Bond Business Review 2017 - Volume 1 by Bond University Business Students' Association

Editors note Thank you for your patience! Volume 1 of the BBR during my tenure has been a long time coming. Despite various difficulties along the road and big shoes to fill, I am proud to release a revamped publication pairing with the Bond Investment Groupâ&#x20AC;&#x2122;s semesterly release, the George Street Review. We hope to provide you, the Bond student, with a magazine that embraces as many aspects of a business degree at Bond that we can. This would not be possible without the work of all our contributors, or the generous donations of our sponsors. The BSA extends our gratitude to all of you. Hereâ&#x20AC;&#x2122;s hoping for a smoother take-off the second go round. Publisher: Bond Business Students Association BBR Editor in Chief: Oscar Presto BBR Editor at Large: Rebecca Gillingham GSR Editor in Chief: Harrison Hume

Contents there is A growing business in aging - 4 The George Street Review - centre pullout speculators vs the world - 8 smart snacking swaps - 10 creativity and innovation: The keys to business - 12 10 Whats on: At and Around Bond - 14 8 12 4 14

THERE IS A GROWING BUSINESS IN AGING You know you’re starting to get old when your candles cost more than the cake, however this is increasingly the case for much of the world’s population. Most societies have experienced growth in the proportion of people over the age of 60. Over the last two decades, Australia’s birth rate has fallen gradually and is now below the replacement rate, and therefore

we are increasingly relying on immigration to sustain our population. Additionally, life expectancy is increasing due to our higher standard of living and significant technological and medical developments. Amongst others, these factors contribute to the aging population, and we as upcoming business leaders, should be considering its impact.

There are many issues associated with demographic aging which are putting pressure on the fiscal and macroeconomic stability of many countries. Predominantly, these economic problems are a result of increased dependency ratios and successive decline in the working population, increased government spending, large longevity risks, and superannuation payouts. The dependency ratio, the ratio of working-age to old-age individuals, is of particular concern because there will be a scarcity of workforce to assist the elderly. There will be more people needing to claim pension benefits, and less people in the workforce to pay taxes. In some European countries, this ratio is predicted to become as low as 2:1 by 2025. So, there is a fear that tax rates will escalate in the near future and lead to increased strain on a shrinking workforce. Collectively, this may be a disincentive for workers and create productivity issues among businesses. Immigration is an option which can solve the supply issue by encouraging young working migrants to join our workforce. However, this is unpopular in the broader community as it is feared that it may drive down wages, and increase stress on the infrastructure and housing sectors. Consequently, innovative initiatives are needed in the future to ensure that workers are engaged and committed. Government spending is an emerging issue in the aging population debate. Since demand for healthcare often rises with age, governments are required to make greater allocations towards resources and funding for the health care systems. Additionally, the existing medical systems will find it difficult to cater for the prevalence of chronic diseases and illness associated with old age, and will need to expand facilities and staff, despite the diminishing taskforce. In the longer term, we can minimise this expense by increasing the contributions from private pensions and health care schemes to minimise future hardship on the government.

Longevity risk, the risk that people will outlive their retirement savings, is another complicated issue that our generation will face. Although much of the working population have superannuation savings, the average superannuation payout will not be enough to support a comfortable lifestyle. Superannuation savings need to be encouraged from a young age in order to take pressure off the governmentâ&#x20AC;&#x2122;s pension schemes when workers retire. Increasing the preservation age when people can access their superannuation is also a possible solution, coupled with the gradual increase in the retirement age according to life expectancy. This will require incentives that encourage workforce participation, and make it easy for people over the age of 65 to continue contributing to society through either paid, or volunteer work. To better understand the variations in life expectancies, investment options, resource distributions, and saving strategies for consumers, there will be more job opportunities to service the aging population. Job opportunities will present themselves in financial advisory positions and superannuation management to ensure that clients are saving an adequate amount for retirement. Big data is essential to ensure accurate longevity expectations, population growth, and healthcare needs. Actuaries will also be needed to predict life expectancies and mortality rates, and evaluate insurance schemes. Management and international relations jobs will be needed to develop incentives to ensure workplace participation, and accommodate for increased travelling of citizens. The aging population poses both challenges and opportunities for many Australians to help improve the life for the future generations. As Bond business leaders of the future, we can help to build a bright, sustainable future, and help make an impact that counts more than just the candles on your cake.

