Benthams Utilitarianism in Victorian England :: European Europe History

Bentham's Utilitarianism in Victorian England  The way of thinking of Utilitarianism affected a significant number of the social changes in Great Britain during the early 50% of the nineteenth century. The name most every now and again connected with Utilitarianism is that of Jeremy Bentham. Bentham's philosophical standards reached out into the domain of government. These standards have been related with a few change acts went into English law, for example, the Factory Act of 1833, the Poor Law Amendment Act of 1834, the Prison Act of 1835, the Municipal Corporations Act of 1835, the Committee on Education in 1839,the Lunacy Act of 1845, and the Public Health Act of 1845. As far as their impact on Victorian time change Bentham's two most compelling works give off an impression of being An Introduction to the Principles of Morals and Legislation (1789) and Constitutional Code (1830-1841). Utilitarianism as a way of thinking was otherwise called Benthamism or Philosophical Radicalism. Rivals to utilitarian idea included Thomas Car lyle, John Ruskin, and Charles Dickens. Bentham's essential reason to his way of thinking can be found in An Introduction to the Principles of Morals and Legislation: Nature has set humankind under the administration of two sovereign experts, torment and joy. It is for only them to call attention to what we should do just as to figure out what we will do (225) 1. Alongside this thought of delight and torment as sovereign experts Bentham presented what he called the guideline of utility. This rule can be summed up as the rule that each activity ought to be made a decision about set in stone as per how far it will in general advance or harm the bliss of the network (29),2 Bentham accepted that human conduct was persuaded by the craving to get some delight and to stay away from some torment. In Introduction to the Principles he expresses that it is the best satisfaction of the best number that is the proportion of good and bad (229) 1. These standards were proposed by Bentham to be a statute routed to the officials, to those answerable for the administration of society (27)2. Bentham would have liked to influence some social change as opposed to only impact scholarly convictions. He even ventured to such an extreme as to propose that administrators ought to direct the manners by which people looked for their own joy. The possibility of discipl ine and prize were to be the methods by which the lawmaker could control the individuals' quest for joy. Prizes were viewed as a less significant technique than disciplines.

Robert Browning and William Blake free essay sample

A correlation paper of creators Robert Browning and William Blake. This paper was composed to give the histories of these two writers and contrast their composing styles with one another. It gives nitty gritty depictions of their lives, including family, employments, instruction, books and different realities. At that point it proceeds to think about the creators utilizing an Author An isn't care for Author B group. Robert Browning was conceived on May 7, 1812, in Camberwell, the main offspring of Robert and Sarah Browning. Roberts granddad had sent his dad to oversee a West Indies sugar ranch, yet when he saw that this bondage establishment was so tacky he surrendered the fortune that was hanging tight for him and got back to turn into an assistant for the Bank of England. He wasnt ready to get rich with this activity he had decided for himself, however next to for having enough cash to have a family, he additionally had the option to obtain a library of 6000 volumes. We will compose a custom paper test on Robert Browning and William Blake or then again any comparable theme explicitly for you Don't WasteYour Time Recruit WRITER Just 13.90/page

Developmental Psychology Term Paper Free Essays

Paper Assignment 2 Rebecca’s Rebellion 1. Depict the progressions in physical development and advancement that she would have encountered in the previous 3-4 years and how these progressions could be affecting her present state. Various elements have added to Rebecca’s current insubordination to her folks, the vast majority of them being typical and solid pieces of improvement. We will compose a custom paper test on Formative Psychology Term Paper or then again any comparable subject just for you Request Now In any case, no doubt one part of her physical advancement fairly wandered from the regulating; an issue that, as per a few discoveries in the field of formative brain research, has had a negative catalyzing impact on her self-perception, peer-acknowledgment, relationship with her folks, and in general passionate security. This umbrella issue is Rebecca’s pubertal planning; explicitly, the beginning stage of it comparative with her companions. As refered to in our course reading, from a few distinct examinations, â€Å"(E)arly-developing young ladies were disliked with - attracted lacking fearlessness, restless, and inclined to wretchedness, (†¦ were increasingly engaged with freak conduct (becoming inebriated, taking an interest in early sexual movement) and accomplished less well in school. † This conduct pattern is for the most part reflected in Rebecca, who as ahead of schedule as 10-11, hit a development spray that made her a lot taller and less fatty, â€Å" such an outstanding development spray frequently flags the happening to menarche inside a multi month period,† and as right on time as multi year old became both explicitly pulled in to men, and started building up an undesirable mental self portrait as an apparent weight issue because of put on weight in the hips, â€Å"another normal sign of menarche. The pattern of beginning stage pubescence in caucasian young ladies has been shown to affect both self-perception and confidence because of their clumsy and contrasting appearance to their companions just as the hormonal impacted enthusiastic changes that are common of early youth. Regularly an aftereffect of this craving for peer-acknowledgment, early-onsetters will in general float towards more established and all the more explicitly developed people who coordinate their phase of pubertal turn of events, and â€Å"who frequently energize them into exercises they are not prepared to deal with inwardly, including sexual movem ent, medication and liquor use, and minor reprobate acts. Rebecca has occupied with to some degree reprobate conduct every now and then before early pre-adulthood, yet except for her small destroying the neighbor’s garden spell, she has been totally as per the law, and eventually aware of adhering to house rules. In any case, the impact of this nursery stomping on unruly accomplice is still in all probability a contributing variable to Rebecca’s current condition of insubordination. Beginning stage pubescence aside, a longing for good ways from one’s guardians at this age is a totally ordinary, transformative based part of human turn of events. It is a conduct repeated in primates, as it is at last a nature-based component which serves to, â€Å"discourage sexual relations between close blood family members. † Even in our advanced American culture, such conduct is reproduced, yet in an on a very basic level diverse way; â€Å"(A)dolescents in industrialized countries, who are still monetarily reliant on guardians, can't leave the family. Thusly, an advanced substitute appears to have risen: mental removing. Rebecca’s interesting physical advancement has probably been a huge contributing variable on her present conduct by means of its impact on her mental self view. In spite of the fact that it may be a huge piece of current state, and maybe the essential impetus, it isn't the end-all be-every last bit of it to such an extent as its piece of a mind boggling blend with her relationship with us, individuals her age, and other condition related elements. 2) Describe the phases of psychological and good advancemen t in this formative period as conjectured by Piaget and Kohlberg. Present proof (from her formative history data) for which stage you think Rebecca illustrates. In light of her history, it tends to be promptly seen that Rebecca has accomplished the last phase of Piaget’s phases of intellectual turn of events, also called the Formal Operational Stage. She has shown the limit with regards to extract, precise, and logical intuition, by exhibiting hypothetico-deductive Reasoning, and propositional thought, the main two necessities of accomplishing Piaget’s last stage. Hypothetico-Deductive Reasoning: Rebecca has exhibited her capacity to consider a few conceptual factors in her thinking by excellence of the mind boggling nature of ends she has made all alone previously. For example, her assessment of her parent’s child rearing style was that, â€Å"we are as strong and supporting of her as the normal parent, (†¦ ) however stricter than different guardians. † The veracity of such an end aside, â€Å"and regardless of our absence of information with respect to the particular factors she used to make such an evaluation,† t can be promptly seen that the master con nature of her assessment was the aftereffect of a thought of a few variables, just as their relationship to each other. Propositional Thought: Despite having an underlying absence of trust in math and language expressions at 12 years old, â€Å"proficiency in which turns out to be progressively attached to propositional thinking skills,† an absence of certain ty doesn't compare an absence of fitness. Her better than expected scores on her evaluation reports in center school, and in her exceptional presentation in English in her first year of secondary school would doubtlessly demonstrate her capacity to utilize conceptual images to speak to the two ideas and certifiable items, â€Å"its practically sure that she’s taking a secondary school variable based math or higher dependent on her past scholarly exhibition level. † According to Kohlberg’s phases of good turn of events, Rebecca is unequivocally in the third stage, ethical quality of relational collaboration. This end depends exclusively on her communicated assessment of the shoplifting occurrence that happened during her first year of secondary school, when a few understudies in a group field-trip were discovered taking. She concurred with the discipline in light of the fact that, â€Å"they didn't satisfy the hopes of their folks, their mentor, or their colleagues. † Such thinking shows her conviction that rules must be followed out of perfect correspondence, which thusly exhibits the plan to keep up great associations with companions, family, instructors, and others with whom she has some degree of an individual bind to. ) Describe Erikson’s phase of Identity versus Role Confusion and how you think this applies to Rebecca’s current enthusiastic state. Erikson’s strife hypothesis, explicitly the Identity versus Role Confusion stage, expresses that after arriving at pre-adulthood youngsters have a personality emergency, the fruitful goals of which is dictated by the effective goals of prior clashes as well as â€Å"if society restrains their decisions to ones that don't coordinate their capacities and wants. † In his view, negative goals of this stage brought about people who, â€Å"(†¦ seem shallow, aimless, and not ready for the difficulties of adulthood. † Without going excessively far into Rebecca’s past, the stage going before Identity v. Job Confusion known as Industry v. Inadequacy, â€Å"6-11 years,† seems to have been appropriately settled. Albeit periodically showing an absence of trust in her capacities preceding fulfillment of a movement, school or else, she has quite often performed at a level over her companions, and got no deficiency of commendation or backing from her folks concerning such exercises. Anyway the second state of turning out to be â€Å"role confused† is somewhat trickier. While we have bolstered her in the entirety of her certain endeavors, we have likewise prescribed numerous decisions to her. In spite of the fact that that probably won't be glaringly disclosing to her she can’t do a movement or seek after an intrigue that is prosocial in nature, the way that we were so effectively associated with keeping up great conduct, yet effectively controlling her life may have at last brought about inclination caught in a character that wasn’t hers. Regardless of whether she enjoys a movement or not, the way that such an extensive amount what she has embraced in her life was at first prescribed to her by us could have adversy affected her feeling of self in this season of normal mental separating from one’s guardians. Supporting the case of a potential condition of job disarray being connected to her folks; throughout the late spring of her twelfth year, â€Å"the start of Identity v. Job Confusion,† Rebecca tended to at first reject the greater part of her parent’s proposals for exercises, yet would in the long run, â€Å"start in on some of them later as though it was her own thought. Once more, it wasn’t the action itself that she was dismissing to such an extent as it was the way that it was her folks suggesting it. Maybe this strategy for making a feeling of character autonomous of her folks has just developed with age, and at last degenerated into a total defiance to the practices and qualities imparted by her folks. She has come to relate her magnificent school execution, adhering to of the standards, and different practices as a major aspect of a character that is essentially not her own by temperance of feeling as though she was given no decision, as opposed to in the event that she herself was content with living such a way of life. ) by and large, would you be able to perceive any examples in her formative history that may have been antecedents to her present challenges? As expressed over, her current passionate state is fundamentally a mix of her extraordinary development during youthfulness and the connection between her folks/friends to her personality. That being stated, her tempermant paving the way to ado

