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Gene Ellis

The iEconomy - Nissan's Move to U.S. Offers Lessons for Tech Industry - NYTimes.com - 0 views

  • Japanese and other foreign companies account for more than 40 percent of cars built in the United States, employing about 95,000 people directly and hundreds of thousands more among parts suppliers.
  • The United States gained these jobs through a combination of public and Congressional pressure on Japan, “voluntary” quotas on car exports from Japan and incentives like tax breaks that encouraged Japanese automakers to build factories in America.
  • The government could also encourage domestic production of technologies, including display manufacturing and advanced semiconductor fabrication, that would nurture new industries. “Instead, we let those jobs go to Asia, and then the supply chains follow, and then R&D follows, and soon it makes sense to build everything overseas,” he said. “If Apple or Congress wanted to make the valuable parts of the iPhone in America, it wouldn’t be hard.”
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  • Last year, Brazilian politicians used subsidies and the threat of continued high tariffs on imports to persuade Foxconn — which makes smartphones and computers in Asia for dozens of technology companies — to start producing iPhones, iPads and other devices in a factory north of São Paulo.
  • “Closing our border is a 20th-century thought, and it will only weaken the economy over the long term,”
Gene Ellis

Alibaba Is Investing Huge Sums in an Array of U.S. Tech Companies - NYTimes.com - 0 views

  • Alibaba Is Investing Huge Sums in an Array of U.S. Tech Companies
Gene Ellis

Apple's iPhone 6 Gives World Tech Hub Taiwan Just A Small Bite - Forbes - 0 views

  • Apple's iPhone 6 Gives World Tech Hub Taiwan Just A Small Bite
Gene Ellis

Iowa Beef Processors, Boxed Beef and a New Big Four - 0 views

  •  
    Article by David Warsh on tech. change
Gene Ellis

A Lot Changes in Tech Over Four Years and 1,000 Blog Posts - NYTimes.com - 0 views

  • A Lot Changes in Tech Over Four Years and 1,000 Blog Posts
Gene Ellis

The iEconomy - Nissan's Move to U.S. Offers Lessons for Tech Industry - NYTimes.com - 0 views

  • Along with many economists, Mr. Summers argued that an overly aggressive trade stance could hurt manufacturing — by, for instance, pushing up the price of imported steel used by carmakers — and over time, drive companies away.
  • “People will pay more for the product because it’s produced in a place that can’t make it at the lowest cost,” he said. “It burdens exporters because they pay more for their inputs. And it removes the spur of competition.”
Gene Ellis

The iEconomy - Nissan's Move to U.S. Offers Lessons for Tech Industry - NYTimes.com - 0 views

  • Since its first pickup truck rolled off the line here on June 16, 1983, Nissan has produced more than seven million vehicles in the United States. It now employs 15,000 people in this country. It makes more than a half-million cars, trucks and S.U.V.’s a year, with the plant in Smyrna building six models, including the soon-to-be-produced, all-electric Nissan Leaf.
  • Could the Japanese car companies achieve the same quality using American workers?
  • including currency fluctuations that made exporting more expensive. The final push came from American anger as imports grabbed one-fourth of the United States market.
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  • “The pressure put on the Japanese was absolutely critical for them to agree to export restraints,”
Gene Ellis

The iEconomy - Nissan's Move to U.S. Offers Lessons for Tech Industry - NYTimes.com - 0 views

  • To train its new American engineers, Nissan flew workers to its Zama factory in eastern Japan. There the Nissan officials, assisted by English-speaking Japanese workers called “communication helpers,” imparted the intricacies of the company’s production techniques to the Americans.
  • Early on, Nissan guarded against quality concerns by not relying on parts from American suppliers. Most components were either shipped from Japan or produced by Japanese companies that set up operations nearby.
  • Gradually, American parts makers were allowed to bid on supply contracts. Even that came amid arm-twisting by Congress, which passed a law in 1992 requiring auto makers to inform consumers of the percentage of parts in United States-made cars that came from North America, Asia or elsewhere.
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  • But no place has benefited to the extent of Tennessee, which counts more than 60,000 jobs related to automobile and parts production.
Gene Ellis

The iEconomy - Nissan's Move to U.S. Offers Lessons for Tech Industry - NYTimes.com - 0 views

  • The federal government would give Foxconn tax breaks, subsidized loans and special access through customs and lower tariffs for imported parts if it started assembling Apple products in Brazil, where Foxconn was already producing electronics for Dell, Sony and Hewlett-Packard.
  • Apple products remain expensive; the latest iPad, for instance, costs about $760 in Brazil, compared with $499 in the United States. But because those devices are made in Brazil and lower tariffs are charged on parts used to assemble them, Foxconn and Apple are pocketing larger shares of the profits, analysts say, offsetting the increased costs of building outside China.
Gene Ellis

How Jean Tirole's Work Helps Explain the Internet Economy - NYTimes.com - 0 views

