It is important to find the balance, understand that the product is not the main thing and that the customer is the main thing and the need that the client wants to satisfy

Some years ago, in a class that was dictating in Argentina to a group of managers of an international chain of supermarkets, there was a conversation about the formats of stores that were coming for the future of the industry and the discussion revolved around large stores (hypermarkets) or small stores to compete with the rise of Chinese supermarkets that were capturing an increasingly large portion of the market.

My question was simple, why open so many stores? The answer was obvious. “Retail is a business of proximity and has to be close to the customer” and my response was: “What is closer, the supermarket on the corner or the computer?”. Nobody imagined their mothers, at that time, buying online but neither their children losing four hours a day in a store making purchases of food and beverages. The exponential increase in technology that we all have available in its various formats, whether computer, tablets, smartphones and others, brought products closer to customers, with increasingly intelligent buyers, who demand memorable experiences of purchase by any point of contact they have with the places of sale.


Now, is everything going to be online? Do not forget that tomorrow there will be large consumers with purchasing power that will tip the balance of online shopping. As the population ages, higher percentages of consumers will be connected and online purchases will continue to grow. Building trust at the start is the basis for sustaining lifelong loyalty in buyers. These customers stepped forward using all the elements they had to maximize their benefits, either in price, when there is no differential value in the products or in personal satisfaction when a service or product meets a personal need relevant. To do this, they use all the elements at their disposal generating a growing challenge to companies,

They want them to recognize them, understand them, understand them and attend when they want and that can be at any time of the day and anywhere in the world where they are, but it is not clear that everything will be online in the future ; each occasion of sale will have its preferred channel, this occasion is generated by the buyer and the need that it wants to satisfy, so omnichannel, which happens to be a key concept, seems to be an option for companies where technology It becomes a differential element to meet these needs. Today, the biggest challenge that companies have is to know more and better customers, make the best deals, bring the products they need, when they need it and where they require it. For this, there are tools that collect data,

Artificial intelligence is taking giant steps to help companies at this point, virtual assistants who “talk” with clients as if they were human, are always available (and in a good mood!), And are the spearhead, since they not only serve and help customers but also help companies to collect data on tastes and preferences, in a transparent manner. If we talk about retail, the challenge is constant because it requires transforming a business that is impersonal, massive and made up of several segments, in a more personalized and focused on the specific tastes of each person. All this is something totally new for the industry, with different and disruptive rules. Companies need to know more about their customers, have a one-to-one contact. Is this consumer requirement new? People who are between 3540 years old will remember from their childhood, that their parents went to the neighborhood retailer, talked with the owner of the place, who asked them about relatives, usually by name, suggesting them to buy something specific (“I know that you make that cake so rich and here came this ingredient you need for this weekend “). Or for example, when one of the children was going to make purchases and doubts about a product, it was the merchant who told him which product to carry with phrases like “it’s the one your mother always carries”. I suggested to them to buy something specific (“I know that you make this cake so rich and here came this ingredient that you need for this weekend”). Or for example, when one of the children was going to make purchases and doubts about a product, it was the merchant who told him which product to carry with phrases like “it’s the one your mother always carries”. I suggested to them to buy something specific (“I know that you make this cake so rich and here came this ingredient that you need for this weekend”). Or for example, when one of the children was going to make purchases and doubts about a product, it was the merchant who told him which product to carry with phrases like “it’s the one your mother always carries”.


Therefore, to guide its customer experience and revenue growth management strategies, both in the retailer and in large physical stores or online, is that companies are relying on innovations in artificial intelligence. They are managing to combine the strengths of the most disruptive technologies to obtain as much information as possible about their clients, allowing them to make better decisions and transform their companies into companies that continuously learn and therefore grow sustainably.

Finally, it is important to find the balance, understand that the product is not the main thing and that the customer is the paramount and the need that he wants to satisfy. The one that considers the buyer as a robot that will always choose the cheapest and most accessible will be wrong. There are elements that make a person choose one or another option for situations or circumstances that go beyond economic value, which go on the side of human needs and how they are served, depending on time and circumstances. Understanding and decoding this is a central element of any strategy you want to perform. This is not new, as the neighborhood retailer did many years ago.

