The classics, Antigone and A Dolls House Essay Example for Free

The classics, Antigone and A Dolls House Essay To understand the relationships and the differences between two stories, one must analyze the story from beginning to end, noting which direction each story heading from the beginning. The plot must be closely looked upon as well as the actors and their actions. Antigone and A dolls house are very similar stories as they both tragic stories of betrayal and mind games. In Antigone, King Creon makes a statewide decree stating that Polynices, the traitor is not to receive a formal burial and is left to rot in the open, but his sister, Antigone, defies his decree even after her sister, Ismenes, refusal to aid in his burial. She buries Polynices and is caught. Soon a Sentry (military officer) arrives at the throne to give news to the king of the violation of his strict decree. The king threatens to take the life of the messenger if he does not come back with news of who has buried this traitor of his kingdom. Later, she is sentenced to be buried alive by King Creon even though she is about to marry the kings son, Haemon. After hearing of the sentencing, Tiresias comes to the throne to speak with the king, along side him, a small boy as an escort. This old prophet is a blind man that in the end of the story, is proven to see better than most able-bodied men of 30 years younger than that of himself. Tiresias proves to the king that gods are not on his side and Creon changes his mind. His final decision is too late. He leaves the throne to personally bury Polynices and speak with Antigone in the cave he sentenced her to die in. He finds that Antigone had hung herself and his own beloved son is no charging at him in full fury but then his blood is spilt at the mercy of his own blade. Meanwhile, back at the throne of King Creon, Eurydice is walking by a room where she hears men speaking of her dead son. She enters the room, where the kings cabinet awaits. She is told the news of her sons death and later takes her own life. Now Creon is all alone. Creon is man that is put into a tight predicament when he issues his decree. Creon is king and all in his kingdom are to obey his laws but what if he were to issue a law that goes against the gods laws. As king, any man would look like a weak fool if someone defied a direct order that he gave to an entire kingdom but what if later on, Creon was to reach the realization that his decree is seen as unjust by the gods as well as the people of his  kingdom. He is torn between looking weak to his entire kingdom by withholding his decree and having Polynices a proper burial service, or looking strong by going on with the death of his sons fiancà ¨e and be looked down upon by the people he serves. In A Dolls House, Nora Helmer runs into a very similar dilemma, which results in the odd twist at the end of the story. This story begins on Christmas Eve when Nora finds out that her husband Torvald has just received a promotion that will boost him to become bank manager. This excites Nora because some time back, her husband was very ill and was on the verge of death. Nora could not afford to keep her husband out of his deathbed so she forged her fathers signature on a contract that she and a man by the name of Krogstad had put together. Krogstad, an employee of Torvalds, has had a shady history and hasnt worked for Torvald long, but is willing to loan Nora the money to have her husband cured. Signing her fathers signature three days after his own death, Krogstad eventually finds out and is considering taking Nora to court because Krogstad has yet to be repaid for the loan. A woman, by the name of Mrs. Linde comes into town looking for employment and Nora recommended her to her husband. Torvald, considering getting rid of Krogstad because of his shady background, decided to replay Krogstad with Mrs. Linde and the rumor gets around the bank. Krogstad stops by and puts a letter in Torvalds box revealing to him the situation at hand. A doctor comes over later on and tells Nora that he is dying and Nora flirts with him trying to seduce him into maybe giving her the money but is interrupted when Krogstad is introduced to the scene. Krogstad meets Nora and tells her that she is going to be brought in front of a judge in a court of law if he looses his job. He would be loosing his only source of income and having children to feed, he would require Nora to pay him back so he intends to blackmail Nora for his job back. Torvald comes home and walks into his office and reads part of the letter. Enraged, Torvald comes out and finds Nora trying to leave. He stops her and goes off on a tantrum exclaiming how severely Nora has just ruined his life  but is interrupted by the maid who brings forth a letter from Krogstad that is addressed to Nora. Taking the letter, Torvald reads it and forgives her because Krogstad has had a change of heart. Previous to Krogsteads termination from the bank, Torvald promised his wife that he would take care of any repricutions from Krogsteads terminations but then falls back on his promise when he explains how Nora has ruined his life. She, in turn, sees what kind of person Torvald and hates what she finds. Nora then decides to leave her husband, family, and maid, to go out and educate herself about the world and her own personal character. Nora and Antigone both share some of the same character traits but they were revealed at opposite times in both of the stories. At the beginning of Antigone, Antigone makes a huge decision on how she is willing to die for her brothers burial procedure and at the end of A Dolls House, Nora makes her big decision about leaving everything she has ever known for her own sake, completely disregarding the needs of her family and prejudging that her husband will be able to take care of them alone, so she can go and have some time to herself to where she can find out who she really is. Creon is comparable to the character of Krogstad in A dolls house. In Antigone, Creon is the deciding factor of the outcome of the story and the same goes with Krogstad because all in all, he is the one that makes the decision whether he wants to bring his opposing character down or not. Creon made a decree stating that Polynices could not be buried and Krogstad made a decree saying that if he looses his job, he is taking Nora down with him. Together, they are both creating a fork in outcome of the stories. Mrs. Linde is like Ismene, Antigones sister, in the fact that they both offer their assistance in helping the main character of both stories towards the climax. Ismene is brought to the throne to speak of her sisters actions and she is truthful in what she says but she argues that Antigone should not be put to death. Mrs. Linde, being an old lover of Krogstad, is asked by Nora try and get Krogstad to not go through with his own decree. In summary, there are many things that bridge these two classic stories together. The stories are just told in reverse order. It can all be tracked from when the decree was made in each story. Antigone and A Dolls House are very much the same.

Human resource strategy proposal for bp

Human resource strategy proposal for bp 1.1 Introduction The changes in business and the impact of globalisation on increased competitiveness have pushed organisations to incorporate a strategic approach to human resource management (HRM) to achieve competitive advantage. Strategy is defined by the Chartered Institute of Personnel and Development (CIPD), (http://books.google.co.uk/books?hl=enlr=id=zXG_lJ8BrMwCoi=fndpg=PR9dq=the+key+to+improved+business+performanceots=GLUULx2eFZsig=I9jHj5YhE5QIBmWYn-o-U0NvDlc#v=onepageqf=false).[Online].(Accessed 05 Mar. 2011) as a plan that integrates the goals, policies and action of an organisation into a cohesive whole. Fundamentally strategy is concerned with achieving a competitive advantage. By adopting a strategic approach to HRM, organisations seek to manage its human resources in a coherent approach that replicate the business strategy. CIPD views strategic HRM from two main perspectives, CIPD, [Online].(http://www.cipd.co.uk/subjects/corpstrtgy/general/strathrm.htm?IsSrchRes=1).(Accessed 05 Mar. 11); The ways in which an organisation achieves its business goals by putting in place activities that support and guide employees behaviour. And the manner in which the human resources and activities are planned to achieve the business goals. Therefore, strategic HRM is an integrated approach that aligns the internal and external context of an organisation for organisational performance, that is, a strategic fit between strategic intent and organisation resources. In order to suggest an appropriate human resource strategy for BPs human resource issues (appendix), this paper shall adopt an integrated approach to the various views of strategic HRM; Best Fit, Resource Based and Best Practices approach. 1.2 Best Fit The best fit view is all about the vertical integration. It is a contingency view in which an organisation links its business strategy (external market) and individual performance (internal environment) to create an effective HR policies and practices and achieve competitive advantage. Beardwell J and Claydon T., Human Resource Management: A contemporary Approach (Prentice Hall, 2010) used the life cycle and competitive advantage model to explain the best fit approach. The life cycle model links the appropriate HR practices to the different stages in the life cycle of a business. This model suggests that the HR policies at start up will differ with those during an organisations growth, mature and decline phase. Drawing evidence from BPs website, a statistical review in June 2010 by then BPs CEO, Tony Howard, BP,(http://www.bp.com/sectiongenericarticle.do?categoryId=9023752contentId=7044473).[Online ].(Accessed 05 Mar.2011), shows a sharp decline on record in global energy consumption and falling energy prices caused by global recession which is likely to continue in the long term. This decline in global energy consumption will affect energy companies especially BP which is a major player in the energy market with its huge global presence. Assuming this trend continues as predicted, this would set BPs business life cycle at its mature or decline phase. This means the HR strategy for BP will be one of downsizing and redundancy of employees but which needs to retain viability and contribute to sustainable competitive advantage. This dual strategy will enable BP to master the present while preparing for the future eventualities. A proposed strategy will be to retain high performance staff, recruit less and train staffs to multi task. On the other hand, the competitive advantage model argues that HR practices work best when adapted to the competitive strategy; Redman T and Wilkinson A., Contemporary Human Resource Management (Prentice Hall, 2009). The model identifies three types of strategic behaviour which can be linked to BPs HR practices: defenders, prospectors and analysers. Defenders operate in small niche market producing high quality products and services backed by high prices. Prospectors are more flexible and use innovative strategy to change product line quite often. Analysers are less innovative but stable and efficient and will only enter the market when it is risk free. Evidence from BPs website, (http://www.bp.com/productlanding.do?categoryId=9025115contentId=7047794).