December 27, 2011

10 EXECUTIVES GIVE THEIR PREDICTIONS FOR 2012

SmartBrief on Leadership
The next year will be tough, but will bring opportunities for smart companies in emerging fields, say top executives from a range of industries. Manufacturers of solar-energy products will have to adapt to increased demand but fewer government incentives, and tech-dependent companies will all jockey for the attention of consumers. FastCompany.com

U.S. CONSUMER CONFIDENCE JUMPS
Quick Manufacturing News
The Conference Board's monthly index surged to 64.5 from 55.2 in November, back to the levels of early 2011 after the collective mood soured deeply in the middle of the year. Click to continue

CHINA TO KEEP RARE EARTHS EXPORTS THE SAME IN 2012
Quick Manufacturing News
The government will initially allow exports of 10,546 tons of rare earths in 2012, the ministry said. That amount will be split between 11 companies, including three subsidiaries of industry giant China Minmetals Corp. Click to continue

RETAIL ASSOCIATION TO FEDS: FORGET HARBOR TAX, FIX INFRASTRUCTURE
Quick Manufacturing News
Imposing a tax on U.S.-bound cargo brought into Mexican and Canadian ports could violate international trade laws and would not drive traffic back to U.S. ports, said the National Retail Federation this week in a filing to the Federal Maritime Commission. Click to continue

THE CHAOTIC CONSEQUENCES OF BEING UNETHICAL
Quick Manufacturing News
Much of the financial chaos since 2007 is said to have been based on unethical behavior. How much different would our world be today if we all proactively incorporated ethics into our professional and personal lives? Click to continue

FLAG WEEKLY COMMUNICATION - DECEMBER 27, 2011
Regulation? What about Overcriminalization?
The toll that excessive regulation takes on business is well-known. But a lesser known cost to business is that of federal criminal laws like the Lacey Act.

As a recent column in the Washington Times notes,

The Lacey Act hangs like the sword of Damocles over the heads of American businesses. In addition to the 4,500 or so criminal offenses in federal law, plus as many as 300,000 more contained in federal regulations, businesses are expected to comply with the laws of nearly 200 foreign countries every time they purchase or take possession of any product from a foreign source — whether or not they imported it themselves.

While the Lacey Act has ensnared manufacturers and unwitting businesspeople before, it again rose to prominence this year after federal agents raided Gibson Guitars.

Gibson’s crime, according to an affidavit supporting the search warrant, was the illegal importation of Indian-grown ebony veneers, intended for use as fret boards. A hardwood prized for its appearance and durability, ebony is sustainably raised by certified growers, and Indian law doesn’t bar its harvesting or export. What Indian law does require is that ebony veneers be finished within the country, by local labor, to a thickness of less than 6 millimeters. Gibson’s wood, it happens, was a bit thicker — nearly a full centimeter.

On that basis, U.S. Fish and Wildlife Service agents invaded Gibson’s facilities, bringing its operations to a standstill.

There is legislation to reform the Lacey Act pending in the House of Representatives. The Retailers and Entertainers Lacey Implementation and Enforcement Fairness (H.R. 3210) attempts to bring some certainty to the law. Read a summary from the bill’s sponsor here.

OSHA: What to Expect in 2012
The OSHA Law Update blog previews what’s likely to come from the Occupational Safety and Health Administration (OSHA) next year. Here’s a look into the crystal ball:

• Nationwide Chemical Facilities Process Safety Management National Emphasis Program (Chem NEP
• Follow-up Inspections & Repeat Violations
• Resurrection of Ergonomics Enforcement
• Change in Reporting Requirements
• Globally Harmonized System of Classification and Labeling of Chemicals (GHS)

The blog goes on to discuss each of those issues in detail. Read the whole thing here.

Antitrust: Looking Ahead
The Wall Street Journal reports on one lesson of the scrapped AT&T–T-Mobile merger: “Don’t underestimate the Justice Department’s newfound toughness in policing mergers between rivals.”

As the first term of the Obama administration draws to an end, a clearer pattern of antitrust enforcement is emerging. The Obama Justice Department has been quick to challenge “horizontal” deals—in which a company buys a direct competitor—in industries that are already highly concentrated.

But in deals that aren't between direct rivals—“vertical” deals—it has taken a different approach, allowing deals but imposing legally binding restrictions on the acquirer's ability to use its prize to unfairly harm competitors.

So what does all of this mean going forward?

Investors and businesses may reassess proposed deals in the light of the government's latest success. “It’s clear that the antitrust review process has become much more rigorous,” said Mr. Nigro of Fried Frank. “So on deals that raise material antitrust issues, it's more important now than ever to put together a pretty complete game plan for how you plan to get the deal cleared.”

ABUNDANT OPPORTUNITIES FOR UTAH FIRMS IN VIETNAM – NOW IS THE TIME TO LEARN MORE
Utah World Trade Center
With the upcoming Zions Bank Mountain States Trade Mission to Vietnam in March 2012 – now is the perfect time to learn more about how your company can start doing business or build on existing business in Vietnam’s rapidly expanding market. full story