In the unlikely event that the UN was fully funded, there are several reasons why Sauder’s arc program and social enterprise would still be relevant. Assuming small businesses receive sufficient funding from the UN, they would not be able to use it efficiently.  That’s where the Sauder Arc program comes into play. Sauder students, alumni, faculty members, and business professionals offer workshops and mentoring to small business owners in South Africa, Ethiopia, Colombia and Rwanda. Through the advice and business tools Sauder provides, African businesses continue to improve on their business model.
Shega Shero Eatery, one of the recipients of Sauder’s Arc program, was facing problems when rival restaurants had very similar menus.  Through a workshop Sauder hosted, she started selling sweets, which was very successful.  She ended up making more than the average yearly GDP per capita per month.
As to why social entrepreneurship is important, the UN does not have enough sufficient manpower to tackle all of the world’s social problems. Often, social entrepreneurs take on problems that typical businesses do not take because of their low profitability. It is important to have them to take on the many social problems society faces. Although they generate profit, their main goal is to generate social value.

http://skollworldforum.org/about/what-is-social-entrepreneurship/

http://www.theglobeandmail.com/report-on-business/small-business/sb-growth/going-global/in-a-crowded-market-ethiopian-entrepreneur-finds-a-sweet-way-to-stand-out/article17912688/

http://www.sauder.ubc.ca/Global_Reach/ARC_Initiative/Programs

My classmate Cobie Damsel’s blog post about the impact Netflix has on cable companies really opened my eyes. I haven’t been realizing how much more I was watching shows online rather than buying DVDs or on my television.  The low cost of Netflix and its convenience are salient reasons why they are so successful as a disruptive innovator, causing Shaw and Rogers to lose “nearly 200,000 cable subscribers in the past year.”

One of my favorite things about Netflix is the convenience it offers. As mentioned by Cobie, why would anyone spend money and time buying DVDs when Netflix is available anytime for a low cost of $8 a month? Furthermore, to catch an episode of your favourite show, one would have to wait for a certain time for it to play. With Netflix, one can watch it anytime. Established companies such as Shaw and Rogers are quickly losing customers to this fast growing company.
Because of Netflix’s low cost and the convenience it offers, it is preferable by many to watching classic television. Cable television is already losing its relevance, and might face becoming outdated. As I finish writing this, I think I’ll go watch some How I Met Your Mother on Netflix.

http://www.huffingtonpost.ca/2014/10/27/cord-cutting-netflix-cable-subscriptions_n_6053474.html?utm_hp_ref=canada-business

As mentioned in my previous post, labor cost is getting increasingly expensive in Canada and America. Many firms are looking to outsource production to Asian countries; China in particular.  However, working in different countries involves working with different cultures. In the blog post by Eden Collinsworth, a business deal she was doing with a Chinese business man resulted in him trying to “purchase” her.
In a world where business is becoming increasingly globalized, mainly due to the low labor costs of foreign countries, a clash of cultures is to be expected.  It is important that businessmen take time to learn and understand the other parties’ culture. What is acceptable in one’s culture could be heavily frowned upon in another; a great example would be the case mentioned in this blog. Although the Chinese business man offended Collinsworth, she handled the situation well by acting as if she was flattered.  If the businessman was more rehearsed in western culture, the situation itself would have probably been avoided.
Nowadays, it is even more important to learn the different cultures of the world. Business is becoming increasingly globalized, and becoming comfortable with people with different cultural backgrounds is an important asset. Sauder does a great job of this by being comprised of 47% international students and allowing students to travel to universities in different countries to study.

Work cited: Collinsworth, Eden. “What Happened After a Man in China Tried to Buy Me.” Linkedin. Linkedin, 8 Nov. 2014. Web.

Picture: Sauder. N.d. Vancouver. Institutional | Sauder School of Business. Web. 08 Nov. 2014.

Shenzhen. N.d. Shenzen.

Five years ago, the Iphone 3s was released at the price of $600. Now, the cheapest Iphone 6 plus retails for $860. As phones become increasingly expensive, inexpensive Chinese phones have become increasingly relevant. The OnePlus one, a phone which boasts of cutting edge technology, is priced at $300. Oneplus utilizes the cost leadership strategy, selling quality phones for a low price.

What is impressive about this company that it is able to offer such a high quality phone for over half the price of the cheapest Iphone 6.  In order to cut costs, The OnePlus One is only available online. To order it, one would have to be sent an invite, which one would have limited time in accepting it. By doing this, OnePlus avoids excess inventory. They would only create as much as demanded.

I feel the OnePlus One is a great product. Although the phone is inexpensive, it doesn’t compromise on quality. This market segment (inexpensive quality smartphones) is becoming exponentially larger and OnePlus is doing a good job in securing it.

Work Cited: Economist, The. “Chinese Phonemakers Are Preparing To Take On The World.” Business Insider. Business Insider, Inc, 26 Oct. 2014. Web. 27 Oct. 2014.

“OnePlus One Benchmarks.” Phone Arena. N.p., n.d. Web. 27 Oct. 2014.

Picture: OnePlus One. N.d. N.p.

The more I read about Tom Dobrzanski’s business, the more I realize how ingenious it is. The business model involved investing in a one-time cost that allowed Monarch Studios to profit for many years. After the initial cost was covered, revenue was very similar to profit due to the limited variable costs. This business is a prime example of Porter’s product differentiation strategy. Prior to this company, there were only top studios. Bands that did not use them had little choice but to record in their homes. Dobrzanski realized this, and created a studio that was professional yet affordable. He business helped create value for his customers, and as a result, his business is highly profitable.

