Group 3@Paris-China media: Climate change

Chinese cities are among the most polluted in the worldChinese cities are among the most polluted in the world

Media criticise the West for not “assuming its responsibilities” on climate change, amid a major UN meeting on the issue

Vice-Premier Zhang Gaoli told a UN summit on Tuesday that Beijing wanted emissions to peak as soon as possible, without giving a timescale.

Speaking at the same forum, US President Barack Obama said climate change was moving faster than efforts to address it, and the US and China had a responsibility to lead other nations.

Commenting on a Global Carbon Project report showing that China’s per capita carbon emissions have surpassed those of the European Union, the China Daily notes that the report “does not tell the whole story”.

“China and the EU cannot be compared in such a simple way, given their different stages of development and economic situation,” Zou Ji, a professor at the National Centre for Climate Change Strategy and International Cooperation, tells the paper.

According to him, the EU has produced more cumulative emissions per capita than China since the industrial revolution.

Echoing similar views, Xinhua news agency publishes several commentaries that criticise the West for “hyping up” China’s status as the world’s largest greenhouse gas emitter.

“The climate peril the human race is facing right now is not just an outcome of the industrial growth of developing countries, most of which only started several decades ago,” it argues.

The agency adds that along with globalisation, developed countries are also transferring more carbon emissions to the developing world by “shifting their high energy consuming and polluting industries”.

“It is highly advisable for those developed countries to stop pointing fingers at China and other developing countries, and start to realistically assume their due and unshakable responsibilities,” says the article.

In another commentary, Xinhua blames the West for “creating trouble” in order to obstruct the progress of negotiations and warns Western countries not to engage in “climate hegemony”.

“The West has enthusiastically pointed a finger at developing countries including China, but has totally ignored its promises and responsibilities… Some Western countries should stop acting as a climate hegemony but co-operate with developing countries to find a solution,” it says.

‘Consultative democracy’

As students continue to hold pro-democracy protests in Hong Kong, mainland papers discuss the concept of “consultative democracy” after President Xi Jinping highlighted it as a “unique way to foster consensus among people”.

Mr Xi made the remark on Sunday during a meeting to mark the 65th anniversary of the national political advisory body, the Chinese People’s Political Consultative Conference (CPPCC), state media report.

He pointed out that “democracy is not a decoration” and promised that the Communist Party of China (CPC) and the government would consult as many people as possible on as many issues as possible.

“What Mr Xi means is China’s CPPCC, as the political advisory body, plays the role of providing political advice for the government to make key policies and its people’s congress, as the legislative body, plays the role of a watchdog over the government,” notes the English-language China Daily.

Stating that there are no perfect democratic institutions, the daily adds that the national legislature, China’s People’s Congress, and CPPCC institutions “are the choice the Chinese people have made” and that the institutions “will constantly improve and better serve the people’s need for democracy and political freedom”.

The People’s Daily agrees by saying that “consultative democracy is a form of democracy created by the people of China”.

“In a socialist country with a huge population and a vast territory like ours, the governing bodies hold wide discussions with the people internally, brainstorm for ideas, seek unity of opinion and reach a consensus… This reflects the fact that the people are the masters of the country,” says the paper.

And finally, some media outlets voice support for a court’s decision to sentence a prominent Uighur scholar, Ilham Tohti, to life imprisonment, a move strongly condemned by rights groups and the US.

An article in the Chinese edition of the Global Times hails the court’s decision, saying that Mr Tohti “deserves it”.

Describing the outcome as “another significant achievement” in the fight against terror, the commentary states that the court proceeded in a “clear and standardised manner”, and had protected the rights of both the defendant and the prosecutor.

“Ilham Tohti is a preacher and a teacher. He should have a clear understanding of his responsibility but what he did goes not only against the morality of the teaching profession but is also a serious violation of the law,” says the paper. It accuses the scholar of writing articles that were intended to break up the country.

