Monday, December 26, 2011
Saturday, December 24, 2011
Successful networking
Which types of networking are most successful? A recent survey of 12,000 business people around the world confirmed some of my hunches but produced some surprising results, as well.
As part of research for a book, my co-authors and I asked people what types of organizations they belong to and whether networking played a role in their success. We cross-tabulated the results to determine how effective different types of networking are.
As we had expected, people who get the most results from networking efforts seem to participate in face-to-face casual-contact networks like chambers of commerce, referral networks, and to a lesser extent, professional associations.
We were surprised, however, that only 27 percent of the respondents said online networking has played a role in their success. Networking through women's business organizations and through service clubs fared even worse, with only 17.7 percent and 17.2 percent of respondents, respectively, giving them credit for playing a part in their success.
Even though they didn't do well in this survey, I'm quite an advocate of online networks, women's business organizations and service clubs. I did some thinking about why these groups received such low-success ratings.
I'm inclined to believe women's organizations and service clubs didn't do well because they have other important purposes that take precedence over networking. Women's business groups often provide a place where members both support and educate each other, while service clubs focus primarily on providing service to the community. People, therefore, may not experience as much tangible success in networking efforts in these groups.
Related: An Expert Networker's Five Tips for Getting the Most from LinkedIn
The survey results for online networks made me think of a comment I hear quite often from business owners who want to market their products and services on social and business networking sites: "I've got a profile page and a thousand connections…now what?" Many entrepreneurs spend a lot of time and effort building their online social capital through LinkedIn "connections," Facebook "friends" and "likes," and Twitter "followers," but lack an actual plan for turning the growing number of contacts into customers.
Another issue for online networking: the exponential increase in marketing and social messages and the competition for people's attention. In the course of a typical day, we might be chatting on Google Talk, looking at friends' photos on Facebook, watching a celebrity's Twitter feed, learning about a connection's promotion on LinkedIn, reading a blog for business or pleasure, and doing an Internet search. We are inundated and easily distracted by these entreaties: Read this! Buy this! Try this! Connect with me! Like my business!
I certainly don't think entrepreneurs should stop finding ways to improve their success in the online networking arena. But the results are the results, and -- still a surprise to me -- they're not very good.
As part of research for a book, my co-authors and I asked people what types of organizations they belong to and whether networking played a role in their success. We cross-tabulated the results to determine how effective different types of networking are.
As we had expected, people who get the most results from networking efforts seem to participate in face-to-face casual-contact networks like chambers of commerce, referral networks, and to a lesser extent, professional associations.
We were surprised, however, that only 27 percent of the respondents said online networking has played a role in their success. Networking through women's business organizations and through service clubs fared even worse, with only 17.7 percent and 17.2 percent of respondents, respectively, giving them credit for playing a part in their success.
Even though they didn't do well in this survey, I'm quite an advocate of online networks, women's business organizations and service clubs. I did some thinking about why these groups received such low-success ratings.
I'm inclined to believe women's organizations and service clubs didn't do well because they have other important purposes that take precedence over networking. Women's business groups often provide a place where members both support and educate each other, while service clubs focus primarily on providing service to the community. People, therefore, may not experience as much tangible success in networking efforts in these groups.
Related: An Expert Networker's Five Tips for Getting the Most from LinkedIn
The survey results for online networks made me think of a comment I hear quite often from business owners who want to market their products and services on social and business networking sites: "I've got a profile page and a thousand connections…now what?" Many entrepreneurs spend a lot of time and effort building their online social capital through LinkedIn "connections," Facebook "friends" and "likes," and Twitter "followers," but lack an actual plan for turning the growing number of contacts into customers.
Another issue for online networking: the exponential increase in marketing and social messages and the competition for people's attention. In the course of a typical day, we might be chatting on Google Talk, looking at friends' photos on Facebook, watching a celebrity's Twitter feed, learning about a connection's promotion on LinkedIn, reading a blog for business or pleasure, and doing an Internet search. We are inundated and easily distracted by these entreaties: Read this! Buy this! Try this! Connect with me! Like my business!
I certainly don't think entrepreneurs should stop finding ways to improve their success in the online networking arena. But the results are the results, and -- still a surprise to me -- they're not very good.
Tuesday, December 20, 2011
Quota system for women on boards in Britain
Lord Davies's dismissal of a quota system to allow more women to sit on top UK boards is a lost opportunity
Lord Davies's report Women on Boards will do little to rectify the dearth of senior women in the UK's top companies. His rejection of imposed quotas in favour of voluntary targets of at least 25 per cent female representation on FTSE-100 boards by 2015 lets companies off the hook. The recommendation that the "comply or explain" principle be enshrined in a revised corporate governance code allows firms to carry on as they have always done, and excuse their lack of progress with a traditional argument about "lack of suitable or available female talent".
Female talent abounds—it's just that it is often not directly under the noses of boards. I've argued here before that the real losers are not the women who don't make it to the board but companies themselves, not to mention their shareholders. Most women consciously step off the corporate career ladder, unwilling to make the sacrifices to the rest of their lives that a senior job in a top company requires. But unbalanced boards have consequences for corporate success, and Davies sets out the business case, with a body of supporting evidence, persuasively in his report.
For example, research shows that companies with more board-level women enjoy a 42 per cent higher return on sales, a 66 per cent higher return on invested capital and a 53 per cent higher return on equity than their rivals. Also, gender-balanced boards are better able to understand their equally gender-balanced customers and stakeholders, as well as bringing different perspectives, ideas and challenges that cut through group-think.
What's more, it makes no sense to have half the available competencies-those embodied in women-sitting outside the door, particularly in a climate where good people are hard to find and keep.
The wonder is that more boards don't understand the business case. Maybe they do, but dominated by men as they are their fear of being overrun by women outweighs their ambition for corporate success. The possibility that Britain's boardrooms are the last bastions of male chauvinism is a depressing thought.
Even more dispiriting is the fact that gender bias is so hardwired in companies-whose structures were designed by and for men-that women themselves are prejudiced against their own sex, albeit unconsciously. The new targets "must not result in helicoptering women into top roles", said Penny de Valk, chief executive of the Institute of Leadership & Management. Men are helicoptered into top jobs all the time, ostensibly as saviours but with mixed results. So why should women be denied the same chance?
Another woman I spoke to said quotas would create "a false environment", but would it really be any more false than the one that sees most (male) non-executive directors nodded into jobs through the old boys' network, without a formal interview?
Most of the 89 per cent of respondents to Davies's review who opposed quotas were women-afraid, it seems, that appointments under the quota system would devalue women's contribution. But isn't this slight possibility infinitely preferable to the current system, which prevents them making much of a contribution at all?
In truth, most of the arguments against quotas hold for targets too, so it's disappointing that Davies didn't bite the bullet. Despite their drawbacks, quotas would seem to be no more imperfect than the system that has prevailed for too long-and they could prove the platform for change that we so clearly need. According to the most recent Female FTSE report from Cranfield School of Management, women still made up only 12.5 per cent of the members of FTSE-100 boards and 7.8 per cent of FTSE-250 boards in 2010.
Four out of 10 Norwegian directors are now female since the introduction of quotas in 2008, and there hasn't been a major corporate collapse there. Other European countries are set to follow suit, and it seems inevitable that unless British companies set and meet the required targets it will be only a matter of time before mandatory quotas are imposed here, too.
But it will be a short-sighted company that attempts to simply paint over the damp wall of organisational structures, processes and cultures that repel, rather than attract, ambitious women, and lots of talented men, too. Real change will come from a combination of the "push" of quotas and the "pull" of more attractive working environments.
So the collective sigh of relief echoing around Britain's boardrooms needs to turn into the panting of exertion as boards wrestle with the rising damp and dry rot which, if left untreated, could bring the whole edifice crumbling around their ears.
Lord Davies's report Women on Boards will do little to rectify the dearth of senior women in the UK's top companies. His rejection of imposed quotas in favour of voluntary targets of at least 25 per cent female representation on FTSE-100 boards by 2015 lets companies off the hook. The recommendation that the "comply or explain" principle be enshrined in a revised corporate governance code allows firms to carry on as they have always done, and excuse their lack of progress with a traditional argument about "lack of suitable or available female talent".
Female talent abounds—it's just that it is often not directly under the noses of boards. I've argued here before that the real losers are not the women who don't make it to the board but companies themselves, not to mention their shareholders. Most women consciously step off the corporate career ladder, unwilling to make the sacrifices to the rest of their lives that a senior job in a top company requires. But unbalanced boards have consequences for corporate success, and Davies sets out the business case, with a body of supporting evidence, persuasively in his report.
