Strategy Development IKEA

Strategy Development IKEA Introduction This report describes the vision of IKEA, the main internal and external factors affecting its strategy development based on the articles and information published in press affecting the socio-economic activities of organisations. The first part of the report is about the history of IKEA and the idea behind IKEA Group then we will discuss the companys social responsibility programmes and how it strives to take advantage of public relations. Afterward, we will move on the affects of internal and external factors influencing the companys strategy development and finally how IKEA has performed since 2005. The external factors show political, economical and social analysis affecting the IKEA Group. It helps readers easily see what the main factors that IKEA should consider in its strategy development are. The history of IKEA Mr. Ingvar Kamprad, the founder of IKEA has been in his own business since he was five. At age of five, he bought matches in bulk cheaply in Stockholm and re-sold them to his neighbours at a lower-price but he was still making profit. Thereafter, he expended his business to selling flowers and greeting card, Christmas tree decorations and also pencils and ball-point pens. In 1961, IKEA starts its first quality test on the products using Swedish testing standards. Since then the company has been engaging innovating, producing and creating quality products with the lowest prices. The idea IKEA, as it says on its website, has a simple but challenging idea â€Å"To create a better every day life for the many people.† The group tries to support this idea, vision, by offering a wide range of stylish home furnishing products at prices so low that everyone will be able to afford them. Developing and creating quality products at low prices is not an easy task. To meet this strategy, high quality at the lowest price, the company involves with diverse aspects of management, production process and also innovation. However, the group does not scarify everything to meet its targets, keeping prices low but not at any price. IKEA works in an industry where there are many rivals and stakeholders, new competitors come in to the market with diverse products and target customers. In such a market environment, it is not easy yet focal to monitor changes and predict what your competitors next step would be. We will discuss the factors that have an impact on IKEA later in the report. â€Å"We shall offer a wide range of well-designed, functional home furnishing products at process so low that as many people as possible will be able to afford them.† THE IKEA Business Idea Strategy Development Factors Furniture retail industry is a huge industry with numerous competitors. Hence, to achieve a considerable market share having innovative products based on customers needs and wants is crucial. Moreover, innovation should be based on a cost effective mind in order to keep the manufacturing process cost as low as possible. The External Factors There are internal and external factors (forces) influencing the development process on every manufacturer. External factors mainly known as political, legal, social/green, economic and competitive and technological forces are often seen by managers as forced factors, nevertheless they plan their strategies based on based forces. These external factors could restrict some industries while open new opportunity windows for others. Currently, there are two external forces that should be more considered in strategy development than others. These factors are social/green forces and economic forces. In recent years, countries and people are more conscious about the environment because of global warming problem. This indicates that companies should become more environmentally friendly and employ new green technologies to reduce their negative impacts on the environment. Going green helps organisations to show their public how responsible they are to the environment. IKEA has published some documents and reports on its official website to reflect its green activities. â€Å"Social and environmental responsibility is a prerequisite for doing good business. IKEA ´s sustainability direction is that â€Å"IKEA`s business shall have an overall positive impact on people and the environment†. The IKEA vision and business idea encourage the work with social and environmental responsibility.† Anders Dahlvig, President and CEO, IKEA Group It is important for firms to convince their customers about their activities and behaviour against different aspects of their activities such as sources of raw materials, production process and standards, etc. all these needs are forces by external forces through new legislations and campaigns. Therefore, IKEA like any other market player should consider reasonable response to such factors. In addition, Economic forces are other external factor affecting companies sales, profits and turnovers. Currently, the world economy is suffering huge problems and difficulties due to US credit crises and international credit crunch. The recent credit crises in the US has cause a recession in the US market where is the second main market place of IKEA1 in other words, due to the economic difficulties, the US customers are not willing to purchase new goods as same as before as they do not have enough money to afford it. Hence, the group should consider new strategies for the US market to not only keep its market share, also avoid any profit loss. Furniture retail industry like other industries needs innovation to survive and compete in perfect markets. Innovation is the key to design and produce new products at competitive prices. However, about 50% of new products are not successful and are failed for different reasons. A company like IKEA with powerful presence in international markets should always recognise new product and opportunities to produce new innovated successful products. The Internal Factors The internal factors that should be considered in strategy development are more focused on factors that are controllable and can be predicted. E.g. customer services, product promotion, etc. The group is planning to double its size and build 20 new factories in the next five years according to the group. This new expansion requires considerable strategies and plans to the groups targets. However, building new facilities do not guarantee the success of the business. The idea behind IKEA is to produce quality products at low prices that appeal to the most people as possible. To hit this target, the group needs innovation to produce competitive products in one hand; on the other hand, it should exploit new technologies to make the production lines more efficient. A report published by Jeanette Martens son there are serious problems concerning the store project cost follow ups. Moreover, he argues that the store project cost follow up is too inflexible and a deliberate deviation from the specifications has to be done in order to study costs for different items specifically. In addition to cost management, marketing strategies and advertising programmes are internal factors that should be planned and considered in the strategy development plan. 1- IKEA financial fiscal report published on the Internet IKEA since 2005 IKEA Group is a multinational company possessing 231 stores expanded 24 countries. The group has developed 45 trading service offices in 31 countries, together with31 distribution centres and 11 customer distribution centres in 16 countries. According to the financial figures published by the group, there is a steady rise in the sales figures, increased by 1.34% from 2005 to 2007, hit a new record of 19.8 billion euros in 2007. As the official figures illustrates, IKEAs main market places are Europe, North America with 82% and 15% respectively. Asia and Australia had only 3% of sales contribution in the same financial period. Nevertheless, China with 22% and Poland with 16% are the countries with higher purchasing figures. Italy with 8%, and Sweden and Germany both with 8% are other countries where customers were more interested in the products of the group. Apart from financial statistics, IKEA has business relationship with 1,350 suppliers in 50 countries. Moreover, the group has e mployed 96,300 people in Europe, 16,450 workers in North America and also 5,250 employees in Asia and Australia. Apart from the published financial data, the group has been trying to increase its corporate social responsibilities and become more environmentally friendly by become greener and also employing new technologies with the lowest negative impact on the environment. Furthermore, the company is concerned about sources of raw materials used in the production lines. IKEA code of conduct IWAY Showing responsibility for people and the environment is a prerequisite for doing good business. Thats why IKEA requires suppliers to comply with the companys code of conduct, â€Å"The IKEA Way on Purchasing Home Furnishing Products† (IWAY). IWAY defines in detail criteria relating to working conditions, minimum wages, overtime payments, the right to belong to a trade union, emissions to water and air, waste and chemical management, and bans on child labour and discrimination in the workplace. Conclusion In conclusion, planning a strategic development plan requires numerous considerations and aspects. Every strategy development plan includes two main factors, internal factors and external factors. The external factors are those factors that are not controlled by companies whereas the internal factors are controlled by companies. Furniture retail industry is a huge industry with its especial potentials. However, there are some factors in retail industries that have direct impact on sales and also future success of each member of retail industries. Economic influences are part of these motivations. IKEA Group, as a multi-national group should consider the current economic recession in the US as North America is its second major market place. Recent mortgage crises, credit crunch and economic recession have caused financial difficulties for US economy; hence, customers are not willing to buy new products as they cannot afford it. IKEA is considered as a dominant furniture retail market player in Europe and it is recognised as a serious competitor in North America market; nonetheless, IKEA is not recognised as a major market player in Asia and Australia according the groups official annual report. Therefore, theses markets should be targeted in the future development and marketing plans if IKEA looks for new customers from these regions and also higher turnover.

Tourism And Economic Growth Of Sri Lanka Tourism Essay

Tourism And Economic Growth Of Sri Lanka Tourism Essay 1. Tourism is a good business in modern world to attract foreign currencies and it gives a large number of occupations to the people. Modern tourist industry develops with various requirement or purposes of tourists like pleasure, business, education requirement, research and many some more other visit foreign countries during their vacations or winter seasons of their native countries. Because they expect to reduce their expenses and difficulties due to seasonal changes. 2. Thailand, Brazil, Singapore, Malaysia, India, Maldives and Indonesia are the most famous tourist destinations in modern world. Sri Lanka is also a world famous tourist destination and known as a Paradise Island in the world. Country size, geographical variation, climatic condition, cultural and heritage sites, natural environment and tourists expenses are the key facts to attract tourists to the country. 3. But this paradise Island suffered with a thirty years conflict situation and during that time tourist industry collapsed. Tourists rejected this Island with conflict environment because there have been many explosions in Colombo and suburban areas. As well most states labeled this country as non tourism destination for safer visits. As a result most tourists were attracted to other destinations like Fuket Island, Maldives and Thailand. 4. Tourist industry of Sri Lanka regenerated after the end of crisis environment of the country and started a new economic development programme since 2009. Giant infrastructure resources invested to boost the economy of the country. This miracle was started after the dawn under sustainable peace and political environment of the country. Foreign money is very important for these developments because economy development highly expects to attract foreign currencies under many ways like Foreign Direct investments, Aid, foreign occupations, tourism and loan facilities. 5. Sri Lanka is expecting to develop this country as a major tourist destination in Asia. Sri Lanka has various opportunities to achieve that goal like pleasure tourism, eco tourism, cultural and heritage sites, religious base tourism, business, education and facilitator as a centre of international transportations. But tourism sector need wide range resources and facilities to develop that as the main economic sector contributor. Present infrastructure development programme concerns to develop tourist sector requirements like international standard roads, hotels, urban areas, aviation and harbor sector developments. 6. International tourism is a giant business because it consists with large number of services and requirements. Tourists visit to take new experiences and pleasure from their visits. They do not expect complex legal procedures and restrictions from their destination places. In contrast tourist industry gains some big troubles to host country as sexually transmitted diseases, illegal drugs and social challenges. Therefore Sri Lanka needs to concern balance economic development through tourism in the future. AIM 7. The aim of this paper is to discuss the development of tourism industry and its contribution to develop the economy of Sri Lanka. IMPORTANCE AS A TOURIST DESTINATION 8. Tourist destination needs stronger opportunities to attract tourism easily because tourists expect different environments than their home or states. Natural splendour, scenic beauty, tropical climatic condition and historical sites increased the value of this island to tourists in all over the world. Also they can travel from different climatic conditions within 3 to 4 hours travel from any part of the country with the geographical size of the island. These factors are gaining additional value to their tours and to Sri Lanka to improvise tourism and countrys development. NATURAL VALUES OF SRI LANKA 9. Sri Lanka is a humid tropical island lying in the South Asian region to southwest of the Indian peninsula in the Indian Ocean. When considering the geography and topography of the island three height levels or erosion levels are recognized by their height and slope features. The first level is the largest of the three and extends from sea level to 270m above mean sea level. The Uplands or the second level extends from 270m to 900m above mean sea level and the Highlands or third level at 900 to 2420m. These height levels illustrated very valuable scenic beauty and climatic difference to the country. Most tourists attract this variation and they enjoying with these values during their visits. 10. The island has also been divided into four climatic zones based on rainfall. The Dry zone occupies less 60 per cent of the total land area of the country. Its annual rainfall is between 1250-1900 mm and its mean annual temperature ranges 27 to 30Â °C. It is characterized by monsoon forests and thorn scrublands. The Wet zone which covers approximately 23 per cent of the total land area, receives a rainfall of 2500-5000 mm per year. It consists of lowland evergreen forests, montane rain forests and semi evergreen rain forests. 11. The transition zone between the above two zones is known as the Intermediate zone where the annual rainfall varies between 1900-2500 mm. The two semi-arid zones in the South-east and North-west receive less than 1250 mm of rainfall per year. Climatic difference made wider environmental difference in the country. Therefore tourists can visit various natural environments with high variation of biodiversities. 12. Another most important natural value for tourism industry development is land portion of Sri Lanka because our motherland is small in size with only 65,610 square kilometers of land. Its significant variation in climate, topography and soil properties has given rise to a striking variety of forest types. It provide habitats for a wide diversity of faunal and floral species. In fact Sri Lanka is one of the eight Hottest Hotspots out of the 25 Biodiversity Hotspots of international significance and is ranked among the highest in Asia in terms of biodiversity per unit area. Tourist can visit through these environments because Sri Lanka provides enough facilities to watch sanctuaries, wildlife parks and forest reservoir areas after taking appropriate permissions to visits. This is a big experience for tourists because they can take most natural experiences from this tiny island. 13. Fifteen floristic regions have been recognized within the country and these diverse habitats have given rise to a corresponding wide range of natural vegetations including forests like Tropical wet evergreen forests, Tropical moist semi-evergreen forests, Tropical dry mixed evergreen forests, Tropical thorn forests, Savannahs, Riverine forests, Tropical lower Montana forests and Tropical Montana or cloud forests, grasslands, Dry Montana grasslands, Lowland grasslands, Wet villu grasslands, inland wetlands and coastal and marine habitats. Such natural values enhance the value of the country and this island world famous as one of the natural treasure of the world. HERITAGE VALUES 14. Sri Lanka is a rich country with heritage values with over 2500 years modern history and millions of years pre historic era. Most cultural and heritage values developed in the country with the influence of Buddhism and Hinduism. Sri Lanka consisted with big treasure of heritage sites and ancient constructions like Load Buddhas statues, stupas, tanks, other statues, wall paintings, cave paintings, stone carvings and religious places. Sri Lanka provides facilities to visit these heritage sites and tourists can take interesting experiences from these tours. 15. Tourists can visit ancient kingdoms like Anuradhapura, Polonnaruwa, Dambadeniya, Yapahuwa, Sigiriya and Kandy. As well Sri Lanka has number of colonial era constructions and architecture in various places and they can also see indigenous groups and their life styles if they travel to Dambana areas. Sri Pada or Adams peak, Anuradhapura Jaya Sri Maha Bodhi and Temple of Tooth relic are most important religious places of Sri Lanka and tourists can visits all these places with their interests. CULTURAL AND TRADITIONAL VALUES 16. Sri Lanka is a multi ethnic country and world most popular religious groups are living in the country. Therefore they can take experiences about the cultural and traditional differences of these communities. They can take experiences about customary food of Sri Lankans like rice and curry, hoppers, milk rice, roti, string hoppers, pittu, and kottu. They can take these experiences much easily because most local restaurants, hotels and smaller hotels provide wide range food for everyone. Furthermore tourist can buy any other cuisine from most tourist restaurants and hotels with their interests. 17. Sri Lankans celebrate various religious and cultural festivals throughout the year therefore tourists can take these experiences with seasonal celebrations like Sinhala and tamil new year, Wesak, posson and Esala festival, Christmas and new year celebrations when they visit to Sri Lanka. Esala procession and various other processions can be seen in Sri Lanka and it gains good experience for tourists because they can watch these cultural and traditional events without any payments. OTHER ENTERTAINMENTS 18. Visit to Sri Lanka provide various entertainment opportunities to tourists. They can enjoy their holidays with various attractive things like beach parties, club parties, music, bright sunshine, sea bathing and Ayurvedic treatments. Furthermore they can visit to watch whales, corals, diving events, boat trips, elephant orphanage, zoological and botanical garden. Tourist can visit to local shopping and they have opportunities to buy various attractive things like gems, handicrafts, dresses, duty free equipments and most local market items like fresh fruits, meats, fish, instant food and packet items. TOURIST DEVELOPMENT PROGRAMMES AND EFFECTIVENESS TO ECONOMIC GROWTH 19. Tourism industry is still developing after crisis environment. But large number of tourists attracted to this country after the crisis environment in 2009. Therefore tourist industry is boosted again with high potential in income ways and infrastructure development ways. Tourism sector development helped to develop countrys economy and economic development rate and it represents as a major foreign currency earning way of the country. a. Earn Foreign Money. Tourism sector directly helps to flow foreign money into the country. Tourism industry is a giant foreign income way because we can earn foreign money through providing tourist sector services to the guests and sale other type of goods and services to them. Sri Lanka earned over 213 million US dollars in 2001 from direct tourist sector services and it increase as 350 million US dollars in 2009 and 575 million US dollars income in 2010 and 645 million US dollars income in 2011. b. Develop Local Business and Tourist Sector Facilities. Tourist sector facilities also developed after the war. Large number of hotels and restaurants were closed and others depended with very low incomes during past two decades. Sri Lankan tourist sector survived in 2001 with 414 accommodations places included with 13,626 room facilities. This environment increased up to 783 accommodations with 14,714 rooms in 2010. This development helped to boost countrys economy as well we could provide food, spa services and other essential facilities to tourists through this industry and developed all these sectors during past few years. c. Attract Foreign Direct Investments. From the end of 2008 Sri Lankan economy displayed some positive attitudes again after few years. The FDIs inflow to the country in 2010 reveals that about 59 percent came into infrastructure development projects, manufacturing sector attracted 30.9 percent, service sector attracted 8.6 percent included with 2.7 for tourist sector and agriculture sector attracted 1.3 percent. China invest a large amount of financial in Sri Lankan land in tourism sector and Sri Lanka expects US dollor1.5 billion foreign direct investments through its first tourist city project. d. New Job Opportunities. Tourist industry consisted of wider job opportunities to Sri Lanka as direct and indirect job opportunities. This sector includes hotel field job opportunities, spa and saloon, guide and field services and transport sector job opportunities. Employment in tourist industry is represented 80,904 persons in 2001 and it increased up to 134,250 in 2011. Category 2001 2010 2011 Accommodations for Tourist 414 783 824 Employment of tourist Industry 80 904 132 055 134 250 Gross Tourist receipts (US dollars Million) 213 575 645 Annual room occupation rate (per cent) 42.1 70.1 71.8 Table 1: Tourism sector development 2001 to 2011. Source: Annual report 2011, Central Bank of Sri Lanka. TOURISM DEVELOPMENT AT PRESENT 20. Tourist industry has re-emerged after two decades under peaceful environment. Now most countries have removed their barriers for their citizens to visit Sri Lanka and they accept the present environment in Sri Lanka as an ideal country for tourism. Most tourist sector magazines and websites guaranteed our security environment and tourist sector services. As a result 654,476 tourists visited Sri Lanka during the year 2010 and it increased up to 855,975 arrivals in 2011. The tourist arrival has increased by 30.8 percent in 2011 than year 2010. 21. Nearly 85,874 tourists have visited in January 2012 and this trend continued until April 2012. Large numbers of tourists have arrived to Sri Lanka from European nations. They have been elected this country for their seasonal vacations after a very long time. Most of them highly appreciate about our hospitality, accommodations, our charges and new innovations in the industry. Sri Lanka could earn 830.3 million US dollar income through tourism industry in year 2012 and expect to increase tourist arrivals up to 1 million in this year. 22. Around 78.9 per cent of tourists arrived Sri Lanka to spend their holidays and most of them represent the middle income earners. Therefore, they spend little for additional purposes than their major purposes. Nearly 12.7 per cent visited Sri Lanka for business requirements and 5.4 per cent visited to met their relations and pals. Most tourists visit Sri Lanka to take more opportunities in visiting sites and engage in entertainments under effective budget. They have been attracted by our Ayurvedic treatments and spa services because they have to pay large amount in their countries for such services. Item 2001 2005 2010 2011 Tourist arrival for pleasure 300,545 382,321 516,538 Tourist arrival for business 22, 677 92,879 83,270 Tourist arrivals for other 13,572 74,108 54,668 Total Tourist arrivals 336,794 549,308 654,476 855,975 Table2: Tourist arrivals to Sri Lanka from 2001-2011. Source: Annual report 2011, Central Bank of Sri Lanka. GOVERNMENT EFFORT 23. Sri Lankan government has identified the requirements of tourist sector developments and has given priority to develop this country as a tourist destination. Under this programme the government has provided various facilities to tourists, tourist sector entrepreneurs and employees. Government has given much stronger support to these programme because it can use as major income of the country. a. Government has arranged giant hotel development programmes and attracted world largest hotel sector entrepreneurs to the country. b. Introduced new tourist destinations like Nilaweli, Arugam bay, Mirissa and reopened Kumana and other sanctuaries to tourists. c. Conducted international level promotion campaign to give publicity about Sri Lanka. This program conducted through diplomatic relationships. This programme was named as Visit Sri Lanka. d. Government has launched urban development programmes to construct major cities of the country to enhance tourism. These projects enhance the infrastructure facilities, tourist information premises, standard accommodations, leisure areas and important places of the each region. 24. Sri Lanka Tourist Board and Sri Lanka Tourism Development Authority are operating under the authority of Ministry of Tourism and these organizations helped to develop tourism in the country. The Sri Lanka Tourism Development Authority was formed under Section 2 of the Tourism ACT. SLTDA has provided several facilities to develop tourism in Sri Lanka. Ministry of tourism organized programmes to protect tourist industry and national values of the country with: a. All tourist sector services registered under the Tourist board and arranged limitations and standardization methods to enhance accommodations, restaurant, transportation and tourist guide facilities of the country. b. Manage and maintain tourist development programmes with the support of ministry of cultural and heritage. c. Banned illegal drugs, prostitutions and some alcohols in the environment of tourism industry. Sri Lanka police provide essential service and support to this program. Sri Lanka police has established special police unit to handle tourism related cases of the country. d. Tourist Board and Municipal Councils maintain Tourist information centers in all major cities of the island. 25. Sri Lanka expects to enhance tourism industry as the main contributor of our economy. Therefore we expect to attract 2.5 million tourists in 2016 and it will use to develop the economy of the country. Most infrastructures development projects help to enhance tourism sector of the country. Today our road network upgraded as international levels and local aviation systems also started to provide good service to tourists. Sri Lanka Air force and civil aviation authority provide good service to boost this programme. CHALLENGES AND THREATS FOR FUTURE TOURISM 26. Tourist industry of the country is developing with a rapid growth rate at present. Most accommodation and restaurant facilities comprehensively renewed to enhance tourism of the country. But we have been faced several issues in this sector with higher tourists arrivals. Comfortable accommodations and tourist board approved restaurants are not enough to handle the capacity of tourist sector. Number of new hotels and motels are constructing in everywhere of the country but we cant reach the goal in 2016 without expedited programmes in this sector. Our economic development goals are illustrated through these objectives, therefore we should be needed to catch these goals in correct time. 27. New tourist destinations need more accommodations, sanitations and restaurant facilities. Accommodations and restaurant facilities are very poor in northern region and new constructions are going under way. Therefore foreigners still do not visit to these areas. Sri Lanka is a maritime nation and most tourists like to spend in beach areas but our lifeguard services are not enough to provide good security to tourists who use our beaches and sea areas. As well Sri Lanka has beautiful inland water reservoirs but these resources cannot be used by anyone under lack of trainee personalities around those areas. 28. Prostitution and drug usage are other key issues in Sri Lanka. As well some tourists find sexual pleasure during their tours therefore these businesses are secretly arranged in Sri Lankan environment. Gay sexual participation is higher than female prostitutions because this method can be used without major problems under present legal process. Over 40,000 prostitutes and around 150,000 secrete prostitution members engage in this business. 29. Tourism industry is widely spread in most countries and numbers of regional countries provide remarkable facilities to foreigners. Thailand, Maldives, Singapore, Vietnam and India are key competitors in this region and they provide prostitution services to tourists and they have given relatively low cost packages to visitors. But we have faced big issues in this matter because Sri Lankan law enforcement, social environment, religious environment and health environment do not allow for prostitution in this country. Especially HIV infection is widely spread with prostitution, therefore this matter is a big challenge to the Sri Lankan environment. Sexual transmitted diseases and gambling have wide spreaded in tourist destinations and it will expand with new tourist destinations too. 30. Large number of persons engage to this massive business as Tourist guides or transport agents. But most of them engage in this giant industry without any professional qualification and it affected to gain many adverse results to Sri Lanka. This industry need professional persons in many fields like multiple language users, professional chefs, waiters, tourist lecturers and musicians to develop tourism in Sri Lanka. We can earn additional income through our cultural events and Ayurvedic treatments but the problem is most of these sector professionals are very rare in modern environment. SUMMARY 31. Sri Lanka is a great tourism destination and it is popular among Europeans since 12 Century. This industry developed in this country with three key factors like Sri Lanka is an authentic tourist destination, the country is a compact Island of 65610km and biodiversity and heritage spread is in a very widen range than other countries. As well this country is situated in a key position in international naval trade route and it can use to develop tourism industry. 32. Sri Lankan people, culture, spices food, gems, handcrafts, festival features, religious environments and adventure events increase the value for real tourism sector development. Sri Lanka is a key maritime nation and now we need to develop this country as economically developed country. Therefore we need to find suitable income ways and tourism industry is very important for that. Tourists highly interest to visit this island therefore we need to provide essential facilities and effective packages to enhance tourism industry. 33. Past dark years conflict environment adversely affected to tourism industry and it vigorously affected to decline economic development of the country. Sri Lanka survived with agriculture Corps since ancient history but now we need to develop with much stronger economic strategies. Therefore Sri Lanka needs to enhance tourism sector development with proper government mediations. 34. Over 800,000 tourist visited this country in 2011 and it continued in first quarter of 2012. In 2011 Sri Lanka earned 830.3 million US dollars through tourism and government expect to increase up to 1 million tourists visits in 2012. With the current accommodation facilities we can manage this target and now we need suitable expedited programmes to enhance tourist industry infrastructure developments in next two or three years. RECOMMANDATIONS 35. Government should be needed to mediate to solve tourism sector issues, especially in Sri Lanka tourism sector need large number of professionals in each fields. Therefore government should be needed to implement training and development programmes or standardization method to categories tourism sector employees as standard level. 36. Tourist Board can implement training programmes for tourist guides who work as beach boys or guides at present. This programme should be included registration system and need to issue standard identity card for them. This process is helping to increase talented job opportunities and it is effective to enhance the economy of the country. 37. Sri Lanka expects to earn foreign currencies through tourism therefore we need to standardize tourism sector price ranges and service values because tourists expect effective service during their visits. a. We can introduce proper billing method for accommodations. Under this we can implement suitable range of prices for each hotel classes. b. We can introduce proper local taxi services and tourist transport process to enhance countrys transport facilities for tourists. c. Ayurvedi spa services and medical facilities should be need to categories with proper ways. 38. Sri Lanka need 40,000 to 50,000 accommodation facilities to enhance tourism in next few years. Therefore government should be needed to provide additional facilities to attract new local and foreign investment to his sector. 39. Harbor and airport development programmes directly support to enhance our economy but we can earn additional foreign income with the development of tourism industry. Most international mariners and aviation industry professionals need accommodation facilities during their journeys therefore we can develop new tourism environment among these people. 40. Sri Lanka needs new law enforcement to develop tourism industry because most tourists visit this country for pleasure or joining with various entertaining events. We should be needed to provide some essential services like gambling and some alcohols to tourist under new formations. 41. Sri Lanka has a beautiful natural environment therefore we can market this resources through eco tourism development. Most foreigners are interested in spending their leisure with the natural environment. 42. Ayurvedic medicines and treatments are very important to enhance tourist attraction. Therefore we should be needed to introduce proper framework to provide correct ayurvedic treatments to tourists. B M A N V GUNATHILAKA CR Lieutenant Student Officer

Thomas Plantes Do the Right Thing Essay examples -- Personal Reflecti

This is paper is a personal reflection on the views reflected by Thomas Plante the author of Do the Right Thing. Living ethically in an unethical world. Thomas Plante interprets principled and ethical understanding into realistic life approaches. By use of his five moral mechanisms for making tough Life decisions Plante steers readers all the way through a step-by-step process for generating a individual fair foundation based on truthfulness, capability, individual responsibility, admiration, and consciousness of the interests of others. Readers are then coached on ways to apply this self-designed scheme and systems to hard-hitting life situation. For instance, it deals with intricate professional environments or situations, family and relationship choices and even private economic decisions. As a personal reflection this paper will give personal opinions, examples and day to day examples of the application of these ethical views. It will use examples of the different dilemma situati ons. Medical ethics is a system of well placed guidelines, rules and principles to guide the conduct and judgments of medical practitioners or personnel in their endeavor to practice medicine. In this case, there is a dilemma in a supposed unborn baby who apparently has a damaged brain. The dilemma involves whether to terminate or rather abort the baby or let him live and donate the organs to other deformed children. The family decides to let the baby live however the hospital has advances by declaring the baby’s brain dead and they need the body parts as part of the requirements for a required transplant. This is the dilemma behind this healthcare issue (Beauchamp & Childress, 2008). It is however important to note that brain damage is the actual de... ... We Really Want to Produce Good People? Journal of Moral Education, 16(3), 177-188. Noddings, N. (1988). An Ethnic of Caring and Its Implications for Instructional Arrangements. An American Journal of Education, (962), 215-230. Oman, D., & Thoresen, C. E. (2007). How does one learn to be spiritual? Westport, CT: Praeger/Greenwood. Peters, R. S. (1970) Ethics and Education. London. Allen & Unwin Pollack, J. (2007). Ethics in criminal justice: Dilemmas and decisions (6th ed.). Belmont: Thomson and Wadsworth. Walker, S., & Katz, C. M. (2008). The police in America: An introduction (6th ed.). New York: McGraw-Hill. Purpel , D. & Ryan, K. (1976). Moral Education. It Comes With Territory. Berkeley: McCutchman. Straughan , R .(1988). Can We Teach Children Good? Milton Keynes: Open University Press. Tom, A. (1984). Teaching as a Moral Craft. New York: Longman. . Thomas Plante's Do the Right Thing Essay examples -- Personal Reflecti This is paper is a personal reflection on the views reflected by Thomas Plante the author of Do the Right Thing. Living ethically in an unethical world. Thomas Plante interprets principled and ethical understanding into realistic life approaches. By use of his five moral mechanisms for making tough Life decisions Plante steers readers all the way through a step-by-step process for generating a individual fair foundation based on truthfulness, capability, individual responsibility, admiration, and consciousness of the interests of others. Readers are then coached on ways to apply this self-designed scheme and systems to hard-hitting life situation. For instance, it deals with intricate professional environments or situations, family and relationship choices and even private economic decisions. As a personal reflection this paper will give personal opinions, examples and day to day examples of the application of these ethical views. It will use examples of the different dilemma situati ons. Medical ethics is a system of well placed guidelines, rules and principles to guide the conduct and judgments of medical practitioners or personnel in their endeavor to practice medicine. In this case, there is a dilemma in a supposed unborn baby who apparently has a damaged brain. The dilemma involves whether to terminate or rather abort the baby or let him live and donate the organs to other deformed children. The family decides to let the baby live however the hospital has advances by declaring the baby’s brain dead and they need the body parts as part of the requirements for a required transplant. This is the dilemma behind this healthcare issue (Beauchamp & Childress, 2008). It is however important to note that brain damage is the actual de... ... We Really Want to Produce Good People? Journal of Moral Education, 16(3), 177-188. Noddings, N. (1988). An Ethnic of Caring and Its Implications for Instructional Arrangements. An American Journal of Education, (962), 215-230. Oman, D., & Thoresen, C. E. (2007). How does one learn to be spiritual? Westport, CT: Praeger/Greenwood. Peters, R. S. (1970) Ethics and Education. London. Allen & Unwin Pollack, J. (2007). Ethics in criminal justice: Dilemmas and decisions (6th ed.). Belmont: Thomson and Wadsworth. Walker, S., & Katz, C. M. (2008). The police in America: An introduction (6th ed.). New York: McGraw-Hill. Purpel , D. & Ryan, K. (1976). Moral Education. It Comes With Territory. Berkeley: McCutchman. Straughan , R .(1988). Can We Teach Children Good? Milton Keynes: Open University Press. Tom, A. (1984). Teaching as a Moral Craft. New York: Longman. .

Business trip :: essays research papers

It is highly recommended that company officials visit the countries to examine the markets where they are considering selling their products before any transaction occurs a company can familiarize itself with cultural nuances which may impact the design, packaging or advertising of the product. Moreover, traveling abroad allows one to locate and cultivate new customers, as well as improve relationships and communication with current foreign representatives and associates Typically, a successful business trip requires months of planning Proper Documentation Visas: Visas are required by many countries and cannot be obtained through the Office of Passport Services. They are provided by the foreign country's embassy or consulate in the United States for a small fee. The traveler must have a current U.S. passport to obtain a visa; many cases, a recent photo is required. The traveler should allow several weeks to obtain visas, especially if traveling to developing nations. It is important to note that some foreign countries require visas for business travel but not tourist travel. Therefore, when company representatives request visas from a consulate or embassy, they should notify the authorities that they will be conducting business. Business people should check visa requirements each time they travel to a ccountry because regulations change periodically. Contact an Export Assistance Center to learn about documentation requirements for the countries where you will be traveling. Vaccinations: Requirements for vaccinations differ by country. While there may not be any restrictions on direct travel to and from the United States, there may be restrictions if individuals travel indirectly, by stopping over in one country before reaching their final destination. Vaccinations against typhus, typhoid, and other diseases are advisable even though they are not required. The Center for Disease Control (CDC) maintains a fax-back system and a homepage to advise travelers of current and accurate country and region conditions. To receive a document dial 888-232-3299 and follow the prompts. The CDC internet address is http://www.cdc.gov. Foreign Customs: Since foreign customs regulations vary widely with each country, travelers are advised to learn in advance the regulations that apply to each country that will be visited. If allowances for cigarettes, liquor, currency, and certain other items, are not taken into account, they can be impounded at national borders. Business travelers that plan to carry product samples with them may be required to pay import duties. In some countries, duties and extensive customs procedures on sample products may be avoided by obtaining an ATA Carnet.

New England colonies :: essays research papers

The people who settled in the New England Colonies were the Separatist Puritans called Pilgrims and the New Englanders would come to prosper through their hard work, thrift, and the quality of their commitment to God and each other. The settlement pattern in New England Colonies during 1600 to first half of 1700 was designed in clustered housing and small agricultural fields. The king will give out land and the settlement set up will include a meeting house, a village commons, large open lots which is very large and it contains kitchens and places where animals are kept and agricultural highland. The highlands were beautiful fields divided into segments and planting and harvesting were done together as a family. Land preparation for farming and animal rearing was done using a method called girdling – tree killing. They will cut around each tree to stop nutrient from getting to the tree and the leaves will later felled down. They will now come back and cut the branches of the trees and burn the underbrush. Farmer starts plowing as the trees stumps decays and stones will be removed from the fields. Fields for farming are always small because of labor and there are boundaries between fields and the neighbors. The house or the farm was viewed as the workplace. And land given out to each family will be fenced to stop cattle from wandering off going into the farm areas. The land allocated to each family will show the family social status within the community. The towns developed individually and community involvement was given a great significant although the community was close knit. The society during the New England colonies comprises of different three social classes. The lowest in the social order is the slaves and were for the most part domestic servants, and they usually received mild and humane treatment, were instructed in religion and morals, and were not infrequently admitted to the family circle. The next class is the social ladder is the most numerous of all, comprised the traders, shop-keepers, and small farmers. Most people in this class were moderately educated, religious, comfortable and wealthy. The uppermost class comprises of the ruling class, which in New England includes the clergy, magistrates, college professors, and other professional men. The government in New England is divided into three bodies: The governor, the council and the Assembly. The Governor was appointed by the Crown - The governor represented the Crown directly.

Essays Solution

Workshop 3 Interest Rates and Bond Valuation Terminology †¢Face value/par value – the original issue price (the amount borrowed). †¢Maturity date – date on which loan has to be repaid. †¢Coupon interest rate – original interest rate on the bond. †¢Coupon payment – the fixed interest payment on the bond. †¢YTM=required rate of return. ?Bonds pay fixed coupon payments at fixed intervals and the face value at maturity. ?there is an inverse relationship between the price of an investment and the rate of return on the investment – if you pay a higher price for an investment your rate of return must be lower (holding all other factors constant)) ?If the YTM = coupon rate the bond will sell for the face value (i. e. current price = face value). ?If the YTM > coupon rate the bond will sell for a discount (yield goes up, price goes down). If the YTM < coupon rate the bond will sell for a premium (yield goes down, price goes up). Disc ussion 1. Identify the three most important determinants of the price of a bond. Describe the effect of each? Answer The three factors affecting the price of a bond are – coupon – yield – term to maturity. T > The relationship between price and coupon is a direct one – the higher the coupon, the higher the price. The relationship between price and yield is an inverse one – the higher the yield the lower the price, all other factors held constant. The relationship between price and maturity is not so clearly evident. Price changes resulting from changes in yields will be more pronounced, the longer the term to maturity. 2. Given a change in the level of interest rates, discuss how two major factors will influence the relative change in price of individual bonds. AnswerFor a given change in the level of interest rates, two factors that will influence the relative change in bond prices are the coupon and maturity of the issues. Bonds with longer matur ity and/or lower coupons will have the greatest price changes in response to a given change in interest rates. Other factors likewise cause differences in price volatility, including the call features, but these factors are typically much less important. 3. What is the purpose of bond ratings? Answer Bond ratings provide a very important service in the market for fixed income securities because they provide the fundamental analysis for thousands of issues.The rating agencies conduct extensive analyses of the intrinsic characteristics of the issue to determine the default risk for the investor and inform the market of the analyses through their ratings. 4. What are the important assumptions made when you calculate the promised YTM? Answer The most crucial assumption that the investor makes is that cash flows will be received in full (i. e. investors hold the bond to maturity) and reinvested at the promised yield. 5. You expect interest rates to decline over the next 6 months.What kin d of bonds do you want in your portfolios in term of duration and explain your reasoning for this choice. Answer Given that you expect interest rates to decline during the next six months, you should choose bonds that will have the largest price increase, that is, bonds with long durations. 6. Which of the following bonds will have the greatest percentage increase in value if all interest rates decrease by 1 percent? a. 20-year, zero coupon bond. b. 10-year, zero coupon bond. c. 20-year, 10 percent coupon bond. d. 20-year, 5 percent coupon bond. AnswerSince a zero coupon bond’s price today is determined just by the NPV of its par value, all of its payment is discounted for the maximum amount of time, whereas a coupon bond has many payments discounted for less than the maximum amount of time. Therefore, a zero coupon bond is most affected by interest rate changes. So, the longest zero coupon bond is the correct answer, which is statement a. 7. Which of the following statements is most correct? a. All else equal, long-term bonds have more interest rate risk than short-term bonds. b. All else equal, high-coupon bonds have less reinvestment rate risk than low-coupon bonds. . All else equal, short-term bonds have less reinvestment rate risk than do long-term bonds. d. All of the statements above are correct. Answer Statement a since high-coupon bonds have more reinvestment rate risk than low-coupon bonds and short-term bonds have more reinvestment rate risk than do long-term bonds. Problems 1. Two years ago you bought a government bond for $1,000 because you liked the 10% p. a. coupon interest payment that you would receive for 10 years. Interest on the bond is paid annually. Two years later, when the market interest rate has fallen to 8% p. a. what is the value of your bond? SolutionSince coupon rate is 10% and YTM has fallen to 8%, it must be the case that the price of this bond has increased (remembering the inverse relationship between bond price and yie ld). 2. The Morgan Corporation has two different bonds currently outstanding. Bond M has a face value of $20,000 and matures in 20 years. The bond makes no payments for the first six years, then payS $800 every six months over the subsequently eight years, and finally pays $1,000 every six months over the last 6 years. Bond N also has a face value of $20,000 and a maturity of 20 years; it makes no coupon payments over the life of the bond.If the required return on both these bond is 8 percent compounded semiannually, what is the current price of bond M? and bond N? Solution The price of any bond (or financial instrument) is the PV of the future cash flows. Even though Bond M makes different coupons payments, to find the price of the bond, we just find the PV of the cash flows. The PV of the cash flows for Bond M is: PM = $800(PVIFA4%,n=16)(PVIF4%,n=12) + $1,000(PVIFA4%,1n=2)(PVIF4%,n=28) + $20,000(PVIF4%,n=40) PM = $13,117. 88 Notice that for the coupon payments of $800, we found th e PVA for the coupon payments, and then discounted the lump sum back to today.Bond N is a zero coupon bond with a $20,000 par value; therefore, the price of the bond is the PV of the par, or: PN = $20,000(PVIF4%,40) = $4,165. 78 3. Bond P is a premium bond with a 9 percent coupon. Bond D is a 5 percent coupon bond currently selling at a discount. Both bonds make annual payments, have a YTM of 7 percent, and have five years to maturity. What is the current yield for bond P? for bond D? if interest rates remain unchanged, what is the expected capital gains yield over the next year for bond P? for bond D? Explain your answers and the interrelationship among the various types of yields.Solution To find the capital gains yield and the current yield, we need to find the price of the bond. The current price of Bond P and the price of Bond P in one year is: P:P0 = $90(PVIFA7%,5) + $1,000(PVIF7%,5) = $1,082. 00 P1 = $90(PVIFA7%,4) + $1,000(PVIF7%,4) = $1,067. 74 Current yield = $90 / $1,082. 00 = . 0832 or 8. 32% The capital gains yield is: Capital gains yield = (New price – Original price) / Original price Capital gains yield = ($1,067. 74 – 1,082. 00) / $1,082. 00 = –0. 0132 or –1. 32% The current price of Bond D and the price of Bond D in one year is:D:P0 = $50(PVIFA7%,5) + $1,000(PVIF7%,5) = $918. 00 P1 = $50(PVIFA7%,4) + $1,000(PVIF7%,4) = $932. 26 Current yield = $50 / $918. 00 = 0. 0545 or 5. 45% Capital gains yield = ($932. 26 – 918. 00) / $918. 00 = 0. 0155 or 1. 55% All else held constant, premium bonds pay a high current income while having price depreciation as maturity nears; discount bonds pay a lower current income but have price appreciation as maturity nears. For either bond, the total return is still 7%, but this return is distributed differently between current income and capital gains.

Demographic Factors Research

Running head: DEMOGRAPHIC FACTORS RESEARCH Demographic Factors Research University of Phoenix MMPBL 560 Managing in a Cross-Cultural Environment October 19, 2009 Organizations around the world are experiencing the effects of cultural and global diversity. Kellogg, Starbucks, McDonald’s, and Arbor are four companies introduced in this paper. They have been researched in order to identify how each company is affected by demographic factors, how these factors are managed, and what systems are implemented to enhance the success of the business; thus, this paper illustrates the key course concepts and their application to the best practices of these companies. The dynamics and dimensions of diversity in an increasingly global business environment can challenge the demographic factors of most organizations. Basically, Kottak and Kozaitis (2003) declare, â€Å"In the 21st century, the overwhelming majority of the world's population, along with a large percentage of the populations of the United States and Canada, will be descendants of the non-Western groups† (Ch. 1, p. 29). In other words, organizations will need to learn how to manage the complexities of a diverse workforce. Among these complexities, organizations will encounter demographic factors such as age, race, education level, religion, political party preference, sexual orientation, and gender (Kottak & Kozaitis, 2003). Because of these diverse factors, organizations need to be prepared to recognize the individuals’ behavior that is influenced by culture, values, and beliefs. To illustrate, culture refers to people’s identity in their traditions, customs, and way of life (Kottak & Kozaitis, 2003). In fact, Kottak and Kozaitis (2003) declare that culture is all encompassing. In essence, it is important for organizations to know that individuals are influenced by popular culture as well. Therefore, individuals in a diverse workplace need to understand and respect each other’s differences. It is not enough to know that the workplace is composed of people with different views in life, values, and attitudes. Kottak and Kozaitis (2003) state that â€Å"Ethnic diversity may be associated with positive group interaction and coexistence or with conflict† (Ch. 5, p. 12). Knowing that diversity can be beneficial to the organization will help management integrate appropriate value systems within the company. However, in the event that conflict exists as a result of diversity, management would need to consider alternative best practices to address the organizational conflict. Given the complexities of a diverse workforce, organizations need to examine constantly alternative solutions to help them manage the demographic factors within the company. Kottak and Kozaitis (2003) declare that â€Å"Failure to achieve an accurate account and appreciation of a race-based group of people results in racism† (Ch. 6, p. 3). Certainly, organizations need to mitigate any potential and undesirable outcomes that can negatively affect the reputation and profitability of the business. To put it differently, â€Å"The great sociopolitical paradox of the contemporary world is that both integration and disintegration are increasing† (Kottak & Kozaitis, 2003, Ch. 3, p. 5). In addition, globalization is contributing to the workforce diversity around the world, and organizations are continually being challenged to learn new ways to manage these changes. Organizations are not only challenged with internal changes but also with external forces such as economic and political factors. The importance of understanding the presence and influence of diversity that affect the contemporary American culture can prove enormously beneficial for any organization. In effect, organizations need to learn how to effectively manage the effects of demographic factors involving their planning and decision making in motivating and rewarding individuals (Kottak & Kozaitis, 2003). Consider for instance, Kellogg started its business more than 100 years ago and has quickly expanded into new geographies, leading to a stead fast growth plan that provided them with a global business, which still stands strong today. While remaining a superior global food company, Kellogg’s management realized that they had to have the strongest possible resources to support their business growth in a diverse and competitive environment (Kellogg, 2009). Likewise, Starbucks is managing its competition challenges; the current economic conditions are factors that Starbucks needs to consider in order to market the new products to preserve its clientele and bring in new customers. Hence, Starbucks is wise to use the four P’s model; Price, Product, Place, and Promotion, to determine the course of action best suited to stay ahead of the competition. To be clear, both Kellogg and Starbucks are managing the effects of postmodernity; that is, â€Å"postmodertnity describes our time and situation—today's world in flux, with people on the move who have learned to manage multiple identities depending on place and context† (Kottak & Kozaitis, 2003, Ch. p. 29). To manage the influence of postmodernity within the context of demographic factors, Kellogg and Starbucks are implementing strategic approaches to aid them in their success involving global and cultural diversity. For example, Kellogg committed itself to developing a comprehensive and ground-breaking supplier diversity program. This program was to cultivate strategic procurement relationships with W/MBE-owned, controlled and operated businesses while supplying products and services Kellogg purchased; this would allow them to foster the growth of their business while marketing the long-term growth of Kellogg (Kellogg, 2009). Similarly, Starbucks expanded the menu to include products to target non-coffee drinkers, with the introduction of blended or iced cold coffee drinks, frappuccino’s, lattes, mocha’s, and teas. Starbucks creatively integrated a diverse menu consisting of bold aromas to creamy sweet flavors, attracting a range of customers to Starbucks at various times and for various reasons. Starbucks’ intention to satisfy the demographic factors has prompted management to add items on the menu for anyone willing to try; among them, Professionals heading to an early morning meeting needing a â€Å"stout† cup of coffee, housewives stopping for a late morning latte with friends after dropping the children at school and the high school and college students in search of Wi-Fi connection and snack (Kembell, 2002). Another company that has continued to strive for cultural adaptability in a diverse global environment is McDonald’s. This company is an organization that can be found in every country, servicing nearly 47 million customers around the world. Because of McDonald’s unique demographic factors, managers are trained through a comprehensive Management Development Program. This program encompasses McDonald’s core values and principles along with the dedication to serve customers, the community, and employees (McDonald’s, 2009). One of the demographic factors affecting McDonald’s management planning involves the aging population in Australia. In other words, McDonald’s management is challenged with having to change its marketing approach in order to reach the newly identified groups (Monash University, 2009). Similar to Kellogg and Starbucks, McDonald’s management is searching for effective systems to help aid the company in addressing the increasing changes in demographics. Fortunately, McDonald’s continues to find strength on its business models in which McDonald’s management is â€Å"committed to exceeding [†¦] customers' expectations in every restaurant every time† (McDonald’s, 2009). Accordingly, McDonald’s management recognizes that the company’s core values go beyond demographics, for this reason, McDonald’s philosophy declares, â€Å"We will seize every opportunity to innovate and lead the industry on behalf of our customers† (McDonald’s, 2009). Effectively, the best practices of McDonald’s, Starbucks and Kellogg demonstrate the dedication and commitment to learn and adopt successful systems that will help them serve customers regardless of demographic factors. Unquestionably, these organizations need to also integrate rewards and motivation systems to help them sustain a diverse workforce anywhere in the world. For example, Arbor Education and Training is a leading provider of workforce development services to job-seekers, workers, employers, and communities nationwide (Arbor E & T, 2009). Arbor employees come from many different walks of life, employees of all ages, religions, and other factors; these employees are treated equally within the organization in decisions concerning rewards and performance. Kottak and Kozaitis (2003) state that â€Å"Cultural diversity refers to variation in institutions, traditions, language, customs, rituals, beliefs, and values† (Ch. 4, p. 6). In summary, organizations are required to continually scan their business environment in order to identify the challenges that come with a diverse workforce. Overall, Kellogg, Starbucks, McDonald’s, and Arbor are challenged with cultural diversity, yet each company is finding the way to integrate successful best practices in the workplace. As noted, the dimensions of diversity in relation to each demographic factor play a crucial role in how Kellogg, Starbucks, McDonald’s, and Arbor cope with the increasing changes of the business environment. Accordingly, the practices of these companies serve to address the presence of a diverse workforce in a constantly changing society. Synopsis of Kellogg by Wendy Harris Kellogg Company, a company with many competitive advantages in global communications, started its company more than 100 years ago and quickly expanded into new geographies. With a stead fast growth plan that provided them with a global business which still stands strong today. While remaining a superior global food company, Kellogg Company realized that they had to have the strongest possible resources to support their business growth. A great deal of that strength was acquired through raw materials and other products and services from the widest and best foundation of resources. During the building process, Kellogg Company committed itself to developing a comprehensive and ground-breaking supplier diversity program. This program was to cultivate strategic procurement relationships with W/MBE-owned, controlled and operated businesses while supplying products and services Kellogg purchased; this would allow them to foster the growth of their business while marketing the long-term growth of the Kellogg Company. Kellogg’s code of conduct, their management staff is required to hold certain employees to special responsibilities under the Code. Kellogg believes it’s their managers’ responsibility to create and maintain a work environment in which all employees and agents know that ethical and legal behavior is expected of them at all times. Each manager is expected to model the highest standards of ethical business conduct and encourage discussion of the ethical and unethical as well as the legal implications of business decisions. It is the mangers responsibility to make sure that anyone needing additional information in an effort to do his or her job receives appropriate policies and training. It is the managers’ responsibility not to hire or retain any employee or agent who they feel may engage in unlawful conduct or unethical activities. In 2005, Kellogg incorporated an awards program called the W. K. Kellogg Values Award, which is given annually to one individual and one team of employees who best exhibit the K Values while working. This program initiated to support their code of conduct as well as the company’s mission. Synopsis of Starbucks by Colleen Holdahl Young urban professionals consuming specialized coffees were the first to patronize Starbucks. Today the popular coffee chain attracts 25 million people each week and draws a large demographic of patrons varying in age and ethnic backgrounds (Hanft, 2005). The most common customer Starbucks attracts is of course, the coffee drinker, yet the company expanded the menu to include products to target non-coffee drinkers, with the introduction of blended or iced cold coffee drinks, frappuccino’s, lattes, mocha’s, and teas. With the presence of bold aromas to creamy sweet flavors, a range of customers are frequenting Starbucks at various times and for various reasons. Starbucks has items on the menu for anyone willing to try: Professionals heading to an early morning meeting needing a â€Å"stout† cup of coffee, housewives stopping for a late morning latte with friends after dropping the children at school and the high school and college students in search of Wi-Fi connection and snack (Kembell, 2002). Adding new products is a challenge as Starbucks must consider many factors. For example when the new Creme Frappuccino was created, Starbucks took into consideration the demographic areas to launch the drink, the market to target, and the packaging of the new product. Introducing the Creme Frappuccino, Starbucks faces a competition that the company has not previously experienced, with competitors imitating the Creme Frappuccino. Competition and the current economic condition, both are factors Starbucks needs to consider how to market the new products to preserve current patrons and bring in new customers. Starbucks is wise to use the four P’s model; Price, Product, Place, and Promotion, to determine the course of action, best suited to stay ahead of the competition. Emotions are potent internal influences described by Hawkins, Mothersbaugh, and Best (2007) as â€Å"strong, relatively uncontrollable feelings that affect behavior† (p. 364). Starbucks is in a controversy over the supposed injustice and treatment toward coffee growers in Ethiopia. The controversy deals with negative emotions of customers, due to the report that Starbucks deprives the Ethiopian growers of $90 Million annually by opposing the Ethiopian government’s efforts to trademark three locally grown coffee beans (Economist, para. ). The Creme Frappucino gives Starbucks an opportunity to offer a guilt-free alternative to non-coffee drinkers or patrons who oppose the Ethiopian controversy, during the time the legal and public-relations situation is in transition. Synopsis of McDonald’s by Marisela Jimenez McDonald’s is an organization that can be found in every country, servicing nearly 47 million customers around the world. Because of McDonald’s unique demographic factors, managers are trained through a comprehensive Management Development Program. This program encompasses McDonald’s core values and principles along with the dedication to serve customers, the community, and employees (McDonald’s, 2009). Hence, the demographic factors affecting McDonald’s vary from each country, yet management understands that by following McDonald’s philosophy, their planning can help mitigate the effects of each demographic factor. To illustrate, some of the demographic factors affecting McDonald’s management planning involves the aging population in Australia, the decline in birth rate, the changing family, the increase in ethnic diversity, and the population growth. In other words, McDonald’s management is challenged with having to change its marketing approach in order to reach the newly identified groups (Monash University, 2009). To address this organizational conflict involving the demographic factors, McDonald’s management focuses on its services and products. Accordingly, McDonald’s management is trained to approach each conflict with honesty and integrity (Monash University, 2009). Not only is McDonald’s management keeping up with the rapid demographic changes, they are also continuing to manage conflict by remaining committed to their principles. This means that McDonald’s management is â€Å"committed to exceeding [†¦] customers' expectations in every restaurant every time† (McDonald’s, 2009). Fundamentally, McDonald’s best practices on dealing with organizational conflict are strongly carved on its philosophy; that is â€Å"We will seize every opportunity to innovate and lead the industry on behalf of our customers† (McDonald’s, 2009). Hence, McDonald’s management recognizes that their focus is every customer, regardless of age, ethnicity, sex, and location. McDonald’s is an organization that understands how to motivate and reward people. Consider for instance, McDonald’s has what is called People Promise. This means that McDonald’s promises to â€Å"value each and every employee, their growth and their contribution – every day in every way† (McDonald’s, 2009). McDonald’s managers recognize and respect each employee; each employee is empowered and coached. This organizational practice is found in every McDonald’s around the world, for this reason, McDonald's prides itself on offering â€Å"more than a pay check to our employees. Our Crew members enjoy flexible schedules, paid training and the chance to have fun working with friends while learning valuable life skills† (McDonald’s, 2009). Synopsis of Arbor E&T by Eduardo Mata Arbor Education and Training (Arbor E & T) is a company with offices throughout the United States and have a very diverse workforce that demonstrates a unique demographic factor. Arbor Education and Training is a leading provider of workforce development services to job-seekers, workers, employers and communities nationwide (Arbor E & T, 2009). Arbor employees come from many different walks of life, employees of all ages, religions, and other factors and these employees are treated equally within the organization when it comes to decisions concerning rewards and performance. Founded in 1968, Arbor E&T is now the largest single supplier of job-related education, counseling and employment assistance under federally funded programs such as the Workforce Investment Act and the Temporary Assistance for Needy Families programs (Arbor E & T, 2009). Management planning for many of its customers receiving federally funded assistance requires that certain guidelines are followed and because of being federally funded and services provided must meet the customer’s requirements and expectations along with the government regulations. Arbor E & T provides services to a wide variety of customers seeking employment, education or training and also provide excellent services to migrant and seasonal farm workers and United States Veterans seeking employment and other services. Training is provided to the entire workforce in providing the best services possible to each group. Arbor management is committed to providing the leadership, training, and resources required to enable our employees to consistently adhere to regulatory requirements, to tirelessly seek improvement of our processes, and to continue to provide world-class services to all of our customers. We are dedicated and caring people who form a company providing excellent human services that enhance the lives of individuals. The company rewards its employees based on employee performance and whether their goals were met for the preceding year. As found in Arbor E & T (2009): Our goal is to be known by our clients and by the workforce development community as the leading provider of services in the markets we serve, i. e. , One-Stops, TANF, youth, early childhood education, and vocational training programs. Our quality management system is a critical element of our effort to achieve this goal. † References Arbor. (2009). Arbor education and training. Retrieved October 17, 2009 from http://w ww. arboret. com/ Hanft, Adam. (April 1, 2005). What you can learn from starbucks. Retrieved October 13, 2009 from http://www. inc. com/resources/marketing/articles/20050401/starbucks. html. Hawkins, D. , Mothersbaugh, D. and Best, R. (2007). The Economist. Consumer behavior: building marketing strategy. Retrieved October 13, 2009 from http://highered. mcgraw- hill. com/sites/0073101370/information_center_view0/revision_changes. html. Kellogg Company. (2009). Kellogg company. Retrieved October 17, 2009, from http://www2. kelloggs. com/General. aspx? ID=466 Kellogg Company. (2003). We act with integrity and show respect in everything we do. Retrieved from http://files. shareholder. com/downloads/K/749861120x0x196418/ ec25a03a-7081-450d- a942-16ee7ad2ee1b/GlobalCodeofEthic. df Kembell, B. (April 2002). Catching the starbucks fever: starbucks marketing strategy. Missouri State University. Kottak, C. P. , Kozaitis, K. A. (2003). On being different: diversity and multiculturalism in the north american mainstream. (2nd ed. ). New York: The McGraw-Hill Companies. McDonald’s. (2009). Our story. [Online]. Available: http://www. mcdonalds. ca/en/aboutus/index. aspx (2009, O ctober 16). Monash University. (2009). Briohny’s report. [Online]. Available: http://www. monash. edu. au/lls/llonline/writing/business-economics/marketing/3. 3. 2. xml (2009, October 16). | |MMPBL/560 Demographic Factors Research Rubric | |Week 2 | | | | | | | |Criterion |Unsatisfactory |Satisfactory |Exceptional |Score | |Knowledge of Course Concepts (40%) | |Describe the Effects of Demographic|Demonstrates a level of knowledge|Demonstrates a level of knowledge |Demonstrates a level of knowledge that |2. 00 | |Factors on Management Planning. that is below the requirement |that meets the requirement |meets or exceeds the requirement and is | | | | | |well supported | | |Analyze the Role Demographic |Demonstrates a level of knowledge|Demonstrates a level of knowledge |Demonstrates a level of knowledge that |1. 33 | |Factors Play in Contributing to |that is below the requirement |that meets the requirement |meets or exceeds the requirement and is | | |Organizational Conflict. | |well supported | | |Examine the Influence of |Demonstrates a level of knowledge|Demonstrates a level of knowledge |Demonstrates a level of knowledge that |1. 33 | |Demographic Factors on Individual |that is below the requirement |that meets the requirement |meets or exceeds the requirement and is | | |Rewards and Recognition. | | |well supported | | |Research (20%) | |Provide Benchmark Research on |The benchmarked companies’ |The benchmarked companies’ |In addition to meeting the requirements of|  2. 0 | |Organizational Applications of |situations do not relate to the |situations relate to the course |satisfactory, the benchmarked companies’ | | |Course Objectives |course concepts, or are not |concepts and are researched from |situations provide a thorough coverage of | | | |researched from academic or trade|academic or trade publication |course objectives | | | |publication sources |sources. The score is ranged | | | | | |between satisfactory and | | | | | |exceptional. | | | |Critical Thinking (15%) | |Demonstrate Critical Thought in |Does not demonstrate critical |Demonstrates critical thought in |In addition to meeting requirements of |1. 0 | |Analyzing Information |thought in the analysis of the |analyzing the information by |satisfactory, synthesizes information | | | |information, or analysis is |presenting various perspectives on|across concepts effectively | | | |disjointed |the concepts | | | |Written Communication (15%) | |Demonstrate Quality and |Written communication is |Written communication is effective|In addition to meeting requirements of |2. 5 | |Effectiveness in Written |ineffective, with numerous | |satisfactory, the paper is engaging to the| | |Communication |spelling and grammatical errors | |reader with concise and clear | | | |or poorly constructed sentences | |communication | | |Format, Style & Citation Standards (10%) | |Adhere to University of Phoenix |Numerous errors in format, style,|Few errors in for mat, style, or |Virtually no errors in format, style, or |1. 25 | |Writing Style (APA) Requirements |or reference citation |reference citation |reference citation | | |Final Score==> |12. 1 | | | |Team B, | | | |The overall submission was interesting and well written. The concept of management planning was thoroughly researched and discussed. All of the companies clearly | |described the organizational conflict except for Arbor and Starbucks omitted the section on research and recognition. All of the companies were demonstrated as | |benchmarked companies that addressed the concepts; however, in some instances a piece was omitted. The score was reduced under critical thought because only | |comparisons were addressed and not all concepts were covered. The written communication was well done and only a minor APA formatting issue was noted. Your research | |section as the instructor’s plagiarism checker noted consisted of an 13% plagiarism rate. The instructor’s plagiarism checker also checks past student papers, as well| |as a more thorough Internet search. Not everyone turned in their team evaluation; however, by the way it looks everyone participated equally in the group. Good | |work! | | |