Advertising and Promotion in UltraChromSpec (UCS) Term Paper

Advertising and Promotion in UltraChromSpec (UCS) - Term Paper Example This paper illustrates that UltraChromSpec rapidly established a great reputation for its deliverance of superior quality standard of sales and service. As a result, the business of UltraChromSpec expanded drastically in its different field of activities not only in the US but also outside the Swiss borders into Austria and Germany. After twelve years of its initial foundation, UltraChromSpec started to execute its business operations outside Germany by having collaboration with one of the Swiss pharmaceutical giants i.e. Kaiser-Holzer (K-H). Gradually, UltraChromSpec transformed itself from a distributor to a manufacturer. In this connection, after the transformation from a distributor to a manufacturer, the businesses of UltraChromSpec were formed in three major divisions. One of the divisions is the Medical Division. In this division, UltraChromSpec started to sell mainly the hospital laboratory instruments and the critical care products which are manufactured by Kaiser-Holzer (K- H). The other division is the Analytical Division. In this division, UltraChromSpec started to sell electro or optical laboratory instruments. The other division has been the Electronics Division. In this particular division, UltraChromSpec started to sell electronic components and computer peripherals. According to Bruno Muller, the vision statement of the business policy of UltraChromSpec is, â€Å"Experience has realized us that we cannot do everything, but at least we can be sure that the activities in which we are engaged to do benefit our customers†. It has been identified that the marketing team of UltraChromSpec which is situated in the headquarters in Zurich had reorganized especially the Analytical Division into two business units and the units were again segregated into two distinct groups. The two business units of the Analytical Division include Analytical Chemical Business Unit (which is again divided into two groups namely Spectrophotometry Product Group and Ch romatography Product Group) and Biochemistry Business Unit which is again sub-divided into Ultracentrifugation Product Group and Nuclear Counting Product Group.

Corporate Social Responsibility (Gallaher Group PLC ) Essay

Corporate Social Responsibility (Gallaher Group PLC ) - Essay Example One year on, we are commencing an annual process of reporting. This report examines our activities during 2004 and highlights the steps we intend to take in the future. We also provide an update on how we are performing against targets set last year; how we are establishing new performance indicators, and explaining further what we are doing, as we strive for continual improvement in corporate responsibility. Tobacco, by its very nature, is a controversial business sector, and it is important that we continue to listen to the opinions of others and communicate with clarity. One of the areas that we recognise is of key importance is communication and engagement with all of those who interact with our business. Feedback on our approach to corporate responsibility confirms that this is an area where we should continue to focus attention and, in recognition of this, dialogue is a key theme throughout this report. I hope that you will find this report informative. We believe that good corporate responsibility is the hallmark of a successful organisation, and we very much welcome your views, (yourviews@gallaherltd.com)". (http://www.gallaher-group.com/corporate/crr.asp) What sector does the company appear under GALLAHER GROUP PLC' main purpose is to increase it cash inflow from its big clients (Tobacco sector) in the countries like Austria, Republic of Ireland, Sweden and the UK and capitalize its operations in international growth strategy (Thompson, 1999) through export opportunities such as investing money in acquiring other companies and also entering into joint ventures and business tie ups with businesses all over Europe, the CIS, Africa and the emerging Asian economic region. In the UK, Gallaher Group PLC wants to increase its market shares(Irwin, 2000) in the growing value cigarette sector within the United Kingdom by continuing increasing its leading positions in the premium cigarette and cigar market segment. Gallaher Group PLC also aims to attain its goal of equalizing its sales figure with its profit percentages gained on these volume sales.Gallaher Group PLC also plains to vigorously maintain its top market positions in Austria and the Republic of Ireland by continuing its management strategy of equalizing its sales volume with profit percentages. Gallaher will implement its plans to enter into uncharted territories especially in Central and Eastern Europe. Gallaher Group PLC is presently aiming to increase geometrically its regional market portion(Chisolm, 1981) in the Commonwealth of the Independent States while it is doubling its efforts to increase the proportion of its brands(Goldman, 1997) marketed in the higher priced and intermediate markets in this region. Gallaher Group PLC plans to also increase its market positions(Slavin, 1989) in Poland, the Baltics, Africa and the Asia Pacific region. Alongside with this plan, Gallaher Group PLC is currently fighting to maintain it present market share in Sweden's cigarette market by also implementing it company policy of balancing its volume sales and profit ratios. ( Aug, 2006) What macro

Historical cost accounting Essay Example for Free

Historical cost accounting Essay Advantages †¢Historical cost accounts are straightforward to produce †¢Historical cost accounts do not record gains until they are realized †¢Historical cost accounts are still used in most accounting systems Disadvantages †¢Historical cost accounts give no indication of current values of the assets of a business †¢Historical cost accounts do not record the opportunity costs of the use of older assets, particularly property which may be recorded at a value based on costs incurred many years ago †¢Historical cost accounts do not measure the loss of value of monetary assets as a result of inflation. Current purchasing power accounting Advantages †¢CPP method adopts the same unit of measurement by taking into account the price changes. †¢Under CPP method, historical accounts continue to be maintained. CPP statements are prepared on supplementary basis. †¢ CPP method facilitates the calculation of gain or loss in purchasing power due to the holding of monetary items. †¢CPP method uses common purchasing power as measuring unit. So, the comparative study is easy. †¢ CPP method provides reliable financial information for taking management decision to formulate plans and policies. †¢CPP method ensures keeping intact the purchasing power of capital contributed by shareholders. So, this method is of great importance from the point of view of the shareholders. Disadvantages †¢CPP method considers only the changes in general purchasing power. It does not consider the changes in the value of individual items. †¢CPP method is based on statistical index number which cannot be used in an individual firm. †¢ It is very difficult to choose a suitable price index. †¢CPP method fails to remove all the defects of historical cost accounting system. †¢The use of general price index for CPP method is questioned. While general price index deals with consumer goods, business is interested in the price movement of producer goods. Current cost accounting Advantages †¢More relevant †¢Provides up to date information with financial markets †¢Takes inflationary adjustments into account. â€Å"Critics have argued market value(current cost) reveals economic realities that are hidden by historical cost accounting. †¢Investors and creditors also prefer the market value accounting. â€Å"the information about the market value at the reporting date, the changes in that value and the components of that change- all provide the investors the valuable information for his decision making.