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Sunday 28 December 2014

Hendren Global Group Top Facts: What caused DPRK internet outage

After the much-publicized cyberattack against Sony that had the rest of the world blaming North Korea, and the US vowing for retaliation, another news has rocked the IT world: North Korea's sudden absence from the Internet.

IT experts noted last Monday that the already small Internet connection of North Korea was lost and even the state news service, Korean Central News Agency, was not able to publish any content on that day due to the 9-hour outage.

The Internet blackout came as North Korea's role in a hacking attack against Sony Pictures is being widely discussed. The said attack has affected the company adversely that it decided to cancel the release of the controversial film regarding an assassination of DPRK's ruler Kim Jong Un.

According to Hendren Global Group Top Facts, the cause of outage is still unknown though many are speculating that it might be the retaliation of US government, or perhaps a mere technical glitch. Here are some of the speculations that made the rounds online on what's causing the clog in Pyongyang's Internet pipe:

US government retaliation. The somewhat incidental timing of last week's outage has consequently led many to assume that the US had a hand in causing it. However, a key admin officer from the White House insisted that they are still discussing the most appropriate way to respond to Pyongyang so it is unlikely that they played a role in it.

It may be recalled that US President Barack Obama has previously promised to respond to the cyberattack made against Sony "in a place and time and manner that we choose". But before we think that was a declaration of cyberwar, another expert from Hendren Global Group Top Facts noted that US officials favor a non-cyber response, seeing as cyberattacks are often "not worth the risk".
After all, they can always place North Korea on more economic sanctions.

China flipped the switch. The only known Internet connection of North Korea runs via China United Network Communications (Unicom) and though the US has reportedly asked China to shut down routers and servers utilized by Pyongyang, it remains to be confirmed if they actually complied.

Hackers. A certain hacker group named Lizard Squad claimed on their Twitter account that they caused North Korea to go #offline. Considering that North Korea has only a small bandwidth, it is certainly plausible for even a few attackers to shut it down by clogging it with bad traffic (dDOS).

Self-imposed shutdown. Another possible explanation came from Cloudflare's chief executive Matthew Prince: "I would have though North Korea decided to turn the Internet off for some reason."

It makes sense, for if that's true, it won't be the first time that a government has shut down access to the Web to maintain tight control over the information flow.

Hardware issue or software bug. A researcher from Dyn Inc has put forth a benign cause: a bug in the country's router or software. Doug Madory commented though that North Korea's network is much too small so perhaps such an accidental blackout for 9 hours is still just a small probability.

Monday 17 November 2014

Hendren Global Group Top Facts: US-China Trade Deals in APEC Summit

Asia-Pacific Economic Cooperation (APEC) summit in China last week was eagerly watched by the world, and not just by those with business interests.

Apparently, a summit as formal as APEC can now be a source of amusement for the rest of us who can hardly understand economic jargon.

Hosted by Beijing, the 3-day event was attended by the leaders of top countries such as Japan, US, Russia, Singapore, South Korea and Australia. Out of this year's summit came a number of jokes poking fun at world leaders no less. There's the Shawlgate (Vladimir Putin's chivalrous act of draping a shawl over the shoulder of Xi Jinping's wife), the gum-chewing of Barack Obama and of course those 'Star Trek' uniforms (we've heard they're actually traditional Chinese tunics but the rest of the world decided they are all cosplaying Trekkies ).

On a more serious note, China backed  a free-trade deal for the Asia-Pacific region -- something that is anticipated to  put her at the forefront of regional commerce.

The regional deal named the Free Trade Area of the Asia Pacific (FTAAP) was originally from an APEC business panel, but despite prior comments from various leaders that this proposal could be a distraction, China still put it as a main agenda of the meeting -- marking the  first time it has led such an initiative.

The delegates in turn issued an official statement agreeing to launch a committee that will conduct a  2-year study of the proposal.

China's Xi Jinping said, "This is a historic step in the direction of an Asia-Pacific free trade area." He added that APEC nations must actively promote this pact and "turn the vision into reality as soon as possible".

Hendren Global Group Top Facts sees this as counter move to the Trans-Pacific Partnership (TPP), US' own trade agreement with 12 nations, excluding China. The US is advocating the TPP as means to reroute commerce towards their way, while trying to put pressure to Beijing to conform to their trade practices. Obama himself believes that there's a momentum building in favor of TPP's completion.

