Duane Helleloid, Ph.D.
Duane Helleloid is an Associate Professor and Chair, Department of Management, at the University of North Dakota. He previously held faculty appointments at The Stockholm School of Economics, The University of Maryland, The Norwegian School of Management, Rigas Ekonomikas Augstskola, The University of Connecticut, and Towson University. He also taught courses for the University of Shanghai for Science and Technology and the Norwegian School of Economics and Business Administration. His research interests are in the area of strategic decision making under conditions of high uncertainty. He holds a PhD from the University of Washington.
Back in the 1930s, Mexico nationalized its oil industry, designating government-owned Pemex as the only company allowed to drill for oil. But recognizing that other companies had made important technological advances and looking for foreign investment, in recent years Mexico has allowed foreign companies to bid on exploration leases. Now that Texas-based Talos Energy LLC has discovered oil in a field that extends beyond its lease, the government needs to develop the necessary rules for revenue- and profit-sharing.
Adidas is opening two new highly automated manufacturing facilities that can produce customized shoes quickly and closer to markets. A new factory in Germany can produce about half a million pairs of shoes annually while employing 160 people. A similar factory will open soon near Atlanta. The goal with these factories is to be able to respond quickly to new trends and help maintain stocks of highly-sought, full-price items.
Canada's Bombardier received a couple pieces of bad news this week. In the rail business, Germany's Siemens decided to pursue a merger with France's Alstom, which at least for now leaves Bombardier as a much smaller player in the worldwide rail market. Its aircraft unit also learned that the U.S. Department of Commerce issued a preliminary ruling in favor of Boeing that Bombardier received significant subsidies from the Canadian government and, as a result, imported Bombardier aircraft will be subject to duties.
Worldwide cocoa prices have fallen about 40 percent over the past three years, as good harvests have led to a growth in supply without much to change demand. As part of a measure to help support cocoa farmers, the Ghana Cocoa Board guarantees that farmers receive a set price per pound. But with falling worldwide cocoa prices and with costs incurred by the Ghana Cocoa Board, the board loses money on every transaction. Complicating matters is the fact that growers from neighboring Ivory Coast smuggle their beans into Ghana in order to obtain the higher prices, which further strains the government of Ghana's ability to maintain its high prices.
Globalism is alive and well in Germany, where 46 percent of GDP comes from exports. While large, well-known manufacturing firms are responsible for some of these exports, so are the much smaller, privately owned German manufacturing firms that export goods worldwide. Delo Industrie Klebstoffe GmbH, for example, makes the glue used in 80 percent of smart cards worldwide.