How and why do political systems change? Essay

Political systems through the world have changed over the ages. A political system is a significant set of social institutions implemented among the people by the government. Political systems have a lot of functions. Political systems create resources for health, education, welfare, industry and foreign policy. Political systems have changed significantly over centuries and are still changing everyday. To understand why and how political systems change, there are many factors. Some major factors are development, government upheaval and the economy. A main factor and influence on why a political systems change is due to the countries social economy. There is always a positive relationship between economic development and equality or income. The Linearity theory states that economic development leads to urbanization which leads to communication which leads to high levels of education and in turn leads to Democracy. This theory does an excellent job in showing how economics lead to a change in political systems. Wealthier nations such as the United States, Japan and other European countries often have more reasonable income distributions than poorer countries. But countries like Russia had a poor distribution of social economy due to communism. The USSR was a communist country believing in state owned and centrally planned government. The communists were able to keep up with the other large capital powers of the world. But as time went on and they tried to catch up, their economy was too hard to control. Their products were poor quality and their quantity was created on a need basis. There was no efficiency. The people of Russia would have to wait years for cars, apartments and waited hours in lines for simple things like food and other basic necessities. The soviets began to argue with the government. In 1991, Russia had gone through the worst of it’s inflation and industrial problems. Eventually Russia became the Russian Federation and there was an end to Communism. Urbanization is another reason that political systems change and develop. People run out of resources on their rural lands and are forced to flee to the bigger cities. People go to the bigger cities hoping to find a better life for their families and themselves. As more people go these cities, it creates more jobs. Industry grows and the social economy also grows. Political systems begin to create governments that work on foreign policy and trade which creates more a more stable economy. Sooner or later the political systems shape their governments to model those of the other larger wealthier countries in the world. Another factor that changed many countries political systems is that of a revolutionary change. Two countries that were strongly influenced by the revolutionary alteration were Russia and Germany. After World War I, Russians believed the revolution lead to the collapse of imperialism. Russia was doing well before the war. Industry was still growing and the moral of the people was high. That did not last long though, the war changed everything. When the Russian military went to war against Germany, the tsarist government fell. As the tsarist government fell apart so did the Russian economy. The government found themselves trapped in a situation that they knew little about. Eventually a Russian revolution created a party with the help of Germany lead to the fall of imperialism and capitalism. Soon after Russia became a communist country. Revolutionary change is apparent when looking at China’s development as a government. China and Russia’s political change are similar in many ways. One of the biggest revolutionary movements in China was Maoism. Maoism was created by a person named Mao Zedong. Mao believed in strengthening and rebuilding China and by doing so, he and his followers believed in guerrilla warfare and in turn created a so-called revolution. Maoism believed that it was important to listen to the peasants and tried to propaganda to join his army. He believed heavily in guerrilla warfare to take over the government. Mao’s acts were unsuccessful and in 1949 Communism became China’s government. Great Britain is a country were evolutionary change and development not only influenced its own development, but also many other countries in the world.  Great Britain government is considered the mother government. It is the oldest government in existence. Their evolution as a government was watched and studied by many countries. And due in part that one time the British Empire was one of the largest in the world, holding various lands and territories. Many parts of democratic governments such as the legislative and executive branch can be seen as early as 1066 for Great Britain. Great Britain legislative branch was called the Great Council and the executive branch was called king’s council. The Parliament was created early in their government and is very similar to many countries man governmental body. Great Britain created in 1689 Bill of Rights which gave people their individual rights and liberties, such as freedom of speech and abolishing slavery. Within the last few years, Great Britain has seen some decline because of its old form of government. There has been no major change in years in their government and some researchers believe it is effected their economy and other problems the country is having. This can be seen in Britain’s way of putting â€Å"old wine in new bottles†. The British Parliament can be compared to other main bodies such as the House of Representatives in the United States., Great Britain created the Bill of Rights. The Bill of Rights created human rights for everyone. Many countries around the world have tried to create similar rights for their people. Although Great Britain economy has a slight decline within the last few years, it has proven to be one of the most stable governments in the world. The political attitudes vary from country to country as well as they always change. As countries evolve, the attitude of the people change according to what is happening. In countries that are in a strong economic standing, the peoples’ attitudes probably will lead more toward a nationalist feeling. For example, the people of Germany are upset because ever since that wall separating East and West Germany had to come down, there has been lower unemployment and fewer jobs. At first everyone was so happy to see the wall come down and now some wish that it never had. It is proven that the happier the people are with their government, the more they will participate. When more people get involved, this leads to political change. Sometimes a countries political  system changes when the people are not happy with the government. People get outraged with corruption, unemployment, welfare, education, and human rights. When the people are outraged, they revolt against the government. Also, the people will be supporting a leader that will change the system from the way that it is being run. When looking at the evolution of countries and the change in their political system, it seems as if many countries have changed or have wanted to change their form of government to a democratic government. Many countries have adapted to the Western Countries forms of government. Within the past couple of decades, more and more countries are slowly moving into a democratic form of government. Democracy has not fully proven to be the answer to all country problems but has been a step closer to helping some situations. There are many theories that try prove the democratic countries are less likely to have a war and more likely to be similar and in the long run better the world market. So as time goes on, so will the political systems of the world and the countries they exist in. For better or for worse, Political change will always have its appropriate place in the world. I do believe that the key to world unity lies in the hands of democracy. And Americans should do all in our power to implement democracy to the countries who desire it. References Shively, Phillip. â€Å"Power and Choice† eighth edition. 2003 McGraw Hill Roskin, Michael G. â€Å"Countries and concepts† eighth edition. 2003 Prentice Hall

