Learning Orientations and Growth in Smaller Firms Assignment

Learning Orientations and Growth in Smaller Firms - Assignment Example There are different types of organizational learning, according to Klimecki and Lassleben they identify two types the reactive orientation that is characterized by caution, aversion to risk taking and experimentation, the other type is proactive orientation that is based on future needs of the organization. However the distinction made in this study is passive orientation and active orientation, passive orientation is the lower level learning while the active orientation is the higher level learning. Under the lower level learning scholars have identified single loop, adaptive and incremental levels of learning, while under the higher level learning we have double loop, generative and transformational levels of learning, The scale used in this study included the zero loops which meant no learning, the single loop which is similar to adaptive learning as identified as learning aimed at dealing with changes in a new and better way and finally the double loop similar to generative learning which moves beyond the adaptive learning and is aimed at building a different perspective for both the organization and individuals. Data used was cross sectional and collection was done by mailing questionnaires and a total of 174 questionnaires were returned from the industrial and commercial manufacturers whereas 126 questionnaires were returned for the business services sector. According to the results for the machinery manufacturing centre there was a statistically significant of the correlation between learning orientation scores and high sales growth this is evident in that F= 4.15 P= 0.007 compared to lower learning orientation scores associated with higher sales growth F= 4.64 P = 0.004. Therefore higher learning can be associated with high sales growth according to this research, firms should therefore adopt learning in order to enable them survive and grow, changes should be initiated in order to develop new skill and new ways of working. Learning should be aimed at improving the organizations current state and therefore should be both passive and active orientation. The mailed questionnaires may have been biased in that the respondent may overstate or overstate the scales, the best method would have been a face to face interview in order to rectify and avoid any biasness. The sample selection would have been a random sample from a population obtained from the registration of firms other than a cross sectional sample. Strengths: The research considers the size of the firms as indicated by the number of workers and also considers the type of firm in the analysis of the relationship between growth of a firm and the level of learning. The research has contributed to organizational studies in that it demonstrates the importance of learning to an organization in terms of growth. It is evident that the higher the level of learning the higher is the rate of sales growth. The research has strength in that it considers development of small firms which is in contrast to previous research that concentrated on the growth of large firms. It considers small firms in that they are the ones that require growing in future in order to increase job opportunities and avoid closing down in case of increased competition.

Chemical reaction Essay Example for Free

Chemical reaction Essay 1.Determine the enthalpy change for NaOH (s) + HCl (aq) → NaCl (aq) + H2O (l) using Hesss Law. a. Write the balanced chemical reaction and enthalpy change for Part I (1pt) b. Write the balanced chemical reaction and enthalpy change for Part II (1pt) c. Calculate the enthalpy change using Hesss Law. Refer to the lesson for an example of Hesss Law. (2pt) 2.If the accepted enthalpy change value for the dissolving of sodium hydroxide in water is −44.2 kilojoules per mole, determine the percent error of the experimental value that you calculated in Part I. Show your work. (experimental actual value) / actual value Ãâ€" 100 % 3.If the accepted heat of reaction for the neutralization of hydrochloric acid with sodium hydroxide is −56.0 kilojoules per mole, determine the percent error of the experimental value that you calculated in Part II. Show your work. (experimental actual value) / actual value Ãâ€" 100 % 4.Using the accepted values of the processes youve examined, would your estimation of the enthalpy change for the reaction of solid sodium hydroxide in aqueous hydrochloric acid change from the prediction you made in question one? Explain your answer in complete sentences. 5.Give a detailed explanation, using what you know about bonds and forces of attraction, for the enthalpy changes you observed in parts I and II of this lab. Explain your answer in complete sentences.

