NEWS The Michigan Daily - Wednesday, December 1, 2004 - 7 CHAIRS Continued from page 1 the field and the needs of the particular faculty member. The money partially pays for salary and benefits and often includes money for research. Weiss said the University seeks endowed positions to attract "superstar" faculty from other universities, to retain current faculty members and to allow But getting money for endowed chairs is not easy. Most donors have some ties to the University, and so the College of Engineering has been searching for alumni willing to fund the chairs. It tries to educate potential donors on the value an endowed chair adds to the institution, Director said. In the end, the decision comes down to two fac- tors: financial capability and interest in donating, he added. the University to hire professors in an unexplored or underfunded aca- demic field. A number of colleges, including LSA and the Col- lege of Engineer- ing, are vigorously fundraising and try- ing to add more endowed positions. "It's been one Endowing a full- time professor currently costs at least $2 million at the University, spread over a number of years. "We don't have enough endowed chairs to give to those who deserve them," Director said. And when administrators win endowments, they are often tailored to specific fields. In 1999, for example, business- man Samuel Zell that chair to the most deserving person in the college," Director said. But it is looking for funding in all areas. "We have extremely deserving faculty in all of our departments," he said. For some, this situation creates a number of problems. John Curtis, director of research for the American Association of University Professors, expressed concern that these posi- tions could stifle academic freedom and exploration. Private funding for one chair can come with conditions attached, restricting the discretion of the institution and its faculty to spe- cific types of research. "The faculty should be the ones pri- marily making decisions about who is qualified to be a faculty member, who should be promoted and those sorts of things," Curtis said. He added that these gifts could also foster an uneasy faculty environment, where professors no longer "work together" and are consumed with "rank- ings." Cumberworth acknowledged the focus of endowed chair gifts is some- times narrow, but she said LSA's campaign allows for some faculty dis- cretion. "We are more interested in having donors see something that they want to happen to invest in," she said. But "I think the dean's inclination is to sup- port as many of the LSA faculty as he can, to empower faculty to reach their potential." The University does pay to endow some of its own professors. Currently 30 faculty members have the highest academic honors on campus: a Dis- tinguished University Professorship, Weiss said. SHOPPING Continued from page 1 profit Conference Board painted a slightly different picture. The Board's Consumer Confidence Index declined in November for the second straight month. "With consumers' assessment of current conditions holding steadfast and intentions to spend for the holiday season up from a year ago, the outlook for retailers is mildly encouraging," Lynn Franco, director of The Con- ference Board's Consumer Research Center, said in a news release. "But looking beyond the upcoming holi- days, the continuing erosion in expec- tations suggests consumers do not feel the economy is likely to gain major momentum in early 2005." While Franco predicts that consum- ers intend to spend more this holiday season, they will probably be driven to do so because of lower prices rather than due to consumer satisfaction with goods and services offered by busi- nesses. "We look at the data we collect at the American Customer Satisfaction Index and we are seeing that the satisfaction of customers is not growing enough," Fornell said. "Instead, companies have been training consumers to be price shoppers. Wal-Mart has been a leader in this, and it's biting them back now." Fornell used the auto and retail industries as examples, saying con- sumers don't spend unless prices are cut. Over the weekend Wal-Mart, the world's largest retailer, announced that its sales for November grew at a dis- appointing 0.7 percent from last year. This was significantly less than the 2 to 4 percent growth rate the company initially forecast. In an attempt to bolster consum- er spending in its stores, Wal-Mart announced yesterday that it will cut prices during the weeks leading up to Christmas due to weak sales, Reuters reported. "Luxury and middle-income shop- pers flooded stores en masse this Black Friday, some of them even showing up at 1 a.m. to be first in line for door- buster promotions and special sales. But Wal-Mart's more value-oriented customers decided to sleep in," the International Council of Shopping Centers said in a news release. Following the presidential elec- tion last month, uncertainties about high oil prices and terrorism are also weighing on consumers' minds as they head into the holiday season, Fornell said. While oil prices have fallen from record prices in early fall, they remain a concern as consumers head into the heavy travel season and cold winter months. "Higher oil prices are seen as an additional tax. It takes a bite out of consumers' discretionary spending," Fornell said. But determining the effects of November's presidential election on the holiday economy is much more dif- ficult than interpreting other signals, Fornell added. "People are more concerned now than in spring about safety, terrorism and war," he said. "Everybody is more concerned and that leads to some cau- tion. But American consumers are not known to be very cautious. They tend to overspend and put themselves heav- ily into debt." Though Wal-Mart has declared it will further cut prices in the coming weeks, some local businesses have not found the need to do so. "A lot of the products we have don't need sales. We put items on sale only if they aren't moving quickly," said Ed Davidson, owner of Bivouac on State Street. "The things we sell are worth it and people realize that items we sell will last longer. "We were pleased with the weekend. It was better than last year," Davidson added. This past weekend, the Ann Arbor Chamber of Commerce helped pro- mote local businesses by having some of its members go on radio shows on local Clear Channel stations. The chamber is also promoting the Ann Arbor Gold program, which encourages consumers to shop at local businesses. Started in 1994, the pro- gram allows people to purchase gift certificates that can be used at almost 150 local businesses currently partici- pating. "The goal is to help local businesses and keep money within the local Ann Arbor economy," said Brandt Coultas, director of governmental affairs at the chamber. "There are a number of busi- nesses in the area that do a significant amount of their business during the holiday season, and we will have to wait until the season is over to see how they have done." Since its inception, about $2 million worth of Ann Arbor Gold certificates have been sold, Coultas said. Current- ly, the certificates can be purchased at several local banks and at the chamber at 425 S. Main St. of my objectives since I became dean, and it's been a high priority item in our fundraising campaign," Engineering Dean Stephen Director said. The college started a four-year cam- paign in May to raise $300 million. One goal of the campaign is to raise money for 16 more endowed chairs, which would raise its total to 50. LSA, now about halfway through its own $300 million campaign, has set a $75 million goal for faculty support, and endowed professorships are the pri- mary component. The college currently has 41 full professorships, but it does not have a numerical goal of how many new chairs it seeks to create. It hopes each position will receive between $2.5 and $4 million. and philanthropist Ann Lurie - who donated for her deceased husband Robert, one of Zell's partners - gave $10 million for entrepreneurial studies to the Business School. At the time, the school did not have any tenured professors studying entrepreneurship. Their funds eventually created the Zell Lurie Institute for Entrepreneur- ial Studies. Since endowed professorships are often tailored to specific research interests, they can restrict colleges in which current professors can receive these coveted awards. Sometimes, a professor receives an endowment because of his or her field, and not just his credentials. "The college is not free to award the michigan daily GREAT LOCATION: HILL $ Washtenaw. 3 beautiful apts. each w/ full bath., shared kitch./lIdry. Util. incl. $550 per apt. 1 yr. lease. Lovely 2 bdrm. apt. w/ kitch. Util. incl. $1050. 1 yr. lease. One yr. lease starting Sept '05. Prkg. spots avail. 248-914-1138 or machon@machonltorah.org 1 Bdrm. Apts. On Catherine, For Fall 2005 Copi Properties 663-5609 GREAT LOCATION CLOSE TO BUSINESS SCHOOL! ALL NEW CONSTRUCTION LUXURY TOWNHOUSE. 4 Bdrm., 3.5 bath. Washtenaw at the corner of Hill. Very spacious with all the amenities. Modern kitch. with granite countertops, dw- shr., & disposal. 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