Business activity is the dominant force in our society, as significant as the Church in the Middle Ages or the State during the 17th and 18th centuries.  The activities of businesses not only generate the material wealth that allows us to enjoy a remarkably high standard of living, but these activities have also become a major influence on our contemporary culture and affect nearly all aspects of our lives.  Obviously, not all of the outcomes generated by business activity are positive.  The development of the automobile and the subsequent growth of the automobile industry have certainly contributed to economic prosperity and increased our mobility, but the automobile has also created serious air pollution problems, urban sprawl, and a more transient and less "connected" society.

     This course offers a forum for thinking, discussing, and writing about the importance of business, its positive outcomes, and its negative consequences.  The class will survey three broad topics:  First, we will begin by focusing on some basic business concepts.  You will learn how to read and interpret financial statements, and we will also discuss the strengths and limitations of financial statements as tools for evaluating the success of business enterprises.  We will also discuss the social responsibility of business organizations and examine a number of issues, including the regulation of business activities, environmental pollution, and antitrust enforcement.

     We will then consider the importance of entrepreneurship and innovation as "levers of riches" that drive innovation, develop new businesses, create new products and services, and increase a society's wealth.  Our discussions will ask why some societies throughout history have been so much more effective than others in fostering entrepreneurship.  We will then examine our own contemporary society and the degree to which it encourages entrepreneurship as well as the kinds of entrepreneurship that it encourages.

     Finally, we will focus on current post-industrial developments, specifically examining the growing importance of information and information technology.  We will examine how information technology is transforming the economy, and our discussions will lead us to consider the changing nature of work and the special challenges of managing and motivating "knowledge workers."  We will see that these contemporary developments are having an enormous impact on our society, and you will be encouraged to formulate your own understandings of how these developments will impact on the welfare of our society.
 

Course Objectives and Format

     The class has the following objectives:  1) to develop your understanding of the relationship between business activity and the larger society as well as to consider your own role in shaping the future, 2) to gain exposure to some of the most important recent developments in the business world, including the changing nature of work and the growing importance of information technology, and 3) to augment your vocabulary so that you can speak and write thoughtfully about contemporary business issues.

     To accomplish these objectives, we will read and discuss several books and articles.  In addition, you will write one research paper, participate in a group field research project, and complete an examination.  The research paper (7 to 10 pages in length) should address a contemporary topic that illustrates the nexus between business activity and the larger society.  Examples of possible topics include (but are certainly not limited to) the government's antitrust case against Microsoft, antitrust issues suggested by the mergers of large firms in many different industries (e.g., airlines, aluminum, banking, pharmaceuticals), the "verdict" on deregulation of transportation, issues surrounding the regulation and taxation of Internet commerce, illegal price-fixing activities conducted by Archer-Daniels-Midland Corporation, the relationship between government regulation and unemployment in European countries, and the breakdown of the state in Russia and the growing power of syndicated crime organizations.

     The field research project will require teams of students (three to four students per team) working with a local Colorado Springs business organization.  Again, a wide variety of research topics are possible.  For example, the project could focus on a particular organization's economic and noneconomic contributions to the community.  The project might also include a "case study" of an entrepreneur's business, identifying the factors that have contributed to the success (or failure) of the organization.  A group could also examine how the State of Colorado and the City of Colorado Springs work to attract and foster business activity.  Another possible topic would be to examine how small, locally-owned businesses are affected by large chains or franchise organizations or Internet firms (for example, how is the Chinook Bookshop coping with competition from Barnes & Noble or Amazon.com?).  A group could also help a local business develop an electronic commerce (i.e., Internet) strategy.
 

Required Materials

     We will read four books:  Capitalism and Freedom by Milton Friedman, The Lever of Riches by Joel Mokyr, Post-Capitalist Society by Peter Drucker, and Being Digital by Nicholas Negroponte.  All of the books should be available in the Colorado College bookstore.  A number of articles will be distributed in class.
 

Performance Evaluation and Application of the College's Honor Code

     The quality of our class depends on the quality of our discussions.  Thus, a significant portion of your grade will be based on the quality of the ideas you bring to the class.  You will also be evaluated on the quality of your writing assignments, field research project, and examination.  The research paper, field research project, and examination are each worth roughly 30 percent of your final grade, and your contribution to class discussions will be worth an additional 10 percent of the final grade.  As students of the college, you have pledged to uphold the honor code and you have a responsibility for understanding how the college's honor code applies to the academic work you do in this class.
 

Office Hours and Appointments

     You should plan to meet with me to review topics and outlines for your paper and to discuss your field research projects.  When not in class, I am usually available to meet with you in my office, Palmer 105.  I will also be happy to schedule appointments at mutually convenient times.
 
 
Courses taught at Colorado College