Africas FDI Inflow 1980-2003 Analysis

Africas FDI Inflow 1980-2003 Analysis CHAPTER ONE: INTRODUCTION 1.1 INTRODUCTION Foreign Direct Investment (henceforth FDI) is one of the most important integral parts of todays highly talked about global economy. The enormous growth of FDI towards developing countries over the past few decades has ignited a huge interest from researchers in both economics and finance fields. A number of studies have been undertaken with the aim to empirically examine what motivates firms to be involved in cross-border investments and what motivates countries to undertake different policy reforms and other measures in pursuit of attracting FDI. There is a consensus among FDI researchers that FDI can improve the recipient countrys development in various ways even when foreign firms do not provide externalities. The benefits of FDI to recipient countries are not ambiguous. FDI is seen as a solution to a countrys economic woes by providing the most needed foreign capital that boosts the economic activities of a host country. According to Goldberg (2000), FDI leads to transfer of tec hnology and other skills from foreign firms to local firms. It is through FDI that supplementary resources such as capital, management, technology and personnel become available to host countries. These resources may stimulate existing economic activities in a host country, encourage internal competition, and raise the level of national output. The presence of foreign producers is primarily believed to benefit the host countrys citizens by introducing a variety of new products into the domestic market, which are of superior quality and lower prices. Most importantly, FDI is a channel through which recipient countries gain access to international financial markets and earn foreign exchange. FDI creates a number of employment opportunities as foreign entities establish business units in various locations throughout the host country and relatively higher wage rates are offered. Backward linkages and spillovers are secondary benefits of FDI enjoyed by the recipient countries. Spillovers spur strong growth in industries into which FDI flows, especially when the competition between domestic and foreign firms is efficient. Foreign firms also go into joint ventures with domestic firms and a large percentage of profits generated through such collaborations are ploughed back into the domestic market, thereby contributing to the host countrys macroeconomic growth and development without necessarily providing externalities. Externalities provide another form of benefits that FDI recipient countries enjoy. The existence of foreign direct investors spawns the seepage of managerial, personnel, and technological expertise from the foreign to domestic companies. For instance, Old Mutual plc training programme in South Africa may benefit the South African insurance and financial sectors as a whole. It is because of the above-mentioned benefits that developing countries are actively embarking on measures involving macroeconomic as well as socio-political reforms with clear intentions of advancing their investment climate to attract FDI on a large scale and achieving sustained economic growth. Developing countries have formerly depended on loans and official development assistance as a source of foreign capital, principally provided by international agencies such as the World Bank and OECD countries. However, the flow of such funds from these institutions has been declining. For instance, Asiedu (2002) reports that financial assistance to Sub-Saharan Africa (SSA) fell from 6% in 1990 to just 3.8% in 1998 and foreign aid per capita fell from an average of $35 for the period 1989-92 to $2 for the period 1993-97. It is in situations like this, that FDI plays a pivotal role as an alternative source of foreign capital for the developing world. For developing and the least developed countries that are making efforts to attract FDI as a way to enhance their economic growth and hence their sustained development, it is particularly essential to identify and comprehend the prime factors that shape FDI inflows as they apply to each country in particular. Since FDI plays a pivotal role in the growth dynamics of a country, a number of factors that are believed to influence FDI inflows towards developing countries have been intensely investigated. Among these factors the following have been most frequently considered: exchange rate volatility, market size, GDP growth, trade openness, infrastructure development, country size (also size of economy), per capita GDP, quality of the labour force, labour cost, inflation, return on capital, export orientation, political stability. Such analysis has immediate policy relevance as it identifies areas of comparative advantage that these countries should favour in terms of resource allocation . 1.2 OBJECTIVES OF THE STUDY The main aim of this study is to carry out an empirical investigation of the factors explaining FDI inflows to South Africa over the period 1980-2003. The review of previous theoretical research and the review of previous empirical evidence are means to this end. 1.3 THE STRUCTURE OF A PAPER The structure of this paper is as follows: Chapter 2 provides a review of both the theoretical and empirical literature on factors believed to be the major driving force behind inward FDI activities for host countries. In Chapter 3, the paper provides an overview of the South Africas macroeconomic performance, FDI regulatory framework currently in place and incentives provided by the government to foreign investors. Chapter 4 discusses the data set and econometric methods used to carry out time series analysis for the study. The data and variable specifications are also described and clarified in this chapter. Chapter 5 reports and discusses the econometric results. A summary of findings, conclusions and policy implications are presented in Chapter 6. CHAPTER TWO: REVIEW OF FDI LITERATURE 2.1 INTRODUCTION The main aim of this chapter is to present theories of FDI as developed by previous research and review the empirical evidence on the determinants of FDI. Before these are considered in more details, a brief overview of the definition of FDI and related concepts is provided. Given that FDI has direct effects on the economic growth of the host country, a specific section provides a brief exploration of the relationship between FDI and growth. 2.2 FDI: DEFINITION AND CONCEPTS In its archetypal form, FDI is conventionally defined as the physical investment made by acquiring foreign assets such as land and factory buildings with operational control residing with the parent company (Buckley, 2004). The definition can be extended to include such investments that seek to exercise considerable influence on the management of the foreign entity. A parent company is required to hold at least 10% of the ordinary shares or voting rights in order to exercise control over an incorporated foreign company. An ownership stake of less than the stated 10% is regarded as foreign portfolio investment and does not qualify as FDI. FDI made by transnational companies (TNCs) is an indication of internal growth and it can be made in the form of greenfield investment or mergers and acquisitions. Greenfield FDI refers to an investment where a new entity is established in a foreign location. It entails formation of completely new production facilities in the recipient country (Eun and Resnick, 2007). Cross-border mergers and acquisitions are twofold. On one hand, they involve merging both domestic and foreign companies into one bigger company. On the other hand, they involve an acquisition of a domestic company by a foreign company. FDI is beneficial for the host country as it is a channel through which foreign capital and new technology are provided. FDI is regarded as a stimulus for economic activities and accelerated growth. The OECD (2002) describes FDI as a catalyst for speeding up the development process. Nevertheless, a recipient country must display a certain standard of development before it attracts FDI. Dunning (1977, 1979) identifies fundamental factors including firm specific and host country specific advantages that must be met before FDI occurs. These advantages are discussed in detail below. 2.3 FDI AND ECONOMIC GROWTH A number of empirical studies have analysed the relationship between FDI and the economic growth of a host country. Lipsey (2000) finds that FDI and economic growth are positively correlated. Abwona (2001) urges that the effects of FDI on growth may vary between countries, as not all countries are at the same level of development. Lim (2001) points out that FDI positively affects economic growth of a host country by transferring advanced technology from the industrialized to developing economies (Lim, 2001, p.3). Conceptually, FDI increases GDP growth because it increases the amount of goods and services produced in a host country. Benefits of FDI are only evident in increased level of output because of the host countrys ability to absorb technological spillovers from foreign firms. This, therefore, suggests that the positive contribution of FDI on growth is conditional upon the recipient countrys absorptive capacity of all the benefits that FDI brings. Much as there is general awareness that FDI influences economic growth, there is no general agreement on the causal relation between FDI and economic growth. De Mello (1997) argues that the relationship could run either way, as the prospects of economic growth make the host country more attractive to FDI. Once operational in a host country, FDI enhances growth by allowing the host country to integrate new inputs and technology to expand production. 2.4 THEORIES OF FDI In a study of TNCs, Hymer (1976) explains that because foreign TNCs have offsetting monopolistic advantages over domestic companies, they are able to compete with domestic companies that are in a better position with regard to knowledge and understanding of the domestic market. Kindleberger (1969) who suggests that these advantages should be adequate to tower over limitations and must be company specific reiterates this. According to Hymer (1976) and Kindleberger (1969), these advantages can be in the form of access to ownership patents, technological expertise, managerial expertise, marketing skills, etc. These skills should be scarce or completely unavailable to domestic companies. The basis of the argument here is on the theory of market imperfections in factor markets and product differentiation. In circumstances where market imperfections exist, firms find it rewarding to engage in cross-border direct investment instead of exporting to foreign markets or licensing. In this way, they can fully utilize their monopolistic market supremacy (Assefa and Haile, 2006). In the same year as Hymer (1976), Buckley and Casson (1976) developed the internalization theory. This theory stipulates that in some instances it is desirable for TNCs to refrain from licensing and to choose cross-border direct engagement over exporting. FDI occurs when TNCs undertake an internal operation rather than a market operation. TNCs internalize their activities to circumvent impediments presented to them by the external market. These impediments arise because of market flaws such as lack of managerial expertise, human capital, etc. The benefits of internalization include both time and cost savings. According to Moosa (2002), the rationale behind internalization is the persistence of externalities in both goods and factor markets. However, Rugman (1980) disapprove of the internalization theory by contesting that it cannot be empirically analysed. Twelve years after introducing internalization theory, Buckley (1988) came back to warn that the theory cannot be directly analy sed, claiming that the theory needs to be modified in order to allow rigorous analysis. He urges that there is still a room to develop advanced theories that can be empirically tested. Another line of study dealing with factors influencing FDI is based on Vernons (1979) product life cycle hypothesis. Assefa and Haile (2006) and Udo and Obiora (2006) relate their studies to Vernons product life cycle to explain that FDI is a stage in the life cycle of a new product from innovation to maturity. Home production is unique and strategic for some time, after which the new product reaches maturity and looses uniqueness. New similar products also enter the market and intensify competition. At this stage, the firms would then replicate the home production in lower cost foreign locations that offer cost benefits to the firm. The lower cost that can be achieved by producing in foreign locations can be due to cheaper factors of production and complementary government policies. Dunning (1993) develops an eclectic theory which is referred to as OLI framework. OLI is the short name for ownership, location and internalization advantages. In his theory, Dunning identifies three sets of advantages that must be met for a firm to get involved in foreign direct investment. The first set is ownership advantages, which entail technological expertise, patents, marketing skills, managerial capabilities and the brand name. A TNC must have these firm specific advantages over its rivals in a foreign location. In the absence of these advantages, the firm will be exposed to fierce competition from its rivals in the market it serves. The second set of advantages that must be met is the location advantages, which Dunning (1993) explains as the degree to which the foreign location is more favourable to invest in. Examples of these advantages are an abundance of natural resources, exceptional infrastructure development, political and macroeconomic stability. These advantages s hould be adequate to validate investment in a preferred foreign location. The third set of advantages is internalization benefits. The ability of a TNC to internalize its operations is the manner in which it enters foreign location. According to Dunning (1993), this could be by a greenfield project, product licensing or acquisition of foreign assets as long as it fits the management strategy, the nature of the firms business and the firms long-term strategic plan. Another rationale for FDI to occur is embodied in the in the industrial organization hypothesis (IOH) (Tirole, 1988). This hypothesis presupposes that there are various potential uncertainties that a TNC faces in foreign markets. The uncertainties may be political, religious, social, cultural and so on. If the firm decides to establish a subsidiary in a foreign location despite these uncertainties then the benefits accrued should be adequate to outweigh these obvious risks and restrictions. Lall and Streeten (1977) emphasize the importance of marketing and managerial skills, availability and ownership of capital, production technologies, scale economies and access to raw materials. They also put forward that FDI occurs because of the complexity of trading intangible assets abroad. Examples of these untradeable intangible assets include a TNCs organizational ability, executive skills, position in foreign financial markets and a well-established network with different government burea ucrats. 2.5 MOTIVES FOR FOREIGN DIRECT INVESTMENT Assefa and Haile (2006) assert that the ownership and internalization advantages as developed in Dunning (1993) eclectic theory are firm specific advantages, while location advantages are regarded as host country qualities. Firms choose locations where all these advantages can be combined together to advance the firms long-term profitability. Asiedu (2002) and Dunning (1993) distinguish the motives of FDI as either market seeking or non-market seeking (efficiency and resource seeking). According to Dunning (1993), a market seeking FDI is that which aims at serving the domestic and regional markets. This means that goods and services are produced in the host country, sold and distributed in the domestic or regional market (Asiedu, 2002). This kind of FDI is therefore, driven by host country characteristics such as market size, income levels and growth potential of the host market and so on. A non-market seeking FDI can either be classified as resource/asset seeking and/or efficiency s eeking. Resource seeking FDI aims at acquiring resources that may not be available in the country of origin. Such resources may comprise natural resources, availability and productivity of both skilled and unskilled labour forces as well as availability of raw materials. Efficiency seeking FDI aims at reducing the overall cost of factors of production especially when the firms activities are geographically scattered (Dunning, 1993). This allows the firm to exploit scale and scope economies as well as diversify risks. Apart from the economic factors that are believed to be the major motivation for FDI, the host countrys FDI policy also plays a major role in attracting or deterring FDI. This therefore, suggests a need for the host country to develop policies that provide a conducive environment for business if the authorities believe in the benefits of FDI. This necessitates a regular monitoring of the activities of TNCs and an acceptance by the host government that, if FDI is to make its best contribution, policies that were appropriate in the absence of FDI may require amendments in its pr esence. For example, macroeconomic policies may need to be altered in order to provide a favourable climate for FDI. Stronger competition as a result of FDI may also induce a host government to operate an effective and efficient competition policy. 2.6 EMPIRICAL LITERATURE There is an extensive empirical literature on the determinants of FDI. A large share of this literature focuses on the pull factors or, equivalently, on the host countrys location advantages. Given the increasing flows of FDI towards developing countries, especially in Asia, most academic researchers have been poised to investigate what factors influence flows of FDI into those countries. The African continent instead remains under researched, especially a country such as South Africa, which is regarded by many as one of the economic giants of the continent. The following studies have attempted to examine the link between FDI and predictor variables such as market size, GDP growth, inflation, exchange rate, political stability and many more. Goldar and Ishigami (1999) use panel data techniques to empirically analyse the determinants of FDI for 11 developing countries of East, Southeast and South Asia for the years 1985-1994. The authors estimate two separate models, one for Japanese FDI and the other for total FDI flowing towards these countries. They report a strong positive relationship between the size of the economy and FDI inflows for the two models. They also find a positive relationship between FDI inflows and the exchange rate. Intuitively, this suggests that lower exchange rates should make the host countrys exports more competitive in foreign markets and therefore act as an important factor for attracting FDI. Interestingly, Goldar and Ishigami (1999) report contrasting results for the relationship between FDI inflows, domestic investment and trade openness for the two models. They find both domestic investment and trade openness to be significant determinants for the Japanese FDI model but the authors fail to find support for the two variables for the total FDI model. Market size has generally been accepted as an important factor influencing FDI by many empirical studies. In a cross-country empirical study, Chakrabarti (2001) finds strong support for market size as an important determinant of FDI. He further reports that the relationship between FDI and other explanatory variables, such as trade openness, tax, wages, the exchange rate, the GDP growth rate and the trade balance is highly sensitive to small changes in these variables. That is, a small change in these variables is likely to deter or increase FDI inflows with a large magnitude. Campos and Kinoshita (2003) use two trade related variables to examine the extent to which trade openness influences FDI inflows for 25 countries in transition between 1990 and1998. The authors employ an external liberalization index and trade dependence as proxies for trade openness. They argue that, the greater degree of trade openness does not only increase international trade, but also increases FDI inflows. Chang et al. (2009) also study the importance of trade openness in the economic growth of a country. They use a sample of 82 countries from all over the world for the period 1960-2000. They conclude that trade openness, used in conjunction with complementary trade policies, enhances economic growth through increased FDI inflows into a country. Their finding further bolsters the position of trade openness as an important determinant of FDI. Root and Ahmed (1979) seek to analyse the determinants of manufacturing FDI in 58 developing countries for the period 1966-1970. They classify these determinants under three categories: economic, social and political. Among the four important economic variables they study, infrastructure, per capita GDP and GDP growth rate appear to be important predictor variables while the absolute of size of GDP does not help to predict FDI. They also put forward that foreign investors view long-term political stability and the extent of urbanization as important factors when choosing the location for their investments. Nunnenkamp (2002) adopts Spearman correlations to study the relationship between FDI and its determinants for 28 developing countries between 1987 and 2000. His findings show that variables such as GDP growth rate, entry restrictions, post-entry restrictions, market size, infrastructure and quality of the labour force, as measured by the years of schooling, have no effect on FDI inflows. However, he also reports positive effects on FDI of non-traditional factors such as factor costs. That is, the cheaper costs of factors of production, like lower costs of raw materials and lower costs of labour, are essential for attracting efficiency-seeking FDI. Tsai (1991) presents an opposing view by arguing that in Taiwan FDI inflows have increased with increasing labour costs. His findings suggest that in Taiwan, there are far more important determinants of FDI than cheaper costs of factors. Indeed Tsai (1991) observes that for the years 1965-1985, Taiwans economic performance was spectacular, with an expanding domestic market and purchasing power of the economy as measured by rising GDP per capita. Singh and Jun (1995) look into three determinants of FDI in developing countries. They pay particular attention to socio-political stability, favourable business operating conditions and export orientation. They employ other macroeconomic variables as control factors. The authors use a political risk index (PRI) developed by Business Environment Risk Intelligence, S.A (BERI, 2009), as a measure of socio-political instability. When used in conjunction with traditional determinants of FDI such as GDP growth rate and per capita GDP, PRI appears to be highly associated with FDI for 31 developing countries for the period 1970-1993. Schneider and Frey (1995) also find political instability to be a significant deterrent of FDI for 54 less developed countries, considered over three different years 1976, 1979 and 1980. Furthermore, Singh and Jun (1995) employ an operation risk index (ORI) also developed by BERI, S.A, and taxes on international trade and transactions (ITAX). They further find that ORI is highly associated with FDI flows and has a positive sign. ITAX is also reported as an important determinant of FDI. They also find export orientation to be highly related to FDI flows, especially manufacturing exports. Asiedus (2002) investigation on the determinants of FDI in 71 developing countries provides further evidence of the importance of these extensively studied FDI determinants. Asiedu goes a little further to assess whether the same determinants of FDI have a similar impact on FDI flowing towards Sub-Saharan Africa (SSA) between 1980 and 1998. After a detailed analysis, she concludes that factors influencing FDI in other developing countries do not necessarily have a similar impact on FDI flows to SSA. She notes that infrastructure development and a high return on capital influence FDI flows towards developing countries in other continents, but the same factors have no influence on FDI flows towards SSA. Bende-Nabende (2002) also undertakes a study probing into the determinants of FDI flows towards 19 SSA countries for the period 1970-2000. In this study, market growth, trade liberalization and export orientation turn out to be important factors explaining why countries are able to attract foreign investors. Obwona (2001) argues that the Ugandan market size has been one of the driving forces behind FDI flows into the Ugandan economy between 1975 and 1991. Yasin (2005) uses panel data from a sample of 11 SSA countries for the period 1990-2003. His findings lead to the conclusion that official development assistance (ODA), trade openness, growth of the labour force and the exchange rate are important determinants of FDI, while his findings do not suggest that the growth rate of per capita GDP, a political repression index and a composite risk index have explanatory power. Ahmed et al. (2005) examine the composition of capital flows between 1975 and 2002, to assess if South Africa is different from 81 other emerging markets. They classify relevant factors into macroeconomic performance, investment environment, infrastructure and resources, quality of institutions, financial development and global factors. The authors argue that some factors influencing capital flows are limited to particular forms of capital, while other factors have comparable effects on FDI, bond and equity flows. They further assert that the more open the economy is to international trade, the richer it is in natural resources, and the fewer barriers to profit repatriation it has, the more likely it is to attract FDI on a large scale. The implication of this study is that South Africa should ease its capital controls in order to avoid deterring FDI. South Africa is currently allowing repatriation of profits only within six months (Ahmed et al., 2005). The agglomeration effect is another important factor that can be used to explain why countries that have attracted FDI in the past still receive a large share of it. Notable magnitudes of existing FDI stocks in recipient countries tend to attract more FDI inflows (Lim, 2001). Foreign investors incorporate the size of the existing FDI stocks in their decisions as they seek locations where to expand their operations. Campos and Kinoshita (2003) also confirm that for 25 countries in transition between 1990 and1998, foreign investors tend to locate where others are investing, as the decision by other firms implies a favourable atmosphere for investment offered by counties in which they locate. Asiedu (2003), Loree and Guisinger (1995) and Lee (2005) consider effective government policies, especially the monetary and fiscal policies, as important factors that can be used to effectively attract or deter FDI inflows. Loree and Guisinger (1995) use effective tax rates for 48 countries (classified into developed and developing countries) in 1977 and 1982. After finding the effective tax policy variable to be significant, they conclude that government policies are important and that policy reforms are likely to attract more FDI. Lee (2005) investigates some evidence on the effectiveness of policy barriers to FDI for 153 developing and developed countries between 1995 and 2001. He finds strong support for the proposition that restrictive public policies deter FDI inflows. Asiedu (2003) studies the effects of investment policy on FDI for 22 SSA countries over the period 1984-2000. Her findings show that governments can increase FDI flows by developing and implementing policies th at provide investor friendly environment.s CHAPTER 3: SOUTH AFRICAS MACROECONOMIC OVERVIEW, FDI REGULATORY FRAMEWORK AND INCENTIVES. INTRODUCTION The purpose of this chapter is to provide an overview of the South African macroeconomic performance over the period of study (1980-2003). This has been based on two regimes – the apartheid regime and the democratic regime. Other sections of the chapter are dedicated to the regulatory framework for FDI and the incentives offered to foreign investors by the South African government. 3.2 THE APARTHEID SOUTH AFRICA According to Lester et al.(2000), the pre-1994 period was one during which South Africa was politically unstable as a result of the racial discrimination philosophy (apartheid) that was adopted by the Nationalist government then in power. This created internal resistance by black South Africans, who protested against the racial discrimination practices. In 1960, the Nationalist government banned organizations such as the African National Congress (ANC) that represented black South Africans and this intensified demonstrations against the government. In response to the protests, the Nationalist government using armed forces, killed and arrested many black South Africans activists. These incidents drew attention from the international community, who condemned the repression against black South Africans by a Nationalist government that predominantly looked after the interests of white South Africans. These events also caused distress among foreign investors, who became sceptical of the p rospects of South Africas economic stability and the protection of their investments. This led to capital outflow, a mounting pressure on the South African rand in foreign exchange markets, effective economic sanctions and the isolation of South Africa from the rest of the world. Despite being blessed with an abundance of natural resources, especially gold, diamonds, platinum and other minerals, South Africa was not a favoured location for investment during this period. Political instability, investment insecurity and violation of human rights severely inhibited FDI. Realizing the challenges that came with economic isolation, the Nationalist government, in an attempt to uphold domestic capital growth, introduced incentives for import substitution industries such as car manufacturers and military equipment (Lester et al., 2000, p.187). Despite these attempts, this period saw South Africa undergoing falling investment, diminishing international reserves, sinking economic growth, soaring rates of inflation and lofty interest rates (Nowak, 2005). During this period, the economic performance was notably disappointing as investors left South Africa in search of other locations that offered better conditions for their investments. As shown in Table 3.1, the GDP growth rate was declining in some years with an average annual growth estimated at 1.44% per annum for the years 1980-1990. In addition, inflation and interest rates were continuously increasing with no signs of stabilising. All these were signals of loss of effective control of macroeconomic policies. Table 3.1: GDP growth, inflation and interest rates in South Africa for the period 1980-1990 Year 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 GDP annual % change 5.4 -0.4 -1.9 5

