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tv   BBC Business Live  BBC News  April 4, 2017 8:30am-9:01am BST

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this is business live from bbc news, with susannah streeter and sally bundock. gateway to india — britain's chancellor looks to the sub—continent for new trade ties in a post—brexit world. live from london, that's our top story on tuesday, 4 april. as the uk leaves the european union, can it get a boost helping india's development as one of the world's fastest growing economies? also in the programme: president trump lands a blow to internet privacy, paving the way for internet providers to sell their customers' browsing history. we look of the financial markets in europe. and we'll be getting the inside track on good manners. in a digital world how much can debrett‘s help? we'll speak to the boss of revered
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etiqutte guide about how to behave online and at music festivals. and today, as the worlds most famous investor, warren buffett, is being used to sell cherry cola in china, we want to know, which celebrity endorsements have convinced you to make a purchase. just use the hashtag bbcbizlive. we start in india, where the uk finance minister is leading a trade delegation. it's a two—day visit, where philip hammond will stress that britain is open for business and looking for new trade deals, as the uk negotiates its way out of the european union. both countries have had a relationship spanning many years. and let's talk you
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through the relationship. in 2014, the value of all the goods and services sold between india and the united kingdom was about $24 billion. and it works in india's favour — they export a lot more goods to the uk than the other way around. their top exports are clothing, footwear and medical items. what are the countries hoping to gain in the future? india is looking to raise more than $1 trillion for infrastructure over the next decade, and the uk hopes it can benefit from that, given its position as the world's top financial services exporter in return, india will be looking for greater freedom of movement for its citizens who want to work and study in the uk. shilpa kannanjoins us from delhi. nice to see you again. philip hammond and mark carney, they are
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trying to lay foundations for any future trade deals. but many argue that some would see a future trade relationship as fairly slim for various reasons? absolutely. there are many sticking points between the countries. many are looking at the two countries as natural partners given the historic relationship, as well as common ground in terms of business. english is a common language. a lot of indian companies naturally go to the uk as a senator for the rest of europe to read. that is likely to change. —— centre. the visa is a big issue, especially for indian students. one analyst said it almost seems as if the uk once indian business but not indians. that is a perception mr hammond will have to change. consistently india has refused to lift restrictions on
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professional services like banking accounts, insurance. that is something the uk sees as its strong point and wants india to open up. it will be interesting if he can convince people that the uk can offer the services and india must open up. real negotiations will only start after the brexit processes over. in terms of the areas of business or the industries that will look to benefit, we have mentioned financial services. what other business leaders are keen to see this relationship drive? the uk is selling financial services as its strong point. mr hammond says, making india but to get it financed in the uk. —— make in india. whichever sector in india is looking for more capital, the uk is selling itself as the point of finances. we have seen massa la bonds, a new
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class of debt instrument. the uk seems to be the primary target for indian companies wanting these bonds. india needs about $1.5 trillion of infrastructure funding. that funding is likely to come more and more from products like these bonds. mr hammond is saying, we have innovative financial products. he wa nts innovative financial products. he wants more indian companies to come to the uk for that. thank you very much. we will keep you across how that trip goes. some other news. president trump has signed a highly controversial order that will roll back an obama—era law restricting how internet service providers could use americans' online data. the us house of representatives and the senate backed the repeal last month. the bill was supposed to come into force in december, and would have prevented companies from selling information such as browsing history, location data, financial and medical details. south africa's credit rating has
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been cut to junk status by the ratings agency, s&p global. the agency said that political upheaval, including the recent sacking of finance minister pravin gordhan, was endangering the economy. another ratings agency, moody's, said it was placing its south africa rating, which is two notches above junk status, on review for a downgrade. the news put more pressure on the rand, which was down 2% against the dollar. you can check out our live page on the bbc website. this is a story that we have been covering. the fact the central bank in australia kept interest rates on hold as expected today at 1.5%. basically they are keeping a close eye on what happens in china. it is an important market for them. also keeping an eye macron
