Business

The K.S international Consultancy Group is glad for a chance to offer our expertise in your soon to be undertaken project. We have gone through the project requirements and postulates and herewith attached to this memo are our recommendations, which we hope will go along way towards improving efficiency in your project.

Major Issues
Among the major issues subject to this project is the project timing and cost implications that are the major cause of alarm in each and every other project of this magnitude. In regard to cost an inclusion of a clause subjecting the firm to extra costs of 15000 per extra week of delay is of major concern given the many factors that would come into play resulting to delay. The second concern is the timing of the project, time is essential in as far as getting rid of overheads and neutralizing the effects of risks such as the anticipated cold weather and strike. Besides earlier completion would mean a saving for other projects in regard to technical expertise which is concentrated in the current project. Other issues to be addressed in this report are means and ways of ensuring that the project is uninterrupted either due to a run out in work force or a strain in finances availed for the project. This will be through a thorough analysis of the already outlined alternatives and subsequent utilization of one, which would give the best outcome regarding both cost and time, which are our main concern issues.

Recommendations
We recommend option two which involves expediting pouring seat gallery supports and doubling the shifts in filling of the field as this is a critical activity.

Analysis Limiting factors
The main limiting factor is time given that the project should not go beyond a year of which extra cost would be incurred. The other limiting factor is labor supply labor is likely to be disrupted in November on expiration of the current contract. The other of the limiting factor is weather given that the climate will not be all conducive for carrying out concrete lying especially in December where extreme conditions have been forecasted. The final limiting factor is cost, there is need to control cost and prudently use the allocated money up to completion.

Report
Pertinent issues
The pertinent issues include the forthcoming strike of the union workers, which would have profound consequences on the project. The other issue is the weather conditions likely to tolerate in December that is as far as the current forecasts are concerned. The strike with an eight-week delay on the project carries the highest probability of delay, which is 0.7 percent.

Identification of the problem
The problems resulting from the above issues include a probable delay of the project. With the November strike the most probable cause of delay of up to eight weeks, this is resultant from the probability, which is calculated and determined as 0.7. The twelve-week delay would be less likely to take place with a 0.3 probability of occurrence. On climate conditions the likelihood of cold weather would necessitate additional cost of 500 as heating expenses, which would apply once out of every three instances. This places the probability of incurring heating costs at 0.3 throughout the project, given the concrete pouring would take four weeks then the average increase in total cost would be about 1000 in the entire project given cold weather indeed results.

Recommendation
Given the timing of the strike as November 30th and the cold weather spell as December it is then most likely that the project will at some point stall. This is due to the fact that the two limiting factors will have the same timing. The strike option carrying the highest probability has the following implications, an eight week delay resulting to an eight week delay of the project bringing about an overhead cost of 4000. To avoid this we recommend option two which cuts the total project time by five weeks.

Discussion and analysis of recommendations
Working with the probabilities presented there is a strong chance that the eight week strike will take place it will be irrelevant whether the extreme weather conditions actually take place as they coincide with the period of the strike. If as recommended the second option is taken, the total cost implications will be the extra cost of  10,000 which would in turn result to a five week saving on the project. This means that the eight weeks delay likely to result from the strike is cut by five weeks and reducing the project delay to three weeks which comes with an overhead cost of 1500. This is in the view that any option results to a delay, this means the best option is that which results to the least delay and comes with a lower cost. The first option comes with a greater time saving plan but with a very high cost implication, option three does not involve a critical activity thus has no effect on the overall project, options four and five puts the firm under a very high risk which is not be acceptable.

Before putting an insight into health insurance, let us get acquainted with insurance, its types and its purpose. Insurance is a contract between a person who buys insurance and the company who sold the insurance policy. By entering into contract the insurance company agrees to pay the person holding the policy or his family members a predetermined sum of money in case of an unfortunate event for a predetermined fixed sum payable which is called Insurance Premium. Basically speaking, insurance is a protection against a financial loss on account of occurrence of an unexpected event. Insurance companies collect premiums to provide for this kind of protection. A person can build a shield of protection around himself and his family members and insure against an unfortunate event by paying a very small sum of money. For example, if a person buys a Life Insurance Policy by paying a premium to the Insurance company, the family members of injured person get a fixed compensation in case of unfortunate event like death. There are various kinds of Insurance such as Life Insurance, Vehicle Insurance, Home Insurance, Travel Insurance, Health Insurance etc. All of these have their own importance in the life of a person and his family. Now let us get to the root of health insurance.

What is health insurance Health insurance is that form of insurance that pays for all or part of a persons health care and medical bills. There are various forms of health insurance. These include group health plans, individual plans, workers compensation, etc. Health insurance is an insurance policy that insures a person and his family against any kind of medical expenses. The medical expenses will be born by the insurance company if one pays his premium regularly. Cover includes pre-hospitalization for 30 days and post-hospitalization for 60 days. It covers domiciliary hospitalization as well. Now its time to become familiar with the benefits of taking health insurance.

As all of us know that the cost of doctors fees, expenses of medicine and hospitalization are getting dearer and dearer with each day. These rising medical expenses take no time in burning a hole in ones pocket during a medical illness or emergency. So it is essential to take an important step in the form of health insurance. By taking a health insurance policy a person can safeguard himself and his family from the onus of high cost of treatment. Besides this a health insurance policy has several other advantages. It reimburses the medical expenses, there is discount on insurance premium on family package, there is a certain margin on which the premium paid is exempt from income and a good feature is that the premiums are lower for the younger people. A term Domiciliary Hospitalization has been stated above. What does it mean It means that a patient can be given treatment at home when he is able to be transferred to the hospital or there is no accommodation in the hospital (Pitts, n.d.).

Let us now peep into the history of the plans of the health insurance. The credit for proposing about the health insurance plans goes to Hugh the Elder Chamberlen from the Peter Chamberlen family. It was the accidental insurance that came into being first of all the health insurance policies. This was similar to the modern day disability insurance. This type of policies was in continuation till the beginning of the 20th century. Franklin Health insurance Company of Massachusetts, founded in 1850, first launched the accidental insurance. Insurance was provided by them to the persons suffering who got injuries due to railroads and steamboats accidents. By the year 1966, sixty companies had started offering accidental insurance in the United States. Then during the later part of 20th century modern health insurance programs came into being. Slowly and steadily the present day Medicare policies evolved, which include preventives, health care procedures, etc. (Evolution of Health Insurance, 2009).

There are multiple options that must be taken into consideration while deciding what type of health insurance would be most advantageous for ones family, whether a group health plan is offered or not by the individuals employer and whether the needs of an individuals family will be met or not. Basically family insurance is the addition of family members to the individual health insurance. Nowadays individual health care plans provide more flexibility to an individual. These can be directly purchased from a health insurance provider and give the individuals the choice to choose their company, plan features and coverage level. Group health insurance plans are the best choice for the individuals who are looking for the best health insurance rates and coverage for their dear ones.

This is the cheapest option as individual plans can be costly. All the terms of a policy must be understood well while purchasing individual health insurance (Family Health Insurance, n.d.) There may be a few queries that may pop up in ones mind. Firstly, what types of policies are available. Secondly, by what companies these policies are offered. Thirdly, what is and is not covered by the policy and effects of higher or lower deductible. The individuals must ensure that the insurance company and the agent have good reputation. Moreover, it is better to understand how to pay premiums. Paying the premiums in lump sum has its own benefits as with this one gets pre-payment discounts and may be exempted from expensive service fees. But the amount saved may differ as per provider and plan. A higher deductible may be considered by the individuals and their families that are healthy and need less medical attention. Higher deductible health insurance policies usually have lower premiums than lower deductible policies. Insured persons must be apprised of the terms and conditions of the coverage of the plan purchased by them. Pre-existing conditions of illness, self inflicted injuries, suicide attempts etc are not liable to get the expenses from the insurance provider. Thus in order to get maximum benefits one must purchase a health insurance plan during early age as health insurance is the healthy way of living.

Benefits
1. Reduced amount of medical resources needed to offer proper medical care. Since the entire chemistry of the human body is affected by genes, the possibility of current medical ills being cured or prevented with the use of gene-associated therapies is high. Gene information can be obtained from DNA database.

2. Considerable reduction in crime. DNA database would help to stop criminals in their tracks since it allows for possible matching of information obtained from the crime scenes and that of individual.

3. Reduction in government expenses. National DNA database gives enough information hence the size of police force can be reduced and by extension the criminal justice system.

4. Reduced occurrence of wrongful arrests and abuses of power carried out by police officers made possible by, valid information from a DNA database.

5. Reduced specter of guilt. Police officers have enough evidence to pinpoint the real criminals using information from the national DNA database.

6. Government resources saving. The reduction in crime that a national DNA database brings about can scrap off establishment of independent bodies whose duty is to ensure that abuses of power do not take place.

Problems
1. Abusing powers through access to a national DNA database whish provides a lot of information about individuals.

2. DNA database can be used to help some people - particularly some state employees - to indulge in criminal activity.

Who should be included in a national DNA database Should one be limited to convicted felons Explain your answer.

Criminals and their allies should be included in a national DNA database.
Yes. This is because keeping large numbers of innocent people on the database who are at times found at the crime scene may not increase the likelihood of solving crime by use of DNA. So much unnecessary data can cause wrong matches that should not have led to conviction in the first place, leading to incarceration of innocent people. According to Borovko, et al (2009) samples taken can also degrade hence loosing its usefulness and this can be a waste of time. Therefore the less information saved at the national DNA database, the more the precision in getting the real criminals.