Annual maximum decreases versus annual return

The variation of short-term prices is the price that must be paid in exchange for long-term profitability

Since last January 25, the date on which the SP500 reached a maximum of 2,872 points, the bags fell by just over 8% in a few days. Last Tuesday the media rushed to report that the US stock market had experienced the largest decline in its history, with the Dow Jones, an index composed of the 30 largest US companies, 1,175 points.

Given that the media knows for certain that viewers pay more attention to negative news than to positive news, because our brain is programmed to survive and otherwise it would have led to failure, they rushed to tell the story of the way they find it most convenient, and give the absolute value of the fall instead of the relative. And that data, in percentage, is the 531st worst day in the history of the Dow Jones.

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Evidently, it is not the same, in points, a fall of 4% on a value of 13,000 points that was in 2008 that of the environment of 24,000 as it is currently. And the data, to be representative, has to be given as a percentage.

The media do not favor the investors, frightening them with distorted and short-term data that take them away from the market and create the uninformed saver with the feeling that the stock market is a casino in which all the money can be lost at any time and that you have to run at the minimum correction.

The variation of short-term prices is the price that must be paid in exchange for long-term profitability. It is an inevitable part of the process, and we must remember it again and again so as not to be carried away by fear and lose the opportunities that arise.

In the attached graph you can see the annual revaluation of the SP500 from the year 1980 to 2107 in the vertical bar, while the point represents the maximum decrease during the year.

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Reviewing the history always gives us a good reference, and if we analyze the historical data since 1980, we see that in all but one year (in particular 2012) there have been more intra-annual decreases than the final annual result and that Although the average value of the maximum annual decrease was 13.8%, profitability has been positive in 29 of the 37 years.

The last two years have not been normal in the markets, being exceptionally stable.

A return to normality should be seen as positive since it will generate an environment in which opportunities to buy at good prices due to corrections that last days, weeks or even several months will appear. For this, having some liquidity will give us the right tools to take advantage of the situation when it arises.

Colombian flowers seek more market in Europe

Sofía Herrera has her eyes set on the European market, where the consumption of flowers is “more consistent” than that of the USA, the main current destination of the lilies or Campanulas are grown in her Jardines de Los Andes, an intensive nursery 25 kilometers from Bogotá.

The manager of the nursery showed the rich floral variety of its Gardens to a delegation of the Commission of International Trade of the Europarlamento that visited them in San Valentín, day in the flower is the gift par excellence.

The mission, led by German MEP Bernd Lange of the European socialist group, reviewed the implementation of the EU-Colombia trade agreement in force since August 2013.

Herrera tells Efe that the agreement favored them: “We have imported machinery, we have made technology exchange agreements, exchange of knowledge.”

The treaty did not have such a significant impact on flower exports because the “challenge” of taking them to Europe “is logistic” and not a tariff, explains the flower grower.

But, he adds, “it’s certainly very positive for the industry.”

The flowers live an authentic journey to reach Europe, which begins with their transport by road in refrigerated trucks-containers to the Caribbean ports of Santa Marta or Cartagena.

There the containers are loaded on ships that cross the Atlantic on trips of between 12 and 18 days to the United Kingdom and the Netherlands.

“Although it lasts longer in the journey, the positive thing that it has (the seaway) is that the cold chain is permanent and that is beneficial for the life of the flower.” It arrives in a better state, as it hibernates, sleep, “explained Herrera.

Lange celebrates this open way for Colombian flower growers and tells Efe that “one of the advantages of the commercial agreement” is that “the import procedures have been reduced”.

According to data from the Colombian Association of Flower Exporters (Asocolflores ), total exports of this product grew by 5% in 2017 compared to the previous year, with a total of 246,000 tons.

