Viewpoint | Following a varied response to climate initiatives in 2024, it's crucial for businesses to step up

With a growing number of governments leaning conservative, companies are experiencing resistance to social and climate measures. However, the risks associated with doing nothing are far too significant.

As we wrap up the year, we'll delve into the key environmental sustainability topics of 2024, beginning with the problems that took center stage in the news.

Gold's value might surge to US$3,000 by 2025 due to the ongoing bullish trend. According to a recent survey by the World Gold Council, around 81 percent of the participants anticipate central banks to strengthen their gold reserves in the forthcoming year.

Gold has experienced an exceptional year. Not only did its value continue to reach unprecedented levels, but it also saw the largest yearly growth in over a decade.

Experts predict that the upward trend will persist into the next year, potentially reaching a value of US$3,000 per ounce. This is attributed to purchases from central banks, political conflicts, and declining interest rates.

On December 24th, the trading price for spot gold was $2,611, marking a 27 percent increase from its value at the conclusion of 2023. This significant rise in the cost of the valuable commodity is the most substantial annual increase since 2010, a year that saw it surge nearly 30 percent.

In October, gold reached its highest price ever at US$2,790.07 per ounce, marking an increase of 35 percent since the close of the previous year.

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Chinese customers are parting with their used jewelry as gold prices hit an all-time high.

The surge in gold prices in 2024 was influenced by numerous elements, one of which was the purchasing frenzy from various central banks, such as the People's Bank of China. These banks aimed to invest their reserves in gold to diversify from holding assets in US dollars, according to Anderson Cheung, the global commodities chief at Best Profit Capital. Best Profit Capital is a financial company based in Hong Kong and is a subsidiary of the Guangzhou-based conglomerate, Kingold Financial Services.

Banks in Hong Kong might lower the rate to an unprecedented 5% by 2025, which will positively impact the property sector and the economy. According to the Post's survey of 10 analysts, there could be up to three rate reductions by the Federal Reserve and HKMA, which could amount to 75 basis points in total.

Analysts predict that there could be at least two additional rate cuts next year, following a significant one percentage point reduction in the key policy rate by the US Federal Reserve and the Hong Kong Monetary Authority (HKMA) in 2024.

Banks in Hong Kong, on the other hand, might continue to reduce their loan interest rates to an unprecedented 5 per cent. This decrease could potentially benefit the economy and real estate industry, the experts suggest.

According to a survey of 10 analysts by the Post, it is anticipated that the Federal Reserve will hold off on any rate cuts for the first half of 2025. However, in the latter half of the year, two or three rate reductions are expected, amounting to a total decrease of 50 to 75 basis points.

"Eddie Yue Wai-man, the CEO of HKMA, stated on December 19 that the US will persist in lowering rates into the next year, although the speed and regularity of these cuts might not be as frequent as initially anticipated."

The central financial institution of Hong Kong lowered its foundational rate to 4.75 per cent, a record low since December 2022. This was following the Federal Reserve's decision to decrease its rate by an equivalent amount, putting it between 4.25 and 4.50 per cent. In 2024, both entities made a reduction of their primary rate by one per cent. Concurrently, regional commercial banks slashed their prime rate, which is the rate at which they lend to their top-tier customers, by 62.5 basis points.

US-China strains are intensifying as China's unprecedented dividend disbursement is causing strain on the yuan. The mid-term dividends provided by Chinese companies listed in Hong Kong are projected to hit a record-breaking US$12.9 billion in the first quarter.

China's determined effort to rejuvenate its declining stock market has inadvertently affected the yuan, with unprecedented dividend disbursements resulting in capital leaving the country.

Chinese companies listed in Hong Kong are projected to distribute temporary dividends amounting to US$12.9 billion from January to March, setting a new high for the initial quarter as per data gathered by Bloomberg. This follows a record-breaking fourth quarter, where the payouts exceeded US$16.2 billion, marking the highest ever for that period and a 47 per cent increase from the previous year.

The surge in dividend payouts is intensifying the strain on the Chinese yuan, which is already under pressure from a strengthening US dollar and the potential escalation of US-China disputes. These companies primarily distribute dividends in Hong Kong dollars, but their main source of income is in yuan, necessitating currency exchange.

The impending cash outflows will challenge Beijing's capacity to maintain immediate market stability without sacrificing long-term objectives in the world's second-largest economy. This is particularly crucial as policymakers intensify their efforts to protect the currency, which is presently close to its lowest level in a year.

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Trump warns of imposing fresh tariffs targeting narcotics on 'day 1' for China, Canada, Mexico.