How does CODIS work
CODIS  comes up with investigative leads using biological  evidence recovered from scenes where crime was committed and then making matches  among profiles in the forensic index. Computer software is used to automatically search across indexes (convicted offender index and forensic index) for a potential match.

How is it designed
CODIS have three-tiered hierarchical structure which consists of
LDIS (Local DNA Index System) where, DNA information originates from. Biological samples are taken at police departments and sheriffs offices.

SDIS (State DNA Index System). It provides a means for local crime labs within a state to exchange information.

NDIS (National DNA Index System). This allows for the exchange of DNA profiles on the broadest scale at the national level (Schneider, Martin, 2001).

What information does CODIS maintain
CODIS consist of the Convicted Offender Index and the Forensic Index, The Convicted Offender Index contains DNA profiles of individuals convicted of certain crime. While the Forensic Index contains DNA profiles developed from biological material found at crime-scenes such as blood, semen and saliva (Muller 2001).

Who is allowed to use CODIS
It is handled by Federal Bureau of Investigation (FBI)
How does CODIS aid criminal investigations
As posted by Martin (2004) DNA evidence can assist in bringing home the guilt, relieving the innocent or, liberating those wrongly convicted. It gives accurate information when the DNA is matched with the data collected at crime scenes hence provides for specific person identification. It can also stop the youth from engaging in crime since they can be caught in early stage.

The data on the performance of the corporations has been tabulated below

Large CapPForecastMedium CapPForecastShadow StocksPForecastU.S. Healthcare16.7Vencor Inc20.4Ashworth Inc23.4Cisco Systems24.8Westcott Communicns22.3Homecare Mgmt Inc30.8Parametric Technology25.4CML Group10.4Methode Elec B20.6United Healthcare25.2Snyder Oil33.1Marten Transport10.5EMC Corp.18.6Owens  Minor22.1GatesF.A. Distrib15.6Amer. Power Conversion29.7Xilinx Inc24.1Rotech Medical Corp20.2Cabletron Systems19.4Invacare Corp.15.3Cosmetic Center B16.5CUC International30.0Tech Data Corp.17.0Volunteer Capital26.1Intel Corp10.3Brigggs  Stratton13.5BGS Systems8.1BMC Software15.0KCS Energy Inc10.1Microsoft Corp23.6Applebees International35.8Blcokbuster Entertain20.1Bowne  Co.10.6Linear Technology31.9Horizon Healthcare26.0Sysco Corp21.5Oakwood Homes14.7Home Depot31.8Progress Software18.5

To understand whether the growth potentials of stocks differ across classification of market capitalization we will carry out an ANOVA (analysis of variance) study on MS Excel to see if there is a significant difference between the three sets of values given. Before that we check if all the data sets are normal or not.

All the p-values in the Anderson-Darling test are  0.05 and hence they are all normal. The following are the p-values, Large Cap  0.851, Mid Cap  0.466  Shadow Stocks  0.965. Now, for the ANOVA test, the following are the null and alternate hypothesis

Null hypothesis
H0 There is no significant difference between the three sets of corporations

Alternate hypothesis
H1 There exists a significant difference between the sets of values

The following is the result from the Anova exercise

As can be seen from the analysis, the p value is  0.05 and hence the null hypothesis has to be accepted. It means that there is no statistically significant difference between the three sets of values. Hence, the growth potential of the stocks does not vary with the market classification of the stocks.
Also, the classification of corporations does not cause differences in ratios of 1994 market price to 1995 forecasted earnings per share because the growth in the corporations is not dependant on the market capitalization level of the firms. This is proved by the analysis done above. The merits of ANOVA over normal Hypothesis testing are as follows

Hypothesis testing can be successfully applied to only two samples or populations
If we are interested in testing a hypothesis on more than two populations, then hypothesis testing loses its accuracy (0.950.95  0.95)

ANOVA helps analyze multiple populations without increasing the probability of error
If we look at the p-values of three independent hypothesis tests, we can clearly see the difference, for Large Cap  Mid Cap, there is no significant statistical difference but there is a significant statistical difference of each of the above with Shadow Stocks. Hence it is difficult to ascertain if there is statistical difference between all three samples together

My hypothesis is that brand name is just one of the factors which attract the customer to buy products. But it is not the key factor for getting a company turn into a leadership position. My focus here is on the mobile phone companies. My proposition hence is that product differentiation and innovation serves as a competitive advantage than a product name. However, I suggest that similarly, in the mobile phone market, product differentiation is the major driver that attributes to the brand success.

Thus, what is the basis for the market positioning of any company. As it is the positioning which actually defines the perception a brand is able to create in the mind of the consumer. Brands that have an apparent and distinct positioning in the market are those that are perceived to be strong. And they are the one which not only give a hard time to the competitors. But also are able to become market leaders by reaping substantial profits. This position however, comes only if company is smartly using various factors of positioning including brand name and product differentiation to its advantage.

Introduction
Any company does its market positioning on basis of two factors companies innovate and differentiate themselves by devising products with some idiosyncratic features. (David 1996) And then the company makes efforts to communicate these differences made in reality into the mind of the consumer. And after the consumer to whom, this product or service has been targeted is able to believe that the product or service the company is providing them is actually superior because of this additional feature, then the process of positioning has been completed.

But this cannot be alone done by doing some product differentiation. In order to sustain a companys market positioning. The company needs to adopt a market approach that is focusing on brand awareness and brand recall amongst the customer. The company has to ensure that the consumer is able to remember the brand name. And is also able to associate the brand name with the benefits that the brand is perceived to offer to the consumer and most importantly the brand is able to give the consumer a favorable experience. As this as whole is able to reinforce the brand and its associated benefits in the market.

Still a name is very crucial for any small business. It serves to provide the prospective customer about the some aspect of the product being offered. Consequently, is able to help the customers form some impression about the company. For instance, Apples mobile phone iPod is able to give the consumer a perception about the product and the company. The product is not just significantly unique in its offering but in fact the products unique name makes it stand out in the market as well.

Hence, the consumer assumes that such brand is positioned by a company that believes in innovation. IPods carefully selected brand name not only sets it apart from those of competitors like Nokia and Blackberry. And it also successfully communicates a message about the corporate persona of the company. Had Apple been not so selective in choosing a peculiar name for the product, it would not have been able to develop into such a sustainable brand.

Previous research, proposed methods and reflections
Brand theorists assert that flourishing branding is almost certain when the product is simple to recognize, offers the greatest worth for the price, is extensively accessible, and has sufficient demand to put together the branding efforts as lucrative. Product branding is also preferred in scenarios where getting a good display location on shelves will considerably influence the selling of the creation. Lastly, thriving branding endeavors require cost-cutting measures of magnitude such that costs must reduce and profits ought to enhance as additional units of the produce are made.

Nokia has done branding as well but only of the company name and not the products. Nokia has succeeded in giving a personality to its products, without even giving them any special names. In other terms, it has not produced any subbrands but has focused on the company brand name, giving its individual mobile sets a general brand persona. Just numeric descriptors are used for the products, and these numbers do not even materialize on the produce in actual.

In order to create a brand name the company should look into the competition as well. And should commence the process by looking at the names currently been in use in the marketplace and evaluating their efficacy. Then after that the step is to categorize main attributes that build the merchandise unique and then should help pressure the consumers to opt it over the competition. Here it is thus a combination of product differentiation and name that the company looks into when positioning in the market place. If a product would not be offering some unique selling proposition then it could not be positioned uniquely in the market.

It may also be useful to recognize three to five company persona traits such as sociable, innovative, or cost-effective. Traits which the consumers can understand in relation to the product and its features. Then the company must make a list of all the vocabulary and phrases that arrive to mind for every characteristic or persona trait that has been recognized. If the brand name is to take in the category of product or service being presented, it is vital to think about whether the vocabulary on the list fit soundly with these provisions.

The next stride is to assume with reference to how the phrases on the list would appear on product package. This includes any likely visual imagery and designs that may possibly be used to improve their emergence. The company should also test market the product before launching and should take the customer feedback on the products name.

When we just look into what Apple did in its positioning then we see that how the competitors sole reliance on product differentiation failed. Apple spent a portion of what Sony did in its product research, development and innovation. But Apple does not necessitate spending cash telling consumers that the iPod is like no other. The consumer can see it themselves. It promotes itself, by means of word of mouth and lustrous publicity and press reviews that help reinforce the brand and its differentiation strategy.(Cooper 2006)

Notably, the iPods birth was not a one time hit surprise, but it was a sequence of events. Every step had packed a beat that combined superior functionality, effortlessness of use and a great aesthetic sense if we look at the first iPod it only gave the consumer a step wise change in the storage capacity and memory. Then there was the iTunes which made purchasing music very simple via the internet and now iPod keeps on coming up with new a addition which helps it strengthen its position. This however, is known to us because of the tremendous publicity that goes on by iPod. And that continuous stream of advertising makes the company a success.

The main proposition is that the victory of the iPod can be primarily attributable to either Apples brand power or the truth that the fundamental invention filled a key position in the marketplace at the right moment in time. On the other hand, it is to be expected that there will be no apparent response to this research. Nonetheless the study will possibly formulate a contribution to the understanding of the association between brand name and product differentiation. And how these two factors can merge to create a successful product for a companys positioning.

