Recent news from Iraq made the oil price top US $107 per barrel.
It is important not only to possess rich mineral resources but also to be able to extract them from the bowels of the earth.
Russia is one among countries which oil reserves can bring a great portion of revenue to the country for years. But the question is how much the government is ready to spend on resource exploration.
Though, the Russian government spent more state funds on exploration in 2007 it is still a mere 0.5 percent of federal budget. As a consequence "Output fell 0.7 percent in January and 0.9 percent in February, to 9.79 million barrels per day, compared with the same months last year".
Russia decided to double state spending on resource exploration to 2020 to $23 billion. The focus will be on oil in eastern Siberia.
Friendly relationship between Korea and Russia can help Korean oil exploration companies promote their business in Russia and replenish its oil reserves. Korea have already participated in several projects for oil exploration in Russia.
The article is available by clicking on the following link http://www.moscowtimes.ru/stories/2008/03/28/045.html
Friday, March 28, 2008
20400512 Entry 3
You can go to the site by clicking on the title
Bear Stearns' Cayne sells over $60M in stock
Source: http://money.cnn.com/2008/03/27/news/newsmakers/cayne_stock/index.htm?cnn=yes
The chairman of the troubled company Bear Stearns dumped his stock just after the company that was going to buy Bear Stearns quintipled their bid.
When I read this article, one part of me thought that Cayne did a good job but one part of me thought what good can it do them now?
Reading articles like this constantly gets me thinking on how detailed and thorough we must be in setting up any type of business plan. It's not only earning money that it makes a good business but always staying stable and on line with competition.
What good is it going to be for Cayne and his wife who have now sold their shares and only have money now? Can they possibly climb back up the ladder of success??
Bear Stearns' Cayne sells over $60M in stock
Source: http://money.cnn.com/2008/03/27/news/newsmakers/cayne_stock/index.htm?cnn=yes
The chairman of the troubled company Bear Stearns dumped his stock just after the company that was going to buy Bear Stearns quintipled their bid.
When I read this article, one part of me thought that Cayne did a good job but one part of me thought what good can it do them now?
Reading articles like this constantly gets me thinking on how detailed and thorough we must be in setting up any type of business plan. It's not only earning money that it makes a good business but always staying stable and on line with competition.
What good is it going to be for Cayne and his wife who have now sold their shares and only have money now? Can they possibly climb back up the ladder of success??
20300244 Entry 3
Shan Hsing Lighting's new $7 million factory is running at just 60% of capacity
by Dexter Roberts
from Business Week
With Chi-Chu Tschang in Beijing
Entrepreneur Tim Hsu first started making lamps more than 20 years ago in Taiwan. And like tens of thousands of other factory owners in Taiwan, Hong Kong, and Macau, he later moved operations to the Pearl River Delta region of Guangdong in South China, setting up his Shan Hsing Lighting in a sleepy hamlet of rice fields and duck farms called Dongguan. Since then the region has grown into the largest manufacturing base in the world for a host of industries, including electronics, shoes, toys, furniture, and lighting. The combination of low wages, minimal regulation, and a cheap currency was unbeatable. Hsu was so confident of Guangdong's future as the world's workshop that he spent $7 million on a much larger factory, which opened earlier this year.
Now many of China's manufacturers—including Shan Hsing—are undergoing the kind of restructuring that tore through America's heartland a generation ago. The U.S. housing market, which generated demand for everything from Chinese-made bedroom sets to bathroom fixtures, has plummeted. A new Chinese labor law that took effect on Jan. 1 has significantly raised costs in an already tight labor market. Soaring commodity and energy prices, as well as Beijing's cancellation of preferential policies for exporters, have hammered manufacturers. The appreciation of the Chinese currency has shrunk already razor-thin margins, pushed thousands of manufacturers to the edge of bankruptcy, and threatened China's role as the preeminent exporter of low-priced goods.
Hsu's new factory, it turns out, is running at just 60% of capacity, and he predicts that half of China's lighting factories—almost all based in Guangdong—will have to close their doors this year. "Shoe factories, clothing, toys, furniture, everyone is shutting down," he says. Hsu's not alone in his alarm. "We spent 20 years building up our industry from nothing to one of the biggest in the world," says Philip Cheng, chairman of Strategic Sports, which produces half the global supply of motorcycle, bicycle, and snowboarding helmets out of 17 plants in the Pearl River Delta. "Now we are dying." Cheng says he once earned 8% margins. His margins now? Almost zero.
Comprehensive statistics on shutdowns are hard to come by. But the Federation of Hong Kong Industries predicts that 10% of an estimated 60,000 to 70,000 Hong Kong-run factories in the Pearl River Delta will close this year. In the past 12 months, 150 factories making shoes or supplying shoemakers have closed in Dongguan, says the Asia Footwear Assn. More plants will disappear as demand slows: UBS (UBS) analyst Jonathan Anderson expects overall export growth of just 5% or less for China this year.
Chinese policymakers so far profess little concern. The closures are mainly hitting lower-value, labor-intensive exporters that pollute heavily and use energy inefficiently. Beijing now wants cleaner industries that produce higher-quality items for the local market, from cars and planes to biotech products and software. That emphasis not only helps boost domestic consumption—a key national goal—but also reduces frictions internationally from the ever-swelling trade surplus. "We are not abandoning the [exporters]," said Guangdong Governor Huang Huahua on Mar. 8. "[But] selling domestically is good for the country, good for the collective, and good for the people."
Still, the shift in the manufacturing base is likely to hit harder and be felt more widely than officials expect. So far, most shutdowns have been in Guangdong, but the pain is hardly limited to the region. When more than a hundred South Korean-owned factories closed over the Chinese New Year in the eastern province of Shandong, 1,200 miles from the Pearl River Delta, thousands of workers were left without jobs—and with unpaid wages.
LOSING ITS ALLURE
The bigger multinationals may be having second thoughts, too. A report by the American Chamber of Commerce in Shanghai found that more than half of foreign manufacturers in China believe the mainland is losing its competitive advantage over countries like Vietnam and India. Almost a fifth of the companies surveyed are considering relocating out of China. "The big story here is that globalization is for real—and China is no longer what it was," says Ronald Haddock, a vice-president at consultant Booz Allen Hamilton, which wrote the report.
The rise of the yuan may be the biggest single factor driving companies to relocate. But other government policies are contributing to the crisis. Last year, Beijing decided to cut or cancel tax rebates on more than 2,000 items used to make exported goods. The impact has been huge. "The end of rebates has raised the cost of manufacturing many goods by 14% to 17% at the factory level," says Harley Seyedin, president of the Guangzhou-based American Chamber of Commerce in South China.
Now a tough new law requires companies to provide employee benefits including pensions; to guarantee collective-bargaining rights; and to hire for the long term. It's "wreaking havoc," says Ben Schwall, president of Aliya International, a Dongguan company that does quality inspections for China's lighting industry. The law is raising operating expenses by as much as 40% when you add spiraling wages in almost every sector. "We knew it was going to be a more difficult year, but no one foresaw 40% more in costs," says Willy Lin, vice-chairman of the Textile Council of Hong Kong. "So when everything exploded in our face, we started to ask: What can we do?'"
