November 4, 2011 nº 1,109 - Vol. 9


"Too often the shortcut, the line of least resistance, is responsible for evanescent and unsatisfactory success."

Louis Binstock

In today's Law Firm Marketing, over-deliver and become valuable.

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  • Top News

Greek PM wins over cabinet, faces new call to resign

The Greek PM's plan for a referendum on the bailout has plunged Greece into political turmoil. Papandreou rolled the dice, but he may prove to be the big loser. He decided to gamble on a referendum. He calculated that a majority of Greek people would not risk voting against the bailout package agreed last week. But events have overtaken him and by the weekend he could be an ex-prime minister. Events have moved fast. His decision to call a referendum - which had democratic merit - hammered markets around the globe. It sent the EU spinning into crisis. Other EU leaders were infuriated and rounded on Papandreou. Their exasperation was summed up in the message by Sarkozy: "abide by the eurozone rules or leave". There would be no reopening of negotiations. If there was to be a referendum it had to be held at the earliest date. They also insisted that whatever the question asked this was a referendum on whether Greece wanted to remain in the eurozone. Also they told the Greek prime minister that the country would not receive a cent more in aid until after a Yes vote in the referendum. Greece has cash reserves only until mid-December. The risk is that a rejection of a referendum would spark a disorderly default and call into doubt Greece's membership of the euro. In the short term, Papandreou faces a confidence motion Friday that could bring down his government, which already enjoys only the slimmest of majorities in Parliament. In the longer run, getting a "yes" vote would give the beleaguered prime minister the legitimacy to go ahead with painful reforms. While the Greeks loathe the austerity measures they've been asked to swallow, a majority of them want to stay in the European Union and stick with the euro. Putting the deal to a vote — especially one that looks, at first blush, like a big loser for other EU governments — could just be Papandreou's idea of a bargaining strategy. "The dilemma isn't 'this or another government,'" Papandreou said. "The dilemma is 'yes or no to the loan accord', 'yes or no to Europe', 'yes or no to the euro.'"

Eurozone leaders admit exit from euro is possible

It is difficult to see why investors are apparently more optimistic about the eurozone's future, given that European leaders have acknowledged that membership of the euro may not be forever - which significantly increases the risks for investors of lending to any highly indebted government at a time of economic weakness. The point about joining the euro is that it is supposed to be forever. And as the new president of the European Central Bank Mario Draghi pointed out today, there is no legal mechanism for withdrawal from the euro. What's more, the Luxembourg premier Jean-Claude Juncker, who also chairs meetings of eurozone finance ministers went further, saying that the authorities were "absolutely prepared" for the possibility of Greece adopting a new currency in place of the euro. He added: "It's not only about Greece, it's also about possible contagion dangers for others and we'll do everything…to build firewalls".

UNESCO grants full membership to Palestine?

Acceptance into the UN cultural agency Unesco, best known for its designation of "world heritage" sites, hasn't brought the Palestinians any closer to full membership in the United Nations itself. If anything, the victory has come at a price. A day after Palestine gained full membership in the UN group with 107 votes in favor and 14 against, the U.S. has retaliated by cutting off funding ($60m) that supplies almost a quarter of the agency's budget. Moreover, swing votes the Palestinians need to bolster their support on the Security Council for full UN membership have evaporated. Under federal law, the U.S. is prohibited from giving funds to the UN or any UN agency that grants the Palestine Liberation Organization the same standing as member states. Israeli Prime Minister Benjamin Netanyahu, who yesterday criticized the Palestinians for taking "unilateral steps at the UN" instead of negotiating, will consult senior ministers today on possible responses. Israel pays an annual $2 million to the organization, according to its Foreign Ministry. As things stand, the Palestinians can only count on eight council members -- Russia, China, Gabon, Nigeria, South Africa, Brazil, Lebanon and India – that is one vote short of the nine needed in the Security Council to approve the application for full UN membership. Reaching that number would represent a moral victory and force the U.S. to use its veto to block Palestinian membership.

Israel to speed up settler homes after Unesco vote

Israel says it will speed up Jewish settlement construction in the West Bank and East Jerusalem - and temporarily freeze the transfer of funds to the Palestinian Authority. Palestinian Authority President Mahmoud Abbas says the move will speed up the destruction of the peace process. The Israeli government has described the Unesco vote as a "tragedy". It said they were "a response to unilateral measures aimed at confronting Israel at the UN and elsewhere on the international scene". The announcement will be seen as a punishment for the Palestinians and a warning to countries that backed their Unesco bid that Israel will react strongly if a similar application for Palestinian membership of the UN itself should prove successful. Peace talks between the Palestinians and Israel broke down more than a year ago. The Palestinians are demanding an end to settlement building. Almost 500,000 Jews live in settlements on occupied territory. The settlements are illegal under international law, although Israel disputes this.