Kohli, Harich and Leuthesser (2005) have shaped one of the most current pieces in this region, with a piece of study focused on branding strategies for innovative products. They found that significant brand names those that propose a positive quality or benefit of the invention, are naturally evaluated more constructively on overall liking and are easier to remember than non-meaningful brand names. The study reported here is the initial such investigation of assessment of brand names over recurring contact, and of particular attention are differences in the degree to which significant versus insignificant brand names advantage from frequent contact.

Results of the study show that significant brand names continue to be evaluated more positively than non-meaningful names, even after frequent contact, but those evaluations of non-meaningful brand names may get improved at a greater rate than those for meaningful brand names. This is of particular significance to Apple, as its brand name did not have a customary connection to music players, so its great spending and recurring publicity could have helped counteract this. (Lustgarten 2005)

Then there are the competitors who are just focusing on one aspect i.e. product differentiation. They are presenting that product innovation and not promotion is what is increasingly becoming the means to success of companies. Here in mobile industry, Samsung followed this tactic. Samsung was successful with this in its LCDs and Plasmas. But it this technique did not become effective in mobile phones. And Samsung mobiles have very low brand equity for the consumer.

In the mobile phone industry, there is a lot of focus on both the attributes name and product differentiation. All the firms try their level best that they are able to attract the consumer by their offerings. It was the company Motorola that had actually begun the industry trend of using cooler and innovative brand names for their products. The RAZR mobile was the first launch made that focused entirely on the brand name and not on its attributes. This was soon followed by Samsung and LG who introduced names likes Blackjack and Chocolate respectively for their brands.

A research was done by an analyst firm named Strategic Name Development. The key finding of their report on mobile industry trends was that a better and different mobile phone name was equivalent of a being a better performer in the market place.  However, this report was myopic in its research findings. It failed to directly identify the affect of any other factors which contributed to the success of a company.

The findings clearly ignored the aspect of the actual performance, product differentiation and innovation, pricing and distribution tactics. In order to answer these queries it is necessary to look in to primary and secondary research. The customer date must be examined and it must be seen that what the consumers perceptions are about each company and its positioning. Then another approach will be to do a direct assessment of the consumers behavior and identify their purchasing patterns and perceptions about the brands they use.

Hence, the brand name and product differentiation both have their own roles. But both alone cannot contribute to the success of the company. The positioning is only successful if there is a combination of two taking place. As all these factors are like the jigsaw pieces of a puzzle. And the puzzle can only be completed if all the pieces fit together in the right place.

Broad Target Low Cost                         Narrow Target Differentiation
A lower costs, the brand targets middle and low level customers in the market and aim to enhance leadership in the costMore costly brands that target high class and more affluent people in the market, there is differentiation

Targets the local market, and ordinary customers, it is very focused on the cost of the products and services

Targets the very affluent customers that consumes more and it is differentiation focused

The sales made on the product are very moderate, there are no frills
Moderate sales made due to the average value added to the products and services and their average prices. The prices are relatively low

Very high sales made due to the high perceived added value and very low prices. The low prices could however discourage some buyers who associate good quality with high prices (hybrid marketing system).

Differentiation is very clear. The best operating point in business, the high quality and average prices of products and average prices is likely to lure more customers to the goods and services being offered. Mass appeal of products and services is witnessed.

High prices and high quality means the goodsservices are not affordable to most people even though they have a high perceived added value. The products in question would mostly be purchased by the rich in the society. Focus is restricted to specific sections of the market.

Average perceived value and high prices the demand based on value and price would be low as most people would opt for the high perceived value with low of average prices. There is risk of losing the market share.

Low perceived value and high prices would hardly attract any customers. No customer would be willing to spend a lot of cash on goodsservices that have no value to them. There is low growth with very low profitability thus failure is imminent.

Low perceived value and moderate prices attracts few customers.  There is loss of the market share by the business.

The low price strategies do not effectively favour the market unless the business is a cost leader all the sources of cost advantage have been exploited over the business competitors.

Political
-Influence the pricing policy through tax rates, standards, price control measures and other market regulations and operations e.g. privatisation, decentralisation Economic
-Determines the utilization capacity by the market population, increases business competition
-Inflation, interest rates and unemployment levels determine the market patternsSocioCultural
-influence the business sales, marketing and production patterns through peoples lifestyle through culture commodity modification
-population size and status determine the purchasing powerTechnological
-Technological business leadership gives competitive advantage to the business by reducing operations costs, relevance of physical place and create mass market by enabling mass production
-Speed of technology transfer and obsolescence is crucial in businessEnvironmental
-Influence the expansion levels
-Uncertain, dynamic and complex environments are hard to invest in and need a lot of research before investment is done.
- Political, economic, technological and social issues must all be put into a business perspectiveEducational
-Ensures proper understanding of the product use and purchase definitions
-Influence levels of innovation in products and processes and purchase patterns

Legal
Dictates the ownership structure, production standards and distribution channels. Protect new entrants and unfriendly business practices such as market monopolies.

Politic and political trends influence the manner in which the prices of the products and services are determined in the market. This could be done through control of taxes imposed on the products, standardization levels imposed by the government, price control systems and other regulations imposed by the government.

Economic development has a great influence on the capacity of market consumption and business development. Good economic development leads to increase business performance and may also result in higher competition due to conditions that encourage business practices in the market.
Social and cultural practices influence the manner in which consumers respond to various marketing activities.  Population size, consumption practices and preferences also influence the manner in which business competition takes place.

Technological leadership gives a business a competitive advantage through the reduction of the operations costs, increase in the business relevance and reaching out to more consumers.

Changes in the environmental factors influence the expansion levels. Dynamic, complex and uncertain environment results in a more complex business environment and business operations.
Education of the consumers normally results into increased awareness of the market.

Legal structures in a business environment determine the business ownership structures, work frames and other relevant business conditions.

Various levels of competitiveness do exist among the market players. Each market player always targets to realise maximum benefit from the business environment. The business, new existing and the potential market entrants, buyers, suppliers and the producers of the substitute products and services always compete to accrue the most benefits from the business possible.

The buyers aim to get good brand of goods, with desired features and quality at a cost effective price and may change allegiance if they perceive that the business organization doesnt offer that. The higher the bargaining power and discounts, the more consumer-friendly the business is.

Substitute products aim to offer better quality, brand, quantity and the most desired taste to the consumers in comparison to what they receive from the competitors. Substitute products and always threats to the existing products.

On the hand, the potential entrants are ever on the look for any unsatisfied consumer needs, expectations and gaps in the business operations of the business and then strategise to offer it in the best possible way. Economies of scale, hefty capital requirements, complexity in the access to distribution channels and high expected retaliation from the market players discourage new entrance to the market.

However, the suppliers mainly struggle to ensure that their clients get better offers from them in order to maintain the good business relationship thus continuity of business. They struggle to have a good bargaining power and win more business operators.

Same as competitors or easy to imitateBetter than competitors and difficult to imitateResources

-Availability of the necessary resources
-more common services and products that do not offer any uniqueness-Very unique resources
-very durable, efficient and cost effective resourcesCompetences

-The competency levels are at threshold levels.
-could be easy to do substitution

Core competency values should be enhanced over those of the business competitors Johnson, Scholes  Whittington, 2005

When the resources being employed are either similar to the competitors or very easy to be imitated, it is likely that the resources in question are easily available, common in the market and may also be cheaper to acquire and cost effective

However, when the resources in use are much better that those of the competitors and difficult to imitate, this automatically give the business a competitive advantage over its competitors. It implies that the resources in question are very unique, durable, more efficient but may need more expertise in order for them to be put into use. These resources may also be hard to acquire in the market.
When the competency levels needed are similar to those required by the competitors are easy to imitate, the unit could mean that the competency levels are indeed the threshold levels in business. There is however a need to make substation in the competency involved in the business operation. Otherwise, then the core competency levels need to be enhanced over those of the competitors.
 Human resource infrastructure normally identifies the major business operations of the business and how strong the firm may withstand competition in the market. Strong infrastructure acts as a better foundation for both the current and future investments.

Human resource management offers support activities to the business organization in order to ensure that all competitive avenues are fully and adequately exploited and utilized. Procurement efforts could also be utilized through the use of various technologically advanced systems in the business environment.

Inbound logistics, services, the marketing and sales department, outbound logistics and other business operations are always put in line with the necessary procurement activities through the integration of various relevant technologies. This results in a firm that properly incorporates all these systems together having a competitive advantage over its competitions in the market.

Davila-Bonds Competitive Advantage
The competitive advantage of D  Bond is embodied in a wide range of strategies, the first and perhaps the most beneficial is that the firm has so well managed to adopt an international outlook which makes it easy for it to shift operations from one market to another as deemed appropriate. The company has been well able to outsource the production to some overseas countries, especially in the Latin American states. As such, the firm does not have to rely on any one given market. This partly explains its ability to remain afloat even against the backdrop of a harsh economic climate posed by the failure by its perennial markets to continue importing its products. To crown this huge international presence, the company has the benefit of getting the very much needed support from the government of Ecuador which is very keen to encourage the local investments even as it tries to embrace and cope with the emerging issues brought about by the new economic order around the world  globalization. Therefore, D  Bond enjoys the fruit of decentralized firm operations including huge foreign investments.