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the property market, which has been buoyant and heart in sydney and melbourne. lots more stories there. another tough day on the markets for toshiba. sarah toms is in singapore. is this to do with reports that the company may delay releasing its earnings report once again? well, yes, partly. it is the second day in a row toshiba shares have fallen. they fell 95% on tuesday, mainly over concerns the technology company may need more financial support. this hasn't sparked by reports that save the company will meet creditors on tuesday to ask them to accept shares in some of its businesses as collateral, presumably in exchange for them not calling in their loans. on monday, shares went down after the company signalled it may miss a
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third deadline to release its results for the last quarter of 2016. this was supposed to happen in february. the company has delayed formally reporting its earnings over problems at westinghouse electric, its us nuclear unit. westinghouse has been hit and file for bankruptcy last week. its annual loss could be a record 9.1 billion us dollars. many thanks. the wider financial markets. tokyo's benchmark fell to a ten week low. pashey do in real difficulty, plunging almost 10% of its financial problems. there is a bank holiday in china. the markets we re bank holiday in china. the markets were closed. this is what is happening in europe. you can see markets pretty stable. the dax in
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frankfurt down very slightly. the cac treading water. it comes after wall street closed slightly lower yesterday as march cars sales really disappointed investors. there was quite a lot of nervousness around the forthcoming meeting between president trump and china's premiere. and michelle fleury has the details about what's ahead on wall street today. donald trump has already warned his meeting with the chinese later will be very difficult. just days ahead, the us president ordered officials to find solutions to america's trade deficit with china and other countries. with trade a key focus of the summit, all eyes will be on the latest us trade statistics due out this tuesday. the figures for february will reveal the gap between what america sells to foreigners and what america sells to foreigners and what us customers buy from overseas. they are expected to show the trade
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deficit narrowed to around $46 billion from 48.5 billion in january. also, keep an eye mark wright for tesla after the company surprised investors were better than expected sales this year. it has become the second—biggest us car—maker by market capitalisation after only general motors. that is michelle. joining us is richard fletcher, business editor at the times. good morning. she has said's up nicely. tesla, i find good morning. she has said's up nicely. tesla, ifind that phenomenal, it's valuation, given the fact it has not made any money yet. the number of cars it has made is going up, but it is nothing in comparison to the millions ford makes? it is still tiny. ford makes 88 times the number of vehicles as tesla. in terms of revenues, ford's
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reve nu es tesla. in terms of revenues, ford's revenues are 20 times tesla's. we we re revenues are 20 times tesla's. we were trying to do a graphic yesterday to illustrate the difference. it is hard to do profit because you are trying to compare a loss with a profit. it is amazing but it is about the market being really excited about electric cars. the problem is, elon musk asked to mmp the problem is, elon musk asked to ramp it up. there is excitement surrounding electric vehicles. the markets believe this is a game changer. can they deliver? the markets expect them to ramp up production and deliver a large number of vehicles. companies like tesla, that are highly rated, if they don't deliver, udca big sell—off in their shares. they don't deliver, udca big sell-off in their shares. we have to talk about warren buffet. he is very well known as being perhaps one of
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the world's most successful investors. he has had coca—cola in his portfolio since the beginning. he has a 9% stake. he is the biggest investor. i wonder if it is a slight marketing trick. basically what they have done is they have put cherry coca—cola on the cans in china. they have done a limited number of cans with warren buffet‘s face on it. it is intriguing. he is well—known china. the annual meeting is live streamed and translated into mandarin. he does have a following. is that because there are some any investors who are keen to get a foothold the financial market and earn their own fortune? absolutely. he has got a following all over the world. he is popular here and in the us. he is a fan of coke. he drinks
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£5a us. he is a fan of coke. he drinks £5 a day, apparently. warren buffet says he eats like a six—year—old. that is not what i would give my six—year—old! he has a five day diet. have you ever been persuaded to buy something because of a celebrity endorsement? i haven't. it would probably put me off rather than encourage me. a few viewers have been in touch. rob says only once has he been persuaded. pierce brosnan promoted an electric shaver when he was james bond, and he says it is still as good today as it was then, a bit like himself. robert says margaret thatcher convinced her —— him to buy his own counsel has! and shares in british telecom and british gas. i wouldn't have expected him to come up! still to come, how to behave online.