Othello and Different Senses of Abnormal :: Othello essays

Othello and Different Senses of Abnormal  Ã‚        Ã‚   As inconsequential as they may initially seem, the various types of abnormalities in William Shakespeare’s tragic drama Othello do impact upon the audience. Let us explore this subject of the deviant in this play.    In the essay â€Å"Wit and Witchcraft: an Approach to Othello† Robert B. Heilman discusses the abnormal attitude and plans of the ancient as manifested in his verbal imagery:    If we take all the lines of one character out of context and consider them as a unit, we have always a useful body of information; but if, when we study Iago’s lines, we find that he consistently describes himself in images of hunting and trapping, we learn not only his plans of action but something of his attitude to occasions, to his victims, and to himself; and beyond that there is fixed for us an image of evil – one of those by which the drama interprets the human situation. (331)    And how about epilepsy? In Act 4 the evil Iago works up Othello into a frenzy regarding the missing kerchief. The resultant illogical, senseless raving by the general is a prelude to an epileptic seizure or entranced state:    Lie with her? lie on her? – We say lie on her when they belie her. – Lie with her! Zounds, that’s fulsome. – Handkerchief – confessions – handkerchief! – To confess, and be hanged for his labor – first to be hanged, and then to confess! I tremble at it. [. . .] (4.1)    Cassio enters right after the general has fallen into the epileptic trance. Iago explains to him:    IAGO. My lord is fall’n into an epilepsy. This is his second fit; he had one yesterday. CASSIO. Rub him about the temples. IAGO. No, forbear. The lethargy must have his quiet course. If not, he foams at mouth, and by and by Breaks out to savage madness. Look, he stirs. Do you withdraw yourself a little while. He will recover straight. (4.1)    Epilepsy on the part of the protagonist is unusual and physically abnormal. But the more serious abnormalities in the play are psychological. Iago is generally recognized as the one character possessing and operating by abnormal psychology. But Lily B. Campbell in Shakespeare’s Tragic Heroes tells of the time when the hero himself approached â€Å"madness†:

Having Read Of Mice Men Essay

What have you learnt about the life of a ranch worker in 1930’s America? The book Of Mice and Men is set in California, at the time of the Great Depression. The American stock market had collapsed, and left the country in a state of economic disarray. This affected the two main characters George and Lennie who have to work on ranches because there was a need for people to work on the land and not much work elsewhere. Georges dream is to own a farm or a ranch of his own so he could be his own boss and wouldn’t have to be pushed round by other ranch owners who he works for now. This is the American dream George and Lennie aren’t alone in their dream. He says to Lennie, â€Å"We’re gonna have a little house and a couple of acres an’ a cow and some pigs†¦Ã¢â‚¬  Because of this dream George resents authority, when he first meets Curley (the ranch owners son) he spoke to him in an ‘insulting manner’ and refuses to give Curley a straight answer. The life of the ranchers is very hard, they works every day except Sunday and only gets fifty dollars a month. All week the farm workers would toil the land for the ranch owners and would be paid a tiny percentage of the profit. They were very lonely people, with only their colleagues at the ranch and the women at the local ‘cat house’ for company, no wife, children and no family. George recognizes this and I think this is why he travels with Lennie, George says, this makes them different from all the ranch workers who travel around on their own. George says to Lennie that â€Å"Guys like us who work on ranches are the loneliest guys in the world.† George thinks that when he fulfils his dream he wont be lonely any more, he maybe would ‘get a girl’ and he would be his own boss. George also dreams of a better place for Lennie who is mentally about 6 years old. George takes it on himself to look after Lennie and rescue him when he gets in trouble, which is very often. When Lennie had just ‘accidentally’ killed Curley’s wife whilst stroking her hair to hard in the barn, George decides he has to shoot Lennie. Just before he does he tells Lennie: â€Å"Ever’bodys gonna be nice to you. Ain’t gonna be no more trouble. Nobody gonna hurt anybody nor steal from ’em.† This is Georges dream for Lennie, that he would be better cared for and nobody would be horrible to him and he wouldn’t get into any more trouble. That people would take time to understand him like he did. George’s dream reflects the time the book is set at, because if that were now Lennie would be better cared for by social services and other organizations like that. Also George and the other ranch workers would have had better rights on the ranch, they would have either had less hours work or more pay for the work they did. George might have been able to get his dream for a ‘few acres’ and a ‘girl’ pigs, cows and rabbits. 1 Candy’s dream is to have security. Security in his job, that he wont be ‘canned’ because he’s getting too old, or because he’s useless, because he’s only got one hand, this normally wouldn’t affect someone now but in the time the book was set Candy’s chance of getting a job if he was sacked from the ranch would be minute. Because of this insecurity Candy is very scared of Curley and the boss. In the book when Candy first meets George he speaks nicely about the boss and said that at Christmas he gave them whisky. I think he lied to George about the boss in case George told the boss what he had said which would have been true but nasty. When the boss comes into the room Candy quickly makes up and excuse why he’s talking to George and Lennie and gets back to work. He did this because he doesn’t want to get in any trouble with the boss because the boss might sack him. Then Candy will have no job and will be too old to get another one and he cant retire and he doesn’t have any family to go to he’ll probably have to live on the streets. When Candy overhears about George’s dream Candy wants to go along and be involved to. Candy offers three hundred and fifty dollars to help George get his dream farm and so that Candy can leave the farm and look after himself, his attitude towards Curley, the ranch and Curley’s wife changes after this. When Curley is starting on Lennie, Candy quickly rushes to his defence’ â€Å"Glove fulla Vaseline,† he said disgustedly’ referring to the glove Curley wears on his hand full of Vaseline, to keep ‘soft’ for his wife. Candy is not scared of Curley and the boss anymore because if he gets sacked he can just move on to George’s dream farm. With Candy’s newfound confidence he starts sharing his views and sticking up for other people such as Crooks the black stable buck. Curley’s wife is verbally attacking Crooks, telling him how she can get him killed if she wanted too. Candy retaliates by saying, â€Å"If you was to do that, we’d tell†¦ We’d tell about you framing Crooks.† He sticks up for Crooks, which shows he wasn’t racist and that he also had a dream for a better society. Where is you have worked and are getting old you would have money, a pension, and that everyone is treated equally like him and Crooks. This shows that the book reflects the time its set because Candy would probably have a pension and wouldn’t have been able to get sacked without out a just cause. Crooks dream is to be treated like a human and be accepted. Because he’s black he’s always been bullied and picked on by the other people in the ranch. He is never allowed to go out with the other people in the ranch and has to stay in his own room in the barn, he hates everyone at the ranch because they treat him badly, he says to Lennie, â€Å"They play cards in there, but I can’t play because I’m black. They say I stink. Well, I tell you, you all stink to me.† Because Crooks is so lonely he reads a lot, in his library he owns the book California Civil code 1905. I think he has this because he wants to find out the rights he has and if there is anything he can do to be accepted. While talking to Lennie, Crooks reminisces about his childhood; how his father owned a chicken ranch and the white children used to come and he would play with them, and how most of them didn’t care about the colour of his skin and that they were nice to him. How instead of sleeping alone as he does now (he recalls), he used to sleep with his two brothers: â€Å"They was always near me, always there. Used to sleep right in the same room, right in the same bed-all three.† He was happy in the past and dignified, because he wasn’t alone then and had been treated equally. 2 Curley’s dream is to become a champion boxer. He was in a boxing tournament and he got into the finals, he keeps the newspaper clippings. He hates big men because he’s short, he wants to be tall and big, I think he wants this because he wants people to be more scared of him. He’s always picking on the workers because they can’t fight back because they’ll get sacked. He seems to be obsessed by beating people up and ‘sorting them’ out. Curley’s wife tells George, Lennie and Candy what he says. â€Å"†One-Two,† he says. â€Å"Jus’ the ol’ one-two an’ he’ll go down.† In the whole novel we never hear Curley’s wife’s name, she is always referred to as ‘Curley’s wife’. This makes her sound like Curley’s property, like Curley’s shoes or Curley’s horse. It also says that maybe she doesn’t deserve one, that when she married Curley she got a name. This reflects on her dream of equal rights for women. She is a very lonely person; she has no one to talk to except the men on the ranch who don’t really listen to her. So to make them listen to her, or pretend to in most cases, she dresses provocatively to get attention. However Candy and Whit see her as a ‘tart’ and ‘jail-bait’ and she’s always giving the ‘eye’. Even Curly doesn’t notice her; he still goes out to the ‘cat houses’ with the other ranch workers, instead of staying with his wife. She seems to be hurt by this, she says. â€Å"Think I don’t know where they all went? Even Curley. I know where they all went.† Curley’s wife’s dream is to be a star. When she was young, she was asked to go on a show, but she says her mother wouldn’t let her. Film work was one of the few types of work you could get as a woman, it was every girls dream, but it was often only a scam to take advantage of young women. Curley’s wife remembers how a man in the ‘pitchers’ said he was going to write to her about being in the movies. But she says her mother stole the letter when it came, when really it didn’t come at all. When Lennie killed her Steinbeck says. â€Å"The meanness and†¦.. the ache for attention were all gone from her face.† This means that she didn’t have to try anymore and life wasn’t just one long struggle for recognition. She had been released and was now more beautiful and alive than ever. Maybe it also means that she would get the attention now, she would be known as the woman who got killed by a mad man. Steinbeck draws attention to the idea that there is more to the American dream than just having a place of your own. The characters have dreams of an equal society. George describes to Lennie, â€Å"The place no-one’s gonna hurt you.† This reminds me of heaven where people would understand, listen and accept other people’s right to a dignified and free life. Although we have more of a life like this now, that is very different from the inequality of the time of ‘Mice and Men’, we still have a long way to go to achieve Steinbeck’s dream.

Taking another Pass at Passed

Taking another Pass at Passed Taking another Pass at â€Å"Passed† Taking another Pass at â€Å"Passed† By Maeve Maddox In my early days as a classroom teacher, I would occasionally finish giving a lesson on some aspect of English grammar or punctuation with the feeling that it had been so clear and so filled with wonderful examples that my students would never commit a related error again. It didn’t take me long to learn that common errors are common for a reason. Minds differ. Not everyone perceives things in quite the same way. A case in point is the problem that many writers have with the words past and passed. So far we’ve had two DWT posts on the past/passed usage: Alis Passed vs Past and my Confusing Passed with Past A recent e-mail question sent me back to read the comments and questions prompted by these posts. The comments indicate the extent and nature of the confusion that exists concerning the use of passed and past. Even some of the commentators who felt they understood the usage gave incorrect information in the explanations they offered. Some remarks suggest that the writer is trying to read more into the choice between passed and past than is warranted by a choice between a verb form and an adverb or a preposition. Dr. Babosar, the founder of GHB BioMedical Inc. who dedicates his life in the XXX industry for the Passed/Past 20 years. (the fact is he is still in this industry and still running the company) It doesn’t matter if the man is still in the industry or not. The word needed is an adjective: the past 20 years. It was the sound of horses being ridden past.†¨It was the sound of horses being ridden passed. The latter makes sense [says the commentator]. The horses pass the person, so they passed the person, therefore it is the sound they make as they approach and then pass the person. It more correctly describes the sounds. Again, too much ratiocination is going into this writer’s choice between past and passed. The function of the word in the sentence determines which form is called for. Ridden is a verb form. The word that follows it is an adverb. Passed cannot be used as an adverb. Past can. Precise Edit made this observation in one of the comments: In my experience, second-language learners are less likely to make this mistake [between passed and past] than native English speakers, perhaps because language learners write and speak from a background of training and not natural language use. I’m speculating, of course, but I wonder if direct training in usage and grammar affects this. It’s not speculation. From what I can tell, not much â€Å"direct training in usage and grammar† is going on in U.S. English classes these days. The teaching of formal grammar and rules of spelling and punctuation is perhaps seen as too much akin to that dreaded concept â€Å"rote learning.† Rules of standard usage are often arbitrary and confusing to an individual’s way of looking at things. For that reason they must be taught in the English classroom. Taught, not merely mentioned. The complicated efforts to determine whether to use past or passed in a sentence is a symptom of the way U.S. children are taught to approach all learning. What do you think? How do you feel? Such appeals to the individual have their place, but not when it comes to basic information. Some things need to be memorized and drilled. The parts of speech and the parts of the sentence fall into this category. One more time: passed is the past tense form of the verb to pass: to pass: transitive verb meaning â€Å"to go beyond a point or place† The principal parts are pass, passed, (have) passed, passing Examples: I pass my evenings alone. Please pass the potatoes. I am passing my days in the garden. I am passing all my courses in college. The truck passed the house. His uncle passed away. I have passed my driving test. Charlie has passed out the papers. The cat had passed beyond the fence before we noticed she was out. The word past can be used as more than one part of speech, but never as a verb. past: noun meaning â€Å"that which has happened in past time.† Ex. That’s all in the past. It’s usually preceded by the word â€Å"the.† past: adjective meaning â€Å"gone by in time; elapsed.† Ex. I haven’t seen him for the past month. past: adverb meaning â€Å"beyond.† Usually the point of reference is supplied by the context. Ex. I cowered as the bullets whizzed past. past: preposition meaning â€Å"beyond.† It differs from an adverb because it is followed by an object. Ex. The bullet whizzed past my head. Two more handy tips: The only verb that belongs in front of passed is some form of have: The days have passed quickly. He had passed his exams before his father lost his job. The horse has passed the finish line. If the verb is is, don’t use passed: For, lo, the winter is past. Want to improve your English in five minutes a day? Get a subscription and start receiving our writing tips and exercises daily! Keep learning! Browse the Grammar category, check our popular posts, or choose a related post below:12 Greek Words You Should KnowIn Search of a 4-Dot EllipsisPunctuation Is Powerful

