July/August 2000



  • World News Today... daily headlines and abstracts
  • Starbucks Forms Alliance with The New York Times
  • Web Usage Growing Rapidly Beyond US Borders
  • Deutsche Telekom Agrees to Pay Record Price Per Wireless Subscriber
  • Campbell Soup at a Crossroads
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  • NEW YORK & SEATTLE, USA -- Two world reknown brands have formed an alliance with an agreement expected to go into effect on October 1, 2000. Starbucks Coffee Company and The New York Times. Starbucks is a retail leader in roasted and specialty coffees around the world, while The New York Times is one of the world's most widely read and respected newspapers.

    Through this agreement, The New York Times will have expanded distrubtion by its presence throughout all of Starbucks' US stores, improving the paper's availability among the 11 million customers who visit Starbucks' stores weekly. The "paper" will become accessible both in print and electronic versions. For Starbucks, this alliance will enhance the customer experience. Though local newspapers will continue to be available in each location, The New York Times will be the only national paper. In so doing, each will promote the other.

    Moreover, through this alliance, the two companies will explore opportunities to expand delivery of The New York Times outside of the United States through Starbucks' stores. Starbucks recently announced that it was increasing its global new store opening target for fiscal year 2000 from 750 to 900 stores and setting its target in fiscal year 2001 at 1,100.

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    The International Data Corporation predicts that by 2004, only one-third of the Web's 602 million worldwide users will be from the U.S. This figure is down from nearly one-half at the end of 1998.

    With these growing figures, US companies can no longer afford to ignore the presence of international web users. These consumers will account for over 40% of the world's e-commerce revenue by 2003 and are four times more likely to buy from a web site in their native language. With language and cultural barriers, how can your company effectively meet the challenges of going global?

    To address these issues, the International Quality and Productivity Center (IQPC) has developed a comprehensive two-day conference that will give you all of the tools you need to take your website and e-commerce operations global. Web Site Globalization will expand on IQPC's successful Global Web Site Localization conference series to give you just that information. The conference will be held September 26-27, 2000 in New York, and will also include special interactive workshops on September 25 and September 28.

    At the conference, Michael Richter, Turner Entertainment Networks' Vice President of Interactive will present a case study on Cartoon Network Australia and how to re-purpose your website for the many different international markets. Also, Don DePalma, Idiom's Vice President of Corporate Strategy, will teach successful tips on website design for international users.

    To learn about the many legal quandaries of localization, Ellis, Venable, Busam, & Wittenberg LLP's Managing Director, Richard Ellis, will unveil pertinent information on subjects such as intellectual property rights, international taxes, and privacy laws.

    IQPC has also put together two informative roundtable discussions that will speak on new and innovative ways to reach the global online market. During the Asia Pacific panel, The Web Connection Tokyo, iAsiaWorks, and Chinadotcom Jumpstart Incubator will discuss the different internet infrastructures between Asia and the US, the steps that companies need to take to establish themselves in Asia, and the major dilemma of partnering locally or centrally.

    The European panel, which includes CBS Sportsline.com and Icon Medialab, will address the same issues, but concentrating on creating a successful European brand.

    To register for this conference, or receive more information, call 1-800-882-8684, e-mail, or visit http://www.iqpc.com/EZ01D/web-global.

    (Source: YOUR LINK HERE)


    WASHINGTON, D.C, USA -- In a buyout offer of the US wireless group, VoiceStream, by the German telecommunications giant, Deutsche Telekom, it was revealed that Deutsche Telekom would pay just over US$20,000 per subscriber. This is a record price in the wireless industry. VoiceStream is a spin-off of Western Wireless which had purchased competitors Aerial and Omnipoint. They now have about 2.3 million subscribers. Deutsche Telekom plans to pay US$50 billion for VoiceStream.

    However, the deal is still under review and could face opposition by US regulators. Some members of US Congress are concerned about the purchase of a US telecommunications operator by a foreign entity, especially one that is controlled by a foreign government.

    VoiceStream operates in 23 of the 25 largest markets in the continental United States, and it uses the GSM standard that is common in Europe.
    (Source: YOUR LINK HERE)

    CAMDEN, NJ, USA -- There's nothing more American than apple pie, hot dogs and condensed Campbell Soup with the red & white label -- also well-known around the world. A family-run business for more than a century (with a Dorrance as chairman until 1984), and eight year earnings up sixfold prior to 1998, Campbell Soup is now in financial trouble. The Dorrance (founding) family, which owns more than half the company's stock has seen their own holdings decline by more than half from around US$13 billion to just US$6 billion.

    The industry, as a whole, is undergoing consolidation. And the Dorrance's are left with the decision of selling out to a larger corporation or acquiring others in the industry. Their ubiquitous red & white label soups have lost ground to brands that seem fresher or more natural, such as Progresso. And their Pepperidge Farm cookies and crackers lines have lost ground to brands from such competitors as Nabisco. Campbell Soup is already fairly diversified. They own Pepperidge Farm cookies and crackers, the

    Belgian cookie company Delacre, Prego (spaghetti sauces), Pace (Mexican foods), Germany's leading canned soup -- Erasco, France's Liebig soup company and Godiva Chocolatier.

    Last month, the family offered to sell the company for US$35/share to Bestfoods. But that deal was dismissed. The company's former CEO, Johnson, has been asked to step back in (from retirement) to help steer the company to safety. He is quoted as having said that the company can remain independently run as a family business, but that they would entertain the possibility of a merger.

    Despite the grim outlook, Campbell soup is still a market leader, controlling nearly 75% of the country's soup volume, though unit sales continue to decline -- down 4% last year.

    The company plans to take some action this coming Fall, with advertising and branding that is proud, confident and celebrates Campell's core strengths. They also plan to add more meat to the popular chicken noodle flavor.
    (Source: YOUR LINK HERE)

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    To take advantage of the North American and USA fares, you must depart on Friday on or after 7:00 p.m. or anytime on Saturday, August 11 - 12, 2000; return anytime the following Monday or Tuesday, August 14 - 15. Tickets must be purchased no later than this Friday, August 4, 2000, 12:00 midnight (CST) . Thursday departures return anytime the following Monday and Friday departures return anytime the following Monday/Tuesday. -->

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