We find ourselves at Christmas facing a long day of shopping in Union Squire, stores crowded with frenzied consumers and exhausted children.  Bells are ringing everywhere.  The gift list is long and the economy is tight.  Defeated without having started, we throw in the towel and instead seek fortitude in a strong Irish coffee.

From the stool at the end of the bar, we at OnTheLimit are prone to sit back and reflect on the year that was.  We were just at this bar a year ago; was it that long?  It always starts well around this time of year, with all of the new car launches, driver announcements and pre-season testing.   We stare out the window, shudder as another fog bank envelopes the bay, and stir the coffee one more time.  It warms us to read about some lucky buggers who are off testing in the Algarve, or Spain, maybe Florida.  We order another Irish coffee. 

But the truth is, if we think back to December 2008, we pretty much got it all wrong for 2009.  Nothing turned out as we had expected.

First, we did not expect a dead-in-the-water Honda team to re-emerge as Brawn, and proceed to win the 2009 driver and constructor titles.  We assumed, rightly, that Lewis Hamilton would again be dominant in the McLaren, with Raikkonen (the 2007 champion) close by in the Ferrari.  Honda had shown no signs of troubling the bigger fish.

But we were not sitting in the grandstands during testing while Brawn and a few other coy desigers figured out the double diffuser.  Even if we had sat in on the early Brawn tests, or those of Red Bull, we would not have noticed the tiny little change at the bottom of the back of the car that made such a difference come March.  The double diffuser was the single biggest influence in the outcome of the F1 title race, for it changed the balance of power in the sport in a rapid period of technological development (slicks and new wing packages being other key developments).

It is a credit to every member of the Brawn team for having the courage to continue pushing the limit, given the circumstances the team faced 12 months ago.  Mated with Jenson Button’s best-ever drive, Brawn stole a march on the entire paddock.  The season-ending acquisition by Mercedes seemed to justify Ross Brawn and Nick Fry’s efforts to revive the team from life support. 

In fact, we are thinking of re-naming this drink the double diffuser. Because having had a second, things are becoming diffuse.  This may explain the quality of our predictions last year as well.

We also failed to predict the depths to which the automotive industry would fall in 2009, setting the stage for Renault, BMW, Honda and Toyota to call time on F1.  The ripple effect of the global economy had not fully sunken in by January 2009.  Many have speculated that Honda’s depature gave cover to Toyota to wrap up its F1 experiment.  BMW duly followed suit, but the suspicion was that the board in Munich found a pretext to withdraw on the heels of a losing season.  We will never know.  Suffice to say, the company also reduced its commitment to touring cars.

And then, beh oui, there is Renault.  The battered French brand could not have fared worse, surviving a tempest in “Crashgate” to face a gradual sell-off announced just weeks ago.  Prior to the season, we thought Alonso’s return would mean a few more tenths of a second for Renault, but things had turned out differently.  At the end of 2008, the Renault looked much better in Fernando Alonso’s incredible hands, winning at Singapore and Japan after a largely mundane season.  

We could not have predicted that the result in Singapore was the result of a decision by team members to stage a crash by Nelson Piquet, Jr., in order to trigger a safety car that would favor Alonso’s light-fuel strategy.  When Piquet Jr. was released by the Renault team this year for yet more sub-par performances (and really, they were, let’s be honest), he went to the FIA and alleged that team princpal Flavio Briatore and engineer Pat Symonds had concocted a scheme to skew a race result.  Briatore and Symonds were handed bans from racing, and Piquet Jr. received immunity.  In theory, at least, his racing career survived.  Briatore and Symonds, who have accomplished more in F1 than Piquet can ever dream of, lost their reputations.

This was the ugly side of F1, the sausage-making side of the business that we’d prefer did not exist.  And yet, the events at Singapore, once revealed, tended to confirm our suspicions about how things really get done in F1.  No one with a serious interest in the sport can claim to be imbued with the same sense of dewy optimism as an olympic athlete.  But we would like to think that drivers are not out there crashing into walls in order to favor their teammates, if only becuase it seems such a collossally stupid thing to do at high speeds.

