Month: November 2012

In an interview with the CFO of Panasonic Corp., it seems that about a fifth of Panasonic’s business units are losing money and only half so far meet the 5 percent operating margin

Hideki Kawai says that the technological giant is expected to axe 10,000 jobs before March of 2013, looking to reduce its costs and return to making a profit. We’ve seen a trend with Panasonic getting rid of workers in the past few years, and this is just the middle of a larger movement of the electronic competition market. A large chunk of Panasonic was actually sold away last year and since then the business has been under performing. As of now, the company’s credit rating is close to junk.

Panasonic shares which are near decade lows slumped by another fifth in early November 1st, giving the company a four-season losing streak. The company, which is being out-competed by electronic giants such as Samsung, Sony, and LG is looking at its last desperate measure to being the business back on track. If the firm does not reach its goal of 110 billion yen in the next fiscal quarter, we may easily see the end of another decade-long electronic legacy.

References:

http://www.bnn.ca/News/2012/11/14/Panasonic-prepares-for-garage-sale-to-axe-10K-jobs.aspx

http://online.wsj.com/article/SB10001424052970204712904578091520438721316.html

You will be able to power your home with energy you create yourself.

Or so that’s the catchphrase of the 21st generation of energy aware companies. “Anything that moves or produces heat has the potential to create energy that can be captured” Day to day energy creating actions such as walking, jogging, bicycling, the heat from your computer, even the water flowing through your pipes can be recycled by new, renewable energy technology reused to power our homes, offices and cities.

IBM has recently launched sixth annual “IBM 5 in 5″ (#ibm5in5) — a list of innovations that have the potential to change the way people work, live and interact during  the next five years. The list is based on market and societal trends as well as emerging technologies from IBM’s research labs around the world that can make these transformations possible.

In terms of business, this is a huge new line of opportunity and innovation that is open for the engineers and businessmen alike. To harness renewable energy is to harness the pockets of 21st generation consumers. And not only will this drive profits, but it will give your company better publicity and make it more sustainable while you are minimizing your costs.

References:

http://www.itbusinessedge.com/slideshows/show.aspx?c=93997&slide=2

http://investincanada.gc.ca/eng/industry-sectors/renewableenergy.aspx

This blog post is a response to Aaron Cho’s blog post which can be found here.

This is a very interesting survey result. Although personally I am a little bit skeptical about this Nvironics Research, not to mention comissioned by former NDP leader Ed Broadbent. I do not find it strange that Canadians are willing to pay higher taxes for income equality. I think most people can generally agree that monetary possession is the main measure of social power in modern society. Some even argue that it is the cause of inequality and suffering.

I must first say that I disagree with Aaron suggestion that Canada is shifting to a more left-wing society. As illustrated by our previous election results, I think this is far from the case. In fact, I question the credibility of this research, and will only take its results with a grain of salt. However, I do not doubt that if you go on the street and ask people about the disparity between the rich and the poor, they will definitely tell you that they wish to see it closed. But one must consider, does this necessarily have to translate to an increase in taxes? Are there no greater, more general problems and capitalistic fundamentals that lie at the root of this cause?

References:

https://blogs.ubc.ca/choaaron/

Statistics Canada says foreign investment in Canadian securities grew to $13.9 billion in September as investors bought government bonds and corporate equities.

Government bonds, being the safest type of bond for investors, often attracts many foreigners (both amateur and experienced) to start their financial career by investing in a government bond. And although this isn’t news, the government of Canada has drastically improved their investment security over the past few years. Since the introduction of the Tax-Free-Savings-Account in 2009, pensions and benefit plans have improved in return rates compared to the past few decades. With the exception of the CPP, which increased the minimum age of retrieval.

Alphil Guilaran, Cheif Executive Office of the Financial Counsil, came to Henry Angus on November the 5th for a FLY@UBC event (Invest For Success) to talk to many intrinsically motivated learners about the basics financing. It was interesting, to learn about investment on a personal level, a national level, and a inter-continental level. The world today is all connect through the movement of funds and investments, and even money that does not physically exist may cause such drastic effects on our global economy and our individual lives a whole.

References:

http://en.wikipedia.org/wiki/Tax-Free_Savings_Account

http://www.cbc.ca/news/business/story/2012/11/16/international-securities-transactions.html

http://www.facebook.com/pages/FLY-at-UBC-Club/237542739642682

This post is a response to Carmen Lee’s blog post which can be found here. Her blog is in turn another response to the original post by Derek Kwan which can be found here.

Despite the constant speculation regarding the dangers of another “retail goliath” entering Canada, I don’t really feel that the general populous should really be concerned about their appearance. As a major supermarket which is replacing Zellers, many domestic stores fear that Target may further tense up the competition and create an even more heated battleground for the general goods market which is already teeming with big fish fighting for space in the small pond.

However, it strikes me to hear that corporate giants such as Superstore, The Bay, Sears, and Wall-Mart are actually scared of Target’s entrance. Of course, they will be another substitute that the consumer can turn to, but what part of their entrance have we not seen before? In fact, in many cases, they are simply replacing the Zellers stores which already pre-existed, and their locations remain constant. Their prices are also subject to Canadian tariffs and their brand is less constructed compared to the domestic names. I do not think that the Canadian retailers have anything to fear in the near future.

References:

https://blogs.ubc.ca/carmenlee/2012/11/18/target-a-threat/

https://blogs.ubc.ca/dkwan/2012/10/08/target-new-entrant-to-the-canadian-market/