† †¢In F/S, easier to view and determine whether the asset or liability is at risk or not Disadvantages †¢Unreliable   Ã¢â‚¬ ¢Volatile, when market price of an asset and liability is not available, the value is estimated (inappropriate) Continuously contemporary accounting Strengths †¢CoCoA provides information about an entitys capacity to adapt. Chambers considers such information crucial for effective decision making †¢It solves the additivity problem-there is a common basis of valuation (net-market values) so it makes logical sense to add the various asset values together. †¢There is no need for arbitrary cost allocations through depreciation. Weaknesses †¢Not all assets will have a readily determined market price-hence a deal of subjectively will be involved. †¢Some assets can generate income within a particular entity, but have little or no value to anybody else (for example, the case of the blast furnace). The value in use of such assets is ignored. †¢It values assets on the basis of the separate disposal of the respective assets. The implication of this is that assets which cannot be separately sold are deemed to have no value-for example, goodwill. This attribute of CoCoA has attracted a great deal of criticism. †¢CoCoA has never had widespread acceptance within the business community and hence there would be numerous obstacles to its implementation. †¢Because CoCoA would represent a radical departure from current methods of accounting, its adoption could cause major social and economic implications. †¢People are used to preparing and reading historical cost accounting reports, hence there would be a need to re-educate them about the strengths and limitations of CoCoA-this might be costly. †¢If an entity does not expect to sell an asset, it is questionable whether the selling price is really that relevant. †¢Tied to the above point, valuing all assets on the basis of selling prices has been criticised if it is considered that the entity is a going concern. †¢Determining the market price of unique assets introduces a degree of subjectivity into the accounting process.

Problems Of The Aging Health And Social Care Essay

Problems Of The Aging Health And Social Care Essay for death from cancer, Management of the elderly cancer patient becomes complex because other chronic conditions, such as osteoarthritis, diabetes, chronic obstructive pulmonary disease (COPD), and heart disease, must also be considered in their care. The attitude of health care providers towards older adults affect their health care. Unfortunately, research indicates that health care professionals are significantly more negative in their attitudes towards older patients than younger ones. This attitude must change if the health care provider is to have a positive interaction with the elderly patient. These attitude appear to be related to the pervasive stereotyping of the elderly, which serves to justify avoiding care and contact with them, as well as being reminders of our own mortality. Ageism is a term used to describe the stereotyping of and discrimination against elderly persons and is considered to be similar to that of the racism and sexism. It emphasized that frequently the elderly are perceived to be repulsive and that a distaste for the aging process itself exists. Ageism suggests that he majority of elderly are senile, miserable most of the time, and dependent rather than independent individuals. The media have also influenced on going stereotypical notions about the elderly. Health care providers must learn to appreciate the positive aspects of aging so that they can assists the elderly in having a positive experience with their imaging procedure. PHYSICAL, COGNITIVE, AND PSYCHOSOCIAL EFFECTS OF AGING The human body undergoes a multiplicity of physiologic change second by second. Little considerations is given regarding these changes unless they are brought on by sudden physical, psychological, or cognitive events. Radiographers must remember that each elderly person they encounter is a unique individual with distinct characteristics. These individual have experienced a life filled with memories and accomplishment. Young or old, the definition of quality of life is an individual and personal one. Research has shown that health status is an excellent predictor of happiness. Greater social contact, health satisfaction, low vulnerable personality traits, fewer stressful life events have been linked to successful aging. Self-efficacy can be defined as the level of control one has over ones future. Many elderly people feel they have no control over medical emergencies and fixed incomes. Many have fewer choices about their personal living arrangements. These environmental factors can lead to depression and decreased self-efficacy. An increase in illness will usually parallel a decrease in self-efficacy. The elderly may experience changing roles from life of independence. The family role of an adult caring for children and grandchildren may evolved into the children caring for their caring aging parents. It is also a time of loss. Losses may include the death of a spouse and friends, as well as loss of income due to retirement. The loss of health may be the reason for the health care visit. The overall loss control may lead to isolation and depression in the elderly. Death and dying is also an imminent fact of life. The aging process alone does not likely alter the essential core of human being. Physical illness is not aging, and age-related changes in the body are often modest in magnitude. As one ages, the tendencies to prefer slower-paced activities, take longer to learn new tasks, become more forgetful, and lose portions of sensory processing skills increase slowly but perceptibly. Health care professionals need to be reminded that aging and disease are not synonymous. The more closely a function is tied to physical capabilities, the more likely it is to decline with age, whereas the closer a function depends on experience, the more likely it will increase with age. Joint stiffness, weight gain, fatigue and loss of bone mass can be slowed through proper nutritional interventions and low-impact exercise. The importance of exercise cannot be overstated . Exercise has been shown increase aerobic capacity and mental speed. Exercise programs designed for the elderly should emphasized increased strength, flexibility, and endurance. One of the best predictors of good health in later years is the number and extent of healthy lifestyles that were established in earlier life. The elderly person may shown decreases in attention skills during