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February 05, 2008

Plastic Bags are a Waste

Inhabitat had a great post this morning about declining plastic bag usage in Ireland...

Ireland plastic bag usage drops dramatically after plastic bag taxes are instated!

With all the recent bans on plastic bags around the world, it’s natural to wonder just how effective all the bag banning will be. Instead of simply enacting laws to phase out plastic bags - which seems like a wishy-washy attempt at most, Ireland has implemented a tax-based incentive to cut plastic bag useage — and it seems to be working wonders. Between the government tax on bags, an effective advertising campaign, and public support, plastic bag usage has dropped 94% in a matter of weeks.

I am so glad to see some of the new things being done to decrease the use of plastic bags around the world!  I know what a huge problem they have caused and continue to cause to our environment, and can't wait to see the types of things we will do in the U.S. to make a difference for ourselves.

February 04, 2008

We Are Not the Only Ones...

I discovered a very surprising article released by BBC News recently regarding the obesity epidemic around the world (below):

Overweight 'top world's hungry'

There are now more overweight people across the world than hungry ones, according to experts.

US professor Barry Popkin said all countries - both rich and poor - had failed to address the obesity boom.

He told the International Association of Agricultural Economists the number of overweight people had topped 1bn, compared with 800m undernourished.

Speaking at an Australian conference, he said changing diets and people doing less physical exercise was the cause.

Professor Popkin, from the University of North Carolina, said that the change had happened quickly as obesity was rapidly spreading, while hunger was slowly declining among the world's 6.5bn population.

The biggest increases are being seen in parts of Asia with certain populations more susceptible than others
Professor Tony Barnett, of Birmingham University

He told the conference at the Gold Coast convention centre near Brisbane: "Obesity is the norm globally and under nutrition, while still important in a few countries and in targeted populations in many others, is no longer the dominant disease."

He said the "burden of obesity", with its related illnesses, was also shifting from the rich to the poor, not only in urban but in rural areas around the world.

China typified the changes, with a major shift in diet from cereals to animal products and vegetable oils accompanied by a decline in physical work, more motorised transport and more television viewing, he added.

And he urged governments to begin to develop better strategies to combat the problem.

He said food prices could be used to manipulate people's diets and tilt them towards healthier options.

"For instance, if we charge money for every calorie of soft drink and fruit drink that was consumed, people would consume less of it. "If we subsidise fruit and vegetable production, people would consume more of it and we would have a healthier diet."

And University of Minnesota's Professor Benjamin Senauer, who has compared lifestyles in the US, which has high obesity rates with Japan, which has low rates, agreed.

"The average Japanese household spends almost a quarter of its income on food compared to under 14% in the US."

'Cheap food'

While a direct tax on food in the US to reduce obesity would not be politically acceptable, agricultural subsidies which resulted in cheap food could be reduced, he added.

But he said other factors, such as exercise, also played an important role.

"Japanese cities are based on efficient public transport and walking. The average American commutes to work, drives to the supermarket and does as little walking as possible."

Professor Tony Barnett, head of the diabetes and obesity group at Birmingham University, said: "It is becoming increasingly clear that the number of overweight outnumbers the malnourished.

"What is also clear is that this is not just happening in developed countries, the developing world also has serious problems.

"The biggest increases are being seen in parts of Asia with certain populations more susceptible than others. If we do not get to grips with this, problems associated with obesity, such as diabetes and cardiovascular disease, are going to increase rapidly."

It is very shocking to know that although we see so much in the news about America when it comes to obesity and overweight citizens, other countries are having big problems too.  This is a serious problem with serious consequences to come...

October 30, 2007

Filter for Good

Rebus_green

While doing some research this morning I came across a website representing a campaign called "Filter for Good."  According to the website,

Brita and Nalgene have partnered to present FilterForGood. Take the pledge to make a small change in your life that could be part of a big change nationwide.

If you're ready, take the pledge. Still not convinced? Learn the facts about why reducing bottled water waste is so important.

And, if you purchase a FilterForGood refillable bottle, you'll also be supporting the Blue Planet Run Foundation, a nonprofit organization working to provide safe drinking water to 200 million people for the rest of their lives by 2027. For every FilterForGood refillable bottle purchased between August 10th and December 31st, 2007, a donation of $4, up to a maximum of $25,000, will be made to the Blue Planet Run Foundation.

This site offers some really great statistics about why bottled water waste is a concern and what we can do as individuals to help the big picture.  This shows that our society is aware of the environmental issues gaining media attention as well as ways in which we can make a difference.  I think that emphasis on the environment is only going to become more and more important over the upcoming decades-- especially because of the continuous coverage of the impact humans have on global warming.  It is good to know that companies are teaming up to give us options as consumers without taking away the convenience element that we love.

October 17, 2007

Free - A Rising Business Model

Chris_andersonwired A couple years ago, I wrote about free.  And now that I'm finally catching up with my daily blog reading, I find that Chris Anderson of The Long Tail, is writing a book about free.  He's delving into the economics of free and how it can work in many different industries.  One quote - from an old Financial Times article - caught my eye:

"Never in history has so much innovation been offered to so many for so little. The world’s most exciting businesses – technology, transport, media, medicine and finance – are increasingly defined by the word “free”. Whereas WalMart, the world’s largest retailer, promises “everyday low prices”, entrepreneurs and ultra-competitive incumbents develop business models predicated on providing more for free. It is a difficult proposition to beat."

