Showing posts with label little. Show all posts
Showing posts with label little. Show all posts

Saturday, October 12

Fast food gets a little slower

Fast food gets a little slower
| By Katie Little, CNBC

More complex menus are blamed as the average speed at seven chains increased to over three minutes -- eight seconds longer than a year ago.

Fast food just got a little less speedy due to more complex menus, according to a drive-thru performance study released Monday.

The average speed at the seven chains reviewed -- national leaders Burger King (BKW), Chick-fil-A, McDonald's (MCD), Yum Brands' Taco Bell (YUM), Wendy's (WEN), and smaller regional chains Krystal and Taco John's -- rose to just more than three minutes, which amounts to eight seconds longer than a year ago, according to QSR magazine and Insula Research.

In this year's ranking, Wendy's held on to its claim as the speediest chain, while Krystal customers twiddled their thumbs in the drive-thru line for an industry-worst average of 217.89 seconds each. Chick-Fil-A was second worst, with average wait times of 203.88 seconds. McDonald's posted its slowest showing in the history of the 15-year-old study, while rival chain Burger King was the only company to speed things up.

"Driving this increase in speed of service time is these more complex menu items," said Sam Oches, the editor of QSR, which covers quick-service and fast-casual restaurants. "Consumers are demanding more fresh, upscale menu items from fast-food restaurants and as these chains are answering that demand, the new menu items take a little more time to assemble."

Added complexity from items such as McDonald's Premium McWrap or Taco Bell's Cantina Bell menu means new operational procedures and additional ingredients, which translate to a more complicated assembly line.

Compounding this problem is a busier drive-thru line. The average number of vehicles in line rose 9 percent this year to 2.82 cars. Chick-fil-A had the longest average line at about six cars while the Taco John's line was about a fifth of that.

The annual survey armed researchers with stopwatches and clipboards and sent them through drive-thrus at the nation's top quick-service restaurants. The researchers then visited hundreds of restaurant units to gather data on more than 1,800 service times during the lunch and dinner rush hours while ordering a main item, side and beverage.

This was before the rise of the fast-casual restaurant, where growth has outpaced the overall restaurant industry's.

Still, accuracy has shot up from its early 2000s and late 1990s performance. Back then, only about 60 percent of some chains' orders were filled accurately. This year's average was about 87 percent, with Chick-fil-A leading the pack and Krystal being the least accurate.

So what do these longer wait times really mean for company bottom lines?

"It's hard to say," Oches said. "One theory is the slower the drive-thru, the fewer the cars that can get through and the less business you do, but I don't buy into that theory."

Still, it could be detrimental if regular customers get fed up with the slower wait times, he added.

"The experience is what's important and going into that is accuracy and customer service, because if the drive is slower by 20 to 30 seconds, customers will forgive you as long as they get a good experience," he said.

Monday, June 24

Next bust sneaks a little closer

| By Jim Jubak

While the financial system appears inoculated against a global crisis, emerging markets are increasingly vulnerable. And there's at least one scenario in which a local crunch could trigger a global crisis.

How near is the next bust? I raised this question a month ago, and concluded . . . not very.

I haven't completely changed my mind, but . . .

• I'm still convinced that a bust of the magnitude of the global financial crisis that followed the Lehman Brothers bankruptcy is very unlikely.

• I hear the growls from the bears that say we're looking at a replay of the Asian currency crisis of 1997. I think a replay is very unlikely. Something like a smaller version of that crisis does seem to me to be more possible than it was a month ago, though. Emerging stock markets will bear the brunt of that smaller version -- and I don't think the decline in those markets is over yet.

• The biggest danger of a global crisis remains the eurozone banking system, and that danger is largely overlooked by the current market.

The Asian currency crisis of 1997 is a good place to start any examination of the risks in this market.

