Global Business Development

EGS Biweekly Global Business Newsletter Issue 44, Monday, November 29, 2021

Posted on Nov 29th, 2021 in World Economy | Comments Off

Edited and curated by: William (Bill) Edwards, CFE, CEO of Edwards Global Services, Inc. (EGS)

Trends in this issue:

We are monitoring the impact the new COVID-19 variant will have on international business travel through the end of 2022. Some countries limit travel. Supply chain issues remain but are lessening in some areas of the world. Labor shortages in OECD countries continue as workers resign to try something new, including starting their own companies.

First, Some Words of Wisdom

“Success is the sum of small efforts, repeated day in & day out.”, R. Collier

“There are far better things ahead than any we leave behind.”, C. S. Lewis

“Don’t sit down and wait for the opportunities to come. Get up and make them.”, Madam C. J. Walker

Highlights in issue #44:

The Post-Covid Evolution of Consumer Demographics
Distribution of Global GDP by Region
Everything You Need to Know About the Global Supply Chain Crisis
Global Innovation Index 2021 – Tracking Innovation through the COVID-19 Crisis
British economic growth ‘set to overtake China’
Brand International News Section: 7-Eleven®, Dairy Queen®, Denny’s®, Gong Cha®, Popeyes®, Papa John’s®, Sweetgreen®, Wendy’s®

Our Mission and Information Sources

Bolded article titles are live links if the article is available without subscription

Our biweekly global business update newsletter focuses on what is happening around the worldthat impacts new trends, health, consumer spending, business investment, economic development and travel. We daily monitor 30+ countries, 40+ international information sources and six business sectors to keep up with what is going on in this ever-changing environment. Our GlobalTeam™ covers 43 countries and provides us with updates about what is happening in their specific countries. Please feel free to send us your input and sources of information. Our contact information is at the bottom of this newsletter.

To sign up for this free newsletter click on this link: https://lnkd.in/d_XkTGN.

Interesting Data and Studies

“Global Innovation Index 2021 – Tracking Innovation through the COVID-19 Crisis.”, 14^th edition, World Intellectual Property Organization (WIPO)

“Increase in restaurant delivery users during the coronavirus (COVID-19) pandemic in selected European countries in 2020 – As the coronavirus (COVID-19) pandemic caused restaurants all over Europe to close their dine-in operations, there was a noticeable increase in the number of users of food delivery services. For example, France saw a 24 percent increase of restaurant delivery users compared to pre-pandemic times. Meanwhile, more than half of the respondents from Spain intended to continue using food delivery services after the pandemic is over.”, Statista, September 23, 2021

Britain’s annual inflation rate jumped to 4.2% in October, the highest level in a decade and up from 3.1% in September. This was mostly because of higher energy costs and supply-chain shortages, but a tightening labour market has added to inflationary pressures. The number of people in employment rose sharply in October, allaying fears that many of the 1m still on the government’s furlough scheme, which ended in September, would lose their jobs. Record job-vacancy rates persist, which often leads to higher wages to attract staff.

From the ‘Economist’ issue on November 20, 2021

Global Supply Chain & Trade Update

“Everything You Need to Know About the Global Supply Chain Crisis – The kinks in the U.S. may be getting worked out, but it’s a worldwide crisis and there are still plenty of threats, from Covid and energy shortages to an aged shipping fleet.”, Bloomberg, November 26, 2021

“California ports report supply chain progress, delay fines for lingering cargo containers – The executive directors of the ports of Los Angeles and Long Beach said in a joint statement on Monday that since the October announcement of the new fee, the ports have seen a decline of 33% in aging cargo on the docks.”, CNBC, November 22, 2021

“Digital advances are accelerating across all the world’s main cargo markets as the pandemic drags on, but the technological strides in air freight are emerging as perhaps the most remarkable. According to the TAC Index, rates to move goods in planes from Hong Kong to either North America or Europe rose to fresh records this week, as importers nervous about depleting holiday stockpiles decided to fly over bottlenecks on the ground.”, Bloomberg, November 18, 2021

Global, Regional & Local Travel Updates

“Airlines Scramble to Navigate Fast-Degrading Travel Outlook – Airlines, passengers and businesses scrambled to respond to a deluge of travel restrictions announced over the weekend to slow the spread of the omicron coronavirus variant. Leisure travel will also see an impact, while friends and relatives visiting loved ones after long absences are more likely to go through with a trip, said Alex Irving, an analyst at Bernstein in London.”, Bloomberg, November 28, 2021

Global COVID & Vaccine Update

“54.1% of the world population has received at least one dose of a COVID-19 vaccine. 7.9 billion doses have been administered globally, and 27 million are now administered each day. Only 5.7% of people in low-income countries have received at least one dose. Our World In Data, November 28, 2021

“Stocks Rise as Investors Weigh Omicron Variant – Oil recovers, Moderna jumps as vaccine maker says it is working on Omicron booster. The S&P 500 gained 1% in midday trading Monday. The index suffered its worst one-day percentage decline in nine months on Friday after South Africa identified a fast-spreading strain of the coronavirus, which the World Health Organization has named Omicron. The technology-focused Nasdaq Composite Index advanced 1.5%, while the Dow Jones Industrial Average added just over 100 points, or 0.3%.”, The Wall Street Journal, November 29, 2021

“Omicron Variant Is Reported in More Countries as Officials Grapple With How to Respond – Nearly two years after the first confirmed outbreaks of Covid-19 in China, the rapid spread of a new variant in southern Africa shows how the coronavirus can still thwart the best efforts of policy makers world-wide to return to a post-pandemic normal. Further analysis of the Omicron variant will determine whether governments will react by reimposing unpopular and economically damaging restrictions on their populations.”, The Wall Street Journal, November 28, 2021

“Coronavirus World Map: Tracking the Global Outbreak – New York Times, November 28, 2021

“Apple delays return to in-person work to February, will allow up to four weeks of remote work per year – Apple is officially planning to begin its “hybrid work pilot” on February 1, according to a new memo sent to employees by Tim Cook today and obtained by The Information. In the memo, Cook says that employees will first work from Apple offices one or two days each week.”, 9to5Mac.com, November 18, 2021

“Vietnam on verge of 100 million Covid-19 vaccine doses milestone – Releasing this information, the Health Ministry also said both Hanoi and Ho Chi Minh City have both fully covered more than 80 percent of their adult populations.”, VN Express International, November 16, 2021. Compliments of Sean Ngo, CEO, VF Franchise Consulting, Ho Chi Minh City

Country & Regional Updates

Australia

“Australian Retail Sales Surge as Economy’s Recovery Builds – Australian retailers recorded their best month of sales in nearly a year as consumers splashed out on everything from dining out to clothing, taking advantage of the easing of protracted lockdowns and building momentum in the economy for the final quarter.”, Bloomberg, November 25, 2021

“The regional towns where small business transactions are up 260% since the pandemic – Small businesses in regional towns are riding stronger growth compared to their metro counterparts, after people flocked to the country throughout the pandemic to avoid city-wide lockdowns.”, Smaetcompany.com.au, November 19, 2021. Compliments of Jason Gehrke, Publisher & Editor, ‘Franchise News’, Brisbane

Canada

“Restaurant owners say they have the answer to the current labour shortage: Better pay, benefits and balance – Employment in the food services and accommodation sector is still down more than 200,000 jobs from what it was before the pandemic, according to Statistics Canada. But the low employment is not only a function of businesses struggling under lockdown, it’s also because workers haven’t returned to jobs they held before the pandemic. The number of job vacancies – positions that businesses have advertised but can’t fill – climbed to nearly 160,000 in August.”, The Glove and Mail, November 22, 2021