For many companies the answer lies outside China. In early March, Hebei Yong Jin Cable opened a factory in Vietnam's Tay Ninh province, near the Cambodian border. "In Hebei province in China, it costs more than 1,000 renminbi a month [to pay relatively unskilled workers]," says Qu Huijun, Vietnam project director at Hebei Yong Jin. "But in Vietnam, it is about 500 RMB. So the cost of labor is cheaper by half."
Rising costs are also affecting sourcing decisions by big apparel and footwear labels. Adidas has told its suppliers in Guangdong to look at lower-cost regions in China as well as abroad. So Taiwan-run Apache Footwear, which has 18,000 employees in Qingyuan, Guangdong, is considering setting up smaller plants on the Guangdong border with Hunan and Guangxi, where costs are lower. It recently opened a second factory in India. "We will reduce our percentage produced in China because of growth in other countries," says Bob Shorrock, Adidas' global director for sourcing.
Shifting manufacturing abroad, though, takes time and money. Complicated logistics networks that have grown over more than a decade to support everything from computer makers to shoe factories will have to relocate as industries move. "We have more than 100 suppliers in the Dongguan area," says Shan Hsing's Hsu. "Moving is not easy."
Even in countries like Vietnam, labor costs are already rising, and shortages are emerging. Other costs may far outpace those in China. The bill for constructing Apache's India factory was almost three times what it would be in China, the company estimates, because the Indian government required that it be built to strict British specifications on the materials used. Frequent power and water shortages mean Apache has had to provide its own expensive backup systems for its Indian plant as well. "Adidas says we should move as fast as we can to India. But productivity in India is 65% to 70% the level of China," says Charles Yang, Apache's executive general manager. "If we ramp up too fast in India, we may shoot ourselves in the foot."
KINDERGARTEN AND CAMP
Fear of stumbling abroad has led many manufacturers to seek even more productivity gains in China. "The most important thing we can do to cope is to raise our efficiency," says Li Dongsheng, chairman of top Chinese electronics maker TCL. Some are trying automation. Reducing employee turnover—which nears 75% annually at many Guangdong companies—is another way. That's why Apache offers perks like a kindergarten and even a summer camp for employees' children to learn English. It has just finished building 280 apartment units it will sell at below-market prices to its married employees. "We are trying to make it feel like home here," says Yang. "It stabilizes your workforce."
Will these efforts keep a lid on the prices of products coming out of China? Probably not. For years manufacturers have met the demands of U.S. retailers to lower their prices. But their backs are finally to the wall, says Charles Swindle, a senior vice-president at Hong Kong's Flora Forté, which uses 20-plus China factories to make home decor items for Bed Bath & Beyond (BBBY), Wal-Mart (WMT), and major U.S. department stores. "I know factories are turning down millions of dollars in orders because they will lose money if they take them."
The next step is inevitable, says the American Chamber's Seyedin: "There will be a rise in the prices of shoes, textiles, and all kinds of household products." Geoffrey Greenberg, president of Creative Designs International, saw the cost of toys and costumes he acquires from Guangdong factories rise as much as 25% last year. He recently passed on price hikes of up to 10% to his customers, including Wal-Mart and Kmart (SHLD).
Some manufacturers will try to avoid those increases by finding cheaper locales deep inside China. "The answer to high prices in China is more China," says William Fung, Hong Kong-based group managing director at the world's biggest consumer-goods sourcing company, Li & Fung. "There are still places like Sichuan or Hunan that are cheaper."
But there are plenty of signs that labor costs are rising in cities such as Chengdu in Sichuan and Changsha in Hunan. And no matter where they relocate on the mainland, manufacturers face the same newly stringent labor law, high commodity prices, and pressure from the ever-climbing currency. That has major implications for the global economy. "Unlike in the last 20 years, when China exported deflation, from now on, China will export inflation, " says Peter Lau, CEO of Hong Kong retailer Giordano International, which has extensive operations in China. "Consumers will have no choice but to accept the new reality. They should get psychologically prepared."
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My thoughts
"Unlike in the last 20 years, when China exported deflation, from now on, China will export inflation, "
The world is ever changing. I still remember the time that many of business men or enterprises went over sees to establish their factory in China for everything was cheap in there. But it didn’t last long. Even it took only 20 years to lose her competitive. Now Vietnam and India rises as China rose in the past. Main reason for losing competitive of the China is government’s policy. Regardless of good or bad, government’s policy makes harder to do business in mainland in China for foreign companies. Most of them are either closing their business or looking for a place to move their factory. However, in my opinion, it is hard to say that Chinese government is doing wrong for the complexity of the situation but one thing I could say on this seen is that the companies should take a good look at the close environments as well as global situations. And they also should know the right time to make a significant decision. The world will still be changing ever. And business people should live with this never changing true.
20653023 Entry # 3
It won't be an overstatement to say that I was impressed by video clip about generating energy we were showed other day in our Business Strategy class. And professor Lee's question: "what as Christians can we do to help to prevent and/or solve energy crisis" prompted me to think more about my position regarding this issue. I'm not an inventor and never will be one. But as a global citizen, what can I do to show that I care for my home, the Earth.
There are some things I got so far as answers. One of them is
SLOW DOWN A LITTLE, SAVE A LOT OF GAS.
There are some things I got so far as answers. One of them is
SLOW DOWN A LITTLE, SAVE A LOT OF GAS.
(on the picture: 2008 Ford Edge: Aerodynamic design is an important factor in fuel economy, especially at higher speeds)
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Speeding on the highway adds a surprising amount to your fuel costs.
NEW YORK (CNNMoney.com) -- With gas prices rising, gas-saving advice abounds: Drive more gently, don't carry extra stuff in your trunk, combine your shopping trips.
This is all sound advice but there's one driving tip that will probably save you more gas than all the others, especially if you spend a lot of time on the highway: Slow down.
In a typical family sedan, every 10 miles per hour you drive over 60 is like the price of gasoline going up about 54 cents a gallon. That figure will be even higher for less fuel-efficient vehicles that go fewer miles on a gallon to start with.
The reason is as clear as the air around you.
When cruising on the highway, your car will be in its highest gear with the engine humming along at relatively low rpm's. All your car needs to do is maintain its speed by overcoming the combined friction of its own moving parts, the tires on the road surface and, most of all, the air flowing around, over and under it.
Pushing air around actually takes up about 40% of a car's energy at highway speeds, according to Roger Clark, a fuel economy engineer for General Motors (GM, Fortune 500).
Traveling faster makes the job even harder. More air builds up in front of the vehicle, and the low pressure "hole" trailing behind gets bigger, too. Together, these create an increasing suction that tends to pull back harder and harder the faster you drive. The increase is actually exponential, meaning wind resistance rises much more steeply between 70 and 80 mph than it does between 50 and 60.
Every 10 mph faster reduces fuel economy by about 4 mpg, a figure that remains fairly constant regardless of vehicle size, Clark said. (It might seem that a larger vehicle, with more aerodynamic drag, would see more of an impact. But larger vehicles also tend to have larger, more powerful engines that can more easily cope with the added load.)
That's where that 54 cents a gallon estimate comes from. If a car gets 28 mpg at 65 mph, driving it at 75 would drop that to 24 mpg. Fuel costs over 100 miles, for example - estimated at $3.25 a gallon - would increase by $1.93, or the cost of an additional 0.6 gallons of gas. That would be like paying 54 cents a gallon more for each of the 3.6 gallons used at 65 mph. That per-gallon price difference remains constant over any distance.
