Posts Tagged ‘emerging’

The rise of state capitalism! A sustainable (new) business model or not?

January 22, 2012

The spread of a new sort of business in the emerging world will cause increasing problems

With the West in a funk and emerging markets flourishing, the Chinese no longer see state-directed firms as a way-station on the road to liberal capitalism; rather, they see it as a sustainable model. They think they have redesigned capitalism to make it work better, and a growing number of emerging-world leaders agree with them. The Brazilian government, which embraced privatisation in the 1990s, is now interfering with the likes of Vale and Petrobras, and compelling smaller companies to merge to form national champions. South Africa is also flirting with the model.

This development raises two questions. How successful is the model? And what are its consequences—both in, and beyond, emerging markets? Read more ..

The New Zealand Government is heading in the opposite direction

A key platform for the New Zealand Government leading into the general election of 2011 was to follow a systematic program of selling down it’s interests in State Owned Assets (SOE’s) like Mighty river Power and Meridian Energy as a starter. Noting that these assets have performed solidly when measured against the simplistic western and capitalist measures like ROA, ROE, ROI etc.. Given the direction of the emerging country giants like China and other pacific neighbor countries, lets watch this space as New Zealand and emerging country giants follow different paths and assess just which model is the more sustainable.

What do you think?

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The planet breathes a huge sigh of relief today

December 11, 2011

UN climate talks agree a legal pact on Global warming

Amid all the dooms-dayers, the UN climate change talks in Durban (South Africa) agreed a pact this morning that for the first time would force all the biggest polluters to take action to slow the pace of global changing.

Conference of the Parties Plenary

Conference of the Parties Plenary

 

The deal follows years of failed attempts to impose legally-binding, international cuts on emerging giants, such as China and India.

The developed world had already accepted formal targets under a first phase of the Kyoto Protocol, which runs out at the end of next year, although the United States had never ratified its commitment.

After days of emotional debate, the chairwoman of the United Nations climate talks urged delegates to approve four packages, which have legal force.

“We came here with plan A, and we have concluded this meeting with plan A to save one planet for the future of our children and our grandchildren to come,” South African Foreign Minister Maite Nkoana-Mashabane said.

“We have made history,” she said, bringing the hammer down on more than two weeks of sometimes fractious talks in the South African port of Durban, the longest in two decades of UN climate talks.

The deal was welcomed by Brazil, one of the globe’s emerging economic powers.

“I am relieved we have what we came here to get. We have a robust outcome, an excellent text about a new phase in the international fight against climate change. It clearly points to action,” said Brazil’s climate envoy Luiz Alberto Figueiredo.

The Durban talks had been due to wrap up on Friday, but dragged into a second extra day on Sunday because of disputes over how to phrase the legal commitment.

The European Union pushed for strong wording and the three biggest emitters the United States, China and India resisted.

“We’ve had very intense discussions, we were not happy with reopening the text, but in the spirit of flexibility and accommodation shown by all, we have shown our flexibility, we have agreed to the words you just mentioned and we agree to adopt it,” India’s Environment Minister Jayanthi Natarajan said.

But environmentalists and small island states, which fear they literally could sink under the rising sea levels caused by climate change, have said it is still not strong enough.

Source: The Daily Star

While it is literally only a matter of a couple of hours or so since the negotiations have ended with this new agreement, and the full agreement details understood and interpreted, this has to be a very, very good day to see all the countries of the world step up.

What do you think?


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