International Commerce

World Bank’s Best for Business Rankings

News Analysis:  The countries which are the most “pro-Business” are those with: a low rate of taxation and few regulatory impediments. Additionally, they must maintain both a high electronic communications capability and progressive infrastructure. If so they will have the quickest return to economic normalcy from a ‘down market’. If a country has ample producible mineral resources, so much the sooner. Good governmental leadership [from “top to bottom”] assists in being the best.

Reference: http://tinyurl.com/kvfde52

Central Bank of Papua New Guinea Suffers Hacking

News Analysis:  The Internet allows Institutions even in more ‘remote’ areas, from large metropolises, to be victimized similar to transgressions against the same in major cities of the world. The best IT security systems can be enhanced by employee awareness but a panacea to stop hacking has yet to be invented. Vigilant forensic electronic examination of an event, with the intended apprehension of the miscreants [and their punishment] might dissuade some hackers.

Reference: http://www.postcourier.com.pg/20131029/news03.htm

$290,000,000.00 Wind Farm, Located In Ethiopia, Is Africa’s Largest

News Analysis:  This 84 Turbine facility will provide electricity while having the benefit of: lower cost of construction vis-à-vis a ‘dam’; the speed of implementation; and, the environmental impact to the region is lessened.

The French should be proud of their sizable contribution to this noble endeavor of helping the needy people of another country.

Reference: http://tinyurl.com/n324mug

Some Swiss Bankers are Not Leaving Switzerland

News Analysis:  The ancient adage: “As Ye Sow, So Ye Shall Reap” is especially applicable to those who, under the cover of ‘Bank Legitimacy’, engage in large scale tax evasion on behalf of their foreign customers. The electronic capacity of governments to watch the flow of funds from one country to another by scheming individuals, through their bankers, should have them re-think their actions. Can embarrassment, fines, and possible long-term  prison confinement, for conspiratorial bankers, ever be worth some financial gain?

Reference: http://tinyurl.com/m6pejwe

Brazilian 12,000,000,000+/- Barrel Atlantic Ocean Oil Field Auctioned

News Analysis:  A dichotomy may exist between “Rates of Return” vs. “Total Return” on invested capital. For example, a smaller field might give the producer a bigger share of the recurring cash flow, yet be of much shorter duration due to amount of petroleum recoverable.
A large field, like the aforementioned, would give a greater total dollar return due to its volume.  
Of course, in the equation for an oil production company’s prospective bid,  must be added: The on-going anticipated market price of the probable quality and quantity  of the crude over the duration of the contract; The cost of the off-shore drilling rig, labor, insurance, etc. are also important elements.

Reference: http://tinyurl.com/mjv7w2j

If Too Expensive, Build Them Yourselves

News Analysis: Once the ‘Non-Recurring Costs’ [NRC] of establishing a shipyard have been paid for, the ‘Recurring Costs’ [RC] of labor and material, energy, etc. on an individual build should be significantly less than merely purchasing a ‘New Build’ from another Shipyard. Amortized NRC and unit RC amounts should be less than the competition’s price. Since new vessels can be built for others, ‘Learning Curve” efficiencies and bulk material buying can further reduce ship construction costs even further over extended time. If financially able, this is a good methodology for a country.

Reference: http://tinyurl.com/krds4v9

 

Chinese Contracted to Build Norwegians’ Longest Bridge in Barents Sea Area

News Analysis: Good ‘State-of-the-Art’ technology with aggressive pricing benefits both parties to a transaction of this size and scope. The ‘Multiplier’ economic gain to people in the Barents area will surely be of assistance to both ‘upstream’ and ‘downstream’ suppliers, as well as the public, in the area.

Reference: http://tinyurl.com/l86lhgb