Engineers at Consumer Reports magazine tested this theory by driving a Toyota Camry sedan and a Mercury Mountaineer SUV at various set cruising speeds on a stretch of flat highway. Driving the Camry at 75 mph instead of 65 dropped fuel economy from 35 mpg to 30. For the Mountaineer, fuel economy dropped from 21 to 18.
Over the course of a 400-mile road trip, the Camry driver would spend about $6.19 more on gas at the higher speed and Mountaineer driver would spend an extra $10.32.
Driving even slower, say 55 mph, could save slightly more gas. In fact, the old national 55 mph speed limit, instituted in 1974, was a response to the period's energy crisis.
It was about more than just high gas prices, though. The crisis of the time involved literal gasoline shortages due to an international embargo. Gas stations were sometimes left with none to sell, and gas sales had to be rationed. The crisis passed, but the national 55 mph speed limit stayed on the books until the law was loosened in the 1980s. It was finally dropped altogether in 1995. (The law stuck around more because of an apparent safety benefit than for fuel saving.)
Despite today's high gas prices, don't expect to see a return to the national 55 mph speed limit. The law was unpopular in its day, and higher speeds have become so institutionalized that even the Environmental Protection Agency's fuel economy test cycle now includes speeds of up to 80 mph.
Driving 10 miles per hour faster, assuming you don't lose time getting pulled over for a speeding ticket, does have the advantage of getting you to your destination 50 minutes sooner on that 400 mile trip. Whether that time difference is worth the added cost and risk is, ultimately, up to you.
Speeding on the highway adds a surprising amount to your fuel costs.
NEW YORK (CNNMoney.com) -- With gas prices rising, gas-saving advice abounds: Drive more gently, don't carry extra stuff in your trunk, combine your shopping trips.
This is all sound advice but there's one driving tip that will probably save you more gas than all the others, especially if you spend a lot of time on the highway: Slow down.
In a typical family sedan, every 10 miles per hour you drive over 60 is like the price of gasoline going up about 54 cents a gallon. That figure will be even higher for less fuel-efficient vehicles that go fewer miles on a gallon to start with.
The reason is as clear as the air around you.
When cruising on the highway, your car will be in its highest gear with the engine humming along at relatively low rpm's. All your car needs to do is maintain its speed by overcoming the combined friction of its own moving parts, the tires on the road surface and, most of all, the air flowing around, over and under it.
Pushing air around actually takes up about 40% of a car's energy at highway speeds, according to Roger Clark, a fuel economy engineer for General Motors (GM, Fortune 500).
Traveling faster makes the job even harder. More air builds up in front of the vehicle, and the low pressure "hole" trailing behind gets bigger, too. Together, these create an increasing suction that tends to pull back harder and harder the faster you drive. The increase is actually exponential, meaning wind resistance rises much more steeply between 70 and 80 mph than it does between 50 and 60.
Every 10 mph faster reduces fuel economy by about 4 mpg, a figure that remains fairly constant regardless of vehicle size, Clark said. (It might seem that a larger vehicle, with more aerodynamic drag, would see more of an impact. But larger vehicles also tend to have larger, more powerful engines that can more easily cope with the added load.)
That's where that 54 cents a gallon estimate comes from. If a car gets 28 mpg at 65 mph, driving it at 75 would drop that to 24 mpg. Fuel costs over 100 miles, for example - estimated at $3.25 a gallon - would increase by $1.93, or the cost of an additional 0.6 gallons of gas. That would be like paying 54 cents a gallon more for each of the 3.6 gallons used at 65 mph. That per-gallon price difference remains constant over any distance.
Engineers at Consumer Reports magazine tested this theory by driving a Toyota Camry sedan and a Mercury Mountaineer SUV at various set cruising speeds on a stretch of flat highway. Driving the Camry at 75 mph instead of 65 dropped fuel economy from 35 mpg to 30. For the Mountaineer, fuel economy dropped from 21 to 18.
Over the course of a 400-mile road trip, the Camry driver would spend about $6.19 more on gas at the higher speed and Mountaineer driver would spend an extra $10.32.
Driving even slower, say 55 mph, could save slightly more gas. In fact, the old national 55 mph speed limit, instituted in 1974, was a response to the period's energy crisis.
It was about more than just high gas prices, though. The crisis of the time involved literal gasoline shortages due to an international embargo. Gas stations were sometimes left with none to sell, and gas sales had to be rationed. The crisis passed, but the national 55 mph speed limit stayed on the books until the law was loosened in the 1980s. It was finally dropped altogether in 1995. (The law stuck around more because of an apparent safety benefit than for fuel saving.)
Despite today's high gas prices, don't expect to see a return to the national 55 mph speed limit. The law was unpopular in its day, and higher speeds have become so institutionalized that even the Environmental Protection Agency's fuel economy test cycle now includes speeds of up to 80 mph.
Driving 10 miles per hour faster, assuming you don't lose time getting pulled over for a speeding ticket, does have the advantage of getting you to your destination 50 minutes sooner on that 400 mile trip. Whether that time difference is worth the added cost and risk is, ultimately, up to you.
References:
Thursday, March 27, 2008
20500198 entry #3
I think that we must do FTA with many countries. This article shows the result of FTA with Chile and Singapore. There has been a huge increse in the amount of trade with that country. And the market share rate has been grown after FTA, in especially automobile in Chile. In macro economic class, I've learned that the protectionist trade policies doesn't change the trade condition. It just raise real exchange rate. It can decrease the amount of import. But because of the increase in real exchange rate, the amount of export also decrease. So net trade is fixed. For these reasons, I think that we have to do FTA with U.S.A, E.U and also with another many countries.
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Chile, Singapore FTAs firing on all cylinders -2008/03/28
Korea's experience with its first two free-trade-agreement partners -- Chile and Singapore -- is proving to be favorable for both trading partners, government studies showed yesterday, countering negative notions held by opponents of market liberalization.
The upbeat report released by the Ministry of Foreign Affairs and Trade in Seoul found that two-way trade between Korea and Chile has jumped more than four-fold to $7.53 billion from the $1.85 billion recorded before the FTA.
The report comes as the two countries celebrate on April 1 the fourth anniversary of the FTA's implementation. Underscoring the positive impact for Korea's export-driven economy, the study said the country's exports to the South American country expanded more than six-fold to total $3.3 billion as of last year, compared with $500 million in 2003.
In the same year, demand for Korean automobiles reached No. 1 in Chile, with a market share totaling 29.3 percent, surpassing Japanese cars, which made up 25.2 percent. Before the trade pact, Japanese cars accounted for 23.5 percent and Korean ones were 18.8 percent.
Between April 2007 and February 2008, exports to Chile totaled $3.3 billion, a 92.3 percent surge from a year ago. By category, demand for cars jumped 38.9 percent, steel plates 63.1 percent, tires 47.2 percent and gasoline 211 percent.
......
With Singapore, Seoul's second FTA partner -- which took effect in March 2006 -- bilateral trade has soared 51.2 percent to total $20.3 billion into the second year this year, compared with $13.4 billion seen before the FTA. Throughout the same period, Korea's trade deficit with Singapore shot up 151 percent to $5.8 billion from $2.3 billion.