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how to behave online and in general. we'll speak to the boss of britain's esteemed etiquette guide, debrett‘s, on how manners matter in the digital world. what annoys you about business manners? you're with business live from bbc news. online fashion retailer asos has reported another strong six months, in interim results out this morning. the retailer had a good christmas, and saw revenue growth of 38% in the six months to the end of february. iimagine many i imagine many retailers hearing that news will be envious. honor strachan is a retail analyst for global data retail. how good are the numbers? talk us through them. they're impressive given the trading environment at the moment. they have had an incredible christmas. the full half is up 37%,
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38% with the uk performing and up 18%. it is outperforming the market and its competitors. the swing to digital is really continuing and it is making it harderfor the bricks and mortar stores to compete? asos has got its model correct and it understands its core audience and shopping habits. what we are starting to see is those channels work together and retailers really understand how online should compliment stores like we have seen withjohn compliment stores like we have seen with john lewis compliment stores like we have seen withjohn lewis reporting good results and that's because online and stores are working together.m is all to do with customer experience with those bricks and mortar stores, that's the only which you will get people in? it is about providing them with an joinl shopping experience and encouraging them to prows the ranges. 5896 of
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orders is placed on mobile devices? it isa orders is placed on mobile devices? it is a popular channel with 16 to 35—year—olds switching to mobile. they are shopping on the move and browsing on the move and using social media to share pictures and to share items they might want to buy. mobile really is the way forward and retailers are starting to really invest in those platforms and make sure they are optimised for mobile shopping. thank you. topps tiles, they saw their sales splip. they're the flooring retailer, of course. they saw a 2% drop in like for like revenues to the end of march. the chief executive is saying that market conditions have become tougher, but the business has responded well to control its costs. lots more on our website as ever. take a look. you're watching business live. our top story:
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the uk finance minister philip hammond is leading a trade visit to india. he's tweeted that the importance of trade between the two countries will only grow after the uk leaves the european union. he's on twitter and he's tweeting. a quick look at how markets are faring. one of the big winners is bp. it has been upgraded by an investment bank toa been upgraded by an investment bank to a buy rating and people are buying it. they are being obedient and buying bp's shares today. they're up 2%. good etiquette in business has often been described as a critical skill which can boost your chances of success, but in an increasingly online world where media and digital disruptors are breaking down many traditional attitudes. soo is having impeccable manners really
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as important as it used to be? in a survey of more than 1,000 people in the us last year, almost three—quarters thought manners and behaviour were on the decline. in an online poll, us school and university students point the blame firmly at social media saying technology is making society less civil. so the etiquette firm debrett‘s has been around for almost 250 years. it's trying to keep up with the way technology is changing business manners and has even released an etiquette guide for using airbnb. renee kuo is managing director at debrett‘s. welcome to business live. thank you very much. you've brought in a few exa m ples of very much. you've brought in a few examples of these new guides that you can get hold of and this one is called guide to british style. you've got it in chinese and arabic as well. now, that really reflects the people that go to bicester
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village which is known as terminal 6 in the uk. bicester village is a luxury shopping destination and one of the uk's most popular tourist destinations. but why do you need a guide? you go in the shop, show them the money and come away with the designer goods, isn't that it? the guide is for two reasons, there are traditional season events which are a main attraction for global visitors and they don't know the dress codes for those events. there might bea dress codes for those events. there might be a lot of british people who might be a lot of british people who might not know the dress code. you shouldn't wear bright colours in the countryside. we wouldn't be any good there! is that what it says in your guide? there might be some shooting going on on the weekend as well! you've updated your guide to reflect the digital world, haven't you? updated your guide to reflect the digitalworld, haven't you? yes. why do you need an airbnb guide? an
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etiquette to home sharing is very important. you are going to stay at somebody‘s home, especially if they are from a different culture, do you ta ke are from a different culture, do you take off your shoes, if you've cut your finger, take off your shoes, if you've cut yourfinger, do you rummage take off your shoes, if you've cut your finger, do you rummage through the medicine cabinet to find the plaster? there have to be rules it make people feel comfortable and confident in unfamiliar, business and social and cultural situations. as well, for people who are wheeling and dealing like philip hammond today, mark carney in india, it is extremely critical they get it right in terms of etiquette. absolutely. for many of us who travel over the world, culture, there are huge differences just in how you greet somebody physically and verbally? differences just in how you greet somebody physically and verbally7m is not just from somebody physically and verbally7m is notjust from a social etiquette prospective. you don't want to be representing your company and lose the deal because you made a kind of cultural gaffe. so, for example, if you're a western executive and gu to china and you take a business card and you're relaxed with it as we are
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in the western world and you might write somebody‘s mobile number on the back, you've insulted that person. there is a respect and a an etiquette and protocol to all forms of business and that's from meeting and greeting somebody to accepting a business card to the hierarchy of a business card to the hierarchy of a business meeting. are you reflecting the use of twitter for example in social correspondence in your latest guides? we have a guide to etiquette. it's so funny to think that technology is connecting us more and more and yet interpersonal skills are diminishing and there was a study by harvard, stanford that shows that job success a study by harvard, stanford that shows thatjob success is 85% due to social and soft skills and only 15% due to technical skills. the wall streetjournal found due to technical skills. the wall street journal found that due to technical skills. the wall streetjournal found that recruiters couldn't find enough people with interpersonal skills. that's a result of people feeling more