I don't see a replay of the crisis that took Thailand's stock market down 75% in 1997, that resulted in a 13.5% drop in Indonesia's GDP, or that required a $40 billion effort from the International Monetary Fund to stabilize the currencies of South Korea, Thailand and Indonesia. But I do see a way that a re-emergence of some of the conditions of that crisis could cost a different cast of characters; Brazil, India and Turkey are more likely participants in this version than South Korea or Indonesia are. And the cost could be a retreat of an additional 15% or 20% in stock prices.

In other words, a deep, painful but selective bear market in emerging stock markets rather than a global financial crisis.

Unless the world's central banks make huge errors, a crisis of that dimension wouldn't take down the global economy or global financial markets. And while I wouldn't rule out such errors, they are unlikely. The scenario we're looking at is one the central banks have been through before and that they have traditional tools to handle. But a crisis of that dimension, especially one with its echoes of 1997, is enough to produce confidence-shaking volatility that will test central banks, traders and investors.

Jim Jubak

The preconditions for the Asian currency crisis were the devaluation of the Chinese renminbi and the Japanese yen, along with an increase in U.S. interest rates. Those forces put pressure on the currencies and financial markets of countries, such as Thailand, that were running current-account deficits and were dependent on cash inflows from overseas investors to balance accounts. When money stopped flowing in and instead started flowing out and into the United States in order to take advantage of higher interest rates, the financial positions and currencies of these countries started to come unraveled.

At that point, some Asian countries had adopted fixed exchange rates in an effort to keep their export economies running at top speed by making sure that an appreciating currency didn't make the cost of Thai or Indonesian or Korean or Philippine goods more expensive for customers in the United States, Japan and China. The exchange rate with China was extremely sensitive, because many Southeast Asian companies exported semi-finished goods to China for further manufacturing and export to the United States and Europe.

But as cash flowed out of those economies and currencies, it quickly became not a question of preventing these currencies from appreciating but of preventing their collapse.

Traders can count; looking at the reserves of foreign exchange and the current-account deficits in those countries, they bet that central banks and governments wouldn't be able to defend the value of their currencies.

And indeed they couldn't. The Philippine peso, for example, went from 26 to the U.S. dollar in 1997 to 38 to the dollar in mid-1999. The Korean won and the Hong Kong dollar came under attack. The volatility was scary enough by itself: Hong Kong's Hang Seng stock market index fell 23% from Oct. 20 to Oct. 24, 1997. Finally, the Thai baht collapsed, taking the Thai stock market with it. Thai stocks fell 75% in 1997. With financial markets essentially shut and currencies collapsing, economies ground to a halt for a lack of financing. The Indonesian economy contracted by 13.5% in 1998.

The International Monetary Fund and global central banks finally stepped in to guarantee liquidity in those markets, but not before the crisis had spread to China. The Chinese government and the People's Bank of China had to take extraordinary steps to guarantee the solvency of the country's banks as a tide of bad loans swept through the economy.

With that history, you can see why raising the specter of the Asian currency crisis might be so scary right now.

There are echoes of the crisis in the drop in the yen that stretched from early November 2012 to mid-May. From Nov. 12 to May 16, the yen dropped 28.6%. Further, U.S. interest rates have started to rise: in the past month, the yield on 10-year U.S. Treasurys has climbed to 2.14% from 1.88%, an increase of 13.8%. Countries with chronic current-account deficits, such as Indonesia and India, have moved to slow outflows and defend their currencies by moves such as raising interest rates.

Certainly, spots of danger seem reminiscent of 1997. Indonesia and Turkey, two of the hottest emerging markets of 2012, are heavily dependent on foreign cash flows, and they've both seen big outflows of foreign cash in recent weeks. (Violence in the streets of Istanbul hasn't helped Turkish markets.) Brazil looks like it's in trouble, with cash flows out of the country picking up at the same time as the economy is slowing. That, of course, makes it hard for the Banco Central do Brasil to raise interest rates, although with inflation at 6.5% in May, near the top of the bank's range of 4.5% plus or minus two percentage points, the bank is likely to have to raise interest rates sooner rather than later no matter how slow the economy.

