The blog I chose was written by Adam Davidson and posted on New Yorker. This blog is written after the election of the 58th president of United States. It talks about the market’s tendency in the future. I found it is interesting because it made me think about how Trump as the president of America will change the Sino-Us relationship. More specific, how it will effect the trade.

Trump was elected to be the 58th president of United States, and there has been voice of supporting and against. Because of the trade between America and China and the RMB exchange rate has been issued for a series of radical remarks. Trump thinks China has been manipulating the exchange rate in many ways and he is going to increase 45% tariffs on Chinese goods. How will the Sino-US relations change in the future?

Although there might be a possibility for Trump to start trade war with China, I think it is not a bad thing in some way. First, Trump’s isolationist policies could give China an opening to expand its influence in South Asia, such as countries like Vietnam, and the Philippines . It will help those countries to align themselves closer with China.

Trump has commitment to the Americans that he will let those multinational companies located in China and Mexico get back to the United States to offer American Citizens more jobs. But certainly those large multinational companies are not willing to move back due to the reason that hire labor in US costs much high than hire labor in China or Mexico. This does not benefit the companies. And i think this policy will have a effect on the multinational companies in China because they will make less money if they move back to US.

I have think about an exaple. Apple has large factories in China and it has produced thousands and thousands of iPhone for people all around the world. Why Apple chose to build its factory in China? It is because China provides cheaper and large quantity of labour. Let’s think about if the those factories move back to US, how much would an iPhone cost plus the labour fee? It would be much high than an iPhone cost right now. Lets hope there will not be a trade war between China and America.

Word Count:390

Blog Url:

http://www.newyorker.com/business/adam-davidson/what-the-markets-can-and-cant-tell-us-about-a-trump-presidency?intcid=mod-latest

Picture sources:

http://www.globaltimes.cn/content/568168.shtml

Evins from section 103 is interested on the same news as myself on the ambition of Walmart. In Evins’s blog, he mentioned about Walmart’s recent move on buying jet.com and Walmart’s ambition to compete with Amazon.

Evins gives a couple advantages of Walmart compare to amazon. One advantages is that Jet’s price is fairly lower than Amazon and other retailers. Because Jet has Walmart as a back up storage, they are able to ship goods faster and cheaper. Another advantage which i found is really competitive is that jet is able to provide customers fresh fruit or vegetables and they promised to arrive in 1-2 days within U.S. This is a competitive advantage because Amazon doesn’t have this service. Another point is people have shopped in Amazon before, know that the shipping cost quite high if you want to your goods arrive in a week or less. Another great point on the delivery of fresh food really can make life more convenient. As people focus on work more, and they do not have the time to do grocery shopping, so this could win lots of people’s loyalty to shopping with jet instead of Amazon.

The acquisition of Jet.com is expected to give WalMart an opportunity to consolidate and coordinate Jet.com’s online business and it’s resources and clients to further help WalMart to compete with Amazon. Walmart has the first move on jet, then the second move is moving to the e-commerce world in India, which has the largest population in the world. In my post, I talked about the reasons that Walmart targeted on India. One of the main reason is that Walmart can have a better change to win Amazon.

Word Count: 297

Among all the students in section 106, i found Justin’s post is pretty interesting to me. In Justin’s post, he mentioned about China’s internet censorship, which is a firewall that filter out all the sensitive information that could harm people’s opinion on the Chinese government and the party. In order to achieve this, all freedom of posting website, such as Facebook, twitter and instagram, etc are blocked in China.

Justin also mentioned that Netflix is trying to expanding around the world, and China as a big and strong country, is a great choice. However, Chinese government is under the control of one party, which is called dictatorship. Because of the dictatorship, they would not allow any foreign company to benefit more than the local firms.

