Characteristics of Developing Countries Essay

Characteristics of Developing Countries BY Hafeez260 The theme of this essay is: the importance of a study of other semi-developed countries as they struggle for economic growth, the elimination of mass poverty and, at the political level, for democratisation and the reduction of reliance on coercion. New countries are finding their voices in all sorts of ways and are managing to interest an international audience. South Africa is not least among them; contemporary international consciousness of the travail of our particular path towards modernity testifies at least to a considerable national talent for dramatic ommunication and (for those who care to look more deeply) a far from extinct tradition of moral conscientiousness. One aspect of this flowering is a rapidly growing crop of social scientific studies of semi-developed countries of which this university is fortunate to have a substantial collection, contained mainly in the library of Jan Smuts House. From this literature, one can extract five themes of particular interest. The first is the problem of uneven development and effective national unification, especially in deeply divided societies. Capitalist development has mpinged on semi-developed countries from outside rather than transforming slowly from within, incorporating different groups in different ways. Particular problems arise when differential incorporation coincides in substantial measure with boundaries between ethnic groups. If Donald Horowitz’s remarkable study of ethnic groups in conflict is right, more energy goes into attempting to maximise differences in the welfare of in groups and out groups than into maximising their Joint welfare, with adverse consequences for the possibilities of building the national political and economic institutions required for development. Gordon Tullock has argued that this is an additional reason for preferring market-based rather than state-led economic growth in deeply divided societies. In itself it is, but the secondary effects of different paths on distribution have to be taken into account. In so far as they lead to worsening differentials between groups, the possibility of heightened conflict is created. The only long-term hope is to make ethnic boundaries less salient; the happiest outcome would seem to be when ethnicity becomes decorative in a high income economic environment. This is likely to be the work of decades, perhaps of enturies; even so, appalling retrogressions always seem to remain possible. The consequence of deep divisions is that there is likely to exist an unusually large number of prisoner’s dilemma situations. The prisoner’s dilemma arises when partners in crime are apprehended and held separately. The prisoners will be Jointly better off if they do not inform on each other, but each prisoner will be better off if he informs on the other, while the other does not inform on him. Attempts at individual maximisation may lead to both prisoners informing on each other which leads to the orst Joint outcome. The dilemma arises because of the absence of the opportunity for co-operation. ) Under such conditions, negotiation skills are at a premium. There are also advantages in the acceptance of a deontological liberal philosophy which (in the shorthand of political philosophers) places the right over the good. This involves seeking to regulate social relations by Just procedures while leaving individuals as free as possible to pursue their own, diverse conceptions of the good life. Such an attention should be paid simultaneously to the reduction of poverty. The analytical Marxist, Adam Przeworski has analysed analogous problems which arise in the case of severe class conflict. In his view, social democratic compromises are held together by virtue of the propensity of capitalists to reinvest part of their profits with the effect of increasing worker incomes in the future. Class compromise is made possible by two simultaneous expectations: workers expect that their incomes will rise over time, while capitalists expect to be able to devote some of their profits to consumption. In conditions of severe class conflict, these expectations about the future become ncertain, time horizons shorten, workers become militant, capitalists disinvest and political instability results. Three forms of resolution are available: stabilising external intervention, negotiation or renegotiation of a social contract or the strengthening of the position of one or other class by a shift towards conservatism or revolution. Przeworski’s sternest warnings are to Marxists who assume that revolution and the introduction of socialism is the inevitable outcome of a crisis. The second theme in the literature on semi-developed countries has to do with their position within the world economy. Three related sub-themes can be identified. Firstly, there has been a debate about the forms and limits of the diffusion of industrialisation. Dependency theory – now somewhat out of fashion, since its predictions of severe limitations on industrialisation in developing countries have been falsified – asserted that relationships between developing and developed countries are such as to keep the latter in perpetual economic subordination. The contrary thesis – that advanced industrial countries have had to deal with increased competition arising from quite widespread diffusion – now seems more plausible.

