The majority of consumers are now choosing to save money instead of spend money. This trend has baffled corporate America who is seeing their profits decline in the second quarter. For example, Target has seen sales in its stores decrease by about 1.1% since the last quarter. Its stock also declined by about 6% recently as well. CEOs all across corporate America have gloomy outlooks as they expect consumers to continue to save instead of spend.
So why are people choosing to save instead of spend? At the heart of this lies the financial crisis or Great Recession. Since the financial crisis hit, the percentage of people saving instead of spending has increased dramatically. The number of people saving reached a peak in 2010, then dropped off in 2012. However since 2013 and onward, the number of people saving is increasing yet again and that trend looks to continue. The number of people saving is at the highest level since 2001. This is clearly a trend that has corporate America worried.
Since the financial crisis people are much more cautious. They want to build up a reserve of money to be prepared for an economic meltdown. Economists and those at corporate America have forecasted that as employment has increased and people’s incomes have risen since the recession that people will spend more. The opposite has occurred. People are now saving more, because they want to have a nest egg of money in case the economy tanks again.
On a different tangent, corporate America is also seeing greater competition from online retailers such as Amazon. Membership based services such as Netflix are also eating into corporate profits. Consumers are moving away from shopping at malls and instead are buying things online and enrolling in membership based services.
Relmada Therapeutics, a company that specializes in assisting in the clinical trial stage of chronic pain treatments has announced that it is amending the complaint it previously filed against Laidlaw & Company. This complaint was initially filed in the U.S. District Court in Nevada. The amendment claims additional legal claims should be held against Laid Law because of the financial damage done to Relmada Therapeutics.
Relmada Therapeutics Files Amended Complaint Against Laidlaw and Its Principals, Matthew Eitner and James Ahern
The damages suffered by Relmada Therapeutics were due to the confidential information that was disclosed by Laidlaw while they worked as Relmada’s investment banking company. Relmada is currently seeking monetary damages due to the fees and additional costs that it suffered when Laidlaw released false information about the company in 2015.
A temporary restraining order was placed against Laidlaw and its principles due to intimidation during negotiations. Relmada hopes to receive financial compensation from Laidlaw for current and future financial damages they have incurred due to the breech in confidentiality, as well as the false information that Laidlaw gave in writing to potential investors.
After Relmada was informed about the information breech and the false information being provided to potential investors, the immediately sent out a press release to the stockholders in the company clearing up the miscommunication. However, substantial financial damage was done to the company in a very short period of time.
Laidlaw is noted for having a questionable history when it comes to releasing insider information. They also have a questionable history for releasing false information in hopes to gain new investors, and increasing the investment potential from current investors.
Over the last several years, several complaints have been filed against Laidlaw and the way they manage business. Many companies refer to them as risky, others refer to them as dishonest in their approach to investing. Until further investigations have been completed to determine the ethical nature of Laidlaw’s business approach, investors are warned to avoid doing business with this company.
Shea butter is an ingredient that is found in a wide range of personal care and skincare products around the world, as it comes with all sorts of benefits. It even has the ability to nourish the hair and keep it healthy, though this is not what most people think of when they see Shea Butter. Eugenia Shea is one of the more natural Shea Butter products that has its roots all the way back in Ghana.
Shea Butter is actually a fat that comes from a Shea Tree. It has a wide range of benefits when applied to the skin and hair, as it full of Vitamin E, along with anti-inflammatory properties that make the product excellent on dry skin or conditions like eczema. It helps protect the areas it is put on, whether hair or skin, standing in as a protective barrier. It even acts as a form of sun protection. The full number of benefits that can be had by using Shea Butter is not fully known yet and still up to debate, but it is clear that there are many.
Eugenia Shea is the perfect place to start looking when one is concerned with having a quality Shea butter product. Eugenia Shea is known for the all natural products that contain all natural ingredients and nearly 100% pure Shea butter. They have a range of different products utilizing their Shea butter to help people with different needs, including one for pregnant women, one for everyday use, and others that are high strength. They come with slightly altered formulas to better handle what kind of condition they need to help. For example, pregnancy strength Shea butter is for women that are going to be expecting a child, and the cream with vastly improve how well the skin comes together and prevents stretch marks.
Henry Ford was one of those entrepreneurs that was ahead of his time. He started the Ford Motor Company in 1903. The Ford Motor Company has been one of the leaders in the automobile industry around the world ever since then. The European car makers like Mercedes and Daimler-Benz got started a little before Ford, but Ford used American creativity to make its mark on modern transportation by mass producing automobiles, and the company has continued to crank out vehicles by the millions every year. Ford has had a few missteps over the years. The 1970s and 1980s weren’t the best years for Ford, and the Great 2008 Recession wasn’t the best time to own Ford stock, but Ford is back stronger than ever now. In fact, Ford is planning to introduce their first driverless vehicle in 2021.