For example, research shows that companies with more board-level women enjoy a 42 per cent higher return on sales, a 66 per cent higher return on invested capital and a 53 per cent higher return on equity than their rivals. Also, gender-balanced boards are better able to understand their equally gender-balanced customers and stakeholders, as well as bringing different perspectives, ideas and challenges that cut through group-think.
What's more, it makes no sense to have half the available competencies-those embodied in women-sitting outside the door, particularly in a climate where good people are hard to find and keep.
The wonder is that more boards don't understand the business case. Maybe they do, but dominated by men as they are their fear of being overrun by women outweighs their ambition for corporate success. The possibility that Britain's boardrooms are the last bastions of male chauvinism is a depressing thought.
Even more dispiriting is the fact that gender bias is so hardwired in companies-whose structures were designed by and for men-that women themselves are prejudiced against their own sex, albeit unconsciously. The new targets "must not result in helicoptering women into top roles", said Penny de Valk, chief executive of the Institute of Leadership & Management. Men are helicoptered into top jobs all the time, ostensibly as saviours but with mixed results. So why should women be denied the same chance?
Another woman I spoke to said quotas would create "a false environment", but would it really be any more false than the one that sees most (male) non-executive directors nodded into jobs through the old boys' network, without a formal interview?
Most of the 89 per cent of respondents to Davies's review who opposed quotas were women-afraid, it seems, that appointments under the quota system would devalue women's contribution. But isn't this slight possibility infinitely preferable to the current system, which prevents them making much of a contribution at all?
In truth, most of the arguments against quotas hold for targets too, so it's disappointing that Davies didn't bite the bullet. Despite their drawbacks, quotas would seem to be no more imperfect than the system that has prevailed for too long-and they could prove the platform for change that we so clearly need. According to the most recent Female FTSE report from Cranfield School of Management, women still made up only 12.5 per cent of the members of FTSE-100 boards and 7.8 per cent of FTSE-250 boards in 2010.
Four out of 10 Norwegian directors are now female since the introduction of quotas in 2008, and there hasn't been a major corporate collapse there. Other European countries are set to follow suit, and it seems inevitable that unless British companies set and meet the required targets it will be only a matter of time before mandatory quotas are imposed here, too.
But it will be a short-sighted company that attempts to simply paint over the damp wall of organisational structures, processes and cultures that repel, rather than attract, ambitious women, and lots of talented men, too. Real change will come from a combination of the "push" of quotas and the "pull" of more attractive working environments.
So the collective sigh of relief echoing around Britain's boardrooms needs to turn into the panting of exertion as boards wrestle with the rising damp and dry rot which, if left untreated, could bring the whole edifice crumbling around their ears.
Thursday, December 15, 2011
What men & women think about each other
Consider Howard Wolowitz and Rajesh Koothrappali.
They may be fictional characters on a popular sitcom, "The Big Bang Theory," but new research suggests there’s a lot of truth in how they interact with women.
Wolowitz is a teeny guy with dorky hair and dorky clothes. He’s brilliant and gainfully employed, but on the attractiveness scale, he’s maybe a 2, possibly a 2 ½. Despite his physical shortcomings, though, he imagines every hot woman who glances his way wants to jump his bones. Of course, he’s always wrong.
Then there’s his buddy Raj, a pretty nice-looking guy once you get past his haircut. But he’s so insecure around women he can’t even talk to them unless he’s drunk.
What’s the deal?
There are "tons" of studies that show men think women are interested when they’re not, says lead author Carin Perilloux, a visiting professor at Williams College. But her study, which will be published in an upcoming issue of Psychological Science, found that not all men do. And surprisingly, it appears that the dorky, less attractive guys are more likely to think they’re babe magnets than their more attractive counterparts.
Perilloux was an unattached graduate student at the University of Texas when she decided to look into how men perceive women’s level of sexual interest and vice versa. She and her coauthors enlisted the help of about 200 straight undergrads, split evenly between the sexes, with an average age just shy of 19.
The researchers asked each of their subjects to rate their own attractiveness on a scale of 1 to 7. The students then had three-minute one-on-one conversations with five members of the opposite sex, a setup the scientists describe as "speed meeting." (The goal wasn’t to get a date, because some of the participants already were involved with people outside the study.) After each conversation, they rated the other person’s attractiveness and sexual interest.
The more attractive the woman was to the guy, the more likely he was to overestimate her interest in him, researchers found. And it turns out, the less attractive men (who believed they were better looking than the women rated them) were more likely to think beautiful women were hot for them. But the more attractive guys tended to have a more realistic assessment.
And the women? Perilloux and her coauthors found that women underestimated men’s sexual interest.
Believe it or not, this all probably makes sense from an evolutionary perspective, the scientists say. Attractiveness is linked to fertility, so if guys keep hitting on hot women, they’re bound to score occasionally and father sons who act the same way. Those attractive men don’t have to try as hard. As for the women, their underestimation of guys’ sexual interest might help prevent them from developing a reputation as a slut
Of course, if men and women were more explicit about their level of interest, they wouldn’t be so confused, Perilloux points out. But it’s unlikely either sex is going to use the line "hey, I’m 75 percent interested in you."
So here’s Perilloux’s tips: "For men, the best piece of advice is to be more cautious if you’re interested in someone." For women, she says, save the flirting for guys you actually are interested in sleeping with. "Men seem to take any flirtatious signal and run with it."
They may be fictional characters on a popular sitcom, "The Big Bang Theory," but new research suggests there’s a lot of truth in how they interact with women.
Wolowitz is a teeny guy with dorky hair and dorky clothes. He’s brilliant and gainfully employed, but on the attractiveness scale, he’s maybe a 2, possibly a 2 ½. Despite his physical shortcomings, though, he imagines every hot woman who glances his way wants to jump his bones. Of course, he’s always wrong.
Then there’s his buddy Raj, a pretty nice-looking guy once you get past his haircut. But he’s so insecure around women he can’t even talk to them unless he’s drunk.
What’s the deal?
There are "tons" of studies that show men think women are interested when they’re not, says lead author Carin Perilloux, a visiting professor at Williams College. But her study, which will be published in an upcoming issue of Psychological Science, found that not all men do. And surprisingly, it appears that the dorky, less attractive guys are more likely to think they’re babe magnets than their more attractive counterparts.
Perilloux was an unattached graduate student at the University of Texas when she decided to look into how men perceive women’s level of sexual interest and vice versa. She and her coauthors enlisted the help of about 200 straight undergrads, split evenly between the sexes, with an average age just shy of 19.
The more attractive the woman was to the guy, the more likely he was to overestimate her interest in him, researchers found. And it turns out, the less attractive men (who believed they were better looking than the women rated them) were more likely to think beautiful women were hot for them. But the more attractive guys tended to have a more realistic assessment.
And the women? Perilloux and her coauthors found that women underestimated men’s sexual interest.
Believe it or not, this all probably makes sense from an evolutionary perspective, the scientists say. Attractiveness is linked to fertility, so if guys keep hitting on hot women, they’re bound to score occasionally and father sons who act the same way. Those attractive men don’t have to try as hard. As for the women, their underestimation of guys’ sexual interest might help prevent them from developing a reputation as a slut
Of course, if men and women were more explicit about their level of interest, they wouldn’t be so confused, Perilloux points out. But it’s unlikely either sex is going to use the line "hey, I’m 75 percent interested in you."
So here’s Perilloux’s tips: "For men, the best piece of advice is to be more cautious if you’re interested in someone." For women, she says, save the flirting for guys you actually are interested in sleeping with. "Men seem to take any flirtatious signal and run with it."
Business lessons from the Wiggles
The release of BRW's list of Australia's best-paid entertainers has underlined once again what an incredible success story children's entertainment group The Wiggles is.
The business – yes, that's a fair description – posted gross earnings of $28.2 million in the last 12 months, according to BRW, which is an impressive result the boys in the coloured skivvies didn't release a new album during that period and a key member (purple Wiggle Jeff Fatt) was ill for part of the year.
I've got a three-and-a-half year old boy, so I've had a bit of a chance to study the money-making machine up close in the last few years – or at least through the prism of the CDs, DVDs and Band-Aids (they're a particularly big hit) that lie around our place.
With this in mind, I've compiled five business lessons that SMEs can take from The Wiggles:
The business – yes, that's a fair description – posted gross earnings of $28.2 million in the last 12 months, according to BRW, which is an impressive result the boys in the coloured skivvies didn't release a new album during that period and a key member (purple Wiggle Jeff Fatt) was ill for part of the year.