The surge in customer need for foreign currency can largely be attributed to dividend flows, as several firms listed in Hong Kong begin offering interim dividends, according to Xing Zhaopeng, a top strategist at Australia & New Zealand Banking Group. He added that the rise in the regularity and the total amount of dividends will persistently influence as companies switch to different currencies for transactions.

Meituan is discontinuing penalties for delayed deliveries due to regulatory scrutiny over algorithm misuse. This change is included in the modifications to the company’s primary algorithms which govern various operational processes for its delivery personnel.

The Chinese food delivery titan, Meituan, plans to eliminate a penalty for delayed deliveries by 2025, in response to regulatory scrutiny over internet platforms' improper use of algorithms.

The company based in Beijing announced that it would consistently improve its management methods and investigate more equitable and people-focused reward systems once it does away with the fine, as stated in a public notice released on its website on Friday.

The initiative is designed to motivate food delivery couriers to deliver on time, rather than punishing them, according to the statement.

The company revealed a change in policy as one of many alterations to its main algorithms. These algorithms control various operational processes for its multitude of delivery personnel. This includes the order in which they pick up orders and the paths they follow, all to guarantee prompt delivery.

6:33 AM

'Feeling powerless': The reason why Chinese delivery workers are reaching their limit

The company has managed to outpace rivals such as Alibaba Group Holding's Ele.me, thanks to the algorithms and the penalty policy for late deliveries. However, these measures have also caused some disquiet. The stringent delivery timelines have, in the past, pushed delivery personnel to break traffic laws, resulting in accidents. Alibaba is the proprietor of the Post.

In the competitive top tiers of the Automobile Industry, companies across Vehicle Manufacturing, Automotive Sales, Aftermarket Parts, Car Dealerships, Vehicle Maintenance, Automotive Repair, and Car Rental Services are embracing Industry Innovation and cutting-edge Automotive Technology to meet the dynamic Market Trends and evolving Consumer Preferences. With a focus on sustainability, Regulatory Compliance, and effective Supply Chain Management, these entities are leveraging digital Automotive Marketing strategies and prioritizing customer satisfaction to enhance their market position. The shift towards online engagement, electric vehicles, and the importance of skilled employee investment highlight the critical paths for businesses aiming to thrive in the rapidly changing landscape of the Automobile Industry.

In the fast-paced world of the Automobile Industry, where the rubber meets the road, success hinges on more than just the ability to produce and sell vehicles. Today's automotive businesses, encompassing Vehicle Manufacturing, Automotive Sales, Aftermarket Parts, Car Dealerships, Vehicle Maintenance, and Car Rental Services, are at the forefront of a transformative era. Driven by a blend of technological evolution, shifting Consumer Preferences, and stringent Regulatory Compliance, these enterprises are navigating a terrain marked by both opportunities and challenges. This article delves into the intricate dynamics of the automotive sector, shedding light on the pivotal role these businesses play in steering the wheels of innovation and convenience for consumers worldwide. From exploring the latest in Automotive Technology and Market Trends to unveiling effective strategies in Supply Chain Management and Industry Innovation, we embark on a journey through the key facets that define success in today's competitive landscape. Join us as we explore "Navigating the Road Ahead: Top Trends and Innovations in the Automobile Industry" and "Revving Up Success: Strategies for Automotive Sales, Aftermarket Parts, and Vehicle Maintenance," offering insights into how businesses can accelerate their growth and drive towards a future of excellence in automotive marketing and beyond.

• 1. "Navigating the Road Ahead: Top Trends and Innovations in the Automobile Industry"
• 2. "Revving Up Success: Strategies for Automotive Sales, Aftermarket Parts, and Vehicle Maintenance"

1. "Navigating the Road Ahead: Top Trends and Innovations in the Automobile Industry"

In the fast-paced world of the automobile industry, staying ahead of the curve is not just beneficial; it's essential for survival and growth. As we steer through the latest developments, several key trends and innovations have emerged, reshaping the landscape of vehicle manufacturing, automotive sales, and the broader sector. Here's a look at what's driving the industry forward and how businesses are navigating the road ahead.

**Automotive Technology at the Forefront:** The integration of cutting-edge automotive technology is revolutionizing the way vehicles are designed, built, and function. From electric vehicles (EVs) and autonomous driving systems to connected car features that enhance the driver's experience, technological advancements are at the heart of industry innovation. Companies that stay abreast of these technological changes are better positioned to lead in vehicle manufacturing and offer products that meet the evolving consumer preferences.