Free Essays on Mosaic-2000

â€Å"Computer Project Seeks to Avert Youth Violence† Ever since the columbine high school shooting in Littleton, Colorado there has been hysteria of sorts. People are so worried about drugs and weapons in school. For this reason â€Å"the federal bureau of Alcohol, tobacco and firearms is working with an outside threat evaluation company to put together a computer program to help school officials spot troubled students who might be on the brink of violence.† this is the basis to Francis X. Clines essay â€Å"computer project seeks to avert youth violence† The computer program that had been being developed is called the â€Å"Mosaic-2000†. The program he states will rate potentially violent students on a 1-10 scale 1 being least violent and 10 being on the brink. Clines quotes the principal of Reynoldsburg high school as saying â€Å"columbine forever changed things for all of us,† this threat of violence at school is now a â€Å"very real† threat and parents want to see something done about it. But also parents don’t want their children being labeled as clines quotes a parent in the Reynoldsburg school district as saying â€Å"It sounds ok as long as you don’t start labeling kids†¦There’s kind of scary stuff out there†¦but there can be a fine line between a kid out to get attention and a really troubled kid.† Her concerns are true but they would not be using this for every kid in school it would be used primarily as an aid to school officials on cases that kids had made t hreats or had brought weapons to school so they say. The Ohio chapter of the A.C.L.U. is quoted calling it a â€Å"technological band-aid.† But as I feel and Francis clines says that it would not be the answer but it would be and aid to school officials in circumstances of high danger. As Clines quotes Betty Montgomery the Ohio attorney general as saying â€Å"It brings together the shared experiences of many experts plus an evaluative piece.† â€Å"The Mos... Free Essays on Mosaic-2000 Free Essays on Mosaic-2000 â€Å"Computer Project Seeks to Avert Youth Violence† Ever since the columbine high school shooting in Littleton, Colorado there has been hysteria of sorts. People are so worried about drugs and weapons in school. For this reason â€Å"the federal bureau of Alcohol, tobacco and firearms is working with an outside threat evaluation company to put together a computer program to help school officials spot troubled students who might be on the brink of violence.† this is the basis to Francis X. Clines essay â€Å"computer project seeks to avert youth violence† The computer program that had been being developed is called the â€Å"Mosaic-2000†. The program he states will rate potentially violent students on a 1-10 scale 1 being least violent and 10 being on the brink. Clines quotes the principal of Reynoldsburg high school as saying â€Å"columbine forever changed things for all of us,† this threat of violence at school is now a â€Å"very real† threat and parents want to see something done about it. But also parents don’t want their children being labeled as clines quotes a parent in the Reynoldsburg school district as saying â€Å"It sounds ok as long as you don’t start labeling kids†¦There’s kind of scary stuff out there†¦but there can be a fine line between a kid out to get attention and a really troubled kid.† Her concerns are true but they would not be using this for every kid in school it would be used primarily as an aid to school officials on cases that kids had made t hreats or had brought weapons to school so they say. The Ohio chapter of the A.C.L.U. is quoted calling it a â€Å"technological band-aid.† But as I feel and Francis clines says that it would not be the answer but it would be and aid to school officials in circumstances of high danger. As Clines quotes Betty Montgomery the Ohio attorney general as saying â€Å"It brings together the shared experiences of many experts plus an evaluative piece.† â€Å"The Mos...