I've got a three-and-a-half year old boy, so I've had a bit of a chance to study the money-making machine up close in the last few years – or at least through the prism of the CDs, DVDs and Band-Aids (they're a particularly big hit) that lie around our place.
With this in mind, I've compiled five business lessons that SMEs can take from The Wiggles:
Extend the brand
The business of selling stuff to kids is all about licensing – how many different products can you get The Wiggles symbol on? Lunch boxes, backpacks, toys and of course CDs, books and DVDs are all part of the range. But the deal to put the brand on Band-Aids is a particularly good example of the way the group has been able to find left-field branding opportunities.Diversify
The number of different programs (both on television and stage shows) produced by The Wiggles is pretty amazing. There is the Dorothy the Dinosaur Show, Wiggly Waffle, Wiggle and Learn and a show for little kids called Baby Antonio's Circus. Many of these shows are repackaged or cut down versions of other content, which highlights another business lesson – the power of bundling and introducing different tiers of products.Succession
A key to any business, but not easy to pull off when your four key "executives" (the Wiggles themselves) are so recognisable. However, when illness forced Greg Page out of the Wiggles a few years back, the transition to the new yellow Wiggle, Sam Moran, was seamless. Will they be able to gradually replace all the members? That will be tougher, but it is not beyond the realms of possibility.Direct marketing
A key to The Wiggles' longevity on the highest-earning entertainers list is their dedication to live concerts. Not only are the margins much better on concerts than they are on DVDs and CDs, but the constant touring engenders the sort of loyalty that keeps the sales of licensed goods ticking over.Exporting
Without question, the smartest thing The Wiggles ever did was look outside of Australia and take their brand to America and Europe. It just goes to show that kids are kids everywhere – happy music, bright colours and colourful characters work in any market.Saturday, December 10, 2011
Capital Region Entrepreneurs
www.meetup.com
The Canberra Entrepreneurs group is an opportunity to build/enhance your contact network and knowledge base. Entrepreneurship Association of Australia The Entrepreneurship Association of Australia is a not-for-profit association dedicated to providing information, research and networking activities based on four categories: commercial, corporate, social and government entrepreneurship. The Entrepreneurship Association of Australia provides information on programs and activities to increase individual efficacy, and entrepreneurial behavior. Information on entrepreneurial activities will be collected by membership focused on developing knowledge within their desired field. Information will be disseminated through the EAA web site. Members may utilize their EAA home page as a virtual networking tool selecting links and communicating with other members. A priority objective of EAA is to be comprehensive in presenting links for existing entrepreneurship programs, providing promotional support for effective programs, and creating or innovating programs based on membership demand. Each entrepreneurship group operates through leaders driving activities based on group needs and desires. Communication between members through the EAA web site will originate ideas to further develop into action. The monthly meetings of the Canberra Entrepreneurs will allow for sharing membership knowledge through panel led open discussions on pre-selected topics. This is your opportunity to start, grow and develop your PCN (personal contact network). Joining the Canberra Entrepreneurs Meet-up group may allow you to develop your leadership skills, presentation skills, networking and increase your efficacy for development of your own entrepreneurial activities.
Saturday, November 12, 2011
saturday morning cheer
A young lady confidently walked around the room while leading and explaining stress management to an audience; with a raised glass of water, and everyone knew she was going to ask the ultimate question, 'half empty or half full?'.....
She fooled them all...
"How heavy is this glass of water?", she inquired with a smile.
Answers called out ranged from 8 oz. to 20 oz.
She repl ied, "The absolute weight doesn't matter.
It depends on how long I hold it.
If I hold it for a minute, that's not a problem.
<If I hold it for an hour, I'll have an ache in my right arm. If I hold it for a day, you'll have to call an ambulance.
In each case it's the same weight, but the longer I hold it, the heavier it becomes."
She continued, "and that's the way it is with stress. If we carry our burdens all the time, sooner or later, as the burden becomes increasingly heavy, we won't be able to carry on."
She continued, "and that's the way it is with stress. If we carry our burdens all the time, sooner or later, as the burden becomes increasingly heavy, we won't be able to carry on."
"As with the glass of water, you have to put it down for a while and rest before holding it again.
When we're refreshed, we can carry on with the burden - holding stress longer and better each time practiced.
So, as early in the evening as you can, put all your burdens down.< o:p>
So, as early in the evening as you can, put all your burdens down.< o:p>
Don't carry them through the evening and into the night...
pick them up tomorrow.
Whatever burdens you're carrying now, let them down for a moment.
Relax, pick them up later
after you've rested.
Life is short.
Enjoy it and the now 'supposed' stress that you've conquered!"
1. Accept the fact that some days you're the pigeon, and some days you're the statue!
2. Always keep your words soft and sweet, just in case you have to eat them.
3. Always read stuff that will make you look good if you die in the middle of it.
4. Drive carefully... It's not only cars that can be recalled by their Maker..
5. If you can't be kind, at least have the decency to be vague
6. If you lend someone $20 and never see that person again, it was probably worth it..
7. It may be that your sole purpose in life is simply to serve as a warning to others.
8. Never buy a car you can't push.
9. Never put both feet in your mouth at the same time, because then you won't have a leg to stand on.
10. Nobody cares if you can't dance well.
Just get up and dance..
Just get up and dance..
11. Since it's the early worm that gets eaten by the bird, sleep late..
12. The second mouse gets the cheese.
13. When everything's coming your way, you're in the wrong lane.
13. When everything's coming your way, you're in the wrong lane.
14. Birthdays are good for you.
The more you have,
the longer you live.
15. You may be only one person in the world, but you may also be the world to one person.
16. Some mistakes are too much fun to make only once.
17. We could learn a lot from crayons.Some are sharp, some are pretty and
some are dull. Some have weird
names and all are different colors,
but they all
16. Some mistakes are too much fun to make only once.
17. We could learn a lot from crayons.Some are sharp, some are pretty and
some are dull. Some have weird
names and all are different colors,
but they all
have to live in the same box.
18. A truly happy person is one who can enjoy the scenery on a detour..
19. Have an awesome day and know that someone
18. A truly happy person is one who can enjoy the scenery on a detour..
19. Have an awesome day and know that someone
thought about you today.
20. It was me, your friend!
Save the earth -- It's the only planet with chocolate!
Tuesday, November 1, 2011
women and money
What is your relationship with money?
Experts say that for women is all about the emotions, just how you feel about yourself. The way we spend, save and invest is often dictated by deep-seated psychological issues relating to self-worth, security and status. Women when they are miserable, they hit the stores to compensate for something lacking in their life, these are the women who shop themselves into debt and even if they are on generous salaries borrow money to pay bills.
Then there are those women who through overly austere measures use money as a security blanket, who account for every last cent and deny themselves the smallest of luxuries and as such do not enjoy the money they earn.
Women have a heavier emotional involvement with money than men, and we have more worries, fears and anxieties connected with it. ‘Women have less confidence in their financial expertise than men, but if they can get beyond their fear, they are often better at investing because they take a more long-term view,’ says Emily Haisley, a behavioural finance specialist at Barclays Bank.
Focus is critical if your money is to meet your needs for the long term future and the way the world economy is heading and our own personal relationship with men is heading this financial focus is now more important than never before.
Thursday, August 11, 2011
currency manipulation
the Aussie market has had to compete with cash rates of around 6 per cent. So asset prices have stayed low in order to attract buyers. Further price falls from here will make equity prices attractive relative to cash. That’s especially the case if you choose to ignore 95 per cent of the economists out there and believe that interest rates will fall in Australia later this year or early next.
-- Currency manipulation, just another potent ingredient in this horrible global cocktail of bad policy decisions, is one major reason why the RBA won’t be raising rates anytime soon.
--We’re in a crisis of government. The whole apparatus needs an overhaul and more than anything we need a return to sound money so people can conduct business in a stable environment.
-- That reality is still some time away. In the meantime, don’t look at the market as crashing, look at it as getting cheaper. Because as a value investor, we think this market is beginning to look very cheap.
-- Currency manipulation, just another potent ingredient in this horrible global cocktail of bad policy decisions, is one major reason why the RBA won’t be raising rates anytime soon.
--We’re in a crisis of government. The whole apparatus needs an overhaul and more than anything we need a return to sound money so people can conduct business in a stable environment.
-- That reality is still some time away. In the meantime, don’t look at the market as crashing, look at it as getting cheaper. Because as a value investor, we think this market is beginning to look very cheap.