Premium Bath Fittings in India

Marketing Assignment (Term 3): Group 2: Bath Fittings Akhil P, Ameya K, Bhaskar D, Pratyush G, Shashank P Branding Building Brand Equity ? Brand Elements o Superior build quality (elegant designs, corrosion resistance, longer functional life, and superior finishing) of imported bath fittings as compared to domestic bath fittings. Assured after-sales service for imported bath fittings, via their distributors and partners in India (ex: Italian premium brand Novellini markets its products through Cera Sanityware Ltd). Domestic makers of bath fittings are mostly unorganized in after-sales services.Water conservation (Imported bath fittings use 20% lesser water than domestic bath fittings). Imported bath fittings have the option of being customized to customer’s requirements. Endorsement from best-in-business real estate builders, architects, high-end hotels & luxury services and interior designers Associated with competitions and social causes (ex: Participants of the prestigious Solar Decathlons, usually held in Washington, preferably use bath fittings by Duravit in their constructions) Managing Brand Equity ? Brand Reinforcement Concept Bathrooms: Imported bath fittings are prominently displayed in stores as a complete-bath-solution (i. e. a complete bathroom is setup inside the store using imported bath fittings). This style of display enhances the product attractiveness to customers and the customers are inclined to buy the whole solution rather than just the individual product Advanced technology in bath fittings (ex: Sensor technology to control water temperature; Battery-operated towel warmers) Creating limited edition of products to maintain exclusivity (ex: Sterlingham frequently makes a limited set of hand-crafted bath fittings) o o ? o o o Leveraging secondary associations Branding Strategy ? o ? ? Aimed at medium to high income customers Portrayed as a style statement Corporate name is printed on each product Integrated Market Communication Marke t ? ? ? ? Bath fittings that are imported are focusing in the urban segments. Focused in the niche market. Establish tie-ups with architects, builders & interior designers. Establish relationship with the major hospitals for selling their products. Money ? ? ? ? Focuses more on the B2B. Share of business of 70% in B2B and 30% to B2C. Few competitors in the niche market of Bath fittings.Major focus in the product substitutability to have stylish and prestigious products. Message The Imported Bath fittings advertise as the product that is dedicated to designing and delivering beautiful products that last a lifetime. They offer a variety of sinks, bathroom faucets and bathroom showering. Bathroom fixtures combine style and perfectly matching the decorating style. Imported bath fittings are dedicated to designing and delivering beautiful products that last a lifetime. Media The Import bath fittings do marketing through the following mediums ? Television Networks. ? Radio stations. Fashi on Magazine. ? Bill boards in the Airports. ? Trade Shows in Metropolitan Cities. Pricing Customer Value and Sensitivity to Price The imported bath fittings are primarily aimed at medium to high-income customers who have loads of disposable cash. In this unconventional form of art, customer has perceived a value that satisfies his/her need as an ego satisfier and/ or as an investment. Hence higher the price, the better an ego satisfier is the product and so is the willingness to pay. Buyer Characteristics and Pricing Method Buyers are looking for quality, after-sales support and uniqueness.To tap into these customers, foreign makers of bath fittings make limited editions of specific products. They also maintain a superior build quality while giving leeway for customizing the products as per customer requirements. Price-Quality Relationship The traditional price-quality relationship holds good here, where higher price signifies better quality. Price Discounts and Allowances Discounts are usually given by the dealer or partner with which the foreign brand has a tie-up with. These local dealers/partners usually give volume discounting.Sustaining Value Customer Evolution ? ? ? ? ? ? Growth in real-estate sector; Growth in hospitality industry Customers have become knowledgeable about both domestic and imported markets Defining the requirements differently o More focus on quality and after-sales service rather than just low-cost products ? Company o Foreign brands sometimes setup a local subsidiary to cater to the demand ? Context o Imported brands understood the need for after-sales service needed by the customers. Hence, they focused on this need through their dealer and partner networksShifting locus of purchasing authority & Changing ability to pay o Increased disposable income of domestic customers Competition o Domestic vs. Imported brands Collaborators o Sustaining Value Creation ? ? Proprietary Process o Use of new and/or patented technology in bath fitting s New Product Introduction o o Imported brands market through local dealers and partner networks. Domestic brands market through local dealers, partners and company stores Bath Solutions based on: Size (small to large bathroom) or Theme (Family/Guest/Child-friendly/Elder-friendly bathrooms) Go to MarketThe Go-to Market strategy of bath fittings in India focuses on 3 main components: It encompasses the following 3 dimensions: ? Portfolio of offers ? New sales model ? Customer Base/Customer partnerships The bath fitting industry players in India maintain a dedicated innovation function to align the product offers with the demand. Companies, such as Afrikano, Moen etc. , provide a unique and affordable package to suit the budget needs of the customers. In order to crack the new geographical markets, these companies engage in ‘Partner management’ to extend the geographical coverage and complement the offer portfolio.The offer portfolio may include – 1. 2. 3. 4. 5. 6. 7. 8. Taps Bathroom Furniture Spa Shower and steam room Diverter and jets Kitchen Faucets Kitchen furniture After sales service The target portfolio is basically built around another 3 axes and is thus supported by an intelligible structure, which can be depicted as shown: The Go-to market strategy for the high end bath fittings is faced with 2 main challenges: ? The market is restricted ONLY to urban areas. Customers in the rural areas do not possess such purchasing power and the pioneering cost in rural areas is very high. The demand for replacing bathroom fittings is low and the bathroom size is relatively small when compared with bathroom sizes of other developed/developing nations. Hence, continuous business from the same customer is not ensured. The main players in the market provide complete bathroom solutions with water conservation technology. Another strategy employed by such organization is to forge alliances with builders in the real-estate sector so that installations can be done during the construction phase itself. They also target architects working on high end projects for luxury market, hotels etc.The bath fitting market in India is highly competitive with many organized and unorganized players in the market. Foreign players either have distribution partnerships with Indian major players or have ventured in establishing wholly owned subsidiaries through Mergers & Acquisitions and Green- Field Ventures. Moreover, companies are opening dedicated showrooms with concept bathrooms to showcase better product demonstrations. The market channel that is being used buy this industry can be summarized as follows: Companies employ direct selling and retailing strategies to penetrate the market. Premium Bath Fittings in India Marketing Assignment (Term 3): Group 2: Bath Fittings Akhil P, Ameya K, Bhaskar D, Pratyush G, Shashank P Branding Building Brand Equity ? Brand Elements o Superior build quality (elegant designs, corrosion resistance, longer functional life, and superior finishing) of imported bath fittings as compared to domestic bath fittings. Assured after-sales service for imported bath fittings, via their distributors and partners in India (ex: Italian premium brand Novellini markets its products through Cera Sanityware Ltd). Domestic makers of bath fittings are mostly unorganized in after-sales services.Water conservation (Imported bath fittings use 20% lesser water than domestic bath fittings). Imported bath fittings have the option of being customized to customer’s requirements. Endorsement from best-in-business real estate builders, architects, high-end hotels & luxury services and interior designers Associated with competitions and social causes (ex: Participants of the prestigious Solar Decathlons, usually held in Washington, preferably use bath fittings by Duravit in their constructions) Managing Brand Equity ? Brand Reinforcement Concept Bathrooms: Imported bath fittings are prominently displayed in stores as a complete-bath-solution (i. e. a complete bathroom is setup inside the store using imported bath fittings). This style of display enhances the product attractiveness to customers and the customers are inclined to buy the whole solution rather than just the individual product Advanced technology in bath fittings (ex: Sensor technology to control water temperature; Battery-operated towel warmers) Creating limited edition of products to maintain exclusivity (ex: Sterlingham frequently makes a limited set of hand-crafted bath fittings) o o ? o o o Leveraging secondary associations Branding Strategy ? o ? ? Aimed at medium to high income customers Portrayed as a style statement Corporate name is printed on each product Integrated Market Communication Marke t ? ? ? ? Bath fittings that are imported are focusing in the urban segments. Focused in the niche market. Establish tie-ups with architects, builders & interior designers. Establish relationship with the major hospitals for selling their products. Money ? ? ? ? Focuses more on the B2B. Share of business of 70% in B2B and 30% to B2C. Few competitors in the niche market of Bath fittings.Major focus in the product substitutability to have stylish and prestigious products. Message The Imported Bath fittings advertise as the product that is dedicated to designing and delivering beautiful products that last a lifetime. They offer a variety of sinks, bathroom faucets and bathroom showering. Bathroom fixtures combine style and perfectly matching the decorating style. Imported bath fittings are dedicated to designing and delivering beautiful products that last a lifetime. Media The Import bath fittings do marketing through the following mediums ? Television Networks. ? Radio stations. Fashi on Magazine. ? Bill boards in the Airports. ? Trade Shows in Metropolitan Cities. Pricing Customer Value and Sensitivity to Price The imported bath fittings are primarily aimed at medium to high-income customers who have loads of disposable cash. In this unconventional form of art, customer has perceived a value that satisfies his/her need as an ego satisfier and/ or as an investment. Hence higher the price, the better an ego satisfier is the product and so is the willingness to pay. Buyer Characteristics and Pricing Method Buyers are looking for quality, after-sales support and uniqueness.To tap into these customers, foreign makers of bath fittings make limited editions of specific products. They also maintain a superior build quality while giving leeway for customizing the products as per customer requirements. Price-Quality Relationship The traditional price-quality relationship holds good here, where higher price signifies better quality. Price Discounts and Allowances Discounts are usually given by the dealer or partner with which the foreign brand has a tie-up with. These local dealers/partners usually give volume discounting.Sustaining Value Customer Evolution ? ? ? ? ? ? Growth in real-estate sector; Growth in hospitality industry Customers have become knowledgeable about both domestic and imported markets Defining the requirements differently o More focus on quality and after-sales service rather than just low-cost products ? Company o Foreign brands sometimes setup a local subsidiary to cater to the demand ? Context o Imported brands understood the need for after-sales service needed by the customers. Hence, they focused on this need through their dealer and partner networksShifting locus of purchasing authority & Changing ability to pay o Increased disposable income of domestic customers Competition o Domestic vs. Imported brands Collaborators o Sustaining Value Creation ? ? Proprietary Process o Use of new and/or patented technology in bath fitting s New Product Introduction o o Imported brands market through local dealers and partner networks. Domestic brands market through local dealers, partners and company stores Bath Solutions based on: Size (small to large bathroom) or Theme (Family/Guest/Child-friendly/Elder-friendly bathrooms) Go to MarketThe Go-to Market strategy of bath fittings in India focuses on 3 main components: It encompasses the following 3 dimensions: ? Portfolio of offers ? New sales model ? Customer Base/Customer partnerships The bath fitting industry players in India maintain a dedicated innovation function to align the product offers with the demand. Companies, such as Afrikano, Moen etc. , provide a unique and affordable package to suit the budget needs of the customers. In order to crack the new geographical markets, these companies engage in ‘Partner management’ to extend the geographical coverage and complement the offer portfolio.The offer portfolio may include – 1. 2. 3. 4. 5. 6. 7. 8. Taps Bathroom Furniture Spa Shower and steam room Diverter and jets Kitchen Faucets Kitchen furniture After sales service The target portfolio is basically built around another 3 axes and is thus supported by an intelligible structure, which can be depicted as shown: The Go-to market strategy for the high end bath fittings is faced with 2 main challenges: ? The market is restricted ONLY to urban areas. Customers in the rural areas do not possess such purchasing power and the pioneering cost in rural areas is very high. The demand for replacing bathroom fittings is low and the bathroom size is relatively small when compared with bathroom sizes of other developed/developing nations. Hence, continuous business from the same customer is not ensured. The main players in the market provide complete bathroom solutions with water conservation technology. Another strategy employed by such organization is to forge alliances with builders in the real-estate sector so that installations can be done during the construction phase itself. They also target architects working on high end projects for luxury market, hotels etc.The bath fitting market in India is highly competitive with many organized and unorganized players in the market. Foreign players either have distribution partnerships with Indian major players or have ventured in establishing wholly owned subsidiaries through Mergers & Acquisitions and Green- Field Ventures. Moreover, companies are opening dedicated showrooms with concept bathrooms to showcase better product demonstrations. The market channel that is being used buy this industry can be summarized as follows: Companies employ direct selling and retailing strategies to penetrate the market.

