Will we catch the dreaded september blues this month?

Posted on : 07-09-2009 | By : admin | In : Business Opportunities

The september blues  is gonna get ya !! Exactly one year ago, worries about the economy were giving way to cautious optimism.

Then came September, and Bam.
The failure of Lehman Brothers was the catalyst, turning a recession into a crisis. The credit markets froze, and stock prices went into a frightening free fall.
A year later, Washington Mutual languishes in bankruptcy, and the stock market once again has bounced back from a hole

So is September month bad for stocks ?

In stock market lore, September holds the worst reputation of any month by far.
Go back 20 years, 50 years or even a century, and the ninth month is consistently the weakest. Over the past 100 years, September stock prices have declined by an average of nearly one percentage point, according to an analysis by the Bespoke Investment Group. All the other months have tallied gains, except February, which is down only slightly over that same historical period.

Well irrespective of  months and their shortfalls and downfalls the Australian stock market  is doing pretty well  and so is our dollar. they say when the US market coughs  the rest of the stock market  sneezes or something like  that  , but Australia is surely starting a pattern of its own breaking away from the us  trajectory.

Todays Stock Update  That rocked up our september

The share market is just a heartbeat away from 4500 but at the same time gold is edging closer to $1000 an ounce

The market is up 23. The SFE Futures were up 38 this morning. Solid start to the week.

The Dow closed up 97. Dow up 101 at best and down 23 at worst. Gold price fell $1 after two consecutive days of heavy gains, Oil price jumped 3.3% and the Aussie dollar was at 85.21c vs 83.97c Friday morning.

 

In Iron Ore Port News

Junior iron ore miners, Atlas Iron (AGO), Brockman Resources (BRM), BC Iron (BCI) and FerrAus (FRS), have appointed an engineering company to undertake a pre-feasibility study into a 50m metric ton export port in Port Hedland. The cost and availability of ship-loading facilities has always been a major issue for smaller iron ore players.

The alliance has the potential to deliver 50m tons of iron ore by 2013, delivering $200m in new royalties for the state. The alliance is also not limiting its numbers to four, it has been approached by other companies which are currently in discussions.

Tags: analysis, bankruptcy, engineer, Google, US

Setting Prices

Posted on : 29-08-2009 | By : admin | In : Internet, business


One of the biggest obstacles an entrepreneur can face is setting prices for his goods or services. Difficulty in setting prices is experienced not only by startup businesses but also established businesses. The frequent topic with setting prices is risk: risk environment prices too high and you may push potential customers away; risk environment prices too low and you cut business profits.

Due to this pricing paradox most owners turn to discounting. However the risk in most cases can be removed if you have the right information. In general if you know more the less risk you perceive. From that standpoint, pricing is all about getting as much information as you can about your market, your customers and your own internal numbers that drive your profit.

There are no secrets to a successful business, it just takes knowing the right information. When it comes to setting prices, here are some tips to help you avoid mistakes most entrepreneurs make. If you can avoid these, you’ll not only be ahead of your competition, but also you’ll be ahead of most other businesses.

1. Going too low. Some entrepreneurs set low prices as a strategy. Setting prices that are low will of course increase their top line revenue numbers however they fail to consider their bottom line profit number which is important. An entrepreneur has to profit and price accordingly. You might not get business out of all of your price-conscious consumers, but that is fine. Your competition will–and in doing so they will have to figure out how to profit from the “price shoppers” when there is little or no profit to make.

2. Using the same margin for all items. When setting prices always remember that there is no law stating all products must have the same prices. Keep in mind that slower moving items need higher profit margins. You can afford a smaller margin based on high sales volume. But still you should find ways to add value and increase those margins. Because in the end, even those incremental increases over time will have a huge impact in your bottom line.

3. Not understanding the difference between margin and mark-up. In setting prices these are things you should know margin and markup. Margin is based on the sales price; on the other hand markup is based on the cost. In setting prices most small businesses utilize markup formulas, but many overlook margin. That is a mistake, according to some consultants, since utilizing margin as a tool for analysis helps improve profitability. It is well worth the time for any businessperson to know the difference between margin and markup and how to use both.

