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Coronavirus is a risk for the world economy

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world economy

Just when the outlook for the world economy had been declared encouraging, a new threat emerges in the form of a viral outbreak in China. That was the warning message that Federal Reserve President Jerome Powell delivered on Wednesday after the Fed decided to keep interest rates low.

Powell said the signing of a preliminary trade agreement between the US and China, the resolution of Brexit, and the low rates in the US and abroad suggested that the world economy would expand more rapidly. That is now threatened by the virus.

Still, Powell said the extent of the economic damage that the virus can cause in China or around the world is still unknown.

“There is likely to be some disruption in activity in China and worldwide,” he said. “It is very uncertain how far it will extend and what the (economic) effects will be in China, for its trading partners, and around the world … We are monitoring the situation very carefully.”

However, Powell said he believes “there are signs and reasons to wait” for a global economic uptick. And he said that the initial trade agreement between the United States and China and a new trade pact between the United States, Canada, and Mexico that President Donald Trump promulgated on Wednesday could potentially boost the US economy.

Powell spoke after the Fed announced that it had maintained its key interest rate unchanged at a low range of 1.5% to 1.75%, well below the levels that were typical during previous expansions. The president and other Fed officials have indicated that they see that range low enough to support faster growth and hiring.

However, investors are increasingly betting that the Fed will feel compelled to reduce rates later this year, probably because of concerns that the US will feel the impact of a global slowdown derived from the coronavirus. The chances of a cut at the September Fed meeting have increased above 70%, according to the FedWatch tool of the Chicago Mercantile Exchange, compared to 40% just a month ago.

Paul Ashworth, chief economist on the United States at Capital Economics, said he saw nothing in the Federal Reserve statement or at the Powell press conference to change his belief that the central bank will maintain its benchmark rate without changes in the foreseeable future.

“Unless the US experiences its own epidemic, we doubt that the indirect effects of the disturbances in China are sufficient to guarantee a cut in US rates,” said Ashworth.

Indeed, the coronavirus has closed much of that nation and it seems that it will slow down the Chinese economy, the second-largest in the world, which had already slowed. The virus has now infected more people in China than were ill in the country from the SARS outbreak in 2002-2003.

Major companies around the world have responded to the virus by suspending some operations in China. Starbucks said it plans to close half of its stores in China, its second-largest market. British Airways has stopped all flights to China, and American Airlines suspended flights from Los Angeles to and from Shanghai and Beijing.

Hotels, airlines, casinos, and cruise operators are among the industries that have suffered the most immediate repercussions. Apple CEO Tim Cook said that the company’s suppliers in China have been forced to delay the reopening of factories that have closed for the Chinese New Year holidays until February 10.

Stock prices fell after the Fed issued its statement and Powell concluded its press conference. The Dow Jones Industrial Average closed just higher after having posted stronger gains on previous operations. Bond yields decreased slightly.

The Fed’s statement, which its policy formulation committee approved 10-0, was almost identical to the one it issued in December, although this time it described that consumer spending increased only at a “moderate” rate rather than ” strong”. That change probably reflects a relatively modest expense of Americans during the holiday shopping season. The statement also noted that the Federal Reserve wants inflation to rise more. The Fed’s preferred measure showed that inflation rose only 1.5% in November from the previous year, below its 2% target.

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Not all photo background removal services can be weighted on the same scale

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photo background removal

Some items are produced as replicas. For example, you take a twenty-dollar bill and compare it with another one; they will both look exactly the same. The reason behind that is that they are produced to be the exactly same by the same minting machine. You take a tennis ball and compare it with another one of the same batches; they will look exactly the same. Even if you compare it with another brand, they will both look pretty much the same. However, when you compare one background removal service with another, they will not look exactly the same. In fact, they might differ in quality and look vastly based on the service providers.

Why there are differences in background removal service based on the service provider

Generally, when two individuals perform the same job that required special skills and have the option to use individual creativity, not both jobs will come out to look the same. One reason is the use of creativity. Since the individual is free to use his creativity in performing the job, the output differs. When it comes to structured jobs like factory assembly lines, one person is not doing the entire job. Since the job is structured and requires many individuals to perform it, the output looks pretty much the same. There is no use of creativity here. However, when it comes to creative jobs like Photoshop editing, the individual is free to exercise his editing skills and creativity in editing the image.

Even when creativity is not needed, in commercial photo editing, for example, individual work may vary based on expertise and intention. Someone who is dedicated to offering quality background removal service will take the time to do a great job. At least the output will be based on the efforts made. On the other hand, for someone who is less experienced and wants to do as many jobs as possible in an hour; the quality will be highly compromised.

Why background removal service companies intentionally offer low quality work

In the world of background removal service outsourcing, the competition is very high. A lot of companies are competing to get the business. Every single person or company that is trying to secure a client is trying to do that with the use of the internet. On a single Google search, tens of thousands of search results show up when you search for background removal service providers.

With this extreme competition, the only way service providers try to get a job is by offering lower costs. They think the lowest cost will get the business. While it is true in some cases where people go for the cheapest, it is not the standard entirely. Serious eCommerce companies and marketing agencies will hire people who are capable of offering the service that meets their quality standards. They are willing to pay the right price for the service. Taking less time in editing and doing a half-decent job might get someone some occasional business here and there, they will be mostly from individuals that require one-off services for personal work. Commercial work requires highest level of standards and only the best of the best will be surviving in this area.