Managing in a Global Economy Essay

Hollister Co. is an American lifestyle brand by Abercrombie & Fitch Co. The company was launched by July, 2000. It is headquarter at New Albany, Ohio. Till 2012, Hollister already has 571 stores in the world [Appendix 1]. Like its parent company, Hollister sells casual apparel which include knit layers, tanks , graphic tees, polo shirt, plaid, classic, sweaters, hoodies, outwear, jeans, pants & shorts, skirts, dresses, sweatpants, and yoga; and the accessories which include totes, belts, socks, and fragrance. The concept was originally designed to attract consumers aged 14–18, at a lower price than the parent brand through its California-style inspired image and casual wear. Goods are available in-store and through the company’s online store. It was ranked as the second most preferred clothing brand of US teens on a long list of actual West Coast companies in 2008 by Piper Jaffray. (Hollister official website, 2012) According to Abercrombie & Fitch’s latest 10-k form, Hollister’s net sales in 2011 and 2010 are $2,022,002,000 and $1,552,814,000, separately. There is 30% increase of net sales from 2010 to 2011. Based on the data, we can figure out that Hollister’s net sales are almost two times to its parent company. Foreign Markets Expanding Motivation The motivations for Hollister to expand in foreign markets will be defined as two categories. First of all, Abercrombie & Fitch wants to get rid of its lower sales in U.S market and earn profit from outside expansion. Abercrombie began to launch its expansion plan outside the USA since 2007, driven at least in part by a weakening of its domestic market. For the quarter ended July 28, Abercrombie reported a profit was dropped by nearly 52%. According to media reports, more than 135 of its American stores have been closed since 2010 and there will be 180 closures in the following year. However, based on Abercrombie & Fitch’s 10-k form, the net sales of international stores are increased steadily. The company therefore has high hopes for the European and Asian markets, where its expansion is being pushed forward. (WSJ, 2012) Hollister, as one of its subsidiaries, plays a crucial role in the expansion plan because it has good performance with higher net sales and large numbers of shop. Another reason for Abercrombie & Fitch is Asia apparel market is keep growing. Asia’s fashion and apparel market will continue to grow at a healthy clip through 2011-2015. The reason why we focus on Asia area is because as forecast last year, clothing demand in Asia is higher than the demand in Western Europe and North America in 2011 [Appendix 2]. â€Å"Many economists predict that demand will be driven by rising personal disposable income levels and an increased focus on fashion apparel, especially in the main cities.† Said by Carrie Yu. As we known, many foreign apparel brands are already present in Asia, and they will spread steadily. Here we have a figure to show the market demand growth in different Asia countries [Appendix 3]. After analysis the data and GDP per person at purchasing-power parity [Appendix 4], we choose three countries-Japan, Singapore and Hong Kong-that are good for Hollister to expand in. Three Study Countries: Singapore, Japan and Hong Kong Japan Our first choice is Japan. Here we have two reasons to support our idea. First of all, it goes without saying that Japan is one of the most potential countries in Asia. For years, Japan has been Asia’s richest and most powerful economy. It was the first Asian economy to industrialize, and the emerging Asian tigers—Hong Kong, Singapore, South Korea. There are three advantages for Japan to become a good expansion country. Firstly, the economy of Japan is the third largest national economy in the world after the United States and the People’s Republic of China and is the world’s second largest developed economy (Oced library, 2010). According to the International Monetary Fund, the country’s per capita GDP was at $34,739 or the 25th highest in 2011. Besides, according to Wipo resources, Japan is the world’s 3rd largest automobile manufacturing country, has the largest electronics goods industry, and is often ranked among the world’s most innovative countries leading several measures of global patent filings. Summing up all these data, we can figure out that Japan is a growing market. Strength The strength for Japan is it got the high purchasing power. According to Appendix 5, the GNI of Japan is 45180 US dollar in 2011, while GNI of US is 48450. However, it doesn’t mean that the purchasing power of Japanese is lower than America citizen. The consumer spending is enormously high in Japan. Spending is an important role of consumers. Consumer spending plays a significantly economic factor since it usually coincides with the overall consumer confidence in a nation’s economy. High consumer confidence indicators usually relate to higher levels of consumer spending in the economic market. Consumer confidence provides governments and businesses with an analysis on consumer perception. (EconomicsHelp, 2011) From CIA factbook, we can figure out that Japanese is the third country which got higher purchasing power parity toward to Asia area, besides China and India. Moreover, The Japanese are very loyal to foreign prestigious fashion brands such as Louis Vuitton and Gucci. The sales of these companies have been growing steadily with support from young consumers. As a subsidiary of Abercrombie &Fitch, Hollister must play a leading role in fashion trends if we focus on marketing promotion. Weakness The main weakness for Japan divided by two parts. Obviously, the first weakness is the unpredicted geography phenomenon. Everybody knows that Japanese business have got a tough time by tsunami and earthquake in recently years. These two disasters are having large negative economic effects on Japan since it is a major role in global supply chain and as a producer of final products. Based on this fact, we think Japan is not a good place to set up facility in order to produce clothes. Second of all, According to Reuters (2011), Japan’s new government faces a dilemma over how to keep its campaign promises while reining in huge debt, a fragile economy that could slip back into recession, and strains in ties with close security ally the United States. Thusly, we think Japan will not be an appropriate country because it got unstable political risk. Opportunity No doubly that Japan is the core of fashion in Asia area. It is famous by its creativity and design toward to the whole world. As a result, as an apparel company, Japanese market has potential opportunity to be entered. According to Japanese fashion market report (2011), here we have two advantages to prove that Japan is a country full of fashion. 1. Japan is a critical fashionable country because it holds many fashion events annually. Thusly, Japanese consumers are sensitive to trend cycles in the international fashion market because there are so many brands enter into Japan market every year. 2. They are significantly influenced by Fashion Magazines. Although technology is developed these years, magazine is still playing an important role in Japanese teenagers’ life, like Mina, Rays, Vivi and etc. So if Hollister invest in Japan, focusing on magazine will be a good choice for this company when they doing marketing promotion. Threat Everything has two sides. Since Japanese fashion market is full of opportunity, it is also highly competitive. According to Imported Luxury Brands Market in Japan: Key Research Findings 2011, imported luxury brands market in 2010 is estimated at 831.4 billion yen, 92.9 % of the size in previous year. This data means that there are many companies already in the market. The number of competitors in Japan is huge. According to Appendix 6, 24% market is owned by US brands. After doing research, we known that Hollister’s main competitors, Gap and American eagle outfitters, have already entered Japanese market. What’s more, even though they are owned by the same company, Abercrombie & Fitch, probably another biggest competitor, entered Japanese market since 2009. [Appendix 7] In a conclusion, although Japan got higher purchasing power and fashion opportunity, it is still not an appropriate country to be entered because of the political risk and high competition. Singapore Singapore is located in southeastern Asia at the southern tip of the Malay Peninsula; the city-state of Singapore consists of a main island and some 60 islets. The country has a population of 4,740,737 in which the capital and major cities occupy 3,654,103 people according to the data last year. Although the country seems not as large as many other countries, Singapore’s gross domestic product was $326.8 billion and its per capita GDP of 61,103.36 US dollars in 2011 estimates is comparable to that of leading Western European nations, and its high standard of living and strong trading links have secured its position as one of ASEAN’s leaders (Global Road Warrior, 2012). Strengths 1) Outstanding tax system.When Japan cuts its corporate tax rate this Sunday, the U.S. will have world’s highest tax rate on business income. The following chart has shown the data. (Figure Source: Isidore (2012), CNNMoney) However, Singapore’s corporate income tax rate is low which in a flat of 17% since 2010. It is often cited as the leading example of countries to reduce corporate income tax rates and introduce various tax incentives to attract and keep global investments. Since January 1, 2003, Singapore has adopted a single-tier corporate income tax system, which means there is no double-taxation for stakeholders. Tax paid by a company on its chargeable income is the final tax and all dividends paid by a company to its shareholders are exempt from further taxation (Janus, 2012). Two of Singapore’s unique advantages are its low effective personal and corporate tax rates. Personal income tax has a tier system that starts from just 0% and goes up to 20% for income above $320,000. Similarly, effective corporate tax rate for Singapore private limited companies for profits up to $300, 000 is 8.5% and capped at a flat rate of 17% for profits above $300, 000 (Janus, 2012). What’s more, there are no dividend or capital gains taxes in Singapore. 2) High purchasing power.The GDP per Capita, in Singapore, when adjusted by Purchasing Power Parity is equivalent to 278 percent of the world’s average. Consumer Spending in Singapore increased to 27,485.40 in May of 2012 from 27,467.20 in February of 2012. Historically, from 1975 until 2012, Singapore Consumer Spending averaged 12,752.67 reaching an all time high of 27,485.40 in May of 2012 and a record low of 3,553.90 in February of 1975 (Trading Economics, 2012). 3) Exchange rate & Labor cost.The USDSGD spot exchange rate depreciated 0.0194 or 1.56 percent during the last 30 days. According to Janus (2012), The Singapore dollar has been consistently appreciating against major currencies. It also got about $260 billion based on average exchange rates or $252 billion based on year-end currency rates last year. Historically, from 1980 until 2012, Singapore Labor Costs averaged 96.00 reaching an all time high of 129.93 in February of 2009 and a record low of 57.37 in May of 1980. These data are all lower than Hong Kong and Japan’s (Trading Economics, 2012). 4) Political stability.Singapore is rated No.1 as the most politically stable country in Asia (Janus, 2012). 5) English is main language.Singapore has a 10-year compulsory education program commencing at the age of 7 years. English is the first language and the medium of instruction in schools (Global Road Warrior, 2012). This means almost 100 percent of People in Singapore speak and understand English well, which would bring much easier communication for Hollister to enter into the country, especially to the communication within the management level of Singaporean while doing business. 6) Quick and easy registration. It only takes about 1-2 days to incorporate a company in Singapore, with the government providing assistance along the way (Janus, 2012). As the easiest place to do business in the world, Singapore company registration is a quick and easy process, which involves just two procedures that can be completed online within 24 hours for a retail outlet. A Singapore subsidiary can be wholly owned by a foreign company and is considered a separate legal entity from the parent company. Also, a Singapore subsidiary is generally treated as a local resident company and therefore is entitled to tax benefits available to local companies (Janus, 2012). Weakness 1) If you want to set up a limited liability company (LLC), there are two conditions that are required: it must have two agents acting on its behalf in the country; and one of them must be a Singapore resident, a native Singaporean, or someone who has a Singapore employment pass. 2) Singapore is among the most expensive in the world, as the cost of living here is very high. 3) Hollister has to hire Singapore resident and qualified Singapore auditors to do the business accountings to work with government. Opportunities 1) Singapore is one of the world’s famous shopping paradises. Its central business district has a lot of upscale shopping square: from the latest fashion clothes, jewelry, watches, perfume, cosmetics to the sports goods and daily necessities etc. Singapore’s retail sector has done well in 2010 and well into this year on the back of the tourism sector’s robust performance and in spite of a slowing economy in recent months. According to the latest retail sales index released by the Singapore Department of Statistics, Singapore’s retail sales excluding automobiles increased 7.4% year-on-year in August 2011(Janus, 2012). Hollister, as the subsidiary brand under Abercrombie & Fitch, has very large opportunity to get benefits from opening retail stores in the country. 2) Singapore is also ranked the No. 1 in tourism so there is the potential to do business. Threats Fashion is a highly competitive industry worldwide, but Asia stands out for its stylish and practical design. Although Hollister is also a very famous American brand under A&F, it still faces strong competition from Asiatic fashion. Since Singapore emerges as global fashion apparel hub with large amounts of upscale shopping squares, the opportunity to open shops in this fashionable country could also become a big threat. Hong Kong Hong Kong is a Chinese special administrative region situated in eastern Asia, with a 455-mile coastline on the South China Sea and a 19-mile border with China. Hong Kong’s population is 95 percent Chinese, with the majority coming from neighboring Guangdong province or within Hong Kong itself. The population was about 7,122,508 in 2011. Cantonese and English are the two official languages. Hong Kong’s free-market economy was vulnerable to the global economic crisis of 2008, but its increasing integration with China helped it to quickly recover (Global Road Warrior, 2012). The GDP in Hong Kong was worth 243.67 billion US dollars in 2011, which roughly equivalent to 0.39 percent of the world economy (Trading Economics, 2012). Strengths 1) Well located.Hong Kong is located at the heart of Asia, alongside many of the region’s most exciting business market such as Guangzhou, Taipei, Manila, and Bangkok etc. And it is the gateway to Mainland China. 2) Free trade port.Easy government policies for foreign fashion brands. Hong Kong is known for its free port status and easy customs procedures. Duty is paid on very few products. 3) Tax-friendly economies.Hong Kong’s profit tax is capped at 16.5 percent according to the 2011 study, and there are no capital gains and dividends taxes (InvestHK, 2012). Weakness 1) Most of good locations have already occupied by large local fashion chains or early entering foreign fashion brands. 2) After the global financial crisis in 2008, the economies of Hong Kong still need to recover. 