Marketplace for Wednesday August 27, 2014
Snapchat has been allocated an impressive valuation...which appears to bear little or no relation to the valuation it had when it was last valued several months ago. So what makes it worth what people think it's worth today? Plus, American Airlines announced this week that it would pull its fares from any websites run by Orbitz Worldwide. The reason? The companies couldn’t agree on new contract terms. It’s the second contract dispute between the two travel giants and comes at a time when, according to reports, upgraded websites are becoming more popular with consumers. How will American Airlines withdrawal affect Orbitz? And how does a business relationship like this work? Also, the Commerce Department is imposing tariffs on Mexican sugar, after U.S. growers complained the Mexico was dumping cut-rate sugar here. U.S. sugar is already highly protected and is more expensive than in other countries. How will these tariffs affect industrial-scale users of sugar like candy makers?