Tax measures provide opportunities for multinational companies

An article by Joaquim Manhães Moreira, Ricardo Ciconelo, Daniel Takaki and Lucas Kurtz claims that the recent developments in Brazil's mining and oil industry, the preparations for international sporting events and the increased consumer demand have prompted the Brazilian government to enact new tax measures. To read it, click here.

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  • Crumbs

1 - Petition drive challenges medical marijuana ban in rural California county - click here.

2 - Judge William Adams won't be charged over videotaped beating of daughter, police say - click here.

3 - Lindsay Lohan given 30 days in jail for probation violation - click here.

4 - Justin Bieber accused of fathering fan's baby - click here.

5 - Fla. man pleads not guilty to celeb hacking - click here.

6 - Brazil police crash into plane to thwart smugglers' escape - click here.

7 - Assange must go to Sweden - but high court opens extradition loophole - click here.

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  • MiMIC Journal

China urges tough atomic watchdog

China has urged the UN's nuclear watchdog to help developing nations to build safer power stations. Analysts believe China wants to ramp up its exports of nuclear technology. China is the world's biggest builder of power stations, and officials have hinted that they would like to expand their building plans overseas.

China refuses to commit to EFSF

China has said it cannot commit to investing in the EFSF - European Financial Stability Fund until the situation with Greece has been clarified. European leaders hoped that China would buy EFSF bonds, injecting capital in the region's financial markets.

FDA officials in China to plug new food safety law

The new U.S. food safety law will require foreign growers and manufacturers to prove their products are safe before they're shipped to the United States. Food and Drug Administration officials went to China to explain what that country's problem-plagued food system will have to do to measure up.

  • Law Firm Marketing

Over deliver and become valuable

by Chris Crossland

So here we are in an environment of economic uncertainty and the question is who is going to survive. It is my opinion, that it is those individuals and businesses that become valuable to their customers that will continue to flourish and develop.

One of the best ways to do this is to have an understanding of how you or your business is perceived by your customers or clients, and to nurture that perception.

It is not enough just to do the task at hand, and then invoice the customer. Doing enough is not enough anymore, because others do more and are constantly raising customer expectations. Just giving "good value" is not going to be enough anymore.

Now the old fashioned mindset of doing more for less is something, which causes great distress. The problem here is that significant number of low quality business owners still operate on the basis of short changing customers and delight in ripping them off, rather than providing customers with outstanding customer service.

Thankfully as this recession bites even harder these organizations will crumble and disappear. The main reason is that there are many, many new companies who go the extra mile at every level of the organization and make customers feel really special.

The moment your customer needs you and wants to work with you to develop new opportunities is the moment you have actually succeeded and have become valuable.

It is not enough just to fulfill an order at the right time at the right price. It is not enough to do just enough. This is the time we have to go the extra mile to provide that extra service -- do something extra within the cost model that ensures your customers really recognize you as a valued supplier.

This can easily be achieved by building flexibility into the cost structure. I recommend that within the pricing structure a small percentage is included that enables your business to go the extra mile without having to be constantly concerned about the cost implications.

I recommend that this small percentage is then used on a regular basis in such away that the customer feels that they are special, and that you really value their business.

Having in the past used this technique with clients' pricing strategy, it was possible on a regular basis to provide senior sales staff with the ability to allocate cash to a particular client's specific interests. This was highly regulated but worked exceptionally well. During a business relationship, clients would identify charitable interests that were important to them, and it was then possible to show support throughout the year. The beauty of this pricing strategy was that these amounts were built in from the outset. The joy was that the pricing strategy included this so in effect the clients were getting back something that was built into the price structure anyway.

The effect was to reinforce the relationship and change the perception of the supplier -- they had become valued partners.

This is just one example of how you can consider ways of becoming more than just a supplier, and shows how the correct pricing structure can help deliver to the customer more than just the service or product they are paying for.