Tuesday, August 9, 2011
Sharemarket turmoil
I am sure that most smart entrepreneurs will have spent the weekend thinking about how their business will withstand the inevitable drop in consumer and business confidence that we are going to see in the next few months as a result of the sharemarket turmoil.
While a recession in Australia looks extremely unlikely, the spending strike we've seen in the last 12 months will deepen as consumers retreat further into their shells.
That points to a tough few months. New customers may be harder to find, deals are likely to get harder to close and clients could reduce their typical spend. Cashflow is a particular danger at times like this and business owners and managers should be extra vigilant about late payers.
But while the confidence of business and household consumers is likely to take a beating, this is not the time for entrepreneurs and their teams to retreat into their shells.
The reason? Australian SMEs come into this rough patch much better placed than they entered the GFC.
Here are 10 reasons why:
Consumer confidence might be sinking, but entrepreneurs have good reason to be confident in their ability to deal with this challenge.
While a recession in Australia looks extremely unlikely, the spending strike we've seen in the last 12 months will deepen as consumers retreat further into their shells.
That points to a tough few months. New customers may be harder to find, deals are likely to get harder to close and clients could reduce their typical spend. Cashflow is a particular danger at times like this and business owners and managers should be extra vigilant about late payers.
But while the confidence of business and household consumers is likely to take a beating, this is not the time for entrepreneurs and their teams to retreat into their shells.
The reason? Australian SMEs come into this rough patch much better placed than they entered the GFC.
Here are 10 reasons why:
- The lesson of the GFC – too much debt kills – has been well-learned by SMEs, who have trimmed their borrowings and scaled back financing requirements in recent years. This will give SMEs flexibility and options if the economy slows further.
- SMEs appear to be running reasonably lean – another learning of the GFC. While skills shortages are affecting some businesses, SMEs have been cautious about hiring. This should mean overheads are relatively low.
- Australian SMEs delivered strong growth during the GFC and over the last two years. In 2009, for example, our Smart50 list delivered average growth of 91% and created 900 jobs.
- While households are not spending, they are actually reasonably well placed to do so. Thanks to a savings spree, household balance sheets are in much better shape than during the GFC.
- The RBA upgraded its growth forecast for 2011-12 by a quarter 0.25% to 4.5% on Friday. The first half of calendar 2012 should see the economy accelerate.
- Australia's unemployment rate is at 5% and is unlikely to rise very far. Remember, in the US they are dealing with unemployment above 9%.
- Australia does not have the sovereign debt issues of the US or Europe. Our debt is tiny compared with these nations, so the sort of austerity measures likely in the northern hemisphere won't be seen here.
- Australia's Federal Budget is in good shape. If the Government needs to stimulate the economy (and it probably won't) it has lots of scope to do so.
- Australia is perfectly positioned to ride the continued growth in China and other parts of Asia. While the mining sector is the biggest beneficiary of this, we're much better off tied to Asia than Europe or America right now.
- Australian SME entrepreneurs are smart, nimble and flexible. We have the capabilities and skills to adjust to the changing needs of markets and customers and have proven this time and time again.
Consumer confidence might be sinking, but entrepreneurs have good reason to be confident in their ability to deal with this challenge.
Saturday, July 23, 2011
Ready or not here's Eftpos tax!
New tax is here what retailers are calling the big banks' new "Eftpos tax".
Eftpos begins a new advertising offensive this week to tell us that shoppers "are better off with Eftpos".
But shoppers who use "Australia's favourite way to pay without cash" could soon be subjected to higher prices or even merchant fees for paying with Eftpos.
The company that runs Eftpos, EPAL, has given banks until next month to opt in to its new, higher interchange fee structure.
"Banks are about to start charging for something they previously provided for free," said Jost Stollmann, chief executive of a rival player in the debit-card payment industry, Tyro Payments.
"In fact they supplied this service for less than free: they paid 5c each time someone used Eftpos."
"Now EPAL has reversed that subsidy and created a new 5c fee to acquirers, which will flow through to retailers and merchants."
The Australian Newsagents' Federation say the new Eftpos fee regime will impose fees of up to 21c for each Eftpos transaction, up 110 per cent on existing fees.
"No retailer can negotiate the interchange fee with his bank. The new EPAL regime is all about raising bank fees," the federation says in a new advertising campaign.
"Big banks will slap an extra 10c interchange fee and 1c EPAL scheme fee increase on Eftpos transactions starting October 1, 2011."
This is the first change to Eftpos interchange fees since the debit card payment system was introduced to Australia 23 years ago.
"Cardholders will ultimately pay with higher prices through less competition," the newsagents' group said.
Mr Stollmann said the new fees would benefit big international card companies over Australia's own domestic debit payments system.
"A new Eftpos tax - that's what merchants and people in the industry are calling this," Mr Stollmann said.
"We know banks are under fee pressure in other areas, but I am unable to ascribe a motive as to why they are doing this.
"This will make Eftpos less competitive compared to Visa and Mastercard, and will make Eftpos difficult to offer for some small retailers.
A lot of merchants will simply not offer Eftpos any more."
Business owners are also being slugged by higher bank fees on their loans, accounts and credit cards, according to recent Reserve Bank of Australia data.
"All categories for bank-fee revenue increased for business products, except for deposit accounts due to exception fees (going down)."
Bank fees levied on business loans and credit facilities rose 21 per cent - and by 52 per cent on bank bills for business! OMG!
The big banks maintain families are paying less for banking services than ever.
Australian Bankers' Association chief Steven Munchenberg said average weekly bank fees paid by households fell by $2.13 to $9.73 last year."And households are paying less for banking even though they are using banking services more often," he said. as they should say I.
"Customers are completing more transactions on more accounts, and are buying more products and services from banks. Also, customers are choosing lower-cost accounts."Banks have cut a range of fees on accounts and credit cards, so if you think you are paying too much for banking, call your bank and see if there's a better product which suits the way you want to transact."
Googled EPAL and came up with nothing other than dating site which doesnt fit in with the context of this article. So who runs this? where from? is it a fictional smokescreen, what is going on behind the scenes and in the halls of power? how much more manipulation can those who aspire to greatness or some form of mastery at least in life put up with? why is this still being permitted to happen? is there nobody who can deflect this insanity and mass control?
Eftpos begins a new advertising offensive this week to tell us that shoppers "are better off with Eftpos".
But shoppers who use "Australia's favourite way to pay without cash" could soon be subjected to higher prices or even merchant fees for paying with Eftpos.
The company that runs Eftpos, EPAL, has given banks until next month to opt in to its new, higher interchange fee structure.
"Banks are about to start charging for something they previously provided for free," said Jost Stollmann, chief executive of a rival player in the debit-card payment industry, Tyro Payments.
"In fact they supplied this service for less than free: they paid 5c each time someone used Eftpos."
"Now EPAL has reversed that subsidy and created a new 5c fee to acquirers, which will flow through to retailers and merchants."
The Australian Newsagents' Federation say the new Eftpos fee regime will impose fees of up to 21c for each Eftpos transaction, up 110 per cent on existing fees.
"No retailer can negotiate the interchange fee with his bank. The new EPAL regime is all about raising bank fees," the federation says in a new advertising campaign.
"Big banks will slap an extra 10c interchange fee and 1c EPAL scheme fee increase on Eftpos transactions starting October 1, 2011."
This is the first change to Eftpos interchange fees since the debit card payment system was introduced to Australia 23 years ago.
"Cardholders will ultimately pay with higher prices through less competition," the newsagents' group said.
Mr Stollmann said the new fees would benefit big international card companies over Australia's own domestic debit payments system.
"A new Eftpos tax - that's what merchants and people in the industry are calling this," Mr Stollmann said.
"We know banks are under fee pressure in other areas, but I am unable to ascribe a motive as to why they are doing this.
"This will make Eftpos less competitive compared to Visa and Mastercard, and will make Eftpos difficult to offer for some small retailers.
A lot of merchants will simply not offer Eftpos any more."
Business owners are also being slugged by higher bank fees on their loans, accounts and credit cards, according to recent Reserve Bank of Australia data.
"All categories for bank-fee revenue increased for business products, except for deposit accounts due to exception fees (going down)."
Bank fees levied on business loans and credit facilities rose 21 per cent - and by 52 per cent on bank bills for business! OMG!
The big banks maintain families are paying less for banking services than ever.
Australian Bankers' Association chief Steven Munchenberg said average weekly bank fees paid by households fell by $2.13 to $9.73 last year."And households are paying less for banking even though they are using banking services more often," he said. as they should say I.