Samantha McDougall

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GEORGE STREET REVIEW MARCH 2017

THE

BIG 2017

As always Bond Investment Group has plans for events throught 2017. The list below is a quick outline of what we have coming for the rest of the year.

CONTINUOUS: The Week Just Gone Our weekly look at the news and movements in business and finance will continue through 172, giving you the headlines you need to know about.

George Street Review GSR will return again with issues in July and November, each with five new articles and topics from the BIG team.

SEMESTER 172: Internship Preparation Seminar BIG will be holding an educational seminar in 172. Details will be announced closer to the event.

Pitch Competition The Pitch Competition will return, and is an opportunity for students to test their skills against one another in finding the best M&A opportunity for the provided company. Details will be announced closer to the event.

SEMESTER 173: Women In Business Evening The aim of the Women in Business Evening is to inspire the future generation of female business leaders to strive to reach their full potential. The event aims to bring together students, alumni and the wider business community to hear from inspirational speakers and explore contemporary issues facing women in the workforce today.

GEORGE STREET REVIEW MARCH 2017 IN THIS ISSUE:

Page

The hidden fees superannuation funds donâ&#x20AC;&#x2122;t want you to know about Skye Ranicar

Peer-to-Peer Lending: the future of financing? Ryan Nash

Raising Equity: the role of crowdfunding in the future of venture capital Harrison Hume

International Expansion: where to now? D.J. Alexander

Currency Wars Brad Cavanagh

A NOTE FROM THE EDITOR: Welcome to the first George Street Review for 2017. The team at BIG has been hard at work to bring you the events and publications we're known for. With the return of GSR after a one semester hiatus we're trying something new. We're proud to partner with the Bond Business Students' Association as a pull-out from the Bond Business Review. As a result of this partnership GSR is now shorter and punchier. In this issue we've covered a wide range of topics from personal finance to fintech, and foreign expansion to exchange rate manipulation. We hope you enjoy reading the new GSR. Harrison Hume The material in this article has been prepared by Bond Investment Group and is given as general information about the topic area. This information does not purport to be complete or in any way advice or a recommendation in regards to the purchasing or selling of financial products and does not take into account your personal circumstances. Before acting on any information you should consider the appropriateness of the information having regard to these matters, and you should seek independent financial advice. Bond Investment Group.

GSR 2017 | 1

THE HIDDEN FEES SUPERANNUATION FUNDS DON’T WANT YOU TO KNOW ABOUT SKYE RANICAR

ost people would not know this, but quite often you are paying for two identical insurance policies without even being aware. One insurance policy is within your superfund, and one outside. Most superfunds come with a basic level of insurance. These are very common insurance policies that most people already pay for outside of super. The majority of superfunds have three levels of insurance: total and permanent disability (TPD), income protection and death cover (life insurance). This means that if you have a superfund, you are more than likely already insured to a certain extent. If you are paying insurance outside of your superfund, then there is a high likelihood that you are doubling up. On top of this, if you’ve moved house, changed jobs or changed names, there is a good chance that you’ve got more than one super fund and are paying for insurance on each additional fund that you have. This means you are paying for the same insurance and wasting a lot of money in the long run. For young people with their first superfund, it could mean that these insurance payments are eating up all of your saved superannuation contributions from your employers. This is exactly what happened to me and a lot of my friends. After a few years of having my superfund, I called up to find out my details and how much was in my account. 2 | GSR 2017

To my surprise, my account was almost in the negative. This was due to insurance charges that were taking money out of my superannuation fund without my knowledge. I had never signed up for the insurance policy, it was merely attached to my account when it was opened. Generally young people tend to not want this insurance, as it is not necessary in that time of their lives. This was the case for me and I cancelled the insurance immediately. Soâ&#x20AC;Ś what should you do about it? If you do not want the insurance cover through your superfund, you simply call up the fund and tell them that you no longer want the insurance. Alternatively, some superfunds let you do this online. You can at any point resume the insurance policy if you wish. This should save you a lot of money in the long run and stop the superannuation firm from charging you for unwanted insurance. Donâ&#x20AC;&#x2122;t be a fool with your superannuation, inquire about insurance attached to your superannuation account and start saving money today.

