Golmuri » China

US: The peace maker!

rohit — Wed, 17 Mar 2010 14:39:45 +0000

world peace

In a not so surprising report, by Stockholm International Peace Research Institute (SIPRI), US was named as the biggest exporter of weapons in the entire world. Guess who was the biggest importer? No prizes…it is China followed by India. US exports 30% of the entire world export.
The volume of imports by India and Pakistan is increasing steadily and is expected to rise for another five to ten years until they agree an a permanent solutions.
The SIPRI said combat aircraft accounted for 27 per cent of the volume of international arms transfers during 2005-2009. Orders and deliveries of these potentially destabilizing weapon systems have led to arms race concerns in the following regions of tension: the Middle East, North Africa, South America, South Asia and South East Asia. Leading peace activists are finding it difficult to control this hike in weapon transaction in spite of well established protocols and platforms for discussion. It is just like a prisoner’s dilemma! Country ‘A’ buys weapons to become stronger than ‘B’ and vice verse. Thus increasing the expenditure for both. This is because the cost of not being strong enough to counter the opponents attack is much more than spending to become strong. However, if both do not spend, both can survive without defense expenditure.Wow! so simple and yet so difficult to implement!

Rogues

China:War against Overcapacity

rohit — Mon, 08 Mar 2010 13:05:33 +0000

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

rohit — Sun, 07 Mar 2010 10:23:40 +0000

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

The rise of Advertisement industry

rohit — Fri, 05 Mar 2010 22:13:13 +0000

brand ambassador

The advertisement industry experienced drastic fall in revenues during the economic downturn last year. WPP, the world’s largest advertising company saw a fall in profits by 11% in 2009. Organizations in all major sectors in order to cut short their losses reduced the advertisement budgets handsomely. It is said that the health of the economy can be judged by the amount of advertisements. If its low then something is wrong and vice verse.
Interestingly, brand ambassadors form a very expensive, important and affective part of traditional advertisements. As an indication of good times for advertisement industries, Aamir Khan, a Bollywood star recently clinched an advertisement contract worth Rs. 35 crore which is more than double his next highest! It is not just him but other powerful and famous men have attracted similar growths in most of the developing industries. WPP in particular has grown this year because of its capability and resources to exploit the opportunities in developing nations like India, china and Brazil. The first two months of 2010 recorded business worth $2 billion which is 50% of the entire 2009 earnings. According to the PITCH-Madison Media Advertising Outlook 2010, after a tough 2009, the Indian advertising pie is expected to be worth about Rs 21,145 crore this year, a 13 per cent increase over the previous one. Happy times hmmm!
Hence, it is wise to infer that the advertisement industry is back on the growth track which would in turn fuel other industries.

Rogues

Consolidation in the online search industry..

rohit — Thu, 18 Feb 2010 20:52:31 +0000

Now you will find Microsoft’s Bing search engine in all yahoo pages! Microsoft’s move to buy Yahoo’s internet search and search advertising business has been cleared.The European Commission ruled that the deal “would not significantly impede effective competition”.
How will this move affect the online search market?
Currently, Google is the market leader and is growing at much higher rate than the industry average. Amidst Google’s controversies in China over security and copyrights Microsoft has launched a soft attack by grabbing the opportunity to grow strong. Microsoft can now promote its technically sound search engine to a better and larger target segment. Together yahoo and Microsoft will now control 10% of the market share which is no where when compared to Google’s 90% market share but access to larger market can be exploited with strong strategic initiatives. Thus, this consolidation is likely to create more value for the customers in the long run.

Rogues

US Securities are no more safe!

rohit — Thu, 18 Feb 2010 20:18:42 +0000

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

What is SNS?

rohit — Sat, 13 Feb 2010 08:43:50 +0000

SMS, MMS and now SNS. SNS stands for social networking site which has reached the evangelical status among the netizens of the world. Almost one third of Chinese net users are member of these SNSs like Facebook, Orkut, hi5, renren etc. Recently these websites have succeeded in creating a new form of extreme online gamers who spend more than an hour everyday religiously. They have created online gamers cult which is the talk of everybody’s town. People discuss about it over a cup of tea, coffee and beer. The players have found a new topic to chat about and it has penetrated in almost all the countries regardless of the location. Social Networking games like FarmVilla and FishVilla are easy to play and you need not require a supercomputer like configuration like many other classic computer games. This unique and innovative strategy has helped this cult to reach people who could not play heavy computer games. SNSs have volumes which is the core requirement for a sustainable and scalable e-business model. Just wait and watch, how many games will bombard the internet in the coming years?
Rogues

Chicken fight or trade war?

rohit — Sat, 06 Feb 2010 11:03:40 +0000

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

China’s another step towards becoming the superpower

rohit — Thu, 14 Jan 2010 11:12:21 +0000

china's marvel

After showing its mettle in organizing the worlds biggest sports festival, the Olympics, China is in news again with the largest oil tanker that will sail across the oceans around the world. China is currently the biggest lender to USA with more than US$ 800 billion and with these achievements it can bargain even better in the days to come.

Rogues

What is Smishing?

rohit — Wed, 13 Jan 2010 20:56:56 +0000

smishing

Smishing is a word derived from the words SMS and Phishing wherein the sender tries to extract crucial financial information from the receiver. It works just like phishing mails. Every technology has its flip side and now it is the turn of mobile phones via SMSs. Beware!

This is an example of a (complete) smishing message in current circulation: “Notice – this is an automated message from (a local credit union), your ATM card has been suspended. To reactivate call urgent at 866-###-####.”
Surprisingly, China along with China Mobile, has taken the first move against Smishing, racketeering and lewd SMSs. All SMSs are being tracked and action will be taken against the senders of such messages, which may include termination of SMS service for the guilty.

Rogues