Archive

Archive for June, 2010

Reading the news

June 18, 2010 Leave a comment

In 1979 I visited Turkey for the first time. I like Turkey – it’s a great and beautiful country with lots of history. It also shows how Islam and extremism don’t go hand-in-hand and how an Islamic country can also be a liberal democracy. Like all free countries, it has its share of extremists who spout forth nonsense that would guarantee a jail sentence or death in the autocracies that govern most of the world. However that is not what this post is about – although Turkey is the seed for the post.

It was August 1979, and I was backpacking, staying in cheap hostels. A standard item of conversation back then was whether it was safe to travel through Afghanistan on the overland route to India. Turkey was one of the first stopping places on this route that travelled through Iran, Afghanistan, Pakistan and on to India.
From a 1970s Trailfinders brochure showing suggested routes to India
Travellers were talking about the attacks on tourists journeying through the country and how some tourist buses had been shot at.

A postcard sent to me by a friend I’d met when travelling through Europe who wanted to go on the overland routes to India. Karla had hoped to go through Afghanistan but as I’ve highlighted, felt it wasn’t safe. This postcard was sent the day before the Iran hostage crisis and shows the atmosphere in Iran at the time.

I knew nothing about Afghanistan at all and when I got back to the UK started to read up. There was very little in the press – and certainly no headlines. However reading between the lines, I realised that not only was there a civil war going on, but that this was threatening the Southern borders of the Soviet Union. The situation was unstable and something had to happen.
Over Christmas in 1979, Soviet tanks rolled into Afghanistan with the aim of bringing back order to the country. The Soviet aim was not to colonise the country but to prevent the ferment from spreading and leading to sectarian movements on the Soviet borders. However that is not how the world, led by the USA saw things. This was the time of the cold war. Any way that the West could score points against the Soviet bear was legitimate. The initial response was massive anti-Soviet propaganda, ignoring the initial context. Later on, the US funded the Mujahaddin fighting against the Soviets, including Osama Bin Ledin – a case of the enemy of my enemy is my friend.
My response however was different. I saw that the Soviet incursion had been an obvious solution to a problem that they faced, and that the correct approach was to treat it as such, rather than as a global problem. Afghanistan had been a flashpoint that the world had seemingly ignored. It led, eventually, to the break-up of the Soviet Union, when it became impossible to hide the costs in both lives and money by the secretive Soviets. I believe that Perestroika and the 1991 fall of the Soviet Union was partially a result of the Soviet’s Afghan adventure.
The point of all this is that newspapers publish
  1. what their editors view as of interest to their readership
  2. news when they have sufficient information for a story.
This is important for competitive intelligence, business analysis and common sense. Without this realisation people are likely to jump to incorrect conclusions based on what they read. The only way to read a newspaper is to question each story and ask why it was published – to understand the hidden agenda.
When there is insufficient information or where it is dangerous for journalists to publish a news story, then however potentially important that news story is, it won’t get published. That is why so few bad news stories highlighting lack of freedom, atrocities and so on are published on the autocracies that rule much of the world. Instead, news focuses on countries where there is a relative freedom to publish, and journalists can report on what is happening unimpeded by the authorities.
If something is not fashionable then it won’t be published or what is published will correspond to what people want to read. This is the case with much reporting on Israel. Israel is now seen as a “shitty little country” (as described by a former French Ambassador to the UK). It’s definitely not fashionable to support it – despite the fact that it is the only full democracy in its region with a free and functioning press, Arab parliamentarians, and equal rights for all its citizens. It has also been at war for over 60 years – with its enemies being countries that, in general, are totalitarian and that imprison, torture and execute dissenters. It has been attacked with missiles fired daily at its cities, yet is lambasted when it responds – most recently by blockading the territories from where the missiles were fired (Gaza). Israel is condemned for trying to protect its citizens and for fighting a territory ruled by a group, Hamas, that is viewed as a terrorist group by Western countries, including the US, the EU, Japan and Canada.
In contrast to the situation in Israel – where every action is microscopically analysed and hits the headlines, much less appears on newspaper front pages and as headline news about the very recent massacres of Uzbeks in Kyrygyzstan. Virtually nothing came out about the Syrian destruction of the city of Hama in 1982, in contrast to the blanket reporting of the events at Sabra & Chatila in the same year. Even in this case, Israel is blamed for the actual attacks while in reality the massacre was carried out by Christian Phalangists in revenge for earlier attacks on them by the Palestinians. The reason for all these examples is that much less information was available from Syria and Kyrygyzstan. Both countries don’t have the free press that Israel has, and in both cases, publishing such news could lead to the journalists being arrested, and probably tortured or killed. As a result very little is seen.
The same selectivity appears in the business press too. Currently BP is under the spotlight for its responsibility for the US oil spill. Although I’m sure that BP bears much of the blame for this disaster, very little has been written about the other companies involved including Transocean and Halliburton. Although BP was the largest shareholder in the well, Texas based Anadarko Petroleum owned a quarter and the Mitsui Oil Exploration Company via its MOEX Offshore subsidiary owned 10%. Transocean owned the rig and of the 126 people working on the rig, 79 were Transocean employees (against only 7 BP employees). Halliburton cemented into place the casing for the well that blew. In fact, the other companies bear some of the blame – if only by not ensuring that best practice was followed and allowing BP to cut corners (if that is what happened). The US regulator, the Minerals Management Service, that had approved the well should also shoulder some responsibility.
It is now fashionable to attack BP – with President Obama (showing an anti-British prejudice), referring to the company as British Petroleum, when the correct name has been BP for many years, reflecting the fact that more of its employees are American than British (BP has 23,000 US employees and under half that number of British employees. Of its 9 senior executive members there are more non-UK members than UK ones with four US positions). The problem is that sometimes it is better for those in power to hide the truth – whether they run a company or a country.
Competitive Intelligence means looking behind the news and doing an analysis to find the truth. That is not the role of newspapers. Their role is simple: to sell and make profits for their owners. If that means subjective reporting, then so be it. Fortunately the quality press sometimes does publish unfashionable news stories and carries out independent analysis. An excellent recent example is an article by Jose Maria Aznar – the Prime Minister of Spain between 1996-2004. Aznar writes (in the London Times – 17 June 2010) about Israel and how failure to support Israel threatens Western values overall. He states that the Gaza episode “is a distraction” and that “Israel is the West’s best ally in a turbulent region“. A shame that there is not more analysis of this type. As this is what true objectivity involves.
Proof of Aznar’s thesis can easily be found. For example, a recent Twitter tweet lamented the loss to the Moslem world of Andalucia, and advocated the route of the martyr, and reaching for life in the hereafter in preference to life in this one.