As a citizen of China, I think by blocking some websites have advantages and disadvantages. First, by blocking the websites, people are not be able to have an open mind and learn from other people on the good side. On the other hand, it also has a good side. For minors, they do not have the ability to distinguish good or bad, so for those free speaking and free posting websites, it will have a bad influence on minors. For advantages and disadvantages on local firms, it is obvious that it will have a positive effect on local firms because they would have less rivalry to compete with. However, it is also not good for business to develop and for a country to develop.

Word count: 249

Picture source:

http://www.commentary.com/topics/internet-censorship-china.htm

https://www.youtube.com/watch?v=rsuZFKqom3w

A news that I found interesting from CNN Business talks about Walmart’s next move after takeover jet.com. On Oct. 1, WalMart announced they would use $3 billion to buy Jet.com Inc., an Internet retailer and e-commerce site, in order to boost and enhance the company’s e-commerce capabilities. The acquisition of Jet.com is expected to give WalMart an opportunity to consolidate and coordinate Jet.com’s online business and it’s resources and clients to further help WalMart to compete with Amazon.

After this acquisition, Walmart intended to cooperate with India’s largest e-commerce retailer Flipkart, and Walmart is willing to invest up to $1 billion in this collaboration. It is a profitable investment, in the video shown in the news, India’s richest man is woking on to let 80% of population in India to gain phone access by the end of 2017. India has the largest population in the world, if 80% of them do online shopping, it is pretty tasty to Walmart.

Why Walmart choose to work with India? There are several reasons that i think explain the investment. First, Wal-Mart can use the largest online company- Flipkart in order to survive in India’s tough regulations on foreign investment,and can have a more stable foothold in the country. To cooperate with India makes Walmart more competitive to Amazon, which is the main rival to Walmart. “Wal-Mart’s e-commerce sales last year reached nearly $14 billion, or 3% of its $482 billion in annual revenue. Amazon’s sales hit $107 billion last year, including its web-service business.”( Nassauer,WSJ) Learn from an past example , China has a large population and by having more people have the access to internet, makes the online shopping market blooming. India has a very similar situation, where Walmart sees it. Also, by working with Flipkart can let Walmart have a better connections with the local supplier and local consumers. Walmart move in to India’s market is a wise and outlook decision.

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http://www.wsj.com/articles/wal-mart-to-acquire-jet-com-for-3-3-billion-in-cash-stock-1470659763

http://money.cnn.com/2016/09/30/technology/walmart-flipkart-deal-talks/index.html?iid=SF_LN

Picture and video website:

http://www.fonearena.com/blog/198608/walmart-to-reportedly-invest-up-to-1-billion-in-flipkart.html

Blog post #1

According to dictionary, business ethics are “the study and examination of moral and social responsibility in relation to business practices and decision-making in business” (The definition of business ethics).I think is every company’s responsible to follow moral principles when manage business because their decisions will have impact on our society. All the companies have responsibility to their customers and employees. Thus, running a company in an ethical manner is a way to check if the company is successful.

In 2015, Volkswagen deceived people on diesel problem. Automobile industry is one of the most important economic pilar in German, and it’s quality is trusted by people around the world. The reliability on Volkswagen is really high. Chinese traditional culture does not respect businessman, much less in Europe, America, Japan and the respect of industrialist entrepreneurs. Since the merchant is not respected, they do not respect their customers in return. Thus, consumers who have a higher income started to buy things made in Japan or in Germany, because many consumers believe that Germany and Japan’s stringent industry has a safety standards and regulatory norms. Therefore are willing to pay a higher price to the pursuit of higher quality and safer products . However, after this incident, people will have doubt on every single thing that is produced by Volkswagen.

In my opinion, having the highest norm of integrity is obligatory in everything that the company has involved. Without integrity, a company can not obtain their clients, customers and public’s trust. Therefore, it will certainly fail to survive. It is necessary that every company should be based on an business agreements and obligations, set a specific code of ethics in business activities.

Word count: 291

The definition of business ethics. (n.d.). Retrieved September 12, 2016, from http://www.dictionary.com/browse/business-ethics