Obama's Plans for America
President Barack Obama will go down in history as a man with great intellect, composure and resilience. Despite the makeup he and others wore during last night's broadcast, he's holding up physically better than many others. Even Biden still looks fresh.
Beyond appearances, Obama addressed several critical issues facing this nation. Affordable higher education, putting a halt on increasing interest rates on student loans, retooling Americans for current and future jobs by having community colleges serve as educational and retraining institutions. He called out the financial institutions that received the bail out; however the average American homeowner is still losing their homes. Let's hope the federal investigation of Wall Street is executed post haste.
Our President will be remembered for pulling US service people out of Iran. It was a long ordeal that resulted in deaths and property destruction. Whether Saddam Hussein was a national threat or Al-Quaeda is an organized body needs exploration. One thing the war brought to Americans is employment in the form of tour-of-duty. Soldiers sent money home and were able to pay off debts. We're living in critical times when men and women "join up" in order to sustain the family back home. Our rich American citizens need not have fighting in their income-generating considerations. President Obama didn't mention this but he did state it is time for those with incomes of $1,000,000 and more to pay their share of taxes. He said millionaires are paying less taxes than middle income households.
He didn't address whether Unemployment Insurance will be extended given the imbalance between the number of unemployed and available jobs. He mentioned that jobs have been created but the issue is whether people can live on these wages. So his talk was absent of stating the kinds of jobs created.
Yes, the United States has oil and gas deposits that could provide 100 years of energy. Isn't it time that this nation make significant investment into wind, wave, and solar energy? Back in the 70's and 80's there existed the US Dept. of Energy whose mission was to audit the gasoline industry and do R & D into alternative energy applications. That department was dismantled however, it's findings remain. We need to apply them. This world can't sustain the underwater oil spills or rock fracturing to release natural gas. Our President asserted his support of "fracking" which raised many "Ughs" from people seated around this writer.
Vice-President Joe Biden and House Speaker John Boehner sat quietly behind Barack Obama. Biden projected confidence and acceptance of the State of the Union Address, while Boehner wore the mask of rock hard opposition. Was that necessary? Did he not agree that Americans need jobs and to keep their homes? Did he not agree that Wall Street needs to be investigated? Does he think millionaires and billionaires shouldn't pay taxes based on their tax bracket? Bipartisanship has its limits. The legislature has to play another game. The American people need
change.
Labels: Barack Obama, State of the Union, US economy, US politics
Venture Capitalists Talk Smart Money Moves
Venture capitalists talked about smart money moves during this financial restructuring period at CresaPartners, October 29, 2008. Around the table were Joseph Killackey of NewSpring Capital and Lindzen Capital Partners’ Kristian Hansen, both invest in digital media and technology companies. Why listen to technology VCs, given they were involved in the dot-com bust of the 90’s? Listen because they are wiser from the incident.
Kristian Hansen believes digital media is one area that will fair well. “The economy is getting worse but this is the cheapest period to buy business equipment, says Hansen. “PCs are cheap; essential online backend services are free. Much product development and business strategy can be derived from crowd sourcing. An entrepreneur can start a company with $100,000—maybe $40,000.” Technology VCs will study the business plan to determine whether it’s a good investment.
It’s important to view the economy in terms of creative destruction. iBreakfast founder and event sponsor Alan Brody sees this as a time of great opportunity. Creative destruction is taking advantage of property loss to use it for a more innovative use. For example Ryan Air, a European concern, is buying airplane fleets and specializing in flights to countries known for quality yet, inexpensive medical or therapeutic treatment.”
All around the table agreed “bailing out people who’ve been making mistakes for forty years had to stop.” Joseph Killackey desired more thoughtful investing. “Entrepreneurs and VCs need to stop chasing ‘stupid deals’—enterprises satisfying passing wants—and identify business that meets people’s real needs. What people currently purchase ‘on the margin’ or on credit cards are good indicators.” Killackey believes capitalists and consumers need strong leadership at this time.” Alan Brody gave a thumb up to Barack Obama’s choice of Warren Buffet and Robin Ruben as his chief financial advisors.
Translating this talk for application by average working people includes reducing frivolous spending. Work together and pool funds the way venture capitalist do. More foreclosures and property seizures will result in auctions and odd-lot sales to recirculate the items back into the economy; i.e., $700,000-homes are available at a fraction of original sale price. Though credit will be tight through March 2009, hand-held device and laptop prices will fall.
Labels: financial meltdown, society, technology, US economy, venture capital
Like Deer Staring into the Headlights
While news reports still won't use the word depression to label the economic picture for America, we have the symptoms of a depression. 70% of American homeowners are at risk of foreclosure.
GM lost $15 billion in sales because people stopped buying trucks and SUVs in the first two quarters of 2008. The airline industry is laying off employees and
Starbucks will close 3,000 outlets. With optimism and a plan, we can swing this period to our advantage. It takes a good mind to be optimistic and formulate a plan. The question is how many of us have "good minds"....and if we don't have one, can we develop "good minds."
There was a job fair at the New York Hilton, July 31, that was an eye-opener into the psyche of some New Yorkers. It was billed TechExpo in certain circles but for the most part it was the Diversity Fair. Women and men of various ages, religions and ethnicities were there. The table under observation was
Web Grrls International. Unlike the other exhibitors,
Web Grrls is a membership organization for women involved in technology and the Internet for personal or professional reasons. Members can meet face-to-face or connect online. Due to the high volume of job-seekers to the table, the display card had the following handwritten message: "We Aren't An Employer And Have No Jobs." Obviously people didn't notice the sign because they came to the table and attempted to leave resumes on it. People were leaving resumes without a discussion.