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© Trey Ryder

FREE LAWYER MARKETING ALERT: If you'd like to receive Trey Ryder's weekly Lawyer Marketing Alert, send an e-mail to Trey@TreyRyder.com. Write "Subscribe LMA" in the subject line and write your name and e-mail address in the body of the message.

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  • Historia Verdadera

Negocios

El empresario mexicano Carlos Slim, considerado uno de los hombres más ricos del mundo, dejará el consejo de CaixaBank para incorporarse "próximamente" a Criteria CaixaHolding, informó hoy la entidad bancaria española. (Presione aquí)

Indemnización

La PEMA - Procuraduría Estatal del Medio Ambiente exigió que se dicten medidas de urgente y extrema aplicación a Petróleos Mexicanos para remediar los daños al río Cazones y, por instrucciones del gobernador Javier Duarte de Ochoa, demandó una indemnización por las afectaciones recurrentes de la paraestatal en el estado. (Presione aquí)

Acuerdo

Una filial de Xstrata Copper suscribió el jueves un acuerdo con los dueños del megaproyecto hidroeléctrico HidroAysén para compartir espacios en tendidos eléctricos que desarrollarán en el sur de Chile. Las firmas, que tienen emplazados sus proyectos en la región de Aysén, habían estado en conversaciones para realizar un trazado común, lo que permitiría reducir algunos costos en las líneas de transmisión.

  • Brief News

Federal judge allows Sprint antitrust suit against AT&T, T-Mobile merger

A judge for the US District Court for the District of Columbia on Wednesday denied a motion to dismiss a suit by Sprint to block the merger of AT&T and T-Mobile USA. AT&T and T-Mobile argued that Sprint failed to properly allege that the merger would cause it "antitrust injury," thus it lacked standing to challenge the merger under 15 USC § 16. However, Judge Ellen Huvelle held that Sprint had stated a plausible claim that the merger would cause it injury in the market for acquiring mobile devices.

Solyndra subpoena for White House

US lawmakers vote to subpoena the White House over an investigation into failed solar-panel maker Solyndra. The energy department approved a $528m loan in 2010 to Solyndra, which later closed, laying off 1,100 workers. Republicans say the White House has repeatedly denied or delayed requests for thousands of documents relating to the loan.

Attack on French satirical paper

A petrol bomb guts the offices of French satirical magazine Charlie Hebdo, after it named the Prophet Muhammad as "editor-in-chief" for its next issue.

Occupy Wall Street arrestees reject deals, say they will fight charges

Most of the protesters arrested last month during a march on Union Square rejected deals to dismiss the charges against them, choosing instead to take their cases to trial.

Russia and China come bottom of bribe-paying survey

Companies from Russia and China are most likely to pay bribes when doing business abroad, a survey suggests. The two scored worst out of 28 countries in a poll of 3,000 business executives conducted by anti-corruption group Transparency International (TI). The Netherlands and Switzerland came top, while the UK ranked eighth, just ahead of the US and France. Bribery was reportedly most common to win public sector works and construction contracts.

Argentina tightens dollar exchange controls

Argentine government has imposed new restrictions on the purchase of US dollars, in an attempt to reduce capital flight and tax evasion. People wanting to exchange Argentine pesos for dollars must now explain where they got the money, and show they have paid their taxes. Billions of dollars worth of capital have been flowing out of the country as wealthy Argentines seek to protect their money from inflation and a possible devaluation of the peso. The government says the annual rate is around 10% but some independent experts put it as high as 25%.

Crack cocaine case review may free inmates

Many inmates could be released or see their sentences sharply reduced as judges review crack cases starting Tuesday. Congress voted last year to ease sentencing guidelines for crack cocaine. But a decision last summer to revisit old cases sparked new controversy.

BP agrees to pay Texas $50m for pollution

With the agreement, BP clears another hurdle in the way of its plan to sell the 406,540 barrel-per-day refinery, which accounts for 2.2 percent of U.S. capacity.

UN agencies sign agreement to combat human trafficking

The UN agencies dealing with fighting crime and aiding refugees signed a joint agreement on Tuesday to work more closely to combat migrant smuggling and human trafficking. The memorandum, signed by Yury Fedotov, the executive director of the UN Office on Drugs and Crime (UNODC) and Antonio Guterres, the UNHCR - UN High Commissioner for Refugees pledged to coordinate the two agencies' resources to better target criminals involved in human trafficking. Speaking at the memorandum signing in New York, Fedotov praised the agreement.