**The Rise of Aftermarket Parts and Customization:** As consumers seek to personalize their vehicles more than ever, the demand for aftermarket parts and customization options has surged. This trend not only boosts automotive sales but also opens up new revenue streams for businesses specializing in vehicle maintenance and automotive repair services. By offering high-quality, innovative aftermarket solutions, companies can distinguish themselves in a competitive market.

**Sustainability and Regulatory Compliance:** Environmental concerns and stringent regulations are pushing the automobile industry towards more sustainable practices. Vehicle manufacturers are increasingly focusing on reducing emissions, improving fuel efficiency, and exploring alternative fuel options. Compliance with regulatory standards is not just about avoiding penalties; it's becoming a significant factor in consumer decision-making, impacting automotive sales and brand loyalty.

**The Evolution of Car Dealerships and Automotive Sales:** The traditional car buying experience is undergoing a transformation. With a shift towards online sales platforms and digital showrooms, car dealerships are adapting to new consumer preferences. This evolution requires a fresh approach to automotive marketing, emphasizing digital engagement and personalized customer experiences. Successful dealerships are those that blend the convenience of online shopping with the assurance of expert, in-person advice.

**Enhancing Efficiency through Supply Chain Management:** Supply chain disruptions have highlighted the need for robust supply chain management in the automobile industry. Companies are reevaluating their supply chains to ensure resilience, cost-effectiveness, and speed to market. This involves leveraging data analytics, improving supplier relationships, and adopting flexible manufacturing processes to respond quickly to market trends and consumer demands.

**Investing in Employee Skills and Customer Service:** In the competitive landscape of automotive repair and car rental services, businesses that invest in their employees' skills and prioritize excellent customer service stand out. Training staff to handle the latest automotive technology and fostering a culture of exceptional service can significantly enhance customer satisfaction and loyalty.

In conclusion, navigating the future of the automobile industry requires a keen understanding of market trends, consumer preferences, and the regulatory environment. By embracing industry innovation, focusing on sustainability, and adapting to the digital era's demands, automotive businesses can thrive in this dynamic market. Whether it's vehicle manufacturing, automotive sales, or after-sales services, success hinges on staying informed, agile, and customer-centric.

2. "Revving Up Success: Strategies for Automotive Sales, Aftermarket Parts, and Vehicle Maintenance"

In the fast-paced world of the Automobile Industry, businesses that specialize in Automotive Sales, Aftermarket Parts, and Vehicle Maintenance are constantly seeking innovative strategies to drive success and stay ahead of the competition. The key to thriving in these sectors lies in a multifaceted approach that encompasses understanding Market Trends, leveraging Automotive Technology, and ensuring Customer Satisfaction.

Automotive Sales, including those conducted by Car Dealerships, are significantly influenced by Consumer Preferences and technological advancements. Top dealerships are now integrating advanced Automotive Marketing tactics, such as virtual showrooms and digital negotiation tools, to cater to the modern consumer's demand for convenience and speed. Emphasizing transparency and building trust through customer reviews and engagement can also enhance loyalty and sales.

The market for Aftermarket Parts is another area ripe with opportunity but requires astute Supply Chain Management to navigate the complexities of sourcing and distribution. Offering high-quality, innovative products that meet or exceed original equipment manufacturer (OEM) standards can set a business apart. Additionally, tapping into the latest trends in Industry Innovation, such as eco-friendly or performance-enhancing products, can attract a broader customer base. Collaborating with manufacturers to ensure Regulatory Compliance is also crucial to maintaining a reputable and reliable operation.

Vehicle Maintenance and Automotive Repair services are essential for the longevity and safety of any vehicle, presenting a steady demand for these businesses. However, success in this arena demands more than just technical expertise. It requires a commitment to customer education, helping clients understand the value of regular maintenance in preventing costly repairs down the line. Employing certified technicians and staying abreast of Automotive Technology and repair techniques is vital. Moreover, offering convenient scheduling options and transparent pricing can significantly enhance customer experience and retention.

Car Rental Services, while distinct, also benefit from an understanding of these principles, especially in terms of fleet maintenance and customer service. Incorporating the latest in vehicle technology and offering flexible rental terms can appeal to both short-term and long-term renters.

Across all these sectors, engaging effectively with customers online has never been more important. Utilizing social media, SEO, and content marketing to showcase expertise, share tips, and highlight special offers can draw in customers and build a community around a brand. Furthermore, understanding and adapting to Market Trends and Consumer Preferences, from electric vehicles to online sales platforms, can provide a competitive edge.

