Thought of the Day:
“Happiness is not something readymade. It comes from your own actions.”~ Dalai Lama
Did you know?
“Giving a "thumbs up" also represents the American Sign Language symbol for the number 10."
India:
- Bakshi Ain’t Lovin’ it, will Move Company Board : Vikram Bakshi, the estranged partner of McDonald’s, will soon move the Company Law Board seeking his reinstatement as the managing director of their equal joint venture, two persons aware of the development said. He is also likely to ask the Company Law Board (CLB) to stop the US company from hampering the operations of the JV, Connaught Plaza Restaurants Ltd, which runs 154 McDonald’s outlets in the northern and eastern parts of India. Bakshi is expected to allege that McDonald’s has treated him in an unfair and discriminatory way as compared with Hardcastle Restaurants Pvt Ltd, its other partner in India, that operates the burger and fries chain’s outlets in the western and southern parts of the country. Bakshi, who was the managing director of the JV for 17 years, declined comment on his future strategy. “The matter is now being addressed by my lawyers. It would be inappropriate for me to comment on any issue that is confidential and between my partner and myself at this stage,” he said.
- NSN may Bag $200-m Vodafone Deal : The Indian unit of UK’s Vodafone Group is likely to soon award a nearly $200-million (around . 1,340 crore) contract to Finland’s Nokia Solutions and Networks (NSN) for upgrading its 2G and 3G networks, two people with direct knowledge of the matter told ET. Vodafone India is likely to mandate NSN India to enhance capacities in 19 second-generation (2G) and six third-generation (3G) networks where the Finnish gearmaker is its mobile infrastructure and managed services delivery partner, the people said. The deal will involve supply of higher capacity base stations, switches and core network systems by NSN for both 2G and 3G platforms and ready the network to handle an expected surge in data traffic amid improved mobile broadband coverage and increasing smartphone penetration in India.
- Partner to make big difference-Go Air : Wadia Group-owned low-cost carrier (LCC) GoAir has said that strategic partnership with a foreign airline could help it consolidate its presence in the Indian market and develop its international presence. The airline’s Italy-born CEO, Giorgio De Roni, did not rule out the possibility of GoAir joining a global airline alliance. The Mumbai-based no-frills carrier is said to be in talks with Qatar Airways among others for an investment deal. “The (GoAir) management is working on an idea of a strategic partnership to strengthen the company and to help it in future growth. We have a significant number of aircraft to be delivered in the near future and a strategic partnership will consolidate our presence in the Indian market and also our development in international market,” Roni
- US to probe India trade policies : A US federal agency has launched a probe into Indian trade and industrial policies that allegedly discriminate against American companies. The US International Trade Commission, which describes itself as an independent, nonpartisan federal agency, said earlier this week that it “will enumerate restrictive trade and investment policies that India maintains or has recently adopted, determine which sectors of the US economy are most affected by these policies, and describe the competitiveness of Indian firms in these sectors”. The commission said it has launched the probe at the request of the senate committee on finance and the House committee on ways and means.
- Imported apples, ACs may cost more : The government is considering raising duties on non- essential items from apples to air- conditioners that have an annual import bill of $ 1 billion each. The non- essential items under the government’s scanner are airconditioners (window and wall), cameras ( television cameras, digital cameras and video camera recorders), unwrought gold and silver, cashew nuts and rough wooden items. Some items, such as fruits &nuts, engineering items and electronic goods, are included under broader categories of import. The commerce & industry ministry is undertaking an assessment of all such items cautiously to ensure it does not overshoot the level of bound duties India has committed itself to under the World Trade Organization ( WTO), a senior official has told. For instance, import duty on apples is already up to 50 per cent but it is 10- 12 per cent on air conditioners, 30 per cent on cashew nut and 7.5- 12 per cent on cameras. After completion of the internal assessment process, the government will decide on the items on which import duties could be slightly tweaked to rein in the soaring import bill, which has led to a ballooning trade deficit and current account deficit ( CAD). The government’s plan, however, does not impress industry much.