3) Hong Kong has the lowest GDP in 2011 compared to Singapore and Japan. Opportunities 1) There are large fashion-hungry population in the Hong Kong market, especially many people from Mainland China love to go shopping in Hong Kong. 2) Some foreign retailers are successful in the Hong Kong retail market. In addition, Abercrombie & Fitch was prepared entering into the country, which would in a sense lay a good foundation to its subsidiary, Hollister. Threats 1) Competition with Many local fashion brands, such as GIORDANO, BALENO, Bossini, Esprit and so on. And what is worsening is that these local brands all offer very cheap prices. 2) Many other foreign fashion competitors: Hong Kong shopping malls are creating space for Swedish brand Monki and U.S brands Gap, Forever 21 and American eagle. Others like H&M, Zara, Mango and Japanese brand Uniqlo have already established outlets in the city (Thondup and Tsang, n.d.). After reviewing the strength, weakness, opportunity, and weakness in the three countries, we chose to expand business into Singapore. We strongly recommend Hollister Co. to invest in Singapore where is a stable and strong economic, and a low risk country in political change. Singapore Marketing Singapore is an island country. The land area is 714.3 Square kilometers. The population in 2011 is 5,260,000. The population density in 2011 is 7,257 per Square kilometers. Shenton Way is the fourth largest financial center, the adjacent Keppel port is one of the world’s busiest ports. According to Singapore’s economic structure, the manufacturing sector accounted for 25%, the construction industry accounted for 5%, wholesale and retail trade accounted for 16%, transportation and telecommunications accounted for 11%, the financial services industry accounted for 12%, business services accounted for 12%, the hotel and catering industry accounts for 3%, the other accounts for 16%. Due to it is a small country, shopping is considered a kind of sport in Singapore. The government draw up a lot of plans on developing their shopping market. For one thing, many shopping malls almost per square mile are located in Singapore. Orchard Road, one of the famous shopping streets, is a 2.2 km long street and it is a retail and entertainment centre in Singapore. Orchard Road also contains a large number of high-end restaurants, coffee chain, nightclubs and hotels. There are many famous building and variety of retail store as well as there is large number of luxurious products with well-known brand. There’s practically a shopping sale of sorts all year round in Singapore, with the most notable one being the Great Singapore Sale. On the other hand, it’s a year-round shopping paradise. You only need to take a walk down Singapore’s iconic shopping districts to find out what’s in store for you. The best time to visit is during its annual eight-week Great Singapore Sale, when all kinds of discounts and deals pop up island-wide from late May through July. Great Singapore Sale 2012 will be held for 8 weeks from Friday, 25 May 2012 to Sunday, 22 July 2012. The Great Singapore Sale 2012 has been timed to coincide with the peak travel seasons to enable visitors to enjoy the fantastic deals all around. During the Great Singapore Sale 2012, you can enjoy up to 70% discount for everything on sale, anywhere in Singapore. From posh shopping centres in Marina Bay and Orchard to small stores in the suburbs, you will find fabulous deals for clothes, gadgets, beauty treatments, spa, attractions, and even food! (Great Singapore Sale, 2012) Furthermore, Singapore set large variety shopping malls to meet the different requirement of various groups. The ethnic shopping enclaves in Singapore include Little India and Chinatown – both are tourist attractions in their own right, steeped in ethnic colors and flavors. (Singapore Shopping Madness, Yong Shu Hoong) For instance, Chinatown mainly offers authentic Chinese products including tea, herbs, medicines, foodstuffs, silks, cheongsams, handicrafts, household items and antiques. Finally, Singapore duty free shopping prices at all three terminals are competitive with most places in Asia. The slippery greenback means rates are fluctuating constantly. Pick up a 50ml Dior j’adore eau de toilette for around S$96 (US$76), Chanel Alure EDP 50ml at S$112 (US$89). (Singapore Shopping Madness, Yong Shu Hoong) Human Resource Management ââ€"†Human Resources Management Practice Due to the explosive growth of the Asian economies over the past two decades, considerable attention has been focused on the human resource management (HRM) practices of Asian businesses. Cultural diversity of workforce in modern business organizations against the backdrop of globalization has attracted the attention of many researchers and analysts. By the 21st century, Singapore has developed into advanced and high-income economies, specializing in areas of competitive advantage. As one of the four little dragons in Asia, Singapore can be an interesting subject to study and it is also important for MNCs to understand Singapore’s advantages and disadvantages of its human resources management practice. Hollister Co. is an American lifestyle brand by A&F Corporation. The concept was at a lower price point than the parent brand through its SoCal-inspired image and casual wear. Hollister Co. could take some advantages of Singapore’s human resources management practice to expand its business in Singapore. According to a demographic survey, as of 2011, the population of Singapore is 5.18 million people, of whom 3.25 million (63%) are citizens while the rest (37%) are permanent residents or foreign workers. The government is considering capping these workers, although it is recognized that they are crucial to the country’s economy, as foreign workers make up 80% of the construction industry and up to 50% in the service industry. (Building and Construction Authority, April 2011) Singapore is a multicultural country with a majority population of Chinese (74 percent), with substantial Malay (13 percent) and Indian minorities (9.2 percent). The country has four official languages consisting of Mandarin, Malay, Tamil and English. English is the main working language and is the mandatory first language in all schools in Singapore. Most Singapore’s Chinese derived from southern China, especially in Fujian, Guangdong and Hainan, of which 40 percent is Fujian, the followed is Chaoshan, Cantonese, Hakka, Hainan and Fuzhou. To developing human resource management practice for Hollister Co., we should understand Singapore’s basic Human Resource Management (HRM). Hollister Co. is categorized as a service business while Singapore is a country which workforces are highly related to services sectors. In addition, considering the features of Singapore’s location, demography and other fields, its human resources is consisted of Western and Asian features. We will focus on Singapore’s HRM style and features of workforces to develop the human resources management practice for Hollister. ââ€"†Human Resources Management Style â€Å"Leadership and the Workforce in Singapore† is a survey that evaluated by the Singapore Human Resources Institute. Data were obtained from 192 respondents who were engaged in a wide variety of Singaporean industries. A total of 68 per cent of the respondents are HRM practitioners. Many of the respondents are supervisors reporting to senior management such as CEOs and managing directors. (Chart 1) All the data shows that globalization has had its impact on Singapore in a much more pronounced way. Singapore has been reputed for very advanced HRM practices both at the national and the international levels. In addition, Singapore has been especially known for its international HRM practices in a small city state. On the other hand, Singapore didn’t focus on manufacturing; it is a city state with a greater focus on financial services and other services instead, such as banking and insurance. Moreover, Singapore has a similar diversity culture of shopping centers manned by equally culturally diverse workforce. (Malikanrs, 2010) Singaporean enhances on performance record and job experiences, appropriate training and seniority when considering promoting its employees. Singapore has no set patterns of recruitment for either the entry level or middle level positions due to affecting by the Western model. However, Hofstede (1984) found that the national culture of Singapore is high in power distance. In high power distance cultures, superiors and subordinates treat each other as unequal. Singapore is also called a â€Å"nanny state’ in which people are supposed to do exactly what they are told. The mixed unique feature of national culture therefore makes Singapore’s HRM practices more complicated. ââ€"†Hiring and Retention The unemployment rate in Singapore was last reported at 2 percent in the second quarter of 2012. Historically, from 1992 until 2012, Singapore Unemployment Rate averaged 2.4 Percent reaching an all time high of 4.8 Percent in September of 2003 and a record low of 1.3 Percent in September of 1997. The employment rate for older residents made good progress. A record 61.2% of residents aged 55 to 64 were working in 2011, up from 59.0% a year ago. The employment rate for both males (from 75.0% to 76.4%) and females (from 43.4% to 46.3%) in this age group rose to new highs in 2011. Singapore’s workforce is inherently diverse due to their multi-racial community. Employees from different generations, gender, nationalities and cultures often work together in the same organization. It is therefore important for organizations to put in place policies and practices to build an inclusive and harmonious workplace. A diverse workforce that is well-managed can bring about better business per formance and higher employee engagement. ââ€"†Training and Advancement The improvement in educational profile of older residents was another contributing factor as the better educated were more likely to participate in the labor market than those less educated. The educational profile of the labor force continued to improve, as the better educated younger residents enter the labor force and the relatively less educated older cohorts retire progressively. The share of degree holders in the labor force almost doubled from 15% in 1999 to 28% in 2010. Conversely, the lower educated labor force from 36% to 22% over the same period. (Chart 2) ââ€"†Compensation Chart 3, 4, and 5 in appendix show the average salary, turnover rate, and worked hours of Singaporeans. The average salary for Singaporean to work 46.3 hours per week is around Singapore $ 4,000(about $ 3,000). The average over-time work hour is 3.7 hours a week. (Employment Situation in Fourth Quarter 2010, 2011) ââ€"†Ideal Human Resource Management First of all, we would like to talk about language skill. As mentioned above, English is the official language in Singapore. In addition, Singaporeans have high level of education and language skills in average. Therefore, the company can hire local employee without worrying about language barrier. Furthermore, we’ll analyze workforce. Due to the mixed unique feature of national culture, Singapore’s workforce is inherently diverse. Employees from different generations, gender, nationalities and cultures often work together in the same organization. On the one hand, it is easy to train and educate new employees to understand Hollister’s organizational cultures and requirements. On the other hand, Hollister Co. also has to understand the mixed unique feature of national culture. With the aging of population, Singapore government also encourage foreigner to go there and look for a job. In the meanwhile, Singapore advocates foreign enterprise producing products which is suitable for the elderly. This is another opportunity for Hollister Co. to expand their business in Singapore. Finally, we’ll talk about hiring, training, retention, promotion and salary. The unemployment rate in Singapore is very low, the educational background of workforce is becoming higher and higher, the low labor turnover and high level of wage show the Singaporeans are likely skill oriented workforces. The average monthly wage in Singapore is around 4,000 Singapore dollars which equals $3,000. It is a little bit lower than the average income that American household makes. (How much does the average American make breaking down the us household income numbers, 2011) Because Hollister Co. does not have to pay so much money for workforce training, we suggest Hollister Co. offer a somewhat high wage than the current clothing stores in Singapore and use bonus to motivate employees. Political and Legal Environment ââ€"†Legal Environment The Republic of Singapore has a legal system largely based on the British Westminster model, where the power to govern and administer the country is divided between the Executive, the Legislature and the Judiciary. Ranked by the World Bank’s report, â€Å"Doing Business 2007: How to Reform† as the most accommodating country to do business in the world, Singapore is a strategic and reliable base for foreign investors to invest in the emerging Asian markets. (Overview of the Legal Environment of Singapore, RSM Chio Lim) Singapore is well known as â€Å"the Switzerland of Asia.† With a population of approximately 5 million people, Singapore has an astounding 90% literacy rate, and over 85% of inhabitants have a secondary or higher education. The country has almost zero crime, zero corruption and no drug problem. (Singapore Incorporation Advantages) (International rankings of Singapore, Wikipedia) Political environment Pro-business environment: One of characteristics in Singapore is its pro-business environment. It means that Singapore has an environment that is favorable for foreign investments and can attract many foreign entrepreneurs. Furthermore, it is easy for investors to set up businesses and make higher profits. Compared to other countries, investors only have to take 1-2 days and they can incorporate a company in Singapore. Because of pro-business environment, Singapore has become one of favorite countries for investment (Singapore Incorporation Advantages, 2012). Financial assistance: In order to help start-up companies to gain funding, the Singapore government agencies set up several financial assistance schemes to let start-ups gain access to funding to turn their business ideas into reality. Moreover, Singapore government sets up many private sectors to help investors improve efficiency strengthen capabilities of their company (Singapore Incorporation Advantages, 2012). Great tax system: For a starting business, taxes cost is always a top priority. One of features in Singapore is its low effective personal and corporate tax rates. For the personal income tax, Singapore government is based on personal income to design a tier system that starts from 3.5% to 20%. For corporate tax, †Singapore private limited companies for profits up to SGD 300,000 is below 9% and capped at 18% for profits above SGD 300,000.