October 24th, 2009 at 01:02pm
Under Small Business
This report presents a comprehensive picture of the contribution of small enterprises in Ireland. The report contains data on the contribution of small businesses in industry, services and construction, as well as statistics on the labor, the knowledge-based economy and workforce. It also includes international comparisons. In the report, a small business is defined as an enterprise which employs fewer than 50 people. Statistics on medium (50-249 persons) and large enterprises (250 or more people) are included for comparison. Highlights of the report are: Industry: Production and employment dominated by medium and large enterprises * In 2005, four of the five industrial companies (81%) were small businesses with fewer than 50 employees. This company employs 50,000 people, slightly more than one fifth of total industrial employment. * The larger companies (50 or more persons) employed 181,100 people in 2005 and generated 93% of the total turnover in the industry. * The vast majority of small industrial firms were Irish owned (95%). Nearly 42% of larger companies are foreign-owned. Services: More than 380,000 employees of small businesses in the service sector * In the service sector, almost all companies (98%) were small. There were 82,100 small businesses, employing over 380,000 people in the service sector in 2005. That was more than half of total employment in this sector. * Small businesses account for nearly half (49%) of total turnover in the services sector, and generates a turnover of nearly ? 81.6bn in 2005. * Nearly half of small businesses in the service sector are the property of the family (47%). The vast majority of these family businesses employed fewer than 10 people. Construction: Small businesses occupied two thirds of all people who work in construction * According to the Quarterly National Household Survey, there were 253,200 employed in construction in the fourth quarter of 2005. Of these, 211,000 have indicated that they worked in small businesses (fewer than 50 employees), while 24,500 have indicated that they worked in large enterprises (50 or more employees). A further 17,600 not specify the number of employees to their jobs. * Among the 253,200 people employed in the construction industry, more than 65% worked for very small concerns employing less tha ten people. Salaries and wages: 54% of private sector employees in small firms earned between ? 10 – ? 20 per hour in 2006 * The average hourly wage in small businesses were ? 15.22 in 2006 compared to ? 19.38 in companies with 50 or more workers in 2006. * The average annual salary for employees in a small business amounted to ? 32,453 in 2006. The average wage in large enterprises was ? 44,794 per year. Knowledge-based economy: the larger companies have shown higher levels of e-government activities * Small businesses generally not more modern information and communication technology than larger companies. * Almost all companies with 10 or more employees were connected to the Internet that two-thirds of businesses with fewer than 10 employees to use the Internet. Size of work: almost 56% of employment in small workplaces * In all areas, 56% of jobs in workplaces where fewer than 50 persons were employed in the second quarter of 2007. A total of 1175800 people worked in small workplaces. Of these, 839,300 were employees, 216,600 are self-employed and 107,900 are self-employed with employees. These figures include agriculture and the public sector and the economy. * Among the 316,300 non-Irish nationals in employment in the second quarter of 2007, less than half (47%) worked in small workplaces. EU comparison, the value added in small construction firms in Ireland was three times the EU average in 2005 * Almost three-quarters of production in Ireland turnover was generated by large companies, while the EU average was 60%. * In 2005, Ireland is recorded but the gross value added per employee of ? 51,600 in the distribution of services. The EU average was ? 33,000 per employee. * The gross value added per employee in the construction industry in Ireland was significantly higher than the EU average for all types of employment dimension.
October 22nd, 2009 at 09:10pm
Under Economics
INTRODUCTION
I remember that it was the mid of September 2008 when the clamorous news regarding the economic turbulence, emerging from US and encompassing the European countries, were capturing big space in the international media. Indian economists, government, leaders and even media were silent on the issue of apprehending the turmoil’s transition to Indian economy. They seemed not worried about the predicament prevailing abroad beyond Indian boundaries despite their being well aware of the economic contagium and the economic contagiousness among world economies especially in this globalization era. They were perhaps over confident on account of the rising inflation rate and the achieved appreciably high growth rate.
