28 May, 2009 | by Sanjeev Kumar
Some of my friends and colleagues are busy trying to figure out what could be the shape of the most eagerly awaited recovery. The debate is whether we are going to see a V, W, and U or prolonged I__I shaped recovery.
There are some who are suggesting we are probably going to see a V shaped recovery then there are those who are predicting a U or prolonged U shaped recovery and yes there others who believe we might see a W shaped recovery. Boy! Go Figure. Someone has to be right but then I wonder isn’t this all a bit premature? Aren’t we getting ahead of ourselves on making such prognoses or am I simply being Silly?
Let’s find out, shall we?
The shape of the current economy could probably give us some clues as to what the shape of the recovery might be or at the least we could rule out some. To get a good estimate of the health of the economy let us look at some of headline news during the week ending Friday, the 15th May 09.
We will start with the numbers out from the European Union.
According to European Union’s statistic office the GDP in the 16 member Europe region fell by over 2.5% from the fourth quarter, the steepest decline in over 12 years. This was above the market expectation of continue reading »
4 Aug, 2006 | by Richard Vinhais
It’s been a while since I spoke to the GM saga, so I figured I’d chime with some interesting new developments. I recently read a great Fortune article about Carlos Ghosn, the CEO of both Nissan and Renault. It seems the prospect of fixing GM has struck Ghosn’s fancy. This new found interest could most succinctly be attributed to an invitation to assist by GM’s largest shareholder, Kirk Kerkorian. Kerkorian, who owns roughly 10% of GM, has made his presence felt by publicizing his dissatisfaction in the speed and steps being taken in the turnaround effort.
Enter Carlos Ghosn: Ghosn has been dubbed a turnaround specialist, by financial analysts and industry experts, for his past successes with reviving both Nissan and Renault. It seems Ghosn has proposed an alliance between his two organizations and GM. You heard me right. And here you thought he already had too much on his plate! continue reading »
12 Apr, 2006 | by Richard Vinhais
I’ve been watching the GM saga unfold before the public eye for some time now. My interest was especially peaked after reading a Fortune Magazine article dubbed “The tragedy of General Motors”, February 20, 2006 issue. It’s scary to think an American company of that size with its rich history is on the brink of bankruptcy. Lagging sales, struggling subsidiaries, rising health care costs and a unionized workforce on the verge of going on strike are just a few of the challenges GM is facing.
The implications of such a catastrophic event are mind boggling. Think about it… continue reading »