To investors in the stock market, earnings are the primary indicators of a firmÃ¢â‚¬â„¢s financial wellbeing. The focus is on the banks because their earnings (losses) had fallen so dramatically that many believed they would not be able to recover and continue their business activities once the current recession ended. What other industry-wide reports of earnings would suggest improved economic and therefore, improving stock market activity? Explain.
YouTube has partnered with Universal Music Group (UMG) to launch a new music video service called Vevo. Under their agreement, YouTube will provide the infrastructure for a new site at Vevo.com, to be populated with video from artists on UMG-owned labels such as Decca, Def Jam, Mercury Records, and Verve. YouTube will also host those videos on its own site, where they’ll be housed in a Vevo channel via an embedded player. The companies will share revenue for ads served on both Vevo and YouTube.
Keys: Marketing, distribution channels, strategic alliances, technology
Although the industry leader in the corporate market, RIM faces stiff competition from competitors such as AppleÃ¢â‚¬â„¢s iPhone as it fights for consumer market share. Why do you think BlackberryÃ¢â‚¬â„¢s have sold so well to consumers?
What do you think distinguishes one brand from another in the consumerÃ¢â‚¬â„¢s mind?
Markets around the globe — in London, Paris, Frankfurt and New York — all staged powerful rallies Thursday on hopeful signs that the world’s biggest economies are committed to working together to end the global recession. At the G-20 summit in London Thursday, world leaders agreed to infuse $1.1 trillion in loans and guarantees to help developing countries, as well as to enforce regulations on financial institutions — all in the name of global economic recovery.
Since stock markets are considered a leading indicator or predictor of future economic activity, why do you think that stock market investors are now more optimistic about an improving global business environment?
Which businesses do you think will show the greatest improvement as the global economy begins to recover?
Facebook is gearing up to befriend investors. That, at least, is the chatter around Silicon Valley after the social networking darling booted its chief financial officer. But an IPO would be risky given Facebook’s business model is still unproven – unless it has a gun to its head.
I.B.M.Ã¢â‚¬â„¢s interest in acquiring the server computer maker Sun Microsystems for nearly $7 billion may seem at first to be a reversal of its recent efforts to move away from the hardware business. But analysts say there is more to Sun than servers, which are used in corporate data centers. They say its strengths in software, systems design and research make it an attractive target.
Keys: mergers and acquisitions, marketing, finance
The food industry’s self-policing system failed to catch poor conditions at a peanut processing plant blamed for a nationwide salmonella outbreak, lawmakers said Thursday. The House Energy and Commerce investigations subcommittee released new documents and pictures Thursday that attested to long-standing sanitary problems at facilities owned by Lynchburg, Va.-based Peanut Corp. of America. The company is at the center of a nationwide outbreak that has sickened nearly 700 people and is being blamed for at least nine deaths.
Keys: operations management, ethical and legal issues, government