ï ¼â€š(Singapore Incorporation Advantages) After 2010, corporate income tax rate will decrease from 18% to 17% in Singapore. Furthermore, there is no capital gain tax. It represents that Singapore government uses a single -tier tax policy. This policy is that when the income has been taxed at the corporate level, companies can give shareholders dividends for tax free (Singapore Incorporation Advantages). Political systems: Singapore government has an open attitude and its vision is broad to the whole world. Its political system is using a rational, pro-business way to enact laws, decide priorities and sets regulations. For example, there is almost no restriction on foreign investment including manufacturing and service activities. Any business is supported by political infrastructure and given maximum encouragement from the government. This support is an important way to let businesses grow and prosper (Singapore Incorporation Advantages). In addition, the immigration policy is open and flexible in Singapore. It assists the relocation of foreign investors to set up businesses here. If a business entrepreneur needs to run his business or and hire foreign professionals, the government can make appropriate Singapore work visa provisions to meet his needs and wants (Singapore Incorporation Advantages). Free trade agreements: Free Trade Agreements is a significant system in Singapore. It means that most products can be imported without barrier. Businesses can enjoy many benefits including tariff concessions, preferential access to certain sectors, faster entry into markets and Intellectual Property protection. Moreover, Free Trade Agreement is a way to connect Singapore to their trading partners such as United States, Europe, China, Hong Kong and, Japan (Singapore Incorporation Advantages, 2012). (Singapore Incorporation Advantages, 2012) High Quality of Life One of reasons why many investors set up their business and relocate to Singapore is the quality of life. Singapore is in a convenient location and provides a great public and private transportation, a safe and clean environment to live. It also offers an outstanding support system for businesses. Singapore is suitable for work and living. (Singapore Incorporation Advantages, 2012) Economic and Financial Environment In fact, the economic situation in Singapore is very strong and stable, because the attitude of government is open-minded and this country is anti-corrupt. The economic growth is also steady. Singapore is one of countries in the world that has the largest per capital Gross Domestic Product (GDP). The Gross Domestic Product (GDP) is equal to the total expenditures for all final goods and services produced by a country in a period of time and measures national income and output for a country’s economy. According to the World Bank, the Gross Domestic Product (GDP) in Singapore was worth 239.70 billion US dollars in 2011. The GDP value of Singapore is roughly equivalent to 0.39 percent of the world economy. Historically, from 1960 until 2011, Singapore GDP averaged 51.8 billion USD reaching an all time high of 239.7 billion USD in December of 2011 and a record low of 0.7 billion USD in December of 1960 (Trading Economics, 2012). (Trading Economics, 2012) The annual growth rate in Gross Domestic Product (GDP) measures the increase in value of the goods and services produced by an economy over the period of a year. It considers a full year of economic activity and avoids the need to make any type of seasonal adjustment. The Gross Domestic Product (GDP) in Singapore expanded 2.00 percent in the second quarter of 2012 over the same quarter of the previous year. From 2007 until 2012, Singapore GDP annual growth rate averaged 5.1 percent reaching an all-time high of 19.8 percent in June of 2010 (Trading Economics, 2012). (Trading Economics, 2012) Singapore exchange rate is range from $1.30 to $1.50 for the last 10 years. It is kind of stable. Monetary Authority of Singapore (MAS) manages the exchange rate of the Singapore dollar. Investors can transfer funds in and out of Singapore freely in any currency. Furthermore, Singapore government bond has very good rating. Standard & Poor’s (S&P) in August 2011 gave it AAA and Moody’s gave it Aaa in 2008. According to China Post, Singapore banking system is rank top four in the world. When other country have problem with financial crisis, most of Singapore banks were rated B by Moody. We have to realize more about Singapore’s banking system for doing business. Banking System Cash and Check In Singapore, for foreigners or tourists, it is very convenient to bring their own currency and exchange from market to airport. Foreign currency banknotes and travelers checks can also be changed easily at most banks. In addition, ATM link to global banking networks can be found everywhere. Foreigners or tourists can pay for most things by using a credit card in Singapore. (Singapore Banking System, 2012) Singapore banks issue checks that can be processed electronically. Writing check can only use black and blue inks. If a person only wants to deposit and does not cash the check, he has to draw two parallel diagonal lines in the upper left corner. If he crosses out ‘or bearer’, to the right of the payee line – the check can only be deposited into the account of the named payee. When a person deposits check, he has to write his name, account number and telephone number on the back of the check. (Singapore Banking System, 2012) ATM-Automated Teller Machine ATM machines for local banks are everywhere in the Singapore. In fact, all of the Singapore local banks and some of the international banks such as Citibank, HSBC and Standard Chartered have issued ATM cards. It considers that foreigners and investors have to withdraw money immediately in a place. However, there are not many branches and ATMs in the international banks. Here is a limitation and daily withdraw amount from ATM cannot exceed SGD$3,000. (Singapore Banking System, 2012) Cash Flow Because using check will take time to clear the bank, companies have to take that into consideration for their cash flow. There is a well-established banking system with three major local banks that offer a full service of consumer banking in Singapore. It includes ATMs, telephone banking and internet banking. In addition, besides local banks, some international banks in Singapore are doing the same business. Recently, those international banks have been allowed to set up branches and 15 ATMs. (Singapore Banking System, 2012) Accounting Standards Singapore accounting standards are followed the International Accounting Standards and International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board. Financial Reporting Standards (FRS) is accounting standards in Singapore. All companies with financial period starting on or after January 1, 2003 have to comply with Financial Reporting Standards (FRS) (Introduction to Accounting Standards in Singapore, 2012). One of the main principals of Singapore accounting standards is accrual-based accounting. It is the same as United Stated General Accepted Accounting Principle (GAPP). Under accrual basis, the revenue and expenses are recognized and recorded in the period when they occur but not receive or pay cash. They are recorded in the accounting records and reported in the financial statements in a period of time. The function of preparing financial statements on the accrual basis is to inform users not only of past transactions including the payment and receipt of cash, but also of duties to pay cash and funds that have received in the future (Introduction to Accounting Standards in Singapore, 2012). Actually, there are contains about 39 different standards with each standard named as FRS X in Singapore’s accounting system. For example, FRS 1 represents Financial Statement, FRS 2 represents inventories and FRS 18 means revenues. In addition, each standard involves a specific topic like presentation of financial statements, recognition of revenue, accounting for inventories, and so on. (Introduction to Accounting Standards in Singapore, 2012) Cultural of Singapore In Hofstede’s theory, there are five dimensions of culture, which are power distance, individualism, masculinity/femininity, uncertainty avoidance, and long-term orientation. The five dimensions are used to make a distinction between country and country. The society of Singapore is basically consisting of Chinese people. Around 77% of Singaporeans are Chinese. Therefore, the culture of Chinese does influence Singapore a lots. For example, the Buddhist-Shinto societies have an additional dimension which is long-term orientation (Geert Hofstede, 2011). Singapore Five Dimensions Culture Asian Countries Dimension Culture http://www.geert-hofstede.com/hofstede_singapore.shtml (Geert Hofsted Cultural Dimensions-Singapore, 2011) Power distance With Chinese population, Singaporeans are affected by Confucian thinking and values, so they adhere to a hierarchical relationship in their society. They believe that their society is composed of people who are in different standing and unequal relationship. The differences in standing are the signal for people to evaluate each other. The lower standing people should heed what a superior says. In addition, junior and less experienced people are expected to keep their opinions in their hearts. This kind of high power distance has been characterized in Asian society for at least two thousand years (Geert Hofstede, 2011). Individualism In an individualistic society, we can find the relationship of people is loose. The United States is the most individualistic society, but Singapore is ranked 53th out of 66 countries (ClearlyCulture, 2009). In Singapore or other Asian societies, children are raised to stay with the family. Children are educated to be a part of the group and stay in the group when they are infants. Children are taught to be dependent on the group, to make decisions which benefit the group, to support the group, and to maintain the honor of the group. The group can be family, school, or company. All of the decisions which are made by the elders for the children are common. After the Singaporean children become adults, they are not expected to cut off the former relationship (Geert Hofstede, 2011). Masculinity A high score on this dimension means competition can drive this society to success. Traditional Chinese culture is a typical masculinity. Singapore has almost 77 percent of populations are Chinese. Children are always taught to compete with other people in the school. Singapore is in the almost middle of the scale but a little on the feminine side. That means that there are still some softer aspects of culture like leveling with others and sympathy for loser in Singapore (Geert Hofstede, 2011). Uncertainty avoidance Comparing with other countries in the world, Singapore is a country with low degree of uncertainty avoidance. Singaporean comply with their rules because their high PDI. That is why Singapore is a â€Å"Fine† country (Geert Hofstede, 2011). Because Singaporeans are indirect and implicit in their communications, they will not publicly use the word â€Å"no†; likewise, their â€Å"yes† does not usually mean assent (Kwintessential, 2011). Unlike other Asian cultures, the western cultures also affect Singapore’s culture. Therefore, the degree of facing uncertainty avoidance is lower than other Asian countries. Long-term orientation The short-term orientation is related to truth and the long-term orientation is related to virtue. Singapore’s cultural qualities show the perseverance and sustained efforts support the long term investments. People believe that the truth depends a lot on situation and time in a society with a long-term orientation (Geert Hofstede, 2011). Doing business in Singapore, the relationship with other people is very important; especially you must respect the elders. Also, you must be more patient because the organization will show their purpose which is for long-term profit, not short-term gains (Kwintessential, 2011). Organizational Structure An organizational structure is setting the company into different levels, including person and work, so each person needs to perform and accomplish the company goals (Chapman, 2008). There are two types of organizational structures which are flat organization and hierarchical organization. A flat organization is an organization which is few or no levels between managers and employees. The advantage of a flat organization is top management contact directly with the staff level employees. Middle managements are eliminated, so it can also reduce the organization’s budget costs. In this structure, the communication between managers and employees would be improved and the organization is fast to respond to consumers and market conditions. The disadvantage of a flat organization is difficult to maintain when the organization grows bigger. A hierarchical organization is the layout of a pyramid. Every employee obeys someone else in this organization. The advantage of a hierarchical organization is the management can control closely. Also, the role and responsibility of each employee are distinguished clearly. The disadvantage of this organization is the decisions will be difficult to make because the organization is consisted of a multilayer management. It costs a lot to maintain a multilayer management and the communication would be slow from the bottom to the top (Colette). Hollister Co. is a subsidiary company of Abercrombie & Fitch, so the management chart of the Hollister is the same with Abercrombie & Fitch. The following table is Hollister’s organizational structure. In this table, we can consider Hollister is a hierarchical organization. An Executive VP or senior VP head all major business processes of the company. The CEO at the top, EVP/SVP on the second, EVP/SVP on the third and SVP on the fourth level are four basic layers at senior management. This hierarchical structure makes Hollister’s management make decisions quickly and let employees in each group understand their roles and responsibility clearly. On the other hand, there are still some disadvantages, which are high costs and many layers of communications, in this structure. For example, the SVP of Supply chain needs to go through two management layers in order to reach the CEO of Hollister. The hierarchical structure delays the communications between management and employees. A hierarchical structure costs a lot to maintain for Hollister. Hence, in a recession, Hollister might restructure to reduce costs and improve communication. Source: http://www.cogmap.com/chart/abercrombie-fitch-co (2010) Hollister still can use its hierarchical structure into its international markets such as Singapore. Singapore is an open country and there is no limitation in Singapore, so Hollister can use any types of organizational structure they want. If Hollister use the hierarchical structure successfully in its home country and in other international markets, Hollister should use the same structure when they expand to Singapore. Singapore is also a hierarchical structure country because its high power distance. Hollister’s International Expansion Strategies After review Hollister Co. and Singapore cultures and structures, we put forward three strategies which Hollister can use to expand its business to Singapore by exporting, licensing or wholly owned affiliates. Exporting is the first way the company can expand into a new market. By exporting, Hollister does not need to invest in Singapore and can test Singapore’s market. The disadvantages of exporting are Hollister has to suffer tariff and non-tariff barriers, high transportation costs and depend on foreign importers for product distribution. The second strategy is Hollister can give a license of its design to a Singapore Apparel Company. This way Hollister can earn profit without investing and suffering tariff and non-tariff barriers. The disadvantage of licensing its design, Hollister might be subjected to the local apparel company becomes its competitor. Hollister also cannot control the quality of products which the licensee produces, so Hollister’s brand or reputation is on risk. The third strategy is that Hollister can expand to Singapore’s market by itself. Hollister can choose a place where there will be a lot of people, including domestic residents and tourists, to visit such as CentrePoint, the most popular mall in Singapore. The advantages of expanding itself are that Hollister can have complete control and receive all of the profits. The disadvantages of expanding itself are the high costs and the greater loss if it fails. Recommendation After review three strategies, we recommend Hollister to expand itself in Singapore. Hollister has enough capital to invest into Singapore because it has a powerful backing, Abercrombie and Fitch. This way Hollister can keep their quality of products and have complete control. Hollister can test the market and the market condition by opening the first in Singapore. In order to be success, the most important things are that Hollister needs to learn Singapore’s culture and establish the relationship with the consumers and suppliers. Hollister can adapt to the Singapore’s culture and consumer taste by reviewing a quarter of sales. After its sales grow stably, Hollister should continue to open more stores in Singapore.