It seems like an instrument to put China aside and weaken its economic condition, noted Hendren Global Group Top Facts. China's move to promote its own trade deal can perhaps lead to a new and stronger status in the region. It  may say its motives does not include hurting the US but as the biggest trading partner a country can have in the region, it will inevitably chip away US influence.

Trade officials from the US are downplaying its supposed adverse effect to their country, saying that the two deals are not really competitors.

Obama does not seem to be worried as he  iterates that the US "welcomes the rise of a prosperous, peaceful and stable China".

"We want China to do well," he added.

Sunday 2 November 2014

Hendren Global Group Top Facts on Asia’s Contribution to the Global Economy: Is playing Catch-Up Good?

According to the news from The Economist, entitled “Economic Convergence: Economic Headwinds Return”, “Ten years ago, developing economies were catching up with developed ones remarkably quickly. It was an aberration.”

Reviewing the decade-and-a-half journey of China from a lagging economy to one that has surpassed many nations in Europe in terms of average income generation, the article describes the dire realities that beset the once sleeping-giant-turned-global-power. Using Hong Kong as the standard by which to measure economic growth, average incomes dip to 50% in Shenzhen, to 25% in Guandong and to a mere 10% in Yunnan. That is an overall average of less than 30% that of Hong Kong, which is essentially a small dot of an island compared to the gigantic mainland China teeming with so many millions of people.

The average annual rate of growth from 2000 to 2009 for developing nations was 7.6%, 4.5% higher than that seen in developed rich nations. That unprecedented rate practically narrowed down the gap between the developed and developing countries.

The once deprived populations of the world, a big majority of whom are found in Asia and living on less than the global poverty level of $1.25 daily income, surged on from a share of 30% of the world population in 2000 to less than 10% as of April 2014, according to the Center for Global Development based on new date from the World Bank. At that pace, it is estimated that in only 30 years, the average income per person would converge with that in America. This is certainly cause for great hope for many people on a global scale.

Sad to say, those hopes are now slipping away. An evaluation of data on GDP per person based on new computations of cost of living released in April by the World Bank’s International Comparison Programme (ICP) seems to show that convergence has slowed down drastically.

Since 2008, growth rates across the emerging nations have slowed down and matched those in developed economies. When the new ICP figures are applied, the average GDP per capita in the emerging world, measured on a purchasing-power-parity (PPP) basis, grew just 2.6 percentage points faster than American GDP in 2013. If China is removed from the estimates, the difference is only 1.1%. At that rate, convergence with rich-economy incomes will occur in a hundred years or more, longer than a generation. If China is included, emerging economies could expect to reach rich-world income levels, on average, in a little over half-a-century.

Japan, which achieved industrialization in the first part of the 20th century, grew to be the world’s second largest economy, next to USA. South Korea, Taiwan and several city-states like Singapore and Hong Kong also grew and developed into prosperous nations. The rush to achieve levels of growth close to those of developing nations became an addiction to these nations and others who needed to catch up as well. The price paid in terms of investments on human capital led to social and political problems as some nations had to export their workers to the industrialized or more prosperous nations. Ironically, the income generated by those workers help to sustain those nations during the crises that transpired.

In trying to explain the growth disparity, economists pointed to institutions being the key while others focused on “geography and climate”. Moreover, they said that “remoteness from economic centers and hot, disease-prone conditions could retard development,” which is the case in many of the Southeast Asian countries where the issues of rebellion and ethnic differences provide obstacles to development of the depressed country-sides.

Friday 22 August 2014

Hendren Global Group Top Facts: Tips for Developing Countries with Economic Woes

As a result of the recent devastation caused by Typhoon Glenda in Southern Luzon, Philippines, consumers now face a shortage of the supply for basic goods such as chicken, vegetables, fruits. Still reeling from Super-Typhoon Yolanda in 2013, the strongest typhoon that has hit in a century or so, the country enjoys one of the highest rates of growth although it continues to experience insufficient rice harvest and plans to import rice from neighboring countries like Thailand and Vietnam.

For a country that yearly experiences havoc caused by tropical cyclones and other natural calamities, economic development must constantly take into account the effects of natural forces on the livelihood of people. Farmers may lose all the months of hard work through planting and caring for crops in a single day of strong cyclonic winds or flooding caused by incessant monsoon rains which can last for more than a week.

In spite of this reality, the government has not completely adapted to the cyclical changes in climatic patterns but instead continues to depend upon old economic policies and strategies that fail to address the fundamental problems.