“Restaurants just might come out of the pandemic better than before. Here’s why: The food industry has always been volatile, writes Corey Mintz in “The Next Supper.” Making it better depends on you.”, The Toronto Star, November 18, 2021

China

“People in Beijing open up about China’s zero-Covid approach and reveal where they dream of visiting once borders reopen. Residents of China’s capital generally support the authorities’ handling of the coronavirus pandemic while harbouring dreams of overseas travel. A teaching assistant wants to see penguins in Antarctica, a housewife hopes to resume trips in Asia, an entrepreneur dreams of a Greek holiday with his partner.”, South China Morning Post, November 28, 2021

“Supermarket companies are enthusiastically discussing how to survive the cold winter the president of China Chain Store and Franchise Association proposed lean management. Zheng Luoxin, a reporter from Economic Observation Network, ‘At present, the domestic supermarket industry is facing unprecedented difficulties and there is great uncertainty in the future. But one thing is certain. Now is a very difficult transition period for supermarkets for more than 20 years.’ On November 18, at the 2021 Supermarket Development Strategy Summit Forum, Pei Liang, President of the China Chain Store & Franchise Association, said in his speech that the current basic consensus for the transformation and development of supermarket enterprises is to shift from extensional expansion to intensive development, and the core of intensive development It is “lean”.

In Pei Liang’s view, lean is manifested in many aspects, such as refined product selection, more grounded meals and life proposals, more intimate services, more attractive and super cost-effective products, etc. These are all companies. After lean management, a kind of attraction to customers is formed, and it is also the core competitiveness of supermarkets to allow customers to return to offline.” , EEO.com.cn, November 18, 2021. Translation and article compliments of Paul Jones, Jones & Co., Toronto

“China’s economic growth slows in 3Q21 as ‘energy dual controls’ and power shortages take a toll. Growth in retail sales softens in 3Q21. Chinese government takes steps to ensure energy supplies.”, Fung Business Intelligence, November 22, 2021

Italy

“Italy ski slopes finally reopen after 2020 closure with France and Austria to follow suit – Italian skiers finally returned to the slopes after nearly two years on Saturday since the first pandemic lockdown in March 2020. As if on cue, snow fell overnight, blanketing the slopes of Plan de Corones in South Tyrolean town of San Vigilio di Marebbe, giving a fresh covering to the man-made base just in time for opening day. Skiers came from as far away as Croatia and the Italian capital Rome, as well as from neighbouring valleys where slopes have yet to open.”, Euronews, November 28, 202

South Korea

“South Korean Exports Extend Double-Digit Gains in Early Data – The value of Korea’s overseas shipments advanced 27.6% during the first 20 days of this month, the customs office reported Monday, following a 24% increase for the whole of October. Imports surged 41.9% during the period, led by a jump in the purchase costs of crude oil, gas and related products.”, Bloomberg, November 21, 2021

“7-Eleven introduces autonomous delivery robot in Seoul – Convenience store chain 7-Eleven said Monday that it will begin test driving ‘Neubie’, an autonomous, short-range delivery robot, at a store in Seoul’s Seocho district. The robot, equipped with a camera-based autonomous driving system, demonstrates outstanding performance in maneuvering in urban areas and is capable of delivery under various weather conditions, the company said.”, Inside FMCG, November 24, 2021. Compliments of Jason Gehrke, Publisher & Editor, ‘Franchise News’, Brisbane

Thailand

“A month after reopening, Thailand sees gradual tourism recovery – Thailand was among the first countries in Asia to reopen for foreign arrivals, and it is seeing a slow recovery, including new hotels touting longer stays for individual travellers.”, Reuters, November 25, 2021

United Kingdom

“British economic growth ‘set to overtake China’ – The predictions, which were first reported by The Telegraph, would mark the first time since the era of Mao Zedong that Britain would grow more rapidly than China.”, The Times of London, November 26, 2021

“UK to require charge points for electric vehicles in new buildings – Charging points for electric vehicles will be required to be installed in new buildings in Britain from next year under new legislation to be announced by Prime Minister Boris Johnson, his office said in a statement on Sunday. It said the regulations would lead to up to 145,000 extra charge points being installed in England each year in the run-up to 2030, when the sale of new petrol and diesel cars will end in Britain.”, Reuters, November 21, 2021

United States

“Keys to Surviving and Thriving in Post ‐COVID‐19 and Beyond: Self-sufficiency; Analytics; Exponential Thinking; Automation; Assets and Liquidity; Virtualization and Decentralization.”, The Connor’s Report, November 2021

“U.S. new jobless claims hit 52-year low – U.S. government data out Wednesday showed the lowest number of new weekly jobless claims since 1969.”, Reuters, November 27, 2021

“Coffee prices surge to 7-year high as inflation hits Americans’ pocketbooks – The cost of everyday products and commodities such as coffee and gas has surged in recent months. Bloomberg noted the price surge could result in higher costs over time for U.S. firms such as Starbucks and Peet’s Coffee and Tea.”, Fox Business, November 12, 2021

“The ship has sailed but many US shoppers won’t wait – As supply-chain woes persist, retailers are faced with waning customer loyalty this holiday season. Our recent COVID-19 US Consumer Pulse Survey unveiled that rather than wait for a replenishment of an out-of-stock item, 39 percent of respondents said they switched brands, while 32 percent went to another retailer.”, McKinsey, November 26, 2021

Vietnam

“Vietnam’s resort island welcomes first tourists after nearly 2 yrs – Two hundred vaccinated foreign tourists arrived in Vietnam’s beach-fringed island of Phu Quoc on Saturday, the first wave of visitors to the country in nearly two years as it seeks to resurrect its pandemic-ravaged tourism economy.”, Reuters, November 21, 2021

Brand News

“(Denny’s®) MVP Dawn Lafreeda Did It Her Way: 2020 Single-Brand Leadership Award recipient – Today her company, Den-Tex Central, operates 81 Denny’s and employs more than 3,000 people in restaurants in 6 states. Each month, nearly 1.2 million customers dine at her restaurants, generating $100 million in sales each year.”, Franchising.com, November 21, 2021

“Taiwanese Bubble Tea Brand Gong cha’s Playbook for Global Expansion – To grow the brand, Gong cha uses the common direct franchising model in our native fortress markets of Taiwan, South Korea, and Japan. Outside of our Asian-nation strongholds, Gong cha has found success employing a master franchising model, growing to nearly 1,700 locations worldwide including in Australia, New Zealand, England, Mexico, Canada, and the U.S.”, Franchising.com, November 19, 2021

“FountainVest to Buy Papa John’s Pizza China Franchisee From EQT – FountainVest Partners has agreed to purchase China F&B Group, which runs Papa John’s Pizza and Dairy Queen outlets in the world’s most-populous country, people familiar with the matter said. The Hong Kong-based private equity firm will take over the restaurant chain from current owner EQT AB, a Swedish buyout firm, and other holders for about $160 million, the people said, asking not to be identified as the information is private.”, Bloomberg, November 18, 2021

“Papa Johns expands into Kenya and Uganda – Papa Johns on Tuesday said that it has a deal with Kitchen Express LTD to open 60 locations in Kenya and Uganda in the coming years. The first four of these locations are set to open in 2022, starting in Nairobi.”, Restaurant Business, November 23, 2021