It is hard to beat free.  It's become part of our changing expectations.  We expect things to be free - especially when it comes to the Internet. 

October 15, 2007

How Big is Your FOODprint?

There was a great TreeHugger post last week about conflicting opinions and reducing your global economic footprint when it comes to food and meal habits.  Vegetarians often feel that they are doing the best possible job of reducing their global impact by avoiding all types of meat, but a study using the state of New York showed that this may not be true-- depending, of course, on where you live as well as other outside factors.

Foodprintchartny In New York, the diet combination with the smallest possible footprint includes portions of both dairy and meat products.  According to the post,

Cornell scientist Christian Peters is the lead author on the study showing that although a low-fat vegetarian diet has a much smaller footprint than a typical New Yorker, a little meat can go a long way in reducing the ecological footprint. By taking advantage of crop rotation and better land management strategies, grazing animals actually decrease the amount of land needed to obtain the same calories.

The recommended 'dose' for a sustainable small foodprint is to eat only about 2 oz cooked meat or eggs a day. A single serving of meat is often estimated to be about 3 oz, or the size of a deck of cards. (insert quick math calculation here) This, leaves you with eating about 2 servings of meat every 3 days.

It is great that someone took the time to research many different aspects of a person's ecological footprint and has calculated other options for people that love the taste and the health benefits of eating a diet which includes meat.  Americans are usually willing to make minor changes as opposed to major lifestyle alterations, and knowing that it's not necessary to completely cut out meat in order to do something good for our planet is a big step.  While we are becoming more aware of our surroundings and of the health of our planet, it is important to note that there is sometimes more than just one option to consider-- many of which are positive. 

Baby steps add up to big strides over time.

September 24, 2007

The Green Umbrella Part 1 - Trends in Green

Word_umprella_copy_3

Green.  Sustainability.  Philanthropic.  Environmental.  Clean.  Natural.  Healthy.   Organic.  Conscious Capitalism.  Ethical Consumerism.  All these words define the movement of both consumers and companies to become socially responsible for their actions and their products or services.  The very heart of a business is changing – making a profit and striving for a healthier planet with healthier people are now bundled together.

Inc. magazine reported:

“…something seems different about our current green awakening. This time, the action is being driven as much by markets as morality. High oil prices, global warming, the sense that chemicals cause real harm and the earth's resources are indeed finite--these are not so much charitable causes to embrace as they are problems that entrepreneurs can solve.”

So how can I say with certainty that we’re on the brink of what Fast Company called Business 3.0?  Here are some trends to help small business owners decide how to incorporate “greenness” into their work.

1.  Customers are increasingly aware of environmental issues.

  • The 2007 Cone Consumer Environmental Survey found “one-third of Americans (32%) report heightened interest in the environment compared to a year ago. In addition, they are overwhelmingly looking to companies to act: 93% of Americans believe companies have a responsibility to help preserve the environment. … Most Americans report they are also making efforts in their personal lives to intentionally reduce their impact on the environment, including:  Conserving energy- 93%, Recycling- 89%, Conserving water- 86%, Telling family/friends about environmental issues- 70%.”
  • The 2007 ImagePower® Green Brands Survey indicated a “shift in the U.S.'s collective consciousness -- green is no longer an issue marginalized to fanatical environmentalists; nearly all Americans display green attitudes and behaviors versus a year ago…When asked what their perceptions were of green brands, respondents said they are often seen as better quality, though at a higher cost. This perception of green equating premium is one that makes good business sense for anyone considering entering the space. The good news for Whole Foods, Toyota and Sub-Zero (ranked among the greenest of the green) is that even non-users are more likely to use green brands and consider them the next time they make a purchase.”
  • A national survey by GfK Custom Research North America showed that “…individual Americans view U.S. citizens and corporations as behind the rest of the world when it comes to taking action to protect the environment…” Kathy Sheehan, Senior vice-President for Gfk Roper Consulting said, "This reflects the overall 'consumer awakening' trend we are seeing today, in which action is historically preceded by acknowledgement of an issue resulting in a need for change" 
  • About half of employed adults (52%) think their company should do more to be environmentally friendly. (Adecco Survey, 4/10/07)

2.  Customers are increasingly drawn to businesses/products/services that are green, organic, natural, clean, sustainable – you get the idea.