Another competitive advantage of D  Bond is that it deals with products which are not very common in the economy of Ecuador where its main operations are conducted. Having an economy that is heavily reliant on oil and export agriculture, Ecuador welcomes any other business that allows for the diversification of its economy. As such, D  Bond, which is essentially a manufacturing firm, enjoys a lot of political goodwill and is capable of asserting itself as a formidable power in the textile industry. Finally, the firm benefits greatly from the regional trading group that has allowed for the free movement of goods across the borders of member states. One of these regional groupings includes the United States of America which is a large textile market.

To add to this, D  Bond is a beneficiary of economies of large scale, enjoying a lot of benefits at the expense of firms that are still reliant on the local production. In spite of these competitive advantages, the company is not really utilizing them well enough. If it were, then it would be ranked among the leading exporters in the entire region. That aside, I believe, it would not be facing as many operational constraints as it is now. Finally, the firm would have managed to diversify its products greatly.

S.W.O.T. analysis of D  Bond
Strengths
The companys strengths are based largely on its industry of operation as well as on its unique products. First of all, D  Bond has a very large customer base which gives it a greater competitive advantage and an assurance of future profitability through sustained, if not enhanced, sales. Given this access to a wide range of customers, the company can easily utilize it to develop other competitive strategies and so be in a better position to become a market leader with sustained dominion. The other strength of the company is that it has access to the latest technology which has allowed it to make sweaters of comparatively superior quality than its competitors. This gives it a better chance of achieving the position of a leader in the industry.

Weaknesses
The main weakness of D  Bond is that it is heavily reliant on one line of production and on only one main product. The lack of product diversification and differentiation means that the firm does not have a solid foundation not only in the present but also in the future. As result, its operations are heavily dependent on the one product any diverse effects hampering its sales will no doubt bring down the firm. The other weakness is that the company operates in a very economically volatile climate which makes it very susceptible to even the slightest slump in the economy of Ecuador.

Opportunities
The firm has a lot of opportunities. The first one is that it is capable of expanding its operations to cover even more countries in Latin America as well as increase its presence in the United States of America. This is because the company can make use of the available goodwill which Ecuador enjoys in the region. Secondly, D  Bond has the ability to diversify its products as far as possible as it has the market share it so much requires to do this. It also has the chance to chance to make use of its technological prowess and market accessibility to employ the use of cost leadership strategies. This too will give it a leading role in the industry.

Threats
D  Bond faces two main threats to its continued survival in the textile industry. The first one is the risk posed by the very volatile economic situation of not only Ecuador but also some of the countries which have been historical customers of the company. The second threat is the emerging of great competitors in the region especially Mexico and Brazil. With the emergence of other of strong economic powers in the region, notably Brazil, whose supremacy in the region economically is likely to hamper the sales of D  Bond both due to competition as well as exchange rates, the companys future prospects are at stake.            

The Export Markets that Look Most Promising for D  Bond
The future of D  Bond lies in its ability to choose markets which are well suited to its current needs of developing its overseas market further. This is in response to the poor economic order in Ecuador. As a result, there is a need to invest in countries with lower labor and yet with a strong economy that is capable of sustaining demand. Finally, the future markets must have a large enough population. These countries are likely to be Mexico, Chile, Brazil, and Colombia, all of which meet to some extent these requirements.

Other Viable Strategic Alternatives for D  Bond
The other strategy that the firm can adopt is seeking to develop risk mitigation and management programs that will ensure it is not exposed to international economic crises like the current global economic crisis which is so devastating. That aside, D  Bond needs to develop up-to-date modern equipment that will ensure the quality of its products is not compromised at all. This is because technology keeps changing and unless D  Bond can make deliberate moves to keep up with the pace, it is likely to lose out on customers. Finally, it needs to develop a market-tailored approach at manufacturing as this will give it a chance to make sweaters that are appealing to each target group, and ones that are relevant as far as fashion, tastes, and preferences of the customers are concerned.

For any business to run proficiently a right staffing plans should be in place to aid in the daily operations  and getting the right staff  is also of every importance. A staffing plan is a developed article that helps to determines how a business will be staffed as we as outlining the quantity of staff to be hired, their level of education and the preferred strategies put in place for hiring them. This plan will either determine what is existing which in most cases would be the current staff working for the company, potential new staff to be hired it is however important that the staffing planner is conversant with the companys structure to enable him establish where available resources can be found. In the preparation process the planner will have to also include in the plan a defined duties and responsibilities of the staff to be hired in each vacant position and should also define the organization line of authority and power. The plan will also verify the knowledge needed for these tasks as well as making sure that the right people with the right skills are in place and available when needed. This staffing plan will be developed for Wal-Mart Stores, intending to hire additional staff for the production departments, operations, customer service, advertising, sales promotion, and finance departments. The plan will also include a developed and fully defined strategy for recruiting the suitable staff for the mentioned departments.

Staffing strategy is the process of identifying and addressing the staffing implications of change. In order to have skilled employees who fit your organization culture, you must have the best recruitments strategies in place. This plan will define the number of staff and their level of capabilities that will be of importance in future to help implements the plans effectively this also includes organizing and deploying of the selected staff.  It will also identify the staffing resource available at the moment and the project supply of talent available and developing and implementing staffing actions needed to seal the talent breach and remove surpluses.Long term staffing strategy may not need to be created for any other type of position and they certainly do not need to be developed for all positions (Cited in Betchet, 2008)

Wal-Mart Stores is a big and expanding organization that requires a total of thirty five staff to fill the available vacant departments. Seventeen of whom will fill the production department, three in operations, four in customer service, nine in advertising and marketing and three in finance department. When creating staffing strategies, it is recommended that you should have the plans separate and distinct so as to have an equal level to your possible results. Some organizations attempt to develop staffing strategies that include all jobs. Not every job even needs to be addressed from a strategic perspective. For example, it is rarely necessary to develop a long-term staffing strategy for a job that can be filled relatively quickly from known internal sources or relatively abundant external pools

This plan will include the advertisement of the available positions and short listing of the applicant which will be done by the human resources department who will carry out the recruitment process according to the companys placed processes and policies where only the qualifying candidates will be interviewed.

Staffing Departments
Wal-Mart Stores has the classical structure as its organizational design which we shall use in hiring. Production department is the center of the company as it determines the growth of the company. Wal-Mart Store has decided to try and have their own cloth line to boost uniqueness and value for their products. This department requires seventeen staff to look into the most effectively way to its survival.  In order for any department to perform there must be a manager to foresee and supervise. For the managerial position, Wal-Mart will require a very qualified and experience person who will be reporting straight to the directors. Other employees under him must have previous experience to minimize on the time that is going to be used in training and development. The manager will have to take the new staff through the required process and the operation of this department. Key responsibilities for the manager heading production department will be to ensure the production runs smoothly and all the required resources in are in place. He will have to appoint group leaders as he desires and assist in getting the best staff that he will be able to work closely with and also to come up with new designs for the store.

Marketing and advertising department will recruit eight staff and will require the highest qualified applicant to head the department with the other team member working in the field to help in identifying the products demand as well the potential customers. They also have to come up with a strategy that will ensure that the companys maximizes its profits and ensuring customers satisfaction. They will be required to look into the expansion of the product and observe the need for new products or improved services.

The operations staffing requires four staff who will work closely with the production department to make have an effective departments. One person will have to report to the directors on behalf of the four but they will all have to work together with almost equal positions. Other primary duties and responsibility will be allocated after start of production.

The customer care department requires a total of four staff that will be responsible in handling customers questions and needs. The customers complaints and questions are one of the best ways to assist the company to improve on their products and services and in the process handling them quickly and accurately will be of much importance.

Finance department is where all the important companys audited records are kept and this requires the best qualified candidates who have the best experience from even bigger organizations to come in with new ideas that will be taken in by the company. This position requires hard work to ensure that business records are kept properly and the taxes paid on time and also that the companys profits are well maintained. Managers who wish to design their organization to pool employee knowledge better should take these motivational effects into account (cited in Nicolai et al., 2009)

Conclusion
Every organization have their own staffing strategies in place however implementing different, more pragmatic approaches to strategic staffing can yield the high-quality results that organizations need and expect. Having a long term staffing plan and a strategy in place is very important to any growing business like Wal-Mart Store. A checklist will also aid in making sure that all the necessary requirements are fulfilled at the end of the staffing plan preparation which will include job descriptions. These job characteristics impact employee motivation to share knowledge, albeit in different ways, and eventually affect knowledge sharing behavior.

When I was 14, may parents and I went to Canada and Taiwan. This was my first taste of the world outside Korea. It was vey memorable for me as it game me a glance of the life and landscapes outside my country.  In Canada,  I marvelled at how they were able to balance modernity and greenery, how the conveniences of urban living can be mixed with the charm of a rural life. I was also amazed by  In Taiwan, I had a sore from craning my neck to look at their skycraper and modern amenities. I found this quite impressive since Taiwan is such a small country. I admired the Taiwanese for making the best of their limited space. Few years after our visit in Canada and Taiwan, we went to Europe. The beauty of this continent is none of those Ive seen before. The Europeans banked on their past. They renovate the old buildings and not demolish them. Being there feels like being back in in the Renaissance period. It was magnificent. Whats more astonishing is how each country in Europe has a distinct characteristic despite the unified 19th century look.  France is known for its fine wine and elegant lifestyle, England for its royalty and power, and Italy for its wonderful architecture and artworks. From these trips, I gained a global perspective and learned about the beauty of cultural and geographical diversity. I got interested in how other countries operate, how people from each country behave, how the landscapes of each country differ. Most of all I learned that despite the differences, the world can live in harmony by respecting cultural beliefs and idiosyncrasies.