“This One Popeyes Menu Item Caused Major Confusion at First U.K. Restaurant Opening – Popeyes opened its first U.K. restaurant last weekend, drawing in a crowd of hundreds eager for a taste of the chain’s famous chicken sandwich. The true talk of the town, however, turned out to be a far humbler menu item—a side dish, in fact.”, Eat This, Not That!, November 27, 2021

“Sweetgreen Raises $364 Million in IPO That Prices Above Marketed Range – The initial public offering for Sweetgreen, the restaurant chain known for its salads and bowls, was priced at $28 a share, higher than the marketed range of $23 to $25. The company raised $364 million in the sale of 13 million shares, higher than the marketed 12.5 million shares.”, Barron’s, November 18, 2021

“Wendy’s plans 50 restaurants across UK in 2022 – The fast-food chain returned to the UK this year after a 22-year absence and has seen sales beat expectations. US burger chain Wendy’s has revealed a relaunch in the UK is proving so successful bosses plan to open a further 50 sites across the country next year.”, The London Independent, November 25, 2021

“8 new virtual or ghost restaurant brands – From celebrity partnerships to existing chains expanding their reach, check out the latest in the virtual brand space. Restaurant-celebrity partnerships aren’t new, but it seems those in the public eye are getting more into putting their names on delivery-only restaurants concepts than ever before.”, Nation’s Restaurant News, November 10, 2021

Articles & Studies For Today And Tomorrow

“Distribution of Global GDP by Region – Gross domestic product (GDP) measures the value of goods and services that an economy produces in a given year, but in a global context, it is typically shown using country-level data. In these cartograms, global GDP has been normalized to a base number of 1,000 in order to show a more regional breakdown of economic activity. Created by Reddit user /BerryBlue_Blueberry, the two maps show the distribution in different ways: by nominal GDP and by GDP adjusted for purchasing power parity (PPP).”, Visual Capitalist, October 12, 2021

“The Post-Covid Evolution of Consumer Demographics – After a year of uncertainty, it’s no surprise that businesses are looking ahead to refresh and refine their digital advertising techniques and strategies to ensure a lucrative and successful future. With this in mind, businesses must consider how consumer perceptions have changed and reinvented themselves over the past year or so, and what can be done to appeal to these new priorities and behaviors.”, Franchising.com, November 2021

William (Bill) Edwards, CFEand CEO and Global Advisor, Edwards Global Services, Inc. (EGS) has 4 decades of international operations, development, executive and entrepreneurial experience and has lived in 7 countries. With experience in the franchise, oil and gas, information technology and management consulting sectors, he has directed projects on-site in Alaska, Asia, Europe and the Middle and Near East. Mr. Edwards advises a wide range of companies on early to long term global development of their brands.

Our Latest GlobalVue™ Country Ranking

Edwards Global Services, Inc. (EGS) provides a complete International solution for companies Going Global. From initial global market research and country prioritization, to developing new international markets, providing in-country operations support and problem solving around the world. Our U.S. based executive team has experience living and working in many countries. Our Associate network on the ground overseas covers 40+ countries. EGS has twice received the U.S. President’s Award for Export Excellence.

www.edwardsglobal.com

For global market research, operations and development support across 40 countries, contact Mr. Edwards at bedwards@edwardsglobal.com or +1 949 224 3896.

https://calendly.com/geowizard/30min Click here to schedule a call with Bill Edwards to discuss how to successfully grow your company around the world.

EGS Biweekly Global Business Newsletter Issue 43, Monday, November 15, 2021

Posted on Nov 15th, 2021 in World Economy | Comments Off

Edited and curated by: William (Bill) Edwards, CFE, CEO of Edwards Global Services, Inc. (EGS)

Trends in this issue:

Inflation spreads, air travel restarts to the USA, some good news for Asian economies, global port congestion continues, global PMIs once again positive, COVID passes remain in Europe this winter and the U.S. starts giving out visas in China again.

But First, Some Words of Wisdom

“You will either step forward into growth or you will step back into safety.”, Abraham Maslow

“Intellectual growth should commerce at birth and cease only as death.”, Albert Einstein

“You don’t have to see the whole staircase, just take the first step.”, Martin Luther King, Jr.

Cultural Wisdom

In China, “Yes” does not always mean yes. When a person nods their head, they may be merely following what you are saying, not giving a definitive answer. District Export Council of Southern California, December 16, 2020 webinar

Highlights in issue #43:

With rising vaccination rates, surveyed economies are reopening more fully; industry and trade are expanding despite the pandemic’s knock-on effects.
Status of the Global Economic Recovery
U.S. Resumes Visa Services in China After Reopening Borders
In the Race to Boost Semiconductor Manufacturing, Global Powers Take Their Marks
Worst Is Over for Indonesia’s Growth as Consumers Head to Malls
Southeast Asia Digital Economy to Reach $363 Billion by 2025
Covid vaccine mandates around the world
Brand International News Section: Appleby’s® and IHOP®, Betty’s Burgers®, Fat Brands®, Firehouse Subs®, Sonic® (Inspire Brands®), Legendary Restaurant Brands®, Panera Bread®, Planet Fitness®, Roll’d®, Steak n Shake®, Subway®, Little Gym® (Unleashed Brands®)

Our Mission and Information Sources

Bolded article titles are live links if article is available without subscription

Our biweekly global business update newsletter focuses on what is happening around the worldthat impacts new trends, health, consumer spending, business investment, economic development and travel. We daily monitor 30+ countries, 40+ international information sources and six business sectors to keep up with what is going on in this ever-changing environment. Our GlobalTeam™ on the ground in 27 countries covers 43 countries and provides us with updates about what is happening in their specific countries. Please feel free to send us your input and sources of information. Our contact information is at the bottom of this newsletter.

To sign up for this free newsletter click on this link: https://lnkd.in/d_XkTGN.

First, Something a bit Different

“Jane Goodall on a life as a woman defending the wild – In a series exploring women in international affairs, global environmentalist, Dr Jane Goodall DBE, speaks to Gitika Bhardwaj about why humanity still has reason to hope.”, Chatham House, November 12, 2021

Interesting Data and Studies

“With rising vaccination rates, surveyed economies are reopening more fully; industry and trade are expanding despite the pandemic’s knock-on effects. The global purchasing managers’ indexes (PMIs) for manufacturing and services show healthy expansion, with respective readings of 54.1 and 53.4. Unemployment is generally falling, and world trade has effectively recovered to prepandemic levels.”, McKinsey, November 8, 2021

“Status of the Global Economic Recovery – Economies around the world are still climbing out of the hole created by the pandemic, and plenty of things could derail the recovery, from supply chain shortages to rising prices.”, Geopolitical Futures, November 5, 2021

Global Supply Chain & Trade Update

“Major Ports Are Congested. Shipping Companies Maersk and Hapag-Lloyd Are Thriving – This year is likely to end as the best year on record for the sector. Global trade volumes jumped by 8% to 10% this year as the global economy started recovering from months of lockdowns and other trade restrictions. Meanwhile, shipping rates have more than doubled between January and August, amid signs of a shortage of container transport capacity.”, Barron’s, November 11, 2021

“Supply chain disruption: is the worst over? As companies, investors and policymakers fret over port logjams, freight costs and chip shortages, some indicators are starting to signal that global supply chain stress may be on the wane. The coming months will show if the snarl-ups portend a toxic scenario of stagflation for the world economy or are just a bump in the road to recovery. They will also determine how inflation expectations, monetary policy and corporate earnings pan out.”, Reuters, November 3, 2021