The market share of Korean goods in the Southeast Asian nation, however, rose to 4.9 percent in 2007 from 4.3 percent recorded in 2005, the ministry report showed.
Products that posted the biggest surge in exports since 2006 were petroleum, which rose by 834.8 percent, ships (500.3 percent), and miscellaneous petrochemical products (189.7 percent). Growth in imports from Singapore was led by semiconductor-related items (380.7 percent), computers (96.3 percent), and computerized recording devices (73.4 percent).
New investments into the country from Singapore throughout the past two years averaged $540 million a year, more than a two-fold jump from the annual average of $270 million attracted between 2001 and 2005 before the free trade pact. Major areas of investments were the finance and insurance industries, totaling $270 million, followed by electrical and electronics firms with $160 million, and property leasing companies with $130 million.
Trade experts say success of a free trade deal comes with the effort to make structural reforms, improve competitiveness, and create a safety net, especially in the case of the agricultural sector, which would face reduced income resulting from a drop in agricultural prices.
From. http://www.koreaherald.com/ 2008/03/28
Tuesday, March 25, 2008
20000612 Entry #2
Korean new government is trying many different policies for poor people.One of the policy is to make market prices stable. Government posted 52 necessities of life stabilization policy. One of the important thingis to make a change in oil market. Especially enabling large marts tocompete in the oil market. Its strategies to lower the price of oilsfrom market competition of oil companies and large marts.This is pretty common in developed countries, but this is not so commonconcept to implement this strategy in Korea. Because no one knows ifthe large marts are actually going to enroll the oil market. The first reasonis that most international oil price is higher than national price.Second is that even though international price lower than national, it isstill too expensive if transportation is added. Third is that the governmentlowered the tariff to 1%, but it is not permanent. There will still bemany problems to consider before this policy.
Sunday, March 23, 2008
20600370 entry
At the midst of deteriorating decline a lot of retail companies are looking for some ways to keep the sales up. Wal-Mart is one of the models which structures are followed in order to sustain retail business. The reasons for deterioration decline are: there are too many stores now that provide good discounts.
So what are the ways Wal-Mart uses to keep customers "come back a little bit more often?" One of the ways is advertising. Wal-Mart is known for sharpening advertisements where they are more "into pop-culture" style.
Another thing Wal-Mart is known for is store refurbishment. Wal-Mart invests a lot of money for renovation. As a result the stores have brighter lightening and wider aisls. The study shows that a customer stays in those shops forteen minutes longer than in other stors.
The third stretergy, Wal-Mart opens new stores. They say "If you are opening fewer stores, you are not diminishing the return." This is "an extreme method" for adding moew checkout lines when you have a geografic saturation. As a result shoppers celebrate a less crouded stores by spending more money.
The last stretergy which is onpening fewer shops seems controvercial to me. People have thins perception "the more people, the better product. " Also, I think people are attracted more to more crouded placed rather than empty. However, in case the store are too saturated, taking this step does make sense.
So what are the ways Wal-Mart uses to keep customers "come back a little bit more often?" One of the ways is advertising. Wal-Mart is known for sharpening advertisements where they are more "into pop-culture" style.
Another thing Wal-Mart is known for is store refurbishment. Wal-Mart invests a lot of money for renovation. As a result the stores have brighter lightening and wider aisls. The study shows that a customer stays in those shops forteen minutes longer than in other stors.
The third stretergy, Wal-Mart opens new stores. They say "If you are opening fewer stores, you are not diminishing the return." This is "an extreme method" for adding moew checkout lines when you have a geografic saturation. As a result shoppers celebrate a less crouded stores by spending more money.
The last stretergy which is onpening fewer shops seems controvercial to me. People have thins perception "the more people, the better product. " Also, I think people are attracted more to more crouded placed rather than empty. However, in case the store are too saturated, taking this step does make sense.
Saturday, March 22, 2008
20500198 entry #2
From 2005, Kyoto set-up has started. And in many countries, the ETS, emission trading system, was appeared. And it effected much to a lot of industries, especially energy intensive industry. But it was not perfect. In fact, U.S.A refused this set-up and they hadn't applied to industry being within their land. It makes the europian companies less competitive than american companies. It was nonsense. So finally, EU have decided that if the all companies of the world doesn't be in the boundaries of Kyoto set-up, they make their companies emit freely. I think from now on, the result of this decision is very important to korea, also. If all companies of the world will have to be obey the Kyoto set-up, a lot of companies will be in the boudary of that. It will create much new cost and make the company less competitive. The goverment and company should prepare about this.
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CO2 Leeway from EU for Heavy Industry
The EU offers safeguards to industry if a global climate change deal falls through and the bloc must implement new pollution rules
Energy intensive industries have won some concessions from the European Commission when it comes to taking part in future legislation to reduce greenhouse gas emissions in Europe.
Following an EU summit in Brussels on Thursday and Friday (13-14 March) and the intervention of several member states -- including economic powerhouse Germany -- Brussels has offered safeguards to energy intensive industries such as steel and cement factories on its proposal to force them to buy rights to emit carbon dioxide by auction.
If next year's international negotiations on a new climate change deal fail, then certain measures will kick into place, with industry in these sectors worried that they will lose their competitive advantage if forced to buy pollution rights when companies outside the EU continue to benefit from laxer environment rules.
Trade unions have also warned of severe job losses if European companies choose to relocate to avoid the EU's strict pollution rules.
"I am particularly happy with the solution for energy-intensive industry and carbon leakage," the European Commission President Jose Manuel Barroso said after 27 EU leaders had wrapped up their traditional spring gathering.
The summit conclusions suggest that "appropriate measures" will be taken "if international negotiations fail." At the end of next year, governments will try and agree a new climate change agreement for after 2012, when the current Kyoto set-up runs out.
Energy intensive industries in Europe are to be offered two assurances should there fail to be a global agreement. They may get free pollution permits -- instead of having to buy them by auction -- linked to technological benchmarks, while the EU could also make foreign companies take part in the emissions trading system (ETS).
"This is a very credible response" to some EU states' and industries' fears, Mr. Barroso said of the compromise.
However, the commission has refused to list concrete industries, which could possibly be subject to the safeguards. It argues it should reflect the outcome of international talks on climate change in December 2009, as it may result in a sectoral deal.
Energy intensive industry has been up in arms since Brussels in January proposed overhauling the ETS, seen as key to achieving the bloc's goal of reducing CO2 emissions by 20 percent by 2020.
Under the new-look system, EU member states will no longer be able to grant pollution permits to their companies. Instead, the national allocation plans would be replaced by auction.
EU leaders agreed, however, that "an international agreement remains the best way of addressing this issue" -- something that should give the 27-nation bloc a better negotiating position at the United Nations climate change conference in Copenhagen in December 2009.
"The current system based on national caps of emissions did not provide enough guarantees" for achieving the overall 20ghkgogkwk20 goal, said Slovenian Prime Minister Janez Jansa, whose country currently holds the rotating presidency of the EU.
But he also mentioned concern over the possible relocation of EU companies to countries beyond the EU that could cause serious both social problems at home and a global rise in greenhouse gas emissions.