Influence Of Accounting Conservatism On A Firm’s Earnings Management - 1650 Words

Influence Of Accounting Conservatism On A Firm’s Earnings Management (Research Proposal Sample) Content: INFLUENCE OF ACCOUNTING CONSERVATISM ON A FIRM’S EARNINGS MANAGEMENT: AN AUSTRALIAN PERSPECTIVE By: Course: Professor’s Name: University: City: Date: Influence of Accounting Conservatism on a Firm’s Earnings Management: An Australian Perspective Introduction The highly used performance index by most economies to make decisions, which include performance evaluation and determination of executives’ rewards is the accounting earnings. Therefore, because of the conflicting interests in the firms between the stockholders and the managers, there is the likelihood that the executives will try to change the earnings figures. According to Fang, Maffett, and Zhang (2015), altering the figures helps the managers to cheat the investors as they give positive views on the financial reports to the shareholders. Such views are important to managers but affect the investors as they depend on the data that corporations publish, hence, invest in them. The conflicting interests arise because of the separation of ownership from the executives, thus, motivating them towards selfishness and become opportunistic. The present study is vital, since, it will assist the investors and the public to understand how to pick businesses that have highly sustainable earnings with better quality in order to maximize their money receipts in the future. Practical Motivation Firms’ executives get pressure when managing the earnings and through the accountants, they manipulate the corporations’ accounting practices in order to realize what they expect financially while keeping the share prices of the business up (Mao and Renneboog 2015). Most of the managers obtain bonuses depending on how the earnings perform while some might become qualify for  stock options, which  create an income when their prices improve. Auditors do not disclose several forms of earnings’ manipulation, therefore, shareholders remain in the dark. Therefore, the executives who mind about the firms’ stockholders will find the current research helpful because they will get its findings, which will suggest the methods to reduce the pressure that they get when managing the earnings. By following the proposed ways, the firms will produce true financial statements that the shareholders will rely on when making investment decisions. Theoretical Motivation Scholars have carried out a lot of studies about the firms’ earnings management in various parts of the globe but not many have studied the relationship between the firms’ earnings management and accounting conservatism especially in Australia. Hence, the present research will concentrate on that association in Australia. According to Akdogan and Ozturk (2015), managers must explain any variation in the accounting principles to the users of the financial accounts by disclosing in the  footnotes of the statements. These disclosures would ensure that there is consistency and the financial accounts become comparable, thereby, exposing any manipulation of the earnings. The current study will improve on the prevailing theory because it will demonstrate how the executives should manage the earnings of their firms in order to avoid giving misstatements and help the financial accounts’ users to make prudent investment decisions. Literature Review This section discusses the earnings management, agency theory, and the relationship between a firm’s earnings management and its relationship with accounting conservatism. Firm’s Earnings Management and its Relationship with Accounting Conservatism Earnings management is a situation where the managers of a firm use the accounting methods to come up with financial accounts, which exaggerate a corporation's commercial activities and financial position in a positive way. According to Ali and Zhang (2015), several accounting rules and principles allow business managers to make their decisions by following them. Ali and Zhang assert that the earnings management such benefits of the accounting and principles to create financial reports, which inflate the income and assets o f the firms, hence, smooth out variations in earnings and show consistent returns either monthly or annually.   There is a negative relationship between the firm’s earnings management and accounting conservatism. Conservatism is a principle, which tries to create the asset and income values, hence, decelerates the recognition of revenue while accelerating the recognition of expenses. According to Lara, Osma, and Penalva (2016), conservatism slows the future cash inflows recognition and allows the accountants to report the highest liabilities’ values, and the lowest assets and revenues’ values, therefore, producing the lowest equity book values. Conservatism produces high profits, since, the principle does not allow companies to exaggerate their earnings, thus, assists the accounting information users as they present earnings and assets that they do not overstate (Guan 2014). Therefore, the organizations’ managers and accountants might require to start u sing accounting conservatism when calculating the values of the assets and incomes in order to enhance the revenues’ quality for the stakeholders to use when evaluating the business. Agency Theory The agency theory expounds on the association that exists between  a business’s principals  and the agents. According to Pepper and Gore (2015), the purpose of agency theory is to resolve the challenges that arise in agency relations because of the objectives that are not aligned or when the levels of averting risk are different. Pepper and Gore assert that in finance the commonest agency association happens between the  shareholders who are the principals and the corporation’s executives who are the agents. Agency problems might happen due to the principal not being aware of the agent’s activities or the lack of funds prohibit him or her from getting the information (Chari, David, Duru, and Zhao 2018). For instance, the firm’s managers might wish t o grow the corporation to other marketplaces, which will take much of the current profits of the business as the executives prospect more incomes. On the other hand, the shareholders who want more growth in the current capital might not be aware of the managers’ strategies. According to Eisdorfer, Giaccotto, and White (2015), Jensen and Meckling are the ones who proposed the agency theory in 1976 by defining the corporations' managers as the "agents" and the shareholders as the "principals". Jensen and Meckling acknowledged that shareholders are at odds with the directors because the shareholders delegate decision-making to the managers. However, the challenge is that the directors do not make decisions in the favor of the shareholders. Jensen and Meckling posited that agency theory assumes that the "agents" and the "principals" have a conflict of interest. The views of the two were that what motivates the managers is in their private interests, which conflicts with the inte rests of the shareholders to maximize wealth. This opinion posits that the motivations, which include rewards, contracts, political motivations, tax incentives, and changing the Chief Executive Officer (CEO), are some of the major earnings management inducements. The Review of Literature Nahandi, Baghbani, and Bolouri (2012) undertook a study about the earnings management and accounting conservatism with a case study of Iran. The scholars investigated, â€Å"the relationship between earnings management and accounting conservatism in Iranian firms.† Nahandi, Baghbani, and Bolouri measured the earnings management using the modified Jones model while they measured conservatism using the Basu (1997) model. The scholars studied the firms listed in Tehran Stock Exchange between 2001 and 2008, and used the systematic omission method to get the sample and the ordinary least squares (OLS) regressions to test the relationship between earnings management and accounting conservatism. Nahandi, Baghbani, and Bolouri found out that the association between the earnings management and accounting conservatism is negative. The organizations whose earnings management was at low levels appeared to possess big asymmetric timeliness coefficients while the in stitutions whose earnings management was at high levels had small asymmetric timeliness coefficients. Zhang (2012), in his research about, â€Å"the empirical study of earnings management based on Chinese listed companies† used the margin return on equity (ROE) and the Jones model in the empirical examination on the selected manufacturing firms in China. From the results, Zhang found out that changing of accounting principles does not escalate the earnings management although sometimes it can go up slightly, hence, not statistically significant. Martin and Roychowdhury (2015), in their study about, Ð ²Ãâ€šÃ'Å¡Do financial market developments influence accounting practices? Credit default swaps and borrowersÐ §Ã'â€" reporting conservatismÐ ²Ãâ€šÃ'Å" studied how conservatism relates to both the accrual and real earnings management. The authors used a large sample of the banks from1991 to 2010. From the results, Martin and Roychowdhury found out that there is a positive relationship between conservatism and the real earnings’ management and a negative relationship between conservatism and the accruals interference’s measures. Abbasiazadeh and Zamanpour (2016) studied about, â€Å"Investigation of the Effect of Audit Size on Earnings Management in Tehran Stock Exchange.† The authors investigated the effect of audit size on the earnings management in the 116 corporations registered with the Tehran stock market from 1387 to 1392. Abbasiazadeh and Zamanpour tested earning management using multiple regressi ons. The authors used a sample of 5 corporations that are listed on the stock market and utilized the Excel statistical tool for analysis. From the findings, Abbasiazadeh and Zamanpour established that the au...