“(UK) Supply chain crisis ‘will last into 2023’ – Henrik Pedersen, chief executive of Associated British Ports (ABP), said he would be ‘positively surprised’ if the problem eased before the end of next year. ‘We have a shortage of truck drivers in the UK, and in other countries, too, so it [the problem] is in the shipping leg and the road leg.’ Pedersen said ABP’s ports were still clogged up with empty containers that Asian ports were reluctant to take back because they did not have the space.”, The Times of London, November 14, 2021

“Small-business owner faces fees of at least $30K due to delays after shipping container flagged for inspection – A small-business owner could be on the hook for tens of thousands of dollars in fees after her container was flagged for inspection by the Canada Border Services Agency amid international shipping congestion.”, CBC, November 11, 2021

“The global port backlog continues. Domestically, L.A. and Long Beach ports are the most severe pinch points for U.S. trade, while shortages of trucking, rail, and warehouse capacity at alternative gateways are challenging importers seeking to avoid the Southern California port logjam. Meanwhile, port congestion extends worldwide and container freight prices are surging, including in China from two of the three biggest container ports in the world.”, Exiger Trends Report, September – October 2021

“The Busiest Port in America: Los Angeles – U.S. e-commerce grew by 32.4% in 2020—the highest annual growth rate in over two decades. Such rapid growth has resulted in many more goods being imported, leaving America’s western ports completely overwhelmed.”, Visual Capitalist, November 2, 2021

“Snarled Supply Chain Is Making U.S. Warehouse Shortage Worse – Record numbers of cargo ships bob in the waters off Southern California, unable to unload. A late shipment of patio furniture gets moved — three times — before finding a home for the winter. With no warehouse space, a crew assembles holiday displays in a parking lot in an effort to get them to clients on time.”, Bloomberg, November 9, 2021

Global, Regional & Local Travel Updates

“U.S. Resumes Visa Services in China After Reopening Borders – The U.S. embassy and consulates in China resumed regular visa services as the country reopened its border to international travelers after barring them for nearly two years under Covid-19 restrictions.”, Caixing Global, November 10, 2021

**Virgin 3 and Speedbird 1 lifting off Heathrow’s runway’s at the same time.**

“British Airways and Virgin Atlantic Synchronize Departures to Celebrate U.S. Reopening – More than 600 days after the U..S.’s travel ban was introduced aimed to reduce the spread of coronavirus infections, arch-rivals British Airways and Virgin Atlantic momentarily put rivalries aside as both airlines departed from London Heathrow to New York’s John F. Kennedy Airport, symbolizing the end of restrictions on travel to the U.S.”, Airline Geeks, November 8, 2021

“Delta bookings soar in six weeks after U.S. move to open borders – Delta Air Lines (DAL.N) has seen a 450% surge in international bookings in the six weeks since Sept. 20 when the United States said it would reopen for fully vaccinated visitors. The U.S. carrier said that international flights were expected to operate in full capacity on Nov. 8, with high passenger volume throughout the following weeks.”, Reuters, November 4, 2021

“Chinese Airlines Struggle While the World Slowly Reopens – Carriers attributed the subpar performance to the repeated appearance of Covid-19 cases in China and rising oil prices over the past months. The year 2021 is turning to be worse than 2020 for some carriers.”, Airline Geeks, November 11, 2021

“The pandemic has accelerated digitalisation as businesses pivot online. Mobile travel sales are expected to regain all lost ground by 2022, hitting almost USD500 billion. Online travel will continue to grow, accounting for 54% of travel sales in 2021. Online sales gained five years’ worth of growth during the pandemic.”, Euromonitor International, “Travel Rewired: Innovation Strategies for a Resilient Recovery” report, November 2021

“LATAM Confirms Demand Recovery for November – LATAM Airlines Group’s operational passenger projection for November 2021 is estimated to reach 62% compared to the same month in 2019, as measured in available seat kilometers.”, Airline Geeks, November 14, 2021

Global COVID & Vaccine Update

“51.2% of the world population has received at least one dose of a COVID-19 vaccine. 7.34 billion doses have been administered globally, and 28.14 million are now administered each day. Only 4.2% of people in low-income countries have received at least one dose.”, Our World In Data, November 13, 2021

“Covid vaccine mandates around the world – Many countries have made inoculation mandatory for at least some of their citizens, with penalties for those who do not get jabbed. The UK became the latest country to introduce vaccine mandates on Tuesday after the government announced all NHS workers would need to be jabbed by next spring. Although obligatory shots have been ordered in many other countries, some have balked at the measures and resorted to protests and legal action.”, The Guardian, November 9, 2021

“Covid passes set to stay as Europe heads for winter – There have been protests and complaints of restricted freedom, but much of Europe is now using Covid passports to enter bars, restaurants, cinemas and museums.”, BBC News, October 28, 2021

“Pfizer says antiviral pill 89% effective in high-risk cases – A pill to treat Covid developed by the US company Pfizer cuts the risk of hospitalisation or death by 89% in vulnerable adults, clinical trial results suggest. The drug – Paxlovid – is intended for use soon after symptoms develop in people at high risk of severe disease.”, BBC News, November 6, 2021

“Rising Covid infections in Europe spark fears of new wave – WHO says pace of transmission across continent and Central Asia is a ‘grave concern’. Europe is experiencing a surge in coronavirus infections to levels not seen in months, alarming health officials and sparking fears that the continent could be engulfed by a new wave of the pandemic this winter.”, The Financial Times, November 4, 2021

Country & Regional Updates

Argentina

“Argentina Reopens to Vaccinated Tourists Around the World — What to Know – Argentina opened its borders to the world Monday, welcoming fully vaccinated travelers to experience the country’s amazing wine, breathtaking mountains, and deep-rooted culture. Eligible travelers must have received a completed vaccination at least 14 days before coming and must show proof of a negative COVID-19 PCR test taken within 72 hours of entering the country, according to the Ministry of Tourism and Sports.”, Travel and Leisure, November 2, 2021

Australia

“Why Australia’s ‘great resignation’ is a myth – There is no evidence of such a phenomenon here. if there was, it would be no bad thing. Australia’s resignation rate has fallen to an all-time low.”, Inside FMCG, November 9, 2021. Compliments of Jason Gehrke, Franchise Advisory Centre, Brisbane

China

“Soaring inflation at China’s factory gates raises fears for rest of world – Producer prices increased by 13.5 per cent in the year to October, accelerating still further from the 10.7 per cent jump recorded for September. The new figure showed producer inflation picking up to a level not seen since July 1995 and exceeding analysts’ consensus forecast of 12.4 per cent.”, The Times of London, October 19, 2021

“China industrial output, retail sales accelerate but property clouds outlook – China’s industrial output and retail sales grew more quickly than expected in October, despite fresh curbs to control COVID-19 outbreaks and supply shortages, but the slowing property sector weighed on the economic outlook. Output grew 3.5% in October from the same period a year ago, official data showed on Monday, accelerating from a 3.1% increase in September. Retail sales growth also picked up.”, Reuters, November 14, 2021

“Consumers win in public interest civil lawsuit – The Wuxi Intermediate People’s Court recently awarded punitive damages to consumers of counterfeit coffee purporting to be from US coffee-maker Starbucks. Unlike traditional trademark infringement cases, where the rights owner is the plaintiff, this case was unusual as it had been initiated by the Consumers Council of Jiangsu Province (JSCC)….”, INTA Bulletin, November 8, 2021. Compliments of Paul Jones, Jones & Co., Toronto