[Online].(Accessed 05 Mar. 2011) shows that innovations and technology and an efficient energy are a priority to tackle the challenges to meet energy demand and environmental concern. Therefore, to gain competitive advantage BP could adopt a dual strategy of make defender and buy prospector to remain both innovative and efficient at a lower operating cost. That is a make strategy that invests in employees to seek efficiency and a buy strategy for new technology to remain innovative in the market. This is a similar dual strategy approach that has been successfully used by the Singapore Airlines (SIA), (http://www2.warwick.ac.uk/fac/sci/wmg/ftmsc/modules/modulelist/pop/articles/singapore_airlines.pdf).[Online].(Accessed 05 Mar. 2011) that adopts a cost reduction strategy while providing premium services. The best fit view has been strongly criticised for its lack of flexibility in a dynamic changing environment. To achieve dynamic fit and given that BP is; an innovative, a high risk taker, results oriented, flexible to change, quality and process focus company, it should develop a human capital pool with these broad range of skills that will promote behavioural flexibility among its employees. This should help solve the problem of flexibility in changing environment. 1.3 Resource Based View (RBV) The resource based view is a paradigm shift from the best fit approach that draws on the internal resources of an organisation. It is particularly applicable in unpredictable external environment and focuses on achieving uniqueness and sustainable competitive advantage through the manipulation of an organisations resources. The VRIO (Value, Rarity, Inimitable, Organisation) framework, Beardwell J. and Claydon T., Human Resource Management: A contemporary Approach (Prentice Hall, 2010), is a useful tool to explain RBV relationship and formulation of a strategy. Value is all about the impact of HR contribution through improved customer service and customer added value. Rarity is simply to exploit rare characteristics of the firms human resources to gain competitive advantage. Inimitability means recognising an organisations unique history and culture to develop unique practices and behaviours that make it difficult for competitors to copy. Organisation is integrating internal resources into a coherent system so that they can capitalise on adding value, rarity and inimitability. The VRIO framework has been successfully used by the Singapore Airlines, (http://www2.warwick.ac.uk/fac/sci/wmg/ftmsc/modules/modulelist/pop/articles/singapore_airlines.pdf).[Online].(Accessed 05 Mar. 2011) to develop a set of unique characteristics such as replacing its fleets more frequently than do its competitors. As a result, its fleet is young and energy efficient and operates at a lower cost. BPs website (http://www.bp.com/sectiongenericarticle.do?categoryId=9025116contentId=7046892) .[Online].(Accessed 05 Mar. 2011) shows that BP is very keen on deep sea exploration, an activity other energy companies are afraid to venture into. Using this approach, BP can make deep sea exploration its unique culture and develop unique practices such as training and developing deep sea specialists to make it difficult for its competitors to copy. Implementing HR policies has been a key issue highlighted with the RBV and BP can overcome this by creating opportunities that will improve the discretionary behaviour of both line managers and employees such as; team working, training and development schemes, long term employment security and better pay structure. 1.4 Best Practice Best practice or high commitment human resource practices are a distinctive set of successful HR practices which firms can adopt irrespective of their setting and which will lead to improvement in performance. Due to the global economic crisis, most organisations are now adopting a policy of negotiating reduced wages to maintain job security and employment commitment. In same way, BP can adopt this best practice and integrate it with others that are specific to its needs. The BPs career webpage; What BP is Looking For, (http://www.bp.com/sectiongenericarticle.do?categoryId=9031574contentId=7057908).[Online].(Accessed 11 Mar. 2011), shows that BP is committed to developing leaders and supporting its employees through continuous improvement. Therefore, the appropriate best practices for BP should focus on enhancing the skill base of employees and this could be achieved through HR activities such as; introducing succession planning scheme to train future leaders, comprehensive training and development opportunities, selective staffing, results based performance and working in teams. 1.5 Recommended Strategy and Main Features The recommended human resource strategy for BP to adopt will be one that integrates all the key features of best fit, RBV and best practice views proposed above and as explained in the table below. Key Strategic Features Explanation Leadership Qualities A Priority Management should introduce comprehensive leadership training and development programmes. A succession planning scheme should be encouraged and practiced. Recruitment process should be selective and make leadership qualities a priority A Deep Sea Organisational Culture Employees should be encouraged to be innovative, take risk, results oriented, flexible to change, quality and process focus. There should be continuous training for specialists and high investment in deep sea exploration. Management should invest in employees to seek efficiency. Combined Organisational and Industrial Best Policy and Practice Retain high performance staff, recruit less and train staff to multi task. Negotiate reduce wages to maintain job security and employment commitment Continuous training programme for all employees to develop a broad range of skills. Team working should be encouraged to improve on discretionary behaviour. 1.6 Conclusion Strategic HRM is a complex process which is constantly evolving. The HRM strategy identified above is unique to BP in terms of the evidence found from its website and its major human resource issues discussed during the module session. The strategy adopts an integrated approach of best fit and resource based incorporating best practice as seen fit. Given that the economy is constantly changing, flexibilities have been imbued in the proposed strategy to make it dynamically feasible. 2.0 STRATEGIC RECRUITMENT AND SELECTION PROCESS 2.1 Introduction The biggest asset in any organisation is its people. In order to remain a high performance company and stay competitive, BP needs to attract and nurture the right people with the right talent and right leadership qualities. Therefore, BPs HR practices and policies will play an important role for managing its people and achieving its business objectives. The challenges faced by BP to manage its people can be categorised as, BP,(http://www.bp.com/sectiongenericarticle.do?categoryId=9031553contentId=7057895).[Online].(Accessed 02 Mar. 2011); Attracting, developing and retaining talent. Shortage of skilled personnel. Developing a true leadership. Developing corporate social responsibility Transferring key knowledge and relationships. Responding to these challenges, BP has introduced a number of initiatives; BP, (http://www.bp.com/subsection.do?categoryId=2319contentId=7060032) [Online].(Accessed 02 Mar. 2011). Though these measures are good, a strategic recruitment and selection process can be adopted to tackle these challenges. 2.2 Strategic Recruitment and Selection Process. According to a survey by CIPD, Annual Survey Report 2007: Recruitment, Retention and Turnover (CIPD, 2007) only 51% of the organisations surveyed in the UK had a resourcing strategy. Given that eight in ten of the employers ranked recruiting as a top priority in resourcing, it becomes imperative for BP to develop a recruiting strategy. To source the right type of employees, BP can select its talents internally, externally, use a combination of both or adopt alternative methods. The internal approach is a traditional method where employees are given priorities for unfilled vacancies before an external source is considered. The advantage with this method is that it motivates employees, improves their morale and provides them with opportunities for career progression. However, internal sourcing is expensive and generally leads to inbreeding and lack of creativity while external recruitment brings in fresh ideas and skills by hiring employees with different backgrounds. Whatever method BP decides to use, it is crucial that BP adopts a strategic approach that will identify the skills required before selecting the most suitable people to meet the human resource needs of an organisation; Boxall P. and Purcell J., Strategy and Human Resource Management, (Palgrave Macmillan, 2003). Furthermore, Beardwell J. and Claydon T., Human Resource Management: A Contemporary Approach (Prentice Hall, 2010) emphasis this need of a strategic approach as a prime source of competitive advantage to ensure the organisation has the right people in the right place at the right time. The strategic recruitment and selection process include techniques that stretch from attracting, selection and induction. 2.2.1 Attracting Talents: BPs Brand Strategy CIPD, (http://www.cipd.co.uk/hr-resources/factsheets/employer-brand.aspx) .[Accessed 03 Mar. 2011) defined employers brand; as a set of attributes and qualities often intangible that makes an organisation distinctive, promises a particular kind of employment experience, and appeals to those people who will thrive and perform best in its culture BPs brand strategy will depend on its brand strength and how it differs from its competitors. A useful strategic approach is that by CIPD: A no-nonsense approach, (http://www.cipd.co.uk/hr-resources/factsheets/employer-brand.aspx).[Online].(Accessed 03 Mar. 2011). In this step-by-step approach, BP will first need to investigate by communicating with top management, the employees, and external talent sources to understand the true perception of its employees experience. Secondly, BP should use the feedbacks from this investigation to create a distinctive Value Propositions (VP); a unique and compelling offer by BP to attract, retain and engage the employees in return for their performance. A suggested unique and compelling VP for BP is shown in fig 1 below; Next BP is to make sure it can deliver on its brand promise. By doing this and thinking about the employees experience not only from the recruitment stage but through induction to actual work life experience, BP will be using its employees to sell itself in a process known as employee branding. Therefore a good employee branding should be reflective of the employee experience as shown in fig 2 below; Finally BP will need to continuously measure, evaluate and review its brand strategy to make sure it is delivering real value.  