...contribute to the change in the income levels. Also what factors (from an income standpoint) should western firms keep in mind when deciding to serve the Chinese market. As per the Mckinsey Global Institute (MGI), in 1985, 99 percent of the household lived on income less than 25,00 reminbi, or $3019 per year. An estimated 116 million people in china were living less than $1 a day, by 2004 this number has been by 53 percent to just under 54 million. This has been a historical achievement in one generation. Chinas pro-market reforms and integration into the global economy has enabled China to achieve such success. As real average disposable income for households has grown 3.2 times over the past 20 years to 25,348 renminbi today, china has developed a structure of distinct income levels and the rise of the middle class. Even though there remains a huge income gap between the rural and urban population. The disposable income for people living in the rural and urban population is increasing. The diagrams on the right depict the rise in their disposal income level in urban and rural households. Due to the rapid pace of urbanization in China, the annual disposable income per capita for urban households is climbing from 1, 701 RMB in 1991 to 17,175 RMB in 2009. This is equivalent to an 10 times increase. As for rural households, similar trend can also be spotted - a 5.1 raise in annual disposable income per capita to 5,153 RMB in 2009. Subsequently, it can also be observed the growing...
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...strategies of the two global retailers seem to play a crucial role in the competition in China. Thus both similarities and differences of strategies are worth considering and will be respectively analyzed in the essay. One of the most significant similarities of Walmart and Carrefour’s strategies is that both of them learn about the diversity of regions and customers. Ed Chan, the Walmart China’s CEO, pointed out that not only income level, but also customer preferences were affected by the regional diversity (McKinsey Quarterly, 2009). It suggests that from coastal area to inland regions, the economy is less developed and the income level is accordingly lower. As a result, customer preferences vary from the eastern to the western part of China (McKinsey Quarterly, 2009). Similarly, Carrefour treats coastal and inland customers respectively to adapt to region differences in China. For instance, live fish is displayed to customers in fresh area but frozen fish is sold to people in vast regions according to the diversity of their preferences (Child, 2006). Another similarity is that in addition to coastal cities, both retailers have expanded into inland regions and smaller cities which are less prosperous. The Economic Times (2008) stated that Walmart has opened a store in a less prosperous city in Henan province and Carrefour has opened one in Urumqi, a city in the westernmost area in China. The article seems to show that in view of the near saturated market in the first-tier...
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...Accountant and Customer Service Ruili Hydraulic System LLC Algonquin, IL June 2010 - Current Manage payroll and sales tax activities Processes Account Payable, Account Receivable, and Monthly & Quarterly billing Ensure accuracy of bank statement reconciliation and date entry to the general ledger system Assist and prepare quarterly financial statement Process purchase order, arrange import products from China and schedule the shipment Print daily account payable checks and create invoices Follow – up on collections and General Ledger Postings Communicate and update supervisor / senior administrators on customer status and production issues on a regular basis Developed account balancing interface to EDI accounting system Prepare requisitions for office, computer, and routine supply purchases Billing Specialist Discovery Benefit Inc. Fargo, ND September 2007 – January 2010 Reviewed, processed, and managed flexible spending account claims, health reimbursement arrangements, transportation claims, and debit card documentation Researched and corrected account balancing between multiple systems Analyzed reimbursement documentation and corrected any missing reimbursement requirements Processed monthly insurance billing and carrier updates Recorded NSF checks returned by bank and notify participants of adjusted balance Keyed applicant claim within required timeline Monitored and processed recurring debit card transactions, ensuring accuracy of claim...
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...The Republic of China has had lot of reforms in its development in the last several decades. The nation boasts very unique and varied forms of reforms throughout its practices which are quite different from whatever other countries have followed in the past. Being a country holding nearly 20% of the population, they could not have managed to be one of the fastest growing and healthily developing countries of the world. Having said that, it is easy to believe that the reforms that China has been implementing have been greatly useful in the development at every stage. The economy of China was based on a centrally planned system in the recent past. But with the reforms, China managed to move from an economy that was centrally planned to an economy that is driven by the market. Such a reform was distinctive because it transformed the economic eco-system from a government-centric economy to a more privatized economy. People started entering into the market competing among others, hence bringing about a great change in privatization. China also took up a reform which was completely focused in creating and generating a value that was surplus. The main reason for such a reform was that they could help in financing the transformation and modernization of China. China has also been immensely successful in not only making reform policies but also breaking them down in a way so that people and other institutions can adapt and follow it. Such an ease in their policy was brought about by...