The processes of emergent strategy development - Free Essay Example

Sample details Pages: 5 Words: 1405 Downloads: 6 Date added: 2017/06/26 Category Marketing Essay Type Research paper Did you like this example? Emergent strategy comes about through everyday routines, activities and processes in organizations (Johnson, et. al. 2005, Pp 408). Don’t waste time! Our writers will create an original "The processes of emergent strategy development" essay for you Create order It occurs by chance or happens within the organization without any long term planning. There are four organizational processes of emergent strategy development: Logical Incrementalism Resource allocation routines Cultural processes Organizational politics Logical Incrementalism The development of strategy by experimentation and learning from partial commitments rather than through global formulations of total strategies (Quinn and Voyer, 2003. Pp 408) Key features of logical incremental approach are Managers have a general view rather than specific view of future direction Develop strong, flexible core business and experiment with side bet ventures Top managers utilize mix of formal/informal social and political to pull together emerging pattern of strategies. Resource allocation routines strategies emerge through formalized routines and systems of the organization (Johnson, et. al. 2005, Pp 411). Key features of resource allocation routines appr oach are Day to day decision making about resource allocation across businesses Decisions may be made at a lower level than conventionally thought to be strategic Managers proposals competing for funds Collective effects of such decisions guide the strategy. Cultural Processes Incremental strategy development can be explained as the outcome of the influence of organization culture (Johnson, et. al. 2005, Pp 416). Key features are Self-reinforcing model Over time may result in strategic drift The model and the way we do things around here mean that managers try to minimize haziness/ambiguity by defining situation as something familiar. Organizational politics Political view of strategy development is that strategies develop as the outcome of processes of bargaining and negotiation among powerful internal or external interest groups or stakeholders (Johnson, et. al. 2005, Pp 414). Negative influence Powerful individuals may influence identificatio n of key issues and strategies selected Obstructs analysis and rational thinking Results in emergent or incremental patterns of strategic development Emphasis or de-emphasis of data can be source of power Positive influence Champions will support new ideas. Political conflict and tensions may produce new ideas For example Motorola has successfully met the needs of emerging markets by using its fundamental technological strengths in electronic components to progress from supplying TVs and car radios to offering telecommunication services. Using the website of a large organisation find its organisational chart. Explain why the organisation is structured in the way illustrated. The General Electric Company or GE is an American based multinational corporation incorporated in the state of New York. The company operates through seven segments: Global Growth Operations, Energy, Capital, Home Business Solutions, Healthcare, Aviation and Transportation. The organizational chart of the company is shown below. Source: (GE, 2011) GE organizational chart represents the multidivisional structure because, is built up of separate divisions on the basis of products or services. Each division responds to the specific requirements of its products or market strategy using its own set of functional departments (Johnson, et. al. 2005, Pp 438). The main potential advantages for General Electric of having multidivisional structure are: (Grant, 2005) (Johnson, et. al. 2005, Pp 439) (Pearce II and Robinson, 2009, Pp 344) Top management has limited decision making capacity Corporate management as interface between shareholders and business level managers. Eff icient allocation of resources through internal capital and labor markets Flexible add or divert divisions Increases focus on products, markets and quick response to change Control by performance Strong identification with products Opportunity for employees to learn other functions But there are some strategic disadvantages for General Electric of having multidivisional structure are: Difficult to achieve clear division of decision making between corporate and divisional levels. Increases cost incurred through duplication functions Fragmentation and non co-operation. Explain the four tenets of organisational learning. The learning organization is capable of continual regeneration from the variety of knowledge, experience and skills of individuals within a culture which encourages mutual questioning and challenge around a shared purpose or vision (Johnson, et. al. 2005, Pp 421). Tenets of Organizational Learning: Managers facilitate rather than direct Information flows and relationships are lateral as well as vertical Organisations are pluralistic Experimentation is the norm Managers have a generalized rather than specific view of where they want the organization to be in the future and try to move towards this position incrementally. And managers may seek to develop a strong, secure, but flexible core business. They will then build on the experience gained in that business to inform decisions both about its development and experimentation with side bet ventures. Does structure follow strategy or does strategy follow structure? There are two views on the relationship between Structure and Strategy. Structure follow Strategy Strategy follow Structure The first observation put forward by Alfred Chandler (1962), was based on a study of the development of large corporations in the United States. The focus of the study was on the historical development of the businesses and the different types of organizational structure appropriate at each of the key stages of development. Chandler and Cain (1979) says that in all sides of an organizations structure, forms the creation of divisions and departments to the designation of reporting relationships, and should be made while keeping the organizations strategic intent in mind. He observed that the transition from one form of structure to another usually did not take place as soon as the key strategic issue changed. He suggested that although the entrepreneurs were typically very astute at strategy development and implementation, they tended to know very l ittle about organization structure. From the research he concluded that Structure follows Strategy. The second view, Strategy follows structure is based on the idea that managers already working within a particular organizational structure will take the structure for granted and only consider strategies that will fit with the existing structure. The reason for managerial reluctance to change structure is associated with the time consuming effort involved in such a process and the fact that some managers will have vested interests in maintaining the structure as it is. According to Lynch (2006), strategy and structure are interlinked. It may not be optimal for an organization to develop its structure after it has developed its strategy. Strategy and the structure associated with it may need to develop at the same time in an experimental way: as the strategy develops, so does the structure. The organizations learn to adapt to its changing environment and to its changing resou rces, especially if such change is radical. If the strategy process is emergent, then the learning and experimentation involved may need a more open and less formal organization structure. Finally, an organization must achieve a fit, or congruence, between strategy and structure. Since different strategies and environments place different demands on an organization, they call for different structural responses. Give an example of an organisation where resource allocation processes (RAP) form part of strategy development. The Resource Allocation Process explanation of strategy development is that realized strategies emerge as a result of the way resources are allocated in organizations (Johnson, et. al. 2008, Pp 411). Bower and Gilbert argues that strategy is not like a software program that you install and it suddenly all works, it is a fluid process that is shaped by a range of internal and external forces (Bower and Gilbert, 2005). It is claimed that resource allocation must be viewed as something that gets in the way of implementing ideas but understood as a force that can lead a company in new and unforeseen directions. The role of resource allocation in strategy making: The case of Intel The Intel case shows clearly how resource allocation has a direct impact upon the effective strategy of a company. Intel started doing semiconductor memories; more specifically they had a dominant position in the production of DRAMs (Dynamic Random Access Memory). In 1971 an Intel engineer invented the microprocessor during a funded development project for a Japanese calculator company. Top managers must know the track record of the people who are making resource allocation proposals, recognize the strategic issues at stake; reach down to operational managers to work across division lines (Bower and Gilbert, 2007). Intels sales of microprocessors grew gradually in a host of small, emerging applications. In 1980s the Japanese DRAM makers intensifies their attack on the US market causing pricing levels to drop (Johnson, et. al. 2005, Pp 430). But, microprocessors consistently had the most attractive gross margins in Intels product portfolio, and the resource allocation process therefore systematically diverted manufacturing capacity away from DRAMs and into microprocessors. From this process we can see how the resource allocation and not the deliberate strategy was in reality guiding the company.

The New Jim Crow Mass Incarceration Essay - 1797 Words

Jim Crow laws are regarded as part of the racial caste system that operated in the Southern and Border States in the years between 1877 and the mid-1960s. Under the series of the anti-black laws, African Americans were treated as inferior and second class citizens. The laws have been argued to have represented the legitimization of the anti-black racism in the US. The book The New Jim Crow Mass Incarceration in the Age of Colorblindness is written by Michelle Alexander and originally published by The New Press in 2010. The present paper reviews the above book with the intention of identifying the author’s main argument and the essence of the writer’s message to the readers. The Book’s Main Argument The author, Michael Alexander an advocate, a legal scholar and a renowned civil rights lawyer has dedicated her career fighting racial injustice, especially in the American Criminal Justice system. The main argument of her book is therefore based on the fact that the racism infects every stage of the criminal prosecution system in a bid to influence the understanding of the public regarding the war on drugs and its effect on the entire nation. The book thus argues that the war on drugs and mass incarcerations are a representation of the previous racialized social control forms such as Jim Crow and slavery. The author thus claimed that there more blacks under the control of the criminal justice system currently than the number of African Americans who were enslaved in 1860. TheShow MoreRelatedThe New Jim Crow : Mass Incarceration1370 Words   |  6 Pagesunrecognizable ways that fit into the fabric of the American society to render it nearly invisible to the majority of Americans. Mi chelle Alexander, in her book, The New Jim Crow: Mass Incarceration in the Age of Colorblindness shatters this dominantly held belief. The New Jim Crow makes a reader profoundly question whether the high rates of incarceration in the United States is an attempt to maintain blacks as an underclass. Michelle Alexander makes the assertion that â€Å"[w]e have not ended racial caste in America;Read MoreThe New Jim Crow : Mass Incarceration1361 Words   |  6 PagesBook Review Michelle Alexander, The New Jim Crow: Mass Incarceration in the Age of Colorblindness The premise of the ‘The New Jim Crow: Mass Incarceration in the Age of Colorblindness’ by Michelle Alexander, is to refute claims that racism is dead and argue that the War on Drugs and the federal drug policy unfairly targets communities of color, keeping a large majority of black men of varying ages in a cycle of poverty and behind bars. The author proves that racism thrives by highlighting theRead MoreThe New Jim Crow : Mass Incarceration1477 Words   |  6 PagesThe New Jim Crow: Mass Incarceration in the Age of Color Blindness, by Michelle Alexander. The New Press, 2010. 290 pages. Reviewed by Ashlei G Cameron. Michelle alexander is a highly acclaimed civil rights lawyer, advocate and legal scholar. As an associate professor of law at Standford law school, she directed the Civil Rights Clinic and pursued a research agenda focused on the intersection of race and criminal justice. In 2005. Alexander won a Soros Justice Fellowship that supported the writingRead MoreThe New Jim Crow : Mass Incarceration1199 Words   |  5 Pagesthose who did read her book The New Jim Crow: Mass Incarceration In The Age of Colorblindness. Michelle Alexander stated that The most despised in America is not gays, transgenders, nor even illegal immigrants - it is criminals. That was an important quote since the stereotypical criminal in our racially divided America in most cases are those of color also known as blacks. This is why the criminal justice system in the United States promotes the mass incarceration of blacks that can be seen throughRead MoreThe New Jim Crow : Mass Incarceration1081 Words   |  5 Page s Michelle Alexander’s The New Jim Crow: Mass Incarceration in the Age of Colorblindness outlines how the criminal justice system has systematically designed new methods of discriminating against African Americans. The book advocates for racial justice, specifically, for African Americans and contends they [African Americans] were targeted and subsequently incarcerated, by white voters and public officials, through the War on Drugs campaign. President Reagan and his Administration exploited racialRead MoreThe New Jim Crow : Mass Incarceration1347 Words   |  6 PagesHunter Silver Dr. Kendall Smith English 103-4120 10 November 2015 High Incarceration Rates Due to Racism Racism effects the the high incarceration rates according to Michelle Alexander, the author of â€Å"The New Jim Crow: Mass Incarceration in the Age of Colorblindness. This scholar writes about how the civil rights movement has been taken back by the mass incarceration of black Americans in the war on drugs. Alexander also explains how the severe consequences that these black men carry on afterRead MoreThe New Jim Crow : Mass Incarceration Essay1401 Words   |  6 Pages Michelle Alexander’s book, The New Jim Crow: Mass Incarceration in the Age of Colorblindness, examines mass incarceration in the United States, why the criminal justice system works the way it does towards minorities, the detriments associated with mass incarceration as it relates to offenders, and much more. In the introduction of her book, Alexander immediately paints the harsh reality of mass incarceration with the story of Jarvious Cotton who is denied the right to vote among other rights becauseRead MoreThe New Jim Crow : Mass Incarceration Essay1096 Words   |  5 PagesAlexander, Michelle. The New Jim Crow: Mass Incarceration in the Age of Colorblindness. New York: The New Press, 2010. Study Questions for â€Å"The New Jim Crow†: 1) What is the relationship between the War on Drugs and the spread of crack cocaine through inner city neighborhoods in the 1980s? President Ronald Reagan officially announced the current drug war in 1982, before crack became an issue in the media or a crisis in poor black neighborhoods. A few years after the drug war was declared, crackRead MoreThe New Jim Crow : Mass Incarceration1239 Words   |  5 PagesIn 2013, Michelle Alexander published her book, The New Jim Crow: Mass Incarceration in the Age of Colorblindness, hoping it served as a call to action. Immediately this book received a huge amount of attention because of the controversial topics presented. This book opened a lot of people’s eyes to the term colorblindness, a sociological perspective referring to the disregard of racial characteristics. There is no racial data or profiling, no classifications, and no categorizations or distinctionsRead MoreThe New Jim Crow : Mass Incarceration1547 Words   |  7 PagesSSP101 Final Michelle Alexander is a noble civil rights advocate and writer. She is best known for her 2010 book The New Jim Crow: Mass Incarceration in the age of colorblindness. Michelle Alexander writes that the many gains of the civil rights movement have been undermined by the mass incarceration of black Americans in the war on drugs. She says that although Jim Crow laws are now off the books, millions of blacks arrested for minor crimes remain marginalized and disfranchised, trapped by