This will be reflected through increase in application and enquiries, employees going the extra mile, and advocating for BP. 2.2.2 Strategic Recruiting Methods Globalisation and the global economic recession have pushed many employers to search creative employment channels and target a diverse application group. A CIPD report, Annual Survey Report 2007: Recruitment, Retention and Turnover (CIPD, 2007) indicated that local newspaper and corporate website were still favourite routes used by most employers. But due to technological changes and employees preference for a more flexible approach, organisations are now resorting to online recruitment techniques such as social networking sites like Facebook because they are cost effective and faster. BP a strong promoter of diversity, (http://www.bp.com/sectiongenericarticle.do?categoryId=9023446contentId=7058326).[Online].(Accessed 05 Mar. 2011), can win the war on diversity by creating a diverse recruitment policy that is inclusive of both the traditional (newspapers and corporate website) channels plus mainstream recruiting channels. Fig 3 portrays the diversity recruitment process; To use both traditional and mainstream recruiting methods such as; Newspapers, Universities, E-recruitment, social networking sites, career fairs, and iPhone, to develop a heterogeneous group of applicants. Top management to become involved and support line managers in implementation. To provide management with diversity training. To keep altering recruitment practice so as to avoid recruiting every time from same social background and age groups in case it discriminates against certain job seekers. 2.2.3 Strategic Selection Techniques Strategic recruitment is a continuous process and includes adopting the right selection techniques. There are different techniques organisations have used to select potential employees: interviews, integrity test, curriculum vitae, assessment centres and psychometric tests. CIPD, Annual Survey Report 2007: Recruitment, Retention and Turnover (CIPD, 2007) reported that local newspapers and corporate websites were still favourite routes used by most employers though the psychometric and assessment centres have been popular. Whatever method BP chooses, it is important that the method is reliable and valid. Reliability measures the accuracy and consistency of the selection test while validity measures its predictability. The psychometric test has typically been associated with the best practice for employee selection; Redman T and Wilkinson A, Contemporary Human Resource Management (Prentice Hall, 2009). The psychometric tests are designed to accurately measure a candidates knowledge, abilities and personality traits. These tests have become popular with recruiters because they are designed to be reliable and predictable and are effective for handling large volumes of applicants. Assessment centres on the other hand focus on behaviours required for the job and involves candidates completing a number of different tasks as part of the selection process; CIPD, (http://www.cipd.co.uk/hr-resources/factsheets/selection-methods.aspx).[Online].(Accessed 05 Mar. 11). BP website shows its corporate website is the preferred selection route; (http://www.bp.com/sectiongenericarticle.do?categoryId=9031578contentId=7057906) .[Online].(Accessed 05 Mar. 2011). But selection is more than just using a particular technique, BP needs to implement a strategic psychometric approach which takes into account a social framework that includes selection as best fit and as an interactive discussion process; Redman T and Wilkinson A., Contemporary Human Resource Management, (Prentice Hall, 2009). To adopt a best fit approach, BP will need to identity its unique qualities such as values and culture, employment patterns, market segment and use these qualities to differentiate it selection practices from a best practice approach. Furthermore, BP should make its selection process interactive. The HR department should exchange information with other managers that are directly affected. Moreover, negotiation with participants should be a two-way process and designed to be perceived as fair. That is; treating participants with respect and dignity, providing them with information and making them part of the whole process. In addition, it is important that BP should provide adequate training courses for all those involved in assessing candidates at all stages of the selection process and that they are adequately briefed about the jobs. 2.2.4 Induction It is the process whereby employees adjust to their jobs and working environment; CIPD, (http://www.cipd.co.uk/hr-resources/factsheets/induction.aspx).[Online].(Accessed 05 Mar. 11). The purpose, which is to ensure a smooth integration of staff into the organisation. BP can make its induction process more effective by; Making induction a vital part of its recruitment process. Designing a well structured induction programme to ensure that all new recruits receive information consistent with BPs values and culture. Carrying out physical orientation to describe where the facilities are and an organisational orientation to show new employees the important role they play in the overall business strategy. Ensuring a quality welcome because employees develop lasting impressions within their first few weeks of working. In a nutshell, if BP decides to adopt a strategic recruitment and selection approach to tackle challenges in its people management it will be vital that BP differentiates its brand strategy from that of its competitors. Furthermore, BP should be able to determine its core competencies to determine the correct recruiting channel(s). Finally, how it assimilates its new employees speak loud about its culture and values. TOTAL WORD COUNT: 3000

Analysis for Expansion of Starbucks

Analysis for Expansion of Starbucks Introduction: The history of Starbucks starts in Seattle in 1971.Three friends Jerry, Zev Siegal, and Gordon Bowker who all had a passion for fresh coffee, opened a small shop and began selling fresh roasted , gourmet coffee beans and the brewing and roasting accessories .The company did well, but things began to change in 80s. First Zev Seigal sold out in 1980.Yet at that time, Starbucks was largest roaster in Washington with six retail outlets. In 1981 a plastics salesmen noticed the, number of drip-brewing thermoses that Starbucks was buying from Hammerplast, the manufacturer that he represented. A brief history of Starbucks: Starbucks has always been the place to find the worlds best coffees. But in 1971, you would have had to travel all the way to out first-and at that time, only store in Seattles first Pike Place Market. 1970s : The first Starbucks opens. The name comes from Herman Melvilles Moby Dick, a classic American novel about the 19th century whaling industry. The seafaring name seems to be appropriate for a store that imports the worlds finest coffees to the cold, thirsty people of Seattle . 1980s: Howard Schultz joins Starbucks in 1982. While on a business trip in Italy, he visits Milans famous espresso bars. Impressed with their popularity and culture, he sees their potential in Seattle. Hes right after trying lattes and mochas, Seattle becomes coffee-crazy 1990s: The demand for great coffee allows Starbucks to expand beyond Seattle, first to the United States, then further a field. After becoming one of the first companies to offer stock options to its part-time employees, Starbucks becomes a publicly traded company. 2000s: The Starbucks phenomena continues. At the time of writing Starbucks has more than 15,000 locations across the globe. In addition to our excellent coffees and espresso drinks, people now enjoy Tazo tea and Frappuccino and ice blended beverages. Howard Schultz: In 1982 Baldwin hired Schultz as a new head of marketing and shortly thereafter sent him to Milan to attend an international housewares show in Italy. Schultz went to Verona and had his first cafe latte. But he observed something more important than the coffee. The cafe patrons were chatting and otherwise enjoying themselves while sipping their coffees in the elegant surroundings. It was an aha moment as inspiration struck. A great idea : Schultz describes that moment as epiphany, why not create community gathering places like the great coffee house of Italy in the united States? Could the old world meet the new world? If it succeeded , it would be marketing genius. By 1983 the marketing manager had a vision of recreating the magic of romance behind the Italian coffee bar and wanted to test out the concept of selling the espresso by the cup. II Giornale and Starbucks go their separate ways : When Starbucks coffee is opened its sixth store in downtown Seattle, the coffee was a hit , it was an immediate success. Schults, however branched out on his own and opened a coffee house named Italys largest newspaper , The Daily or II Giornale., Two months later , the new store was serving more than 700 customers a day , and it was selling 300 percent more than the Starbucks locations. Sell out : This is my company now. In 1987 the owners of Starbucks coffee company decided to sell their coffee business , along with the name, to a group of local investors for $3.7 million. Schultz raised the money by convincing investors of his vision that they could 125 outlets in the next five years. He also changed the II Giornale bare- breasted mermaid logo into a more socially acceptable figure. The company name changed from II Giornale to Starbucks, and finally he converted the six existing Starbucks, roasting shops into elegant , comfortable coffee houses. The era of growth : Starbucks coffee history was just beginning to take shape. Starting from a base of 17 store in 1987, the company expanded rapidly to other cities: Vancouver, Portland and Chicago. By 1991 Starbucks has also expanded into the mail-order catalogue business and licensed airport stores and further into the state of California. In1992 the company went public, and after the intial offering of public Starbucks continued to grow at a phenomenal pace that no one had ever seen in the coffee world before. By 1997 the number of Starbucks coffee stores grew tenfold, with location in United States, Japan, Singapore. Other business extension : Not satisfied enough with just a store house coffee, Starbucks expanded several other products and brand extensions. Offering Starbucks coffee on United Airlines flights Selling premium teas through Starbucks own Tazo company. Using the internet to offer the people the option to purchase Starbucks coffee online. Distributing whole bean and ground coffee to supermarkets. Producing premium coffee ice cream wit Dreyers. Selling CDs in Starbucks retail stores. The Starbucks shows how the once small regional roaster, selling coffee beans, became an international corporation with with more than 9000 locations in 34 countries serving 20 million customers or more a week. In fiscal 2004 , Starbucks reached a record 1,344 stores worldwide. 