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...FOR RELEASE: In Washington, D.C. (EDT): July 16, 2012 New Setbacks, Further Policy Action Needed In the past three months, the global recovery, which was not strong to start with, has shown signs of further weakness. Financial market and sovereign stress in the euro area periphery have ratcheted up, close to end-2011 levels. Growth in a number of major emerging market economies has been lower than forecast. Partly because of a somewhat better-than-expected first quarter, the revised baseline projections in this WEO Update suggest that these developments will only result in a minor setback to the global outlook, with global growth at 3.5 percent in 2012 and 3.9 percent in 2013, marginally lower than in the April 2012 World Economic Outlook. These forecasts, however, are predicated on two important assumptions: that there will be sufficient policy action to allow financial conditions in the euro area periphery to ease gradually and that recent policy easing in emerging market economies will gain traction. Clearly, downside risks continue to loom large, importantly reflecting risks of delayed or insufficient policy action. In Europe, the measures announced at the European Union (EU) leaders’ summit in June are steps in the right direction. The very recent, renewed deterioration of sovereign debt markets underscores that timely implementation of these measures, together with further progress on banking and fiscal union, must be a priority. In the United States, avoiding...
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...FOR RELEASE: In São Paulo (BRT): 10:00 a.m., June 17, 2011 In Washington (EDT): 9:00 a.m., June 17, 2011 STRICTLY CONFIDENTIAL UNTIL RELEASED Mild Slowdown of the Global Expansion, and Increasing Risks Activity is slowing down temporarily, and downside risks have increased again. The global expansion remains unbalanced. Growth in many advanced economies is still weak, considering the depth of the recession. In addition, the mild slowdown observed in the second quarter of 2011 is not reassuring. Growth in most emerging and developing economies continues to be strong. Overall, the global economy expanded at an annualized rate of 4.3 percent in the first quarter, and forecasts for 2011–12 are broadly unchanged, with offsetting changes across various economies. However, greater-than-anticipated weakness in U.S. activity and renewed financial volatility from concerns about the depth of fiscal challenges in the euro area periphery pose greater downside risks. Risks also draw from persistent fiscal and financial sector imbalances in many advanced economies, while signs of overheating are becoming increasingly apparent in many emerging and developing economies. Strong adjustments—credible and balanced fiscal consolidation and financial sector repair and reform in many advanced economies, and prompter macroeconomic policy tightening and demand rebalancing in many emerging and developing economies—are critical for securing growth and job creation over the medium term. The global...
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...Malaysia Stock Picks Malaysia stock picks site has been developed to give first hand information with regard to share trading opportunities available for investors who do not like go through lengthy research reports, calculations,etc but to have a clear idea about stocks that have future up side potential.Our service is just not for day traders but for the investors who wish to see their money growing in the long run.Our main objective is to provide information relating to trading under one roof. This Blog Malaysia Stock Picks: How to spot a good IPO and a bad IPO in ... 11 May 2012 I can't help but to mention one classic example of Vastalux Energy Bhd. In 2008, Vastalux stocks were undersubscribed and since its listing the share price hasn't climbed any higher than its IPO price and is currently facing ... http://malaysiastockpicks.blogspot.com/ 1 11 May 2012 How to spot a good IPO and a bad IPO in Malaysia Here is a guide to spot a good Initial Public Offering (IPO) and a bad IPO in Malaysia. Whether you are looking to subscribe for flipping for first-day gains or to hold for the long run, understanding why companies go for IPO is equally as crucial as looking for pertinent points that will increase your chances of striking a good deal and avoiding a bad one. Why Companies go for IPO? All companies listed on the stock exchange have one common interest in mind – to raise funds. Initial Public Offerings is the company’s first time raising funds selling its stock to the public...
