Source: http://money.cnn.com/2008/12/30/news/international/china_migration.reut/index.htm
1. Chinese workers leaving cities in droves:
The social impact of the global growth slowdown is now becoming evident. The migration of over 130 million (rural) Chinese (prime drivers of China's long extended growth) to cities and industrial centres (as workers) is one of the largest migrations recorded. These 130 million workers / migrants - are known as China's "floating population". This floating population of workers rarely settle where they work (due to prohibitive residency rules) and they return in droves to their hometowns for the Chinese lunar new year & then go back to work, later in the year.
But today there appears to be a reverse migration. As demand for consumption in the world dips - the production centres of the world face a challenge of closing shutters.
It will be critical to see how many of these workers (floating population) do really return to work.
Source: http://biz.yahoo.com/hftn/081229/122908_miller_downwardmobility_fortune.html?.v=3
2. The Upside of downward mobility:
Fact: As much as 100 million Americans today live in families that are earning less in real terms than their parents did at the same age.
The rise of economies of China & India means the earnings picture for US is expected to get worse - One in three American jobs may be exposed before long to competition from workers overseas, resulting in putting an effective wage cap on large swaths of employment even if jobs don't actually move offshore.
More research dispels a myth that upward social mobility is higher in US as compared to Europe.
Post depression and world war, there was only America that was left standing with no competition (economic, business) in sight the growth in the subsequent years was astounding. The emergence of the classless society, distribution of prosperity was enabled by the Labor unions, a robust minimum wage, progressive taxes, and a sense of restraint on corporate boards regarding the salaries of chief executives - but those were the early days...
Tuesday, December 30, 2008
Friday, December 26, 2008
Let Chaos Reign, Then Rein In Chaos—Repeatedly: Managing Strategic Dynamics For Corporate Longevity
Source: This is an article by "ROBERT A. BURGELMAN* and ANDREW S. GROVE". Titled - "Let Chaos Reign, Then Rein In Chaos—Repeatedly: Managing Strategic Dynamics For Corporate Longevity"
They explore the factors
behind corporate longevity.
By combining longitudinal field research and executive experience, the authors propose that corporate longevity depends on matching cycles of autonomous and induced strategy processes to different forms of strategic dynamics, and that the role of alert strategic leadership is to appropriately balance the induced and autonomous processes throughout these cycles.
It is further proposed that such strategic leadership is the means through which leadership style exerts its influence on corporate longevity.
Their findings can be related to organizational research on structural inertia, learning and adaptation, as well as to formal theories of complex adaptive systems. They also contribute to resolving the seeming contradiction between a study of corporations that attributes exceptional long-term success to leadership style, and the more common proposition that strategy is the determinant of long-term performance.
This is an insightful article and beyond the jargon very interesting to read.
I present my synopses of the article here:
They explore the factors
behind corporate longevity.By combining longitudinal field research and executive experience, the authors propose that corporate longevity depends on matching cycles of autonomous and induced strategy processes to different forms of strategic dynamics, and that the role of alert strategic leadership is to appropriately balance the induced and autonomous processes throughout these cycles.
It is further proposed that such strategic leadership is the means through which leadership style exerts its influence on corporate longevity.
Their findings can be related to organizational research on structural inertia, learning and adaptation, as well as to formal theories of complex adaptive systems. They also contribute to resolving the seeming contradiction between a study of corporations that attributes exceptional long-term success to leadership style, and the more common proposition that strategy is the determinant of long-term performance.
This is an insightful article and beyond the jargon very interesting to read.
I present my synopses of the article here:
Thursday, December 25, 2008
US Energy Conservation - efficiency - Impetus Impact
Source:http://money.cnn.com/2008/12/23/news/economy/conservation_stimulus/index.htm?postversion=2008122410For the US the new mantra is 'Save energy & the economy' Its effectiveness and impact would unravel in the coming months but it is a step in the right direction.
This mantra is to be given form in the following manner. There are a lot of opportunities emerging that can be leveraged by business and individuals in terms of jobs and business projects, but its real impact in creating value beyond the said incremental value is the key to its success.
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