Archive for the ‘World News’ category

Hurt Locker beats Avatar

March 9th, 2010

three oscars

three oscars


Hurt Locker which earned less than 2% of Avatar’s box collection, won six Oscars compared to three by Avatar. Avatar was a movie based on the theme of human greed which could someday make the environment unlivable. On the contrary, Hurt Locker was a movie based on Iraq, bombs and army. Avatar was one of the biggest 3D movies ever made and it has revolutionized the way movies are made. Every screen of this movie is made using sophisticated technologies many of which was specially designed for this movie. Reviews all over the world indicated that Avatar will rule the Oscars but the result has disappointed many movie buffs all over the world, especially from the developing nations. People in these countries could relate to Pandora more than the bomb diffusion. Although Hurt Locker was more practical, people in developing nations prefer environment.

Rogues

China:War against Overcapacity

March 8th, 2010

The largest developing country, China has pledged to improve the industrial efficiencies so as to grow sustainably for few more decades. Chinese officials, after doing a root cause analysis found that most of its fragmented industries were running under capacity because of high bargaining power with few large organizations. In a move to exploit rare and inimitable resources, China will try to consolidate the industrial sectors. It has be observed over the last century that big economies start with small companies but to sustain the growth, big is better.
The notice issued by the government is focused on electrical power, coal, steel and iron, cement, nonferrous metal, coking, paper making, leather making and dyeing and smoothed out policies and schedules on how to wash out industrial overcapacity in 2010-11. In order to force industries to cut over capacity, the government will charge extra tax on utilities and it is also planning to levy environment tax on companies not abiding. This move makes it clear that the growth in China is here to stay and it is not just a coincidence!

Rogues

Luxury @ China

March 7th, 2010

luxury goods
Luxury products can be defined as mature products which have historical attachment, global recognition and high perceived value or in short ‘a story to brag about’. These products are mildly correlated to the consumption and economic conditions of the consuming country. China, the biggest developing country of the world has surpassed US to become the second largest consumer of luxury products. It now consumes 27.5% of the worlds luxury goods. This reflects the economic power of this mighty country. Currently, the largest consumer is Japan.
Most of the luxury goods bought are western products just because China in itself does not have any big luxury brands. In-spite of having products like Maotai, Wuliangye and Shuijingfang; fashion labels like Septwolves, Baoxiniao, Bosideng and Yongzheng; and jewelry labels like Dongfangjinyu and Nobel Jewelry which are extraordinarily priced, the demand for western luxury brands is more because of the historical connection and their global recognition.
Thus, luxury is not only about price but also about BRAND!

Rogues

Responsible US!

March 2nd, 2010

nuclear head distribution
In a dramatic move, US officials are planning to reduce the nuclear warheads drastically. As a member of nuclear non-proliferation treaty, this move will help US promote its image as one who walks the talk. What calculations have gone behind this?
From the estimated warhead distribution around the world we see that Asia has much larger number of warheads compared to other regions. However if US is seriously going ahead with this strategy, one day we would see all developing economies invest on poverty reduction rather than military development.

Rogues

What is oneworld?

February 25th, 2010

Oneworld
OneWorld is one of the world’s three largest global alliances of airlines. It was formed in 1999 by American Airlines, British Airways, Canadian Airlines, Cathay Pacific and Qantas Airways. It was formed with a vision to generate more value to customers than any airline could do alone. Together they have more than 2200 aircraft and service more than 720 destinations in 142 countries.
How do they create value for the customers?
The group members have set operations and maintenance standards which help each member to provide the best services in its region. Oneworld was also the first alliance to introduce interline e-ticketing which gave travelers reach out the remotest of places without any hassle. Apart from this the every customer of this alliance have access to the airport lounges of any member airline. This optimizes the capacity utilization of private lounges and increase the ROI for airlines. This was one of the main reason for which the member airlines experienced minimum loss compared to others during the recent financial crisis.
Recently, Vijay Mallya lead Kingfisher Airlines has signed a memorandum to join this alliance. Post which it will become the first Indian company to join this alliance. Earlier Kingfisher bought Deccan Airlines to end the price war in India but still the airlines industry in India is facing substantial losses. However, this move of Kingfisher might help this airline create more value for its customers and the shareholders.

Rogues

US Securities are no more safe!

