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Archives for May 2017

Entrepreneurship: LED Bike Lights Target Night Riders and ‘Burners’

“My colleagues love them and love recommending them,” said Christopher Kisicki, a cycling associate at the flagship store in Seattle of REI, the sporting goods retailer. “We can’t keep them in stock,” he said.

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Monkeylectric does $1 million in sales annually. There is the Christmas rush and in summer, the Burning Man bump.

“I hate to say it, but it’s almost mandatory to have them on your bike at Burning Man,” said Jefferson McCarley, manager of the Mission Bicycle Company, which builds custom bikes in San Francisco.

Monkeylectric’s market is a niche one, but growing: As of 2015, 885,000 people commuted on bicycles in the United States, up from 488,000 in 2000, according to the Census Bureau. And biking in the dusk or dark is clearly very dangerous. According to the National Transportation Safety Board, bicycle deaths occur most often from 6 to 9 p.m.

In an unscientific survey along San Francisco’s Market Street one night last week, most cyclists had front lights and weak red reflectors on the back (as required by law), but no side lights. Few bicycle lights are as eye-catching or noticeable to motorists as Monkeylectric’s lights. They are sold in 500 stores and on Amazon, which offers many similar-looking products for much less money.

Mr. Goldwater calls many of those products knockoffs. Every year, he said, he saw a half-dozen more companies based in China with look-alike lights that sell for $10 or $15. Mr. Goldwater, who holds five patents on bicycle lighting, refers to them as “toys,” although some consumers fail to see the difference.

Cheaper lights, Mr. Goldwater said, tend to be dim, not very durable and not waterproof.

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Monkeylectric’s founder, Dan Goldwater, said that when he started making his products, “I couldn’t imagine how I could make a commercial project out of it.” Credit Christie Hemm Klok for The New York Times
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Phillip Yip, Monkeylectric’s top engineer. Credit Christie Hemm Klok for The New York Times

James Hill, a worker owner at Missing Link, a cooperative bicycle shop in downtown Berkeley, who monitors bike lights when he is in his car, recalled being at a stoplight with his wife late one afternoon when they watched a cyclist whip across the road, with “very impressive lights,” he said. “A lot of inventions are terrible,” he said. “A lot of them are great.”

Monkeylectric lights “are arguably the best way to be seen” by motorists, he said.

Janelle Wong, operations manager at the San Francisco Bicycle Coalition, a nonprofit advocacy group with 10,000 members, has Monkeylectric lights on three of her five bicycles. “It’s an affordable way to light up a bike,” she said.

A few miles away in Emeryville, a company called Revolights also sells LED bicycle lights. It makes bright front-wheel lights that illuminate the road ahead, and red taillights that blink when a cyclist slows down and that can be used as turn signals. A Bluetooth version gives speed, distance, tracking and weather alerts. Revolights, which sell for $149 to $249, are sold at REI, in bike shops and on the company’s website.

Bicycle lights by Revolights. Video by Revolights

The co-founder of Revolights, Kent Frankovich, a 33-year-old mechanical engineer, began his quest for a better bike light after pedaling into a pothole one night while commuting from Stanford University where, among other things, he helped design a solar-powered freezer. Before entering the bicycle business in 2011, he was a researcher at a biorobotics lab and at the NASA Jet Propulsion Laboratory, helping build an instrument that identifies rocks and soil on Mars.

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Despite his product’s benefits, Mr. Frankovich said, “It’s a hard sale.” Many cyclists are minimalists, reluctant to add anything to their simple mode of transportation.

That a product improves safety is insufficient. It has to be cool, Mr. Frankovich said. “Who in the world doesn’t know a helmet will save your life?” he said. Yet many cyclists reject them because “they think they look dorky.”

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At several bike stores contacted for this article, sellers said they liked Revolights, but considered them on the expensive side, particularly for cost-conscious consumers who buy modestly priced bikes.

But that is not a problem at the Mission Bicycle Company, the custom bike shop that builds $999 bicycles. Revolights are “fashion forward, high-tech lights,” said Mr. McCarley, the manager. “Our customers appreciate minimalism.”

Years ago, the Mission Bicycle Company shared a Kickstarter campaign with Revolights, but today, Mission Bikes is developing an LED wheel light to be built into its bikes.

Before Mr. Goldwater started Monkeylectric, he considered his art project “a Ferrari.” The market was there, but, he said, “I couldn’t imagine how I could make a commercial project out of it.”