So the lesson we learned is that nothing is as it seems in F1.  Four new teams will take the grid in 2010, but Bernie Ecclestone has just said in an interview that two of these teams won’t make the grid.  A new ban on re-fuelling has been introduced, but we would prefer rules stability.  The world champion has joined a new team, as has the best driver of our day (Alonso).  Raikkonen is gone.  Michael is back (?).  Hamilton is facing an equal teammate.  Rosberg, Trulli, Glock and Kubica will be in new cars.  There will be two notable rookies (Senna and Hulkenberg).

All of this is subject to change.  Ask us over an Irish coffee next Christmas.

The Waste Electrical and Electronic Equipment (WEEE) Directive 2002/96/EC of the European Union aims to minimize the impact of e-waste (discarded or end-of-life electrical and electronic equipment [EEE]), on the reuse and recycling growing environment and reduce the amount of waste electrical and electronic waste going to landfill. It is closely associated with the Restriction of Hazardous Substances (RoHS) Directive 2002/95/EC, which wants the presence of six hazardous substances in electrical and limitelectronic devices.

There are several categories of electronic waste or e-waste, which are included in the WEEE Directive: large and small household appliances and consumer goods. E-waste in this Directive, designed electrical and electronic equipment (EEE) for use with voltage ratings up to 1000V AC and 1500V DC. As a result, most manufacturers of consumer electronic products in everyday life falls under the jurisdiction of the Directive. As the consequences ofSerious non-compliance (including a possible ban on doing business in EU countries), producers must be familiar with electrical and electronic equipment and the RoHS directive.

The WEEE Directive aims to minimize the environmental impact of e-waste to be facilitated by assuming its collection, treatment, recovery and / or money laundering and the financing by the manufacturer. It also suggests that consumers are able to return their equipment free of charge. Manufacturers therefore need to assessThe impact of these requirements and take appropriate measures for implementation.

This includes the establishment of collection systems for e-waste, the mode of transport, recycling and / or recycling centers, facilities for recycling and final disposal destination. Recovery and recycling of electronic waste is a specialized job and recycling facilities must meet certain minimum standards.

The operation of recycling facilities in captivity may be uneconomical and beyondThe core competence of the device. Therefore, tie-up with a suitable external recycling companies may need to be entered into by producers, either individually or through collective agreements. Above are post-sales activities.

It 'very important that a manufacturer must also understand the importance of pre-determined sales efforts, which significantly impact compliance. These actions in the design and production stages.

The first is the desire to designDevices that are extracted into smaller parts and components. Thus the recovery of components makes it easier to reuse and lower tariffs to say, recycling.

Secondly, the producer must ensure labeling of products, in accordance with the requirements of the WEEE Directive, including a "No Landfill" note.

Third: Reducing the levels of hazardous materials in the product reduces the need for costly recovery efforts. It also helps toTotal protection. For this reason, the importance of the RoHS Directive can no longer refers to the conformity of products and processes. The sooner the manufacturers recognize this fact, the better their profits in the long term.

The WEEE Directive 2002/96/EC is not a right and individual EU Member States are the new rules in their legislation to take. Because the differences between the provisions of EU Member States are inevitable, multi-national manufacturers must developinnovative compliance solutions.

In addition, the WEEE Directive, based on Article 175 EC (European Community) of the EC Treaty – the Treaty establishing the European Union. This allows Member States to provide additional products such as long as the countries are European Community law in global trade and transport within and outside the EU. Producers should always be more environmentally and WEEE latest changes. You should be aware of the consequencesthese changes on their business.

Gateway Bangladesh
Directories of Association, Companies, NGOs, Trade, Industry & Chamber of Commerce

http://www.bdgateway.org

Bangladesh Association Huston

http://bangladesh-association.com/

Dhaka Chamber of Commerce & Industry

http://www.dhakachamber.com/

Federation of Bangladesh CHamber of Commerce & Industry

http://www.fbcci-bd.org/

Export Promotion Bureau (EPB)

http://www.epb.gov.bd/

Ministry of Commerce, Govt. of Bangladesh

http://www.mincom.gov.bd/

Bangladesh Export Processing Zones Authority (BEPZA)

http://www.epzbangladesh.org.bd/

Chittagong Chamber of Commerce and Industry

http://www.chittagongchamber.com/

Metropolitan Chamber, Dhaka.