Mass Marketing and Direct Marketing

Mass marketing is the traditional method of selling while direct marketing is a new innovation in marketing and advertising. The former, which is usually employed by large companies, is the more costly method since it targets a broad market while the latter, which is favored by small and medium scale organizations, is relatively cheaper as it is aimed at a specific target market. Mass marketers sell their products with the use of the mass media such as national television, newspapers, radio, and widely circulated journals and magazines. Its use of the mass media makes it a relatively expensive way of marketing because of the cost entailed in attempting to reach a wide audience through a single television spot or issue of a newspaper or magazine. However, advertisers and sellers consider the method somewhat indispensable because the products that they are selling are either attractive to or are believed to be essential to people from all walks of life who are watching television, reading newspapers or magazines, and listening to radio programs. Some of the products which are mass marketed are different brands of bath soap, detergent bars, toothpaste, and face powder. In the 1960s, before the advent of direct marketing, only big advertisers could usually afford to market products using the mass media due to the prohibitive costs involved. For instance, during the 1980s, a national television network charged an â€Å"average cost per thousand viewers† of $16.79 for every spot which lasted for thirty seconds. In other words, if the network reached ten million households, a 30-second spot would cost the advertiser $167,900 (Bianco, Lowry, Berner, Arndt & Grover. 2004). Compared to mass marketing, direct marketing is relatively new. This concept, which involves reaching individual customers through telephone calls, electronic mails, or the postal service, caught fire during the twenty-first century. A survey conducted only in 2006 which covered some 500 direct marketers and service providers worldwide and released January 11, 2007, found out that â€Å"85% of respondents expect their online direct marketing expenditures to increase in 2007† (Direct Marketing News). This system of marketing heavily relies on a customer list created, maintained, and regularly updated for the purpose. Organizations who employ this method claim that their marketing efforts are measurable in terms of responses or feedbacks which they receive from their target customers (Business Link). Evidently, mass marketing, although more expensive compared to direct marketing, could not be dispensed with by marketers who want to sell their products in large quantities to a multitude of consumers. This is because a company who targets millions of people just could not afford to contact them directly and individually. Works Cited Bianco, Anthony, Tom Lowry, Robert Berner, Michael Arndt & Ronald Grover. â€Å"The Vanishing Mass Market.† BusinessWeekOnline. 12 July 2004. 9 July 2007. Business Link. Direct Marketing: the basics. 9 July 2007. Direct Marketing News. â€Å"Alterian finds 85% of marketing and service providers plan to Increase Online spending in 2007.† 9 July 2007. http://www.dmn.ca/Click/articles/vol109/vol109_b.htm   

Economics for Business Essay Example | Topics and Well Written Essays - 1500 words - 1

Economics for Business - Essay Example Non economists believe in the existence of giffen goods which have an up-ward sloping curve, Veblen goods are the ones whose demand decreases with decrease in the prices and the inferior goods demand decreases with increase in income. Depending on where the VM products lie, this will determine the likely shift on demand. Loyal consumers of VM products will have the services delivered on demand. Demand is the economic want backed up by purchasing power, demand curve represents the amount of a good that buyers are willing to purchase at various prices assuming all other non price factors remain constant i.e. at ceteris paribus. In a free market, quantity demanded and quantity supplied depends on the market price. In our case the decrease in demand is likely because shifts in the demand curve towards the left.1 In our case of VM the demand of the services will be affected by the non price factor. For the consumers to continue demanding its services, they have to improve their terms with them. As the VM claims that the SkyB is coerce with its customers, meaning that they are competing firms and therefore it's a substitute for the VM consumers. To mitigate these consequences of the likely decrease in demand, it can lower the prices for the customers who demand for their services and this is likely to increase its demand against that of its competitors if there is free market a d therefore has a bigger market share. It can also improve the quality of its services that it delivers to its customers; this is because the demand of a normal good is likely to increase with its increase in its quality. VM can also promote isits products through public awareness, this can be done through advertising, sales promotion, offering free services at certain time, and it can also use road shows. 2 Question two Market is a group of buyers and sellers exchanging goods that are likely substitutable for one another. Markets are defined by the demand conditions that exist; they embody the zone of consumer's choice for the goods or services. Markets exists in two dimensions- a. Product type b. Geographical area Market structure refers to the selected number of organizational characteristic of the market that establishes the relationship between buyers and sellers of a certain product; market structure analysis is therefore the study of organizational features of market that is believed to have significance for conduct behavior and performance of firms comprising the market. In simple theoretical analysis, the concept of market was traditionally defined as consisting of buyers and sellers of a homogenous good who have insufficiently close contact with each other that o single price prevails The major market structures are: Perfect competition: This is where the market has very many firms producing homogenous product. Monopolistic competition: This is also called competitive market, this is where there are very many firms and each commands a small share of the market share.] Oligopoly: This is where the market is dominated by many small firms which own more than 40% 0f the market share. Oligopsony: This is where the market is dominated by a few buyers with many sellers Monopoly: This is where there is only one provider of a certain product. Natural monopoly: This is a monopoly in which economies of scale cause efficiency to increase as the firm

