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August 2013

Latest In Business NSA may not be watching you

Leader Talk

Shapes and Colors of Success

Mergers & More Making of the worldâ€™s largest Media Co.

Larger Than Life Billionaires owning trophy Newspapers

HIT OR MISS 1 0 W orst P ro d u ct Fail u res

August 2013

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Editor’s Blog

by Anna Domanska

What makes a product a hit or a miss? The unique nature of the concept perhaps, or that the product is better than all of its competitors. Or maybe it’s an ingenious marketing campaign that resonates with the general public, and most often the company behind it the will help to predetermine the success of the product. However, in these cases, the grand success of the parent companies wasn’t enough to save the products. Even the biggest and brightest come up short sometimes. Just because you have a great idea doesn’t mean it will play out well on the consumer circuit. Our Cover story talks about a few products which turned out to be a heartbreak for the companies launching them. Better business destination has an interesting account of Seattle which is a home to those huge multinational giants like microsoft and Amazon now happens to be the most welcoming city for small businesses. All this and more...

Anna Domanska Editor-in-Chief, Industry Leaders Magazine August 2013

Industry Leaders Magazine

THE TEAM Editorial

Anna Domanska, Editor-in-Chief

Christy Gren, Sub-Editor

Richard Meryn, Associate Editor

Aubrey Change, Associate Editor

Design

Nisha Dhamecha, Kevin Paul Sr. Grahpic Designer Graphic Designer

Project Management

Marketing

Tony Raval Project Director

Jason Miller Sr. Project Direc-

Jay Raol Project Director

FinanceControl

Technology

John Hancock Head - Web Department

Le Manh Coung, Sr Sofrware Coordinator

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Julia Hunt, Magazine Produc-

August 2013

R R Baratiya

Contents

Latest In Business Yahoo Inc.’s CEO Marissa Mayer manages to stay in news again for the once-largest search engine and email services giant was again highlighted with news of the company announcing probable deletion of inactive user accounts. This policy was influenced by the need to give ‘loyal’ Yahoo email.

one of the greatest business leaders who created the global Disney empire of film studios, theme parks and consumer products didn’t start off successful. Before the great success came a number of failures. Believe it or not, Walt was fired from an early job at the Kansas City Star Newspaper because he was not creative enough!

FEATURES

Leader Talk

Cover Story

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Ford launched Edsel in 1957 with much hype as the car of the future. Unfortunately the car did not live up to the high expectations of the consumers. Critics slammed their design; it was just another ford with a different body. Their mid-range pricing strategy didn’t appeal to either the budget or luxury consumer.

August 2013

FEATURES

Mergers & More

Rupert Murdoch announced that The Times was to reduce its cover price. A new sort of war had begun. Circulation revenues fell sharply. Losses mounted. Independent Newspapers, publishers of The Irish Independent and The Sunday Independent, and Mirror Group, bought out the original shareholders and injected fresh capital. Once again losses were hauled back.

The WOW Quotient

Larger Than Life

These desert reptiles are able to survive a year or more without water and live for as long as 80 years, burrowing underneath the ground to keep cool and feeding on wildflowers in the spring. Initial surveys showed fewer than 20 desert tortoises occupying the Ivanpah project area, but more than 150 tortoises ended up being found onsite, many more than expected.

August 2013

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Contents

Better Business Destination

One of Seattleâ€™s exceptional feature is that networking can actually be intimate. Frequently in larger cities, there can be an overbearing number of entrepreneurs trying to meet each other and make connections, and a small business can often get lost in that meander.â€œOne of the great things about Seattle as a city.

FEATURES

Event & Tradeshows

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August 2013

Better Business Destination

The Latest IN BUSINESS

NSA may not be watching you, but Retail stores definitely are… American upscale fashion retailer Nordstrom recently admitted that they are experimenting with Wi-Fi and advanced video surveillance to track customers as they shop. This Seattle-based retailer had recently hired a company to track and record a unique number emitted by shoppers’ smart phones, which gets automatically connected to Wi-Fi systems as they moved through the stores. A day after a Dallas TV station broke the story in May, Nordstrom announced it was discontinuing the program. The Palo Alto, Calif., company that sold the tracking service, Euclid Analytics, has tracked 50 million devices in 4,000

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locations for 100 corporate and other customers, its founder has said. Shoppers are free to opt out, but the process is complex. They must enter their phone’s media access control address, known as a MAC address, on Euclid’s website. Nordstrom’s experiment is part of a movement by retailers to gather data about in-store shoppers’ behavior and moods, using video surveillance and signals from their cellphones and apps to learn information as varied as their sex, how many minutes they spend in the candy aisle and how long they look at merchandise before buying it.

August 2013

GOOGle

Glass Plans a TeCH BOOST FOr WOrKinG

DOGs

While humans are making more and more exciting progression in tech, it seems that we’re not likely to leave our much loved furry friends behind just yet. Tech giant Google is reportedly planning to develop its wearable computing device Google Glass for our working dogs.

According to New York Post, Google is said to be working alongside the Georgia Institute of Technology in order to develop a pair of Google Glass hardware for our four legged friends. These dogs would be working dogs, such as those who are guarding our borders, sniff out bombs beforehand, and even try to locate dead bodies, and a pair of Google Glass would be able to facilitate a way to correspond with their handlers remotely, or even let man see the world through a dog’s eyes. The project is called FIDO, which stands for “facilitating interactions for dogs with occupations.” It’s being developed by associate professor Melody Jackson, Thad Starner, who is a technical lead/manager on Google Glass, and research scientist Clint Zeagler. August 2013

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The Latest IN BUSINESS

Yahoo Inc. to delete and recycle inactive accounts, says Marissa Mayer Yahoo Inc.’s CEO Marissa Mayer manages to stay in news again for the once-largest search engine and email services giant was again highlighted with news of the company announcing probable deletion of inactive user accounts. This policy was influenced by the need to give ‘loyal’ Yahoo email service users the opportunity to have names that they desire and not fall-back on using digits. Most times users will need to use digits from either their birth year or birth-date or auto-generated names as the ones they desired might already have been signed-up. But the sad part in Yahoo Inc.’s case is that there is ‘unaccountable’ number of inactive accounts. Being one of the first email service providers, Yahoo Inc. had several first-generation users who signed-up for Yahoo user accounts. However, as other more sophisticated and intuitive services began to appear on the scene with Gmail, there was a tremendous fall in the number of active Yahoo users. Over time the accounts have remained unused, whereas new members desiring to use the same name had to be satisfied with adding random digits to set up an account.