"Customers are completing more transactions on more accounts, and are buying more products and services from banks. Also, customers are choosing lower-cost accounts."Banks have cut a range of fees on accounts and credit cards, so if you think you are paying too much for banking, call your bank and see if there's a better product which suits the way you want to transact."
Googled EPAL and came up with nothing other than dating site which doesnt fit in with the context of this article. So who runs this? where from? is it a fictional smokescreen, what is going on behind the scenes and in the halls of power? how much more manipulation can those who aspire to greatness or some form of mastery at least in life put up with? why is this still being permitted to happen? is there nobody who can deflect this insanity and mass control?
Thursday, July 14, 2011
Women on Boards
Few Women in Oil and Gas
The 29 public U.S. companies with no women among top executives or the board of directors cover a diverse selection of industries. One-third of the companies are in oil and gas, and Diamond Offshore Drilling which all declined to comment. According to Bloomberg Rankings, the oil and gas sector has the lowest percentage of women directors, at 9.6 percent.In some cases, the argument is that there simply aren't enough qualified women to earn a seat on a specific company board. If you want a board that has oil and gas experts, then you're picking from the same pool.Lacking Technical Knowledge
the corporate secretary for Pioneer Natural Resources, Mark Kleinman says: "There is some challenge, because our board looks for deep industry experience and technical experience where it can find it. You have to look back to where this industry looked 30 years ago. That was a time when it was not heavily populated with women in the leadership."Terry Savage, who sat on the board of Pennzoil-Quaker State for six years—says there are women qualified to sit on the boards of oil and gas companies."The fact is that more than half the employees of that hugely industrial corporation were women," Savage says. "I did not have to be an expert on drilling to be on that board. There is always something that a woman can contribute.
Tokenism
The number of women on boards grew throughout the 1990s and 2000s, but that growth has leveled off in recent years. Experts and female board members interviewed for this story say that when boards have only one woman, it's often just a token gesture of gender diversity.The vast majority of board members are men, and just 2.6 percent of board chairmanships are held by women, according to Catalyst, a nonprofit that focuses on women and business. Only three companies in the S&P 500 have women who hold more than 40 percent of the board seats: Avon Products, Estée Lauder, and Macy's. There is a concern that some of the initial progress was tokenism, so the company can check that box off they now have quote unquote gender diversity.
Diversity by Law
Numerous European companies have tried to enforce equality by creating quotas for corporate boards. Norway, Spain, and France have imposed legal quotas to increase board seats held by women. Currently, 37.9 percent of directors at Norway's largest companies are women, with the 40 percent target legally required by 2017 for companies with 500 employees and annual sales of more than $71 million."If you only have one woman on a board then it can be difficult," says Alvarez, who notes that the experience can be "isolating and intimidating." She continues: "If you have at least some numbers, then you feel more empowered about opening up and expressing your doubts."
Women stress and spending
As women around the world enjoy broader opportunities and expanding roles, they're also experiencing one other increase in their lives — stress.
In one of their latest reports, Women of Tomorrow, Nielsen released stats that revealed where the most stressed-out women in the world reside, and how they behave in consequence.
Nielsen's study, which was conducted from February to April of 2011, polled almost 6,500 women throughout 21 developed and emerging countries including those in Asia, Europe, Latin America, Africa, and North America (note Australian women were not included in this poll). The study was done in an effort to better understand women's consumer habits, but yielded some fascinating conclusions about what causes stress in women around the world.
Reuters also finds that women around the world were largely more stressed than those of the past, but also found that women in emerging economic and social markets were more stressed than those in developed countries. “While women in emerging markets see tremendous growth in the opportunities for their daughters, a plateau of hope is evident in developed countries," said Susan Whiting, Nielsen's vice chair, in a statement.
The results of the polls showed that an astounding 87% of Indian women claim feeling stressed most of the time, with an additional 82% asserting they had insufficient time to relax.
Here are the top 10 most stressed countries, at least for women. The percentages indicate the percentage of women claiming to be stressed most of the time.
In one of their latest reports, Women of Tomorrow, Nielsen released stats that revealed where the most stressed-out women in the world reside, and how they behave in consequence.
Nielsen's study, which was conducted from February to April of 2011, polled almost 6,500 women throughout 21 developed and emerging countries including those in Asia, Europe, Latin America, Africa, and North America (note Australian women were not included in this poll). The study was done in an effort to better understand women's consumer habits, but yielded some fascinating conclusions about what causes stress in women around the world.
Reuters also finds that women around the world were largely more stressed than those of the past, but also found that women in emerging economic and social markets were more stressed than those in developed countries. “While women in emerging markets see tremendous growth in the opportunities for their daughters, a plateau of hope is evident in developed countries," said Susan Whiting, Nielsen's vice chair, in a statement.
The results of the polls showed that an astounding 87% of Indian women claim feeling stressed most of the time, with an additional 82% asserting they had insufficient time to relax.
Here are the top 10 most stressed countries, at least for women. The percentages indicate the percentage of women claiming to be stressed most of the time.
India (87%)
Mexico (74%)
Russia (69%)
Brazil (67%)
Spain (66%)
France (65%)
South Africa (64%) Italy (64%)
Nigeria (58%)
Turkey (56%)
Another interesting finding correlated degree of stress with spending and consuming habits. Interestingly, Indian women, while claiming to be the most stressed, were also most likely to spend disposable income on themselves. Upwards of three quarters of Indian women admitted they would spend on beauty and health items, while 96% said they would buy clothing.Mexico (74%)
Russia (69%)
Brazil (67%)
Spain (66%)
France (65%)
South Africa (64%) Italy (64%)
Nigeria (58%)
Turkey (56%)
Friday, July 8, 2011
Mothers & paid work
Women with three or more children are less likely to be in paid work than mothers with one or two children, a study has found.
Official figures show 55% of women with three or more children are in paid work compared with compared with 68% of women with two or fewer children.
Anna Zhu, co-author of the Fertility and Labour Market Participation report, says it’s not surprising that women with three children or more are less likely to be involved in paid work because of their greater care responsibilities.
“But the interesting thing is we also found that even when the children have grown older there’s still an effect,” Zhu says. Zhu, of the University of NSW Social Policy Research Centre, says several things play a role in inhibiting women to re-enter paid work – a lack of confidence, atrophied skills, the challenge of finding flexible workplaces and fulfilling work without recent stints to speak of. Zhu says providing flexibility is the key to keeping women in paid work.“Most women after having children go back on a part-time basis, so flexible working conditions and providing leave when an emergency pops up are very important,” she says.
The paper found that for women aged 45-49, 81% with two or fewer children were in paid work versus 70% with three or more children.
The gap was also found for women with pre-school aged students, with 55% of women with two pre-schoolers in paid work versus 44% for three or more children. When at least one child is at school 62% of mothers with one or two children are in paid work compared with 59% of mothers of three or more children.
Official figures show 55% of women with three or more children are in paid work compared with compared with 68% of women with two or fewer children.
Anna Zhu, co-author of the Fertility and Labour Market Participation report, says it’s not surprising that women with three children or more are less likely to be involved in paid work because of their greater care responsibilities.
“But the interesting thing is we also found that even when the children have grown older there’s still an effect,” Zhu says. Zhu, of the University of NSW Social Policy Research Centre, says several things play a role in inhibiting women to re-enter paid work – a lack of confidence, atrophied skills, the challenge of finding flexible workplaces and fulfilling work without recent stints to speak of. Zhu says providing flexibility is the key to keeping women in paid work.“Most women after having children go back on a part-time basis, so flexible working conditions and providing leave when an emergency pops up are very important,” she says.
The paper found that for women aged 45-49, 81% with two or fewer children were in paid work versus 70% with three or more children.
The gap was also found for women with pre-school aged students, with 55% of women with two pre-schoolers in paid work versus 44% for three or more children. When at least one child is at school 62% of mothers with one or two children are in paid work compared with 59% of mothers of three or more children.
Monday, June 27, 2011
Bank exit fees
The ban on bank exit fees, which may be recorded on a contract as deferred establishment or early repayment fees, applies only to all new home loans taken out after 1 July 2011. Some home loans already do not have them and some lenders have made the ban retrospective.
Think carefully before making any moves.
Ensure that you as the consumer understand the exit fee ban applies only to new home loans taken out after 1 July, not existing loans, and that there are still other switching costs and home loan aspects that must be considered.
Educate yourself as the borrower about what it means for you as satisfaction with your home loan commitment comes after making a well informed decision
Think carefully before making any moves.