"This is a dual concern, so we need to pay specific attention to that," Mr. Jansa said.
"An international agreement must provide equal conditions for all. Our industry, especially energy-intensive industry expects - and they are right in doing - that we will have a suitable solution."
From www.businessweek.com March 18, 2008
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CO2 Leeway from EU for Heavy Industry
The EU offers safeguards to industry if a global climate change deal falls through and the bloc must implement new pollution rules
Energy intensive industries have won some concessions from the European Commission when it comes to taking part in future legislation to reduce greenhouse gas emissions in Europe.
Following an EU summit in Brussels on Thursday and Friday (13-14 March) and the intervention of several member states -- including economic powerhouse Germany -- Brussels has offered safeguards to energy intensive industries such as steel and cement factories on its proposal to force them to buy rights to emit carbon dioxide by auction.
If next year's international negotiations on a new climate change deal fail, then certain measures will kick into place, with industry in these sectors worried that they will lose their competitive advantage if forced to buy pollution rights when companies outside the EU continue to benefit from laxer environment rules.
Trade unions have also warned of severe job losses if European companies choose to relocate to avoid the EU's strict pollution rules.
"I am particularly happy with the solution for energy-intensive industry and carbon leakage," the European Commission President Jose Manuel Barroso said after 27 EU leaders had wrapped up their traditional spring gathering.
The summit conclusions suggest that "appropriate measures" will be taken "if international negotiations fail." At the end of next year, governments will try and agree a new climate change agreement for after 2012, when the current Kyoto set-up runs out.
Energy intensive industries in Europe are to be offered two assurances should there fail to be a global agreement. They may get free pollution permits -- instead of having to buy them by auction -- linked to technological benchmarks, while the EU could also make foreign companies take part in the emissions trading system (ETS).
"This is a very credible response" to some EU states' and industries' fears, Mr. Barroso said of the compromise.
However, the commission has refused to list concrete industries, which could possibly be subject to the safeguards. It argues it should reflect the outcome of international talks on climate change in December 2009, as it may result in a sectoral deal.
Energy intensive industry has been up in arms since Brussels in January proposed overhauling the ETS, seen as key to achieving the bloc's goal of reducing CO2 emissions by 20 percent by 2020.
Under the new-look system, EU member states will no longer be able to grant pollution permits to their companies. Instead, the national allocation plans would be replaced by auction.
EU leaders agreed, however, that "an international agreement remains the best way of addressing this issue" -- something that should give the 27-nation bloc a better negotiating position at the United Nations climate change conference in Copenhagen in December 2009.
"The current system based on national caps of emissions did not provide enough guarantees" for achieving the overall 20ghkgogkwk20 goal, said Slovenian Prime Minister Janez Jansa, whose country currently holds the rotating presidency of the EU.
But he also mentioned concern over the possible relocation of EU companies to countries beyond the EU that could cause serious both social problems at home and a global rise in greenhouse gas emissions.
"This is a dual concern, so we need to pay specific attention to that," Mr. Jansa said.
"An international agreement must provide equal conditions for all. Our industry, especially energy-intensive industry expects - and they are right in doing - that we will have a suitable solution."
From www.businessweek.com March 18, 2008
20500198 entry #1
I once thought Samsung and LG electronics of korea is the best company in the field of cellular phone. But now i know that Nokia of finland is the best company in that field. Samsung is 2nd, and LG is 3rd company in that part. When i see this article, i hope that one of two korean company buy the motorola's cellular phone part. I think that it can make the company that buy that part the first company in that field. But there was bad case on BenQ, the taiwaness company. So it must be very cautious and careful. But i think it will have to proceed by one of korean company. I don't want that japanese or chinese company make the legend.
-----------------------------------------------------------------------------------------------
Asian Companies Wary Of Motorola
Why handset makers Samsung, Sony Ericcson, and LG aren't lining up to buy the struggling U.S. company's mobile-phone division
Once Motorola (MOT) revealed on Jan. 31 it was considering selling its handset division, speculation about a possible buyer quickly focused on companies in Asia. For all of its woes, Motorola still has a sizable presence in the U.S. market that might prove appealing to an ambitious Korean or Japanese brand, or an up-and-coming Chinese company.
No Asian company has yet stepped forward to express interest in striking a deal. And analysts who follow the industry see the beleaguered asset as a tough sell in Asia. "If you take a coolheaded approach to the handset business, I don't think any major industry player will want it," says Greg Roh, electronics analyst at Korea Investment & Securities in Seoul. "It is not a case of one plus one equaling two.…A takeover and ensuing restructuring could be costly and dangerous."
BenQ's Cautionary Tale
A big reminder of the difficulties is the collapse of the highest-profile attempt by an Asian company to acquire a struggling Western cellular brand. In 2005, the Taiwanese electronics group BenQ, which had won respect in the telecom and computer industries for its innovative design and was making headway establishing its brand worldwide, tried to jump-start its global push by buying the struggling handset unit of Siemens (SI). The deal proved far too big for the Taiwanese company, though, and in 2006 BenQ Siemens went bankrupt.
The damage didn't end with the handset division, though, and last year BenQ took on a new name, Qisda, and a new strategy to focus on contract manufacturing. "Recent rumors of strong Chinese interest [in the Motorola unit] make sense only if [Chinese companies] have short memories or are not familiar with the BenQ-Siemens fiasco," says David Kerr, vice-president for the global wireless practice at Strategy Analytics.
As BenQ's experience illustrates, in the fiercely cutthroat handset market, a misstep could push a manufacturer way behind rivals, and achieving synergies could take time. A foreign takeover would probably involve the headache of integrating vastly different operations and clashing cultures, which could discourage any potential buyer from courting Motorola, particularly when its existing strategies are working. "It could be a dangerous undertaking," says Michael Min, a specialist on information technology companies at fund manager Tempis Capital Management.
......
From "Businessweek" -February 4, 2008
Friday, March 21, 2008
20300244 entry 2
20300244 entry 1
Global economy is doing bad recently. It looks almost crazy. The Oil price and the raw metarial price are keep going up. Exchange rate has been change so big in short time period. Down fall of global economy is caused by bad credits and price rising for raw meterials and oil. Global economy effects on every nations and specailly on Korea. Korea is havily relating on other country's economy that it is doing its many major businesses abroad. So I think it is very crucial to find resources at a relevantly low price to have our economic competence. So I support the Governments policy on resources.
---------------------------------------------------------------------------------------------
Private think tanks warned yesterday that the Korean economy may experience stagflation, which is a combination of stagnation and inflation.
The warning came after the central bank announced that commodity prices, the leading indicator of consumer inflation, hit a 9-year-high in February.
A report by the Samsung Economic Research Institute warned that the Korean economy could possibly fall into stagflation due to the slowing global economy which is a result of the U.S. economy's slowdown and global inflationary pressure.
"The U.S. economy has entered a recession, according to recent negative economic indices. The world will show signs of mild stagflation due price hikes in raw materials, led by the weak dollar and increased global liquidity," Kwon Soon-woo, a research fellow at SERI, said in the report.
"The Korean growth rate is also slowing, while inflation is expected to rise," he said.
Another private think tank, the Hyundai Economic Research Institute, warned that Korea urgently needs to boost its domestic demand, in case global stagflation stemming from the U.S. recession hits Korea.
