Ikea Canada announced that it had purchased a 46-megawatt wind farm in Alberta on Thursday. The 20-turbine wind farm will be the largest owned by a Canadian retailer and is expected to generate 161 gigawatt hours (GWh) each year, which is more than double the total energy consumption of Ikea Canada.

Also, Ikea already has 3,790 solar panels installed on the roofs of three stores in the Greater Toronto Area, to encourage renewable energy. It seems that it is unprofitable for Ikea to invest massive funds to pursue green energy, but it is really meaningful. Ikea has realized the importance of sustainability in business. Ikea is adhering to the principles of sustainable development. Ikea has a multilayered corporate sustainability plan that aims to reduce its own reliance on fossil fuels and cut costs; to work through its supply chain to improve social and environmental conditions; and to provide customers with a broad range of low-cost products that save energy, save water and reduce household waste. Ikea’s sustainable strategy not only contributes to protecting the environment, and also brings a new value proposition to its customers. More and more people attach the importance of building a sustainable environment.

http://business.financialpost.com/2013/11/14/ikea-canada-buys-20-turbine-wind-farm-project-in-alberta/?__lsa=afb4-2d02

http://lethbridgeherald.com/news/local-news/2013/11/ikea-purchases-area-wind-farm/

http://www.theglobeandmail.com/report-on-business/industry-news/energy-and-resources/ikea-eyes-low-carbon-future-with-alberta-wind-energy-project/article15436596/

It is reported that China’s leaders pledged Friday to open state-dominated industries wider to private competition and ease limits on foreign investment in e-commerce and other businesses in a sweeping reform plan aimed at rejuvenating a slowing economy.

More openness to global markets is the key part in the “Third Plenum”  conference called on Friday. In this conference, the Chinese government clearly demonstrated that China is willing to open wider to foreign investors. It is true that China should not stick in the mud anymore in order to develop its economy forward. In case Chinese economy stagnates, the restrictions on overseas investors only hold Chinese economy back. Now, sectors, such as finance and education, to foreign, that were previously monopolized by domestic firms are gradually opened to foreign firms. Foreign and domestic businesses are to be treated on equal terms under the Chinese legal system. Also, the government said it would  select several qualified areas, in addition to the pilot program in Shanghai, to develop free trade parks, ports or zones. With more open government regulations, I believe that numerous foreign investors would be attracted by the big, potential Chinese market.

http://www.ctvnews.ca/business/china-promises-to-open-markets-wider-to-private-competition-in-reform-plan-1.1544543

It is reported that the average selling price of a Canadian home was $391,820 in October, up 8.5 per cent compared to last year.

But a closer look at the numbers shows a split between hot markets in the West, and cooler ones in Eastern Canada. Due to an influx of new, rich immigrants into West Canada, typically B.C, the housing price in West Canada shows an rapidly increasing trend. For example, the average housing price in Great Vancouver is roughly $600,700 now, which was only $393,200 in 2005.

             However, according to the graph above, it demonstrates that house prices have risen faster than incomes. And that the cost to own a house has risen faster than the price to rent a house. It makes much more financial sense to rent a house in Canada that to own one. It is ridiculous that Canadians cannot afford to buy their own house in their country. Therefore, I think that the Canadian government must take effective actions. I suggest that we need to invest in public housing in those high housing price cities, such as Vancouver, so that low wage residents can afford to live.

http://www.rebgv.org/home-price-index

http://www.bnn.ca/News/2013/11/15/Housing-Story-RAW.aspx

It is reported that on Thursday, Chinese premier Li Keqiang meets foreign representatives attending the annual general meeting of the China Council for International Cooperation on Environment and Development in Beijing. Li said, China would open its energy conservation and environmental protection industry to international investors.

We can see that the Chinese government increasingly puts more emphasis on environmental protection rather than just developing economy without considering the negative impacts on the environment. As people’s need for a quality environment rises, environmental protection has become a prominent issue in improving livelihoods. I think that the Chinese government should clearly demonstrate its determinations towards developing “Green Economy”. At the same time, the government must take effective actions towards the goal. For example, the central government needs to call for strict punishment for enterprises causing pollution, and there is no exception. Therefore, the enterprises in China would make positive responses and make more ethical business decisions as well. It is good to see that more and more countries, especially developing countries are aware of the importance of producing environmental protection products. I believe that China, as the leader of the developing countries, would be a good role model for other developing countries.

http://www.chinadaily.com.cn/business/2013-11/15/content_17106749.htm

It is surprised to everyone that Apple quietly launched the Retina iPad mini in its retail and online stores on this Tuesday since typically, once Apple unveils the tablet at a Tuesday or Wednesday media event, the company waits until the following Friday to officially release its newest device. This strategy almost always created long slithering lines outside its many Apple Stores dotted around the country in the past. Therefore, the release time was predicted on next Friday, Nov. 22nd. Why did Apple quietly launch Retina iPad mini on this Tuesday?

According to my research, Apply was confronted with the supply chain issue. Apple was experiencing issues creating quality panels that met the company’s specifications, and high rejection rates of the new iPad mini’s 7.9-inch Retina display were reportedly the main reason behind such low yields of the tablet. Therefore, Apply maybe was not confident enough to release the new iPad mini with supply constraints. However, nowadays, technology market is more and more competitive. Companies, like Samsung, have also released attractive products to lure customers. With both internal and external problems, can Apple still maintain its leading position?