Le Dejeuner Sur L'herbe By Edouard Manet Essay Example | Topics and Well Written Essays - 1750 words

Le Dejeuner Sur L'herbe By Edouard Manet - Essay Example In my opinion, the painting was addressing the gender polarities and the social and cultural context of the environment and life that were led by individuals in the era. Moreover, the painting reveals a suburb environment because it was the only the rich that were associated with the kind of lifestyle that was composed and lavished. However, the painting also credits a post paradigm of multiple meanings and subject positions that are present in the different societies found within the globe. The painting reveals the artist neutrality that many viewers interpret as his elusiveness, but acknowledges that indeed the painting appeals to the postmodern sensibilities present in this21st era that has been characterized by globalizations of economic, social and economic era .The painting also reveals theory of negotiated affairs of mutual favors between the four images displayed on the painting and reflects the â€Å"negotiated affair of mutual favors† present within the society. In a wider context an individual can view that that both the images on the painting revealed that the women were responsible for providing other favors like sexual favors to the men and they in return dressed like men of class would gain pleasure by paying dearly for the services that were being given to them. Religiously, the painting reveals to a larger extent the immorality that had engrossed the society because the nudity and posture of the painting is contrary to the teachings of the bible. Nudity was something left for only.... However, the painting also credits a post paradigm of multiple meanings and subject positions that are present in the different societies found within the globe. The painting reveals the artist neutrality that many viewers interpret as his elusiveness, but acknowledges that indeed the painting appeals to the postmodern sensibilities present in this21st era that has been characterized by globalizations of economic, social and economic era2. The painting also reveals theory of negotiated affairs of mutual favors between the four images displayed on the painting and reflects the â€Å"negotiated affair of mutual favors† present within the society. In a wider context an individual can view that that both the images on the painting revealed that the women were responsible for providing other favors like sexual favors to the men and they in return dressed like men of class would gain pleasure by paying dearly for the services that were being given to them. Religiously, the painting reveals to a larger extent the immorality that had engrossed the society because the nudity and posture of the painting is contrary to the teachings of the bible. Nudity was something left for only married couple and it was highly sacrilegious for a woman to show her nudity to individuals apart from their husbands. Socially, the painting symbolizes prostitution in the era because it was only prostitutes who could freely reveal their nudity to their clients as they were receiving material gains and other favors from them. However, when compared to other paintings made by other artist, audiences during the era did not see any negative or immoral aspect from the painting especially from the perspective of the catholic view because

Hand Washing to Reduce the Spread of Nosocomial Infection Research Paper

Hand Washing to Reduce the Spread of Nosocomial Infection - Research Paper Example Through research and healthcare studies, it is evident that nearly 5 percent of the population of patients becomes is infected in the course of hospitalization. Furthermore, increased invasive procedures have also led to an increased rate of nonsocomial infections. Currently, nearly 8% of patients who undergo invasive procedures acquire nonsocomial infections of some kind. Problem Description Healthcare professionals do not always follow the standard of hand washing when providing care to hospitalized patients. The problem of healthcare professionals not using standards of hand washing when taking care of patients has long been recognized as one of the most widespread, as well as dangerous behaviors in healthcare. Among the most common forms of nonsocomical infections include among others urinary-tract infections, pneumonia, bloodstream infections and surgical-wound infections. These infections are particularly pursuant to inventions necessary in the patient care, but which conversel y impair bodily defense mechanisms. In 2004, the Center for Disease Control and Prevention (CDC) republished the definitions of health-care-associated infections. Healthcare institutions do not always use CDC definitions in their identification of nonsocomical infections such institutions use the basic definition, which does not include infections acquired after medical treatment. Sources of Microorganisms In the course of healthcare delivery, patients are exposed to a number of pathogenic microorganisms such as protozoa, fungi, viruses, and bacteria. These pathogens can be transmitted from other patients, visitors or healthcare personnel. Other sources of pathogenic microorganisms include patient flora such as those residing in patients’ mucous membranes, respiratory tract, skin or gastrointestinal tract. These pathogens are typically quite difficult to control and deter. However, other sources of microorganisms that can be easily controlled include those that reside within the hospital environment. These include touch surfaces in patients’ rooms, equipment, and medications. Infections that emanate from such external microorganisms are easily preventable through viable healthcare practices. This paper focuses on best practices employed by healthcare professionals in the prevention of nonsocomical infections in patients. Means of Transmission As earlier cited, microorganisms are spread among personnel, patients, and visitors. This is primarily done through numerous routes such as direct and indirect contact, airborne spread, respiratory droplets and common vehicles. Contact transmission is one of the most important, as well as frequent transmission modes within the healthcare fraternity. Direct contact between patients and healthcare personnel. According to the CDC, contact is the main means of transmission and can be curtailed through simple healthcare practices if implemented effectively in all healthcare institutions. Prevention Practices Prev ention practices encompass modules and behaviors aimed at the deterrence of infections in patients, especially as a result of contact.

The concept of the efficient market hypothesis Essay

The concept of the efficient market hypothesis - Essay Example Furthermore, the change in the currently set prices are would only arise once the new information would land into the market (Ullrich & Ullrich, 2009). The definition of Malkiel (1992; 2003) can be stated as the comprehensive version of the Jensen’s (1978; 1969) idea. Jensen (1978) clearly defined the market efficiency as the state of the market where incremental profits cannot be made by incorporating element of exclusive information in the trading strategies (Timmermann & Granger, 2004).Clearly, the definition put forward by the Malkiel (1992) has three points of emphasis for determining the market as efficient. First, the importance attributed to the information in pricing the units in the financial market. Second factor of emphasis in the definition refers to the capability of the stock market trader or the participants to exploit the exclusive information for generating additional economic profits. Finally, the yardstick to measure the efficiency of market with respect to EMH in term of risk adjusted return net of additional transaction cost (Timmermann & Granger, 2004).Unlike the definitions presented by Jensen (1978) and Malkiel (1992), the proposition concept put forwards by the Fama has many limitations. In fact, Fama was self well aware of the vague component as the fully reflect does not determine any standards for empirical tests (Guerrien & Gun, 2011). LeRoy (1976: 1989) was first to claim the lacking in the definition of the Fama and claimed that definition of the market efficiency.... The definition of Malkiel (1992; 2003) can be stated as the comprehensive version of the Jensen’s (1978; 1969) idea. Jensen (1978) clearly defined the market efficiency as the state of the market where incremental profits cannot be made by incorporating element of exclusive information in the trading strategies (Timmermann & Granger, 2004). Clearly, the definition put forward by the Malkiel (1992) has three points of emphasis for determining the market as efficient. First, the importance attributed to the information in pricing the units in the financial market. Second factor of emphasis in the definition refers to the capability of the stock market trader or the participants to exploit the exclusive information for generating additional economic profits. Finally, the yardstick to measure the efficiency of market with respect to EMH in term of risk adjusted return net of additional transaction cost (Timmermann & Granger, 2004). Unlike the definitions presented by Jensen (1978) and Malkiel (1992), the proposition concept put forwards by the Fama has many limitations. In fact, Fama was self well aware of the vague component as the fully reflect does not determine any standards for empirical tests (Guerrien & Gun, 2011). LeRoy (1976: 1989) was first to claim the lacking in the definition of the Fama and claimed that definition of the market efficiency as the repetition of same concept in different dimension. The criticism from LeRoy (1976) was also admitted by the Fama (1976). In addition to the criticism about the lacking in the presentation of idea, the first criticism about the idea itself appeared in the year 1973 by Shiller (Guerrien & Gun, 2011). Shiller (2003) pointed to the difference which is statistically significant about the true value and assessed

Nurse Political Leader Speech or Presentation Example | Topics and Well Written Essays - 750 words

Nurse Political Leader - Speech or Presentation Example The leadership relationship in transaction based type is put to thrive in the exchange scenario where the subordinate continuously serves the leader in exchange for what is offered in return. The bargain in context reveals that though there may lack the favourable conditions and environment for the followers or subordinates to deliver under normal circumstances, the leader goes further to provide the required conditions necessary to deliver. The leader therefore defines the criteria to be followed at the exchange of benefits to the subordinates (Hartog, Muijen & Koopman, 1997).Transformational leadership on the other hand refers to the leadership style that offers emotional attachment instead of the award entitlement. Transformational leaders inspire their subordinates towards the course of achieving the set goals and objectives (Pastor & Mayo, 2006). The leaders behaviour through which the followers easily identify with drive the leadership. Transactional and transformational leader ship are seen to ascribe to the trait theory in that in cases, personality as well as intelligence that they exhibit distinct them from the common person’s traits (Anon, 2009). ... For instance, in 2009, the representative consented to and approve the prohibition of use of tobacco as a drug and supported the formulation of the ‘children’s health insurance program’. Concerning the bill to confer to mental health full attentions like the physical health in 2008, she supported. She is equally quoted to have supported and campaigned on supporting SCHIP to cover more children in the nation within the previous years. Concerning damages on lawsuits about medical practices, she rejected the bill to lower the 250000-dollar damage costs in the year 2004. These among other significant positions in her political career have been very instrumental in defining her leadership in matters of medical concern (Anon, 1999-2012). However, her political career has had a great blow, which would serve as a draw back in her efforts to competently defend her positions and propositions regarding formulation of laws on health because of her ailment in cancer (Weiner, 2 013). In 21 June 2013, the House of Democrats adopted and incorporated the representative’s priorities and initiatives in the federal education bill as proposed for the week. The representative is quoted to have been very vocal in education matters where she ascertains that passing better educational bills would be very instrumental in shaping the destiny and future of the US as a whole. Her priorities in the education bill in the house of senate include smarter and better funding to education, civic rights protection as well as better accountabilities for students, family engagement in children education, student health as a necessary tool for excellence in education and safety plans for schools. Moreover, the bill advocates for

Evidence Essay Example | Topics and Well Written Essays - 250 words

Evidence - Essay Example in the calendar of the judiciary in the arrangement of the appointment of subject, in line with the proceedings concerning state party cases (Pontell & Stephen, 2010, p. 41). The California code of civil procedure states does not prevent an attorney to permit any kind of representative to stand before the courtroom and present the evidence and witnesses engaged in the proceedings. The mother is therefore entitled to a maximum period of twenty days to submit a respond to the jury of the state. An attached subpoena that the court issued at the beginning of the trial should be handed out as a means of showing proof of chamber sittings between the mother’s attorney and the jury. California’s Business and Professions Code, 349a puts the mother’s lawyer in a state where he or she has to hand out an advance note of the court case three months prior to the lawsuit commencement. As a result, the child and his attorney have ninety days to take action before the lawsuit begins and at this period, they have the ability to organize for the justification of the child. Nevertheless, it is of value noting the fact that there exists no specific type of note necessary, except where notification of the defendant of the legal basis of the claim and the type of loss sustained, including with the specificity the nature of the wounds endured. At this point, it is important to underline the fact that if the notice is served within 90 days of the expiration of the applicable statute of limitations, the time for the commencement of the action shall be extended 90 days from the service of the notice (Pontell & Stephen, 2010, p.