The United States continues to be the main destination for Colombian stems, with 75% of exports, followed by Japan.

Europe consumes more flowers than the US

Los Jardines de Los Andes also send the bulk of its production – 80% – to the US, but the company is already on the way to expansion in Europe.

Because, says flower grower Herrera, “the consumption of flowers in Europe is much higher than the consumption of flowers in the United States and more consistent.”

“When it is not the season, we are exporting three containers of flowers a week (about one million outbreaks) and the idea is to see if in the second semester (…) we can raise that to five,” he adds.

“This is beneficial for companies like these because planting and maintaining these farms for specific dates every year is unthinkable, which is a very great advantage for the consumer and, in general, the European market,” he explains.

Therefore, this Colombian businesswoman hopes that the doors to the Old Continent will be opened even more for the flowers of her country, which compete in the European market with the African stems.

The Colombian flower has a market in 98 countries and last year this sector reached a record volume of exports: 1,400 million dollars.

Floriculture contributes 130,000 jobs to the Colombian economy and benefits 600,000 people, including families of workers, suppliers, and participants in the value chain.

On average, 5,300 million annual stems are produced for export, according to data from Asocolflores.

The rose is the main species exported, with 20% of the total, followed by the carnation with 18%. Chrysanthemums, alstroemerias, hydrangeas, and lilies are the other most representative species of the country.

Greater exportable offer and more market for SMEs

The European delegation, touring Colombia and Peru, arrived in the first country on February 12 and that day met with the country’s president, Juan Manuel Santos, and the Minister of Commerce, Industry and Tourism, María Lorena Gutiérrez.

Until their departure on February 14, they held meetings with the labor ministers, Griselda Restrepo, and Agriculture and Rural Development, Juan Guillermo Zuluaga, with the commissioner for Peace, Rodrigo Rivera, and with representatives of Colombian business and social organizations.

According to Lange, the trade agreement with Colombia is on the “good track” although “there is room for improvement, for example in the dialogue between civil society and the Government.”

The treaty has meant progress “especially for small and medium-sized companies in Colombia,” which have “more possibilities for exports,” he told Efe.

“We have grown in foreign investment, we have also grown in imports, but the most important thing is that we have diversified our exportable offer to Europe, especially with agriculture,” said the head of Commerce.

On the occasion of the visit, Lange and the Minister of Commerce announced the creation of a single window for European and Colombian SMEs wishing to invest solve doubts and resolve procedures.

The MEP also welcomed the increase in the number of labor inspectors, something he hopes will “lead to a better situation for workers”, since working conditions are “an important part” of the trade agreement.

After the peace signed with the guerrilla of the Revolutionary Armed Forces of Colombia (FARC), the parties have begun to work to “take concrete steps in the agreement specifically focused on the people who come out of the conflict, so that they can benefit from it”, announced Lange.

For this legislator, the agreement signed with the FARC in November 2016 is “a great achievement” for Colombia, since “investors need security and peace is an important condition”.

Lange hoped that there would also be progress in the peace talks that the Santos Executive is now holding with the guerrilla of the National Liberation Army (ELN).

World Economic Forum opens debate on sexual harassment and “fake news”

The World Economic Forum will be transformed from tomorrow on again to where leaders together with civil society and business leaders will address the world’s major problems, but also open up current debates such as sexual harassment and post-truth.

The meeting in Davos is seen as a unique platform to set the world agenda at the beginning of each year, since unlike the G20, the G7 and other international summits, not only brings together more leaders than any other forum, but also more than 3 thousand participants from the economic, political, social, cultural, academic and scientific world.

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As many as 5,000 soldiers and Swiss Army and Police chiefs will do security and, as usual, Davos airspace will be closed during the annual meeting.

The Forum will begin on Monday to warm up its engines by updating the International Monetary Fund’s (IMF) economic outlook and delivering the Crystal Awards to actress Cate Blanchett, singer Elton John and Bollywood star Shah Rukh Khan for their leadership in the defense of refugees, in the fight against HIV and the rights of children and women.