SHORT written assignment Essay Example | Topics and Well Written Essays - 250 words

SHORT written assignment - Essay Example stolen and used to commit unauthorized and illegal transactions, with a credit card information theft through hacking of credit card companies’ data banks and servers (Elms, LaPrade & Maurer, 2008). Hacking tools include viruses, worms, bugs that are used as conduits or mediums that facilitate hacking activities. Viruses are specific pieces of software, command sequences and series of data that exploit a glitch, bug or vulnerability to propagate and proliferate in a computer, network or system (Furnell & Warren, 1999). An example of a virus is the ‘exploit’ which causes unanticipated or unintended events to occur in a computer’s operating system or application in the process of propagating itself within a computer’s system (Elms, LaPrade & Maurer, 2008). The exploit virus grants a hacker unlimited access to a computer beyond what can be granted by the system administrator. The ‘exploit’ virus works through a network security vulnerability or hole, thus giving a hacker unlimited access and control over the computer’s system (Cobanoglu & Demicco, 2007). Failure to run diagnostic scans ad installation of anti-virus software exposes a computer system to numerous threats to threats from within and without a system (Mourani, 2002). Tools used in hacking do not only result to software damage, but they also lead to hardware damage over exposure in extended periods of time. The installation of strong and vigilant anti-virus software is the best protection against malware and hacking tools deployed by malicious

Planning Essay Example | Topics and Well Written Essays - 750 words

Planning - Essay Example The supervisor I am going to write about is the person whom I used to report while working as a marketing executive in the marketing department of a company. This particular manager lacked all essential managerial skills. The most fundamental skill a manager should have is the ability to lead a team. This particular manager seriously lacked this skill. I am now going to explain all the requisite skills a good manger should have in relationship to the manger I used to work under who gravely lacked all those skills. Planning is definitely the first step in attaining an objective. It can be defined as setting goals and determining a course of action for attaining those goals. A manger must take the available resources, time and objectives into account while planning. A successful planning can not be formulated without a lucid understating of the competitive environment. Furthermore, planning also requires allocation of resources and time for implementation of the plan. This particular manager had a total lack of skill in planning. For example, the marketing department was given a yearly budget of US$ 5 million for carrying out marketing and promotional activities. It was then the responsibility of the Marketing Department to allocate the resources for electric media advertising, press advertising and so forth. But surprisingly my manager allocated an equal amount for all marketing activities. I think this way of distribution of resources really catastrophic for the company. My manager did not do any strategic or tactical planning for the set goals. The manager also did not formulate any contingency plan. At the end of the year, the sale of the company fell off by 12% even though the sale of the particular industry increased by 20%. This result did not come to me as a surprise as it is exactly what I could foresee when my manager "planned" the company's marketing activities at the beginning of the year. In think, planning is done so that a goal can be attained effectively using the least amount of available resources. An ideal manager would have certainly considered the objectives the company wanted to acquire. He then would have allocated resources for the gaols accordingly. But setting a realistic goal and rational allocation of resources can never ensure success. Constant monitoring of activities has to be conducted. Assessment of the actions should also be done from ti me to time. Organizing calls for development of a structure of the company matching the objectives of an organization. A manger also has to place personnel so that the objectives of the organization can be successfully achieved while organizing. The right person has to be in the right place. A good manager knows about the strengths and shortcomings of his subordinates. A visionary manager knows who is good at what and then places his subordinates accordingly considering his strength. But deplorably my manager proved himself as awful in organizing as in planning. My manger obviously lacked people skill. Neither did my manager know how to communicate his ideas to others nor was he interested to listen to what others might have to say. Free flow of information sharing is a must for success. Not surprisingly, my manager failed to place the tight person in the right place. Consequently, there always was a credibility gap between the manager and other staffs. Leadership can and does make a meaningful in every aspect of a company.