2. Objectives And vision: Commitment to safety and customer service. Low unit cost. Strong branding. Strong corporate culture. To increase the loyalty with the average customer visiting the company at least twice a week . By the year 2011 the consumer under thirty years of age should account for 35% of total sales. Increase in the target market without detracting from older consumers. To become the preferred coffee house established for the age group of the under thirties. To increase the net profit margin to 12.5 %. To increase the profit level by 15% per annum over the next ten years. Mission Statement: Establish Starbucks as the premier purveyor of the finest coffee in the world while maintaining our uncompromising principles as we grow 3. Features Of Starbucks : Instant Coffee: This is not instant coffee as you know it .this is a rich , flavourful Starbucks coffee in an instant . Starbucks had found a way to offer a truly great cup of coffee that u can prepare by just adding water. Other instant coffees taste flat and lifeless. Its made with the highest quality, ethically sourced 100% Arabica beans. The magic is in a proprietary, all natural process that we spent years perfecting. We micro grind the coffee in a way that preserves all of their essential oils and flavour. No other company takes this step, and it makes all the difference. Sales And Expansion: Starbucks always choose beautiful location and atmospehere where people can enjoy their coffee. It opened its first locations outside Seattle waterfront station in Vancouver, British Colombia and Chicago, Illinois, that same year. At the time of its initial public offering on the stock market in 1992, Starbucks has grown to 165 outlets. International Expansion: Starbucks is serving for all the coffee lovers in many countries in the world. Currently Starbucks is present in more than 55 countries across the globe. Fair Trade: In 2000, the company introduced a line of fair trade products of the approximately 136,000 metric tons (300 million pounds) of coffee Starbucks purchased in 2006, about 6 percent was certified as fair trade. 4. Marketing Strategy Of Starbucks: Starbuckss marketing strategy involves positioning the local Starbucks outlet as a third place(besides home and work) to spent time, and the stores are designed to make this easy and comfortable. The cafe section of the store is often outfitted with comfortable stuffed chair. There are ample electrical outlets providing free electricity patrons using or charging their portable music devices or laptop computers. Most stores in U.S and some other markets also have wireless internet access (although this access is not free, as it is in some independent coffee shops). The company is noted for its non-smoking policy at all it outlets, despite its prediction that this would never succeed in markets such as Germany, where there are otherwise few restrictions on smoking. Outlets in Vienna and Mexico city, which have smoking rooms separated by double doors from coffee shop itself, are the closest company has come to making an exception. According to the company, the smoking ban is to ensure that the coffee aroma is not adulterated. The company also asks its employees to refrain from wearing strong perfumes for similar reasons. Starbucks generally does not prohibit smoking in outside seating areas. Starbucks generally does not offer promotional prices on its products. It has a reputation for having pricey drinks, though as of early 2006 Dunkin doughnuts charged even more for a large cup of coffee ($1.95 vs. $1.80 at Starbucks). In late 2006, Starbucks announced that it would raise prices by $0.05 USD, at the beginning of new fiscal year, October 2, 2006. 5. SWOT Analysis: Strengths Revenue targets: Starbucks corporation is a very profitable organisation, earning in excess of $600 million in 2004. The company generated revenue of more than $5000 million in the same year. Brand Awareness: It is a global coffee brand built upon a reputation for fine products and services. It has more than 10000 cafes in almost 55 countries. Leading company: Starbucks was one of the top Fortune Top 100 companies to work for in 2005. The company is respected employer that values its work force. Strong Ethics and Mission: The company has strong ethical values and mission statements as follows, Starbucks is committed to a role of environmental leadership in all facets of our business Locations: Starbucks coffee shops locations are at convenient places like library, shopping malls and etc. Weakness Pricing: Pricing of Starbucks are higher as compared to the competitors. Business spreading: The organisation has a strong presence in the United States of America with more than three quarters of their cafes located in the home market. It is often argued that they need to look for a portfolio of countries, in order to spread business risk. Lack of internal focus: Starbucks lacks in internal focus as its focuses too much on its expansion. Control on stores: Starbucks have less control on stores outside the U.S, and also ever increasing number of competitors in the market. Dependant on retail market: The organisation is dependant on a main competitive advantage, the retail of coffee. This could make them slow to diversify into other sectors should need the arise. Opportunities Added opportunity: Starbucks are very good at taking advantage of opportunities. In 2004 the company created a CD-burning service in their Santa Monica (California USA) cafe with Hewlett Packard, where customers create a own music CD. Fair Trade Products: New products and services that can be retailed in their cafes, such as fair trade products. Market penetration: Entry into Asian market like Pakistan, India, Bangladesh and also this market penetration is done even in several International countries. Global Expansion: The Company has the opportunity to expand its global operations. New markets for coffee such as India and the Pacific Rim nations beginning to emerge. Co-Branding: Co-branding with other manufacturers of food and drink, and brand franchising to manufacturers of other goods and services both have potential. Threats Coffee cost: Starbucks are exposed to rises in the cost of coffee and dairy products. Customers Choice: Who knows if the market for will grow and stay in favour with customers, or weather another type of beverage or leisure activity replace coffee in future? Copy cat brands: Since its conception in Pike Place market, Seattle in 1971, Starbucks success has lead to market entry of many competitors and copy cat brands that pose to potential threats. Coffee pricing: Starbucks have variation in coffee prices in developing countries Security: Security risk at crowded places can also be one of the major threat. 8. Porters Five Forces The food or beverage industry is one of the growing industries today. A company need to analyse both macro and micro-environmental factors. Porters five forces ,model helps the companies to have an edge over rival companies and help to better understand the current market. Porters five forces are the internal factors that have a direct impact on the current market and helps to affectively compete in the market place. The threat of intensity of industry rivalry The threat of the entry of new competitors The threat of substitute products or services The bargaining power of Suppliers. The bargaining power of customers (buyers) The threat of intensity of industrial rivalry: Small speciality coffee shop chains and independent coffee shops Costa, Nero in Europe; Caribou coffee, Van Houtte, Peets Coffee and Tea company in Canada and USA. McDonalds McCoffee Dunkin Donuts Nestle? The threat of new competitors: Starbucks has a very strong brand name which is built over a period of time. Any new competitor into coffee business need to invest lot of money for advertising and marketing to get set in the market. Economies of scale high economies of scale are required to compete with the already established companies. Distribution channels the top retailers have established powerful global distribution channels. Well known brand names and difficult distribution. The threat of substitute products or services: Choosing less expensive alternatives than the luxury coffee that Starbucks offers. Other substitutes of the coffee are the caffeinated soft drinks. The bargaining power of suppliers: Fair Trade. It ensures that the coffee farmers would be paid fairly for their crops Increasing number of speciality coffee buyers. Supply and price can be affected by multiple factors in producing countries, including weather, political and economic conditions. The company buys coffee using fixed-price and price to be fixed purchase commitments, depending on the market conditions, to secure and adequate supply of quality green coffee. Expansion: The Starbukcs will have power on its suppliers by how much the Starbucks expansion is done The bargaining power of buyers: Buyers play a significant role in the Porters forces and this scenario has a great advantage. Buyers are the individual consumers who do not buy large quantites and do not have any influence over the price. Presence of substitutes. No switching costs. High risk of backward integration. 7. Marketing Mix Strategy The Starbucks brand, marketing mix is kept value with very good upshot. The steadiness of the product goes well with its price for very good products, the place are known as beign very comforting for customers apart from if the free way is next door. The atmosphere is so peaceful for customers. The product, price, place, promotion show evenness in the reputation of being a clean and upmarket coffee shop. Price: The amount of money a buyer must give to the seller for a specific quantity of the product is the price of that product and usually consumers use this as an indicator of quality (Dalrymple parsons, 1986). Price and quality determines the value of the product. When launched, Starbucks was expensive and was positioned in accordance with that. They always tried to deliver the high value promised to the consumers. They bought the quality beans, gave effective and efficient training staffs, and moreover, made an atmosphere to enjoy coffee, meet fellow people and take a break from the busy life. These all justify and their pricing and show how price supported their positioning. Product: Starbucks tried to positioned themselves as a premium product in the coffee industry by creating a high standard, introducing innovative products and providing excellent service. Schultz knew how perishable the coffee was and they take care on coffee control, and hence carefully they monitored each step of coffee production. Usage of non-fat milk and introduction of Frappuccuino made a significant presence in the balance sheet of Starbucks. Moreover, they provided seasonal offerings such as strawberry and cream Frappuccuino in summer and ginger bread latte in Christmas, were introduced. Gradually food items such as cookies, pastries, salads, sandwiches made they way into the stores. Place: Distribution channels link the organisations product or service to its consumers; and in a producer consumer channel, as in the case of Starbucks maintaining personal relationship with the customers in significant (Brassington pettitt 2000). As demand grew, these store clusters made them able to manage the increase traffic and to keep their competitive position. In the same way they took care about the service provided in the stores. Howard Schultz aimed to unlock the romance and mystery of coffee in coffee bars, and he knew how important the role of baristas in achieving that. Baristas experience in engage the customers was the heart of Starbucks experience. Thus they differentiated in the market by constantly providing higher quality service. Promotion: All marketing activities that attempt to stimulate buyer action or sales of a product can be considered as a promotion (Shrimp, 1977). Starbucks used to organise a big community event prior to the opening of its stores. Artworks are designed to boast the each citys personality and it was used on commuter and T-shirts. They also recruit local ambassadors from new partners and to customers to promote their brand. They dint use advertising but they used those funds for acquiring key locations. Starbucks tried to establish a national dominance before other speciality coffee bars into the picture. 