“The first digital convenience store in the country landed in Shanxi – This is the first digital convenience store in the country. Customers can shop while receiving coupons and enjoy Alipay prices; they can also experience personalized services such as laundry delivery, old clothes recycling, and mobile phone teaching for the elderly through the ‘small program convenience corner’.”, China Chain Store & Franchise Association, October 29, 2021. Compliments of Paul Jones, Jones & Co., Toronto

India

“India opens for international travel — what happens next? India has opened up for travelers and will allow commercial flights from November. The Home Ministry announced that tourist visas would be issued to those arriving on chartered flights first, whereas travelers on commercial flights would start getting their visas approved from November.”, Deutsche Welle, November 2, 2021

Indonesia

“Worst Is Over for Indonesia’s Growth as Consumers Head to Malls – Indonesia will likely catch up on growth in the fourth quarter as its all-important consumption engine returns to high gear. More Indonesians are venturing outside to malls and supermarkets as a sharp decline in Covid-19 cases lets the government ease movement restrictions. Traffic in retail and recreation areas has largely returned to pre-pandemic levels, while mobility in groceries and pharmacies have rebounded well beyond that, according to Google data.”, Bloomberg, November 9, 2021

Japan

“Toyota accelerating vehicle production in December as COVID-induced parts shortages ease. The automaker’s 14 plants, 28 production lines in Japan will be operating normally for the first time since May. The automaker expects to build approximately 800,000 vehicles globally during the month, up from approximately 760,000 vehicles built during the same period a year ago.”, Fox Business, November 12, 2021

“Japan’s wholesale inflation hits 40-year high as fuel costs spike – The corporate goods price index (CGPI), which measures the prices companies charge each other for their goods and services, surged 8.0% in October from a year earlier, exceeding market expectations for a 7.0% gain, Bank of Japan data showed onThursday.”, Reuters, November 10, 2021

Malaysia

“Malaysian Economy Returns to Contraction as Virus Curbs Hit – GDP shrank 4.5% y/y in 3Q, deeper than est. for 2.6% decline. BNM sees growth rebounding in 4Q as virus curbs are lifted. Gross domestic product in the three months ended September shrank 4.5% from a year earlier, Malaysia’s central bank said Friday, worse than the 2.6% drop predicted by analysts in a Bloomberg survey.”, Bloomberg, November 11, 2021

Southeast Asia

“Southeast Asia Digital Economy to Reach $363 Billion by 2025 – E-commerce, travel, media, transport and food are driving the region’s digital growth, with online spending rising 49% in 2021 to $174 billion, the companies said in their latest annual report. The region added 60 million new digital consumers since the start of the pandemic, led by Thailand and the Philippines.”, Bloomberg, November 10, 2021

New Zealand

“New Zealand Jobless Rate Falls to 14-Year Low, Hiring Surges – New Zealand’s unemployment rate fell to its lowest level in almost 14 years in the third quarter as employment surged, sending the currency higher as traders boosted bets on interest-rate increases. The jobless rate dropped to 3.4% from 4% in the second quarter, the lowest rate since the fourth quarter of 2007 and matching the lowest on record, Statistics New Zealand data showed Wednesday in Wellington. Economists expected 3.9%.”, Bloomberg, November 2, 2021

United Kingdom

“Most furloughed workers returned to their jobs – The Office for National Statistics said yesterday that 65 per cent of these employees returned to work on the same hours, while 16 per cent went back with reduced hours and 6 per cent went back with hours increased. Another 6 per cent were either laid off or left their jobs voluntarily.”, The Times of London, October 22, 2021

“Ingredient costs push up price of food – Food prices have risen by 2.1 per cent over the past four weeks, driven higher by the rising cost of ingredients and supply chain pressures. Cash-conscious shoppers are beginning to shop around, visiting an average of 3.3 supermarkets a month to find the best value for money.”, The Times of London, November 10, 2021

“Christmas comes early to high streets amid fear of shortages – More than a third of shoppers are changing their approach to Christmas shopping this year with 52 per cent buying gifts earlier than normal, particularly children’s presents, according to figures from Barclaycard. Online spending at toy retailers jumped by 38.4 per cent in October compared with 9.9 per cent in September.”, The Times of London, November 9, 2021

United States

“How the Great Resignation is fueling the passion economy – In a post-pandemic world, the notion of having a job and working in a single role felt old-fashioned, several people who recently resigned from their jobs told Fortune. In a world where work is made increasingly autonomous through gig work, social media, and ecommerce, seeking out entrepreneurial endeavors is likely to become the rule, rather than the exception.”, Fortune, November 3, 2021

“NFIB’s Latest Covid-19 Survey: Supply Chain Disruptions, Staffing Shortage, And The Holiday Season – About half of small business owners (48%) reported that supply chain disruptions are having a significant impact on their business, almost unchanged from September’s survey.:, Franchising.com, November 9, 2021

“U.S. consumer prices jump 6.2% in October, the biggest inflation surge in more than 30 years – Core inflation, stripping out food and energy, increased 4.6%, the fastest gain since August 1991. Energy, shelter and vehicle costs led the gains, which more than wiped out the wage increases that workers received for the month.”, CNBC, November 10, 2021

Brand News

“Applebee’s and IHOP are ready to open new restaurants again – Parent Dine Brands is winding down a financial review that led to hundreds of closures over the past several years, and sees fertile ground for growth coming out of the pandemic. Parent company Dine Brands is winding down a financial review that led to the closure of hundreds of underperforming restaurants over the past several years, executives said Thursday. It plans to get Applebee’s back to net new unit growth in 2023, and expects IHOP to double its historical unit growth by then.”, Restaurant Business Online, November 4, 2021

“The new (Australia) burger king: The rise and rise of Betty’s Burgers amid Covid-19 – Betty’s Burgers and Concrete Co. might only have 39 stores across the country, but it has arguably been the form player during the Covid pandemic. The slick chain of 1950s-themed diners has enjoyed a meteoric rise since launching in Queensland seven years ago, growing steadily from a single outlet on the Sunshine Coast to now having a restaurant in nearly every state and capital.”, News.com.au, November 8, 2021. Compliments of Jason Gehrke, Franchise Advisory Centre, Brisbane

“Fat Brands to acquire Fazoli’s for $130 million – The purchase from Sentinel Capital Partners is expected to close in December 2021. This will be the growing restaurant group’s third acquisition in 2021 alone, following the purchase of the Twin Peaks ‘breastaurant’ sports bar chain in October and Global Franchise Group in July, which includes mainly snack and dessert brands like Hot Dog on a Stick, Marble Slab Creamery, Pretzelmaker, and Great American Cookies.”, Nation’s Restaurant News, November 2, 2021

“Burger King parent to buy Firehouse Subs for $1 billion – The deal would immediately add to Restaurant Brands’ earnings, the company said. Jacksonville, Florida-based Firehouse Subs’ system-wide sales would be about $1.1 billion for 2021, with October U.S. same-store sales about 20% higher from pre-pandemic levels two years ago, Restaurant Brands said.”, Reuters, November 15, 2021

“Sonic Parent (Inspire) Launches First-Of-Its-Kind Ghost Kitchen – There are more than 1,000 ghost kitchens in the U.S., but Inspire Brands recently launched one unlike any before it. The company, which owns Dunkin’, Baskin-Robbins, Arby’s, Buffalo Wild Wings, Jimmy John’s, Sonic Drive-In, and Rusty Taco, recently introduced Alliance Kitchen, which it called the first ghost kitchen owned and operated by a multi-brand restaurant company.”, QSR Magazine, November 9, 2021