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August 2013

Environmental Group finds Carcinogen in Pepsi products The Centre for Environmental Health tested samples of Pepsi purchased from California and 10 other states and found a cancer causing chemical called 4- methylimidazole, or 4-Mel which forms during the caramel colouring process. In their report the CEH wrote: â€œCoke has changed its caramel colouring nationwide but outside California

Pepsi is using colouring with high levels of cancer-causing chemical.â€? In March 2012 PepsiCo Inc and Coca-Cola Co announced that they would enact a nationwide reformulation in their caramel colouring because California passed a law mandating that drinks containing a certain level of carcinogens come with a cancer warning label.

August 2013

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The Latest IN BUSINESS

US Lawyer Sues Apple for Porn Exposure Chris Sevier, an attorney from Nashville, has filed a bizarre complaint against Apple in federal court for making devices that are able to display pornographic images. The complaint was filed in June 19, 2013. He further alleges that this initial exposure led to a crippling porn addiction and ended his marriage. On his 50-page complaint, he admitted

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that he was supposed to go to a social networking site Facebook.com but accidentally typed ‘fuckbook.com’ and a host of web sites that caused him to see pornographic images that appealed to his biological sensibilities as a male and lead to an unwanted addiction with adverse consequences.”

August 2013

Climate CHanGe CausinG DisruptiOns

in T H e U . S . EnerGy Supply According to a report released on Thursday by the US Department of Energy, rising temperatures can reduce production at power plants. Power plants may reduce their power generation or shut-down temporarily. Higher air and water temperatures, up 1.5 degrees Fahrenheit in the last century, scarcer water resources, rise in the sea level, which are accompanied by drought, heat waves, storms and wildfires routinely disrupt modern energy infrastructure. The report says it is likely to worsen in the coming years. A range of energy sources are at risk, from coal-fired power plants to oil wells, hydroelectric dams and nuclear power plants. August 2013

Industry Leaders Magazine

Shapes and Colors of

S u c c e ss

Success comes in all shapes and colours. You can be successful in your job and career but you can equally be successful in your marriage, at sports or a hobby. Whatever success you are after there is one thing all radically successful people have in common: Their ferocious drive and hunger for success makes them never give up.

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August 2013

Leader Talk

August 2013

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Successful people (or the people talking or writing about them) often paint a picture of the perfect ascent to success. In fact, some of the most successful people in business, entertainment and sport have failed. Many have failed numerous times but they have never given up. Successful people are able to pick themselves up, dust themselves off and carry on trying. I have collected some examples that should

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be an inspiration to anyone who aspires to be successful. They show that if you want to succeed you should expect failure along the way. I actually believe that failure can spur you on and make you try even harder. You could argue that every experience of failure increases the hunger for success. The truly successful wonâ€™t be beaten, they take responsibility for failure, learn from it and start all over from a stronger position.

August 2013

Leader Talk Letâ€™s look at some examples, including some of my fellow LinkedIn influencers:

Henry Ford

Walt Disney

the pioneer of modern business entrepreneurs and the founder of the Ford Motor Company failed a number of times on his route to success. His first venture to build a motor car got dissolved a year and a half after it was started because the stockholders lost confidence in Henry Ford. Ford was able to gather enough capital to start again but a year later pressure from the financiers forced him out of the company again. Despite the fact that the entire motor industry had lost faith in him he managed to find another investor to start the Ford Motor Company - and the rest is history.

one of the greatest business leaders who created the global Disney empire of film studios, theme parks and consumer products didnâ€™t start off successful. Before the great success came a number of failures. Believe it or not, Walt was fired from an early job at the Kansas City Star Newspaper because he was not creative enough! In 1922 he started his first company called Laugh-O-Gram. The Kansas based business would produce cartoons and short advertising films. In 1923, the business went bankrupt. Walt didnâ€™t give up, he packed up, went to Hollywood and started The Walt Disney Company.

August 2013

Industry Leaders Magazine

Richard Branson

Oprah Winfrey

He is undoubtedly a successful entrepreneur with many successful ventures to his name including Virgin Atlantic, Virgin Music and Virgin Active. However, when he was 16 he dropped out of school to start a student magazine that didn’t do as well as he hoped. He then set up a mail-order record business which did so well that he opened his own record shop called Virgin. Along the way to success came many other failed ventures including Virgin Cola, Virgin Vodka, Virgin Clothes, Virgin Vie, Virgin cards, etc.

Who ranks No 1 in the Forbes celebrity list and is recognised as the queen of entertainment based on an amazing career as iconic talk show host, media proprietor, actress and producer. In her earlier career she had numerous set-backs, which included getting fired from her job as a reporter because she was ‘unfit for television’, getting fired as co-anchor for the 6 O’clock weekday news on WJZ-TV and being demoted to morning TV.

Industry Leaders Magazine

August 2013

Leader Talk

J.K. Rowling

Bill Gates

Who wrote the Harry Potter books selling over 400 million copies and making it one of the most successful and lucrative book and film series ever. However, like so many writers she received endless rejections from publishers. Many rejected her manuscript outright for reasons like ‘it was far too long for a children’s book’ or because ‘children books never make any money’. J.K. Rowling’s story is even more inspiring because when she started she was a divorced single mum on welfare.

Co-founder and chairman of Microsoft set up a business called Traf-O-Data. The partnership between him, Paul Allen and Paul Gilbert was based on a good idea (to read data from roadway traffic counters and create automated reports on traffic flows) but a flawed business model that left the company with few customers. The company ran up losses between 1974 and 1980 before it was closed. However, Bill Gates and Paul Allen took what they learned and avoided those mistakes when they created the Microsoft empire.

August 2013

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Success Comes In All Shapes And Colours History is littered with many more similar examples: Milton Hershey failed in his first two attempts to set up a confectionary business, H.J. Heinz set up a company that produced horseradish, which went bankrupt shortly after, Steve Jobs got fired from Apple, the company he founded. Only to return a few years later to turn it into one of the most successful companies ever. So, the one thing successful people never do is: Give up! I hope that this is inspiration and motivation for everyone who aspires to be successful in whatever way they chose.