Mcdonalds vs Burger King Essay Example for Free

Mcdonalds vs Burger King Essay In 1940, McDonald’s was first opened in San Bernardino, California by two men, Dick and Mac McDonald. At first, it was called McDonald’s Bar-B-Que. In 1948, the restaurant was shut down for three months for alterations. The menu was reduced to nine items: hamburgers, cheeseburgers, soft drinks, coffee, potato chips, and a slice of pie. They then changed their name to McDonalds as they changed their menu and stop serving Bar-b-Que. In 1954, Burger King was first opened by Keith Kramer and his wife. It was first named Insta Burger King, because they used an insta broiler. Since it was failing in 1959, James McLamore and David R. Edgerton purchased it and changed its name to Burger King. The duo ran the company as an independent entity for eight years, eventually expanding to over 250 locations in the United States, when they sold it to the Pillsbury Company in 1967. The menu has evolved from just burgers, fries, and shakes to just about everything that McDonalds has. McDonald’s has a mascot that is named Ronald McDonald. So, in order to keep up with what McDonald’s was doing, Burger King came up with their own mascot not too far from McDonald’s, they have the King as there mascot. Burger King has recently fired the King mascot, because they said a couple commercials scared children. They have yet found another mascot. McDonald’s has the Ronald McDonald House to help sick kids. Burger King has not done that as of yet, but they do have what is called the Burger King scholarship, which is available to employees and their family. I have worked for Burger King for almost four years, and I cannot stand the food they have there. Every week, Burger King copies something on the McDonald’s menu. I do not understand why they cannot create their own ideas. McDonalds, to me, has better tasting burgers and fries. McDonald’s has fried burgers and Burger King has grilled burgers. But Burger Kings burgers do not have a charcoal taste because they use a gas broiler, so to me it tastes like burned meat. I love the taste of McDonald’s burgers and fries. My favorite is the mcdouble or the big mac. Everything that McDonald’s Burger King is not too far behind. Starting next week Burger King is getting rid of the cheesy bacon wrap and getting the breakfast burrito. Just like McDonalds. Next week we are also getting some familiar thing from McDonalds like the frapachino, smoothies, new salads, and new flavored coffees. They are also in talks to come out with a cookie called the Kings cookies. Starting no later than mid-June Burger King will be getting all new uniforms that are almost the same as McDonalds. The managers such as me will have white shirts with ties, and the crew members will have red shirts. McDonald’s has the big mac Burger King have the deluxe topper which is the same as the big mac but just has two slices of bread and one thick meat patty. McDonald’s has ice cream cones for a dollar; Burger King just got ice cream cones for a dollar. McDonald’s has a spice chicken sandwich Burger King have a spicy chicken both for a dollar. McDonalds has chicken nuggets Burger King has chicken tenders. Burger King is getting a southern style chicken sandwich called the King crispy chicken sandwich McDonald’s has the original home style chicken sandwich. McDonald’s has the quarter pounder, and Burger King has the chef’s choice or the whopper. McDonald’s has the fish filet Burger King has the big fish. One thing I can say about Burger King is they have croissants and onion rings where McDonalds does not. This week we have got some more familiar items like McDonalds. White bags, we use to have the big brown bags that said Burger king all over them, now Burger King has white bags, just like McDonalds that say Burger King only in the top corner. And when it comes to the chicken tenders or chicken Mcnuggets again Burger King is trying to copy McDonalds once again. We use to have chicken tenders shaped like a crown or a lightning bolt. But when they looked at the sales of McDonald’s chicken nuggets and our chicken tenders they put them under construction and now we have chicken tenders just like the ones McDonalds has shape and all. But the ones Burger King’s has are not as crispy and the ones McDonalds has. They say they are all white meat but I beg to differ. If it is all white meat then it is the bone to. I must say that the new chicken tenders at Burger king are much better than the old one I would still rather have the ones from McDonalds then from Burger king. McDonalds has chicken select and Burger King has just came out with chicken strips. Everything right down to the size count and the sauces to go with it. One thing that Burger King is starting new is that they are trying to introduce all fresh items on its menu. They are using new fresh cut lettuces, onions, salads, and trying to become a healthier restaurant. Something new that McDonalds is trying is in their kid’s meals they are giving a smaller fry and also giving the kids apple slices. Burger King has yet to jump on this concept, but I’m sure it is not too far behind. So as you can see right down to the mascot Burger King is trying to keep up with everything that McDonalds does. The fast food business is a multi-billion dollar industry. The two businesses running in the lead is McDonald’s and Burger King. McDonalds is still the leader of the pack with Burger King not too far behind. The two fast food businesses are in close competition with each other. And have sales above all the rest. There are McDonald’s and Burger King corporate and franchises stores all over the world. McDonald’s has more stores both corporate and franchise store all over the world. But Burger King is not too far behind. Pretty much, whichever restaurant you go to, you will get the same kind of items. Fast food will always be the most popular choice in the hospitality industry, for those on the go that want to pick up a quick bit to eat.

Liquefied Natural Gas Lng Economics Essay

Liquefied Natural Gas Lng Economics Essay Liquefied Natural Gas forecasts are highly-structured and capital intensive in order to protect the investment return that projects developers conventionally covered all their future LNG. The past years have witnessed a dramatic development in LNG industry which is under metaphases from an infant towards a maturing industry with the ongoing process of slackening in the world market, LNG plays an increasingly important role in meeting the rapid gas demand worldwide by offering its merits of diversification and flexibility for securing gas supply of price signals cross isolated regions. According to BP 2010 So far, LNG accounts for 30.5% of world trade volume and the figure is expected to be growing. Over the past five years it has became acceptable industry practice for even contractually committed LNG with a specified destination to be diverted to another market with mutual agreement of both the seller and the buyer. The financial incentives to benefit from market in efficiency and regional supply-demand motivated market players to allow ad-hoc cargo diversions, sharing the profit resulting from the arbitraging between the respective parties. With a careful study of the process of arbitrage from school of thought: Prof. Dr. Hasret B. and others; I have been privileged to understand the nature of LNG and why is not neglected. This same study put up a questions: who are the arbitrageurs, what are the constraints and limitations they fall, and why arbitrage can fail to bring prices close to the fundamental value which implied by standard models. However, the focus of this article on the nature of LNG arbitrage and its theoretical growth in global markets reveals theoretical development within a simple model and also suggest directions for future research. According to Zhurravleva (2009), he pointed out why the LNG project is still in existence In 2007, the Equatorial Guinea LNG project sold its entire LNG output on a FOB (Freight On Board) basis to BG for 15 years, without incorporating a destination clause in the contract. Now what she actually meant here is that the business has enabled the buyer (BG) to divert the cargoes and act as aggregators (arbitrageur), effective and monetizing their delivery. Other significant sources of flexible cargoes are Qatar, Trinidad and Tobago, Algeria and Egypt. The classic destination and the availability of non-committed shipping capacity are not the only barrier towards the LNG arbitrage rather than other factors such as; technical and market restrictions, high transaction costs which hinder LNG diversions. The significance of these barriers varies overtime and differs from market to market; however it is important to understand the aforementioned theoretical importance and the extent to which they may constrain the development of the global LNG arbitrage market. Therefore with a clear observations of The Unique Features of the LNG Shipping Market: A Study of Ship-owners Structure and Fleet Distribution by Wang, S. et al 2011; a common assumption refers to the spending race in which high frequency traders employ LNG trading to execute orders as fast as possible in other to gain an edge in trading. This is because LNG arbitrage was viewed as natural conventional evolution that eventually would translate into more efficiency in the market place as the speed down to all investors in the markets. The past years of a close witness of how LNG industry put up a dramatic development still remain green in my mind till today. This because I was present creating inspirations with mine Late Timothy O. Anyanwu.; he gave breath to me and nurtured me towards the business in sub-region at Enugu, Nigeria. From a clear concept of it is being characterised with a high-structured and capital intensive one which is tied with a long-term contracts for years or more. He maximized a transparent and profitable annual return for Oando Nigeria Plc till present. 1.2 LITRATURE REVIEW With the general growth of LNG arbitrage research in business and financial project sectors, it would be glare to put a distinct relationship or differences between a considerable attention I recent years. In some research attempts to go beyond the project assumptions about how is being created for several years, they focused on point of context from one point of view which uses conversation analysis, such as LNG arbitrage, barrier and other interactional features. It inter-related some research which has focused only on the description of differences, other work has shown clearly how LNG projects reflect and reproduce financial differences. Accordingly, Zhuravleva (2009) pointed that the significant of barriers towards LNG varies overtime and differ from market to market. He pointed also that is important and to the extent to which they may constrain to the development of the global LNG arbitrage market. According to Mazighi (2003) considered that the globalization of LNG markets requires four conditions to be met; the natural, the economic, the technical and the institutional conditions. Much of the earlier work emphasized dominance. Neuhoff Hirchhausen (2008) suggested that assets-specific investments and uncertainty along with the LNG supply chain imply high transaction costs. He went further to point that long-term contracts can however help to minimize the transaction costs for two parties engaging in the commitment. According to an empirical analysis of Ruester (2006) it showed that in response to market deregulation, vertical integration was driven by upstream producers moving downstream with ownership of transportation capacities to exploit arbitraging possibilities and distribution and power companies moving upstream to ensure margins and security of supply. While some of the more popular work of this type, such as Jensen (2004), there are some potential similarities between the oil market and the natural gas market, however the way a global LNG market will set up is found to be different. The high cost of LNG transportation is one of the main reasons preventing the LNG market to be as flexible as oil market. He went further to point out that; long-term contracts in LNG have been the vehicle for sharing the large up-front investment risk characterize LNG projects, the short-term trading had been growing fast in recent years given the declining costs along the supply chain, the growing diversity of supply sources and loosening of the conventional rigid industry structure. Thus, the long term contract still remains a mainstay of international trade, and the growth of short-term trade volume and price arbitrage are limited accordingly. Although Zhuravleva (2009) distinction is clearly a useful one, it is also seems evident that the some useful approaches are by no means mutually exclusive. While is important on one hand, therefore, it is important to focus on the development of LNG arbitrage even when there is constrains. It also pointed out some conversation support on (P.2) clearly there is scope with great deal to expand in the area of this topic research Is based on embryonic stage of development Establish more insight on a clear formation of LNG arbitrage. Distinguish between LNG arbitrage with other trade activities relating to LNG markets. 1.3 METHODOLOGY This article is based on primary research. It involves three components: online questionnaires, interviews, mine experience in the business in Nigeria and feedback from the presentations of the research referring to Zhuravleva (2009) Oxford Institute of Energy Studies (OIES) The target group for the research was carefully selected to provide an informed range of insight. Thus, among the participant were natural gas and LNG traders, leading independent consultants, senior figures from several of the major energy companies and publishers of LNG journals and bulletins. The surveys sample size is relatively small due to the highly specialized nature of the topic, the dearth of trusted specialists in the LNG arbitrage trade and the difficulty in accessing experts. Nevertheless, the profiles and experience gathered by mine self and the participants were representative of the best in the sector. The data for the qualitative analysis was obtained with the help of the online questionnaires. When all the responses were collected, each participant were interviewed to assist in the qualitative analysis of the data. 2.1 Defining LNG Arbitrage Arbitrage is defined as the simultaneous purchase and sale of the same tangible goods in two different markets for advantageous purpose of different prices; but here such arbitrage required no capital and entails no risk Thus, referring to LNG arbitrage it means a physical cargo diversion from one market to another or re-experts of cargoes to spot gas market in markets in which gas prices are as much as high that covers the costs and profit remains. According to Zhuravleva (2009) defined LNG arbitrage as a physical cargo diversion from one market to another, which offers a higher price. He explained further that the diversion of the cargo can be regarded as arbitrage if the cargo was initially committed to the first market and to the initial buyer in a commercial contract. Two key drivers for arbitrage are commercial and operational. Commercial Driver: This is the ability to take advantage of price differential between the markets, which arise due to differing pricing structures, variations in the relative balances between supply and demand and market inefficiency. Operational Driver: This is the financial lose minimization in case of plant outages overfill storage tanks or force. However, advocates of unique world market for gas has to take into account that arbitrage are costly, and thus can lead only in some convergence of prices between different regional markets but not to the full price. According to Ikonnikova (2009), it makes the market flexible option and allows market players to benefits from arbitrage opportunity playing on price differential across regional market. 2.2 Models of LNG Arbitrage These are the three main models used in LNG trading; Models I: Seller Arbitrage: Here seller and buyer are used to indicate the seller of LNG cargo and the buyer of the LNG cargo. Initial buyer is the customer for whom the LNG has been initially contacted, while End Buyer is the purchaser of the diverted LNG. Model II: Initial Buyer Arbitrage: This model points out that the initial buyers market prices remain stable due to players profits from the arbitrage and replaces the LNG by spot cargoes later. Commonly used by Spanish Importers. Model III: Independent Trader Arbitrage: In this model another player called Independent Trader appears in the transaction. He buys the cargo from the initial buyer (Seldom from LNG Seller) and gets the right to divert the cargo to another customer offering a higher price. E.g., Garpron and Gas De France 2004. 2.3 Barriers to the Growth of LNG Arbitrage in Global Market After a qualitative analysis from the questionnaires of this article, the growth of the LNG arbitrage market implies an increase in the number of arbitrage transactions annually and the increase in the volumes that are being diverted one market to another. They are more than 12 barriers towards the growth of LNG arbitrage in global market but few will be mentioned here. They are as follows; The Price Differential Between Markets is Not Great Enough: Price spread must be great enough to cover the transaction costs and be a sufficient incentive for the aggregator, who often has to share the profit with another party. Without a price spread that allows the trader to profit, no arbitrage transaction will take place. Small Number of Players in the LNG Market: If two buyers are present for transaction in market then an arbitrage deal should be potentially possible. But they are rarely scarce for transaction. Lack of Price Transparency: Lack of price transparency complicates arbitrage trade and demand quickness of wit and good connections between the traders. In relations to countries involved in LNG trade, the US and UK gas market are the most transparent and liquid in the world while in continental European gas market where LNG is important Spain, France and Belgium. 3.1 CONCLUSION AND RECOMMENDATIONS With clear evidence on todays LNG world, it has been argued that it will drive the world markets for natural gas from region to unique world price but with a qualitative observation, the growing role of LNG arbitrage opportunities between countries differ from each other. And at the same time, the price gap between countries also differs because of its landing cost (transportation cost). We suggest a positive recommendation which could guide the global world at large which is UNIFORMITY in terms of LNG arbitrage operation. More research need to be done to enable expand this article aforementioned toward; its embryonic growth development, clear formation of LNG arbitrage and trade activities relating to LNG markets. REFERENCES Billingsley, R. (2005), Understanding Arbitrage: An Intuitive Approach to Financial Analysis. Wharton School Publishing, US BP Statistical Review, 2010. Chabrelie, M. (2003) A new trading model for the fast-changing LNG industry, first Asia Gas Buyers Summit. Clarkson research services (2010) Report of LNG Trade and Transport 2010. Facts Global Energy (2008), East West LNG Pricing Comparison: New Trends. New Frontiers, And Future Price Markets, Presented at Gastech, March 12th 2008, Bangkok, Thailand. Ikonnikova S., 2009, Strategic model of LNG arbitrage: analysis of LNG trade in Atlantic Basin, in 32nd International Association for Energy Economics Conference Proceedings. Institute of Energy Economics, Japan (2008), Natural Gas and LNG Supply/Demand Trends in Asia Pacific and Atlantic Markets. Tokyo, Japan. Jensen, J.T. (2004), The Development of a Global LNG Market. Oxford: Alden Press. Neuhoff, K., von Hirchhausen, C., (2005) Long-term vs. Short-term Contracts: A European Perspective on Natural Gas. Ruster, S., and Neumann, A., (2006) Corporate Strategies along the LNG Value Added Chain An Empirical Analysis of the Determinants of Vertical Integration. Wang, s., Notteboom, Theo E. (2011). The Unique Features of The LNG Shipping Market: A study Of ship-owners Structure And Fleet Distribution. Paper presented at IAME 2011, Santiago de Chile, 25-28 October 2011.World Bank Commodity Price Data, March, 2012. Zhuravleva. P. The Nature of LNG Arbitrage, and an Analysis of the Main Barriers for the Growth of the Global LNG Arbitrage Market, Oxford Institute for Energy Studies, NG 31, June 2009. TABLE OF CONTENTS Cover Page i Abstract ii Key words ii I.1: INTRODUCTION 1 : LITERATURE REVIEW 4 : METHODOLOGY 5 2.1: DEFINING LNG ARBITRAGE 6 Commercial Driver 7 Operational Driver 7 2.2 Models of LNG Arbitrage 8 2.2.1 Model I: Seller Arbitrage 8 2.2.2 Model II: Intial Buyer Arbitrageur 8 2.2.3 Model III: Independent Trader Arbitrage 9 2.3 Barriers to the Growth of LNG Arbitrage Global Market 9 3.1 CONCLUSION AND RECOMMENDATION 9

