Union Membership Essay Example for Free

Union Membership Essay With great attention being placed on medication safety and reduction of healthcare costs, involvement of information technology in health care is increasing (Kuperman Gibson, 2003). Examples of this so-called patient care information systems are order entry systems, medical records systems, radiology information systems and patient information systems with Computerized Provider Order Entry, or Computer Physician Order Entry, (CPOE) receiving valuable attention (Ash, Berg, Coiera, 2004). Thus, this paper will be focused on CPOE as an emerging health care technology. CPOE, as defined by (Campbvell et al. , 2006), is: †¦the process by which physicians or their surrogates (but not intermediaries) directly enter medical orders into a computer application (p. 547). With this transformation from handwriting orders into encoding them into the computer, CPOE is seen as an important platform for the enhancement of health care delivery (Gibson Kuperman, 2003). Gibson and Kuperman (2003) have noted the positive outcomes of CPOE in the following areas: a) preventive care measures; b) compliance with drug monitoring; c) laboratory test ordering; d) radiologic test ordering; e) medication error reduction; f) decrease length of hospital stay; g) time-saving communication with the healthcare team; h) standardization of practice; i) clinical decision support; and, j) storage of data for management, quality, and research monitoring. Thus, CPOE is seen as the ticket for the avoidance of underuse, misuse, and overuse of health care (Gibson Kuperman, 2003) with endorsements from the Leapfrog Group as being an important leap for health care quality (Gibson Kuperman, 2003). Yet, as in any other technology, the complexity, advanced features, and high demands of CPOE can lead to consequences that are unintentional (Campbell et al. , 2006). Though CPOE also bears positive and beneficial UC’s, the alarming negative consequences which affects the healthcare, especially that of nursing services, will be the focus of this study with the aim of presenting the adverse UC’s of using such an emerging health care technology. CPOE: NOT ALL GOOD Campbell and colleagues (2006) conducted a study that pointed out to 9 different unintended consequences of CPOE to healthcare. In decreasing frequency, these UC’s are: a) more/new work for clinicians; b) workflow issues; c) never ending system demands; d) paper persistence; e) changes in communication patterns and practices; f) negative emotions; g) new kinds of errors; h) changes in the power structure; and i) overdependence on technology (p. 549). (See table 1). Among these UC’s, others affect the medical professionals or the healthcare organizations only while some encompasses its effect on nursing services. Since this paper is focused on the UC’s that affect the clinical nursing care, focus is given on the following UC’s of CPOE: a) workflow issues; and, b) changes in communication patterns and practices. Workflow Issues Clinical workflows are complex thereby necessitating dynamism (Campbell et al. 2006). With traditional health care workflows, steps are more adaptable and include a variety of checks and balances, interventions and exceptions (Campbell et al. , 2006). These consist of several concurrent and asynchronous steps that could adjust, cease, or intervene in the processing of medical orders (Campbell et al. , 2006). CPOE, as evidenced by the study of Campbell et al. , (2006), abolish these multiple interdependent steps resulting in lesser procedure reviews and greater potential hardships. CPOE has clinical ordering processes that follow predictable steps where the doctor encodes and order, the system delivers it to the rightful destination, the order is processed, and the request is acted upon (Campbell et al. , 2006). But then, this rigid adaptation of hospital procedures is different from what occurs in the real setting (Campbell et al. , 2006). In actual practice, simultaneous actions on wide dimensions like assessing patients, carrying out orders, and responding to emergencies, require flexibility by healthcare providers especially that of nurses (Ash, Berg, Coiera, 2004). As Campbell et al. (2006) note, nurses are with good experiences are able to blend orders as necessary. Ash, Berg, and Coiera (2004) agrees to this by stating that in everyday health care work, experienced nurses are more often knowledgeable about medications than many other junior physicians who populate the ward. With the strict implementation of rules by CPOE, this flexibility of nurses especially in areas of emergency care and â€Å"stat† actions are disregarded and are not permitted (Campbell et al. , 2006). This is in favor of quality and management control, but has great risks for health care provision (Campbell et al. , 2006). This shows CPOE’s failure to support individual role players and work-shifting in the health care area that may lead to ineffective work activity synchronizations (Capmbell et al. , 2006). As such, this lack of support for the highly flexible and fluid ways of real life clinical workflow is burdensome for medical and nursing professionals (Ash, Berg, Coiera, 2004). Changes in Communication Patterns and Practices Health care professionals are connected by sharing professional opinions and needs through noting progress and conducting referrals (Ash, Berg, Coiera, 2004). CPOE alters this traditional pattern by replacing previously interpersonal conversations regarding provision of care with a computer system that creates problems in the clinical care work (Campbell et al. , 2006). By communicating only through the computer, physicians are provided with an â€Å"illusion of communication† by believing that entry of an order into the system guarantees that proper people will receive it and take appropriate actions (Campbell et al. , 2006). This places the blame on nurses for non-carrying out of orders as they are expected to have performed it (Campbell et al. , 2006). But with a fast-paced work in wards and special areas, nurses are more often on bedside care rather than facing the computer resulting in delayed notification of new orders, or worse non-information at all (Campbell et al. , 2006). Also, the time that elapsed from the physician seeing the patient and encoding the order may take precious moments that may consist of changes in the status of the patient’s condition (Campbell et al. , 2006). This results in untimely orders received by nurses, who are the implementers of such encoded orders. Communication also involves more than transferring information. More importantly, it is about evaluating the person’s reception and understanding of the situation and the willingness to intervene on that information through feedbacks (Ash, Berg, Coiera, 2004). With face-to-face conversations by doctors and nurses, timely feedbacks are given by each resulting to more appropriate interventions (Campbell et al. , 2006). With CPOE, the lessened