The material in this article has been prepared by Bond Investment Group and is given as general information about the topic area. This information does not purport to be complete or in any way advice or a recommendation in regards to the purchasing or selling of financial products and does not take into account your personal circumstances. Before acting on any information you should consider the appropriateness of the information having regard to these matters, and you should seek independent financial advice. Bond Investment Group.

GSR 2017 | 3

PEER-TO-PEER LENDING: THE FUTURE OF FINANCING? RYAN NASH

he sharing economy (peer-to-peer) is a relatively new but widely known system, particularly with youth. The sharing economy is simply an ecosystem built around the sharing of human capital, physical and intellectual resources. AirBnB, the accommodation sharing website, and Uber, the ride-sharing app, are undoubtedly the two most notable peer-to-peer (P2P) platforms. These platforms provide a new revenue stream for many people and at the same time offer goods and services at lower prices for consumers. The sharing economy in Australia is now worth over $15 billion with a study revealing almost two-thirds of Australians actively participate in the market – whether by spending or earning. This space is predicted to be as much as $55 billion by 2021. The sharing economy is now making waves in fintech through peer-to-peer lending platforms. As the name suggests, it involves the lending of money to other people in return for principal and interest. Whether it be a business that needs to raise capital to improve working capital or an individual that needs money to purchase a new car, no longer are banks, credit unions or close friends the only options. Putting it simply, the process involves a borrower in need of funding who creates an online account with a P2P platform and requests money where investors, being everyday Australians, can look at the online marketplace and determine whether they would like to lend that person or business money or not. Marketlend, Ratesetter, SocietyOne and Harmoney are a few platforms that exist that act as intermediaries creating this marketplace. These platforms use a ‘risk-based pricing’ model whereby the intermediary and third parties assess the borrower’s information and determine a credit score. Those with high credit ratings carry lower risk and will resultantly pay lower rates of interest versus a person with a low credit score. This type of platform is beneficial for both investors and the borrowers. With the RBA cash rate at record lows of 1.5%, the appeal of having your money in term deposits no longer exists. P2P lending gives investors an alternate investment opportunity instead of the common traditional investments in property, stocks or bonds. Depending on what platform is used, investors may have a set rate they are entitled to receive per the level of risk, or they can choose a rate with guidance provided. One may think that P2P is not beneficial for borrowers due to the high rates of interest, however, P2P is beneficial and particularly utilised by borrowers when they have exhausted bank financing or are not eligible for financing for a number of reasons. Where the borrower has a high credit rating, the rate may very well be lower than the rate they would have to pay to loan from a bank. This is because of the high margins required for the bank due to their high costs.

4 | GSR 2017

Interestingly, the December 2016 Consumer Credit Demand Index (from credit agency Veda) revealed that the number of personal loan applications were up 12.4% on the respective quarter in 2015. The General Manager of Veda says that the growth is being driven by new entrants in the personal lending space.

Consumer Credit Applications

Application Volume Index (Oct 02)

