Shuang (Julie) Xie's Blog

When we think of celebrities, such as Michael Jackson or Paris Hilton, we usually relate them to fame, a luxurious life, and money. But as difficult as it is for one to imagine, there exists financial issues and debts behind this Hollywood image. Take Michael Jackson for example: poor knowledge in personal finance has lead him to be buried in a $400 million debt, which is now the burden of his family. Apparently, the entire Jackson family has been dealing with just as many financial troubles as the fallen icon had. But how did the once lucrative family find themselves in financial ruin? Reports suggest “a slew of bad investments, poor advice, bankruptcy, stubborn pride, divorces, IRS debt, and child support.

Most students learn about finance at school and relates them to big companies and their investments, but they tend to develop an ignorant attitude towards their own financial issues. It’s important to have a good knowledge in personal finance and money management, taking into account various financial risks and future life events. As students graduate from university, enters the workforce, and eventually goes into retirement, they’d need to deal with many things such as credit cards, income tax, bank loans, and retirement plans. Thus, learning how to save and manage money effectively at an early stage would prove to be essential later on.

Reference: http://momsword.org/index.php?option=com_content&view=article&id=2072:apparently-michael-jacksons-entire-family-has-financial-problems&catid=1:latest-reviews&Itemid=50#ixzz11zIKxpeL

Do you find that the commercials on TV are becoming more and more generic and less appealing? Well, it’s not just the audiences that find this a problem. According to a survey released by the Association of National Advertisers (ANA) and Forrester Research, Inc., 78% of advertisers feel that traditional television advertising has become less effective from 2004-2006. The survey also found that marketers are exploring emerging technologies to help bolster their television advertising spend. The joint survey asked 133 national advertisers about their attitudes towards TV advertising and what impact new technologies, such as digital video recorders (DVRs) and video-on-demand, will have on their TV advertising budgets. Those surveyed represent more than $20 billion worth of advertising, including marketers from Colgate, Dunkin’ Donuts, Johnson & Johnson, and Verizon. “As DVRs look to climb above 30 million households in the next three years, advertisers are finding themselves forced to reconsider their media mix,” said Josh Bernoff, Vice President, Forrester Research.

Indeed, as new and traditional media alternatives compete more aggressively for a share of the media pie, and marketers look to improve consumer targeting, reduce costs and enhance accountability, television is aggressively responding. With technology-based advances in addressability, enhanced television options, Internet convergence (IPTV) and branded entertainment opportunities, television is likely to continue as the dominant part of the marketing mix.

Reference:http://www.marketingtoday.com/research/0306/tv_advertising_less_effective.htm

When we think of competition between rival companies, the idea of price wars and product improvement comes to mind. However, the executives at Wal-Mart Stores Inc. and Costco Wholesale Corp., competitors in the $76 billion US warehouse-club market, have taken their rivalry to a new level: national politics.

Wal-Mart, the world’s largest retailer, gives more money to Republican candidates than any other company while Costco chief executive Jim Sinegal, 68, is a Democrat who says Bush’s $1.7 trillion in tax cuts unfairly benefit the wealthy. He opposed the Iraq war and supports Democratic Senator John Kerry of Massachusetts for president. ”Wal-Mart is extremely strong in Republican strongholds; they are a red-state retailer,” said Amy Bonkoski, an investment adviser. On the other hand, Costco is stronger in Democratic states and is “a friend to labor”.

The differences are based on more than ideology: each retailer has a stake in the election’s outcome in areas from healthcare to the minimum wage to the way unions can organize workforces. All in all, competition is something that can’t be avoided but it’s the fact that some companies go through intense measures to ensure their position on top that raises other moral questions. Corporate espionage, hostile takeovers and unhealthy competition should be eliminated for healthy business practices and national growth.

Reference:

http://www.boston.com/business/articles/2004/07/25/rivalry_between_wal_mart_costco_also_extends_to_national_politics/