http://www.mccibd.org/

Bangladesh Knitwear Manufacturers & Exporters Association

http://www.bkmea.com/

Bangladesh Association of Software & Information Services
Bangladesh Association of Software and Information Services (BASIS) is the national association for Software & IT Enabled Services companies of Bangladesh. Formed in 1997, the association has been working with a vision of developing vibrant local software & IT service industry in the country.
Today the membership stands over 250.

http://www.basis.org.bd/

Bangladesh Association of International Recruiting Agencies

http://www.hrexport-baira.org/

France Bangladesh Chamber of Commerce & Industry (CCIFB)
www.ccifb.com

Bangladesh Trade Directories

http://www.bangladeshdir.com/

Looks like Wind Mobile has a launch event scheduled for today. Follow on Twitter, http://twitter.com/WINDmobile

First major data phone released by Wind is the Blackberry Bold 9700. I’m really hoping to see a few HTC Android phones. Specifically the Hero.

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Dell Studio 17 is a 17-inch multimedia and gaming desktop-replacement notebook from Dell. This system can be configured with Intel Core i7 processors as well as high-end ATI Mobility Radeon graphics cards to compete against powerhouse systems like the Acer Aspire 8940G or Asus G51J. Dell Studio 17 is the first large consumer notebook to offer an optional multitouch display.
This laptop is the new Studio 17 (1747) (different than the last year) which uses a completely new chassis with 16:9 ratio widescreen display, new speakers, and support for the latest processors.
Dell Studio 17 (1747) Specifications:

• 17.3″ HD+ (1600 x 900) TrueLife WLED screen
• Intel Core i7 720QM processor (1.6GHz, 6MB L3 cache)
• ATI Mobility Radeon HD 4650 1GB
• Weight: Starting weight of 7.87 lbs (3.56 kg)

The 17.3-inch display on the Studio 17 looks above average with good color saturation and excellent contrast. Dell picked an in-between resolution of 1600×900 in this model, which is better than WXGA but still less than the 1080P displays that are standard on almost all competing models. With that said Dell does offer RGB-LED display upgrade options for this model where none of the competing models offer similar displays.
Via Notebookreview.com

Dell today introduced its latest business thin-and-light, the Vostro V13. Measuring 0.65-0.78 inches thin, it features a 13.3-inch display and has a starting weight of 3.5 pounds. The Dell LCD is 13.3-inch diagonal LED-backlit HD (1366 x 768) glossy screen. The chassis is brushed aluminum. It is available with Intel Celeron/Core 2 Solo/Core 2 Duo ULV processors with 1.2-1.4GHz clock speeds. It has one RAM slot for expansion up to 4GB. The 30Wh 6-cell li-ion battery is not user-replaceable; Dell claims it can power the system for 4.75 hours. Available operating systems include Windows XP/Vista/7 and Ubuntu Linux.
The Dell Vostro V13 is available today starting at $449; Windows models start at $599.
Via Notebookreview.com

Hello Friends here we come up with an extension of our previous blog,

ECONOMIC INDICATORS… “Leading the World” Part 2.

…

Economic Indicators - Leading the World Final Part

..

In previous Blog, we had touched upon the classified categories of Economic indicators in details and about Time Era.

.

Now in this final part we would know what major economic indicators are!!

.

Major Economic Indicators :

.

· Gross Domestic Product (GDP):

Indicates the pace at which a country’s economy is growing or shrinking.

.

· Industrial Production:

Measures the change in the production of the nation’s factories, mines and utilities, industrial production also measures the country’s industrial capacity utilization.

.

·Purchasing Managers Index (PMI):

This index includes data on new orders, production, supplier delivery times, backlogs, inventories, prices, employment, export and import orders.

.

·Producer Price Index (PPI):

Measures average changes in selling prices received by domestic producers in the manufacturing, mining, agriculture, and electric utility industries.

.

The PPIs most often used for economic analysis are those for finished goods, intermediate goods, and crude goods.

.

Consumer Price Index (CPI):

Measures the average price level paid by urban consumers (80% of the population in major currency countries) for a fixed basket of goods and services.

.

Durable Goods:

Measures new orders placed with domestic manufacturers for immediate and future delivery of factory hard goods.

This figure is a useful measure of certain kinds of customer demand.