12 MONTH ROLLING AVERAGE

1.20 1.15 1.10

Personal Loan

1.05 1.00

Credit Card

0.95 0.90

Mortgage

0.85 0.80 Q4 Dec 2013

Q1 Mar

Q2 Jun

Q3 Sep

2014

Q4 Dec

Q1 Mar

Q2 Jun

Q3 Sep

2015

Q4 Dec

Q1 Mar

Q2 Jun

Q3 Sep

Q4 Dec

2016

Month

Some platforms originally restricted investors but laws surrounding the P2P lending area is constantly evolving to allow such innovation. The Treasurer of Australia, Scott Morrison MP, has stated that â&#x20AC;&#x153;fintech is the way of the future. There is without a doubt, a paradigm shift is taking placeâ&#x20AC;Śwe must ensure that our policies and actions harness and realise the full potential of fintechâ&#x20AC;?. ASIC has provided reports about P2P lending, but it appears to be positive news for the industry. Some hurdles have popped up with LendingClub, one of the first P2P marketplaces in the US, recently getting into strife for contravening investor instructions. This indicated a potential risk with the marketplace itself being that, unlike banks that have strong compliance and procedures in place, such online platforms may not have oversight and perform their duties as an intermediary sufficiently. Overall, P2P lending offers a number of advantages for both investors and borrowers but at the same time carries risk just like any other financial product. Will Australia continue the sharing economy through Fintech such as P2P lending? Only time will tell. The material in this article has been prepared by Bond Investment Group and is given as general information about the topic area. This information does not purport to be complete or in any way advice or a recommendation in regards to the purchasing or selling of financial products and does not take into account your personal circumstances. Before acting on any information you should consider the appropriateness of the information having regard to these matters, and you should seek independent financial advice. Bond Investment Group.

GSR 2017 | 5

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RAISING EQUITY: THE ROLE OF CROWDFUNDING IN THE FUTURE OF VENTURE CAPITAL HARRISON HUME

n the 21st century, the internet is king. It can make a business or product an overnight success, or a spectacular failure. This has never been more true than in the last nine years, with crowdfunding growing in popularity rapidly since the launch of IndieGoGo in 2008.

From a fan-funded international band tour in 1997, the idea of online crowdfunding didn’t gain much traction for over a decade outside of the music industry and a few select software projects. Since 2008, however, there has been explosive growth in the variety of crowdfunding platforms and models available, ranging from the aforementioned IndieGoGo offering donation or reward type capital raising, to companies such as Seedrs, EquityNet and InvestedIn offering equity or debt holding opportunities to those who want to pursue crowdfunding instead of traditional investment. Whereas the previous article, Peer-toPeer Lending: the future of financing? by Ryan Nash, focused on debt, this article will be examining equity crowdfunding and what it means for traditional venture capitalists. In Australia there is currently no legal framework surrounding the use of crowdfunding to raise equity capital, although there is legislation currently under consideration to allow unlisted public companies with up to $25 million in assets to utilise it as a source of funds. In an interview with the Australian Financial Review in January Alan Crabbe, the CEO of Australia’s largest crowdfunding platform Pozible, voiced his frustration at companies not yet having the ability to raise equity capital through crowdfunding. "Companies that have access [to] equity crowdfunding overseas are outgrowing their Australian counterparts” said Alan, and he’s right. Globally, equity crowdfunding raised a total of over $2.5 billion USD in 2015, with the projected total for 2016 exceeding $4 billion, but Australian companies are currently unable to cash in on it. For the time being, this maintains the status quo, with venture capital still steadily growing as a source of funds with the wider expansion of alternative investment in Australia. But what if the legislation passes? Will VC still have a role? In short, yes, as not every founder will like the idea of shelling out small portions of their company to large numbers of people where they could have a few large investors who may also be able to provide guidance when needed. Beyond that, some ideas or concepts may not be suitable for crowdfunding or may not win over public support despite their concept actually being good. Furthermore, many of the projects that get put forward for crowdfunding may not raise as much as they were hoping to, and so traditional VC can fill that gap. 8 | GSR 2017

Crowdfunding platforms themselves may even provide an opportunity to the VC industry in two ways. The first, and most obvious, being the funding of the platforms and sites themselves to help them get up and running, which will lead to the second: Utilising crowdfunding platforms to find potential investment opportunities. Currently the value of an opportunity has to be quantified through historical, where available, and projected revenues, growth rates, and somewhat indirect feedback on demand. The nature of crowdfunding platforms offers an opportunity to gain direct feedback and gauge public reception.