“The fact is that in today's society all business functions must understand social and environmental impacts and work towards reducing or improving them.
Diana Verde Nieto, “Marketing and CSR”, psfk, 11/27/06

  • According to a recent Priceline.com survey, “…an overwhelming majority (72%) of travelers want rental car companies to offer economical, environmentally friendly hybrid vehicles powered by both gasoline and electricity. A similar majority (71%) of the 764 priceline.com customers who answered the survey said they would rent a hybrid and almost half (48%) said they would be willing to pay a premium for their "green" rental.
  • “If a thrifty 99-cent four-pack of store-brand bars represents one end of the spectrum, the Zum Bar represents the other: it sells itself on far more than a banal promise of getting you clean. The Lemongrass variety, for example, aims to please the eye (yellow with swirls of green), nose (''bright, fresh, tangy and herby'') and skin (especially oily skin, in this case). And like all the Zum varieties, it pledges ingredient correctness: no synthetics, just natural stuff like goat's milk, glycerin and vegetable oils. There are apparently plenty of buyers who demand all this from a soap and will pay more than $5 a bar to get it: Indigo Wild, which makes Zum, now distributes its soaps and other aromatherapy products in 2,000 stores, including Whole Foods. Ten years ago, the founder, Emily Voth, was selling at a Kansas City farmer's market; now she has a 25,000-square-foot facility and dozens of employees.”  (The New York Times Sunday Magazine, 12/3/06)
  • The Organic Trade Association says that organic retail sales in the United States have grown between 20% and 24% each year since 1990.  U.S. organic food sales totaled nearly $17 billion in 2006, representing approximately 3 percent of all retail sales of food and beverages…Organic foods’ share of total food sales is up from 1.9 percent in 2003 and approximately 2.5 percent in 2005. According to survey results, sales of organic foods grew by 22.1 percent in 2006 to reach $16.9 billion. Sales in 2005 were $13.831 billion.
  • Green building is forecast to grow from a $7.4 billion market last year to $38 billion in 2010, according to the National Association of Home Builders. (Business Week Small Biz, Summer 2006)
  • According to research from ACNielsen's LabelTrends™, [In 2006] products with antioxidants, fiber, no preservatives and organic claims all grew by 10% or more versus last year. Other characteristics with solid growth in the 5% and 10% range include lactose-free, gluten-free, whole grain, natural, and omega content.
  • MediaPost reported that the $20 million organic chocolate category grew 57% last year, compared to a decline of 0.1% for convention chocolates.
  • Water [considered a healthy drink], together with other nonfizzy drinks, accounted for 90 percent of the growth of the entire beverage industry between 2002 and 2005. By the end of the decade, they are expected to outsell soda.  (The New York Times, 5/27/07)
  • General Electric Co. Chairman and Chief Executive Jeffrey Immelt said his "green" ecomagination unit is on track to "blow away" its 2010 sales target of $20 billion as demand for environmental products and services surges. After two years in operation, ecomagination has a backlog of orders worth $50 billion for products like wind turbines, aircraft engines and energy conservation technology. Last year, it had sales of $12 billion. (Reuters, 5/25/07)
  • Organic-cotton production in the U.S. increased by 8%—and was up 7% in China, 25% in India, and 40% in Turkey—between 2004 and 2005, according to an April, 2006, Organic Exchange report that lists the top four producers. But demand for organic-cotton fibers by clothing makers increased 93% in the same period.  (Business Week, 9/27/06)
  • Hybrid car sales soared to more than 200,000 in 2005, up from roughly 9,000 in 2002.  (hybridcars.com)
    • U.S. sales of organic sheets and towels rose 38% to $20 million in 2005, while sales of organic mattresses and pillows increased 32% to $2 million. (Financial Times, 9/3/06)
  • Membership in the environmentally-base Sierra Club us up by roughly 33% in four years to almost 800,000 according to Newsweek.
  • In the 1980’s some 50,000 manual lawnmowers were sold in the U.S.  In 2002, that number had increased to 250,000, and last year that number was up to 350,000.  (Estimates from American Lawn Mower Co., Associated Press, 5/28/07)

3.  Local Governments are forcing green issues all over the country:

  • Plastic Bags - For the first time, non-biodegradable plastic bags are banned in large grocery stores by a local ordinance in San Francisco.  (San Francisco Chronicle, 3/28/07)
  • Trans Fat - In 2007, New York became the first municipality to officially ban trans fats.  (MediaPost’s Marketing Daily, 1/3/07)  Philadelphia and Montgomery County, Maryland have also banned trans fat.  The only state to enact legislation is New Jersey, whose bill requires school cafeterias to reduce the purchase and consumption of foods containing trans fats.  (Washington Post, 5/16/07)
  • The Incandescent Light Bulbfrom Ban the Bulb blog : “South Carolina is attempting to follow the lead of Australia and the European Union by enforcing the use of compact fluorescent light bulbs…Other U.S. states are also considering similar legislation. In New Jersey, there's a bill to replace all the bulbs in government buildings, and similar proposals have been introduced in California, Connecticut, North Carolina and Rhode Island.”
  • The Bottle in Bottled Water – This year, Americans will drink more than 30 billion single-serving bottles of water (The New York Times Sunday Magazine, 5/27/07).  According to The Container Recycling Institute -  California, Connecticut, Delaware, Hawaii, Iowa, Maine, Massachusetts, Michigan, New York, Oregon,  and Vermont all have existing bottle deposit laws.  But some of these states (Connecticut, Massachusetts, New York) did not anticipate the phenomenal growth of bottled water and are now attempting to update their legislation.  And many additional states (Arkansas, Illinois, Maryland, North Carolina, South Carolina, Tennessee, West Virginia)  are considering similar laws.

4.  Personal and Professional Investors are Going Green

One sure way to know that clean or sustainable or environmental or just plain green businesses are here to stay is to see where both professional and personal investors are putting their money.

