Tuesday, December 30, 2008

eCommerce Blog 10

In the WSJ online article Painful Choices as College Bills Wallop Families by Philip Shishkin he talks about the hardships many students and families are experiencing. Shishkin covers a wide array of ways that families are trying to curb the high college bills, the main way being filing for federal aid. Also, talked about in the article was how many families are trying to scrounge up money to just pay for their kids to finish up this school year. It seems as though a lot of these people are stuck in a bad spot because if they don't send their kids to college then they're missing out on a lot of good jobs and if they do they're having trouble finding the money and then paying off the huge loans they've accumulated. Another thing people in the article were doing was trying to find any job available to help pay for the loans which is especially difficult with the poor job market out there and has resulted in many asking relatives for loans.

This article really interested me because it's a situation that I could have been in but was lucky enough to avoid it. Although, with a lot of people including current freshman it's going to be a tough situation to avoid. The sad thing is in today's world if you don't have a college education your pretty much looked down upon when it comes to applying and getting corporate jobs. In my opinion part of the problem is the ridiculous prices these colleges are charging. I know when I first enrolled tuition was in the high 20's and now it's in the high 30's just after 4 years. I think this situation is just going to get worse with the increasing cost of college and many people knowing it's a necessity now and they have to go. This probably isn't a viable option but I think it's a start to fixing the problem of the ridiculous rising tuition costs, when students enroll they should have to pay that same cost all four years or at least a number close to it instead of a ten thousand dollar increase over four years. I know I never thought my tuition would rise that much and thought the price I started out paying was reasonable and I could handle it but now it's out of control and is going have a big impact on what I do with my money.

eCommerce Blog 9

While searching through the economy section of the WSJ online I found an article called Home Prices Declined at Record Pace in October by Sudeep Reddy. This article talked about the plummeting prices in the housing market as well as what the Obama administration might do to help out. Although the Obama administration hasn't outwardly stated what they were planning on doing the article says that current democrats are trying to pass measures that will allow homeowners to stay in their houses. Reading other articles the measures that the Democrats were trying to pass was allowing bankruptcy judges to alter mortgages to lower payments so homeowners could stay in their hoses instead of foreclosing. Also, while reading additional articles these measures that the democrats are trying to pursue are really being looked down upon by banks because they're the ones who have to incur this loss.

I was kind of interested in this article because I'm graduating here in May and am hoping to get a house shortly after that. Right now the housing market looks somewhat good to purchase a home however, the only problem especially for me is the job market. I'm kind of hoping the market begins to level out here in the next year, so when I go to buy a house it will be the perfect timing and I get a good deal. Also, with the plans Obama and Democrats are pursuing it should help out the situation as well as Bush's 4.5% mortgage rates. With both these plans it will hopefully improve the downturn in the market and begin to turn it around since the Obama plan targets current homeowners, thus lowering foreclosures and the Bush plan which helps out home buyers increasing interest in the market. With both these plans working in unison I think by the time I go to buy a home the market will be settling.

eCommerce Blog 8

In the WSJ online article Ways to Stretch Travel Dollars in the New Year by Scott McCartney he covers all the latest ways to search for low priced fares. McCartney provides a wealth of information for all travelers especially for the spring break travelers here in the coming months. The article provides old search sites like Expedia, Orbitz, and Travelocity as well as new and improved sites such as Yapta and ExpertFlyer. These new sites that McCartney lists actually update the flight destinations automatically everyday, looking for the lowest prices then send you an update of those prices. Also, the article provides places were you can buy extremely cheap tickets such as from consolidators who sell tickets that airlines think they won't be able to sell.

The reason I was interested in this article is because I'm trying to save the most money I can for my spring break trip and this article provided a lot of ways to do it. The sites provide in the article are great ways on saving money especially if your on a budget. The Yapta site seems like it's going to be a really good way to keep you updated on the airfares so you don't have to constantly check on your own. Sites like Yapta are great because they not only save you money but they save you time from searching around all the sites for the best deals. Also, Yapta is in beta testing so if you do use it you can send your feedback to the company so they can improve it to meet some of the users additional needs.

Monday, December 29, 2008

eCommerce Blog 7

In the WSJ online article Georgetown Not Smiling on Apple Store by Yukari Iwatani Kane she writes on some interesting things Apple is starting to create. One of the things Apple is developing is an Apple store, although the reception to the store is positive in many places the historical Georgetown sees it as "not fitting into their neighborhood". Also, Kane reported on the warm reception given to an Apple store inside Georgetown University's bookstore.