Manager Profile Short Report Essay Example | Topics and Well Written Essays - 1000 words

Manager Profile Short Report - Essay Example I grew up with the company and help set it up from where it is now. Me and my friends just saw this trend a decade ago when companies are breaking up their operations to save on cost. You know, the effect of globalization and stuff. We knew then that with the liberalization of business and the heightened competition brough about by this free trade, it will be inevitable that companies will be looking for somebody who could some of its work better. That is how we came in the business and that is how i came into this position. Question 2: How long have you been in that position? I held this position since this company started, give or take around 12 years. We started around 12 years ago and the company took off 2 years later. Question 3: How is your typical day in the office like? It actually depends. To properly answer that, you have to look first what my role in the company and what my objectives are. First, I am responsible for the continuity of the business and the direction of whe re it is going. I no longer do the overseeing of the day to day operation of the business, I have my managers to do it. To fulfill that function, my day typically begins with a quick browse of my emails and any other communication and documents from our clients, vendors and partners. You see, our clients, vendors and partners operate on different time zones so I have to constantly check any updates from them. That will give me a clearer picture of how the company stands for the day. Then a meeting usually ensues with my manager. Then I make my rounds with employees if time will allow. Again, I go back to the office and do creative things on how we can be more competitive as a business How does that fit in the usual Managerial concepts and functions? You know what is taught in school and stuff. Ah, you mean the planning, organizing, staffing, and controlling stuff. That is pretty much how things are done here and elsewhere only that we don’t call it strictly with such names an ymore. My role involves more on the planning organizing and leading and some creativity. In addition, a portion of my time is also dedicated on assessing the direction of the industry. You see, in IT industry, everything happens so fast and trends changes in a dizzying manner that I have to keep myself updated otherwise our company will become obsolete. When it becomes obsolete, you pretty much know what will happen next. In addition, I also have to keep in touch with our clients, vendors and partners just to have a constant pulse on them. Sort of a liaising thing but more than that because I can make decisions in behalf of the company. It’s a sort of PR thing that you want to give your client a â€Å"feel† that they are being taken cared of. I think your interaction falls on that part. When I already have the bigger picture of the industry, company and clients, that is where planning comes. But I have to know my objectives first, or what would I like to happen. Say fo r example, my objective is to have a zero percent error free, then my planning would involve how am I going to achieve that. Then I call on my managers to organize its implementation. It does not happen immediately. You see, the system and structure of the company has to allow that to happen. It will not happen by balking to everybody that you want your processing error free or telling everybody that is what you want. So I

Age discrimination in employment in the U.S Research Paper

Age discrimination in employment in the U.S - Research Paper Example Solis Hilda (2008) observes that ADEA prohibits discrimination on the basis of age in terms, conditions and privileges of employment such as hiring, promotion, termination, training, compensation and benefits. Despite this, employers find themselves stereotyping old age which according to the Act is any applicant or employee aged 40 years and above and hence discriminating against such employees. In â€Å"Age Discrimination by Employers,† Segrave Kerry (2001) argues that age discrimination is rampant in the most centralized and fastest growing industries. Age discrimination at work environment in the U.S is a result of the financial risks that older people present for companies due to lack of productivity, increased health insurance costs and high salaries. Productivity in employment is associated with high performance organizations and employees. It is achieved through use of high skilled, committed and motivated employees. Most employers view old people as having deteriorating physical and mental abilities hence unable to perform their jobs effectively despite the fact that some old people have the ability to perform better than young people. The nature of work keeps on changing as the economy moves from manufacturing to service sector. Most jobs thus require use of technology as opposed to manual skills held by older people. Young people are able to keep up with advancing technology as opposed to the old people who are nearing retirement age and hence see no need in investing in skill advancement. If they happen to lose their jobs, it is difficult for them to be absorbed in the job market due to lack of the required skills. For example, since the introduction of computers most jobs that require tedious paper work have been simplifie d. Information is recorded in the computer where it can be retrieved easily and large amount of work can be done with less time hence improved productivity. However, not many old people have learnt computer technology thus making

Technology and Organizations Research Paper Example | Topics and Well Written Essays - 1250 words

Technology and Organizations - Research Paper Example The influence of technology extends beyond influencing the organization to enhancing the services given to its customers. Of particular importance to organizations has been information and communication technology, commonly interchanged with the terminology technology, which could be attributed to the rapid increase in adoption of information technology in organizations (Zammuto et al., 2007). This paper adopts the definition of technology by Prasad (2009) which encompasses three elements: human processes, physical system and knowledge. Technology occurs through the interaction of human and organization processes and the physical hardware. Knowledge allows the creation of the physical product. Therefore, technology refers to the product resulting from a body of knowledge aimed at achieving a design for a physical system and the human processes interacting with the product, allowing it to meet the intended function. Importance of Technology to Organizations Technology plays a critical role in shaping the function and form of an organization. According to Zammuto et al. (2007), technology, and in particular information technology, propagates automation of organizational operations and increases communication speed. Automation of organizational functions has made it possible to collect and store tasks and replace people and papers with electrons, without necessarily changing the outcome of the tasks. Digital filing saves on paper and printing costs. The use of computer systems allows for instantaneous corrections and also, together with the capabilities provided by information technology, make information available when need be. Therefore, it could be said that technology enhances the efficiency of organizations. Secondly, technology in organizations eliminates time and space by promoting mobility (Prasad, 2009). For instance, video conferencing technology allows people in different localities to interact with each other. This creation of virtual meetings reduces travel costs and distributes data without necessarily being in the same room. Therefore, technology propagates the establishment of a global presence at minimal cost. Another importance that comes with technology focuses on human capital. According to Prasad (2009), technology in organizations enables effective screening, recruiting and hiring of rightful workforce. Various organizations use the Internet to attract potential employees. Technologies such as personality assessments have been useful in determining the fit of candidates in an organization. Negative Impact of Technology on Organizations Even as technology improves organizational performance, it also has limitations which could render it worthless. Birchall and Giambona (2008) point out job elimination as one of the major negative impacts of technology. According to the scholars, whereas technology could greatly reduce paperwork and human intervention on one hand, it reduces employment opportunities for people on the othe r hand. For example, the introduction of automated telephone answering systems has cut down on the human intervention through receptionists and telephone operators needed in many organizations. This results in elimination of jobs and in other cases alienation of customers. It further makes it difficult for the unemployed specialists to secure future employment. Nonetheless, Freeland (2013) argues against this postulate

Economic issue Essay Example | Topics and Well Written Essays - 250 words - 2

Economic issue - Essay Example The progressive widening of this gap occasions the government to take an active role in addressing emerging issues in that regard. Wealth concentration to a few people while the rest of the population battles poverty and middle class-related social and economic issues only worsens the state of the larger economy. In this respect, it is important to review the minimum upwards. Finally yet importantly, putting more money into people’s pockets will ultimately improve life standards in diverse and dynamic ways. More people across America will realize improved purchasing power, consumption of goods and services will increase, and reliance on unemployment benefits will reduce as more people enter the job market. Even though minimum wage debates have proven to be contentious, it is important to consider individual and/or household benefits that an increase in minimum wage will provide to the American population. Morath, Eric. White House: State, Local Minimum-Wage Efforts to Help 7 Million Workers. The Wall Street Journal, Aug. 12, 2014. Web. 15 Sept. 2014.