Australia Tax Law

Question: Case study on Australia Tax Law. Answer: It is noteworthy to denote that there are several reasons for studying taxation. Perhaps, taxing a citizen is an important aspect and vital procedure for financing most of the necessary public sector expenses as tax revenues generated is important for the government to manage the operation of a country as well as the execution of the activities of administration. Nevertheless, it acts as source for producing several social programmes, such as the activities involving the health service for public along with education and cultural welfare programmes. Thus, the process of taxation is considered as one of the most significant ways in which societies distributional goals can be achieved. The study forms an necessary part for any complete examination of taxations. The actions of the communities segregate from nature by executing the activities from public sector. Study of taxations forms an essential part in democratic countries for administration expenses and correlates with the ways of generating revenues as determined by the constitutional provisions. In addition to this, the study of taxation represents an indispensable instrument for decision makers who want to direct scare resources for general use in the community, which forms a part of the autonomous progression. There are two basic approaches to study tax, which are as follows; A complete approach with cooperative choice: In demonstrating the two approaches, an emphasis has been paid which can be defined as normative questions. It is observed that tax study has an additional dimensions even though it is matter of interest to ask regarding the efficient definition of tax and how it can be deliberate whereas it is equally important to understand the nature of present financial monetary structure. Under this approach the systems of taxations defines an effective characteristics which illustrates the variations of revenue systems amid different jurisdictions. Perhaps the study of the present income systems highlights that there is a structure which is parallel in spite of the fact that there are many variations in personal income, profits derived by the corporate firms, properties etc. the study reveals that each tax systems has effective tax structure having distinct rates for a specific components of tax. Hence, a complete and effective approach to taxation systems consists of both positive as well as normative analysis. Political, general and partial equilibrium of study of taxation systems: The complete approach to the political financial system of taxation commences with the constructive presumption. The approach emphasis on collective process of decision making in relation to the fiscal structures which is designed to produce a nearer link amid taxation and expenses on institutional and financial limitations which might have effect limited compulsion. The theory suggested some ways of reducing the coercion and segregations by proposing the unanimity or competent budgetary measures adopted for decision making. Hence, it is to be noted that approach for decision-making is rather perspective approach and general and partial equilibrium of decision-making procedure is considered as exogenous. Such study is demonstrated by the supposition of communal planner who makes such decision on behalf of the collectively under the exogenously given welfare functions. Hence, the study has emphasised towards shifting and identification of dimension of political wellbeing losses in order to determine the tax systems to maximise the social welfare by assuming the given analytical framework. It is understood that the tax structure of an economy is solely dependent on the basis of tax rate, its base of tax and variation in rate of tax. Tax base can be referred as the base on which the amount of tax is applicable. The rate of tax signifies the percentage of tax, which is to be paid in taxes. In order to determine the tax rate it is vital to know the rate of tax, which equals the base. There are several basis of tax rate for calculating any income level and it is applicable to any level of income. The tax structure consists of the following; Regressive tax Progressive tax Proportional tax Regressive tax rate: A regressive tax rate can be defined as the one, which is in reverse proportional to profits. The lower is the return, higher is the tax rate in relation with proceeds. It is understood that most of the regressive taxes are measured on the products and services under which the actual rate of tax is in accordance with the percentage of cost of the product and services. Hence, it is to be understood that during the process of paying tax a person who is poor is believed to have paid more than the amount of a wealthy man. The most usual type of regressive tax is the sales tax and the value added tax which is commonly known as (VAT). The indispensible effect of regressive form of tax is that it is usually alleviate by paying to the underprivileged and by exempting the essentials commodities and services, such as foodstuff, from regressive tax. Progressive tax: The term progressive tax rate refers to the higher income of tax. It is believed that almost all the progressive taxes are prearranged in such a way, which is in proportional to marginal tax rate, and hence, the system of progressive effect of tax base is applicable to that part of tax which represents higher income and superior than the assured amount. The segment of the duty base is subjected to particular levy rate, which is known as toll bracket which constantly has the lower and upper limit in exception to the lower limit which does not has any upper limit. Proportional tax: Proportional tax rate is known as the flat rate of tax, which is applied on the same rate of tax forming a part of any level of income having any dimension of duty base. For example if Steve earns $60,000, Mary earns $120,000, and the proportional levy rate is 10% then Steve is liable to pay $6000 while on the other hand Mary is liable to pay $12.000. hence it is to be believed that numerous states follows income tax systems and sales tax systems which is in relation to proportional tax systems. The aims of the tax law improvement project states a clear goals that is to redraft the income tax law in order to make it more simpler and to lower the cost of compliance. Such costs are incurred by the who pays tax through acquisition of in-house and external administrative and legal infrastructure in order to meet the obligations of external administrative and legal infrastructure requirement of taxation obligations of tax. Under the tax liability improvement project the cost of compliance is segregated into those cost which is necessary to meet requirements of effective communications related to law. The success of tax law improvement project is aimed towards lowering the cost of compliance and administrative costs which could be difficult to quantify and measure. The aims and goals for tax law improvement projects are given below; The procedure involved in consultation: The guideline prescribed by the RIS reflects the significance of considering the prevailing government policy along with the legislative considerations and consultations. The major objective of tax law improvement project is to comply in wider sense with these objectives. For example, the procedure for review includes the release of two vital informations in relation to the papers and creation of consultation mechanism related to the interest groups and agencies. In addition to these the consultation could be enhanced by the tax law improvement projects by offering more information through the use of papers regarding the characteristics and the extent of compliance costs. Hence, such cost involves the considerations of the impacts on comprehensive compliance cost for each of the concerned stage of tax law improvement projects. Alternative approach regarding improvement of tax law: It is to be noted that there are three different types of approaches for improvement in taxation law, which has been considered by the tax law improvement project. According to the tax law improvement project the preferred approach which has become more specific as it works down after starting with the core provisions, there after the general provisions and finally the specialist groupings. Nevertheless the provision which has been framed is for improved numbering, which is considered as the toolbox for key terms and other noteworthy improvements. Hence the preferred approach of the tax law improvement project is developed after taking into the account several other elements such as providing increased benefit to the users along with administrative ease and efficiency. The impact created by those laws, which have an effect on parliament and community. It also determines that weather the process has been completed in a certain prescribed stage or in a progressive manner. However, it is also denoted that it is difficult to consider the tax law improvement project regarding the achievement of goals until improved information is available. The income tax assessment act is one the solitary statute under which an income tax generated is assessed. The act is gradually being re-written into the income tax assessment act 1997 and hence new matters are added into the act. The two most income important income tax assessment act are; Income tax assessment act 1936 Income tax assessment act 1997 It is to be noted that both the tax is amended over the years and it is believed to have been made it to a long act consisting of thousands pages. The act interacts in following ways: It alters the incidence of any income tax; It relives any person from liability to pay any income tax or make any return. It defeats and avoids any such duties or liabilities, which is imposed on any person under this act. It prevents the operations of these acts in any such respects. Characteristics of good tax systems: A number of the most imperative features or characteristics of good tax systems are as follows: Productivity and monetary adequacy: This is an significant standard, which governs a good tax systems in a nations which yields adequate amount of resources for the government so that it able to execute its wellbeing and developmental activities. If the tax systems fail to generate sufficient resources, the government will resort to deficit financing. Thus, it is evident that deficit-financing process is bound to raise the prices of the commodities, which is damaging for the public. In order to make the tax systems more creative it ought to be so designed that it is broad base and contains the element of direct and indirect tax. Elasticity of taxation: The principle of taxation is such that it affects the developed countries and should be designed that it is in accordance with the principle of elasticity. As per the concept of principle of elasticity of taxation systems, the national incomes increase due to the growth of economic and the revenue for the government increases when the tax system is elastic. Diversity: It is evident that good tax systems should comply with the principle of diversity. This defines that there should not be a single or few modes of tax collections systems from which the government seeks to raise a large number of revenues. Having few tax systems will compel the government to raise the existing rate of tax which will lead to adverse effect and it will affect the saving capacity of the people. Therefore, the tax systems should be such that it has a multi-point source of generating revenues for the government. Such systems call for mix in the variations of direct and indirect tax. Instrument for growth of economy: In a developing nation the instrument of tax serves an instrument for economic growth. Thus, economic growth can be defined as primarily the rate of capital formation. In a developing country, an emphasis has been paid in the capital formation for the common public at a relative high rate. It is also known as the process of mobilisation of resources in order to finance the capital formation in public sector. Taxation for ensuring the economic stability: A tax systems should be such that it ensures economic stability. Several study reveals that economic systems is affected when tax systems tends to vary. Hence a characteristics of good tax systems involves that the systems of tax should be built in such way that it represents progressive in relation to the changes in national income. Perhaps, this ensures that when the national income increases an increasing part must come automatically to the government. References Kenny, P. (2012).Australian tax 2012. Chatswood, N.S.W.: LexisNexis Butterworths. Krever, R. (2012).Australian taxation law cases 2012. Pyrmont, N.S.W.: Thomson Reuters. Management of the Australian Taxation Office's property portfolio. (2013). Barton, ACT: Australian National Audit Office. Nethercott, L., Richardson, G. and Devos, K. (2012).Australian taxation study manual. North Ryde, N.S.W.: CCH Australia. Woellner, R. (2013).Australian taxation law 2012. North Ryde [N.S.W.]: CCH Australia. Slemrod, J., Gillitzer, C. (2013).Tax systems. MIT Press. Mascagni, G., Moore, M., McCluskey, R. (2014). Tax Revenue Mobilistation In Developing Countries: Issues and Challenges. Oats, L. M., Morris, G. M. (2015). Tax Complexity and Symbolic Power. Kenny, L. W., Winer, S. L. (2016). Tax systems in the world: An empirical investigation into the importance of tax bases, administration costs, scale and political regime.International Tax and Public Finance,13(2-3), 181-215. Hettich, W., Winer, S. L. (2005).Democratic choice and taxation: A theoretical and empirical analysis. Cambridge University Press. Tahk, S. C. (2013). Everything Is Tax: Evaluating the Structural Transformation of Policymaking.Harv. J. on Legis.,50, 67.