ECONOMIC OUTLOOK 2008
As per the Economic Outlook issued in July 2008, the Economic Advisory Council (EAC) of the Indian Prime Minister was of the view that the Indian economy would be able to grow by 7.7 % in 2008 – 09. At that time, the Council had opined that while a large part of the sub-prime losses had been accounted for, further setbacks were possible in the months to come and conditions were unlikely to stabilize before early 2009. The outcome in the first half of 2008 – 09 was broadly along the lines expected by the Council in July. Not only this, but Finance Minister P. Chidambaram was so confident up to the last week of Oct. 2008 that he did not even slightly hesitate to declare at Sivaganga (Tamilnadu) on Oct. 25 that India would not be hit by recession and it would sustain an 08 % (more than 7.7 % as estimated by the above said EAC in its economic outlook submitted in the month of July) growth rate this year despite the global financial crisis.
CONTRADICTORY STATEMENTS
It took though no longer span of time than mere one month when Mr. Chidambaram accepted the emergence of a temporary slowdown in Indian economy. On 24 November 2008, while briefing the media after the meeting with CEO’s, he said that India must be prepared for a temporary slowdown in its economy because of the global financial meltdown. But, he again commented contrarily on Dec. 16 saying, “India is nowhere near recession”. However he added that Indian economy had been impacted by the global meltdown. Here in this comment Mr. Chidambaram accepted the global meltdown impacting the economy on one hand while, simultaneously, regarded the economy recession devoid on the other. It is worth noted here that Mr. Chdambaram made this statement while being in chair as Finance Minister and the statement came after a number of events like three block-closers observed by Tata Motors, three days week being observed by Ashok Leyland, rapidly falling inflation rate, falling banking rates, dismissal of 2.5 % workforce in Wipro, loss of 65000 jobs in 121 surveyed export oriented units etc. (making the slowdown amply clear) had already come about in Indian economy well before Dec. 16. Moreover, the effect of economic depression, starting from America, Europe and other countries of the world, had become clear in Indian economy, too, up to the month of October. Before the beginning of October a decreasing trend started in the export business, the industrial production index and the revenue of indirect taxes, especially the production tax (excise duty). The GDP also decreased during the second quarter as compared to that in the first quarter of the financial year 2008-09. The total export of the country, in the month of October 2008, remained 12.1 % less than that in October 2007. Industrial production index also observed a 0.4 % decrease in that month. The production tax (excise duty) revenue in October 2008 became 8.7 % less than that in October 2007 and the growth rate of FDP in the second quarter (July to September 2008) was 7.6 % as against 7.9 % in the first quarter. Having felt the incoming of depression, the Government and RBI started taking preventive measures. RBI took steps for bringing the interest rates down and the government provided relief to industries by lowering the rates of production tax. However, the industrial sector felt all the so far taken measures (including the last bailout of Rs 3000 billion on December 09, 2008, too) insufficient and therefore was demanding one more package.
On the other hand, Hindustan, Hindi Daily, Dec.15, 2008, states that contrary to the above Mr. P. Chidambaram, as the finance minister of India, in the meeting of World Economic Forum, refused to accept the presence of depression in Indian economy. I can’t understand why Mr. Chidambaram makes contradicting versions and accepts not the things ingenuously. All the same, I appreciate that by doing so he presents himself as a true Indian politician. Leaving aside the (whatever) disingenuous comments of Mr. Chidambaram, there are but enough grounds for us not only to believe but to prove that Indian economy stands now encompassed well by depression, though because of the global meltdown.