Kirin buys Brazil's Schincariol in record deal

Kirin Holdings Co. agreed to buy out shareholders in Brazilian beer maker Schincariol Participacoes e Representacoes, completing its biggest acquisition as it seeks growth in emerging markets. Japan's largest brewer will pay 2.35 billion reais ($1.35 billion) for the 49.54 percent stake, giving it control of all outstanding shares, the company said.

Expert calls for increased efforts to combat Somalia piracy

Pirates off the Somalia coast have increased their area of operation and use of violence despite unprecedented efforts to reduce piracy, a UN official said Monday. Assistant Secretary-General for Political Affairs Taye-Brook Zerihoun told the UN Security Council that in order to successfully combat piracy, member states must increase security and legal action against pirates and provide further support to the Somalian economy. Zerihoun stated that although recent efforts in the international community have reduced the instances of piracy in the East African region, many nations have failed to prosecute accused pirates. He suggested that Somalia needed support for its own maritime law enforcement.

Can Groupon's I.P.O. be saved?

Two accounting professors argue that Groupon should postpone its initial public offering, scheduled for later this week, until it gets its financial reporting in better order. Is Groupon's "business model" really is anything more than a half-baked plan? While Andrew Mason, Groupon’s chief executive, makes a compelling argument for how the company delivers customer and merchant value, he is less convincing as to how Groupon will deliver value at an appropriate cost, and actually make money. Groupon's latest prospectus, filed on Tuesday, shows negative shareholder equity and negative working capital. The rush to the capital markets raises many questions. First and foremost, why are Groupon investors in such a hurry to cash out? What's the rush? Is there something lurking behind the scenes of which we are unaware? Why not wait until the markets stabilize and the company gets its financial reporting house in order? If all is well and the company has a viable long-term model, doesn't it make sense to wait until the market can better value the company?

Supreme Court hears arguments on ineffective assistance of counsel

The US Supreme Court heard oral arguments Monday in two cases regarding ineffective assistance of counsel. In both cases, the court is being asked to determine how poor legal advice from attorneys to clients regarding plea bargaining should impact subsequent guilty verdicts. In Lafler v. Cooper, respondent Anthony Cooper was convicted of assault with intent to murder for shooting a woman in her thigh and buttocks after his attorney advised him to not take a plea offer in the belief that there could be no finding of the requisite intent. The US Court of Appeals for the Sixth Circuit held that the attorney's advice was unconstitutional as it amounted to ineffective assistance of counsel. One of the points argued by the state was "that when asserting an ineffective assistance claim, a defendant must show deprivation of a substantive or procedural right, and this Court has already held that a defendant has no right to a plea bargain."

Most of the $19.9bn Madoff case vs JPMorgan gets tossed

The decision by Judge Colleen McMahon is one of the largest setbacks for the trustee, Irving Picard, who has spent nearly three years liquidating Bernard Madoff's assets.

ICTY sentences Seselj to 18 months for contempt of court

The International Criminal Tribunal for the former Yugoslavia on Monday convicted former Serb nationalist and war crimes suspect Vojislav Seselj of contempt and sentenced him to 18 months in prison for revealing the names of protected witnesses in a book he authored. The tribunal filed an indictment against Seselj in February 2010 for disclosing the names, occupations and places of residence of 11 protected witnesses in violation of the tribunal's order.

Visa, MasterCard seek fee suit dismissal over payment issue

Visa Inc. and MasterCard Inc., the world's biggest payment networks, will try to persuade a federal judge to dismiss multibillion-dollar lawsuits accusing them of price fixing because the merchants suing don't directly pay the fees at issue.

In Corzine comeback, big risks and steep fall

The collapse of MF Global, and the discovery that hundreds of millions of dollars were missing from the firm's customer accounts, have cast a dark cloud over Jon S. Corzine's legacy and reputation. When Corzine joined MF Global last year it seemed like a strange choice — the firm had none of the glamour, let alone the profits or footprint of Goldman Sachs, the bank he ran during the 1990s. On Wall Street, it was as if a manager of the New York Yankees was making a comeback in the minor leagues. Corzine not only presided over Goldman but later served in the United States Senate and then as governor of New Jersey.

Google acts on 'pedophile' claim

A business owner accused in a Google review of being a pedophile and a thief. Toni Bennett said he had planned legal action to force Google to delete the false posting after the firm said it did not qualify for removal. The message was placed on Google's Places review service 18 months ago. The move comes amid calls on the internet giant to address the rapidly growing problem of fake online reviews. Google said that it did not comment on individual cases. "We have rules against things like hate speech or impersonation, but we're not in a position to arbitrate disputes," a company statement said. "However, we've built a free system that allows business owners to claim their listing, which means that they can then respond to reviews and share their side of the story." Google later removed the posting.