As projects and companies gain traction, they usually rise to the front page of a crowdfunding platformâ&#x20AC;&#x2122;s website, and so it becomes easier to establish public perception of an idea and thus the chance of success. While examining financial statements and assessing how the company is run will still be the make or break factor, the way in which crowdfunding platforms work will certainly make establishing marketability of a product or service somewhat easier. So, while some may see the rise of crowdfunding as circumventing the VC industry entirely, it potentially represents a blessing in disguise, making the decisions of which ideas to fund and which not to fund a more efficient process.

GSR 2017 | 9

INTERNATIONAL EXPANSION: WHERE TO NOW? D.J. ALEXANDER

f a company is doing well in its domestic market the board may consider an international strategy to repeat that success elsewhere. If, on the other hand, a company is feeling the effects of a sluggish economy, it may be seeking new market opportunities for more pressing reasons. In today’s business environment international expansion is almost becoming a necessity. However, growing operations beyond Australia is very complex and costly. The regulatory and cultural differences from country to country, even within the same region, can be overwhelming. The first step is identifying the best country for expansion. This will obviously depend on a company’s product and strategies; although some key countries will always stand out. In this article I have analysed current markets and determined the three best countries for expanding operations in 2017. Three criteria have been used for this analysis: ease of trade, economic strength and tax policy.

Sweden

In the past decade Sweden has boomed to become one of the best countries for business. Recent deregulation and cuts to Sweden’s welfare state has turned the European country’s economy into a very attractive one for operations. The government abolished its inheritance tax in 2005, dropped its wealth tax in 2007 and decreased its energy tax on data centres by 97% this year. Sweden’s economy grew by 4.2% last year with further growth projected for 2017. Furthermore, many of the world’s largest and fastest-growing company’s were founded in the Scandinavian nation including Volvo, H&M, IKEA, Skype, Spotify, SoundCloud, King Digital Entertainment (creator of Candy Crush) and Mojang (creator of Minecraft). All signs suggest Sweden is on the rise – and is the perfect place to expand business.

10 | GSR 2017

New Zealand

30 years ago New Zealand would most likely have been in the ‘no-go’ list for business expansion. However with a lowered dependence on UK trade ties and extremely efficient border administration, it is now one of the best countries in the world for business. The second half of 2016 proved to be New Zealand’s best in years. With the market currently experiencing a housing boom many sectors have seen strong growth. Construction increased 5% in NZ’s second quarter from its first quarter, manufacturing of materials increased 11% in this time and services (which make up 70% of the economy) expanded 0.7%. Spending has seen growth as well with GDP growing by 3.8% in 2016.

“Looking ahead, the momentum in construction activity will continue for a while yet, but the 15 percent strengthening in the dollar over the past year will soon become a headwind,” — Paul Dales, chief Australia & New Zealand economist at Capital Economics in Sydney.

Luxembourg

With a very small economy, companies regularly overlook Luxembourg when expanding globally. However, the economy has maintained solid growth, low inflation and low unemployment in recent years. Its financial sector is leading the economy, making up 36% of GDP. In Europe it maintains a healthy budgetary position and the lowest public debt level in the region. Known as a tax haven, the country has lost some of its advantage as a favorable tax location due to OECD and EU pressure. Despite this, Luxembourg still has an extremely low corporate tax rate of 21% when compared to the US' 35%. This small market is clearly a great location to expand operations with many markets not yet penetrated by international businesses.

GSR 2017 | 11

BRAD CAVANAGH

resident Trump vowed to name China a currency manipulator on his first day in the White House. He has long blamed China for America’s economic woes enforcing his America First rhetoric on foreign policy. Tweeting:

“Did China ask us if it was OK to devalue their currency (making it hard for our companies to compete), heavily tax our products going into.. — Donald J. Trump (@realDonaldTrump) December 4, 2016 their country (the U.S. doesn't tax them)... I don't think so!” — Donald J. Trump (@realDonaldTrump) December 4, 2016 The exchange value of the Yuan is fixed by the central bank, the People’s Bank of China with a 2 percent allowance each way, within which market forces can have their say. In effect, it is an exchange rate set and controlled by the People’s bank of China and by extension the Communist Party of China. China has a long and sordid history of intervening directly in the foreign-exchange market to manipulate the value of its currency. For years, China clearly manipulated its currency to gain an advantage over global competitors. It bought foreign currencies, the U.S. dollar in particular, to push them higher against the Yuan, accumulating vast foreign currency reserves in the process. 12 | GSR 2017

There's only one problem with President Trump’s opinion — it's not true anymore. China, the world's second-biggest economy behind the United States, hasn't been pushing down its currency to benefit Chinese exporters in years. It has, in fact, been attempted to prop up the value of the Yuan. In recent years Beijing has been damming up official channels for foreign investment, as Chinese companies and individuals attempt to flee the country's slowing economy and weakening currency. As this capital flows out of China’s economy, it places downward pressure on the value of the Yuan. China and its Leader, Xi Jinping, are deeply concerned about these capital outflows. A weak Yuan also risks sparking a currency war with China's regional neighbours and trading partners, who could respond by devaluing their own currencies.

China's official foreign exchange reserves fell more than half a trillion dollars last year and are still falling, with a loss of nearly $41 billion in December last year alone. If Beijing stepped back and allowed market forces to determine the value of the Yuan it would likely fall even faster, giving Chinese exports a larger competitive advantage. Instead, China has spent nearly $1 trillion to cushion the Yuan’s fall over the last two and a half years. In essence Beijing is doing exactly the opposite of the accusations Trump has levelled at it. Whether China is propping up exchange rates or holding them down, manipulation is manipulation and should not be overlooked. To be intellectually consistent, one must acknowledge that the distortions induced by government intervention in the foreignexchange market affect both trade and capital flows. Mr Trump is taking the right first step to address this issue by questioning why there aren’t adequate rules in place to keep countries from manipulating their exchange rates. Mr Trump’s penchant for identifying core problems and taking bold actions to resolve them is encouraging. He would do well to take the next step for the sake of free trade and to establish a system that ensures stable exchange rates. The material in this article has been prepared by Bond Investment Group and is given as general information about the topic area. This information does not purport to be complete or in any way advice or a recommendation in regards to the purchasing or selling of financial products and does not take into account your personal circumstances. Before acting on any information you should consider the appropriateness of the information having regard to these matters, and you should seek independent financial advice. Bond Investment Group.

GSR 2017 | 13

Think BIG

VS the world

he forex exchange market (currency trading) is the most liquid financial market in the world – many times more than any stock market. Within a market, there are three types of investors: hedgers, arbitrageurs and speculators. Hedgers are firms operating in different countries who try to minimise the risk of fluctuations in exchange rates. Arbitrageurs trade in the market to find arbitrage opportunities and exploit them. The speculators take positions in the market based on their anticipation of future movements. Back in the beginning of 2015, the majority of speculators went heavily against the Swiss Franc and predicted – or “speculated” – in the market that the Franc would appreciate in the future. At the time the Swiss National Bank (SNB) had pegged the Franc to the Euro, setting a floor of 1.2 Francs or per Euro. The SNB held strong for a while, saying they would keep the Franc pegged to keep off the speculators. But in the end they could not withstand the pressure from the speculators anymore and had to let it float instead of being fixed. The speculators won over the national bank and a large amount of people lost fortunes! In no time the Swiss Franc appreciated around 20%. Once speculators saw they could beat out national banks that have a fixed exchange rate, they moved on to the next target. Their next target was the Danish Kroner – it is fixed to the Euro. The Danish economy has been considered strong and safe