Sustainable Operation Management Assignment Example | Topics and Well Written Essays - 2500 words

Sustainable Operation Management - Assignment Example According to Appleby (2013) this basically not only deal with supply chain and the introduction of raw materials but also the wider development and design of processes as well as waste disposal, this also deals with the incorporation of lifecycle analysis focused on ensuring that sustainability efforts is inclusive in all the processes (Appleby 2013). Sustainable practices within organizations must be developed to ensure the reduction of carbon footprint throughout the specific targeted processes in the organization. Sustainable operations management is evident in many in order to achieve the desired outcome. REFILLING WATER IN SWIMMING POOL IN SPORT HALL Sport swimming pools sometimes need to be completely drained and then refilled. Pre-balanced water is usually needed to be refilled directly into the empty pool. It is important to identify effective and efficient process of refilling and maintaining the swimming pool to meet the set standards for sports. Therefore preventive swimmi ng pool practices should be adopted in this process in order to save time as well as costs. Boosting the efficiency of the sports swimming pool is very important in reducing the underlying carbon footprint facilitating achieving sustainable lifestyle (Finkbeiner 2009). The process of refilling the sports swimming pool to achieve sustainability there has to be energy conservation, water and the chemicals at the pool. Increased carbon footprint at the pool leads to a great dent on the environment. An overview of sustainable operations management concerning swimming pool water refilling is to facilitate environmentally labeled â€Å"Green Home† swimming pool more concern put on pool evaporation, reduced carbon footprint and long term sustainability (Finkbeiner 2009). The following is the processes that are followed to achieve sustainable operations management in refilling water in swimming pool. Cleaning the swimming pool This is mainly the first step after the pool has been dri ed out. The surface composition needs to be determined. These basic procedures enhance efficiency and save a lot of time. Deck and cover cleaning is a common method which facilitates removal of debris and spa deck. A quick sweep facilitates removal of debris near the swimming pool. In conducting this process care should be taken to avoid abrasive surfaces while dragging the cover off the pool. Surface skimming is applied in removing dirt floating on the surface. It is remembered to empty skimming debris into the lawn so that it does not blowback into the pool when it dries up. Tile brush and tile soap to clean the tiles and this is done below and above the waterline. It is notable that evaporation and refilling of the swimming pool usually changes the waterline. Brushing is the most efficient way of removing algae from the surfaces and directing the dirt to the main drain so that it can be sucked in the filter (Appleby 2013). It is important to clean the filter and run fresh water i n the circulation system to purge away all the dirt from the lines. The general effective and efficient process in carryout this is to drain, clean and to refill the swimming pool. Refilling the swimming pool The pool is filled direct in the sunlight in cases where it is filled above the ground. The direct sunlight facilitates stretching of the liner as the pools fills. The spigot is turned on

Folk music of Latin America Essay Example | Topics and Well Written Essays - 1250 words

Folk music of Latin America - Essay Example ars, forcing researchers and enthusiasts of Tango to derive doubtful concepts from people who did not make part of the culture and perhaps cognized nothing or little about Tango. Although there is no specific date assigned to the origin of Tango, evidence in the second half of the Nineteenth Century of people singing Tango in theatres and a Buenos Aires’ couple that danced on stage in 1890 affirms that the genre was established long before the Nineteenth Century ended (Denniston, â€Å"Couple Dancing and the Beginning of Tango†). One theory suggests that the name Tango was derived from the descent of Africa by blended the Spanish’s name for drum, tambor, with their drum god’s name to come. On the other hand, another theory attributes the common Spanish use of the name Tango, which referred to a music style at the inception of Tango, despite the Argentinean meaning of Tango contradicting the Spanish meaning (Miller 85). Tango’s inception was an inter racial initiative to eliminate racial discrimination. Tango’s origin was because of the prevailing circumstances. The poor living conditions of the Buenos Aires people forced them to be concentrated in a single building. Therefore, it was possible for somebody to play the flute or violin with another playing the guitar. The rest of the people who were not involved in the instrument playing had many opportunities to dance as they overcame the shortcomings of life. Various immigrants to Argentina unified with the Argentineans because such music and dances, something that evolved to be Tango. The people’s dance relied merely on live music. Busters took advantage of this fact and raided the streets of Buenos Aires with an aim of making a living from playing instruments like organito and barrel organ. In pursuit of pleasing a woman when they had a dance together, men practiced together with women on their arms only to establish it as a dance style, Tango. Recently, the UN approved the inclusion of Tango as a