4. Doing what others do. Sometimes we set our prices according to the price of competitors. Instead of setting price the same as them why not do a little more research and start to discover and uncover the value you truly offer your customers. Then price for value. IN doing so you will be in the best position to defend your price against competitors with your own “Why list.” Make your customers realize that your price is well worth it.

These are just some mistakes that you should avoid when you are setting prices. Avoiding pricing blunders and being strong in your pricing scheme go hand-in-hand in constructing a profitable business. Master the so-called “pricing paradox” and you will master an area of business in which even the most experienced business people sometimes struggle.

Tags: analysis, blogs, business, consumers, Environment, Google, information, Internet, research, small business, US

How to Save A Life

Posted on : 19-08-2009 | By : admin | In : Politics

In 1972, the philosopher Peter Singer proposed a simple thought experiment: Imagine you’re on your way to work and you come across a child drowning in a shallow pond. You’re tall enough that you can run in and rescue him, but if you do so you’ll ruin your new suit. Should you save the child?

Almost everyone says yes: the value of saving a child’s life far outweighs the cost of losing your new suit. Indeed, someone who would let a child die to save their clothes seems like a monster.

But aha, Singer says. You — yes, you, the reader — probably spent several hundred dollars on new clothes recently, clothes you didn’t really need. (Or if not clothes, perhaps a dinner out, or music, or books you could’ve gotten from the library.) And instead of spending that money on luxuries, you could have sent it to Partners in Health, and they could have used it to save a child’s life in the developing world. (GiveWell estimates that you can save a life for between $150-$750.) How are you not a monster?

Calling your audience monsters is a dangerous move — it’s apt to make them very upset. (I know I got very upset the first time I read this argument!) Nobody wants to be thought of as a murderer, so people come up with all sorts of rationalizations for why they don’t give (it’s not my responsibility, I do my fair share, foreign aid doesn’t really do any good, etc.). In his recent book, The Life You Can Save, Singer sets about systematically debunking these arguments.

In the process, he complicates his original thought experiment. Imagine now that instead of just you walking by the pond, five people are. And imagine that five children are also drowning. Still, he argues, most people would say you should rush in to save a child — even if the other people passing by don’t.

But there’s one detail Singer leaves out — one that I think dramatically affects his conclusions: the children didn’t just wander into this pond on their own; they were pushed.

Imagine an evil man stands above the pond, grabbing children and throwing them in. People passing by see the children and rush in to try to save them, but as soon as one is saved or drowns, in goes another, and another, and another. You can rush in to try to save another child — or you can try to stop the man.

This doesn’t absolve you of moral duty. Most people do neither — they just walk on by the pond. But it does complicate the question. I think most people would say you should try to stop the man, if you can. Even a utilitarian analysis would suggest this: diving in the pond saves one life, stopping the man saves thousands.

The man, of course, is economics. People in the developing world are poor because they live in poor countries — countries without schools or good jobs or welfare programs or even running water. And their countries are poor in large part because of us.

It’s often said that visiting a developing country is like traveling back in time — the conditions seem little changed from those of medieval Europe. But how did medieval Europe stop being medieval Europe? The answer is through protectionism: Britain became the reigning world power by being one of the most protectionist countries on earth, expending enormous amounts of government money to promote local industries. Eventually these industries grew strong enough to compete on the world stage and it withdrew the barriers. The United States eventually surpassed it with more of the same — many long years of tariffs and industrial intervention (to this day the US government spends an enormous amount of money on R&D). Western Europe, the so-called “Asian tigers” — all the major developed countries of our era got there by following these principles.