8. PESTLE Analysis: PESTLE analysis stands for Political, Economical, Social, Technological, Legal and Environmental analysis. PESTLE analysis provide macro-environmental factors that a company has to tale into consideration. It is useful as strategic tool for understanding maket growth or decline, business position and direction for operations. Legal and Political factor: The factors that include the stability of country in which Starbucks purchases its coffee and other raw goods. Coffee is grown in some pretty dicey areas. Also they proclaim to be environmental friendly, so they have to cosider how to protect the brand aspect in everything they do form increasing the shade of share grown and organic coffee, for providing a living wage that makes it to individual farmers, to have production techniques with low pollution rates. Right now, Starbucks has two action suits pending since 2001. The law suits entitled Carr Vs Starbucks and shields Vs Starbucks are challenging the status of Starbucks California store managers and assistant managers as exempt employees under California wage and hour laws. Starbucks also only imports all their coffee beans, so possibly threats could include a change in import laws. The change in the status as far as imports could greatly affect numerous areas of production for the company. For example if it cost more to import or the process is made more difficult the result could ultimately change in price, which would affect the level of consumption for Starbucks coffee. Economic factors: Economic factors are an important aspects that concerns the nature and direction of the economy in which the firm operates. Since the relative affluence of various market segments will affect the consumption patterns, companies must take this into consideration when planning its strategy. The companys net revenue increased from $1.3 billion fiscal 1998 to $ 1.7 billion in fiscal 1999 due primarily to the companys store expansion program and comparable store sale increases. As a part of its expansion strategy of clustering store in existing markets, Starbucks has experienced a certain level of cannibalization has been justified by incremental sales and return on new store investments. This cannibalization, as well as increased competition and other factors, may continue to put downwards pressure on the companys comparable store sales growth in future periods (www.Starbucks.com). Social Factors As a result from the economic factors Starbucks closely following their objectives, the company has installed a list of principles that further outline the companys willingness to make sure that its affect on the environment is as positive as possible. These principle are stated as: Understanding of environmental issues and sharing information with our partners. Developing innovative and flexible solutions to bring about change. Instilling environmental responsibility as a corporate value. Measuring and monitoring each our progress for each project. Encouraging all partners to share in our mission. Recognizing that fiscal responsibility is essential to our environmental future. The importance of these guidelines is further illustrated by the companys mission to show leadership towards environmental issues. Starbucks does not just rest on its laurels, it demonstrates through participating and organising activities such as neighbourhood clean-ups. Further examples of the companys action towards friendliness include the recycling and reusing of resources in order to enhance the lives of the people around the world (www.Starbucks.com). This illustrates the integrity of the company as they can sometimes sacrifice the opportunities if they dont follow the company stands for. In addition to the waste reduction, Starbucks also aims to reduce energy usage and once again demonstrates this by doing energy audits and then using the result to change store design or procedures so that they save as much as energy possible. Technological factor: Starbucks has developed a web-site that allows its customers to buy speciality items and coffee directly through internet. Consumers can also research products, look up current financial info, current Starbucks store location and also see answers to some of the sites most frequently asked questions. Coffee in Starbucks is made with 4 special but simple fundamental steps, firstly, use the right proportion of the coffee to water. Second the brewing process is short: third, use flesh, cold water heated to just off the boil; fourth, use fleshy ground coffee. Customers besides having coffee and flesh food in the shop. Starbucks also provides to go service and bottled which have different tastes like hazel nut, mocha, vanilla, caramel, etc. All those beverages are flesh food are handcrafted and may be customized. Environmental Factors: Starbucks has a wide range of business activity. These activities help company to use numerous channels of product distribution. With the company operating in many locations worldwide environmental factor plays a major role in marketing decisions. Each distribution channel affected differently and the companys flexibility in the marketing plan allows the company to adjust their strategies to meet the needs of the environmental factors. Starbucks provides a work environment treating others with respect and dignity. The company embraces diversity as an essential component in the way Starbucks does business. Starbucks believe that the company should enthusiastically satisfied customers all the time and contribute positive to our communities and our environmental and recognise that profitability is essential to our future success (Starbucks.com, 2008). Starbucks owns and operates its own facilities, warehouses and retail stores giving the company control of product design, shipping and receiving. The companys strategy is to sell premium products and pricing the products as high as the market will allow. Starbucks brand awareness is very important and by introducing new products developing new distribution channels. Starbucks is one of the leading company in sales of coffee and coffee products in the domestic and global markets. The companys management policies have allowed Starbucks to grow and prosper as an organisation. 9. Ansoff Matrix Ansoff matrix allows companies to explore ways to grow business with existing products or services and new products in existing and/or new markets. This helps companies decide what action should be taken. Ansoff matrix has four combinations: Market Penetration Product development Market development Diversification Market penetration: Market penetration is done when a company penetrates a market with the current products. It is important to know that the market penetration strategy begins with the existing consumers of the organisation. Market development: This occurs when the market you are analysing make some sort of change or advancement. Using the Starbucks example, market development has occurred over the past couple of years as customers are becoming more health conscious. Preferences are moving toward different types of teas/drinks and customers are demanding more healthy alternatives. These factors have aided to market development, with different franchise popping up, such as Argos tea, which become direct competitor to Starbucks. Product Development: In response to the market development mentioned above, Starbucks is introducing new product developments in order to compete with companies aiming to offer customers more health conscience drink options. Enter the new product, Skinny lattes and low fat/calorie syrups at Starbucks. Diversification: Due to the saturation of U.S. coffee market, and the decreasing of their gross profit margin, Starbucks has started to move from having a concentrated business strategy to a diversification strategy. Starbucks has realised that once a market matures that it is too risky to b concentrated, and we agree that they should keep diversifying their business product lines in an effort to stay profitable, and competitive. They should diversify into products such as candy, bagels, and other food related products. Conclusion Starbucks has been increasing its debt every year, and at a pace that is faster than their assets are growing. This is why we chose the firm to slow down its expansion and its focus more on marketing their products. In such a saturated market as the one that they are in Starbucks needs to focus on increasing consumer awareness and to decrease debt as much as possible. In closing we believe that Starbucks can become even more profitable if they slow down their expansion and concentrate on the stores that they already have open. Starbucks, its brand and products are at the maturity stage of product life cycle(PLC). Change in a more and more competitive market is essential The Perfect Blend will give Starbucks a new, unique and future oriented brand image. (www.docstoc.com) 9. Starbucks Future: Name president for European operations Mark McKeon will be responsible for strategic entry and growth into Europe. Plans to open at least 400 stores during 2000. Enhancing information systems Starbucks submitted plans to build or renovate at least 10 stores around the world. These store are designed or redesigned around green building principles. This puts Starbucks in line to meet its mandate to have all new stores be LEED certificate by the end of the year. The company began converting all lights in its stores to LED technology in 2010. Starbucks estimates that 1,000 stores have undergone the lighting retrofit. The company expects this change significantly reduce its energy consumption. Starbucks bought enough renewable energy certificates to have 25% of its electricity generated by clean energy sources. The company has a goal having a 50% of electricity produced by renewable energy in 2010. 10. Recommendations Revamp the employee reward system Large percentage of staff are under the age of twenty. Benefits package focuses on medical, dental, and vision care, as well as employee stock options. Outside of hourly wage, and semiannual raises, there are few monetary rewards. Tighten focus on creating the Third Place environment. Site has a very high employee turnover rate Manager Promoted to a another site in hopes of improving their poor performance Site has very poor handicapped accessibility Conditions of restroom in each of our visits was poor and no baby changing area. Focus Profitability Measures On More Than Just Staffing Store is underperforming some high margin product segments Too high focus on minimizing direct labour as a key to achieve profitability Focus on high-margin items and profitable add-on sales By increasing pastry sales by 33%, store would realise a $16K increase in contribution.