feedback leads to orders missed, diagnostic tests delayed, and medications not given at all because timely feedbacks have not been exchanged (Ash, Berg, Coiera, 2004). This disregard for interpersonal communications by CPOE can be troublesome for the clinical work. With a reduction in face-to-face communications, errors due to miscommunications, delayed actions, and fewer team-wide discussions may result (Campbell et al. , 2006). CONCLUSION With the complexity and imperfections of human operations, even emerging technologies with good intentions are expected to have, in one way or the other, unintended consequences. In the light of CPOE’s, though intentions are directed towards improving safety and quality of health care, some effects result as this new technology is embraced by healthcare practice that has long survived without the use of such. As it affects aspects of healthcare, nurses, who implement most of the orders entered by doctors through CPOE’s, are also affected. As CPOE disrupts the conventional health care workflow, it also changes the flexible roles of nurses and care providers in terms of clinical work and responsibilities. In the light of CPOE changing interpersonal communication practices, the traditional face-to-face interactions are lessened thereby leading to poor coordination among nurses and physicians and other ancillary care providers. Thus, with the promise benefits of CPOE, a clear review of the already known and possible unintended consequences to health and nursing care must be made if CPOE is to be imposed in health settings. By doing so, preparations for these effects may be made leading to a more enjoyment of CPOE good effects rather than suffering from its adverse unintended consequences. References Ash, J. S. , Berg, M. , Coiera, E. (2004). Some unintended consequences of information technology in health care: The nature of patient care information system-related errors. Journal of the American Medical Infromatics Association, 11, 104-112. Campbell, E. M. , Sittig, D. F. , Ash, J. S. , Guappone, K. P. , Dykstra, R. H. (2006). Types of unintended consequences related to Computerized Provider Order Entry. Journal of the American Medical Infromatics Association, 13 (5), 547-556. Coyne, C. J. (2008). Unintended consequences. In: Fortier, J. (Ed. ), Key concepts in free markets: Executive summaries in the History and theory of free market economics, 115-138. Vancouver, BC: The Fraser Institute. Kuperman, G. J. Gibson, R. F. (2003). Computer physician order entry: Benefits, costs, and issues. Annals of Internal Medicine, 139, 31-39. Merton K. (1936). The unanticipated consequences of purposive social action. American Sociological Review, 1, 894-904. MSN Encarta (2008). Side effect. Retrieved October 23, 2008, from http://encarta. msn. com/dictionary_/side%2520effects. html Spratto, G. R. Woods, A. L. (2008). PDR Nurse’s Drug Handbook, vii-xvii. United States: Thomson Delmar Learning.

Factors Affecting Multinational Corporations Cost Of Capital Finance Essay

Factors Affecting Multinational Corporations Cost Of Capital Finance Essay This essay will consider the key factors which affect a companys cost of capital. The essay will analyse firstly the key components which contribute towards a companys cost of capital before going to consider how these factors differ for a multinational company as opposed to those operating within a single national market. In the first instance, the essay will consider the issue of the cost of capital with specific reference to multinational organisations, as such the research will use the definition of a multinational organisation as provided by Johnson et al (2008). Here the definition given is a multinational company is simply one which operates in several diversified geographic markets which spans the borders of more than national boundary. Every business is subject to the cost of capital, the cost of capital in essence represents the cost to a business of making use of the resources for which investors in various forms put into the business in the first place. The cost of capital is incurred through a variety of methods and includes interest payments and dividends, which an investor receives as a reward for investment within a business. For pragmatic purposes the cost of capital is usual expressed as a percentage, the most common expression being that of the Weighted Average Cost of Capital (WACC). WACC is a useful way of analysing a companys cost of capital. Essentially WACC considers the relative costs of each of the component elements of the companys capital structure and then takes an average of those costs, based upon the relative weights of each component (Tennent 2008). Whilst companys may have many sources of finance, each of which have there own costs and nuances the cost of capital may be broken down into two major sources, namely debt and equity. Debt In a companys capital structure debt is usually one of the major components and consists of long term borrowings such as bank loans and other financial instruments such as bonds and debentures (Arnold 2007). The principal cost of capital with regards to the debt component of the capital structure is the payment of interest upon the capital borrowed in the first instance. In the case of a bond, interest rates are fixed at the issue of point of the bond with the company receiving a lump sum investment on issue in return for regular repayments of a fixed interest rate. On the other hand long term borrowing may have slightly more flexible approach to the cost of capital. The principal cost of long term borrowing is still an interest rate however, the borrower may opt to negotiate a fixed or floating rate of interest. Where a fixed rate of interest is agreed, then the cost of capital is also fixed for the duration and will operate like that of a bond or debenture. However, where the inter est rate is a floating one, then the parties will negotiate an initial rate but this will then be amended to reflect changes in the underlying interest rates issued by central banks. The question in relation to a multinational companies cost of capital which relates to debt is what interest rate will be paid. The answer would be a combination of the concepts of risk and central bank interest rates. A companys capital structure in itself also has an impact upon the companys cost of capital. In general terms, whilst debt funding is seen as a lower cost source of capital than that of equity (Bringham and Ehrhardt 2005) the cost of debt however, in its self is not fixed. Bringham and Ehrhardt (2005) indicate that as a company takes on a greater level of debt within its capital structure, future borrowings become more expensive. This is due to the fact that investors consider that as a company increases its levels of leverage, the company becomes a more risky investment and thus a higher rate of interest is required to secure future funding. In essence, one may consider that the cost of capital for a company will