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Todayâ€™s most successful companies are Intelligent Companies that use the best available data to inform their decision making. This is called Evidenceâ€“Based Management and is one of the fastest growing business trends of our times. Intelligent Companies bring together tools such as Business Intelligence, Analytics, Key Performance Indicators, Balanced Scorecards, Management Reporting and Strategic Decision Making to generate real competitive advantages.

August 2013

cover story

Industry Leaders Magazine

August 2013

10 Worst Product Failures

These ideas looked great on paper but didnâ€™t quite make it on the consumer circuit. Products come and go all the time, but sometimes thereâ€™s no accounting for the failure of the product. Here is a list of 10 worst product failures according to a consumer survey. August 2013

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cover story Ford - Edsel 1 Ford launched Edsel in 1957 with much hype as the car of the future. Unfortunately the car did not live up to the high expectations of the consumers. Critics slammed their design; it was just another ford with a different body. Their mid-range pricing strategy didnâ€™t appeal to either the budget or luxury consumer. Typically like other failed products, it also suffered from the larger economic forces. A recession hit consumer wanted smaller, less expensive and more efficient car.

Coca-Cola New Coke 2 In April 1985, a new version of Coca-Cola was launched. Its taste was said to be â€œsmoother, rounder and yet bolderâ€? than the regular drink. And with the New Coke hitting the shelves, the company decided to cease production on the classic cola. People were outraged and protest groups popped up boycotting the new product. Coca-Cola was forced to re-launch its original formula almost immediately after listing itself into the worst product failures.

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August 2013

Sony - Betamax 3 Betamax, the first home video recording tape hit stores in 1975. In 1976, JVC rolled out VHS format. Betamax was defeated by VHS. Sony chose not to license Betamax technology. VHS could hold four hours of video compared to Betamaxâ€™s one. Sony accepted defeat and began producing its own VHS VCRs. Who couldâ€™ve imagined Sony to have launched a product to be placed in the worst product failures!

RJ Reynolds - Smokeless Cigarettes 4 Tobacco gaint RJ Reynolds spent around $325 million developing a smokeless cigarette called the Premier. These cigarettes just heated the tobacco rather than burn, so no smoke or ashes were produced. It also produced 70% less carbon monoxide than traditional cigarettes. Smokers didnâ€™t enjoy them. Anti-smoking groups wanted the cigarette pulled and there was no guarantee that they were healthier than the original cigarettes. There were rumors that these cigarettes could be used as delivery device for crack cocaine which pretty much made sure the product failed. The huge spending behind the research, development and launch of this product qualified it to be one of the worst product failures. August 2013

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cover story Mc Donald’s Arch Deluxe 5 In 1996 Mc Donald’s created Arch Deluxe, a product marketed for the adult demographic. Unfortunately Arch Deluxe fared very badly. People disliked the taste. Consumer groups complained that at 610 calories the Arch Deluxe with bacon was too unhealthy, and at $2 a burger, it was way too pricey. It’s not surprising for a Mc Donald’s product to be a failure in this age where people have gone health conscious.

Pepsi - Crystal Pepsi 6 In the early nineties health and wellness took centre stage and purity was in vogue. In an attempt to cater to the health conscious Pepsi launched Crystal. Its new cola was clear and caffeine free. Apparently when it comes to cola it was hard for consumers to think of cola as a clear liquid. Needless to say, Crystal didn’t taste like cola at all. Two years later the product was taken off the shelves. It is interesting to see how looks weigh more than anything else resulting into a failed product.

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August 2013

Apple - Newton 7 Apple launched this PDA device in 1993. It was officially called the Message Pad. Computer world says it failed partly because of its high cost ($700 to 1000), cumbersome and its inaccurate handwriting recognition software. Though it faded away in 1998, Newton was not a complete debacle. It paved way for the development of Appleâ€™s successful IOS platform, on which the iPad and iPhone are based. We can say that though primary version of a Notebook - Newton failed to make it, ipad made up for the losses and probably embarrassed the critics who initially bad-mouthed a notebook computer after its launch.

Colgate - Kitchen Entrees 8

In what is called brand extension Colgate decided to launch a line of frozen dinners called Colgateâ€™s kitchen Entrees. The logic must have been that consumers would eat their Colgate meal, then brush their teeth with Colgate toothpaste. Unfortunately for them, the thought of toothpaste did not actually get the consumers taste buds tingling. Colgate happens to be a great example of a brand impression which overshot. August 2013

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cover story Redux Beverages - Cocaine 9 Redux Beverages decided to name their drink after the illegal stimulant. Cocaine is a high energy drink, comprising three times caffeine as Red Bull. It was pulled out in 2007, after the FDA declared that the company was illegally marketing their drink as an alternative to street drugs. However the drink is still sold online in Europe and even in select stores in the U.S.

Microsoft - Windows Vista 10 Vista was released in 2007 after Windows XP had been in the market for five years. It was designed to fix many of the security loopholes in the former Windows operating systems. But it was too slow and required coarse hardware to run on. Microsoft admitted failure and allowed Dell to offer XP on new computers again. It also expedited development of its OS and Windows 7. Though a lot of PC users hardly know of Windows Vista being a product failure.

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August 2013

Marketing Perspective Product and brand failures keep occurring on a regular basis to varying degrees within most of the product-based organizations. This is the most negative aspect of the entire development and marketing process. In most cases, this â€œfailure rateâ€? syndrome is just a number game. There must be some ratio of successful products to each one that ends up being a failure. When this does not happen, the organization is likely to fail, or at least experience financial difficulties that prohibit it from meeting profitability objectives. The primary goal is to learn from product and brand failures so that future product development, design, strategy and implementation will be more successful.

August 2013

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MERGERS

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August 2013

Making of the world’s largest Media Company Facts about the Publicis – Omnicom merger

In a surprise move Publicis Groupe SA (PUB) and Omnicom Group Inc. (OMC) agreed to merge to create the world’s largest advertising company, in the biggest deal ever in the industry. August 2013

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MERGERS

Omnicom CEO John Wren and Publicis Groupe Chairman and CEO Maurice Lévy, will be co-CEOs as they unveiled the agreement at a press conference in Paris yesterday. They announced the “merger of equals,” to be called Publicis Omnicom Group . The holding companies had combined revenue of roughly $23 billion in 2012. By the first quarter of 2014, it will have a $35 billion market cap combined. The combined entity will trade on NYSE and Euronext Paris under symbol OMC. The holding company will be based in the Netherlands and will maintain headquarters in New York and Paris. Stockholders of Paris-based Publicis and New York-based Omnicom will each hold about 50 percent of the new entity. The merged group will have more than 130,000 employees globally and will be larger than WPP.