Ensure that you as the consumer understand the exit fee ban applies only to new home loans taken out after 1 July, not existing loans, and that there are still other switching costs and home loan aspects that must be considered.
Educate yourself as the borrower about what it means for you as satisfaction with your home loan commitment comes after making a well informed decision
Property millionaires, are U one?
The property market is one of the main reasons why more and more Australians are becoming millionaires, according to an annual report by Capgemini and Merrill Lynch.
Dorus van den Biezenbos from Capgemini Australia says the total number of millionaires in Australia rose 11.1 per cent to almost 193,000 in 2010.
Despite the current downturn in the property sector, the long-term rewards of real estate and hard investing are putting more Australians on the millionaire map –and property is fast becoming a better alternative to make money than a wage.
"We see the real estate market as a big contributor to the positive growth number of millionaires in Australia," van den Biezenbos says.
"GDP grew by 2.8 per cent last year, compared to 1.3 per cent in 2009, so that's good growth.
"Market capitalisation also showed a gain of 15.3 per cent."
The combined wealth of Australia's millionaires was also up 12.1 per cent to $550 billion.
In another positive sign for investors, our neighbours are becoming richer too. The Asia-Pacific region has also taken over second position and is now just behind North America, in terms of millionaire population.
"They've taken over the place from Europe now with 3.3 million millionaires, whereby Europe has 3.1 million millionaires."
Dorus van den Biezenbos from Capgemini Australia says the total number of millionaires in Australia rose 11.1 per cent to almost 193,000 in 2010.
Despite the current downturn in the property sector, the long-term rewards of real estate and hard investing are putting more Australians on the millionaire map –and property is fast becoming a better alternative to make money than a wage.
"We see the real estate market as a big contributor to the positive growth number of millionaires in Australia," van den Biezenbos says.
"GDP grew by 2.8 per cent last year, compared to 1.3 per cent in 2009, so that's good growth.
"Market capitalisation also showed a gain of 15.3 per cent."
The combined wealth of Australia's millionaires was also up 12.1 per cent to $550 billion.
In another positive sign for investors, our neighbours are becoming richer too. The Asia-Pacific region has also taken over second position and is now just behind North America, in terms of millionaire population.
"They've taken over the place from Europe now with 3.3 million millionaires, whereby Europe has 3.1 million millionaires."
Friday, May 20, 2011
Its a long way to the top.....
Still a long way to the top for Australian women?
The successful Australian woman is passionate, driven, focused, determined and resilient – but she has had to make a number of sacrifices in the name of success, and while regret might be too strong a word, she is fully aware of these sacrifices and is striving to ameliorate them.These are the findings revealed in ‘Long Way to the Top’ a White Paper authored by Melbourne financial planner, Charmaine Curtain from Global Partnerships Financial Consulting.
Curtain said Long Way to the Top provides extraordinary insights into the Australian woman’s journey along the pathway to success and the challenges she continues to face.
“Australian women have jumped some amazing hurdles that a hundred years ago seemed insurmountable,” Curtain said. “They now hold some of the most powerful positions in the country – we have a female Prime Minister, two female state Premiers, a female Governor General and two female state Governors. One of our female executives – Gail Kelly – is ranked eighth in the Forbes 100 Most Powerful Women in the World.”
However, Curtain said that while Australian women have much to celebrate, they still have significant hurdles to overcome.
“Many of the women I interviewed believe they have made significant sacrifices in the name of success,” Curtain said. “These sacrifices included time, money and personal relationships. If my findings are typical, professional women are still being paid less than men, they still lack the financial resources or security to appropriately fund their own ventures, they still have poor access to business funding and they still have insufficient savings for retirement. In the twenty-first century, it is not good enough.”
Curtain said that her research suggests that successful women are powerful consumers and expect service that surpasses their expectations. The consumer is, in fact, Queen,” Curtain said. “If providers expect to win them as customers or clients they must deliver exceptional service.”
According to the findings, women want to be listened to, valued, appreciated and respected by service providers. “Service that takes into account how time poor professional women are and how torn they feel between home and work; lifestyle and career will win the day,” Curtain said.
Curtain also took the opportunity to thank the women she interviewed for the project.
“As a woman and as the owner of a business myself, I set out to discover how women achieved, in some instances, such outstanding success. I was curious about the barriers to success and how successful women had surmounted them,” she said. “But what I came away with was powerful insights into women, their ability to face obstacles, their great willingness to help each other and their generosity towards younger women just starting out on the corporate ladder. I feel as though I have been coached by some of the best women in the business – and for that I thank each and every one of them.”
Key findings
- Many women (69%) believe they had sacrificed some aspect of their personal life in order to achieve success
- More than half (58%) felt the challenges they face were the result of external put on them by others in the workplace
- Almost half (41%) felt the challenges they face were the result of the internal pressure they put on themselves
- Most (80%) felt women were overcoming these challenges
- Most women (73%) were able to articulate an exact moment in business that stood out as a bad experience; only half were able to articulate a good experience
- Women recognised they faced three major financial challenges – lack of security/financial backing to go into business; having enough money for retirement; being paid less than their male colleagues
- More than half (53%) said they relax by doing some form of exercise – typically, walking
- Most women were voracious readers, with 84% saying they read their daily newspaper regularly. Only 15% said they had abandoned the traditional paper format in favour of online versions. Many women (69%) also admitted to reading gossip/women’s magazines
- Women are generous givers with 84% donating their time and/or money to charity/charity events. Children’s charities were far and away the most popular, with 81% of women favouring them
Wednesday, April 27, 2011
CPI March 2011
The long-awaited inflation figures released this morning have shown a higher-than-expected jump for the March quarter, heightening expectations of an interest rate rise later this year.
The Australian Bureau of Statistics says Australia's consumer price index lifted 1.6% for the three months to March 31, versus expectations for a 1.2% increase.
The increase takes the annual CPI rate to 3.3%, well above the Reserve Bank's 2-3% target.
While the headline figure was influenced by the price pressures created by Australia's horror run of natural disasters, core inflation was also higher than expected.
ABS said the weighted mean measure came in at 0.8%, versus expectations for a 0.6% lift, while the trimmed mean measure was 0.9%.
The Australian dollar, already pushing past the $US1.08 barrier, was trading at $US1.0846 after the CPI data, with investors betting the central bank will be pressured to increase rates sooner than expected.
The local currency reached $US1.08 this morning, for the first time since it was floated in December 1983, after closing for five days for the Easter and Anzac Day break.
Bank of New Zealand currency strategist Mike Jones said the Australian dollar remains the darling of the currency markets, boosted by a "buoyant" global risk appetite and expectations the US dollar will remain weak, AAP reports.
"Certainly, the commodities backdrop is still very strong. Gold and silver prices are making record highs on an almost daily basis and industrial metal prices are still very strong," he said.
"The relationship with China is in good shape," she said after a meeting with Premier Wen Jiabao. "Of course, our economic relationship is a vital one for Australia's national interest, and it is growing in leaps and bounds."
Gillard added that human rights concerns were raised during the meeting, although China said it did not take a step backwards with regard to its approach.
"It's very important that workers right around Australian understand that this carbon tax won't clean up the environment but it will clean out their wallets and it will wipe out jobs big time," he said.
"The Coalition has a strong and effective policy to reduce emissions by planting more trees, getting better soil and using smarter technology."
It was helped, however, by a rise in Origin Energy shares, which were trading 4% higher to $16.88 at 1135 AEST.
Origin announced an agreement before the long weekend that China's Sinopec would be liquefied natural gas and a 15% stake in the Origin-operated Australia Pacific LNG project.
The big miners were mixed, with Rio Tinto higher before midday and BHP Billiton lower despite Deloitte tipping strong commodity prices for years to come.
A report in Sydney Morning Herald said the Senate inquiry would focus on encouraging new entrants to the financial sector, rather than more strictly regulate existing players.
The market was also boosted by a solid performance on Wall Street last week, with US stocks reaching their best levels since June 2008 after key companies Ford Motor Co and 3M Co reported strong results.
"It is really from the multinationals that have been reporting good numbers and speaking of good things to come – these are big, big blue chips that are starting to see a bright light," Joseph Benanti, managing director at Rosenblatt Securities in New York, told Reuters.
The wire service says three-quarters of S&P 500 companies to have reported earnings so far have exceeded analysts' expectations.
The Australian Bureau of Statistics says Australia's consumer price index lifted 1.6% for the three months to March 31, versus expectations for a 1.2% increase.
The increase takes the annual CPI rate to 3.3%, well above the Reserve Bank's 2-3% target.