Although the 70 heads of state and government that will travel to Davos this year will inevitably play a key role, several leaders from Latin America, Europe, the Middle East and Africa, as well as the President of the United States, Donald Trump – travel to Switzerland after the government shutdown – the Forum wants to look beyond the rulers.

With over 1,900 corporate executives, 230 media representatives, nearly 40 cultural leaders, 35 international entrepreneurs, 80 youth leaders, 32 technology pioneers and 70 trade union, religious and civil society World Economic Forum becomes a place for debate on many topical issues.

In more than 400 panels and work sessions, participants will discuss how to “create a shared future in a fractured world”, the motto of this 48th edition, which will open on Tuesday with the keynote address of India’s Prime Minister Narendra Modi , as representative of the world’s largest democracy.

The idea behind this theme is to foster cooperation among all actors in society, according to founder and CEO of the World Economic Forum, Klaus Schwab.

But not only to confront conflicts, but also to seek common solutions to end gender discrimination, generate more inclusive growth and trade, lessen the effect of the digitization of industry on workers, fight against climate change and sexual harassment, to combat cyber threats and to adapt to new technologies.

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Thus, Davos addresses current issues like the #MeToo (Me too) movement, which began in Hollywood, but which affects more spheres of the political, artistic and business world – with a panel titled “Gender, Power and Face Sexual Harassment.”

As a sign of support for women, the Forum wanted to give a signal: the meeting from January 23 to 26 will be co-chaired by women alone, who are 21% of the 3,000 participants.

Davos will also have room for a debate over “fake news” and post-truth, a term used in the US because of President Donald Trump’s election to indicate that facts are not so important when it comes to influencing opinion as to appeal to emotion and personal beliefs.

The emergence of new technologies in the digital economy and in finance, such as blockchain technology, a digital technology that guarantees the veracity of operations over the Internet, will be another current issue analyzed.

In addition, the Forum will host a number of sessions devoted to cyber threats, taking into account recent global attacks on companies and Russian interference across networks in different elections, and will also launch the Global Center for Cybersecurity to foster cooperation.

Bank of England raises interest rate to 0.5%

The Bank of England has announced a rise in the UK’s benchmark interest rate from 0.25% to 0.5%, the first increase in a decade.

The monetary policy committee decided by seven votes in favor and two against applying this increase, which reverses the 0.25% drop applied in August 2016 to resist the effects of the vote favorable to Brexit (British exit of the European Union, EU) in the referendum on June 23 of that year.

The Bank of England has estimated that the British economy, which has annualized growth of 1.5%, is sufficiently consolidated to resist this increase, aimed at containing the advance of inflation, which stood at 3% in September.

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This is the first increase in interest rates in this country since July 2007, before the global credit crunch exploded, which plunged the UK into a recession.

To address this crisis, the bank lowered interest rates to 0.5% in March 2009, at which level they remained until the reduction to a new all-time low in August 2016.

The Bank of England has also decided to keep its quantitative expansion program intact – to stimulate the economy – in which it has invested a total of £ 445 billion to buy mostly public-private bonds.

In its report released today, the institution predicts that the British economy “will grow modestly in the next few years,” while consumption, an economic engine, “will remain fragile in the short term” until eventually, it will rise to wages.

The bank acknowledged that although the effects of Brexit were lower than expected, they “affected business investment” despite benefiting exports.

“Inflation is expected to fall next year, eventually reaching the 2% target,” the institution said, noting that any future interest rate increases will be “moderate and gradual.”

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With unemployment at 4.3 percent – its lowest in 12 years – the UK economy held up better than expected to the effects of Brexit’s trading with Brussels and rose 0.4 percent in the third quarter, up from 0, 3% of the previous two quarters.

This generates an annualized growth of 1.5%, slightly below 2% estimated by the Government last March.

Nonetheless, low wages and rising household debt, which plagued domestic demand, have led many analysts to believe that today’s increase in interest rates will be timely rather than the beginning of a series of increases.

