Development & Implications of a Green Road Infrastructure Dissertation

Development & Implications of a Green Road Infrastructure - Dissertation Example Evidently, the technique presents requisite incentives that enhance trade and social integration that is essential for growth. It holds relevance especially in the current century where most nations are facing severe economic complications that hamper funding of road construction. It presents the application of re-usable and permeable materials that are less costly compared to ancient materials. The concept requires innovative and creative mindset to ensure its holistic integration with an aim of achieving its intended objectives. The green concept applies permeable materials, the road under layers and air purifiers that are critical. Technical elements that are vital in green highway development to ensure its conformance to set specifications are also analyzed. The elements entail development of porous pavements that facilitate the efficient flow of water to eliminate degradation of road networks. Application of environmentally friendly concrete, vegetation buffer and advancement of stream restoration systems also forms its credible elements. The elements are imperative in ensuring construction of sound infrastructural systems. Clearly, engineers should consider these elements including formulation of a superior plan of activities and project’s design to ensure sustainability. Consequently, various case studies of green road infrastructure in India, Canada, and Japan are contained in the study. The countries operate under superior road network system the embraces green technology. The technology has ensured improved performance economically and development of roads that are sustainable and easy to maintain. The paper adopted purposive research methodology where the use of electronic sources, case studies and questionnaires was adopted to facilitate in-depth study based on the topic to aid realization of its intended objective. The technique enabled application of relevant data gathering techniques that are relevant to achieving a purposive aspect of the study. Introduction Green energy is a concept that is gaining prominence in the world as it holds basic incentives to transform economic and environmental settings in diverse nations. Clearly, the idea facilitates the adoption of cost-effective energy systems and infrastructural development that are sustainable. Its sustainability nature has enabled most leaders to formulate potential strategies to adopt its use holistically. There are several challenges that are influencing the construction of infrastructural systems especially roads in various countries that require an amicable solution. This has led to powerful deliberations among stakeholders with an aim of ascertaining the root causes of infrastructure degradation and formulation of relevant solutions to avert possible dilapidation of the basic element. It is crucial for nations to construct infrastructural setups that are fiscally viable and friendly.

Underage Drinking Essay Example for Free

Underage Drinking Essay Episode 4 Underage Drinking; A National Concern of It’s Always Sunny In Philadelphia addresses underage drinking through politically incorrect satire while still focusing on the seriousness of the subject matter. It is widely known and accepted that alcohol abuse by teenagers is not only a crime; it is also a sorrowful situation when it involves ruining lives and it can even result in death. The cast of It’s Always Sunny In Philadelphia presents a new and obviously demented view point to the subject. The friends portrayed in the show understand teenage drinking is unacceptable and in the opening scenes of this particular episode the cast shares some personal youthful experiences while sitting together in the bar that that is owned collectively by the group. Charlie points out a particularly dangerous moment when he says several times â€Å"Remember when we totaled Ben’s car after we plowed into that tree!† (â€Å"Underage Drinking, A National Concern†). Alcohol use among teens increases dramatically during the high-school years and leads to serious consequences for many teens. As studies by statistics from the National Institute of Health show, each year in the United States, alcohol-related automobile accidents are a major cause of teen deaths. Alcohol is also often a cause in other teenage deaths, including drowning, suicides and homicides. â€Å"Teens who drink are more likely to become sexually active, have sex more frequently and engage in risky, unprotected sex than are teens who dont drink.† (National Institute of Health). For each person who will agree with a specific angle to this subject there will be two who will stand up and disagree. A classic example from this episode is the early comment from Dee, â€Å"[there is] a social responsibility to keep teenagers from drinking.† (â€Å"Underage Drinking, A National Concern†). Obviously this is right thinking however this is the twisted turning point with regards to this episode. It is suggested and then agreed upon to give the local youth a â€Å"safe† place where they can consume alcohol without the worries typically associated with attempting to purchase liquor without valid identification. The topic should be black and  white. There isn’t supposed to be a gray area involving illegal activities and the bottom line is simple; if you’re under 21 you cannot drink alcohol. What happens on the show is especially ironic because the owners of the bar justify making money off of ignorant teenagers while telling each other they’re providing a controlled environment for something that teenagers are going to do anyway. They point out that in many countries the world over it is not uncommon for someone as young as 12 or 13 to be found drinking with some degree of regularity and rationalize that they’re actually providing a community service. Everyone would like to know why teens use drugs and alcohol; some use narcotics to fit in and then become addicted. Others think a more complicated reason exists why people use drugs, especially teenagers. During the teen years, kids are more likely to engage in risky behaviors. The increasing need for teenaged independence may make kids want to defy their parents wishes or instructions as a way of asserting their independence. Peer pressure can also have an effect on an adolescents decision to begin drinking. While much has been written about peer pressure, and its effect should not be ignored, study after study proves that parental involvement carries much more weight. Teenage bodies and minds are still developing, and drinking at that age has a much more negative effect than on an adult The abuse of alcohol by teenagers is a sneaky thing, and many times adults who dont want to believe their children would do that, find out too late that they already have. â€Å"Parents, teachers and social workers need to remain alert to the signs of alcohol abuse in teenagers.† (National Institute of Health). There is a misconception, especially among non-alcoholics, that a teenager is too young to become an alcoholic. This is a subject that is completely overlooked in the episode in spite of the tongue in cheek satire. Some recovering alcoholics can look back through specific teenage years and see that they were drinking as an alcoholic when they were much younger. It is true that most teenagers wont come to grips with their drinking problems until much later in life. Alcoholism does not discriminate against its victims, and it crosses into all age groups. What the show does not focus on ultimately, is that bad choices have bad consequences. If a teenager thinks they have a drinking problem, they should be assisted in finding help and not given rationalizations that offer a quick escape. There are many young people Alcoholics Anonymous groups available today all across the country. They are living their teenage years as it was intended to be, free of alcohol and happy. Underage drinking is a serious and criminal offence and there should be zero tolerance in spite of the success of comedic displays in the media. Works Cited National Institute of Health. Alcoholism When Drinking Becomes a Disease. â€Å"Underage Drinking; A National Concern.† It’s Always Sunny In Philadelphia. By Glenn Howerton. Rob McElhenney. Charlie Day. FX Productions. 18 Aug. 2005.

biology scientific process :: essays research papers

Biology: The Science of Our Lives Biology literally means "the study of life". Biology is such a broad field, covering the minute workings of chemical machines inside our cells, to broad scale concepts of ecosystems and global climate change. Biologists study intimate details of the human brain, the composition of our genes, and even the functioning of our reproductive system. Biologists recently all but completed the deciphering of the human genome, the sequence of deoxyribonucleic acid (DNA) bases that may determine much of our innate capabilities and predispositions to certain forms of behavior and illnesses. DNA sequences have played major roles in criminal cases (O.J. Simpson, as well as the reversal of death penalties for many wrongfully convicted individuals), as well as the impeachment of President Clinton (the stain at least did not lie). We are bombarded with headlines about possible health risks from favorite foods (Chinese, Mexican, hamburgers, etc.) as well as the potential benefits of eating o ther foods such as cooked tomatoes. Informercials tout the benefits of metabolism-adjusting drugs for weight loss. Many Americans are turning to herbal remedies to ease arthritis pain, improve memory, as well as improve our moods. Can a biology book give you the answers to these questions? No, but it will enable you learn how to sift through the biases of investigators, the press, and others in a quest to critically evaluate the question. To be honest, five years after you are through with this class it is doubtful you would remember all the details of meatbolism. However, you will know where to look and maybe a little about the process of science that will allow you to make an informed decision. Will you be a scientist? Yes, in a way. You may not be formally trained as a science major, but you can think critically, solve problems, and have some idea about what science can and cannoit do. I hope you will be able to tell the shoe from the shinola. The Scientific Process Scientists make progress by using the scientific method, a process of checking conclusions against nature. After observing something, a scientist tries to explain what has been seen. The explanation is called a hypothesis. There is always at least one alternative hypothesis. A part of nature is tested in a "controlled experiment" to see if the explanation matches reality. A controlled experiment is one in which all treatments are identical except that some are exposed to the hypothetical cause and some are not.

Hamlet Speech Draft Essay

In Shakespeare’s famous play â€Å"Hamlet†, Hamlet reveals the duality of human nature as he is the hero of one plot whilst a villain in the other. Hamlet portrays the heroic characteristics through bravery and fearlessness. On the other hand, he is a villain because he is a coward, disrespectful and he would do anything to achieve and benefit for himself. But Hamlet is neither a complete hero nor a complete villain. He is both, and this contributes to Shakespeare’s message concerning the duality of human nature. The following paragraphs will elaborate on Hamlet’s 3 different types of personalities. Hamlet being a hero of a plot is a major theme in the play. This is shown by through his actions of avenging his father’s death by killing the current king Claudius, Hamlets uncle. Hamlet demonstrates the quality of braveness by following the ghost ignoring the fears of his friend for him strong enough to break the restraining hold and follows the horrible illusion not knowing what could happen to him. [Hamlet-Shakespeare Act 1, Scene 4, 88 – 95] â€Å"Hold off your hands†, â€Å"My fate cries out and makes each petty artery in this body as hardy as the Nemean lion’s nerve. Still am I called.- Unhand me, gentleman. By heaven, I’ll make a ghost of him that lets me! I say, away. -Go on. I’ll follow thee. Hamlet does this because he is in desperate urge of wanting to discover how his father died and that he truly loves his father. The final reason for Hamlet being a hero is because he is not afraid of facing a politically superior man. This means that hamlet is not afraid to face the king; a person more powerful than him and tell everyone the truth about what happened to his father. Hamlet demonstrates the quality of fearlessness when is ready to fight the king. This is proven when he says [Hamlet-Shakespeare Act 5, Scene2 198 -200] â€Å"I am constant to my purpose, they follow the King’s pleasure. If his fitness speaks, mine is ready. Now or whensoever, provided I be so able as now† These words show that Hamlet’s fearlessness quality and that he is not afraid of facing a person much more powerful than him. Hamlet shows his bravery, fearlessness and determination through his action and speech and those are the qualities of a hero. Although Hamlet has many great Heroic qualities, he also has numerous villain characteristics shown through his actions and speech. He may be seen as a villain because he caused the death to the whole royal family including Polonius, Ophelia and even himself. One of his villain characteristics is portrayed when Hamlet said some harsh words to his mother making her feel threatened. [Hamlet-Shakespeare, Act 3, Scene 4, 21-23] â€Å"Come, come, and sit you down. You shall not budge. You go not till I set you up a glass Where you may see the inmost part of you†. These words illustrate one of Hamlet’s villain characteristics of being disrespectful. In addition to that, he broke Ophelia’s heart, as well as killing her father which caused her to become insane and lead her to commit suiciding. He also lied to his friends Rosencrantz and Guildenstern changing the letter making them the suspect of execution. Hamlet says [Hamlet-Shakespeare Act 5, Scene 2, 61-66] â€Å"Why, man, they did make love to this employment. They are not near my conscience. Their defeat does by their own insinuation grow. ‘Tis dangerous when the baser nature comes between the pass and fell incensed points of mighty opposites.† This shows that Hamlet is a coward, not facing execution himself but had to make his innocent friends face execution for him. These evidences proves that Hamlet is a villain because the death of the king Claudius, Gertrude, Ophelia, Laertes, Polonius, Rosencrantz, Guildenstern and himself is caused by him either directly or indirectly. Shakespeare uses the characters in the play Hamlet, especially the protagonist Hamlet to imitate the duality of human nature. Hamlet is a perfect example of a duality because he is both noble and immoral at the same time. An example of this is at the beginning when he is shocked over his father death and his mother’s quick remarriage to his uncle. This is shown in the text when Hamlet says [Hamlet-Shakespeare Act 1, Scene 2, 151-158] â€Å"even she – O, God, a beast, that wants discourse of reason would have mourned longer – married with my uncle, my father’s brother, but no more like my father than I to Hercules. Within a month, ere yet the salt of most unrighteous tears had left the flushing in her galled eyes, She married.† He then changes when he soon discovers about how his father was murdered and desires to seek revenge. Another example of a duality is that Hamlet exposes the noble side of himself. This is when he grieves for his father and despises the situation that his mother has left him in. He says [Hamlet-Shakespeare Act 1, Scene 2, 85-88] â€Å"These indeed seem, for they are actions that a man might play. But I have that within which passes show these but the trappings and the suits of woe.† This makes the reader feel that he dislikes his mother but on the contrary he still loves her even though she has left him in a miserable situation. These examples portray the duality of human nature from the character Hamlet. Hamlet can be both the hero due to the bravery and fearlessness he has shown through his actions. Although he shows heroic qualities, he can still be a villain through his coward, disrespectful and immoral actions. Hamlet is often noticed that he has more than one side to his personality at the same time and this is revealed through the play when he stands for what he believes in and takes avenge for his father’s death but in the contrary not only did he kill Claudius, he was involved in everyone’s death including Ophelia, Polonius, Gertrude, Laertes, Rosencrantz and Guildenstern and that he would do anything to achieve and benefit for himself. Through these actions, Hamlet portrays the qualities of the duality of human nature.

Educational Technology

Exam Name___YVETTE TORRALBA-MOSES___________ TRUE/FALSE. Write ‘T' if the statement is true and ‘F' if the statement is false. 1) Technological literacy cannot serve as the primary rationale for integrating educational technology. 1) _T______ 2) One thing we have learned from the history of technologies in education is that teachers rarely have time to develop their own instructional media for teaching. 2) __T_____ 3) Research over the past 40 years has shown conclusively that technology-based methods are usually superior to traditional ones. 3) _F______ MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question. 4) Educators who come from a vocational background and belong to the ITEA professional organization use this term to refer to uses of technology for teaching and learning. 4) B______ A) instructional technology B) technology education C) educational technology D) instructional systems 5) In which of the following eras did Integrated Learning Systems (ILSs) become popular? 5) _D______ A) Internet Era B) Post-Internet Era C) Pre-microcomputer Era D) Microcomputer Era 6) What is one thing we have learned from the history of technology in education about the role teachers will play in the future? 6) __B_____ A) To be effective, schools must keep up with new technology-based methods. B) Despite technological innovations, human teachers will always be very important. C) Due to technological innovations, human teachers gradually will be phased out. D) The most successful teachers are ones who integrate technology into their methods. 7) What does AUP stand for? 7) __D_____ A) Authorized Use Procedures B) Authorized Uniform Procedures C) Authorized Uniform Policies D) Authorized Use Policies 8) Why do teachers need to develop their own rationale for using technology in education? 8) __A_____ A) Integrating technology is time-consuming and relatively expensive to use. B) Parents are often opposed to their children using technology in classrooms. C) Teachers often have to persuade administrators to support technology uses. D) Newer technologies continue to require different rationales than older ones. 9) Which of the following is one of the â€Å"big issues† shaping the current and future climate of educational technology? 9) ___B____ A) Macintosh vs. Windows platform usage in schools B) directed vs. constructivist learning strategies C) cooperative vs. individualized learning strategies D) web-based vs. broadcast distance learning delivery SHORT ANSWER. Write the word or phrase that best completes each statement or answers the question. 10) Though many educators tend to think of technology as devices, Saettler reminds us that the historical function of educational technology was a/an ________ rather than a product. 10) __tool and process______ 11) This term evolved from â€Å"computer literacy† and has come to mean technical skills that help prepare students for the workplace. 1) _____________ 12) What kind of software, first introduced in 1994, marked the beginning of more widespread Internet use? 12) Computer assisted learning________ 13) Attacks on computer systems by hackers and viruses make it necessary for schools to install firewalls and this kind of software. 13) _firewall software______ 14) What term is used to describe the disparity between the u se of computers by girls and boys which some people feel leads to girls entering science and mathematics fields less often than boys? 14) _____________ 15) ISTE has worked with groups such as NCATE to identify this set of technology skills that should be required of all American teachers. 15) _NETS______ TRUE/FALSE. Write ‘T' if the statement is true and ‘F' if the statement is false. 16) Using drill and practice to promote automaticity is a directed strategy. 16) _F____ 17) Having small groups work cooperatively to develop a hypermedia product is identified more with constructivist models than with directed instructional ones. 17) ___T___ 18) One of the essential conditions for effective technology integration is adequate technical assistance for teachers. 8) __T____ MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question. 19) Which of the following technology-based strategies might Skinner have considered an effective way to shape learned behavior? 19) ___C___ A) forming responses through multimedia rewards for good behavior B) using visual examples to bridge adult/expert and c hild/novice levels C) drill and practice that gives reinforcement for correct answers D) using Internet illustrations to stimulate recall of prerequisite skills 20) Which of the following might be a kind of technology strategy based on constructivist learning models? 20) _C_____ A) Identifying skill weaknesses and targeting tutorial and drill software to them B) Giving students a German language tutorial because a teacher is not available C) Showing video-based problems that students solve through small group work D) Letting students write papers by word processing, rather than by hand 21) What two kinds of instruments can teachers design or select during Phase 3 of the TIP Model to assess changes in attitudes during a technology-enhanced lesson? 1) __A___ A) Rubrics and semantic differentials B) Likert scales and semantic differentials C) Rubrics and observation checklists D) Likert scales and rubrics 22) In writing outcomes and objectives for technology-enhanced lessons, which of the following should teachers always consider? 22) __A___ A) skills and attitudes to be learned B) teaching approaches to be used C) learning processes to be used D) technology skills to be learned 23) Which of the following should be asked during Phase 6 to determine if the technology-enhanced lesson worked as planned? 23) B_____ A) Have the technology resources been integrated well? B) Could a different technology produce a better result? C) Do teachers agree that the technology was necessary? D) Were all available technology resources used? 24) What is one of the most important guidelines for teachers and others to follow when writing proposals to obtain technology funding? 24) _D____ A) Give descriptions of relevant background for all personnel. B) Make sure to address the primary goals of the funding agency. C) Give detailed explanation to justify funds for technology resources. D) Make sure sufficient research history and background is included. SHORT ANSWER. Write the word or phrase that best completes each statement or answers the question. 25) Howard Gardner would probably approve of assigning different roles in small group multimedia development projects because they can help address this concept that is central to his theory. 25) _Theory of Multiple Intelligences__ 26) What would Vygotsky call a process of helping students develop new math skills by using video-based problems to build on their own knowledge and experience? 26) _social process in learning_______ 27) What do teachers see when they determine that a technology-based strategy is better than the traditional one they were using? 27) _____________ 28) This model gives teachers a general approach to address challenges involved in integrating technology into teaching. 28) _Technology Integration Planning Model_______ 29) This software prevents access to specific web site addresses or to web sites that contain certain keywords or phrases. 29) _Firewall Software_ 30) What is the name for the policy that schools should have students sign to help make sure they are aware of appropriate behaviors on the Internet? 30) _Authorized Use Policies______

I will be first writing about all the factors that prevent heat loss Essay Example

I will be first writing about all the factors that prevent heat loss Essay Example I will be first writing about all the factors that prevent heat loss Essay I will be first writing about all the factors that prevent heat loss Essay There are various factors, which affect the rate of heat loss in penguins. These include:. Feathers: They have a thick layer of insulating feathers, which are waterproof designed to keep them warm in water. So they can keep their body temperature while in the water, this is because heat is lost more rapidly in water then in air.. Body mass (blubber): Penguins have a thick layer of blubber under their skin, which stops the cold leading to he organs. This helps them from the extreme cold.. Flippers: They hold their flippers out from their bodies and pump hot blood to them so that they can act as radiators.. Circulatory system: This allows the main organs to be warm.. Blood vessels: Penguins have specially adapted vessels in their feet to help them cope with standing on cold ice. The blood vessels supply just enough heat to prevent the penguins freezing to the ice. The blood vessels carries warm blood to the feet, which are intertwined with those carrying the cold blood back from the fe et.. Huddles: Penguins intend to huddle each other when the temperature is low, this is to keep them warm, reducing heat loss.I f each of these factors changed they will have the following effect on the rate of heat loss:. Feathers: If penguins did not have feathers it would be hard for them to swim under water. Penguins spend 75% of their lives in water so it is basically a place where they need to be. If they do not have the waterproof feather coating, heat will be lost rapidly in water. Body mass (blubber): If penguins did not have their body mass to keep them warm then the cold would lead to the organs and their body temperature would drop. Therefor rate of heat loss will increase.. Flippers: If penguins did not have flippers then they would not be warm inside of their bodies. The blood vessels will probably freeze.. Circulatory system: If penguins did not have their circulatory system to keep them warm, then their organs will be lower then there average body temperature.Method: In this experiment I am going to find out whether huddling reduces heat loss in penguins. Test tubes were used instead of penguins.I boiled water and poured approximately 50ml in to each test tube. I took the temperature on the test tube placed in the middle of all the test tubes. I then timed how much heat was lost in 5 minutes. I repeated this experiment 5 times, each time I increased the number of test tubes:. 1 test tube. 3 test tubes. 6 test tubes. 8 test tubes. 10 test tubesMeasurements:In order to carry out this experiment I used the followings:. Stop clock, to measure the time.. Thermometer, to measure the temperature of the water in the middle test tube.. Test tube, to hold the water.. Measuring bowl was used to pour the same amount of water into the test tube.Fair test:For my fair test I had to start at 0 seconds and finish at 5:00 minutes, this is because I needed the time to be exactly right, otherwise the temperature readings would be wrong.I also needed the amount of w ater to be approximately 50ml. This is because the measures of the heat loss would not be accurate.In addition the same stop clock and thermometer were used for consistency.Safety:To ensure safety I wore goggles through out the experiment. In addition hot water was handled with care through out the experiment.Prediction:I predict that the more test tubes (penguins) are huddled together the less the heat is loss. Which means that the penguins are kept warmer for longer.EXPERIMENT1)First we measured one test tube (penguin) on its own, and checked how long it takes for heat to transfer out. I took the time, which was 5 minutes. Then took the temperature.FAIR TESTTime start: 0:00Finish time: 5:00 Approx. of water: 50ml2)Then we tried it with three tubes (penguins), but only taking the temperature of the test tube labelled X, which was in the middle. We checked how long it took for the heat to transfer out.FAIR TESTTime start: 0:00Finish time: 5:00Approx. of water: 503) Then we tried it with 6 test tubes (penguins), but only took the temperature of the test tube measured X, which was in the middle. We checked how long it took for heat to transfer out of the test tubes.FAIR TESTTime start: 0:00Finish time: 5:00Approx. of water: 50ml4) Then we tried it with 8 test tubes (penguins), but only took the temperature of the test tube marked X, which was in the middle. We checked how long it took for heat to transfer out of the test tubes.FAIR TESTTime start: 0:00Time Finish: 5:00Approx. of water: 50ml5) Finally, we tried it with 10 test tubes (penguins) but only took the temperature of the test tube marked X, which was in the middle. We checked how long it took for heat to transfer out of the test tubes.FAIR TESTTime start: 0:00Time finish: 5:00Approx. of water: 50mlANAYSISThe results are shown on the table below:For better visualisation the results are transferred in to a line graph, (with line of best fit and gradient)Line graph:EVALUATIONFor my evaluation I found out th at my prediction was supported and the more test tubes (penguins) were used the less heat was lost, so they kept warmer if more penguins were huddled.I found out that penguins intend to huddle each other when the temperature is low, to keep them warm, reducing heat loss.I have realised that some of the things I did may off affect my results. For example the amount of water I put in each test tube. I was using approximately 50ml. This might off affected the amount of heat, which was lost in the test tubes. To improve next time I will use exactly 50ml.For the experiment to be right we need to have a fair test, and in order to have a fair test we need some things in the experiment to be fair. For example we need the temperature in the beginning to be constant and the amount of water put in the test tubes. Also the same stop clock and thermometer. We the stop lock to begin at 0.00 and end after 5 minutes.However, in the experiment because of lack of time I was unable to carry the out al l five experiments in one lesson. This may have interfered with the results.

Free Essays on To an Athlete Dying Young

AE Housman Reading this poem I had several different impressions. First reading it in a literal aspect I saw a child who ran races and perhaps won. Even if he didn’t win he was made to feel like a winner. â€Å"And home we bought you shoulder high† (line 4) this says they bought him home proudly but not necessarily that he won. Next something happens to the runner that makes him unable to run, perhaps old age but I think death because of the following lines: Will flock to gaze the strength less dead†(line26) I also think there were key statements throughout to somewhat changed my thought pattern. In line 20 he says, â€Å"and the name died before the man.† This is saying that often as we grow older and began to change people forget all of the things that made us who we are. An example of this would be some older sports figures. Though the man lives own his life may be forgotten by many. I guess you could also compare this to life. We are young and boisterous one day (such as the runner in the beginning) and as time goes on we began to somewhat fall apart as we continue further through the... Free Essays on To an Athlete Dying Young Free Essays on To an Athlete Dying Young AE Housman Reading this poem I had several different impressions. First reading it in a literal aspect I saw a child who ran races and perhaps won. Even if he didn’t win he was made to feel like a winner. â€Å"And home we bought you shoulder high† (line 4) this says they bought him home proudly but not necessarily that he won. Next something happens to the runner that makes him unable to run, perhaps old age but I think death because of the following lines: Will flock to gaze the strength less dead†(line26) I also think there were key statements throughout to somewhat changed my thought pattern. In line 20 he says, â€Å"and the name died before the man.† This is saying that often as we grow older and began to change people forget all of the things that made us who we are. An example of this would be some older sports figures. Though the man lives own his life may be forgotten by many. I guess you could also compare this to life. We are young and boisterous one day (such as the runner in the beginning) and as time goes on we began to somewhat fall apart as we continue further through the...

Overview of Life Expectancy

Overview of Life Expectancy Life expectancy from birth is a frequently utilized and analyzed component of demographic data for the countries of the world. It represents the average life span of a newborn and is an indicator of the overall health of a country. Life expectancy can fall due to problems like famine, war, disease and poor health. Improvements in health and welfare increase life expectancy. The higher the life expectancy, the better shape a country is in. As you can see from the map, more developed regions of the world generally have higher life expectancies (green) than less developed regions with lower life expectancies (red). The regional variation is quite dramatic. However, some countries like Saudi Arabia have very high GNP per capita but dont have high life expectancies. Alternatively, there are countries like China and Cuba that have low GNP per capita have reasonably high life expectancies. Life expectancy rose rapidly in the twentieth century due to improvements in public health, nutrition and medicine. Its likely that life expectancy of the most developed countries will slowly advance and then reach a peak in the range of the mid-80s in age. Currently, microstates Andorra, San Marino, and Singapore along with Japan have the worlds highest life expectancies (83.5, 82.1, 81.6 and 81.15, respectively). Unfortunately, AIDS has taken its toll in Africa, Asia and even Latin America by reducing life expectancy in 34 different countries (26 of them in Africa). Africa is home to the worlds lowest life expectancies with Swaziland (33.2 years), Botswana (33.9 years) and Lesotho (34.5 years) rounding out the bottom. Between 1998 and 2000, 44 different countries had a change of two years or more of their life expectancies from birth and 23 countries increased in life expectancy while 21 countries had a drop. Sex Differences Women almost always have higher life expectancies than men. Currently, the worldwide life expectancy for all people is 64.3 years but for males its 62.7 years and for females life expectancy is 66 years, a difference of more than three years. The sex difference ranges from four to six years in North America and Europe to more than 13 years between men and women in Russia. The reasons for the difference between male and female life expectancy are not fully understood. While some scholars argue that women are biologically superior to men and thus live longer, others argue that men are employed in more hazardous occupations (factories, military service, etc). Plus, men generally drive, smoke and drink more than women - men are even more often murdered. Historic Life Expectancy During the Roman Empire, Romans had an approximate life expectancy of 22 to 25 years. In 1900, the world life expectancy was approximately 30 years and in 1985 it was about 62 years, just two years short of todays life expectancy. Aging Life expectancy changes as one gets older. By the time a child reaches their first year, their chances of living longer increase. By the time of late adulthood, ones chances of survival to very old age are quite good. For example, although the life expectancy from birth for all people in the United States is 77.7 years, those who live to age 65 will have an average of almost 18 additional years left to live, making their life expectancy almost 83 years.

Motorsport Research Paper Example | Topics and Well Written Essays - 2250 words

Motorsport - Research Paper Example These affected the event’s continual management. Large-scale sports events need effective management to avoid potential visitor’s impact on the communities and environment that locals reside. The  influences  can  either  be  direct or indirect and can infiltrate the relations in the community. Large-scale events like those found in motorsports are commonly known to be carried out among communities so as to attain a greater good. Hence the economic and promotional benefits overshadow the negative effects on the community. The research aims at exploring the social impacts of the World Rally Championships (WRC) 2009, in the State of New South Wales (NSW), Australia. Kyogle Shire is one of the global locations for the World Rally Championships. The social impact study is a key aspect that forms a section of the triple bottom line approach that is desirable in the assessment of sporting events. After the realization of these negative impacts, governments, event managers, and community groups can appropriately minimize the negative impacts of future events. Further, they can leverage the benefits that are positive which are brought about to the community by events of this magnitude. The paper presents an examination of the social and cultural benefits and costs to a given rural community along the World Rally Community global route. Further, it proposes that social research for the future should be allowed in other locations of the events since cultural and social contexts and the physical environment whe re the event occurs differs significantly. The World Rally Championship is a motorsport event that is international. The Championship is staged yearly in twelve countries; it attracts approximately between eighty thousand and two hundred and ten thousand spectators to every single event (Hassan et al., 2009). The Championship being broadcasted in over two hundred and twenty-eight various countries

Operations Management - Just in Time and Material Resource Planning Essay

Operations Management - Just in Time and Material Resource Planning - Essay Example Let's look at an example of 2 Motorcycle manufacturers. The end product in this case is the motorcycle while the inventory required could vary from engine, engine components, wheel etc to nuts, bolts and spares. Manufacturer 1 stocks up inventory for all spares and components because he believes customer service could be better optimized with constant supply of materials. Accordingly, his relative requirement for working capital increases as he needs to invest more in procurement and storage of the components. Not having enough capital to invest, he also borrows capital and ends up paying interest for this purpose increasing his cost. Indeed he would in the this scenario like to pass o the burden to the consumer thereby scaling up the price of his product to cover his cost and still maintain his profit margin. To the contrary, Manufacturer 2 follows Just in Time inventory management system. He maintains excellent terms with his suppliers that they would as and when required immediately supply him with components required for his end product. Accordingly, his relative requirement for working capital is almost negligible as he does not have the requirement to block his capital for procurement and storage of the components.

Be Your Own Boss Essay Example | Topics and Well Written Essays - 1750 words

Be Your Own Boss - Essay Example In addition, there has been scarcity of clean water especially in the developing countries leading to an increase of water borne diseases and deaths. For example, in the developing countries young children at the age of less than five years experience an average of 10 attacks of water borne diseases. Ice Cool Water Company (ICWC) is focused at providing safe and clean Ice Cool water within Birmingham City where the firm will be located. In order to ensure Ice Cool remain competitive in the bottled water industry, it will in future emulate extensive marketing strategies and adequate research to ensure that it meets the high demand for clean water in regions like Bangladesh, Nepal, and developing countries within the Africa continent. Feasibility of the business idea Birmingham City has the population of more than 1.4 million people making it to be the second most populous city after London (Hodder, 2004). In this regard, Ice Cool Water has a high possibility of acquiring a large marke t segment. To expand its supply to match with the consumers demand, ICWC will need to employ large number of skilled manpower that will also ensure quality products are provided in the market. Birmingham City University, one of the biggest universities in United Kingdom is a key institution that will provide experts who will be hired by the company. The skills possessed by the graduates from Birmingham City University and other institutions of higher learning within Birmingham's metropolitan area, provides effective and productive employees. In its production process, ICWC will greatly emphasize environmental conservation. In this way, the company will enjoy the support of the Birmingham Friends of the Earth, a volunteer group that advocates for development of industries that cater for conservation of the environment (Gordon, 1994).With a GDP of more than $90bn, the purchasing power of the of Birmingham residents is high. In this way, the company will not take a long time to break e ven thus making it to be at par with its competitors who are already established in the UK market (Kurtz, 2010). Being a renowned engineering and manufacturing centre, the city has high number of personnel who will be highly demanded in the production facility systems. This implies that ICWC will not incur high costs of hiring foreign engineers thus resulting to low costs of establishing the company. This feasibility study therefore shows that the establishment of ICWC is a viable idea and the company has the opportunity of excelling in the UK and international market. Market research and competitor analysis As mentioned earlier the city of Birmingham and Birmingham's metropolitan area in general, have high population resulting to establishment of large number of bottled water companies as they seek to expand their sales by meeting the high demand for their products in the market. Key competitors that ICWC will face include A Fine Choise Ltd, Aqua Amore Ltd, Refresh Water Ltd, Rent a Water Cooler, and Aqua Victis Ltd among others. Based on their early market entry, the competitors have the strength of large market segment and increased revenue. However, ICWC will provide quality and cheap bottled water that will ensure it attracts new customers even those who are loyal towards our competitors. It is worthy to note that even though the competitors have wide market segment, they have not effectively penetrated foreign market including Peru and Bangladesh where

Discuss the role of game theory and the problems faced by the managers Essay

Discuss the role of game theory and the problems faced by the managers in decision making of a firm operating in an oligopoly market - Essay Example The common characteristics of an oligopolistic market are product differentiation, barriers to entry, inter-reliant decision making amongst the organizations and non-price rivalry between the organizations1. Each organization in the oligopolistic market generally produces differentiated or branded products. The entry barriers to the oligopolistic form of market are very high which averts the weakening of the competition in the market. The few dominant organizations in the oligopoly market hence earn the maximum profits. However, these organizations are interdependent and have to consider the reaction of their competitors prior to making any decision regarding price change, production level or choice of non-price rivalry. The non-price rivalry amongst the oligopolistic organizations could be in various forms. A few of the non-price rivalry strategies are product diversification, brand development, and widespread after-sales services among others2. Owing to the interdependent nature of the organizations operating in an oligopolistic market structure, the manager of such organizations has to implement strategic decision-making so that the business decisions made by them are the most beneficial one for their organization. Strategic decision-making requires the managers of a particular organization to make presumptions about how the competing organizations would respond to any choice they make. Such kinds of business decisions are very complicated in nature and the results of these decisions are also very indecisive owing to the inter-reliance amongst the organizations. The game theory is considered to be one of the imperative tools utilized by the managers of oligopolistic organizations in the process of strategic decision-making. The concept of game theory is the analysis of models of disagreement and cooperation amongst rational as well as smart decision makers3. This study reviews the function of game theory in the decision making

Staffing policies Essay Example | Topics and Well Written Essays - 1000 words

Staffing policies - Essay Example Contents Abstract †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..2 Executive Summary†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..4 Introduction†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦4 Objectives †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦4 Staffing Policies in the Royal Dutch Shell plc†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦5 International Expansion and the Staffing Approaches†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.5 E.P.R.G. Concept†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦6 Conclusion†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦....8 Appendix†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...9 Reference List†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..10 Executive Summary The staffing policies, applied by the most MNEs, generally depend on the key business strategies followed by the companies. Considering the research by Howard Perlmutter, the choice among ethnocentric, polycentric, and geocentric staffing strategies can be stipulated by the company’s marketing orientation. Therefore, the key aim of the report is to review pieces of research that reference Perlmutter’s concept and analyze the scientific value, as well as the correctness of the concept itself. Introduction The staffing policies and principles applied by the international corporations are generally featured with the E.P.R.G. approach, which is developed and theorized by Howard V. Perlmutter. In fact, most multinational companies have to be multicultural and rely on the experience, knowledge, and culture of their foreign employees in order to operate successfully overseas. Therefore, in accordance with the research by Perlmutter, the choice among ethnocentric, polycentric, or geocentric approaches in staffing practices depends on the aims and plans of the company. Objectives 1. Review academic articles and research referencing H. Perlmutter’s E.P.R.G. concept. 2. Define the weaknesses and strengths of the concept and whether the other researchers agree or disagree with it. Staffing Policies in the Royal Dutch Shell plc Royal Dutch Shell plc is known for its ethnocentric approach for staffing. In accordance with the rules of the corporate policy, most financial officers working for Shell are the Dutch citizens. The key reasons of this strictness are associated with the high qualification of these experts and considerable lack of highly experienced and qualified managers in the countries where the company operates. The other reasons are: Inability (and, sometimes, unwillingness) to follow the corporate culture rules; Tight control, which causes amplified stress on the managers. Most executives can not bear such a high pressure; Ethnocentric approach is a part of the company’s corporate culture. The changes in this approach will require deep changes in the entire HRM policy while the company is facing issues that are more challenging now. However, it should be emphasized that technical personnel (engineers, technicians, exploration personnel) can be from other countries. The company had to consider the fact that German, Russian, Brazilian, and Arabic drilling and exploration engineers are of the same qualification level as the Dutch experts. International Expansion and the Staffing Approaches In fact, polycentrism and geocentrism in recruiting policies take place when the company is extending its operations to the overseas markets. In accordance wi

Is Water desalination a viable option to meet global water demands Term Paper

Is Water desalination a viable option to meet global water demands - Term Paper Example Water scarcity has forced the scientific community to look for alternative water resources and one of the most popular options is using the water of the oceans that is vastly available. Desalinating the ocean water and making it fit for human consumptions is one of the most important solutions to the water issues that man faces today. the most remarkably true phenomena is that out of the 2.5% of the fresh water that is available moat of it is trapped in the polar ice caps while only less than 1% of this freshwater is found in lakes, rivers, reservoirs and sub-surface aquifers and is thus available for direct human use. The United Nations estimated that 1.4 billion cubic kilometers of water is present on the Earth and only 200,000 cubic kilometers of this represents fresh water. At the continental level America shares world’s total freshwater resources (45%).Surface water present is highly polluted while indiscriminate withdrawal of groundwater for agriculture and contamination of the water have depleted these resources and hence there is need for some technology to help with the water scarcity issues. Owing to the decreasing groundwater resources and water scarcity problems and the subsequent effect this might have on world food production there have been dramatic changes in the world’s resource management approaches (Gleick, p127). Desalination activities are being done in the Arabian Gulf areas today but increasing number of countries are considering the pros and cons of adopting desalination technologies to meet the demands of the population. Desalination of water means using ocean or brackish water and removing salts and other minerals from the salty water to produce clean, drinking or potable water that is fit for human consumption and usage. Primarily Desalination is done by two different methods-thermal and membrane process. Desalination facilities use one of the five basic technologies to â€Å"extract potable

Staffing policies Essay Example | Topics and Well Written Essays - 1000 words

Staffing policies - Essay Example Contents Abstract †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..2 Executive Summary†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..4 Introduction†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦4 Objectives †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦4 Staffing Policies in the Royal Dutch Shell plc†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦5 International Expansion and the Staffing Approaches†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.5 E.P.R.G. Concept†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦6 Conclusion†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦....8 Appendix†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...9 Reference List†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..10 Executive Summary The staffing policies, applied by the most MNEs, generally depend on the key business strategies followed by the companies. Considering the research by Howard Perlmutter, the choice among ethnocentric, polycentric, and geocentric staffing strategies can be stipulated by the company’s marketing orientation. Therefore, the key aim of the report is to review pieces of research that reference Perlmutter’s concept and analyze the scientific value, as well as the correctness of the concept itself. Introduction The staffing policies and principles applied by the international corporations are generally featured with the E.P.R.G. approach, which is developed and theorized by Howard V. Perlmutter. In fact, most multinational companies have to be multicultural and rely on the experience, knowledge, and culture of their foreign employees in order to operate successfully overseas. Therefore, in accordance with the research by Perlmutter, the choice among ethnocentric, polycentric, or geocentric approaches in staffing practices depends on the aims and plans of the company. Objectives 1. Review academic articles and research referencing H. Perlmutter’s E.P.R.G. concept. 2. Define the weaknesses and strengths of the concept and whether the other researchers agree or disagree with it. Staffing Policies in the Royal Dutch Shell plc Royal Dutch Shell plc is known for its ethnocentric approach for staffing. In accordance with the rules of the corporate policy, most financial officers working for Shell are the Dutch citizens. The key reasons of this strictness are associated with the high qualification of these experts and considerable lack of highly experienced and qualified managers in the countries where the company operates. The other reasons are: Inability (and, sometimes, unwillingness) to follow the corporate culture rules; Tight control, which causes amplified stress on the managers. Most executives can not bear such a high pressure; Ethnocentric approach is a part of the company’s corporate culture. The changes in this approach will require deep changes in the entire HRM policy while the company is facing issues that are more challenging now. However, it should be emphasized that technical personnel (engineers, technicians, exploration personnel) can be from other countries. The company had to consider the fact that German, Russian, Brazilian, and Arabic drilling and exploration engineers are of the same qualification level as the Dutch experts. International Expansion and the Staffing Approaches In fact, polycentrism and geocentrism in recruiting policies take place when the company is extending its operations to the overseas markets. In accordance wi

Assignment Example | Topics and Well Written Essays - 750 words - 108

Assignment Example Another objective of this kind of event is to carry out a research on dementia, in doing this there will be more voluntary participation and making knowledge dissemination easier and making translation and knowledge tools available to the entire public present in the arena. Another possible objective of this event could be to carry out a surveillance system where a possible group of a provincial or territorial partner carry out a short survey to know an approximate number of people affected by the disease. Besides, they can perform a risk reduction and a screening mechanism for dementia and hence formulating an agreed method of prevention and treatment for the targets acquired. Such kind of events also bring about the caregiver effects where through the educational talks given by the present guests, the people present can use to show more care to the people affected by dementia. Through the educational programs and the banners, the people present can be educated about this and can therefore get a different perspective of handling and even treating the affected patients. In order to create awareness of this kind of event, several measures must be taken. For instance, digitally advertising the event through the internet can help a great deal in making sure that the event reaches every individual. Most people in the 21st century have a regular access to the internet at least once a week or even more frequently, this makes the internet adverts more convenient. However, in other cases, brochures and leaflets can also be used in order to disseminate the information and make sure that the information reaches every possible ear. Besides organizing the Marathons or the semi marathons, other fun events such as sack racing and other games such as Basketball with reasonable registration fees; these could help attract more people to the fund raising and hence more funds being raised. To raise more eyebrows, in the

Athena in the Odyssey vs. Virgil in the Inferno Essay Example for Free

Athena in the Odyssey vs. Virgil in the Inferno Essay Two of the greatest works ever written, The Odyssey by Homer and The Inferno by Dante, are detailed, multi-sectioned poems about the journey’s of two men. In each story, the main character is given some sort of guidance by another character in order to aid them in their travels. In The Odyssey, Athena is portrayed as the protector to Odysseus on his journey back home from the Trojan War to his family in Ithaca. In The Inferno, Virgil is requested to lead Dante through the depths of Hell in order to save his soul. Many similarities can be seen between the two characters as they both served as advice givers, protectors, and guides for the main character. While the two guides seem very alike in the way’s they help, it turns out that many differences can be observed between their ways. Athena and Virgil can both be perceived as escorts in the main characters’ journey, but they both are leading their pupils towards different endings and these endings can be representative of a much larger purpose that describes the two authors’ views on life at the time each poem was written. In Greek mythology, Athena is regarded as the goddess of Wisdom. She uses her wisdom to aid Odysseus on his journey back home to his family, through various trials and tribulations. Athena’s guidance can be seen when Odysseus is finally being allowed to leave Calypso’s island, which outraged Poseidon. Poseidon sends a great wave to wreck Odysseus’s ship and possibly drown him in the vast ocean but instead Athena helps him survive. â€Å"But Zeus’s daughter Athena countered him at once./ The rest of the winds she stopped right in their tracks,/commanding them all to hush now, go to sleep./ All but the boisterous North-she whipped him up/ and the goddess beat the breakers flat before Odysseus,/ dear to Zeus, so he could reach the Phaeacians,/ mingle with men who love their long oars/ and escape his death at last.† (Ody. 5. 421-427). Another example of Athena protecting Odysseus is during the great battle in the hall when Odysseus finally confronts his wife’s suitors. Athena appears to Odysseus in the form of Mentor and tries to motivate Odysseus to kill all the suitors off with threats and accusations. She even commands the suitors to through their spears at Odysseus all at once. â€Å"At his command,/ concentrating their shots, all six hurled as one/ but Athena sent to whole salvo wide of the mark†¦Ã¢â‚¬  (Ody. 22. 267-269). Odysseus sees that all of his men are untouched by the suitor’s spears, and this action propels him to take charge and lead an attack on the suitors. Each time Athena guides or protects Odysseus, it’s in order to save his life. She desperately wants Odysseus to get home because Odysseus is a war hero and a King, very much deserving of a safe return home. Athena thinks very highly of Odysseus because he is such a great warrior and she feels he exemplifies the virtue of excellence. It’s easy to see how the ideals of society on life and death in Homer’s 7th Century BC times are portrayed through Athena’s help. The people of this time were most concerned on how you lived your life during the time you had. For them there was no glorious afterlife, so there was no need to try and save your soul to reap the prize of a great time after death. Homer uses Athena as Odysseus’s guide to get back home and live out the rest of his life the way he pleases. He’s spent his time as a warrior and won his most important battles before the beginning of the poem, so now he deserves to live out the rest of his l ife in peace with those he loves the most. Once he arrives home and fights off his wife’s suitors (with the help of Athena of course) he will finally be free in a sense to enjoy his life. In Dante’s The Inferno, Virgil serves as a guide for Dante through the depths of Hell. Virgil is widely considered an allegory for human reason. Reason is needed in a Christian worldview in order to control emotion and desire from taking control allowing for acts of sin. Reason is God’s gift to mankind, a way of staying on the right path and avoiding the dark side of life, if it is used properly. Virgil was requested to help a lost Dante save his soul by Dante’s departed love, Beatrice, who represents God’s grace. Virgil leads Dante through Hell in order for him to learn the descriptions of sins and their consequences. Virgil is with Dante through out his entire journey, unlike Athena who only appears to Odysseus in The Odyssey every once in a while. One example of how Virgil is always there to lead Dante is when Dante faints before entering the First Circle of Hell. Dante faints at the shine of a bright light and awakens already in the next circle. â€Å"With rested eyes, I stood/ and looked about me, then fixed my gaze/ to make out where I was./ I found myself upon the brink/ of an abyss of suffering/ filled with the roar of endless woe.† (Inf. 4. 4-9). This type of situation occurs many times throughout the poem, as Dante proves many times too weak to carry on, and Virgil takes care of him, protects him, and moves them along on their journey. Another situation is when Dante and Virgil arrive at the center of Circle 9 of Hell. They come to the great body of Lucifer, and Virgil throws Dante on his back to continue their upward climb out of Hell. â€Å"At his request I clasped him round the neck./ When the wings had opened wide enough/ he chose the proper time and place/ and took a handhold on those hairy flanks./ Then from hank to hank he clambered down between the thick pelt and the crusted ice.† (Inf. 34. 70-75). While Virgil leads Dante physically in many ways, he also serves as a voice of reason and leads through his words. An example of this is back as they are entering the First Circle. Dante says, â€Å"My master (Virgil) began: ‘You do not ask about/ the souls you see? I want you to know,/ before you venture farther,/ ‘they did not sin. Though they have merit,/ that is not enough, for they were unbaptized,/ denied the gateway to the faith that you profess./ ‘And if they lived before the Christians lived,/ they did not worship God aright./ And among these I am one.† (Inf. 4. 31-39). In this situation, Virgil not only instructs Dante on what he needs to do, but also reveals a little more information about himself as well. Although Virgil seems to guide Dante in almost the exact same way Athena guides Odysseus, Virgil is working towards an all-together different purpose. In Dante’s 14th century AD Christian society, it was imperative to ensure that you lived a good life on earth and repented for all your sins so that you would be in God’s presence in the after-life. Dante uses Virgil as a way for his audience to see that the most important thing is to save one’s soul, even if a little guidance is required to do so. Dante needed to travel through the depths of Hell to be able to wake up and realize how reason should control emotions and desires so that life can be lived in God’s name allowing for a magnificent afterlife. By showing Dante the different circles of Hell, Dante learns the nature of sin and it’s consequences. Virgil teaches Dante a most important lesson; when reason is not in control, it is more likely to commit harsh sins, sins worthy of an afterlife in Hell and not in God’s good grace. Virgil steers Dante toward the light of God once again, saving him from his impending doom, had he not been able to save his wandering soul. Athena and Virgil are considered to be a form of guidance to their poem’s main characters. In Homer’s The Odyssey, Athena helps to ensure Odysseus’s safe return home, but also allows him to live out the rest of his wonderful life on earth by saving him from various dangers including Poseidon and his wife’s suitors. In Dante’s The Inferno, Virgil serves as Dante’s escort through the circles of Hell, but also pilots Dante back into God’s grace by saving his soul. Each can be seen as not only a physical chaperon but also a spiritual one that illustrates society’s point of view on life or afterlife at the time each poem was written. Works Cited Alighieri, Dante. Inferno. Trans. Robert Hollander and Jean Hollander. New York: Anchor, 2002. Print. Homer. The Odyssey. Trans. Robert Fagles. New York: Penguin, 1997. Print.

King Lears Emotional Stages :: essays research papers

King Lear’s Emotional Stages   Ã‚  Ã‚  Ã‚  Ã‚  Throughout the play King Lear, Shakespeare portrays King Lear as a normal human being with a very complex and fragile character. In this very sentimental play, Shakespeare places Lear through the worst anguish of his life (Bruhl 312). The anguish Lear goes through helps him finally realize that human nature is not always loving, caring, and giving as his kingship disguises him to think. One may describe the mental states Lear goes through as myriad mental states. Throughout the play Lear reaches many realizations through his mistakes and symbolic madness, people’s wrong doings toward him, and his return to sanity through redemptive salvation.   Ã‚  Ã‚  Ã‚  Ã‚  Lear makes many mistakes at the end of his lifetime. The want of an untroubled life of second childhood without the responsibilities of a well respected king is the main mistake Lear makes. The slippage of his self- image finally causes him to go mad (Dominic 233). Before Lear goes mad he realizes the state in which he is turning when he states, “My wits begin to turn.';( III.ii.67). Lear’s suffering is primarily mental and climaxes when Regan throws him out in the storm (Bruhl 317). The main mistakes appears “ as he [Lear] enters the phantasmagoria [fantastic imagery, as in a dream] of his madness';( Halio 192). This type of thinking makes Lear become mentally unstable.   Ã‚  Ã‚  Ã‚  Ã‚  One can attribute King Lear’s main mental anguishes to the direct act of wrong doing towards him. The wrong doings cause so much suffering because it comes from the two people he thought loved him more than any person on earth, Goneril and Regan. These ungrateful daughters strip Lear of his knights when he gives over his power (Dominic 233) of which this quote makes an exemplary example: Regan: And speak’t again, my lord. No more with me Lear: Those wicked creatures yet do look well favored When others are more wicked: not being the worst Stand in some rank of praise. I’ll go with thee. Thy fifty yet doth double five-and-twenty And thou are twice her love. Goneril:  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Hear me, my lord: What need you five and twenty, ten, or five,... Regan:  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  What need one? Lear: O, reason not the need! Our beset beggars Are in the poorest thing superfluous. (II.iv.257-267) This conversation describes how evil subverts good; but in the end good is victorious (Ribner 136). Lear’s daughters cause him to think that everyone who says they love him will turn on him.   Ã‚  Ã‚  Ã‚  Ã‚  In the end of the story, Lear reaches the pinnacle of redemptive salvation. Lear sees his imprisonment as a time he and Cordelia can “live, / and pray, and sing, and tell old tales, and laugh/ At guilded butterflies and

The Impact Of Ethics On The Enron Corporation Essay -- Business Ethics

Ethics is something that is very important to have especially in the business world. Ethics is the unwritten laws or rules defined by human nature; ethics is something people encounter as a child learning the differences between right and wrong. In 2001, Enron was the fifth largest company on the Fortune 500. Enron was also the market leader in energy production, distribution, and trading. However, Enron's unethical accounting practices have left the company in joint chapter 11 bankruptcy. This bankruptcy has caused many problems among many individuals. Enron's employees and retirees are suffering because of the bankruptcy. Wall Street and investors have taken a major downturn do to the company's unethical practices. Enron's competitors and the industry have also both been affected by the bankruptcy. The U.S. economy took a sudden downturn for the worse, do to just this one company's unethical behavior. Employees Ethical decisions are guided by the underlying values of the individual. "Values are principles of conduct such as caring, honesty, keeping of promises, pursuit of excellence, loyalty, fairness, integrity, respect for others, and responsible citizenship" (Bateman, 2004). Numerous employees lost their jobs and retirement funds because of Enron's bankruptcy situation. While top executives were cashing in their stock options, knowing the company was going to fall, employees and shareholders were the ones who would take the biggest hit. One of Enron's principles was to offer their employees fair compensation through wages and other benefits; yet that did not end up being the case. While executives were selling their stock options, employees were going to be losing the money in their 401K policies since most of the emplo... ...volume (9), p. 29. Retrieved September 20, 2005, from Proquest database. Enron's Missed Opportunity. Retrieved September 19, 2005 from, http://brie.berkeley.edu/~briewww/publications/WP152.pdf Flood, M. (2005, April 26). The Fall of Enron. Houston Chronicle. Retrieved September 19, 2005 from http://www.chron.com/cs/CDA/ssistory.mpl/special/enron/broadband/3153199 Kadlec, Daniel. (2002, January 13) Enron: Who's Accountable? Retrieved on September 23, 2005, from http://www.time.com/time/business/article/0,8599,193520,00.html Lashinsky, A. (2001, July 13) Enron's Own Dot-Com Bubble Finally Popped. The Street. Retrieved September 19, 2005 from http://www.thestreet.com/comment/siliconstreet/1489696.html Malveaux, J., (2002). Enron serves as wake-up call. Retrieved on September 20, 2005 from http://www.usatoday.com/news/opinion/2002/01/25/ncguest1.htm

Marketing strategy of Danone Essay

Summary After the market research of manufacture and generic yoghurt brands in Spain we came to a conclusion that the best three brands are Carrefour, Danone and Carrefour Discount in the given order. One of the main attributes for the Carrefour’s first place was the balance between low price and good quality with attractive packaging even though Danone was the market leader when concerning the market share. The aim of the marketing strategy for Danone is to gain back the market share it has lost during the years 2007 to 2013 and how Danone can adapt to the economic situation without damaging its premium brand position. SWOT of Danone in Spain We decided to make Danone’s SWOT to determine its strengths, weaknesses, opportunities and threats in Spain. By the analysis we named action that can be done in the future in order to increase the market share of Danone. Strength – quality (packaging, structure of the yoghurt, – variety of product line – well known for its good quality and healthy products – development of new products & innovation – advertising (attracts kids) – known brand – web page discount + agreements with the shops – strong financial situation – a number of CSR activities and initiatives to benefit and support the stakeholders Weaknesses – high pricing strategy (premium brand) – competition from big competitors in every segment, which means limited market share for Danone – presence of many competitors means high brand switching Opportunities – the market of healthy products is growing – using discount coupons – street marketing & viral marketing – cooperation with Kellogg’s – renewable packaging – acquisitions and mergers – new placement of healthy products Threats – economic crisis – rising popularity of generics – increase in cost of raw materials – acquisition by competitor – though competition 3 Strengths As a market leader in terms of market share, Danone’s products present many strengths, and the brand continues to improve those strengths all the time. Indeed, in terms of quality, Danone’s products are the best in Spanish market with healthy, tasty and good structured products. Moreover, with a unique attractive packaging, Danone stands out from the other brands on the market. The variety of its product lines give Danone the strength to meet perfectly the demand. In this way the brand can respond to all the customers’ needs, in accordance with the different target groups, wants and customers’ tastes. All the products can be seen on the web page: http://www.danone.es/Producto/danone/#.UxzBm3kh5GM Moreover, the company is focused on research and development, and in this way concentrates a large part of its work on development of new products and innovation. This aspect makes Danone a brand concerned about the future and its consumers’ future needs. This is why today Danone is a brand with a worldwide reputation, well known by most of the people, and an example for other food-processing industry brands. In addition to that, Danone has webpage discounts and agreements with shops which push new clients to buy and current clients to buy more. Finally, Danone’s advertising represents an important strength for the company because they have strong marketing campaigns. This way, the brand catches all customer’s attention depending on the target endorsed. Advertising variates depending on the product line and the main target  market. For example, many of the brand’s advertisings are focused on kids and their needs, which is making the products for kids very attractive. At the same time Danone is giving valuable attributes for parents to make the final decision to actually buy the product especially when it comes to the healthiness or a daily need of certain vitamins and calcium. Moreover, their advertisements are brilliant to attract new clients for their different product lines. 4 Weaknesses High pricing strategy can be considered as a weakness for Danone when considering the economical situation. As a premium brand Danone has a â€Å"label† of a better and more expensive product that can drive customers to consume generic brand products. Moreover, Danone has permanent competition from big competitors, like Kraft Foods or Nestlà ©, in every segment, and Danone’s sales decline compared to those competitors. Finally, the presence of many competitors means high brand switching, which can represent an important weakness for Danone. 5 Opportunities Danone is a well known brand with a great reputation worldwide that implies plenty of opportunities in the Spanish market. People are more health concerned than ever, and this trend is making its way to the Spanish culture as well. As mentioned before, Danone has a large product line where healthy products such as Actimel and Pro yoghurts with added protein. Especially in Spain where the weather is good and the so called bikini season is longer because of the warm weather, people tend to take more care of their body shape and healthiness, which enables Danone to promote and sell its innovative and health concerned products to Spanish people. In addition as shown in the graft below, the demand of yoghurt is increasing year by year meaning that customers are willing to consume such products. 5.1 Discount coupons One of the main weaknesses of Danone is the high pricing strategy that can make customers turn away to consume generic brand products. Thereby Danone could start using discount coupons temporarily. The coupons would be placed as part of the packaging with a 10% discount. Discounts will not be able to be combined with other discounts and it could be used in the next purchase of any Danone products. The main idea is to give a small discount to lower the threshold for purchase without actually decreasing the real price. At the same time this kind of discount coupons creates a continuous circle of purchase and creates stronger customer relation for the products. The real difference of the price would not be significant regarding to the loss of revenues of Danone but would give added value for the customer to consume Danone products. Since Danone would not lower the real prices but use this kind of discount, it would not harm Danone’s premium brand status. 5.2 Street and viral marketing Spanish culture is used to the street marketing and handing out flyers especially in the bigger cities as Madrid. Instead of giving tasting of the Danone products in the supermarkets, it could be a great opportunity for Danone to place a stand into a centric place of a big city, give tastings and share information especially about the healthy products. Thereby Danone can make its most innovative and special products familiar to the new customers. In addition, Danone could advertise its loyalty club that offers plenty of discounts. To use all the sources of street marketing it would be effective to create something catchy that people would be able to make viral. It could be a small competition, flash mob or a game where customers can be active and be part of Danone. In addition, it is often forgotten or unknown that Danone is paying high attention to environmental issues and acts socially responsible. Therefore street marketing gives Danone an opportunity to communicate with customers and show the great work behind its products. This kind of positive  information is likely to leave a mark to the customers and make them consume Danone’s products in the future. 5.3 New placement Danone offers healthy products and concentrates its promotion on that aspect. This is why we decided to gather some healthy products in specific places, on the first hand. For example, we want to place healthy products, especially products with extra protein, in sport clubs, to familiarize sport-people who like having a snack after their training, with the brand, and to convince them to eat healthy products. On the second hand we want to establish special machines in private universities to spread Danone’s products. In this way, we distribute healthy product to young people, who are more concerned by the â€Å"healthy trend† than people of the older generations. 5.4 Recyclable Packaging It is true that recyclable packagings may be seen as a new concept. Nevertheless, it is a necessary one. Materials such as plastic, glass, metal, cardboard or paper may be reduced. To replace this, some alternative products may be used but still maintaining stability and quality. It is an economic benefit, every stage of the recyclable packaging offers potential savings that can make a great contribution to the environmental protection. Besides the economic factor, it also encourages low energy production technologies, reduced transportations and waste minimization. After this analysis we may ask ourselves, what about Danone? We recommend a packaging in green color, which will have a resemblance with the environment. In this packaging the consumer will be able to visualize written facts about the ecosystem, as well as quotes about nature. To increase the interest in the product an extra souvenir will be provided, a disposable spoon in the shape of a leave, this will be attractive to our customers’ eyes. In this way we can differentiate ourselves from the market and mostly, from our direct competitors. 5.5 Association with Kellogg’s 5.5.1 Kellogg’s Brand diagnosis Parent Company : Kelloggs Category : Food processing Sector : Food and beverages Tagline/ Slogan : Bring out best to you USP : First company to enter into readymade cereal breakfast segment Segment : Food- cereal breakfast and beverages Target Group : Family and children looking for healthy tasty breakfast Positioning : Healthy and tasty breakfast Product Portfolio – Brands : 1. Corn Flakes 2. Coco Pops 3. Chocos 4. All-Bran 5. Krave 6. Frosted Flakes 7. Froot Loops 8. Special K 9. Eggo 10.Fiber Plus 11.Crispix Kellogg’s main competitors 1. Quaker 2. Post 3. General mills 4. Torto 5. Tilo 6. Uncle Sam 7. Nestle 8. Cadbury 9. Familia 5.5.2 Kellogg’s SWOT Analysis Strengths: 1. Geographic Diversity: The company’s products are marketed and sold in more than 180 countries around the world; the company will not be seriously hurt by economic problems exclusive to one market or country 2. Great marketing initiative through various campaigns 3. â€Å"Kellogg’s small changes big differences† earth day celebration 4. â€Å"Fighting hunger† initiative with Walmart 5. Kellogg’s â€Å"heart healthy selection† 6. Has a global workforce of over 30,000 7. High brand awareness and top of the mind breakfast cereal brand globally 9. Solid Revenue Growth: Kellogg reported revenue representing year over year annual growth of 3.89%, a stable and secure rate that is projected to sustain into the future 10. Brand Loyalty: Kellogg’s iconic red logo can be found on the majority of the cereal boxes in your local supermarket, and drives customers back again and again Weaknesses: 1. Saturation of Market: Kellogg’s products are already in nearly every market around the world, so there is little room left for geographical expansion 2. Some products are high in sugar content Opportunities: 1. Development of distribution channels in other countries with help of other company 2. Change in lifestyle of consumers , lack of time increase consumption of ready-made-food 3. Tie-up with restaurants and hotels 4. Product Innovation: Kellogg has for years innovated and created new brands and products, and further product innovation is probable and should fuel sales growth Threats: 1. Increasing competition in readymade breakfast segment 2. Food regulations by government 3. Due to the increase of white labels and store brands, consumers have a lot more choices and a lower price segment to choose from. 4. Strong competitors 5.5.3 Description of the strategy consisting in associating with Kellogg’s After this wide market research of Kellogg’s company, we came to a conclusion that an association with Kellogg’s to launch a new product would be a great enrichment for both Danone and Kellogg’s. Indeed, Kellogg’s believes that with every morning comes a new beginning. The company believes that when we start with a great breakfast, great things can happen. That’s why they make more of the foods that we and our family know, trust and enjoy. A variety of great-tasting, good for our favourites that get us going so that we can make the most of every moment. That is how Kellogg’s will bring additional quality, taste and power to our brand. 5.5.4 Marketing mix of the new product Product: 4-pack Danone yoghurt with Kellogg’s cereals attached to the yoghurt. On one side, Danone yogurt, on the other, Kellogg’s cereals. It offers cereal lovers an alternative to milk. People: This product is directed towards health-conscious consumers, family and children looking for healthy, tasty and quality breakfast. Price: ~2,30â‚ ¬ / 4-pack yoghurts Place: Danone’s distribution strategy is to always be available to everyone. This means the products are distributed widely, in a variety of stores and locations so that it’s easy for customers to purchase it, everywhere. Danone guarantees easy accessibility thanks to a great network of distributors. Their products are available in numerous supermarkets all over spain such as Mercadona, Dia, Carrefour, Eroski, Super core, etc†¦. Promotion: For the promotion of this new product, Danone (and Kellogg’s) will penetrate the consumer’s mind using the following means: 1) Television Commercials 2) Social Media (Facebook and YouTube) 3) Discount coupons 4) Radio Danone’s promotion strategy is also known for using strategic ways to expose their products in supermarkets, so this strategy will of course be used as well for the new product. 5.5.5 Conclusion With this strategy, the launching of a new yoghurt/cereal product, Danone wants to contribute to the development of the consumption of ultra-fresh products at breakfast. This product will be introduced as a trial in the first place. If this product turns out to be a success, we will widen this product line by introducing new flavors of this type of yoghurt with cereals, such as strawberry, vanilla, chocolate, etc. Another expansion of this new line could as well be Kellogg’s classic cereals coated with Danone yoghurt. Threats As mentioned before the economic crisis give a challenge for premium brand as Danone. There can be seen a change of consumption where the low price goes over the quality of the product. Therefore generic brand are gaining more and more market share. Year by year there the prices of the raw materials tend to increase which gives an extra challenge for producers to keep the final price customer friendly but still get revenues.

Porter’s 5 Force Analysis

The Industry Handbook http://www. investopedia. com/features/industryhandbook/ Thanks very much for downloading the printable version of this tutorial. As always, we welcome any feedback or suggestions. http://www. investopedia. com/contact. spx Table of Contents 1) The Industry Handbook: Introduction 2) The Industry Handbook: Porter's 5 Forces Analysis 3) The Industry Handbook: The Airline Industry 4) The Industry Handbook: The Oil Services Industry 5) The Industry Handbook: Precious Metals 6) The Industry Handbook: Automobiles 7) The Industry Handbook: The Retailing Industry 8) The Industry Handbook: The Banking Industry 9) The Industry Handbook: Biotechnology 10) The Industry Handbook: The Semiconductor Industry 11) The Industry Handbook: The Insurance Industry 12) The Industry Handbook: The Telecommunications Industry 13) The Industry Handbook: The Utilities Industry 14) The Industry Handbook: The Internet Industry IntroductionIndustry analysis is a type of investment research th at begins by focusing on the status of an industry or an industrial sector. Why is this important? Each industry is different, and using one cookie-cutter approach to analysis is sure to create problems. Imagine, for example, comparing the P/E ratio of a tech company to that of a utility. Because you are, in effect, comparing apples to oranges, the analysis is next to useless. In each section we'll take an in-depth look at the different valuation techniques and buzz words used in a particular industry, complete a 5-forces analysis on the state of the market and point you in the direction of industry-specific resources. Page 1 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. Porter's 5 Forces Analysis If you are not familiar with the five competitive forces model, here is a brief background on who developed it, and why it is useful. The model originated from Michael E. Por ter's 1980 book â€Å"Competitive Strategy: Techniques for Analyzing Industries and Competitors. † Since then, it has become a frequently used tool for analyzing a company's industry structure and its corporate strategy. In his book, Porter identified five competitive forces that shape every single industry and market.These forces help us to analyze everything from the intensity of competition to the profitability and attractiveness of an industry. Figure 1 shows the relationship between the different competitive forces. Figure 1: Porter's five competitive forces This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 2 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. 1. Threat of New Entrants – The easier it is for new companies to enter the industry, the more cutthroat competition there will be. Factors that can limit the threat of new entrants are known as barriers to entry. Some examples include: o o o o o oExisting loyalty to major brands Incentives for using a particular buyer (such as frequent shopper programs) High fixed costs Scarcity of resources High costs of switching companies Government restrictions or legislation 2. Power of Suppliers – This is how much pressure suppliers can place on a business. If one supplier has a large enough impact to affect a company's margins and volumes, then it holds substantial power. Here are a few reasons that suppliers might have power: o o o There are very few suppliers of a particular product There are no substitutes Switching to another (competitive) product is very costly The product is extremely important to buyers – can't do without it The supplying industry has a higher profitability than the buying industry o o . Power of Buyers – This is how much pressure customers can place on a business. If one customer has a large enough impact to affect a company's margins and volumes, then the customer hold substantial power. Here are a few reasons that customers might have power: o o o o Small number of buyers Purchases large volumes Switching to another (competitive) product is simple The product is not extremely important to buyers; they can do without the product for a period of time This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 3 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. om – the resource for investing and personal finance education. o Customers are price sensitive 4. Availability of Substitutes – What is the likelihood that someone will switch to a competitive product or service? If the cost of switching is low, then this poses a serious threat. Here are a few factors that can affect the threat of substitutes: o o The main issue is the similarity of substitutes. For example, if the price of coffee r ises substantially, a coffee drinker may switch over to a beverage like tea. If substitutes are similar, it can be viewed in the same light as a new entrant. 5. Competitive Rivalry – This describes the intensity of competition between existing firms in an industry.Highly competitive industries generally earn low returns because the cost of competition is high. A highly competitive market might result from: o o o Many players of about the same size; there is no dominant firm Little differentiation between competitors products and services A mature industry with very little growth; companies can only grow by stealing customers away from competitors The Airline Industry Few inventions have changed how people live and experience the world as much as the invention of the airplane. During both World Wars, government subsidies and demands for new airplanes vastly improved techniques for their design and construction.Following the World War II, the first commercial airplane routes we re set up in Europe. Over time, air travel has become so commonplace that it would be hard to imagine life without it. The airline industry, therefore, certainly has progressed. It has also altered the way in which people live and conduct This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 4 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. business by shortening travel time and altering our concept of distance, making it possible for us to visit and conduct business in places once considered remote. For more on the airline industry, read Is That Airline Ready For Lift-Off? ) The airline industry exists in an intensely competitive market. In recent years, there has been an industry-wide shakedown, which will have far-reaching effects on the industry's trend towards expanding domestic and international services. In the past, the air line industry was at least partly government owned. This is still true in many countries, but in the U. S. all major airlines have come to be privately held. The airline industry can be separated into four categories by the U. S. Department of Transportation (DOT): ? ? ? ? International – 130+ seat planes that have the ability to take passengers just about anywhere in the world.Companies in this category typically have annual revenue of $1 billion or more. National – Usually these airlines seat 100-150 people and have revenues between $100 million and $1 billion. Regional – Companies with revenues less than $100 million that focus on short-haul flights. Cargo – These are airlines generally transport goods. Airport capacity, route structures, technology and costs to lease or buy the physical aircraft are significant in the airline industry. Other large issues are: ? ? ? Weather – Weather is variable and unpredictable. Extreme heat, cold, fog and sno w can shut down airports and cancel flights, which costs an airline money.Fuel Cost – According to the Air Transportation Association (ATA), fuel is an airline's second largest expense. Fuel makes up a significant portion of an airline's total costs, although efficiency among different carriers can vary widely. Short haul airlines typically get lower fuel efficiency because take-offs and landings consume high amounts of jet fuel. Labor – According to the ATA, labor is the an airline's No. 1 cost; airlines must pay pilots, flight attendants, baggage handlers, dispatchers, customer service and others. Key Ratios/Terms Available Seat Mile = (total # of seats available for transporting passengers) X (# of miles flown during period) This tutorial can be found at: http://www. investopedia. om/features/industryhandbook/ (Page 5 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. Revenue Passenger Mile = flown during the period) (# of revenue-paying passengers) X (# of mile Revenue Per Available Seat Mile = (Revenue) (# of seats available) Air Traffic Liability (ATL): An estimate of the amount of money already received for passenger ticket sales and cargo transportation that is yet to be provided. It is important to find out this figure so you can remove it from quoted revenue figures (unless they specifically state that ATL was excluded).Load Factor: This indicator, compiled monthly by the Air Transport Association (ATA), measures the percentage of available seating capacity that is filled with passengers. Analysts state that once the airline load factor exceeds its breakeven point, then more and more revenue will trickle down to the bottom line. Keep in mind that during holidays and summer vacations load factor can be significantly higher, therefore, it is important to compare the figures against the same period from the previous year. Analyst Insight Airlines also earn revenue from transporting cargo, selling frequent flier miles to other companies and up-selling in flight services. But the largest proportion of revenue is derived from regular and business passengers.For this reason, it is important that you take consumer and business confidence into account on top of the regular factors that one should consider like earnings growth and debt load. (For more about the consumer confidence survey, see Economic Indicators: Consumer Confidence Index. ) Business travelers are important to airlines because they are more likely to travel several times throughout the year and they tend to purchase the upgraded services that have higher margins for the airline. On the other hand, leisure travelers are less likely to purchase these premium services and are typically very price sensitive. In times of economic uncertainty or sharp decline in consumer confidence, you can expect the number of leisure travelers to decline.It is also imp ortant to look at the geographic areas that an airline targets. Obviously, more market share is better for a particular market, but it is also important to stay diversified. Try to find out the destination to which the majority of an airline's flights are traveling. For example, an airline that sends a high number of flights to the Caribbean might see a dramatic drop in profits if the outlook for leisure travelers looks poor. A final key area to keep a close eye on is costs. The airline industry is extremely sensitive to costs such as fuel, labor and borrowing costs. If you notice a trend of This tutorial can be found at: http://www. investopedia. om/features/industryhandbook/ (Page 6 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. rising fuel costs, you should factor that into your analysis of a company. Fuel prices tend to fluctuate on a monthly basis, so paying close attention to these costs is crucial. Porter's 5 Forces Analysis 1. Threat of New Entrants. At first glance, you might think that the airline industry is pretty tough to break into, but don't be fooled. You'll need to look at whether there are substantial costs to access bank loans and credit. If borrowing is cheap, then the likelihood of more airliners entering the industry is higher.The more new airlines that enter the market, the more saturated it becomes for everyone. Brand name recognition and frequent fliers point also play a role in the airline industry. An airline with a strong brand name and incentives can often lure a customer even if its prices are higher. 2. Power of Suppliers. The airline supply business is mainly dominated by Boeing and Airbus. For this reason, there isn't a lot of cutthroat competition among suppliers. Also, the likelihood of a supplier integrating vertically isn't very likely. In other words, you probably won't see suppliers starting to offer flight s ervice on top of building airlines. 3. Power of Buyers.The bargaining power of buyers in the airline industry is quite low. Obviously, there are high costs involved with switching airplanes, but also take a look at the ability to compete on service. Is the seat in one airline more comfortable than another? Probably not unless you are analyzing a luxury liner like the Concord Jet. 4. Availability of Substitutes. What is the likelihood that someone will drive or take a train to his or her destination? For regional airlines, the threat might be a little higher than international carriers. When determining this you should consider time, money, personal preference and convenience in the air travel industry. 5. Competitive Rivalry.Highly competitive industries generally earn low returns because the cost of competition is high. This can spell disaster when times get tough in the economy. Key Links ? ? ? Federal Aviation Administration – Get the latest regulation news, airport delays , etc. AviationNow. com – Information and news on the airline/aerospace industry. AirWise. com – Airport and aviation news This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 7 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. The Oil Services Industry There is no doubt that the oil/energy industry is extremely large.According to the Department of Energy (DOE), fossil fuels (including coal, oil and natural gas) makes up more than 85% of the energy consumed in the U. S. as of 2008. Oil supplies 40% of U. S. energy needs. (Visit the U. S. Department of Energy's Energy Sources information page for more insight. ) Before petroleum can be used, it is sent to a refinery where it is physically, thermally and chemically separated into fractions and then converted into finished products. About 90% of these products are fuels s uch as gasoline, aviation fuels, distillate and residual oil, liquefied petroleum gas (LPG), coke (not the refreshment) and kerosene. Refineries also produce non-fuel products, including petrochemicals, asphalt, road oil, lubricants, solvents and wax.Petrochemicals (ethylene, propylene, benzene and others) are shipped to chemical plants, where they are used to manufacture chemicals and plastics. (For more insight, read Oil And Gas Industry Primer. ) There are two major sectors within the oil industry, upstream and downstream. For the purposes of this tutorial we will focus on upstream, which is the process of extracting the oil and refining it. Downstream is the commercial side of the business, such as gas stations or the delivery of oil for heat. Oil Drilling and Services Oil drilling and services is broken into two major areas: drilling and oilfield services. ? Drilling – Drilling companies physically drill and pump oil out of the ground. The drilling industry has always be en classified as highly skilled.The people with the skills and expertise to operate drilling equipment are in high demand, which means that for an oil company to have these people on staff all the time can cost a lot. For this reason, most drilling companies are simply contractors who are hired by oil and gas producers for a specified period of time. (For related reading, see Unearth Profits In Oil Exploration And Production. ) In the drilling industry, there are several different types of rigs, each with a specialized purpose. Some of these include: o Land Rigs – Drilling depths ranges from 5,000 to 30,000 feet. o Submersible Rigs – Used for ocean, lake and swamp drilling.The bottom part of these rigs are submerged to the sea's floor and the platform is on top of the water. o Jack-ups – this type of rig has three legs and a triangular platform which is jacked-up above the highest anticipated waves. This tutorial can be found at: http://www. investopedia. com/fe atures/industryhandbook/ (Page 8 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. o Drill Ships – These look like tankers/ships, but they travel the oceans in search of oil in extremely deep water. (For more information on the drilling industry, check out on the Rigzone website. ) ? Oilfield Services – Oilfield service companies assist the drilling companies n setting up oil and gas wells. In general these companies manufacture, repair and maintain equipment used in oil extraction and transport. More specifically, these services can include: o Seismic Testing – This involves mapping the geological structure beneath the surface. o Transport Services – Both land and water rigs need to be moved around at some point in time. o Directional Services – Believe it or not, all oil wells are not drilled straight down, some oil services companies s pecialize in drilling angled or horizontal holes. The energy industry is not any different than most commodity-based industries as it faces long periods of boom and bust.Drilling and other service firms are highly dependent on the price and demand for petroleum. These firms are some of the first to feel the effects of increased or decreased spending. If oil prices rise, it takes time for petroleum companies to size up land, setup rigs, take out the oil, transport it and refine it before the oil company sees any profit. On the other hand, oil services and drilling companies are the first on the scene when companies decide to start exploring. Oil Refining The refining business is not quite as fragmented as the drilling and services industry. This sector is dominated by a small handful of large players. In fact, much of the energy industry is ruled by large, integrated oil companies.Integrated refers to the fact that many of these companies look after all factors of production, refinin g and marketing. For the most part, refining is a slow and stable business. The large amounts of capital investment means that very few companies can afford to enter this business. This handbook will try to focus more on oil equipment and services such as drilling and support services. Key Ratios/Terms BTUs: Short for â€Å"British Thermal Units. † This is the amount of heat required to increase the temperature of one pound of water by one degree Fahrenheit. This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 9 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. om – the resource for investing and personal finance education. Different fuels have different heating values; by quoting the price per BTU it is easier to compare different types of energy. Dayrates: Oil and gas drillers usually charge oil producers on a daily work rate. These rates vary depending on the location, the type of rig a nd the market conditions. There are plenty of research firms that publish this information. Higher dayrates are great for drilling companies, but for refiners and distribution companies this means lower margins unless energy prices are rising at the same rate. Meterage: Another type of contract that differs from dayrates is one based on how deep the rig drills.These are called meterage, or footage, contracts. These are less desirable because the depth of the oil deposits are unpredictable; it's really a gamble on the driller's part. Downstream: Refers to oil and gas operations after the production phase and through to the point of sale, whether at the gas pump or the home heating oil truck Upstream: The grass roots of the oil business, upstream refers to the exploration and production of oil and gas. Many analysts look at upstream expenditures from previous quarters to estimate future industry trends. For example, a decline in upstream expenditures usually trickles down to other are as such as transportation and marketing.OPEC: The Organization of Petroleum Exporting Countries is an intergovernmental organization dedicated to the stability and prosperity of the petroleum market. OPEC membership is open to any country that is a substantial exporter of oil and that shares the ideals of the organization. OPEC has 11 member countries. Output quotas placed by OPEC can send huge shocks throughout the energy markets. Below is a chart of the world's top exporters of petroleum. OPEC members are denoted by â€Å"*†. Indonesia and Qatar are also members, but they don't make the top twelve. Top World Oil Net Exporters, 2006 Country 1) Saudi Arabia* 2) Russia Net Exports (million barrels per day) 8. 65 6. 57 This tutorial can be found at: http://www. investopedia. om/features/industryhandbook/ (Page 10 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. 3) No rway 4) Iran* 5) United Arab Emirates* 2. 54 2. 52 2. 52 2. 20 2. 15 2. 15 1. 85 1. 68 1. 52 6) Venezuela* 7) Kuwait* 8) Nigeria* 9) Algeria* 10) Mexico 11) Libya* 12) Iraq* 1. 43 Source: Energy Information Administration Analyst Insight Analysts and investors often disagree on specific investment decisions, but one thing that they do agree on is their approach to analyzing energy companies. A top down investment approach is almost always the best strategy. We will go through the top down steps below. For more insight, read A Top-Down Approach To Investing. ) Economics/Politics The oil industry is easily influenced by economic and political conditions. If a country is in a recession, fewer products are being manufactured, not as many people drive to work, take vacations, etc. All of these variables factor into less energy use. The best time to invest in an oil company is when the economy is firing on all cylinders and oil companies are making so much money that using excessive amoun ts of energy themselves has little effect on their bottom line. Some analysts believe that rather than analyzing energy companies, you should just predict the trend in energy prices.While more analysis is needed for a prudent investment than simply looking at price trends in oil, it's true that there is a strong correlation between the performance of energy companies and the commodity price for energy. Supply and Demand Oil and gas prices fluctuate on a minute by minute basis, taking a look at the historical price range is the first place you should look. Many factors determine the price of oil, but it really all comes down to supply and demand. Demand typically does not fluctuate too much (except in the case of recession), but supply shocks can occur for a number of reasons. When OPEC meets to determine oil supply for the coming months, the price of oil can fluctuate wildly.Day-to-day This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 11 o f 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. fluctuations should not influence your investment decision in a particular energy company, but long-term trends should be followed more closely. You can find the latest energy supply/demand statistics at the Energy Information Administration. Rig Utilization Rates Another factor that determines supply is the rig utilization rates; its close relationship to oil prices is not a coincidence. Higher utilization rates mean more revenue and profits.For drilling companies, it is important to take a close look at the company's rig fleet, because older rigs lack the ability to drill in remote locations or to bore deep holes. Some other factors to consider are the depth of water that the offshore rigs can drill in, hole depth and horsepower. Higher quality rigs will have higher utilization rates, especially during weak periods. This w ill lead to higher revenue growth. Sometimes this is a double-edged sword; while higher utilization is better, a company that is at its capacity will have difficulty increasing revenues further. Contracts The contracts through which an oil services company is paid also play a large role in supply. Pay close attention to the dayrates, as falling dayrates can dramatically decrease revenues.The opposite is true should dayrates rise. This is because many of the drillers' costs are fixed. Financial Statements After these wide scale factors have been considered, it's time to get down to the nitty gritty – the financials. And when it comes to the financials, the same old rules apply to oil services companies. Ideally, revenues and profits will be growing consistently, just as they do in any quality company. It's worth digging deeper to see if there are any one-time events that have dramatically increased revenues. Also, the P/E ratio and PEG ratios should be comparable to others wit hin the industry. On the balance sheet, investors should keep an eye on debt levels.High debt puts a strain on credit ratings, weakening their ability to purchase new equipment or finance other capital expenditures. Poor credit ratings also make it difficult to acquire new business. If customers have the choice of going with a company that is strong versus one that is having debt problems, which do you think they will choose? To do a test for financial leverage, take a look at the debt/equity ratio. The working capital also tells us whether the company has enough liquid assets to cover short term liabilities. Rating agencies like Moody's and S&P say 50% is a prudent debt/equity ratio. Companies in more stable markets can afford slightly higher debt/equity ratios.If profits are of the utmost importance, then the statement of cash flow is a close second. Oil companies are notorious for reporting non cash line items in the This tutorial can be found at: http://www. investopedia. com/fe atures/industryhandbook/ (Page 12 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. income statement. For this reason, you should try to decipher the cash EPS. By stripping away all the non-cash entities you will get a truer number because cash flow cannot be manipulated as easily as net income can. (For further reading, see Advanced Financial Statement Analysis. ) Porter's 5 Forces Analysis 1. Threat of New Entrants.There are thousands of oil and oil services companies throughout the world, but the barriers to enter this industry are enough to scare away all but the serious companies. Barriers can vary depending on the area of the market in which the company is situated. For example, some types of pumping trucks needed at well sites cost more than $1 million each. Other areas of the oil business require highly specialized workers to operate the equipment and to make key d rilling decisions. Companies in industries such as these have higher barriers to entry than ones that are simply offering drilling services or support services. Having ample cash is another barrier – a company had better have deep pockets to take on the existing oil companies. 2. Power of Suppliers.While there are plenty of oil companies in the world, much of the oil and gas business is dominated by a small handful of powerful companies. The large amounts of capital investment tend to weed out a lot of the suppliers of rigs, pipeline, refining, etc. There isn't a lot of cut-throat competition between them, but they do have significant power over smaller drilling and support companies. 3. Power of Buyers. The balance of power is shifting toward buyers. Oil is a commodity and one company's oil or oil drilling services are not that much different from another's. This leads buyers to seek lower prices and better contract terms. 4. Availability of Substitutes.Substitutes for the o il industry in general include alternative fuels such as coal, gas, solar power, wind power, hydroelectricity and even nuclear energy. Remember, oil is used for more than just running our vehicles, it is also used in plastics and other materials. When analyzing an energy company it is extremely important to take a close look at the specific area in which the company is operating. Also, companies offering more obscure or specialized services such as seismic drilling or directional drilling tools are much more likely to withstand the threat of substitutes. (For more on oil substitutes, see The Biofuels Debate Heats Up. ) 5. Competitive Rivalry. Slow industry growth rates and high exit barriers are a particularly troublesome situation facing some firms.Until quite recently, oil refineries were a particularly good example. For a period of almost 20 years, no new refineries were built in the U. S. Refinery capacity exceeded the product demands as a result of conservation efforts followin g the oil shocks of the 1970s. At the same time, exit barriers in the This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 13 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. refinery business are quite high. Besides the scrap value of the equipment, a refinery that does not operate has no value-adding capability.Almost every refinery can do one thing – produce the refined products they have been designed for. Key Links ? ? ? Department of Energy – Get the latest regulation news and statistics. You name it, this site has it. ODS-Petrodata – Both free and fee-based data on rig counts and other key figures in the oil services industry. Rigzone. com – News and statistics on the oil and gas industry. Precious Metals The precious metals industry is very capital intensive. Constructing mines and building produ ction facilities requires huge sums of capital. Long-term survival requires heavy expenditures to finance production and exploration. Technology has played a big role in the computer and internet industry, but t has also greatly changed the mining industry. Gold is the most popular precious metal for investors. As you may know, gold is a commodity, and, as such, the price for gold fluctuates on a daily basis in the commodity markets. While there is a lot of overlap between the basics of mining gold and silver, the primary focus of here is on the gold market. Silver is less valuable than gold, and, as such, it is usually discovered either by accident or as a byproduct of gold/lead/copper mining. Gold prices are influenced by numerous variables that include fabricator demand, expected inflation, return on assets and central bank demand. Gold is strongly pegged to supply-and-demand patterns.In general, low prices result in low production, and high prices result in high production. Mark et forces determine price. A company's attempt to control costs is critical to maintaining financial health and production levels in the face of declining gold prices. (For related reading, see Does It Still Pay To Invest In Gold? ) The metals industry is not vertically integrated like other industries such as oil and energy. In the metals industry, the companies that mine the gold typically do This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 14 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. ot refine it, and refiners rarely sell it directly to the public. The industry encompasses three types of firms: 1. Exploration. These companies have very little in the way of assets. They explore and prove that gold exists in a particular area. The only major assets owned by exploration firms are the rights to drill and a small amount of capital, which is needed to conduct drilling and trenching operations. 2. Development. Once a gold deposit is discovered by exploration companies, they either try to become development firms, or they sell their gold find to development firms. Development firms are those operating on explored areas that have prove to be mines.The only real difference between development and exploration is that, for development firms, their area has proved to be a gold deposit. 3. Production. Producer firms are full-fledged mining companies that extract and produce gold from existing mines; this production can range from a hundred thousand ounces to several million ounces of gold production per year. Each operator in the supply chain has its own strengths and weaknesses. Some companies do well at extracting the metal from the earth, some refine, while others smelt and transform the commodity into a finished product. Most gold that is mined today is used for jewelry, perhaps because of its beauty, or perhaps because it doesn't rust or corrode.Other uses for gold include tooth filings, electronics manufacturing and collectibles, but these make up a very small portion of overall demand. Unlike other industries, companies in the mining industry come in all shapes and sizes. Much of the production is done by large blue chip companies, but the exploration side of the industry is full of junior companies looking to hit a home run with a large gold find. The mining industry has plenty of opportunities for speculators and others for income investors. (To learn more, read Getting Into The Gold Market. ) Key Ratios/Terms Mine Production Rates: Serious gold investors follow the Gold Survey very closely, published by Gold Fields Mineral Services. Each year, it lists the worldwide mine production statistics.Increasing production rates means more supply, which ultimately means a lower price for gold – if demand remains stable. Scrap Recovery: Another statistic published in the Gold Sur vey, scrap This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 15 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. recovery refers to the worldwide supply of gold from sources other than mine production. This includes recovered old jewelry, industrial byproducts, etc. Throughout the 1990s, more than 15% of the world's gold supply came from scrap recovery. Futures Sales by Producers As you probably know, gold trades in the futures markets.Gold producers are constantly monitoring the prices in the futures markets because it determines the price at which they can sell their gold. The Gold Survey lists statistics on producer sales. If producers are selling an increasing amount in the futures market, it could mean that prices will fall very soon. By purchasing futures contracts the producer â€Å"locks-in† a price. Therefore, if the price of gold falls in future months, it won't affect the producer's bottom line. Conversely, if prices continue to rise after the producer locks in, they won't be able to capitalize on the higher prices. Bullion: This denotes gold and silver that is refined and officially recognized as high quality (at least 99. 5% pure). It is usually in the form of bars rather than coins.When you hear of investors or central banks holding gold reserves, it is usually in the form of bullion. Ore: This refers to mineralized rock that contains metal. Gold producers mine gold ore and then extract the gold from it using either chemicals, extreme heat, or some other method. There are different types of ores, of which the most common are oxide ores and sulphide ores. Analyst Insight The price of gold fluctuates on a minute-by-minute basis, so taking a look at the historical price range is the first place you should look. Many factors determine the price of gold, but it really all comes down to supp ly and demand. Demand typically does not fluctuate too much, but supply shocks can send prices either soaring or into the doldrums.The difference between production costs and the futures price for gold equals the gross profit margins for mining companies. Therefore, the second place you want to look is the cost of production. The main factors to look at are the following: ? ? Location – Where is the gold being mined? Political unrest in developing nations has ruined more than one mining company. Developing nations might have cheaper labor and mining costs, but the political risks are huge. If you are risk averse, then look for companies with mines in relatively stable areas of the world. The costs might be higher, but at least the company knows what it's getting into. Ore Quality – Ore is mineralized rock that contains metal.Higher quality ore will contain more gold, which is usually reported as ounces This tutorial can be found at: http://www. investopedia. com/featur es/industryhandbook/ (Page 16 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. ? of gold per ton of ore. Generally speaking, oxide ores are better because the rock is more porous, making it easier to remove the gold. Mine Type – The type of mine a company uses is a big factor in production costs. Most underground mines are more expensive than open pit mines. Cost of Production The cost of production is probably the most widely followed measure for analyzing a gold producer.The lower the costs, the greater the operating leverage, which means that earnings are more stable and less volatile to changes in the price of gold. For example, a company that has a cash cost around $175/ounce is, for obvious reasons, in a much better position than one whose cost is $275/ounce. The low-cost producer has much more staying power than the marginal producer. In fact, if the price o f gold declines below $275/ounce, the higher-cost producer would have to stop producing until the price goes back up. Producers usually publish their cost of production in their annual report; this cost includes everything from site preparation to milling and refining.It doesn't include exploration costs, financing, or any other administrative expenses the company might incur. Aside from looking at costs, investors should carefully look over revenue growth. Revenue is output times the selling price for gold, so it may fluctuate from year to year. Well-run companies will attempt to hedge against fluctuating gold prices through the futures markets. Take a look at the revenue fluctuations over the past several years. Ideally, the revenue growth should be smooth. Companies with revenues that fluctuate widely from year to year are very hard to analyze and aren't where the smart money goes. Debt Levels Investors should keep an eye on debt levels, which are on the balance sheet.High debt p uts a strain on credit ratings, weakening the company's ability to purchase new equipment or finance other capital expenditures. Poor credit ratings also make it difficult to acquire new businesses. (For related reading, see Debt Reckoning. ) P/E As a final caveat (beware), never analyze a precious-metals company based on the price-to-earnings ratio. In general, a high P/E means high projected earnings in the future, but all gold stocks have high P/E ratios. The P/E ratio for a gold stock doesn't really tell us anything because precious metals companies need to be compared by assets, not earnings. Unlike buildings and machinery, gold companies have large amounts of gold in their vaults and in mines throughout the world.Gold on the balance sheet is unlike other capital assets; gold is seen This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 17 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com â€⠀œ the resource for investing and personal finance education. as currency of last resort. Investors are therefore willing to pay more for a gold company because it is the next best thing to physically holding the gold themselves. There are a few valuation techniques that analysts use when comparing various precious metal companies. The most popular and widely used ratio is market capitalization per ounce of reserves (market cap divided by reserves).This indicates to investors what they are paying for each ounce of reserves. Obviously, a lower price is better. Porter's 5 Forces Analysis 1. Threat of New Entrants. Financing is a principal barrier to entry in the precious-metals industry, which is heavily capital intensive. Constructing mines, production facilities, exploration and development and mining equipment all require large sums of capital. This capital is required before the mine is in production. Therefore, favorable financing terms are extremely important. In short, long-ter m survival in the precious-metal market requires significant capital. 2. Power of Suppliers. The only supply-side issues that miners face deal with government regulations and rules.The supply of land is plentiful, but gaining approval and permits to mine the land can be difficult, especially if environmental risks are high. 3. Power of Buyers. Gold is a commodity-based business, so the gold from one company is not that much different from another's. This translates into buyers seeking lower prices and better contract terms. 4. Availability of Substitutes. Substitutes for the precious metals industry include other precious metals such as diamonds, silver, platinum, etc. These are worthy substitutes for gold, but they are not as widely accepted as gold. Gold has the advantage of being standard for a world currency, so a gold bar in the U. S. s worth the same as it is in Ecuador. As other forms of precious metals such as diamonds gain popularity, they may also become more threatening a s substitutes. 5. Competitive Rivalry. Gold companies don't compete on price, mainly because the prices are determined by market forces. But gold companies do compete for land. The backbone of a precious metals company is its reserves, and the only way to beef up reserves is to explore for good mining areas. Companies go to great lengths to discover gold deposits, and the discovery is on a first-come-first-serve basis. Key Links ? InfoMine. com – Get the latest news and statistics on mining companies. Mining USA – Here is more data and information on mining. This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 18 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. ? Mining Glossary – When you are analyzing a mining company you are bound to come across industry-specific terms you don't understand Automobiles Simila r to the invention of the airplane, the emergence of automobiles has had a profound effect on our everyday lives. The auto manufacturing industry is considered to be highly capital and labor intensive.The major osts for producing and selling automobiles include: ? ? ? Labor – While machines and robots are playing a greater role in manufacturing vehicles, there are still substantial labor costs in designing and engineering automobiles. Materials – Everything from steel, aluminum, dashboards, seats, tires, etc. are purchased from suppliers. Advertising – Each year automakers spend billions on print and broadcast advertising; furthermore, they spent large amounts of money on market research to anticipate consumer trends and preferences. The auto market is thought to be made primarily of automakers, but auto parts makes up another lucrative sector of the market.The major areas of auto parts manufacturing are: ? ? ? Original Equipment Manufacturers (OEMs) – Th e big auto manufacturers do produce some of their own parts, but they can't produce every part and component that goes into a new vehicle. Companies in this industry manufacture everything from door handles to seats. Replacement Parts Production and Distribution – These are the parts that are replaced after the purchase of a vehicle. Air filters, oil filers and replacement lights are examples of products from this area of the sector. Rubber Fabrication – This includes everything from tires, hoses, belts, etc. In the auto industry, a large proportion of revenue comes from selling automobiles.The parts market, however, is even more lucrative. For example, a new car might cost $18,000 to buy, but if you bought, from the automaker, all the parts needed to construct that car, it would cost 300-400% more. Over and above the labor and material costs we mentioned above, there are other developments in the automobile industry that you must consider when analyzing an automobile company. Globalization, the tendency of world investment and businesses to move from national and domestic markets to a This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 19 of 65) Copyright  © 2010, Investopedia. com – All rights reserved.Investopedia. com – the resource for investing and personal finance education. worldwide environment, is a huge factor affecting the auto market. More than ever, it is becoming easier for foreign automakers to enter the North American market. (To read more about this issue, see The Globalization Debate. ) Competition is the other factor that takes its toll on the auto industry; we will discuss this in more detail below under the Porter's 5 forces analysis Key Players In North America, the automobile production market is dominated by what's known as the Big Three: ? ? ? General Motors – Produces Chevrolet, Pontiac, Buick and Cadillac, among others.Chrysler – Chrysler, Jeep and Dodge. Ford Motor Co – Ford, Lincoln and Volvo. Two of the largest foreign car manufacturers are: ? ? Toyota Motor Co Honda Motor Co Key Ratios/Terms Fleet Sales: Traditionally, these are high-volume sales designated to come from large companies and government agencies. These sales are almost always at discount prices. In the past several years, auto makers have been extending fleet sales to small businesses and other associations. Seasonally Adjusted Annual Rate of Sales (SAAR): Most auto makers experience increased sales during the second quarter (April to June), and sales tend to be sluggish between November and January.For this reason, it is important to compare sales figures to the same period of the previous year. The adjustment factors are released each year by the U. S. Bureau of Economic Analysis. Sales Reports: Many of the large auto makers release their preliminary sales figures from the previous month on a monthly basis. This can give you an indication of the cur rent trends in the industry. Day Sales Inventory = Average Inventory Average Daily Sales The sales reports (discussed above) are released monthly. Most automakers try to make dealerships hold 60 days worth of inventory on their lots. Watch out This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 20 of 65) Copyright  © 2010, Investopedia. om – All rights reserved. Investopedia. com – the resource for investing and personal finance education. if sales inventory climbs significantly above 60 days worth. Sales fluctuate month-to-month, but you shouldn't see sustained periods of high inventory. Analyst Insight Automobiles depend heavily on consumer trends and tastes. While car companies do sell a large proportion of vehicles to businesses and car rental companies (fleet sales), consumer sales is the largest source of revenue. For this reason, taking consumer and business confidence into account should be a higher priority than cons idering the regular factors like earnings growth and debt load. For more about the Consumer Confidence Survey, see Economic Indicators: Consumer Confidence Index. ) Another caveat of analyzing an automaker is taking a look at whether a company is planning makeovers or complete redesigns. Every year, car companies update their cars. This is a part of normal operations, but there can be a problem when a company decides to significantly change the design of a car. These changes can cause massive delays and glitches, which result in increased costs and slower revenue growth. While a new design may pay off significantly in the long run, it's always a risky proposition. For parts suppliers, the life span of an automobile is very important.The longer a car stays operational, the greater the need for replacement parts. On the other hand, new parts are lasting longer, which is great for consumers, but is not such good news for parts makers. When, for example, most car makers moved from using rolled steel to stainless steel, the change extended the life of parts by several years. A significant portion of an automaker's revenue comes from the services it offers with the new vehicle. Offering lower financial rates than financial institutions, the car company makes a profit on financing. Extended warranties also factor into the bottom line. (To read more about this, see Extended Warranties: Should You Take The Bait? Greater emphasis on leasing has also helped increase revenues. The advantage of leasing is that it eases consumer fears about resale value, and it makes the car sound more affordable. From a maker's perspective, leasing is a great way to hide the true price of the vehicle through financing costs. Car companies, then, are able to push more cars through. Unfortunately, profiting on leasing is not as easy as it sounds. Leasing requires the automakers to accurately judge the value of their vehicles at the end of the lease, otherwise they may actually lose money. If you think about it, the automaker will lose money on the lease if they give the car a high salvage value.A car with a low salvage value at the end of the lease will simply be bought by the consumer and flipped for a profit. This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 21 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. Porter's 5 Forces Analysis 1. Threat of New Entrants. It's true that the average person can't come along and start manufacturing automobiles. Historically, it was thought that the American automobile industry and the Big Three were safe. But this did not hold true when Honda Motor Co. opened its first plant in Ohio.The emergence of foreign competitors with the capital, required technologies and management skills began to undermine the market share of North American companies. 2. Power of Suppliers. The autom obile supply business is quite fragmented (there are many firms). Many suppliers rely on one or two automakers to buy a majority of their products. If an automaker decided to switch suppliers, it could be devastating to the previous supplier's business. As a result, suppliers are extremely susceptible to the demands and requirements of the automobile manufacturer and hold very little power. 3. Power of Buyers. Historically, the bargaining power of automakers went unchallenged.The American consumer, however, became disenchanted with many of the products being offered by certain automakers and began looking for alternatives, namely foreign cars. On the other hand, while consumers are very price sensitive, they don't have much buying power as they never purchase huge volumes of cars. 4. Availability of Substitutes. Be careful and thorough when analyzing this factor: we are not just talking about the threat of someone buying a different car. You need to also look at the likelihood of pe ople taking the bus, train or airplane to their destination. The higher the cost of operating a vehicle, the more likely people will seek alternative transportation options.The price of gasoline has a large effect on consumers' decisions to buy vehicles. Trucks and sport utility vehicles have higher profit margins, but they also guzzle gas compared to smaller sedans and light trucks. When determining the availability of substitutes you should also consider time, money, personal preference and convenience in the auto travel industry. Then decide if one car maker poses a big threat as a substitute. 5. Competitive Rivalry. Highly competitive industries generally earn low returns because the cost of competition is high. The auto industry is considered to be an oligopoly, which helps to minimize the effects of pricebased competition.The automakers understand that price-based competition does not necessarily lead to increases in the size of the marketplace; historically they have tried to avoid price-based competition, but more recently the competition has intensified – rebates, preferred financing and long-term warranties have helped to lure in customers, but they also put pressure on the profit margins for vehicle sales. This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 22 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. (For further reading, check out Analyzing Auto Stocks. ) Key Links ? ? ? ? Ward's Automotive Reports – A popular publisher of automotive data.The Alliance of Automobile Manufacturers – Get the latest industry facts, developments, and technological innovations. Automotive Industries – A magazine covering several areas of the auto industry. US Council for Automobile Research – The umbrella organization of Daimler Chrysler, Ford and General Motors created to str engthen the technology base of the domestic auto industry. The Retailing Industry All businesses that sell goods and services to consumers fall under the umbrella of retailing, but there are several directions we can take from here. For starters, there are department stores, discount stores, specialty stores and even seasonal retailers.Each of these might have their own little quirks; however, for the most part the analysis overlaps to all areas of retailing. This section of the industry handbook will try to focus more on general retailers and department stores. (For background reading, see Analyzing Retail Stocks. ) Over the past couple decades, there have been sweeping changes in the general retailing business. What was once strictly a made-to-order market for clothing has changed to a ready-to-wear market. Flipping through a catalog, picking the color, size and type of clothing a person wanted to purchase and then waiting to have it sewn and shipped was standard practice. At the turn of the century some retailers would have a storefront where people could browse.Meanwhile, new pieces were being sewn or customized in the back rooms. In some parts of the world, the retail business is dominated by smaller family-run or regionally-targeted stores, but this market is increasingly being taken over by billion-dollar multinational conglomerates like Wal-Mart and Sears. The larger retailers have managed to set up huge supply/distribution chains, inventory management systems, financing pacts and wide scale marketing plans. Without getting into specific product categories within the retailing industry, the overall segments can be divided into two categories: ? Hard – These types of goods include appliances, electronics, furniture, sporting goods, etc.Sometimes referred to as â€Å"hardline retailers. † This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 23 of 65) Copyright  © 2010, Investopedia. com – Al l rights reserved. Investopedia. com – the resource for investing and personal finance education. ? Soft – This category includes clothing, apparel, and other fabrics. Each retailer tries to differentiate itself from the competition, but the strategy that the company uses to sell its products is the most important factor. Here are some different types of retailers: ? ? ? Department Stores – Very large stores offering a huge assortment of goods and services.Discounters – These also tend to offer a wide array of products and services, but they compete mainly on price. Demographic – These are retailers that aim at one particular segment. High-end retailers focusing on wealthy individuals would be a good example. Each of these has its own distinct advantages, but it's important to know how these advantages play out. For example, during tough economic times, the discount retailers tend to outperform the others. The opposite is true when the economy is t hriving. The more successful retailers attempt to combine the characteristics of more than one type of retailer to differentiate themselves from the competition. Key Ratios/Terms Same Store Sales: Used when analyzing individual retailers.It compares sales in stores that have been open for a year or more. This allows investors to compare what proportion of new sales have come from sales growth compared to the opening of new stores. This is important because although new stores are good, there eventually comes a saturation point at which future sales growth comes at the expense of losses at other locations. Same store sales are also commonly referred to as â€Å"comps. † Sales per Square Foot: Sales Square Footage Store space is considered to be a productive asset and the key to profitability. Successful companies generate as much sales volume as possible out of each square foot of store space.More recently, analysts have created modifications of this concept by looking at a re tailers' gross margin per square foot. Inventory Turnover: This ratio shows how many times the inventory of a firm is This tutorial can be found at: http://www. investopedia. com/features/industryhandbook/ (Page 24 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com – the resource for investing and personal finance education. sold and replaced over a specific period. Generally calculated as: Sales Inventory Cost of Goods Sold Average Inventory But, may also be calculated as: Although the first calculation is more frequently used, COGS may be substituted because sales are recorded at market value while inventories are usually recorded at cost.Also, average inventory may be used instead of the ending inventory to help minimize seasonal factors. This ratio should be compared against similar retail companies or the industry average. A low turnover might imply poor sales and, therefore, excess inventory. A high ratio implies either strong sales or ineffective buying from suppliers. (For related reading, see Consumer Confidence: The Consumer Confidence Index (CCI) is put out by the Consumer Confidence Board around the middle of each month. The Consumer Confidence Survey is based on a sample of 5,000 U. S. households and is considered to be one of the most accurate indicators of confidence. Increasing confidence means more spending and borrowing for consumers – a positive for retailers. To learn more about this measure, see Economic Indicators To Know: Consumer Confidence Index. ) Personal Income & Disposable Income: Every quarter, the Bureau of Economic Analysis releases the latest income data for U. S. citizens. There is a high correlation between retail sales data and the changes in personal income. (For more insight, see Economic Indicators: Personal Income and Outlays. ) Analyst Insight As we mentioned earlier, the store type and the strategy that retailers use plays a big role in how well the company perfo rms. The first thing to take a look at is what segment of the retail industry the company is situated in. Is the company a discounter? Department store? Specialty retailer?The retail category to which the company belongs also helps determine the following details about the company: ? Competitors – The number and size of direct competitors is important. Ideally, you want the company to have as little competition as possible, but this rarely happens. Determine who the direct competitors are and how they are all positioned in the market. A smaller regional discount store might find it tough to compete with new Wal-mart stores opening up every month. Take a look at the big picture, find out what differentiates the company from its competitors. Do they have better prices, service, or offer This tutorial can be found at: http://www. investopedia. om/features/industryhandbook/ (Page 25 of 65) Copyright  © 2010, Investopedia. com – All rights reserved. Investopedia. com â₠¬â€œ the resource for investing and personal finance education. ? ? higher quality goods than their competition? Grocery stores might find it hard to differentiate themselves from competitors: after all, an apple is an apple. Higher-end retailers, however, may have an easier time as they try to compete on service or quality. Size of the Market – Determining the overall size of the market gives us an indication of the potential for the market. If you had the choice between a company with a 25% share of a $10 million market or a 25% share of a $1 billion market, which one would you chose?Other Factors – Some analysts even go as far as evaluating the retail strategy that the companies use. For example, does the company have a fresh look? Are their stores clean, bright and fun to shop in? Swedish retailer Ikea has done an excellent job of designing their stores for visual appeal, and quite possibly it has equated to very strong sales. Also, what are the store demographics? Does the retailer appeal more to younger people (who don't have the money), or does it appeal to the parents (who do have the money). The performance of the economy as a whole obviously has a great impact on the retailing industry. Retailer profits have a close correlation with the overall performance of the economy.Looking at the trends for growth in gross domestic product (GDP), inflation, consumer confidence, personal income and interest rates are extremely important when thinking about investing in the retail industry. You might not think that your shopping habits are sensitive to interest rate fluctuations, but they are. While a 50-basis-point drop in interest rates might not give you the sudden inkling to go drop $1,000 at Macy's, for the economy as a whole, it has a big effect on spending patterns. (For more insight on this effect, see How Interest Rates Affe