An Understanding of Managment Tools The WritePass Journal

An Understanding of Managment Tools An Understanding of Managment Tools IntroductionReferencesRelated Introduction With some 740 stores in 54 countries, the Spanish clothing retailer Zara has hit on a formula for supply chain management that works by challenging conventional wisdom. This excerpt from a recent Harvard Business Review profile on how Zara’s supply chain communicates, allowing it to design, produce, and deliver a garment in fifteen days. Zara’s history began in 1963 when Amancio Ortega Gaona opened Confecciones GOA in La Coruà ±a, to manufacture women’s pyjamas and lingerie products for garment wholesalers. In 1975, after a German customer cancelled a sizable order, the firm opened its first Zara retail shop in La Coruà ±a. The original intention was simply to have an outlet for cancelled orders. However, the experience taught the firm the importance of a ‘marriage’ between manufacturing and retailing a lesson that has guided the evolution of the company ever since. From a starting point of six stores in 1979, the company established retail operations in all the major Spanish cities during the 1980’s. In 1985, Confecciones GOA created Inditex as the head of the corporate group. In 1988, the first Zara store outside Spain opened in Porto, Portugal, followed shortly by a store in New York City in 1989 and Paris in 1990. However, the real ‘step-up’ in foreign expansion took place during the 1990s when Inditex entered 29 countries in Europe, the Americas and Asia. In parallel with its overseas expansion, Inditex diversified its retail offering by another adjacency expansion with new brands like Pull and Bear, Massimo Dutti, Bershka and Stradivarius to meet new customer segments. However, Zara still count for eighty per cent of Inditex’s revenue. Each of Inditex’s brands operates independently, but shares the commitment to supply fashion at affordable prices and all employ similar management models for the control of the total supply chain to maximize speed to market. Fig 1 illustrates Inditex’s expansion. The figure imitates the stem of a tree, which gain a new circle for every year that goes by. The circles indicate the different expansion Inditex has accomplished, moving from being a fabric to opening its first store and to opening other clothing chains. These types of expansions justify as adjacency expansion. Adjacency expansion draws the skills in the core business to build a competitive advantage in a new adjacent competitive arena in order to target different customer segments. This adjacency expansion has lead to the need of changing Inditex’s core business. Inditex has shifted from being a fabric working towards several retailers, to becoming a big concern covering most parts of the production as well as the final sale. To grow into a new adjacency around a once-successful core business is the critical factor in 75 per cent of today’s total business disasters. The American grocery chains Wal-Mart and Kmart illustrate an example on difficulties in adjacency expansion. They both open their first grocery store in 1962. Wal-Mart successfully moved into adjacency such as Sam’s Club, electronics and Mexico, one by one. Kmart however, struggled more with the expansion. They moved from books to sporting goods and even to a chain of department stores in Czechoslovakia. This drifted Kmart into bankruptcy. Showing that even though they started out equally, the different choose of steps in adjacency expansion lead one to be a big failure and the other to be one of USA most respected companies. Another example is Nike versus Reebok, which in 1990 had almost equal revenue. While Nike had a clear strategy, consisting of a repeatable process it had developed and refined over a decade, to attack one sport after another with the help of different famous athletes, Reebok’s path was a mystery to those covering the company. They expanded in different directions and as their core shoe business was doing badly, they kept on expanding into new unconnected arias. In addition, Nike’s strong adjacencies expansion made it even harder for Reebok to increase the total sale and ended up decreasing its revenue. It is not easy to know which expansion that is the right expansion. However, after studying adjacencies expansion in over 100 companies, Chris Zook presents primary six ways to expand the boundaries of business .Fig 2 illustrates these expansions. This is trough new businesses, forward integration, new geographies, new channels, new customer segments or new products. In parallel to Inditex’s, Zara has accomplished several adjacencies expansions during its history. One of two main expansions is by moving from selling women’s underwear and pyjamas to regular clothes, shoes, handbags and even make-up. This signifies product adjacencies by marketing a new product or service to core customers. This is one of the most commonly pursued and highest potential adjacencies. The other main growth is by expanding into selling men’s wear and children’s wear. These customer adjacencies modifying a proven product or technology to enter a very new market segment and are a major adjacency move for most companies. In addition, Zara continuously expand their business by successfully opening new stores around the world and at the same time enlarge their local industry by expanding the focused production in Spain. Geographic adjacencies move into new geographic areas, is a type of adjacency expansion that companies consistently underestimate in complexity. Zara has also achieved new business adjacencies by opening Zara Home, a store that sell accessories to the home like kitchen wear and bedclothes. With this, it builds a new business around a strong capability and essentially repositioning it. This is the rarest form of adjacency move, and the most difficult to achieve success with. In addition, Zara has also expanded with channel adjacencies by offering a small proportion of its collection on Internet sale. Although this is more for promotion, it is still a channel adjacency expansion. All of Zara’s different expansion fits into the primary six ways to expire the boundaries of business. Fig. 3 illustrated that Zara has expanded in every direction. Finding a repeatable method of moving into new adjacencies, one after the other has a clear benefit in the learning curve. This contributes to competitive advantage making the adjacencies better and faster each time. Zara’s supply chain In an interview with CNN, Jose Maria Castellano, chief executive at Inditex, talked about Zara’s supply chain and indicated its unusual structure by saying: Investment banks used to say that this model did not work, but we have shown that it gives us more flexibility in production, sales and stock management, At a Zara store, customers can several times a week find new products. The whole collection is in limited supply and they achieve a tempting exclusivity by only displaying a few items, even though the stores are spacious. It makes the customer think, This green shirt fits me, and there is only one on the rack. If I dont buy it now, Ill lose my chance. Zara has built a concept around ‘fast fashion’. Moving away from the traditionally one collection per session, Zara continually design, produce and deliver new styles. They base their business on demand instead of forecasting. Picking up what people wear on the street, at the university or at a nightclub, Zara’s designer’s catches ideas for new styles and can present them in a Zara store only two weeks later, while most of the competitors has a lead-time over three months. This makes Zara always able to offer the latest fashion in it store, leading to more sale and fewer discounts. Such a retail concept depends on the regular creation and rapid replacement of small batches of new goods. Zara’s designers create approximately 40,000 new designs annually and select 10,000 of them for production. Some of them resemble the latest fashion design creations. Zara often beats the high-fashion houses to the market and offers almost the same products, made with less expensive fabric, to much lower prices. This fast fashion system depends on a constant exchange of information throughout every part of Zara’s supply chain. From customers to store managers, store managers to market specialists and designers, designers to production staff, buyers to subcontractors, warehouse managers to distributors, and so on. Most companies insert layers of bureaucracy that can bog down communication between departments. Zaras organization, operational procedures, performance measures, and even its office layouts, all are designed to make information transfer easy. Zaras single, centralized design and production centre is in Inditex headquarters in La Coruà ±a. It consists of three spacious halls, one for each of the three clothing lines, women, men and children. Unlike most companies, which try to remove unnecessary labour to cut costs, Zara makes a point of running three parallel, but operationally distinct, product families. Though it is more expensive to operate three channels, the information flow for each channel is fast, direct, and unencumbered by problems in other channels, making the overall supply chain more responsive. Each clothing line has separate design, sales, and procurement and production-planning staffs. A store may receive three different calls from La Coruà ±a in one week from a market specialist in each channel; a factory making shirts may deal simultaneously with two Zara managers, one for mens shirts and another for childrens shirts. In each hall, floor to ceiling windows overlooking the Spanish countryside reinforce a sense of cheery informality and openness. Unlike companies that sequester their design staffs, Zaras cadre of 200 designers sits right in the centre of the production process. The designers are usually in their twenties and got the job because of their enthusiasm and talent, no prima donnas allowed. Split among the three lines, they work next to the market specialists and procurement and production planners. Large circular tables play host to spontaneous meetings. Racks of the latest fashion magazines and catalogues fill the walls. A small prototype shop has been set up in the corner of each hall, which encourages everyone to comment on new garments as they evolve. The physical and organizational proximity of the three groups increases both the speed and the quality of the design process. Designers can fast and easy check initial sketches with colleagues. Market specialists, who are in constant touch with store managers and many of whom have been store managers themselves, provide quick feedback about the look of the new designs (style, colour, fabric, and so on) and suggest possible market price points. Procurement and production planners make preliminary, but crucial, estimates of manufacturing costs and available capacity. The cross-functional teams can examine prototypes in the hall, choose a design, and commit resources for its production and introduction in a few hours, if necessary. Once the team selects a prototype for production, the designers refine colours and textures on a computer-aided design system. If the item is to be made in one of Zara’s factories, they transmit the specs directly to the relevant cutting machines and other systems in that factory. Bar codes track the cut pieces as they converts into garments through the various steps involved in production, including sewing operations, distribution, and delivery to the stores, where the communication cycle began. Zara manufacture approximately fifty per cent of its products in its own network of 22 Spanish factories, 18 of which are located in and around the La Coruà ±a complex, and use around 500 subcontractors located close to the head office for all sewing operations. Zara closely monitor these sewing operations to ensure quality, compliance with labour laws, and adherence to the production schedule. The subcontractors are responsible for picking up and deliver the production items to the factory. Here each piece is inspected during ironing, placed in plastic bags and sent to the distribution centre. The other half of its products are procured from 400 outside suppliers, seventy per cent of which are in Europe, and most of the rest in Asia. Many of the European suppliers are located in Spain and Portugal, close to the headquarters. Zara exploits this geographical proximity in order to ensure quick response to Zara’s orders. From Asia, Zara procures basic products and those for which the region has a clear cost or quality advantage. Having the factories in and near Spain gives Zara a tremendous amount of control and flexibility. The location of the production can be seen as a cost trade-off with the cost saved on transportation. Although the increased cost in production will not be offset by the cost reduction in transportation concerning the labour cost is on average 17-20 times the cost in Asia. For its in-house production, Zara obtain forty per cent of its fabric supply from another Inditex-owned subsidiary. The rest of the fabrics come from a range of 260 other suppliers, none account for more than four per cent of Zara’s total production in order to minimize any dependency on single suppliers and encourage maximum responsiveness from them. Most of the fabrics are ordered un-dyed and dyed in one of Inditex manufacturing facilities. By having its own dying facility Zara can quicker respond to demands and it gain less inventory by not storing every fabric in a range of colours. Moreover, if one fabric is not used it can easily be used next season independent of the colures of the next trend. All products pass through Zara’s major distribution centre in La Coruà ±a. In addition, it also has a smaller distribution centre in Zaragoza. The trucks, which run on a bus schedule, deliver to the stores twice a week, using a maximum of 24 hours to stores inside Europe and 48 hours in America. All in all this supply chain, as illustrated in Fig 4, is giving a lead-time on two to four weeks, with a price thirty per cent higher than its competitors and a need to discount only 18 percent of its production. Outsource Zara is careful about the way it deploys the latest information technology tools to facilitate these informal exchanges. Customized handheld computers support the connection between the retail stores and La Coruà ±a. These PDA’s supplement regular, often weekly, phone conversations between the store managers and the market specialists assigned to them. Through the PDA’s and telephone conversations, stores transmit all kinds of information to La Coruà ±a, such hard data as orders and sales trends and such soft data as customer reactions and the buzz around a new style. While any company can use PDA’s to communicate, Zara’s flat organization ensures that important conversations do not fall through the bureaucratic cracks. The constant flow of updated data eases the bullwhip effect, the tendency of supply chains and all open-loop information systems to amplify small disturbances. A small change in retail orders, for example, can result in wide fluctuations in factory orders after transmitting through wholesalers and distributors. In an industry that traditionally allows retailers to change a maximum of twenty per cent of their orders once the season has started, Zara lets them adjust forty to fifty percent. In this way, Zara avoids costly overproduction and the subsequent sales and discounting prevalent in the industry. The insistent introduction of new products in small quantities, ironically, reduces the usual costs associated with running out of any particular item. Indeed, Zara makes a virtue of stock-outs. Empty racks do not drive customers to other stores because the shoppers can always choose form new things. Being out of stock in one item helps sell another, since people are often happy to snatch what they can. In fact, Zara has an informal policy of moving unsold items after two or three weeks. This can be an expensive practice for a typical store, but since Zara stores receive small shipments and carry little inventory, the risks are small, unsold items account for less than ten per cent of stock, compared with the industry average of 17 to twenty per cent. Furthermore, new merchandise displayed in limited quantities and the short window of opportunity for purchasing items motivate people to visit Zara’s shops more frequently than they visit other stores. Consumers in central London , for example, visit the average store four times annually, but Zaras customers visit its shops an average of 17 times a year. The high traffic in the stores circumvents the need for advertising: Zara devotes just 0.3 per cent of its sales on ads, while its rivals spend three to four per cent. References ZARA Outsourcing = http://industrialeducation.blogspot.com/2009/08/study-of-supply-chain-zara-fast-fashion.html (31/03/11)

Research Paper Essay Example | Topics and Well Written Essays - 1500 words - 1

Research Paper - Essay Example Step 2: Sharing My Knowledge In order to get some information, I visited the website of walmartstore.com. In this website, a sufficient amount of information is available regarding health and wellness, careers and so on. I decided to know a finance opening at Wal-Mart. In this website’s career portal, Wal-Mart has comprehensive plan for young and new workforce. Step 3: Devising Research Questions I have insufficient information about Wal-Mart. To get further information, I have formulated following questions: When Wal-Mart came into existence? What is the current financial strength of Wal-Mart? What is the customer base of Wal-Mart? After devising the research questions, it is important to find some resources to get the answers of these questions. It is important to have reliable source to answer these questions. Step 4: Finding Sources First and most reliable source is the official website of Wal-Mart. The main page of the website has different links. These links connect to d ifferent templates. A sufficient amount of information is available on these provided links. Particularly, the link for â€Å"About Us† gives information regarding the purpose of Wal-Mart and a brief history note is also mentioned. Step 5: Answering Research Questions Following are the answers which I found. ... What is the current financial strength of Wal-Mart? Wal-Mart is a financially stable and sound company. In the year of 2010, the company posted the sales figure of $405 billion (â€Å"About Us†). The Fortune Magazine ranked Wal-Mart as first among retailers in the year of 2010. The rank given by the Fortune Magazine gives me the idea of the company is financially strong and sound. This is encouraging factor for me to become an employee of Wal-Mart. What is the customer base of Wal-Mart? Weekly, more than 200 million times these customers are served at the stores of Wal-Mart. Also, a huge chain of 8,838 retail units is always ready to serve the customers. And to serve the customers, Wal-Mart has employed 2.1 million associates worldwide (â€Å"About Us†). I think Wal-Mart serve more than any other company in the world. And this is mainly the company’s service quality that attracts so many customers. Step 6: Presenting the Research Wal-Mart Stores, Inc. In the year of 1962, Wal-Mart came into existence (â€Å"About Us†). It launched its business operations by opening the first Wal-Mart discount store in Rogers, Ark. And in the year of 1969, Wal-Mart was incorporated as Wal-Mart Stores, Inc. Wal-Mart opened its first Sam’s Club membership warehouse in 1988. With the continued business success and business growth, Wal-Mart became an international entity in 1991 when it launched and opened its very first Sam’s Club near Mexico City. Wal-Mart is a financially stable and sound company. In the year of 2010, the company posted the sales figure of $405 billion (â€Å"About Us†). Additionally, Wal-Mart has a huge figure of customers, associates and members. Weekly, more than 200 million times these