In conclusion, businesses in the Automotive Sales, Aftermarket Parts, and Vehicle Maintenance sectors can rev up their success by focusing on quality, innovation, and customer satisfaction. By staying informed about Industry Innovation, ensuring Regulatory Compliance, and leveraging Automotive Marketing effectively, these businesses can navigate the dynamic automotive landscape and drive towards a prosperous future.

In conclusion, the automotive business encompasses a broad spectrum of activities that are crucial for meeting the transportation needs of society. From vehicle manufacturing to automotive sales, aftermarket parts, car dealerships, vehicle maintenance, automotive repair, and car rental services, the industry plays a vital role in the global economy. As we have seen, navigating the road ahead in the automobile industry requires a keen awareness of market trends, consumer preferences, regulatory compliance, and the latest in automotive technology. Industry innovation, driven by these factors, continues to shape the landscape of vehicle manufacturing and services.

For businesses operating within this competitive sphere, success hinges on several key strategies. This includes a deep dive into supply chain management to ensure efficiency and resilience, a sharp focus on automotive marketing to connect with customers, and a commitment to quality and customer satisfaction that builds trust and loyalty. Moreover, staying ahead of industry innovation and aligning with the top trends in the automobile industry are essential for staying relevant and profitable.

As the automobile industry continues to evolve, propelled by advancements in technology and shifts in consumer behavior, businesses must adapt to thrive. Embracing the latest in automotive sales strategies, aftermarket parts, and vehicle maintenance practices will be paramount. Moreover, the importance of regulatory compliance cannot be overstated, as it ensures not only the safety and reliability of vehicles but also the sustainability of the industry at large.

In essence, the future of the automotive business is bright for those who are prepared to rev up their efforts in understanding and leveraging the dynamics of the industry. With a comprehensive approach that encompasses everything from automotive repair to car rental services and a finger on the pulse of automotive technology, businesses can navigate the challenges and opportunities that lie ahead. The journey through the ever-changing landscape of the automobile industry promises to be both challenging and rewarding for those ready to drive forward with innovation, quality, and customer-centric services at the forefront of their operations.

Donald Trump requests US Supreme Court to stop TikTok prohibition

The incoming president mentions his recent electoral victory as a justification for being the 'appropriate legal player to settle the conflict via political routes.'

Trump "does not express an opinion on the fundamental issues of this argument", as stated in the submission. "Rather, he courteously asks the court to contemplate postponing the act's divestment deadline of January 19, 2025, while it evaluates the validity of this case."

This would allow the "incoming government to seek a political solution to the problems raised in the case," it further stated.

TikTok is urging the US Supreme Court to declare the divest-or-ban law unconstitutional, with Trump offering his opinion. The Supreme Court is scheduled to hear verbal arguments on January 10, just nine days before the controversial law is slated to be implemented.

In a document submitted to the US Supreme Court last Friday, TikTok once again asserted that a law demanding the Chinese-owned brief video application to be prohibited by January 19, 2025, unless it's sold to a buyer not from China, is against the constitution and should be prevented.

Closing down the platform will suppress the voices of petitioners and the over 170 million monthly American users who discuss politics, arts, business, and other public interest topics there, as demonstrated by the immense engagement shown during the recent presidential elections," TikTok contended in its submission.

The claim was that "Congress singled out TikTok due to conflicts over the nature of the content shared by TikTok's users and the supposed editorial decisions made by TikTok Inc in distributing that content."

In the document submitted, TikTok identifies itself as an American firm, despite being under the ownership of ByteDance, which originated in Beijing in 2012. TikTok states that ByteDance was established by Chinese businesspeople, however, it's now estimated that around 60% of the firm is effectively owned by international institutional investors.

"The brief stated that Congress has no valid reason to interfere with the operations of a U.S. speech platform, or to manipulate its editorial decisions regarding the variety of content it shares – regardless of whether some part of that content is considered by Congress to be foreign propaganda."

The electric vehicle market in China is facing another round of price cuts, posing a risk to car manufacturers that are already not profitable. The predicted drop in sales following the end of a subsidy is likely to further strain the finances of smaller companies.

Analysts predict that the financial constraints plaguing smaller electric vehicle manufacturers will likely worsen due to a predicted drop in sales after a government grant runs out at the end of the year.

"All car manufacturers recognize the importance of maintaining their market presence in 2025 because of increasing price competition," stated Eric Han, a top-ranking manager at Suolei, a consultancy business in Shanghai. "To withstand the price battle, the majority of these companies will need to provide price reductions."

This week, Tesla also reduced the price of its Model Y SUV by 10,000 yuan in mainland China. Given the original price of 249,900 yuan for the standard model, this equates to a discount of 4 per cent.