complex tasks. Balance , coordination, strength and reaction time all decrease with age. Falls associated with balance problems are common in the elderly population, resulting in a need to concentrate on walking. Not overwhelming them with instructions is helpful. Their hesitation to follow instructions may be fear instilled from a previous fall. Sight, hearing, taste and smell are all sensory modalities that decline with age. Older people have more difficulty with bright lights and tuning out background noise. Many elderly people become adept at lip reading to compensate for loss of hearing. For radiographers to assume that all elderly patients are hard of hearing is not usual; they are not talking in a normal tone, while making volume adjustments only if necessary, is a good rule of thumb. Speaking slowly, directly, and distinctly when giving instructions allows older adults an opportunity to sort through directions and improves their ability to follow them with better accuracy. Cognitive impairment in the elderly can be caused by disease, aging, and disuse. Dementia is defined as progressive cognitive impairment that eventually interferes with daily functioning. It includes cognitive, psychologic, and functional deficits including memory impairment. With normal aging comes a slowing down and a gradual wearing out of bodily systems bit it does not include dementia . Yet the prevalence of dementia increases with age. Persistent disturbances in cognitive functioning, including memory and intellectual ability, accompany dementia. Fears of cognitive loss, especially Alzheimers disease, are widespread among older people. Alzheimers disease is the most common form of dementia. Therefore health care professionals are more likely to encounter people with this type. The majority of elderly people work at maintaining and keeping their mental functions by staying active through mental games and exercises and keeping engaged in regular conversation. When caring for pati ents with any degree of dementia, verbal conversation should be inclusive and respectful. One should never discuss the patients as through they are not in the room or are not active participants in the procedure. One of the first questions asked of any patient entering a health care facilities for emergency service Do you know where you are and what day it is? The health care providers need to know just how alert the patient is. Although memory does decline with age, this is experienced mostly with short-term memory tasks. Long-term memory or subconscious memory tasks show little change over time and with increasing age. There can be a variety of reasons for confusion or disorientation. Medication, psychiatric disturbance, or retirement can confuse the patient. For some older people, retirement means creating a new set routines and adjusting to them. The majority of elders like structure in their lives and have familiar routines for approaching each day. PHYSIOLOGY OF AGING Health and well- being depend largely on the degree to which organ systems can successfully work together to maintain internal stability, With age, there is apparently a gradual impairment of these homeostatic mechanisms. Elderly people experience nonuniform, gradual, ongoing organ function failure in all systems. Many of the body organs gradually lose strength with advancing age. These changes place the elderly at risk for disease or dysfunction, especially in the presence of stress. At some point the likelihood of illness, disease and death increases. Various physical diseases and disorder affect both mental and physical health of people of all ages. They are more profound among elderly people because diseases and disorders among older people are more likely to be chronic in nature. Although aging is inevitable, the aging experience is highly individual and is affected by heredity, lifestyle choices physical health, and attitude. A great portion of usual aging risks can be modified with positive shifts in life style. In elderly, the aging of the organs systems is one of the process where they need to understands and there are as list below: Integumentary systems disorders Nervous systems disorders Sensory systems disorders Musculoskeletal systems disorders Cardiovascular systems disorders Gastrointestinal system disorder Immune system decline Respiratory system disorder Hematologic system disorders Genitourinary systems disorders Endocrine systems disorders. THE RADIOGRAPHERS ROLE The role of the radiographer is no different than that of all other health professionals. The whole person must be treated, not just the manifested symptoms of an illness or injury. Medical imaging and therapeutic procedures reflect the impact of ongoing systemic aging in documentable and visual forms. Adapting procedures to accommodate disabilities and disease of geriatric patients is a critical responsibility and a challenge based almost exclusively on the radiographers knowledge, abilities, and skill. An understanding of the physiology and pathology of aging, in addition to an awareness of the economic the social, psychologic, cognitive, and economic aspects of aging, are required to meet the needs of the elderly population. Conditions typically associated with elderly patient invariably require adaptations or modifications of routine imaging procedures. The radiographer must be able to differentiate between age related changes and disease processes. Production of diagnostic image s requiring professional decision making to compensate for physiologic changes, while maintaining the compliance, safety, and comfort of the patient, is foundation of the contract between the elderly patient and the radiographer. RADIOGRAPHIC POSITIONING FOR GERIATRIC PATIENTS The preceding discussions and understanding of the physical, cognitive, and psychosocial effects of aging can help radiographers adapt to the positioning challenges of the geriatric patient. In come cases routine examinations need to be modified to accommodate the limitation, safety, and comfort of the patient. Communicating clear instructions with the patient is important. The following discussion addresses positioning suggestion for various structures. The common radiography examinations for geriatrics are: Chest Spine Pelvis/hip Upper extremity Lower extremity CHEST The position of choice for the chest radiograph is the upright position; however, the elderly patient may not be able to stand without assistance for this examination. The traditional posteroanterior (PA) position is to have the backs of hands on hips. This may be difficult for someone with impaired balance and flexibility. The radiographer can allow the patient to warp his or her arms around the chest stands as a means of support and security. The patient may not be able to maintain his or her arms over the head for lateral projection of the chest. Provide extra security and stability while moving the arms up and forwards. When the patient cannot stands, The examination may be done seated in a wheelchair, but some issues will affected the radiographic quality. First, the radiologist need to be aware that the radiograph is an anteroposterior (AP) instead of a PA projection, which may make comparison difficult. Hyperkyphosis can result in the lung apices being obscured, and the abdomen may obscure the