Wealth in Latin America increases 3.9% in one year

Private wealth in Latin America rose 3.9 percent to $ 8.1 trillion between mid-2016 and 2017, according to a study by financial entity Credit Suisse released on Tuesday.

Globally, the study found that global wealth in private hands increased between mid-2016 and mid-2017 by 6.4 percent or $ 16.7 trillion, which represents the fastest pace of growth since 2012 and a global wealth of $ 280 trillion.

According to the work of the Swiss bank, the wealth per adult in Latin America is currently at the US $ 19.04 thousand, which represents an increase of 2.1%.

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By comparison, the global average is $ 56,500, representing an increase of 4.9% and a new record.

However, the gap between those who have the most and those who have the least globally is considerable, given that in the ranking of wealth distribution it can be seen that 3.5 billion people, equivalent to 70% of all adults in the have less than $ 10,000.

The study highlights that in Latin America there are currently 460 thousand people with more than the US $ 1 million, and projects that by 2022 will be 54% more, or 706 thousand.

Globally, there are 36 million millionaires today, after adding 2.3 million new ones in a year.

By countries in the region, Brazil has 164 thousand millionaires and is expected to increase by 81% by 2022, to 296 thousand.

In Mexico, there were 84 thousand millionaires in the middle of 2017, the number that should increase to 88 thousand within five years.

The Argentinians, meanwhile, have 30 thousand million of them, a figure that will increase by 127 percent by 2022, when there will be 68 thousand, according to the report.

North America and Europe account for 64% of the wealth of households, followed by the Asia-Pacific region (excluding China and India), China, Latin America, India and Africa.

The report analyzes in more detail the economies of Brazil and Chile and states in the case of the South American giant that the country has suffered a crisis that has diminished wealth per adult 35% since 2011.

Brazil is among the many countries in which the majority of citizens have a wealth of between US $ 10,000 and the US $ 100,000, but the inequality is relatively high.

Only 1% of the richest have 44% of the household’s wealth in the country.

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Wealth in Brazil amounts to the US $ 2.5 trillion and fortune per adult is currently the US $ 17,400.

In the case of Chile, one of the strongest economies in Latin America, the country has a wealth of US $ 700 billion and 57 thousand people with a fortune of more than US $ 1 million.

According to the Credit Suisse report, 79,000 adults are among the richest 1% in the world.

The wealth per adult in that country is $ 52,800, only “a little” below the world average and “relatively high” compared to most emerging market economies, “the study says.

Chile also has a smaller proportion of adults with a wealth of less than the US $ 10,000 than the world average (37% versus 70%) and also a percentage of adults slightly over the US $ 100,000 compared (8% compared to 9%).

Bitcoin has moderate debut in the future market of the Chicago Mercantile Exchange

Bitcoin began trading on the Chicago Mercantile Exchange (CME) futures market on Monday, the world’s most important financial derivative, drawing less attention than its recent debut on a smaller platform.

Bitcoins futures contracts have been available at CME since last night, taking advantage of the opening of Asian markets.

The premiere at CME follows the start of Crypto-Quotes on CBOE’s future market, also in Chicago, on Monday. A week ago, the launch of the contracts made bitcoin overtake the $ 20,000 barrier, the euphoria that is more contained today.

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An hour after the start of operations at CME, bitcoin contracts for January had fallen 6% to $ 26,650 each. Now, the retreat is already 8%, to $ 18,990.

WEC is offering futures contracts with a one, two, three and six-month term. However, in the first session, those due in January far exceeded the later deadlines.

Near the middle of the session, CME had traded 873 bitcoins contracts, averaging $ 18,825. This represents a turnover of US $ 83 million, a low value for the US market.

The amount is much lower than the one recorded at the CTOE’s Cryptotone debut, despite being a much smaller platform than the competitor in Chicago.

“There are more people involved in the CME launch than there was in the CBOE,” said Cumberland Chief Operating Officer Bobby Cho.