  • How Jean Tirole’s Work Helps Explain the Internet Economy
  • He also said that industries should be regulated differently depending on their distinct characteristics.
    • Gene Ellis
       
      excellent point!
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  • Many Internet companies, for instance, give their products away free, which means that antitrust law built on pricing is irrelevant. But a result is they grow so fast that they can quickly become monopolies.
  • “He’s helping us think about what is one of the greatest challenges of our time, how to deal with what feel like friendly monopolists,” said Tim Wu, a Columbia Law School professor who studies Internet policy and antitrust. “Amazon, Google and the others give us all this stuff for free or lower prices, so we love them, but are they dangerous in ways we don’t always see?”
  • In the 2002 paper with Jean-Charles Rochet, Mr. Tirole defined two-sided markets, or markets that “get both sides on board” by charging more to one set of customers in order to increase demand by others.
  • In the tech industry, it explains why Google, Facebook and Twitter offer their services free – the more people who use them, the more advertisers they can attract. Likewise, Amazon lowered the price of its new phone to 99 cents in part because smartphones succeed when they have a lot of apps – and developers won’t want to build apps for Amazon’s phone unless a lot of people are using it.
    • Gene Ellis
       
      nice example...
  • For regulators, tech companies have been a riddle in part because they do not follow the behavior of typical monopolies: Many do not charge for their products, and companies that offer entirely different products are nonetheless competitors. For instance, Google’s chairman, Eric Schmidt, argued in a speech on Monday that Google’s biggest competitor in search is Amazon and in mobile is Facebook — even though neither one is a search engine.
  • “Inspired by him and others like him, our effort was to try to move beyond the traditional understanding of something like an aluminum cartel who just raised their prices on aluminum and everything got more expensive,” said Mr. Wu, who was a senior adviser to the Federal Trade Commission on antitrust matters.
  • For consumers, the costs include absorbing advertisers’ ad spending by paying more for their products, being tracked and shown personalized ads, and giving up privacy.
  • our end-users do not internalize the impact of their purchase on the other side of the market.”
Gene Ellis

With Restructuring Done, EADS Faces New Challenges - NYTimes.com - 0 views

  • One of the big arguments being made by the economic ministry is, ‘We give you lots of defense business, so you have got to provide a lot of high-tech jobs in Germany.’
  • EADS’s future in the United States, meanwhile, poses different challenges.
  • Those attempts have included an ultimately unsuccessful bid for a $35 billion aerial refueling tanker contract with the U.S. Air Force as well as the failed attempt last year to merge with BAE, one of the Pentagon’s top 10 contractors.
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  • But with major U.S. players like Lockheed Martin and Northrop Grumman almost certainly out of reach for national security reasons,
  • “I have no illusions about how difficult it is to sell non-American products on the American market,” Mr. Enders said. “We should not even dream about trying to sell a product to a U.S. defense customer if it is not really superior to what our American peers are offering.” Analysts tended to agree.
Gene Ellis

Education standards: Best and brightest | The Economist - 0 views

  • Pupils in Finland, Korea, Japan and Canada consistently score much higher than their peers in Germany, Britain, America and France.
  • In each country, the Americans are startled by how hard their new peers work and how seriously they take their studies. Maths classes tend to be more sophisticated, with lessons that show the often fascinating ways that geometry, trigonometry and calculus work together in the real world.
  • Classrooms tend to be understated, free of the high-tech gadgetry of their schools back home. And teachers in every subject exhibit the authority of professionals held in high regard.
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  • When teachers demand rigorous work, students often rise to the occasion, whereas tracking students at different cognitive levels tends to “diminish learning and boost inequality”. Low expectations are often duly rewarded.
  • America’s classrooms do not fare well in this book. Against these examples of academic achievement, the country’s expensive mistakes look all the more foolish. For example, unlike the schools in Finland, which channel more resources to the neediest kids, America funds its schools through property taxes, ensuring the most disadvantaged students are warehoused together in the worst schools.
Gene Ellis

Europe's Young Entrepreneurs - NYTimes.com - 0 views

  • Europe's Young Entrepreneurs
  • Mr. D’Aloisio was still a 17-year-old British student in 2013 when he sold his news-reading app, Summly, to Yahoo for what some reports said was as much as $30 million.
  • Jan Koum, the Ukrainian-born American who was a co-founder of WhatsApp, a mobile messaging application.The company was acquired by Facebook a few months later. “I turned down his offer, but since his company then got sold for $19 billion and every employee held some options, it’s a bit painful to think about that decision,” Mr. Cuende said.
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  • The American tech sector has started thinking likewise. In some parts of Google, for instance, as many as 14 percent of employees do not have college degrees.
  • Eiso Kant, a 24-year-old Dutch entrepreneur — a veteran, by the conference’s standards — has settled in Madrid. He initially came to study at its IE University, but then started Tyba, an online job recruitment platform focused on start-up companies.
  • Aya Jaff, a 19-year-old, Iraqi-born German, set up an association to teach coding to young people, while herself completing a degree in computer sciences.
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