lung bases. In sitting position, respiration may be compromised, and the patient should be instructed on the importance of a deep inspiration. Positioning of the image receptor for kyphotic patient should be higher than normal because the shoulder and apices are in a higher position. Radiographic landmarks may change with age, and the centering may need to be lower, if the patient is extremely kyphotic. When positioning the patient for the sitting lateral chest projection, the radiographer should place a large sponge behind the patient to lean him or her forward. Sitting Chest PA Chest Standing SPINE Radiographic spine examinations may be painful for the patient suffering from osteoporosis who is lying on the x-ray table. Positioning aids such as radiolucent sponge, sandbags, and a mattress may be used as long as the quality, of the image is not compromised. Performing upright radiographic examination may be also appropriate if a patient can safely tolerate this position. The combination of cervical lordosis and thoracic kyphosis can make positioning and visualization of the cervical and thoracic spine difficult. Lateral cervical projections can be done with the patient standings, sitting, or lying supine. The AP projection in the sitting position may not visualized the upper cervical vertebrae because the chin may obscure this anatomy. In the supine position the head may not reach the table and result in magnification. The AP and open-mouth projection are difficult to do in wheelchair. The thoracic and lumbar spines are sites for compression fractures. The use of positioning blocks may be necessary to help the patient remain in position. For the lateral projection, a lead blocker or shield behind the spine should be used to absorb as much scatter radiation as possible. Lateral Spine PELVIS/HIP Osteoarthritis, osteoporosis, and injuries as the result of falls contribute to hip pathologies. A common fracture in the elderly is the femoral neck. An AP projection of the pelvis should be done to examine the hip. If indication is trauma, the radiographer should not attempt to rotate the limbs. The second view taken should be a cross-table lateral of the affected hip. If hip pain is the indication, assist the patient to internal rotation of the legs with the use of sandbags if necessary. Immobilization device are place to the patient foot. UPPER EXTREMITY Positioning the geriatric patient for projections of the upper extremities can present its own challenges. Often the upper extremities have limited flexibility and mobility. A cerebrovascular accident or stroke may cause contractures of the affected limb. Contracted limbs cannot be forced into position, and cross-table views may need to be done. The inability of the patient to move his or her limb should not be interpreted as a lack of cooperation. Supination is often a problem in patients with contractures, fractures, and paralysis. The routine AP and lateral projections can be supported with the use of sponges, sandbags, and blocks to raise and support the extremity being imaged. The shoulder is also a site decreased mobility, dislocation, and fractures. The therapist should assess how much movement the patient can do before attempting to move the arm. The use of finger sponges may also help with the contractures of the fingers. Hand Projection Lateral Wrist LOWER EXTREMITY The lower extremities may have limited flexibility and mobility. The ability to dorsiflex the ankle may be reduced as a result of neurologic disorders. Imaging on the x-ray table may need to be modified when a patient cannot turn on his or her side. Flexion of the knee may be impaired and required a cross-table lateral projection. If tangential projection of the patella, such as the Settegast method, is necessary and the patient can turn on his or her side, place the image receptor superior to the knee and direct to central ray perpendicular through the patellofemoral joint. Projections of the feet and ankles may be obtained with the patient sitting in the wheelchair. The use of positioning sponges and sandbags support and maintain the position of the body part being imaged. AP Ankle Projection Lateral Ankle Projection PATIENT CARE Patient care must be apply to geriatric patient because they all are all fragile where their bone can easily broke or they can be easily fainted during the examination. For communications, take time to educate the patient and his or her family, speak lower and closer, and treat the patient with dignity and respect. Transportation and lifting patient are also be need because geriatrics patient is not stronger than normal person. If possible, give the patient time to rest between projection and procedures. Avoid adhesive tape because elderly skin is thin and fragile. Provide warm blankets in cold examination rooms, use table pads and hands rails and always access the patients medical history before contrast media is administered. Take time with the patient Immobilization Device CONCLUSION The imaging professional will continue to see a change in health care delivery system with the dramatic shift in the population of persons older than age 65. This shift in the general population is resulting in an ongoing increase in the number of medical imaging procedures preformed on elderly patients. Demographic and social effects aging determine the way in which the elderly adapt to and view the process of aging. An individuals family size and perceptions of aging, economic resources, gender , race, ethnicity, social class, and the availability and delivery of health care will affect the quality of the aging experience. Biologic age will be much more critical than chronologic aging when determining the health status of the elderly. Healthier lifestyles and advancement in medical treatment will create a generation of successfully aging adults, which in turn should decrease the negative stereotyping of the elderly person. Attitudes of all health care professionals, whether positiv e or negative, will affect the care provided to be growing elderly population. Education about the mental and physiologic alterations associated with aging, along with the cultural, economic and social influences accompanying aging, enables the radiographer to adapt imaging and therapeutic procedures to the elderly patients disabilities resulting from age-related changes. The human body undergoes a multiplicity of physiologic changes and failure in all systems. The aging experience is affected by heredity, lifestyle choices, physical health, and attitude, making it highly individualized. No individuals aging process is predictable and is never exactly the same as that of any other individual. Radiologic technologists must use their knowledge, abilities, and skills to adjust imaging procedures to accommodate for disabilities and disease encountered with geriatric patients. Safety and comfort of the patient is essential in maintaining compliance throughout imaging procedures. Implementation of skills such as good communication, listening, sensitivity, and empathy, all lead to patient compliance. Knowledge of age-related changes and disease process will enhance the radiographers ability to provide diagnostic information and treatment when providing care that meets the needs of the increasing elderly patient population.