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They announced the “merger of equals,” to be called Publicis Omnicom Group.

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August 2013

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The coalition will bring under one roof agencies including Omnicom’s BBDO Worldwide and Publicis’s Leo Burnett and Saatchi & Saatchi, widening their presence in every major market. As the global advertising industry has started to show signs of a recovery, the alliance will also give the owners more authority to negotiate for their clients better ad rates for media placements on television, the Internet and in print. After the deal’s completed, Omnicom Chairman Bruce Crawford will be chairman of Publicis Omnicom for the first year. He will be succeeded by Publicis’s Elisabeth Badinter in the second year. After an integration and development period of 30 months, Levy will become non-executive chairman and Wren will become CEO.

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As the global advertising industry has started to show signs of a recovery. August 2013

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MERGERS

“We’ll be able to do things better, faster, get closer to things that are relevant in a very changing environment and we won’t be as challenged as we would have been in a traditional sense,” Wren said.“Changing consumer behavior, new talent to emerge, big data explosion, access to new tools—this leads to a powerful new solution for our clients,” Levy said. “Our mission together is to create that new center.” The merger has drawn intense scrutiny by antitrust experts and may even be blocked by U.S. regulators. The transaction, the culmination of years of consolidation in the global advertising market, will probably spark opposition from corporate customers concerned with the power the merged firm may wield in the advertising market, said Bert Foer, president of the American Antitrust Institute, which advocates strong enforcement of antitrust laws.

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Levy said. “Our mission together is to create that new center.”

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August 2013

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The merged firm is going to be able to influence strategy for an entire industry,” Foer said in a telephone interview. “They will have a unique ability to tell clients, ‘Here’s what you need to do,’ and an enhanced ability to coordinate strategies such as when to introduce new products, how to price them and how to market them.” The chief executives of Publicis and Omnicom said they had spoken to major clients about their planned merger and did not anticipate major problems with big advertisers defecting to rivals in the transition period. Publicis CEO Maurice Levy said the reaction to the merger from all the company’s major clients had been “extremely positive”.

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The merged firm is going to be able to influence strategy for an entire industry. August 2013

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MERGERS

Analysts and Competing sector executives expect that the Publicis Omnicom coalition could incite some of their big customers to switch agencies in order to avoid conflicts. Omnicom and Publicis own networks of agencies and PR firms within the larger group. Theyâ€™re designed to work independently so that competing clients are placed in separate networks to avoid conflict. According to data compiled by Advertising Age, if the Publicis-Omnicom union proceeds as planned, the new group will overtake market leader WPP ,and also have a combined market capitalization of $35.1 billion, market value and about 41 percent of total spending by the top 10 media agencies in the world. So far, stock investors have in general reacted positively to the deal. Publicis jumped as much as 6.6 percent and traded 6.2 percent higher at 63.05 euros in Paris, valuing the company at 13.3 billion euros ($17.6 billion). Omnicom added 7.3 percent to $69.84 in New York for a market value of $18 billion. Before today, the stocks have each gained about 30 percent this year.

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So far, stock investors have in general reacted positively to the deal.

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August 2013

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Good Times? The advertising business has always been about creativity and return on investment for clients. But holding companies have added a new pressure: share price. Not that the bottom line wasn’t important before with the individual agencies, it was. But the founders of an agency, when working with their own agency’s money, are far more likely to invest in experimental research or investment hires, they will take the chance on a small account for the creative opportunity, and more likely to share the year-end spoils with the employees of the company, and in the process motivate them all. But under a holding company a good year is not the agency’s good year anymore, it’s the shareholders’ good year. How motivating is that?

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The merged firm is going to be able to influence strategy for an entire industry. August 2013

Industry Leaders Magazine

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MERGERS

Focus on the work That’s true as a long-term strategy. I’ve seen it practiced and preached by Dan Wieden at Wieden & Kennedy and other great agency leaders. But holding companies don’t care about the work, other than the work’s effect on keeping clients and winning new ones. To truly focus on doing great work means behaving in ways that are, at times, at odds with making money in the short term. It means saying “No” to a client sometimes, it means resigning bad clients who won’t do the kind of work that your agency wants to do, it means investing serious energy (and money) into the culture of the agency so that everyone is purely aligned towards that singular goal. Dan Wieden understands this principle. He taught it to me through his actions. And it’s why, I suspect, that Wieden & Kennedy is still privately held and thriving after so many years.

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So far, stock investors have in general reacted positively to the deal.

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August 2013

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Privately held agencies I’m not saying that all agencies owned by holding companies are bad. They most certainly are not. But I am asking the question, how much better would they be if they remained independent? And, in turn, how much better would the work of our industry be if each “held” agency could make decisions based on its own identity and vision, and not based on the fear of what the decision might do to the holding company’s stock price? I wish Publicis and Omnicom well. We know what their motivations are (money), and they are staying true to those motivations. Good for them and their shareholders. But I do fear that the financial motivations of the holding companies has had an unintended consequence: it’s slowly fading the colors of the once-vibrant logos of the agencies they hold.

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The merged firm is going to be able to influence strategy for an entire industry. August 2013

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(

LARGERthan life

Billionaires

OWNING NEWSPAPERS 48

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August 2013

Any number of newspapers could be next in line to sell themselves to some business savvy billionaire who has an interest in news. Iâ€™m thinking some likely candidates could include The New York Times, The Wall Street Journal, USA Today, Los Angeles Times, and The Chicago Tribune (the LA Times and Chicago Tribune are owned by the same company). Granted the WSJ may be the least likely of the bunch to be sold as its owned by Dow Jones which is owned by News Corp.