increase, where the company chooses to increase its leverage by obtaining that capital through debt. Equity Equity represents the component of the capital structure of a company which relates to those who have a direct ownership of a company, in other words stocks and shares and their derivatives (Arnold 2004). Shareholders are rewarded through firstly the payment of dividends which represents a direct cost to a business. Secondly shareholders will also expect to see capital gains in the share price representing a further non-financial cost of the cost of capital. As with the debt element of the capital structure, the cost of equity varies from company to company and from industry to industry. Bringham and Ehrhardt (2005) indicate that the relevant factors which will affect the cost of equity are risk, the risk free rate of interest and the return obtainable from alternative investment with a similar risk profile. In general terms, the cost of financing a business via equity is considered to be a more expensive option than financing a business through debt. This is due to the fact that in effect equity represents a permanent source of capital, once issued shares remain in circulation in perpetuity unless a special action is taken to buy back the shares. On the other hand all forms of long term debt have a redemption date, even if that date is at a point far into the future. Risk As has been identified one of the central contributing factors towards consider what affects a companys cost of capital is the concept of risk. At the general level risk is simply defined as concept of uncertainty (Business Link 2009), more specifically risk is usually associated with the concept of uncertainly manifesting itself in a negative format. The basic relationship between risk and reward for investors and companys alike is the consideration that in order to justify the taking of a higher level of risk, there must be the prospect of an increased level of reward. This may be seen as manifested on both the debt and equity side of the cost of capital of a companys capital structure. On the debt side of the capital structure, those companys that have high level of risk will be charged a higher rate of interest by banks or have to offer a higher rate of interest on bonds in order to obtain funding. As such, this pushes up the companys overall cost of capital. Bonds for instance are often given a credit rating, these range from government bonds which are often used as the risk free rate and those attract low interest rates through to low quality corporate bonds often referred to as junk bonds (Brealey et al 2006) and attract a much higher coupon rate for the risk taken. Risk is similarly incorporated into the cost of capital on the equity portion of a companys capital structure. Where a shareholder invests in what they perceive to be a riskier share then in return the shareholder will expect a greater level of return in the form of higher dividends and greater capital growth. The concept of risk is often incorporated in the cost of equity by considering what analysts refer to as a risk beta. Betas are in effect an expression of the perceived risk of a sector or specific company, 1 represents a risk which is no greater or lower than that of the average whilst a positive figure represents a company with a greater risk and a negative figure as one with a lower risk. As such those industries and companies which are associated with long term profitability and stability will have a low beta and thus a lower cost of capital. Whilst those operating in a riskier sector, or with a shorter record of performance will have a higher beta and thus a higher cost of capital. This can be demonstrated by comparing the relative betas of Coca-Cola, a long established and profitable company with a beta of just 0.6 (Reuters 2010 a) and Apple Inc a fashionable growth based company which thus has a beta of 1.41 Reuters 2010 b). As such one the essay has thus far identified that risk is probably the most important factor in determining the relative cost of capital for a specific company. The question now for those operating in the international business environment is what constitutes risk and how can risk be managed to affect the cost of capital. One key consideration is that of diversification. Diversification is a strategic decision and can take on numerous forms from product diversification (Jobber 2007) through to market and geographic diversification (De Wit and Meyer 2004). In general terms, investors usually consider that businesses which have a greater level of diversification have a lower level of risk than those who have a smaller level of diversification. The consideration is that diversified firms are protected against a fall in any single market or geographic region. The down side of this of course is that a firm trades of its ability to make a large profit where a single market experiences a surge or growth spurt. Empirical evidence would seem to support this theory, well diversified firms such as Unilever and PG having risk betas of 0.73 and 0.51 respectively (Digital Look 2010, Reuters 2010 d). National ratings may also be seen as a key consideration for risk where multinational corporations are concerned. Whilst on the whole geographic diversification may be seen as a way of reducing risk, this is not always the case. In many cases companies have chosen to invest in emergent markets such as China, Indian and South America. Whilst these may be seen as areas of key growth which generate the possibility of high rates of return. National ratings would also suggest that investments in such countries also pose significant risks and thus raise the cost of capital. For instance those doing business in China face significant risks over issues related to the protection of intellectual property (Panitchpakdi and Clifford 2002), whilst on the other hand other countries suffer from problems relating to political stability or other such areas of conflict. Interest rates Interest rates may be seen as one of the other key elements which affect the cost of capital for those operating in the multination business environment. At its most basic level one may consider that the relative cost of borrowing will reflect that of the base rate of central banks around the world. Thus when interest rates are on the whole low as they are at present in the UK (BoE 2010) the cost of capital will also be lower due to lower interest rates from long term borrowings. On the other hand were interest rates rise, then the cost of capital will also risk as banks and long term lenders beginning to require a higher rate of interest than previously. The multinational corporation does however, have a special consideration when it comes to the issue of interest rates and the companys cost of capital. Whilst a domestic company is wholly subject to interest rate fluctuations within their national market. There is the consideration that on a global scale interest rates are set locally