.

Employment Cost Index (ECI):

ECI counts the number of paid employees working part-time or full-time in the nation’s business and government establishments.

.

Retail Sales:

It is the indicator of broad consumer spending patterns and is adjusted for normal seasonal variation, holidays, and trading-day differences.

.

Housing Starts:

Measures the number of residential units on which construction is begun each month.

.

.

Thus to conclude,

Economic indicators is a tool for an investor..

for knowing the economic world & simultaneously smartly making money out of the sensitive movements of the financial & commodities market.

.

.

Note : For More Latest Industry, Stock Market and Economy News and Updates, please click here

David Richards continues to hover at the gates of the F1 circus.  Months after Prodrive’s tender was rejected by the FIA (without explanation), Richards is working on a deal for Prodrive to acquire the Renault F1 operation for the 2010 season.  By 2011, we could see the team re-branded as Aston Martin.  Others claim he is working with a Korean auto manufacturer.

We like the idea of Aston returning to F1.  Reminds us of Daniel Craig in a vintage DB-4 cruising his way down to Monaco, slicing his way through les Alpes Maritime to a guest suite overlooking la Piscine.  Aston is rich in history and tradition, and David Richards is the right man to bring the marque back to F1.  He already has swagger to spare.  He is unshaven and pilots his own helicopter, a luxury for real men who cannot be bothered with routes and traffic (or razors).  A helicopter, like Richards, is direct and to the point.

We certainly like the idea of an Aston hook-up more than a Hyundai.  As much as we love our bee-bim bop, there is not much that inspires us about a Korean brand on the grid.

Aston has history in F1 but it has been nearly 50 years since David Brown’s old outfit entered a grand prix race.  The team had success in the 1950s at Le Mans and briefly entered F1 in 1959 and 1960.  Richards brought Aston back to Le Mans this year with a re-badged Lola chassis and an Aston engine.  Richards is no stranger to controversy.  Lola howled when Richards claimed the car was an original Aston production, when it fact it had merely been re-styled to look more like the road cars.

No one knows why Richards’ F1 tender was rejected earlier this year.   Prodrive has, in the past, had a Midas touch in motorsport. Rally championships with Burns and Solberg are the best-known achievements, but Prodrive is active in many categories of motorsport.  Still, when the FIA opened the F1 grid to new teams, Richards did not make the cut.  And as we have seen in the case of N Technologies’ legal challenge to the FIA process, the FIA’s word is final.

All is not roses.  Richards has famously fallen out with his employers.  His tenure at Benetton was brief, and Honda did not retain him when the manufacturer took over the former BAR F1 team.  Jacques Villeneuve was particularly unimpressed to be shown the door from the team he founded.  Richards was right about that move, however, and bruised feelings aside the team improved under him.  Arguably, he paved the way for Brawn’s success and showed signs of life before Nick Fry took over.

After the FIA announced the 2010 entries, Prodrive’s F1 plan was put on the back burner.  In the interim, the departure of three manufacturers from F1 spooked Renault.  The company faced declining global sales and loss of team sponsors after the “crashgate” scandal.  Team principal Flavio Briatore left, as did Pat Symonds.  The team’s star driver, Fernando Alonso, left for Maranello.  And Renault has not produced a quick enough car since back-to-back titles in 2005-2006.

We think Richards’ and Aston are good news for the sport.  We would like to see Renault turn over the Enstone facility to Richards, and have the team re-badged as Aston at the right moment.  Whether Renault decides to continue making F1 engines in France is anybody’s guess.  The manufacturers have beat a hasty exit to the door, and Renault seems ready to follow the rest.