After some time, I went to China as part of my course work in Namseoul University. The goal was to let Chinese people know about Korean culture and gain profit in doing so. Our group researched the products were in-demand in the Chinese market. We decided on the wholesale cell phone accessories and nail cutters with characters wearing the traditional Korean clothing, Han-Bok.  We then came up with a unique way of enticing buyers  using Korean drama placards that were famous in China at that time. A few weeks after, we found ourselves in Beijing, selling the products at a slightly higher price. Our gimmick turned out effective and our project successful as numerous Chinese people flocked to our stand, asking about the characters and buying the accessories afterward. As a result, we went back to Korea tired but happy. This short trip was like a turning point for me. It ignited in me an interest in the global economy. Hence, the dream of owning and running an international company glowed like a fire in the dark.
 
Realizing this dream became one of the most important things for me for it is the application of all the things that interests me and all the lessons Ive learned from all of the travels Ive had.
Tell us about an activity that is important to you, and why. Please feel free to talk about an activity other than one you may have discussed in your essay.

In Sta. Monica College, I got involved in Sustainable Works, a non-profit organization aiming to teach the concept of sustainable living to Sta. Monica residents and businesses. We organized forums showcasing various experiences in community development and environmental awareness. My involvement in the project made me see the importance of balancing economic growth and environment protection. It made me realize that sustainable development can only be attained if we learn to care more for the only planet that we have, if we begin to think of the needs of the future generation. It also taught me of the joys that could only come from involving yourself in community works, in recognizing that you are doing something to make the place that you are in to be a better one. Through Sustainable Works, it dawned on me that being involved in the community and doing my share to care for our planet also matters to me a lot.

Describe your academic interests and how you plan to pursue them at USC. Please feel free to address your first- and second-choice major selections.

During my trip to China, I felt the thrill and a certain pride that our products were being accepted by a community so different from ours. This is a study in both human essential needs vis-a-vis cultural influence, and from then on, I am excited to discover how to blend these for a successful international business. As a start, I plan to pursue a business degree in USC to learn the  basics of commerce and to become familiar with the routines and procedures that comes with it. I also plan to actively participate in multi-cultural studentss organizations to gain more perspective on international issues especially those affecting the the business community and to be accustomed into regularly dealing with people from various national and social background.

Why are you planning to transfer to USC
While I enjoy going to SMC, I feel that it is time to move on to a bigger university. The two-year business program in SMC will not give the Bachelors Degree that I need to realize my dream of running my own international company. Thus, I decided to shift from my 2 year program in Sta Monica College to your reputable university.  I believe that a business degree from the USC will help me realize my dream of becoming a succesful international business tycoon who is known for his high regard on cultural diversity and environmental protection.

Merck and co were stuck in an arduous decision when they discovered Invermectim and the bacteria behind it which was able to exterminate the problem of River Blindness and other extremities involved with it. Millions of People in the 3rd world countries especially those that were hot and humid were being affected by this Parasitic Illness which was caused by the bite of a fly whose larvae then hatched under the human skin which resulted in a very painful death unimaginable to a normal man. The decision on its research on human had to be taken by Dr Vagelos and I think that he should completely support and allow for the research of this compound into this problem as it would be a breakthrough for such a big problem that the world was getting affected by. Also it would make them the research gurus improving the overall brand standing of Merck and Co in the real world. I personally think that the profits that invermectim was making and the already researched Patents that it had guaranteed it enough profits and in return they should pay back to the people of the poor world by finding a cure for their problem. With enough research it could be sure that no complexities develop and as according to Utilitarian view of Ethics people should do what gives the highest return, I believe in it and think that by developing this drug Dr Vagelos is creating a positive result with a promised increased in brand equity and standing in the world.

Mercks Culture and What it inculcates
Mercks Culture was of research for the benefit of the world and consumers. It is perfect cause Marketing and Branding also says that Sometimes Companies need to do thing more than just for the profits. Merck believed that Medicine is not for profits rather for the people. George W Merck the leader also said that Its not for the profits, profits follow. When we have remembered that they have never failed to appear. So basically the decision to support research and to work for the benefit of the people suffering this disease is in line with the Policies and Cultures that their leader George W Merck has wanted to set and has  always inculcated. If they act truly as their Culture dictates they are sure to get profits and also build a reputation of Good citizen as a corporate entity.

A labor union is an association of workers who bond together with an aim of achieving certain objectives. Leaders of labor unions negotiate with employers on matters which affect the employees which include working regulations, enumeration, complaint channels, hiring and firing, working conditions and other policies. Websites which are against the formation of labor unions advice companies to first seek the services of a lawyer before blocking their formation.

The first objection towards creation of a labor union is the economic factor. When employees join a union, the company is supposed to foot the union wages as well as the benefits. Those that advice labor unions on ways of efficient organization argue that unionized workers are better paid than non-union workers. This implies that the company will have to spend more thus increasing cost of production (Woodweb.com, 2000).
       
To add on, those against creation of unions say that union representatives incite workers to down their tools even on flimsy grounds. They advice managers that the best way to control unions is to group several key employees into management positions. Those in management cant join unions. Moreover, small wage increment can dissuade employees from joining labor organization. However, different websites gives tips of successful organizing.
     
Qualified union organizers can only emerge from several organizing campaigns. Moreover, these campaigns require sufficient teams of volunteers with specific responsibilities for the union to be effective. To add on, these unions should distance themselves from National Labor Relations Board, since it focuses more on the interest of the employer. To add the trust of employees, unions should also create a friendly working environment with the employer and the surrounding community (Woodweb.com, 2000).

My name is Najla AlSugair from Saudi Arabia.  After claiming a Bachelor of Arts in Translation from the King Saud University of Riyadh, my goals rest in getting a Bachelors degree in Finance, which has always been my dream for many years now.  I worked on my language as a Management Trainee at a general contracting company for six months yet it has always been my dream to finish a masteral degree and finish bachelor of Finance.  My short-term goal, though, rests on my being able to enter The Paul Merage School of Business at UC Irvine, which offers four dynamic MBA programs.  I am more interested in the Masters degree of the Business Administration because it encourages higher level of knowledge in one of the best courses of one of the best schools in the state.  Taking the course would give me a higher level of knowledge and leadership skills that are very important when it comes to business.  This profession appears to be the key to my long-term dream.

I became a Management Trainee of name of company for six months, and worked as an English teacher and coordinator at one of the more renowned childrens center here in specific state, which taught me to identify problems, and made me realize that nothing really ever goes by the mere lines of a book.  Experiences are the greatest teacher and for that I am thankful that I have enough experiences for the past no. of years years, which has heightened by skills when it comes to problem solving, and gave me the type of exposure needed in broadening my mind.  The most diverse and difficult problems taught me to exercise a deeper way of thinking, which is deeply needed for us to understand people all the more.  Finishing a Masters degree at The Paul Merage School of Business at UC Irvine would, all the more, improve my skills in identifying and solving problems, and give my the type of exposure significant to broadening my mind.

I am pursuing an MBA degree because of six vital reasons.  First, Business Administration has always been my dream goal these past years.  Second, it remains essential in running and managing my own business someday.  Third, the course requires personal characteristics that I beneficially bear.  Fourth, it requires experiences that I have undergone as of now.  Fifth, it has the facility of improving and widening my state of mind, as it requires skills and abilities that reflect a deeper mindset while facing diverse and difficult problems in business.  Sixth and final, pursuing an MBA degree would facilitate me with the proper knowledge and skills required so that I can go back to Saudi Arabia and join the professional workforce in the market.  For these six reasons I wish to finish an MBA degree at The Paul Merage School of Business at UC Irvine.

The Merage MBA shall help me in accomplishing my goals because they deliver a thematic approach to business education, with sustained growth in strategic innovation.  It is indicated that graduates of this school carry the outstanding ability of helping their organization grow through strategic innovation supported by analytical decision-making, information technology and collaborative execution (The Paul Merage School of Business, n.d., p.1).  They also have a highly-personalized learning environment (The Paul Merage School of Business, n.d., p.1), with in-class and on-site experiences on real-world business issues, which give students the proper learning environment set to genuine state of the environment.  There are also a number of conferences and colloquia that give them the opportunity to learn and enhance their skills and their knowledge when it comes to business.  Merage School remains to be relatively young (The Paul Merage School of Business, n.d., p.1), but very competent and proficient.

Writing the negative letter requires careful thought, clear phrasing using the right choice of words, and maintenance of goodwill.  Communicating a negative message must also take into consideration the intended recipient. A good business correspondence pays respect to readers and gives due consideration for those readers needs and viewpoints. In others, it must show empathy. On the other hand, it must also build support for the message which is being conveyed on behalf of the firms top management.  Whatever the scenario, an organized and positively worded business letter or memo will have a greater likelihood of obtaining a positive response or satisfactory outcome than a carelessly written one.

I. The main steps that a writer must take in drafting effective business communications basically include the following
                   
II. Business Letter for Store Managers

THE STORE MANAGER

Dear __________
Beginning early next week, we are moving to a four-hour work week.  After careful study, we deemed it fitting to give employees and managers an entire day off, with the expectation that you will return to work the following week with a rejuvenated outlook.  Besides aiming to increase productivity, a four-day work week will also enable the company to reduce energy costs. Employees likewise stand to benefit by saving on commuting or fuel costs.

