15/05/2013 World Business Report

Lee. Those are the latest headlines from BBC World News. Now for the

latest financial news with World Western retailers will line up to

sign a landmark agreement to protect the safety of workers in

Bangladesh. It has come up with computerised

glasses and a driverless cars - all eyes are on Google as it gets ready

Also in the programme, the boss of HSBC has just been talking in Hong

Kong about his plans for Europe's largest bank. We will have the

details. Today is the deadline for retailers

to sign up to a landmark plan to help improve workers' safety in

Bangladesh. 1,100 people died after a factory making clothing for

Western companies died after -- collapsed two weeks ago. 11

European retailers have signed up including Swedish clothes seller

Hennes and Mauritz, Marks & Spencer and Inditex, the owner of Zara.

There is a criticism that many US companies have dragged their feet -

Wal-Mart, the largest retailer in the world, has refused to sign

because, it says, its own voluntary safety programmes are sufficient.

At least 1127 people were killed in Bangladesh when it the plaza

collapsed. In the three weeks since, hundreds of factories had been

forced to close due to work unrest sparked by the disaster. Some have

blamed the fierce competition among the clothing manufacturers, forced

to come -- forced to cut costs which resulted in less safety. Is a

compensation for this? If we take a 50 pound pair of jeans in Germany,

and this is how the price breaks down. 59% goes to the retailer. 16%

in sales tax in Germany. 9% is the cost of shipping and transport in

the genes from Bangladesh to the shop. The raw materials, mostly

denim and buttons, cost 20%. Only 12% is spent on making a pair of

jeans. This leaves 4% or two US dollars as the profit for the

Bangladeshi producer -- $2. The must majority of close on the

Bangladeshi industry come into America and Europe. It is

significant for some companies to have signed up for the new safety

record. The new Accord was agreed between the International Labour

Organisation, unions, and Western retailers. What does it actually

mean Tim Lafai it will look at ensuring that ensuring that safety

is insured. -- what does it actually mean it?. The companies

are actually agreeing to put their money where their mouth is and I do

something about it. Will consumers be willing to pay more if they can

insure high levels of safety and better working conditions in

Bangladesh Tim Lafai --? We will be able to ensure that people are in

Vettel living conditions. concern is that people would pay

the extra money and it would not go where it is supposed to go. The key

question for workers in Bangladesh is whether the new accord will make

a difference to conditions on the ground. Some retailers have already

agreed to the binding accord, In the last half hour, Vert CEO of

HSBC, Stuart Glover, has delivered his strategy for the bank -- these

CEO. -- Stuart Gulliver. To sum up Gulliver has reduced costs by $4

billion. He's also announced 46,000 job cuts and sold or closed 52

businesses to revive earnings. He did deliver reporting better than

expected profits earlier this month. So what is next on his hit list?

The briefing for the investors has begun. They will brief investors in

London later today. Just tell us what you know so far about the

plans of HSBC. The key message to investors is

that they are staying the course. They had been quite successful,

cutting back $4 billion in costs. Bail was no additional cost saving

of up to $3 billion. They did not mention job cuts. They have so far

already excited after 52 different business plans enclosing Islamic

banking in the region, focusing mainly on the core markets such as

Malaysia and Saudi Arabia. The growth area, the key focus is still

in Asia and that is their strategy at this point in time. The

difficulty is that outside Asia, it is weak especially in the retail

sector. Outside of the core markets in Asia and the UK, they are still

weak. The question for him when he addresses investors later this

afternoon in London and also when reporters can ask more questions

but certainly the key message is that they are doing something right

and they will keep the park. They are on course. As you say, they're

at pains to say that as a company, they are now been an simpler. There

is an enormous Oval that has gone through in the last few years. --

enormous oval hall. The company recognises that it needs to go

through all this. They realise that they cannot be everything to

everyone. They are recognised that cost-cutting needs to be done. Jobs

need to be cut back and it needs to be trim off. They have to refocus

on what they are glad. They cannot especially neglect their core

markets and they need to refocus in Asia where much of the growth is

happening. Thank you for your time. We will keep an eye on that story

because it is developing as we speak. HSBC is briefing investors

and shareholders in London as well. Other business stories: One of

Sony's biggest shareholders has suggested that the Japanese firm

should spin off up to 20% of its entertainment business and use the

money to shore up its struggling electronics arm. Daniel Loeb,

founder of US hedge fund Third Point, put forward the idea in a

letter to Sony president Kazuo Hirai.Sony said in a statement that

its entertainment division was not for sale. Shares in Sony in Asia

jumped over 12% overnight after rising more than 10% on Tuesday in

the US. Boeing has resumed delivery of its

787 Dreamliner after two incidents involving the overheating of

batteries led to a worldwide grounding of the aircraft. The jet

was delivered to Japan's All Nippon Airways. The company will restart

Most people know it as a means of searching for information on wine.

Google is working hard to show that it has other ideas. In the last

year, it could be worth nine ambitious products which include

Google Glass, which a wearable computer glasses and had been

caused excitement in attack world. There is also ester elsewhere. --

in the hi-tech world. -- a stir elsewhere. Google is road-testing a

self driving cars. Today, they are holding a developer's' conference.

There are a lot of rumours. There are rumours about what is in the

pipeline. We will speak to a technology expert. Thank you for

being on the programme. What you expect Google to reveal today?

is a consolidation conference. In the past, you see a big splash in

technology announcements about home automation and streaming devices.

In the last few years, we have refocus the country on four core

products. This will be about looking after the development

community. They have the biggest software platform in the world.

They have a huge market share with crime and Android. Crime has 40% of

the market. This is about keeping them happy -- chrome. There are a

lot of rumours that Google will announce a music product or

software that could really challenge iTunes and spot a five. -

- Spotify. From the consumer's perspective, that will be the big

announcement. They have 60% of the market share off. The remit is a

�10 per month subscription for music either by a streaming or

download servers. It will compete strongly. We must leave it there.