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February 5, 2008

Written by Bob Meyer, Editor of BarterNews

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From the desk of Bob Meyer...02/05/2008

$41 Trillion To Be Spent On World’s Infrastructure

According to a report on CNBC’s financial TV channel, some $41 trillion will be spent on the world’s infrastructure (bridges, roads, tunnels, etc.) over the next 25 years. The commentary revealed that both Egypt and Russia have more infrastructure plans than India or China.

It was also noted that in Egypt labor costs are cheaper than China.

Kudos To Campbell’s Soups

Over the last decade Campbell’s Soup has worked to raise the awareness for the ongoing issue of hunger in America. They’ve made direct donations of more than 35 million cans of soup to food banks and various hunger charities.

What’s Ahead For U.S. Economy

By most accounts the American economy is about to enter the 12th recession since WWII. The last came in 2001 following the attacks on 9/11 and roughly eighteen months after the dot.com-fueled stock market reached its peak...before its rapid decline through the bubble bursting.

Consumers are feeling less and less bullish about the economy, as evidenced by their more judicious spending.

Globalization Moves Politics Into World Of Continents

From Washington to Warsaw, policy makers are now taking into account the views and actions of countries that, until recently, held little sway on the international scene. The rise of China, the renewed confidence of Russia and the growing economic muscle of countries including India and Brazil, are shifting the center of gravity within global politics.

In Europe, the growing influence of China and Russia has provided a new spur toward integration as European countries come to appreciate the importance of scale in a globalized world. Furthermore, Europe's attempt to weld 27 disparate nations into one bloc is being imitated around the globe, from Asia to Africa, as countries experiment with new ways to maximize influence.

Global Assets Indicate New World Order Coming

A study by the McKinsey Global Institute shows that while $56.1 trillion, or more than one-third, of the world’s financial assets were held in the U.S. in 2006, the total held by emerging markets reached $23.6 trillion. And their assets are growing twice as fast as those in developed countries.

For those living in the developed world, there are clear benefits to this new world order. Capital from the emerging markets will cushion the blow of the current financial crisis on businesses and consumers. And continued growth in emerging countries will soften the effects of a possible recession elsewhere. Over time, the global economy is not a zero-sum game. Americans, Europeans, and Japanese can all prosper even as their share of the world economy declines.

Malaysian Government Seeks Self-Sufficiency Through Barter

Deputy Prime Minister Daruk Najib Razak has announced the establishment of the Malaysian National Price Council to create a national stockpile of commodities as a safeguard against the impact of rising prices.

Half of the nation’s human carbohydrate consumption comes from imported wheat, while all of the feed for the chicken, egg, and pork industries comes from imported corn. With producing countries banning exports of wheat and corn, there is an urgent need for Malaysia to abandon the normal monetary channels.

Instead they must resort to government-to-government barter trading to secure our imports of corn and wheat, without which the population of 27 million will face starvation. Malaysia can barter its palm oil with countries like India and China, in return for wheat and corn.

Bartering will allow Malaysia to undertake an immediate science program, rapidly increasing agricultural production with 21st century technology.

New Global Listing Information

BizEX Trade Network
Craddock Place, 10 Arnold Road
Rosebank
Johannesburg, Gauteng 2121
South Africa
Ph: 271 1880 5202
Fax: 271 1880 4629
www.bizex.co.za

All back issues of "From the Desk...” can be accessed by clicking here.

(Please feel free to forward our newsletter to your friends and colleagues. We have a “box” at the end of the newsletter for your convenience. See you next week. . .)


Barter Industry Fortunate To Have IRTA’s Whitney Working On Their Behalf

IRTA Executive Director Ron Whitney continued his efforts to alleviate the IRS non-matching TIN problems many trade exchange owners are currently suffering through. Meetings with IRPAC (Information Reporting Program Advisory Committee) resumed on January 26 in Washington (DC) where he continued to push for implementation of the recommendations that were presented at the October 24, 2007, meeting.

Recommendations from last year’s meeting report stated that:

·         New language be considered for the B-Notices that are specific to the barter industry, and or;

·         Publication 1281 be amended to reflect the issues unique to the barter industry.

Additionally, Whitney met with Nina Olson, National Taxpayer Advocate, alerting her to a systemic problem the barter industry is currently experiencing. Many exchanges have reported that they have been hit with civil penalties for non-matching TINs without ever receiving a 972CG Notice of Proposed Penalty Letter.

Rather, these exchanges have received a CP-2100 notice that simply notifies exchanges of the accounts that have non-matching TIN problems, but does not assert a penalty will be forthcoming. Exchanges should receive a 972CG Notice of Proposed Penalty letter after they receive the CP-2100 letter, but in many cases this is not happening, and the cases are going directly to penalty and collection.

Whitney received assurances from Olson that this problem would be “looked into” by the National Taxpayers Advocates office with the hope that it will be corrected soon.

For an update on third-party record-keeping for barter exchanges, click here.