Group 24@Sophia: New York Climate Summit 2014

This is another lesson from the transformative movements of the past: all of them understood that the process of shifting cultural values—though somewhat ephemeral and difficult to quantify—was central to their work. And so they dreamed in public, showed humanity a better version of itself, modeled different values in their own behavior, and in the process liberated the political imagination and rapidly altered the sense of what was possible. They were also unafraid of the language of morality—to give the pragmatic cost/benefit arguments a rest and speak of right and wrong, of love and indignation.

There are plenty of solid economic arguments for moving beyond fossil fuels, as more and more patient investors are realizing. And that’s worth pointing out. But we will not win the battle for a stable climate by trying to beat the bean counters at their own game—arguing, for instance, that it is more cost-effective to invest in emission reduction now than disaster response later. We will win by asserting that such calculations are morally monstrous, since they imply that there is an acceptable price for allowing entire countries to disappear, for leaving untold millions to die on parched land, for depriving today’s children of their right to live in a world teeming with the wonders and beauties of creation.

The climate movement has yet to find its full moral voice on the world stage, but it is most certainly clearing its throat—beginning to put the very real thefts and torments that ineluctably flow from the decision to mock international climate commitments alongside history’s most damned crimes.

Some of the voices of moral clarity are coming from the very young, who are calling on the streets—and, increasingly, in the courts—for intergenerational justice. Some are coming from great social-justice movements of the past, like Nobel laureate Desmond Tutu, the former archbishop of Cape Town, who has joined the fossil-fuel divestment movement with enthusiasm, declaring that “to serve as custodians of creation is not an empty title; it requires that we act, and with all the urgency this dire situation demands.” Most of all, those clarion voices are coming from the front lines of the movement some have taken to calling “Blockadia”: from communities directly impacted by high-risk fossil-fuel extraction, transportation and combustion—as well as from those parts of the world already coping with the impacts of early climate destabilization.


Group 38@Sophia EU hopeful of gas deal between Ukraine and Russia


Guenther Oettinger gave a news conference after the talks


The EU’s energy commissioner is hopeful of a deal between Ukraine and Russia to end their dispute over gas deliveries after three-way talks in Berlin.

Guenther Oettinger outlined a plan which would see Russia supply Ukraine over the winter and into the spring.

Ukraine would pay Russia $2bn (£1.2bn) of its gas debt by the end of October and another $1.1bn by the year’s end.

The talks will continue next week. Russia halted supplies in June over Ukraine’s unpaid debts.

Relations had soured after the overthrow of Ukraine’s pro-Russian President, Viktor Yanukovych, in February and Russia’s subsequent support for separatists in Crimea and other Ukrainian regions.

‘Price at issue’

Friday’s talks came after Hungary cut its gas deliveries to Ukraine, arguing that it needed to stock up its reserves.

Hungary was criticised by the European Commission but argued that it could not risk being cut off by Russia before winter set in.

Europe's pipeline network

Mr Oettinger said the amount of gas delivered from Gazprom to Ukraine’s Naftogaz state gas firm was “undisputed” but the price was still “at issue”.

Under the EU plan, in return for the debt repayment, Gazprom would supply at least 5bn cubic metres of gas to Ukraine at $385 per 1,000 cubic metre, to be paid in advance.

“Now the price is being debated in court and no party will have an interest in damaging its legal position in front of the court,” the EU energy commissioner said.

Gazprom CEO Alexei Miller (C) and Russian Energy Minister Alexander Novak (L) leave the talks in Berlin, 26 SeptemberGazprom CEO Alexei Miller (C) and Russian Energy Minister Alexander Novak (L) leaving the talks in Berlin
Ukrainian Energy Minister Yuri Prodan in Berlin, 26 SeptemberUkrainian Energy Minister Yuri Prodan was at the talks

The parties at the talks on Friday still needed to consult with their governments, he added.

He said he expected the issue to be clarified early next week, after which he, ministers and CEOs would meet at the end of the week, again in the German capital.

