According to a report, the beginning of the year 2020 has seen a burst of growth in US business activity. This contrasts with slowing growth in many other major economies around the world.
Japan also saw a rise in business activity, helping pick up for the weak performance at the end of 2019. Europe was showing signs of slow growth in January, with exports from Europe stabilizing after a long decline. The service sector was still languishing.
The US economy is doing better than either Japan or Europe, and the prediction is that for the near future at least it will stay this way. The cooling down of the trade war between the US and China should also add a little boost to the economies of both countries and countries connected to them through trade.
IHS Markit, a data-gathering company, reported that its composite purchasing managers index in the US had reached 53.1 in January, up from 52.7 in December, the highest it has been in 10 months.
IHS also stated that, according to surveys, businesses in Europe and out will most likely remain slow and weak. Surveys of CFOs discovered confidence in the US market, but not as much confidence in the European and other markets. Some are expecting a stall in the 2020 economy.
The Graduate Management Admission Council released findings which show that the number of applicants to US business schools declined by 7% in 2018. Most of that drop comes from international applications which showed a 10.5% shrinkage. Domestic applications also dropped, but by only 1.8%.
Making up the slack are Canadian and European business programs, which showed strong growth from international students.
Among the schools facing a smaller number of applicants are such top MBA programs as Wharton and Harvard, a reflection that young professionals are hesitant to leave their jobs to go back to school.
The steep downturn in international applications is most likely due to the more stringent visa requirements for foreign students to enter the US on student, or any other kind, of visa. In contrast business schools in Europe, Canada and Asia Pacific all had sizable growth in their number of MBA applicants.
“Demand for graduate management education is stable year over year,” said Sangeet Chowfla, GMAC president and CEO. “However, there are significant regional variations. Non-U.S. programs continue to thrive, highlighting the continued emergence of enhanced educational and professional opportunities outside the United States.”
The trend is not only caused by “a disruptive American political environment,” but also by the growth of excellent MBA programs outside the borders of the USA. Non-US citizens are more often looking into educational and professional opportunities outside the USA.
US and EU Hit Hard
The global economic crisis – as we all know – hit hard. Especially tough impacts were encountered by the European Union and the United States of America. These regions are today, still being impacted by the crisis, vis-à-vis an uncertain economic future and increasingly high levels of public debt.
China’s 2008 Plans
In reaction to the crisis in 2008, China sensibly set out plans to help make world financial markets more stable. The country – as companies that seek to make investments there have known for years – is usually on top of its economic situation and what it needs to do to stabilize matters where required. This is what makes it an ideal environment for companies such as ARC Investment Partners to put their capital.
China Thinking Ahead
This clear thinking during a tough time for Chinese companies, really made a lot of sense for the country’s economic future. Today, China is a hotspot of stable economic growth, along with a substantial foreign exchange reserve. The question thus being asked, is can it also now play a role in finding a solution to the world’s current financial issues? Maybe. But first, the rest of the world needs to get on board and formulate an accurate perspective of the advantage of making investments in China today. Some critics firmly believe that if America and Europe really look into investing serious capital into China, a lot of their financial woes would be dissipated.
In other words, America and Europe need to get over their paranoia that investing in China is troublesome due to the country’s national security concerns or other inaccurate perceptions
Stepan Company (SCL) manufacturers and markets chemical ingredients to manufacturers in several industries around the world. Stepan sells ingredients for cleaning, personal hygiene, lubricating , plastics, biodiesel products etc. It also sells polyols that are used to produce insulation board for construction in addition to many other chemical products used in the automotive, boating pharmaceutical and food industries.
The company was founded in 1932 and today employs over 1,500 people. It manufactures and sells to manufactures in North and South America, Asia and Europe. In June the company “acquired Clarinol, Marinol and Pinnothin product lines from the Lipid Nutrition B.V.company which is a subsidiary of Loders Croklaan B.V. “
Stepan has good financial statements and also good revenue growth. The Stock has continues to be strong in spite of the world financial upheavals. I believe that is because the company provides intermediate ingredients for products that are considered basic necessities rather than luxury products. The company has also been distributing quarterly dividends for over 5 years.
The VP and CFO is James E. Hurlbutt who has been with the company since 1996. Mr. Hurlbutt has worked his way up from International Controller and Tax Accounting Head to Company Controller to VP of Finance to becoming the CFO in 2008. The current VP of Corporate Controller is Matthew J Eaken. These two officers are doing a good job keeping the company on course during these financially volatile times.