With soaring gas and utilities prices, management has been brainstorming measures to survive the economic crunch. This firm has always sought to offer its employee force the best that it can. However, as you well know, business has been at a standstill over the last several months. Hence, it has become imperative to implement cost-cutting measures to remain viable and also retain the services of all.

We will try the 10-hour four-day work week arrangement for one week this coming month, and then move up to two weeks during the subsequent month. Once everyone has adjusted, we shall fully implement the new policy. From Monday to Saturday, stores will open an hour later and close an hour earlier. Stores will be closed on Sundays.

The new work schedule shall apply to all full-time employees, including managers. On the other hand, the working hours of part-time employees will be consolidated in one-, two-, or three-day work weeks, depending on how many hours they are scheduled to work.

Critical services such as utility and security personnel will continue to work their normal schedules, but other departments will now begin following this new schedule. Field sales personnel are expected to continue o telecommunicate with clients as the need arises.

We welcome suggestions and feedback that you feel may redound to the benefit of the firm and the entire employee force.

Looking forward to your cooperation.

Sincerely,

(NAME)
Public Relations Manager

A Business Memo for Store Employees

Date        January 31, 2010
To           All Store Employees
From       The Public Relations Manager

Subject   The Four-Day Work Week Challenge
--------------------------------------------------------------------------------------------------------------
Are you up for the four-day work week challenge

A new working schedule that can deliver amazing benefits to employees while also translating to energy cost savings for the firm will be implemented beginning next week.

All store employees, including managers, will now be working ten hours for four days, Monday through Thursday, with no cut in salary.The new policy, in effect, is a green strategy that will result to reduced energy costs and lower carbon footprint. It is also aligned with the companys thrust of providing its workforce more opportunity for work-life balance.

If you take on the challenge, youll discover that you need to be quite efficient when you are working  for four straight days.  From Monday to Saturday, stores will open an hour later and close an hour earlier. Stores will be closed on Sundays.

We will try the 10-hour four-day work week arrangement for one week this coming month, and then move up to two weeks during the subsequent month. Once everyone has adjusted, we shall fully implement the new policy.  During the test phase, do let us know if you have any suggestions and feedback about this matter.

For your compliance.

An E-mail Message for Retail Customers and the Public

To        Our Valued Customer
Date     31 January 2010
From     The Retail Clothing Store
Subject  Four-Day Work Week Beginning Soon

We have great news for you, our valued customer.

Beginning the second week of this coming month, The Retail Clothing Store will be able to entertain your calls and inquiries two hours beyond regular working time.

The company is implementing a four-day work week which will entail 10 working hours from Monday to Thursday from all store managers and the rest of the employee force. This innovative green strategy is expected to result to reduced energy costs and lower carbon footprint. It is also aligned with the companys thrust of providing its workforce more opportunity for work-life balance

Please take note of the new store operating hours effective February 8, 2010. The Retail Clothing Store will open an hour later and close an hour earlier. Stores will be closed during Sundays.

We strive to provide you the best customer service possible, and we continuously welcome comments  suggestions from you.  In the meantime, watch out for more exciting promotions and events that we have lined up for you in the coming months.

Thanks for your unwavering support,

Management

If you no longer wish to receive communication from us HYPERLINK httpautocontactor.comappr.aspID1067624419ARID0D t _blank Cancel

III. Writing the negative letter or memo entails knowing the facts beforehand, and then phrasing the correspondence in a way that will elicit a good reaction. Politeness and length help (Locker  Kienzler, 2008, p. 349), and so does being clear and succinct.  In certain cases, even a negative message or situation can be recasted into a positive message, making it more persuasive (Locker  Kienzler, 2008, p. 348). Just as important as being polite in the way the letter is phrased is being careful not to alienate nor offend the reader, much less be misinterpreted, which often happens with impersonal messages or medium like the electronic mail. Proper wording depending on the targeted recipient is very crucial then. In a business environment, you want to maintain the attention and goodwill of your reader (Campanizzi, 2005, p. 46). Maintaining goodwill is very important especially after the negative decision has been conveyed. The least that you would want to do is to annoy your managerial team, subordinates, or clientele.

Just like with academic papers, it is important to write the  negative letter with a clear purpose in mind and then to develop the main theme or focus with supporting details, before bringing the matter to a close.  Effective business writing also makes proper use of the elements of style. Compared to a case study or essay, a negative letter or memo focuses more on the reader and as such may tend to go on the subjective side. A negative correspondence should also not be too lengthy, the way business case studies are, lest it lose reader attention.

Conveying a negative message
Negative messages can be delivered through face to face mode of communication when either party does not want a record of such a message. There will be no evidence of whether or not such a message was delivered and it is therefore not preferable in case documentation is required. When delivering a negative message via a telephone conversation, then the facial expressions are not required. If the person conveying the message does not intend to make use of his or her facial expressions when conveying the message or does not want to see those of the recipient, then telephone would be the preferred mode of communication (Crombie  Samujh, 1999).

Printed mail would be chosen as a means of conveying a negative message if there is need for documenting such information for future reference. Printed mail would act as a back up indicating that the communication actually took place on a certain date and at a specified location. E-mail would be preferred as a means of communicating a negative message if the sender does not mind about the time the recipient will take before reading the mail online. This is because, even though emails are delivered very fast, the recipient might take a lot of time before reading the message. E-mail can also be used if there is need for documentation since this mail can continue being available and hence used as evidence of such communication (Crombie  Samujh, 1999).

Communication by Merrill to the public
The current financial crisis has resulted to the bankruptcy of several commercial banks and Merrill Lynch. In order for this bank which is undergoing a difficulty time to explain to its shareholders, clients and other stakeholders, it must use a means of communication that will ensure that the message reaches as many people as possible and at the least price possible. It can therefore communicate to the public through either the print or electronic media (Hsu, 2008).

By using this mode of communication, Merrill will eliminate any instances of panic among its stakeholders and they will therefore make most of their decisions concerning the companys liquidation from an informed position. The management of the company can also send some printed mails to its shareholders and other crucial shareholders explaining why it was necessary to take such a move (Hsu, 2008).

Case Study Questions
1-What sort of business environment and competitive analysis would Stelios Haji-Ioannou have done in 19981999 to decide on launching easyCar.com

Answer
Stelios was already operating the airline company which followed low cost model so he was pretty much aware of the macro environmental factors which were then faced by the industry the basic analysis that he must have done should be regarding PEST forces. He was operating an airline company, having said that the effect of PEST forces differs from industry to industry. For example, there are certain government policies and regulations which have positive impact on one industry but at the same time these policies turn out to be harmful for the other segments of the economy, one example in this regard could be the restrictions which certain governments impose on foreign imports looking from the perspective of the local producers one can assay that these policies will do good for him because the demand will rise and as a result of this he could charge the extra premium. But this is only side of the picture, spare a thought for the people associated with import business, these restrictions and policies will surely prove out to be detrimental for their trade activities, this is just one example while there are many such cases where similar policies and other macro environmental factors tend to shadow entirely different and sometimes dissimilar effects. Thus he must have first understood the effect of these macro environmental forces and their effect on his targeted industry. In addition to this, making the external audit of the industry is also an essential step because this is what makes the firms understand the profitability and the structure of the industry in which they intend to venture. The best method to conduct this external audit is to evaluate the Porters five forces which act on the industry. As known, that strategy is one thing which tries to find out ways for a company to be unique and different from others, becoming the best is not important in fact what matters is the uniqueness of a firm. This analysis makes it easier for the firm to find out paths to success by making even the deadliest of the circumstances to work in its favor. Thus Stelios must have done this analysis too, in order to understand the structure of the industry in an apt manner.

2- What experiences did he have which would have allowed him to do this

Answer
The major factor which allowed Stelios to venture in this industry was that he understood the price sensitivity of the consumers he wanted to target. The reason behind the failure or average performance of most of the firms is that they jump into the same game which is being played and that certainly is not the way to go about it. Success lies in being unique and different and that is exactly what Stelios did he did not play the same old game which was being played then by all the companies, in fact he broke the clutter by catering to an unidentified and unsatisfied needs of the customers, and the thing which made him understand this need was his experience with his airline company. He identified the importance of price to most of the customers and pursueing with the same vision he went on establishing this rental car company. At that time, the major competitors were competing with each other on all the basic grounds but price but easyCar found its competitive advantage in differentiating the prices offered.

3-What are the advantages and disadvantages of the easyCar concept versus traditional hire car companies such as Hertz, Avis or Budget

Answer
As far as the advantages are concerned, the first and the foremost advantage of easyCar was that it started providing people the facility of renting out a car at a price which was much lower than the big players of the market. This could be rated as the unique selling proposition of easyCar and this is what really pulled the customers in. Price differences reduced the switching costs of the customers and they started preferring easyCar over its other competitors. As per the basics of strategic management, there are two ways to gain competitive advantage first being product differentiation and second being low cost in this case easyCar primarily differentiated it on the basis of price which proved out to be good for the firm. Convenience was another advantage which easyCar brought to the customers, instead of going to the agents and seeking cars, the customers could simply log on the website of the firm and get the contract this saved the time of the customers because they could get all the details on the website. This medium was so popular that 90 of the sales were generated through this medium and the rest from direct sales. EasyCar did not operate from agents this was another advantage because sometimes bad behavior of agents makes the firms lose customers this remained an intelligent move of easyCar. Each of the easyCar outlet deals with one car depending on its location, this also made the firm reduce the cost, and customers too did find comfort in this because they could directly go to the outlets where their preferred cars were available, this provided the customers ease. On disadvantage in my opinion is that the number of outlets at the airports is not at all sufficient, so this is one thing which makes it hard for the customers to get to the easyCar outlets, thus the sales of the firm get hurt. Another minor flaw which I found was that almost all the cars which are offered by easyCar belong to an expensive class there are tourists who want to drive cheap cars for lesser rates than what easyCar is offering so they go to the local rental company which obviously is not good for the firm. So in order to make these people come to easyCar, the management must begin to induct cheap or may be second hand cars in its fleet if not at all of them then such cars could be placed at some of the facilities so that this segment is not left uncovered. There are some companies which do not charge all the money in advance so the customer for obvious reasons likes to go to them to get the cars the advance payment policies must be revised by the management so as to increase the customer base.