to reflect national and regional interests. As such for the multinational corporation there is the consideration that the company can take advantage of such a divergence of interests by looking borrow or issue instruments in the countries which are exhibiting the lowest rate of interest on the behalf of central banks. For instance at present, many companies may be attracted either to conduct their business within the UK or to take out loans and issue financial instrument in the UK due to the low interest rate at just 0.5% which would have a positive impact upon the cost of capital. Alternative Investments The final consideration which will affect the cost of capital for a multinational company is the consideration of the yield that investors can achieve elsewhere. In general terms investors will choose to invest in an investment which yields the highest return for the given risk profile of the investment. As such a companys cost of capital will also fluctuate dependent on the performance of others within the sector, where the market as a whole has performed well then one would expect that the cost of capital on the equity side of the equation would increase. This is due to the fact that the stated company must be able to offer a similar return to those operating in the sector. Conversely where the performance of the market as a whole or of the sector is poor, then a companys cost of capital will decrease based upon falling expectations of investors in equities. Alternative investments must also be considered in the form of the risk free rate, the risk free rate being the rate one can obtain from investment in a high quality government bond. In general risking risk free rates will see risking costs of capital as investors are able to gain increasing levels of return at a lower risk elsewhere. Having considered the research posed in this paper, one may conclude that there are a wide range of issues which contribute to the overall cost of capital for a company. Despite these considerations, one conclusion is that the single biggest factor which contributes towards the cost of capital is the consideration of the level of risk for which a company is seen as exposing its investors capital too. As such the management of the cost of capital may in effect be seen as an exercises in the discipline of risk management first and foremost. In considering the cost of capital, one may also conclude that the multinational organisation has the ability to benefit from a lower level of the cost of capital through greater diversification and other risk reducing factors, which allow a company to reduce its risks.

Attributes Of A Global Brand Marketing Essay

Attributes Of A Global Brand Marketing Essay There are several attributes that makes Formula One a globalised brand. Firstly, it is highest class of one-seater auto racing in the world, driving the fastest cars on the planet. F1 holds the most exhilarating car races, young boys aspires to be F1 racers, millions of people buy tickets to the races and subscribe to media that streams every year to watch. According to Levitt (1983), different cultural preferences, national tastes and values, and business institutions are vestiges of the past; some inheritances die slowly; others prosper and develop into mainstream global preferences. F1 became a mainstream favourite sport of the world. The state-of-the-art technology used in the race such as engineering of the cars, time keeping, changing of tyres at the shortest time etc. attracts people of the current generation. Almost everyone everywhere wants what they have heard about, seen, or experienced via new technologies (Levitt, 1983). The unpredictability of F1 allows it to attract viewers constantly. It is a unique experience that cannot be duplicated easily e.g. crashing as different parts of the track, the seriousness of the crashes, different outcomes etc. Organising the race is very costly thus running a team is mostly and sometimes entirely sponsored by various big international brands that wish to gain exposure from F1. And thus, consumers of the brands would be aware F1, for the logo will be displayed on all kinds of products and media like advertisements, news and magazine interview articles etc., and promotions for F1 will include the brands logo as well; hence creating maximum awareness to F1 and the international brands market. F1 is a season consisting of series of races held around the world on purpose-built circuits and public roads. The annual calendar is global, taking 19 races in countries such as Australia, Asia (Malaysia, Singapore and Japan), the Middle East (Bahrain), Europe (the mainstay of F1), and North and South America (Canada and Brazil). It goes through major developed countries and with the gigantic scale of the event, F1 is known throughout the countries and their neighbours. Standardisation VS Adaptation According to Levitt (1983), most executives in multinational corporations are tactlessly accommodating; they wrongly presume that marketing means giving the consumer what he says he wants rather than trying to comprehend exactly what hed like, thus persisting with high-cost, customized multinational products and practices instead of pressing hard and pressing properly for global standardization. They are afraid to standardise for fear that the strategy will fail. But Levitt (1983) says that poor execution is often the cause of failure, not the standardisation. According to Levitt (1983), the worlds needs and desires have been irreversibly homogenized. This makes the multinational corporation outdated and the global corporation absolute. Thus we have successful global brands like F1 which are mostly standardised than adaptive to the countries and cultures they are in, with accurate execution. F1 is known worldwide for its attributes as mentioned above, and thus it does not have a need to adapt when entering a new market in another country as what is expected of them is their signature races. The products and methods of the industrialized world play a single tune for the entire world, and the entire world eagerly dances to it (Levitt, 1983). There are 19 races, half of which are held in other continents apart from its traditional base in Europe. Despite that, the only adaption is probably the nature of the course track built for the race or the public roads structure in the countries. For example, from the classic circuits, now countries such as Singapore, Monaco, Melbourne etc., have street circuits, using a combination of public roads and circuits for the race. F1 Grand Prix event spans over a weekend and throughout the practices sessions it has a specific set of rules and control. This set of regulations is by the F1 and is standardised. According to the case study, merchandizing is through specialist F1 outlets worldwide, selling replica model cars, baseball caps, jackets and other memorabilia, all custom-made and packaged with the F1 logo. These subsidiary products of the brand are also standardised, not