- Indian retail chiefs to go on a learning trip to UK : International retail chains are holding their horses before starting operations in India but Indian firms are taking no chance. Representatives of Indian chains such as Reliance Retail, Shoppers Stop, Trent, Mahindra Retail, Titan and Godrej Nature will travel to the UK in October to pick up tips on the best practices in modern retail operations. The Indian executives will visit general merchandise chain Tesco, luxury store Harrods, departmental outlets such as Marks & Spencer and John Lewis, Westfield Mall and electronics major Currys. Also on the itinerary are Ocado, a dedicated online supermarket selling groceries, household products, toys and books, and ASOS, an online fashion and beauty group likely to be in the list of interactions. Among these, Tesco wants to open stores in India; it is currently in a tie- up with Tata Group’s Trent for backend support. Marks & Spencer, in a venture with Reliance Retail, operates multiple stores in India. The trip will provide a unique opportunity for Indian execs to visit iconic retail stores and gain knowledge on their best practices, said the Confederation of Indian Industry ( CII), which is leading the delegation. The list of companies and their representatives are yet to be finalised for the trip, a CII official.
- In your mobile app store, the dollar is still just Rs 55 : The dollar is hovering around 67, but it still costs 55 in popular mobile application stores like Apples App Store and Google Play. Hence, despite a sharp drop in the rupee, which has scuttled the foreign education plans of many students, playing games on your fancy tablet or mobile continues to be cheap. The domestic currency has traded below 55 levels against the dollar since May 21 and last week touched an all- time low of ₹ 68.82. However, 70 million smartphone users in India continue to enjoy these apps 20 per cent cheaper, as Apple and Google haven’t re- adjusted the prices yet. Domestic app developers said the manually- adjusted conversion rate in app stores, which was fixed when the rupee traded at ₹ 50 against a dollar, hasnt been changed as the fall in the domestic currency had been quite rapid and was yet to stabilise. “Apple or Google might be observing the market to see where the currency settles before they revise the price of apps in their Indian stores,” said Alok Kejriwal, chief executive officer and co- founder of Games2win, one of Indias top game developers. An email query to Google and Apple remained unanswered.
- Retailers bet big on small products to beat slowdown : With a changing consumption pattern, retailers such as the Future Group are adding products that are smaller and cheaper into their catalogue. Kishore Biyani's Future Group has added smaller products like linen sheet and bed cover in its home furnishing products. This marks a shift from bulky furniture. “We are increasing the number of smaller items in our products as people are spending more on these products,” said CP Toshniwal, chief financial officer. “We have rebuilt our assortment strategy and that has seen a better traction from consumers. We are also increasing the share of fashion products at Big Bazaar to drive margins,” said Rakesh Biyani, joint managing director of Future Group. As stores become smaller, bulky items like a refrigerator that costs around R15,000 are unlikely to give higher margins, whereas a smartphone worth R25,000 has a higher margin, explained Toshniwal. Apart from HomeTown and Big Bazaar, the company is also increasing share of smaller items like mobile phones and tablets at its electronics chain of stores eZone.
International:
- Microsoft Signs Pact to Cooperate With Activist ValueAct : Microsoft Corp. (MSFT) signed a pact to cooperate with ValueAct Holdings LP, an agreement that could bring an activist shareholder onto the board of the world’s largest software maker as it undergoes a leadership change. Microsoft said yesterday that it will hold regular meetings with ValueAct Capital President Mason Morfit and “selected Microsoft directors and management to discuss a range of significant business issues.” The Redmond, Washington-based company said ValueAct has the option of having Morfit become a director beginning at the first quarterly board meeting of 2014. “Our board and management team are committed to enhancing growth and value for Microsoft shareholders, and we look forward to ValueAct Capital’s input,” Microsoft Chief Executive Officer Steve Ballmer said in a statement.
- Coca-cola FEMSA to buy Brazil's Spaipa : MEXICO'S Coca-Cola FEMSA says it has reached an agreement to acquire 100 per cent of Brazil's Spaipa in a deal worth $US1.85 billion ($A2.09 billion). The acquisition, which has been given the green light by the board of directors, is subject to regulatory approval in Brazil, Coca-Cola FEMSA, considered the world's largest independent bottler of Coca-Cola products in terms of sales volume, said on Sunday. "Coca-Cola FEMSA will also seek the approval of The Coca-Cola Company for this transaction," the Mexican company said in a statement. Spaipa, the second-largest privately held Coca-Cola system bottler in Brazil, sold 233.3 million cases of beverages, including beer, in the 12 months ended June 30. "Spaipa's territory creates a perfect geographic link between the operations of Coca-Cola FEMSA in Mato Grosso do Sul state and the state of Sao Paulo. This transaction will increase our volume in Brazil by about 40 per cent, allowing us to reach 39 per cent of the volume of the Coca-Cola system in that country," Coca-Cola FEMSA said.