4-Was easyCar.com a step change in strategy or a logical product line extension Do you think the overall easyCar strategy has changed since the business was launched

Answer
In my opinion, this was logical product line extension the reason behind this is that Easy Jets strategy was also of low cost and same was what easyCar followed later Easy Jets successful strategy was what motivated the owner to go an venture in the car rental segment. If we examine the policies and strategies of both the firms it can be concluded easily that there is no difference in both of them. Both companies are catering to the price sensitive segments of their respective industries. The overall strategy has not at all changed because easyCar still focuses on its core identity and that is to provide people convenience and value at a cheap cost this is the reason that the firm is  shaping its policies in such a manner that the price sensitive people get more and are more attracted. All the operations of easyCar are working while giving this idea the center place for example if we analyze the promotion strategies we get to understand that most of the publicity and advertising is done by using posters and newspapers and the reason behind this is that the firm does not want its expenses to rise because if they do then it will become hard to provide low cost services to the customers. Another example in this regard is of the cleaning policies this has been introduced so that customers do not have to pay  16 more for cleaning expenses, which eventually reduces the burden of the customers.

5-Do you think the overall mission statement for the easyCar business is effective in describing the business Support your analysis

Answer
A successful mission statement generally has nine basic components which are to be addressed if all of them are kept under consideration while writing the mission statement then it can be said that the mission statement is a well chalked out one. These nine components include customers, product or services, markets, technology, survival and profitability, philosophy, self-concept, concern for public image and concern for employees. If we just talk about describing business then it can be stated that all the unique aspects of the business are being communicated in this mission statement. But if this mission statement is evaluated on the basis of the nine key factors which are described above then it looks just about an average mission statement some important points are missing in this mission statement, for instance, there is no point whatsoever which describes the organizations concern for its employees which obviously is not a good thing because not mentioning the importance of employees in the mission statement sends a negative signal to the customers they perceive this as if the employees are not respected deeply by the management. Similarly, there is no comprehensive statement about the markets which the firm wishes to target concern for public image is also one factor which is left untouched in the mission statement of easyCar.

6-What market segments are easyCar targeting, e.g. tourists andor business travelers

Answer
EasyCar is targeting mostly the segments that are price sensitive and want value for their products. Basically, there are two distinct segments which make up the market for easyCar first being the leisure or tourist segments while the other is the business segment. The needs and wants of both these segments are different from each other tourists want lower rates because their basic aim is to travel so this is one segment which is highly price sensitive, these people are mostly switchers and usually they opt for those companies which provide low cost services this segment makes up around 45-65 of the whole market, thus in order to acquire the market share this segment has to be emphasized. Business segment is one which is less price sensitive in comparison with the last segment, these people go for convenience and quality this segment makes up around 35-55 percent of the entire market. In order to achieve long-term success and lasting market share such policies are needed to be made which focus simultaneously on both these areas because easyCar cannot afford to leave out or hurt any of these segments while pleasing the other one. If we evaluate the policies and practices of easyCar, it can be easily found that the firm is trying hard to please both segments at the same time one example in this regard could be of starting the advertising campaign on television the firm was advertising before just through posters and newspaper ads but these are less effective when it comes to target the business segment so the firm has planned to market its services via television campaigns. As mentioned before, that business segment is one which demands more quality of the product and that is the reason that easyCar went on establishing more facilities near the airports (this move proved good to both the segments) and it also includes more cars in the fleet because business segment is far more choosy than the other one .EasyCar has always been finding out ways to lower down the charges this shows that it does not want to leave the tourist segment alone cleaning car policies indicates towards this fact that the firm is determined to reduce the prices further so that it could acquire more market share.

7-How would you position the overall strategy of the Easy network of companies versus competition

Answer
Discussed before as well, that there are two ways to achieve competitive advantage, first being product differentiation and second being low cost. Easy network of companies have been focusing on the second one from the first day and this has been the reason of their success without changing or altering the products too much they have been able to earn profits because they emphasized on catering to the price sensitive market. This has been the secret of their success, no matter which business they ventured in they did not change their core strategy and kept on playing their very own game in all the industries and so far their tactics have proved out to be profitable for them. EasyJet focused on offering low prices to its customers and made huge impact, then came in easyCar with the same strategy and influenced the market this epitomizes that low cost is still what some sectors are hungry for and if they get this in some good proportion of quality then they get attracted and as a result sales get generated.

8-The Easy Internet Caf Business was also a new development, but much less successful than easyCar. What is the reason for this difference

Answer
The first and the foremost reason behind the unsuccessful internet business was that, internet is one thing which is already been provided to the customers at a cheap rate and the USP of easy network of companies is low cost but this feature was already presented to the customers by the competitors so the expedition did not turn out to be lucrative one. Another reason for the failure of this service was that the level of service was not that good as the customers were expecting it to be.

9-What are the strategic differences between easyCar and easyInternet versus the core easyJet business

Answer
There are not many strategic differences though because they all are trying to provide value to the customers at low prices in my opinion, the strategy and core concept is the same it is just that the product categories are different.

10-What do you think is the next step for the Easy network of companies in terms of new developments and do you think they are well placed to deal with the present financial crisis

Answer
Easy network of companies overall have been doing quite well, and in my opinion, it should continue to serve the price sensitive market because these are the people who mostly are left unattended in certain product categories. Because easy network of companies has already been serving to the people who are price sensitive, thus lowering the prices a bit more will be a good ploy in the current circumstances. As per yet the firm is quite well placed and it has the strength to see through this wave of recession.

PEST Analysis
PEST analysis makes it easier to comprehend the present standing of a firm, PEST analysis also lets the managers the outside forces which can and do effect the trade of business organization and hence it helps them in calking out such strategies and policies which are in accordance with the overall environment of the market.. The PEST analysis of easyCar has been conducted after examining carefully all the varying forces of the market in which they are conducting the business (Grant, 2005).

EasyCar is one such firm which has a good market reputation thus it has to fight with more organizations so there are more exterior forces which are acting on it and to tackle them the firm has to make a comprehensive strategy. Any multinational is exposed to more external variables in contrast with any such organization which has its trade operations only in a single state. EasyCar is rated amongst the best car rental firms in Europe and it has grown in popularity in this region at an exponential rate. The customer base of easyCar is mounting due its apt policies and in order to guarantee future growth of business it is essential to recognize the rising pressure of the outside factors. The basic strategy of the firm is to offer low prices to the customers so that they could afford car rental facility without any hesitation and reluctance. PEST analysis is regarded as a tool to comprehend the control and magnitude of these external variables.      

Political
As it is known that easyCar deals within the European market, hence there is no such state interference in the dealings of the business as long as all the laws are practiced in the right manner by the operating firms. Legislated rules and regulations, for example tax policies, labor laws, environmental policies trade restrictions, tariffs etc. have to be followed in the right context. These are some of the major regulations which are to be followed by the management of easyCar and if this is done in the apt manner then there is nothing much to worry about this external force because almost all the European countries provide businesses with an environment in which they can excel without any interference and restriction. The tax which is levied on the income in the European countries is also quite realistic and provides expansion opportunities to the companies working on the continent. One oblique drawback of fine administrative policies is that it tends to intensify the rivalry which surely is not cherished by the existing business organizations. Having said that, one has to admit that the policies of the European block are well chalked out in addition to this, they really do welcome and encourage business activities. As it is known that easyCar is an international car rental firm so it is also trading with customers which are located outside the home country. The operations of the company are far spread across the continent of Europe so rules and regulations of the states in which the firm is operating must be kept in consideration. Particular laws like privacy and Disability Discrimination Act (DDA) have been imposed by the governments, especially for regulating the websites within their domain these must too be practiced so as to avoid any sort of lawsuits.

These are not the only issues, in fact, there are many other compulsions which such firms are expected to fulfill so the management of easyCar has to be practical in comprehending them so that no problems come up, because if any such things happen then this really hurts the market standing of the company and eventually dents the profit loss account. Till the day the management of easyCar has been operating pretty well in this regard but this all has to be continued in order to grow further. The changes occurring in the global political scenario also hurt the operations of the company so all this has to be considered closely too. For example, at times the political scenario changes so vigorously that there is a probability of war in some regions, so the operations in such regions are needed to be restrained in order to avoid any failures (Grant, 2005). All these variables are needed to be examined adeptly in addition to this, it has also been observed recently that security concerns in almost all the European states have mounted, so novel laws have been introduced in order to prevent any terrorist attacks the management of easyCar should abide these regulations. This will increase the market reputation of the firm because the people will perceive the firm to be a socially responsible one.