While the headline figure was influenced by the price pressures created by Australia's horror run of natural disasters, core inflation was also higher than expected.
ABS said the weighted mean measure came in at 0.8%, versus expectations for a 0.6% lift, while the trimmed mean measure was 0.9%.
The Australian dollar, already pushing past the $US1.08 barrier, was trading at $US1.0846 after the CPI data, with investors betting the central bank will be pressured to increase rates sooner than expected.
The local currency reached $US1.08 this morning, for the first time since it was floated in December 1983, after closing for five days for the Easter and Anzac Day break.
Bank of New Zealand currency strategist Mike Jones said the Australian dollar remains the darling of the currency markets, boosted by a "buoyant" global risk appetite and expectations the US dollar will remain weak, AAP reports.
"Certainly, the commodities backdrop is still very strong. Gold and silver prices are making record highs on an almost daily basis and industrial metal prices are still very strong," he said.
Gillard says ties with China in good shape
Prime Minister Julia Gillard has said Australia's relationship with China remains in good shape and that its economic ties are crucial for the nation."The relationship with China is in good shape," she said after a meeting with Premier Wen Jiabao. "Of course, our economic relationship is a vital one for Australia's national interest, and it is growing in leaps and bounds."
Gillard added that human rights concerns were raised during the meeting, although China said it did not take a step backwards with regard to its approach.
Abbott attacks carbon price
Opposition leader Tony Abbott says the introduction of a carbon price will put thousands of jobs at risk. He told ABC Radio this morning jobs in industries such as the steel manufacturing business will be hurt by such a tax."It's very important that workers right around Australian understand that this carbon tax won't clean up the environment but it will clean out their wallets and it will wipe out jobs big time," he said.
"The Coalition has a strong and effective policy to reduce emissions by planting more trees, getting better soil and using smarter technology."
Sharemarket flat after break, but Origin, banks lift
Before midday, the S&P/ASX 200 was trading flat at 4909.8, while the All Ordinaries was down 0.11% to 4990.It was helped, however, by a rise in Origin Energy shares, which were trading 4% higher to $16.88 at 1135 AEST.
Origin announced an agreement before the long weekend that China's Sinopec would be liquefied natural gas and a 15% stake in the Origin-operated Australia Pacific LNG project.
The big miners were mixed, with Rio Tinto higher before midday and BHP Billiton lower despite Deloitte tipping strong commodity prices for years to come.
A report in Sydney Morning Herald said the Senate inquiry would focus on encouraging new entrants to the financial sector, rather than more strictly regulate existing players.
The market was also boosted by a solid performance on Wall Street last week, with US stocks reaching their best levels since June 2008 after key companies Ford Motor Co and 3M Co reported strong results.
"It is really from the multinationals that have been reporting good numbers and speaking of good things to come – these are big, big blue chips that are starting to see a bright light," Joseph Benanti, managing director at Rosenblatt Securities in New York, told Reuters.
The wire service says three-quarters of S&P 500 companies to have reported earnings so far have exceeded analysts' expectations.
Private lenders and SME's
SMEs are experiencing a finance crisis due to the scarcity of lenders and a return to strict lending criteria, according to the Mortgage & Finance Association of Australia.
The MFAA, which represents around 1,000 finance brokers who raise debt facilities for SMEs, says recent feedback from finance brokers suggests difficult times for their clients.
According to the MFAA, company directors outside the corporate economy are putting up their family properties as collateral, as the major banks return to dominance in business lending.
MFAA chief executive Phil Naylor says SMEs are being forced to raise capital from a decreasing number of lenders, with tightened criteria excluding many of them from mainstream borrowing.
Naylor says brokers unable to attract funding from mainstream lenders are relying on private lenders, which charge interest rates of up to 20%.
"Many of the smaller banks and the non-bank lenders have left the SME market, especially when it comes to property developing and office equipment and fit-outs," Naylor says.
"That leaves the large retail banks with most of the market."
Naylor says finance brokers are frustrated that cashflow lending, where the decision to lend is made on the quality of the business and the receivables, has been dropped in favour of a return to fully secured lending.
Secured lending focuses on the quality of the collateral, not the business.
"The GFC created a liquidity issue in our banks, and in response most of them have re-absorbed their business finance arms into the main operations of the bank," Naylor says.
"It means experienced business lenders, who negotiated deals with brokers on their business merits, are now subject to more conservative practices."
The MFAA says it's obviously easier to get business finance for an existing business rather than a start-up because lenders tend to view start-ups as "inherently risky".
One way of getting around this is by entering into a franchise because while the business may be new, it is based on a proven formula.
Naylor says while there's nothing wrong with banks being careful with their lending, SME debt finance is an important part of the economy and the MFAA would like to see more competition in this area.
The MFAA's concerns are substantiated by Reserve Bank of Australia data, which shows lending to businesses declined by 1.7% in the year to February 2011.
The RBA says the four major banks controlled 86% of the SME debt lending market in September last year, yet they only wrote 74% of all business loans.
This article firsts appeared on StartupSmart.
The MFAA, which represents around 1,000 finance brokers who raise debt facilities for SMEs, says recent feedback from finance brokers suggests difficult times for their clients.
According to the MFAA, company directors outside the corporate economy are putting up their family properties as collateral, as the major banks return to dominance in business lending.
MFAA chief executive Phil Naylor says SMEs are being forced to raise capital from a decreasing number of lenders, with tightened criteria excluding many of them from mainstream borrowing.
Naylor says brokers unable to attract funding from mainstream lenders are relying on private lenders, which charge interest rates of up to 20%.
"Many of the smaller banks and the non-bank lenders have left the SME market, especially when it comes to property developing and office equipment and fit-outs," Naylor says.
"That leaves the large retail banks with most of the market."
Naylor says finance brokers are frustrated that cashflow lending, where the decision to lend is made on the quality of the business and the receivables, has been dropped in favour of a return to fully secured lending.
Secured lending focuses on the quality of the collateral, not the business.
"The GFC created a liquidity issue in our banks, and in response most of them have re-absorbed their business finance arms into the main operations of the bank," Naylor says.
"It means experienced business lenders, who negotiated deals with brokers on their business merits, are now subject to more conservative practices."
The MFAA says it's obviously easier to get business finance for an existing business rather than a start-up because lenders tend to view start-ups as "inherently risky".
One way of getting around this is by entering into a franchise because while the business may be new, it is based on a proven formula.
Naylor says while there's nothing wrong with banks being careful with their lending, SME debt finance is an important part of the economy and the MFAA would like to see more competition in this area.
The MFAA's concerns are substantiated by Reserve Bank of Australia data, which shows lending to businesses declined by 1.7% in the year to February 2011.
The RBA says the four major banks controlled 86% of the SME debt lending market in September last year, yet they only wrote 74% of all business loans.
This article firsts appeared on StartupSmart.
Tuesday, March 8, 2011
quota for women on boards
Opposition frontbencher Joe Hockey says he would back enforced quotas that ensure 30 per cent of board positions are occupied by women.
He says corporate Australia has been given long enough to improve gender equality on the executive level after talking about it for more than a decade.
"If they don't meet a reasonable target within a period of time, then more punitive measures need to be taken by the parliament," he told ABC television on Monday.
"I would think that you would need to have a target of about 30 per cent."
Women make up about 25 per cent of board appointments in Australia at the moment, but it slips to 11 per cent for the top 200 companies listed on the Australian Securities Exchange.
On the eve of International Women's Day, Mr Hockey said it was time for real action, although he insists quotas were a last resort.
"Corporate Australia has had so many warnings, they've put in place so many programs ... but Australia has actually fallen behind," he said.
"I just don't understand how you can claim that as a director of a company, that all wisdom and knowledge lies in the hands of men only."
Minister for the Status of Women Kate Ellis said the government was committed to its election pledge to have women make up 40 per cent of public board positions by 2015.
It is hoping for improvements in female board numbers when a census wraps up in 18 months, but Ms Ellis wouldn't be drawn on taking faster action with the opposition's help.
She said businesses were shown to be more productive with female board members and it was time Australia got the return from educating and training them.
Westpac chief Gail Kelly, one of Australia's most prominent female executives, said she was already seeing significant changes in the boardroom.
But she'd like to see organisations left alone to make their own targets, rather than be forced by law.
Ms Kelly earlier laughed off her standing as one of Forbes magazine's 10 most powerful women in the world, noting that she was "sandwiched between Lady Gaga and Beyonce".
"I absolutely hate it when people introduce me in that way. It's one of those sort-of, lovely, causes-a-laugh kind of conversations."