His early work would become a precursor for Monkeylectric’s high-end product that, when spun, shows video clips of, say, a swimming fish or a running dog — for $1,000.

When Mr. Goldwater got started, there was already one LED bicycle light company, Hokey Spokes. Carole Barnes, who with her husband, Richard, bought the business in 2005, said they had since “lost our enthusiasm.” They sell a few hundred lights a year, she said.

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Mr. Goldwater started working on his product 12 years ago, when he was an electrical engineer at the MIT Media Lab researching smart paint and self-assembling robots. He made what he calls “a monumental art piece” — the bicycle with kaleidoscope wheels he rode at Burning Man. For an electrical engineer who cycles, adding LEDs to wheel spokes “is a coming-of-age project,” Mr. Goldwater said.

The appeal is obvious: “When you spin, the effect is much greater than when you started,” he said.

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For an electrical engineer who cycles, adding LEDs to wheel spokes “is a coming-of-age project,” Mr. Goldwater said. Credit Christie Hemm Klok for The New York Times

Lights on rotating wheels create what scientists call persistence of vision, which is an illusion. When bicycle wheels with LED lights rotate, our eyes perceive moving light as a continuous image.

Monkeylectric has gone to the Kickstarter well three times. The last time, it raised $248,331, many in preorders for new lights that automatically turn on when rotated in the dark.

Mr. Frankovich, the founder of Revolights, holds six patents on bicycle lighting. He has raised funds on “Shark Tank,” Indiegogo and Kickstarter.

Both companies have marketed their products on Facebook, Instagram and other sites. But Mr. Frankovich said that nothing compared with “street viral marketing” — cyclists pedaling dark streets, with wheeled illumination.

“Every bike is a little billboard for us,” he said.

Correction: May 31, 2017

An earlier version of this article misstated part of the name of a bicycle shop in downtown Berkeley. It is Missing Link, not Missing Links. And an earlier version of a picture caption misstated the surname of Monkeylectric’s top engineer. He is Phillip Yip, not Ye.

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Article source: https://www.nytimes.com/2017/05/31/business/smallbusiness/led-night-bike-lights.html?partner=rss&emc=rss

‘Achieving a New Balance on Global Stage’ at St. Petersburg International Economic Forum

© forumspb.comDavos agenda to be ‘reflected’ at 2017 intl’ economic forum in St. Petersburg – organizer to RT

Russian President Vladimir Putin will meet the Indian Prime Minister Narendra Modi, Austrian Chancellor Christian Kern, and other world political and business leaders.

The SPIEF 2017 agenda includes the BRICS Business Forum and B20 (the G20 dialogue with the global economy) Forum on international trade and investment, a Russian–Indian Forum of Corporate Executives, the traditional Energy Summit of Corporate Executives, and business dialogues, including Russia–USA, Russia–France, Russia–Latin America, Russia–Switzerland, Russia–Japan, Russia–Africa, and others.

The heads of several European oil companies, including Total, Royal Dutch Shell, and BP will be attending.

Organizers say there is a significant interest in the event. Confirmations are up 15 percent from last year, St. Petersburg Governor Georgy Poltavchenko told RIA Novosti last week.

This year, a larger number of US businesses are also attending the Forum. Barack Obama’s administration discouraged US companies from participating last year, but under Donald Trump, the situation looks different.

Russian President Vladimir Putin (L) and TV host Megyn Kelly © Sputnik / ReutersPutin, Modi to join session hosted by NBC’s Megyn Kelly at St. Petersburg economic forum

“A large number of US business leaders are planning to attend the St. Petersburg Economic Forum this year… Now it is getting clear that there will be more US business leaders at the SPIEF, and the delegation will be more substantial, we are expecting those organizations which could not previously attend the forum for a number of reasons,” Russia’s trade representative in the United States Aleksandr Stadnik told Sputnik.

Though fewer CEOs are expected this year, organizers say that in business terms, it is even better.

“It may be better to have a key decision maker for emerging markets attend than a CEO. Everyone loves to see well-known, Davos-level participants attend the forum, but if you want to get practical stuff done, give me someone who focuses on business in Russia,” Dan Russell, head of the Washington-based US-Russia Business Council told Bloomberg.

The opening ceremony will see a speech from United Nations Secretary-General Antonio Guterres.

Article source: https://www.rt.com/business/390310-spief-2017-russia-economy/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

Vietnam to ink $17bn worth deals for US goods & services

© Jorge Silva Vietnam walks away from American-backed trade deal TPP

“Vietnam will increase the import of high technologies and services from the United States, and on the occasion of this visit, many important deals will be made,” said Phuc who’s due to meet US President Donald Trump on Wednesday at the end of a three-day official visit.