Dell Studio 17 is a 17-inch multimedia and gaming desktop-replacement notebook from Dell. This system can be configured with Intel Core i7 processors as well as high-end ATI Mobility Radeon graphics cards to compete against powerhouse systems like the Acer Aspire 8940G or Asus G51J. Dell Studio 17 is the first large consumer notebook to offer an optional multitouch display.
This laptop is the new Studio 17 (1747) (different than the last year) which uses a completely new chassis with 16:9 ratio widescreen display, new speakers, and support for the latest processors.
Dell Studio 17 (1747) Specifications:

• 17.3″ HD+ (1600 x 900) TrueLife WLED screen
• Intel Core i7 720QM processor (1.6GHz, 6MB L3 cache)
• ATI Mobility Radeon HD 4650 1GB
• Weight: Starting weight of 7.87 lbs (3.56 kg)

The 17.3-inch display on the Studio 17 looks above average with good color saturation and excellent contrast. Dell picked an in-between resolution of 1600×900 in this model, which is better than WXGA but still less than the 1080P displays that are standard on almost all competing models. With that said Dell does offer RGB-LED display upgrade options for this model where none of the competing models offer similar displays.
Via Notebookreview.com

Many familiar building materials manufacturers have their own Twitter pages. Here are links to some favorites:

Atlas Roofing
James Hardie
JELD-WEN
Marvin Windows
The Stanley Works
Therma-Tru
Versatex

Check out Cisco’s Collaborative Executive Guide http://ping.fm/xAMMr

This is very interesting!  I never thought about it this way. Perhaps this is why so many physicians are conservatives or Republicans.

The Democratic Party has become the Lawyers’ Party.

*  Barack Obama is a lawyer.

*  Michelle Obama is a lawyer.

*  Hillary Clinton is a lawyer.

*  Bill Clinton is a lawyer.

*  John Edwards is a lawyer.

*  Elizabeth Edwards is a lawyer.

Every Democrat nominee since 1984 went to law school (although Gore did not graduate).

Every Democrat vice presidential nominee since 1976, except for Lloyd Bentsen, went to law school.

Look at leaders of the Democrat Party in Congress:

*   Harry Reid is a lawyer.

*   Nancy Pelosi is a lawyer.

The Republican Party is different.

*   President Bush is a businessman.

*   Vice President Cheney is a businessman.

The leaders of the Republican Revolution:

*   Newt Gingrich was a history professor.

*   Tom Delay was an exterminator.

*   Dick Armey was an economist.

*   House Minority Leader Boehner was a plastic manufacturer.

*   The former Senate Majority Leader Bill Frist is a heart surgeon.

Who was the last Republican president who was a lawyer?  Gerald Ford, who left office 31 years ago and who barely won the Republican nomination as a sitting president, running against Ronald Reagan in 1976.  The Republican Party is made up of real people doing real work, who are often the targets of lawyers.

The Democrat Party is made up of lawyers.  Democrats mock and scorn men who create wealth, like Bush and Cheney, or who heal the sick, like Frist, or who immerse themselves in history, like Gingrich.

The Lawyers’ Party sees these sorts of people, who provide goods and services that people want, as the enemies of America.  And, so we have seen the procession of official enemies, in the eyes of the Lawyers’ Party, grow.

Against whom do Hillary and Obama rail?  Pharmaceutical companies, oil companies, hospitals, manufacturers, fast food restaurant chains, large retail businesses, bankers, and anyone producing anything of value in our nation.

This is the natural consequence of viewing everything through the eyes of lawyers.  Lawyers solve problems by successfully representing their clients, in this case the American people.  Lawyers seek to have new laws passed, they seek to win lawsuits, they press appellate courts to overturn precedent, and lawyers always parse language to favor their side.

Confined to the narrow practice of law, that is fine.  But it is an awful way to govern a great nation.  When politicians as lawyers begin to view some Americans as clients and other Americans as opposing parties, then the role of the legal system in our life becomes all-consuming.  Some Americans become “adverse parties” of our very government.  We are not all litigants in some vast social class-action suit.  We are citizens of a republic that promises us a great deal of freedom from laws, from courts, and from lawyers.

Today, we are drowning in laws; we are contorted by judicial decisions; we are driven to distraction by omnipresent lawyers in all parts of our once private lives.  America has a place for laws and lawyers, but that place is modest and reasonable, not vast and unchecked.  When the most important decision for our next president is whom he will appoint to the Supreme Court, the role of lawyers and the law in America is too big.  When lawyers use criminal prosecution as a continuation of politics by other means, as happened in the lynching of Scooter Libby and Tom Delay, then the power of lawyers in America is too great…  When House Democrats sue America in order to hamstring our efforts to learn what our enemies are planning to do to us, then the role of litigation in America has become crushing.