US: Russia, China top cyber spies

China and Russia are the most active perpetrators of economic cyber-espionage against US companies, a US intelligence report says. The report specifically cited Chinese "actors" and Russian intelligence as the top culprits. Online spying is seen as "a quiet menace to the economy".

  • Daily Press Review

Women urged to put their stamp on Arab Spring
Asharq Al-Awsat, Pan-Arab daily, London, England

AL chief met Syria opposition group
Egyptian Gazette, English-language, Cairo, Egypt

Ultra-Orthodox spitting attacks on Old City clergymen becoming daily
Haaretz, Liberal daily, Tel Aviv, Israel

Crackdown in Syria persists after Arab League initiative
JPost, Conservative, Jerusalem, Israel

Greek PM faces new call to resign
BBC News, Centrist newscaster, London, England

Under fire, Greek PM calls for unity
CNN International, London, England

Tensions rise ahead of Egypt vote
Daily Express, Conservative tabloid, London, England

Dwarfism: Seven-year-old girl with rare form weighs the same as an 18 month toddler
Daily Mail, Conservative daily, London, England

Kristen Stewart, Robert Pattinson and Taylor Lautner at Twilight hand and foot print ceremony
Daily Mail, Conservative daily, London, England

Papandreou could drop Greek bailout referendum
EuroNews, International news, Ecully Cedex, France

G20 CANNES SUMMIT: G20 leaders struggle to overcome euro crisis
France 24, Issy-les-Moulineaux, France

Protesters shut Oakland port
Hurriyet Daily News, (Liberal, English-language), Istanbul, Turkey

Settle euro crisis, urges Barack Obama
Independent The, London, England

Georgia lets Russia into WTO
Moscow News The, Independent, Moscow, Russia

Benjamin Netanyahu seeks cabinet support for Israeli strike on Iran
Telegraph The, Conservative daily, London, England

Michael Jackson death: the trial of Doctor Conrad Murray
Telegraph The, Celebrity news, London, England

BMA orders Chatuchak evacuation
Bangkok Post, Independent, Bangkok, Thailand

Collapse threatens Greek government
China Post, English-language daily, Taipei, Taiwan

A Dilemma for Seoul's New Mayor
Chosun Ilbo, Conservative daily, Seoul, South Korea

Qantas diverts flight to Dubai over engine trouble
Hindustan Times, New Delhi, India

Jobless man kills wife, son; arrested
India Times, Conservative daily, New Delhi, India

'Suteki na Kanashibari (Once In a Blue Moon/A Ghost of a Chance)'
Japan Times, Independent centrist, Tokyo, Japan

Stumbling US Presidential candidate faces more scandals
New Zealand Herald, Conservative daily, Auckland, New Zealand

Debt woes dominate agenda as G20 meets
People's Daily Online, English-language, Beijing, China

Germany's quest for a bargain... to the grave
Straits Times, Pro-government, Singapore

Fry boils at Qantas glitch
Sydney Morning Herald, Centrist daily, Sydney, Australia

Forbes2011 The World's Most Powerful: No.1 is Barack Obama but Steve jobs has not been accepted
Taiwan News, English-language daily, Taipei, Taiwan

China Vice-Premier Li: Global risks rising
The Economic Times, Business, Mumbai, India

Greece backs off referendum, as concern grows for Italy
Canadian Broadcasting Centre, Toronto, Ontario

Greece backs off referendum, dealing blow to euro-zone equality
Globe and Mail The, Centrist daily, Toronto, Canada

Rio Tinto Chairman Says It is Europe that is Down Under, not Australia
International Business Times, Business news organization, New York, U.S

BRAZIL: "Occupy" Movement Rolls to Rio
IPS Latin America, International cooperative of journalists, Rome, Italy

Greek about face on vote, ECB rate cut boost shares
Reuters, Business News, New York, U.S

Greek prime minister faces knife-edge survival vote
Reuters, World News, New York, U.S

VIDEO: Rogue zoo keepers fight move of Toronto elephants to California
Toronto Star, Toronto, Ontario

Sudan troops seize key rebel town
BBC News, Centrist newscaster, London, England

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