It is very admirable how Dobrzanski was able to turn his passion for music into a business. His use of networking and his excellent business model helped turn Monarch Studios into a success story. Furthermore, the idea of combining living space and work space was incredible. It would not be surprising to see Monarch studios expand due to the increasing demand and relatively low startup cost. As a current Sauder student, I am very proud of his ingenuity and achievement.

Work Cited

Kroeker, Jeff. “How to Build a World-class Recording Studio on the Cheap.”The Globe and Mail. N.p., 5 Oct. 2012. Web. 23 Oct. 2014.

Picture: Marie, Issha. Monarch Studios Owner Tom Dobrzanski. N.d. Monarch Studios, Vancouver.

Throughout history, the First Nations people have been treated poorly. In 1876, The Indian Act passed by Canada allowed Canada to send First Nation children to residential schools where many were tortured and forced to adopt the “English culture.” Residential schools didn’t shut down until over a hundred years later.

Now, Taseko Mines plan to build a new gold-copper mine at fish lake on a site the First Nations people have declared a tribal park. By building a mine on this park, irreversible damage will be done to the ecosystem. This company should not continue the mine at Fish Lake. Not only will it cause massive destruction of the ecosystem, but will offend the First Nations people who consider it a tribal park. The federal government and federal panel rejected the project for a reason, Although Taseko Mines plan to dispute this in court. Although there is much monetary gain, the cost is too great. Business ethics should have the company executives thinking closely about this mine. Furthermore, the First Nations will not sit quietly as their tribal land is destroyed. They would protest and cause project delays increasing costs. Taseko Mines should find open another mine somewhere else where they would not affect the environment.

Work cited

Pynn, Larry. “Tsilhqot’in Set to Declare Site of New Prosperity Mine a Tribal Park.” Www.vancouversun.com. N.p., 11 Sept. 2014. Web. 23 Oct. 2014.

Montpetit, Isabelle. “Background: The Indian Act.” CBCnews. CBC/Radio Canada, 14 July 2011. Web. 22 Oct. 2014.

Save Fish Lake. N.d. Fish Lake, Chilcotin Plateau. Web.

It seems everyone is hyped for the new Iphone 6. Even with all the problems Apple faced with the release of the Iphone 6 -buggy IOS, bending Iphone 6 Plus- customers remain loyal. Why is that? There are many other phones with better specs, operating systems, and battery life compared to the Iphone 6. However, what Apple does better than other competing brands is operations. Firstly, Iphones use IOS. While IOS has more limited features compared to Android’s operating system, it is significantly easier to use. The user friendly interface really appeals to non-tech savy consumers. Secondly, the layout of Apple stores is appealing. As soon as you walk in, you can test out their products. If you ever need help, employees are only too happy to help. Although Iphones are by no means the best phone in terms of specs, they still manage to hold a significant portion of the market share. Rather than selling Iphones for a low price, Apple incorporates Porter’s product differentiation strategy (IOS8) and manages to blow competitors away. It also helps that Apple stores are gorgeous and the employees are always helpful. Competitors may need to reevaluate their  business model if they want to beat Apple.

http://www.theverge.com/2014/9/25/6841455/ios-8-0-2-available-to-fix-iphone-6-models

http://www.statista.com/statistics/263401/global-apple-iphone-sales-since-3rd-quarter-2007/

A global city, recently Hong Kong has been gaining world attention due to the large scale protest against Beijing for limiting “2017 elections for Hong Kong’s leader, known as the Chief Executive, to a handful of candidates loyal to Beijing.” Because of the riot, many businesses have closed down their stores temporarily. Some of the more prominent ones include HSBC, Citigroup, Bank of China, and Standard Chartered. In addition, Hong Kong shares have dropped 1.9% on Monday despite limited chaos. However, despite the repercussions caused by the strike, I believe it is for the betterment of Hong Kong. Rather than being limited to vote for candidates loyal to Beijing, Hong Kong should keep their democratic ways and elect someone who is actually loyal and dedicated solely to Hong Kong. Although these protests are actually illegal, China has yet to crash down on these protests unlike Tiananmen Square in 1989 probably due to the fact it “could shake confidence in market-driven Hong Kong.” Furthermore, many countries would frown upon such dictatorship tactics, straining international relationships. I believe Hong Kong is right to protest and fight for a leader that is sympathetic to HK rather than a guinea pig ruler from Beijing. Hong Kong has remained a global city and financial leader without interference into their politics, and should remain that way.

http://www.reuters.com/article/2014/09/29/us-hongkong-china-idUSKCN0HN03Q20140929

This article is a great example of a lack of business ethics shown by the company SAC Capital Advisors. In this article, Mathew Martoma, a Stanford Business school grad who used to be the portfolio manager for the aforementioned company, was sentenced to nine years in prison for insider trading. Through insider trading, he made his firm 275 million dollars. When I first read this article, I thought back on the chapter of Corporate Ethics and Corporate Governance. Although it says a firm should “use it[s] resources and engage in activities designed to increase its profits”, the firm failed to “stay within the rules of the game… without deception or fraud.” By participating in insider trading, SAC Capital Advisors broke one of the basic rules governing stock markets and gained an unfair advantage over other investors. The lack of ethics and his participation in insider trading shown by Mathew Martoma caused him to be forced to forfeit 9.38 million dollars and his two million dollar home. In addition, SAC Capital Advisors paid 1.2 billion dollars to federal prosecutors and 600 million dollars to the SEC. Business ethics are important. Having a lack of business ethics will eventually come back and bite you, whether because of breaking laws, or by displeased customers.