And, of course, Japan, with an estimated debt-to-gross domestic product ratio of 224% in 2012, is clearly nowhere near a sustainable level of debt.

But the differences with 1997 are significant. To me, they add up to volatility, further slowing in the global economy (and causing a significant drop in growth in some developing economies), a further drop in the price of emerging market stocks and big cash flows out of emerging market debt. But as painful as these market retreats as likely to be, they don't equal the kind of threat to global financial markets and economies we saw in the Asian currency crisis. (Not everyone agrees with me. You can get a good statement of the bear case in this interview with Albert Edwards of Societe Generale.)

What's different? Developing economies are, by and large, in better shape to weather a currency/overseas cash flow crisis than they were in 1997.

Asian currencies that were pegged to the dollar or to some basket of currencies in 1997 now float with relative freedom. That has made adjustment to changing market and economic conditions a gradual process rather than leaving any change to one big crisis. Foreign-exchange reserves are higher than they were in 1997. For example, as of May, Indonesia had foreign exchange reserves equal to 5.8 months of payments on its export bill, versus 3.9 months in 1997. The biggest swing is in South Korea, which had $329 billion in reserves as of April 2013, versus just $8.9 billion in December 1997.

Saturday, January 19

Landing a dream job, take a little risk

Landing a dream job, take a little risk

Anne Hathaway says playing Fantine in the current release of “Les Miserables” was her dream job despite having to lose weight and chop off her hair to portray the tragic heroine.

But you don’t have to star in a box office smash to have your best-ever job, even in the theater business.

Ask Rickae Boyd. The 48-year-old landed the job of her dreams last summer when she became executive director of a community theater in Searcy, Ark., population 20,000. Boyd’s love affair with theater started in third grade. But after graduating from college with degrees in drama and English, she got sidetracked managing apartment complexes, content to make theater a hobby instead of a career. It was that management experience that finally got her hired to run Searcy’s Performing Arts Center on the Square after years of volunteering there and serving on the group’s board.

Now on a typical day, Boyd may wash tablecloths in the morning, run a children’s drama workshop in the afternoon, and in the evening, direct “One Flew over the Cuckoo’s Nest,” “A Christmas Carol,” or another of the handful of plays the theater stages a year. “It’s amazing to be here,” she says. “We’re nonprofit, so it pays buttons. But it’s worth it because it’s something I enjoy.”

Work that plays to your natural strengths and feeds your soul is just part of what constitutes a modern-day dream job, according to workplace experts and career coaches.

Other factors include feeling like you’re giving back or making a difference in the world, working for an employer that values what you do, and having the flexibility to balance work with the needs of family or outside interests, according to the experts.

What would it take to make your job a dream job?

“You have to know your needs,” says Kathy Caprino, a Wilton, Conn., career coach. “You have to know your financial needs, your style of working, your preferences and standard of integrity, the things that are non-negotiable.”

An unexpected perfect fit
While people like Boyd work for decades before finding their life’s calling, others stumble onto it. Jake Timmons is one. Like lots of little kids, Timmons, 22, grew up playing with wooden trains sets. But he never anticipated a railroad career.

He changed his mind after interning with BNSF Railway Co. while studying mechanical engineering at the University of Colorado at Boulder. Timmons worked for BNSF during summer 2011, helping redesign an airbrake maintenance facility in Lincoln, Neb. That fall, BNSF offered to hire him into a management trainee program after his May 2012 graduation. It didn’t sound as glamorous as offers he and his engineering buddies got from aerospace and satellite companies. But Timmons had fun during his internship, and the management training job paid $65,000 a year, plus benefits. So he accepted.

