Which Banks will Remain Standing? Stocks Recovering

After the rejection of the proposed financial bailout by the House of Representatives in the U.S., the world now finds itself in shambles as investors and companies now have to assess their current financial standing. Hard hit here would be the banks, a route we all saw when companies like Merril Lynch, Morgan Stanley and Lehman Brothers were forced to look for potential buyers due to drowning debts.

But while Monday seemed to have brought the entire stock market down, it has shown some semblance of life earlier today. Recovering from the shocking decision that was passed, perhaps it could signal something positive for a change. It may be a glitch for now but at least you know that some life is being breathed into the business faults at the moment.

The future does look bleak at this point and unless a new brainstormed model to help economic and financial models are proposed, expect the next couple of months a bumpy road towards trying to recover from losses and economic turmoil.

Stocks rallied Tuesday as investors scooped up shares battered in the bloodletting that followed Congress’ failure to pass a $700 billion bank rescue plan.

Credit markets remained tight, with several closely-watched measures of bank lending hitting all-time highs, as banks hoarded funds.

Source

[tags]financial_bailout, economic_turmoil, lehman_brothers, financial_models, house_of_representatives, merril_lynch, morgan_stanley, credit_markets, bumpy_road, shambles, stock_market, debts, losses, banks, stocks[/tags]

Adjusting Business to the Wrath of Nature

It appears that the forces running the universe have an eternal sense of humour. That’s really the only conclusion I can reach after taking a look at what the hurricane season appears to have in store for the American energy sector.

If you’re in big business, home business or any other type of business, what you’ve discovered or possibly already knew over the course of the last year is that the entire business world is built on the back of cheap energy and that when that energy ceases to become cheap, the business world has the tendency to slow down. While this is something that is not that shocking to people that understand how their businesses work, it is something that the country as a whole found out about in a rude awakening when hurricanes pummelled the gulf energy sector, destroying many energy sources along the way.

Many of the businesses claimed to have learned from this lesson however and for that reason energy companies were awaiting the storm of Gustav with baited breath, hoping that the changes they made were enough to sustain them and the rest of the business world along with them. Gustav will have the final verdict on that matter however and it is something that we have to wait for in order to see.

[tags]hurricane_season, sense_of_humour, cheap_energy, final_verdict, energy_sector, rude_awakening, energy_companies, business_world, energy_sources, gustav, hurricanes, home_business, tendency, universe, conclusion[/tags]

Who Will be the Next Credit Crunch Victim?

There is no telling which company or business empire will follow the footsteps of Lehman Brothers and Merril Lynch. While the latter may have been saved by one last ditch effort buyer, there are a couple of names being wooed as the next one to fall. One notable name mentioned was Morgan Stanley, a known figure in the world and that is surely not the last one to be heard.

Rumor has it that Morgan Stanley is now in talks with Chinese businessmen regarding a potential sale of the company. Is the U.S. falling and the Chinamen rising? If any of you were reading the Bible, this may be a prophecy that is being fulfilled.

While the U.S. markets continue to falter, other nations are confident that they can weather this financial crisis storm. Why? It is one of two things:

1. They are trying to keep local investors calm. To get business you have to assure your potential investors that your economy is stable and that you have a contingency plan just in case the decline in the U.S. market falls. Common sense tells us, which person in his right mind would shell out investments in a faltering nation?
2. They have redirected their investments and ties with other tiger nation. Asia is a dark horse in the economic scene. While China has been hit for its unorthodox manner of living and eco-friendly ways, it is apparent that they are the nation in the spotlight. Mention one nation that has not talked to them about tie-ups and you may be surprised.

Europe is consistently quiet. They are not mentioned among the countries undergoing economic stress. The United States is in the limelight and for sure they will be until the year ends.

But the real guess today is who will follow the footsteps of the lending giants? Your guess is as good as mine.