But if last week, bitcoin’s entry into the CBOE drew more attention from investors, the premiere at CME, more importantly, generated far less interest from the operators.

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Among other reasons, the market is focused on Wall Street advances today, where Dow Jones Industrial, the leading indicator of the stock market, has already gained 200 points. In addition, analysts had anticipated that the entry of bitcoin into the US futures market would reduce cryptomedean volatility by stabilizing prices.

According to Coinbase, the virtual currency was worth less than $ 1,000 in the same period last year. The appreciation in the last 12 months was around 2,280%.

The fact that bitcoin is a criptomoeda without the control of a central bank, without regulation of any kind and used by people who want to launder money, makes the market believe that this speculative bubble will burst sooner or later.

US economy grew at a 3.2% pace in the third quarter of 2017

The US economy grew at an annual rate of 3.2 percent in the third quarter of 2017, slightly below the previous estimate of 3.3 percent, the US government said on Thursday.

The US Department of Commerce today released the latest of its three calculations on the evolution of the Gross Domestic Product (GDP) between July and September.

Despite the slight downward revision, the growth rate of 3.2% is the highest recorded since the beginning of 2015.

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The number is slightly lower than analysts’ estimates, which had anticipated a 3.3% expansion.

The data was driven by a smaller increase in consumer spending, which accounts for two-thirds of economic activity, and grew 2.2%, compared to 2.3% previously anticipated.

Sustained economic improvement in the US has led the Federal Reserve to raise interest rates three times this year, the last one a week ago, to leave them at between 1.25% and 1.5% %.

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President Donald Trump reached the White House in January this year with a promise to achieve annual growth of more than 3 percent underpinned by an ambitious plan that would represent the country’s biggest tax reform over decades and cut corporate and many Americans.

After overcoming a number of obstacles, the plan was approved by both Houses of Congress on Wednesday and promises, according to Republicans, to accelerate economic growth to about 4% per year.

World Bank Methodology hurt countries in competitiveness ranking

The World Bank has changed the methodology for calculating one of its main reports unfairly over a number of years, which has affected the position of countries like Chile in the rankings on corporate competitiveness, the American daily The Wall Street Journal “.

World Bank chief economist Paul Romer told the Journal that he will correct and recalculate national business competitiveness rankings for the past four years in the Doing Business report.

Romer explained that the revisions will especially affect Chile, whose position in the ranking has varied greatly in recent years due to “political motivations” in the World Bank.

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The chief economist said changes in methodologies “severely penalized” Chile’s position under Michelle Bachelet’s administration. Corrections will “focus” accordingly.

“I want to apologize personally to Chile and any other countries against which we have given the wrong impression,” said Romer, who considered the report’s problems to be “his fault.”

“We did not make things clear enough,” Romer said.

The BM is starting the process of correcting reports and resubmitting the corrected rankings.

Chile fell from the 25th to the 57th position of 2006, a period that alternated in power Michelle Bachelet and Sebastián Pinera in the government. While with Bachelet the position fell repeatedly in the rankings, on the other hand, rose with Piñera.

According to a preliminary analysis of Romer, during the last four years, the fall of Chile in the list occurred because of “new metrics” used to calculate the index and not to changes in the economic environment of the country.

“Based on the things we measured before, economic conditions did not worsen in Chile under Bachelet. I realized later that I did not trust the integrity of the report’s data,” he said.

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The “Doing Business” report ranks countries by using metrics such as the number of days needed to open a business in the countries or the costs to get a construction permit. The World Bank updates the methodology over time.

During Bachelet’s administration, the new components of the calculation made a lot of impact in Chile. The country fell from 33rd place in the index of ease to pay taxes in 2015 to 120th position the following year. The drop occurred because of a new metric to calculate the time companies spend to pay taxes.

Romer took the post at the World Bank in October 2016, and the changes in the reports occurred before he took office. Since then, he has questioned other officials about the clarity and conciseness of the reports, notes the Journal.

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