August 2013

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LARGERthan life

he Tribune Company has had a tough time with its earnings over the past few years as ad dollars have decreased significantly, falling almost $200 million, or 14.5%, over the last two years. Meanwhile, Gannett, which owns USA Today, has also had a tough time with its publishing division as publishing revenues fell 1.7 percent in the most recent quarter (Q2 2013) due to lower advertising revenues even as the company reported a “substantial” increase in circulation. It’s funny because when newspapers first started they were owned by rich people who wanted to share their viewpoint and opinions with others - it was a sign of wealth and power. We are pretty much going full circle here as these billionaires come in and swoop up the newspapers for pennies on the dollar in some instances.

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August 2013

The Murdoch Way Rupert Murdoch announced that The Times was to reduce its cover price. A new sort of war had begun. Circulation revenues fell sharply. Losses mounted. Independent Newspapers, publishers of The Irish Independent and The Sunday Independent, and Mirror Group, bought out the original shareholders and injected fresh capital. Once again losses were hauled back. Until finally Mirror Group, seeing that its share price appeared adversely affected by its holding in Newspaper Publishing, whose newspapers are so different in style to its own, decided to sell its holding to the Irish group, this took the opportunity to buy out the other shareholders, including El Pais. The Independent and the Independent on Sunday have fallen in with the rest of Fleet Street in having a single owner. End of experiment.

August 2013

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LARGERthan life

Amazon Billionaire Jeff Bezos buys The Washington Post

n a deal that has shocked the industry the Seattle billionaire Jeffrey Bezos known for creating one of the Internet’s most innovative companies has bought the Washington Post for $250 million. The Washington Post Company Chairman and chief executive Donald E. Graham, told the staff about the sale late Monday afternoon. He said in a written statement “I, along with Katharine Weymouth and our board of directors, decided to sell only after years of familiar newspaper-industry challenges made us wonder if there might be another owner who would be better for the Post (after a transaction that would be in the best interest of our shareholders).”

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August 2013

In a statement yesterday Mr. Graham stressed that Mr. Bezos is making the deal as an individual and not on behalf of Amazon, the world’s biggest online retailer. This $250 million deal comprises all of the publishing businesses possessed by The Washington Post Company, along with the Express newspaper, The Gazette Newspapers, Southern Maryland Newspapers, Fairfax County Times, El Tiempo Latino and the Greater Washington Publishing. As part of the transaction, present owner Washington Post Co has no plans to sell its Kaplan education division and other businesses. It now plans to change its name and will continue as a publicly traded company without the newspaper. “I understand the critical role the Post plays in Washington, DC and our nation, and the Post’s values will not change,” Bezos said in the announcement. “Our duty to readers will continue to be the heart of the Post, and I am very optimistic about the future.” In a statement on Monday Mr. Bezos said he intends to keep current management. Ms. Weymouth will still remain at The Post along with president and general manager Stephen P. Hills; executive editor Martin Baron, and Fred Hiatt, editor of the editorial page. “I am happily living in ‘the other Washington’ where I have a day job that I love,” Bezos said. “The Post already has an excellent leadership team that knows much more about the news business than I do, and I’m extremely grateful to them for agreeing to stay on.”

August 2013

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LARGERthan life

he shares of Washington Post Co climbed 6.2 percent to $604.18 at 9:51 a.m. in New York, the highest intraday level since 2008. This year the stock had gained 56 percent through yesterday. According to the agreement, Bezos will take on the pension obligations of current employees while Washington Post Co. will handle retired workers. In order to help pay the obligations the company also will provide Bezos with $50 million. The sale proceeds will go to the Washington Post Co. The Washington Post has always been known for its political and investigative journalism. It has won 18 Pulitzer prizes in the last decade. Its broadcasting of the Watergate scandal led to President Nixonâ€™s resignation and inspired a generation of students to become journalists.

Industry Leaders Magazine

August 2013

In a statement Don Graham said that the Post’s sale was compelled by a declining newspaper industry and the challenges were too large for a small publicly held company to handle. According to the Alliance for Audited Media, the Post’s daily circulation peaked in 1993 with 832,332 average daily subscribers. Although The Post is one of the most popular news sources online, print circulation has dwindled, like most other newspapers. It has largely suffered from low circulation and advertising declines. The Washington Post’s weekday circulation fell 6.5 percent this year to 474,767, according to March 31 figures. “Our revenues had declined seven years in a row,” Graham said. “We had innovated and to my critical eye our innovations had been quite successful in audience and in quality, but they hadn’t made up for the revenue decline. Our answer had to be cost cuts and we knew there was a limit to that. We were certain the paper would survive under our ownership, but we wanted it to do more than that. We wanted it to succeed.” Any number of newspapers could be next in line to sell themselves to some business savvy billionaire who has an interest in news. I’m thinking some likely candidates could include The New York Times, The Wall Street Journal, USA Today, Los Angeles Times, and The Chicago Tribune (the LA Times and Chicago Tribune are owned by the same company). Granted the WSJ may be the least likely of the bunch to be sold as its owned by Dow Jones which is owned by News Corp.

August 2013

Industry Leaders Magazine

The WOW Quotient

Industry Leaders Magazine

August 2013

Shaping of the world’s Largest Solar Thermal Farm Designed by BrightSource Energy, the world’s largest power plant will open in California’s Mojave Desert. The Ivanpah Solar Electric Generating System will supply both Northern and Southern California, inching the state one step closer to its ambitious renewable energy goal. The $2.2 billion project—the largest of its type in the world—will power 140,000 California homes.

August 2013

Industry Leaders Magazine

The WOW Quotient

The Tech facts The Ivanpah facility generates heat, where as photovoltaic technology, converts solar radiation directly into electricity. More than 170,000 mirrors will track the sun and reflect the sunlight to boilers that sit atop three 459 foot tall towers filled with water, raising temperatures to more than 1,000 degrees Fahrenheit. This heat is then turned into steam that goes through turbines to generate electricity. BrightSource Energy, the company overseeing construction, emphasized the use of sunlight, instead of fossil fuels, which will reduce CO2 emissions by more than 400,000 tons per year. The elevated desert region receives reliable sunlight 330 to 350 days per year. It has not been a smooth ride. It took them many years to get permits from almost a dozen states, federal and local agencies. The project was also politicized after getting a $1.6 billion federal loan guarantee, like the bankrupt solar company Solyndra. And then thereâ€™s the desert tortoise which have proven vulnerable to encroaching human development.