Russia cut off all gas supplies to Ukraine after Kiev failed to settle its debt with Gazprom. Gazprom had sought $1.95bn out of a total claim of $4.5bn.

The Russian company said Ukraine had to pay upfront for its future supplies.

Hungarian cut

Russia says EU states are contractually forbidden from re-exporting gas to Ukraine but Brussels insists that such “reverse flows” are legal.

When Ukraine stopped receiving direct gas supplies from Russia in June, Russian exports to the rest of Europe were not affected, BBC World Service business correspondent Theo Leggett writes.

As a result Kiev has been able to obtain some supplies indirectly from Hungary, Poland and Slovakia, through pipelines normally used to send gas the other way.

Hungary’s Prime Minister, Viktor Orban, said on Friday: “Hungary cannot get into a situation in which, due to the Russian-Ukrainian conflict, it cannot access its required supply of energy,”

He added that Gazprom had agreed to supply his country with extra gas in order to fill its storage facilities ahead of the winter.

Mr Orban has been critical of EU sanctions on Russia and has maintained a closer relationship with Moscow than his western European neighbors.

Group 38@Sophia EU and Canada set out trade agreement


The Canada-EU trade pact could boost trade by $20bn a year

The European Commission and Canada have unveiled the details of a new trade liberalisation agreement.

Under the deal almost all customs tariffs will be eliminated and markets for services will be opened up.

But the agreement still needs approval from the EU parliament and faces particular opposition from Germany.

Critics say the deal restricts the power of democratic governments in relation to big business.

Business benefits

It’s not just maple syrup. Traded products, in both directions, range from machinery, chemicals and transport equipment to services such as insurance and communications.

The European Commission has said the deal would boost bilateral tradeby 23%. And a A joint EU-Canadian study has put the combined annual economic gains at about 20bn euros although those figures were published six years ago.

However a provision included in the deal to bolster the rights of foreign investors, known as Investor State Dispute Settlement (ISDS) could still prevent the deal being approved.

Campaigners say it gives big business too much power in relation to democratically elected governments wishing to introduce new policies.


Analysis: economics correspondent, Andrew Walker

One thing could still derail the deal.

The Germans don’t like the proposal that’s included for a new system of tribunals, under what’s knows as ISDS. If foreign investors feel they’ve been mistreated they can turn to these tribunals and even in some cases apply for compensation.

ISDS has actually been around for years. But recently campaigners have begun to argue that it is undemocratic because of the constraints it puts on elected governments.

For example the tobacco company Philip Morris is taking legal action against Australia over its plain packaging laws – there has been no ruling yet on this case.

Other cases have involved regulation of energy prices, disputes over patents and alleged wrongful criminal prosecution.

The German economy minister Sigmar Gabriel has said he would reject the Canada deal if the ISDS elements remain.

That has cast new doubt on whether the deal will ever come into force and it suggests an uphill struggle for other trade negotiations still being hammered out behind the scenes.


Campaigners have called the ISDS “a powerful corporate weapon to delay, weaken and kill regulation.”

Nick Dearden, director for the World Development Movement says of the EU Canada deal: “If it is agreed, it will undermine the power of democratically elected governments to make decisions in the public interest”.

Supporters of ISDS say it provides foreign investors with protection against discriminatory treatment and that means they are more likely to take the plunge and invest.

The EU’s top trade official, Commissioner Karel de Gucht rejects the complaints against ISDS, although he has acknowledged concerns about some agreements.

He told the European Parliament: “On investment, the agreement establishes a system that sets a new standard for investor-to-state dispute settlement procedures”. He said the deal with Canada “directly addresses all the concerns that have emerged so far”.

The controversy about ISDS led the European Commission to launch apublic consultation earlier this year about its inclusion in trade liberalisation negotiations with the US.

Group 3 @Raleigh: Kingsley Moghalu: ‘Africa has become a playground for globalisation’ – video

Interesting video of Kingsley Moghalu about  Africa as a “playground” for Globalisation.