- Retail Stocks Lose Ground in August : Wall Street closed out a bad month on a sour note. The S&P 500 Retailing Industry Group fell 0.7 percent, or 5.26 points, to 809.12 today, as the Dow Jones Industrial Average slipped 0.2 percent, or 30.64 points, to 14,810.31. Although most stocks are still up for the year, the retail index fell 3.2 percent for August, while the Dow slipped 4.5 percent. Investors have been gauging the impact of a possible military intervention in Syria and also watching economic indicators to see when the Federal Reserve might begin to let interest rates creep up. The day’s fashion decliners were led Pacific Sunwear of California Inc., which fell 16.8 percent to $3.26 after the company said its second-quarter losses widened to $19.2 million. Also losing ground were The Wet Seal Inc., down 4.2 percent to $3.65; Stein Mart Inc., 4 percent to $12.15; Hanesbrands Inc., 3 percent to $59.48, and Aéropostale Inc., 2.8 percent to $8.13. On the other side of the Atlantic, there was some good news: The European Commission in Brussels said economic confidence in the euro area rose to a two-year high in August. But that wasn’t enough to pull markets up.
- Carolina Herrera Takes to Social Media to Boost Bridal : Carolina Herrera on Sunday will launch her first social media contest to boost awareness of her bridal line. “It’s going to be like ‘Project Runway’ but in secret,” Herrera said of choosing a winner on Pinterest. The contest, which is in conjunction with Town & Country magazine, will ask brides-to-be to submit boards on Pinterest, including all wedding inspirations, from flowers to venues, table decor and invites, through Dec. 15. There’s one rule: Because the initiative looks to connect with fans of Carolina Herrera bridal globally, entrants must be wearing a gown from the house for their wedding. Contestants will also be encouraged to use the dedicated hashtag #carolinaherrerainspiredbride across social platforms including Facebook and Twitter.
- Barbour to Open Its First Motorcycle-Inspired Store in London : Barbour International has inked a deal to open a flagship store in the Crown Estate’s recently completed 100 million pound, or $151.3 million, St James’ Gateway redevelopment between Piccadilly and Jermyn Street. The 3,000-square-foot store will be under a 10-year lease and is expected to open in November. Crown Estates, which manages a number of retail and residential developments in London, declined to comment on the rent that Barbour will pay on the property. Tiger of Sweden is also confirmed as a new resident of St James’ Gateway, and industry sources expect Sunspel to agree on a deal soon. “The letting to Barbour International is a great example of how we are successfully refining St James’ eclectic retail offer,” said James Cooksey, head of The Crown Estate’s St James’ portfolio. “It has a deep sense of heritage and culture, and we’re pleased that they share our passion for the area and confidence in its future as a destination for quality retail.”
- Samsung diagnoses the need for speed in healthcare : Samsung, the South Korean giant, forayed into the healthcare equipment sector with an acquisition. The market leader in consumer electronic segments such as mobile handsets and television in India, it acquired NeuroLogica in January. By June, it had already launched digital radiology and in- vitro diagnostic equipment, five months after acquiring the CT ( or computedtomography) scanners- maker, branding all its equipment as GEO.
Currency:
· 1 USD = INR 65.8469
· 1 EUR = INR 86.9647
· 1 GBP = INR 102.450
· 1 AUD = INR 59.0514
Glitter Meter: India
Gold (INR/10g) | Silver (INR/kg) | |||
City | Current | Change | Current | Change |
Chennai | 30490.00 | 300 | 55630.00 | -975 |
Mumbai | 30190.00 | 290 | 55630.00 | -975 |
Delhi | 30520.00 | 300 | 55630.00 | -975 |
Kolkata | 30490.00 | 300 | 55630.00 | -975 |
World Indices:
Exchange | Last | Change |
DJIA | 14810.31 | -30.64 |
FTSE 100 | 6412.93 | -70.12 |
CAC 40 | 3933.78 | -52.57 |
DAX | 8103.15 | -91.40 |
Nikkei | 13567.64 | 178.78 |
Hang Seng | 22141.80 | 410.43 |
Sensex | 18802.73 | 183.01 |
NASDAQ | 3589.87 | -30.44 |