According to the CEO of General Electric Steve Bolze, the company will sign new business worth about $6 billion with Vietnam.

The US Trade Representative Robert Lighthizer expressed concern about the rapid growth of the US trade deficit with Vietnam. He said that was a new challenge for the two countries and asked Phuc to help address it.

“Over the last decade, our bilateral trade deficit has risen from about $7 billion to nearly $32 billion,” Lighthizer said as cited by Reuters. “This concerning growth in our trade deficit presents new challenges and shows us that there is considerable potential to improve further our important trade relationship.”

New buildings are seen along the Saigon river in southern Ho Chi Minh City (formerly Saigon City), Vietnam © KhamVietnam joins Russia-led free trade zone

Figures from the Vietnam Ministry of Industry and Trade show that in the first four months of this year, the country exported $12.4 billion worth of goods to the US. Those exports included textiles, footwear, electronics and components, seafood, farm products, wood and wooden products. They represented 20 percent of the country’s total exports and an increase of 8.7 percent year-on-year.

Bilateral trade was worth $47 billion in 2016, up 16 percent from the previous year. The US is currently Vietnam’s eighth-largest investor, with over $10 billion allocated to about 800 projects in the country.

Experts say Hanoi wants to further boost trade ties with Washington, including the possibility of a free trade agreement.

Article source: https://www.rt.com/business/390284-vietnam-us-trade-deals/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

OPEC, Russia & other producers to curb inventories to five-year average

Russian President Vladimir Putin (L), Saudi Deputy Crown Prince Mohammed bin Salman (R) © Pavel GolovkinPutin meets Saudi Prince after oil production cuts deal extension

The goal could be reached in the very near future, he said at a meeting with his Russian counterpart Aleksandr Novak.

Russian and Saudi energy ministers also said cooperation between the countries in the oil markets would continue after the current joint oil output agreement expires in March 2018.

“It is necessary to work out new framework principles for continued steady cooperation between OPEC and non-OPEC even after the expiration of the Vienna agreements,” said Novak.

In December, OPEC, Russia and other major producers agreed to curb production by 1.8 million barrels per day (bpd) for six months from January 1 to support the market and push prices to $60 per barrel. Last week, the agreement was extended by another nine months.

Russia’s Novak said on Wednesday the country would cut production by 300,000 barrels per day (bpd) by October.

Oil prices were down on Wednesday with Brent crude trading 55 cents lower at $51.29 per barrel, while US West Texas Intermediate fell 51 cents to $49.15.

Traders said the price fell on the news of higher output in war-torn Libya and a rise in US production.

Libya’s oil output is expected to increase to 800,000 barrels bpd this week, state-run National Oil Corporation said on Monday.

“Libyan and shale oil production seems to have occupied the mind of traders overnight. That’s consistent with my sense that this is all about inventories and the associated supply overhang in crude oil markets at the moment,” said Greg McKenna, chief market strategist at futures brokerage AxiTrader, as quoted by Reuters.

Article source: https://www.rt.com/business/390276-opec-russia-novak-al-falih/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

Flight chaos could cost British Airways more than $100mn

© Stefan WermuthBritish Airways passengers face third day of disruption after weekend of flight chaos

On Saturday, an IT system failure caused all the airline’s flights from Heathrow and Gatwick airports to be canceled leaving about 75,000 passengers stranded. Many of them had to spend the night in the terminals.

More flights were canceled on Sunday with long delays and further cancellations continuing into Monday.

According to independent aviation analyst Howard Wheeldon, the “cost of reputational damage to British Airways (BA) is incalculable at this stage, but it will be considerable.”

“I suspect that the minimal cost of recovery and claims costs will be in excess of £120 million ($154 million). Adding both together, we could be talking double that amount,” he was cited as saying by City A.M.

Robin Byde, an aviation analyst at Cantor Fitzgerald, told CNN Money the cost of compensating passengers, refunds, additional staffing and lost revenue could total between £80 million ($102 million) to £100 million ($138 million).

Another analyst, Stephen Furlong from Davy Research, said the one-day outage cost the company about £30 million ($39 million) in lost revenue alone.

“The main cost will be compensations — depending on how many people claim it, my guess would be it could reach around €50 million ($56 million),” Furlong said.

Passengers on flights operated by European airlines to and from countries in the EU are entitled to compensation of between €250 ($280) and €600 ($670) each, depending on the route.