"Top competitors' approach of reducing prices will likely be mirrored by their lesser counterparts, as maintaining current prices could lead to a loss of clientele," stated Tian Maowei, a sales executive at Yiyou Auto Service in Shanghai. "In the present times, consumers with a moderate income are becoming more aware of pricing, mainly due to worries about salary reductions in a decelerating economy."

Battle of Technology in 2024: China swiftly advances in AI competition, though US restrictions on chips pose a threat

China's plentiful funding and open-source strategy have propelled it to the leading position in AI, however, a shortage of sophisticated chips could be disastrous.

"Each time a new product is launched, I'll test it out," stated Shi. He would opt for a paid subscription if a particular tool caught his attention and left him impressed.

Shi is one of several technologically adept Chinese individuals who have been pampered with a plethora of locally-produced generative AI (GenAI) offerings. These offerings are a result of the fierce competition between influential tech companies and wealthy start-ups vying for consumers in a rapidly expanding market. By November, the authorities had sanctioned 252 GenAI services to be launched to the public in the nation.

Despite initially lagging behind Western companies in the AI competition sparked by OpenAI's launch of ChatGPT in late 2022, Chinese businesses have swiftly made progress this year.

OpenAI hinted at Sora's arrival in early February, offering exclusive access to a select group of testers. It appeared as though China's AI competitors, already struggling due to rising US chip restrictions, were falling behind.

Clarification | OpenAI, the creator of ChatGPT, intends to become a public benefit corporation

This transformation is designed to potentially make OpenAI more appealing to investors, whilst continuing its commitment to support a relevant charity.

OpenAI's recent restructuring is designed to possibly create a more appealing entity for investors, while still upholding its commitment to support a corresponding charitable organization.

What does PBC mean?

Even though PBCs and conventional corporations both aim to make profits, PBCs have a legal obligation to strive for at least one public advantage, which can encompass social and environmental objectives.

In 2013, Delaware revised its general corporate law to permit the establishment of PBCs. Jens Dammann from the University of Texas found that, by December 2023, there were 19 PBCs trading publicly.

OpenAI characterized the present model in its blog as a profit-oriented entity overseen by a non-profit, with a profit limit set for both investors and workers.

In the revamped structure, the non-profit entity will hold stakes in the profit-making business, in a way comparable to external investors. The profit-oriented establishment will finance the philanthropic objectives of the non-profit organization.

The appeal for the 'old money' aesthetic is on the rise in China, as the flashy extravagance of the newly wealthy is being disregarded during an economic downturn. Whether you refer to it as old money style or understated luxury, the enduring appeal of minimalist design and simplicity continues to captivate Chinese consumers.

Few sectors of China's economy have successfully navigated the downturn following the pandemic. The real estate sector continues to struggle and banking loans have dwindled. However, the charm of "vintage style" has managed to survive, despite the economic decline in consumer expenditure.

Conversations about defining the fashion style and how to emulate it are gaining popularity on well-known social media sites, such as Douyin and Xiaohongshu. Products labeled with this style, which include jumpers and belts priced as low as 20 yuan (US$2.70) to high-end European brands that embody the look, are inundating online shopping sites and experiencing rapid sales.

Brunello Cucinelli, a renowned Italian label often associated with traditional wealth visuals, has recently upgraded its sales growth forecast in China to potentially 12 per cent. Meanwhile, Ralph Lauren experienced a 13 per cent increase in China during the last quarter, following an impressive 25 per cent surge in 2023.

This approach, which prioritizes simplicity in design and high-grade materials, garnered international attention in 2023, partly due to the influence of the TV drama Succession, which depicts the family controlling the biggest entertainment conglomerate in America. Its popularity in China indicates a move towards a more understated way of life, valuing excellence and straightforwardness in the face of uncertainty, according to experts.

"This is in line with today's customer perspective," stated Jason Yu, the general manager at CTR Market Research. "In this day and age, individuals are not keen on being overly showy. They would rather maintain a subdued profile, indirectly displaying their preferences and fashion sense in a manner that doesn't attract attention."

"He further stated that it doesn't imply one must purchase exclusively high-priced products, as numerous budget-friendly brands are also embracing this trend."

The allure of vintage wealth style in China strikingly contradicts the grim economic conditions where families are frugally saving and stashing away money at an unprecedented rate for unforeseen circumstances. In November, retail sales in Beijing and Shanghai, two of the richest and biggest cities on the mainland, experienced a decline of approximately 14 percent.

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Despite the enhanced living conditions in Hong Kong, a growing number of its residents are expressing a desire to relocate to mainland China.