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co mforta ble result of people feeling more comfortable hiding behind a screen or hiding under their head phones these days. it's fascinating. we've got to leave it there. i'm calling time on the interview. it has been great to have you in. thanks, it has been a pleasure. abta is warning there is no fall back option for airlines if the uk is unable to secure an aviation agreement during the brexit negotiations. richard westcott has been looking at the pit falls that brexit could create for the business of aviation. lots of businesses want to get to the front of the queue because they wa nt to the front of the queue because they want to make sure that it's their brexit agreement that's sorted out first. and today, it's the travel industry's turn to wade in. at the moment, any eu airline can fly anywhere in europe and that's why we get such cheep flights, but that deal runs out in two years when we
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leave the eu, if they don't replace it, there is a slim chance that european flights will have to stop for a while. i know that sounds a bit dramatic, but it is not me saying t it is the boss of europe's biggest airline, michael o'leary at ryanair. but other airlines don't share his apocalyptic view. easyjet is britain's biggest airline and they tell me they are very confident a new agreement will be reached soon. and that is for one simple reason — because both sides will lose too much money without it. because all of those tourists and all of those business people, it's obvious, but they have to fly. the airlines have good reason to want a quick deal. they plan their schedules a year—and—a—half ahead. so, they need to be able to reassure their customers that when they book their holiday in 2019, their plane will definitely be able to take off. we were having a giggle about our
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own etiquette faux pass! dominic o'connelljoins us. we have got it talk about this story which has serious ramifications, president trump, we mentioned mentioned him in the show and he's creeping in. explain what happened? people when it comes to trump focus on the wall, trade polls why and tax policy, but he is doing a lot of things behind the scenes and this is about internet privacy. google and facebook take your data and use it to sell ads to people. this is about what cable companies and broadband companies can do with your data. in america they have been stopped from harvesting your data, they are not allowed to do what google and facebook do. trump has signed the obama law out of the blocks, now they can take your data. it was
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chftion when they started doing it. you can choose not to use google for facebook, but you can't choose not to use a broadband company. all the companies are encroaching each other‘s territory? companies are encroaching each other's territory? where is the distinction between internet service provider and google and facebook? you could avoid google if you wanted to, but do need to get your internet connection from somewhere. justin trudeau the leader of canada, the prime minister there, he is not pleased with bombardier executive packages? it is a hot topic. theresa may has got involved. in can darks bombardier got into trouble a few yea rs bombardier got into trouble a few years ago. it got bailed out by the government and,000 they want to pay their executives more and the government says no. thank you,
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dominic. good morning. the pressure is still fairly high across the uk. there will be more cloud around for tomorrow today than we have seen in recent days, but not for all. for example, here we have seen in recent days, but not forall. for example, here this we have seen in recent days, but not for all. for example, here this east yorkshire this morning we have had a lovely sunrise. in norfolk, there are some holes in the cloud, but there is a lot of cloud across the eastern half of the country on these two weather fronts. there those weather fronts have been giving showers. we will keep a legacy of cloud through the day. otherwise we have a lot of dry and sunny weather elsewhere across the uk. except the far north, we have got this really brisk westerly wind. gale force up across northern scotland and blowing with it plenty of showers as well. and there will be a little bit of rain in contrast further south and east. it will be patchy and light for the majority, but it will make it feel cooler. obviously not as
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bright and cheerful without the sunshine, but we have the sunshine further west, it may well materialise across the midlands and lincoln shire, but for wales and northern ireland and scotland, plenty of that sunshine around. yes, it isa plenty of that sunshine around. yes, it is a cooler themed day and it will feel cooler anyway in scotland with that blast of westerly winds. again frequent blustery showers to go with it. no real issues with frost, elsewhere under the clearing skies as the breezes blow away the cloud, it will turn chilly. these are towns and cities, but in the condition side, temperatures will be two or three celsius. a chilly start to our wednesday morning which means a fine to our wednesday morning which means afine and to our wednesday morning which means a fine and bright start with plenty of sunshine initially under the area of sunshine initially under the area of high pressure without the weather fronts, but we've got cloud trapped underneath that area of high pressure. so we will be, if you like, chasing cloud for the coming few days. yes, starting off dry and bright and sunshine in the south,
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but this wind will blow cloud further southwards. the south—west of england will see the best of the sunshine, but you can see temperatures have ta ken sunshine, but you can see temperatures have taken a tumble after the chillier start as well. 11 to 14 celsius, it is closer to what you'd expect to see at this time of year and the trend continues for thursday and friday, but there will bea thursday and friday, but there will be a lot of dry and bright and very usable weather if you want to get out and about. hello, it's tuesday, it's nine o'clock, i'm victoria derbyshire, welcome to the programme. on the programme today, a hospital in leeds says allowing mums and dads to do the caring for their own premature baby, is having a dramatic and beneficial effect. we've had exclusive access to the neo—natal unit. it's just nice to feel like a mum instead of just it's just nice to feel like a mum instead ofjust somebody it's just nice to feel like a mum instead of just somebody watched it's just nice to feel like a mum instead ofjust somebody watched —— stood watching. i could feel her and she felt safe. we bring you that
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report before 9:30. also on the programme — campaigners are calling on the government to rethink cuts to payments for bereaved parents that take effect this week. they've been described as callous and brutal by critics. and will the fa punish the sunderland manager, david moyes, for saying this to a female reporter? it was just getting a wee
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