The job was a perfect fit. Timmons uses his technical background to supervise railroad workers at the same Lincoln facility where he interned. He doesn’t mind the nine-and-a-half-hour days or alternating between day, swing and night shifts. “I’m running around the shop all day long helping people get their jobs done,” he says. “It turned into my dream job after I realized that I really enjoy doing what I’m doing, talking to people and seeing a problem” and fixing it.

It didn’t hurt that even before he started, BNSF boosted Timmons’ salary -- twice -- to keep the pay competitive with comparable jobs. He says it’s one of the perks of working for a company owned by Warren Buffett’s investment company, Berkshire Hathaway, Inc. “All the employees I talk to say the railroad treats their employees really well,” he says.

Risking it all for a dream
Feeling valued and being well compensated are important components of a dream job, career experts say. Even if you like your job, it might not be enough to make up for a bad office vibe, mean boss or pay that’s not equal to what you’re worth. “Often times, people leave the company rather than the job,” says Robert Levering, co-founder of Great Places to Work Institute, a nonprofit that researches superior workplaces. “They’ll leave a company because there is some problem there. They get another job that’s the same job but in a different environment.”

Natalee Binkholder knows what it means to like what you do but not where you’re doing it. In 2007, Binkholder graduated from law school in Missouri and moved to Reno, Nevada, for a job with a nonpartisan state agency that helps lawmakers draft bills. She loved writing new laws, but not the 90-hour work weeks, the people or being so far away from her Midwest-based family.

After three years, Binkholder was ready to bolt. She scoped out opportunities in a few cities before deciding Washington, D.C., was the place to be. She quit her job, found a short-term rental near Capitol Hill, threw her belongings in the car and drove across the country. Arriving in July 2011, Binkholder “made applying for a job my job,” she says. Two months into her search, she answered a blind ad that ultimately led to a position doing the bill-writing work she loves as legislative counsel with Rep. Mick Mulvaney, R-S.C. Since then, she’s been promoted to legislative director and counsel. “I’m amazed at how well policy work fits me,” she says. “I never imagined I’d be doing this, but now I can’t imagine doing anything else.”

To find your dream job, you have to be able to take a risk, Binkholder says. “I’m a good example of it working out. If I hadn’t taken the risk of moving across the country and spending my savings, it never would have happened.”

Taking the bad with the good
Even dream jobs have their trying moments. Nicki Boyd picks up poop -- not that she minds. Boyd, 42, is the San Diego Zoo’s behavior husbandry manager. In her position, examining animals’ fecal matter to see whether or not they’re healthy comes with the territory.

Most of Boyd’s interactions with zoo animals aren’t so unpleasant. She walks the cheetah, trains polar bears and grizzly bears, and works with birds and reptiles, too. Since being promoted three years ago, she spends more time managing zoo employees than interacting with the animals. Still, she loves what she does. “I like doing both,” says Boyd, who earned three degrees, interned and volunteered to get to where she is today. “Animals don’t talk back to you, but they also can’t tell you what they’re thinking or feeling. You have to have that intuition to work with animals. But really to be successful, you have to be able to work with both.”

Flexibility and work/life balance
Balancing work, family and whatever else life tosses your way is a bigger part of people’s dream jobs than it used to be.

Ilana Bergen doesn’t train wild animals, direct plays or work on Capitol Hill. But she’s in her dream job just the same. The 30-something Seattle woman works as a contract content strategist, creating online campaigns -- she calls them “branded entertainment experiences” -- for companies such as Johnson & Johnson and Microsoft. For Bergen, who previously ran her own online marketing agency, it’s a job that feeds her creativity and business side. “I get to work for big businesses but still have that entrepreneurial feel,” she says.

Wednesday, December 19

Inflate stocks little changed as budget speak

NBC News and reports of wire

The S & P 500 wrapped up its fifth positive month in the last six months on Friday, although it ended the day flat, how politicians remain divided about how the so-called fiscal cliff to avoid.

Trade was choppy in the last two weeks, as investors a series of tax increases and spending cuts, to respond to statements from politicians about the State of the discussions on that to avert the economy into recession could pull out.