Industry Leaders Magazine

August 2013

The WOW Quotient

The Desert Reptiles the site before releasing them to nearby habitat. That meant closing down construction and doing another biological survey. “Almost every foot of our 3,500-acres, approximately, has been covered by a biologist at least ten times,” senior compliance manager for the project said. Finding and relocating the tortoises has cost around $55,000 per tortoise.

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August 2013

more than 150 tortoises ended up being found onsite

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Industry Leaders Magazine

The WOW Quotient

But some environmentalists say the price of that power is too steep. They count the loss of nearly seven square miles of quality wildlife habitat; the solar siteâ€™s proximity to the national preserve; the disruption to bighorn sheep that range among surrounding mountains; and the potential harm to water sources that help keep a rare fish from slipping closer to extinction.

Industry Leaders Magazine

August 2013

The WOW Quotient

The arguments for and against a proposed solar farm on public land at the northwest edge of the Mojave National Preserve ring are familiar. It is the kind of conflict the Obama administration wanted to avoid after the sometimes bitter fight that dragged on as the government evaluated and approved the Ivanpah solar project, now under construction off Interstate 15 near the Nevada border. In October, U.S. Interior Secretary Ken Salazar announced the creation of 17 solar energy zones in the West, areas considered optimum for solar development and found to have less

wildlife and fewer natural resources. The largest zone is about 213 square miles in eastern Riverside County along Interstate 10 from Desert Center to Blythe. Itâ€™s more than 100 miles from the Soda Mountain site. Some environmentalists have raised concerns about how the frail desert ecosystems will be modified in the renewable energy drive, but developers and supporters of large-scale clean power say the ultimate goal is to lessen the dependence on fossil fuel that is far more harmful to both the land and atmosphere.

August 2013

Industry Leaders Magazine

The WOW Quotient

The DREC Plan However, in the end environmental groups negotiated with Bright Source and other developers to set aside nature preserves in the desert. In an attempt to end the conflict, California is trying to devise an agreeable path for future projects through the Desert Renewable Energy Conservation Plan. The idea is to divide the desert into zones that are suitable for renewable energy development and conservation of areas that are off-limits. Conservation groups and federal and state agencies along with solar developers are taking on similar efforts. More than 75 percent of Californians say they support using desert lands for renewable energy production. And by next year, when The Ivanpah solar project will come fully online, it will almost double the amount of solar thermal energy produced in the United States.

Industry Leaders Magazine

August 2013

The WOW Quotient

The Solar Power Facts It’s hip, it’s cool, and it’s trendy.. and it’s green. Solar and wind power are increasingly becoming topics of conversation as the world shifts from filthy coal, oil and other fossil fuels, to the clean and renewable energy provided by the wind and the sun. Here’s some fascinating statistics, facts and trivia about these power sources - It would take only around 0.3 per cent of the world’s land area to supply all of our electricity needs via solar power. The area of roof space available in Australia is enough to provide all of the nation’s electricity, using solar panels. Weight for weight, advanced silicon based solar cells generates the same amount of electricity over their lifetime as nuclear fuel rods, without the hazardous waste. All the components in a solar panel can be recycled, whereas nuclear waste remains a threat for thousands of years. Solar and wind power systems have 100 times better lifetime energy yield than either nuclear or fossil energy system per tonne of mined materials. The amount of energy that goes into creating solar panels is paid back through clean electricity production within anywhere from 1 - 2 years, depending on where they are used. This compares with a serviceable life of decades. The

theoretical limit for silicon based solar cells is 29% conversion efficiency. Currently, polycrystalline and monocrystalline solar panels generally available have efficiencies anywhere from 12% to 18%. With the addition of solar concentrators, the efficiency of photovoltaics is eventually likely to rise above 60 per cent. The Earth receives more energy from the sun in an hour than is used in the entire world in one year. There are now more than one million home solar power systems installed in Australia. Wind is a form of solar power, created by the uneven heating of the Earth’s surface. The first solar cell was constructed by Charles Fritts in the 1880s - it had a conversion efficiency of just 1%. Germany has nearly half the world’s installed solar cell capacity, thanks to a generous feed in tariff program. Global annual photovoltaic installations increased from just 21 megawatts in 1985, to 32,000 megawatts in 2012. Manufacturing solar cells produces 90% less pollutants than conventional fossil fuel technologies. The solar industry creates 200 to 400 jobs in research, development, manufacturing and installation for every 10 megawatts of solar power generated annually.

August 2013

Industry Leaders Magazine

Better Business Destinations

Industry Leaders Magazine

August 2013

Seattle

The Hometown of Microsoft

Seattle has long been known as the company town that launched the likes of Boeing, Microsoft, Amazon, and Starbucks. But, while these companies have employed quite of few of, Seattle also has a strong and growing entrepreneurial community that has contributed greatly to the profile of the city within the past decade. Though there may be apparently a divide between the larger public sector and the small private sector in Seattle, there is actually a good deal of camaraderie between start-ups and their bigger brothers, according to local entrepreneurs. In short, Seattle is a great place to be an entrepreneur, and the bigger companies have much to offer start-ups in the way of resources and even ideas. August 2013

Industry Leaders Magazine

Better Business Destinations

Identifying needs Eric Best, founded Mercent( online marketing technology designed to help retailers with e-commerce strategy) while working on a business-development project for Amazon in Seattle. While Amazon excelled at becoming the preeminent online shopping platform for consumer retail, it wasn’t focusing any efforts on helping the retailers navigate the increasingly complex electronic selling marketplace. Best determined that most retailers could increase their online efficiency by using the marketing tools. “In starting Mercent, we were validating those customers needs by looking at what established players like Amazon are focusing on and then figuring out where they might not have the agility or bandwidth to solve a particular problem,” says Best. And, because of Amazon’s size in the market, Best says they are actually creating a sense of urgency around Mercent’s online marketing services. Multiple software and technology start-ups in Seattle have emerged as a result of observing needs that the larger, Seattle-based companies in that field have created. Other than the big three anchor companies – Microsoft, Amazon, and Starbucks – Seattle is home to many brands including retail outfitters REI, K2, and Nordstrom, as well as engineering giant Boeing.