Developing life story Essay Example for Free

Developing life story Essay Great-Expectations is just one novel that follows a tradition of novels that choose to focus on one particular character and their developing life story. Other novels that follow this same tradition are Adam Bede (1959) and Jude The Obscure (1894) which I may use as comparative texts due to the fact all three books/novels are written around the same time and tend to high light crime death and poverty using similar techniques. Death, crime and poverty feature strongly in the vast majority of fiction during the Victorian era. Many authors including Charles Dickens thought by repeatedly writing about the harsh inhuman conditions that many poor people were succumb to that the middle and upper classes would gradually begin to change there stigmatisms and prejudices. Great-Expectations concentrates mainly on two sections of Pips life, Pip as a young bashful child and the mature sophisticated Pip that develops as his life unfolds. Both Pips I think paint a very diverce picture of Victorian life one being Pip in a ramshackle unpleasant environment the other being Pip in a lavish gentlemanly one. In the opening paragraph, we are introduced to Pip who is the main character in the novel. We know that Pip is a young child because he describes him self in having an infant tongue that cannot pronounce the word Pirrip his fathers name or his Christian name Philip. Other indications that Pip is in the early stages of his life are that he thinks that the words on his mothers and fathers grave stone some how illustrate to him what they may of looked liked. The shape of the letters on my fathers grave stone gave me the odd idea that he was a square, stout, dark man, with curly black hair I believe this to be a obvious indication that Pip is a fairly young child aged around six to eight. Pip is visiting his mothers and fathers grave stone in a churchyard he describes as being a bleak place, over grown with nettles Pips overall location is some where on the marshes I know this for certain because he says Ours was the marsh country down by the river. Pip is a young child in a church graveyard by himself with only dead people for company, so I can see why he appears to be unsettled. By the end of the text, Pip has been reduced to a small bundle of shivers growing afraid of the church setting and beginning to cry. Crime and death is rife in this section when Pip tells us what his most vivid memory of his of his early childhood is he chooses to mention a church graveyard he visited on a raw afternoon. Therefore, death has clearly had a major effect throughout his life if this memory is so vivid and easy to remember in later years. Whilst at the graveyard yard Pip is not only visiting his mother and father he has also gone to pay his respects to his five older brothers who all died as infants. As you can see, infant mortality was very high in this time period and a recurring problem the five dead infants would have died of disease or at birth, primitive maternity was to blame. In the early Victorian times, only twenty per cent of the British population lived in towns. By 1901, it had risen on over seventy-five percent. London was the largest but other towns also grew just as rapidly. Because there were so many people in such a small, area feeding your family was problematical, finding a job was nearly impossible. Workers houses were built in the centre of towns close to factories. The houses were over crowed and it was nearly always two to three in a bed some times more. City streets were filthy as there were no proper sewers or drains and the air was polluted with smoke from the factory chimneys. Pregnant woman living in these conditions could easily pick up infections and minor illnesses witch would result in infant death The word gibbet was used in reference to death in this section, a gibbet was something that criminals were hung from. The government in the Victorian era tried to keep order with harsh punishments especially for crimes against peoples property. Small crimes could be punished by whipping or branding with a hot iron. Some criminals were tied to the pillory this was a post in a public place where people could throw rotten food or even stones at them. The worst punishment for a crime was hanging people could be hung for 200 different crimes most of these crimes would be considered very minor today. Pickpockets and burglars could be hung next to murders and rapists and I think that Charles Dickens had a major problem with this aspect of the English legal system and set out to try to make a difference by writing in hope he might influence those in power. Dickens believed reform was needed to alleviate poverty, which he felt was the main cause of crimes against person and poverty. Dickens thought that the judicial system was designed to protect the rich and elite. He particularly abhorred the brutality surrounding these punishments An Extract From Charles Dickens letter to the Times News Paper I went there with the intension of observing the crowd gathered to behold it I believe that a sight so inconceivably awful as the wickedness and levity of the intense crowed collected at this execution this morning could be imagined by no man. The horrors of the gibbet and of the crime which brought the wretched murders to it faded in my mind. I think that Charles Dickens creates an excellent setting to affect his characters different behavioural patterns. He uses a range of different techniques to accomplish this such as imagery. Some examples of this are where it says this bleak place over grown with nettles I think this is an excellent example of just some of the bits of imagery he uses. By placing Pip in a bleak place bleak meaning barren and desolate and then to make this place over grown with nettles will undoubtedly stir emotions and provoke a reaction with any character especially Pip. Doing this will also create a tense atmosphere. Pip is placed in a scenario where he doesnt know his parents or his five brothers due to circumstances beyond his control; he has suffered tremendous loss at such a young age. Then hes placed in a unfruitful setting where theres nobody around. This is an excellent combination if you are trying to get a entertaining and interesting reaction from one of your characters the climax of all these different factors working together is when Pip breaks down crying the text decries him as a being a bundle if shivers this has clearly effected both Pips behaviour and his feelings. I as a reader was made to share Pips experiences in many ways I think that the way that Charles Dickens skips in and out of reality is extremely effective more to the people he aimed his novel at than me today. People of the Victorian period would have been able to relate to many aspects of the first few pages; the feature of infant mortality and the notorious gibbet would have been very real topics to them. Charles Dickens uses very descriptive language to try and explain things to the reader as much as possible this in its self-makes the reader feel more involved and makes the text appear more real. Another way Charles Dickens helped me share Pips experiences was through imagery I thought that painting a mental picture in my mind was very beneficial in trying to help me share Pips feeling and emotions. I particularly felt in Pips shoes when the animals were frightening him. The next time we meet Pip he describes the setting hes in as being a rimy morning and damp. I think that Pip is in his bedroom looking out on to the marshes I say this because in the same paragraph Pip says, Ive seen the damp lying outside of my window. I homed in on the word my in this statement and thats why I came to that conclusion. I can only assume that Pip is the same age he was when he had his experience in the church graveyard. The reason I say this is because Pip doesnt seem to have developed in any way, hes still seems to be the immature child he was when went to visit his mother, father, and siblings at the graveyard and doesnt seem to have changed any. Since the last time we met Pip he was told to steal some food for a convict that escaped from the hulks. Hulks were huge prison ships that were anchored around a mile out to sea the reason for this was that hardly any people were able to swim at this time let alone poor people. The food on the hulks was so bad that most men melted candle wax into there soup to try to make it more nourishing. Early prisons in this period were so crowded and dirty, thats why hulks came about I think that they were made to try to ease the heavy burden that was on the shoulders of the English prison system.