"The U.S. central bank's interest rate cut has eased the credit crunch, at the expense of giving up control of rising inflation. Eased capital will flow into crude oil and commodity markets, fueling global inflation," Ju Won, a Hyundai research fellow, said.
According to BOK data, raw material costs year-on-year jumped more than 45 percent the last two months, adding to worries over the already high inflation rate of 3.6 percent in February.
Observers warn that inflationary pressures will discourage corporate investment and employment, which in turn could undermine consumer income and private spending.
The Korean economy is slowing down. Although President Lee Myung-bak's government set the growth target at 6 percent for 2008, the central bank and global investment banks already have revised that down to 4.7 percent to even 3.6 percent.
Whether an economy is experiencing stagflation can vary from country to country.
In the case of the United States, economists call it stagflation when the GDP contracts for two consecutive quarters, and inflation rates breach the central bank's target for two consecutive quarters.
In the case of Korea, there is no clear definition of stagflation. However, economists say that, if the economy fails to meet the potential growth rate of 4.5 percent, or remains sluggish at 3 percent level, then the economy would be in a recession.
Korea achieved a 4.9 percent growth last year.
"I wouldn't call the current situation stagflation. But I agree that the recent developments regarding inflation are worrisome," said Lee Geun-tae, a research fellow at the LG Economic Research Institute.
"It remains to be seen whether oil prices will stabilize and bring down inflationary pressures in the second half," he said.
from Korea herald, date of 21 mar 08
Global economy is doing bad recently. It looks almost crazy. The Oil price and the raw metarial price are keep going up. Exchange rate has been change so big in short time period. Down fall of global economy is caused by bad credits and price rising for raw meterials and oil. Global economy effects on every nations and specailly on Korea. Korea is havily relating on other country's economy that it is doing its many major businesses abroad. So I think it is very crucial to find resources at a relevantly low price to have our economic competence. So I support the Governments policy on resources.
---------------------------------------------------------------------------------------------
Private think tanks warned yesterday that the Korean economy may experience stagflation, which is a combination of stagnation and inflation.
The warning came after the central bank announced that commodity prices, the leading indicator of consumer inflation, hit a 9-year-high in February.
A report by the Samsung Economic Research Institute warned that the Korean economy could possibly fall into stagflation due to the slowing global economy which is a result of the U.S. economy's slowdown and global inflationary pressure.
"The U.S. economy has entered a recession, according to recent negative economic indices. The world will show signs of mild stagflation due price hikes in raw materials, led by the weak dollar and increased global liquidity," Kwon Soon-woo, a research fellow at SERI, said in the report.
"The Korean growth rate is also slowing, while inflation is expected to rise," he said.
Another private think tank, the Hyundai Economic Research Institute, warned that Korea urgently needs to boost its domestic demand, in case global stagflation stemming from the U.S. recession hits Korea.
"The U.S. central bank's interest rate cut has eased the credit crunch, at the expense of giving up control of rising inflation. Eased capital will flow into crude oil and commodity markets, fueling global inflation," Ju Won, a Hyundai research fellow, said.
According to BOK data, raw material costs year-on-year jumped more than 45 percent the last two months, adding to worries over the already high inflation rate of 3.6 percent in February.
Observers warn that inflationary pressures will discourage corporate investment and employment, which in turn could undermine consumer income and private spending.
The Korean economy is slowing down. Although President Lee Myung-bak's government set the growth target at 6 percent for 2008, the central bank and global investment banks already have revised that down to 4.7 percent to even 3.6 percent.
Whether an economy is experiencing stagflation can vary from country to country.
In the case of the United States, economists call it stagflation when the GDP contracts for two consecutive quarters, and inflation rates breach the central bank's target for two consecutive quarters.
In the case of Korea, there is no clear definition of stagflation. However, economists say that, if the economy fails to meet the potential growth rate of 4.5 percent, or remains sluggish at 3 percent level, then the economy would be in a recession.
Korea achieved a 4.9 percent growth last year.
"I wouldn't call the current situation stagflation. But I agree that the recent developments regarding inflation are worrisome," said Lee Geun-tae, a research fellow at the LG Economic Research Institute.
"It remains to be seen whether oil prices will stabilize and bring down inflationary pressures in the second half," he said.
from Korea herald, date of 21 mar 08
20300244 entry 1
Hynix gave big purchase for its partnership with Fedelix. Hynix is already second biggest company for its market share. Though they are one of the top they still need to find out their
way to keep growing the company. I think it's similar to human. For human to pursuit their
happiness they are to find creative way of life every day. No one wants to have same days always. Likewise inovating or growing company as finding its differciation is not trial but the
way it is.
----------------------------------------------------------------------------------------
Hynix Semiconductor Inc., the world's second-largest maker of DRAM chips, has signed a partnership deal with a local fabless chip company, the company said yesterday.
Under the agreement, Fidelix will design DRAM chips for Hynix while the latter provides foundry services in return. Fabless semiconductor firms such as Fidelix design chips and market them but outsource the fabrication to foundries.
Hynix will spend about 3.5 billion won ($3.45 million) in acquiring a 10 percent stake in Fidelix.
Based in Seongnam, south of Seoul, Fidelix provides fast-speed memory solutions required in the area of mobile communication. Revenues stood at 63.2 billion won in 2007.
(milaya@heraldm.com)
way to keep growing the company. I think it's similar to human. For human to pursuit their
happiness they are to find creative way of life every day. No one wants to have same days always. Likewise inovating or growing company as finding its differciation is not trial but the
way it is.
----------------------------------------------------------------------------------------
Hynix Semiconductor Inc., the world's second-largest maker of DRAM chips, has signed a partnership deal with a local fabless chip company, the company said yesterday.
Under the agreement, Fidelix will design DRAM chips for Hynix while the latter provides foundry services in return. Fabless semiconductor firms such as Fidelix design chips and market them but outsource the fabrication to foundries.
Hynix will spend about 3.5 billion won ($3.45 million) in acquiring a 10 percent stake in Fidelix.
Based in Seongnam, south of Seoul, Fidelix provides fast-speed memory solutions required in the area of mobile communication. Revenues stood at 63.2 billion won in 2007.
(milaya@heraldm.com)
20400512 Entry 2
Borders hoists for sale sign
Source: http://money.cnn.com/2008/03/20/news/companies/Moritz_borders.fortune/index.htm
Another company in trouble...
Just exactly how much does a company have to work to stand on their feet??
Reading about another company having to sell everything has got me to double thinking on how much needs to be spent just to not fall behind.
R & D is not just one day thing, you always have to work and work till you get a breakthrough.
As a person thinking about doing business in the future reminded me that the business market is a tough place.
Got to strong and not back down on anything.
Source: http://money.cnn.com/2008/03/20/news/companies/Moritz_borders.fortune/index.htm
Another company in trouble...
Just exactly how much does a company have to work to stand on their feet??
Reading about another company having to sell everything has got me to double thinking on how much needs to be spent just to not fall behind.
R & D is not just one day thing, you always have to work and work till you get a breakthrough.
As a person thinking about doing business in the future reminded me that the business market is a tough place.
Got to strong and not back down on anything.