Venture Capital


One venture capitalist told Entrepreneur magazine:

“We look at all kinds of energy and environmental technologies…But it's different than the '70s and '80s boom in environmental cleanup technologies: Today, these are proactive technologies, not reactive.”
Venture Capitalist David Kirkpatrick, Managing Director, SJF Ventures, Durham, NC

Socially Responsible Investments

“There is a dramatic increase in the number of investment managers looking at their investments in a different way than they have previously,”
Mark Tulay, Director, Institutional Shareholder Services, Rockville, MD

5.  The Green Business Infrastructure is Growing
Education, Entrepreneurial Communities and Conferences have all been affected by our environmental awakening. 

“MBA courses on topics such as social entrepreneurship have exploded in the past few years”
Rich Leimsider, Senior Associate, Aspen Institute Business and Society Program 

Green MBAs:

  • Student interest in sustainability issues is skyrocketing… five years ago, [The Aspen Institute Business and Society Program] site received a few hundred visits a month from prospective MBA students researching social-emphasis courses at various schools. Now there are 15,000 to 20,000 visits a month.  (Seattle Post-Intelligencer, 3/5/07)
  • New College of California – offers a Socially Responsible and Ecologically Sustainable MBA Program
  • Dominican University of California – has a Green MBA program
  • The Bainbridge Graduate Institute, Washington State – from websiteBGI's pioneering MBA and Certificate programs prepare diverse leaders to build enterprises that are economically successful, socially responsible and environmentally sustainable.
  • Presidio School of Management, Presidio World College, San Francisco -  has an MBA program in Sustainable Management
  • Green Mountain College, Vermont -  “…charged into the world of online education with two innovative master's programs, both catering to the needs of working professionals. One is an MBA in sustainable business. The other is a Master of Science in Environmental Studies…” (Seattle Post-Intelligencer, 3/5/07)
  • Case Western Reserve, Northwestern, Stanford, the University of Michigan and George Washington University all have concentrations in sustainable enterprise. Yale School of Management has offered a joint degree -- an M.B.A. and Master of Environmental Management -- in conjunction with the Yale School of Forestry and Environmental Studies for more than 25 years.”  (The New York Times, 1/8/06)
  • "The Stanford Graduate School of Business, ranked No. 1 in the 2005 Aspen report, introduced a joint degree program for MBA students in environment and resources in April. Another initiative teams the business and engineering school for a course in which students use concepts from both disciplines to solve problems. This year, one project involved developing a safe, cheap and easy-to-power LED light for people who don't have electricity, an alternative to dangerous and relatively expensive kerosene lamps."  (Associated Press, 9/23/07)

Entrepreneur Communities that focus on Green Issues and Social Responsibility:

Green Conferences:

  • Co-op America’s Green Business Conference – from website:  “Roll up your sleeves and get ready to bite into the green business revolution at this hands-on conference.  Learn from your peers in this value-packed three-day event as you discuss the many ways to build your business and a prosperous sustainable economy ...”
  • National Association of Home Builders, National Green Building Conference - 'Greening the American Dream' 
  • Green Power Conferences – from website:  “Green Power Conferences was established in 2003 by a team of professional, environmentally aware event experts. We have since welcomed over 4000 delegates from 76 countries, built a global database of 110,000+ contacts and gained an unparalleled reputation in the industry.”
  • The Green Power Network’s (Dept. of Energy) National Renewable Energy Marketing Conference – “The purpose of the National Renewable Energy Marketing Conference is to review the status of green power marketing in electricity markets and to explore strategies to increase the development of renewable energy resources through customer choice. Conference organizers include the U.S. Department of Energy, U.S. Environmental Protection Agency, and Center for Resource Solutions.”
  • EPA’s one stop shop for planning a green conference – This is a bit different from a conference about green business - this site can help you plan any kind of meeting while minimizing negative impacts on the environment.

Resources/Further Reading

Joel Makower on “Ten Reasons why the Greening of Business will be an issue for years to come”

Greenbiz.com - From energy-saving basics to in-depth analysis on green business in exporting and manufacturing, this Web site aims to bring environmentally-friendly practices to main-stream small businesses.

National Association of Home Builders -  Green Building

U.S. EPA site - Energy Star/Small Business – free support for small facility energy saving

National Small Business Association – Going Green tips

A shorter version of this post first appeared in August on Anita Campbell's Small Business Trends Blog

Next week:  Part 2 - Green Business Opportunities

September 13, 2007

Skip work, make babies

In case you missed it, yesterday was a quasi-national holiday in Russia yesterday. 

Russian President Vladimir Putin has declared Wednesday as a national holiday for conceiving children.  Putin is concerned about Russia's declining population -- it's been dropping by 700,000 people a year.

Nine months from now, on June 12, is Russia Day, Russia's independence day.   Prizes such as cars and electronics will be given to couples who give birth on this day.

This is just the latest effort countries with declining populations have made in an effort to reverse the trend.  Between now and 2050, 51 nations will lose population.  These countries include Germany, Italy, Japan, and Poland.  In the meantime, 9 countries will be responsible for more than 50% of the world's growth.  The United States is the only one of these nine that is not in Africa or Asia.