He says corporate Australia has been given long enough to improve gender equality on the executive level after talking about it for more than a decade.
"If they don't meet a reasonable target within a period of time, then more punitive measures need to be taken by the parliament," he told ABC television on Monday.
"I would think that you would need to have a target of about 30 per cent."
Women make up about 25 per cent of board appointments in Australia at the moment, but it slips to 11 per cent for the top 200 companies listed on the Australian Securities Exchange.
On the eve of International Women's Day, Mr Hockey said it was time for real action, although he insists quotas were a last resort.
"Corporate Australia has had so many warnings, they've put in place so many programs ... but Australia has actually fallen behind," he said.
"I just don't understand how you can claim that as a director of a company, that all wisdom and knowledge lies in the hands of men only."
Minister for the Status of Women Kate Ellis said the government was committed to its election pledge to have women make up 40 per cent of public board positions by 2015.
It is hoping for improvements in female board numbers when a census wraps up in 18 months, but Ms Ellis wouldn't be drawn on taking faster action with the opposition's help.
She said businesses were shown to be more productive with female board members and it was time Australia got the return from educating and training them.
Westpac chief Gail Kelly, one of Australia's most prominent female executives, said she was already seeing significant changes in the boardroom.
But she'd like to see organisations left alone to make their own targets, rather than be forced by law.
Ms Kelly earlier laughed off her standing as one of Forbes magazine's 10 most powerful women in the world, noting that she was "sandwiched between Lady Gaga and Beyonce".
"I absolutely hate it when people introduce me in that way. It's one of those sort-of, lovely, causes-a-laugh kind of conversations."
Friday, February 25, 2011
De-stress
In order to be a successful entrepreneur you need to be physically able to do so. Stress is the main cause of illness and an unfulfilling life.
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The Healing Codes are a revolutionary healing technology that utilizes the body's healing energy to eliminate destructive energy patterns residing in cellular memories, thereby enabling the body to remove the root cause of disease. Thus, it restores the body's immune system to its normal functioning.
Most medical doctors agree that the immune system is capable of healing just about anything if it is not suppressed by stress. And it is a widely accepted belief that when your immune system is working correctly, it's impossible to get sick.
Although The Healing Codes are designed to eliminate internal stress, they can ALSO be used to eliminate stress caused by external conditions such as ...
... a job you hate
... a demanding boss
... messy relationships
... stacks of unpaid bills
... tight deadlines
… or a downturn in the economy
... a demanding boss
... messy relationships
... stacks of unpaid bills
... tight deadlines
… or a downturn in the economy
It's hard to turn on the TV or radio these days without getting bombarded with depressing news about the economic recession, double-digit unemployment, the escalating numbers of foreclosures and bank failures. Even if we wanted to remain detached from such news, the stress has a way of occupying our waking moments -- and consequently threatening our health.
In recent years, stress has become so commonplace and people have begun to regard it as a necessary evil inherent in modern life. Furthermore, people have begun to ignore the potentially deadly effects of stress, and assume an indifferent, or even complacent attitude -- as though there's nothing they could possibly do about it, so why bother?
But the fact is, you do NEED to bother because stress wreaks infinite havoc on your health. For example, scientists have discovered that everyday stress is a factor for the growth of cancerous tumors. This recent discovery, published in Nature, a science journal, shows that the conditions for developing cancer can be affected by your emotional environment -- including everyday work and family stress.
And that's just for starters. Stress is associated with your physical, emotional and mental health, and also causes serious behavioral effects. It is a well-established fact that stress is a major cause of heart disease. Stress induces the fight-or-flight response that can become lethal when it is allowed to become a way of life.
Perhaps the most deleterious effect of stress is this: It shuts down the immune system. And when the immune system shuts down, your body becomes susceptible to any and all diseases! No matter how you look at it, stress kills!
When they are "stressed out" some people tend to drink heavily, smoke or take over-the-counter or recreational drugs as a way of getting immediate chemical relief from stress. Some turn to excessive food consumption -- and others seek the temporary respite of sleep. In the midst of severe stress, most people find themselves too anxious or jittery to turn to meditation or prayer.
In an effort to prevent stress from destroying your health, your sanity, and your ability to function during the day or to sleep at night, I've designed a Healing Code which I call The 6-Minute Antidote to Stress.
The 6-Minute Antidote to Stress is your opportunity to experience the powerful effects that The Healing Codes has on the body. You can use this 6-minute getaway when you feel depressed or overwhelmed by the stress of daily living -- or when you need to energize yourself, feel renewed and revitalized. It's like a "virtual spa" or a mini-vacation that's more than just a brief escape from life's stressors. It also rejuvenates you so you can function more effectively throughout the day, have a better outlook on life, have more restful sleep at night, and enjoy better health as a result.
The 4 Healing Centers of the Body
The Healing Codes involve the use of the fingertips of both hands pointing towards one or more of the 4 different healing centers in the body. The healing centers are located as follows:
==> Adam's Apple: Directly over the Adam's apple
==> Temples: One half inch above the temple, and one half inch toward the back of the head, on both
sides of the head
sides of the head
==> Bridge: In between the bridge of the nose and the middle of the eyebrow, if the eyebrows were grown together
==> Jaw: On the bottom back corner of the jawbone, on both sides of the head
The 6-Minute Antidote to Stress neutralizes the underlying reason for your specific reaction to external stress. No two people process the same stressor the same way. What causes fear and overwhelm for your neighbor may not affect you the same way. Your neighbor could be calm, cool and collected even though he had a stack of unpaid bills -- while you, on the other hand, might become anxious or have palpitations if you missed paying a single bill by its due date.
The difference in the way you and your neighbor react to external stress has to do with your respective programming, which goes back to cellular memories. The 6-Minute Antidote to Stress is a Healing Code that is specifically designed to eliminate the destructive energy patterns of your cellular memories which govern your adverse reaction to external stress. The code is very easy to do while you're sitting on your desk chair at work, from the comfort of your bed, a recliner or anywhere you happen to be. It's called a "code" because the procedure involves activating the healing centers with your fingers in a specific coded sequence.
Here's how to perform the Healing Code for neutralizing external stress:
Always perform the Healing Code in a quiet, private, place where you can relax without distractions or interruptions. Aim all five fingers of both hands at the healing centers listed below for the amount of time indicated. The fingers need to be 2 to 3 inches away from the healing center they're aiming at (as shown on the diagrams).
Here's the sequence:
Fingers of both hands pointing towards bridge -- 20 seconds
Fingers of both hands pointing towards the Adam's apple -- 20 seconds
Fingers of both hands pointing towards the jaws -- 20 seconds
Fingers of both hands pointing towards the temples -- 20 seconds
Continue to rotate through the positions in the specified order for 6 minutes. Do this 3 times per day. You can start with as little as 1 per day, and increase frequency as needed.
Fingers of both hands pointing towards the Adam's apple -- 20 seconds
Fingers of both hands pointing towards the jaws -- 20 seconds
Fingers of both hands pointing towards the temples -- 20 seconds
Continue to rotate through the positions in the specified order for 6 minutes. Do this 3 times per day. You can start with as little as 1 per day, and increase frequency as needed.
And that's all there is to The 6-Minute Antidote to Stress.
Go ahead and try this Healing Code and FEEL what happens. Once you've demonstrated the power of The Healing Codes and proven to yourself that it works, you'll begin to realize the tremendous impact it will have on your health. You can then confidently download the entire Healing Codes package because you've had already experienced its power firsthand. You'll then be ready to start using The Healing Codes to melt away virtually any illness, pain or disease from your body -- or help your loved ones do the same.
There's a specific Healing Code for the underlying cause of every disease (including cancer) -- and it effectively clears the destructive cellular memories from your body. In doing so, you turn your immune system back on. Even if you're already sick, once you remove the internal stress caused by those destructive cellular memories, your immune system will begin to function the way it's supposed to -- and there's nothing the body is not capable of healing.
When you download the Healing Codes manual, which is a component of your Healing Codes package, you can turn to the Problem Reference Chart in the back of the manual which lists dozens of symptoms and problems – including diabetes, arthritis, asthma, cancer, AIDS, hypertension, Alzheimer's Disease, hepatitis and emphysema, to name a few. Right next to the symptom or problem is the page number where you can find the Healing Code that addresses the underlying cause of your particular condition.
Simply perform 6 minutes of that specific Healing Code in order to remove the destructive energy pattern caused by cellular memories. Once you remove that destructive energy pattern, the cause of any illness or disease melts away every single time.
By Dr. Alex Loyd / Source: The Healing Codes
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