The S & P 500 was 0.29 percent in November, even as it deeply up suffered a slide of more than 6 percent from the month to his.

"In the face of the" off again "is fiscal Cliff (negotiations), it's rather surprising this market has been as robust," said David Rolfe, chief investment officer of St. Louis based Wedgewood partners.

"By the end of the year, it will be a vacuum information outside the fiscal cliff, and I think that the resistance to be tested."

In contrast to the apparent tranquility in shares, the market jumped the CBOE volatility index, a gauge fear, 5.4 percent, the biggest daily gain in two weeks.

The VIX rose booked for the week, but a whopping 14.7 percent decline in November.

On Friday accused President Barack Obama is a "Handful" of the Republicans in the U.S. House of representatives of legislation holding, to extend tax cuts for the middle class Americans, to try to preserve them for the wealthy.

Shortly after the President, House Speaker John Boehner, an Ohio Republican speech, said: "there is a standoff; Let us not make."

Despite the disagreement language, many market participants are betting that an agreement is - are found in the eleventh hour.

Companies continue to react, what to expect, will be a tougher tax regime next year. Whole foods market should at the latest before expected higher tax rates in the year 2013 in this case - a special cash dividend to announce$ 2.00 per share.

The Dow Jones industrial average rose 3.76 points, or 0.03 percent, to 13,025.58 at the end. The S & P 500 won a mere 0.23 of a point, or 0.02 percent, to stop 1,416.18. But the Nasdaq composite index dipped to finish 1.79 points or 0.06 percent to 3,010.24.

For the month of November, S & P rose 500 0.29 percent, its smallest monthly variation since March 2011. The Dow Jones fell 0.5 percent and the NASDAQ gained 1.1 percent.

For the week all three major U.S. stock indexes with the Dow 0.1 percent progressed, the S & P 500 up 0.5 percent and the NASDAQ up 1.5 percent.

VeriSign dropped 13.2 percent to $34,15 that said company shares, the U.S. Department of Commerce approved its agreement with ICANN run the .com Internet registry, but VeriSign unable, the prices to increase, as before.

Yum Brands slipped 9.9 percent to $67.08 a day after the parent of chains Pizza Hut, KFC and Taco Bell said it expects a decline in sales at established restaurants in China in the fourth quarter.

After a close relationship for several years Facebook and Zynga terms of a partnership agreement revised according to regulatory filings on Thursday. Under the new Pact Zynga, creator of the game "Farmville", ability to your website on Facebook advertising limited.

Zynga shares fell $2.46-6.1 percent. Facebook shares gained 2.5 per cent to $28.

Latest Apple Inc. iPhone received final clearance from Chinese regulators, paving the way for a December debut in a highly competitive market, where the absence of a new model had greatly eroded its share of product sales. Apple shares fell 0.7 percent to $585.28.

The markets reaction to data on Friday was muted.

US consumer spending fell in October for the first time in five months and income growth ground to a halt, leading some economists to cut already low estimates of economic growth in the fourth quarter.

So far about 6.48 billion shares and the largest changed owners on the New York Stock Exchange, the NASDAQ and NYSE MKT something more than 7 billion shares, more than the daily average this year in two weeks.

On the NYSE stood at around six questions for all five rose, while on the NASDAQ, the ratio fell, nearly 1 to 1.

Friday, May 4

Reports show little evidence of housing rebound

By John W. Schoen, Senior Producer
Hopes may be fading for a long-awaited spring rebound in the U.S. housing market.

Two widely watched benchmarks Tuesday signaled that the pace of sales softened and prices fell last month. And a prominent housing economist warned that the market may not stage a major turnaround “in our lifetimes.”

Falling home price were recorded in 20 cities tracked by the Standard & Poor's/Case-Shiller home price index. Prices in the 20 cities fell 3.5 percent year over year, moderating from the previous month's decline of 3.8 percent.