REVIEW OF THE ECONOMY 2008 – 09
Finally the Economic Advisory Council of the Prime Minister of India submitted the second report on the ‘Review of Indian Economy 2008 – 09 on Jan. 23. Executive Summery of the report accepts the impact of global economic and financial crisis in Indian economy when it reads as ‘the direct impact of funding constraints on the investment plans of Indian corporates and hence on growth and job creation, together with the second order effects of this development, coupled with the compression in export markets and the second order effects on this count, are the two principal channels through which the impact of the global financial and economic crisis are being felt in India’. The summery further reads as ‘India and perhaps China, would have a difficult time in the first part of the year, but should be able to show a pickup in growth in the last quarter of 2009, if not earlier’. The Council, vide its said report, expects that in the financial year 2009 – 10, the Indian economy is likely to remain relatively weak in the first quarter (April–June) and slowly pick up thereafter and the economy would show fairly strong recovery in growth in the second half of the fiscal year (Oct 2009 to Mar 2010) assuming some improvement in international economic and financial conditions. Overall, the Council assesses that growth in 2009 – 10 would be between 7.0 and 7.5 % or some what above that, with the first half of the year averaging growth close to 7.0 % and the second half an average growth of close to 7.5 % or higher. The summery reveals that it has been apprehended in the report that the merchandise trade deficit is likely to touch historic highs despite the decline in oil prices. But the Council expects that it is likely to be offset to a large extent by higher net invisible earnings.
As regards to the inflation rate, the report states that WPI inflation peaked at close to 13 per cent in August 2008. Consumer price inflation continued to rise to 11 per cent in October and November due to price increase in primary foodstuff. The Council expects that the WPI inflation rate for manufactured goods is likely to fall to 4 per cent in February and fall further by the end of March 2009 and this falling trend may continue for a few months into the next fiscal year due to the base effect, given that a large part of the price surge happened between March and June of 2008. However, inflation in primary foods is stated to likely remain elevated at near about 8 %. The report also expects that inflation in energy prices will be negative, as will be that in some non-food primary articles like iron ore. Overall the headline WPI inflation rate is likely to go down to near about 4 % by the end of February or the beginning of March, with a potential for more declines after that. CPI inflation will also fall, but the extent of the fall is unlikely to match that for WPI, considering the expected higher rate of food inflation and its larger weight in the consumer price indices.
All the same, the Council is of the view that the present crisis has come upon the Indian economy at a point of time where several of its components are in relatively strong shape. It opines that Indian enterprises have learnt the hard lessons of the importance of managing business and financial risks, and are thus to that extent in a better position to ride out the storm of this crisis. Indian banks have also gone through a transformational process. Whatever deterioration in asset quality the present crisis brings in its awake, Indian banks today are better prepared to deal with it than at any time in their history. On Jan. 23, 2009, in Singapore, Mr. Om Prakash Bhatt, Chairman, SBI, while speaking on ’60 years of Indian Republic and future challenges’, also presented the same opinion by saying that Indian banks are safe in the present time of world depression despite here the banks of the world’s big economies are collapsing. He further added that the Indian banks are in a strong position on account of their managerial skill of world level which they had well achieved when doors for foreign banks were opened in Indian economy.
Going through the executive summery of the report, one can conclude that the Council though accepts that the economic crisis (named as Depression 2008) has encompassed Indian economy but it believes the situation to be temporary. Therefore the Council confidently speaks of the Indian economy likely and rather believably to show fairly strong recovery in growth in the second half (Oct 2009 to Mar 2010) of the present fiscal year. The confidence of the Council is based on its belief regarding some improvement in international economic and financial conditions. I don’t agree with the optimistic stand of the Council. Nor I am aware of whether the reason of the Council’s being so optimistic is a political strategy or an economic analysis. Moreover, contrary to the conclusion and the opinion of the Council mentioned in the said summery, some big organizations like World Bank, IMF and National Association of Business Economists (of America), have revealed in their separately carried on surveys that the prices of necessary commodities would go down by up to 23 % in 2009. First time in the last two and a half decades the world may face a decrease in the world growth rate and the trade pool. On the basis of a survey of 185 countries, the World Bank has estimated, in its report titled as World Economic Situation and Prospects that in the first half of 2009 unemployment would be the biggest problem before the world. In addition to this, ILO report entitled The Global Wage Report 2008-09 holds that difficult times lie ahead for the world’s 1.5 billion wage earners. The report further states, “Slow or negative economic growth, combined with highly volatile food and energy prices, will erode the real wages of many workers, particularly the low-wage and poorer households. The middle classes will also be seriously affected”. The report warns that tensions are likely to intensify over wages. Based on the latest IMF growth figures, the ILO forecasts that the global growth in real wages will at best reach 1.1 per cent in 2009, compared to 1.7 per cent in 2008, but wages are expected to decline in a large number of countries, including major economies.