adapted to whichever country the products are sold. Product Globalization Strategy Adapted from Jim Riley (2012), global strategy of F1 will involve appreciating that success demands a presence in every part of the world to compete effectively, which is what F1 had been doing; expanding to host the races at other continents. F1 make its product similar for each market by using the same set of regulations and control for the races, same technology and security and other elements in the operations despite being in different countries from Europe. Centralised control where the final say still belongs to F1 Management and F1 Administration. Ecclestone founded the F1 Constructors Association (FOCA) to fight for commercial control with Fà ©dà ©ration Internationale de lAutomobile (FIA). Taking advantage of customer needs and wants across international borders as F1 fans are spread across the globe, instead of only watching from screens, F1 made it live by hosting at major countries where their target markets were. Locating value adding activities where F1 can achieve greatest competitive advantage, thus the expansion to the most developed countries in the world. Integrating and co-ordinating activities across borders, F1 does by having management and administration team to be there at each different location. This part is significant where Ecclestone established the F1 Promotions and Administration (FOPA). According to Levitt (1983), as long as the marketing is good, consumers would be influenced to accept the product no matter what they claimed they want. This is where Ecclestone succeed in influencing people to crave to watch the race. Conclusion The changing patterns and structures of communication typically related to the demands of globalization require flexibility, responsiveness, speed, and efficient knowledge production, generation, and dissemination (Cynthia Stohl, 2004). A global industry is where firms compete in all world markets in order to survive (Jim Riley, 2012). Thus be like F1 where they venture into all the potential markets. A successful global corporation does not abjure customization or differentiation for the requirements of markets that differ in product preferences, spending patterns, shopping preferences, and institutional or legal arrangements (Levitt, 1983). A global strategy is successful when there are very minor differences between countries and competition is global, it has advantages in terms of economies of scale, lower costs, co-ordination of activities and quicker product development (Jim Riley, 2012). Given what is everywhere the purpose of commerce, the global industry will shape the vectors of technology and globalization into its great strategic fecundity; companies that do not adapt to the new global realities will become victims of those that do (Levitt, 1983). Environment Qantas Identify the Marketing Environmental Factors This paper will state how factors in the environment affect each other in Qantas Moment. The global marketing environment consists of 4 main environments. Refer: Appendix A. Organization environment can be controlled by the firm. Structure Company Image and brand equity are a vital parts in marketing as they help raise finance, form joint ventures and alliances seeking marketing intermediaries, get purchase or sales contract, launch new products etc. (Ebstudies, 2012). From the case we can see it takes very long to build a good rapport, but just one incident to tarnish the reputation. Strategy The technological capabilities decide companys ability to innovate and compete. The design and safety of the Trent engines are extremely important as one minor mistake might tarnish the prestigious reputation and injure people as seen from the Qantas moment. Process Rolls-Royce and Airbus aim to manufacture the desired quality and quantity products. Factors which influence the competitiveness of a firm or to sustain the firm are production capacity technology and efficiency of the productive apparatus, distribution logistics etc. (Ebstudies, 2012). Marketing resources like quality of marketing and distribution network have direct link to marketing efficiency. They are crucial for new product introduction and brand extension (Ebstudies, 2012). In intermediate environment, it is semi controllable by organisation. Supplier Purchasing goods and services from reliable external sources to make the engines and maintain engines is important. Thus suppliers can alter firms competitive position and marketing capabilities e.g. raw material suppliers (for engine parts), energy suppliers, labour and capital. According to Michael Porter, the relationship between suppliers and firm epitomizes a power equation between them; this equation is based on the industry condition and degree to which each of them is reliant on the other (Ebstudies, 2012). According to Ebstudies (2012), the bargaining power of supplier gets maximized in the following situations: The seller is a monopoly or oligopoly firm. The buyer is not important customer. The suppliers product is important input to buyers business and finished product. The supplier poses real threat of forward integration. Every producer has to have several intermediaries for promoting, selling and distributing the goods and service to consumers (Ebstudies, 2012). The intermediaries for Rolls-Royce and Airbus are the airlines and the ultimate consumers are the flight passengers. Stakeholders In the case study, the Qantas Moment had affected the stakeholders greatly. Airbus parent company European Aeronautic Defence and Space (EADS) share prices fell 3.5% when it happened. Rolls-Royce, the aircraft engine manufacturer fell 5% in share prices right it happened. Rolls-Royce tried to stop the slide in share prices by convincing the City and investors that the incident is a one-off thing than a design fault. However within 2 days, share prices dropped to 9%, losing  £1 billion in market value. When chief executive of Qantas blame the incident on the engine maker, the situation got worst. Rolls-Royce engineers had to decipher the problem in Singapore and London to find out what is the main problem to address the market positively within a few days. Pictures of the blackened, shattered aircraft engine shared all over the world damaged the consumers confidence on its safety record. Qantas grounded all its A380 aircraft fitted with Trent 900 engine for three weeks, other airlines delayed flights for extensive flights and expensive checks to be carried out. It was found out that it was indeed a design fault; the report into the Trent 900 failure states that oil fire is the most likely cause of the explosion, leading Qantas to seek compensation claims. It was also found that there was a potential manufacturing defect in the oil pipes. Thus Rolls-Royce is liable for financial compensation of at least  £19 million to ground and replace the engines for Qantas and Singapore Airlines. Hence, the incident in November 2010 has not only caused