We cannot expect the Lawyers’ Party to provide real change, real reform or real hope in America.  Most Americans know that a republic in which every major government action must be blessed by nine unelected judges is not what Washington intended in 1789.  Most Americans grasp that we cannot fight a war when ACLU lawsuits snap at the heels of our defenders.  Most Americans intuit that more lawyers and judges will not restore declining moral values or spark the spirit of enterprise in our economy.

Perhaps Americans will understand that change cannot be brought to our nation by those lawyers who already largely dictate American society and business.  Perhaps Americans will see that hope does not come from the mouths of lawyers but from personal dreams nourished by hard work.  Perhaps Americans will embrace the truth that more lawyers with more power will only make our problems worse.

The United States has 5% of the world’s population and 66% of the world’s lawyers! Tort (Legal) reform legislation has been introduced in congress several times in the last several years to limit punitive damages in ridiculous lawsuits such as ’spilling hot coffee on yourself and suing the establishment that sold it to you’ and also to limit punitive damages in huge medical malpractice lawsuits. This legislation has continually been blocked from even being voted on by the Democrat Party. When you see that 97% of the political contributions from the American Trial Lawyers Association goes to the Democrat Party, then you realize who is responsible for our medical and product costs being so high!

Due to a decrease in demand Nintendo have seen fit to reduce Wii production in Japan.

Japanese component manufacturers have been dealt a rather harsh blow as Nintendo reduces Wii production in Japan following a steady decrease in demand for the family friendly console.

In late October Nintendo reduced its profit forecast for the business year ending March 2010, noting that Wii sales during 2009 were approximately “half the size of last year”. The company also lowered its annual Wii sales forecast from 26 million units to 20 million.

- Edge

Source

As the economy looks to get back on track after the worst recession since the 1930s, wholesalers and manufacturers are increasingly trying to find ways to create new channels to market, reduce their dependence on retailers and find ways to take control of their brands.

With a 16% increase in online retail sales in August 2009* compared with same period last year and the crucial Christmas shopping period just around the corner, one route that a number of wholesale and manufacturing businesses are exploiting is selling online direct to the end-consumer.

The expense of opening a bricks and mortar store to exploit the retail channel is often too great, however, an online eCommerce solution is a low cost option to exploit the growth in online retail spend and increasingly, manufacturers and wholesalers are turning to ‘etail’ in the form of eCommerce websites to expand their customer base and increase sales.

The benefits of going direct to the consumer are clear:

• Create a new revenue stream and channel to market
• Increase margins and take control of the price point of products
• Reduce dependence on retailers
• Reduce risk by diversifying
• Exploit online revenue as the low cost option to going direct
• Take control of your brand
• Take control of your promotional activities and gain opportunities to up-sell and cross-sell
• Improve cashflow by taking payment straight away

There are some major challenges to think through for those wholesalers and manufacturers wanting to sell direct and it is important to have a strategic plan to tackle the opportunity.  In order to maximise the potential of selling direct online a business needs to consider the following before embarking on an eCommerce project:

• Does the business have the retail knowledge to compete when going direct?
• Does the business understand returns, stock control, promotions, fulfilment, delivery charges, distance selling act, DSS PCI compliance and taking payments online?
• Does the business understand the cost and risk of going direct and can they measure the expected return on investment?
• How can the business protect existing customer relationships when going direct?
• Are the business and IT systems up to it?

‘Manufacturers selling direct to the consumer is the fastest growing online retail channel’**

Working with a knowledgeable partner, who can help a business realise the goal of going direct, is an important criteria in the success of any new online revenue channel.  One such company who has helped a number of wholesalers and manufacturers successfully sell online direct to the end-consumer is PureNet.

PureNet has built a reputation on their approach that puts maximising revenue and market-leading creativity at its core to help clients sell direct to end consumers.  PureNet offer both eCommerce and eMarketing services in which they take a business through a step-by-step approach from analysing the potential through to the creation of an eCommerce Solution specifically designed to convert users into purchasers.   With existing clients like Cargo, and ProStar, PureNet’s services have already proven to be successful in helping businesses realise their goal of creating a sustainable revenue stream.

As a leading eCommerce specialist PureNet have the experience to create, manage and market solutions that help maximise online revenue.  They build all their online solutions using their proven high-performance, scalable and flexible eCommerce platform that allows them to rapidly create customised and integrated solutions designed to sell.

