RCom in Trouble - Aircel Merger

Reliance Communication Company owned by Anil Ambani is facing a crisis. Already indebted to the tune of 45000 plus crore rupees there seems no hope for a turnaround. 

The company's core business revenue is dropping drastically on all fronts - voice and data. The steady decline is attributed to customers switching to other service providers and stiff competition for RIL Jio. The company has reported losses subsequently from the last few quarters due to a reduction in usage affecting revenue per customer. The company has failed to retain or increment its mobile broadband customers.    

The shares of ADAG companies have shown a constant downfall. RCom has to service its debt in order to retain its position in the market somewhat. RCom Aircel merger which has been approved by concerned bodies will assist in business recovery hopefully. This will come in form of a demerger with Aircel & Dishnet Wireless Limited. This transaction will substantially reduce RCom's depth as well as Aircel's depth.         

The merger will result in making it one of India's largest private sector companies. After the merger, RCom will hold a 50% share in Aircel Ltd. 

Thermal Paper Rolls & Ribbons

In earlier times, written communications were limited to pen and paper. Then later the typewriter was invented which changed the way we communicated. The introduction of the fax machine and then the printers this made communication far more dynamic.  In offices and restaurants, the use of printers has been extensive in recent times.  

Office products constitute office stationery, custom business forms, and gadgets both electronic and manual. All modern hi-tech offices have been computerized and hence the material required for offices has changed as well. 

Printers are extensively used in offices, earlier it was the dot matrix printer then later inkjet and laser printers were introduced. 

Color Thermal Printers 

Colored thermal printer imparts impression on paper using wax-based ink. The ribbon travels along the paper right under the printing head and in the process leaves a color impression due to heat and chemical change. The paper used in such printers is called the thermal paper or thermal paper rolls. The paper is special in the sense that it is coated with chemicals that change color and impart impression when heated.

Cartridges 

Cartridges used in these printers are the main accessories of printing systems without these components printing would not be possible. Due to their limited life, they are constantly in demand in offices. 

The cartridges and spools all contain ribbons laced with ink. The ink leaves the desired impression on the paper used for printing. In the case of thermal printers, the ink changes color as desired before imparting an impression on the thermal paper or rolls.  An added advantage of cartridges and printer ribbons is that they can be refilled. 

Thermal Printer Ribbons 

Thermal ribbons come in three different types: 

Wax is used for printing on paper labels and business forms customized as per need. 

Wax + Resin Used on smooth coated paper labels they produce fine results and the image is more durable. 

Pure Resin Pure resin ribbons are used to print on plastic labels, polypropylene, polyester, and vinyl. The color is black but red and blue colors are also available. The quality depends much on the plastic material used. The ink adheres to the surface of the plastic label and durability depends upon the type of plastic used. Pure resin printing is the most durable water resistant and can stand strong sunlight. 

Thermal Paper Rolls 

These are used in printers, adding machines, cash registers, and credit card terminals in hotels, restaurants, offices, and retail stores. The rolls are sold in various sizes according to the applications.   

Due to the decrease in cost the application of thermal paper rolls has become widespread in various businesses. Hence they are manufactured in large volumes all over the World.    

Office Stationery Business - Tough TImes Ahead

One of the consumed products in the office stationery industry is constantly facing instability. This is so, especially in the case of manufacturers. The market is dependent much on local regions for those manufacturing non-branded items. 

Even for brands, the instability factor remains. Constant incursions from low-cost imports and competition from generics play a major role in reducing profitability. Hence innovation and research are key factors that define success. The industry is dependent upon new products that skip over the existing competition to make a killing.     

Bulk manufacturing and supplies are strategic in maintaining profitability in face of stiff competition. Economic downfall or recession can also hit hard.  

Trends and technological changes do impact sales of traditional stationery products, especially those that are paper-based. Electronic communication and the Internet have reduced the consumption of paper-based products.  The increasing use of computers, laptops, PDAs, and mobile further impacts the growth of this industry. 

An increase in business activities and educational institutes are the stabilizing factors that could end up mitigating losses or reduced profitability. This is applicable to Asian markets where schools and colleges are mushrooming. In developing economies mushrooming enterprises are aiding in the sales of office stationery products.     Warding off local competition by implementing smart marketing strategies and increasing exports could yield spectacular results for agile manufacturers.  

Lifestyle changes increase the demand for products that constitutes stationery in contemporary times. But this is more beneficial in the case of other sectors catering to personal, family, and social demands.  

Hence the picture is not as bleak as it appears to be. Since the onus has shifted to new product development those with a flair for research and innovation will continue to survive and flourish. 

Steel Industry in China

Steel production increased rapidly during the post-World War 2 era. Many countries developed at a rapid rate with amazing construction booms. Steel making process involves the use of iron ore and scrap. The process includes the exclusion of impure elements like nitrogen, excess carbon, sulfur silicon, etc. In order to obtain various grades of steel elements like vanadium, manganese, nickel, and chromium are added during production. The introduction of Bessemer and Siemens-Martin processes revolutionized production globally.     

The capital reforms under Deng Xiaoping gave a big boost to Chinese industrialization.  lagging much behind the global steel industry the reforms brought about a paradigm shift and augured production.   

By 2011 China became the largest producer of steel in the World. The production rose to over 680 million tonnes accounting for forty-five percent of global production. This is despite stiff competition by major players and unstable prices of raw materials. As per the trend in almost every sector, the industry experienced a price rise within this period.  

The production continued to peak until its decline in the year 2016 which resulted in a stock market crash in that country. This came about as a result of other countries exports, especially from Russia and Ukraine. 

The largest steel producers in China are Hesteel Group with production being 31 million tonnes which is much below Arcelor Mittal. The latter is the largest steel producer in the World with 116 million tonnes. Other major producers of this commodity are Jiangsu Shagang, Ansteel, and  Baosteel groups. India ranks fourth in the production of steel and is undergoing a rise in production along with new entrants like Brazil and South Korea.     

Moving Industry Outlook USA

The moving or translocation industry is dynamic as a large number of residents, workers, soldiers, and businesses move from one State to another or locally.   

Like all industries the moving industry experience change. It is highly dependent on the state of the economy, industrial outlook, trends, and paradigm shifts that govern life in the US. These are not the only factors that make people relocate locally or to other states of the country. 

Some other factors that make people shift from one place to another or from one destination to another are: 

• Seeking cheaper accommodation
• 
  
• Move into own Household
• Job transfers
• Marital status change
• Leaving education institutions
• Retirement
• Health reasons
• Natural upheavals 
• Social Insecurity
• Discrimination
• Rentals
• Proximity to workplace
• Proximity to school/college or university
• Expanding accommodations

According to trends, more than eighty percent move within the state. About twelve percent move outside the state while the rest migrate to another country. In US annual translocation is approximately forty-three million people. This constitutes seventeen percent of the population of the USA. Hence the number of people on the move every year is on the rise due to the factors stated above,.     

As per the American Moving and Storage Association, the movement in various sectors took place as follows: 

24% Military
Corporate 39 %
Individual or Residents 35 % |
Leaving the rest to Federal Government employees.    

The constant demand in the industry has seen the establishment of new moving companies big or small. With the rise in relocation the logistic, storage, and transportation companies have also experienced growth.