Group 111 – Sophia – Why multinationals aren’t adding U.S. jobs?

NOTE: The issue is not symptomatic of the only American society. More generally, developed countries, like France for example, already entered in the same process, with its multinational companies faced to struggle their workforce in the home country, but as the same time even more new jobs abroad. But is it really also a matter of skill level that makes jobs insecure? For people, mobility could be the answer. High-skilled people keep leaving their home countries to find better work opportunities, sometimes even in terms of wages.

Howard R. Gold, Special for USA TODAY5:45 a.m. EDT September 28, 2014

On Monday the U.S. Treasury Department announced a crackdown on tax inversions, where multinational companies move their headquarters abroad to pay lower corporate taxes.

But tax inversions are just a symptom of a much bigger problem. Large, publicly traded multinational companies like IBM, Pfizer, and Hewlett-Packard aren’t growing much in the USA, and yet are pressured to boost their shareholders’ return.

So, even as employers have created nearly 10 million U.S. jobs over the last 4 ½ years, giant multinationals haven’t added many.

In fact, new data from the Commerce Department’s Bureau of Economic Analysis (BEA) show that multinational companies, which account for one out of every five U.S. private-sector jobs, reduced their U.S. employment by 875,000 from 1999 through 2012 while adding 4.2 million jobs abroad.

By contrast, in the 1990s they hired 4.4 million Americans and 2.7 million people in other countries.

Here’s what some U.S.-based multinationals are doing:

• Heavy-equipment maker Caterpillar, based in Peoria, Ill., has cut about 2,800 jobs in the U.S. since 2008 while hiring over 8,000 people in the Asia Pacific region. Caterpillar gets two-thirds of its revenues from outside the U.S., and Asia Pacific sales have grown nearly 40% since 2008. Caterpillar declined comment.

• IBM has reduced its U.S. workforce from 105,000 in 2009 to 83,000 now, estimated Alliance@IBM of the Communications Workers of America, which is trying to organize U.S. IBM employees. (For competitive reasons, IBM no longer discloses its U.S. employment.) In 2012, Computerworld reported that IBM had 112,000 workers in India, up from 6,000 in 2002. An IBM spokesman said its global workforce has remained stable for the past three years and “at any given time we have about 3,000 job openings to support our strategic initiatives.”

• Cisco Systems’ U.S. workforce has remained steady since 2009, while it added 8,000 jobs abroad. It now has about half of its sales and employees in the U.S. In 2013, CEO John Chambers told CNBC, “…I

In terms of future growth, unless tax policy changes, you will see (hiring) occur outside the U.S.” Cisco said in an emailed statement it will continue to hire and invest in the U.S. and elsewhere as it adjusts workforce to new opportunities.

John Challenger, chief executive officer of Challenger, Gray & Christmas, a Chicago-based outplacement firm, said large multinationals move jobs overseas because they need to manufacture and sell products in countries like India and China, which have two to three times the USA’s GDP growth.

Plus, Challenger said, “The lower-skilled and semi-skilled jobs are much more subject to globalization and automation than the higher-skilled jobs.”

Multinationals, however, have been slashing higher-skilled jobs as well.

In general, multinationals pay 25% above the national average compensation, according to a 2012 study in the Harvard Business Review.

Because most giant multinationals are public companies, they’re under pressure from Wall Street, hedge funds, and activist investors.

“The power of financial markets and shareholder pressures are driving short-term decisions,” said Rosemary Batt, a professor at the ILR School at Cornell University, who along with Eileen Appelbaum wrote a recent book, Private Equity at Work.

(Of the companies mentioned, all except Caterpillar have seen their stocks lag the Standard & Poor’s 500 index over the past five years, so keeping U.S. headcount down hasn’t helped them outperform.)

“Since the financial crisis, public companies have accelerated their investment in labor-saving technologies, driving efficiencies in the U.S.,” she explained.