Industry Leaders Magazine

August 2013

While a good majority of Seattle entrepreneurs have gained experience by matriculating from those companies, it doesnâ€™t necessarily need a former insider to benefit from the presence of these businesses. August 2013

Industry Leaders Magazine

Better Business Destinations

Finding local knowledge support groups One of Seattle’s exceptional feature is that networking can actually be intimate. Frequently in larger cities, there can be an overbearing number of entrepreneurs trying to meet each other and make connections, and a small business can often get lost in that meander. “One of the great things about Seattle as a city, and especially within the entrepreneurial community, is that it’s without pretention,” says Dave Hanley, the co-founder of Banyan Branch, a social-media consulting firm based in the Fremont neighborhood of Seattle. “The business community here is very open and they just let you in,” Hanley says. So, if you’re an entrepreneur that’s just getting your feet wet, or even if you’ve started your company and you’re seeking some specific advice, chances are you can find a local networking group or organization where you can get personalized attention from more established entrepreneurs, and even the investor community.

Industry Leaders Magazine

August 2013

The more you put yourself out there, the better, says Hanley, and there is no such thing as an “in group” that wouldn’t welcome you to join.

August 2013

Industry Leaders Magazine

Better Business Destinations

Know your neighborhood One more way to become engrained in the Seattle entrepreneurial community is to single out a neighborhood locality for your business that’s made up of other link-minded companies. While location wise the city may not be that expansive, but there are abundance of unique neighborhoods that offer something for everyone. Eric Best says the most important factor for him in picking a location was its access to talent. He chose Belltown as the site for Mercent. “Belltown is a popular community with the types of employees that we’re looking to attract. They’re tech savvy, early-stage software engineers and project managers that have the right academic credentials,” says Best. The neighborhood also has a modern outlook and is in close proximity to downtown, both pluses in Best’s mind. The other two neighborhoods particularly, Fremont and Pioneer Square, conduce to attract quite a few startups. Google and Adobe have their Seattle offices in Fremont, which is well located across from the Space Needle and Lake Union. Though the area is a little bit eclectic, it has seen a huge growth in the past few years. It is also homes a flourishing artist community. Pioneer Square, which is on the southern edge of downtown Seattle, is also one of the oldest neighborhoods in Seattle.

Industry Leaders Magazine

August 2013

Since the rent is typically more affordable in this area, it can be considered for a small start-up to get its bearings, and to find a convenient space that facilitates employee interaction. The neighborhood is also a central location in relation to the rest of the city. All the train and bus routes terminate in Pioneer Square. August 2013

Industry Leaders Magazine

Better Business Destinations “Go around to different neighborhoods and find the one that’s right for you,” says Hanley, whose Banyan Branch office is located in Fremont. There are also choices for start-ups that aren’t quite ready to commit to an office space, or don’t require one because they are operating on a project basis and growing or shrinking their staff more often. A client of Banyan Branch has space for his company at a shared workspace called StartPad. The company owns space in a building downtown and you can rent a given number of desks on a month-to-month basis. Frequently getting out in the neighborhood and interacting with other businesses can drive growth too. Since Seattle being a coffee-focused town, there are plentiful coffee shops around Seattle that double as conference spaces for many agile start-ups. Best says he frequently holds team meetings at a coffee shop down the street from Mercent’s offices, as a break from being inside the building. It also helps his employees to get to know the neighborhood they work in and build a comfort level there.

Industry Leaders Magazine

August 2013

Go around to different neighborhoods and find the one that’s right for you, says Hanley August 2013

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Industry Leaders Magazine

Events & Tradeshows Energy and Renewables Date: 03 - 05 September, 2013

Brazil Windpower

Brazil Windpower conference and exhibition is an effort to promote and showcase the alternative energy and highlight the business aspects of the alternative energy. The huge resources of Latin America, the changing face of the climate and growing demand of energy are key aspect of this summit.

Venue: Rio De Janeiro, Brazil Date: 04 - 06 September, 2013

PV Korea

PV - Korea 2013 is Asiaâ€™s largest exhibition specialized in solar energy industry. More than 30,000 solar professionals from the industry will visit the exhibition and 180 companies will be taking part in the event. This 3 days trade show will be held at the Kintex - Korea International Exhibition Center.

Venue: Goyang, Korea Date: 05 - 07 September, 2013

Maxpo

Maxpo is the most significant Finnish exhibition of earth construction and environmental maintenance machines. This is the professional event of the ever changing and developing branch tempts to look not only for heavy machines but also for general settlements for equipment purchases and financial arrangements.

Venue: Helsinki, Finland Date: 10 - 11 September, 2013

The Renewables Event

The Renewables Event which will take place for a period of two days will be taking place in Birmingham. The event will attract all the corporate sectors and firms which look forward to incorporate certain conditions required for renewable resources and reduction of carbon emission and hazardous gases. The exhibitors and visitors will be gaining a profitable platform to showcase all their products and services at the same time interact with the potential customers and professional visitors to elucidate about their services and goods.

Venue: Birmingham, United Kingdom Date: 11 - 12 September, 2013

Nuclear Exchange

Nuclear Exchange is an event of its kind for the nuclear power industry. This event will bring together industry experts from all around the world to discuss the recent trends and future developments that pertain to this field. It is through this event that a great of information will be provided through the means of workshops. Nuclear Exchange is one such event that will bring the exhibitors in direct contact with the attendees as well as with the industry peers. This event will facilitate the exhibitors with business and networking opportunities.

Venue: Suzhou, China 78

Industry Leaders Magazine

August 2013

Construction Date: 04 - 07 September, 2013

ExpoFerretera Argentina

Organized by Indexport Messe Frankfurt SA at Costa Salguero Exhibition Center, Buenos Aires, Argentina, the EXPO FERRETERA is directed towards promoting development of the hardware and of the construction material sectors in throughout the world.

Venue: Buenos Aires, Argentina Date: 07 - 08 September, 2013

LRO Show PETERBOROUGH

Lro Show Peterborough is one of the biggest destinations where we can see huge collections of Land Rovers. With the advancement of technology, LR industry has evolved to a large extent, and this show is certainly the outcome of that surging demands. This year this extraordinary car show is going to be held in Peterborough.

Venue: Peterborough, United Kingdom Date: 10 - 12 September, 2013

Ekobygg

Ekobygg will be held for a period of three days in Stockholm, Sweden. The main purpose of this international expo is to make the green construction and building industry aware of the modern aware of green building materials, sustainable waste solutions, city farms and smart house and relevant ways of ecological construction. By adopting these techniques eminent experts related to this industry will get a scope to expand their business and can promote their company to a higher level. They can gather relevant and useful information by attending this expo.