Economic    
Keeping in view the recent financial crisis, which has affected almost all countries in the world, companies must work exceptionally hard to gain and sustain a level of growth as well as to provide value additions to their products and services so as to allure their consumers and accordingly a lot of effort is needed to be put if the company wishes to retain their consumers. This should be the prime focus of easyCar as in the times of recession, imposed by such financial crises, people do not travel for entertainment and leisure purposes as then the top priority of people is towards meeting basic facilities. EasyCar must formulate its policies accordingly as in the present world scenario the profits of many firms are decreasing fast. It is not advisable for the easyCar to reduce prices and wages, and neither they should do it and compromise on quality and value addition to their product and service, instead a long term and strategically crafted guidelines are required from the management of easyCar (Grant, 2005). It is quite interesting to see that in todays global crunch, where many firms are on the verge of their destruction and are suffering from severe losses several companies are at their record high growth levels. This phenomenon is due to the fact that such companies have made it compulsory for them to monitor the changes and satisfy their customers with perfect products, nothing more and nothing less. The changes in economic conditions have caused many problems for the managers especially the change in the prices of resources and raw materials used for production andor operations. This scenario has made it extremely troublesome for the manager to hedge the risk and left the companies with floating costs whilst making them to stick to lower their prices so as to attract the customers.  One advantage which the firm enjoys while operating in Europe, is that European countries have been making policies together since European block is a pretty strong one this is one reason that European countries were the first to emerge out from this turbulent situations.

Social    
This is one of those factors which matter the most for the entire company. It is so, because when making marketing strategies this has to be considered closely and a little underestimation to this factor would result in irrevocable loss for the firm. The need to understand the ever changing social trends is more for easyCar as its employees directly deals with the customers so it is vital for the management of the company to keep a close eye on the altering trends in order to make the strategies in line with it. This variable is of the utmost importance and the company must, at all points, have to monitor the changing trends in consumer psychology and behavior if it wishes to stay successful. It is a proven fact of that consumers form a strong relationship with companies through constant interactions with a firm, and they prefer such companies, over many others, which know their tastes and preferences.

More consumers only wish to satisfy their needs and wants, completely disregarding the related companys limitation, thus the managers have to be extra careful and wary regarding these changing trends. This practice would also enable the company to take advantage of every profitable trend and to protect itself when the trends are threatening for the company. If these symptoms are not paid attention to, then these may cause the company to lose the game for their survival. For example, Orkut was on one occasion, the most accepted website amongst the general public but ever since Facebook was launched, people have abandoned using Orkut. The example proves how fast the trends change in the market place. The indicating factors of this change could be shown by a portion of the targeted audience in the market or by other minute factors this effect is not limited only to a group of people from a certain country or region. Hence all these factors are needed to be put into consideration by the managers of easyCar and counter measures, as well as precautionary steps, should be taken accordingly.    

Technological      
This is one key macro environmental factor when it comes to easyCar. Keeping in mind that this is just company which is offering only rental services to its customers, the focus of technological advancement should be aimed to add value to their operations. The management of easyCar should search for the procedures and techniques which would better satisfy its customers needs and demands. As majority of transactions, which include placement of order from the customer along with settlement of bill, are conducting via the internet, easyCar should firstly try to improve and update its website. Furthermore, in practice, when a customer comes to easyCar with prior arrangements for renting a car, it takes roughly one hour for the companys employees to work out the red ribbon procedures and hand the car over to the waiting client. The company should also focus to shorten this time span significantly. Also, the company should use the recent technological advancements in its billing systems to ensure fast, easy and secure transactions. All these measures will result in benefiting the entire organization because customers will be able to get better service in shorter time and on the other hand the employees will find it easier to handle the customers even at the peak hours and this is one thing which will increase the customer base of the firm.

Five Forces Analysis Company
Five forces analysis is the study of operations of the industry and the development of business tactics and strategies. The analysis reveals to us the level of attraction in a business and the intensity of competition. This analysis includes the detailed study of five factors, namely threat of new entrants, threat of substitute products or services, bargaining power of suppliers, bargaining power of buyers and the intensity of rivalry. This gained much popularity in todays corporate environment especially amongst marketing and research people as it enables them to easily analyze and predict the future of a firm or a business by measuring the five factors. All these factors, if analyzed, fall in the micro environment of a company and hence the performance and the profits are affected by changes. These are the factors that marketers need to monitor closely as any change in them forces the company to review its marketing and other business strategies. Furthermore, this five forces analysis is also much needed equipment for evaluating the current held position of a company or business in its respective industry. With the help of this tool, competition is thoroughly evaluated to develop and enhance a companys core competences. Financial policies of firm are too dependent on this analysis as the allocation of funds is very closely linked with the outcomes of this analysis, because most times, due to these factors, vital financial decisions are needed to be made. In this project, the effort is made towards analyzing the affect of these five forces on the easyCar what has been done and what is there to be done more from easyCars part.

Threat of New Entrants
The threat of new entrants in the same market is a major danger that lurks for the sales and revenues of a firm. For obvious reasons, attention of the investors is more inclined towards profitable emerging businesses. This will cause reduction in the profit margins of the company, as the market will move towards prefect competition and due to the competition between the new entrants and the stable companies the price of the products will start to decrease. In order to stop this from happening, companies who are catering to any segment or any region for any specific product feels the need to create entry barriers. It is known that most profitable and prosperous businesses are those where the capital investment needed to start the business is high (this is known as the high entry barrier) and the exit barrier is low this is true because most of the investors are not willing and able to take high initial risks as this can be dangerous for their overall operations so this high entry barrier reduces the attractiveness in that particular business, and the benefit of low exit barrier is that it ensures that one can wind up his business or cash out from the business easily, in the case of easyCar it can be seen that many companies are already catering to the same segment, so setting up such entry barriers is the need of the time, and can be done by making huge investments to develop the assets of the company so that any new entrant will get demoralized, as far as exit barrier is concerned at this point of time.
Moreover, the companies which are currently working in the industry can take such strategic measures that the chances for the amount of sunk costs for the new firms grows high, this can be done by easyCar if they can enforce a wipe out of any small regional company by attacking it all out adopting the strategy of a loss leader for some time could prove to be a useful option, this will send a strong message to the potential new entrants and some of them might abandon their plans for entering into the arena due to such high opportunity of cost risk. Another effective way to stabilize this force is to place yourself so strongly in terms of market share and brand equity that no new entrant can hope to fight against you, this advantage already lies with easyCar as they have a growing market share and brand equity rate. This takes out all the magnetism from the business as the new entrants will get to know that the margin of success for them is very low. In addition to this, the supply chain for the product in the market must be such that no area is left for the potential entrants to make the regional frontal attack so you have to cater to the complete market and leave no weakness which can be exploited to gain a competitive advantage on the company by any of the potential entrants. This is the area where easyCar needs to focus because in this industry, especially as the market is of global nature when competitors from all around the world are already lined up in the same track, it must be of prime focus to develop a strong distribution chain outside Europe (Porter, 1998). If easyCar focuses on these recommendations it is possible to minimize the threats of the new entrants.

Threat of Substitute Products
The beginning of substitute products can be very lethal in any business because it has the capability to nearly force a firm out of the market if the substitute product has the cost and technological advantage, because this is something that gives the competition a whole new dimension and it really captures the market share in no time if the target market is massively attracted towards it.

EasyCar must focus on positioning its products in such a style that the apparent level of product differentiation increases this can be done by continuously adding value to the products. In addition, easyCar must encourage this in the minds of his customers that the relative price performance of its products (rental cars) is more than any other available alternates in the market, this will aid the customers in strengthening their buying behavior.

The Intensity of Rivalry
The intensity of competition is already too high in this industry as there are too much firms from all around the world who are catering to the same needs using the same resources. Some of the rivals of easyCar are namely Hertz, EuropCar, Avis Europe etc. hence this depicts the true intensity of the continental competition that easyCar is currently facing (Porter, 1998). To fight with this intense competition easyCar first of all needs to position it successfully in the minds of the customers so that they can distinguish the difference between easyCar and other competitors. Secondly, efficient management is the key to success research and development department must be strengthened so that nothing left is left for the competitors to attack. The focus of easyCar at this point must be to deposition the competitors points of difference and to create as much points of difference for itself as possible. This can be done by adopting as well as innovating. Consumer behavior in concentrated rival situations can be altered with affective advertising and promotional campaigns.

Bargaining Power of Suppliers
If the bargaining power of the suppliers amplifies, this results in rising costs of production and operation, high prices of the final product, ill-timed availability of the raw material, losing the low cost benefit and lastly in turn down of market share and brand equity. In this industry of intense competition, easyCar cannot even think of affording deficiency of supplies. To cater to this threat long term contracts must be signed with the suppliers so that no difference on prices arise, this is something that easyCar has been doing already. Secondly, the supplies must not come from one way because this is one major reason of growing bargaining power of the suppliers therefore easyCar must concentrate on diversifying its supply chain so that no standstill can be created in the near future.

Bargaining Power of the Customers
In order to counter this threat, easyCar must make its products and services keeping the consumers preference. This is most effective way of reducing the bargaining power of the buyers. Constant value totaling is something that creates brand loyalty and the psychological switching cost of the buyers augment and the brand becomes product for them. Buyers price sensitivity must be taken into account by easyCar so that if needed it can change its pricing strategy (Porter, 1998).