How does this affect us?  Well, if these trends continue, industrialized countries will soon be overtaken in numbers by devoloping and third world countries.   The balance of power in the world will shift from countries like England and Japan to countries like Ethiopia and Uganda.  These countries are known for poor education rates, poverty and high rates of childhood illness.  We will have fewer resources to help these countries and ourselves.   

September 05, 2007

No Car Day

Yesterday I found myself sitting in traffic wondering what the road would look like without cars on it.  This morning I found this article which made me think that maybe I am a tiny bit psychic after all.

On September 22nd, the first annual "No Car Day" will debut in over 100 cities in China as traffic is reduced and the number of private vehicles on the road shrinks.  Residents will have to find new ways to get around-- especially in Shanghai where one-third of the city's cars will be off the roads. 

Chinaroad

The fact that the cost of driving in China continues to go up but people are still finding ways to afford vehicles tells us a lot about society.  The above article mentioned that the practice of auctioning license plates was initiated to limit the number of vehicles in Shanghai, but that the number of cars on the road keeps increasing.  I could never imagine paying $6,200 for a license plate.  People are becoming so accustomed to driving long distances for small things that it becomes a complete inconvenience to go without a car for even a few days in today's world.  I live in an area that has so much to offer locally but still find myself behind the wheel each day.

China has been in the news so much lately and is at the top of the charts for poor air quality and pollution problems.  The emphasis on our environment and on global warming has created awareness and makes events like the No Car Day possible.  I think this is great but I'm wondering how much of a difference one day will make.  It's definitely better than nothing and I'm a fan of baby steps.

August 16, 2007

Pollution Scares Me!

51_air_pollution_2

I was shocked by an article Science Daily released today regarding a huge number of human deaths around the world.  The article claims that "about 40 percent of deaths worldwide are caused by water, air and soil pollution." 

Other points specifically mentioned include:

  • "Nearly half the world's people are crowded into urban areas, often without adequate sanitation, and are exposed to epidemics of such diseases as measles and flu.
  • With 1.2 billion people lacking clean water, waterborne infections account for 80 percent of all infectious diseases. Increased water pollution creates breeding grounds for malaria-carrying mosquitoes, killing 1.2 million to 2.7 million people a year, and air pollution kills about 3 million people a year. Unsanitary living conditions account for more than 5 million deaths each year, of which more than half are children.
  • Air pollution from smoke and various chemicals kills 3 million people a year. In the United States alone about 3 million tons of toxic chemicals are released into the environment -- contributing to cancer, birth defects, immune system defects and many other serious health problems.
  • Soil is contaminated by many chemicals and pathogens, which are passed on to humans through direct contact or via food and water. Increased soil erosion worldwide not only results in more soil being blown but spreading of disease microbes and various toxins."

This is scary information.  I think that news like this is shocking but makes a lot of sense when you look at the raw facts.  The importance of clean water and air is huge.  We are beginning to realize the types of things we do to contribute to different kinds of pollution (buying bottled water, wasting gas by driving short distances, etc...) and are hopefully trying to slowly turn things around with baby steps.

August 15, 2007

You're Renting What?

Babykineticajoulepeer Springwise had an interesting post today about a type of rental service that I've never heard of before.  It just seems to make sense. 

"German Lütte-Leihen came up with a solution [to the costly adventure of newborns growing out of their clothes every few months]: a layette rental service for a fixed fee per month. Parents can choose from different sets of onesies, pajamas and outerwear. The clothes are delivered by post (or by hand to Hamburg and its suburbs). Once babies grow out of a size, the set can be exchanged for the next size up, free of charge. Like NetFlix for baby clothes."

"Lütte-Leihen's 9 – 11 piece sets come in a limited range of neutral colors and patterns, and include everything from bodysuits and pajamas to socks and hats. Pricing ranges from EUR 17 – 26 per month, depending on which set is selected. The clothing may be used, but it’s in great condition; the items are only used for short while by each baby, and there's not much wear and tear in the first six months. Moreover, most of the clothing provided Lütte-Leihen is made from 100% organic cotton."

This seems like a service that so many people have needed at one point or another.  There are plenty of families that are not thrilled about spending money every few months to replace entire wardrobes for their babies, and this seems like the perfect way to always have the right size clothes on hand.  The trend of renting things-- from homes to pets to cars to clothes, is something that is more popular now than ever.  The practical aspect of services like this is something we have grown to appreciate.

August 03, 2007

Made in China (with a little help from Globalization)

One of the many duties I have here at McGinn MS&L includes monitoring television news. Recently I have watched a large number of stories on recalls of Chinese products. As I sit and write this very post CNN’s latest headline reads, “Fisher-Price recalls 1M toys

CNN reports:

"The worldwide recall being announced Thursday involves 967,000 plastic preschool toys made by a Chinese vendor and sold in the United States between May and August. It is the latest in a wave of recalls that has heightened global concern about the safety of Chinese-made products."

Captsgehut46030807061004photo02photThe hysteria that started with pet food before spreading to tires, toys, and seafood has resulted in calls to improve the FDA and new regulations that label country of origin for food. In an extreme example of the fallout a Chinese official was executed by the Chinese government. With all this news it makes sense that we have all grown afraid of the “Made in China” label. As I finish typing this sentence, my e-mail chimes in with a newsletter from NBC Nightly News. The feature headline for tonight’s broadcast:

"…a report on a massive toy recall that's got many parents worried about lead paint, and again raising the question: how safe are products from China?"