Psychodynamic Theory :: Psychology, Freud

The theory our learning team is studying is the psychodynamic approach or what is sometimes called psychoanalytic approach. The main contributors to Psychodynamic approaches was the founder Sigmund Freud (1859-1939), Anna Freud (1895-1982) gave significant contribution to the psychodynamics of adolescence and Erik Erickson (1902-1994) called the â€Å"new† Freud but with an emphasis on ego (conscious) forces, termed as psychosocial theory (Craig & Dunn, p 11-13). Psychodynamics is the explanation or interpretation (as of behavior or mental states) in terms of mental or emotional forces or processes (www.merriam-webster.com) Through case study, the psychodynamic approach was developed by Sigmund Freud. Freud visited Charcot’s, a laboratory in Paris investigating people suffering from hysteria. There, Freud began patient case studies (Crain, p. 254). Freud developed 5 stages of human development known as the Oral, Anal, Phallic, Latency and Genital stages. The Oral stage is from the ages of birth to 18 months. This stage engages in oral activities such as sucking. Next the Anal stage begins around age 18 months to 3 years of age. Freud suggests that during the Anal stage a child focuses on the pleasure of purging from the rectal area. The Phallic stages, none as the masturbation stage, when a child get’s pleasure from focusing on his genital areas usually happens during ages 3 years to 6 years of age. After the Phallic stage come the Latency stages. Latency is when children at the ages of 6 to 12 years old work to develop cognitive and interpersonal skills suppressing sexual interests but th ose 12 years and older fall into the Genital stages. During the Genital stage those suppressed sexual interests re-occur and the need to find gratification dependent on finding a partner (Craig & Dunn, p 12) In addition to Freud’s stages of development his best-known concepts are those of the id, ego, and superego (Crain, p. 268). The id personality called ‘the unconscious† is the personality that focuses on maximizing pleasure and minimizing pain through reflexes and drives such as hunger or bladder tensions (Crain, pp. 268-269). The id concept is impulsive, chaotic and unrealistic. Although the id stage stands for â€Å"the untamed passions† it is balanced out by â€Å"reason and good sense† called the ego (Crain, p. 270). The ego evaluates situations comparing them to what has happened in the past and make realistic changes planning for the future. This is what is called â€Å"secondary process thinking†. Ego considers the possibilities of the act in question giving the opportunity to make safe and sound choices.

Essays --

Theodore Levitt’s contribution to marketing is undoubtedly un-measurable in any quantity, un-describable in a matter of words and unfathomable to any one who did not have the chance to meet the legendary scholar. The German moved to America after serving in the Second World War, where he received a PhD from the Ohio State University in economics. He later acted as a Professor in Harvard Business School and went on to become an editor for the â€Å"Harvard Business Review† (1985-1989). Through the captivating articles he wrote for this, he changed the face and idea of marketing completely. What could have once been summed up in four Ps; price, product, place and promotion, now had depth, dimensions and true meaning. In a few short pages Levitt had the ability to expand, alter and moderinise marketing. The economist managed all this through his compelling article â€Å"Marketing Myopia† in which he describes how too much attention is paid to the product and n ot enough to the consumer. This was a foreign outlook, which no longer looked at just the physical good and maximizing profits but at who was purchasing this product and attempting to entice them to repeat purchase. He saw globalisation as a future phenomenon and saw standardisation as key to global success for a business. Theodore Levitt also had a profound impact on the lives of his students, colleagues, family and friends. He influenced them to think in new ways and to push the boundaries on how they saw the world. The German-American professor contributed greatly to the world of marketing and looked at businesses, selling products and service and where and how to sell them, in a new light. Levitt’s article â€Å"Marketing Myopia† (1960), which won the McKinsey Award in 1960 (h... ...with the improvements in technology. Everyone wants what everyone else has. The days of customisation and originality are long gone. His ability to influence new thinkers was he greatest attributes. He was both provocative and startling which made him so bold and brilliant. People were intimidated by his presence and wanted to keep up with him. His trail of thought never stopped and he unconditionally allowed this brilliance to be shared with all of those whom he came into contact with. His writings and words touched the lives of various people and allowed them to explore new areas. Theodore Levitt’s contribution to the marketing world knows no bounds nor will it ever. His simplistic, long-term, future focused ideas changed the world of business and served as a spin-off effect for other scholars allowing his work to assist in the future of marketing.