Pressure to boost shareholder return also pushes big public companies to lay off U.S. workers, add them overseas, and relocate to cut their taxes, she said.

What they all have in common is a laser focus on the bottom line. That’s why nearly half of all Americans don’t believe the recession is over and many don’t think their jobs are secure.

NOTE: The issue is not symptomatic of the only American society. More generally, developed countries, like France for example, already entered in the same process, with its multinational companies faced to struggle their workforce in the


Find the full article here


Group 1@ Paris CFM

Pros :

– Globalization promote reconciliation between peoples and cultures. Societies are no longer living in autarky: they interact and cross-fertilize to produce better things.

– Technological differences between countries are decreasing. Multinational corporations relocate their activities to poor countries and transmit their technology.

– Open borders : free movement of people and goods.

– Cultures become richer by influencing each other. Knowledge and information becomes available to all

– Rise in productivity and international competition = decrease in the prise for the consumer

– Research and Development progress in order to innovate.

– Market forces and global trends shape the economy activity. We need competition, freedom and stability.


Cons :


– Economically, the market has turned the world into a great outdoor mall economy is the cause of many financial crises that now threaten many countries bankruptcy.

The financial crisis triggered in a country (USA or Greece for example) no longer affects only those countries, but it affects the entire global economy.


– Too much liberalism, without any framework or rules, leads the state to crisis like 2007. The richest become richer and the poorest become poorer. The deregulation is a dangerous game if there is no rule. Human is too greedy and avid, controlled by the jungle rule.


– Because of globalization, the major world powers tend to ingest more often in the internal affairs of any country, to influence domestic policies to guide them to their own advantage.


– While relocation to countries where labor is cheaper benefit them but this comes at the expense of the country.


– The cultural characteristics tend to disappear and become uniform: the result is a cultural and social impoverishment.

How Subway Went Global ? – Group 4 IMBD – Lille campus

Subway’s director of development explains how the brand transformed into an international icon and which markets he’s watching for the future.

The day QSR interviewed Subway’s director of development, Don Fertman, the sandwich chain was celebrating. It had just hit the 32,000-store mark the day before, and the company showed no signs of slowing. In fact, Fertman confidently predicted that by the time the article ran, the chain would have added close to 500 more stores. For those interested in the math: That’s almost seven stores a day between interview and press time.
While the growth of nontraditional units in the U.S. has helped the chain boost its system to chart-topping numbers stateside, its international expansion remains equally aggressive. Fertman, who’s been with the brand since its first international store opened 16 years ago in Saudi Arabia, sat down to explain how the brand continues to grow despite the global recession, what territories he’s watching closest, and how your brand can follow in his footsteps.

What do you attribute to Subway’s international success?
The secrets to our success are probably not secrets. I think they’re really obvious and it has to do with the fact that people want something that tastes good, that’s a good value, and is something that is hopefully good

Initially, Subway identified 10 major markets that the company was focusing on internationally. Are those markets still the focus?
We’re looking at a number of markets. We’ve moved beyond the 10 markets that we had the big focus on because we found that other markets are growing, surprisingly rapidly.
For example, in our initial reading of top markets we did not include Russia. Right now Russia is up to 75 stores and our developer there has just announced plans to get to more than 1,000 stores by the end of 2015, quite an aggressive goal. But they’re looking at the economics in the market and they can see that Russia is a much bigger market than was originally anticipated. Another market is the United Arab Emirates, that was not on the top 10 but that is one of our fastest growing areas because it’s a fast-growing country. There’s a lot of construction going on there, there’s a lot of influx in population, there’s a lot of tourism. So that’s a strong growth area.

What globalization really means ?

A dozen years ago, Peter Drucker predicted what multinational corporations of the future would look like, saying that they were going “to be held together and controlled by strategy” rather than defined by who owned them.

“There will still be ownership, of course,” Drucker wrote in Managing in the Next Society. “But alliances, joint ventures, minority stakes, know-how agreements and contracts will increasingly be the building blocks of a confederation.”