Bartercard Launches New Mobile Text Service

Beginning in January 2008, Bartercard members can now take advantage of instant transactions and access to their Bartercard Account via SMSPOS text message. Not only can members check their balances instantly, but they will also benefit from instant confirmation of transactions.

As soon as they sign up for the exclusive SMSPOS service, members can take advantage of this new benefit, spending less time on paperwork and more time running and growing their businesses.

SMSPOS offers Bartercard members:

  • The ability to process transactions immediately with funds being transferred into their account at point of sale.

  • A time saving alternative, eliminating the need to wait for vouchers to be posted and then processed.

  • A balance request to your mobile, via text message.

  • Freedom to transact/trade whilst out and about...perfect for industry members on the go.

“Almost all of our members use mobile phones and are familiar with texting. Our members deserve and need instant access to their Bartercard accounts, and this groundbreaking service does just that,” stated Tim Sparks, Joint Managing Director, Bartercard United Kingdom

For more information visit www.bartercard.co.uk.


People Disillusioned With State-Of-The-World

Doing well by doing good is no longer just a smart strategy—it's becoming an imperative for corporate survival, according to futurist Faith Popcorn and her branding consultancy, BrainReserve.

But hyping good works isn’t going to cut it. In fact, Popcorn maintains that obvious hype of any kind is anathema—that success will increasingly hinge on companies finding subtle, quiet ways to achieve trust and intimacy with consumers.

Popcorn’s premise is: The public’s deep disillusionment with the state of the world, “the establishment,” and consumption is causing working women and men to “cash out”—opting for simpler, less cluttered lifestyles and fleeing from ubiquitous marketing messages.

At the same time, heightened awareness of social responsibility and corporate behavior means that people are recognizing that every purchase has consequences beyond the transaction.

The transition from a consumer to a citizen mentality in turn means that “bringing on a dash of corporate social responsibility” is no longer good enough, in Popcorn’s view. To compete, companies will have to go beyond symbolic gestures and even beyond commitment of money to causes, and weave “goodness” into their cultures as a fundamental intent.

Furthermore, they’ll need to “whisper,” rather than shout, their brands’ value to customers and prospects. How? By helping to improve the community and simplify life through their services.

Popcorn also stresses that while disdain for hype, and a yearning for simplicity and core values are pervasive, women are even more fed up than men, according to BrainReserve’s studies.

All of which, says the consultancy, underscores the “eight truths of marketing to women” as laid out in Popcorn's 2000 book, EVEolution.

Here are some of those points, with added comments from Popcorn:

·         Everything matters. You can’t hide behind your logo.

“Trust happens when you’re open about your actions and act with a conscience,” asserts Popcorn. “Companies today need to add a fifth ‘P’ to the marketing mix—policy. Marketing to women isn’t just about value. It’s about values. There is enormous power in communicating your ethical ingredients.”

·         Market to her peripheral vision, and she will see you in a whole new light.

“Women don’t bond with brands that market to them in an overly aggressive way,” she reemphasizes. “Women tune into multiple channels...scanning, hearing and seeing the world on all levels. A brand needs to appear on the periphery, in the natural settings of her daily life—showing up unexpectedly, helpfully.”

·         If she has to ask, it’s too late.

"In this world of prolific consumerism, if a product is disappointing, another, more satisfying option is immediately available,” observes the trend analyst. “If women have to go out of their way to track you down, and your attitude is take-it-or-leave-it, they’ll leave it.”

·         Go to her, and secure her loyalty forever.

“The watchword is convenience,” Popcorn stresses. “Look not only at what your brand offers to her, but in terms of how, where and when it’s offered to her. Provide a service in going to her, not just a solicitation.”


Hotel General Managers

Work With Audio/Visual Vendor On Barter

Collect cash, as usual, from the guest accounts staying at your facility that require the use of professional AV services. And rather than shouldering your ongoing employee costs, or your current vendor’s cash agreement for AV services, here’s a much better alternative:

Work with a proven national vendor (a sterling 25-year track record) who will provide all of the AV services for your hotel on a 100% TRADE BASIS! (Payment to be in the form of trade dollars.)

Your hotel’s annual AV billings must be a minimum of $200,000, and this offer is available only in the continental United States.

For a confidential introduction contact Bob Meyer via e-mail: bmeyer@barternews.com.

Attention Trade Exchange Owners:

If your member hotel(s) have a minimum of 10,000 sq. feet of meeting space and annual billings of at least $200,000 for AV services this is a great opportunity to earn substantial cash service fees on the hundreds of thousands of trade dollars your hotel member will be paying the vendor. Contact Bob Meyer at the above e-mail.


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The Growth and Use of Secondary Capital (New Money) Creates Unprecedented Wealth In Today’s New Age Of Possibility

There are many forms of secondary capital—which can be defined as any financial instrument that measures and communicates value in a common language. Would you like to see and learn more about the many forms of secondary capital?

 We have 70 free, informative and inspiring, articles for you in our “Secondary Capital Section.” Check it out... www.barternews.com/secondary_capital.htm.

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