Globalization and Implementation Plan Essay

This report will provide business and demographic information to determine a platform of business strategies and alternatives for Home Depot to re-enter or abandon the Argentinian retail market for home improvement centers. Home Depot must be very specific and strategic to try to re-enter the market due the abject failure in entering the market in 1997 and existing the market in 2001 from the lack of profits and community acceptance. Home Depot cannot afford another failure in Argentina or South America. (Home Depot. 2013). Home Depot: Home Depot is the 4th largest retailer in the US, the 5th largest retailer in the world and ultimately the world’s largest home improvement specialty retailer. In 35 years, Home Depot operates 2,257 retail stores in 50 states, the District of Columbia, Puerto Rico, U.S. Virgin Islands, Guam, Canada, and Mexico. The foreign locations (294) generate just 12% of Home Depots’ total revenues. They have engineered entry and expansion into foreign markets through acquisition of smaller retailers and expanded upon their success. The Home Depot, Inc. operates as a home improvement retailer. It sells building materials, home improvement products, and lawn and garden products, as well as providing installation, home maintenance, and professional service programs to do-it-yourself, do-it-for-me, and professional customers. It serves home owners, professional remodelers, general contractors, repairmen, small business owners, and tradesmen. From the beginning, The Home Depot has developed strategic product alliances directly with leading manufacturers delivering the most exclusive products and national brands. They also provide a combination of proprietary products like Ryobi ® tools, RIDGID ® tools, BEHR ® paint, LG ® appliances, and Toro ® lawn equipment. Home Depot has set the standard for innovative merchandise for the do-it-yourselfer and the professional contractors. In addition, they can provide exporting servicing for products worldwide. (Home Depot. 2013). Argentina: This portion of the report will review the demographics, economic markets, income levels and currency values, culture and along with the legal and political environment in Argentina and South America for Home Depot reentrance. The total population of Argentina is just over 42 million people covering 2.8 million square kilometers (km). It is the 8th largest country in the world and speaks primarily Spanish and Italian along with English, German and French. The population is primarily located among five largest cities of the country in northern 30% of the country and within 600 km of the capital Buenos Aires with 13 million citizens. It has less than 1% population growth and the average age is 30 years old with a 98% literacy rate and 16 years of formal education. Regretfully, the average unemployment rate is estimated to be 10.2 and higher for females. The income level for individuals per capita is $18,820 and ranks 73rd in the world. The labor force is comprised of 17M workers and ranks 36th in the world. The percentage of the population below the poverty line is 30%. Between the poverty line and the percentage of unemployment and contraction in the economy is does not provide a lot of discretionary money to be used for purchasing homes, maintenance, and remodeling. The culture of Argentina is based upon traditional Roman Catholic values (92% membership) centered upon family values and 100’s of years of religious beliefs, values, dependence and fostering upon local relationships. The culture is also driven by personal relationships with the expectation of working with you to find solutions to consumer needs. Many Argentinians do not like the big box impersonal retail stores that do not have the personnel to spend time creating trust and loyalty with customers. (CIA Factbook. 2013). International Considerations for Argentina and Home Depot: The economy of Argentina is the 22nd largest in the world with a growth rate of 2.6% with a GDP of $475B in 2012. It has a diversified economy due to the many natural resources available to them. Manufacturing is the largest segment of industry with 20%; agriculture with 5% and the remaining in the services and tourism sector. The currency in Argentina is based upon the peso and the current exchange rates ranges for US dollars range from 1 peso to 4.1 to 4.6 dollars. Argentina is a member of Mercosur with Brazil, Paraguay and Uruguay implementing a Common External Tariff (CET) for non-members to pay tariffs up to 35%. This was implemented to protect those economies from the dumping of cheaper foreign goods. Argentina defaulted on its debt in 2002 leading foreign investors to flee and take their investments elsewhere. Since then, Argentina nationalized the $24 billion pensions fund and limited the amounts of foreign purchases of land. Argentina has not been able to pull out if the economic slump and economic growth has completely stalled. The optimistic view point for economic growth in Argentina in 2013 will be less than 3.5% for consumer demand, industrial production and exports. This will apply additional economic pressure for homebuyers to make purchase homes and banks willing to lend. They have implemented a number of measures to keep dollars in the country restricting foreign currency exchanges and debt obligations in defending the value of the peso. These restrictions have effectively made it almost impossible to obtain US dollars for the purposes of real estate purchases. The federal tax agency’s authorization is now required before making any foreign exchange purchase. The implementation of these tight policy measures has the real estate activity in 2012 fell approximately 40%, making it one of the sector’s worst performing years in the country in a decade. â€Å"The number of commercial real estate transactions in Buenos Aires fell 46% to 6,315 and residential transactions fell 15% in 2012. (Bifani. 2013) The legal system for Argentina has become very restrictive over the years to protect their business and economy from inflation and currency issues. They have the Argentina’s Customs Code (DGA), which registers all foreign importers and exporters. They apply import duties and taxes to all imports along import duties, statistical taxes, value-added taxes and excise duties. Argentina has strict regulations and fees regarding the purchasing of property by foreign interests, which limits the potential for revenues and growth. (CIA Factbook. 2013). Market Considerations for Argentina and Home Depot Is Argentina, the best possible country for Home Depot to reinvest into? Argentina ranks in the bottom 10 countries in the world for foreign businesses to do business in. Specifically for Home Depot, it takes 12 months for a construction company to obtain a construction permit, which double what it takes throughout the rest of South America. This would greatly impact Home Depot ability to build stores and expand within Argentina. The majority of businesses hours operate between 9am – 7 pm and can run to 9 or 10pm for retail stores. The business hierarchy is top down with ideas and instructions come from the top. They are very respectful of business protocol and will not break those social norms or status structure. With these facts in mind, it demonstrates Argentinians require time to develop trust and familiarity, especially for foreigners. Negotiations will take a considerable amount of time and you must be willing to argue and debate to get their support and consensus. They will not hesitate to interrupt and argue for the finer points of agreements before proceedings to the next step. (Communicaid. 