The commitment to driverless vehicles is not just a Ford vision. The attempt to mass-produce this nascent technology is a General Motors, Toyota, Tesla, Nissan, and Google mission as well. But that is just the short list of companies that want to get in on the most innovative improvement in automobiles since seatbelts and airbags. Adding computer chips has helped the industry move into the 21st century, but the automation of the automobile will give Ford and other automobile manufacturers real sci-fi credibility. The impact on societies around the world will be monumental, according to Mark Fields, the Chief Executive Officer of Ford. Fields said autonomous vehicles will change society in the same way that the moving assembly did more than hundred years ago, according to an article published by forbes.com.
Getting this new technology up and running for commercial use in five years is a challenge, but the Ford Motor Company is dedicated to that task. The company is expanding its plant in Palo Alto to 150,000 square feet and adding 260 more engineers to its staff just to work on the project.
The big question is, how receptive will consumers be to this new technology? Change is always hard for the masses. It takes time for new technology to sink in and become part of everyday life. Autonomous vehicles will take hold, but it might take years before they become what everybody wants.
It seems like a pretty obvious move for Target stores to be involved in the grocery selling business. Their primary rival Wal-Mart is already in that space and they seem to do quite well in it. As a matter of fact, Wal-Mart has pulled away a respectable chunk of the market share in the grocery business since it first got involved many years ago. So why is it not working so well for Target and more importantly what can it do to change that?
A Different Type Of Customer
One of the roadblocks that Target faces is simply that it serves a different type of customer than Wal-Mart. While Wal-Mart is all about the very bottom basement prices that it can possibly offer to its customers, Target has a more nuanced approach. The people who shop there are not necessarily always looking for the absolute cheapest price, they often want something that has a little more quality. As such, customers may not be there to do their grocery shopping but instead look at the other merchandise that Target sells.
Selling Alternative Groceries
Even though a lot of Target customers are not currently looking to shop for groceries (the same groceries they could probably get at Wal-Mart at a lower price), that could change if Target makes some changes.
A Huffington Post article offers the helpful suggestion that perhaps more customers would be interested in what Target has to offer if they were willing to sell some things that other stores do not tough. For example, if the store sold “ugly produce” it might be able to do so at lower prices and attract more customers.
This is produce which has not yet spoiled but which does not appear as pretty as its neighbors. Although the food is still perfectly edible, many customers only want to purchase it at a lower price. Target could offer this to try to attract those who are a little more budget aware.
Harnessing the power of the private sector for the purpose of helping refugees is a vital but difficult task. George Soros is up to the challenge. He recently published an essay in the Washington Street Journal in which he outlined his plans to bring investment to displaced communities across Europe. He believes it is a necessary step for these people to be properly integrated into society and that without the government and business cooperating the misery experienced by those living in migrant communities will continue at http://www.nybooks.com/articles/2014/11/20/wake-up-europe/.
The Obama Administration has requested that global leaders work together on addressing these problems. He wants American companies to participate because these challenges are too big for the government to address by itself. A meeting was convened at the United Nations and commitments were made by many parties to help the refugees in some way. George Soros says that the scope of the problem is vast and that any help that can be provided will be greatly appreciated. A significant portion of the world has been unsettled by the migrant surge of recent years. There are millions upon millions of families who have had to move themselves. They are feeling terrible conditions in their home countries and most of them just want to live a productive life in relative safety on cnbc.com. In some home countries, civil war is raging and communities have been destroyed. It is also the case that extreme poverty exists and there is no work even for the willing. People could not advance themselves economically at home so they have collected their things and migrated to improve their situation but many have found difficulty, according to George.
Host governments are failing to do the best they can to aid the migrants. Their misery is constant and they are not making progress because they do not have the needed resources to do so. George is one man who aims to fix that problem. Soros is personally investing $500 million into migrant communities across Europe. He believes that by providing them with infrastructure and access to technology they will be able to form economies in their communities and this will allow them to integrate and be useful to their host countries. The failure of integration up to this point has been a large failure on host countries part up to this point. Why have people sitting idly when they could better themselves and be put to productive use?
George is going to invest in startup companies that service these communities. He is also interested in initiatives that can have a significant social impact. He believes that through philanthropic efforts he can make a lasting difference in the world. He has a long record of helping the needy through his non-profit organizations.
Channel Retailer, a company which helps firms sell their goods online is reporting that year over year sales are decreasing substantially on Amazon. A small increase in January has been followed by consecutive months of a decrease in the year over year sales growth. In July the year over year sales growth was a mere 6.4% growth at Amazon. This is in stark contrast to an increase of 30.1% in July of 2015.
So what explains the decline in year over year sales growth month after month for retailers selling through Amazon? The primary factor driving this decrease in growth is the greater amount of competition many companies now face when selling there. Amazon has seen a great number of third party sellers now competing with established firms.
The greater competition cuts into the market share of the companies already there. This explains the decrease in year over year sales growth. Increased competition also leads to lower prices. When a new competitor arrives they may lower their price in order to gain customers. This leads to existing companies having to lower their price in order to remain competitive.