20400512 Entry 1
Source:
http://money.cnn.com/2008/03/20/news/economy/fed_emergency_lending.ap/index.htm?postversion=2008032017
Reading this news article has got me to rethinking of how much companies need to do constant R&D just to stay "alive" in the business world.
Even big corporations such as Wall Street needs investments in order to keep their company running.
As FED constantly lends out to big corporate banks, my question on this is how long will it last and will they be able to survive in the future???
http://money.cnn.com/2008/03/20/news/economy/fed_emergency_lending.ap/index.htm?postversion=2008032017
Reading this news article has got me to rethinking of how much companies need to do constant R&D just to stay "alive" in the business world.
Even big corporations such as Wall Street needs investments in order to keep their company running.
As FED constantly lends out to big corporate banks, my question on this is how long will it last and will they be able to survive in the future???
20653023 Entry # 2
More About M&A
Last class we talked about M&A (merger and acquisition) strategy. According to The Jordan Edmiston Group Inc., the number of deals through 2007 is 838 across 11 industry sectors with a total value almost $109 billion. Do the math and that is $130 million per deal. Quite impressive, isn't it?
So, JEGI provides us with data that online media and marketing services deals led the way with 555 recorded transactions with value $43 billion (Google, Microsoft, Yahoo and AOL)
There are some of those transactions:
Yahoo! Acquires Zimbra for $350 million
Yahoo! Acquires Rivals.com for $100 million
Yahoo! Acquires Blue Lithium for $300 million
Yahoo! Acquires Right Media for $750 million
Google Acquires Postini for $625 million
Google Acquires Grand Central for $45 million
Google Acquires Feedburner for $100 million
Google Acquires Doubleclick for $3.1 billion
Nokia Acquires Twango for $96.8 million
Nokia Acquires Enpocket
Nokia Acquires Navteq for $8.1 billion
Microsoft Acquires Medstory
Microsoft Acquires TellMe for $800 million
Microsoft Acquires aQuantive for $6 billion
eBay Acquires Stubhub for $310 million
eBay Acquires Stumble Upon for $75 million
AOL Acquires Third Screen Media
AOL Acquires Tacoda for $275 million
Cisco Buys Webex for $3.2 billion
Answers.com Acquires Lexico for $100 million
News Corp. Acquires Dow Jones for $5 billion
MySpace Acquires Photobucket for $250 million
R.H. Donnelly Acquires Business.com for $345 million
So, why make acquisitions?
One of the answers is "growth". It was observerd that M&A provides with more rapid growth rather than organic.
Besides, there are more several reasons for M&A such as:
1. To acquire new capabilities or add to existing one
2. To establish a business model
3. To lower cost
4. To improve market position
To succeed in M&A The Boston Consulting Group suggests to take followed steps:
1.Thoroughly test the upside potential of the acquisition based on original recent research
2.Access the internal impact of the deal
3.Quantify the cost of inaction
4.Carry out pre-M&A exercises
5.Establish opening and closing bids in advance.
References:
http://seekingalpha.com/article/58714-the-top-m-a-deals-of-2007
http://www.growingbusiness.co.uk/06959143454024511016/mergers-and-acquisitions.html
Successful M&A: the method in the madness by BCG
2 entry by 20653023
Thursday, March 20, 2008
20653023 Entry # 1
CJ Home Shopping adds Ford Escape to list
Ford Motor Company introduced the Escape in 2001 and it quickly became a bestseller in American SUV (sport-utility vehicle) market for its correct combination of size, power and stylish looking. And now Ford is
trying to get big slice of Korean market with new dealer: a home-shopping network. On March 18, 2008 CJ Home Shopping Company, one of Korean leading television retailer, said it will sell directly this car to consumers starting Friday, March 21. Price for this car will be $28,840 (29.7 million won). According to the home-shopping company it's slightly higher than for similar Korean-made car, Hyundai Motor's Santa Fe.
It's first time when a home-shopping company tries to sell a car. GM Daewoo Auto's attempt failed due to resistance from their labor union.
So, Ford is the first automobile company which trying to reach their customers through TV channels so far.
Thanks to ease of shopping and others benefits offered Korean home shopping channels quite successful. So, in my opinion it's a good strategic move in reaching more customers.
SUV market is on its maturity stage (even it's still pretty big declining) and we can observe some characteristic of that stage we discussed on our Buisness Strategy class: price war, ads war and introduction of new or updating previous models. Another thing we know about maturity stage is that during the maturity stage, firms will try to sell their product through as many outlets as possible because availability is crucial in a competitive market. And it’s exactly what Ford tries to do on Korean SUV market.
FYI:
Top 10 Least Expensive SUV of 2008
References:
www. edmunds.com/reviews
www. joongangdaily.com
www. forbes.com
1 entry by 20653023
Ford Motor Company introduced the Escape in 2001 and it quickly became a bestseller in American SUV (sport-utility vehicle) market for its correct combination of size, power and stylish looking. And now Ford is
trying to get big slice of Korean market with new dealer: a home-shopping network. On March 18, 2008 CJ Home Shopping Company, one of Korean leading television retailer, said it will sell directly this car to consumers starting Friday, March 21. Price for this car will be $28,840 (29.7 million won). According to the home-shopping company it's slightly higher than for similar Korean-made car, Hyundai Motor's Santa Fe.It's first time when a home-shopping company tries to sell a car. GM Daewoo Auto's attempt failed due to resistance from their labor union.
So, Ford is the first automobile company which trying to reach their customers through TV channels so far.
Thanks to ease of shopping and others benefits offered Korean home shopping channels quite successful. So, in my opinion it's a good strategic move in reaching more customers.
SUV market is on its maturity stage (even it's still pretty big declining) and we can observe some characteristic of that stage we discussed on our Buisness Strategy class: price war, ads war and introduction of new or updating previous models. Another thing we know about maturity stage is that during the maturity stage, firms will try to sell their product through as many outlets as possible because availability is crucial in a competitive market. And it’s exactly what Ford tries to do on Korean SUV market.
FYI:
Top 10 Least Expensive SUV of 2008
1. Jeep Patriot
2. Kia Sportage
3. Jeep Compass
4. Hyundai Tuscon
5. Jeep Wrangler
6. Ford Escape
7. Mazda Tribute
8. Honda Element
9. Nissan Rogue
10. Suzuki Grand Vitara
References:
www. edmunds.com/reviews
www. joongangdaily.com
www. forbes.com
1 entry by 20653023
Friday, March 14, 2008
Since it is very easy nowadays to get cheeted, we have to be careful with choosing our business partners, providers, or even consumers. I liked this articles about choosing the best loaner because it could be very useful in our daily life.
Choosing The Best Lender
When shopping for a loan, it's important to compare lenders as well as loan offers
You're shopping for a mortgage and you've received four offers from four lenders. How do you choose? The first factor most people consider is the interest rate and other costs, but that's only the beginning. You'll also want to think about the lenders themselves, not simply the numbers they're tossing your way.
Here are five steps to follow when determining which lender is right for you:
1. Compare fees as well as interest rates
Comparing loans based on their annual percentage rate (APR) is a good place to start, but it's not enough. In the case of a mortgage, to get a more accurate breakdown of costs, ask the various lenders for a formal "good faith estimate" of all the fees you'll incur with your loan -- this is a standard form lenders must provide you that is more detailed than the overview you'll get with an offer. Also, ask about potential charges that may not appear on that list, such as prepayment penalties. You're not just comparing numbers here: determine how honest and upfront you feel the lender is being, and don't use a lender that you feel is evading your questions.
