Browse content similar to 18/11/2015. Check below for episodes and series from the same categories and more!
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Leaders from around the Pacific touchdown in Manila. Trade and | :00:16. | :00:24. | |
growth are on the agenda, but Paris and the South China Sea dominate | :00:25. | :00:28. | |
Apec. And it wouldn't be Apec without matching outfits for every | :00:29. | :00:32. | |
litre. We give you a sneak peek of what they will wear for this year's | :00:33. | :00:42. | |
family photo -- leader. Good morning, Asia, hello world. Bet you | :00:43. | :00:47. | |
could join us for this special edition of Asia Business Report. I | :00:48. | :00:53. | |
am Rico Hizon, live from my home city here in Manila, which is | :00:54. | :00:56. | |
hosting the Asia-Pacific economic Corporation summit. Moments ago, the | :00:57. | :01:03. | |
Alibaba founder wrapped up his session and he told delegates he | :01:04. | :01:08. | |
wants to support all small and medium-sized enterprises, for them | :01:09. | :01:12. | |
to grow bigger. And he said that companies should compete, but they | :01:13. | :01:19. | |
should not copy. Also, America's President Barack Obama, Chinese | :01:20. | :01:27. | |
President Xi Jinping and Shinzo Abe are among the 18 leaders who will | :01:28. | :01:30. | |
discuss the big issues facing Asia and the Pacific. Apec has 21 members | :01:31. | :01:35. | |
working towards free trade throughout the region. It is | :01:36. | :01:39. | |
terrorism, the South China Sea, territorial disputes and climate | :01:40. | :01:44. | |
change which are expected to be talked about today but it is trade, | :01:45. | :01:49. | |
business and economic issues which dominate the official agenda. | :01:50. | :01:53. | |
Earlier I spoke to the executive director of the Apec Secretariat, | :01:54. | :01:56. | |
and I asked him what other priorities in this meeting. So far | :01:57. | :02:00. | |
we have had trade ministers and foreign ministers meeting and going | :02:01. | :02:03. | |
through the whole list of things that Apec has been doing for the | :02:04. | :02:06. | |
year. Some of that is about trying to improve growth generally, some of | :02:07. | :02:10. | |
it is inclusive growth, small-business, services, women in | :02:11. | :02:16. | |
the economy, a lot initiatives. A lot of initiatives indeed, inclusive | :02:17. | :02:19. | |
growth, building economies. But is the political let to support the | :02:20. | :02:23. | |
small and medium-size enterprises which make of about 90% of Apec? | :02:24. | :02:29. | |
They can be 97% of Apec but they're not 97% of trade and that is what we | :02:30. | :02:33. | |
are trying to do. We are trying to up and get the advantages of this | :02:34. | :02:37. | |
very strong dynamic around the region. And what he really needs, Dr | :02:38. | :02:46. | |
Bollard, is a live level playing field, financing. We're looking at | :02:47. | :02:49. | |
financing, trade agreements, trade facilitation, red tape at borders, | :02:50. | :02:55. | |
making sure they can tap into global supply chains. Electronic | :02:56. | :02:58. | |
technologies are making that much easier and we want to make sure that | :02:59. | :03:03. | |
works for them. Apart from Apec, of course, everyone is looking forward | :03:04. | :03:06. | |
to the meeting of the transpacific partnership members on the sideline | :03:07. | :03:09. | |
at this it. Do you think it will eventually be ratified, and when | :03:10. | :03:13. | |
will it be? We don't know that, that is not an Apec event! We observe | :03:14. | :03:18. | |
that, we also see progress on other trade agreements around the region | :03:19. | :03:22. | |
and we are interested how they might come together as a free-trade area | :03:23. | :03:26. | |
for Asia and the Pacific. At the moment, apart of course from the | :03:27. | :03:30. | |
Apec summit, everyone is talking about the Paris attacks. How much is | :03:31. | :03:35. | |