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...1. Introduction The relationship between the central government and local governments in China has always been an important issue. Many people believe that the public administration of big countries has a confusing problem that in the formal system, how the policies made by senior policymakers can be implemented by adaptive agents of middle and basic levels (Lin & Liu, 2000). China has the largest population in the world, the authoritarian system and the implementation gap in the field of policy increase the complexity of the problem. Since the end of 1980s, political reform took place under the leadership of Deng Xiaoping and Zhao Ziyang, a relatively free political environment existed, thus a nationwide debate of neo-authoritarianism occurred among government officials and intellectuals (Landry, 2008). The collapse of the former Soviet Union made Chinese people again worry about the weakness of central power, the intellectual field even began to doubt the long-term vitality of communist countries. Therefore, after the Tiananmen Square protests calmed down, Central government of China tightened its control over all provinces through restructuring the cadre appointment system (Brødsgaard, 2002). In this paper, the author will analyze how has the Central government asserted its control over the local governments since the 1990s, and make a critical evaluation of its effectiveness. 2. Central government’s policies on local governments since the 1990s 2.1 First stage: 1990-1993 ...
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...organization portal, Riordan Manufacturing has five hundred-fifty employees and indicated there is a projection of $46 million annual earnings. “Riordan Manufacturing, Inc. is an industry leader in the field of plastic injection molding. With state-of-the art design capabilities, we create innovative plastic designs that have earned international acclaim. Attention to detail, extreme precision and enthusiastic quality control are the hallmarks of Riordan Manufacturing. With facilities in San Jose, California, Albany, Georgia, Pontiac, Michigan and Hangzhou, China, we have the capacity to fulfill your unique needs. Riordan Manufacturing is wholly owned by Riordan Industries, a Fortune 1000 enterprise. The company produces plastic beverage containers produced at its plant in Albany, Georgia, custom plastic parts produced at its plant in Pontiac, Michigan, and plastic fan parts produced at its facilities in Hangzhou, China. The company's research and development is done at the corporate headquarters in San Jose. Riordan's major customers are automotive parts manufacturers, aircraft manufacturers, the Department of Defense, beverage makers and bottlers, and appliance manufacturers.” http:/aapd.phoenix.edu/CIST/VOP/Riordan Determining the Needs for Riordan Manufacturing System Development Life Cycle is also known as SDLC. This is the process of the developing information systems by compiling investigative information, analysis, design, implementation and then continual maintenance...
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...Katz Group) and Shoppers Drug Mart (also from Canada), China Nepstar (China), AS Watson (Hong Kong), Matsumoto Kiyoshi (Japan), Phoenix and Celesio (Germany), and Alliance Boots (Switzerland). Global retail pharmacy sales are expected to reach $1.4 trillion by 2017, according to Lucintel. Growth drivers include the aging of the population and increased health awareness. North America, with about 40% of worldwide pharmaceutical sales, is the largest market, followed by Europe and Japan with about 25% and 10%, respectively. The US drug stores industry includes about 45,000 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $250 billion. Competitive Landscape Demand is driven by the aging of the US population, awareness of health issues, and advances in medical treatment. The profitability of individual companies depends on access to medical insurance groups. Large companies have economies of scale in purchasing and in access to large groups of customers. Small companies can compete effectively through convenient locations or special merchandising. The US industry is concentrated: the 50 largest companies generate about 70% of revenue. Chain stores account for about 50% of the US retail prescription market, according to IMS Health. Mail services account for about 25%, independent drug. Contents: Industry Overview Quarterly Industry Update...
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...Benefits HSBC strategic operations have reflected a global world view that has offered the bank tremendous opportunities for growth as seen by the growth in developing markets (HSBC.com, 2016). The profitability of developing countries has surpassed profits for developed markets such as USA and Europe. An illustration of the same can be seen by the asset and profit ratio in developed markets and developing markets which show positive numbers in terms of profit (Morris and Liu, 2015). Another benefit to operating in the emerging markets is the opportunity to tap into the wealth management industry. The banks origin in Hong Kong coupled with the presence of an already established wealth market in the region makes an opportunity for the bank to acquire more clients. HSBC’s has also taken advantage of its diverse cultural image and reduced cost of wages to outperform its operations in developed markets (HSBC.ca, 2011). The cost of running its operations in developing countries such as Brazil, Singapore, India and Thailand is much lower than in Europe. The reason for cheaper operations cost is as a result of reduced remuneration cost in areas of developing countries in comparison to the already developed countries. The risks associated with the bank include the inconsistent application of policies and regulations in the new markets (Henning, 2016). The problem of acquiring licenses in the developing markets poses a challenge to the bank (Wildau, 2016). The bank has also faced the problem...