damage to Rolls-Royce in financial terms, as well as its hard-earned reputation and the trust of its clients and the public. Only until February 2011 did Rolls-Royce improve its situation when they won a  £1.4 billion service contract from Emirates to maintain the Trent engines on 70 Airbus aircrafts that the carrier was due to take delivery over the next few years, then a  £700 million service deal for Emirates and a  £3.2 billion engine deal for British Airways. Macro environment factors are external to the company and are uncontrollable. They do not affect marketing directly but indirectly influence marketing decisions of the company. Socio-cultural Marketers are interested in the size and growth rate of population in different cities, regions, and nations; educational levels; age distribution and ethnic mix; households patterns; and regional characteristics and movements (Ebstudies, 2012). Social forces attempt to make marketing socially responsible; means that Rolls-Royce and Airbus should take a lead in eliminating socially harmful products and produce only what is beneficial to the society (Ebstudies, 2012). Economic The economic environment also has an impact on the business of an organization; example would be the share prices of Rolls-Royce. Technology Technological changes have also become particularly significant in the post-millennium world; this is particularly true in terms of modern communication technologies (Business Case Studies LLP, 2013). Thus the share prices dropped almost instantly as information was transmitted very quickly. The technological environment consists of factors related to knowledge applied, and the materials and machines used in the production of goods and services (Ebstudies, 2012). E.g. Rolls-Royce and Airbus produce top-notch engines to support commercial planes. Political and Legal Marketing decisions have to take into account government, pressure groups, law etc. Laws influence production capacity, capability, product design, pricing and promotion. Usually government intervenes in marketing process regardless of what their political ideologies are (Ebstudies, 2012). Legal factors are vital as organisations have to work within legislative frameworks; legislation can hinder business by placing onerous obligations on organisations if not dealt with properly (Learning Marketing, 2013). The physical environment consists of ecological factors beyond the organisations control. Physical forces such as non-renewal natural resources are finite e.g. oil, coal, minerals etc. Especially resources that contributes to the fuel the engines need in order to operate, affects the production greatly. Pricing AirAsia Steps to Implement Pricing Strategy Firstly, pricing is one of the key global strategic decisions as the concept of exchanging money for goods and services received, in the form of exchange of bank notes or credit or other credit facility, is widely accepted in todays world (Lee Carter, 2009). Price element of the marketing mix is one of the more controllable and fast in effect, it is the element that generates revenue (Lee Carter, 2009). According to Lee Carter (2009), for a firm that develops and implement pricing strategy for services internationally, AirAsia should go through a series of steps: Identify and analyse factors affecting pricing e.g. cost and revenue models, customer perceived value, legal requirements etc. which is to apply the no-frills, low-cost strategy, a unique cost and revenue model that has been proven successful from short-haul to long-haul Set pricing in the context of corporate objectives which is mainly low-cost flying Develop and select most appropriate price option of low-cost long-haul and low-cost short-haul flights Implement selected option of low-cost long-haul with AirAsia X Manage and finance international transactions Account for terms of trade Factors to Consider in Pricing According to Lee Carter (2009), based on Terpstra and Sarathy (2000), there are some factors to be considered in pricing products and services globally. They are classified under three main categories; organization-specific, environmental and market-specific. Corporate and marketing objectives of AirAsia can be seen from the CEO, Tony Fernandes saying, Our group thrives on innovation in disruptive market by taking the opportunities to fly where others dare not fly or have given up. Thus AirAsia proposed clear-cut comparatively lower fares, going against the tide believing on brighter side of its future. According to the case, AirAsia also has very positive corporate culture, leadership, and entrepreneurial skills and the right management philosophy. Domestic and targeted countries government influences are not significant in AirAsias case except for the fuel hike however it was eventually offset by its unique pricing model. Consumers expectations; the management believe that most customers do not have loyalty to any particular brand, because their choice is driven by prices, location; AirAsias established network of flights to over 60 cities in 16 countries with 126 domestic and international routes from and within Malaysia, Thailand and Indonesia, and connects to China, Taiwan, India, Sri Lanka, Bangladesh, Australia and United Kingdom caters to a larger target markets due to operations in these countries, ability to pay; targeting the regular budget travellers and new customers who switch from premium flights to AirAsia due to the big difference in flight prices, market growth potential; losing some regular travellers but gaining new travellers from premium flights, frequency of purchase; focusing on maximising sales during off-peak periods but setting attractive promotions and discounts. The cost structure of AirAsia is basically to cut down to leaveonly the absolute necessary costs to operate a flight, reducing fixed costs and eliminating most of variable costs. This is done by maintaining a simple aircraft fleet and a route network based on low-cost airports, without complex code-sharing and legacy overheads that weigh down traditional airlines. During economy fluctuations such as inflation and deflation, people always look for cheaper alternatives, especially in recession times. Fluctuations also depend on seasonal changes during summer and school holidays. AirAsia adapts to the market as it the main airline deals with short-haul flights and the new subsidiary is a long-haul carrier, suiting needs of more customer segments. Product range of AirAsia is from the main short-haul flights what they started with to AirAsia X where they focus on long-haul flights. As a low-cost carrier for short distances, they grew to fly further when they came up with AirAsia X, providing options to travellers from more countries to use the airline. AirAsia can be considered a monopoly in Malaysia, Thailand and Indonesia due to the large numbers of hubs they have, and the number of domestic and international flights from these hubs, dominating from other low-cost carriers like them. A