But they don’t want others to follow in their footsteps. Instead of letting developing countries grow and compete in their own right, they’d prefer to use them as a source of cheap labor and raw materials. So enormous effort has been expended on building international institutions to prevent their economic growth. The World Bank and the IMF issue loans to countries, but only on the condition they dismantle all forms of protectionism. The WTO requires countries to agree to principles of “free trade”. Academic “experts” come up with reasons why protectionism really hurts everyone and rewrite the history of economic growth.

As a result, poor countries are forced to stay poor and children keep dying in shallow ponds.

Stopping this is hard. I can give you a phone number to call to donate to Oxfam and buy a child life-saving treatment. There’s no comparably-effective way to help reform the WTO. Nobody knows how to stop the evil man. But it seems weird to pretend that he doesn’t exist.

Singer considers this a purely practical question. As a utilitarian, he doesn’t support the notion that we have any special responsibility for the actions of our government. Instead, he says, people should donate to help the poor in the most effective way they can see — whether that’s saving lives or structural reform is up to them. But Singer pretty clearly doesn’t think structural reform is very effective; all of his examples are about people directly saving lives.

Would the passers-by really just keep jumping in the pond after the children he kept throwing? Or would they take a moment to stop and strategize and think of how to stop the evil man. I think most would do the latter. This isn’t an abstract question. Children are dying right now. What are you going to do?

You can donate to the Student Trade Justice Campaign here. Please post your suggestions on worthy groups in the comments.

Tags: analysis, hd, Health, money, US

Finding the Best Hosting service

Posted on : 29-03-2009 | By : admin | In : Web Development

If you own or manage a website, blog or forum you must already know the importance of having a good web hosting service for your site. No one likes a website that goes down every now and then and, on the other hand, website hosting must be cheap and should provide all the essential services to get your site up and running without having the pay a premium price for it.

But there lies the rub…. How can we find a good web hosting service at an affordable price? Well, the answer is simple. Find out what others have found at Web Hosting Geeks, a cool site that provides service analysis, reviews, ratings, awards, and other interesting points about the various services offered by hosting companies around the globe. We can filter the list of hosting services according to our needs (Windows, Linux, with PHP, with Database support, etc.)

For instance, if we choose the best hosting on Windows, we see the monitoring for the recent days of the service uptime for each of the listed service providers so that we can make a decision based on this data (and price against features) I mention service uptime because it is very important as it will determine whether your site will be up or will go down often, leaving your users without service.

This wealth of information is very important to web developers and users alike. And having it for free at Web Hosting Geeks makes it even more valuable

Tags: analysis, Hosting, uptime

What Can the Organization for Economic Cooperation and Development Do For You?

Posted on : 20-02-2009 | By : admin | In : Business Opportunities, Global

OECD’s work on trade is about providing analysis, policy advice and guidance to create a better understanding of trade and investment liberalization and how it can lead to stronger economic growth as well as to greater integration of countries into the world economy.

Look at their work for 2009 and see how it may alter your outlook on global trade.

Assessing barriers to trade in services in the MENA region

This paper (PDF file) aims to assess barriers to service provision in the financial, telecom, and transport sectors of selected MENA countries. The analysis is focused on computation of aggregate and modal trade restrictiveness indexes (TRIs) by sector.

Overcoming Border Bottlenecks: The Costs and Benefits of Trade Facilitation

Six studies that examine how border bottlenecks affect trade and investment flows, how these bottlenecks might be reduced, and whether the expense involved is worth it.

Trade flows weaken in third quarter 2008

Merchandise export volumes of the Group of Seven countries fell 0.2% in the third quarter of 2008 compared with the previous quarter, while import volumes rose 0.4%.

Recovery and Beyond: Enhancing Competitiveness to Realise Indonesia’s Trade Potential

There is much scope for trade to enhance economic growth in Indonesia. This paper (PDF file) analyses Indonesian trade policy following the Asian Financial crisis, and identifies some key reforms that may help to increase competitiveness.

-> The video above is Ken Ash, Director for Trade for OECD who warns against protectionism as a reaction to the crisis. He outlines the course of action governments should follow.

There is much more from OECD here.

Tags: analysis, US