Venue: Stockholm, Sweden Date: 10 - 12 September, 2013

Ekobygg

Venue: Stockholm, Sweden Date: 18 - 20 September, 2013

UzPromStroyExpo

UzPromStroyExpo is exclusive international event which is related to industrial construction and heating systems. The event would be taking place for 3 days. The venue of the event would be located at Tashkent, Uzbekistan. The event would deal with advanced method for the demonstration of new materials, technologies and equipment.

Venue: Stockholm, Sweden August 2013

Industry Leaders Magazine

Events & Tradeshows Manufacturing PostPrint Leipzig

Date: 04 - 06 September, 2013

Post Print Leipzig 2013 will come with a new objective of business in printing industries. A trade show which will target the all business target relevant to the prepress, printing and post printing. Exhibition will also have a focus on next digital, offset printing and processing, mail processing and printing services.

Venue: Leipzig, Germany Security Canada Atlantic

Date: 11 - 11 September, 2013

The Security Canada Atlantic has been a premier event in the industry of security products and services. The event has been providing a great platform to the participating companies to generate new business for 30 years and its popularity is seen increased in every new edition because itâ€™s every new edition witnesses to have increased crowd of exhibitors as well as visitors.

Venue: Halifax, Canada CONExpo Bangladesh

Date: 12 - 14 September, 2013

After the enormous success of the CONEXPO in previous editions CEMS Global - USA in association with CEMS Bangladesh AGAIN BRINGS TO YOU 16th CONEXPO Bangladesh 2013 International Expo, scheduled to be held from 12-14 September 2013, will be a glittering showcase of the Construction Materials, Method, Equipment and Real Estate industry. It will reveal to the country, the rapid developments in the industry as well as new technology components.

Venue: Dhaka, Bangladesh HVAC Comfortech

Date: 18 - 20 September, 2013

The HVAC Comfortech event will be organized to give way to grow oneâ€™s business on a wide platform. It will present ideas which when applied to any business leads to the increased sale and maximum profits. It will be a place where associate business members, managers and industry professionals will take an active role in advancing the business industry, public policy, and the association.

Venue: Philadelphia, United States Of America TCT Show

Date: 25 - 26 September, 2013

TCT Show is the event for Product Development and Additive Manufacturing in Europe. The show provides the ideal forum for everyone involved in the concept, design, specification and manufacturing process to learn about the latest in Additive Manufacturing, 3D Printing and other cutting edge product development software and technology. Adopting these technologies is of critical importance for companies wishing to stay ahead of their competitors.

Venue: Birmingham, United Kingdom 80

Industry Leaders Magazine

August 2013

Logistics and Supply chain Date: 03 - 05 September, 2013

Asian Seafood Exposition

The Asian Seafood Exposition is a premiere seafood trade event for top buyers and sellers to meet and do business in the lucrative Asia-Pacific market. The Asian Seafood Exposition features Frozen Food Asia, which showcases general frozen-food exhibitors. The Asian Seafood Exposition is also co-located with Restaurant & Bar Hong Kong, the regionâ€™s leading fine-dining and bar event.

Venue: Hong Kong, China (Hong Kong S.A.R.) Thailand International Logistics Fair

Date: 04 - 07 September, 2013

Thailand International Logistics Fair is an opportunity for manufacturers and suppliers of the latest in Logistics Systems, Warehousing, Storage, Transportation, Distribution and Total Supply Chain Management to expand and sell their products in a very rich and spend free environment where there is very high demand for the latest in technology, equipment and products.

Venue: Bangkok, Thailand Thailand International Logistics Fair

Date: 04 - 07 September, 2013

Venue: Bangkok, Thailand Date: 06 - 08 September, 2013

Bus Fest

Bus Fest is an exclusive event and it is the world largest Volkswagen transporter show. It would be taking place in Malvern Hills, United Kingdom for 3 consecutive days. The event would include more than 80000 models of vans and attract more than 25000 visitors including bus and van enthusiasts. There would be several workshops and model shining events. The show would be open to general people.

Venue: Worcester, United Kingdom Date: 09 - 12 September, 2013

Interlogistika Moscow

Interlogistika Moscow has achieved the title of being one of the largest and the most important platform for the logistics and supply chain industry. Various latest technology aided material handling equipments, logistic supports and lot more will be displayed by the leading companies working in this sector. The show is the perfect option for the participants to demonstrate their exclusive and outstanding range which are manufactured keeping in mind the work pressure of the logistics and transportation sector.

Venue: Moscow, Russia August 2013

Industry Leaders Magazine

Events & Tradeshows Food and Drink Asian Seafood Exposition

Date: 03 - 05 September, 2013

Venue: Leipzig, Germany Hudson Valley Wine And Food Fest

Date: 07 - 08 September, 2013

Hudson Valley Wine And Food Fest is one of the events which takes place in the Duchess County Fairgrounds, Rhinebeck, New York, United States of America. The event is a celebration of food and wine. The event basically showcases the best of wine and food for purchase by the visitors who comes in abundance. The wine is directly sold in the bottle to the customers not on a bulk basis. This has become beneficial for the visitor.

Venue: New York, United States Of America Hudson Valley Wine And Food Fest

Date: 07 - 08 September, 2013

Venue: New York, United States Of America Espaco Cafe Brasil

Date: 09 - 12 September, 2013

The ESPACO CAFE BRASIL event will be an exciting and dynamic competition, which will attract baristas from all over Brazil to dispute which is the best country in professional brewing. The ESPACO CAFE BRASIL will led emphasis on the current coffee market status in Brazil and worldwide as well as future prospects of coffee market to further enhance the businesses of coffee.

Venue: Sao Paulo, Brazil World Food Moscow

Date: 16 - 19 September, 2013

The World Food Moscow Exhibition is Russia’s Premier International Exhibition for the Food and Drink Industry where the world of Food meets Russia. Now in its 21st year, World Food Moscow continues to provide suppliers in the food and drink industry with a great opportunity to meet buyers in one of the world’s most sought-after growth markets - Russia.

Venue: Moscow, Russia

Industry Leaders Magazine

August 2013

Industry leaders magazine august 2013 issue