On Nov. 11, the day called Singles Day or Double 11 Day in Chinese, numerous Internet Retailers, such as Alibaba, had launched huge discounts and promotions in order to lure customers. Without doubt, it is reported that Websites under Jack Ma’s Alibaba Group Holding Ltd. reported more than 35 billion yuan ($5.75 billion) in sales on Nov. 11, and plenty of other retailers participated in the buying binge on the day that originated as a celebration for China’s growing bachelor ranks.

But what is behind this amazing number? It is the war between new E-commerce and traditional commercial mode in China. According to my research, nowadays, there is an increasing rate of people who prefer shopping online due to the cheaper commodities. This leaders to a great negative impact on traditional commerce. More and more real stores close down. Obviously, traditional commerce is placed in a passive state now.  Traditional commerce should be warned and find countermeasures as soon as possible in order to maintain its position in the business market.

PS: Is this the signal of economic transition in China?

Reference:

http://www.ibtimes.com/china-celebrates-singles-day-record-breaking-sales-alibaba-other-internet-retailers-1464870

The US economy is currently experiencing its worth financial crisis since the Great Depressions. According to my research, in the Mid-October, the United States will only have $30 billion cash on hand. the United States would not make all of its payments unless Congress raises the debt ceiling. However, “Republican House Speaker John Boehner vowed on Sunday not to raise the US debt ceiling without a “serious conversation” about what is driving the debt.”

Boehner also asserted that US is on the path to default if Obama won’t negotiate. At the same time, “Democrats said it was irresponsible and reckless to raise the possibility of a US default.”Republicans and Democrats blame each other for the financial crisis. If these two parties don’t reach an agreement in a short time, the US’s credit is at risk, which may result in severe consequences, even worse than 2008 economic crisis. It is better for both Republicans and Democrats cooperate together, and solve the crisis at first. After all, they are not willing to see US to lose its international leading position.

http://usa.chinadaily.com.cn/world/2013-10/07/content_17011738.htm

It is reported that heads of APEC members, chief executive officers (CEOs) from all over the world started meeting in Nusa Dua Bali of Indonesia on Sunday. According to Wisnu Wardhana, chairman of the summit, over 1,200 CEOs and 10 head of members took part in the APEC CEO Summit. Due to the absence of American President Obama, Chinese President Xi Jinping undoubtedly became the centre of attraction because everyone is curious about whether the new president would bring new phenomenon to China.

In Monday, Chinese President Xi Jinping said that his country will deepen reform and opening-up in all respects, as Chinese economy has entered a new stage of development. Xi was showing a huge confidence about the future of Chinese economy. Xi not only puts emphasis on exploring domestic developments, but also he devotes to seeking further cooperations with other Asian countries. With the steady improvement of China’s economy development, China seems to gradually replace US to become the leader of in Asia. At the same time, US is suffering both internal and external problems. It is worth for US thinking about how to stabilize its leading position in Asia.

http://europe.chinadaily.com.cn/business/2013-10/06/content_17011198.htm

It is reported by ChinaDaily that the Shanghai pilot free trade zone (FTZ) started operating Sunday, launching a test bed for the Chinese leadership’s drive of deepening market-oriented reforms and boosting economic vitality.

“[FTZ] follows the tendency of global economic developments and reflects a more active strategy of opening-up,” Commerce Minister Gao Hucheng said at the ceremony of the zone’s launch.

Building the FTZ is considered as the boldest reform in decades in China.  As a result of the global economic crisis since 2008, China’s foreign trade has fallen sharply, which automatically leads to a great negative impact on its domestic economy. In the case that international economy is still unstable, China has to take an action to create a good environment for developing its economy. However, Shanghai FTZ, as the pioneer on the mainland, liberalizes regulations governing finance, investment and trade.

“Priority will be given to easier investment access and greater openness in trade in services. We have also adopted measures to facilitate foreign trade and promote a steady growth in import and export,” said premier Li Keqiang, the top proponent of FTZ.

Therefore, FTZ in Shanghai plays an important rule in stabilizing economic development and being a test bed for pushing forward reforms and opening the economy wider.

http://www.chinadaily.com.cn/business/2013-09/29/content_17002390.htm

http://www.reuters.com/article/2013/09/29/us-china-ftz-idUSBRE98S02K20130929

“McDonald’s is hiring more than 6,000 people on Thursday. The one-day hiring blitz is being held on the third annual National Hiring Day held by McDonald’s. Job seekers are being invited to apply in person at their local McDonald’s for the 6,000 crew and 100 manager positions. “

http://www.thespec.com/news-story/2550138-help-wanted-mcdonald-s-is-hiring-more-than-6-000-people-on-thursday/

I believe that McDonald was doing an ethical business decision, which was hiring 6,000 people, especially teens on national hiring day. Nowadays, McDonald becomes a significant resource of employment of teens. According to recent research, McDonald is one of Canada’s largest employers of youth, and some 65 per cent of its staff are between 15 and 24 years old. Noticing that Canada lost 55,000 jobs in March and the unemployment rate jumped to 7.2 per cent, I think that the stakeholders of McDonald, such as Canadian government  and unemployed people, enjoyed a great benefit from this event. As Ed Freeman suggests, managers should manage so that all stakeholders benefit. McDonald not only has helped Canadian government somehow to cut high unemployment rate, but also has helped people to have a source of income to improve their living standard.