It’s astonishing how much our lives can be affected by a nation thousands of miles away. A recent Wall Street Journal article lends some facts and figures on the impact of goods imported from China:

“China has accounted for 60% of all consumer-product recalls this year, including all 24 toy recalls in the U.S. Meanwhile, seafood imports from China have grown from about $285 million in 1996 to $1.9 billion last year. While that accounts for 22% of all seafood imports, 39% of all seafood shipments that U.S. regulators turned away in April came from China.”

However, China is not the only country that exports to the United States. The CIA Factbook lists China #2 in imports; but Mexico is not too far behind in the #3 spot. According to the Associated Press and the South Florida Sun-Sentinel, India and Mexico join China to form the top three countries with imports that have been rejected by the FDA.

Even productions that are labeled “Made in the USA” are created with ingredients from other countries. Elisa Odabashian from the Consumers Union says,

“In today’s global economy, more food items are being produced in this country with some ingredients from other lands… It’s not just the stuff that says ‘Made in China.’ It’s the stuff in the stuff that says ‘Made in USA’ ”

In today’s global age, what happens in some land far off does and will have an effect on society here at home. Carl R. Nielsen says it best, “What we are experiencing is massive globalization.”

August 02, 2007

Does This Diet Make my Footprint Look Smaller??

As an overachiever, I'm always looking for ways to make myself better.  I am constantly trying to plan for the future, figure out how to do the best I can in the moment, save money, take care of myself, be a good person, take care of others, and stay happy.  Sometimes this is a tough thing to accomplish without becoming stressed-- which can make me act like a different person.  It's like a vicious circle.

I think a lot of other people feel the same way I do.  We are all so busy and we feel that we have capabilities to fill roles that we couldn't fill in the past and are trying to take full advantage.  Technology has changed our lives and has made a lot of things easier-- but this doesn't mean we want to do less.  We always want more.  We want to accomplish more during our days but we also want more sleep.  We want to save money but we still want to spend it on luxury items we may not necessarily be able to afford.  We want to be successful at work but we still want family time.  We want huge homes but we don't get to spend time in them because we have to work so hard to be able to pay our mortgages.  Basically, we want everything. 

Because the environment has been a topic that has gotten lots of attention lately, and global warming is on a lot of our minds, the concept of carbon offsets has become big news to a lot of people.  When I think of carbon offsets I immediately think of travel by plane and the option of paying for carbon offsets from our flights-- that sort of thing.  Apparently, I need to think outside the box.  The Washington Times published a short piece on a unique diet coined by Laura Stec, a chef from San Francisco, who has created "The Global Warming Diet."

She realizes that food choice has a big effect on climate change and wrote a 250-page  book packed with vegetarian items, scientific claims from the United Nations and the Union of Concerned Scientists, as well as guides for "discussion" parties.  She says, "One of the most positive effects you can have on the environment begins on your dinner plate."

Here are some shocking statistics from the article:

  • It takes 10 times more fossil fuel to produce a calorie of meat than a calorie of plant protein.
  • Flatulent cows and methane-producing manure piles contribute to 18% of all greenhouse gases-- the equivalent of 33 million cars on the nation's roadways.
  • 11 pounds of grain and 2,500 gallons of water go into making a hamburger.
  • The average meal travels 1,500 miles to get to your dinner plate.
  • Americans consume more than 1 billion pounds-- and 1 trillion calories of food each day.

Hamburger_2

The fact that our idea of a "diet" may not just revolve around losing weight, but also focus on the good of the environment is a good sign.  Cutting out meat altogether seems like an extreme move to me, but I would be willing to buy locally and make vegetarian meals every now and then.  We will probably see more of this type of thing in the future as more attention is paid to our world and the impact we have on our environment.  Making a few small changes is definitely doable, but I can't see myself hosting a "discussion party" anytime soon.

August 01, 2007

Intellectual Property Trends

I recently did a survey of Intellectual Property articles we had collected over the last year.  After going through tons of information, I reached some conclusions - which may seem simplified and obvious to some, but since I went into this knowing nothing, I had to spell it out for myself:

  • Intellectual Property is increasing in value.  Big money is at stake.
  • What Americans define as IP is changing.  The definition seems to be
    broadening.  Industries that up until now had no IP are now claiming the right to it.  Comedians, Chefs, Fashion Designers, and Sports Leagues are all pushing to get protection and recognition for their work.  It’s a matter of respect.  A fashion designer wants to be on the same level as a software engineer.
  • The IP arena is going to be one of the most fundamental, important areas of the 21st century.  Court decisions and legislation will affect every industry, every creative.
  • The U.S. government systems are outdated and cannot keep up with both the number and complexity of patent applications and copyright issues.  The consensus is that too many weak or broad patents are granted.  And companies end up paying licensing fees to patent trolls who have no other business or product than to collect these fees.
  • U.S. Patent law will most certainly change in the next few years.  Which means it changes worldwide as the U.S. leads the globe on IP issues.
  • There are indications that Congress and the Supreme Court are both leaning toward a patent process that tech companies (Apple, Microsoft, Comcast) want and not the present system which more old school companies favor (3M, Dow Chemical, General Electric) This is because the tech sector’s complicated products can rely on hundreds of patents for one product, so they need a system that reliably produces quality, focused patents.  The tech companies take on IP issues seems to be more about collaboration and quality – and less about protection and fear.
  • IP issues are fundamentally about creation and control.  On copyright, the direction seems to be for individuals or small groups to retain control over their own material and not sign their rights away.  Organizations like Creative Commons have evolved to give creators a place to decide how their work will be used.  On patents, holders of individual patents are looking for ways to sell or license their IP that gives them more power over fees.  For example, one-on-one negotiations give the seller little leverage over the prospective buyer (usually a big corporation), but a more open auction lets market forces play in where the true value of the IP is revealed, usually benefiting the owner.
  • Pharmaceutical companies are in a losing situation.  Global health issues are the one area that we think overshadows ownership issues.  Don’t try to make a profit off the world’s poor and sick people – it’s a very hard position to defend.
  • Pharmaceutical companies are facing increased competition from Asian and South Asian countries that are developing a drug industry infrastructure.  Using India as an example, the pharmaceutical industry develops first by ignoring IP and reverse-engineering patents, and then moving into their own R&D, and then looking for richer markets to move into as they now want to protect their own patents.  Look out for India, China, Thailand, Brazil.
  • China’s Piracy problem – they copy all brands, all products.  This will probably continue for years and years.  Time may be the only answer – as the Chinese economy develops a huge middle-class that insists on quality goods, not fakes.
  • More IP Claims, More IP Free - Paradoxically, as the number of IP claims grow, so does the amount of freely available, usable IP.  Many forward thinking companies are releasing valuable patents and other IP material – sharing ideas with either the public or interested parties.
  • The Internet has changed and will continue to change the entertainment industry.  Music, video, creative content are all in flux right now and big issues still need to be decided as several lawsuits are pending.  Music seems to be at the forefront of change – with artists retaining control and cutting out the record companies, with music sold in every format imaginable, with digital music starting to be sold without DRM (copy protection).  Even digital products (like a bed in Second Life) are claiming IP protection. 

July 24, 2007

Straight from the Tap

Water_subway_eng1_2We are bombarded with advertisements every single day.  We see ads when we walk around outside, when we read the newspaper, and when we watch TV.  It's a challenge now for advertisers to create ad campaigns we really notice that stand out in the crowd of thousands we are exposed to on a daily basis.

One ad campaign I found out about in Brandweek really surprised me: the new "Get your fill" campaign-- gloriously paid for by the taxpayers of New York City-- promotes tap water to residents and tourists.  Apparently, New York is one of only five U.S. cities that has a federal filtering waiver, yet, many children and adults have the preconceived notion that the city's water is not drinkable.  This may be partially due to the overexposure of people walking around with bottled water (which is still proving to be a very profitable business).  No matter what the cause, Mayor Bloomberg has taken notice and is doing all he can to change viewpoints.

The campaign will spend $700,000 and will post ads throughout the subway system, check-cashing stations and bus kiosks in hopes that use of city water will increase along with awareness. 

I know I have blogged a lot about water (especially bottled water or negative effects on the environment) and I most likely will continue to post articles or information in the future because water is so important.  Water is something that we as a nation often waste and take for granted, and I think the ad campaigns are a little obvious, yet, interesting.  I'm not sure that all taxpayers would agree that this is a good use of $700,000-- but the long-term effects could be worth it.  I think the fact Mayor Bloomberg even feels it's important to advertise tap water shows the way our societal viewpoint is shifting.  We are taking notice of the types of things we should focus more on as unit and are trying to come up with ways to get the word out.  We have realized that togetherness can pay off and that our environment is something that should be on the top of our priority list.

Water_subway_eng2_2

July 05, 2007

Water Skin?

I found a really great post on Springwise.com about a new type of bottled that could serve as an alternative to traditional plastic bottles used today.

Pitched as a water skin, a new bottle created by French packaging manufacturer Sidel provides a lighter alternative to traditional PET bottles. A regular plastic half-litre water bottle weighs 13 – 16 grams. Sidel's "NoBottle" weighs just 9.9 grams. According to Sidel, "Water is the largest beverage market by volume with 160 billion litres consumed in 2006. It also represents the highest growth sector and is expected to expand by 5.7 percent annually between now and 2010." On that scale, waste reduction of 20-30% adds up.

The innovation was made possible by using a highly flexible type of plastic with shape-memory, which lets the bottle bounce back into shape after being gripped or otherwise compressed. While calling a plastic water bottle eco-friendly smacks of greenwashing, Sidel's NoBottle is definitely is eco-friendlier. The potential waste reduction is significant and offering a lighter bottle — and its story — could boost sales for beverage makers marketing to green-aware consumers. NoBottle will be officially introduced at K 2007, an international trade fair in October.

I know that awareness is increasing across the globe and that we are starting to understand our environmental impact.  While this is a good idea for sure, we need to keep in mind that we should avoid one-time-use bottles when we have other alternatives.  The fact that companies are developing other means to continue making products that we demand on a daily basis shows that we hate to make changes that we feel could be inconvenient.  Hopefully we will find a way to keep everyone happy and healthy.

