Insights For Success

Strategy, Innovation, Leadership and Security

USA

Corporate Bankruptcy in the USA: Understanding the Different Types

GeneralEdward Kiledjian

This post is for informational purposes only and does not constitute legal advice. It is important to note that every individual and business's situation is unique, and it is always best to consult with a licensed and qualified professional for specific legal advice. This post should not be relied upon as a substitute for professional legal advice.

In the United States, there are several types of corporate bankruptcy businesses can file for to restructure their debts or liquidate their assets. Here are the main types:

  1. Chapter 7 Bankruptcy: This type of bankruptcy is also known as "liquidation bankruptcy," as it involves the sale of a company's assets to pay off its debts. The company's assets are liquidated, and the proceeds are used to pay off its creditors. Any remaining debts are then discharged. Chapter 7 bankruptcy is typically used by small businesses that do not have the resources to restructure their debts.

  2. Chapter 11 Bankruptcy: This type of bankruptcy is often referred to as "reorganization bankruptcy," as it allows a company to restructure its debts and continue operating. Under Chapter 11 bankruptcy, the company creates a plan to repay its creditors over time. This plan must be approved by the court and the company's creditors. Chapter 11 bankruptcy is often used by larger businesses that can restructure their debts and continue operations.

  3. Chapter 12 Bankruptcy: This type of bankruptcy is similar to Chapter 11 bankruptcy, but it is specifically designed for family farmers and fishermen. It allows these individuals to restructure their debts and continue operating their businesses.

  4. Chapter 13 Bankruptcy: This type of bankruptcy is also known as "wage earner bankruptcy," as it is typically used by individuals who have a regular income but cannot pay their debts. Under Chapter 13 bankruptcy, the individual creates a repayment plan to pay off their debts over three to five years.

It's important to note that bankruptcy should be a last resort for businesses and individuals, as it can have serious consequences, including the loss of assets and damage to credit scores. However, for some companies and individuals, bankruptcy may be the only option for dealing with overwhelming debts.

Keywords: corporate bankruptcy, bankruptcy types, Chapter 7, Chapter 11, Chapter 12, Chapter 13, liquidation bankruptcy, reorganization bankruptcy, family farmers, fishermen, wage earner bankruptcy

What is an OODA Loop?

GeneralEdward Kiledjian

The OODA loop is a decision-making process developed by military strategist and the United States Air Force Colonel John Boyd. The letters in the acronym stand for Observe, Orient, Decide, and Act.

The basic idea of the OODA loop is that to be successful in any situation; you must first observe the situation and gather information about it. Once you have gathered this information, you must orient yourself to the situation, understanding what is happening and why. With this understanding, you can then decide what to do next. Finally, you must take action based on your decision.

The OODA loop is a powerful tool because it helps you to make decisions quickly and efficiently. It is especially useful in situations where there is a lot of information to process, and you need to make a decision quickly.

The OODA loop can be applied to any situation, but it is particularly useful in situations with uncertainty or ambiguity. For example, it can be used in business decision-making, military strategy, or personal decision-making.

The OODA loop is a core part of the US Air Force's combat operations. The Air Force uses the OODA loop to help pilots make decisions quickly and efficiently in the heat of battle.

The Air Force also uses the OODA loop to train its pilots. By teaching pilots how to use the OODA loop, the Air Force can ensure that its pilots can make quick and effective decisions in combat situations.

What are some other applications of the OODA loop?

The OODA loop can be applied to any situation with ambiguity or uncertainty. Some other examples of situations where the OODA loop may be useful include:

  • Business decision-making

  • Military strategy

  • Personal decision-making

The OODA Loop Process

  • The first step in the OODA loop is to observe the situation. This means paying attention to what is happening and gathering information about the situation. Gathering as much information as possible to orient yourself correctly in the next step is important.

  • The second step is to orient yourself to the situation. This means understanding what is happening and why. It is important to have a good understanding of the situation before deciding what to do next.

  • The third step is to decide what to do next. This step is where you will use the information you gathered in the first two steps to decide what action to take.

  • The fourth and final step is to take action. This step is where you will take the action you decided on in the previous step.

It is important to note that the OODA loop is not a linear process. You may find yourself going back to previous steps in the loop as new information arises or as you rethink your decision. The important thing is to be flexible and adaptable in your thinking to make the best decisions possible.

What are some benefits of using the OODA loop?

There are many benefits to using the OODA loop. Some of these benefits include:

  • Quick decision-making: The OODA loop helps you to make decisions quickly and efficiently.

  • Improved situational awareness: The OODA loop helps you gather more information about a situation to orient yourself more accurately.

  • Better decision-making: The OODA loop forces you to think through a situation before making a decision. This leads to better decisions overall.

What are some drawbacks of using the OODA loop?