Last week, Drucker’s vision came into full view. Bo Andersson, a Swede who served as a top executive at the American auto giantGeneral Motors, was nominated to become the first foreign president of OAO AvtoVAZRussia’s biggest car maker, in anticipation of its takeover next year by a French-Japanese alliance of Renault and Nissan. (If you weren’t counting, that was five different countries mentioned in the preceding sentence.)

It is hardly news that the world is now tightly stitched together. But it is easy to lose sight of just how quickly and thoroughly globalization is taking place, and just how much it is changing the way businesses are being managed.

Andersson’s rise neatly captures the trends. AvtoVAZ tapped the 58-year-old industry veteran nine months or so before the Renault-Nissan deal is scheduled to be completed. The Russian government will retain a minority stake in the venture.

Renault and Nissan hope to revive AvtoVAZ, which has seen demand shrivel for its once-ubiquitous Lada, a boxy contraption long the butt of one-liners. (My favorite: What do you call the shock absorbers on a Lada? Passengers.Another: What do you call a Lada driver who says he has a speeding ticket? A liar.) The vehicles built by the reconstituted enterprise will be decidedly more Western in their look and feel, feeding a sensibility that Drucker believed was at the heart of our shrinking world.

“Globalization is not an economic event; it’s a psychological phenomenon,” he observed. “It means that all of the developed West’s values—its mindset and expectations and aspirations—are seen as the norm.”

This idea crystalized for Drucker when, in 2001, he was visited by an old student of his—a native of Taiwan who was then working in Shanghai. “What’s the most important thing that has happened in China the last three to five years?” Drucker asked him.

The former student thought for a few seconds and then replied: “That we now consider owning an automobile a necessity, and not a luxury.”

The same is true in Russia, which analysts expect to pass Germany and become the largest car market in Europe. But exploiting such opportunities requires a particular set of skills that many companies—even big companies—lack.

For example, there is a need to choreograph the actions of an ever more complex web of global suppliers, extracting value at every turn. “Knowing the cost of your operations . . . is not enough,” Drucker wrote in Management Challenges for the 21st Century. “To succeed in the increasingly competitive global market, a company has to know the costs of its entire economic chain and has to work with other members of the chain to manage costs and maximize yield.”

Andersson, who oversaw worldwide purchasing for GM, is especially well suited for this task. While at the Detroit company, he earned a reputation for his mastery over the details of a vast supply chain, as he pushed for more and more accountability from GM’s parts manufacturers. When an executive from one of them offhandedly accused Andersson of sucking his suppliers dry, he responded by donning a vampire costume.

But Andersson is far more Drucker than Dracula. For the past four years, he has spearheaded an impressive turnaround at Russian truck maker GAZ Group. He began by taking the necessary step of cutting tens of thousands of jobs (no simple thing in a country with a strong Communist legacy) and more recently started offering employees generous incentives (through a profit-sharing program). But while these moves have depended on a keen grasp of local politics and culture, Andersson has also kept an eye on the international scene, with GAZ becoming a contract assembler for GM, Volkswagen and Daimler’s Russian subsidiary.

Drucker saw this balancing act as a hallmark of business today—“the need to operate in both a global world economy and a splintered world polity.”

Finally, Andersson insists that all of his operations are truly first-rate, or are at least moving in that direction—another trait that Drucker deemed essential.

“No institution can hope to survive, let alone succeed, unless it measures up to the standards set by the leaders in its field, anyplace in the world,” Drucker wrote. “This is true particularly in manufacturing. . . . Performance below the world’s highest standards stunts, even if the costs are very low and even if government subsidies are very high.”

At GAZ, Andersson modernized factories, improved logistics and had his workers trained in the latest production techniques. At AvtoVAZ, he is sure to do the same.

If he rejuvenates the company—and it’s a good bet that he will—you can then forget all those old Lada jokes. Andersson, the globetrotter, will have had the last laugh.