International Trade Payment Method with Special Reference Essay Example

International Trade Payment Method with Special Reference Essay To succeed in today’s global marketplace and win sales against foreign competitors, exporters must offer their customers attractive sales terms supported by appropriate payment methods. Because getting paid in full and on time is the ultimate goal for each export sale, an appropriate payment method must be chosen carefully to minimize the payment risk while also accommodating the needs of the buyer. This trend is attributable to the increased globalization of the world economies and the availability of trade payment and finance from the international banking community. As shown in figure 1. 1, there are four primary methods of payment for international transactions. During or before contract negotiations, we should consider which method in the figure is mutually desirable for both me and my customer. Figure 1. 1. Payment Risk Diagram Key Points †¢ To succeed in today’s global marketplace and win sales against International trade presents a spectrum of risk, which causes uncertainty over the timing of payments between the exporter (seller) and importer (foreign buyer). †¢ For exporters, any sale is a gift until payment is received. Therefore, exporters want to receive payment as soon as possible, preferably as soon as an order is placed or before the goods are sent to the importer. †¢ For importers, any payment is a donation until the goods are received. †¢ Therefore, importers want to receive the goods as soon as possible but to delay payment as long as possible, preferably until after the goods are resold to generate eno ugh income to pay the exporter. Objective of the study: The objectives of the study are: 1. Discuss theoretical aspects of international trade payment and finance. 2. Discuss Bangladesh aspects of international trade payment and finance. We will write a custom essay sample on International Trade Payment Method with Special Reference specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on International Trade Payment Method with Special Reference specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on International Trade Payment Method with Special Reference specifically for you FOR ONLY $16.38 $13.9/page Hire Writer Theoretical Aspects: There are four standard and common payment methods that are in use to make or receive payment for international trade market. It basically means received of payment against export and making payment against import: 1. Cash in Advance. 2. Open Account / Supplier credit. 3. Documentary collection. 4. Documentary Credit / Letters of Credit L/C. Cash-in-Advance: From the very title it is obvious that cash will be in advance. With cash-in-advance payment terms, the exporter can avoid credit risk because payment is received before the ownership of the goods is transferred. Wire transfers and credit cards are the most commonly used cash-in-advance options available to exporters. However, requiring payment in advance is the least attractive option for the buyer, because it creates cash-flow problems. Foreign buyers are also concerned that the goods may not be sent if payment is made in advance. Thus, exporters who insist on this payment method as their sole manner of doing business may lose to competitors who offer more attractive payment terms. There are some features of Cash-in-advance * Interest of exporter is fully protected. Interest of importer is not protected. * Banks are involved in the process of transferring payments. * Documents are shipment are directly handle by the exporters. * It is guided by Purchase and Sale Agreement. * It is one of the cheapest and least popular methods in the world. Open Account: An open account transaction is a sale where the goods are shipped and delivered before payment is due, which is usually in 30 to 90 days. O bviously, this option is the most advantageous option to the importer in terms of cash flow and cost, but it is consequently the highest risk option for an exporter. Because of intense competition in export markets, foreign buyers often press exporters for open account terms since the extension of credit by the seller to the buyer is more common abroad. Therefore, exporters who are reluctant to extend credit may lose a sale to their competitors. However, the exporter can offer competitive open account terms while substantially mitigating the risk of non-payment by using of one or more of the appropriate trade finance techniques, such as export credit insurance. There are some features of Open account * Interest of importer is fully protected * Interest of exporter is not protected. Banks are involved in the process of transferring payments. * Documents are shipment are directly handle by the exporters * It is the most popular method in the world. Documentary Collections: A documentary collection (D/C) is a transaction whereby the exporter entrusts the collection of a payment to the remitting bank (is the bank on the counter of which documents are submitted by exporter, collect payment from importer on its behalf), which sends documents to a collecting bank (is the bank that is involved in the process of documentary collection other than the remitting bank), along with instructions for payment. Funds are received from the importer and remitted to the exporter through the banks involved in the collection in exchange for those documents. D/Cs involve using a draft that requires the importer to pay the face amount either at sight (document against payment) or on a specified date (document against acceptance). The draft gives instructions that specify the documents required for the transfer of title to the goods. Although banks do act as facilitators for their clients, D/Cs offer no verification process and limited recourse in the event of non-payment. Drafts are generally less expensive than LCs. There are two methods of documentary collection: * Documents against payment * Documents against acceptanc Documents Against Payment (D/P) In this case documents are released to the importer only when the payment has been done. This is sometimes also referred  as Cash against Documents/Cash on Delivery. In effect D/P means payable at sight (on demand). The collecting bank hands over The shipping documents including the document of title (bill of lading) only when the importer has paid the bill. The drawee is usually expected to pay within 3 working days of presentation. Documents Against Acceptance (D/A) In this case documents are released to the importer only against acceptance of a draft. Under Documents Against Acceptance, the Exporter allows credit to Importer, the period of credit is referred to as Usance, The importer is required to accept the bill to make a signed promise to pay the bill at a set date in the future. When he has signed the bill in acceptance, he can take the documents and clear his goods. Figure 1. 2. Process of documentary Collection The following list of documents often used in international trade: †¢ Air Waybill Bill of Lading †¢ Certificate of Origin †¢ Combined Transport Document †¢ Draft or Bill of Exchange †¢ Insurance Policy (or Certificate) †¢ Inspection Certificate Air waybill: The Air Waybill (AWB) is the most important document issued by a carrier either directly or through its authorised agent. It is a non-negotiable transport document. It covers transport of cargo from airport to air port. Bill of Lading: A bill of lading is generated by a shipper, details a  shipment  of  merchandise, gives  title  to the goods, and requires the carrier to deliver the merchandise to the appropriate party. Certificate of Origin: The Certificate of Origin is required by the custom authority of the importing country for the purpose of imposing import duty. It is usually issued by the Chamber of Commerce and contains information like seal of the chamber, details of the good to be transported and so on. Combined Transport Document: Combined transport  is a form of  intermodal transport, which is the movement of goods in one and the same loading unit or road vehicle, using successively two or more modes of transport without handling the goods themselves in changing modes. Combined transport is  intermodal transport where the major part of the journey is by rail,  inland waterways  or  sea, and any initial and/or final legs carried out by road are as short as possible Draft or Bill of Exchange: A Bill of Exchange is a special type of written document under which an exporter ask importer a certain amount of money in future and the importer also agrees to pay the importer that amount of money on or before the future date. Insurance policy: Also known as Insurance Policy, it certifies that goods transported have been insured under an open policy and is not actionable with little details about the risk covered. Inspection Certificate: Certificate of Inspection is a document prepared on the request of seller when he wants the consignment to be checked by a third party at the port of shipment before the goods are sealed for final transportation. There are some features of Documentary Collection * Interest of importer risk protected. * Interest of exporter is better protected than open account * It is guided by Purchase Sale Agreement and URC 522 * It could be risky for the exporter if documents are not received by the importer * All the banks involved in documentary collection are the agents of exporter. Documentary Credit or Letters of Credit: Letters of credit (LCs) are one of the most secure instruments available to international traders. An LC is a commitment by a bank on behalf of the buyer that payment will be made to the exporter, provided that the terms and conditions stated in the LC have been met, as verified through the presentation of all required documents. The buyer pays his or her bank to render this service. An LC is useful when reliable credit information about a foreign buyer is difficult to obtain, but the exporter is satisfied with the creditworthiness of the buyer’s foreign bank. An LC also protects the buyer because no payment obligation arises until the goods have been shipped or delivered as promised. Participants in LC Process: * Buyer- Buyer is also called Applicant * Seller- Seller is also called beneficiary * Issuing Bank- Is the bank that issued Letter of Credit. * Advising Bank- Is the bank using the service of which issuing bank advices credit to the exporter. * Nominated Bank- Is the bank nominated by the issuing bank at the counter of which documents may be submitted by the exporter in addition to the counter of an issuing. Reimbursing Bank- Is the bank through which issuing bank maximum reinvestment to the nominated bank. Payment process through LC process: The main steps in a typical documentary credit transaction are- 1. When exporter has finished the export contract, your importer arranges with a bank to open a documentary credit in exporters favour. This foreign bank is called the issuing bank and will usually check your buyer’s credit worthiness. 2. The issuing bank sends the documentary credit to any local bank of exporter called advising bank. The advising bank verifies the authencity of the documentary credit and forwards it to exporter. 3. The documentary credit sets out the documents you must present to receive payment. When exporter has shipped the goods and compiled all the necessary documents, exporter lodge the document with the local bank called nominated bank- to arrange the payment. In most cases, the advising bank and the nominated bank are the same bank and may be exporter’s regular business bank. 4. The nominated bank checks the documents to ensure the terms of the documentary credit have been met. It then sends the documents to the issuing bank with a request for payment. Sometimes a third bank called reimbursing bank, act as an intermediary between the nominated and issuing banks. 5. If the issuing bank is satisfied that exporter have provided all the necessary documents in the exact form required by the documentary credit, it forwards the payment to the nominated bank, which in turn pays you. A documentary credit will state whether exporter payment ‘at sight’ (immediately after bank verification of the documents) or at an extended term (for example, 30 days after sight). . Figure1. 3. Process of Documentary Credit Trade Financing Instrument: Companies often need financing to market, promote and manufacture their products and services. The financing needs of companies involved in international trade transactions are usually categorized as follows: (a) Pre-shipment financing: This is financing for the period prior to the shipment of goods, to support pre-export ac tivities, such as wages and overhead costs. It is especially needed when inputs for production must be imported. It also provides additional working capital for the exporter. Pre-shipment financing is especially important to smaller enterprises because the international sales cycle is usually longer than the domestic sales cycle. Pre-shipment financing instruments can take the form of short-term loans, overdrafts or cash credits. (b) Post-shipment financing: This is financing for the period following the shipment of goods. The competitiveness of exporters often depends on their ability to provide buyers with attractive credit terms. Post-shipment financing thus ensures adequate liquidity until the purchaser receives the products and the Exporter receives payment. Post-shipment financing is usually short-term. Pre- and post-shipment financing may come in the form of secured or unsecured Loans or lines of credit from banks or financial institutions. Common methods used to obtain such financing are explained below. Factoring, export receivables financing or advance against documentary bills: The exporter who sells goods to an overseas buyer on credit terms requests his bank to make an advance based on such documents as a bill of exchange, a bill of lading or a simple invoice. The lending bank generally advances from 50 to 100 per cent of the invoice value, depending on the perceived risk. * Inventory financing: An inventory of raw material or intermediate or finished products is used to secure a loan. Inventory financing is commonly used to finance trade in commodities, since commodity producers and traders typically hold substantial inventories. Inventory and warehouse receipt financing are discussed in more details in chapter IV in the context of structured commodity finance. Leasing: Some banks and financial institutions provide leasing as a medium- to long-term means of financing. Leasing is generally of interest to manufacturing companies that nee to import equipment or machinery to produce goods for export. The company procures the equipment and pays a monthly rental fee to a leasing company (or bank), which owns the equipment. Leasing thus allows an exporter to acquire capital goods for export production without having to make a large one-time cash outlay. Structured financing: Structured financing often refers to schemes whereby the lender extends a loan to the borrower by securitizing the current assets of the borrower over which the lender has control. These assets, including streams of expected cash inflows, serve as collateral for the loan. Structured financing techniques can be used for short-term financing as well as capital investment in countries where traditional financing is not available (or too onerous). However, structured financing deals are specific to each transaction or operation being financed and thus require a level of financial expertise rarely available in emerging economies. Bangladesh Aspects: In Bangladesh generally the above trade payment methods and financing instruments are used. But Cash in advanced is used less than 1% to make domestic trade payment in Bangladesh. As like other countries cash in advance is the least popular method of trade payment in Bangladesh. Open account is the most popular method of trade payment around the world. It is used more than 80% in international transaction. It is popular because in the market economy buyer is always powerful than seller and open account resembles the most common business tradition of supplier’s credit. But in Bangladesh the open account did not work because after 1971 Bangladeshi traders did some international trade through open account and Bangladesh could not pay to their exporter as a result country risk trading went down as in open account method suppliers provide goods on account. According to the domestic regulation (Import policy order 2009-2012) on import of Bangladesh open account is not used in Bangladesh. To ensure importers’ security of others country and reputation of our country it has been imposed. Then the Bangladesh Bank make the regulation that Bangladeshi importer should be used L/C. in case of import other than few exceptions (raw material, book, journal etc. ) whatever you import in country that must be through Letter of Credit. Table 2. 1: Methods of Payment used in Making and Getting Payment Methods used| Import Payment(no of cases)| Export Payment(no of cases)| Documentary credit| 85%| 65%| Documentary Collection| 10%| 30%| Cash in Advance| 2%| 2%| Open Account| 3%| 3%| Source: From the lecture of respective course teacher. (Data of 2012) From this table we can easily view the picture of trade payment method in our country. L/C has used 85% by Bangladeshi Importer in their total international payment and 65% by Bangladeshi exporter in their total international trade payment. L/C is a payment technique but it has financing component. Banks in Bangladesh also provide finance to importer to facilitate international business. Documentary collection in case of export is higher than import and rest of the methods such as cash in advance and open account is remain same in export and import payment of Bangladesh. Concluding Remarks: Even at this real time communication world, letter of credit is considered to be the one of the safest way to remit and get proceeds. But still there are some factors to be re-considered like: a)  Ã‚  Ã‚  Ã‚  Ã‚   Restructure of legal enforcement against defaulter importers and exporters in Bangladesh. )  Ã‚  Ã‚  Ã‚  Ã‚   Necessary changes in import policy to permit imports to be made without LC to reduce import cost and subsequently reduce prices on essential and consumable goods. In some countries of tight control on foreign trade operations, documentary credit is a very strong device in the government’s control and supervisory mechanism. In our country, this controlling over imports and exports are seen in a liberal ways but still some considerable changes in import and export policy and re-structuring and up-to-date foreign exchange guideline is required for our country’s smooth growth. ************************** References * U. S. Department of Commerce International Trade Administration * http://en. wikipedia. org/wiki/Combined_transport * http://www. google. com. bd/search? noj=1amp;q=what+is+bill+of+ladingamp;oq=what+is+bill+of+ladingamp;gs_l=serp. 3.. 0l10. 1425. 9130. 0. 9399. 40. 15. 1. 13. 13. 1. 293. 1568. 4j4j3. 11. 0. 0 1c. 1. 25. serp.. 19. 21. 982. ak_gnN5epFU * http://www. google. com. bd/search? noj=1amp;q=what+is+air+waybill+amp;oq=what+is+air+waybill+amp;gs_l=serp. 3.. 0i7i30l10. 642616. 662149. 0. 62825. 35. 26. 0. 2. 2. 2. 437. 3543. 11j2j5j3j1. 22. 0. 0 1c. 1. 25. serp.. 17. 18. 2129. NJY6MK5lL1M * http://www. google. com. bd/url? sa=tamp;rct=jamp;q=international%20financing%20methodamp;source=webamp;cd=3amp;cad=rjaamp;ved=0CDsQFjACamp;url=http%3A%2F%2Fwww. unescap. org%2Ftid%2Fpublication%2Ftipub2374_chap2. pdfamp;e i=8jULUue-IIGtPOmYgIAGamp;usg=AFQjCNG-edG5L12wqcReEVt-T2Ccyy7EkQamp;bvm=bv. 50723672,d. ZWU * tipub2374_chapter2. pdf * http://edupedia. educarnival. com/letter-of-credit-operation-in-bangladesh/ * Class Note.

ACT Science Practice Tests What to Use and What to Avoid

ACT Science Practice Tests What to Use and What to Avoid SAT / ACT Prep Online Guides and Tips Whichever way you choose to prepare for ACT Science - whether with a private tutor, class, online program or on your own - you need to make sure you are using high-quality practice ACT Science tests.Because ACT Science is unique, any old science study material won't cut it.To learnabout how different ACT Science is from any other science test, readthe big secret of ACT Science. In this guide, I'll tell you where to find all of the official ACT Science practice tests available: severalare free!Also, I'll provide tips on how to use these ACT Science practice tests improve your score. Additionally, I'll talk about some of the ACT Science practice materials you should avoid and why you shouldn't use them. I draw my conclusions from my years of experience tutoring students for ACT Science and from my own practice for the ACT Science test. Free Full-Length ACT Science Practice Tests These ACT Science practice tests are all free. They're all official resources and made by the ACT makers themselves. Official practice tests are the absolute best resource to use when studying, and I've listedall of them here in one place for your convenience. ACT Science Free Online Sample Test This test format can be a little difficult to use, but it's freeand online.Click on each passage on the left, and click the answer choice to see the answer response.To keep the timing realistic (35 minutes total or five minutes per passage), I recommend that you work on the answers on paper, and then check your answersone by one in your web browser AFTER you have finished the entire test. Official ACT PDFs These are PDFs of complete ACT practice exams. The pages of the Science section are indicated below. ACT Practice Test 2018-2019 (Form 74F)- Page 40-41; Answers p59-60. ACT Practice Test 2015-2016 (Form 72C)- Page 40-51; Answers p58-60. ACT Practice Test 2014-15 (Form 67C)- Page 40-51; Answers p57-60. ACT Practice Test 20-12 (Form 64E)- Page 43-55; Answers p62-65. ACT Practice Test 2008-09 (Form 61C)- Page 42-55; Answers p62-65. ACT Practice Test 2005-06 (Form 59F)- Page 42-55; Answers p62-65. Notice a few years missing?That's because the ACT duplicates the same test in different years.For example, the 2013-14 test is identical to the 2014-15 test. I've included the Form ID with each test so that you can confirm it for yourself (you can see this in the bottom left of each page on the test). Paid ACT Science Practice Tests If you're looking for even more practice ACT Science tests beyond those listed above, below are two more resources to look into. Neither of these of free, but they're still official resources worth spending money on if you want more practice. The Official ACT Prep Guide The book was produced by the makers of the ACT and has five unique full-length ACT practice tests, plus additional practice questions.Costing about $20, this book is the best book for realistic practice tests. Don't even look at Kaplan or Princeton Review for practice tests- their quality is far inferior to the tests put out by the ACT. ACT Online Program Costing $25, this online program includes two extra full-length ACT practice tests.The online prep material is not good - just buy this for the tests, if you need it.Next, I will tell you how to put all of this ACT Science study material to the best use. How to Use ACT Science Practice Tests In this portion, I'll be summarizing our guide tothe best way to study and practice for ACT Science.I highly recommend you read that article for more in-depth information.When using your real ACT Science practice tests, make sure to keep the following instructions in mind. #1:Take the Science Section in One Sitting Come on! The ACT Science sectionis only 35 minutes.You need to set aside that time to sit for the ACT Science, and you should aim to take at least five ACT Science practice tests. Because the ACT Science section is so rushed (52.5 seconds per question), the first few practice tests you take will just be helping you adjust to the pace. Myscores on my first two to three ACT Science practice tests were five points lower than my final score because I needed to adjust to the speed and strategy. You need the extra two to three to solidify your pace and understanding of the strategy. While sitting for the 35-minute section is good practice, it is even better, if you can find the time, to take the entire ACT all at once.The ACT is a four-hour-long marathon, and you will need to practice to build up endurance.Science is the last section of the test!Practicing taking the whole test will better prepare you for the Science section because it will show you what it takes to power through.Sitting for one 35-minute section, without experiencing the 3.5 hours before it, is not as helpful to your practice and improvement.I recommend sitting for at least two full-length practice tests (four hours each) before you take your official ACT. #2: Pay Attention to the Time If you find yourself struggling to finish the ACT Science in 35 minutes, try to watch your pace on each passage and keep yourself to a strict five minute per passage pace.Learn more about this and other ACT Science strategies in our guidetotime management and section strategy for ACT Science. #3: Double-Check Your Answers After finishing an ACT Science practice test, REVIEW your answers.This is the most important part of your process.Review every mistake you made and every question that you guessed on but got right.If you do not review your mistakes, you will not improve;spend at least 15-20 minutes each ACT Science practice test you take. Read our guide tothe best way to study for ACT Science and the reasons you miss ACT Science questions for help with your review process. I’d rather you take fewer ACT Science Practice tests and spend more time reviewing.Again, without review, you will not improve. #4: Consider Using a Prep Program Supplement your ACT Science practice test with a prep program if you don’t see improvement.While some people will see vast improvement simply from reviewing their mistakes and practicing the test format, others need more guidance on strategy to improve on their weak points.Check out PrepScholar’s program; we do just that.We figure out your strengths and weaknesses and select personalizedmaterials to help you work on your weaknesses and improve your score. ACT Science Practice Materials You Should AVOID and Why Unfortunately, not all ACT Science practice tests are high quality. Below are four practice tests you should avoid like the plague. They won't help you with the test, and they may actually hurt your score by causing you to study the wrong topics and question types. Varsity Tutors - Free ACT Science Practice Tests The material provided to answer questions is much shorter than actual ACT Science Passages.They provide few visuals, and those they do provide are hard to read.Rather than setting up proper tables, they just try to align the material into vague columns and rows.This seems ridiculous when the MAJORITY of the ACT Science questions ask you to read visuals for information.The timing does not match the ACT Science test timing (35 minutes total/five minutes per passage) at all.This material is a waste of your time; do not bother with it. ACT Example Practice Tests Website - Free This material provided is not even set up as passages.The questions are just asked at random with random tables thrown in on occasion.This material is nothing like real ACT Science tests, soAVOID it like the plague. McGraw-Hill Free Online Practice and McGraw-Hill 's 10 ACT Practice Tests, Second Edition I am reviewing both together because they are from the same company and have the same issues.The tests mimic the format of the ACT Science test really well.The tests set up seven passages just like the real test, and each passage has the appropriate number of questions. HOWEVER, the questions are very different.On the actual ACT Science test, you should be able to answer most questions using the visuals alone.Read more about this strategy in our other article on the three types of ACT Science passages.On McGraw-Hill’s tests, you need to use the entire passage to answer most questions.Also, the visuals are not as difficult as the visuals on the actual ACT Science test.Avoid this material because,while it may seem like the ACT Science test, looks can be deceiving and waste your time. What’s Next? In order to get the most out ofyour ACT Science practice tests,learnthe best way to study and practice for ACT Scienceand the nine reasons you miss ACT Science questions. Also, for more background on the ACT Science test and strategies, read aboutthe three types of ACT Science passagesandthe big secret of ACT Science. Ready for some tougher practice questions?Check out our guide to the hardest questions on ACT Science and exactly how you should solve them. Like this article? Want to improve your ACT score by 4 points? Check out our best-in-class online ACT prep program. We guarantee your money back if you don't improve your ACT score by 4 points or more. Our program is entirely online, and it customizes what you study to your strengths and weaknesses. If you liked this Sciencelesson, you'll love our program.Along with more detailed lessons, you'll get thousands ofpractice problems organized by individual skills so you learn most effectively. We'll also give you a step-by-step program to follow so you'll never be confused about what to study next. Check out our 5-day free trial:

Political Reconstruction in the State of Florida after the civil war Essay

Political Reconstruction in the State of Florida after the civil war - Essay Example This Almost every page of his writing has quotes regarding either the price of something, or someone’s opinion regarding something. Although they are extremely useful, there are no citations and therefore while interesting and useful can not be referred to as a legitimate source. The maps and other inclusions assist with the overall theme of the book and give the reader more information than what is written. Brown, Canter Jr. Ossian Bingley Hart: Florida’s Loyalist Reconstruction Governor. Baton Rouge, LA: Louisiana State University Press, 1997. Although Hart was born long before the Civil War began, it was his attitudes and beliefs that spurred on some of the reconstruction shortly following the end of hostilities. As this is a biography a good part of the book is about Governor Hart, which is important in understanding how someone who was a loyalist was able to assist in the reconstruction. Hart following the war made an effort to support a Reconstructionist belief. I t is the author’s opinion that without Hart, the timing and intensity of the Reconstructionist movement would have been different. The book summarizes what Hart had to contend with in the state as well as among his own party members. This book is very useful in not only knowing about Governor Hart, but also his connections and how those influenced the future of Florida. This book has footnotes and additional information that aids to research of Governor Hart. Cobb, James C. Away Down South: A History of Southern Identity. New York: Oxford University Press, 2005. To be southern is to be different than those from different areas. It has its own culture, practices, and more importantly belief structures. The author using his upbringing as the staging point believes that he is in a unique situation to write the south. He is in fact from the south and can in his belief read between the lines of primary and secondary sources. Cobb pulls from leading historians on the reconstruction and how cultural identity it created to write something from a 1st person as well as from a 3rd person point of view. One major view point that Cobb is trying to convey is what â€Å"Southern Identity† is and how it is just as important as â€Å"Northern Identity† and how that needs to be explored. He includes citations of academic works. He also has a solid grasp on the information both written and what needs to be written. Cobb, James C. and William W. Stueck, ed. Globalization and the American South. Athens. GA: University of Georgia Press, 2005. Continuing on his theme of Southern Identity James Cobb teamed up with William Stueck to write about how the globalization of the world and specifically the United States is affected the south. While this book mostly centers on current economic structures and formation, there is a section on how the reconstruction following the civil war has influenced the growth of businesses and economy in the South. This is an edited wo rk so all of the essays are by different authors and speak to different issues. While most of the essays are informational and contribute to the understanding of Southern culture, what is interesting is that there is an underlying emphasis on how the new globalization is affected the black-white divide, and what that means for individuals in the south. Due to the varying authors, the citation styles are different, but this is an academic work that is useful for research. Davis,

HUMAN RESOURCES IN ACTION Assignment Example | Topics and Well Written Essays - 1250 words

HUMAN RESOURCES IN ACTION - Assignment Example Jobseekers would evaluate the requirements of particular jobs before engaging in the application process of such jobs. This paper analyses the websites of Fairmont Hotels and Resorts and DoubleTree by Hilton, henceforth referred to as Fairmont and DoubleTree respectively, to determine how their effectiveness in meeting the needs of jobseekers. Overview of the Chosen Companies Fairmont operates luxury hotels and resorts in nineteen countries around the world. Founded in 1907, its headquarters is in Canada (http://www.fairmont.com/). Founded in 1969, DoubleTree is a hotel global brand with presence in over 325 locations in five continents (http://doubletree3.hilton.com/en/index.html). Its headquarters is in Virginia, US. These companies have incorporated the capabilities of information technology into their human resources functions, both leveraging on their website capabilities. Interestingly, both hotels have Taleo as their website developer. Being in the hospitality industry, the ho mepage of each of the websites provide convenient navigation for customers seeking to make bookings or to directly contact the companies, each displaying not only their traditional telephone numbers and postal addresses but also the addresses of their various social network subscriptions. Important to this task would be the careers tab which appears on both websites enabling the companies get in touch with potential employees. Evaluation of the Careers Tabs on the Websites It would be noted that the careers tab on each of the websites appear in small font and would not be easy to note as compared to other tabs such as those on about the companies and the offers available. This could be interpreted as the companies’ greater interest in attracting customers as opposed to interest in attracting others players in its distribution chain, including potential employees. Since the tab appears at the bottom of the homepage in each website, the jobseeker would be required to scroll dow n the webpage, making it a difficult to navigate to this webpage. The careers tab leads to web pages that give descriptions on the careers available in each of the companies. Fairmont headlines this webpage as ‘an extraordinary company; an extraordinary career’ with the ‘extraordinary’ emphasized by bolding. This could be a strategy to assure jobseekers of their prowess in the industry. To further attract the best pool of skills, the company encourages one to click on their ‘search position’ tab to identify exciting job opportunities. DoubleTree’s strategy for capturing the best skills in the market involves wording, introducing itself as the â€Å"most recognizable hotel brand in virtually every region of the world.† Fairmont’s website career tab has minimal information on job opportunities. It prompts one to search for available opportunities. Therefore, unless one is searching for a specific vacancy, no general informati on on career opportunities would be available, as filled in positions would return no meaningful results. It would be interesting to however note that the website has an option of one creating a profile based on which email alerts would be delivered every time an opportunity that matches such a profile arises. DoubleTree on the other hand provides much more information based on what the job seeker is looking for. It categorizes its careers into regions and level of professional qualification. Therefore, depending on what a job seeker is loo

Boeing corporation crisis Essay Example for Free

Boeing corporation crisis Essay Attached is a report of the biggest crisis that the Boeing Corporation has ever faced in its existence. First it will describe the events leading up to the problem before it became a public issue. Then we will discuss in extensive detail exactly what the problem is that Boeing is facing and how they can overcome it. The team of xxx completed the research and the written report of the crisis. Boeing is an international supplier of commercial airline planes, military defense aircraft, and surveillance. Partially due to the September 11th attacks on the United States, the Boeing Corporation will be laying off 30,000 employees from their nationwide facilities. The layoffs will affect cities such as Los Angeles, Seattle, Houston, St. Louis, Philadelphia, and will affect employees from entry level to executive offices. The announcements of these issues have caused Boeings stock to fall to a surprising low and production levels to drop dramatically. XXX would like to thank XXX for giving us the opportunity to complete this research assignment. The research helped us learn how to more efficiently utilize the different databases available to us and put it into a format so it can be presented to a public organization or the media. The skills learned in the duration of completing this report will be able to be utilized when presenting to upper management a detailed issue and solutions to a specific problem. Boeing Corporation Crisis Cal State Fullerton Jean Fuller May 28, 2002 Executive Summary Today the Boeing Corporation is facing one of the largest crises in the history of the company. They are in the process of laying off a total of 30,000 employees from their facilities nationwide. The layoffs will take place in cities such as Los Angeles, Seattle, St. Louis, Philadelphia, and Atlanta. Most of the layoffs affect the commercial airline division, but the military defense and aerospace divisions will also be affected. The plan for the reduction in employee size began in July 2001, but the attacks on the United States on September 11th left the company having to lay off more employees. At the present time, Boeing is mainly focusing on reducing the amount of mandatory layoffs. This is going to be hard to accomplish because of the reduced demand for the companys goods and services. In the future, Boeings focus will be on returning to a high level of production and profitability. They will be focusing on competing with the competition by increasing product innovation and reducing expenses that the company incurs during production in an effort to keep prices low. Due to economic slowdown and reduced spending by consumers, the Boeing Corporation was beginning to experience loss in revenues and a decline in production. Not more than three months later, the attacks on the World Trade Center in New York impacted the demand for commercial aircraft because of fear to travel by airplane. Also, heavy competition with Lockheed Martin and Northrop Grumman, Boeing is not being awarded as many contracts with the United States military, which is causing a decline in revenues for the aerospace and military defense divisions. There are not many ways to overcome the entire problem, but there are some alternatives that the company can consider in order to reduce them. The alternatives are to distribute hours equally among the employees, reallocate employees into different divisions, offer severance pay, and to continue to layoff employees. Boeing has to be careful in the way that this particular situation is handled. If employees feel as though they are being treated unfair, they will not have job satisfaction and production may decrease. The best possible solution for the Boeings problem is to equally distribute the hours among the employees. By doing this employees will maintain their jobs. This will result in higher job satisfaction than other alternatives, and Boeing will not have to go through an extensive process to rehire when they return back to a stage of profitability. Boeing Problem Statement As Boeing faces one of the greatest financial crises in the history of the airline industry, Boeing plans to cut production workers, engineers and support staff by mid-2002 (Nyhan, September 2001). Because of a declining economy as well as terrorist attacks that occurred on September 11th, Boeing is laying off a total of 30,000 employees in all divisions of the corporation: aerospace, commercial aviation, and military defense. The layoffs will happen in Los Angeles, St. Louis, Seattle, Oklahoma, and the Puget Sound area, and will affect everyone from salaried executives to the hourly paid maintenance employees. Layoffs are a sign of company turmoil and should be avoided to maintain the company stockholders. Short and Long-Term Goals Boeings primary short-term objective is to maintain a reasonable level of profitability given the recent occurrences. It will attempt to accomplish this by reducing the amount of dollars that are paid to the current employees by either reducing their hours, or completely terminating their employment with the company. Because of current supply and demand of the company, profits will be reduced if the current level of employees is maintained. Boeings long-term objective is to be the number one supplier of commercial, aerospace, and military aircraft and technology. They aim to accomplish this by maintaining a level of profitability that satisfies the stockholders and corporate executives. They also want to maintain a high level of competition with the current competition: Northrop Grumman and Lockheed Martin. If Boeing loses government aerospace and military defense contracts to the competition, there is a high probability that the company will become insolvent and declare bankruptcy. Details of the Problem Prior to September 11th, Boeing was going through trying times. Their satellite manufacturing operations were in a recession. This was due to the bursting of the internet and telecom bubbles (Laing, 2002). The Commercial Airline Industry was also facing a slowdown. This was a result of high fuel prices, labor cost increases, a softening of the national economy and low passenger traffic (Smith, 2001). Also, improvements in production efficiency for Boeing led to a plan to decrease up to 15% of its employees in the commercial-aircraft business. This efficiency in production was due to the industrys first ever-moving assembly line for the final phase of the production process, which cuts unneeded steps (Holmes, 2001). Likewise, by the end of 2001, Boeing lost out on the largest military contract ever when the Pentagon picked rival Lockheed Martin to build the Joint Strike Fighter for shared use by the Air Force, Navy and Marines. This next generation manned fighter is expected to flow more than $200 billion in revenues over the next 20 years (Laing, 2002). But most traumatic for Boeing were the terrorist attacks on September 11th. They transformed what had been shaping up as a mild downturn in commercial jet orders into a veritable collapse in demand (Laing, 2002). After the attacks, the need to fly drastically declined due to fear and security issues that made flying a nuisance. This left the US Airline Industry in a serious crisis. Companies such as Continental, US Airways, American, and Delta cut up to 20% of their capacity (Smith, 2001). Source: www.bloomber.com The terrorist attacks resulted in Boeings stock to plummet. Prior to September 11th, Boeings stock was falling because of the downturn in the economy. From the graph above, we can see that the attacks made the stock price to fall from $50 a share to $30. This was a sign that investors knew the impact the terrorist attacks had on Boeings industry. After September 11th, Boeing planned to respond to these problems by cutting production rates by 50 percent (Nyhan, November 2001). On September 18th, one week after the attacks, Boeing announced at a press conference that it would layoff up to 30,000 employees by the middle of 2002 (Smith, 2001). On that day, Boeing reduced the level of employees by 12,000: 3,000 through retirement and attrition, and 9,000 through layoffs (Farley, 2001). Boeing also stated that their jetliner orders would decrease drastically. In the next three years 80% of their 2001 orders would be delivered (Smith, 2002). They also planned to cut their monthly production of aircraft by half, from 48 to 24. The director of people at Boeings commercial airplane unit said, In order to match our reduced production rate, we will need to accomplish the majority of the 20,000 to 30,000 reductions in 2002 employment by midyear. Members of the Associated Press and Kiro 7 Eyewitness News stated, Last week Boeing officials announced plans to layoff as many as 30,000 employees, mostly in the Puget Sound area, by the end of next year because of plummeting demand for new planes and postponed deliveries since the terrorist attacks. Boeings commercial airplane division is not the only division that the layoffs will effect. Surprisingly 5,000 of the 30,000 layoffs are predicted to come from the military division. The military division cutbacks are also due to the September 11th attacks, but they are mainly due to global economic slowdown (Klein, 2001). This comes as a surprise because the military division is expected to grow in a time of war or terrorist attacks. Stockholders may assume that the government will request an increased level of production of fighter jets and military bombers so that the United States can dominate in the war against terrorism. In addition, the layoffs will not only affect the Boeing employees, but also people outside the company. As many as 20,000 of the Boeing layoffs may occur in the Seattle area alone, resulting in an additional 34,000 jobs lost by Boeing suppliers, subcontractors, and others (Klein, 2001). Alternatives Before Boeing implements any solutions they must maintain a good level of communication with their employees. The employees must know the reasons for a particular action taken by Boeing in order to avoid any mistrust and confusion (Hoffman, 2001). For example, an employee will wonder why layoffs are taking place when Phil Condit, Boeings CEO, is making an annual bonus of $1.13 million (Webber, 2002). Boeing must carefully explain their plans and what they are hoping to accomplish through their actions. Boeing can reduce the amount of layoffs by implementing any of the following solutions: Distribute Hours Among Employees The first solution for Boeing is to spread the hours among the employees for each department. Every department is given so many hours it can use for each week at the beginning of the quarter, depending on the amount of business Boeing has. If those hours taken and spread among the employees for each department, not as many layoffs will occur. The hours will be spread out by reducing the workweek from five days to four. By cutting one day out of an employees schedule Boeing is able to give those hours to another employee, which under the circumstances would be laid off. Once four employees each receive a deduction in their workweek one employee will be able to maintain their job and not be laid off. The advantage to this solution is that fewer employees will have to be laid-off. Employees will have their hours cut according to seniority. Some employees that have been with the company for a number of years will not be affected by the action. By holding onto the employees and not laying them off Boeing will be prepared to handle new contracts as they arise. Boeing is predicting that the recent decline in contracts is only short-term and business will soon return to their previous levels. The disadvantage to the solution is that some employees will not be able to afford a reduction in hours. In this scenario employees will not be satisfied and hold each other responsible for less hours. If employees are not satisfied then their production will decrease due to their dissatisfaction. Re-Allocate Employees The second solution for Boeing is to train employees in other departments within the company. This will allow Boeing to reallocate employees in different departments rather than laying them off. With the commercial airline department being hit the hardest by the recent terrorist events, employees in that department could transfer to other departments if they possessed the knowledge. The advantage in training employees outside their departments is the value it will add to the employee. If an employee has the knowledge and know how to be productive and efficient in other departments, not just his own, they become an instant asset to the company. Due to their flexibility Boeing can move the employee around in accordance with demand. A disadvantage to this solution is that Boeing will incur high costs for training employees to do other jobs. A slowdown in production will also result due to the time spent on training. The transition for an employee to move from one department to another is difficult because the employee will not be as efficient. Severance Pay Early retirement packages will be available to qualified employees. The retirement packages to be offered will vary depending on the number of years an employee has with the company. For each full year of service an employees has with the company, up to twenty-six years, they will receive one week of pay (Hoffman, 2001). The employee can take the severance pay in either a lump sum or as an income continuation. The single lump sum plan pays the severance pay to the person in one check within one month of leaving the company. The income continuation plan will pay the severance pay on the regular paydays every two weeks (Boeing, 2000). The advantage to this solution is each individual makes their own decision and they have total control of what they want to do. Also high salaries will be eliminated as management personnel take the package. Once management leaves, the ones that find early retirement appealing, Boeing will be able to promote employees into those positions without having to pay the large salaries. The disadvantage to this solution is that not many jobs will be saved because not many employees will go for the early retirement package. Boeing will also lose experienced managers if they decide to take the early retirement package. If this solution is implemented Boeing will continue to layoff employees because not enough jobs will be cut. Continue Layoffs The last solution is to continue to layoff employees as necessary. This will allow Boeing to keep revenues high because the layoffs will occur according to the market. If Boeing does not get as many contracts as they expected for a particular quarter, the layoffs will help the companys finances. The disadvantage to this alternative is the potential of business picking backup. The market for commercial jetliners is expected to boom in two years and Boeing needs to be able to handle the new contracts. If Boeing has to constantly train new employees as business increases, in an effort compensate for the ones that were laid-off, they will not be operating at full efficiency. Solution Boeing realizes that layoffs cant be completely eliminated, however they want to reduce layoffs to the lowest possible amount. Boeing will accomplish that by distributing the hours in each department among the employees. This solution will allow Boeing to save jobs by reducing the employees workweek from forty hours to thirty-two hours. The management of each department will determine the hours to be cut and the number of employees that are affected. This will be implemented on June 1, 2002 throughout all departments. Most employees will be affected by the reduction in hours, and management must be prepared to cope with the initial negative reaction. In order to measure the results of the solution, Boeing must evaluate the impact on its bottom line along with the toll its taking on their employees. An evaluation will occur every six months and will be lead by top executives and the department managers. Once evaluated, a decision will be made by the board of directors on whether or not to continue with the reduction of hours or to incorporate a different action. The thirty-two hour workweek is expected to be temporary as analysts are predicting a turn around in demand for planes (Holmes, 2001). As production returns to capacity, hours will be returned back to employees according to seniority. Reference List Airlines slash workforces. (n.d.) retrieved April 10, 2002, from www.proquest.com . Airwise News. (2001, September 22). Majority of Boeing layoffs in aircraft sector. Retrieved April 10, 2002, from www.dowjonesinteractive.com Associated Press Newswires. (2002, March). More Boeing layoff notices. Retrieved April 10, 2002, from www.dowjonesinteractive.com. Article No. A71327300 Associated Press Newswires. (2001, September). First Boeing layoffs set to take effect Dec. 14. Retrieved May 7, 2002, from www.seattleinsider.com/news/boeing.html Boeing Company. (2002). A Brief History. Retrieved April 8, 2002, from www.boeing.com/companyoffices/history/boeing/html. Boeing Company. (2002). Layoffs Benefits Plan. Retrieved May 7, 2002, from www.boeing.com/companyoffices/benefits/boeing/html. Carlton, D.R. (2002, January) Boeing bleak outlook. The Economist, 362 (8257), 58. Corliss, B. (2002, April). Boeing deliveries drop 10%. Retrieved May 7, 2002, from www.msnbc.com Farley, G. (2001, December). Union leaders file grievances. The Associated Press. Retrieved April 15, 2002, from www.king5.com/cgi-bin/gold.cgi Genna, C.A. (2002, April 19). More layoff notices to be issued at Boeing. Retrieved May 8, 2002, from www.latimes.com Gillie, J.F. (2001, November). Lost jobs in Puget Sound area. The News Tribune, Tacoma. Retrieved April 10, 2002, from www.dowjonesinteractive.com Gillie, J.F. (2001, December). 1,700 new layoff notices today. The News Tribune, Tacoma. Retrieved April 10, 2002, from www.dowjonesinteractive.com. Article No. TCMA0135500 Global general aviation industry delivery breakdowns for jets. (n.d.). Retrieved April 10, 2002, from http://rdswebl.rdsinc.com/texis/rds/suite.html. Hoffman, R. (2001, June 29). The Dynamics of Downsizing. Retrieved May 18, 2002, form www.hradvice.com Holmes, S.C. (2001, November 26). Aerospace industry downsizing. Business Week, (3759), 108-109 Klein, A. (2001, October 13). Boeing faces massive layoffs. The Washington Post. Retrieved April 15, 2002, from http://detnews.com/2001/business.html. Laing, J.R. (2002, April). Gaining Altitude: Corporate profiles. Barrons, 82 (17), 21-25. Lloyd, M.K. (2001, December). Losing Altitude; Aviation. The Economist, 361 (8253), 81-83. More Boeing layoff notices going out. (n.d.) Retrieved April 26, 2002, from www.seattleinsider.com Nyhan, P.J. (2001, September). Boeing expects to layoff up to 10 percent in commercial division. Seattle Post-Intelligencer. Retrieved April 10, 2002 from www.dowjonesinteractive.com. Article No. SEPI012700. Nyhan, P.J. (2002, February). Boeing lays off 1,000 local workers. Seattle Post-Intelligencer. Retrieved April 10, 2002, from www.dowjonesinteractive.com. Nyhan, P.J. (2001, November). Majority of Boeing layoffs to hit by June. Seattle Post-Intelligencer. Retrieved April 10, 2002, from http://seattlepi.nwsource.com Schneider, R. (2001, December). Losing Altitude: aftershocks from September 11th. The Economist. Retrieved April 10, 2002, from www.infotrac.com. Article No. A81118376. Smith, B.A. (2002, January 21). Boeing continues its production cost focus. Aviation Week Space Technology, 156 (3), 43-44. Smith, B.A. (2001, September 24). Boeing cuts delivery estimates, prepares for major layoffs. Aviation Week Space Technology, 155 (13), 29-32. Song, K.M. (2001, December). Boeing layoff face challenge. The Seattle Times. Retrieved April 10, 2002, from www.dowjonesinteractive.com. Article No. SETL0135600. Song, K.M. (2002, April). Effects from Boeing cutbacks felt. The Seattle Times. Retrieved May 18, 2002, from www.dowjonesinteractive.com. Article No. SETL0211100. Standaert, J. (2002, January). Boeing trims 2,300 more jobs. The News Tribune, Tacoma. Retrieved April 10, 2002, from www.dowjonesinteractive.com. Article No. TCMA0201900. Thomas, G.D. (2002, April). Tough times ahead. Air Transport World, 39, (4), 31-33. Webber, J.P. (2002, April 19). Boeing hurt by slowdown. Los Angeles Times. Retrieved May 8, 2002, from www.latimes.com