03/06/2013

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:00:02. > :00:12.home in the Northern territory. Those are the latest headlines from

:00:12. > :00:22.

:00:22. > :00:27.BBC World News. Now for the latest Signs of a pick up for the Chinese

:00:27. > :00:32.economy, will this year be the rebound from a disappointing 2012?

:00:32. > :00:39.And the struggle for control of del goes to the final round. Wilshere

:00:39. > :00:43.holders allow the country's founder to buy the computer maker back? --

:00:43. > :00:48.will shareholders. You're with World Business Report. I'm Sally

:00:48. > :00:53.Bundock. Also, you have heard of the Silver surfer, now make way for

:00:53. > :00:57.the Salvo entrepreneur. We will explain. In a positive sign for the

:00:57. > :01:02.global economy the latest report on China shows the slowdown may have

:01:02. > :01:06.bottomed out. An official measure of manufacturing activity shows

:01:06. > :01:10.strong expansion in the month of May. Looking at the figures,

:01:10. > :01:14.starting from their early 2012. You can see that at the beginning of

:01:14. > :01:20.that year there was a sharp increase, then there was a big

:01:20. > :01:24.swift drop off. This white line represents the number 50, anything

:01:24. > :01:27.below that represents a contraction within factories. As the year

:01:27. > :01:31.progresses, and as we go to the month of May, it seems to be

:01:32. > :01:36.getting better. This is a very closely watched way of measuring

:01:36. > :01:41.the economy by economists. And there was, as you see, quite a bit

:01:41. > :01:45.of a downturn. But since then things have improved. We can speak

:01:45. > :01:50.to John Sudworth in Shanghai to get more sense from all of this. Nice

:01:50. > :01:57.to see you. Only last week we had the IMF downgrading its forecasts

:01:57. > :02:04.for China. This is better news? Are things in proving? It will

:02:04. > :02:09.certainly be welcomed. The official data is taken note of. But what's

:02:09. > :02:14.interesting is that a widely followed private survey, basically

:02:14. > :02:18.the same kind of survey Baird carried out by HSBC rather than

:02:18. > :02:23.official Chinese government statisticians, shows the opposite -

:02:23. > :02:33.- but carried out. It has found factory output is falling. The

:02:33. > :02:39.

:02:40. > :02:45.index stood at 49.2, for the month It shows a contraction rather than

:02:45. > :02:50.an expansion. The HSBC survey is based more on private sector small

:02:50. > :02:54.companies rather than the big state owned companies. For that reason

:02:54. > :02:59.some people suggested could be a better barometer for picking up the

:02:59. > :03:03.subtle shifts. If the HSBC findings rather than the government findings

:03:03. > :03:10.are correct, of course it's very gloomy news. We're none the wiser

:03:10. > :03:16.as ever. But wide this this economic data so closely watched?

:03:16. > :03:20.It really does matter -- why is. The assumption now is that China is

:03:20. > :03:26.in the process of a major shift. Last year Crowe was 7.8%, the

:03:26. > :03:30.lowest in more than a decade -- growth. Most people are agreed that

:03:30. > :03:37.the year's top bumper at double- digit growth argon. Policy makers

:03:37. > :03:42.are talking about 7% a year -- the years of -- are gone. It really

:03:42. > :03:45.matters for China. It is probably about the minimum level it needs to

:03:45. > :03:50.keep the economy motoring along, to provide the jobs and the increase

:03:50. > :03:54.and wealth for the countryside. Tens of millions of people still

:03:54. > :04:00.leaving the countryside for the cities. If it goes below 7% it

:04:00. > :04:05.could present China with some real political problems. It is a

:04:05. > :04:09.question then on of legitimacy. It really doesn't matter. No-one is

:04:09. > :04:15.suggesting that as a result of one HSBC surveyed it's all going to go

:04:15. > :04:22.crashing down, but it shows that this economy is facing problems as

:04:22. > :04:27.it enters a new reality. Let's move on to what's happening in the

:04:27. > :04:30.corporate world in the US. Rival factions are trying to gain control

:04:30. > :04:34.of the computer maker Dell Computers, and the struggle will

:04:34. > :04:39.enter a new phase over the next few weeks. Michael Dell wants to buy

:04:39. > :04:43.back the company he founded as a student in 1984. A number of

:04:43. > :04:47.shareholders who oppose his offer say it undervalues the company.

:04:47. > :04:57.Both sides can now lobby shareholders directly, and are

:04:57. > :04:57.