British Airways’ chief executive Alex Cruz described the impact of the disruption as a tragedy and pledged the airline would follow all applicable compensation rules.

“We absolutely are committed to provide and abide by the compensation rules that are currently in place,” he told Sky News.

Experts say the reputation cost of the incident will be a further headache for the company. Handling of the crisis is “undoubtedly the single worst event in the airline’s history since privatization,” said Wheeldon.

Article source: https://www.rt.com/business/390154-british-airways-flights-cancel-cost/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

Russia schedules production of first post-Soviet large domestic airliner

© Sergey MamontovRussia’s new civilian airliner takes off on maiden flight (PHOTOS, VIDEOS)

The aircraft is expected to compete with the Boeing 737, Airbus A320 and China’s COMAC C919.

“We plan to complete the testing in 2018. We are starting the second stage of flight testing for the PD-14 engine. The airliner will be powered only by Russian-made jet engines starting in spring 2019,” said Deputy Prime Minister Dmitry Rogozin at the meeting chaired by Prime Minister Dmitry Medvedev.

The first examples of the airliner are to be powered by Pratt Whitney PW1400G engines, while those for the domestic market will use the new PD-14 engine.

The Prime Minister ordered a rethink of the commercial prospects for the plane, as new contracts could boost the country’s economy. According to Rogozin, the issue will be discussed at a meeting of the aviation board.

Rogozin said the new aircraft would be sold with a ‘full circle contract’ meaning the manufacturer will be responsible for the planes through delivery until they are operating on revenue earning flights.

“As the МС-21 is ahead of its rivals, Boeing and Airbus. We are seeking to announce the price which will be much more competitive than the one set by US and European colleagues,” Rogozin said.

The Irkut MC-21-300 is a narrow-body airliner that was rolled out almost a year ago. The first version of the plane can carry up to 211 passengers a distance of up to 6,000 kilometers.

The plane made its maiden flight in Irkutsk in Eastern Siberia on Sunday. Certification of the MC-21 in Russia is planned for 2018 with European Aviation Safety Agency approval expected a year later.

The manufacturer has reportedly signed contracts for 285 planes with domestic airlines with 185 down payments already made.

Article source: https://www.rt.com/business/390153-mc-21-mass-production-2018/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

Venezuela threatens to stop Goldman Sachs from making ‘a quick buck’ off its suffering people

A woman walks past a currency exchange rates board at a money exchange in Buenos Aires' financial district, Argentina © Enrique MarcarianArgentina settles dispute with five bondholders

“It is apparent Goldman Sachs decided to make a quick buck off the suffering of the Venezuelan people,” Julio Borges, the leader of the opposition-controlled Congress, said in a letter to Goldman CEO Lloyd Blankfein.

“Given the irregular nature of this transaction and the absurd financial terms involved that are to the detriment of Venezuela and its people, the National Assembly will soon launch an investigation into the matter. I also intend to recommend to any future democratic government of Venezuela not to recognize or pay on these bonds,” Borges wrote.

Last week Goldman Sachs bought around $2.8 billion worth of bonds issued by Venezuela’s state oil firm PDVSA, betting its investment could more than double if the opposition comes into power, The Wall Street Journal reported on Sunday.

The report claimed Goldman paid $0.31 on the dollar, or around $865 million, for bonds PDVSA issued in 2014 and mature in 2022.

Goldman replied it had bought the bonds not from the government, but on the secondary market from a broker.

“We are invested in PDVSA bonds because, like many in the asset management industry, we believe the situation in the country must improve over time,” Goldman told CNBC.

“Many investors make similar investments daily through mutual funds, index funds and ETFs which also hold PDVSA bonds. We recognize the situation is complex and evolving and that Venezuela is in crisis. We agree that life there has to get better, and we made the investment in part because we believe it will,” the bank added.

Article source: https://www.rt.com/business/390143-venezuela-goldman-sachs-bonds/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

Venezuela furious at Goldman Sachs for making ‘a quick buck’ off its suffering people

A woman walks past a currency exchange rates board at a money exchange in Buenos Aires' financial district, Argentina © Enrique MarcarianArgentina settles dispute with five bondholders

“It is apparent Goldman Sachs decided to make a quick buck off the suffering of the Venezuelan people,” Julio Borges, the leader of the opposition-controlled Congress, said in a letter to Goldman CEO Lloyd Blankfein.