“Legendary Restaurant Brands Partners with Franklin Junction to Accelerate Growth in Asia-Pacific Regions – Legendary Restaurant Brands – the parent company of Bennigan’s, Bennigan’s On The Fly, Bennigan’s On The Fly Virtual Kitchens and Steak & Ale – is preparing to introduce its chef-driven American fare to more markets across the globe through a new partnership with Franklin Junction…. (who) boasts a network of more than 500 virtual restaurants and over 300 Host Kitchens™ across more than 10 countries.”, Restaurant News, November 2, 2021

“JAB bought Panera Bread in 2017 and in August combined it with Caribou Coffee and Einstein Bros. under one unit. Panera Bread is planning to go public and has secured an unconventional investment from Danny Meyer’s special-purpose acquisition company, adding to one of the busiest restaurant IPO seasons in years.”, The Wall Street Journal, November 9, 2021

“Planet Fitness CEO says gym membership has almost reached its pre-Covid peak – In an interview on “Mad Money,” Rondeau said the gym chain now has 15 million members, describing that figure as “unbelievable” after locations were shuttered for months early during the Covid crisis and then even when they reopened, many people were hesitant to return right away. ‘Our height was 15.5 [million members]. We’re 97% all the way recaptured back to where we were pre-Covid,’ Rondeau said.”, CNBC, November 4, 2021

“Roll’d to make US debut ahead of further international expansion – Australia-based Vietnamese food restaurant chain, Roll’d, is set to accelerate its expansion plan with an international debut in the US next year, to be followed by more overseas markets. The restaurant chain will open its first US store in Salt Lake City next May, paving the way for more international restaurants to come, including Canada, the UK, France, Japan and New Zealand.”, Inside Retail (Australia), November 5, 2021. Compliments of Jason Gehrke, Franchise Advisory Centre, Brisbane

“More Steak ‘n Shake stores closed this year as revenue dips – Biglari Holdings, the local company that owns the burger and shake chain, reported that 16 more stores “temporarily closed” as of December 31, 2020, according to the public company’s third quarter filing with the Securities and Exchange Commission. One of those stores was company operated and the 15 others were traditional franchises. Biglari Holdings only operated 221 stores as September 30.”, My San Antonio, November 9, 2021

“Subway Inks One of the Biggest Franchise Agreements in History – Subway announced Tuesday that it signed a deal to open more than 2,000 stores across South Asia, a move the fast-food chain called one of the ‘largest master franchise agreements in quick-service restaurant history.’ The sandwich concept will work with Everstone Group, a South Asia-focused private investment firm, to open the locations in India, Sri Lanka, and Bangladesh over the next 10 years. Currently, those markets have nearly 700 Subway restaurants.”, QSR Magazine, November 2, 2021

“Unleashed Brands Adds The Little Gym and CEO Nancy Bigley – The Little Gym has a new owner, Unleashed Brands, and a new president and CEO, Nancy Bigley, a former Dunkin’ Brands executive turned entrepreneur. She started Bottle & Bottega and grew it to 27 studios before selling to the largest paint-and-sip franchise, Painting With a Twist, in 2018. She stayed on, eventually being named CEO of Twist Brands and its portfolio of art and entertainment franchises.”, Franchise Times, November 5, 2021

Articles & Studies For Today And Tomorrow

“In the Race to Boost Semiconductor Manufacturing, Global Powers Take Their Marks – Increased investments following the pandemic-induced semiconductor shortage will lead to more chip factories being built in more parts of the world. But the sector’s rigid nature and boom-and-bust cycles will still result in countries facing similar supply disruptions in the future.”, Stratfor, November 11, 2021

Our Latest GlobalVue™ Country Ranking

www.edwardsglobal.com

For global market research, operations and development support across 40 countries, contact Mr. Edwards at bedwards@edwardsglobal.com or +1 949 224 3896.

https://calendly.com/geowizard/30min Click here to schedule a call with Bill Edwards to discuss how to successfully grow your company around the world.

EGS Biweekly Global Business Newsletter Issue 42, Monday, November 1, 2021

Posted on Nov 1st, 2021 in World Economy | Comments Off

Edited and curated by: William (Bill) Edwards, CFE, CEO of Edwards Global Services, Inc. (EGS)

Trends in this issue:

Inflation, supply chain challenges, increased global vaccination levels, air travel restarts in Asia, trade wars slightly calming, China’s economy slowing, European Union economies accelerating, natural gas prices up and supplies down in the EU and UK and champagnes sales are up just about everywhere!

But First, Some Words of Wisdom

In this issue, we will focus on wisdom from Colin Powell who passed away recently. General Powell was a beacon of wisdom and calm to all of us and will be missed.

“There are no secrets to success. It is the result of preparation, hard work, and learning from failure.”

“Don’t let adverse facts stand in the way of a good decision.”

“Remain calm. Be kind.” (Your Editor’s favorite)

Your Editor’s latest published article

“Rising Through Resilience: William ‘Bill’ Edwards Of Edwards Global Services On The Five Things You Can Do To Become More Resilient.”, Authority Magazine interview with An Interview with Savio P. Clemente, October 19, 2021

Highlights in issue #42:

Biden Ends Trump-Era Trade War With EU Steel Deal.
Five windows of opportunity for postpandemic Asia
Italy’s Lavazza Espresso Brand Takes On Starbucks in China
Champagne sales are surging close to pre-pandemic highs:
Thailand to Allow Quarantine-Free Travel From U.S., U.K., China
Projected 2022 International Franchise Development by Country
Brand News Section: Buffalo Wild Wings®, Burger King®, Denny’s®, KFC® China, Luckin® (Coffee), NRD Group, Phenix Salon Studios®, Sotheby’s®

Our Mission and Information Sources

Bolded article titles are live links if available without subscription

Our biweekly global business update newsletter focuses on what is happening around the world that impacts new trends, health, consumer spending, business investment, economic development and travel. We daily monitor 30+ countries, 40+ international information sources and six business sectors to keep up with what is going on in this ever-changing environment. Our GlobalTeam™ on the ground in 27 countries covers 43 countries and provides us with updates about what is happening in their specific countries. Please feel free to send us your input and sources of information. Our contact information is at the bottom of this newsletter.

Interesting Data and Studies

“IMF economist expecting inflation pressure through mid-2022 – Gita Gopinath, Chief Economist of the International Monetary Fund (IMF), said on Sunday that inflationary pressure will likely continue into the middle of next year. Gopinath stated that supply chain issues are ongoing as the ‘grip of the pandemic’ continues to hinder global trade, even though pandemic conditions have improved somewhat. ‘The way we see it is that these pressures will remain until sometime in the middle of next year. And then we see us returning to more normal levels of inflation towards the end of next year.’”, The Hill, October 24, 2021

“Biden Ends Trump-Era Trade War With EU Steel Deal. What It Means – At a G-20 summit in Rome over the weekend, the U.S. and the European Union agreed to end a dispute over steel and aluminum tariffs imposed by the Trump administration. Under President Donald Trump, the U.S. placed a 25% tariff on European steel and 10% on aluminum on national security grounds.”, Barron’s, November 1, 2021

“Champagne sales are surging close to pre-pandemic highs: ‘Consumers are ready to celebrate’ – The gradual reopening of global bubbly markets is expected to drive sales to an estimated 305 million bottles worldwide in 2021, according to the General Syndicate of Champagne Winegrowers.”, CNBC, October 22, 2021

“Natural gas is widely used in energy generation, transportation, commercial, and household sectors, as well as in energy-intensive industries such as chemical, iron and steel manufacturing. The United States, Europe, Russia, and China, the top four natural gas consumers, together accounted for 53% of global consumption in 2019.”, Knoema, October 15, 2021