in these uncertain times in Europe and has put some upward pressure on the Krone. After moving on from Switzerland the speculators took positions in the market believing the Danish Kroner would appreciate in the future. The Danish National Bank tried just like the Swiss National Bank to defend the currency. In just two weeks the short interest rate was cut four times from around 0% to end at -0.75%. Additionally, they sold Danish Kroner in the market (increase supply) and bought foreign currency. The foreign currency reserve of the national bank increased with $56 billion (increase of 60%) compared to before the attack started. The main weapon the Danish National Bank had was to keep confirming to the market they would keep fighting this attack and keep the fixed exchange rate to the Euro. After two hectic months in the beginning of 2015 with dramatic interest rate cuts and a full stop of selling all types of governments bonds; the pressure weakened and the national bank came out as winners of the battle. At this day today, two years after, the short interest rate still at the same rate, but they have started to sell government bonds again. All this has resulted in very low interest rates on mortgages. There has been examples of people before transaction and other costs could borrow money for their home to a negative interest rate. Receiving interest by borrowing money! The 20 year bonds are as low as 2%.

SMART SNACKING SWAPS NAOKA SALMON

SWAP OUT YOUR DAILY CAPPUCCINO FOR A WHITE TEA Now I’m not saying that you should never drink coffee again, but the added sugar, flavourings and milk simply aren’t the best to keep you going of a big day. For instance, a medium, full-cream milk cappuccino can contain up to 150 calories. Swap your morning pickme-up instead for a white tea, which only contains 3 calories. It offers all the health benefits of antioxidant-rich green tea and acts as an appetite suppressant.

SWAP CHIPS FOR ROASTED CHICKPEAS If it’s 3pm and you’re craving something savory, steer clear of those fatty chips and opt for something different. A 25 gram serving of chickpeas is only 95 calories, compared to the 250 calories from a serve of chips. Roasted chickpeas are also high in fibre and contain 5 grams of protein per serve. Try roasting them yourself with orange, turmeric or Himalayan salt.

DROP THE RED BULL One large can of Red Bull can have a massive 223 calories, all from refined sugars (bad for you!). Add that up and you save over 81,000 calories per year, which adds up to over 20kg per year!!! Replace it with a glass of ice water of sparking water (0 calories). Dehydration causes fatigue, and if you don’t drink enough water consistently you can fell sluggish all the time. Don’t stop just drinking it, take a break from studying and splash cold water on your face – it will stimulate circulation and metabolism and most definitely wake you up. To spice it up, add a squeeze of lemon or lime, cucumber slices, or mint leaves for a nice refreshing drink.

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Creativity & Innovation:

What is the difference between creativity and innovation? Creativity is about conceiving new ideas in the mind. Those concepts or visions can then be transformed into something we can see, hear, smell, touch, feel or taste. However, often those ideas remain solely as thoughts within oneâ&#x20AC;&#x2122;s mind, and because creativity is subjective, it cannot be measured. In contrast, innovation is a concept that is completely measurable and relates to the introduction of change into a stable system. It is also responsible for making an idea viable through recognising an unmet need. An organisation can then combine innovation with its own unique creative resources to develop solutions to complications and secure a return on investment. Creativity and innovation go hand in hand, but often businesses seek creativity without considering to incorporate innovative techniques.

Nowadays there are rarely any startups that begin without a basis of either creativity or innovation. We donâ&#x20AC;&#x2122;t have to look far - take 40/40 Creative as an example. Founded by graphic designer Nic Nichols, the marketing firm is based on the Gold Coast and has clients from all over the world. Prior to launching his agency, Nichols was a freelance graphic artist who focused on digital marketing, even though he had very little business experience. He has now developed 40/40 Creative Agency into a million-dollar operation and his business is now listed as one of the best places to work on the Gold Coast. Another example of a company that started off with a basis of creativity and innovation is the social media platform Instagram. It was founded by Kevin Systrom and Mike Kriger, both graphic designers,

the keys to business

who wished to create a photo-sharing app with easy to use editing capabilities. It was bought by Facebook in 2012 for US $1 billion and in only 4 years grew into one of the most recognizable social media platforms in the world. People from all kinds of creative backgrounds such as graphic design, theatre and writers now rely on Instagram as a medium to display their work. The success of Instagram reinforces the importance that creativity and innovation have on all mediums. The final example of the importance of creativity and innovation comes from two empowered women. Katherine Power and Hillary Kerr, former editors of Elle Magazine, decided to resign from their prominent positions at Elle Magazine and launch a digital magazine space. Power and Kerr co-founded the infamous lifestyle website â&#x20AC;&#x2DC;Who What Wearâ&#x20AC;&#x2122;, a