2. Consider your individual circumstances
Bigger lenders aren't necessarily better than smaller ones, especially if you have unusual circumstances. For example, some lenders specialize in loans for people with poor credit, while others may have more options for those with small down payments. If you have special borrowing needs, look for a lender with experience working with people in similar situations.
3. Look at the range of loan types available
There are more loan options available than ever before, so take advantage of all that choice. Look for a lender who offers a wide variety of loan types, from conventional fixed-rate and adjustable-rate to newer ones such as hybrid ARMs and option ARMs. Your lender should be able to match you with a mortgage that's right for your financial situation and risk tolerance.
4. Evaluate the level of customer service
When you're comparing offers, ask each lender about their policy regarding locking in their quoted rates and see whether there is a fee. Also, ask them to amend one of the terms (such as a payment cap) and see how willingly they agree. You're looking for flexibility and responsiveness. And also note how well they listen to you. If you ask for a 30-year fixed-rate mortgage, they ought to present that as an option, not push you toward something different, such as an interest-only loan. If you're not getting good service from a lender who is competing for your business, you're not likely to get it after you've agreed to work with them.
5. Check out the lender's reputation
Word of mouth is important in every business, including the loan market. If you've never worked with a particular lender, you'll want to find out the opinion of people who have.
Choosing The Best Lender
When shopping for a loan, it's important to compare lenders as well as loan offers
You're shopping for a mortgage and you've received four offers from four lenders. How do you choose? The first factor most people consider is the interest rate and other costs, but that's only the beginning. You'll also want to think about the lenders themselves, not simply the numbers they're tossing your way.
Here are five steps to follow when determining which lender is right for you:
1. Compare fees as well as interest rates
Comparing loans based on their annual percentage rate (APR) is a good place to start, but it's not enough. In the case of a mortgage, to get a more accurate breakdown of costs, ask the various lenders for a formal "good faith estimate" of all the fees you'll incur with your loan -- this is a standard form lenders must provide you that is more detailed than the overview you'll get with an offer. Also, ask about potential charges that may not appear on that list, such as prepayment penalties. You're not just comparing numbers here: determine how honest and upfront you feel the lender is being, and don't use a lender that you feel is evading your questions.
2. Consider your individual circumstances
Bigger lenders aren't necessarily better than smaller ones, especially if you have unusual circumstances. For example, some lenders specialize in loans for people with poor credit, while others may have more options for those with small down payments. If you have special borrowing needs, look for a lender with experience working with people in similar situations.
3. Look at the range of loan types available
There are more loan options available than ever before, so take advantage of all that choice. Look for a lender who offers a wide variety of loan types, from conventional fixed-rate and adjustable-rate to newer ones such as hybrid ARMs and option ARMs. Your lender should be able to match you with a mortgage that's right for your financial situation and risk tolerance.
4. Evaluate the level of customer service
When you're comparing offers, ask each lender about their policy regarding locking in their quoted rates and see whether there is a fee. Also, ask them to amend one of the terms (such as a payment cap) and see how willingly they agree. You're looking for flexibility and responsiveness. And also note how well they listen to you. If you ask for a 30-year fixed-rate mortgage, they ought to present that as an option, not push you toward something different, such as an interest-only loan. If you're not getting good service from a lender who is competing for your business, you're not likely to get it after you've agreed to work with them.
5. Check out the lender's reputation
Word of mouth is important in every business, including the loan market. If you've never worked with a particular lender, you'll want to find out the opinion of people who have.
Another week
Another week...
The 2nd week of the school has passed...
Time really does fly by fast.
Already 4 classes of Business Strategy done and about few "hundred" more to go.
Does age matter when your in the business world??
Or is it the same everywhere? It's at the level where you're at that makes the difference.
Being the 2nd y0ungest in the team, there's a lot of burden on my shoulders but let's not cower away but face up to the challenges.
No pain no gain and it's better to take the risks than not right??
So... let's just get on with it!
The 2nd week of the school has passed...
Time really does fly by fast.
Already 4 classes of Business Strategy done and about few "hundred" more to go.
Does age matter when your in the business world??
Or is it the same everywhere? It's at the level where you're at that makes the difference.
Being the 2nd y0ungest in the team, there's a lot of burden on my shoulders but let's not cower away but face up to the challenges.
No pain no gain and it's better to take the risks than not right??
So... let's just get on with it!
Sunday, March 9, 2008
wHo Am I?
My name is John Park. I am 25 years old. I came to Handong in 2003, and I've been taking Management & Economics course. I love music.
I love to try delisious foods. I am good at basketball. My dream after I graduate is being a business missionary. I want to know Jesus more and more. And I also want to know how business works more and more. :)
Kim Katherine's Story
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Was born and grew up in Uzbekistan. Influenced a lot by Russian culture.
Handong is my fourth and the longest visit to Korea so far.
Did internship in 신한은행. So, familiar a bit with Korean corporate culture.
I'm indeed one of so-called TCKs (Third Culture Kid) with all consequences.
Studying Business, field of Global Management and Leadership.
Hope to graduate in August 2008.
Much of my enjoyment comes from music, nature, good friendships and hanging out with my Daddy God.
If you'd like to know more about me, please, go to http://www.facebook.com/profile.php?id=592740578
About me
Name: Irina Sim
Birthday: 28.11.84
Major: GM & English
About me: I was born in Uzbekistan and lived there for 21 years after that I came to study to Korea, and my childhood dream came true. I am the younger daughter in my family. I like dancing, getting to know different cultures, reading fiction and just dreaming. ^^
Birthday: 28.11.84
Major: GM & English
About me: I was born in Uzbekistan and lived there for 21 years after that I came to study to Korea, and my childhood dream came true. I am the younger daughter in my family. I like dancing, getting to know different cultures, reading fiction and just dreaming. ^^
Introduction
Profile
Name : Se-Hwan Park 朴世桓
D of B : 1981. November. 22nd
Major : Management and Economics
Address : Seoul, Korea
Career : Intership at Ahnlab Co.
Director at Pharos English Camp
School : Handong Global University (00~)
Abbotsford Jr and Sr High (96~00) Canada
Daelim Middle School (94~95)
DaeGil Elementary (88~93)
Hobby : Piano, Ski, Web Surfing, Watching movie
Introducing Sungmin Jang
Name: Sungmin Jang
Birthday: 1985/07/31
Class: 2004 (Junior)
Majors: Management and English
A little bit about myself: Was born in Korea but left when I was 5 and grew up in the Philippines for 13 years. Studied from Kinder to Highschool in the Philippines and returned to Korea December of 2003. I attended Handong for 2 years and left for the army. Now I'm back as a junior to finish college.
Birthday: 1985/07/31
Class: 2004 (Junior)
Majors: Management and English
A little bit about myself: Was born in Korea but left when I was 5 and grew up in the Philippines for 13 years. Studied from Kinder to Highschool in the Philippines and returned to Korea December of 2003. I attended Handong for 2 years and left for the army. Now I'm back as a junior to finish college.
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