Is there evidence to suggest that CBT interventions work

Is there evidence to suggest that CBT interventions work This evaluative report critically reviews research based evidence on the effectiveness of cognitive behavioural therapy (CBT) interventions in the context of Criminal Justice. This involves evaluation of a number of studies which are part of the so-called What Works? agenda (McGuire, 2005) which aims to reduce reoffending and support probation supervision. It is found that the evidence for CBT is supportive of its use but that its effectiveness can be dependent on several factors such as relationship between the probationer and worker, while CBT programmes may mask the real life difficulties which probationers experience. Keywords Probation, offender, desistance, social context, research, what works, evidence-based practice Introduction This evaluative report critically reviews research based evidence on the effectiveness of cognitive behavioural therapy (CBT) interventions in the context of Criminal Justice. The principle of CBT as an intervention is to change the offenders attitudes and behaviour by using cognitive behavioural techniques. These methods focus on considering and changing thinking in order to avoid patterns of behaviour that can lead to re-offending (Andrews, 1995). I am currently a Criminal Justice worker and have chosen the role of CBT as a practice intervention in probation for several reasons. The longstanding approach to criminal behaviour across criminal justice systems has been imposition via the courts of punishment such as financial penalty or loss of liberty. Whilst this delivers retribution, punishment does not necessarily reduce levels of crime (Hollin, 2002) and an alternative is offender rehabilitation for which there is room for development. This approach seeks to bring about individual change in the offender and to reduce the likliehood of committing further crimes. Studies reviewed are part of the so-called What Works? research agenda which aims to investigate how to reduce reoffending and support probation supervision. The What Works approach to offender rehabilitation has been written about since the 1980s and outcome evaluations indicate that this approach may have a small but positive effect in reducing reoffending (McGuire and Priestley, 1995). The What Works research literature indicates that cognitive behavioural interventions produce the greatest effect (Vennard, Hedderman and Sugg, 1997; Hollin, 1999; Cooke and Philip, 2000; Redondo, Sanchez-Meca and Garrido, 1999). In policy terms, probation in Scotland differs greatly from that in England and Wales. This has been due to political, legislative and cultural changes which have occurred in the last thirty years and more recently in 1991, the introduction of 100% funding and National Objectives and Standards (NOS). In light of these issues/factors, the specific question guiding the search for literature is Is there evidence to suggest that CBT interventions work in probationary practice? The search for evidence to address this question involved the use of databases ASSIA, Planex Cambridge and Discover. Specific journal databases were also consulted using word searches. These included The Howard Journal, Probation Journal, Criminology and Criminal Justice Journal and British Journal of Social Work. This search yielded the most appropriate and relevant research studies pertinent to the question. Literature Review This section critically reviews 6 studies. One reports on a Scottish study within which service users considered their ideal model of the social worker (Barry, 2000). Three studies were qualitative (Rex, 1999; McNeill, 2000; and McCulloch, 2005) while the remaining two were reviews of literature (Vanstone, 2000; and Stanley, 2009). The evidence is reviewed under several key themes. What contributes to the effectiveness of CBT? As an approach to working with offenders, cognitive behavioural modification presumes that people who offend are shaped by their environment and have failed to acquire certain cognitive skills or have learned inappropriate ways of behaving, thinking is impulsive and rigid as opposed to flexible. Cognitive difficulties are learned rather than innate in people who offend. The pursuit of effectiveness in the delivery and development of community based disposals has been observed over the last three decades. Although, there has been progress in what is effective in supporting desistance from crime through researchers, practitioners and government ministers to bring theoretical knowledge to practice research, policy and practice highlights that knowledge and success still remains in development. Recognising the breadth of academic and empirical literature in exploring this subject, the review is deliberately limited and draws on the effectiveness research and desistance literature. Each of the studies describe a brief history of What Works in probation. The premise was that cognitive behavioural programmes would deliver reductions of between 5 and 10 per cent in reoffending. The evidence for this proposition was based largely on American and Canadian research and meta-analyses of relatively small scale studies (Lipsey, 1992). Research studies suggested that not only was prison ineffective in reducing recidivism, but also that welfare approaches to crime reduction was ineffectual, intrusive and repressive (Newburn, 1995: Her Majestys Inspectorate of Probation, 1998). Prior to the introduction of the NOS in the early 1990s, little research into offenders views of supervision had been undertaken prior to the introduction of these Standards, which were informed more by the findings from research into what works from the academic or practitioners point of view than by concern with the under addressed notion of what works from the offenders point of view. However, the what works principles (which inform NOS) are being adopted throughout the various strands of work with offenders. Three of these principles are problematic when it comes to offenders views about supervision which are: risk classification, criminogenic needs and responsivity. Several of the studies were chosen as part of this literature review as they researched workers and offenders views and it will be argued that a more flexible approach needs to be adopted in relation to these principles before offenders themselves can fully benefit from supervision. With regards to the four studies carried out three involved workers being interviewed through semi-structured interviews (Rex, 1999; McNeill, 2000; and McCulloch, 2005) and one solely with probationers (Barry, 2000). Rex and McCullochs studies also involved semi-structured interviews with probationers as well as with workers. The two reviews of literature discuss what research has already been done. The research explored the characteristics of probationers on supervision, documented the services of such supervision in meeting offenders needs and reducing the risk of further offending. In order to promote analytic generalisability a random sample was constructed (Robson, 1993, pp.138-139) to enable proportionate representation in terms of gender, age and geography and two of the studies specified that all the respondents were white. The studies varied in size: six workers and 6 probationers (McCulloch, 2005), twelve workers (McNeill, 2000), sixty-five probationers (Barry, 2000) and sixty probationers and twenty-one workers (Rex, 1999). The two reviews of literature looked at numerous national studies. This allowed the writer to have a wide and varied consensus of effectiveness outcomes. Offenders Perspective Across all of the studies, the majority of probationers understood the purpose of probation and their officers were seeking, through a variety of means, to reduce the likliehood of re-offending. Few probationers regarded probation as purely a monitoring exercise, although the majority view was to keep them from offending over half expected their social workers to be proactive in helping them to address their problems and for probation to be more constructive than punishing. In relation to those who wanted help with problems or issues, many inferred that not re-offending was a precondition to receiving such help. (Rex, 1999; Barry, 2000; and McCulloch, 2005). There was a general consensus that social workers could not stop people from offending but could only help to minimize the risks through support of a more tangible and constructive nature. Even for those respondents who considered re-offending to be a possibility, there was a majority view that it was up to the individual to refrain from future offending. However, probationers attributed changes in their behaviour to their supervisory experiences was the active and participatory nature of those experiences which was one of the features of effective community programmes previously identified by McGuire (1995). Probationers seemed aware of the efforts required to sustain a decision to stop offending and were more willing to embark where they felt a commitment to and positively engaged in the supervisory relationship. The research carried out is conflicting with regards to personal engagement by probation officers. Over 3/4 of probationers referred to the need for probation officers to demonstrate empathy, and 1/2 reported that their supervisors ability to listen, show interest and understanding enabled them to open up. Yet, 1/2 also said that they appreciated more formal aspects of the supervisory relationship, 1/3 found a certain amount of distance helpful and 1/2 wanted to be treated with respect in the sense of not being judged or patronised. In showing respect, experience and knowledge probationers viewed their probation officer as taking them seriously, were able to disclose sensitive information and took on board what their probation officers said. Nearly 1/2 of respondents reported that the quality of the relationship with their social worker would not affect their success or failure within the order, however, an equal number felt that a poor or negative relationship with their social worker could have had an impact of their ability to complete their order successfully. There were no significant differences in toleration levels between young and adult offenders. The majority stated that if they had not got on well with their social worker, they would not have turned up for appointments or co-operated in other ways and would have had tokenistic involvement. The majority of probation respondents stressed the need to get to know the individual, background, interests, problems and/or issues and aspirations to be able to actively help resolve any difficulties. The most common thread in the studies reviewed was finding out what the problems were in an attempt to get to the root cause of the offending. Most of the respondents saw their offending behaviour as a consequence of other social or personal difficulties and that the cause itself e.g. unemployment was addressed as opposed to just the effects (offending behaviour). Offending behaviour is prominent on the minds of people who have been on community based supervision and who are asked about their views about its effectiveness, and this has been demonstrated in the studies where offenders views of supervision has been sought. However, there are other problems which equally, or more importantly, need to change through social work support which must come from the offenders themselves. Workers perspective Workers who were interviewed both individually and in groups (Rex, 1999; McNeill, 2000; and McCulloch, 2005) were offered a range of potential measures of effectiveness and rate them accordingly to which they considered most relevant in judging effectiveness in probation cases. These measures were selected to encompass a wide range of possibilities based on effectiveness agenda, probation policy and literature and reflect value bases for probation (Nellis, 1995). Some workers expressed that they saw managers as concerned only with efficiency (numbers game), sentencers as sometimes caring, especially when vulnerability had been identified, policy makers as interested in value for money, the public protection agenda, reduced offending and the desire to avoid adverse publicity. In general workers identified success with outcomes such as supervision action plans fully and successfully implemented, achieving reduction or cessation in offending by tackling underlying needs and/or problems and improvements. (Rex, 1999; McNeil, 2000; Vanstone, 2000; McCulloch, 2005). Outcome measures such as reducing reoffending, changing attitudes, increasing victim empathy and reducing probationers needs were more important to Scottish workers than order compliance in contrast to an earlier study undertaken by Humphrey and Pease (1992) however, these findings have to be treated with caution, given the small scale of the samples and range of scores for each possible measure shows a lack of consensus amongst workers. There was dissatisfaction with forms of monitoring which, in the past, had focused on quantitative measures which was also indentified in Humphrey and Peases (1992) study. As discussed earlier, most probationers saw their offending behaviour as a consequence of other social or personal difficulties and this was also recognised by workers and several of the studies provide a clear rationale for attending to the broader social contexts in which offenders live and change. The studies underline the inter-relationship between these key contexts and the need for workers to support the complex process of desistance by addressing all of these areas (McNeill, 2000; Rex, 1999). It is also suggested that there is a reticence amongst offence focused probation managers and staff to directly address family related obstacles, social and environmental factors or other underlying issues (McNeill, 2000; Barry, 2000; McCulloch; 2005). Rex (1999) identifies the relational element of supervision and the importance of probationers feeling valued and engaged in the supervision process although most probationers valued guidance and advice on how they might resolve social and personal problems rather than direct practical assistance. In contrast, Barry (2000) interpreted focus on probationers social problems as a weakness as this is seen to reflect a welfare as opposed to an offence focussed approach to intervention. Although workers believed that probation should address social problems which mirrored that of probationers, a minority expressed ambivalence on this issue relating it to organisational pressures, challenges of addressing social problems and a more robust view of what probation was about (McNeill, 2000; McCulloch, 2005). This view corresponds with the current professional climate of narrow targets, high caseloads and changing professional values and this is neither surprising or difficult to defend. However, in light of what probationers identify as important in desisting from crime it poses a problem if probation hopes to demonstrate effectiveness in assisting probationers to achieve and sustain desistance from offending. Methods used to address probationers social problems generally reflect the findings from wider probation research which identify the use of talking methods, referrals to other agencies and direct support as the most common methods to address probationers problems (Rex, 2009; McCulloch, 2005). What seemed evident from all of the studies was a construction of effectiveness which, while aiming for both offence and need-related outcomes, lays significance on both process and progress. What Works and Practice The supervision of offenders is increasingly adopting a groupwork approach using predominantly cognitive behavioural methods which are seen to effectively reducing offending behaviour. The appeal is based on research into North American groupwork programmes (Lipsey, 1992). This in turn informed the guiding principles of NOS. It can be argued that groupwork programmes often operate in a vacuum and ignores the wider social problems affecting offenders and does not differentiate between individual group members risk levels and needs. However, not all offenders have any or similar, problems other than their offending behaviour and even the causes and consequences of, and future risk associated with, that behaviour can be interpreted differently between offenders. Community supervision devoid of a wider focus could be viewed as a component of change from assimilation and incorporation to separation and exclusion and this criticism is aimed more at the implementers than the authors of the model who do stress the importance of addressing broader structural problems (Young, 1998 cited in Vanstone, 2000). Changes in the way that probation officers are trained have increased fears about de-professionalisation and cognitive behavioural programmes equally are seen to contribute to the degeneration of the role into the application of techniques devised by someone else (Pitts, 1992 cited in Vanstone, 2000) although it could be argued that this contributes to a form of professionalism already missing. This practice could also undermine anti-discriminatory practice as it reduces sensitivity to the needs of women and ethnic minorities. Similar to other community supervision initiatives, the development of these programmes has only taken into account the needs of men and not those of women. Therefore, an awareness of what should change should be taken into account to ensure thoughtful and reflective diversity. Overall, the effectiveness of cognitive behavioural programmes is based on completion effects. Programmes are long and complex with rules about participants dropping in and restarting and this in theory, means that only the full programme will be effective in bringing about cognitive and behavioural change. In contrast, those who do not complete the full programme are less likely to change. The only review that specifically addressed group work programmes was Stanley (2009) and he reviewed other reviews (undertaken in England and Wales) to come to his conclusions. He judged that there was positive conclusions for cognitive behaviour programmes and drug treatment to reduce re-offending but there was weak evidence for the effectiveness of domestic abuse programmes, employment and basic skills training, intensive supervision and unpaid work and they were unlikely to have a positive effect on re-offending. For four types of intervention the National Audit Office (NAO) judged, there was i nsufficient evidence to suggest that although there might be a positive impact the evidence was not strong enough , mainly due to the low quality of research to show or validate strong positive effects (Davis et al., 2008) A main piece, although flawed, evidence is an analysis by National Offender Management Systems Research Development and Statistics Directorate (NOMS RDS) of outcomes of predicted and actual reconviction rates for accredited programmes by the probation service in 2004 (Hollis, 2007). This was based on 25, 255 cases but 6,000 had to be excluded due to poor quality data. It would be fair to say, that there was bias (although not reported) within the analysis as both offender compliance and quality of programme delivery are positive factors the bias in the selection was towards successful programmes and outcomes. There was also no comparison group and this was a major weakness in the report. The report compared actual with predicted reconvictions for offenders engaged in the accredited programmes. It is possible that the amount of cases sentenced to accredited programmes but failed to start were not recorded and the report understates the rate of dropout. Only 40 per cent completed the programme which is nearly 1/2 of the target of 70 per cent set in the original What Works strategy but those who completed were considerably less likely to re-offend than expected and did better than those who did not complete. Allowing for the biases, this looks a positive result and demonstrates the impact and effectiveness of accredited programmes. However, not all programmes were equally successful such as Domestic Violence programmes which in general failed to show a significant reduction in reconviction. Conversely, anger management, sex offender and general offending behaviour programmes showed in excess of 10 per cent reduction in reconviction of cases analysed. There is an assumed opposition between What Works and individual work with offenders. Work by Chapman and Hough (1998) placed cognitive behavioural programmes within the context of desistance and individual casework. The use of targets could be seen to undermine as an unintended consequence as it has led to an emphasis on completing the group element in programmes at the expense of the quality of engagement with individual offenders. Conclusion The findings of these studies confirm a considerable amount of evidence from both desistance and effectiveness literature about the circumstances offenders may be encouraged to cease re-offending. A recurring theme to emerge from probationers accounts is the difficulty sustaining a life free from crime. This explains why the professional agenda in addressing offending behaviour and minimizing risk needs to be balanced with the offenders agenda of addressing practical concerns. Equally important is the need to develop a close and trusting relationship between the service user and worker as is possible within the continual shift of Criminal Justice policy. If this relationship is not accepted as influential and the offenders own agenda recognised, then social work supervision could appear to service users to be alienating and irrelevant and consequently open to criticism, non-cooperation and failure. One major flaw of the What Works agenda is the narrowing of practice in cognitive behavioural approaches and the limited utility of standardised programmes with minority groups of offenders. There is an assumption that female and non-white offenders are fitted into programmes that have been demonstrated to be effective with white males. It is increasingly evident that What Works operationalised through accredited programmes is not the only or entire solution and the challenge is to develop the strengths that are there, build on new and diverse understanding of offenders and link these to the literature on intervention effects to enhance knowledge of what works when, for whom and under what circumstances. Appendix The search for evidence to address this question involved the use of databases ASSIA, Planex Cambridge and Discover. Specific journal databases were also consulted using word searches. These included The Howard Journal, Probation Journal, Criminology and Criminal Justice Journal and British Journal of Social Work. This search yielded the most appropriate and relevant research studies pertinent to the question. Paper Aims Methods used to collect data Findings Relevance of evidence to answering search question Rex, S (1999) Desistance from Offending: Experiences of Probation. The Howard Journal, 38:4, pp.266-383 To make connections between two different research fields: the What Works? literature on the effectiveness of community programmes in bringing about a reduction in reoffending; and the criminal careers literature, the discussion of the wider social processes by which people themselves come to stop offending. Qualitative Semi-structured interviews with a group of probationers. Reports on the extent to which probationers who were interviewed linked their experiences to a reduction in their offending and considers the implications for how probation officers might be able to motivate and assist moves towards law-abiding conduct. Examines desistance from the point of view of a group of probationers and their supervisors. McNeill, F (2000) Defining Effective Probation: Frontline Perspectives. The Howard Journal, 39:4, pp. 382-397 The research study attempted to explore workers definitions of effective probation. Qualitative semi-structured individual and group interviews. Evidence of considerable diversity of opinion. Generally workers preferred to measure effectiveness in terms. Cautious optimism about the capacity, opportunity and motivation of criminal justice social workers to rise to the challenge that the effectiveness agenda represents. Barry, M. (2000) The Mentor/Monitor Debates in Criminal Justice: What Works for Offenders. British Journal of Social Work, 30, pp.575-595 Views from probationers and ex-prisoners about social work supervision in England, Scotland and Wales. Literature Review drawing on a range of studies from last five years. Robinson, G (2001) Power, Knowledge and What Works in Probation. The Howard Journal, 40: 3, pp.235-254 To examine the To To examine the implications of what works in the context of probation, both at the level of professional practice and the broader level of the power base as a whole McCulloch, T (2005) Probation, Social Context and Desistance: Retracing the Relationship A small scale Scottish study which draws on participant perspectives and explore the attention given to probationers social contexts in supporting desistance from crime. Qualitative -small scale research study Stanley, S (2009) What Works in 2009: Progress or Stagnation? Probation Journal, 56: 2, pp153 Reviews evidence produced on the effectiveness of evidence-based interventions (What Works) and in particular cognitive behavioural programmes.