Greater competition and lower prices is what is driving the sales growth down on Amazon for many companies. The flip side to this is that consumers like me and you can benefit from the lower prices by buying goods at cheaper prices. The goods could also be higher quality as companies compete more heavily for customers.
EBay too is seeing a sharp increase in competition in online sales. However, when you take Amazon and eBay out of the equation, year over year sales growth for many companies is actually quite strong with a percent in the amount of 50% growth. If you are looking for good deals online eBay and Amazon may be your best bet right now.
Over the last decades, the number of people being diagnosed with different forms of cancers has increased tremendously. This increase has necessitated the need for an immediate cure. However, cancer therapies are expensive to develop. To this end, the research into such drugs has been slow. Although there are many ways of handling cancer cases, the new approach involves the use of biotechnology to create therapies that are protein based. One of the companies that are involved in such innovations is Seattle Genetics.
Clay Siegall founded Seattle Genetics in 1998. It specializes in developing and marketing antibody-based cancer therapies. The firm is a world leader in developing antibody-drug conjugates (ADCs). This technology employs the unique features of monoclonal antibodies. The company modifies these antibodies to give them the ability to target cancer cells. When injected into the body, the antibodies flow with the blood into body tissues where they identify cancer cells. They then deliver cell-killing agents directly to the malfunctioning cells while sparing healthy cells. This type of therapies will help eliminate the need for chemotherapy, which has toxic effects on the body.
The company’s first ADCs therapy is called Adcetris. This drug was developed in collaboration with Takeda Pharmaceutical Company Limited. Currently, Adcetris is available in over 60 countries. According to the partnership, Seattle Genetics sells the drug to the U.S. and Canada while Takeda sells it to the rest of the world. The revenues generated from selling the drug have provided the company with the first reliable source of income. Previously, the company had relied on money from investors to do its research and fund its operation. In the last financial year, Seattle Genetics made over $45 million from selling Adcetris. Apart from Adcetris, Seattle Genetics is also working hard to commercialize vadastuximab talirine. Currently, this therapy is in the third trial stage.
About Clay Siegall
Clay Siegall is an American entrepreneur and genetics expert. He is the founder and the CEO of Seattle Genetics. Clay is also a board member in three other companies. They are Mirna Therapeutics, Alder Biopharmaceuticals and Ultragenyx Pharmaceuticals. Siegall’s high-quality leadership has enabled Seattle Genetics to grow from a small company to a world leader in ADCs therapies. He holds a doctorate degree in Genetics from George Washington.
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For the past few months, the financial markets in the United States have continued to perform very well. According to a recent new article (http://www.reuters.com/article/us-global-markets-idUSKCN10Q024) the financial markets in the United States have recently hit record highs and could continue to do quite well in the near future. On Monday, August 15, 2016 the Dow Jones Industrial Average hit an all-time high when it went over 18,650 points. The NASDAQ and S&P 500 also were able to achieve all-time highs.
The positive results on August 15 were due to a variety of factors, the most significant of which was a very positive jobs report that showed a reduced level of unemployment across the country. Unemployment has continued to decline on a regular basis since the recession hit the country in 2008. The positive news allowed all three of the major indices to break their all-time highs on the same trading day for the first time in over 15 years.
Along with the increase in the major indices, the oil markets also increased by over three percent. This was the third straight day that the oil prices have increased by three percent or more, which has added up to a ten percent rally over the past three trading days.
While the stock market has done very well over the past few months, there are some upcoming decisions that could have an impact on the continued rally. The most significant item that could impact the overall markets is whether or not the US Federal Reserve decides to increase interest rates or not. Due to the recent increase in the markets, they may feel compelled to do so in order to prevent inflation.
Subprime loaning is seeing a major spike. What is subprime loaning or a subprime loan? Generally, it is giving a loan or credit to someone who is unworthy of it. Subprime loans are considered to be very risky and carry a greater than average rate of default. Subprime mortgages were one of the major causes of the housing collapse and the economic recession of 2008.
TransUnion, one of the major credit reporting agencies has found that the number of subprime borrowers has increased by almost a percentage point since last year. According to TransUnion, someone who is considered a subprime borrower will have a credit score below 660. Such as score is considered to be below average.
Another interesting statistic is that subprime balances are increasing instead of decreasing. TransUnion’s 2nd quarter report found that subprime borrowers are seeing their balance increase by an average of 14%. People who have higher credit scores, in other words non sub prime borrowers are seeing a reduction in their credit card balance on the other hand.
Is the trend of increasing subprime loaning of concern? The answer to this is yes and no. You will always have subprime borrowers. They are typically charged a higher interest rate to make up for the greater risk lenders take to offer them credit. The delinquency rate for subprime borrowers remains flat at around 11%. This means that bankruptcies or non repayment of loans by subprime borrowers is not increasing.
If the number of subprime borrowers increases significantly than this could be a sign of economic trouble and another bubble. The total number of credit card balances is increasing and so is the number of users. However, as long as the percentage of subprime balances and delinquency remains relatively low and stable, there is no major economic fears to be had.