Looking at the growing crowd, you saw job seekers in jeans, evening wear, heavy jewelry, tie-less, jacket-less and, unfortunately clue-less. Too many job seekers didn't know what they wanted to do. They couldn't explain what interest them. They were like deer staring into the headlights of a car. Hey, didn't anyone tell them how to dress for success, discover their passion or how to strike up a conversation? One recent journalism grad from
Hofstra University didn't want to learn to blog because she'd be in competition with newspapers. Didn't
Hofstra's journalism professors tell her about social media, RSS feeds, podcasting, blogging, Nexis Lexis, or search engines? Didn't this fresh-faced grad know that the
New York Times' Web site is one of the most popular in the world?
Another Indo-Asian gent came to the
Web Grrls table and wanted to know what it was all about. Once told it was a membership organization for women involved in technology and the Internet, however men may join, he wanted to know how the organization made money. Would you believe that a membership organization's revenue base would consist of event tickets and membership dues? This gent couldn't accept this; it had to be more complex.
In these economic times people have to study trends to uncover the jobs in demand, know what's their passion, and how to best present themselves. The number of people that didn't have a clue could have images of roadkill along a US interstate highway dance in a smarter person's head. Americans have too many online tools and resources to be clue-less and hope someone in human resources will find something for them to do. Human resource professionals have benefits, trainings, grievances and payroll to handle to make the time to tell someone what his passion is. Can you imagine what may have run through the minds of the recruiters at this Diversity Fair?
Labels: cashless society, job fairs, job search, New York City, technology, US economy, Web Grrls International
Lonny Love, Airbrush Artisan and Entrepreneur
Lonny Love is an airbrush artist who started out spraying graffiti on walls. After many run-ins with property owners and police, he realized that he could make money from his art. He's been a professional airbrush artist for 18 years.
His canvases are t-shirts, sneakers, jeans, hoodies, "Tims", fitted caps and trucker caps. He quite talented and much sought after. Lonny's significant customer base are jewish people. He airbrushes at bar mitzvas and does vending at JCC events.
I watched him work his craft in a mall in New Jersey. He was always busy doing his art. Alongside him was Hope, his mate. She made and sold bars of soap and pie- and cocktail-shaped candles. She also put glittery messages on Santa caps. They had a good business, although they say business has been much, much better. Hope lovingly packaged her soaps and candles and restocked her display shelves. She kept her head to the grindstone to prepare those glittery Santa caps. When she's not doing caps, soaps and candles, Hope is braiding hair or doing manicures some place else.
Seeing the industry, cash and public apreciation, had me think about the youth and their career options.
Lonny and I chatted about it. There are options; no one needs to starve. People can consider airbrush artistry, candlemaking, soapmaking and eBay. Yes, eBay. Young people could walk through more affluent neighborhoods and pick up cast aways. After setting up an account. After setting up an ebay account, sell what's collected on through their store or an auction. The candles and soaps could be sold through vending or merchandising to smaller retailers. I mentioned that selling drugs and prostitution were unnecessary. Lonny said, "People do that because they're not thinking."
Lonny Love, commissioned artist and vendor, has been at this for 18 years. He says he's been all over. In fact, from December 24 through early January, he's in St. Croix working a festival.
A family friend visited him at the mall. They spoke about the economy. The quagmire of credit card debt and mortgage foreclosures across the nation. The friend described a dinner party wherein most of the couples in attendance were grossing six figures. The friend said three men disclosed that they recently lost their jobs. The friend encouraged Lonny to maintain his entrepreneurial endeavors. So the next time you see a vendor ask for some business advice.
About the Santa caps: they bought them at a discount store for 99 cents each. After glittering, they sold for $12.
Labels: airbrush artistry, arts and crafts, careers, credit card debt, graffiti, Hip Hop, lifestyle, mortgage foreclosures, society, US economy
Thanksgiving Is Feast or Famine for Retailers
Recent NYC news broadcasts indicate that retailers know Friday after Thanksgiving is the tipping point to the US economy. No one uses the words recession or depression but this downturn is a real drag.
Retailers want to know are US shoppers willing to buy the great products on the shelves. Are US shoppers able to pay the prices for the great prducts on the shelves?
One TV reporter, two days before Thanksgiving, back-handedly suggested to viewers to use their consumer power. She said that retailers and manufacturers may have to reduce prices and "people may forego a $4.00 Starbucks coffee for something cheaper." Imagine that. The product prices at market entry will be lower? That's basic economic theory: lower prices result in higher sales.
Has it really come to the "Consumer is King Era?" Has that day really come when the working stiffs--including stiffs who earn six digits--don't feel stiffed but sought after? Wow! This is a momentous occasion. The dollar is weaker than the Euro and other foreign currencies such that our European "cousins" are haveing great shopping sprees while on holiday here.
Manufacturers have to do something. They've tapped the global consumer market. They've tapped the global labor market. They've tapped the global financial market. Prices have to go down so more people can afford these truly great products.
Labels: consumerism, Eurodollar, media, news slanting, price slashing, prices, society, Starbucks, Thanksgiving, US economy