With the growth of online spend many wholesalers and manufacturers are facing the challenge of going direct and are turning to companies like PureNet to help them realise their goals.

To find out more about PureNet’s eCommerce and eMarketing services, visit www.purenet.co.uk, email godirect@purenet.co.uk or telephone (01904) 898444 for an informal chat to see how PureNet can help you grow your online eCommerce business.

* [Source: IMRG, September 2009]
** [Source: Internet Retailer, August 2009]

Richard Smith
Marketing Manager
PureNet
Convert – Acquire – Support – Grow.

After failing to find a suitable buyer for the F1 team it acquired just four years ago, BMW has sold the team back to its founder, Peter Sauber.  As much as we love to drive a 3-series, BMW’s departure from F1 has left a sour taste in our mouth.  Very un-Munich, to say the least.

Earlier in this decade, BMW partnered with Williams and came up with one of the strongest engines in F1.  Suffice to say, the chassis from Grove just wasn’t quick enough.  Despite having a top-flight lump, BMW did not win a championship and had to settle for race victories and a pair of second-place finishes in the constructor’s standings.

Frank Williams refused to cede control of the team to BMW, and the couple divorced in 2005.  BMW promptly acquired Sauber, at the time a very good second-tier F1 team run (uniquely) from Switzerland.  Peter Sauber is a sober, cigar-chomping Swiss with a racer’s heart.  This is the guy who put a very young Michael Schumacher in a Mercedes sports car for Le Mans.  But, being Swiss and therefore efficient, Sauber read the writing on the wall.  A sale to BMW gave Sauber a nice retirement, full of raclette and Cuban stogies.

Even though BMW started with small expectations, the team never experienced the kind of success it hoped for.  A three-year plan was developed, from newbie to world champion. In the event, things did not go as planned.  Driver selection was spotty–Nick Heidfeld is a capable driver but he will never be a world champion.  The choice of Robert Kubica was inspired.  Kubica is one of the grittiest drivers on the grid and is unafraid of anything (witness his huge shunt at the Canadian Grand Prix in 2007).  The cars were immaculate, the presentation complete.  But, in light of its resources, the team underperformed.

Wins finally came, but the board grew impatient. In 2008, development was halted in order to begin work on the 2009 challenger.  This irritated Kubica who felt (rightly) that BMW was giving up on his shot at the championship.  Perhaps BMW grew frustrated with the endless political wars between the FIA (read: Max Mosley) and FOTA (read: manufacturers).  Mosley’s personal sex scandal did not help matters.  BMW also felt the FIA was “dumbing down” F1 in the interests of cost-saving.  This was inconsistent with BMW’s reason for entering the sport in the first place.

Suddenly, in July 2009, BMW announced its departure.  The stated rationale seemed paper thin: the company was to focus on its “green” credentials and F1 did not aid in that effort.  Many in the paddock thought this smacked of bullshit, and BMW was called out.

We viewed BMW’s departure as the actions of a company smarting over its lack of instant success. Perhaps team principal Dr. Mario Thiessen had misled the board into thinking that race wins would be more frequent by this point.  Perhaps the economy, politics, and various F1 scandals led BMS to conclude that F1 no longer delivered the necessary return on investment.

Whatever the reason, after great fanfare in 2005, BMW quit F1 in 2009.  Peter Sauber tried to buy back his team, but the terms were onerous and he backed away.  A reported sale to the Qadbak investment group was touted, yet it quickly evaporated.  When allegations of past chicanery emerged about Qadbak’s managment, many wondered how BMW had missed the mark so badly.  The sale of the team seemed bungled and chaotic, compared with Honda’s more orderly depature from the sport.

Peter Sauber taking control of his old team is a win-win for F1 and the team.  Sauber is a gentlemen and F1 could use more of those.  He is the anti-Flavio.  The factory and race team will continue on, albeit slightly smaller.  Racing will still continue in Switzerland, which (for some odd reason) we like.  BMW’s investment in infrastructure is certain to aid the team down the road.  Peter Sauber could not have done this on his own.

The irony is that BMW, like Honda, could find itself having withdrawn from F1 just as its investment begins to bear fruit.

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