CONCLUSION
Indian economy can’t remain untouched by any economic turmoil in the rest of the world. The present economic slowdown in Indian economy also is an aftermath of the recession prevailing in almost all big economies of the world. Therefore, the conclusions made and inferences drawn by some big organizations like World Bank, IMF, National Association of Business Economists (of America) and ILO on the basis of extended survey and analysis of the world economies are not only applicable to Indian economy but they are believable, too, at least more than those drawn by national agencies like ‘Economic Advisory Council of the Prime Minister of India’ from their own national level surveys. The above said big organizations have not given any indication towards their being expectant regarding start of economic upswing from the third quarter (Sept. to Dec.) of 2009 and onward. Hence the world economic scenario may rather worsen throughout the present fiscal year.
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October 12th, 2009 at 04:23pm
Under Internet Marketing
Internet marketing, also referred to as online marketing, Internet advertising, e-Marketing is the marketing of products or services over the Internet. Online marketing ties together creative and technical aspects of the internet, including design, development, advertising and sales. Internet marketing as of 2008 is growing faster than other types of media.Internet marketing ties together creative and technical aspects of the internet, including design, development, advertising and sales for the help www.tube-traffic.com. It does not simply mean building or promoting a website nor does it mean simply putting a banner ad up on another website. There are a few important characteristics that differentiate Internet marketing from off-line marketing. One major difference is probably the amount of start up capital needed to start a business. On the internet, all you need is a domain name and a web hosting server for you to get started. This cost is minimal.Internet marketing is just something and everywhere. Online e-marketing is by far the fastest growing advertising method for all companies in this day and age. It is a specialized field and requires a unique combination of marketing expertise and technical resources that very few companies in the world can provide. Thus, you need to put in effort to make this work and I can tell you that the potential of income that you are looking at is an amount that you cannot believe. Super marketers are making millions of dollars on the Internet today and there seems to be no sign of slowing down for Internet Marketing.You Can Become An Internet Marketing Consultant By Share Interest
If you are not knowledgeable about e-business in general and the way the online market place works, don’t worry, you can still learn very quickly and begin a career as an internet marketing consultant.It doesn’t matter that you are total stranger to the online world, if you have just enough interest in internet marketing, you can actually still become an internet marketing consultant.All it requires is just some work, just as is true for any career. When you begin to practice Internet marketing consultancy, store up information to equip you with varied knowledge and become scholarly.It is your Internet marketing knowledge and skills that will ground you as marketable Internet marketing consultant. Find out where you power resides and specialize there as your niche while arming yourself with general Internet marketing information.Continuously learn and load your knowledge store with every conceivable Internet marketing knowledge, for those are the basis on which you can sell yourself as internet marketing consultant, as soon as your skills and knowledge bolster your confidence enough to help Internet marketers become successful with their Internet marketing business.Prepare fully, because as an internet marketing consultant it will be your duty to help different categories of Internet marketing clients. Some of your clients will be completely “green”, some others will be seasoned veterans of Internet marketing.There will also be newbies who know nothing about business or the internet and are looking to you for everything for the help www.website-conversion-mastery.com. You will have to take them by the hands, so to speak. As an internet marketing consultant, people will look up to you to help them succeed as Internet Marketers.If you have enough knowledge and pertinent Internet marketing information, becoming an internet marketing consultant can be rewarding work.. All you need to do is stock up on Internet marketing knowledge and skill, educate yourself, and be ready help all levels of clients.