“Emerging markets are the fast-growing economies that drive the world’s growth. When you look at the numbers, their scale and importance are undeniable for investors. Around 70 vastly diverse countries make up the universe of emerging markets1. They have enormous economic potential. But they are also complex and inefficient markets, both for bonds and equities.”, Pictet Asset Management, October 2021

“American Cheese Is Being Devoured in Asia, Export Data Show – U.S. exports of American cheese — including the processed staple coveted for melty grilled cheese sandwiches — are surging as buyers in Asia devour the stuff. Shipments in August increased by 71% from a year earlier to just over 9,000 metric tons, according to data from the U.S. Department of Agriculture. That’s the highest since March 2018.”, Bloomberg, October 22, 2021

Global Supply Chain Update

This map shows cargo vessels, tanker and large fishing vessels reporting their positions as of November 1, 2021. Marine Traffic website

“Cost of breakfast foods hits 10-year high – Bad weather and supply-chain problems push up price of ingredients. The Financial Times breakfast indicator, based on futures prices for coffee, milk, sugar, wheat, oats and orange juice, has shot up 63 per cent since 2019, in a move that has accelerated since this summer.”, The Financial Times, October 29, 2021

“In a change from the first three quarters in 2021, uncertainty over COVID-19 is no longer a foremost economic concern to executives, according to the latest McKinsey Global Survey.1 When asked about threats to growth in their countries’ economies, executives now cite mounting fallout on the supply chain—which is also the most common risk to company growth—and inflation more often than the pandemic itself.”, McKinsey, October 29, 2021

Global, Regional & Local Travel Updates

“Airlines Are Getting Ready to Fly Into an Uncertain Future – Flights may be creeping toward pre-pandemic levels, but there’s still a China-sized hole in the global tourism market and a pile of debt to manage. After 18 months in which passenger planes were laid up in desert boneyards, converted into makeshift medical-supplies freighters, and even flown on short return hops just to maintain their pilots’ certifications, the machinery of the global aviation industry is gradually creaking back into life.”, Bloomberg, October 27, 2021

“Some of the World’s Last Covid-19 Travel Holdouts Are Reopening – Australia is allowing citizens to travel, while vaccinated tourists from many countries can now enter Thailand without extended quarantines…. n the U.S., the Biden administration plans to lift travel restrictions for international travelers in the coming days. The new policy will affect both air and land-border travelers, who will need to be fully vaccinated.”, The Wall Street Journal, November 1, 2021

“Singapore Storms Back Toward Pre-Virus Levels of Air Traffic – Airlines in Asia are bringing back international capacity as the region gradually follows North America and Europe in reopening borders, led by the city-state of Singapore, whose economy depends on open access. By January, Singapore is poised to reach 84% of the weekly flights to Europe as it had in March last year….”, Bloomberg, October 22, 2021

“Thailand to Allow Quarantine-Free Travel From U.S., U.K., China – Vaccinated travelers from the U.S., U.K. and most of Europe will soon be able to enter Thailand without quarantining, in a further boost to the tourism-dependant economy. They are among 46 countries, also including China, Australia and Singapore, to be added to the quarantine-free travel list from Nov. 1, the government said late Thursday.”, Bloomberg, October 21, 2021

Global Vaccine Update

“49.5% of the world population has received at least one dose of a COVID-19 vaccine. 7.07 billion doses have been administered globally, and 26.65 million are now administered each day. Only 3.6% of people in low-income countries have received at least one dose.”, Our World In Data, November 1, 2021

Country & Regional Updates

Asia

“Five windows of opportunity for postpandemic Asia – Although the COVID-19 pandemic has caused hardship, Asia has remained relatively resilient, and opportunities for growth are opening up. In July 2021, the International Monetary Fund (IMF) forecast that Asia would grow at 7.5 percent in 2021 and 6.4 percent in 2022, compared with 6.0 percent and 4.9 percent for the world.”, McKinsey & Co., October 18, 2021

“Why Asia’s CEOs fear inflation as biggest hurdle to coronavirus recovery – Supply-side constraints, loose monetary policy, geopolitical tensions and weakening consumer sentiment are just some of the issues weighing on business leaders’ minds. Asia’s economic vitality means it will remain a leading source of growth in the future, but expect more bumps on the road to recovery.”, South China Morning Post, October 19, 2021

Australia

“Australia reopens its borders as Covid threat recedes – The borders have been closed for almost 600 days. Alan Joyce, head of Qantas, Australia’s national airline, said that international travel in 2022 could be up to three times normal levels owing to pent-up demand. ‘I’m sure there’ll be a lot of visitors around the world that want to come into Australia given how well we’ve handled the pandemic,’ he said. Fewer than 1,500 people have died from coronavirus in Australia.”, The Times of London, November 1, 2021

“Qantas to return all Australia-based staff to work as travel reopens – Asia-Pacific countries ease restrictions on passengers vaccinated against Covid-19. The Australian airline said on Friday 11,000 stood-down workers would return to their jobs in early December, representing half of its Australia-based staff, six months ahead of its original schedule.”, The Financial Times, October 22, 2021

China

“China’s manufacturing PMI drops to a 20-month low of 49.2 in October, indicating further contraction in the manufacturing sector – The new orders index declines further to 48.8 in October, pointing to contraction in the market demand. The input prices index surges in October, suggesting severe cost pressure on manufacturers.”, FUNG Business Intelligence, October 31, 2021

“China Tightens Scrutiny of Outbound Data Transfers – China’s internet regulator Friday issued draft rules that will impose stricter requirements for data leaving the country as authorities move to tighten oversight of data security. Under rules drafted by the Cyberspace Administration of China (CAC), a national security review will be required for data transfers outside the country involving the personal information of 100,000 individuals or more.”, Caixing Global, October 30, 2021

“AmCham Shanghai today released its annual China Business Report at the PwC Innovation Center, where over 130 members and their guests listened to Jeff Yuan, a PwC partner, introduce the report’s primary findings. Yuan then hosted a panel discussion with four company heads: Colin Block, managing Director of EVAPCO; Anna Pawlak-Kuliga, CEO of Ikea China; Chris Reitermann, Chief Executive of Ogilvy Group Asia; and Tom Tan, President of BorgWarner China.”, AmCham Shanghai, September 22, 2021

Egypt

“Egypt’s new capital city rises in the desert – Is it a vanity project for Egyptian ruler el-Sisi or a necessity to escape the clogged, overcrowded confines of Cairo? Probably both. NAC is to become much more than Egypt’s new capital. It will also attempt to emerge as the country’s, maybe the entire region’s, main business centre and the Middle East’s biggest housing project, with apartments and villas for more than six million people.”, The Globe and Mail, October 25, 2021

European Union

“Eurozone Economy Outpaces U.S., China, but Tougher Times Lie Ahead – Region snapped back strongly in the summer, but supply-chain disruptions now biting into growth. ross domestic product in the 19-nation eurozone grew at a seasonally adjusted annualized rate of 9.1% in the three months through September, roughly in line with the previous quarter, the European Union’s statistics agency said on Friday.”, The Wall Street Journal, October 29, 2021

“Schools reopen in New Delhi as coronavirus cases dip across India – More than four million children are enrolled in public and private schools in the capital. Tens of thousands of pupils returned to schools in New Delhi on Monday after a gap of 19 months amid a drop in coronavirus cases in India. Authorities last week asked schools to run classes but allowed children of parents who did not want to send them to schools to continue with online learning.”, The National News, November 1, 2021

