. The Seven-Day Weekend: Changing the Way Work Works. Portfolio. 256p. ISBN 1-59184-026-0. $22.95. Using his own company, Semco, as a case study, maverick CEO Semler demonstrates how relaxing managerial control and allowing workers to use technology such as laptops and cell phones can strengthen any business, eliminate much of workweek drudgery, and increase revenues. (LJ 4/1/04)

FRANKEL, LOIS P. Nice Girls Don't Get the Corner Office: 101 Unconscious Mistakes Women Make That Sabotage Their Careers. Warner Business. 288p. ISBN 0-446-53132-4. $19.95. This empowering primer will help men understand women and women understand themselves. Acknowledging that women sometimes smile inappropriately, make statements as if they were questions, and even tilt their heads while speaking as if seeking approval, Frankel (Overcoming Your Strengths) offers useful tips on how to advance one's career. (LJ 11/1/03)

JUDSON, BRUCE. Go It Alone: The Secret to Building a Successful Business on Your Own. HarperBusiness: HarperCollins. 240p. ISBN 0-06-073113-3. $23.95. Using case studies of successful small businesses, Judson (Yale Sch. of Management) lucidly illustrates three key points: a business can be started with minimal capital; does not need employees, especially in the start-up phase; and has unlimited revenue potential. Since the web offers many services at a reasonable cost, he encourages outsourcing.

KAWASAKI, GUY. The Art of the Start: The Time-Tested, Battle-Hardened Guide for Anyone Starting Anything. Portfolio. 226p. ISBN 1-59184-056-2. $26.95. For those thinking about starting a business, Kawasaki's GIST's (Great Ideas for Starting Things), which open each chapter, will help turn any idea into action. In a casual, entertaining style, Kawasaki (Rules for Revolutionaries) discusses such basics as selecting a company name, writing business plans, establishing partnerships, and building brand identity. (LJ 11/1/04)

MACKAY, HARVEY. We Got Fired! And It's the Best Thing That Ever Happened to Us. Ballantine. 304p. ISBN 0-345-47186-5. $23.95. Though being fired is humbling and humiliating, it forces us to reassess where we've been and where we want to go. Using real-life stories of sports, political, and business figures, Mackay (Pushing the Envelope) shows how to recognize signs that you're about to be fired and how to job-hunt effectively. In a friendly tone, he reminds readers that success is not the job but the relationships we build. (LJ 9/15/04)

RATH, TOM DONALD O. CLIFTON. How Full Is Your Bucket? Positive Strategies for Work and Life. Gallup Pr. 128p. ISBN 1-59562-003-6. $19.95. In this concise but authoritative book, Clifton, grandfather of positive psychology, and his grandson, Rath, insist that positive emotions can dramatically improve our working and personal environments. Using an engaging and conversational style and colorful anecdotes, the authors propose a variety of strategies that help improve productivity, health, and longevity.

STACK, LAURA. Leave the Office Earlier: The Productivity Pro Shows You How To Do More in Less Time and Feel Great About It. Broadway. 336p. ISBN 0-7679-1626-3. pap. $12.95. Aimed at America's overwhelmed workers, this easy-to-read, user-friendly manual instructs on how to improve output, lower stress, and save time at work and home. Written by a productivity improvement consultant, it is organized into ten chapters, each devoted to one of the key productivity factors (e.g., preparation, order, concentration). (LJ 7/04)

STANLEY, THOMAS J. Millionaire Women Next Door: The Many Journeys of Successful American Businesswomen. Andrews McMeel. 320p. ISBN 0-7407-4532-8. $28.95. Stanley, who also authored The Millionaire Next Door, here presents the results of 40 years of research on 1,165 women who have become millionaires. He demonstrates that millionaire women work harder and do better in school, business, and investing than men. He also examines their choice of businesses, ranking them in terms of profitability and probability of success.

TIMMONS, JEFFRY A. OTHERS. How To Raise Capital: Techniques and Strategies for Financing and Valuing Your Small Business. McGraw-Hill. 188p. ISBN 0-07-141288-3. pap. $16.95. This step-by-step guide teaches entrepreneurs how to prepare an effective loan proposal, locate a suitable investor, and negotiate and close a deal. Written by a team of entrepreneurial experts, the book highlights key mistakes that defeat small businesses and lists numerous resources for entrepreneurs, from SBA loans to capital angel investors.