@Jnoubiyeh the second we lost andalus we lost dignity. wars came 2 remind us again. We lost it was when we chose this life over hereafter

Unfortunately publicising such views are unfashionable and often suppressed – so instead we draw incorrect conclusions and victimise the victim (e.g. Israel) and praise the oppressor (e.g. Hamas).

Lies, Damned Lies, Statistics & Facebook

June 10, 2010 Leave a comment

I’ve been impressed with the numbers of people using social networking sites – and the importance of social networking for marketing has become significant over the last few years.

Facebook claims 400 million users (i.e. nearly 6% of the global population that is approaching 7 billion people). I’ve always thought that this figure must include duplicate accounts – as I don’t believe that most people in China, India, Africa and many other areas of the world have Facebook accounts (or even computers – although the numbers are growing). The World Bank stated that there were just under 300m Internet users in China and 52m in India in 2008. (There’s a great graph of this at Google’s Public Data tool – that shows that in 2008 there were around 1.5bn web-users).

Even taking account the exponential growth – let’s assume that web users globally are now over 2 billion  people – Facebook’s figures imply that 1 in 5 users have a Facebook account.

I know of many people who don’t have an account and some who refuse to get one. In my age group (over 40), I’d guess that the majority don’t. So where this 400m figure came from and what it includes is a key question.

It now seems that Facebook has been boosting it’s membership figures. I just read this article from one of my favorite sites (www.pandia.com). Apparently Facebook has been telling advertisers that it has 1.6m users in Oslo. The trouble is that the greater Oslo metropolitan area only has 900,000 people. Facebook apparently counts members by IP address – and I guess that it is feasible that this could include users who access the site via Oslo based web-servers. However not if you consider the next statistic given. The Facebook advertiser tool says that there are 850,000 Facebook users between the ages of 20-29 in Norway – which is 235,000 more than the total numbers (613,000) in that age group.

This over-inflation isn’t just a Norwegian issue. According to CheckFacebook.com (a site that tracks data from the Facebook advertising tool giving Facebook membership numbers), almost 63% of online users in the UK now have a Facebook account. That’s 27m out of a total UK population of 62m. In some countries it’s even higher. Apparently all (100%) Nicaraguan, Qatari and Bangladeshi web users also have a Facebook account, as do 99% of Indonesians, 98% of Filipinos, 97% of Venezuelans, and 85% of Turks.

It’s possible that these statistics are true. However, if so, I’m sure that they also include occasional and infrequent users as well as dormant and duplicated accounts.

One of the most important types of competitive intelligence analysis is to not take everything at face value. When presented with figures, it’s important to sense check them – wherever possible by using other sources (e.g. official population statistics). Only then should such data be used in decision making. You should also ask whether there is an incentive to exaggerate or under-estimate statistics. If there is such an incentive, it is likely that this will be done, at least in the published data. Decisions made using such erroneous or manipulated figures will probably be poor decisions and fail to achieve the expected results. In the case of Facebook, the incentive in exaggerating membership figures is that they can then boost their attractiveness to advertisers, and consequently their advertising revenues.

%d bloggers like this: