Security in Wireless Protocols Essay Example | Topics and Well Written Essays - 750 words

Security in Wireless Protocols - Essay Example Some of these risks are similar to those of wired networks; some are aggravated by wireless connectivity; some are new. The important basis of risks in wireless networks is that the medium, the atmosphere, is open to all including the malicious intruders. Maintaining a secure wireless network is a continuous task that needs better effort than that needed for other networks and systems (Karygiannis and Owens, 2002). 802.11 standards: The Institute of Electrical and Electronics Engineers (IEEE) in the year 1997 created the first WLAN standard and it was named 802.11. However, soon the disadvantage of using 802.11 came up and it was found that 802.11 only supported a maximum network bandwidth of 2 Mbps. As a result the data transfer was too slow for most applications (Mitchell, 2008). Concerning the security aspect, 802.11 use the shared secret key and this in turn helps a hacker decrypting any of the 802.11 frames. Normally 802.11 dont supply any functions that support the exchange of keys among stations. Because of that, system administrators and users usually use the same keys for weeks and even months together. This gives malicious offenders ample of time to observe and hack into WEP-enabled networks (Geier, 2002). The IEEE 802.11 specification recognized many services to offer a safe operating background. The protection services are offered mainly by the Wired Equivalent Privacy (WEP) protoc ol to secure link-level data during wireless transmission between clients and access points. WEP does not provide total security, except only for the wireless portion of the connection. RC4-based stream encryption algorithm is used for confidentiality, verification, and integrity (Karygiannis and Owens, 2002). 802.11b: As the technology advanced IEEE expanded on the original 802.11 standard in July 1999 and created the 802.11b specification. It was found that 802.11b supports high bandwidth up to 11 Mbps when compared to traditional Ethernet. Similar to 802.11, 802.11b

Kilarjian v. Vastola Essay Example for Free

Kilarjian v. Vastola Essay Plaintiff’s contended that the difference in the financing costs they experience because of the delay should be presented as damages because the breach by defendants will result in a higher financing cost. Also, plaintiffs strongly stress the breach of contract because they suffered costs and attorney’s fees as well as financing costs for the delay in acquiring a second mortgage obligation; Defendant’s delay should be calculated as damages for plaintiffs. On June 15, 2004, plaintiffs real estate attorney forwarded a time-of-the-essence letter to defendants, setting a closing date of June 25, 2004. Defendants failed to close and are not willing to close on the property. Defendants do not dispute the weight of the contract. However, Mrs. Vastolas spinal muscular atrophy (SMA) began to accelerate. In defense of their position, defendants provided a letter from Mrs. Vastolas doctor, Mark J. Brown, which explained that SMA is a progressive neurological condition that, as a result, disables her from all daily activities because of her arms and legs are weak which results in putting Mrs. Vastola in no condition to sell her house and move. Correspondingly the defendants argue that since the time they signed the contract for the sale of the home, Mrs. Vastola’s conditions become increasingly worse, should excuse the performance in proceeding with the sale of their house. Besides the plaintiffs were well aware of Mrs. Vastola’s condition when they signed the contract. Defendants also advise the court that finances are tight and they should not be responsible for an increase in mortgage rates considering the situation the Vastola’s have recently encountered. Issue: In this case is it acceptable for the court to award costs to the plaintiffs for legal charges and land fees but also void the breach of contract, by the defendant, considering the physical health of the defendant, even if the contract was signed before the defendant was  diagnosed with SMA? Decision: Yes. Plaintiffs are entitled to reimbursement for costs associated with the breach of contract. Compensatory damages are intended to recompense the injured claimant for losses due to the breach. However, a defendant is not chargeable for a loss that he did not have reason to foresee as a probable result of the breach when the contract was made. The specific elements to be applied in any given case of a sellers breach of an executory agreement to sell realty may vary in order to achieve the broad purposes of damages. If the buyer subsequently purchased another property financed at a higher interest, the rate interest differential occasioned by the sellers default might be a proper factor to consider in fixing damages. Overall plaintiff’s motion for summary judgment is hereby denied because of the defendant’s substantial evidence to reinforce the defendant’s illness. Reason: The court is sympathetic to the difficulty of the plaintiffs, who apparently had their heart set on this house and have been waiting for a closing date but this court will consider documentations of interest rates on their mortgage, as well as the out of pocket expenses and attorney fees associated with the breach, so that the court can award costs accordingly to the plaintiffs. Nevertheless, the court would render a heartless judgment to evict a woman whose health has deteriorated badly while the contract was pending and wishes nothing more than to remain in her home during the most difficult days of her illness.

Leadership Essay -- essays research papers

leadership Getting To Know Yourself What is encouraged in being a good leader? After doing the exercise in the context that dealt with the study of leadership traits and characteristics that was done by Kirkpatrick and Locke, I found some of the importance of leadership traits. Knowing the importance is only one step in getting to know yourself. Its also being able to use the leadership traits in ways that make you more able to lead. Finding what it really takes to be a successful leader may be hard, but I can recall several events in my career as a manager that can make the normal leaders' head spin. Just looking back at what I have done so far as a manager makes me stop and think "what did I do to get me this far?" It is a very competitive environment in any industries ... Leadership Essay -- essays research papers leadership Getting To Know Yourself What is encouraged in being a good leader? After doing the exercise in the context that dealt with the study of leadership traits and characteristics that was done by Kirkpatrick and Locke, I found some of the importance of leadership traits. Knowing the importance is only one step in getting to know yourself. Its also being able to use the leadership traits in ways that make you more able to lead. Finding what it really takes to be a successful leader may be hard, but I can recall several events in my career as a manager that can make the normal leaders' head spin. Just looking back at what I have done so far as a manager makes me stop and think "what did I do to get me this far?" It is a very competitive environment in any industries ...

Dramaturgical Perspective

Dramaturgical Perspective The dramaturgical perspective was developed primarily by Sociologist, Erving Goffman who recast the theatrical metaphor dramaturgy into a sociological term, meaning that social life is like a drama or stage play where intricacies of social interaction could be observed and analyzed, and people can perform in a manner that communicates how they would like others to perceive of them. Goffman stated that, â€Å"All actions are social performances that aim to give off and maintain certain desired impressions of the self to others† (Crossman, 2012).Central to dramaturgy are the front and back regions. The front region is in essence the stage where the performance occurs. Examples of the front region are the teacher’s classroom, the public speaker’s podium, and the waiter’s restaurant dining room. It’s what the audience sees and the setting for a carefully choreographed and ordered performance. The back region is where all the ac tivity that audience does not see, that is crucial to the front region performance occurs (Monnier, 2010).Symbolic interactions are more related to how people look at things and how their perception affects their behavior. In America it is considered rude to blatantly stare at another individual, in certain parts of Africa, for example, that is not the case. Curiosity is a norm and it is not considered rude to stare (Henslin, 2011). Americans also have a much larger personal space bubble than many other cultures. An American doesn’t stand close enough to a stranger to accidentally brush up against them if they can at all help it.Someone from South America, who is accustomed to standing in close proximity to an individual he/she is conversing with may take offense if the individual they’re speaking to continues to move away. On the other hand, an American will likely feel quite uncomfortable participating in conversation with an individual standing closer than approxima tely two feet (Henslin). Therefore, symbolic interactions happen without much thought, which is different from dramaturgy, which is a well thought out and prepared way of conducting oneself.Ethnomethodology is the study of how people use their perceived commonsense to make sense out of life (Henslin, 2011). It’s the background assumptions individuals take for granted about the world that determine our behavior in our social life. They are culture driven, unstated rules that people tend to stand by and violate only with risk of offending or concerning others. For instance, a young man would probably not take a first date to a strip club.There’s no written rule covering that issue, but commonsense would tell him that would not be an acceptable behavior. Although ethnomethodology does involve some thought, it still differs from dramaturgy as it is largely influenced by societal norms rather than just what image they’re desiring to portray to others. A recent intera ction I had that involved dramaturgical concepts was an appointment with administration at my son, Vinnie’s school regarding his classroom placement for next year.Vinnie tests on the lower end of the reading spectrum and all of his teachers, past and present have commented that he has trouble staying focused and is easily distracted, but never causes any trouble; therefore, he tends to fall through the cracks. Having trouble with his current teacher holding him accountable for work completion has been an issue; therefore, I’m quite concerned about Vinnie’s placement next year. I carefully utilized the back region and prepared a spread sheet of my concerns along with specific examples, and readied myself to express them in a confident, respectful, but determined manner.I’d thought about questions and/or statements that would potentially be posed to me, and prepared as best I could on how to respond appropriately without wavering from the outcome I desired, which was a specific teacher. Along with myself, the Academic Director, Curriculum Specialist, and the Intervention Specialist were present at the ‘front region‘ meeting. Everyone was prepared with appropriate data. I stated my concerns, which were both acknowledged and validated, everyone was extremely courteous and showed appropriate concern for Vinnie and the issues I disclosed.Each person in attendance discussed issues pertaining to their own expertise regarding Vinnie and a consensus was reached. Everyone left the meeting feeling something positive had been accomplished, and each individual’s social performance seemed to accomplish exactly what they’d desired. A deeper sociological significance that resulted is that administration now knows that I am a concerned and very involved parent, but not overtly demanding without reason and/or the willingness to discuss and negotiate.I learned that administration is truly concerned about individual students an d will accommodate to the best of their ability in order to ensure the success of each. References Crossman, A. (2012). About. com: Sociology: Dramaturgical perspective. Retrieved from http://sociology. about. com/od/D_Index/g/Dramaturgical-Perspective. htm Henslin, J. M. (2011). Essentials of sociology: A down to earth approach (9th ed. ). Pearson. Monnier, C. (2010). Global Sociology: Social interaction. Retrieved from https:// globalsociology. pbworks. com/w/page/14711252/Social%20Interaction

Asoka: Ruthless Conqueror or Enlightened Ruler? Essay

Prior to the ruling of Emperor Ashoka, kings, emperors, and rulers were rarely thought to be representations of God. Ashoka was the ruler of the Mauryan Empire which stood in India from 273 BCE to 232 BCE. The Mauryan Empire included most of India’s grounds as well as what is now known today as Bangladesh and Pakistan. Once conquering Kalinga, Asoka sought to find a Guru, seeking enlightenment. After sitting beneath the Bodhi tree, Asoka became a more fulfilling leader. Throughout Asoka’s life, he had proven himself to be an enlightened ruler by seeking Buddha, creating the Asokan edicts, and acting out on his best interests for his people. Asoka quickly became converted to Buddhism as a result of the Kalinga war. At the conclusion of the war, Asoka sought a Guru due to feeling a great crisis (document C) along with a stirring remorse for his prior actions. He was now setting high ideals for himself, the ideals of power and peace. Once under the Bodhi tree, Asoka gave rich gifts to the poor. Asoka also consulted with local communities about proper governance about good conduct (also document C). By seeking Buddha, Asoka proved his underlying remorse for the war and with his growing understanding, he was able to begin reforming his mind as a political order. Asoka wished to make up for his mistakes with the Kalinga war, therefore reversing his viewpoints and moving forward (document C). Soon after, there was no longer opposing power within the Mauryan Empire, as document B informs, â€Å"Furthermore there was now no opposing power withing the empire. The people of the frontier were generally too weak to consider a war against him.† Asoka recognized this and created a series of edicts. Document C was written by historian Michael Wood. Due to the source being a historian, his point of view comes from another persons views, these views being that Asoka was an enlightened ruler because, â€Å"Asoka gave rich gifts to the poor.† With Asoka’s growing desire for political order, the 33 edicts were created. The edicts were engraved on pillars (pillar edicts) and on walls or boulders (rock edicts). Asoka made each of the edicts focus on different aspects most important to the people of India, or what should have been most important in Asoka’s opinion. The edicts explained his political aspirations for his empire, urging others to follow his enlightening example. The map in document D shows that the edicts were scattered throughout India, appearing on dozens of pillars, walls, and/or boulders throughout India, Nepal, and Pakistan (document D). Asoka’s purpose was to constantly have the laws announced or presented to the people. Document D easily proves that Asoka takes the level of the commitment to his laws extremely seriously and wants what is best for the people because the laws included edicts concerned with health and the environment, faiths and honors, and promoted welfare, etc. Asoka’s edicts expressed his vows to care for his people such as Rock Edict VI, vowing, â€Å"†¦ I consider that I must promote the welfare of the whole world†¦ indeed there is no better work than promoting the welfare of the whole world. And whatever may be my great deeds, I have done them in order to discharge my debt to all beings.† (document D). Document D is a phenomenal source because it is Asoka’s point of view. With the words of Asoka’s edicts, we can see his true nature and expectations. From the edicts, Asoka comes off as genuine, caring, thoughtful, and a hard worker for his people. An excerpt from the edicts of Asoka states, â€Å"†¦, it would weigh heavily on the mind of the Beloved of the Gods [Asoka].† (document E). The edicts are Asoka’s messages that have traveled far and wide with Asoka being loved by the Gods. Asoka was instilling this into the minds of the people of his empire but Asoka was confident enough to hold himself to high standards and was well prepared to take on the responsibilities of being a God-like-figure to the people. Document E also states that, â€Å"The Beloved of the Gods believes that one who does wrong should be forgiven as far as it is possible to forgive him.† This made Asoka feel as though the war he created was acceptable because he believes everyone should find it possible to forgive him as he sought Buddha and perched beneath the Bodhi tree. As a result of the Kalinga war, Asoka was converted to Buddhism. Throughout his ruling of the Mauryan Empire, Asoka set extremely high ideals for  himself, the ideals of power and authority balanced with peace. With the creation of his 33 edicts, he taught people to live, emphasized compassion towards animals and nature, and spread teachings to strengthen family ties along with the existing social classes (document F). After the war concluded, Asoka spent much of his time trying to make-up for his â€Å"mistakes† of the Kalinga war. In his edicts, Asoka vows to care for his people (document D). â€Å"Asoka’s pillars of stone containing the inscriptions speak magnificent words†¦Ã¢â‚¬  (document F). Asoka also devoted himself to spread the teachings of Buddha to the people after discovering the enlightenment Buddha’s teachings had given him. All of the documents together shape Asoka to be a very enlightened ruler. He always put the best interest of the people first and wished to educate them on the peace-seeking of Buddha. In order to better understand Asoka’s true personality, characteristics, humane and nature, it would be of great convenience to be provided with an additional document from a civilian whom lived during the time of Asoka’s ruling and walking past the edicts everyday. It would be very insightful to get into their thoughts and grasp their beliefs and their gained knowledge provided by the edicts.

The Cold War Essay Example

The Cold War Essay Example The Cold War Paper The Cold War Paper COLD WAR by YCW-CRUZ Management The Cold War , it was an open yet restricted rivalry that developed after World War IIbetween the United States and the Soviet Union and their respective allies.The Cold War was waged on political, economic, and propaganda fronts and had only limited recourse to weapons.The term was used by an American financier and presidential adviser Bernard Baruchduring a congressional debate in 1947. Following the surrender of Nazi Germany in May 1945 near the close of WWII, the uneasy wartime alliance between the United States and Great Britain on the other hand and the Soviet Union on the other began to unravel.By 1948 the Soviets had installed leftwing governments in the countries of Eastern Europe that had been liberated by the Red Army , and the United States and Britain had responded by ending reparations to the Soviet Union from zones of Germany that those two powers occupied. The Americans and the British feared the permanent Soviet domination of Eastern Europe and the threat of Soviet- influenced communist parties coming to power in the democracies of Western Europe and elsewhere; the Soviets, on the other hand, were determined to maintain control of Eastern Europe in order to safe guard against any possible renewed threat from Germany, and they were intent on spreading communismand the Soviet system worldwide, largely for ideological reasons. The Cold War had solidified by 1947-48, when U.S. aid provided under Marshall Planto Western Europe had brought those countries under American influence and the Soviets had installed openly communist regimes in the Eastern European nations that they controlled. The Cold War reached its peak in 1948-53.In this period the Soviets unsuccessfully blockaded the western-held sectors of West Berlin (1948-49); the United States and its European allies formed the North Atlantic Treaty Organization ( NATO) , a unified military command to re

From the Classicists to the Impressionists essay

From the Classicists to the Impressionists essay From the Classicists to the Impressionists essay From the Classicists to the Impressionists essayThe development of the modern art raises quite a controversial response in the public because the public cannot always perceive experiments of artists properly and just misunderstands works of art. In this respect, the ability of artists to catch the audience’s attention and to create comprehensive and attractive works of art are particularly important in terms of the development of new works of art attractive and comprehensible for the audience. At this point, it is possible to refer to the Art Now! Course and Christine Swintak, who reveals her vision of the modern art and works of artist. The author suggest making art closer to people and the mass audience making daring experiments, when conventional, routine objects and items are transformed by artists in true works of art.  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   At this point, the author’s position is reasonable, especially, when she draws a large number of works a rt, when conventional products are transformed by artists, like a banal rollercoaster made in the head office of an energy drink company. The modern art has evolved consistently   and artists tend to experiments. Daring experiments proposed by Christine Swintak are effective because they make the audience rethinking conventional objects and items and transforming them into works of art. Due to such work of artists, they can make the audience thinking of art and view art in simple things, which surround them in their regular life. In such a way, artists reach their target customer group and communicate with the audience by means of their works.  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Furthermore, today, the audience needs the help from the part of the artist to understand art better. In this regard, the poor communication of artists with their audience emerges because of their underperformance and failure to catch the public attention and create works of art that are attractive and interesting for the audience. In addition, the artist should create works of art that are close to the audience. In this regard, the use of conventional objects as Swintak suggests can be really helpful because the audience learns to find art in routine objects. Moreover, such experiments in the field of art help artists to reach their audience and increase the interest of the public to art. Therefore, art becomes the means of communication between the artist and the audience.  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   At the same time, experiments should convey specific messages and ideas, which the artist attempts to convey to the audience. In this regard, the development of comprehensible forms of art may lead to the simplification of art. Hence, the problem emerges. Artists may slip to the simplification of art, i.e. make the art too simplistic, in their attempts to get closer to the audience and attract the audience to works of art. However, works of art should remain wor ks of art that means that they should not become simplistic because of the level of audience. Instead, they should teach the audience and help the audience to elevate their aesthetic tastes to the higher level.Thus, Swintak is reasonable in her views on art getting closer to the audience, but she should be aware of the fact that attempts of approaching the public may lead to simplification of works of art. In such a way, artists should help the audience to understand their art and makes their art interesting but still remain artists, who create works of art but not works that just entertain the audience.

The Pros of Mosquitoes and Their Important Roles

The Pros of Mosquitoes and Their Important Roles Not much love is lost between people and mosquitoes. If insects can be credited with evil intent, mosquitoes seem determined to wipe out the human race. As carriers of deadly diseases, mosquitoes are the  deadliest insect on Earth. Each year, hundreds of thousands of people die from malaria, dengue fever, and yellow fever after being bitten by a disease-carrying, blood-sucking mosquito. The Zika virus can harm fetuses if a pregnant woman gets bitten, and chikungunya can cause debilitating joint pain. If these diseases affect a large population at once, the outbreak can overwhelm local health care, the UN reports. Mosquitoes also carry diseases that pose serious threats to livestock and pets. At the very least, these bloodthirsty insects are major annoyances, biting humans with a persistence that can be maddening. Knowing this, is there an intrinsic value to keeping them around? If we could, should we just eradicate them all off the face of the earth? The answer is mosquitoes do have value. Scientists are divided as to whether theyre worth it, though. The Long History of Mosquitoes on Earth Mosquitoes populated this planet long before man. The oldest mosquito fossils date back some 200 million years, to the Cretaceous period.   More than 3,500 species of mosquitoes have already been  described from various parts of the world, of which only a few hundred species bite or bother humans. In fact, only female mosquitoes bite humans. Males lack the parts to penetrate human skin.   Benefits Many scientists agree that mosquitoes present more of a hassle than they have value. The mere fact that they are the reason for so many human deaths a year is reason enough to wipe them off the planet. However, mosquitoes serve important functions in numerous ecosystems, serving as food for many species, helping filter detritus for plant  life to thrive, pollinating flowers, and even affecting the herding paths of caribou in the tundra. Last, scientists are looking at the mosquito for potential medical treatments. The Food Web Mosquito larvae are aquatic insects  and, as such, play an important role in the aquatic food chain. According to Dr. Gilbert Waldbauer in The Handy Bug Answer Book, Mosquito larvae are filter feeders that strain tiny organic particles such as unicellular algae from the water and convert them to the tissues of their own bodies, which are, in turn, eaten by fish. Mosquito larvae are, in essence, nutrient-packed snacks for fish and other aquatic animals. In addition, while species of mosquitoes eat the  carcasses of  insects  that drown in the  water,  the mosquito larvae feed on the waste products, making nutrients such as nitrogen available for the plant community to thrive. Thus, the elimination of those mosquitoes  might affect plant growth in those areas. A mosquitos role on the bottom of the food chain does not end at the larval stage. As adults, mosquitoes serve as equally nutritious meals for birds, bats, and spiders. Mosquitoes seem to represent a considerable biomass of food for wildlife on the lower rungs of the food chain. Mosquito  extinction, if it is achievable, could have an adverse effect on the ecosystem. However, many scientists suggest that the ecosystem could eventually rebound and another species could take its place in the system. Acting as Pollinators Only the females of some mosquito species need a meal of blood to get the proteins necessary to lay eggs. For the most part, male and female adult mosquitoes depend on nectar for energy. While retrieving nectar, mosquitoes pollinate plants to help to ensure that different types of plant life thrive.  When mosquitoes pollinate  plants, especially the aquatic ones around which they spend much of their lives, they help perpetuate these plants. These plants provide cover and shelter for other animals and organisms. Medicinal Lessons? Although the mosquito has been a known vector for spreading disease all over the world, there is some hope that mosquito saliva may  have some potential use for the treatment of the No. 1 worldwide killer of humans: cardiovascular disease. One promising application is the development of anticlotting drugs, such as clotting inhibitors and capillary dilators. The composition of mosquito saliva is relatively simple, as it usually contains fewer than 20 dominant proteins. Despite the great strides in knowledge of these molecules and their role in blood feeding, scientists still know only about half of the molecules found in the insects saliva.

Primary Source analysis Essay Example | Topics and Well Written Essays - 500 words

Primary Source analysis - Essay Example Before our modern, liberating era, the world had no room for independent women. A little more than a century ago, women were property and were like slaves, being only allowed to do what their husbands demanded of them. They lived under the rule of their husbands and fathers, unable to escape from the shadows of men. The concept of an independent woman was nothing other than a myth, a dream that was more of a fantasy than anything conceivable. Though they were not allowed in schools, colleges, the majority of professions, or in any offices of government, Elizabeth Cady Stanton pointed out that these women were lacking something even more important, which was â€Å"no proper appreciation of themselves as factors in civilization.†1 Women were not only viewed as less than human, with men considered them to be lower than males, but it was a position that they allowed and accepted. When women today realize what they are capable of and allowed to engage in, it becomes almost baffling to remember that the majority of these options were not acceptable to women in a world that existed only a hundred years ago. Even in Stanton’s article, she acknowledges that a time would come when women can enjoy the rights of person and property. Yet despite this optimism, a stance that has proven itself real in our present day and age, Stanton still states that â€Å"the true woman is as yet a dream of the future†2. Since the post-Civil War era, women became increasingly more free. But is there still more for women to discover about themselves and their abilities? Stanton seemed to believe so. In Stanton’s words, â€Å"we have a government of the people, by the people, for the people [...] we soon shall have that important half, called women ...†3. Women of Stanton’s day and age did not have the freedom that we do now, yet even she was optimistic that one day women would be considered just as vital to society as men. Regardless of the life that Stanton herself led

Final Essay Example | Topics and Well Written Essays - 1250 words - 1

Italian Immigrant Families and Aboriginal Families in Canada - Essay Example Original subcultures give a family a sense of belonging and enhance the process of socialization through which parents can instill the values, beliefs, and attitudes of their children. Both Italian and aboriginal families are forced to live in poor urban shanties because of lack of acceptance and poverty levels in Canada. For Italians, the family is a resourceful and dynamic structure that is forced to compromise because of the different demands in the bicultural and bilingual Canadian setting. To adapt the two cultures and survive in Canada, the family is forced to adopt cultural and linguistic aspects and develops a synthetic culture made up of cultural elements from both societies (Colalillo 120). On the other hand, the Aborigine family has refused to let go of their traditional cultural systems to maintain their identity. However, they find it hard to maintain their lifestyle and customs because of aggravating poverty and lack of government support. Most of them were moved to res erve lands during the colonial era and despite the resettlement treaties signed by the government, they have remained refugees in their homeland. In the reserves, the aborigines families are isolated, have insufficient wildlife and natural resources, and government funding for subsistence. Literature indicates Italians immigrant families have experienced alienation that has led to breaking of families, disruptions of family life as laid down by the Italian culture and moved to unfamiliar territories. In addition, sociologists indicate that Italian immigrant families in Canada are forced to live in urban villages and never get an opportunity to be fully integrated into Canadian society (Colalillo, 123). Experts say that literature on assimilation and integration creates conflicts between children and their parents when they criticize parents for being left the ethnic ghetto. The effort to assimilate attempts to remove cultural baggage (Italian culture) and quantifies the gains of the second generation. On the other hand, Over the years, the literature indicates that the aboriginal people have undergone suffering and poverty because of their adamant to get rid of their nomadic cultural system. In Canadian society, aborigines are stereotyped and their relationship with other communities is tainted by mutual mistrust and misunderstanding. Long during the colonization period, the state of Canada tried to eliminate the aboriginal culture through the use of discriminatory laws that were aimed at assimilating them. Because of the state of poverty and government alienation, the aborigines have been forced to move to urban centers and states show that their population is one of the fast growing in the Canadian urban centers. However, because of the lack of basic survival skills, most of them are forced to enlarge in crime to support their families. Moreover, the community's poverty makes it vulnerable to victimization and assault sexually and physically. The statistics report indicates that the bringing families living in urban centers are likely to be poor, with an estimation of more than 80% of their children being raised in poverty-stricken families.

The Importance of Currency Devaluation and its Effect on the Economy Assignment

The Importance of Currency Devaluation and its Effect on the Economy - Assignment Example It makes the country’s exports relatively cheaper to foreign countries. Devaluation makes the cost of living expenses to the country’s citizens as foreign products become expensive and, therefore, discourages imports. Food prices increase and become unaffordable to most people. Finally, it leads to an upsurge of foreign currency reserve and the exports become more than the imports. The Chavez administration took advantage of the devaluation of the bolivar. It increased its domestic monetary resources it gained from the sale of its oil exports. Upon the surge of devaluation, the Venezuelan regime received more bolivar for every dollar. It earned more from the sale of its oil exports and it, therefore, had enough money for domestic expenditure The predicting analysts were correct. Venezuela’s currency recently traded at approximately 80 percent less of the official and fixed exchange rate. The Venezuelan government has recently made several developments in its economy as it tries to ease the shortage of consumer goods and food, and make the dollar accessible. According to DolarToday.com, its new exchange rate stands at 64.74

Business Plan Assignment Example | Topics and Well Written Essays - 1750 words

Business Plan - Assignment Example 2. Statement of purpose. 3. Table of contents. I. The BusinessA. Description of business. B. Marketing. C. Competition in the market. D. Ways of operating procedures. E. Personnel. F. Insurance of Business. II. Financial Information A. Loan applications. B. Capital. C. Balance sheet. D. Breakeven analysisE. Pro-forma income projections (profit & loss statements)F. Pro-forma cash flowIII. Supporting Documents 1. Tax returns for last three years Personal financial statement. 2. A copy of franchise contract and all supporting documents provided by the franchiser for franchised business. Copies of the following: a. Lease or purchase agreement. b. Licenses and other legal documents. c. Resumes, that of all the principals. d. Letters of intent and other relevant material. Using The Plan A business plan is considered to be a tool comprising of three basic purposes, which are communication, management and planning. A business plans serves as a communication tool that helps in attracting investment capital, attainment of loans, hiring workers and convinces them to work for the company and importantly plays a part in attracting strategic alliances and business partners. A business plan is said to be successful if the outcome of the business is profitable, a business plan that cannot help in attain profits is said to be an incompetent business plan. A realistic approach is required at almost every stage of business and allows an entrepreneur to workout all the potential problems and all the alternatives before launching the actual business. A business plan helps as... This assignment answers on many common questions on the topic of developing a successful business plan. In any marketing sector business plan is considered to be very important and a thoughtful business plan cannot be overemphasises because much hinges on it: financial support, management of the available resources like operation and finances, credit from suppliers, promotion and marketing and last but not the least company’s goals and achievements. The researcher mostly focuses on the successful writing of the business plan. It includes many steps, most significant that were mentioned in the assignment are: Description of business, Marketing, Insurance of Business, Financial Information on loan applications and capital, Breakeven analysis, Pro-forma income projections (profit & loss statements) and Pro-forma cash flow. It is also important to prepare Supporting Documents, such as Tax returns for last three years, Personal financial statement and copy of franchise for franchis ed business. This assignment also describes ways of Using The Plan in real-life situations. Usually, a business plan is considered to be a tool comprising of three basic purposes, which are communication, management and planning. In conclusion, the researcher also states that having good financing is not enough in attaining profits and proper knowledge and planning are required to manage it well. These help in strengthening the management of financing and avoid common mistakes like miscalculating or underestimating the cost of yout future business.

Case Study for HR Essay Example | Topics and Well Written Essays - 7000 words

Case Study for HR - Essay Example Quality in Human Resource Management: Effective Recruitment: Frameworks: Considering the issue of effective recruitment in quality of human resource management, one of the frameworks that are significantly associated is the legal framework. With the need for high quality employees in an organization, employment contracts are essential that binds the relation of the employees with the company and its objectives. Contracts clearly define the tenure and responsibilities of the employees and hence are an essential part of the process of recruitment. The rights and laws related to employees are important for recruitment that includes laws for anti-discrimination, legislations for protection of data, as well as rights of privacy and dignity. The five major components of the legal framework or contract of employment are: offer of employment; acceptance of the offer; payment or fees; certainty; and legality (Leighton and Proctor 2006). Another framework associated with effective recruitment as part of quality in human resource management is the systems framework. ... Outside the meso system, the macro and exo systems are present where the local economy is included, along with the communal facilities, and systems of learning, the mass media, and the administration (Krysik and Finn 2013). Training framework is known in the world of business since long ago and is still considered as one of the best methods for achieving quality in human resource management. This involves training and education of the human resource managers that are essential for the achievement of business goals. Training plans are the fundamental of any organization considering the human resource management where the modules involved include: total quality awareness; team building; meeting skills; TQM tools and techniques; presentation skills; facilitator training; project management; and quality planning (Harrison 1997). A model framework for evaluation of recruiters also has been found to be effective in maintaining quality of human resource management. This framework clears cer tain steps for an effective process of recruitment. According to this model, truthful information needs to be gathered about the candidates for interview, in effect with the moral and ethical standards as essential for an organization. The interviewers should be such chosen that they match with the candidates and proper collection of information from the candidates during the interview needs to be done. The emotional state of mind of the candidates should also be kept in focus and studied. Recruiter evaluation can effectively be done with the collected information that they collect during and after the interviews (Jones, Steffy and Bray 1991). Methodologies: In order to achieve effective recruitment of candidates for enhancing the quality of human resource

Global and International Business Context Essay

Global and International Business Context - Essay Example It was worth $263.8bn in 2009 and is forecast to continue growing, albeit slowly (ibid, p.2). Europe is the largest market for wine, holding 80.5% of the market by value. The Asia-Pacific region, which includes Australia, is worth 6.9%. The main buyers are supermarkets and hypermarkets, taking 37.9% of the market volume (ibid, p.14). Entry to the market does not require a large company or major capital investment as high quality wines command premium prices (ibid, p.15) but Datamonitor assess the likelihood of new entrants as being weak with moderate competitive rivalry. The Australian wine market is fairly fragmented with the top three producers holding just under 50% of the market by volume (Datamonitor 2010b). It was worth $5,768.4mln in 2009 and is forecast to grow at approximately 2% per year, which is faster than the global wine market (ibid, p.2). The main provider of wine is Foster’s Group Limited, holding 20.8% market share by volume. Buyer power is more important in Australia as there are low switching costs to alternatives and an unusual concentration of food and beverage suppliers (ibid). For new entrants, there are barriers to entry: import duties, taxes and large distribution costs of imported wines (ibid). Competitive rivalry is considered moderate. Producers can use branding to strongly differentiate their products, providing a wide range. The primary distributors are specialist retailers, holding a share of 73.4% by volume in 2009 (ibid, p.23). For foreign producers, the options for entering the market include starting a new company or exporting. If exporting, there are a number of indirect taxes and duties that account for 50% of the value of the imports (ibid, pp.14-15) but if importing a premium brand, market entry can be achieved successfully by adding a large margin to account for the taxes. Datamonitor assess, however, that the likelihood of new entrants is

Case Study for HR Essay Example | Topics and Well Written Essays - 7000 words

Case Study for HR - Essay Example Quality in Human Resource Management: Effective Recruitment: Frameworks: Considering the issue of effective recruitment in quality of human resource management, one of the frameworks that are significantly associated is the legal framework. With the need for high quality employees in an organization, employment contracts are essential that binds the relation of the employees with the company and its objectives. Contracts clearly define the tenure and responsibilities of the employees and hence are an essential part of the process of recruitment. The rights and laws related to employees are important for recruitment that includes laws for anti-discrimination, legislations for protection of data, as well as rights of privacy and dignity. The five major components of the legal framework or contract of employment are: offer of employment; acceptance of the offer; payment or fees; certainty; and legality (Leighton and Proctor 2006). Another framework associated with effective recruitment as part of quality in human resource management is the systems framework. ... Outside the meso system, the macro and exo systems are present where the local economy is included, along with the communal facilities, and systems of learning, the mass media, and the administration (Krysik and Finn 2013). Training framework is known in the world of business since long ago and is still considered as one of the best methods for achieving quality in human resource management. This involves training and education of the human resource managers that are essential for the achievement of business goals. Training plans are the fundamental of any organization considering the human resource management where the modules involved include: total quality awareness; team building; meeting skills; TQM tools and techniques; presentation skills; facilitator training; project management; and quality planning (Harrison 1997). A model framework for evaluation of recruiters also has been found to be effective in maintaining quality of human resource management. This framework clears cer tain steps for an effective process of recruitment. According to this model, truthful information needs to be gathered about the candidates for interview, in effect with the moral and ethical standards as essential for an organization. The interviewers should be such chosen that they match with the candidates and proper collection of information from the candidates during the interview needs to be done. The emotional state of mind of the candidates should also be kept in focus and studied. Recruiter evaluation can effectively be done with the collected information that they collect during and after the interviews (Jones, Steffy and Bray 1991). Methodologies: In order to achieve effective recruitment of candidates for enhancing the quality of human resource

Ase study on organizational structure Case Example | Topics and Well Written Essays - 1500 words

Ase on organizational structure - Case Study Example Different aspects will be discussed under systems and shapes such as goal recognition and statement, review of organizational environment, structure of the organization to accomplish the goals, as well as determination of authority relationships. Moreover, the paper will also attempt to identify the type of the new organization. Impact of Sale on Culture of New Organization Every organization in the contemporary environment experiences competition. With increased competition, many organizations are employing different strategies in order to make them acquire competitive advantage that will enable them stay in the market and business. There are different ways of acquiring competitive advantage such as employing a different pricing strategies, invention and innovation, employing exceptional staff, and mergers and acquisitions. Development of a combined organization will involve the idea of merger and acquisition as a management strategy in achieving competitive advantage (Cummings & Wo rley, 2006). ... The new combined healthcare organization will therefore employ three strategic units to ensure unity amongst the employees. These strategic unities include intellectual agenda, behavioral agenda, and process agenda. The intellectual agenda will ensure that employees from top to both have common strategy hence working together towards achieving the same. Behavioral agenda on the other hand will ensure that there is a strategy shaping employees’ behavior to a common code of conduct (Griffin & Moorhead, 2011). Lastly, through the process agenda, it will be easier for the healthcare organization to have a clear purpose and activities in which every employee will be expected to adhere to while in the firm. All the processes in the organization will be aligned to the firm’s strategy. In this case, the strategic unity package will ensure that employees work together to provide quality healthcare without taking a competitive stance. Organizational Structure The organizational s tructure will contain amongst other things, goal recognition and statement, organizational environmental review, structure, and authority of relationship. The following is a discussion of each of the aspects of organizational structure. Goal Recognition and Statement Goals recognition and statements within organization create vistas and rooms for employee performance towards a specific direction. Goals and statements ensure that an organization moves to a specific direction (Yaeger & Sorensen, 2009). What’s more, goals and statements provide a basis of creating organizational strategies aimed at achieving identified goals and statements. The new combined organization will therefore create a goal and statement to provide direction as well as basis of developing strategies. The goal

Microteach #1 Lesson Plan Essay Example for Free

Microteach #1 Lesson Plan Essay Root Tip tip of a plant root that protects the growing tip and secretes mucilage to ease the movement of the root through soil Zone of Elongation absorbs food water, cell growth pushes root tip down, elongating the root Zone of Maturation Zone where root cells differentiate, or form different kinds of tissues that make up a mature root Xylem transports water up from roots through the plant Phloem transports the nutrients made from photosynthesis to all parts of the plant as needed Primary Root Develops into either â€Å"tap root† or â€Å"fibrous roots†; Other smaller roots branch off; Develops from hypocotyl; Roots provide water and minerals to the plant from the soil Adventitious Roots Additional roots that emerge from parts of the plant other than the root system; Burrow into the ground for nutrients Leaves Plumule Also known as â€Å"epicotyl†, emerges after primary root is established and becomes the â€Å"shoot† system above ground Stem Also known as â€Å"axis†; The main â€Å"stalk† of a branch or of the whole plant Apical Bud a. k.a. â€Å"terminal bud†; At the tip of a growing plant; Contains actively dividing cells called apical meristem; Growth here lengthens the plant; grows upward Node – point on the axis, or stem, where the leaf, petiole, another axis, or flower attaches Internode – distance between two nodes Petiole Stalk attaching the leaf blade to the stem Axillary Bud Bud located between the stem (axis) and the petiole; Can develop into a new branch, leaf or flower Leaf Blade Flattened, green site of photosynthesis  Sessile leaves attaches directly to the stem with no petiole Flowers Sepal Provide protection for flower bud; supports petals after flower blooms calyx – many sepals Petals Often brightly colored or unusually shaped to attract pollinators corolla – many petals Stamen – male flower part Anther: pollen-producing reproductive organ Filament: support structure for anther; Produces male gametes, or spores (plant version of sperm) Carpel Also called pistil; Female reproductive organ in flowers that produces seeds; Consists of ovary, ovule, stigma, and style Stigma Sticky, receptive tip of a carpel; The stigma receives pollen from bees Style pillar-like stalk through which pollen tubes grow to reach the ovary Ovary Pollen fertilizes eggs here and develop into seeds; develops into the pericarp Pericarp The outer layer In fleshy fruits; Often edible for human and animals; Develops from the ovary wall of the flower; Surrounds the seeds. (Vajravelu, 2009) Procedure: Anticipatory Set: â€Å"Now that everyones here, lets leave!† Invite students to travel outside and collect a plant sample that they would like to identify. State Objective Tell students that they are going to be learning about their samples, to identify their parts, and to learn their functions. Model: I will show a Microsoft PowerPoint slideshow with pictures or plant structures, their names, and descriptions of their functions. (ESOL Strategy for Edith: Use of visuals) Slideshow will contain brief and simple definitions for structures. (ESOL Strategy for Edgar: Describing items in simple terms; Bulleted lists rather than extended texts) I will point to the structures as I say their names out loud. (ESOL Strategy for Edith: Pointing/Gesturing) There will be an individual slide for each important structure with additional information, synonyms and pictures (ESOL Strategy for Edgar: Expand vocabulary through paraphrasing) I will try to repeat the names of the structures as many times as I can instead of saying â€Å"it† to aid in pronunciation and understanding. (ESOL Strategy for Edith: Repetition) Input I will ask students if they can provide me with any examples of various structures from their experiences, diets, etc. For example, carrots are tap roots. (ESOL Strategy for Tasir: Linking content to students personal life) Guided Practice – I will provide some  of my own plant samples and place them under the dot cam. I will then dissect samples and state the names of various structures. (ESOL Strategy for Edgar: Correcting Phonological Errors) (ESOL Strategy for Edith: Repetition) Check for Understanding I will ask students to present their samples in groups on the dot cam and name their structures without my assistance. (ESOL Strategy for Tasir: Group Activities with Comprehension Checks) Independent Practice: Student will be asked to fill out a worksheet as homework. The students will be required to label unlabeled plant illustrations, and answers questions about the functions of each structure. Closure: Briefly review the material with students. This time without the visual aid, ask students if they can reiterate or paraphrase the purposes and functions of various structures. Ask students to relate reproductive structures to the embryonic structures they create, and then the embryonic structures to the adult structure they develop into. Assign homework. Give students something to look forward to for the next class, ex: interesting fact about photosynthesis. â€Å"I hope you have a wonderful afternoon! See you tomorrow!† Resources and References: Vajravelu, R. (2009). Ethnobotany: A Modern Perspective. (1st ed., pp. 20-35). Dubuque, IA: Kendall Hunt. Microsoft PowerPoint (OR) Linux LibreOffice Impress Samples from Landscaping and/or School Garden Dot Cam Evaluation: Upon being presented with an unlabeled plant sample or illustration, students should be able to identify the name each structure. Students should be able to recognize correlations between different structures for plants in different stages of the life cycle (Example: hypocotyl and primary root). Students should be able to understand what functions each structure has that contribute to the survival of the plant. ESOL Strategies: For Edith, who is at the beginning level of language development, used multiple visual aids for each structure. I will state the name of each structure while pointing to the structure, being sure to clearly enunciate, and will repeat the names of the structures as many times as possible. I have placed arrows and animations on the PowerPoint slides for things that I am not able to reach, point to, etc. A real life example that she has collected personally, and can touch and play with at her desk, will be useful as another visual aid. For Edgar, who is in the intermediate levels of language acquisition, I have provided very simplified definitions and brief bulleted lists of additional information. Animations in slides and gestures to structures coupled with me carefully enunciating while I speak the vocabulary words should help to clear up any phonological errors he may experience. Tasir, who is at the advanced levels of language acquisition, will benefit from note-taking in the classroom. Having the correctly spelled vocabulary words provided on the screen next visual examples will help her to spell them correctly in her notes, which will in turn build up her writing skills. Having me read aloud the words on the screen may help her with her reading skills. Peer review in group activities and guided practice will help correct any errors. Her spelling on her homework will help me to assess her level of success. I will link concepts to her personal life, such as tap roots and carrots, to help her understand that improvement in class will lead to skills she will use in life. Copy of PowerPoint is attached.

The Purpose Of A Business Plan Business Essay

The Purpose Of A Business Plan Business Essay In most cases, a business plan is created to explain and illustrate the vision you have for your business, and to persuade others to help you achieve that vision. To accomplish this, your plan will need to demonstrate on paper that you have a firm visualization of what your business is going to be. It needs to convince others that your business concept can be successful and that you possess the expertise-alone or collectively-to assure that it will be both successful and profitable. Why is it important It is important to use a business plan when starting and running the business as it indentifies the business aims and objectives, also it is important to have one as it will allow the business to go back and see if the business is progressing in the developing business and if the business is on the track to achieve the aim. RANGE OF POSSIBLE IDEAS I had many potential ideas of the businesses that I would like to set up in Lisburn. My most favourite ideas which I was considering to start up are: Restaurant In the current time in Lisburn there are several restaurants and there is no which serves multinational menus which include European, Asian and American foods. I believe that this business could be successful as many of peoples would like to try other nationalities foods. To run this business successfully I will have to create a very warm and welcome premise to which lots of peoples will be able to like it and. Also the service and food will need to be high quality so the customers will love to come back. Advantages Original menu as no restaurants serves the food I would If the business will gain loyal customers the business will survive Disadvantages Risk of not getting into the taste of locals Competition with well established restaurants Unknown local suppliers product quality Inexperienced staff Sandwich bar In modern days more peoples are buying ready to do foods such as chips, crisps, sweets which are bad for health. My idea is to let adults and children to have a healthy break time eating fresh ingredients and healthy sandwiches. To survive I will need to provide my business with the equipment such as Toaster, Micro wave, Panini maker, Serving Unit Hot/Cold, Grills, Till and much more. Advantages Disadvantages Competition with well established businesses Inexperienced staff Unknown local suppliers product quality Coffee shop Many people are in the hurry in these days, where most of them dont have time to consume their breakfast at home. The coffee shop idea will allow to those peoples who have to travel long time to their jobs, to buy tea or coffee and the snack and consume on the way, this could save enormous amount of time if they could decide to do their lunch and coffee themselves. I will have to spend about  ¼ of my budget on the equipment where I will need to buy equipment such as coffee machine, cups (glass and plastics), plates and more. Advantages Disadvantages Competition with well established businesses Inexperienced staff Unknown local suppliers product quality Ice Ring Lisburn does not have many attractions in the city, so it could be a good idea to get everyone enjoy their afternoons on the ice cold ring. It could be a very good place to have fun with the family and friends away from their troubles. The business could survive as the only other attractions could be the swimming pool and cinema which are located in the city centre. Advantages Disadvantages Expensive to run and insure Lots of health and safety issues will need to be complete. After concluding my potential businesses ideas I had rejected some of the ideas as there was the possibility that they wont survive the first year of trading. This is the list in order of the businesses I want to operate. The first one is the business I am currently going for, the last one is the least possible for me to go for. Coffee shop Sandwich bar Restaurant Ice Ring After knowing what business I am going to open I had thought about the name for it. The name that the most attracts my attention is CS. It is short and easy to remember which is excellent name. LEGAL STATUS There are several legal statuses available for my chosen business: Solo trader This is when the business is owned and run by one individual; however this is mainly the local business and will normally not expand on an international level. Main advantages of a solo trader à ¢Ã¢â€š ¬Ã‚ ¢ 100% of control over the business it means that the entire business is controlled by one person only which is mainly owner. à ¢Ã¢â€š ¬Ã‚ ¢ Quicker at decision making it allows to easy and fast make decision as there is only one person whom make the decisions and dont have anyone to make the decisions. à ¢Ã¢â€š ¬Ã‚ ¢ Can keep 100% of profit if the business is well operating it even can make high wage and dont have to share profit with anyone. à ¢Ã¢â€š ¬Ã‚ ¢ Local business, therefore loyal customers from that area loyal customers may result in a consistent flow of money into the business. Main disadvantages of a sole trader à ¢Ã¢â€š ¬Ã‚ ¢ Unlimited liability this may meant that the owner may lose his personal possessions because of the business depth and cannot pay it back. à ¢Ã¢â€š ¬Ã‚ ¢ Heavy stressful workload because it is a solo trader business it means that the one person has to do all of the activities which includes paperwork and more, which could cause stress, about not completing it and of the lack of time. à ¢Ã¢â€š ¬Ã‚ ¢ Finance problems because the business small and is financed by one person and maybe by a bank loan. The solo trader may face finance difficulties if the business will get into the debt. Partnership a partnership is when between two and twenty peoples own a business, as there is large number of co-workers each is investing money in to the business and share the profit or loses of the business. Main advantages of a Partnership à ¢Ã¢â€š ¬Ã‚ ¢ More peoples investing money because there is many partners the large capital and large funds are raised quickly, this means that the business can easily and faster earn stable finance source than a solo trader. à ¢Ã¢â€š ¬Ã‚ ¢ More ideas because there is more than one person who owns the business, each has different ideas how to improve the business. à ¢Ã¢â€š ¬Ã‚ ¢ Shared workload as the business has more than one owners the workload can be easy shared between partners which decrease the possibility of stress. Main disadvantages of a Partnership à ¢Ã¢â€š ¬Ã‚ ¢ Disagreements as each of the partners have different ideas to improve the business the disagreements can appear as other person doesnt like the idea which is currently discussed. à ¢Ã¢â€š ¬Ã‚ ¢ Breakdown in communication this can be cause when one of the partners will decide to go ahead with their own ideas, in which case may cause other departments become confused and may lose the communication between each other. à ¢Ã¢â€š ¬Ã‚ ¢ Unlimited liability if the business will be in the debt there is possibility the owners will lose their personal processions to pay back the debt. Over considering different legal status available, I decided that the most appropriate status for my business is solo trader. Despise of all the disadvantages. I had chosen this legal status for the reason that I can test my self if I can run business on my own. Also I had choose it for the reason the I wont rely on any one with decision making and I will operate the business as I want. I did not choose the partner ship as we may have disagreements which may have effects on business which may lead to close down; this is the risk that I dont want to take, as I may loose lots of my money. RESEARCH COMPREHENSIVE ANALYSIS The primary research that I had carried out was a questionnaire which I had held in the city centre of Lisburn. I choose this destination as this is where I am hoping to set my business. From the questionnaire I will receive the overview and the opinions of my future target market. Primary research The first question I had asked in the questionnaire was What age group would you be in? Form this question I had found the majority of my target market would come from 18-20 age group. The second popular age group was 21-30age group and 31-40 age group as both has the same percentage. The second question I had asked in the questionnaire was How often to you visit coffee shop? The result was very interesting as 40% of people who had fill in this questinoaire had said that they are visiting coffee shops every day. The 28% said that they are visitgin coffee shop weekly. I also asked if they would be interested if I would provide any refreshments suchas sandwitches and fresh salad. For the pie chart I noticed that 72% of people thinks that this is a good idea. As I know thatthey would like to have a sandwitches and salad I had asked them how much they would like to be charged for them. I had allowed them to choose the costs starting form  £1.50 up to  £4+. More than 56% said that they prefeer the price to be  £2.50 as for this price the best igridients can be purchased. As there are many students living in the Lisburn I had asked peoples in their opinion would the discount for students encourage them to go to coffee shop. The 56% of votes said that they would be encouraged to visit the coffee shop. Secondary research The UK branded coffee chain market continues to expand rapidly, exceeding 3,000 outlets for the first time and an estimated  £1.3 billion in turnover as UK consumers taste for coffee bars continues unabated. According to Allegria Strategies, the market is forecast to nearly double over the next decade to reach up to 6,000 outlets and turnover in excess of  £2.5 billion within 7-10 years. Growing at more than 15 per cent for the past eight years, UK coffee bar culture has extended well beyond UKs major urban centres and is penetrating smaller towns and the provincial areas due to phenomenal consumer demand and rapid opening programmes by coffee bar chains Starbucks, Costa Coffee, Caffà ¨ Nero, Pret A Manger and others. Results from more than 6,300 telephone and face-to-face interviews with UK consumers (the largest sample ever conducted in the UK) reveal that consumers are visiting branded coffee chains more frequently than ever before: Coffee shops are now mainstream and form an important part of UK lifestyles with more than 11 million adults visiting coffee shops at least once per week and more than 20 million persons visiting the venues at least once per month AIMS/OBJECTIVES OF A BUSINESS An aim is a long term intention that business wants to achieve. All businesses have different aims and sometimes some businesses have more than one. To achieve the aims an objectives are set. Objectives are the goal outcomes or targets. Many businesses are using SMART method to set their objectives achievable. Smart stands for; Specific they must set out clearly what a business sis aiming to do. Measurable they must be capable of being met Achievable everyone involved in reaching the objective must agree with the objective and understand what is meant by it. Realistic the objectives must be achievable from the source that are available form and for the state of the market conditions Time specific the objective should state over what time of period the objective has to be achieved. Many businesses create a mission statement, which states the purpose of the business and it values. It is meant to stake both the aims of the business and the provide a vision of the business for the stakeholders. The aim for my business is; Achieve the loyal customers by offering an efficient and reliable service at a low cost. The objectives for my business are; Survive when I first start out Get loyal customers and staff To break even within the first year Become market leader within next five years PROMOTION STRATEGIES Marketing mix refers to the primary elements that must be attended to in order to properly market a product or service. Also known as The 4 Ps of Marketing, the marketing mix is a very useful, if a bit general, guideline for understanding the fundamentals of what makes a good marketing campaign Elements of the marketing mix are often referred to as the four Ps: Product A tangible object or an intangible service that is mass produced or manufactured on a large scale with a specific volume of units. Price The price is the amount a customer pays for the product. It is determined by a number of factors including market share, competition, material costs, product identity and the customers perceived value of the product. Place Place represents the location where a product can be purchased. It is often referred to as the distribution channel. Promotion represents all of the communications that a marketer may use in the marketplace. Promotion has four distinct elements advertising, public relations, word of mouth and point of sale This is the marketing mix for my business considering 4ps; Product The product which I am going to provide is a wide range of coffees, teas, snacks, sandwiches and fresh salads and fizzy drinks. Price Because of the recession not many peoples will allow them selves for the take away coffee. There fore I will need to sell my product in the lowest price as possible. All the hot drinks will be sold between  £2  £4, all the soft drinks  £1 and the snacks, sandwiches and salads between  £1,50- £3. Place The premise which I choose for my coffee shop is located in the centre of the city centre. The premise which I found is for the rental purpose and costs  £1,000 per month. This property has 2 floors with reasonable good sizes. The ground floor will be used as a main area of the shop where customers will be served and use the Wi-Fi, where as the first floor will be the office area. Promotion To promote my business I am going to us local news papers to advertise my coffee shop. To support my promoting method I am going to use leaflets which will be delivered by the local postman. The leaflet details will include the prices, available coffees types, and location and contact details. LIKELY COMPETITORS I discovered my likely competitors by doing research on yell.co.uk and from local knowledge. There are four well established businesses which I will compete with for survival. This are; Esquires coffee shop The house of Vic-Ryn Street cafe Coffee Inc Each of those businesses are well established and have regular customers. Because all of them are mainly located in the city centre the competition will be heavy on me as the premise which I will use form my business is also in the city centre. SWOT ANALYSIS SWOT analysis can be defined strategic planning method used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a business venture. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favourable and unfavourable to achieving that objective. SWOT represents; Strengths: attributes of the person or company those are helpful to achieving the objective(s) Weaknesses: attributes of the person or company those are harmful to achieving the objective(s). Opportunities: external conditions those are helpful to achieving the objective(s). Threats: external conditions which could do damage to the objective(s). Strengths and Weaknesses can be controlled within the business. It is up to the manager to deal with these at the right time and in the appropriate way. Opportunities and Threats are out of control of the manager. Theyre therefore external. This is my swot analyse for my business CAFE LATTE. Strengths Sit in facility Wi-Fi facilities Offering different types of foods and snacks Located in the city centre Weaknesses Not well known Competition with established businesses Opportunities Expand locally Buy more specious premises allowing being more welcome Threats Esquires coffee shop The house of Vic-Ryn Street cafe Coffee Inc SECTION B PHYSICAL RESOURCES Physical resources are defined as resources that are available to business organisations in the form of buildings and other machineries which are needed for the day to day running of the organisation. To smoothly operate my business I need meet physical requirements which will allow me to survive and operate my business. the equipments which I need for my business are listed bellow. The equipment list Item Quantity Unit Price Total Price Timing Buy/Lease Counter 1  £10,000  £10,000 Start Up Buy Seating (chairs and tables) 15  £8,000  £8,000 Start Up Buy Water boiler 1  £464.13  £464.13 Start Up Buy Coffee machine 2  £500  £1,000 Start Up Lease Coffee (12 kg) 4  £60  £240 Start Up Buy Cookery 60  £329.50  £329.50 Start Up Buy Knives, forks and spoons 40  £50  £50 Start Up Buy Refrigerated display units 1  £2,010.  £2,010 Start Up Buy Cleaning fluids 6  £600  £600 Start Up Buy HUMAN RESOURCES Human resources are known as people employed by a business. This means that human resources are the number of people working for the business. The number of human resources is related to the business, for example a small business such as a window cleaning service has small human resources which may include two or five employees. The big international businesses on the other wise, such as Tesco, or Sainsbury are more likely to have thousands or even more workers. Because my business is small and is just starting up I wont need too many human resources. To be able to successfully operate the business I am going to employ 2 full time and 1 part time employees. Each employee will be required to have good communication skills and be able to work in the busy atmosphere. Because I want to encourage my staff to perform on their best abilities I am going to award them by adding additional  £1.00 to theirs minimal wage. There are several policies that I will need to take into consideration if I want my business to operate legally and satisfy my customers and staff. Health and safety issue is the most important regulation which I need to consider. I will be required to make sure that I will create a safe environment for my workers and the customers. If the accident will happen because of not making any health and safety requirements I can be sued which could cost me money and time, including it could reflect my business reputation. Equal Pay Act, 1970 Sex Discrimination Act, 1995 is another important law which I have to make sure I will consider within my business. When I will going to advertise my vacancy I cannot specify what sex I am looking for as this is how the law is broken. I have to make sure that I will give a fair chance for both sexes to try to apply for the job. The National Minimum Wages Act, 1998 this law simply clarified that people cannot be underpaid under the minimum national wage. There are three branches of this legislation; Between 16 and 17 years  £3.57 an hour Between 18 and 21 years  £4.83 an hour 22 and over  £5.80 an hour Data Protection Act, 1984 I need to consider this act in order to keep my staff and my business details save. Because I will need to store the private and financial details I will need to make sure that no on unauthorised will have access to these details. Disability Discrimination Act, 1995 I need to make sure that I wont discriminate any employee because of theirs disability. I am not going to consider the disability in picking appropriate employee for my business. The only fair way is by picking the qualifications and experience. RESOURCES AND QUALITY CONSTRAINTS LEGAL AND ECONOMIC Pestle analysis is one of framework that categorizes environmental influences as political, economic, social and technological forces. Sometimes two additional factors, environmental and legal, will be added to make a PESTEL analysis, but these themes can easily be subsumed in the others. Political influences These refer to government policy such as the degree of intervention in the economy. Economic influences These include interest rates, taxation changes, economic growth, inflation and exchange rates. Social influences Changes in social trends can impact on the demand for a firms products and the availability and willingness of individuals to work. Technological influences new technologies create new products and new processes. Legal influences environmental factors include the weather and climate change. Changes in temperature can impact on many industries including farming, tourism and insurance. Environmental influences these are related to the legal environment in which firms operate. For my business there are several constraints relevant to me are legal, economic, technical, and environmental. Legal constraints The legal constraints that will affect my business are regulations for a contract for example how long is the credit on it. Anther legal constraint would be DPA (Data Protection Act) in the UK gives the right to individual to know which companies hold their personal details and they are allowed to ensure that the information is accurate. This data should be also being protected within the business to ensure no one unauthorised will access the personal details. Economic constraints due to the current economy it will be harder for me to get a bank loan. Also because of the recession not every one will be able to afford the take away or sit in coffee. Technical constraints I will need to make sure that all the Environmental constraints as I will provide a take away service I will provide with recycle cops which will be easily recycle and good for environment. Also I will provide customers with business plastic take away cups with the lids which will allow them to use it to refill. SECTION C SOURCES OF FINANCE There are different sources of finance I can use to finance my business. Those sources are; Money from family or friends because I am a sole trader I may be able to borrow money from family or friends without paying interest, which would be very beneficial for me. Bank loan another way to finance my business I may use a bank loan. Loans from a bank or a building society can be expensive as they will include the interest. An agreed amount is borrowed and repaid over a fixed period of time with interest. To start up my business I am going to use the  £10,000 that I was left by my grandparents. Although my physical resources of total of  £22.694. I decided that I am going to take a bank loan. The loan which I will take will cover both my start up cost and running costs. I am hoping to get a loan that will be for 4-5 years which also will cover the unexpected expenses. The loan which I choose is Platinum Loans. I got a loan for  £30,000 and will be repaid by 5 years. The monthly amount to repay is going to be  £601.63 and the 7.8 APR which I total I will need to repay  £36,098. FORECASTS: CASH FLOW AND BREAKEVEN SUSTAINING IDEA After analysing project figures and the information that I had gathered I can say that the business will make profit within the first year. If I would considering expanding my business locally in the future I will need to consider all the major expenses to pay. Into these expenses I am considering a bank loans which will be repaid within 5 years and capital purchase. After two or more years of trading the external factors will need to be considered, as they may change the impact on the business. Those external factors that would change are due to Political, Legal, Social and Economic influences Political influences Legal influences Social influences Economic influences SECTION D BREAK EVEN ANALYSIS Most of the businesses frequently want to know the amount of the business need to produce or to reach break even. If the business has collect the information about fixed costs and variable cost and what process it is going to charge, it will allows to calculate how many units will be required to sell to cover all of its costs. The stage of sales or outputs where total costs are exactly the same as the total revenue is called a breakeven point. There are several uses of the break even and the most common one which are used by almost most of the businesses are based on: Calculate in advanced the level of sale needed for break even See chow changes on the in cost affect the break-even point and profit See how effect in output affects profit. To calculate a break even point I am going to use following formula; BE= SP-VC/FC. (BE- Break Even, SP Selling Price, VC Variable Cost, FC Fix Costs). I also used this formula to draw up business break even point graph what will show exactly how much units needs to be sold to break even. Selling price Is the price that a unit is sold for. Sales Tax is not included the selling price and a sales tax paid is not included as a cost. The selling price of my products is 2,50 per unit Variable cost Variable costs are costs directly related to production units. Typical variable costs include direct labour and direct materials. Coffee, Cups, Lead and Sugar the total of those materials is 0.40 per unit. Fix costs Cost that do not change when production or sales levels do change, such as, rent, property tax, insurance, or interest expense. The total fix cost is  £55,934 Break even calculation BE= 2.50-0.40/55,934 BE = 26,636 This is the graph which shows the break even unit point. As you can see to break even I need to sell 26,636 units of coffee in a year. To get more specific figures that 2,220 coffees a month, which I think is achievable.  £ 0 RATIO ANALYSIS EXCLUSIVE SUMMARY The business that I had decided to set up is CS which will be located in - in Lisburn. The opening hours will be 8 am to 5 pm form Monday to Friday and 10 am to 3pm in Saturday and Sunday. Products The products that my coffee shop is going to sell is a wide range of coffee, teas, snacks, sandwiches and fresh salads and fizzy drinks. All the foods will be home made which will Employees I am going to employ two full times and one part time employee. Each of the employees will be paid  £1 over their minimal wage, which will allow me to motivate them. Finance Because  £10,000 which I got from my grandparents will be not enough to start the business I will take the loan. The amount I am taking is  £30,000 which will be repaid over 5 year time. Competition Esquires coffee shop The house of Vic-Ryn Street cafe Coffee Inc

Medical Technology and the Separation of Mans Body and Mind :: Exploratory Essays Research Papers

Medical Technology and the Separation of Man's Body and Mind The human was once whole in days before, but somewhere in his journey to the present, he lost himself. His mind and body have become separate identities that are unaware of each other's existence. Modern society reflects and encourages those thoughts very well, in my opinion. If a person believes his body is broken, ill, or in need of upgrading, he will seek out a medical professional specialized in the area of distress. Arriving to the specialist, the patient demands quick and efficient treatments that will cure/fix/upgrade the weakness in his body; unaware of the effects this may cause him mentally. Once cured of his weakness, the patient is in full working order and is sent back out into the world. That man's procedure for curing his weakness is the same road taken as someone who wishes to fix a toaster, for example. Would it then be safe to say that the man, subconsciously or consciously, considers his body to be more closely related to a tool rather than a part of himself? Unfor tunately, I believe this man is only one person out of an entire society that shares the same dissociation of body and mind. Why do people of modern society not associate themselves with their physical being, and where is this leading us? Moreover, how did this alienation of self come about? I will try to explain the latter of the two questions first, because I believe the answer can be explained through the evolution of medical technology. Traditionally, the main goal of medicine, as in the practice of, has been to cure diseases and prevent death, a classic human vs. nature scenario. To overcome death, which is a part of all the life cycles in the natural world, is virtually impossible. However, I am not here to argue the validity of man's fight with nature. I am trying to explain that the traditional medical community has but one enemy, and its success with that enemy has been limited. However, as time passes, the main goals of medicine start to become questionable. Daniel Callahan addresses some of modern medicines new goals in the fifth chapter of False Hopes. Describing the second great attraction of modern medicine, he writes: Here the aim is not the historical goal of avoiding disease and averting death, but of using the knowledge

Homeland Security Phase Essay

The risk of terrorism has especially been high following the September 11, 2001, round of attacks.   The government and the people do have an inherent fear of terrorism, and the government and taken up many program and policies to counteract terrorism.   The role of public in the way it could help prevent terrorism and reduce the risk is still being assessed.   Besides, the terrorist organizations have also shifted their areas of interest due to several reasons including a stronger stance by the government and the law-enforcing agencies, destruction of several of the terrorist bases and finances, and greater use of terrorists on creating losses in terms of man and money. Following the 9-11 attacks, the top leadership of several terrorists’ organizations has been weakened.   These organizations have shifted their leadership from a centralized system to a peripheral one.   Although, the chances of coordinated attacks are less, there are increased chances of isolated incidents.   However, these can claim a huge toll in terms of human life.   After the happenings of September 11, the security in several parts of the US has been advanced.   The incoming flights and airports have been thoroughly checked.   As the security levels become more and more harder, the terrorists aim at softer targets (by which people would be completely caught unaware).   These terrorists groups aim at specific targets (such as hotels, places of worship, shopping malls, airports, aircrafts, etc), where the toll on humans is high (Dixon & Reville). It is important that the risk of a terrorist threat not only be identified, but also develop a plan to manage the risk.   The management of the entire terrorist threat should be done in three steps.   These include: – 1. Identification of the threat and assessment of the initial site/s – The type, nature and the probability of a terrorist attack should closely be assessed.   The intelligence agencies would have some measures in place by which such risks are identified.   They should also consider attacks on well-protected structures.   The law-enforcing agencies should conduct a site assessment of the probable terrorist location to determine the level of protection that is actually present and the extent to which it can be improved.   In this case, as the terrorist group is against capitalism, they would mostly attack a famous business building in the US City. 2. Assessment of the risks – The effects of the terrorist attack on a probable location should be closely assessed.   Some of the common analysis that is conducted includes analysis of explosives and blasts, and threats arising from nuclear, chemical and biological weapons.   Building and structures are closely assessed using the blast and explosive analysis.   The agencies should conduct a detailed analysis of how the building would react to an explosive, and the amount/type of explosives that would be require to completely collapse the building.   Specialized software tools are usually utilized.   Accordingly, the agencies can look out for the presence of such explosive in the building. 3. Management of the risks – This is similar to management of any other disaster such as an earthquake or a tsunami.   The risks have to be management at several periods depending on what intelligence the agencies would be obtaining.   If the intelligence agencies get an idea that at a particular time, a specific building would be attacked, then it would make sure that the building is well protected and that the terrorists are caught.   However, if the intelligence agencies do not get a specific idea, then it would have to increase the security measures in general and accordingly plan for an emergency or a disaster, so as to reduce the causalities.   Efforts should also be on to reduce the financial risks if possible.   Insuring the high-risk areas can do this.   (Gould, 2004), One of the theories utilized to counteract terrorism is the policy of pre-emption.   According this theory, by acting first, an attack an effectively be prevented.   The law-enforcement agencies should use preventive action against the terrorist in order to prevent a life-taking attack.   Preemptive attacks could be considered as a separate law to launch an attack on the terrorist (Embrey, 2003).

Channels of Distribution and Logistics

Chapter 6 Channels of distribution and logistics LEARNING OBJECTIVES By the end of this chapter you will: n n n n omprehend key elements and decisions in distribution channel design be able to evaluate different configurations of channel structure be familiar with recent trends and developments in channels of distribution appreciate the importance of managing the physical flows of products, services and information into, through, and out of the organization to its customers n grasp the meaning and scope of physical distribution and logistics management n be aware of developments and trends in production and manufacturing, particularly the growth of ‘lean manufacturing’ and implications for logistics n recognize the role of Information Technology and marketing in logistics Channels of distribution and logistics 191 INTRODUCTIONThis chapter deals with the ‘place’ element of marketing strategy (i. e. ‘placement’ of goods and services from their res pective providers into the hands of customers). Before we discuss the structure of marketing channels, followed by logistics, it is useful that we look at their emergence and the functions that channels perform. THE CONSUMER WANTS CYCLE The word ‘channel’ has its origins in the word for canal, which for marketing can be interpreted as a route taken by products as they flow from production to points of intermediate and final use. Marketing is a key factor in a continuous cycle that begins and ends with consumer wants. It is the role of he marketer to interpret consumer wants and combine them with empirical market data such as location of consumers, their numbers and preferences, to establish the starting point for manufacture. On completion of manufacture, the finished product is moved to the consumer and the cycle is complete when he or she obtains satisfaction resulting from product ownership. THE PRODUCER–USER GAP Despite the growth of direct marketing (to be d iscussed in Chapter 10) in today’s complex economy, most producers still do not sell directly to final users. Between them and consumers lie marketing intermediaries. A distribution channel bridges the gap between user and producer, and so plays an integral role in the operation of the marketing concept. Relationships among channel members are influenced by the structure of the channel.Marketing channels can be described as sets of interdependent organizations involved in the process of making a product or service available for use or consumption. DEMAND STIMULUS In addition to marketing channels satisfying demand by supplying goods and services in the right location, at the correct quantity and price, they should stimulate demand through promotional activities of retailers, manufacturers and wholesalers. In this way, a marketing channel should be 192 Channels of distribution and logistics viewed not just as a demand satisfier, but as an orchestrated network that creates valu e for consumers through the generation of form, possession, time and place utilities.We start by examining ways in which distribution systems are designed and how channel policy is determined, depending on the degree of market exposure sought by a company. DISTRIBUTION SYSTEM DESIGN The starting point for marketing channel design is the end consumer. Although an understanding of consumer purchasing patterns is essential, there are other factors that influence channel organization: n n n n n There may be a restriction in choice of outlets available to suppliers, e. g. retail outlets may already have been secured by established manufacturers. Channel design will be influenced by the number, size and geographic concentration of consumers.If customers are few in number, but large and geographically concentrated, it may be that direct channels will be suitable. If customers are dispersed, the mechanics of direct channels become increasingly difficult and there will be a need for a large number of intermediaries. Product characteristics affect channel design. Industrial goods manufacturers tend to use direct channels, but there are other factors that influence the decision. Perishable goods, for example, need to be turned over quickly so direct methods are often applied. Non-perishable, non-bulky goods can be handled via indirect channels. Some products are more suited to indirect channels because of environmental characteristics.For example, in some countries shopping is seen very much as being a leisure activity especially for items like clothing and furniture, so much so that companies such as the Swedish company IKEA have made this a central part of their business model. Some organizations have limited discretion over marketing channel choice owing to economic conditions and legal restrictions. In certain of the Eastern European and Baltic countries such as Estonia, Latvia and Uzbekistan there is still restricted choice in terms of the range and scope of retail outlets for marketers. Any channel decision will have long-term implications for the company, e. g. price will be affected depending on the number of levels between the manufacturer and the end user.A decision to change channels is likely be long term so it is important that existing channel structures are constantly reviewed to exploit opportunities. STRATEGIC CHANNEL CHOICES An important consideration when formulating channel policy is the degree of market exposure sought by the company. Choices available include: Channels of distribution and logistics 193 n n n Intensive distribution where products are placed in as many outlets as possible. This is most common when customers purchase goods frequently, e. g. household goods such as detergents or toothpaste. Wide exposure gives customers many opportunities to buy and the image of the outlet is not important.The aim is to achieve maximum coverage. Selective distribution where products are placed in a more limited number of outlets i n defined geographic areas. Instead of widespread exposure, selective distribution seeks to show products in the most promising or profitable outlets, e. g. high-end ‘designer’ clothes. Exclusive distribution where products are placed in one outlet in a specific area. This brings about a stronger partnership between seller and re-seller and results in strong bonds of loyalty. Part of the agreement usually requires the dealer not to carry competing lines, and the result is a more aggressive selling effort by the distributor of the company’s products, e. g. n exclusive franchise to sell a vehicle brand in a specific geographical area, in return for which the franchisee agrees to supply an appropriate after sales service back-up. We can see that there are several key decisions to make when determining the company’s distribution system. Its importance is underlined by the fact that the choice of distribution channel has an effect on all elements of the marketi ng mix and these are long term. TYPES AND CLASSIFICATION OF CHANNELS Marketing channels can be characterized according to the number of channel levels. Each institution that works to bring the product to the point of consumption is included. The number of intermediaries involved in channel operation determines on how many levels it operates.There are four main types of channel level in consumer markets as shown in Figure 6. 1. The first three levels (zero, one and two) are self explanatory. The three level channel includes a ‘jobber’, or merchant Zero level channel manufacturer Consumer One level channel manufacturer Retailer Consumer Two level channel manufacturer Wholesaler Retailer Consumer Three level channel manufacturer FIGURE 6. 1 Wholesaler Jobber Retailer Consumer Channel relationships 194 Channels of distribution and logistics wholesaler who intervenes between the wholesaler and retailer. It is the jobber’s role to buy from wholesalers and sell to small er retailers, who are not usually serviced by larger wholesalers.Within each channel, intermediaries are connected by three types of flow: 1 Physical flow describes movement of goods from raw material that is processed in various stages of manufacture until it reaches the final consumer. In the case of a towel manufacturer raw material is cotton yarn which flows from the grower via transporters to the manufacturer’s warehouses and plants. Title flow is the passage of ownership from one channel institution to another; when manufacturing towels, title to raw materials passes from the supplier to the manufacturer. Ownership of finished towels passes from manufacturer to the wholesaler or retailer and then to the final consumer. Information flow involves the directed flow of influence from activities such as advertising, personal selling, sales promotion and publicity from one member to other members in the system.Manufacturers of towels direct promotion, and information flows to retailers or wholesalers, known as trade promotion. This type of activity may also be directed to end consumers, i. e. ‘end user’ promotion. 2 3 Conventional marketing channels comprise autonomous business units, each performing a defined set of marketing functions. Co-ordination among channel members is through the bargaining process. Membership of the channel is relatively easy, loyalty is low and this type of network tends to be unstable. Members rarely co-operate with each member working independently of others. Decision makers are more concerned with cost and investment relationships at a single stage of the marketing process and tend to be committed to established working practices.Most food grocery products in the European Union are marketed through conventional marketing channels; independent food and grocery producers are responsible for growing, rearing and manufacturing products and brands. These are sold through a series of wholesalers and retailers such as Sainsbury’s, Aldi, Lidl, Tesco or Carrefour each operating as independent businesses in the chain and selling to their own customers. Vertical marketing systems are in contrast to conventional channels where members co-ordinate activities between different levels of the channel to reach a desired target market. The essential feature is that participants acknowledge and desire interdependence, and view it as being in their best longterm interests.For the channel to function as a vertical marketing system, one of the member firms must be acknowledged as the leader; typically the dominant firm, which can be expected to take a significant risk position and usually has the greatest relative power within the channel. An example of a vertical marketing system is that of franchising. The franchiser, usually on the basis of having a powerful brand or perhaps a patent/copyright, for a fee, allows franchisees to produce or distribute the product or service. The franchiser effectively c ontrols the channel, including aspects such as product ingredients, advertising and marketing, pricing, etc. through formal and legally enforceable agreements. Franchising is an example of what are termed contractual vertical marketing systems which we consider again shortly.Corporate vertical marketing is when a company owns two or more traditional levels of the channel. In many economies corporate vertical channels have arisen as a result of a desire for growth on the part of companies through vertical integration. Two types of vertical integration are possible with respect Channels of distribution and logistics 195 to the direction within which the vertical integration moves a company in the supply chain: when a manufacturer buys, say, a retail chain, this is referred to as forward integration with respect to the chain. Backward integration is moving upstream in the supply chain, e. g. when a retailer invests in manufacturing or a manufacturer invests in a raw material source.Alt hough the end result of such movements is a corporate vertical marketing channel, often the stimulus to such movement is less to do with channel economies and efficiencies, and more with control over access to supply or demand, entry into a profitable business or overall scale and operating economies. Much vertical integration activity which took place during the 1990s in many economies resulted in lower overall profitability levels, and in some cases, the demise of companies involved, as companies overextended themselves and/or moved into areas where they had little expertise. Because of this, many companies have now turned their attention towards contractual systems for achieving growth and more control through the vertical marketing system.Many of the large oil companies are examples of corporate vertical marketing. They prospect for oil, extract it, process it, distribute and retail it through their petrol stations. Other companies operate partial corporate vertical marketing sy stems in that they integrate only one way. Zara (the clothing retailer) is integrated vertically backward with manufacturing facilities. Firestone (the tyre manufacturer) on the other hand, is vertically integrated forward owning its own tyre retailers. Many companies formalize their obligations within channel networks by employing legitimate power as a means of control achieved by using contractual agreements.Nearly all transactions between businesses are covered by some form of contract, and as such the contractual agreement determines the marketing roles of each party within the contract. Indeed, the locus of authority usually lies with individual members. The most common form of contractual agreement are franchises and voluntary and co-operative groups. Franchises are where the parent company grants an individual person or relatively small company the right or privilege to do business in a prescribed manner over a certain time period in a specified place. The parent company is r eferred to as the franchiser (or franchisor) and may occupy any position in the channel network. The franchise retailer is termed the franchisee.There are four basic types of franchise system: n n n n Manufacturer/retailer franchise, e. g. service stations where most of the garage petrol stations such as Shell and Esso are franchisees of the large oil exploration and refining companies. Manufacturer/wholesaler franchise: e. g. Coca-Cola sell drinks they manufacture to franchised wholesalers, who in turn bottle and distribute soft drinks to retailers. This type of arrangement is common in the food and drinks markets with many of the large companies franchising part of their manufacturing and or wholesaling activities to others. The wholesaler/retailer franchise. Many retail chains are franchisees of large wholesalers.These wholesalers saw the value of securing a measure of control, and of course a share of the retail profits, from marketing their products and brands. The most notable example is ‘Spar’ which advertises itself as ‘Spar, your 8. 00 till late shop’, and of course all retail members must abide by this promise. The service/sponsor retailer franchise e. g. McDonald’s, Kentucky Fried Chicken, Subway, Car Rental companies like Avis and Hertz and services like DynoRod and Prontaprint. This is the best known and certainly most ubiquitous of franchising arrangements and it has enabled many organizations to rapidly expand their global operations. 196 Channels of distribution and logistics There are different types of franchise arrangement, e. g.McDonald’s insists that franchisees purchase from official suppliers; they provide building and design specifications, help locate finance for franchisees and impose quality standards to which each unit must adhere in order to hold its franchise. Rigorous inspection through ‘secret shoppers’ (explained in Chapter 12) ensures franchise ‘rules’ are being obeyed. Franchises share a set of common features and operating procedures: 1 2 3 4 A franchise essentially sells a nationally, or internationally, recognized trade name, process, or business format to the franchisee. The franchiser normally offers expert advice e. g. location selection, capitalization, operation and marketing. Most franchises operate a central purchasing system at national or international level to enable cost savings to be made at the individual franchise level.The franchise is subject to a contract binding both parties that normally requires the franchisee to pay a franchise fee and royalty fees to the franchiser, but the franchisee owns the business as opposed to being employed. The franchiser often provides initial and continuous training to the franchisee. 5 Contractual vertical marketing systems like franchising have been one of the fastest growing areas of marketing and distribution. Substantial advantages derive from the franchising system. From a system t hat essentially involves two independent parties voluntarily agreeing to contract with each other, advantages accrue to both the franchisee and franchiser. Advantages to the franchisee are: n n n n n n The franchisee gains the benefit of being able to sell a well-known product or service which has been market tested and known to work.The franchisee enjoys access to the knowledge, experience, reputation and image of the franchiser. Because of this the franchisee is able to enter a business much more easily than setting up from scratch. The learning curve is shortened, expensive mistakes can be avoided, and there is less chance of business failure. Although the franchisee has the backing of what is often the large organization of the franchiser, the franchisee is still essentially an independent business with all that this implies for motivation to succeed. The franchisee is often helped by national or international advertising and promotion by the franchiser which would be beyond the means of a small independent business.The franchisee enjoys the use of the franchiser’s trademark, continuous research and development and market information. The franchiser will normally provide a system of management controls such as accountancy, sales and stock control procedures. Advantages to the franchiser are: n Finding and recruiting a network of franchisees enables rapid growth as wider distribution can be achieved with less capital. Channels of distribution and logistics 197 n n n n The individual franchisee is more motivated than a hired manager might be. The franchiser secures captive outlets for products or services, especially in the case of trade name franchising and private labels. Franchise and royalty fees provide a regular stream of income for the franchiser.The terms of the franchise contract normally give the franchiser substantial control over how the franchise is operated and normally the franchiser can terminate a contract should the relationship turn out to be unsatisfactory. The costs of such terminations are likely to be less than if the franchiser was operating a corporate owned facility with staff on the payroll. Normally, terms and restrictions on location and sale of the business by the franchisee ensure that the franchiser is able to maintain territorial exclusivity for its franchisees. There are disadvantages, but the franchise relationship combines the strengths of both small and large scale businesses. The franchisee is the small business person who is able to respond to local market conditions and offer personal services to customers.The franchiser passes on economies of scale in national advertising and bulk purchasing. For a franchise to be successful both parties need to work towards a common goal and avoid conflicts which requires frequent and open communication between partners if the system is to meet changing market conditions while maintaining its integrity. What constitutes the main disadvantages of franchis ing depends from whose perspective we are looking; the franchisee or the franchiser. The main disadvantages of franchising from each perspective are: Disadvantages to franchiser: n The franchiser loses some control over the provision and marketing of the brand. Poor service on the part of the franchisee can result in problems for brand image. Ideas and techniques can be copied even if seemingly well protected by patents and copyright arrangements. n Some proportion of profit has to be foregone. n There may be less commitment and enthusiasm from the franchisee. n Often franchisees lack business skills or experience. Disadvantages to the franchisee: n lack of support from franchiser; n franchiser may go out of business; n lack of flexibility/scope to use initiative; n close control from franchiser. Franchising is not solely confined to consumer products like fast food. It is used for a wide range of products and services in both consumer and industrial markets. Voluntary and co-operat ive groups emerged in the 1930s as a response to competition from chain stores.The scope of co-operative effort has expanded from concentrated buying power to the development of programmes involving centralized consumer advertising and promotion, store location and layout, financing, accounting and a package of support services. 198 Channels of distribution and logistics Generally, wholesale sponsored voluntary groups have been more effective competitors than retail sponsored co-operative groups. Primarily this is because of the difference in channel organization between the two. In the former, a wholesaler can provide strong leadership, because it represents the locus of power within the voluntary system and this is normally supported by a brand name like ‘Spar’.In the latter, power is diffused throughout the retail membership and role specification and allocation of resources are more difficult to accomplish. The principal purpose here is in bulk purchasing. In volunt ary groups, retail members have relinquished some of their autonomy by making themselves highly dependent on specific wholesalers for expertise. In retail co-operative chains, individuals retain more autonomy and this tends to depend much less strongly on the supply unit for assistance and direction. This type of organization is not to be confused with the Co-operative movement that was founded in 1844 by the Rochdale, Lancashire, Society of Equitable Pioneers who were a group of 28 weavers and other workers.As mechanization of the Industrial Revolution pushed more and more skilled workers into poverty, tradesmen banded together to open their own store selling items they could not otherwise afford. Over four months they pooled together ? 28 of capital. They opened their store with a basic selection of dry goods and foodstuffs and quickly moved into higher quality unadulterated produce. They devised the internationally famous Rochdale Principles: 1 2 3 4 5 6 7 open membership; democr atic control (one person, one vote); distribution of surplus in proportion to trade; payment of limited interest on capital; political and religious neutrality; cash trading (no credit); promotion of education.Administered vertical marketing systems (VMS) do not have the formal arrangements of a contractual system or the clarity of power dependence of a corporate system. It is a co-ordinated system of distribution channel organization in which the flow of products from the producer to the end user is controlled by the power and size of one member of the channel system rather than by common ownership or contractual ties. Member organizations acknowledge the existence of dependence and adhere to the leadership of the dominant firm, which may operate at any level in the channel. Large retail organizations like Marks & Spencer typify this system. In administered systems like Marks & Spencer, units can exist with disparate goals, but there is informal collaboration on inclusive goals.Dec ision making occurs by virtue of interaction between channel members in the absence of a formal inclusive structure. However, the locus of authority still remains with individual channel members. As in conventional channels commitment is selforiented and there is a minimum amount of system-wide orientation among the members. As McCammon1 observes: Manufacturing organizations . . . have historically relied on administrative expertise to coordinate reseller marketing efforts. Suppliers with dominant brands have predictably experienced the least difficulty in securing strong trade support, but many manufacturers with Channels of distribution and logistics 199 fringe’ items have been able to elicit reseller co-operation through the use of liberal distribution policies that take the form of attractive discounts, financial assistance, and various types of concessions that protect resellers from one or more of the risks of doing business. An example of a successful administered VMS in is that of the furniture/lifestyle retailer, IKEA who has developed close working relationships with its suppliers. Acting as the channel co-ordinator, IKEA is committed to cost-effective supply and their suppliers benefit from the channel leadership of an effective and marketing-oriented retailer. Administered VMS are one step removed from conventional marketing channels. In an administered system, co-ordination of marketing activities is achieved by the use of programmes developed by one or a limited number of firms.Successful administered systems are conventional channels in which the principles of effective inter-organizational management have been correctly applied. Before we discuss how such marketing channels are co-ordinated, it is important that we discuss their structure. STRUCTURE OF MARKETING CHANNELS The marketing channel has two basic aspects: 1 2 the placement of intermediary types of channel in relation to each other i. e. the order in which they occur; the number of different intermediary levels or stages in the channel i. e. how many different separate types of intermediary are involved, so types of intermediary and number of levels determine the structure of a marketing channel. There are several types of channel structure, dependent on the type of goods.An example of a structure for consumer goods such as food and clothing is shown in Figure 6. 2. This figure is based on three assumptions: 1 2 3 The channel consists of complete organizations. Manufacturers’ agents and selling agents are included with the merchants even though they do not take title to the goods. Physical movement follows exactly the movement of ownership. We must understand the underlying reasons for the emergence of channel structures. Four logical steps can be identified: 1 2 3 4 The efficiency of the process can be increased via an intermediary. Channel intermediaries arise to adjust the discrepancy of assortments through the performance of the sorting processe s.Marketing agencies remain together in channel arrangements to provide the routine of transactions. Channels exist to facilitate deliveries and to avoid inventory stock-outs. 200 Channels of distribution and logistics 1 M 2 M 3 M 4 M 5 M 6 M 7 M 8 M 9 M C W R A R W W A C W W C R W W W C C C R C R C R C R C M = Manufacturer W = Wholesaler A = Agent (sells for manufacturers) R = Retailer C = Consumer FIGURE 6. 2 A typical example of structure for consumer goods Rationale for intermediaries As numbers of transactions increase, the need for intermediaries becomes greater. The marketing channel is a ‘canal’ which contains the physical flow of products.Because of the complex array of intermediaries operating within a channel, which may be involved in one or all aspects of channel function, the channel may also be visualized as a chain-link arrangement where each intermediary unit is effectively a link. Manufacturers are dependent on the effectiveness of their intermediaries if their channels of distribution are to meet their marketing goals. Intermediaries of a channel specialize in more than one function. Their inclusion primarily depends on their superior efficiency in the performance of basic marketing tasks. Such intermediaries, through their experience, specialization, contacts and scale of operation, offer other channel members more than they can achieve on their own. However, this type of specialization leads to some important behavioural concepts. Position and role Each channel member chooses a position or location in the channel. Role’ refers to the functions and degree of performance expected of the firm filling a position. Channel intermediaries perform the distribution function at a lower unit cost than the manufacturer who is the intermediary most distanced from the consumer, and they balance the production efficiencies of the supplier to the purchasing needs of the customer. Another reason is to break down large volumes into smalle r quantities, termed ‘breaking bulk’, e. g. a furniture retailer places an order for 100 tables, but the individual buys only one. When we consider the selling process, the number of intermediaries can reduce the number of transactions Channels of distribution and logistics 201 ontained within the selling process. See Figure 6. 3. Figure 6. 3 shows that there are four manufacturers and ten retailers who buy goods from each manufacturer. Here the number of contact lines amounts to 40 (i. e. 4 10). If all four manufacturers sell to 10 retailers through one intermediary, the number of contacts is reduced to 14 (i. e. 4 10). The number of contacts increases as the number of intermediaries increases, e. g. when the number of wholesalers is increased to 2, contacts will increase from 14 to 28 (i. e. [4 2] [10 2]). Thus, greater numbers of intermediaries result in diminishing returns per contact. (a) Selling directly ManufacturersRetailers 40 contact lines (b) Selling through one wholesaler Manufacturers Wholesaler Retailers 14 contact lines (c) Selling through two wholesalers Manufacturers Wholesalers Retailers 28 contact lines FIGURE 6. 3 The economics of intermediary systems 202 Channels of distribution and logistics Assortment and sorting In addition to increasing the efficiency of transactions, intermediaries smooth the flow of goods and services by creating what economists refer to as ‘possession’, ‘place’ and ‘time’ utilities. This smoothing requires that intermediaries perform a sorting function to overcome the discrepancy that arises between goods produced by manufacturers and goods demanded by the consumer.In addition, intermediaries bring together a range of similar or related items into a large stock, thus facilitating the buying process. A supermarket will buy in thousands of lines to provide shoppers with choice, and a builders’ merchant will provide everything from sand and gravel to light fitt ings that the builder can use. In this way, intermediaries play an important role in facilitating the flow of products from the manufacturer to the consumer. Routine transactions The cost of distribution can be minimized if transactions are routinized. In effect, through routinization, a sequence of marketing agencies is able to hang together in a channel arrangement or structure.A good example is automatic ordering, whereby the cost of placing orders is reduced when retail inventory levels reach the necessary re-order point. Searching Buyers and sellers are often engaged in similar activities within the marketplace. There is a degree of uncertainty if manufacturers are unsure of customer wants and needs, and consumers are not always sure what they will find. In this respect, marketing channels facilitate the searching process in two ways: 1 2 Wholesale and retail institutions are organized by different product groups; for example, fashion, hardware, grocery. Many products are widel y available from wide ranging locations. FLOWS IN MARKETING CHANNELSWhen we discuss marketing flows, there will be times when the word ‘function’ could be used, but here we refer to marketing ‘flows’ in channels as a better method of describing movement. In this way, we can show that various intermediaries that make up a marketing channel are connected by several distinguishable types of flow, summarized in Figure 6. 4, which depicts eight universal flows. The figure shows that physical possession, ownership and promotion are typically forward flows from producer to consumer. Each of these moves is ‘down’ the channel; a manufacturer promotes the product to a wholesaler, who in turn promotes it to a retailer, and so on. Negotiation, financing and risking flows move in both directions, whereas ordering and payment are backward flows.Financing is the most important of these flows; at any one time, when stocks are being held by one member of the ch annel, financing is in operation. When a wholesaler takes ownership and physical Channels of distribution and logistics 203 Physical possession Ownership Promotion Producers Retailers Negotiation Financing Rising Ordering Payment Wholesalers Customers: household and industrial FIGURE 6. 4 Marketing flows in channels Woolly Thinking Under the auspices of the Confederation of British Wool Textiles (CBWT), groups of British wool textile manufacturers exchange information and ideas. The Confederation is organized into distinct groups in the industry with each group representing a particular stage in the manufacturing and processing of wool.For example, there is a group representing ‘Raw Fibre Producers’, another representing ‘Spinners’, another representing ‘Fabric Manufacturers’ and one representing the interests of ‘Dyers and Finishers’. possession of a portion of the output of a manufacturer, the wholesaler is essentially financing the manufacturer. This notion is apparent if the costs of stock are considered. Stock held in stores as dormant stock is ‘dead money’, but if this is freed via a wholesaler, this ‘dead money’ is available for reinvestment. The furniture industry exemplifies the flow. Traditional furniture retailers operating on a sold-order basis do not participate in the backward financing flow.However, ‘warehouse type’ furniture retailers participate in this flow directly, and receive benefits from manufacturers in the form of lower prices and preferential treatment. This backward flow of financing is not solely associated with stockholding, another example being prepayment for merchandise. The problem is that in the event of any downturn in sales the warehouse type retailer with large sums of money tied up in stock is very vulnerable to cash flow and liquidity problems. To underline this, blaming the downturn in the UK housing market in July 2009, the UKâ₠¬â„¢s second largest carpet retailer, Allied Carpets, called in the receiver. 204Channels of distribution and logistics Forward flow of financing is more common. All terms of sale, with the exception of cash on delivery and prepayment, may be viewed as elements of the forward flow of financing. In addition to these flows there is information flow. Typically, information regarding product attributes is passed ‘down’ the channel, often with the dominant channel member having greater influence on this function. Marketing information is passed ‘back’ up the channels. In addition, information flows horizontally, i. e. with intermediaries operating at the same level, such as fibre manufacturers, communicating for mutual benefit.CHANNEL CO-ORDINATION However well designed a marketing channel may be it is important that it is organized and coordinated, otherwise activities and flows will not operate effectively, and the full potential of the system will not be real ized. Emphasis should be placed on understanding behavioural dimensions of inter-organizational relationships, because through such understanding, the manager can organize, manipulate and exploit available resources. The long-term objective of channel management is to achieve, at a reasonable cost, the greatest possible impact at the end user level, so that individual members of the channel can obtain satisfactory returns (e. g. rofits, market share) as compensation for their specific contributions. The behaviour of intermediaries within any given structural arrangement should thus be directed towards achieving high yield performance. Once the marketing management of an organization isolates the market targets to attack, and the products and services which it must supply in order to satisfy needs and wants in those various segments, the question of how best to make products and services available for consumption arises. Figure 6. 5 identifies four major steps that represent the co-o rdination process. The first step is to determine the level of service outputs demanded by end users of the commercial channel system.Service outputs that are among the most significant in distribution are, for example, lot size. Some companies insist on a minimum order level. Under this limit they will not accept the order. In contrast, often smaller companies are unable or unwilling to supply orders over a certain size. A second type of service output is delivery or waiting time, or how long it takes from order to delivery. A third service output relates to market decentralization or spatial convenience, namely, to where the provider will deliver. For example, some suppliers will only deliver locally whereas at the other extreme some will undertake to deliver anywhere in the world. Finally, there is breadth and depth of product or service assortment.This refers to whether or not the provider is able to supply a full range of products and services or only a selected range, i. e. a ‘one -stop shopping’ facility. The second step involves identifying the marketing tasks that need to be carried out in order to achieve the service outputs, and which channel members have the capability to perform the tasks. Management must then determine whether, through the use of channel control strategies, they will be able to control the behaviour of existing channel members or be compelled to integrate channel flow vertically so the required service outputs are provided to end users. Channels of distribution and logistics 205 Step 1 Determine service output levels required by customersStep 2 Analyse the roles which channel members must perform to assure delivery of the required service outputs Step 3 Use economic and other power bases to motivate channel members to carry out their assigned roles Step 4 Devise mechanisms for dealing with conflicts that occur within the channel FIGURE 6. 5 Stages in the channel co-ordination process For example, if a desired level o f service output is that orders must be fulfilled within five working days then the channel and logistics system must be designed to reach this service level. If intermediaries in the channel are unwilling or unable to meet this service output then alternative channel arrangements must be found.Without effective channel management and control there is no guarantee that the desired service outcomes will be achieved, so a major issue in channel management relates to where, and to what extent, marketing flow participation should be assumed to generate the desired service outputs; e. g. if a car buyer needs finance, the manufacturer, the retailer or an outside intermediary should provide it, but lending services must be readily available if the consumer is going to feel comfortable in considering a specific purchase that requires finance. In a situation where no channel intermediary is willing to accept the risk of financing, the initial supplier may have to assume this, i. e. it would prefer to specialize in those flows that it can perform at a comparative advantage.The third step in the co-ordinative process is to determine which strategies should be used to achieve the desired results, irrespective of whether management decides to invest in integrating functions or whether it deals with independent companies. Essentially this is an issue of where and how ‘power’ is applied in the channel. Power is the ability to get somebody to do a task. In the context of a marketing channel it can be defined in terms of how one channel member can exert influence on another channel member. For example, due to their size and purchasing power, many retail multiples in the UK like Marks & Spencer are able to exercise substantial power over their suppliers.Power is the mechanism by which congruent and effective roles become specified, roles become realigned when necessary, and appropriate role performance is enforced. There are several bases of power, which include re ward, coercion and expertise. 206 Channels of distribution and logistics The fourth step involves setting up mechanisms to deal with conflict issues that may arise so that the channel will continue to provide the desired service outputs even if channel members disagree. Very often channel members perform unique roles. Thus, manufacturers specialize in production and national promotions, while retailers specialize in merchandising, distribution and promotion at a local level. This specialization means that channel members become reliant on each other to achieve objectives.There has to be co-operation between channel members, as without it, the task will not be completed. Such co-operation does not always come easy and needs to be cultivated. CHANNEL CONFLICT There is a danger that there will be conflicts of interest and distribution channels will exhibit levels of conflict. For example, suppliers may want to deliver weekly to a retailer, but the retailer wants to hold less stock, so may want daily deliveries. Ideally, channel members should attempt to coordinate their objectives, plans and activities with other intermediaries such that performance of the total distribution system to which they belong is enhanced.Evidence supports the view that such integrated activity throughout the length of the marketing channel is rare and channel participants are not too concerned with transactions that occur between each of the various channel links. Channel intermediaries are more concerned about dealings between channel members immediately adjacent to themselves, from whom they buy, and to whom they sell. Channel intermediaries do not function as component members of a distribution system, but operate independently, making decisions concerning their own methods of operation, functions performed and clients served as well as deciding their own objectives, policies and programmes.Therefore, a marketing channel should be a set of interlocking and mutually dependent elements and it is in the interests of all channel members for there to be a substantial degree of co-operation, but an almost inevitable feature is potential conflict between members which should be taken into account when making channel arrangements. It is possible that healthy competition can lead to conflict and management should seek ways to reduce this conflict. Conflict in distribution channels can occur in different forms as follows: 1 2 Horizontal conflict – is related to competition among similar types of intermediaries at the same level in the channel – e. g. two household textile stores in competition with each another.Intertype conflict – refers to competition among different types of intermediaries at the same level in the channel. This kind of competition has intensified since the advent of ‘scrambled merchandising’ by retailers (where retailers add new product lines that are unrelated to their normal lines of business) e. g. supermarkets hav e added homewares and clothing to their product lines, offering consumers a wider product range and attaining higher margins. Intertype conflict is significant as it reflects a way in which industries remain efficient and respond to changing market conditions. Vertical conflict – refers to competition among different levels in a channel.Such problems can be damaging to existing co-operative relationships e. g. in recent years some of the major car producers have been in conflict with their distributors over matters like pricing and discount policies, stockholding levels and exclusivity agreements. 3 Channels of distribution and logistics 207 Stress and conflict can be in a dormant state; times of change cause existing stress to peak, leading to hostility among channel members. Some conflict is inevitable in channels and may even be positive in that it can prompt needed changes. The earlier example regarding retailers selling manufacturers’ brands at lower prices than m anufacturers wish is an example of vertical conflict.Selling of brands like Levis and Calvin Klein at prices lower than those recommended by manufacturers has given rise to vertical conflict in the channel. Other examples of this type of conflict in the UK recently have been the selling of discounted books and discounted pharmaceutical products by the large retail supermarket groups. Goal incompatibility Channel members appear to share a common goal – maximizing the efficiency and effectiveness of the total system. However, each firm exists as a separate legal entity, each with its own employees, owners and other interested parties who help shape its goals and strategies. Some firms’ goals may be incompatible with the aims and objectives of other channel members.This incompatibility can be a primary cause of stress which will ultimately result in conflict. The distribution of channel profits is a typical example. Each institution will desire the highest possible profit for the whole channel and the natural tendency will be towards co-operation to achieve maximum profit levels. However, each individual firm can be expected to desire the largest obtainable share of total channel profits. The predictable result is conflict over the allocation process. Even if goals are compatible, there may be disagreements about methods employed: all channel members may agree that increases in volume of a product are desirable, but may disagree on the means employed to accomplish it.Wholesalers may desire more shelf space for better positioning of products in retail stores; retailers may feel that more advertising and promotional effort by the manufacturer would accomplish the objective of an increase in sales. The result is conflict over which method to use. Position, role and domain incongruence In a channel consisting of a manufacturer using only wholesalers who sell to retailers, there will be a realignment of the roles and domains of each party. By serving lar ge retailers direct, positions will be re-specified. Changes in position specification, or poorly defined positions, can precipitate conflict among channel members, so the manufacturer must anticipate and understand the expected behaviour of such members. In situations where consensus does not exist, conflict can be expected.Because each role represents a code of conduct defining the channel member’s expected contribution, adequate performance is critical to maintaining harmony within the channel system. Inadequate performance, or failure to behave in the prescribed manner, frustrates attempts by one firm to predict what the other will do and such frustration is a major cause of channel conflict. Conflict may also arise when there is lack of agreement concerning who is the channel leader (termed the ‘channel captain’). If channel members disagree on the domain of firms in the system, there will be conflict and an inability to achieve goals. If domains overlap, an d two or more firms lay claim to the same functions, products or customers, disagreement might lead to hostility.The conflict between car producers and their distributors just described, in part stems from the issue of 208 Channels of distribution and logistics who controls the channel. In the past it has been the car companies who have been channel captains but market and legislative changes have shifted the balance more towards distributors, giving rise to conflict. Communication breakdown Communication breakdowns may cause conflict in two ways: 1 The failure of one firm to pass on vital information to other channel members. A manufacturer wishing to maintain a competitive advantage may decide not to announce a new product until a national distribution programme has been developed.Retailers, on the other hand, need information about new products as soon as possible to prepare their own strategy for the introductory period. Distortion within the message process is called ‘noi se’ that often arises from confused language nuances. When channel members attach different meanings to language and terminology (e. g. if their roles are unclear and confused) stress results and there is potential for conflict. Speculation surrounding the health of Apple boss Steve Jobs caused problems for the company and its distributors. In January 2009 the annual MacWorld conference normally used to announce new products and developments was cancelled.This caused speculation in the trade about whether or not Jobs would continue. The problem was not so much Jobs’ illness bur rather the rumours about it. In July 2009 it was announced that Jobs was making a good recovery from a liver transplant. 2 Communication breakdowns are common in specialist business areas. Noise arises when functional specialists develop terminology that means little to those outside that business environment. Unclear communication with non-specialists can play a part in developing conflict so t he specialist should ensure that communications have been understood. Differing perceptions of reality Different solutions to mutual problems can lead to confliction behaviour.Even when channel members have a strong desire to co-operate and goal agreement exists, conflict can occur when perceptions of the real facts differ. Bare Bellies Update Dear all, further to my e-mail yesterday, I’ve had clarification that a new system for producing bare belly information will be in place. Please note there will no longer be blank bare belly sheets available in departments. Confused? So was this organization’s staff who received this e-mail. The e-mail was from the organization’s publicity department and was sent to all staff. ‘Bare bellies’ is a term used by printers to denote blank sheets to be printed on. The e-mail related to the production of company promotional material. Channels of distribution and logistics 209Each channel member brings to the relation ship different backgrounds and prejudices; facts are likely to be interpreted according to prior experience. All members may agree that the channel is not functioning as effectively as desired; each channel member may perceive a different reason for this lack of effectiveness. Manufacturers may feel that a retailer’s lack of stock is due to failure to maintain adequate safety stock levels and realistic reorder points. The retailer may feel that inventory policies are realistic and that the problem is caused by the manufacturer’s inability to meet scheduled delivery times. Each party is interpreting the situation based upon experience and natural prejudices associated with its own position and role. Ideological differencesSometimes there may be a fundamental ideological conflict in channels which stems from big business and small business perceptions of management, particularly concerning the appropriate level of sales effort. For example, a manufacturer may be so satis fied with the performance of a wholesaler in a given territory that pressure is exerted on the wholesaler to expand the line of products on offer, whereas the wholesaler may be satisfied with allowing the business to continue to run in its present form. In this way, pressures exerted by the manufacturer will lead to stress and conflict in the relationship. If this is an established channel, it is in the interests of everybody to settle the dispute or misunderstanding quickly.There are several methods of resolving conflict, and it is a task of management to seek ways in which to manage it to avoid it becoming dysfunctional and to harness the energies in conflict situations to produce solutions. Depending on which underlying cause is identified, different strategies can be employed in isolation. Another important factor in the resolution of the conflict will be the weight of power of the channel member seeking to resolve the conflict. Problem solving Adopting superordinate goals is a method that refers to goals that are desired by all members caught up in the conflict. Often such goals cannot be achieved by individual channel members, as concerted efforts of all parties are required.Such disputes become more pronounced when the channel is confronted by an external threat, and conflict only dissipates when alternative channel systems emerge. The threat to existing channel members of new channel arrangements for car retailing in the UK has brought about a reduction in conflict between traditional channel members. Car manufacturers and dealers were challenged by the fact that consumers were increasingly purchasing new cars through a variety of new channels including sourcing them from countries where prices might be lower, the growth of ‘car hypermarkets’ where cars are sourced on the ‘grey market’ and through the Internet.The result has been for existing traditional channel members to adopt superordinate goals and this has resulted in a r eduction of conflict between them in an effort to survive. Permanent conflict resolution requires an integration of the needs of both sides to the dispute so they find a common goal without sacrificing their basic economic and ethical principles. The problem is developing a common goal on which all parties agree. 210 Channels of distribution and logistics A solution exists to alleviate communications noise in distribution channels. A more efficient flow of information and communications in channels permits members to find solutions to their conflict based on common objectives. Channel communication efforts should be designed to decrease or avoid conflict, e. g. sing sales representatives to convey information from wholesalers or retailers implies that the manufacturer is trying to encourage the attainment of both individual and common goals; the function of the sales representative in such cases is that of ‘problem solver’. Persuasion This implies that institutions invo lved draw on their leadership potential. If effective channel management is to be achieved, it is often the case that there will be a need to locate an institution or an agency within the system that is willing to assume this role. Channel leadership is the intentional use of power to affect the behaviour of other channel members and cause them to act in a manner that contributes to the maintenance or achievement of a desired level of performance.Often channel control results from channel leadership and like channel power, the level of control achieved by one firm over others in a channel may be issue specific, e. g. while the manufacturer may have control over pricing, retailers may have control over stock levels. Whether or not control can be exerted depends on the power base of each channel member. By its nature, persuasion involves communication between conflicting parties. Emphasis is on influencing behaviour to resolve conflict; the primary intention is to avoid or reduce conf lict concerned with domain or sphere of influence. Persuasion allows members to reach a consensus resulting in agreement without formal bargaining. Some years ago a well-known company launched its own brand of cola. The new brand was eagerly tocked by many leading grocery supermarkets who were persuaded to make space for the new brand on their shelves. Inevitably this meant less shelf space for existing brands including some of the best known cola brands in the world. As if this loss of shelf space was not bad enough, the world’s leading cola brand claimed bitterly that at first glace the new Virgin cola looked remarkably like their own cola brand. They subsequently asked Virgin to withdraw the new brand in its present form and at the same time asked their supermarket customers not to stock it. Needless to say, there were protracted discussions, but after a little time all parties were persuaded to come to a compromise which avoided costly litigation and loss of face.The new cola was altered slightly in appearance, some of the lost shelf space was restored and the new brand gradually made inroads into the market. Bargaining/negotiations The difference between bargaining and persuasion is that in the bargaining process stress continues to exist in the system long after agreement is reached. In negotiation, no attempt is made to fully satisfy a channel member. Instead, the objective is to reach an ‘accommodation’ to stop conflict among members. Such a compromise may resolve the episode, but not necessarily the fundamental stress over which the conflict erupted. If stress continues, it is likely that some issue will cause conflict again at some later date. Compromise is a means by which bargains can be reached in the channel.Each party gives up something it desires to prevent or end conflict. Often compromise is necessary to reach domain consensus where persuasion and negotiation draw on abilities of parties involved to communicate. Channels o f distribution and logistics 211 Politics Politics refers to resolution of conflict involving new organizations in the agreement-reaching process. Mediation involves a third party, usually to secure settlement of a dispute by persuading the parties to continue negotiation or consider recommendations made by the mediator. Mediation involves understanding the conflicting views of parties in such a way that opportunities are perceived that otherwise may have been missed.The fact that solutions are being offered by a mediator, i. e. somebody external to the dispute, can often lead to a settlement if both parties deem the solutions acceptable. Effective mediation keeps the parties together and clarifies facts so the communication process does not break down. While mediation offers solutions to disputes, channel members are not obliged to accept the solutions. In arbitration, however, the solution suggested by the third party is binding upon the conflicting parties. Arbitration can be com pulsory or voluntary, and when it is the former, parties are required by law to submit their dispute to the third party and be bound by the decision.Voluntary arbitration is a similar process whereby parties are bound by the decision, but the dispute is settled voluntarily. The question of relying on law enforcement to settle disputes in distribution is imprecise as it is doubtful whether solutions enforced by law can be applicable to future channel disputes in different circumstances. In purely domestic channel management, these mechanisms are not greatly used because of the inability to find a neutral third party whose decision will be accepted by everybody involved in the dispute. However, arbitration is a normal and accepted part of international channel management and is part of the contractual agreement between the parties in channel activities.For example, if an exporter feels that an overseas agent has not fulfilled the terms of an agreement between him or herself and the pr incipal, but the two parties cannot agree as to the remedies for this, then normally the terms and conditions for instituting an arbitration process are written into the original contract and will be instituted to resolve the problem. Diplomacy Channel diplomacy is the normal method by which inter-organizational relations are conducted, adjusted and managed by ‘ambassadors’, envoys or other persons operating at the boundaries of member organizations. Normally channel members rely on diplomatic procedures, especially in nonintegrated systems. Channel diplomats should be the ‘eyes and ears’ of the firms they work for, and should report anything that may be of interest. Such ‘diplomats’ are commonplace in distribution channels at executive level.In this way, the diplomat’s power base is such that it is obvious to the parties with whom the diplomat will interact. Effective channel management strategies provide for more rational decision maki ng within the channel. THE DYNAMIC NATURE OF CHANNELS Marketing is characterized by constant change, and there is a need for the marketer to adapt to these changes, making marketing channels subject to change and innovation. Channels represent a 212 Channels of distribution and logistics dynamic area of marketing as they are constantly evolving to meet changing customer and market needs which reflect underpinning wider changes and trends in demography and lifestyles. Marketers must be aware of the changing nature of channels and respond to them.An example of recent developments that are indicative of the innovation and changing nature of this area is the growth of multi-channel systems of direct marketing and Internet marketing which are dealt with in Chapter 10. The growth of multi-channels Companies now use a variety of channel arrangements to reach their target customers. Once, companies tended to use only one type of channel configuration in their marketing; now they use several . The use of multi-channel systems can be for a number of reasons: n n n to increase market coverage by reaching new customers; to reduce costs of selling to certain customers where for example such customers require less service than that provided through the company’s normal channels; to achieve a more customized service to particular customers than would be available through the company’s normal channels.In multi-channel marketing, a company might sell to one group of customers using telephone selling and no intermediaries, while another target group may be marketed to through a network of dealers, since these customers require after-sales service and technical advice. Although there are advantages to be gained through using several different channel configurations to different target customers, multi-channels can give rise to increased costs if not controlled. They can also give rise to problems of conflict between different channel members where several channels a re used, particularly where one type of channel member feels that their contractual rights are being infringed. An example is where the marketer uses a system of ‘appointed’ distributors for the company’s products.In return for being granted ‘exclusive’ distribution rights in a particular g