There are some potential drawbacks to using the OODA loop. Some of these drawbacks include:

  • Overthinking: The OODA loop can lead to overthinking a situation if you get stuck in the cycle of observing, orienting, and deciding.

  • Tunnel vision: The OODA loop can also lead to tunnel vision if you focus too much on one situation aspect.

  • Missing important information: The OODA loop can also cause you to miss important information if you move too quickly through the steps.

Despite these potential drawbacks, the OODA loop is still a powerful tool that can be useful in many different situations.

Keywords:

OODA Loop, US Air Force, Combat operations, Quick decision making, Military strategy, Business decision making, Personal decision making, Orienting, Deciding, Taking action, Flexibility, Adaptability, Situational awareness, Overthinking, Tunnel vision, Missing information, Powerful tool

My view of the TikTok risk

GeneralEdward Kiledjian
tiktok-5323005.jpg

This is an opinion piece.

TikTok is a Chinese social media network that allows creators to publish short videos. It started with a ton of slapstick comedy and karaoke but has since matured with much more diverse content. It has become one of the most popular social media platforms because of its powerful video pairing algorithm. It has an incredible ability to show you a continuous stream of content you will find interesting, and it is usually correct. 

You can see samples on their trending webpage without needing an account.

TikTok belongs to a large Chinese company called ByteDance. This is problematic for western politicians because (it is suspected) Chinese corporations have been stealing IP from their western counterparts for decades. 

But why is the USA talking about banning TikTok (a rare censorship move by the US government)? 

It is important to remember that China has banned most western social media apps within its borders. Without working around the great firewall of China, a citizen cannot access Facebook, Twitter, Reddit, or any Google property. It banned them to stifle conversation, to censor free speech and to monitor its citizens. 

You can use a website like Blocked In China or Comparitech to check if a site is accessible from China

Untitled.png

I have lived in Hong Kong and worked in China for a considerable amount of time. So I hope that I can bring some interesting perspectives about China and this TikTok discussion.

The first thing to remember is that you cannot evaluate this matter through an American lens. 

Every medium-sized company or larger (think larger than 50-75 employees) is beholden to the Chinese government. This means that the Chinese government can seize, capture or use any information held by any Chinese company. Unlike US authorities, they do not need a court order to undertake any of these activities). Even though the Chinese government has allowed companies to operate with a semi capitalistic model, they theoretically own all Chinese companies operating in China. 

A more risky point is (it is said) the fact that the Chinese government incentives Chinese companies and citizens to expand internationally and sign partnerships with western organizations to steal IP. The goal (it is said) is to use this knowledge to build a Chinese variant. Once perfected, the end-goal is to export this Chinese version overseas and take over that market (this works in every vertical from clothing to aerospace). 

Read about their 14th five year plan here. Think of the five-year plan as a master blueprint for their economy. It lists the industries they want to lead in during that five year period. The next one (2021-2026 will cover the environment and green tech). During those five years, they want to become industry leaders at any cost (remember the IP theft claim above).

If you watched Silicon Valley on HBO, they alluded to this characteristic when Jìan-Yáng "borrowed" American company ideas to start copies in China (time-code 0:44). 

Sometimes patriotic hackers could also attack foreign companies to aid China. The US Department of Justice pinned the Equifax hack on 4 Chinese hackers.  This hack gave hackers ,and (it is said) the Chinese government, access to the credit records of millions of Americans. They also had access to confidential Equifax business processes. 

So what?

Let's summarise

  • every Chinese company is owned by the Chinese government

  • The Chinese government has access to all the data these Chinese companies have

So considering the above, prima facie, Tiktok should be a national security threat. Last year American senators "woke up" and asked their national intelligence agencies for analysis. 

Obviously, Tiktok pushed back by saying that they use American servers running in the USA. TikTok also appointed an American CEO.

Think of all the data these companies collect about you (name, location, social graph, habits, likes, etc.). Used "properly" it can generate a ton of obviously useful and some less obviously useful data points. 

Read my 2014 article about how Target predicted its’ customers were pregnant before they knew it by data-mining their buying habits. Now imagine what could be done with a ton more information.

Regardless of where the data sits, the company that owns TikTok is ByteDance, a large, fully Chinese organization. Even if the data sits in the USA, ByteDance (it is believed) cannot refuse a request from the Chinese government (regardless of where the data sits). 

Remember that Chinese employees have access to the American servers and data. It is claimed that ByteDance has ties to the communist party back home. All of these simply bring TikTok closer to the Chinese government and make obtaining information that much simpler. 

In addition to concerns about China gaining access to traditional social media users’ data, there is the concern of TikTok being a tool to exercise soft power. 

A popular tool used in cyber offensive activities is Psychological Operations (PsyOps). The goal of a psyops program is to secretly fuel the fire in a foreign country's population to take actions desirable to you. 

