Alan Greenspan had massive influence on the economy when he was the chairman of the reserve he set the tone of the economy when the Federal Reserve met, and that was mostly done by regulating interest rates. After Alan Greenspan retired in 2006 many economist came out and blamed Greenspan for keeping the interest rates to low between 2001 to 2005 in which caused the housing crisis in 2007. (Federal Reserve
According to Robert E. Scott and Christian Weller, “further increases in real short - term interest rates herald a slowdown.” Further evidence that suggests a recession was on the horizon was information released from the National Bureau of Economic Research that states, “A peak marks the end of an expansion and the beginning of a recession.”(The Business Cycle Peak, March 2001.) During an expansion, however the economy is experiencing normalcy, and during this period the economy is between a trough and peak. The National Bureau of Economic Research, however, defines a recession as, “ a significant decline in activity spread across the economy, lasting more than a few months, visible in industrial production, employment, real income and the wholesale-retail trade.” (the Business Cycle Peak.) Therefore, when a peak date was determined in March 2001 it marked the end of an expansion that began in March 1991, and hence the beginning of a recession. This marked the end of the longest economic expansion that lasted ten years of rising incomes and employment.
Case: Cola Wars Continue Case Guide Questions Cola Wars Continue: Coke and Pepsi in 2006 3. How will competition between Coke and Pepsi affect the industry’s profits? 4. Will Coke and Pepsi sustain their profits through the late 1990’s? What would you recommend to Coke to insure its success?
I will be focusing on just a few key areas that have been struck due to the recession for President Obama and the Great Depression for President Roosevelt and how each man either fixed the problem or is attempting to. Here is just a short list of issues: unemployment rate, financial institutions and the stock market. Just like President Roosevelt, President Obama hit the ground running with his uncanny ability to act upon the economic crisis that was yet again effecting the American people. Obama scored major points with the people since within his first hundred days in office he was able to get congress a much needed stimulus package for their approval that would take care of the financial crisis the American people were facing with major businesses and financial institutions declining at a very fast pace. However, Roosevelt was facing a much worse scenario with an unemployment rate of nearly 25% after the stock market crash of 1929.
High unemployment and underemployment remains an important long-term challenge. The Central America-Dominican Republic Free Trade Agreement (CAFTA-DR) came into force in March 2007, boosting investment and exports and reducing losses to the Asian garment industry. In the middle of 2008, however, the Dominican Republic's economy started slowing after several years of strong GDP growth, as the global recession had a significant negative impact on tourism and remittances. The financial crisis and the US recession caused GDP to dip in 2009. The information is mostly updated until 2009, but that doesn’t matter too much, as long as the information is correct and I assure you it is.
While Coca-Cola completely operates in a beverages (for example Coke, Sprite, Minute Maid, Dasani), Pepsi is more diversified in its products they sale. Pepsi has not restricted its brands from being beverages only. The competition between Coca-Cola and Pepsi is intense, but both companies have successfully avoided price competition in order to maintain high profit margin. Instead, both companies have focused on improving brand images through effective advertising efforts and marketing campaigns, and reducing costs and expenses by improving quality of operations and management. According to Bloomberg Business Week, Coca-Cola remains the best globally recognized brand across all industries for years, while Pepsi’s brand ranked number 25 in the year 2008.
Crisis Definition and Executive Summary Inflation was so chronic that in the late 1960s, the government instigated monetary correction, whereby fixed payments were indexed to past inflation. Thus, interest rates, pension payments, mortgage payments, and so forth, kept pace with rising prices, but inflation fed on itself. Even as economic growth surged in the mid-1980s, triple-digit inflation persisted. In February 1986, as the projected inflation rate for the year approached 500%, the government imposed a package of sweeping economic reforms, The drain on reserves, in which $30 billion winged their way out of the country. The government then imposed an austerity program and began negotiations with the IMF for a rescheduling of the staggering foreign debt.
Marketing objectives: • To create awareness to the consumers in order to increase their confidence level towards Crush beverage brand. • To establish point of difference in every new product launch, creating a unique selling proposition (USP). Environmental Opportunity One of the sources of environmental opportunity for Crush is the changing of consumer preferences towards soft drinks. The American consumers drink more soft drink than tap water. In 1989, the average American consumed 46.7 gallons of carbonated soft drinks compared to 23 gallons consumed in 1969.
My primary choice out of these two would be Coke; I think it tastes better than Pepsi but I would drink either. Coca-Cola and PepsiCo have been competing with each other for over one hundred years. The Coca-Cola Company’s mission is “to refresh the world, to inspire moments of optimism and happiness, and to create value and make a difference” (http://www.thecoca-colacompany.com). This statement shows a lot about Coca-Cola, it shows that they are not just concerned about selling their products but they are concerned about making the world a better place. Although that sounds corny it is nice to know that they think past the concept or making money.
1. Assume it is April 1st 2006. Based on the case, build a compelling case for buying or selling JPYUSD Analysis of the Current situation During the first half of the decade of the 2000’s, the USD had appreciated. In 2005, the USD went against all predictions of the prognosticators and rose. Despite a terrible current account deficit (USD800), the USD is heading towards a 140 JPY/USD level.