Implementation of Balance Score Card (BSC) Essay

Implementation of Balance Score Card (BSC) - Essay Example Balance Score Card (BSC) is a framework for measuring performance on strategic level and accounts both financial and non financial measures (Banker, Chang, and Pizzini. 2011). BSC, since introduced by Kaplan and Norton in the early 1990s, has been adopted by large number of organizations. It is called BSC as it attempts to balance between short and long term goals while maintaining balance between financial and non financial variable (Kalpan, 2010). Proponents of BSC claim that it has many beneficial features that makes it preferred choice; such as connecting vision with strategy and activities down the hierarchy; cause and effect relationship of performance drivers with outcome etc (Chavan, 2009). Other feature that makes it most advocated is the fact of providing performance measurement and goal oriented guidance by combining variables or perspectives (2GC Limited, 2011). With agreement on benefits BSC offers to organization, fact remains that due benefit from BSC can only be avail ed based on appropriate and well thought implementation and there has been considerable debate on the implementation of BSC. This paper is also aimed to investigate and analyze success or failure of BSC that can be attributed to the appropriate implementation. Followed by introduction is the literature review of past academic studies done in the selected domain. Research methodology contains information related to method adopted to address the selected question. Analysis section provides analysis of the case studies selected to address the aim of this research. Finally, conclusion provides response to the question based on evidence collected in analysis section. LITERATURE REVIEW There is immense literature available on the BSC from various perspectives. This section will draw some relevant literature to BSC, its implementation with its proponents and critics. The section will also draw references related to implementation phase and cause implementation failure. Variation in studies are present that discussed increase in the adoption BSC due to the benefits it offers while others revealed firm’s decision of not adopting BSC due to less benefit it offers in proportion to the efforts required to implement it (Cardinaels, Paula, and Veen-Dirks. 2010). BSC has also undergone critical evaluation of assumptions on which it is built; such as managers’ capacity to link strategy to operational matrices in different departments and levels and issues related to designing BSC related to the respective organization etc (Geuser, Mooraj, and Oyon. 2009). Hence, discussion from various perspectives to explore possible deviation (Neely, 2005) while each aspect, directly or indirectly, referred to the factors that lead or hamper successful implementation of BSC. PEA, for instance, suggested complete procedure to develop balance score card to meet the challenges posed by other performance measurement in procurement organizations. It provided detailed guidance for a ll four perspectives including customer, financial, internal business processes and learning and growth perspective. It was also aimed to develop a model that allows comparability among various organizations along with providing a comprehensive performance measurement system (as given in image below (Procurement Executives’ Association, 2000). Hence, BSC shall be devised with adaptability to the nature and size of the firm (Rompho, 2011). Richardson (2004) provided six elements to be employed for the successful implementation of balance score card. These six elements include: first, development of strategy; second, involvement of strategic management and feedback from other management level of the new strategy; third, development of balance score card and its vision while both being aligned with vision of organization; fourth, implementation of balance score card performance measurement systems all around the organization and each level; fifth, communicating and educating the objective of BSC to employees and lastly

Economic Crisis In Cyprus Dissertation Example | Topics and Well Written Essays - 1500 words

Economic Crisis In Cyprus - Dissertation Example Researchable Context: The study is going to examine how competition and increased public and private debt contributed to the Cypriot financial crisis. It would also examine the rescue model that was used in Cyprus in the economic crisis, bail-in of the Cypriot banks imposed by Euro group, and what it could have been done by the government and banks to avoid this situation. It would also provide recommendations to avert the financial crisis. The rationale for the study: Over the last decade, the Greek government has borrowed greatly from international markets in order to pay for its trade deficits and budget. Investors became nervous that the public debt was soaring high, which drove up Greece’s borrowing costs. With the banking systems in Cyprus were experiencing intense pressure; they amassed â‚ ¬22 billion of Greek private sector debt. This increase in public and private debt reduced economic growth plunging the country into a crisis (Faustman and Kaymak, 2013). This market concern is what initiated the study to examine how public and private debt contributed to the Cypriot Eurozone crisis. Although Cyprus had been experiencing rising living standards before the commencement of the economic crisis in 2012, serious problems surfaced in the Cypriot banking sector as early as 2011. Cyprus borrowing costs slowly increased due to its exposure to the Greek debt (Theophanous, 2013). Furthermore, the public debt that was owned by the foreigners increased thus making the economy unsustainable thus creating the crisis. High public debt is very detrimental to economic growth.

Midterm Exam Essay Example | Topics and Well Written Essays - 1750 words - 2

Midterm Exam - Essay Example determining the number of hours, number of physicians visited etc. rather than implementing the acts of Pharmmedix, makes them independent contractors thereby eliminating employer-employee relationship. Therefore, if the legal provisions stated above holds, there is no employer-employee relationship existing between Pharmmedix and the sales staff because the staff solely performs their duties based on their discretion. Thus, I will advise Pharmmedix to go ahead and pursue the case because the employees have no legal ground to bring a suit against him. Therefore, he has no liability for any damages in terms of benefits to the employees because their relationship is that of employee and independent contractor. The EEO Act that was established under the Civil Rights Act of 1964 prohibits particular forms of workplace discrimination based on age, disability, color, race, sex, etc. Section 503 of the 1973 Rehabilitation Act restricts contractors and sub-contractors of the Federal government from discriminating against persons with disability by requiring them to undertake affirmative action for any individual with the disability in all the aspects of employment. In addition, ADA & Section 503 Fact sheet, prohibits discrimination of persons having a wide a range of physical and mental impairments, substantially limiting their activities like seeing, hearing, walking, breathing etc. (U.S. Department of Labor, n.d.). Therefore, based on the aforementioned provisions of the Acts, I will advise Homer Sparkey to take legal action against Very Cool Music for summarily rejecting him because of his age and physical disability. Therefore, I will rule the case against Very Cool Music and demand that they pay damages to Homer Sparkey or they unconditionally absorb them. The Occupational Safety & Healthy Act 1970 stipulates that employers must ensure their workplaces are safe for employees to

External Forces, Brand Strategy and Strategic Position Essay

External Forces, Brand Strategy and Strategic Position - Essay Example In present business environment, the competition had been likened to the battle zone where business rivals throw every manner of jibes to outdo another. It is normally said that the person who arrives first in the battle zone awaits opponents with much ease, and the one who comes later into the battle zone is often weary. It is on this backdrop that the business operations of Scribe Group often enter the market that is dominated by the big boys and competes on the complacency of other companies to win their share of the market and build their brand. To go out for war metaphorically requires strategy, and strategy in simple connotative term implies tactics that have been inculcated to outdo the opponent. The firm faces a number of external challenges myriad with internal dynamics. In understanding the Scribe Group’s external forces, the Porters Five Forces Model provides a sufficient mechanism for the analysis. The model recognizes and evaluates five competitive forces that continually bombard and shape companies to allocate their industry’s level of competitiveness and hence understand the development of their strategies (Griffin, 2013). In the paragraphs that will ensue, this paper shall apply the Five-Forces Model for the Scribe Group. First, Barriers to Entry, which is high, the airline industry is synonymous with a high fixed cost required for business development. The Selling and administrative costs can be high within the industry, given the fact that Scribe Group enters into a market where there are already established names especially the advertising costs. The report shows that the combined pretax profit realized from rail and airlines in 2013 and 2014 are 90 and 112 respectively against a huge turnover in the same period of  £980 and  £1101 respectively. The huge difference in turnover and profit is the result of even a comparable larger selling and administrative costs.

Capstone Research Project Essay Example | Topics and Well Written Essays - 2500 words

Capstone Research Project - Essay Example The rise and fall of organizations is dependent on the business practices adopted by them in a particular business environment. It is often assumed that the prime responsibility of any organization is to promote fair and honest business practices along with being transparent and honest to stakeholders in the short as well as in the long run. In terms of effective business practices, it is judicious to follow the prescribed financial standards and parameters of the recognized bodies. The Financial Accounting Standards Board designs Generally Accepted Accounting Principles for public and private companies. GAAP can be considered as a book of law that is not authorized by the government of the US but is followed religiously by the corporate community of the country. The guidelines mentioned in the GAAP are generally accepted by all companies and unwillingness to follow these guidelines has severe consequences that might even hamper the growth and development of the culprit organization. Over the years, wide arrays of organizations have tried to dress their financials in a manner that conceals the validity and financial information that might affect the overall decisions of stakeholders. In order to safeguard the interest of stakeholders, GAAP was introduced and has been great success in terms of acceptance and following across the world. The assignment aims at highlighting the importance of GAAP in context to Capstone Research Project by evaluating organization’s accounting practices and interpretations. Some of the issues pertaining to unfair business practices totally against the GAAP would be discussed in an analytical manner along with identifying the relevance and importance of GAAP in the financial world. The understanding would be presented through a series of example based on text books and journals understanding. Initial Findings After analyzing the accounting practices and interpretations of the organization, it was found that wide arrays of frauds and malpractices were prevailing in the financial system of the organization. Some of the fraudulent activities include: Leases on Technology Assets seems Inflated It needs to be understood that the organization uses technological assets to strengthen the operational activities. Leasing usually has a lower impact on the cash flow considering lower cash ou tflow at the initial phase. It needs to be mentioned that leases are not treated as assets and thus there is no reason to mention them in the balance sheet. Moreover, even if the leases on technology assets are shown in the balance sheet, it should be shown in a transparent manner without inflating or deflating its value. GAAP Rule- the GAAP rule states that usually operating lease does not affect the balance sheet of the organization as it is not considered as an asset and on the other hand, the expense is not highlighted in the income and expense statement. However, many organizations state leases in the balance sheet and income and expense statement just to dress the statements as per their needs and desires that is totally against the normal business practice (Barry, Jermakowicz, 2007 pp-965). Consequences of the Activity- it may be the case that the independent auditors and financial bodies highlight the fraudulent activity as inflating leasing assets affect the financial ratio s and thus misguide the stakeholders in every possible manner. GAAP do not allow such acts and consider this as a serious offence. Measures to Control the Activity- An independent set of auditors should be appointed by the organization working in tandem with the internal auditors to control and manage the transparency of financial statements in an honest manner. The management should take the initiative of appointing independent auditors auditing financial statements at regular interval along with promoting honest and ethical business practi

Midterm Exam Essay Example | Topics and Well Written Essays - 1750 words - 2

Midterm Exam - Essay Example determining the number of hours, number of physicians visited etc. rather than implementing the acts of Pharmmedix, makes them independent contractors thereby eliminating employer-employee relationship. Therefore, if the legal provisions stated above holds, there is no employer-employee relationship existing between Pharmmedix and the sales staff because the staff solely performs their duties based on their discretion. Thus, I will advise Pharmmedix to go ahead and pursue the case because the employees have no legal ground to bring a suit against him. Therefore, he has no liability for any damages in terms of benefits to the employees because their relationship is that of employee and independent contractor. The EEO Act that was established under the Civil Rights Act of 1964 prohibits particular forms of workplace discrimination based on age, disability, color, race, sex, etc. Section 503 of the 1973 Rehabilitation Act restricts contractors and sub-contractors of the Federal government from discriminating against persons with disability by requiring them to undertake affirmative action for any individual with the disability in all the aspects of employment. In addition, ADA & Section 503 Fact sheet, prohibits discrimination of persons having a wide a range of physical and mental impairments, substantially limiting their activities like seeing, hearing, walking, breathing etc. (U.S. Department of Labor, n.d.). Therefore, based on the aforementioned provisions of the Acts, I will advise Homer Sparkey to take legal action against Very Cool Music for summarily rejecting him because of his age and physical disability. Therefore, I will rule the case against Very Cool Music and demand that they pay damages to Homer Sparkey or they unconditionally absorb them. The Occupational Safety & Healthy Act 1970 stipulates that employers must ensure their workplaces are safe for employees to

