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Cement, aviation & real estate are the sectors prone to collusion


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Two RATAN TATA : Chairman, Tata Groupdifferent companies, fighting for the same contract in the same markets, without realising that all the companies are being owned by same guy – Rockefeller. Rockefeller and Standard Oil are no more but there legacy lives on. Because of the strong oil lobby, the US hasn’t sign Kyoto Protocol, as some leading oil companies are opponent to anti-global warming measures. It  is because of the oil lobby, alternate energy sources find it difficult to setup shops in the US. Alternatively, the US had to, a sort of, seek polito-economic pressure to get the industry going outside the US, like the civilian nuclear deal, which calls for establishment of shops for American companies that are into alternate power generations in India. When you have the size that matters, you influence decision in the sector, you dictate prices, you dominate, you are all pervasive.

Now lSUNIL MITTAL : Chairman, Bharti-Airtelet’s meet another Rockefeller of modern times – Martin Sorrell of WPP. One of the largest communications services group of the world, WPP owns names like JWT Group Inc., Ogilvy & Mather, Young & Rubicam, the public relations firm Hill and Knowlton Inc., and information and consultancy firm, the Kantar Group. Martin Sorrell now owns more than 50% of the total advertising industry. Different firms owned by Mr. Sorrell compete for the accounts of companies – again creating pseudo competition, without making it evident to the markets that both, contracts and money are going to the same man – Sorrell.

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Source : IIPM Editorial, 2007

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

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Who says US is on the brink of a recession?...

IIPM PUBLICATION   
The Who says US is on the brink of a recession?...only big spender in the United States sits in Washington: President George Bush needs another $800 billion for the mess in Iraq which will assure that the USA will be saddled with public debt in excess of $10 trillion once he leaves office in 2008 (The US Congress approved a multi-billion dollar Iraq war budget on May 24, after bowing to US President George W. Bush’s demands). Big government keeps growing bigger and at last count in April a quarter of all new jobs came from the government, leaving taxpayers with higher bills in the future.

A jump across the big pond to Europa lands one in economic mud these days. The official GDP growth rate in the European Union declined from 3.5% to an annual rate of 3.1% in early 2007, with quarterly figures confirming a continuing downtrend and an unchanged unemployment rate.

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Source : IIPM Editorial, 2007

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

 


Accor goes single, sheds away Red Roof!


IIPM BEST MBA INSTITUTE  

French hospitality group, Accor has done away with its Red Roof Inn motel chain for $1.32 billion. At the receiving end is a consortium, comprising Citi’s Global Special Situations Group and Westbridge Hospitality Fund. Following the divestment, Accor owns a single brand, Motel 6, the leading economy hotel chain in the States, which operates 928 hotels across North America, especially on the West Coast. With an illustrious history of 30 years, the chain enjoys very high brand recognition and a unique positioning which says, “the best price of any national chain.” 

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Source : IIPM Editorial, 2007 

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative 

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