Hong Kong’s Couples Invited to Wed at McDonald’s

In 2006, Hong Kong changed its marriage law to permit for weddings to be held outside places of worship or City Hall.  Since then, weddings have taken place on boats, in underwater theme parks, and shopping malls.  The latest company to cash in on this trend is... McDonald's.  A McWedding starts at $1280, which includes food and drink for 50 people, a "cake" made of stacked Apple Pies, gifts for the guests, and invitation cards with photos of the couple.  McDonald's employees dress in black suits, greet guests, and deliver Big Macs and fries with the proper pomp.  There is no alcohol -- toasts are accomplished with sundaes or shakes.

Hong Kong’s Couples Invited to Wed at McDonald’s - NYTimes.com

Foreign Investment Ebbs in India, and Questions Begin

Although India's economy is growing at a healthy 9 percent per year, and a growing middle class is consuming goods at historic levels, foreign direct investment (FDI) into India shrank by 31 percent in 2010, according to the United Nations.  The decline highlights the challenges foreign companies face when trying to operate in India, where extremely restrictive laws, inefficient bureaucracy, and corruption are starting to scare away investors.

Foreign Investment Ebbs in India, and Questions Begin - NYTimes.com

Russia's WTO Membership Faces Rocky Road

Russia remains the only major world economy that is not a member of the World Trade Organization (WTO).  In large part, this is because Russia's major export, oil, is already tariff free around the world, so Russia hasn't felt the pressure to join the WTO in order to obtain market access for its companies.  However, foreign investors are increasingly putting pressure on Moscow to enter the global group.  Entry is supposed to happen in 2011, but it won't be easy.  Russia still has steep tariffs, high levels of corruption, and customs controversies over goods valuations that will cause Russia many more transition problems than China, which entered the WTO in 2000.


Russia's WTO Membership Faces Rocky Road - WSJ.com

Dollar's Fall Rocks Far-Flung Families

The U.S. dollar is struggling.  Against all major world currencies, a dollar buys less currency today than it used to.  Within the U.S., this makes imports more expensive but also helps the export competitiveness of U.S. companies by making U.S.-produced goods cheaper overseas.  Outside the U.S., however, the dollar's fall is having dire consequences for many economies that rely on the exchange rate.  One such economy is the Philippines, where the exchange rate has strengthened the Philippine peso 15% against the dollar in the last year.  Over 10% of the Philippines GDP is made of remittances, where Overseas Filipino Workers (OFW) send money back to the Philippines.  These workers typically earn U.S. dollars, which means their remittances are now worth less in the Philippines.  This had led some in the Philippines to argue that the time has come to stop depending on these remittances and to start creating job opportunities at home.

Dollar's Fall Rocks Far-Flung Families - WSJ.com

Alabama Sock Town Suffers as Cotton Soars

Fort Payne, Alabama, calls itself the "sock capital of the world."  Ten years later, about one in eight pairs of socks came from Fort Payne.  Sock manufacturing is largely automated, so labor is not a huge component of the cost.  The closing of the sock's toe, however, is still done by hand so any cost advantage becomes important when multiplied over high volume.  A few years Ft. Payne fought to re-instate a sock tariff to protect itself from cheaper laborers in South America, but today, more mills are still closing in Ft. Payne.  The culprit this time is the high cost of cotton, up to $2.40 per pound, double last year's price.  Only 10 mills remain in Fort Payne, and while some are focusing on higher end (and profit) product like organic socks, the industry is once again in deep trouble.

Alabama Sock Town Suffers as Cotton Soars - WSJ.com

Huawei waits for White House review before selling unit

It was the deal that almost slipped under the radar screen -- in May, Chinese telecom equipment maker Huawei purchased U.S. startup 3Leaf Systems for $2 million, a tiny deal in the world of M&A.  3Leaf creates technology that allows groups of computers to work together like a more powerful machine.  When the Pentagon found out about the deal, however, it asked the company to file for a review with the Committee on Foreign Investment in the United States (CFIUS), an interagency committee that reviews FDI into the U.S. that may pose a national security risk.  Now, CFIUS has recommended Huawei unwind the deal and divest 3Leaf, something Huawei doesn't want to do.  The company has appealed to President Obama for a final decision.

BBC News - Huawei waits for White House review before selling unit

Groupon in Japan Faces Growing Pains

Groupon isn't just a hit in the U.S. -- it's rapidly expanding overseas as well, with 50 million subscribers in 35 countries.   Part of its expansion strategy, however, is to acquire local startups rather than compete with them, which has led to some growing pains for Groupon.  Most recently, a nationwide deal in Japan went bad, forcing Groupon founder Andrew Mason to post an online apology to Japanese customers (above).  The two-year-old company now pulls in more than $1 billion in revenue, and the business model of offering huge discounts to popular goods and services looks set to flourish in international markets.  Apparently a good deal transcends all cultural barriers.

Groupon in Japan Faces Growing Pains - NYTimes.com: "- Sent using Google Toolbar"

Rising China Bests a Shrinking Japan

It's official -- China is now the world's second largest economy, displacing Japan from a position it's held since 1967. At the same time, it's still one of the world's poorest economies, with over 100 million citizens living on less than $2 a day. This dichotomy is explored in today's WSJ article, as well as the video above.

Rising China Bests a Shrinking Japan - WSJ.com

WTO finds Boeing got billions in illegal subsidies, but how many billions?

While most are familiar with the bruising battle between Airbus and Boeing for market share as the only two competitors left in the large passenger jet market, with new competitors from Canada, Brazil, and China in the small passenger market nipping at their heels, it is the legal battle at the WTO between the two giants that is drawing the most blood.  Boeing and Airbus have been tied up in WTO litigation for years, each accusing the other of receiving various forms of subsidies from governments, all of which are illegal under WTO rules.  Boeing won a key victory last year when the WTO ruled Airbus did receive illegal aid, but this week the WTO signaled it would be handing Airbus a victory as well.  There are still major disagreements over which side received more subsidies, and over what to do next.

WTO finds Boeing got billions in illegal subsidies, but how many billions?

Auto Maker Nissan to 'Significantly' Reduce Exports From Japan

At Nissan, a move in the value of the dollar versus the yen by one yen in either direction is worth around 18 billion yen, or $219 million, of Nissan's operating profit on an annualized basis.  That's why the carmaker announced recently plans to dramatically reduce the number of exports from Japan and production increases in plants outside Japan.  Nissan joins Toyota and Honda, as all Japanese automakers have said it is difficult to export cars from Japan profitably when the Yen falls below 90 to the dollar (it is currently at 82).  Production of the Micra (above) will shift to India, the Micra to Thailand, the Juke to U.K., and the Rogue to Tennessee.

Auto Maker Nissan to 'Significantly' Reduce Exports From Japan - WSJ.com