Morgan Stanley, the securities firm forced into merger talks by a plunging stock price, is continuing negotiations after the government announced a bailout plan aimed at stabilizing financial companies, a person close to the bank said.

The firm, led by CEO John Mack, is still discussing a potential deal with Wachovia Corp. and weighing an investment from China Investment Corp., the state-controlled fund that already owns 9.9 percent of Morgan Stanley.

(Source) Houston Chronicle

[tags]chinese_businessmen, merril_lynch, contingency_plan, economic_stress, lehman_brothers, business_empire, chinamen, morgan_stanley, economic_scene, dark_horse, limelight, financial_crisis, prophecy, common_sense, giants[/tags]

AIG Needs to Rebuild Customer Trust and Loyalty after Debacle

It seems that AIG has gotten of the hook but as far as taking pride in commercials that they let out to support their business venture, they may want to redo them, especially when it comes to their tagline. For sure, they need to work doubly hard to try and get back the loyalty of their market (including their current clients) for them to recover the dent that this has done to their image.

The commercials are cute but as far as believing that they are still reliable and on whether people would still invest in insurance premiums or other related investments, a lot of questions remain in the air for AIG even if they were loaned $85 billion by the US Federal Reserve.

[tags]insurance_premiums, business_venture, aig, tagline, us_federal_reserve, loyalty, commercials, hook, investments, pride, insurance[/tags]

Fake Perfumes and Fake Advertising of Scents for Cents

In the Philippines, providing alternatives in any line of business is really something to behold. You can refill ink cartridges, bottled water and now perfumes. Now the initial two are something common we see in the world market today but the latter, refillable perfume is something that is bound to make you wonder, “What will they think of next?

Well, there is this small stall located at the 3rd level of Robinsons Galleria in Ortigas. I actually saw it last week when my wife was looking for Prescripto, a known local company that sells imitation perfume in fabricated simple bottles. While looking for it, we came across this stall called Scents for Cents which showcased a lot of original perfumes to which I saw my favorite, the Tommy Boy brand.

I know very well that there is no sense in considering it since knowing stuff that came from the Philippines, it is sure to be fake. These perfume concoctions are normally mixed with 90% water and 10% the actual scent. How do they maintain the scent? Well, we all know how strong and how easy it is to create aromas that can be easily added into the mixture.

Anyway, I decided to give it a try. Take note of this advertising placard they had which you cannot miss!

WE REFILL ORIGINAL PERFUMES

So upon seeing that, I had an old original bottle that I got from the United States and brought it there. I just wanted to see if they really can refill the bottle.

To my surprise when I got there, the sales attendant told us that they cannot refill original bottles because they are sealed. In dismay, I pointed to the placard and said “If that is the case, why do you place that ad card. You are fooling people!”

She replied, “We only refill perfumes that make use of our bottles, sir

So in a matter of speaking it was supposed to say:

WE REFILL ORIGINAL PERFUMES THAT MAKE USE OF OUR BOTTLES

Talk about advertising, that was a cheap shot. But nevertheless, I had no intention of buying anyway so I let it go.

Then I wanted to ask how much the bottle of Tommy Boy perfume was using their bottle even if my wife was telling me that it was not worth it. The answer?

Sorry sir we only have the original Tommy Boy with us. We don’t have the one that your type of bottle has”.

I shook my head in disbelief. She was basing perfumes on bottles? I just left and said you are fooling people but it will all come back to you and went away to avoid making a scene.

Oh and by the way, the perfume bottle that I did have really was the original Tommy Boy perfume straight from the United States. So I guess you know now why I was really pissed.

So when you happen to pass by Robinsons Galleria and see this stall on the 3rd level check out the sign. But avoid buying anything there. They are marketing something just for attention and if you do buy, it is just a waste of time.

[tags]imitation_perfume, concoctions, tommy_boy, local_company, line_of_business, aromas, perfumes, bottled_water, dismay, scents, ink_cartridges, mixture, philippines, surprise, united_states[/tags]

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