:00:00. > :00:00.The tainted eggs scandal that began in the Netherlands has spread
:00:07. > :00:09.20 tonnes have been sold in Denmark.
:00:10. > :00:17.Susannah Streeter is here. It is time to World Business Report.
:00:18. > :00:20.More troubles for the founder and former boss of Uber.
:00:21. > :00:28.Now Travis Kalanick is slapped with a lawsuit for fraud.
:00:29. > :00:32.Shares of the owner of Snapchat plunged 14% after the social media
:00:33. > :00:34.firm reported more than $400m in quarterly losses and fewer
:00:35. > :00:46.Hello and welcome to World Business Report. My name is Susannah
:00:47. > :00:47.Streeter. In a minute we'll look at the very
:00:48. > :00:51.expensive business of having a baby. ride-sharing giant Uber's
:00:52. > :00:58.horrible 2017 continues. In June its co-founder,
:00:59. > :01:01.Travis Kalanick, was ousted as chief executive after a series
:01:02. > :01:03.of scandals hit the company. He is now being sued for fraud
:01:04. > :01:14.by one of their biggest investors. When Travis Kalanick was forced out
:01:15. > :01:19.as chief executive of Uber, he kept a seat on the company's board, and
:01:20. > :01:24.also a 10% stake in the firm. But since then, it is alleged that he
:01:25. > :01:33.has been concocting a plan to get his seat back. He told allies that
:01:34. > :01:41.he was doing what Steve Jobs did, having left only to front and the
:01:42. > :01:47.return to Apple. It is said that he fraudulently expanded the board to
:01:48. > :01:50.make such a return possible to him. Benchmark Capital said it would not
:01:51. > :01:56.have agreed to more board seats if it knew Travis Kalanick's plans. If
:01:57. > :02:00.successful, it could seek Travis Kalanick kicked out of the company
:02:01. > :02:04.that he helped build into what it is today. Dave Lee, BBC News, San
:02:05. > :02:10.Francisco. Shares in Snap, the company that
:02:11. > :02:13.runs Snapchat, have fallen again after its latest set of results
:02:14. > :02:15.disappointed investors. Snapchat launched in 2012
:02:16. > :02:18.as a mobile app that allows users to send photos that vanish
:02:19. > :02:21.within seconds, and has gone on to become a big
:02:22. > :02:23.hit with millennials. Snap said the number
:02:24. > :02:25.of daily active users, the measure the markets
:02:26. > :02:27.are most interested in, rose by 4% to 173 million,
:02:28. > :02:30.compared with the first three a service on the Instagram platform
:02:31. > :02:37.that closely resembles Snapchat - Revenues at Snap almost doubled
:02:38. > :02:45.for the quarter to $181.7 million, which was lower than what analysts
:02:46. > :02:47.had been forecasting. The tech firm made a loss of $443.1
:02:48. > :02:53.million, which was quite The company has had a rough ride
:02:54. > :02:59.on the markets since it went public in March with blockbuster
:03:00. > :03:04.valuation of $28 billion. These results came out
:03:05. > :03:07.after the closing bell in the US but in after-hours trading
:03:08. > :03:09.shares were down by 14%. With me is Mike Weston,
:03:10. > :03:19.Founder of marketing agency Hello. Thank you for coming in.
:03:20. > :03:26.These are some disappointing results. Particularly its active
:03:27. > :03:31.daily users number. Yes. It is clear that the growth in daily active
:03:32. > :03:36.users has slowed down from where I was 12 months ago. What is
:03:37. > :03:39.disappointing is that here is a category that Snap invented, and
:03:40. > :03:50.they are being outplayed by, as you say, Instagram and Facebook with
:03:51. > :03:57.WhatsApp. It does show that a very successful company, which are
:03:58. > :04:01.undoubtedly Snap is in terms of its attraction to millennials, those
:04:02. > :04:07.younger users that the tech firms are desperate to attack. They are
:04:08. > :04:16.still faced with the might of Facebook and it is difficult to
:04:17. > :04:25.grain down, is that? -- difficult to gain ground, isn't it? Yes, the
:04:26. > :04:30.advertising market is not there that they need to bring the losses down.
:04:31. > :04:34.But the active users are still growing. And there is a lot of
:04:35. > :04:40.innovation within Snapchat, offering different devices and technology to
:04:41. > :04:44.attract users. What do you forecast for the company? They are in a
:04:45. > :04:48.difficult spot. They have demonstrated over the last four or
:04:49. > :04:51.five years that they are capable of innovating quickly and effectively.