2009). The following are business points regarding the desire to potentially expand into Argentina. They have a value added tax (VAT) across the economy and a wealth tax. These taxes discourage both internal and external business to invest in larger business ventures due the country’s desire to confiscate profits from business people from investing. The government has huge political swings of ideology and purpose. This creates an environment that can propagate corruption, bribery and short term political or economic decisions to encourage voting support. They are a 60% tax evasion rate, which is triple that of US citizens. For many of the key economic indicators, Argentina ranks the bottom 25% in the world for doing business, economic freedom, human rights, taxes, and corruption. The inflation rate is about 10% and outside economists are reporting about 20%. Credit cards have low credit limits restricting higher purchases and up to a 45% interest rate. This does not encourage businesses to take any risks or initiatives for business growth i.e.: construction businesses. (Chafkin, M. 2001). Overall according the financial reports, Argentina is now considered a third world country due to its difficulty with globalization and working with foreign countries. * They have established strict foreign investment guidelines prohibiting foreign ownership. * They have restricted construction companies for building and developing business areas. * They have high tax rates and low reinvestment rates back into their country. * They have problems with government corruption, bribery and ethics. Entry Modes (Globalization & Implementation Plan) This portion will cover the various possibilities for establishing the Modes of Entry for Home Depot to reenter Argentina. Home Depot’s expansion in foreign markets has been less than successful such as the ones in South America, China and Southeast Asia. They have had some success in Canada and Mexico due to being substantial trading partners in the NAFTA agreement and similar ideology of home ownership and access to credit, Exporting: This mode of business entry will not effectively work for expanding and opening home improvement stores in Argentina at this time. Local competitors will prefer to source construction products from local suppliers rather than to purchase from foreign suppliers. They have implemented restrictions for international trade with tariffs and entrance barriers, which will increase the possible competitive pricing to become less attractive for Home Depot. Turn-Key Operations: This mode of entry will not be a viable alternative due to the fact that Home Depot does not provide any explicit technology over the local DIY businesses such as EASY. This mode could damage Home Depot by training and possibly improving competitor’s ability to compete with Home Depot in other markets in South America like Mexico. Licensing: This mode of entry is similar to Turn-Key due to the lack of control over the foreign business and again Home Depot cannot provide any real production improvements other than economies of scale to existing or new business. It would only provide royalty fees to Home Depot and would not warrant the business investment. Franchising: Franchising is similar to licensing. It works when companies have a strategic production process like such as mentioned in the text with Fuji-Xerox or even McDonalds. Home Depot does not provide the specialized processes or supply chain to support the development of franchising into foreign markets. Wholly Owned Subsidiary: This is the method and mode of entry Home Depot tried before and failed. At that point in time, Argentinians ability to own and purchase property was very restrictive for a majority of the population. Argentinians are not accustomed with reinvesting into their homes or dwelling. They did not have the incentives to reinvest or the desire to learn how to perform the tasks that it would take to complete a successful DIY project. Also, Home Depot is not an Argentinian or Latin American business, which creates a lack of respect and loyalty. The Easy company growth is due to Home Depot building the model and Easy taking them and restructuring them for Latin American consumers. (Hill, C. 2011). Joint Ventures: This is the only method or mode of entry that makes sense for Home Depot to pursue. In the textbook, there are examples of Tesco and Jollibee competing with bigger more entrenched businesses by using joint ventures and investments to establish a foothold. For Home Depot to renter the South American market and specifically Argentina, I believe the only choice Home Depot has is to engage in joint ventures with smaller DIY businesses in Argentina and gain some traction similar to Tesco in Europe and Asia. Also, EASY is now the big player in the market with 49 DIY stores. It is doubtful they would entertain any joint ventures without the ability to be the controlling partner or give up its majority interest. Monetary Systems: This portion will evaluate Argentina’s history of monetary policy and its effect upon the potential desire or ability for Home Depot to reopen home improvement retail stores there. Argentina history relating to financial and monetary policy has been turbulent and at a crisis stage numerous times. Argentina is working hard to revamp their economy and currency ratings. It has a GDP of $475B ranking 22nd in the world and one of the largest economies in South America. In 1998 Argentina entered a four year depression resulting from governmental tax increases, devaluing of its currency, freezing bank deposits, defaulting on foreign debt up to $93B, and finally removing the linkage between the peso and the US dollar. Some of international issues relating to Argentina’s reputation have been reducing the international trade/currency exchanges have been their protectionist’s policy and rated the worst in the world by the World Bank. They have seized control over the largest oil and airline companies in the country. They are also being censured by the IMF for dishonest reporting of national statistics specifically inflation rates. (Singer, H. 2013). Argentina has attempted practically every single monetary system known today to their economy and all have failed resulting in financial crisis over the last 35 years. The flexible exchange rate system led to a hyperinflation and the currency board has led to dramatic recessions. During the first three crises, Argentina was using a fixed exchange rate to allow government control. The first crisis was in 1975 with the collapse of that stabilization plan resulting in the devaluing of their