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Commercial insurance: why is it so important for companies?

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Starting and running a business depends to a large extent on a solid financial plan. So that this does not falter, entrepreneurs should protect themselves against risks that could endanger the existence of the company. Commercial insurance not only pays for damage to company property due to a fire in the company. Protection is much more important if third parties are harmed in the course of professional activity.

What is commercial insurance?

Commercial insurance represents an essential safety net for the self-employed, entrepreneurs and company owners. Regardless of whether they are the owner of a small business, restaurateur, hairdresser or freelance professions such as doctor or lawyer – commercial risks can lead to employees having to give up their profession in the worst case without the right insurance and, moreover, go into high debt with their private assets.

This is exactly what commercial insurance protects against. It is often referred to as company insurance and represents a bundle of different insurance policies such as insurance for candle makers and other small & large scale businesses.

. Interested parties can put them together depending on their activity and adapt them precisely to their insurance needs, based on the modular principle. Important questions are

•             In which industry insured persons are active,

•             Whether they employ staff and

•             Whether they own expensive machines.

Depending on the scope of insurance, the company’s property is insured against damage caused by fire, tap water, burglary, storms and hail. The insurance also pays out if third parties are harmed by the insured person or his employees in the course of their professional activities. The insured damage includes personal injury, property damage and financial loss.

What types of commercial insurance are there?

Depending on the industry and company, transport insurance, water damage liability insurance or other special types of insurance can also be useful.

•             Professional Liability Insurance

•             Public liability insurance

•             Property damage liability insurance

•             Content insurance

•             Company legal protection insurance

Which professional group needs which insurance?

Since the requirements of every company are different, there is no off-the-peg coverage with commercial insurance. One company should insure against some commercial risks while the other can do without them. Interested parties can find out what dangers threaten the financial existence of their own company and what specific protection is therefore necessary with the help of an expert in the field of commercial insurance.

Costs and test winners in commercial insurance

The cost of commercial insurance depends on many factors, such as the scope of insurance and the desired coverage. Therefore, it is not possible to name a price range for company insurance.

Test institutes also fail due to the complexity of corporate insurance, so that there are no current test winners. This makes it all the more important for those interested in choosing the right protection for their company to be supported by a specialist. He is familiar with the market and knows from experience which insurance company has a balanced price-performance package.

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Mom-and-pop Business and its Technology– by Sageer Nelliparamban

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Nelliparamba

Mom-and-pop shops are referred to small retailer business entities that are owned by a family and work independently. Usually, these stores are operated in one location and are a great source of personalized products for the local community. Mom-and-pop stores are gaining a competitive edge through their interactive services, availability of personalized products, and the buyer’s concept of holding up the local economy.

The small business entities’ owners often want to retain their business low tech and manageable as entrepreneurs. But in long run, they need to employ technology for the expansion of their company in order to gain higher profits and stay competitive. With this ideology, mom-and-pop stores can expand with the utilization of technology in different ways.

With the wise use of merchant accounts and wide processing options of credit cards, internet payments have provided the business owner with high-tech options and more convenient means of receiving payment from buyers all over the place. Besides the physical payment methods, these formidable solutions of payments are becoming the major source of expansion in this small retailer business.

Point of sale is also a useful software that provides tech-savvy solutions for shop owners to run their registers from large workplaces. Nowadays publicity of seller items has become plain-sailing with the emergence of website technology. This is a huge platform for sellers and business owners to showcase their products to people all over the world.

According to Sageer Nelliparamban, In order to run a formidable website, mom-and-pop shop owners need to appoint a qualified and experienced website designer who can create many advertising pages that impart captivated image of the selling item in the customer’s mind.  When website designing is coupled with a good marketing strategy, a company will find ways to help its cause provide ease to the clients.

Mom-and-pop business owners always need analytics whether they run a market campaign or host a website. With the utilization of Google Analytics and StatCounter software, these small retailer business owners can track visitors and watch the working efficiency of advertising campaigns. Moreover, they can also see what parts of their websites are most browsed and observed by the people; hence they can change their approaches to bring in more customers with limited financial resources.

Mr. Nelliparamban concluded, For as long as these small business entities have existed, they would constantly face the restricted sourcing information, unsteady cashflows, and opaque pricing. To overcome these stumbling blocks technology has gained much value not by replacing the anchoring role of mom-and-pop shops in the community, but by enabling them to make handsome money and become more resilient.

We are stepping into a future where offline customer shopping will co-exist with online consumer commerce as physical infrastructure in the markets is still having catch-up roles with digital infrastructure. Whoever makes head or tail of how to build confidence with mom-and-pop business owners takes a crack at becoming the operation systems of a retail economy that is worth multibillion dollars.

Sageer M. Nelliparamban is an adroit software engineer and distinguished for his innovations and extensive knowledge about the latest current industry trends and advancements. He achieved numerous certifications and holds degrees in Masters in Information Technology, and Masters of Information Technology Management. Mr. Nelliparamban worked as a CTO of Online checkwritter.com and zil money in Texas, USA, and also gave his services to Tyler petroleum Inc.

As a Management officer, he worked with Telstra-Australia and has an excellent career in the retailer industry with 10+ years. He is currently serving as a Senior Developer, Designer, and Technology Innovator at East Texas imperial Petroleum, Tyler, Texas USA.

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