Original Blog

YouTube is starting a monthly paid subscription service. I think every Internet company must take this step sooner or later, because when the size grows larger, the operation cost and maintenance cost as well as designing cost will increase in a way that can’t be covered with only the advertisement income.

On the one hand, the demand for YouTube is quite “inelastic”, so even if they start paid services, the number of customers would not greatly decrease; therefore, it is a good idea to gain more revenue. Gradually they can put out other paid services and as long as the price is not high, people are willing to pay, and when the price is multplied by the huge quality of customer base, the revenue is impressive.

On the other hand, YouTube may face an awkward situation that customers uses free ad-blockers rather than pay for the service; so the company must pay attention to that and provide more qualified service and build a customer-company relationship by introducing customer award-system, like members of YouTube (people who pay the monthly rent) can have a privilege in watching newly-updated videos and etc.

The existence of YouTube is a miracle, it brings me much fun, so whether it is costed or not, I would support it.

Original Blog

I am attracted by the “one size fits all” strategy of Brandy Melville, I am slim so I will definitely regard Brandy Melville as my first choice due a sense of vanity and I think it’s the same to most of the customers.

It uses the differentiation focus strategy, which will not only effectively reduce production costs but also arouse interest in customers. Actually I don’t think the strategy of the company violates the business ethics; on the contrary, it raises confidence in the customers and also encourage those who cannot fit into the clothes to keep a strong and handsome figure.

The idea is smart, however, the company should not keep itself in circle, and it should introduce new and fancy clothes from time to time for the limited targeted customers are teenagers and young adults who is the most capricious and fashion-mad. And to catch the wind vane is not an easy task. And for the other companies it can a good opportunity to fill the vacancy by producing clothes for fat people; but not very helpful because there is only one Brandy Melville who refuse to sell all sizes and customers would not like to go to a shop only sells big size clothes, because they do not want to be treated differently.

According to BBC NEWS, gender pay gap may take 118 years to close. Progress on closing the gap has stalled in recent years at a time when more women are entering the workplace.

Weekly earnings for men and women UK, 1997 to 2015

First we need to figure out the reasons contributing to the gender pay gap. Although there are more women going to university, most of them would prefer a profession which is steady and relaxing like government officer. Moreover, companies attach more importance to male employees, thinking that they are the mainstays of the company. There’s no denying that male employees are better than female employees in some way, but we can’t despise women and deprive them of job opportunities for senior positions.

The first reason is unalterable, but we can help change the situation: hire equal amount of female and male labor, do not differentiate between men and women–everyone is paid at the same rate. In that way, sexual equity can be ensue and especially in poor cities, it would be a great change for not only women but also the single-parent family behind them. Furthermore, it will lead to an idea innovation in female and may be they can be as creative and brave as man and occupy senior positions and skilled roles.

Once I was doing a group work about how gender pay gap influence the company, and I said we can hire more female for it costs less. However, my team member disagree with me and said we should close the gender pay gap and make profit by inspiring female workers, and I think the idea is awesome.

Reference

Dubai International Airport

Airbus has admitted that new orders at the Dubai Airshow for its A380, the world’s biggest aircraft, are unlikely.

The main three reasons for Airbus’ sale being stagnant in Dubai is low fuel-efficiency, small capacity and popularization of private plane in Dubai.

This situation can be both a threat and an opportunity for the company.

Since tourist grows continuously, the Dubai International Airport is going to double its size; therefore, if Airbus can stretch A380 to add extra seats, the airline would prefer A380 rather than other airplanes.

In addition, Emirates’ president Tim Clark also said that if Airbus continues to develop a more fuel-efficient A380, called the A380neo, they could buy up to 200 more. And this development could be done without necessarily stretching the A380.

Airbus EC135

Last but not least, there are more and more rich men prefer to run a plane themselves. Airbus may sell their private planes to them, and selling private planes can be more profitable than selling public ones.

So it’s not true that there is no ‘drama’ for Airbus on A380 sales; on the contrary, they can play their cards well to expand their business.

Reference