Sport And Aggressive Behavior Essay -- essays research papers fc

Sports and Aggressive Behavior Sport and aggressive behavior, Do sports create aggressive behavior, or simply attract people who are already aggressive? Aggression and sport have gone together as long as sports have been around, be it the players themselves, to the parents, coaches, or spectators, they just seem to be an inseparable part of each other. The term violence is defined as physical assault based on total disregard for the well being of self and others, or the intent to injure another person (2. Coakley). Intimidation usually does not cause physical harm, but often is designed to produce psychological consequences, enabling one person to physically over power or dominate another. These statements as defined by the author, Jay J. Coakley, is what people today have made a must part on sport. Pleasure and participation sports absolutely cannot be grouped with power and performance sports when in relation to aggression. Pleasure sports are simply played for pleasure. Score is usually not kept. The athletes p articipating are usually on occasion doing it for fun and exercise. A majority of athletes who have been playing sports since they were little, have probably been pounded into their heads that to be successful in sport, you need to be aggressive, and at some times, unnecessary. Also that to get what you want, you have to go at it with all force. Not that this is wrong but, this attitude in today's society has been a major problem factor to the athletes when they get older, to get into trouble with the law. Those long-term effects of so-called discipline, patterns develop these destructive behaviors. (9. Montague) Although some people are still in belief that aggressive behaviors in all forms are grounded into instincts, but they also relate these actions to sports. Their parents played, who were known for their aggressive behavior, so the child feels that they have to live up to that expectation.( 6. Storr) Athletes do have to be aggressive to a point, so that the team can form a st rategy to win. There is also a limit to aggression when it turns into violence. People might say that it's not aggression or violence, its just adrenaline pumping. Adrenaline isn't even similar to violence. Aggression, maybe, but nothing that would be harmful to anyone else. This might be a factor to why contact sports are so popular. For example, football, hockey, rugb... ...o suffer by an outcome that nobody wants to see, doing away with sports in general. Bibliography 1.  Ã‚  Ã‚  Ã‚  Ã‚  Aggression and Violence, social interactionists perspectives. , Richard B. Felson and James T. Tedeschi 1993 2.  Ã‚  Ã‚  Ã‚  Ã‚  Sport in Society, Issues and Controversies 6th edition, Jay J. Coakley 1998 3.  Ã‚  Ã‚  Ã‚  Ã‚  Anger, Madness, and the Daimaonic; the pyschologists genesis of Violence, evil and creativitiy. Stephen A. Diamond 1996 4.  Ã‚  Ã‚  Ã‚  Ã‚  A History of Aggression Freud, Paul E. Stepansky 1977 5.  Ã‚  Ã‚  Ã‚  Ã‚  Violent Men; an inquiry into the pychology of violence, Hans Toch 1969 6.  Ã‚  Ã‚  Ã‚  Ã‚  Human Aggression, Anthony Storr 1968 7.  Ã‚  Ã‚  Ã‚  Ã‚  The Creation of Deviance, Interpersonal and organized determinants, Richard Hawkins, Gary Fredman, 1975 8.  Ã‚  Ã‚  Ã‚  Ã‚  Power and Innocence, Rollo May 1972 9.  Ã‚  Ã‚  Ã‚  Ã‚  Man and Aggression, Ashley Montague 1968 10.  Ã‚  Ã‚  Ã‚  Ã‚  Adolescents and their Families, Paths of Ego Development, Stuart T. Hauser, Sally I. Powers, Gil G. Noam 1991

The Use of Suspense in Julius Caesar :: Julius Caesar Essays

The Use of Suspense in Julius Caesar Suspense can be defined as the uncertainties the reader feels about what will happen next in a story, or in this case, a play. William Shakespeare incorporated in Julius Caesar three very suspenseful events on which the whole play depends. The first suspenseful event of this play occurs when the conspirators join and discuss their reasons for assassination. Cassius feels that he is equal to Caesar, if not even better that him. Shakespeare builds suspense by using this statement made by Cassius: "I was born free as Caesar.../we both have fed as well, and we can both / endure the winter's cold as well as he." Then cassius tries to persuade Brutes to join in on the conspiracy by telling him that it would be honorable to assassinate Caesar. Cassius tells Brutes that the fate of Rome is in trouble with Caesar in power, which helps build suspense early in the play. To convince Brutes conclusively, cassius forged letters and threw them into Brutus's window where he was sure to find them. Shakespeare wrote this statement: "we will awake him and be sure of him. This is a very powerful statement that builds suspense because the reader most likely feels that Brutes will join in and want to assassinate Caesar, yet the reader is uncertain as to whether or not the plan will work. These events are very suspenseful as they lead up to the assassination of Caesar. The next series of suspenseful events that foreshadow Caesar's assassination happen on a very unusual night. One night before Caesar's death there were many strange occurrences the foreshadows darkness in the future. A lioness gave birth in the streets, the dead rose from their graves, fiery worriers fought in the clouds so fiercely that blood drizzled upon the capitol, horses neighed, dying men groaned, and ghosts shrieked and squealed along the streets; all events of this strange night that Shakespeare makes so suspenseful. Also on this unusual nigh, Calpurnia had a very frightening dream that was very suspenseful. The dream was of Caesar's statue emitting blood and many Romans were bathing in it. When the reader reads this he is "on the edge of his seat"

Final Exam – Financial Institution

Financial Insitutions Closed book, Closed Notes 1. Final Examination Fall 2011 Roger Staiger III What is the difference between the spot market and the futures market In the spot market, trades are executed immediately, i. e. real time. In the futures markets, which is a derivatives market, trades are agreed upon today but settled lat later dates in the future. 2. What is the main difference between the money markets and capital markets? Money markets are for short-term security exchanges, i. e. less than 270 days. The capital markets are for long-term security exchanges, i. e. greater than one year. 3.What are four requirements to transfer capital within an efficient market? a. b. c. d. e. f. Stable Government Low Inflation Savings (personal, corporate, fiscal) Competition Disclosure (transparency) Fair market rules (legal system) 4. Draw the difference between direct and indirect capital formation process. Business Securities Dollars Savers Business 5. Financial Intermed. Savers De scribe the purpose of an investment banking house. a. Design Sellable Securities b. Buy securities from corporations c. Resell to ‘savers’ (broker transactions) 6. Name two sources of funds for Financial Intermediaries. . Deposits (lenders, credit unions, pension funds) b. Premiums (life insurance) c. Share issuance (mutual funds) Name four main roles for depository institutions. a. Offer deposit accounts 7. All problems equally weighted Page 1 of 7 Financial Insitutions Closed book, Closed Notes b. c. d. e. 8. Final Examination Fall 2011 Roger Staiger III Repackage (warehouse) deposit accounts Underwrite risk on loans â€Å"Expertise† in quantifying creditworthiness Provide diversification for placed loans What are the unique characteristics for a credit union separating it from other depository institutions? . b. c. d. Not for profit All business restricted to members All members share a common bond (geography, employer) Small (relatively) depository institutio n 9. Name two of the securities found in the Money Markets. a. Treasuries b. Commercial Paper 10. Name two of the securities found in the Capital Markets. a. b. c. d. Fixed income securities Mortgages Securitized products Equity 11. Define â€Å"Derivative†. An asset for which the value is derived from an underlying asset. 12. A wife purchases insurance on her husband (the marriage is loving). What type of â€Å"trader† is the wife?A â€Å"hedger† as the wife is not purchasing the instrument to profit from the loss of her husband but to provide financial security should the husband expire. The strategy is loss-minimization and therefore a hedge. 13. Name two large risks when investing abroad. a. Country Risk b. Foreign Exchange Risk c. Interest Rate Risk Note: B&C could be considered parallel due to interest rate parity. All problems equally weighted Page 2 of 7 Financial Insitutions Closed book, Closed Notes 14. Final Examination Fall 2011 Roger Staiger III Wha t is considered the leading Federal District Bank?New York Federal Reserve 15. Name three operations performed by Federal District Banks. a. b. c. d. e. Clear Checks Replace old currency Provide loans through discount window) Collect economic data Research 16. How many district banks are there in the Federal Reserve system? 12 17. Name five sources of data used by the FOMC. a. b. c. d. e. f. g. h. i. j. k. l. m. Wages Consumer prices Unemployment GDP Business inventories Foreign Exchange Rates Interest Rates Financial Market Conditions Production Levels Business Investment Residential Construction International Trade International Economic Growth 18.Why does the Federal Reserve perform Open Market Operations? a. Increase/decrease level of funds in market b. Offset impact of other conditions that affect level of funds, e. g. holiday traffic 19. Why is the reserve requirement ratio important? Represents the proportion of deposits that must be held as reserves for a financial instituti on. It is one of the determinants of the money supply. 20. What are the two rates that the Federal Reserve sets? a. Federal Funds Rate b. Discount Rate All problems equally weighted Page 3 of 7 Financial Insitutions Closed book, Closed Notes 21. Final Examination Fall 2011 Roger Staiger IIIWhat are the four components of GDP? GDP = Consumption + Investment + Government Spending + Net Exports 22. What are the goals of the Federal Reserve? a. Control inflation (price stability) at 2. 00% b. Promote Growth 23. What are the goals of the ECB? a. Control inflation (price stability) at 2. 