Yet there are a few steps any government can implement to minimize the effects of natural calamities and to prepare the people and make them more capable of recovering in a shorter period. Let us look at these tips or principles:

1. Doing away with unsustainable farming techniques

Dependence on too much use of NPK (nitrogen-phosphate-potassium) fertilizer has led to leeching of the soil in many countries which followed the western agricultural paradigm after the last world war. More modern and scientific farming approaches which replenish all of the essential minerals in an organic manner will provide a more sustainable and healthier source of nutrition for humans.

It has been found that NPK fertilizer requires a higher investment than the more organic approach now more popularly referred to as nutritional or trophobiotic farming. The latter allows farmers and small gardeners to recover more readily from stresses experienced by plants during typhoons, floods and pest infestations.

2. Reviving the Green Revolution

Encouraging more people to go into container or backyard gardening and home livestock- raising will sustain a significant portion of their vegetable and meat supply domestically with even more healthful options compared to commercial alternatives. This will also do away with the high prices of such basic goods due to middle-men and transportation cost-add-ons.
Home-based gardens and small farms are also less prone to be affected by natural calamities as they can be housed in green houses or be planted in plastic bags and recylcled containers which can be raised during floods or moved to safer areas during storms.

3. Empowering the landless and the far-flung villages

People who have no land can still have the opportunity to establish cooperatives with others and lease or buy small farms which can compete with big farm corporations with their organically-grown produce. They can also establish links with like-minded business-people who need their products to address the problem of transporting goods.

With more and more families involved in such activities, the big farms will no longer monopolize the supply of basic goods. These people will also be able to patronize their own produce or barter their surplus produce with other goods they need with other producers and manufacturers.

4. Urban farmers can multiply through the use of idle lands and buildings

Detroit City, the world’s car-manufacturing center for many years, has recently become the ironic poster boy of bankruptcy as the economic meltdown of the US in recent years. Yet, its empty car factories are now slowly being converted into modern organic multi-levelled farms that will help transform the landscape and paradigm of economic activity worldwide. This is a parallel strategy which the Japanese undertook when a law was passed for all high-rise buildings in Tokyo to put up gardens on rooftops to minimize local as well as global warming.

5. Other modern planting techniques

Hydroponics, aquaponics and other indoor gardening and farming techniques can now be easily done by any individual or family at minimal costs. Governments must encourage more people to go into this not just to avoid the recurring shortage during calamities but also to augment the needs of restaurants, hotels and other businesses that have special or particular needs.

Political will and economic sufficiency is not merely an exclusive domain of leaders or governments but a duty of each citizen of any country. To a reasonable degree, each person can have a stake in that common objective of achieving and maintaining progress for all nations.

Wednesday 7 May 2014

Apprenticeships Help Close the Skills Gap. So Why Are They in Decline?

·         It is the perfect and simple plan: provide qualified employees to employers. Indeed, apprenticeships allow workers to acquire the very skills they need. But why are apprenticeships on the wane?

Here is the story:

When you ask CEOs and corporate manpower staff whether they get the right kind of workers they need, they will complain about a gap in employee abilities that put productivity and growth at risk — not only inside their organizations but also in the greater economy.

·         However, employers and state lawmakers have been distinctly half-hearted about a tested solution to the pressing issue: apprenticeships.

Apprenticeships can provide a perfect marriage of the skills employers look for and the training workers derive, states Robert Lerman, an American University economics professor.
"It is a great model for passing on skills from one generation to the next," declares John Ladd, director of the Department of Labor's Office of Apprenticeship.

Nonetheless, as the Labor Department announces, formal programs that unite on-the-job training with mentorships and classroom education went down 40% in the U.S. from 2003 to 2013.
Which leads us to ask the question: If the solution to this crucial problem lies in apprenticeships, how come so much resistance exists?

Blue-Collar Image

It seems the biggest constraint is that two-thirds of apprenticeship programs in the U.S. apply in the construction industry, projecting a blue-collar image that dampens enthusiasm among young people and the companies which could provide jobs for them. Construction unions, which have wide influence among many of the state agencies concerning apprenticeships, have not done enough to reach out to other industries, Mr. Lerman says.
Likewise, entrepreneurs and managers oftentimes avoid apprenticeships because of their connection with unions. "There's an underlying fear among employers" that unions want to interfere by organizing workers, or that any apprenticeship plan might be controlled by a union, says J. Ronald De Juliis, labor and industry head at Maryland's Department of Labor.



However, De Juliis and others admit, things can be entirely different. At present, apprenticeships involve many more industries than the few trades that welcomed the earn-and-learn paradigm starting in 1937 when the National Apprenticeship Act was implemented. Nursing aides, wastewater technicians and computer-system managers are a few of the jobs for which apprentices can find training in.