February 19th, 2010

US federal
India and China, the largest developing economies of the world have decided to reduce their investments in the US government securities. The increasing level of fiscal deficit and unaccepted policies implemented in US have been some of the few reasons for its declining popularity. Once upon a time China was the single largest investor in US government securities.
‘Change is the only thing constant’ and is it beginning of the shift from Westernization to Easternization?

Rogues

Toyota’s calls and recalls

February 14th, 2010

Cause of Toyota recalls

Global automobile giants like Toyota and Honda created a furor among their customers by announcing massive car recalls. Toyota plans to recall more than eight million vehicles while Honda has to recall more than one million. Toyota says that the drivers of these vehicles have reported unintended acceleration of their vehicles which is caused by the improper design of the pedal and the floor mat. Honda vehicles are facing problems with airbags and a switch which could cause fire. To rectify these defects a massive reverse logistic exercise will cost them millions of Dollars.
» Read more: Toyota’s calls and recalls

Chicken fight or trade war?

February 6th, 2010

In an answer to US imposing restrictions to import of Chinese tires, China has imposed anti-dumping duties of around 100% on imports of broiler chicken from US. China is the biggest importer of chicken products from US and with this move the American companies would be hit hard. In 2008 China imported more than 500 thousand tonnes of chicken products from US alone.
This may be an indication of a trade war between the two superpowers of the world. Earlier China also questioned US on its support to Taiwan by supplying arms. US has also levied anti-dumping duties on drilling pipes, wire decking and electric blankets imported from China. China being the manufacturing hub of the world seems to be facing the toughest times of the recent financial crisis.

Rogues

Is IPad a threat to the conventional PC market?

January 31st, 2010

Apple's Strategy

Apple's Strategy


Steve Jobs is known for creating revolutionary products and launching them like a box office thriller. The movie producers should learn a few tips from him! The launch of IPhone marked a new milestone in the history of tech products. Now, it is the time for IPad. What is IPad? In the last few years, the world has seen that the technological gap between a phone and a computer is reducing. Earlier people were satisfied with a basic phone which can be used to communicate only. Gradually the products’ expected features like internet, WAP and data processing abilities crept into the basic features. However, mobile manufacturers could not break the ice to think further, which Apple has done. Apple is trying to create a new segment where people want a multipurpose mobile device through which all basic needs of a mobile and a computer can be experienced with ease. IPhone implemented this unique ‘Filling the Gap’ strategy successfully. It seems that Apple has made this ‘Filling the Gap’ strategy it’s unique selling proposition. Is it sustainable? The sustainability of a strategy depends on the entry barrier for competitors. If the entry barrier is low then apart from the first mover advantage, Apple will have nothing. It will not be able to milk this newly created segment for a long time. One feature which is valuable about this product is that more than one lakh applets can be accessed through this device. These features are currently used in Iphones and IPad is compatible with it. So, the product is different but the features are developed on a common platform which can be used only on Apple products. It reminds me of the era when Apple tried to rule the market with Macs which could use only Apple’s applications and software. This strategy of Apple decades ago, did not last much because the competitors could sniff it and Microsoft and IBM reaped the benefits. Is it that this time the competitors are not aware or Apple has done its homework well enough. Apple has penetrated deep enough in most of the developed markets with its platform featured products IPhone, iTouch and IPod. Gradually they are moving back towards the PC in terms of features. WOW! Steve Jobs seems to implement his old strategy well enough to reach the levels of Microsoft with huge strategic advantages. Analysts say that IPad will not be able to replace the PC/Laptop market but you do not know what Apple is all for. It will not be surprising if Steve introduces an iPC which will run on the same platform used for iPod, iPhone and iPad.

Rogues

Artificial Wings are getting used to crashes

January 25th, 2010

ethiopian crash

At 0237 GMT a Boeing 737-800 took off from Beirut International Airport hoping to reach Addis Ababa in the midst of heavy rain and thunderstorm. Alas! It went off the radar just five minutes after take off. Eighty three passengers were on board along with seven crew members. The reason for the crash is not yet certain but the residents in the coast say a “ball of fire” crashing in the sea. Ethiopian airlines is a state owned company is well positioned in the African market. The matter of concern is what is what made it happen, whether it happened due to negligence of the company or technical fault. Who is to blame? It is said the the airlines industry is one of the few industry where the margin of error has to be kept lowest and still mishaps are happening. How low should be the margin?

Rogues