I didn't really choose this article to blog about Georgetown not accepting an Apple store in their neighborhood I chose it because I was interested in seeing some of the new ideas Apple is coming up with. I agree 100% with he stance Georgetown is taking against the Apple store since Georgetown is a historical district while the Apple store in my opinion is a very new and cutting edge design. After reading this article and some of the related articles I think Apple is really leading the way in electronics and is stepping out of the normal ways of business. I know I'd rather go to a bookstore and see an Apple store inside it with Apple technicians then going to a normal bookstore with your plain items and atmosphere.

eCommerce blog 6

In the WSJ online article Tainted-Milk Victims to Get Payments by Loretta Chao she writes on latest developments to the tainted-milk episode in China. Some of the new information Chao reports on is the compensation package 22 dairy producers are offering. Although, the dairy producers are offering a onetime payment many believe it is not enough and are planning to pursue lawsuits against the companies. However, according to Chao if these companies are taken to court it will be difficult for the plaintiffs to win. The tainted-milk scandal had a widespread impact affecting 294,000 children and killing six. Chao also reports that the reason melamine was added to the milk was to inflate nutritional readings.

When I first saw this article I really didn't know anything about what had helped lead to the scandal. I just thought that it was an honest mistake and some companies accidentally let some melamine get into a batch of milk. However, after reading the article I couldn't believe that a company knowingly put an industrial chemical into milk to falsely boost the nutritional readings of the product and not even care about the impact to the children. On top of this I was somewhat surprised that the Chinese courts haven't accepted or reject the legal complaints filed against the dairy companies. I'm not sure what legal affects this scandal has had on the executives of the company but in my opinion I think the people who allow this to happen no matter what country they're in should be sentenced to a significant amount of jail-time especially if what you've done has killed a person.

***Just to follow up on the story the former Chairwoman of China's Sanlu Dairy was sentenced to life in prison while three others recieved the death sentence.

Sunday, December 28, 2008

eCommerce blog 5

In the article Hope Fades for PS3 as a Comeback Player on WSJ online by Daisuke Wakabayashi he reports on the challenges facing Sony's PS3. One of the main reasons for Sony's lackluster PS3 sales that Wakabayashi focuses on is the PS3's steep price. Unlike the relatively reasonable pricing of Microsofts Xbox 360 and Nintendos Wii which retail at around $250, Sony sells there product at $400. In the article it says that Sony is determined to keep pricing steady to stay out of the red. When Sony first priced the PS3 they were able to rationalize the high cost with the addition of the built in blu-ray player. However, now that blu-ray player prices have dropped, you can buy a competitors console and a blu-ray player for less than the PS3. Also, one of the other reasons Wakabayashi reports for the falling PS3 sales are the lack of popular titles.

I agree 100% with the reasons Wakabayashi points out for the falling PS3 sales especially the high price. However, I believe another reason for the fall in sales is because the play station console itself has been out for what feels like forever. Consumers want something new not just a changing of the name from PS1 to PS2 to PS3 and the addition of a blu-ray player. One of the reasons I chose to blog about this article was because I played a Nintendo Wii for the first time yesterday and thought it was the greatest thing ever. In the past I've owned almost every game console out there but the Wii is something new and exciting unlike the PS3. Also, the Wii kind of fits with the times since exercise and fitness seem to be a big thing now, so what's better than playing a video game and getting some exercise at the same time. Unlike Sony's PS3 which really targets only young kids and adults the Wii has no age limitations and is actually pretty popular with older adults. In my opinion the Wii is somewhat of a revolution because it's a product for all ages and is extremely interactive. Unfortunately for Sony I don't see PS3 sales going back up to where they want them once more people experience the Wii the PS3 will be a thing of the past.

eCommerce blog 4

In the Wall Street Journal article An Ethanol Bailout by an unknown columnist in the opinion section it touches on a new industry seeking governmental bailout help. This industry is the ethanol industry and one that needed government help to begin operations in the first place and now that it is faltering it needs more. While gas prices were high ethanol was considered a substitute however, since gas prices have plummeted it has caused ethanol producers to lower their prices to stay competitive. However, at these current prices for ethanol fuel the price is barely covering the cost of production. Thus, the industry has began to ask for federal bailout money to keep the sectors operations running. Additionally, the industry has asked congress to increase the 10% limit of ethanol you are able to add to gasoline.

One of the reasons I decided to blog about this article is because I found it a sign of the times in that the government and big business give no thought to what they do except for what they thinks going to get them votes. In my opinion ethanol fuel was a bust from the start, I felt it was just a way for politicians to try and gain some votes from farmers. Just using common sense you could tell that an industry that can't support itself to begin with shouldn't be around. There are so many other sectors that have much more promise like solar energy, electric energy, and even hydrogen. The question I ask myself is why would the government support ethanol, which doesn't provide benefits environmentally and economically. Most of all ethanol isn't even good for your car to begin with that's why they set a limit on the amount able to be added to regular gasoline.