At the beginning of this month, President Obama allocated $100 million for apprenticeship programs in high-growth industries, and acknowledged new programs in information technology, health care and supply-chain management.
Still, another constraint is a commonly held idea that young people should remain in school and then find a job. Supporters of apprenticeship programs believe this view is ill-advised.
College degrees and internships do not generate the same quality of worker as thorough, hands-on apprenticeships, states director Brad Neese of Apprenticeship Carolina, a program of the South Carolina Technical College System. Companies are seeing "a genuine lack of applicability when it concerns skill level" from college graduates, Mr. Neese says. "Interns do grunt work, generally." However, he says, "an apprenticeship is a real job."
Moreover, some companies are anxious that employees will leave for better-paying jobs right after they have acquired their necessary skills. For them, an apprenticeship is like training workers for other companies to ultimately benefit from.
In many cases, however, employers discover that apprenticeships actually encourage retention, as workers who go through apprenticeship programs realize the investment their employers put into their professional growth and repay the good turn with a greater sense of loyalty.
"The apprenticeship paradigm allows us to convince people there is a career path within this company," says Robby Hill, owner of HillSouth, a Florence, S.C., technology consulting company making good use of South Carolina's on-the-job training program.
New employees envision doors opening for them in the future, along with a distinctly programmed ladder of skills training and salary improvements, says Mr. Hill, whose 22-person company provides apprenticeships for IT and administrative-support workers. The company also requests employees to enter into a non-compete agreement as they get certified for new skills.
Innovative Thinking
Advocates of apprenticeships claim that joining on-the-job training with related education and benchmarks can be undertaken in any job. They cite programs in states such as South Carolina and Wisconsin as getting positive output.
There are now apprenticeships for computer professionals and registered nursing aides in South Carolina, where the number of businesses providing apprenticeships has increased to 647 from only 90 in 2007. About 4,700 workers who underwent South Carolina's apprentice program are now employed full-time.

To get employers engaged in apprenticeships, the state provides a $1,000 yearly tax credit for every apprentice included in the payroll. "That opens the door somehow," states Mr. Neese. "For a small business, the credit can erase the education expenses for an apprentice program.”
"We have endeavored to make the tax credit as user-friendly as we can," he adds. "We have a very short one-page form that simply asks, 'How many apprentices are in your firm?' and then you multiple the number by $1,000."
Wisconsin, which has presently almost 8,000 apprentices, is working to augment training positions for such tasks as truck driving as well as high-tech manufacturing.
"We are anticipating employee deficits in health care and advanced manufacturing," claims director Karen Morgan of Wisconsin's Bureau of Apprenticeship Standards. The Governor's Council on Workforce Investment is considering some steps to solve the problem, she says. The state is launching some programs to apply robotics and high-level welding to its normal apprenticeship training.
"We are making our programs more adaptable," Ms. Morgan says, to highlight to manufacturers the importance that apprenticeships can provide for a sector experiencing fast modernization.

Wednesday 8 January 2014

China’s largest internet-search services provider, Baidu enters smartphone security software market

Baidu is the China’s largest internet-search services provider. The good news is that it has launched its own security software for Android-based smartphones, making a rival againts Qihoo 360 Technology squarely in its crosshairs.

The start of Baidu Mobile Guardian in Beijing last December 18, 2013 resulted to the company’s acquisition of TrustGo for a reported US$30 million in February this year. TrustGo is a California-based mobile-security company.

Baidu’s competition with Qihoo has intensified; this competition started in 2005 as a supplier of anti-virus software online and expanded to become a strong No2 internet search provider in China last year. Analysys International said Baidu had a combined 72.1 per cent share of the country’s desktop and mobile search market at the end of September, followed by Qihoo with a 14.2 per cent share.

Mobile Guardian was designed to fight “a deteriorating security environment for Android smartphone users in China”, where 70 per cent of about 100,000 virus-carrying mobile apps were found to be charging users a fee without their knowledge, Zhang Lei, the general manager at Baidu’s mobile-security product team said.

“This year, 14 million users were affected and the direct losses amounted to 70 million yuan [HK$89 million],” he said.

Mobile Guardian scans for malicious fee-charging apps and deletes them, it includes as well an “anti-scam function” to identify mobile base stations and block messages sent by fake telecommunications service providers and banks.

However Baidu’s software faces rigid competition. According to a Barclays report, Qihoo’s mobile-security software had 338 million smartphone users at the end of June, up from 120 million a year earlier.