00% 24. What are the relative sizes of each asset class in the U. S.? Fixed Income ($32,000bn) Real Estate ($20,000bn) Equities ($18,000bn) Note: In 2006, Real Estate was the largest asset class but has suffered from over $10,000bn in losses over the current financial crisis and still losing†¦ 25. What is LIBOR?London Interbank Offering Rate: Rate that 16 large global commercial banks lend 10 differe nt currencies at 15 different maturities to each other in the overnight market. 26. The world is safe and growth permeates most economies. Explain what this means for the borrowing rate for the US government using a Supply/Demand curve and cash flow diagram for Treasuries. Price S P0 P1 D Quantity P As price decreasing, yield increases, i. e. it costs more for the U. S. government to borrow. All problems equally weighted Page 4 of 7 Financial Insitutions Closed book, Closed Notes 27. Final Examination Fall 2011 Roger Staiger IIIDraw the cash flow diagram for a zero coupon bond. 28. What are three methods that a financial institution uses to manage interest rate risk? a. b. c. d. e. Maturity matching Using floating-rate loans Using interest rate futures contracts Using interest rate swaps Using interest rate caps 29. Why do financial institutions sell their own underwritten loans? a. b. c. d. Maintain services (fee based income) Sell asset (earn positive spread) Sell asset (negative spread but significantly reduced risk exposure) Turnover of capital 30. What are the three main banking regulators in the U. S.? a. Comptroller of Currency b.Federal Deposit Insurance Corporation (FDIC) c. Federal Reserve 31. What is the current insurance limit by account offered to private investors by the FDIC? $250,000 32. What was important about Glass-Steagall? a. Separated banking and securities activities b. Prevented any firm that accepted deposits from underwriting stocks and bonds of corporation c. Intended to prevent conflicts of interest 33. What important about Gramm-Leach-Bliley Act a. Repealed Glass-Steagall b. Allowed affiliation between banks, securities firms, and insurance companies 34. What was most important about Sarbanes-Oxley (SOX)? All problems equally weightedPage 5 of 7 Financial Insitutions Closed book, Closed Notes a. b. c. d. 35. Final Examination Fall 2011 Roger Staiger III Increased transparency of reporting Internal reporting processes required Centr al database of information required Executives personally verifying (signing) financial statements What was Basel? Basel I Accord 1988: 12 major countries agreed on uniform capital standards Tier 1 and Tier 2 Capital adequacy Basel II: Revision of the measurement of credit risk; explicitly account for operational risk; requires more disclosure about exposure risk Basel III: Global regulatory standards for capital adequacy and risk.Fully phased in by 2019. 36. What are CAMELs Ratings? Rating system for banks: Capital Adequacy Asset Quality Management Earnings Liquidity Sensitivity 37. What is Value-at-Risk? Risk measure that quantifies size of risk to a given confidence level over a finite period of time. 38. What is important about Dodd-Frank? Unlike SOX, it includes large private entities under the veil of regulation, e. g. hedge funds, that pose systemic risk. Also intended to add transparency and force OTC products to trade across exchanges for greater transparency. Potentially d isconnected motivations of employees and corporations for reporting fraud, i. . employees (possibly former) share in a portion of an SEC fine recovered. (note: Dodd-Frank is 2319 pages so many answers will be given full credit. The above are important highlights, but again, there is a breadth of correct answers for this question) 39. Who is the current Federal Reserve Chairperson? Ben Bernanke 40. Who is the current Treasurer AND Johns Hopkins University Graduate? All problems equally weighted Page 6 of 7 Financial Insitutions Closed book, Closed Notes Tim Geithner Final Examination Fall 2011 Roger Staiger III All problems equally weighted Page 7 of 7

Malaysian Airline System

From a small air service that began with a 5-seater twin engined Airspeed Consul in 1947, Malaysia Airlines has grown into an award-winning airline with a fleet of more than 100 aircraft, servicing more than 110 destinations across six continents. Today, Malaysian Airlines System Berhad is a corporation with a vision of global expansion. The airline's network will grow extensively in response to consumer demand for worldwide coverage. The airline's enhanced in-flight services, reliable ground support and excellent infrastructure will set new world standards. Company History: Malaysian Airlines System Berhad is the holding company for Malaysia's national airline carrier, one of Asia's fastest growing airlines. Through several other subsidiaries, the company manufactures aircraft parts, offers trucking and cargo transportation services, caters food, provides laundry and dry-cleaning services for airlines and other industrial institutions, and oversees a travel agency. Company Chairman Tajudin Ramli owns a significant share in Malaysian Airlines System (MAS), and the Malaysian government retains a strong voice in MAS affairs. 930s Origins The history of Malaysian Airlines dates back to 1937, when the Straits Steamship Co. of Singapore joined forces with two British companies–Ocean Steamship Co. and Imperial Airways–and won approval from Singapore's government to operate an airline in the region. Malayan Airways Limited was registered on October 21, 1937. Getting clearance and getting planes in the air, however, proved to be two different things for Malayan Airways Ltd. Operations did not begin until 1947, well after the Japanese occupation had come to an end, when a twin-engined Airspeed Consul lifted off from Subang International Airport in Kuala Lumpur, linking that city with Singapore, Ipoh, and Penang in the north of the country. In 1947 the fledgling airline added a 21-seater DC-3 to its fleet of three Airspeed Consuls. By the end of the year the airline was flying to Jakarta (then called Batavia), Palembang, Bangkok, Medan, and Saigon (later called Ho Chi Minh City). Jointly controlled by the intercontinental carriers BOAC and Qantas, Malayan Airways as for a time run by Keith Hamilton, who would later become head of Qantas. 1960s Independence Following Malaysia's political establishment in September 1963–the new country comprised the former states of Malaya and Singapore, and the one-time colonies of North Borneo, Sabah, and Sarawak–Malayan Airways became Malaysian Airways and was reorganized to focus on connecting the new country's disparate regions. Expansion brought more aircraft into the fleet after Borneo Airways was purchased and folded into Malaysian Airways in 1965. This brought four Dakota jets and two Scottish Aviation Twin Pioneer aircraft to the carrier's stable of aircraft. More organizational changes for the airline occurred in 1966, a year after Singapore seceded from Malaysia to become a sovereign state on its own. That year, the governments of Singapore and Malaysia jointly bought a controlling stake in the airline and renamed it Malaysia-Singapore Airlines Ltd. (MSA). Powerful Boeing jets then entered the fleet and enabled flights to reach a number of far-flung Asian destinations. However, differences between Kuala Lumpur and Singapore over the future direction of MSA prompted a split in 1972. Lee Kuan Yew, prime minister of Singapore, desired a truly national carrier for his country, the aim being to fly a small fleet of Boeing 707s displaying the yellow and blue colors of Singapore Airlines. Malaysia likewise chose to go its own way. In October 1972, Malaysian Airline Systems (MAS) was established. (The acronym MAS means gold in the Malaysian language. ) Each of its aircraft would henceforth sport a winged tiger logo, a stylized form of the traditional Kelantan â€Å"wau† or Malaysian kite. The split was crucial to the future fortunes of MAS. From 1972, the airline continued to see itself as a regional carrier, connecting a myriad of remote destinations in Peninsular Malaysia, including Sabah and Sarawak. Singapore Airlines, on the other hand, was committed from its inception to becoming an international success. By 1975, Singapore Airlines was flying to Seoul, Hong Kong, and Taipei. A year later, that airline was carrying passengers to Paris, Dubai, and New Zealand. Unlike Singapore, Malaysia looked to focus on exploiting its vast reserves of natural resources–petroleum and petroleum products, natural gas, timber products, and rubber. The country's government would choose much later than Singapore had to attempt competing with Western companies in manufacturing and high-tech markets. Thus, maintaining a successful regional airline carrier was judged the best strategy for Malaysia during the 1970s. The company slowly built up its regional services to Jakarta and Medan in Indonesia. Later the destinations of Bangkok, Hong Kong, Manila, and Singapore were added. â€Å"Malaysia felt that MAS was not serving the needs of Malaysians,† explained Abdullah Mat Zaid, director of corporate planning at MAS. Expanding as a regional airline was not without incident for MAS. In 1978, the company's low-wage policy met with a setback. Kuala Lumpur had set out rules limiting union activity at the national air carrier as a means of keeping wages and costs down, and a bitter and disruptive labor dispute occurred in 1978. Events surrounding a strike at the national airline prompted the government to intervene and cite MAS workers as being engaged in illegal activity. Several union officials were subsequently arrested. Growth in the 1980s–90s  An economic boom in Malaysia during the 1980s helped spur growth at Malaysian Airlines. By the end of the decade, MAS was flying to 47 overseas destinations. These included eight European cities: London, Zurich, Paris, Frankfurt, Istanbul, Vienna, Amsterdam, and Brussels. MAS also flew at this time to six Australian cities–Brisbane, Adelaide, Darwin, Perth, Melbourne, and Sydney&mdash well as to Auckland, New Zealand. Besides flights to such Asian hubs as Hong Kong, Tokyo, and Peking, MAS also connected with Los Angeles and Honolulu. By 1992, MAS had added scheduled flights to Athens, Madrid, and Rome, and plans were in motion to reach at least one destination in Eastern Europe. Moreover, a new service to South Africa and Brazil was scheduled for 1993. The airline would also look to reach one city on the eastern seaboard of the United States. MAS also chose during the early 1990s to expand by teaming up with other airlines to make additional destinations available for its customers. For example, Iran Air connected Kuala Lumpur with Tehran, and Royal Jordanian connected MAS flights with Amman. In addition, joint services to Chile and Argentina were discussed in late 1991. The impetus for this expansion came from Malaysia's burgeoning economy. Between 1986 and 1991, the country's export-oriented economy posted an average real growth of nine percent. Changes to Malaysia's foreign investment rules during the mid-1980s were designed to help speed a shift from an economy previously dependent on natural resources to a finely tuned industrialized economy. At the same time, a number of large Asian and Western corporations such as Sanyo, NEC, Toshiba, and Philips established branch plants in Malaysia. The extra traffic of company officials flying back and forth from their headquarters to Malaysia, and the transportation of their high-tech goods, spurred on ticket sales for the airline. The number of business passengers MAS accommodated was underscored by gross foreign investments in Malaysia that rose 30 percent in 1991 to M$10. 