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...MGT/216 Past events in corporate America have shown destructive effects that occur when the leadership of a company behaves in an unethical manner. Enron, Tyco, WorldCom, and Adelphia are companies whose lack of ethic caused them trouble (Posters, 2003). Good Business ethics and social responsibility contributes to the success and profitability of a company and is good for society. Funco Toy World Incorporated (Funco) is a toy store that operates in the United States. After extensive research the owners of Funco decided to expand into China. According to Orfield (2006) in 2002, for the first time, China attracted more foreign investment than the United States. The world’s fastest-growing economy is the second largest behind the United States, and by mid-century, it is expected [The passive voice is a form of "be" (is) and a participle (expected). Over-use of the passive voice can make paragraphs officious and tedious to read. Try to use the active voice most often; for example, passive voice = The paper was completed on time. Active voice = the student completed the paper on time--(Note: the Plain Writing Act of 2010 makes avoidance of the passive voice in official writing a requirement for government employees)] to be number one. “The moral challenge is even more intense for multinational companies who...
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...European Crisis and its effect in the International Market After the Second World War, the world was in search of a new alternative to stop with the horrific wars between nations. In 1950, France, Italy, Germany, Luxemburg, Belgium and Netherlands joined in order to obtain peace, protectionism and economic advantage. It was the foundation of the current European Union. This significant moment in history was followed by a remarkable transformation around the world: the globalisation of the market. Globalization was described by Joseph Stiglitz (2002) as “the removal of barriers to free trade and the closer integration of national economies”. This new reality, from local to a global market, made businesses and countries adapt themselves forcing the implementation of new alternatives to survive against international competition and to get economic strength in this new aggressive world. Market competition was no longer limited to country’s borders but it was also suffering from foreign rivalry. The European Union’s countries members were integrated with the purpose to be a unique market being the world major regional trade cooperation. Since its foundation, the Europe Union have been engaged in this integration and it had demonstrated strength in the implementation of a free trade area, controlling a large part of the international market. Although the history of Europe Union had appeared to be a history of success of integration and cooperation, in the last two decades...
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...venture with a small consortium of Chinese nationals in China. The joint venture project produces plastic fan parts in Hangzhou, China. Riordan shall meet all fiduciary duties of loyalty and care in this joint venture as it is liable for damages for any breaches caused. Riordan shall adhere to the regulatory laws of China regarding how the operations in Hangzhou are run. Riordan shall ensure compliance in this area by establishing within their contract with the Chinese joint venture partners the responsibility to interface with local vendors, governments, and regulatory agencies. Riordan shall ensure compliance with all bilateral treaties with the United States and China or other countries they have customers with. These treaties are equivalent to international legislation. Riordan shall ensure compliance with these treaties by checking with the United Nations for all registered and published treaties and will update their policies within 30 days. Riordan shall comply with the United Convention on Contracts for International Sale of Goods (CISG) with its customers in Japan, China, Italy, Taiwan, Germany, Canada, United Kingdom, Brazil, India, Thailand, and Russia. The CISG establishes the rules governing the formation, performance and enforcement of the international sales contracts between international businesses. Riordan shall comply with all World Trade Organization treaties between the United States and China, including the General Agreement on Tariffs and Trade...
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... i. Crowd control problem ii. Replaced chief in less than five months after opening iii. Poor working conditions c. Opportunities i. Growing population of youth and growth of middle class ii. Hong Kong economy had a notable rebound in 2004 d. Threats i. Ocean Park competition ii. 2,000 theme parks built in China between 1994 and 1999 III. Questions a. HKD had mechanisms in place to adapt to local Hong Kong culture, yet these means appeared to be ineffective. Why? What areas, in terms of Cultural adaptation, still need further improvement? b. What can HKD do to alleviate the problem of Chinese guests often not knowing the norms of international behavior when traveling abroad? c. Identify two issues challenging HKD’s current operations, and propose corresponding solutions. d. What would be some foreseeable challenges if Disney enters the China market? How can experience gained in Hong Kong help? IV. Case Update a. Southern California Disneyland i. Overcrowding b. Hong Kong Disneyland i. Increased business ii. Expansion c. Shanghai Disneyland i. Joint venture ii. Size iii. Expected completion...
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