The composite index of 20 cities gained 0.2 percent in February on a seasonally adjusted basis, matching economists' forecasts. But overall, the trend of falling prices has yet to reverse course, according to Maureen Maitland, a Standard & Poor's vice president.

“Some of the annual rates of change are improving,” she told CNBC. “But they're still largely negative. There are very few markets that are seeing positive annual rates of change, and very few rose on a month-over-month basis. So I wouldn't say there were very many bright spots.”

Seven of the cities tracked by the index saw prices drop on a seasonally adjusted basis, while prices in two cities were unchanged. On an unadjusted basis, 16 of the areas slumped further.

Home prices continue to slip as demand remains weak. In a separate report, sales of new single-family home sales dropped in March to their lowest level in four months, but the reading still beat analysts' expectations as the government said sales in prior months were higher than initially thought.

The Commerce Department said sales slipped 7.1 percent in March to a seasonally adjusted annual rate of 328,000 units.

February's sales pace was revised higher to 353,000 units, the fastest pace since November 2009, from the previously reported 313,000 units. Sales for December and January were also revised higher.

Economists polled by Reuters had forecast sales at a 320,000-unit rate in March. The median price for a new home fell 1 percent to $234,500. However, compared to March 2011, the median price was up 6.3 percent.

The National Association of Realtors said Thursday that home resales fell in March, but prices inched higher from a year earlier.

Maitland said the latest data confirm that the housing market has yet to shake off lingering effects of the worst collapse since the 1930s.

“The housing market is still really very low,” she said. “Housing starts, home sales, our numbers are at cycle lows. They're really not showing any turn around at all.”

CNBC's David Faber discusse the Standard & Poor's/Case-Shiller home price data for February, with Maureen Maitland, S&P Indices vice president.

Yale economics professor Robert Shiller told Reuters Insider that a weak labor market, high gasoline prices and a general sense of unease among consumers was outweighing low mortgage rates and would likely keep a lid on prices for the foreseeable future.

"I worry that we might not see a really major turnaround in our lifetimes," said Shiller, who co-created the Case-Shiller index.

He said suburban areas in particular might endure further price declines as high gas prices increase demand for "walkable cities."

Tuesday, January 10

The services sector accelerated growth a little

NEW YORK-the pace of growth in the dominant U.S. accelerated a bit in December, an industry report showed Thursday, suggesting continuous improvement in the economy.


For supply management said, to Institute that its services sector index 52.6% last month from 52,0 in November rose. The reading shy of forecasts of economists for 53,0, sank after Reuters poll, but was above the 50 mark, which indicates expansion.


The report strengthens the case for the "modest upturn in the US economy", said Omer Esiner, lead analyst at Commonwealth Forex in Washington.


Setting in the service sector accounts for more than two-thirds of the US economy, improved in December, called the Esiner "encouraging."


But when 49,4, he noted that the employment component still below the 50 line between expansion and contraction.


A separate report Thursday showed that businesses in December, the highest monthly gain in a year of 325,000 new staff recruited. A comprehensive report of the Government by Friday to show that a more modest 150,000 public and private sector jobs last month have been added.


"Certainly we get some encouraging news on the labour market, but we have very aware that there is a very volatile time of annual-reflects the holiday season and the days after the new year", said Bernard Baumohl, global Chief Economist at the Economic Outlook Group in Princeton, New Jersey, United States.


The U.S. service sector has obviously a little better than will keep the euro zone. An upswing in the German activity helped composite PMI withdraw the Markit euro area, although the survey showed last month weaker economies such as Spain and Italy further behind Germany and France to 48.3 of 47,0.


Markets expect that the euro zone into recession will fall this year, when countries reduce battle to the high budget deficits.


Economists expect that in the fourth quarter US growth, the 1.8 percent have overtaken rate between July and September, but most expect the economy to expand a gradual pace of about 2 percent in the year 2012.


Copyright 2012 Thomson Reuters.

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