7 billion ($5 billion). The 1980s–90s Tourist Trade As the country's export trade thundered ahead in the late 1980s, so did the domestic passenger traffic in and out of Malaysia, and naturally tourism also provided a springboard to expansion for MAS. By the late 1980s Malaysia began to go after the prized Western tourist, a market already well exploited by neighboring Thailand and the Philippines. Nearly 5. 5 million travelers visited Malaysia in 1991. Although the country, and its airline, were hit by the effects of the Gulf War and global recessionary conditions, tourism contributed M$5 billion–or $2. 4 billion&mdasho the country's trade balance in 1991. The bulk of these tourists came from neighboring Brunei, Indonesia, the Philippines, Singapore, and Thailand. Kuala Lumpur's plans to build a number of luxury golf courses in the country were expected to help secure growing numbers of Japanese tourists. Getting into the package tour business also helped MAS encourage increased passenger traffic. Malaysia Airlines Golden Holiday packages and Malaysia Stopover packages were established in 1984. These encouraged European and Australian travelers in transit between the two continents to take a rest break in Malaysia before carrying on to their final destination. To further stimulate tourism, a joint campaign was run by the Malaysian government and MAS to declare 1990 Visit Malaysia Year. During the year, some 7. 4 million tourists flew into and out of the country, as compared with the 4. 8 million tourists who visited Malaysia in the previous year. Another source of new traffic for the airline was the growing number of foreign students attending educational institutions in Malaysia. In September 1989 the International School of Kuala Lumpur registered 700 students; a year later, the school had doubled its enrollment. By the same token, young Malaysians were studying in Europe and North America. In Canada, where many Malaysian students attended universities, it was felt in early 1992 that this new traffic source might warrant regular service between the two countries. Canada's own national airline, Air Canada, which was suffering from economic recession and increasing global competition, was slow to grant Malaysian Airlines landing rights. The Canadian government felt that allowing MAS to land in Vancouver would encroach on territory commanded by Canadian Airlines International Ltd. , while Toronto International Airport was considered the preserve of Air Canada. Malaysia's case at the time was not helped by Ottawa having a year earlier announced the cancellation of Singapore Airline's landing rights in Toronto. Even so, Kuala Lumpur officials reasoned that Canada was out-of-step in trying to protect its national airline carriers. The global airline industry as a whole was going the opposite way, towards increased deregulation and competitiveness. Malaysia was prepared to wait for Canada to accept its growing economic might and grant reciprocal landing rights. Intercontinental traffic for the airline was encouraged by the purchase of Boeing 747 wide-body jets. By 1991, the airline had four of them, and three more were added a year later with an average of two more due for delivery each year until 1995. In 1992, a tightening labor supply in Malaysia, in part the result of its increasingly prosperous economy, was cited by international corporations as the prime obstacle standing in the way of future expansion plans. Manpower shortages were especially acute at the middle management and technical levels. All of these circumstances would impact on MAS's passenger and cargo traffic figures as the country's economy moved from the farm to the factory and beyond. Amid this backdrop, the Malaysian government in 1992 forecast that passenger traffic on the country's combined airways–international and regional–would grow by ten percent annually in the five years before 1997. International freight volume in the same period was expected to rise by 13 percent annually. Officials in Kuala Lumpur announced in 1992 that they had plans to build a new international airport in Sapang, adding that all other airports in the country were expected to cope with the increased passenger demand of the 1990s without the need for expansion. Government forecasts in 1992 pointed to 9. 5 million passengers to be carried by MAS that year, a figure expected to jump to approximately 15 million by 1995. Cargo was also identified as an expanding source of revenue for the airline in the 1990s. In recognition of this potential, MAS in 1992 introduced MASkargo in order to begin providing a full cargo service to the United States and Europe. A DC-10-30 jet was fitted to carry up to 60 tons of cargo per flight. Further plans were announced to purchase an additional Boeing 747-400 freighter to carry 45 tons of extra cargo per flight. In 1992 MASkargo also opened a fully automated cargo handling center in Penang. The new facility complemented the expanded MAS Cargo Center at Subang Airport, which provided semi-automated and computerized facilities including elevating transfer vehicles and electronic scissor lifts fitted with computerized scales. Expansion at the cargo center brought MASkargo's total warehouse storage space to 150,000 square meters. The ambitious expansion plans taxed the carrier's profits, which were nearly halved, from M$206 to M$120, between 1991 and 1992. Turnover increased 23 percent in 1992, however, reaching M$3. billion. Correspondingly, employment at MAS rose from 17,575 workers in 1992 to 20,370 in 1993. Demand for flight crews was so great that the carrier contracted for 35 percent of these positions with overseas personnel, mostly Australian. Fifteen hundred of the employees worked in the airline's unique flight kitchen, which served 22 airlines. All 17,000 meals a day were hallal, that is, observing Muslim dietary restrictions that prohibited pork. During this time, MAS hired Star Wars producer George Lucas's special effects unit to create a stunning sci-fi television commercial. The spot, which aired around the world, was commissioned to present MAS as a modern, world-class airline and featured a huge kite-shaped space station. The cost was estimated at between $2 and $4 million dollars. In 1993, MAS bought a 24. 9 percent interest in U. S. charter operator World Airways. The company also leased five of its MD-11 aircraft. Operations personnel, in high demand at MAS, were also made available. 1994: Ramli Buys a Stake in the Airline In 1994 Malaysian entrepreneur Tajudin Ramli bought a 32 percent controlling interest for M$2 billion ($745 million) worth of stock. The government retained an 11 percent interest. Tajudin, who had earlier put together a mini-aviation empire in preparation of competing with MAS, was saddled with an overlarge fleet and diminishing profits. Although sales rose to $M4. 1 billion ($1. 6 billion) in the fiscal year ending March 3, 1994, profits fell from M$145. 4 million ($56. 4 million) to M$7. 7 million ($2. 9 million). The carrier was still receiving large shipments of new aircraft, including Boeing 747s, and sales of its used aircraft were slow. Some of MAS's new A330 aircraft were delivered late, resulting in penalty payments from Airbus. ) Tajudin immediately set out to trim the fat. He introduced a more businesslike attitude and required better reporting from the company's managers. Aircraft utilization was increased. The carrier signed code-share agreements on transpacific routes and promoted its Kuala-Lumpur-Los Angeles route to attract more business passengers. Virgin Atlantic Airways teamed with MAS in 1995 to operate joint London-Kuala Lumpur flights. The service proved convenient for Virgin's Australia-bound passengers. Planes stayed just as full after the number of flights was increased from eight to 14 a week, although the two carriers faced very formidable competition from the British Airways/Qantas alliance, which operated the only single-plane service between London and Australia. MAS recorded its highest ever pretax profit in 1996–97 of M$349. 4 million ($120 million). The company continued to buy new planes and relocated to Kuala Lumpur's new Sepang International Airport, a move expected to further enhance its reputation. However, the new airport's opening was plagued with lost baggage, computer malfunctions, and other annoyances. Depreciating Malaysian currency brought MAS debt up to M$12 billion by 1998. Debt servicing helped MAS lose M$260 million ($62 million) in 1997–98. In response, the carrier deferred new aircraft purchases, sold old planes, and slashed underperforming routes. A new restructuring plan put forth by Tajudin, whose hands were tied by the government when it came to cutting jobs, was rejected on the grounds it would rescue Tajudin at the expense of minority shareholders. Foreign airlines with an eye towards global expansion (such as Thai Airways and British Airways) seemed interested in investing in the troubled carrier, however.