Indonesia

“Indonesian markets boosted by China’s energy crunch – Rupiah rebound leads regional currencies as coal exports lift south-east Asia’s biggest economy. Indonesia’s currency and equities markets are riding high on a global energy crunch as the resource-rich country enjoys record coal prices and surging demand from power-hungry China.”, The Financial Times, October 24, 2021

Japan

“Japanese tourism after Covid-19 looks to build on Tokyo Olympics and Paralympics, but some doubt official strategy. Initiatives include a social networking service campaign in international markets and a long-term strategy designed to encourage tourists to revisit the country. An analyst says a target of 60 million inbound tourists by 2030 may be optimistic, and even if it can be achieved, a focus on quality of visitors is preferable.”, South China Morning Post, October 25, 2021

Malaysia

“Malaysia could reopen to international tourists in November, says tourism minister – Malaysia aims to reopen to international tourists in November, and travelers from neighboring Singapore could be among the first to be allowed into the country, the Malaysian tourism minister told CNBC.”, CNBC, October 21, 2021

United Kingdom

“UK businesses report stronger-than-average growth – CBI – British businesses gained a small amount of momentum and grew at an above-average pace in the three months to the end of October, despite widespread disruption to supply chains, the Confederation of British Industry (CBI) said on Sunday. The CBI’s monthly growth indicator – which pulls together surveys of output from manufacturers, retailers and other services companies – rose slightly to +29 from +27 in September, after hitting its highest since 2014 in August at +34.”, Reuters, October 30, 2021

“The cost of petrol is nearing a record high as it is artificially inflated as increases in the wholesale cost of diesel is being “loaded on to petrol”, according to analysis by the AA. The cost reached 142.16p per litre, with the highest price recorded at 142.48p (US$1.95) in April 2012.”, Sky News, October 23, 2021

“Growth spurt points to interest rate rise – The economy regained momentum this month as inflationary pressure rose at its fastest pace in more than 25 years, a respected survey suggests…..Growth was driven by the services sector, which hit a three-month high of 58.”, The Times of London, October 23, 2021

United States

“(US) Supermarkets Play Supply-Chain ‘Whack-a-Mole’ to Keep Products on Shelves – Retailers reroute shipments, expand storage to stay ahead of product shortages; Nutella, Pringles hard to get lately. Supermarket chains are revamping their operations to navigate persistent product shortages, expanding storage space and curbing discounts to make sure they don’t run out.”, The Wall Street Journal, October 31, 2021

Brand News

“Burger King has officially opened a veggie-only restaurant in Madrid, Spain. To promote this rebranded “Vurger King,” the fast food giant remodeled the interior of the restaurant to include a green plant mural and lush hanging plants (via Veg News). For one month only, customers will be able to purchase food items such as a plant-based Whopper, vegan chicken nuggets, and the Long Vegetal. The latter is a menu option featuring “meat” from The Vegetarian Butcher, a Dutch brand that produces high-quality vegetarian meat. Mashed, October 26, 2021

“Buffalo Wild Wings is now testing a robot that can fry chicken wings – The Inspire Brands brand is partnering with Miso Robotics to test Flippy Wings. Flippy Wings is a “robotic chicken wing frying solution” that is designed to help brands maximize chicken wing output even while short-staffed in the kitchen.”, Nation’s Restaurant News, October 21, 2021

“Denny’s Recognized On Newsweek’s List Of The Most Loved Workplaces For 2021 – Denny’s today announced that it has been named one of the Top 100 Most Loved Workplaces for 2021 by Newsweek and Best Practice Institute for its longstanding commitment to employee satisfaction through opportunities for career growth, exceptional healthcare benefits and a love for serving people.”, Cision PR Newswire, October 22, 2201

“KFC Operator Yum China’s Third-Quarter Profit Plunges as Outbreak Curbs Hit Sales – Yum China Holdings Inc., operator of KFC and Pizza Hut restaurants in China, reported a 76% plunge in its third-quarter profit to $104 million, as operations were “significantly impacted” by an outbreak of the delta variant of the coronavirus that began in late July. For the quarter that ended in September 2021, revenue increased 9% to $2.55 billion, while the key metric of same-store sales fell for the first time this year by 7% from a year ago, including a decrease of 8% at KFC chain stores and a 5% drop at Pizza Hut…”, Caixing Global, October 29, 2021. Compliments of Paul Jones, Jones & Co. Toronto

“Italy’s Lavazza Espresso Brand Takes On Starbucks in China – It’s betting a 126-year heritage of offering high-end beans will let it open 1,000 espresso shops in a market the American chain already dominates. Lavazza opened a flagship outpost in Shanghai last year and has since added more coffee shops across the country. With design features including wall murals, traditional mocha machines, and white marble trimmings, the Shanghai store evokes an air of Italian dolce vita that the company hopes will resonate with Chinese consumers eager to embrace European luxury and style.”, Bloomberg, October 27, 2021

“Luckin (China) Says Selling More Coffee for Higher Prices Helped Stem Losses – Scandal-dogged Luckin Coffee Inc. said it managed to pare its losses by over 1 billion yuan during the first half of this year, as it sold more coffee at higher prices, eased off on its previously breakneck expansion and increasingly tapped the franchise model.”, Caixing Global, October 22, 2021

“NRD (Group) creates Experiential Brands platform with Fuzzy’s Taco Shop – Paul Damico, in expanded CEO role, says new division has eye on possible acquisitions…“Experiential Brands will be the holding company and Fuzzy’s Taco Shop will be the first brand we put into that new platform,” Damico said in an interview Tuesday.”, Nation’s Restaurant News, October 26, 2021

“Phenix Salon Suites Inks 75-Unit Deal for the U.K. and Ireland – Phenix Salon Suites opened its first British location in Manchester in early October, marking the start of the company’s strategic global expansion plan, according to company officials. Development group Phenix LTD-UK signed an agreement to open 75 Phenix Salon Suites locations throughout the United Kingdom and the Republic of Ireland.”, Franchising.com, October 22, 2021

“Sotheby’s International Realty Opens Its First Office in Bulgaria – Sotheby’s International Realty announced that Iris Estates has joined its network and will operate as Bulgaria Sotheby’s International Realty. The addition marks the brand’s continued growth in Europe. The brand has nearly 200 affiliated offices in the EMEIA (Europe, Middle East, India, and Africa) region.”, Franchising.com, October 22, 2021

Articles & Studies For Today And Tomorrow

“The number of working hours lost due to the Covid-19 pandemic will be “significantly higher” than projected just a few months ago, with estimates that global hours worked this year will be 4.3% below their pre-pandemic level, the equivalent of 125 million full-time jobs. Africa, the Americas and Arab States were the regions that experienced the biggest declines.”, Bloomberg, October 27, 2021

“Commerce 2040 – The Future of the Store in a Digital World”, Euromonitor International, October 2021

“Projected 2022 International Franchise Development by Country – Key to recovering from the pandemic – to the point where local companies in a country will seek new franchise investment – is the level of vaccination in that country. I traveled to Italy, Spain, the Netherlands, and the United Kingdom in September for my first international trip in almost 2 years. These countries are 70% or more fully vaccinated and are learning to live with Covid-19.”, Franchising.com, Late October 2021

Our Latest GlobalVue™ Country Ranking

www.edwardsglobal.com

For global market research, operations and development support across 40 countries, contact Mr. Edwards at bedwards@edwardsglobal.com or +1 949 224 3896.

https://calendly.com/geowizard/30min Click here to schedule a call with Bill Edwards to discuss how to succeed in developing your company around the world.