the security situation overshadowing this summit? I don't think it is. We | :03:36. | :03:42. | |
do economics. I expect leaders... Ministers did a minute's silence, | :03:43. | :03:47. | |
but I suspect they will talk about it and want to pass on their message | :03:48. | :03:51. | |
but say what is this really all about? If we can get strong economic | :03:52. | :03:55. | |
growth, that help stabilise the situation is a lot, and that is what | :03:56. | :04:00. | |
we are all about, economic growth. That was Dr Bollard, executive | :04:01. | :04:07. | |
director of the Apec directorate. China's growing economy is a hot | :04:08. | :04:11. | |
topic here. Some suggest the outlook is still bright and one of them is | :04:12. | :04:15. | |
America's largest retail chain, Walmart. Their earnings were | :04:16. | :04:19. | |
released yesterday and while earnings were stronger than | :04:20. | :04:22. | |
expected, sales and international segment fell 11%, hit the stronger | :04:23. | :04:28. | |
dollar. For China, the retailer once had an aggressive plan to move into | :04:29. | :04:32. | |
the country, with more than 1000 stores. I asked Scott Price, the | :04:33. | :04:37. | |
chief executive of aggro to Asia, how China's slowdown was affecting | :04:38. | :04:41. | |
the business. The challenge that China has is not insurmountable, but | :04:42. | :04:45. | |
it is big as they change their economy from an export driven one to | :04:46. | :04:49. | |
services and consumption. Obviously with 400 plus stores in 165 cities | :04:50. | :04:54. | |
in China, we are a pretty good barometer for how that process is | :04:55. | :04:59. | |
moving. We are optimistic. We are long on China. I think when you go | :05:00. | :05:03. | |
from the fast lane down to just 70 miles an hour, it may feel slower | :05:04. | :05:09. | |
but it is still pretty fast. Mr Price, you are indeed expanding in | :05:10. | :05:12. | |
mainland China, but much less than the original plan. Why is that? When | :05:13. | :05:17. | |
you want to open a new store you have to hire 200 -300 new people, | :05:18. | :05:22. | |
you have to keep them trained. There is quite a bit to ensuring healthy | :05:23. | :05:24. | |
growth so when we talk about growth we want to make sure that is growing | :05:25. | :05:29. | |
in the right way. So for us that is growing at the right level but as | :05:30. | :05:33. | |
well focusing on things like the safety, training, complaints are | :05:34. | :05:37. | |
cetera. So we think it is reasonable and skilled growth. Walmart is a | :05:38. | :05:41. | |
bricks and mortar operation. How competing with the online e-commerce | :05:42. | :05:46. | |
market? We continue to invest, we have about the Mac announced 115 new | :05:47. | :05:51. | |
hypermarkets. We completed a new acquisition of a large e-commerce | :05:52. | :05:57. | |
player out of Shanghai. We continue to offer our customers | :05:58. | :06:04. | |
online/off-line opportunities. On Tuesday we discovered that Alibaba | :06:05. | :06:13. | |
made $40 billion. How did Walmart fear? We don't release powers on a | :06:14. | :06:21. | |
specific date, 11/11. That is a big day for our online world. We are | :06:22. | :06:21. | |
quite comfortable with the performance. We had a lot of great | :06:22. | :06:28. | |
deals, we think, online, and we think we performed pretty well. What | :06:29. | :06:34. | |
lessons did Walmart learn from 11/11? Singles Day? If you look at | :06:35. | :06:43. | |
the Chinese customer, they are interested in authenticity. Second | :06:44. | :06:45. | |
is the quality. There is an increasing demand for quality in all | :06:46. | :06:49. | |
product, and the third is the best possible price. What we found on | :06:50. | :06:52. | |
Singles Day is that you don't have to go out with a whole raft of | :06:53. | :06:58. | |
loss-making discounts, that if you focus on delivering those three | :06:59. | :07:02. | |
things, you can build a very healthy business. And for us that is what we | :07:03. | :07:06. | |