“Given the irregular nature of this transaction and the absurd financial terms involved that are to the detriment of Venezuela and its people, the National Assembly will soon launch an investigation into the matter. I also intend to recommend to any future democratic government of Venezuela not to recognize or pay on these bonds,” Borges wrote.

Last week Goldman Sachs bought around $2.8 billion worth of bonds issued by Venezuela’s state oil firm PDVSA, betting its investment could more than double if the opposition comes into power, The Wall Street Journal reported on Sunday.

The report claimed Goldman paid $0.31 on the dollar, or around $865 million, for bonds PDVSA issued in 2014 and mature in 2022.

Goldman replied it had bought the bonds not from the government, but on the secondary market from a broker.

“We are invested in PDVSA bonds because, like many in the asset management industry, we believe the situation in the country must improve over time,” Goldman told CNBC.

“Many investors make similar investments daily through mutual funds, index funds and ETFs which also hold PDVSA bonds. We recognize the situation is complex and evolving and that Venezuela is in crisis. We agree that life there has to get better, and we made the investment in part because we believe it will,” the bank added.

Article source: https://www.rt.com/business/390143-venezuela-goldman-sachs-bonds/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

Luxury goods industry to rebound on resurging consumer confidence

Reuters / Lisi Niesner174 million Chinese tourists to spend record $264bn by 2019

According to the report, the upturn in the beleaguered industry will come as a result of a resurgence in Chinese consumer spending and a tourism revival in Europe.

In October, Bain predicted 2017 growth of up to two percent for the luxury sector.

Sales grew four percent in the first three months of 2017 over the same period last year.

They were lifted by particularly strong sales of accessories, jewelry and beauty products in mainland China.

“After a difficult 2016, the first quarter of 2017 brought some relief to the luxury industry. The continuous repatriation of Chinese consumption as well as a positive outlook in Europe both for locals and tourists will help drive overall market growth during the remainder of the year,” said Claudia D’Arpizio, Bain partner and lead author of the study.

© AFPLuxury goods sector gloom after Hermes Richemont report

Europe is expected to be the fastest-growing market for luxury goods this year, with tourism to Spain and the UK leading the recovery. European sales are forecast to grow seven to nine percent as tourism recovers after the terrorist attacks in Paris, Nice, and Brussels.

Sales will grow six to eight percent in mainland China, the report said, adding sales in the rest of Asia could shrink two to four percent.

“The peak of the largest nationality wave ever to benefit luxury goods is behind us: There is not going to be another China,” said D’Arpizio.

She added that the growth we see now “is much healthier and less dependent on any one market or spending trend. The market is still very reactive. But for now, the luxury business looks in a much better place than it was this time last year.”

Bain expects annual sales of personal luxury goods, including high-end fashion, handbags, and jewelry, to total €280 billion to €290 billion by 2020.

Article source: https://www.rt.com/business/390077-luxury-spending-growth-forecast/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

Bitcoin sees $4bn in value wiped out as price of cryptocurrency falls 20%

 © Peter ParksBitcoin could crash and lose half its value correction may be imminent – analyst

On Monday, bitcoin was trading at $2,179, down $612 from last Wednesday’s all-time high of $2,791, according to CoinDesk data.

“The correction was actually quite brief, the prices today are still higher than that of a week ago,” Bobby Lee, CEO of BTCC, a major bitcoin exchange, told CNBC.

“I think the pullback was just a profit taking, a correction from the skyrocketing prices of last week,” he added.

Bitcoin’s market cap fell from $40.49 billion on Thursday to $36.48 billion.

Analysts’ forecasts for bitcoin differ significantly. While some predict a major correction, others say it’s going to hit $6,000.

“There is a lot of fresh liquidity flowing into bitcoin, thanks to a surge in interest among investors in Asia, notably Japan and Korea, coupled with a resolution to the scaling debate. I would not be surprised to see the bitcoin price doubling again to around $6,000 by the end of the year,” Aurelien Menant, CEO of Gatecoin, a regulated cryptocurrency exchange, told CNBC.

READ MORE: $100 in bitcoin in 2010 now worth almost $73 million

The value of bitcoin has been on a meteoric rise since the cryptocurrency was launched seven years ago. An investment of $100 in bitcoin in May 2010 is worth over $73 million today.

Bitcoin is a digital currency, created and held electronically. No one controls it. Bitcoins aren’t printed, like dollars or euros, and they are decentralized. The cryptocurrency is ‘mined,’ using computing power in a distributed network.

Article source: https://www.rt.com/business/390075-bitcoin-price-fall-market/?utm_source=rss&utm_medium=rss&utm_campaign=RSS