Security In Different Schools Of Thought Politics Essay

Security In Different Schools Of Thought Politics Essay Political analysts agree that international security is the most important contemporary global issue. Twenty first century politics has brought urgency to consider the proliferation of weapons, increase in military spending, and terrorism. In principle, security is a condition in which States consider that there is no danger of military attack, political pressure or economic coercion, so that they are able to pursue freely their own development and progress. International security is thus the result and the sum of the security of each and every State member of the international community; accordingly, international security cannot be reached without full international co-operation. However, security is a relative rather than an absolute term. National and international security need to be viewed as matters of degree. Concepts of security are the different bases on which States and the international community as a whole relies for their security. Examples of concepts are the balance o f power, deterrence, peaceful coexistence and collective security. The reason to address security in this paper is the belief that an understanding of the broader scope of security should make it possible for states to deal more effectively, both individually and collectively, with current problems and threats to peace. So accordingly the paper will deal with analysis of security as a concept well established specially since the world war and how different schools of thought defined it. Also the current issues of human security and its impact on foreign policy options will be discussed besides the national interest debate in international relations. What is security? There is no agreement on the concept of security. Notwithstanding the wide range of studies of security published over the past sixty years, no single generally accepted definition of security has been produced. The concept of security is as contested as ever. To understand the concept of security we should first define its relation to the state, is it an internal matter related to domestic circumstances or an external matter related to international context. As a matter of fact security as a predominant issue had developed and went through various phases marked by the two world wars, the Westphalia conference also had an impact on it, the huge advance in military and technological tools had dramatic influence as well. Still the concept remained contested between different theories and theorists and between different zeit geist shaping the interests and policies of states. In the Westphalia world of internally strong states, there is less danger of internal conflict, and the international system is marked by conflicts  among  states rather than  within  them.   Since 1945, however, many of the most significant threats to state security have been internal, rather than external, a shift which has only accelerated and which may have profound consequences on the conduct of international relations. So traditionally, security was defined primarily at the nation-state level and almost exclusively through the military prism. This focus on external military threat to national security was particularly dominant during the Cold War. It would be misleading, however, to associate the origins of security studies with the Cold War and the recent nuclear threat. In the first decade after the Second World War academic interest in security studies increased significantly. Although questions of national security were usually treated within the broader framework of international relations and foreign policy, this period has been described as the most creative and exciting period in the entire history of security studies Security in different schools of thought Security has been a cornerstone in realism theories and studies; neorealism has even put more emphasis on security and power as determining factors in states decisions and position. Thus a detailed explanation of realism security view follows. While Liberal school was seen as counter theory for realism, for the interest of this paper focus will be shed on these two leading theories. Realism: Realism has been the most dominant theoretical tradition in international relations and security studies. Its philosophical foundations were laid by Thucydides, Machiavelli, Hobbes and Rousseau. The realists world view represents international relations as a struggle for power among strategic, self-interested states. Realists discount any claims to system-wide international order other than that based ultimately on power or force. They argue that international society is best described as a condition of international anarchy, since there is no central authority to protect states from one another. States act as independent, sovereign political units that focus on their own survival (or expansion). For that reason, the objective of national security is survival of the nation-state rather than the guarantee of international security .Realists are not prepared to engage in long-term accommodation or cooperation. In this view, world politics is anarchical characterized by a state of war, not a single continuous war or constant wars but the constant possibility of war among all states. Consequently, the realist perceives a period of peace as a state of non-war. The possibility of war requires that states follow Realpolitik: be self interested, prepare for war and calculate relative balances of power. A state is constantly seeking relative gains and its behavior is therefore continuously determined to facilitate self-preservation by the actual balance of power between political powers à ¢Ã¢â€š ¬Ã‚ ¦ this is what security stands for. As a product of presumed uncertainty, a central issue in nearly all realist theory is the security dilemma. Due to their continuous efforts to guarantee their own security and survival, states are driven to acquire more and more power in order to escape the impact of the power of others. This, in turn, constitutes a threat to the security of other states. Traditional Cold War concepts of nuclear strategies and deterrence only emphasize this line of thought. Striving to attain maximum security from attack therefore inevitably produces new insecurities. Realism is not a single theory. It could be argued that there are two crosscutting dichotomies: classical realism versus neorealism, and offensive realism versus defensive realism. Classical realists, of which one of the most influential was Hans Morgenthau believe that states, like human beings, have an innate desire to dominate others, which leads them to fight wars. In this perspective, state power and security are ends in themselves. Neorealists see the international system consisting of a number of great powers, each seeking to survive. Because the system is anarchic and has no central authority, each state has to survive on its own. This driving force of survival is the primary factor influencing their behavior and in turn ensures that states develop offensive military force, as a means to increase their relative power. The classical focus on the centrality of power shifts gradually towards a more neorealist view whereby power becomes a means to gain security. Neorealists bring attention to a persistent lack of trust between states which requires states to act in an openly aggressive manner. Though neorealists recognize that international democratic structures and liberal economics are imperative to peace, security stems from balancing strategies based on sound military capabilities. For that reason, neorealism can be considered the dominant paradigm in security studies. Despite the varieties of realist thought, all realists stress the centrality of military threat and the use of force. The referent object of security is the state; states act as strategic, self-interested units which seek to ensure their own security. In all cases, the realist concept of security has been severely criticized as being too narrow to account for the multiple dimensions of security. Liberalism: The principal challenge to realism came from liberal theory, the foundations of which were laid, by the German philosopher Immanuel Kant. A central principle of liberalism is the importance of the freedom of the individual. Foreign policy should reflect the rights and duties of individuals. Liberals understanding of security differs in part from that of realists. Reflecting the aims of the individual, liberal states view security not only in military terms, but also in terms of the protection and promotion of individual rights. For example, the liberal approach to combating terrorism focuses far more on the application of legal instruments than on the use of military force. Thats to say that liberal concept of security tends to include issues such as migration, environmental concerns. Like realism, liberalism is not a single theory. Although all liberal theories imply that cooperation is more pervasive than even the defensive version of realism allows, each view offers a different recipe for promoting it. It is worth noting that Liberalism has such a powerful presence that the entire political spectrum of the Western world, it is no surprise that liberal themes are constantly invoked as a response to contemporary security dilemmas. Also Liberal theory believes in the innate goodness of mankind to conduct peace-keeping relations in the international system where States rely on mutual cooperation to tackle global issues. Managing security issues according to this theory requires the involvement of international institutions, along with the cooperation of states to achieve this.The Liberal theory of security management consists of two key methods; collective security and arms control. 1. Collective Security Liberal theorists strongly believe in the power of collective security. This is a protective measure used by a group of allied states. When threatening and unlawful actions are directed at one state, united opposition is shown by the other supporting states. The goal is to stop the aggressor while creating security in the international system. Collective security can be best described by the concept of one for all, all for one.Another important function of this security measure is to ward off potential aggressors from acting. 2. Arms Control In global politics, arms control is best described by either the controlling, reducing, limiting, or abolishing weapons completely. Another approach to controlling weapons includes general disarmament. According to Liberal theory, arms proliferation and specialization can be reduced.Having fewer weapons means reduced insecurity so long as states agree to carry out this task mutually. National security and IR Human security In 1994, the United Nations Development Programs (UNDP) Human Development Report presented a new way of thinking about the integration of security issues and globalization. This report defined human security according to seven dimensions: personal, environmental, economic, political, community, health, and food security, the report adopted a people-centric security concept as its focus instead of the traditional state-centered concept The concept of human security stresses that people should be able to take care of themselves: all people should have the opportunity to meet their most essential needs and to earn their own living. This will set them free and help ensure that they can make a full contribution to development their own development and that of their communities, their countries and the world, Human security is a critical ingredient of participatory development. Human security is therefore not a defensive concept, the way territorial or military security is. Human security is a concept that identifies the security of human lives as the central objective of national and international security policy. After 1994, the concept of human security became a central theme of a number of governments through their foreign and defense policies. In particular, the Canadian, Japanese and Norwegian governments led the way in institutionalizing human security concerns into their respective foreign policies. According to a Canadian government report, human security means safety for people from both violent and non-violent threats. It is a condition or state of being characterized by freedom from pervasive threats to peoples rights, their safety, or even their lives. Also the report emphasized that increasing human security entails: Investing in human development, not in arms; Engaging policy makers to address the emerging peace dividend; Giving the United Nations a clear mandate to promote and sustain development; Enlarging the concept of development cooperation so that it includes all flows, not just aid; Agreeing that 20 percent of national budgets and 20 percent of foreign aid be used for human development; and Establishing an Economic Security Council Human security and Foreign policy: A departure from the realist, state-centered concept of security that has dominated foreign policy thinking of major powers, this conceptual reframing of security has important implications on foreign policy. It brings new issues or vulnerabilities and measures or actions as priorities for global security that were not on the security agendas, it has huge impact on foreign policy orientations especially when it comes to big powers decisions The issue of oppression and physical violence due to deliberate action and neglect by the state to its own citizens. Vulnerability to poverty and destitution as a factor inter-connected with threats of violence. Development and ending poverty as important means to achieve human security. Actors other than the state as sources of threat and as holders of obligations to protect; Global inter-connectedness of security threats (such as terrorist networks, global financial crises and global diseases) and necessary responses. Questions have been raised about the relationship between human security and state security and actions in foreign affairs. Contrary to some claims, the twokinds of security are not mutually exclusive. The security of the state is not an end in itself rather it is a means of ensuring security for people. In this context, state security and human security are in fact mutually supportive and accordingly the decisions made to maintain security of the state in foreign affairs and in international relations had a direct influence on humans security. Building an effective, democratic state that values its own people and protects minorities is central to promoting human security. At the same time, improving the human security of its people strengthens the legitimacy, stability and security of a state. So the interdependent relation is crystal clear. Human security provides a template to assess policy and practice effects on the safety of people. From a foreign policy perspective, there are a number of key consequences; First ensuring human security can involve the use of coercive measures, including sanctions and military force, as in Bosnia and Kosovo. On the other hand the human costs of strategies for promoting state and international security must be explicitly assessed. security policies such as economic sanctions, should take into account the impact on innocent people. Third, security policies must be integrated much more closely with strategies for promoting human rights, democracy, and development. Human rights and humanitarian provide the normative framework on which a human security approach is based. On the other hand one of the dividends of adopting a human security approach is that it further elaborates a people-centred foreign policy. Fourth, due to the complexity of contemporary challenges to the security of people, effective interventions involve a diverse range of actors including states, multilateral organizations, and civil society groups. As the challenges to the safety of people are transnational, effective responses can only be achieved through multilateral cooperation. This is evident in the new international instruments developed to address transnational drug trafficking, terrorism, and environmental issues. These threats link the interest of citizens in countries which enjoy a high level of human security with the interests of people in much poorer nations, who face a wider range of threats to their safety. This has a direct impact on foreign policy implementation and interests. The relationship between national and international security The changing international environment, following the advent of globalization and end of cold war politics has made it imperative for both practitioners and scholars to rethink and redefine the existing framework on which foreign policy operated. Foreign relations are in fact developed in the context of the security environment. However, security issues are no longer seen in the pure realist term of preserving the national security of the states in terms of territory only. States have aligned and realigned to further their national interest by forming new regional and economic blocs, while putting aside historical and cultural hostility, and arriving at consensus over various issues of global concerns. National and international security are becoming increasingly interrelated, thereby challenging the notion that security is primarily a function of national power or military and economic strength. Searching for solutions to the problem of insecurity, many nations increasingly find themselves face-to-face with circumstances beyond their direct control, such as a structural economic crisis and global economic, population, environmental and resource trends. All nations face universal threats posed by the nuclear arms race. Global interdependence has created a situation in which actions not only by major Powers but also by other nations can have major regional or even international repercussions. Only by recognizing that security is not divisible, either in its military, economic, social and political dimensions or as between its national and international aspects, can nations evolve the co-operative measures necessary to achieve security in an interdependent age. This requires a comprehensive and co-operative approach to international security(a liberal version of security). The unrestrained pursuit of national security interests at the expense of others is not conducive to international security and may even lead to disaster. With the existence of nuclear weapons such policies constitute a potential threat to the survival of mankind. It is imperative that nations reconcile the contradictions between individual national security interests and the overall interest of international security and peace. Conclusion