place where readers can gain insight into fashion, celebrity, trends and shopping. After the success of this brand, the duo created the company Clique Media Group, a global media, marketing and consumer brands business that owns and operates MyDomaine (www.mydomain. com), Byrdie (www.byrdie.com) and Obsessee, a social-based network for Gen Z girls, founded in 2016 alongside the INF Network (which represents 55 influencers) and CMG Studios (a full-service in-house creative agency). As you can see, creativity and innovation constantly surround us and are some of the major keys to success in business. You just have to know where to look.

- Jinny Le 13

Whats on:

At and around Bond Whats been happening? Tuesday, 14th March

Bond Investment Group presents Rotary Titans of Industry Forum Topic: Finance Tickets: $50 - 900 The Rotary Titans of Industry Forum will bring together some of the sharpest minds in the Australian business community to discuss some of the critical issues facing the business leaders of today and tomorrow under this year’s topic, ‘Banking and Capital Markets’. This year’s panel comprises of some of Australia’s true titans of industry, including: Tim Bishop, Peter Hunt AM, Victor Hoog Antink, and moderated by Tim Horan AM.

Tuesday, 21st March

Bond Business Links – Social Media for Small Business Topic: Social Media Tickets: FREE Bond Business School invites you to the next Bond Business Links event with guest speaker Claire Deane, the Chief Executive Officer at Deane & Co. If you’re a busy business owner that needs help taking control of your social channels, are looking for simple and practical strategies to grow your following online, and desperately need hacks and work-flow advice to simplify the process, then this social media workshop is the perfect solution for you.

Wednesday-Friday, 22nd-24th March

Bond Entrepreneurship Collective presents 3 Nights 3 Skills Topic: Digital Skills (app and website design) Tickets: FREE After the overwhelming success from last years booked out event, the Bond Entrepreneurship Collective has brought back this free event. Night One will discuss the Top 5 Lessons from a Young Entrepreneur with special guest and entrepreneur Hayden McEvoy; followed by developing prototype apps on Night Two with Navdeep Pasricha; and website design on Night Three with Vlad Adam.

yet to come: Friday, 7th July

Take your Business from Backyard to Centre Stage with Dynamic Presentations by Janeen Vesper Topic: Presentations Tickets: $311.36 - 471.24 The 7 Sevrets of Professional Presenting is for business owners and entrepreneurs who are smart and great at what they do, but know they aren’t showing their full potential whenever they speak to a group, whether it be 2 or 200. This one-day workshop is for you if you want that professional edge to be able to speak with ease. Link: https://www.eventbrite.com.au/e/take-your-business-from-backyard-to-center-stage-with-dynamic-presentations-tickets-27785993655?aff=es2

Thursday 13th & Thursday 0th July

TDi Business Model Workshop by the Difference Incubator Topic: Entrepreneurship Tickets: $497.37 TDi invites you to be a part of a special two-day workshop to explore and develop business models based from the Business Model Canvas. The right business model can take your social enterprise and begin the journey of creating a sustainable business that consistently delivers blended value returns – both social and financial. Link: https://www.eventbrite.com.au/e/tdi-business-model-workshop-brisbane-13th-july-20th-julytickets-30343860303?aff=es2

Friday, 21st July

Brisbane Digital Summit 2017 by Interactive Minds Topic: Marketing Tickets: $297 - $465 The Interactive Minds Digital Summit is back again in 2017 in both Brisbane and Melbourne – a day immersed in the digital marketing community to learn, connect and be inspired. Both events will welcome experienced Marketers who will share their strategic insights on the latest campaigns, trends and technologies. Link: https://www.eventbrite.com.au/e/brisbane-digital-summit-2017-tickets-31706411731?aff=es2

- Nina hofer 15