:04:52. > :04:56.The problem they have is that everything they do get copied very
:04:57. > :05:03.quickly and effectively, by Instagram in particular. They need
:05:04. > :05:13.to up the anti-in innovation stakes. -- ante in. We have yet to see what
:05:14. > :05:17.Snap could be of the pullout of the back to rescue their fortunes at
:05:18. > :05:21.this point. Facebook seems to have a stranglehold on the market, don't
:05:22. > :05:28.they? It shows how difficult it is for disrupters to come in and
:05:29. > :05:35.disrupt, not just in this realm, but in other rounds in the tech sector.
:05:36. > :05:43.For instance, as on, every competitor finds it hard to break
:05:44. > :05:47.through. Is interesting to see what happens with us on an debt messaging
:05:48. > :06:00.platform, which has been spoken about over the last few weeks. --
:06:01. > :06:05.Amazon and their messaging. Their number of active users are not
:06:06. > :06:07.trivial, but it is just not enough. Thank you very much to join us, Mike
:06:08. > :06:16.Weston. -- for joining. Babies are big business
:06:17. > :06:18.and an increasing number of parents think that what's best
:06:19. > :06:21.for their child has In the US that's fuelled
:06:22. > :06:24.by a growing premium market, as parents blow budgets to make sure
:06:25. > :06:28.they have the get hold of luxury brands, as Michelle Fleury
:06:29. > :06:34.reports from New York. When we were growing up, we never
:06:35. > :06:39.had all of these options. I never even had a car seat. Shopping for a
:06:40. > :06:42.baby is not would be used to be. Meet us, women would come down and
:06:43. > :06:45.see the stroller pitch, and they were start crying, because there are
:06:46. > :06:51.so many options. There is an explosion of choice. Just takes
:06:52. > :06:58.rollers. It is an easy fold. This man, also known as the Baby Guy, is
:06:59. > :07:03.an expert on the gear. There were two reverse investment, spending
:07:04. > :07:08.more money in the Cribbin the mattress. To him, the current trend
:07:09. > :07:14.started with the bugaboo stroller. They were the start. They cannot
:07:15. > :07:18.with this great stroller, and others had to step up their game. --
:07:19. > :07:21.Bugaboo stroller. And that trickle-down into other categories.
:07:22. > :07:25.In America, women are waiting longer to have children. By then, they
:07:26. > :07:30.often have more disposable income. And the industry is growing fast to
:07:31. > :07:35.cater to them. This year, the global market for babycare products is
:07:36. > :07:39.expected to reach $66.8 billion. For all the cuteness, this is a
:07:40. > :07:43.billion-dollar industry, with baby companies focused on trying to
:07:44. > :07:49.figure out how to get expectant parents to spend more. And the
:07:50. > :07:54.choices can be world in -- and Jones can be the world are in. These
:07:55. > :08:02.parents to to know just how well how daunting it can be. It was an upper
:08:03. > :08:06.tier of product available, which is aimed at people who are very
:08:07. > :08:10.wealthy. It is easy to get wrapped up in it. It is very expensive. You
:08:11. > :08:14.can get so caught up in it, especially on Instagram, when you
:08:15. > :08:17.look at the Pavic lies some of these families have. They always
:08:18. > :08:20.beautiful, and their homes are so wonderful, and they have so many
:08:21. > :08:25.perfect baby items, so you think you need certain things. Take every
:08:26. > :08:28.parent's desire to get the best for their kids, filled with the classic
:08:29. > :08:34.key consumer desire to keep up with the Joneses and big profits for the
:08:35. > :08:36.babycare companies seem to be child's play.
:08:37. > :08:47.What do you think? Please join in on the conversation online. How much is
:08:48. > :09:02.enough to spend on your new baby? Let us know your thoughts.
:09:03. > :09:06.on Facebook or whatever platform you choose..
:09:07. > :09:10.In other news, corporate regulators in Australia say they're reviewing
:09:11. > :09:11.money-laundering accusations against Commonwealth Bank.
:09:12. > :09:13.The chairman of the country's Securities and Investment Commission
:09:14. > :09:15.told parliament this morning that they're looking into whether other
:09:16. > :09:18.Australia's treasurer described the latest scandal engulfing
:09:19. > :09:21.the country's biggest bank as "an epic fail" and "incredibly
:09:22. > :09:27.Cyberspace administration of China accuses certain sites of failing to
:09:28. > :09:36.remove violent and obscene content, as was terrorism content and fake
:09:37. > :09:41.news. This includes sites such as we chat and we bow. That's check in
:09:42. > :09:43.with the financial markets now. The standoff between the US
:09:44. > :09:46.and North Korea has been Appetite for risky assets is low -
:09:47. > :09:50.instead investors are piling into perceived safe
:09:51. > :09:55.haven assets like gold, the Swiss franc, and the yen that's
:09:56. > :09:59.put a bit of pressure on the Nikkei feeling the effects
:10:00. > :10:15.of the sabre-rattling on wall street - Dow Jones,
:10:16. > :10:20.and S 500 suffered their biggest