We heard about TikTok users coordinating on the platform to troll Trump's Tulsa rally. 

Was this truly a grassroots movement, or was a foreign adversary secretly working in the background to encourage actions aligned with its interests? Remember that a good psyops program is secret and almost impossible to identify. 

Americans see TikTok as a bastion of free speech, but it isn't. Many have claimed Tiktok removes other types of videos that would not normally be considered bad in the west:

  • TikTok Is Reportedly Removing Videos of People with "Abnormal Body Shapes" 

  • TikTok 'tried to filter out videos from ugly, poor or disabled users' 

We have heard other complaints about videos critical of China also were removed. I don't know if this is true, but it would be consistent with how we believe China operates. Don't forget China uses TikTok to flex its soft power by encouraging creators to publish pro Chinese content. 

This goes back to the original point of not evaluating TikTok with your American lens. Whereas the removal rules for videos on Youtube, Facebook or Twitter are relatively well accepted (harmful, child abuse, exploitation, promoting hate, etc.), Chinese rules for removal of content are very different. China has an ambiguous law that aims to “prevent the spread of rumours”, What constitutes a rumour is purposefully vague and this law has been used to shut down dissenting voices. When watching online complaints about the types of videos actually being taken down, it seems more aligned with enforcing this law to protect the Chinese “face”.

My assessment is that the Chinese government doesn't care about users discussing American politics. They want to ensure no one criticizes China, the Chinese system or the government's authoritarian rule. This is exemplified by TikTok deleting a video by a makeup channel. She talked about the plight of the Uyghur while doing her makeup and had her video deleted. 

China believes in free speech as long as it doesn't impact them or their narrative of the world. Try searching TikTok for videos discussing Hong Kong independence, Taiwan independence, or anything else criticizing China. 

Here is a shocking trend for you. Teens in the US and Europe that believe they may have been shadowbanned will publish videos with the Chinese national anthem playing in the background, with pictures of Xi Jinping and professing their love for China. Even though this is being done mockingly, doing this enough could have unintended psychological consequences and start creating positive associations in these teens about China.

Conclusion

I am anxious to see if the USA will ban TikTok and on what grounds. Will they conduct a full and impartial review, or will it simply be a decision of political convenience. Don't get me wrong, as a security professional; I don't trust any company based in China that is beholden to the Chinese government. The general public making dance videos may not care that their data could be used to build a profile of each user.

That if the Chinese government wanted, they could use the videos to create a sizeable facial recognition database with a robust social graph.

That this data, merged with other data from other breaches and leaks, could help build a reasonably reliable profile of hundreds of millions of people.

That the platform could be used to sway younger voters in a particular political direction more aligned with Chinese interests.

I am curious about how the US would implement a ban? Even if they mandated the appstores remove the apps, Android users could sideload it, or TikTok could build a Progressive Web App (a web page that looks and acts like an app). We simply don’t have the same censorship tools as China.

I don't know if the platform IS a risk to national security, but I personally don’t trust it.

If I start seeing more "Chinese contraband" content on TikTok, then I will be inclined to believe they are independent of the Chinese government. I want to see

  • videos about the Muslim minorities being sent to re-education camps

  • videos asking for freedom to be restored in Hong Kong

  • videos talking about Taiwanese independence

  • videos criticizing the communist government

  • videos discussing he persecution of Falun Gong members (even imprisonment)

Until then, I hope users understand what could happen with their data. Particularly parents of younger children. Once something is uploaded to the internet, it can never really be removed.

US bans use of Huawei technology through Defense Authorization Act

GeneralEdward Kiledjian

US President Donald Trump has signed the Defense Authorization Act into law. Section 889 ( PROHIBITION ON CERTAIN TELECOMMUNICATIONS AND VIDEO SURVEILLANCE SERVICES OR EQUIPMENT) bans use by government agencies and contractors of Huawei or ZTE technologies. 

The language of the act is ambiguous and doesn't clearly list what technology is or isn't covered by the prohibition. 

procure or obtain or extend or renew a contract to procure or obtain any equipment, system, or service that uses covered telecommunications equipment or services as a substantial or essential component of any system, or as critical technology as part of any system

ZTE and Huawei should not be used to access government systems that display personal data, therefore it is safe to assume that most agencies and contractors will purge their networks of systems designed or that use these technologies.

I have not yet seen an official response from either of the tech complanies.

Stay tuned. 

Calgary airport offers the best WIFI performance in Canada

GeneralEdward Kiledjian

Ookla, everyone's favourite speed test service has just published internet performance metrics for North American airports. Calgary Airport has been rated as the best performer of all Canadian airports and is the third best in North America.

  1. Seattle Tacoma International
  2. Denver International Airport
  3. Calgary International

Montreal's Pierre Elliot Trudeau Airport was rated the worst. Toronto's expensive Toronto Pearson International Airport is rated 23rd.