hike in fuel prices caused several low-cost carriers to cease operations as they cannot cope with the increase and thus boost AirAsias market share and enhances its position as the ultimate leader in the regions low-cost airline sector. Market analysts predicted that the AirAsia group would have the marketing know-how and X-factor to capitalise on such opportunities that arise from its competitors falling out of the game. Marketing factors such as product positioning; positions itself as a top-notch low-cost carrier, segmentation of customers by catering to short haul flights in ASEAN and longer haul flights in Asia and UK, image maintained as a good and affordable airline and differentiation of long and short distances flights. When faced with competition in the market, AirAsia targets cities least ventured to, to gain a competitive advantage. And due to its innovative business model, it is able to tide through the fuel price hike better than their competitors. Cost Reduction Strategies According to Lee Carter (2009), we can identify how AirAsia has used cost reduction strategies to contribute to their profitability and sustain from the continuous potential fuel hike. Refer to Appendix A. Economies of scale can be found by the increased number of domestic and international flights after the establishment of AirAsia X to fly new cities in China, Australia and UK. Economies of size are shown when the case said that AirAsia has nine regional hubs in Malaysia, Thailand and Indonesia instead of just one base in 2009. Learning curve can be seen from the shared service agreement where AirAsia and AirAsia X share pilots, cabin crew, service staff, website, IT platform, marketing and distribution to optimise efficiency on operating costs. AirAsia also invested heavily to build its brand and association with globally recognised organizations such as ATT William F1, British MotoGP etc. The significance in introduction of new technologies by AirAsia is the New Skies; a state-of-the-art booking system that contributed to expansion of booking capacity, allowing up to 1 million flights booking a day. The major competitive advantage over other airlines is that passengers can use the Kuala Lumpur hub to connect to a wide range of routes. And relocating by placing more regional hubs in Malaysia, Thailand and Indonesia, these are areas with low labour costs to achieve the same advantage over the airlines at the cities too. Appendices Appendix A Appendix B Economies of Scale When additional cost per unit of production reduced overall per unit cost, given similar fixed costs Economies of Size Achieved from larger scale of operation through greater bargaining power Learning Curve Cost reduction from greater labour productivity, improved designs, and resource mix Introduction of New Technologies Improved efficiency gained through new technologies in innovation and processes Relocation of Production Moving production facilities to countries with substantially lower labour costs

New York City Essay examples -- Descriptive Personal Narrative Essays

When you associate anything with New York City it is usually the extraordinary buildings that pierce the sky or the congested sidewalks with people desperate to shop in the famous stores in which celebrities dwell. Even with my short visit there I found myself lost within the Big Apple. The voices of the never-ending attractions call out and envelop you in their awe. The streets are filled with an atmosphere that is like a young child on a shopping spree in a candy store. Although your feet swelter from the continuous walking, you find yourself pressing on with the yearning to discover the 'New York Experience'.   Ã‚  Ã‚  Ã‚  Ã‚  Upon arrival into the jungle of vast buildings, the first thing noticed is the mobbed streets filled with taxi cabs and cars going to and fro in numerous directions, with the scent of exhaust surfing through the air. As you progress deeper into the inner city and exit your vehicle, the aroma of the many restaurants passes through your nostrils and gives you a craving for a ?NY Hot Dog? sold by the street venders on the corner calling out your name. As you continue your journey you are passed by the ongoing flow of pedestrians talking on their cell phones and drinking a Starbucks while enjoying the city. The constant commotion of conversing voices rage up and down the streets as someone calls for a fast taxi. A mixed sound of various music styles all band together to form one wild tune.   Ã‚  Ã‚  Ã‚  Ã‚  After a few hours of bustling through the streets, you realize that...

Sociology of The Simpsons :: Sociology Essays

Sociology of the Simpsons The definition of what consitutes a â€Å"familyâ€Å" has definatly changed over time. Usually, what constitutes making up a family is relative to a specific culture, but as always, there are exceptions to the rule. Ever since the golden age of television had sprung upon American culture, it has tried to mimic the "ideal" American family through it's programming. Even as early as the 1950's, television producers made programming that would represent what exactly the ideal American family was. Take for example the show "Leave It to Beaver". There was a father figure, his job, or responsibility rather, was to financially support the family, while being an exemplary father to his children. The mother on the other hand, was solely responsible for being a typical housewife, while not neglecting the rearing of her children. The children did not have any real responsibility, but they respected their parents and attempted to stay out of trouble. Television shows for the most part in this early era of programming followed among these guidelines. However, it is not in a drama that American family life is best represented in the 1990's. Instead, it is in the animated series, "The Simpsons". "The Simpsons" follows suit with the other dramas that reflected the decade in which they aired. According to the U.S. consensus for March 1998, the majority of households in America are married couples (U.S. Consensus pp. 1, 3,4,6). The Simpson's meet this. Also according to the consensus, the average married couple has approximately 2.6 children per household (U.S. Consensus, Household Characteristics p.1). Since there cannot be six-tenths of a child, I will round up to three children, in which the Simpson family has: Bart, Lisa and Maggie. Also, the average American is a blue-collar worker. The father figure, Homer, meets this factor with his job at the nuclear power plant within his hometown of Springfield. So according to the statistics, the Simpson family could be considered an average American family. Homer Simpson is the father figure of the household, whose responsibilities include financially supporting the household, since he is the household's primary source of income. He has his flaws like any person would, but somehow he and his family tend to work it out. Some of his mishaps are very similar to those that most of us have had to face.