:04:57. > :05:01.likely to do so until the vote over Michael Dell is one step closer to

:05:01. > :05:06.transforming his ailing computer making business into a full service

:05:06. > :05:11.IT company, or even possibly something more. Dell Computers's

:05:11. > :05:21.board of directors say the takeover bid by the founder and CEO is the

:05:21. > :05:25.But not so fast. Michael Dell's takeover it is too low at $24.4

:05:25. > :05:30.million, some say. Other shareholders are being told to vote

:05:30. > :05:38.against the deal, and another of her is being put forward, keeping

:05:38. > :05:41.the company a public be traded one. -- offer. It is going to be a tough

:05:41. > :05:46.sell. Some of the long-term stockholders have already said they

:05:46. > :05:50.are against it. What we have seen in some recent deals is that

:05:50. > :05:54.shareholders, especially shareholders against deals, really

:05:54. > :05:59.don't show their hand until the last moment. On one hand while the

:05:59. > :06:03.proxy is now out and you can go and solicit votes next week, I think

:06:03. > :06:07.the last week, the last two weeks, coming up to the boat, that's where

:06:08. > :06:13.all the action is going to happen. -- the vote. Shareholders will cast

:06:13. > :06:18.their votes on July 18th. Until then Michael Dell and Carl icon

:06:18. > :06:22.will be lobbying hard for what they believe is the best deal for the

:06:22. > :06:26.slumbering PC maker. European governments are trying to spur

:06:26. > :06:30.entrepreneurial activity, hoping that will help tackle the region's

:06:30. > :06:35.high unemployment and sluggish growth. According to United States

:06:36. > :06:41.research, the fastest-growing age group starting companies is between

:06:41. > :06:47.50-64. Could still wear hair the silver lining in Europe's economics

:06:47. > :06:53.are there? -- silver-haired. The word entrepreneur these days tends

:06:53. > :06:59.to conjure up a image of someone in their early 20s running a software

:07:00. > :07:04.start-up and selling it for millions. But the average age of

:07:04. > :07:08.start up starters in America is over 40. But what about for Europe

:07:08. > :07:13.where economies are finding it tough to return to growth? Could

:07:13. > :07:18.older entrepreneurs be the answer? If you're an old entrepreneur, is

:07:18. > :07:23.it easier or more difficult to start a business? I have come up

:07:23. > :07:31.here to Exact Logistics to ask the entrepreneur who started his

:07:32. > :07:36.company. Exact six Logistics was started because I was made

:07:36. > :07:42.redundant and we have the chance to make a small business on our own. I

:07:42. > :07:46.didn't want to work for a company again that wasn't my own. I was 51

:07:46. > :07:51.when I started. It makes it harder, you don't have the same level of

:07:51. > :07:54.energy perhaps, but you have got a lot more experience. Bringing all

:07:54. > :08:02.that experience together definitely made this a more successful

:08:02. > :08:07.business. This is a business in Coventry, started by Tom in 2008.

:08:08. > :08:12.He did it precisely because he was an older entrepreneur, and he had

:08:12. > :08:17.commitments... a family and a mortgage. Tom was a properly

:08:17. > :08:21.developer who had previously worked in the car industry. -- property.

:08:21. > :08:29.When the bottom fell out of the mortgage market he saw a niche

:08:29. > :08:32.selling rubber to make waterproof roofs on homes. There are more

:08:32. > :08:37.entrepreneurs in this country that have been born out of hard times

:08:37. > :08:42.than good times, necessity drives the change in what we do. As a

:08:42. > :08:47.slightly although entrepreneur who has had the life experience, it is

:08:47. > :08:51.easier for me to see the pitfalls - - although entrepreneur.

:08:51. > :08:56.countries looking to jump-start their economies, it could mean that

:08:56. > :09:06.older more risk aware entrepreneurs provide a more stable return to

:09:06. > :09:10.

:09:10. > :09:14.-- a case brought up against Apple by the justice department begins

:09:14. > :09:19.today. They conspired against the publishers to raise the price of

:09:19. > :09:26.electronic books, it is claimed. Apple says the Government's case is

:09:26. > :09:31.unfounded. Japan Airlines says it halted a scheduled flight of a

:09:31. > :09:34.Boeing Dreamliner on Sunday, just a day after its fleet of Dreamliners

:09:35. > :09:38.resume full operations. Engineers were concerned about a faulty

:09:38. > :09:42.sensor in one of the modified batteries, but it turned out to be

:09:42. > :09:48.a very minor problem. It was grounded for four months due to

:09:48. > :09:53.battery problems. So the markets today were kind of mixed. We are

:09:53. > :09:58.seeing quite heavy losses again in Japan as you can see. Hong Kong up