are looking for, again growth the right way. That were Scott Price, | :07:07. | :07:11. | |
the CEO of Walmart Asia. Yesterday we reported on how the slow pace of | :07:12. | :07:16. | |
infrastructure and development here in the Philippines hampers growth | :07:17. | :07:20. | |
for companies both big and small. And the international logistics | :07:21. | :07:23. | |
giant FedEx relocated its Asia hub from Manila two China six years ago | :07:24. | :07:31. | |
because of poor infrastructure. I spoke to David Cunningham, Chief | :07:32. | :07:36. | |
Executive Officer of FedEx, to talk about what needs to happen to lure | :07:37. | :07:40. | |
the company back, and how it has benefited from the move to the | :07:41. | :07:44. | |
mainland. We moved our hub because of the capabilities, airspace space, | :07:45. | :07:51. | |
runways, runways, the workforce capabilities, that we had in China. | :07:52. | :07:55. | |
And so we have done very well in that. For FedEx to come back in a | :07:56. | :07:59. | |
big way in the Philippines, what needs to happen in terms of | :08:00. | :08:03. | |
infrastructure? Until the Philippines has a significant | :08:04. | :08:12. | |
investment in capability and runways, then those are really not | :08:13. | :08:20. | |
options for us. But I hope that Manila and the Philippines will | :08:21. | :08:24. | |
continue to progress, as it has over the last five years with the | :08:25. | :08:29. | |
President, by making targeted infrastructure investments. But | :08:30. | :08:32. | |
also, and probably most importantly, by using the TPP, are coming a TPP | :08:33. | :08:42. | |
member, using the TPP, improving the transparency, using the digital | :08:43. | :08:45. | |
economy to increase capacity. Because one of the things we think | :08:46. | :08:49. | |
about is we think about infrastructure, and we think about | :08:50. | :08:52. | |
it in concrete and steel and roads and buildings. But with the digital | :08:53. | :08:56. | |
economy it is not all about that any more. You can scale Customs | :08:57. | :09:04. | |
capabilities, you can scale infrastructure capabilities by one, | :09:05. | :09:10. | |
ten, 1000, by the use of those techniques. And so I think that is | :09:11. | :09:13. | |
where maybe the Philippines can lead that next revolution. Because you | :09:14. | :09:18. | |
have incredibly technically capable people. Those just need to be | :09:19. | :09:21. | |
integrated with government policy. And that was David Cunningham from | :09:22. | :09:27. | |
FedEx. And now, before we go, no Apec summit would be complete | :09:28. | :09:31. | |
without a family photo of the leaders wearing traditional shirts | :09:32. | :09:35. | |
of the host country. And this year, being in the Philippines, all the | :09:36. | :09:39. | |
leaders will be wearing vests. It is made partly from pineapple fibre. | :09:40. | :09:44. | |
And being a Filipino, I can tell you that I have worn one many times | :09:45. | :09:49. | |
before. And take a look at this. Here is my favourite. I wear at all | :09:50. | :09:53. | |
the time during special occasions, like weddings and formal parties. I | :09:54. | :09:58. | |
hope I could wear one during Asia Business Report. We will have to | :09:59. | :10:02. | |
wait until tomorrow, Thursday, to see the leaders in their respect of | :10:03. | :10:06. | |
garments. Before we go, here is a quick look right now at the markets. | :10:07. | :10:12. | |
Currently they are mixed in mid-morning Asian trade. Japan's | :10:13. | :10:20. | |
Nikkei 225 is up on plans from their government. Australia is down and | :10:21. | :10:23. | |
the Hang Seng is up slightly. Thank you so much for investing your time | :10:24. | :10:29. | |
with us on Asia Business Report. I am Rico Hizon in Manila, goodbye for | :10:30. | :10:31. | |
now. The top stories this hour: The New | :10:32. | :10:36. | |
Zealand rugby star Jonah Lomu has His glittering career had been | :10:37. | :10:42. | |
cut short by kidney disease. | :10:43. | :10:49. |