Capstone Research Project Essay Example | Topics and Well Written Essays - 2500 words

Capstone Research Project - Essay Example The rise and fall of organizations is dependent on the business practices adopted by them in a particular business environment. It is often assumed that the prime responsibility of any organization is to promote fair and honest business practices along with being transparent and honest to stakeholders in the short as well as in the long run. In terms of effective business practices, it is judicious to follow the prescribed financial standards and parameters of the recognized bodies. The Financial Accounting Standards Board designs Generally Accepted Accounting Principles for public and private companies. GAAP can be considered as a book of law that is not authorized by the government of the US but is followed religiously by the corporate community of the country. The guidelines mentioned in the GAAP are generally accepted by all companies and unwillingness to follow these guidelines has severe consequences that might even hamper the growth and development of the culprit organization. Over the years, wide arrays of organizations have tried to dress their financials in a manner that conceals the validity and financial information that might affect the overall decisions of stakeholders. In order to safeguard the interest of stakeholders, GAAP was introduced and has been great success in terms of acceptance and following across the world. The assignment aims at highlighting the importance of GAAP in context to Capstone Research Project by evaluating organization’s accounting practices and interpretations. Some of the issues pertaining to unfair business practices totally against the GAAP would be discussed in an analytical manner along with identifying the relevance and importance of GAAP in the financial world. The understanding would be presented through a series of example based on text books and journals understanding. Initial Findings After analyzing the accounting practices and interpretations of the organization, it was found that wide arrays of frauds and malpractices were prevailing in the financial system of the organization. Some of the fraudulent activities include: Leases on Technology Assets seems Inflated It needs to be understood that the organization uses technological assets to strengthen the operational activities. Leasing usually has a lower impact on the cash flow considering lower cash ou tflow at the initial phase. It needs to be mentioned that leases are not treated as assets and thus there is no reason to mention them in the balance sheet. Moreover, even if the leases on technology assets are shown in the balance sheet, it should be shown in a transparent manner without inflating or deflating its value. GAAP Rule- the GAAP rule states that usually operating lease does not affect the balance sheet of the organization as it is not considered as an asset and on the other hand, the expense is not highlighted in the income and expense statement. However, many organizations state leases in the balance sheet and income and expense statement just to dress the statements as per their needs and desires that is totally against the normal business practice (Barry, Jermakowicz, 2007 pp-965). Consequences of the Activity- it may be the case that the independent auditors and financial bodies highlight the fraudulent activity as inflating leasing assets affect the financial ratio s and thus misguide the stakeholders in every possible manner. GAAP do not allow such acts and consider this as a serious offence. Measures to Control the Activity- An independent set of auditors should be appointed by the organization working in tandem with the internal auditors to control and manage the transparency of financial statements in an honest manner. The management should take the initiative of appointing independent auditors auditing financial statements at regular interval along with promoting honest and ethical business practi

All of our Choices are Predetermined Essay Example for Free

All of our Choices are Predetermined Essay The Universe appears to be governed entirely by laws, studies of physics seem to show that atoms follow an extremely predictable pattern of cause and effect. This presents a difficult problem for philosophy; if all physical matter is governed by the laws of cause and effect, and we ourselves are comprised of physical matter, how could it be so that any choices we make could be seen to be free? The suggestion that our choices are set out by cause and effect is known as Determinism. Philosophers such as Ted Honderich have argued for determinism and for the consequences that it cancels out free will. It seems insensible to argue that we are not in the least bit determined, and almost all people know from personal experience that people act in a relatively stable and predictable way. For example, if I were to ask my father if he wanted tea or coffee, I would know that he would want coffee based on his love of coffee, and hatred for tea. This preference could not be argued in any way to be a choice made by him, we do not choose what we like, but simply do. Whether our preferences are based on nature or nurture is an ongoing debate, but regardless of the final conclusion, as long as our opinions are based on either of the two options, we would be seen to be determined. Nature is not in our control, neither on the other hand, is nurture. If our personalities are based on environmental or genetic factors and nothing else then our actions are surely determined. This position is extremely convincing and was famously used by Clarence Darrow to prevent two murderers from receiving the death penalty, he argued that they where a product of their upbringing and as such could not be held morally responsible for their actions. This meant, while they could be jailed to prevent threat to society, they could not be punished with the death penalty. The viewpoint of Determinism, while convincing, is by no means universally accepted. The argument seems to go against our intuitions that we are free -although it is notable at this point that our intuitions themselves are philosophically worthless, we cannot argue for an element of truth on the grounds that we feel it is true- and is seemingly incompatible with the view of a God who punishes and rewards his creations with heaven and hell. If our actions are predetermined, then it seems that punishment in hell would be arbitrary. God would simply be creating people in a flawed way, and then punishing them for his poor skills of creation. Needless to say, this viewpoint is not accepted by many Christians and so there have been many arguments for a lack of determinism in philosophy. The belief of Libertarianism, is that we are completely free; in the words of Jean-Paul Sartre I am not free not to be free. Though Sartres beliefs on free will were more assertions than arguments of proofs, he summarises the Libertarian view point perfectly. All our actions are completely freely chosen, our only confinement is that we cannot be confined. Libertarianism has the difficult task of explaining how it is possible to defend non-determined choices in an environment where all things seem to be determined by cause and effect. As already stated, if our personality is held to be nothing but a result of nature of nurture, then determinism must be accepted as a matter of logical consistency. From this, many Libertarians would stipulate the existence of a super-natural element to our personality. For example, if one were to believe in a soul, then it is possible to argue the physical laws of cause and effect have no bearing on our actions. This does seem to contradict fairly obvious observable evidence. Psychology has frequently found causes for human behaviour, and it is difficult to explain the consistency and successes of this particular scientific discipline if we do not accept that our choices are determined in some way. One of the more successful attempts of Libertarianism to discredit Determinism is the pointing to laws of physics that do not seem to obey causality. Heisenbergs Uncertainty Principle shows distinct examples of elements of nature acting randomly, and not due to cause and effect. There are two main criticisms that can be made of this argument; One, that this principle only functions on an minute level, while actual objects such as people still obey determined laws of physics (although science has proven the principle can be amplified to affect people), and; Two, that even where actions random, there would still not be free will, while we would not live in a predetermined environment, we would still live in a (randomly) determined environment. If one was to roll a dice in order to decide the actions a prisoner should take, they would not be considered free by any means. The fundamental flaw of Libertarianism, is that when we examine how it would work, it seems to collapse. As all choices are made according to our personality, a serial killer, is only so because he has a serial killers personality. This statement would suggest determinism and could only be argued against in two ways: Firstly, we could state that the serial killer has no personality, this however, seems nearly impossible to uphold. Without personality, we would have no preferences and without preferences we could not make any choice at all. Asking someone who has no preference of good over evil, or pleasure over pain, to make a moral decision would be rather like asking someone whether they prefer white to white. Without personality, we would not be able to make any choice at all, as no options would appeal to us over others. It could be argued, that decisions can still be made according to rationalism, but as rationalism and logic are consistent discipline this would make our actions even more predictable and un-chosen than determinism suggests. So this argument cannot be used to defend Libertarianism. Secondly, we could suggest that the Serial-Killer was in some way in control of his personality. That he chose his preference of evil over good. This again fails. As we have already stated, choices cannot be made without personality, so to choose a personality we would require a personality for us to choose, this initial personality would determine the personality we chose. We could attempt to argue that this initial personality was chosen, but very soon we would have to give way to infinite regression. With this in mind, Libertarianism and the suggestion that our choices are anything but pre-determined or random, is not only completely incompatible with the current model of physics and psychology, but more importantly is incompatible with choice itself (as choice requires preference, preference designates personality which in turn suggests determinism). Libertarianism is a self defeating system in that it requires an absence of will to prove free will, which would be rendered useless without will. There is also a logical argument against Libertarianism. J.J.C Smart points out that there are two possible states of things, i.e. determinism or indeterminism. Either determinism is true, or indeterminism is true, these exhaust all possible philosophical options. Determinism would prevent a Libertarian view as our choices are predetermined, indeterminism would seem to prevent Libertarian view also, as our choices are random and thus not controlled or free. From this argument, we can see that a Libertarian argument for free will is impossible. It seems undeniable therefore, that all our choices are pre-determined -or in the least part random, whether our choices are in fact pre-determined or random is largely down to physicists to discover, currently it seems to be that we are in fact pre-determined, but this cannot be assured without knowledge of all physics. Even if our choices are not predetermined, what they are not -as has been argued in the course of this essay- is freely chosen, at least according to the viewpoint of free will presented by libertarianism. But what would the effects of this be? Hard determinism would argue that we cannot claim to possess free will in a deterministic environment. The problem with this position seems to be that we have defined free will incorrectly. The view of free-will as indifference, has in the course of this essay been demonstrated as problematic, and if we adopt this view of free-will then hard determinism would seem an agreeable viewpoint, the problem is, that this seems an utterly meaningless way of discussing free will. Free will does not appear to refer to the ability of will to change itself, when we refer to a free lion, we do not mean it is free to change to a tiger or a bird, we simply mean it is free to act according to its nature. It would therefore seem to be more useful to discuss free will in the sense of a will being able to act itself out, we are free if we could have chosen otherwise HAD our will been different. This Compatibilist approach adopted by David Hume seems to allow us to discuss free will in a meaningful way, within what seems to be a predetermined environment.