currency by 100% and more than a dozen followed the next year. The second crisis was to the Tablita plan in 1981; the Tablita plan was to reform banking regulations and capital account restriction affecting its currency and exchange rates. It still ended with an 82% devaluation of its currency in one year. The third crisis occurred within 12 months in 1982 with Alemann Plan. This plan was designed around the banking and insurance industries connected to foreign currency exchanges. At this time, Argentina abandoned the fixed exchanges for a floating exchange system. The next strategy Argentina attempted was after the 2001 crisis and implemented a dual exchange rate system to manage and control their economy and currency values. This allows them to use both fixed and/or floating system with the ability for different fixed and floating rates during the same period of time. The fixed exchange rates are used for essential imports and exports account transactions. The floating exchange rates are used for capital account transactions determined by the market critical to providing foreign cash reserves for the country. Usually, countries implementing dual exchanges rates are using protectionist control to protect their economy and financial markets such as China. (Investopedia. 2013) Business Strategy for Home Depot to enter Argentina This portion of the report is to provide a platform of business strategies and alternatives for Home Depot to re-enter the Argentinian retail market for home improvement centers. Home Depot cannot afford another failure in Argentina or South America. From the beginning, The Home Depot develops strategic product alliances directly with industry-leading manufacturers to deliver the most exclusive products assortments to customers. Home Depots expansion strategies have been very successful throughout North America when they have used acquisition strategies. Their expansion in Argentina did not produce the same results due to the lack of a substantial home improvement company to purchase. They chose to organically grow the market in Argentina. This strategy failed due to many different situations occurring during the same time frame: political failure of the government and presidential resignations, huge drop in their GDP, default on the foreign debt, currency failure, widespread unemplo yment and public riots. It was like the perfect storm for the country and Home Depot. (Home Depot. 2013). In reviewing the many strategies that are available for Home Depot to re-enter the market in Argentina, there are many limitations based upon the history of Argentina and Home Depot. They definitely have the ability to leverage economies of scale for providing home improvement products at almost any price point that the consumers is willing to pay. These economies of scale would be too large for any competitive business to ignore. Their major competitor, Cencosud is the company they sold their four stores to in 2001. It is the largest retailer in South America with over 1,045 retail store in a variety of markets. It is a $19B company with 125,000 employees. Home Depot is a $70B corporation with 331,000 employees in about 2,294 stores. This would be an extremely difficult acquisition and inevitably against their acquisition strategy of buying smaller businesses and expanding through gradual growth. This also limits the amount of exporting potential to Argentina through Cencosud due to the lack of exporting profits. (Cencosud. 2013). Recommendations All of these factors leave The Home Depot with a limited amount of possibilities to re-enter the Argentinian market. The best possibility is to partner with Cencosud in a strategic alliance or find smaller specialized retailers that are currently competing with Cencosud in Argentina and offer them very attractive distribution, pricing and profit sharing. I would find it difficult to invest in this country’s economy due the protectionist ideology of the government. Their policies have not created real economic growth and restrict the ability for foreign companies to invest without excessive tax on profits. The current business environment, banking system and construction restrictions are not conducive for foreign involvement or investments. Home Depot has already attempted once, I believe it would take an even larger investment to overcome the negative perception in 2001. Also, they have a major competitor Sodimac in place and have had double digit growth since 2005. Their best expansion strategies for Home Depot to get back into go into Argentinian markets would be establishes strategic alliances with the smaller retailers for exportations, joint ventures directly with Fallabella and foreign direct investments to invest with either of the businesses if available depending upon the political complexity of the government. (Forbes. 2011). References: Bifani. (2013). Argentine Real Estate Activity Sharply Falls. Retrieved from http://www.homechannelnews.com/article/hd-expounds-plans-mexico-latin-america Castro, G. (2012). Chile’s new Sodimac home improvement store continues to break ground underground. Retrieved from http://blog.kimcorealty.com/2012/02/chiles-new-sodimac-home-improvement-store-continues-to-break-ground-underground/ Cencosud. (2013). Our Company. Retrieved from http://www.cencosud.com/nuestra-empresa/descripcion/?lang=en Chafkin, M., (2001). Inc. magazine. A Constant Feeling of Crisis. Retrieved from http://www.inc.com/magazine/201106/doing-business-in-argentina_pagen_5.html CIA Handbook. (2013). Argentina. Retrieved from https://www.cia.gov/library/publications/the-world-factbook/geos/ar.html Communicaid. (2009). Doing Business in Argentina. Retrieved from http://www.communicaid.com/access/pdf/library/culture/doing-business-in/Doing%20Business%20in%20Argentina.pdf Easy. (2013). Easy Argentina. Retrieved from https://www.easy.com.ar/webapp/wcs/stores/servlet/es/easyar/information-pag e?identifier=mapa_locales.html Encyclopedia of Business. (2013). Joint Ventures and Strategic Alliances. Retrieved from http://www.referenceforbusiness.com/management/Int-Loc/Joint-Ventures-and-Strategic-Alliances.html#ixzz2SRvvAulT Forbes. (2011). Home Depot Remodels Its Growth Plans. Retrieved from http://www.forbes.com/2001/11/30/1130homedepot_print.html Global Property Value. (2013). Argentina. Retrieved from http://www.globalpropertyguide.com/Latin-America/argentina/Price-History Hill, Charles W. L. (2011). Global Business Today. (7th ed.). New York: The McGraw-Hill Companies, Inc.. ISBN: 978-0-07-813721-1. Home Depot. (2013).About Us. Retrieved from https://corporate.homedepot.com/OurCompany/History/Pages/default.aspx Kaminsky, G., (2009). Thirty Years of Currency Crises in Argentina. External Shocks or Domestic Fragility?. George Washington University. Retrieved from http://home.gwu.edu/~graciela/HOME-PAGE/RESEARCH-WORK/WORKING-PAPERS/argentina.pdf Isora, M., (2009). Importan ce of Strategic Alliances in Company Activity. Retrieved from http://www3.mruni.eu/~int.economics/5nr/Isoraite.pdf Sprawl Busters. (2008). Argentina. Adios, Home Depot!. Retrieved from http://www.sprawl-busters.com/search.php?readstory=821