NationStates Jolt Archive

TVC repsonse to upcoming recession

25-11-2003, 14:59

Uthar - Earlier today

In response to the apparent upcoming economic misery, the Vortex Corporation announced economic measures to be taken this morning. In order to prevent the recession from having a destabilizing effect on TVC. Corporate officials have confirmed that a package of emergency measures to be placed in effect soon. Thanks to ERP, STEP and DSP systems being used extensively in the Corporation, this recession does not come unexpected.

Recent UN resolutions that seem to have negative effects on all nations with a free market economy, combined with a decline of economic growth in several nations that TVC has close economic ties with, such as the Imperial Navy and Knootoss, have brought TVC in a position where measures need to be taken. The following measure have been announced:

1. Increasing the dinari price
2. Drawing investors into TVC stock markets
3. Measures to increase net price per share
4. Sell of stock in countries and branches not likely to survive recession
5. Massive investments in allied markets, in order to re-raise their stock prices

The first move taken today was a slight increase in the capital market interest percentage. With this higher interest rate, TVC hopes to draw investors to its stock markets, which will raise the value of its currency if succesfull. Second, TVC has given the Kiith conglomerates permission to use excess equity, a result from the large profits made last year, in order to purchase massive stock packages in foreign nations. Not only will these investment help allied nations to climb out of their recession, it will also provide for an additional profit when the stocks are re-sold once their worth has increased again. As a third measure, several conglomerates have recalled outstanding stocks and abstained from upcoming stock issues. This is done in order to raise the net stock value per share, and has proven an efficient countermeasure to economic downfall in the past.

Naturally, the Vortex Corporation has already started the sale of stocks and capital investments in countries that are expected not to survive the recession in good state. The revenues realized by those sales are used for long term investments in people and technology for the TVC conglomerates. By combining an increase in currency worth with the attracting of new investors, as well as helping allied nations to get out of the recession, TVC is confident that negative effects will be hardly felt by the conglomerates.
25-11-2003, 16:15
25-11-2003, 16:27
OOC: Hmmm... some buying time for VerTech :roll:
25-11-2003, 20:47
#tagged# and noted