Organisational Behaviour Case Study

Organisational behaviour investigates the impact that individuals, groups and structure have on behaviour within organisations for the purpose of applying, such knowledge towards improving organisations effectiveness. (Robbins et. All, 2004, p. 9) Individuals shape organisations. Individual’s values, attitudes, perceptions and motivations shape what each individual brings into an organisation, therefore shaping an organisation. Chua Sock Koong is a Singaporean, University graduate, who is tech-savvy and personable. Sock-Koong is a prime example of how values help shape an organisation. Singapore is a fast moving modernizing city.Chua is a product of that. Chua has leadership, communication roles and has adapted to her role. Chinese bus drivers for Singaporean Mass Transit are there purely for the money and how much money they can send back to China for their families. When the Chinese drivers communicate with other workers, in the same industry, they get an insight into what c onditions and wage the others are experiencing. With this perception they see others much better off than them, this is when they rebel. They know that in China they protest and strike so with the feeling of being poor treated, they rebel in Singapore, which is not custom in Singapore.The migrant bus drivers do not have the same values, customs and believes that Chua Sock Koong has. Comparing Chua and the migrant bus drivers in regard to the joy and sorrows of work are complete opposites. When in a leadership role, like Chua, it is easy to find joy and satisfaction within work. Money is a big factor in finding joy within work and how and why people engage in work. Chinese migrant workers work purely for the money and for money to send back to their families, where as Chua is a university graduate with values, beliefs and personality. University graduates usually go to university to get a better job and earn better money.Being a CEO is a highly paid career. People’s values, be liefs and personality are a major factor in how people engage in work. Values shape who people are and how they act. How people engage in work are shaped by what personal values they have installed in their personality. How people behave why they do at work is directly linked to money, personality, values, and beliefs. Electronic communications such as texts, emails, Facebook, Twitter and Instagram are a major part of today’s society. The best of friends communicate through these channels of communication.With these means of communication the way people communicate at work has changed dramatically. Before these means of communication were in place people would actually have to talk face-to-face or over telephone. Now days emails, text messages, twitter messages and Facebook posts are the norm now in regards to how people communicate at work. These differences in values, beliefs and personality are what make Organisational behaviour so interesting. What shapes the way people i nteract, communicate, why they come to work, how they are when they are at work are directly shaped by values, beliefs and personality.

The Social Role of Women

If asked what is the social role of women? The most logical answer would be that of a mother, a nurturer. Someone else may say barefoot and pregnant but it all panned out to be the same thing, inferiority. Throughout the centuries, women such as Mary Wollstonecraft fought to change this gender stereotype. It is socially thought that women are inferior to men, which is still the case in many countries. A Vindication on the Rights of Women was written back in the 1700’s, where women were to be submissive to their husbands.Disobedience was not tolerated. The cooking, cleaning, and rearing of children was the main objective. Wollstonecraft pointed out in her writings her displeasure of the government, and how women were not allowed to participate in the political issues but were expected to abide by its laws. Women were poorly educated, but expected to educate their children. Therefore, children received poor educations [ (Wollstonecraft) ]. Even in this time; many women felt the woes of their confinement and wanted to be more socially accepted.Women played major roles in shaping this country. During the Civil War, women such as Sarah Emma Edmonds acted as nurses, Union and Confederate soldiers, and even spies [ (Wilson) ]. After the Civil War, it brought about significant change for women’s rights. Wollstonecraft wanted equal opportunity in the political policy as well as in the government. She wrote a letter to M. Talleyrand Perigord, Late Bishop of Autun, she states, â€Å"I plead for my sex not for myself, in calling upon you now to weigh what I have advanced respecting the rights of woman and national education†. (Wollstonecraft) ] Wollstonecraft demanded Perigord do an investigation on the Constitution, and when it is revised that women be included in the revised version. As we look at today’s social standards, we as women have come a long way. We now own businesses; we are in congress, and even running for President. I do believe that a woman would be able to run this country just as well as men. We are the backbones of our men without us they would not have gone as far as we have. We still have some obstacles to hurdle over.Now that we have broken out of the homes and into the workplace, we must now battle to be equally paid and acknowledged as that of men. Women are overlooked but we are paving our own way to equality. One day we will be looked at as an opponent and not a subordinate.Bibliography Wilson, Barbara A. Women were There. 3 December 2010 <http://userpages. aug. com/captbarb/femvets2. html>. Wollstonecraft, Mary. A Vindication on the Rights of Women. New York, NY: Penguin Classics, 2004.