June 06, 2007

Egyptian Entrepreneur

I recently had a once in a lifetime experience: seeing the Great Pyramids in Cairo, Egypt.   It was an amazing sight, but as you can imagine, busy with plenty of tourists and the accompanying vendors that are always present to sell souvenirs and other mementos. We quickly learned to avoid them and just say no when approached by one shoving random trinkets at us.   We left the Pyramids and went to lunch.  As we were leaving the restaurant a vendor approached us and without looking or thinking about it, waved him off.  He was persistent and we kept ignoring him.  However, I finally glanced at what he was selling and was surprised to find that he had a photograph of my husband riding a camel in front of the pyramids.   That stopped me in my tracks and we bought the photograph.  Apparently this man had been taking pictures of all the tourists and then quickly developing the pictures and framing them to sell later.

Amid a sea of generic souvenirs and worthless trinkets, he had managed to stand out by creating a personalized souvenir that we definitely couldn't buy anywhere else.  The price was right (2 Euros), it was customized just for my husband, and we were guaranteed quality. 

I was so impressed that in this land of poverty and sameness (in terms of souvenirs), this man had taken the initiative to create something personal and relevant.  I'm sure he had figured out that tourists don't want to buy the same thing that everyone else can buy and he didn't want to sell what everyone else sold.  Even in a third world country, businessmen are quickly learning that customers want personalized products and generic products are not the key to success.

May 15, 2007

Trends in Affordable Luxury

Madonna_2 "Consumers have more disposable income and are demanding and expecting to be able to afford luxuries…and more people out there with money to spend who think  'I can, I deserve it, and I want to treat myself'."
Marc Cohen, Director of research agency Ledbury,
Media & Marketing Europe, 9/28/06

Lots of folks write about luxury, but I haven't seen too much about affordable luxury.   So here are some things we've found that point the way to trends in this area:

  • Daily consumption of premium coffee rose to 16% in 2006 from 12% in 2003...“A gourmet version of coffee is the new standard…Everybody’s expectations for coffee have gone up.”
    Lucian James, president of Agenda, a branding agency in San Francisco,
    NY Times, 8.22.06
  • The number of magazines targeting affluent consumers increased fivefold in the last ten years. From a starting base of 90 titles in 1997, the field grew to 456 by the beginning of 2007. MediaPost’s Media Daily News, 1.23.07
  • Boutique is going frugal and going everywhere…At $150 or so per night, you'll soon enjoy cool design, cutting-edge technology and hip social scenarios from Boise, Idaho, to Boston.   Los Angeles Times, 12/26/06
  • Women purchase about 65% of luxury goods. International Herald Tribune, 1/19/07
  • In 2005 luxury consumers of the GenX generation, born 1965 to 1976, spent 6.3% more buying luxuries than their affluent Baby Boomer counterparts.
    Unity Marketing 4/24/06
  • A new niche that marketers say is growing has been called “The Gold-Collar Generation,” the blue-collar glitzy counterpart, 18-25 year olds that live at home, earn a modest salary in service jobs, but buy luxury items such as $325 sunglasses...Roughly 7 million of the adult working class (18-25 population) has been dubbed “gold collar.”   Seattle Times 9/14/05
  • Costco attracts the most affluent customers in discount retailing -- with an average income of $74,000.   ABC News 20/20, 8/2/06
  • Compared with those of other discounters, Target's customers, referred to as ‘guests,’ are on average younger, better educated, and more affluent. The company has successfully associated its name with a younger, hipper, edgier, and more fun image than its competitors. Harvard Business School, Working Knowledge, 8/16/04
  • Bluefly: "Over 350 Designers. Up to 65% Off."  Bluefly Customers:Eighty percent are women,Household income of  $100,000,
    Nearly 65 percent are single, average age is 35
  • Bag, Borrow or Steal is a new company that allows members to pay $10 a month to use handbags from companies like Coach and Gucci, which they keep until they’re ready for another item. The firm has customers in all 50 states – mostly professional women who enjoy rotating in and out of the latest styles. Newsweek, 10.2.06
  • Celebrity Designers abound in the area of affordable luxury:  Madonna/H&M; Proenza+Schouler/Target; Roland Mouret/Gap; Viktor & Rolf /Wedding line for H&M; Elie Tahari/Macy's; Stella McCartney/Target.

So what does all this tell us about affordable luxury trends? (Note that these are our interpretations - I'm sure there are lots more conclusions others can come to):

1.  Affordable Luxury is not a trend.  It is a mainstream customer expectation.

2.  Good/Great design is one aspect of how consumers define luxury.

3.  The ability to “treat myself” to even the smallest of luxuries is increasingly important to consumers – and borders on necessity – we don’t just want it, we need it.

4.  Every industry can and should have a “boutique” aspect to it now – meaning small, exclusive, niche and customized.

5.  Women make the spending decisions – cater to women.

6.  To taste the affluent lifestyle, we will assume “temporary ownership” of a product or service.

7.  Gen X and Gen Y want luxury in their lives.

8.  Affordable luxury is fun, hip and cool.

9.  Celebrity design is one way for affordable luxury products to stand out in an increasingly crowded field.

Let me know what is missing or just plain wrong. 

May 14, 2007

Five Innovations in the Next Five Years