Grey Marketing Activities Within the Software Industry

Grey Marketing Activities Within the Software Industry Future ABSTRACT The research work has presented an enlarged view of the operation within the grey markets, their functioning, pricing structure, the customer base lastly the arguments in favour, thereby evaluating -‘Can grey be good? It has also focussed on grey markets- as a subject of annoyance for the IT players OEMs. Counter-arguments hostile measures adopted to combat grey goods have also been the point of discussion. Overall, this piece of research is being successful in presenting a balanced view of the goods the bads of the grey industry from the perspective of industry players, grey entrepreneurs as well as consumers. INTRODUCTION 1.1 AIMS To obtain information insights about grey marketing activities within the software industry. With the help of Journals, case studies secondary research activities shed light on the present scenario of the grey markets (consumer targeting inclination, pricing etc). The pros cons of grey marketing shall also be presented to have an equalised view. To know what are the hostile measures adopted by firms to prevent grey activities. Present cases to depict the preventive measures adopted by firms like HP Microsoft to combat grey market products. The paper also focuses on the initiatives adopted by independent agencies such as AGMA BSA towards grey market activities. Market Penetration Grey Markets Can grey market ever be an alternative to market penetration? If yes, to which extent can it be possible? In addition, understanding the concept of ‘free riding as a way for market penetration, as mentioned in the Journal of Business Venturing (Vol 4). To evaluate: Can grey ever be good? Based on the research undertaken, evaluating thereby concluding the positives negatives of grey markets. Should they be encouraged? Can they boost an economic scenario of a country? lastly how effective can they be in increasing sales of a product? 1.2 OBJECTIVES The methodology that is to be adopted for fulfilment of the above aims is as under: Journals, Newsweekly, Internet (secondary research) along with white papers provided by firms shall be the main sources of information for this research. Primary data obtained through interviewing shall be the most vital aspect (it shall be considering not only the consumer perspective towards grey markets its products, but also of dealers operating within this arena). finally, the crux of the research (insights, analysis evaluation) will be presented to obtain a concluding perspective. 1.3 GREY MARKET: AN NTRODUCTION Majority of distribution companies are flourishing thanks to distribution channels that shepherd product from a manufacturer eventually direct them to the consumers through a chain of legitimate distributors across the world. But a mounting quite detrimental market subsists that can cause ignorant customers to buy technology products with untrue warranties, several designed for use in other countries or worse products consisting counterfeit parts. These practices can erode customer satisfaction harm brand integrity, causing major profit attrition for manufacturers. Welcome to the global ‘Grey Market where branded products have been sidetracked from the authorised supply channel within a country or are imported into a country without the approval or awareness of the manufacturer. Grey market goods are usually sold at lesser prices than those proposed by the legitimate distributors. And the pricing disparity amongst various legitimate markets customers generates an opportunity for the brokers to procure labelled products at discounted prices move them to markets where they can fetch high income. A research study by KMPG demonstrates that grey market goods pose a grave challenge to information technology manufacturers their authorised dealers. The study reveals that IT manufacturers are communally losing up to US$5 billion in profits on yearly basis, a figure that is mounting. While the grey market affects many businesses, including automobiles, consumer products, pharmaceuticals, fashion accessories others, this study shall validate that computers related products are the industry segments most affected by grey market actions. 1.4 INTRODUCTION TO THE PROBLEM (a) Software Counterfeiting Counterfeiting is amongst the most exigent problem facing the information technology (IT) industry today. Illegal replicas of brand-name high tech products are flooding the marketplace, causing harm to legitimate companies profits and dropping their aptitude to invest in research and development (RD). Multiplication of technology employed to make computers, servers, and a host of high tech products—as well as a lack of regulatory enforcement in developing countries—is speeding up counterfeiting. It is now estimated that as much as 10 percent of all high tech products sold globally are counterfeit. (b) Free Riding: A Way To Penetrate Markets? ‘Free Riding is a term which comes into picture when software products have been counterfeited. Free-riding was first introduced by Tan et al. (1995, 1997) as an alternative explanation for the incidence of grey marketing, whereby grey entrepreneurs are provided with the opportunity to enter money-making markets that are presently supplied by big firms. However, hostile measures have been taken to prevent grey market activities by agencies like AGMA BSA as well as biggies like Microsoft, HP etc. HP is administrating reseller spot checks and distie reviews to stamp out the grey market in a variety of regions without being hesitant to exercise the law courts against resellers who â€Å"breach contractual requisites†. The firm, at the moment, is taking legal action in opposition to one UK reseller for violation of agreement and cautions it has other cases under review. While, Microsoft has collared another plagiarist in the UK for flogging grey software on eBay. The software giant has scored  £35,000 in compensation against an internet trader for copyright violations and illegitimately bringing in cheap American software to Europe. Meanwhile, an agency like Business Software Alliance (BSA) is outing bandits by setting a bounty on their heads. The group announced its Blow the Whistle operation which presents $1m to workers who squeal on their companies. Certain firms are trying to launch software which might allow manufacturers detect sales through unofficial mediums. 1.5 SCOPE FOR THE REASERCH The main reason behind the proposed research subject is to obtain information on the grey markets the practices that are being carried out. The scope for undertaking the research work is as under: Understanding the global phenomenon of ‘grey marketing. Understanding the logistics within grey markets. The precautionary measures adopted by the firms agencies to prevent grey activities. The concept of free riding to penetrate markets within the software arena. lastly analysing evaluating the research produced to gather provide insights. 1.6 LIMITATIONS TOWARDS THE REASERCH The possible shortcomings for the proposed research topic are as under: Being an unconventional subject for research, obtaining information can be tough. Tracking the right sources of information is a major challenge. Information gathered through ground research cant be entirely relied upon, as it can be manipulative. Information obtained from grey suppliers may not be fruitful, as they might not give out precise information about the present scenario Interviewing people from companies or firms who are being targeted by grey marketers may prefer to remain low profile on the preventive measures they plan to adopt in future. 1.7 REASEARCH STRUCTURE The research has five focus groups (in order to understand the information.) The first chapter offers an inside view of the topic with its backdrop. It also contains the customary objectives which form the foundation for a focused research study. Meanwhile, it also describes how the established purpose will be achieved and the manner they would provide help. This section gives rationale and importance of conducting this research. The second chapter comprises the prior literature on grey markets, constructed by a range of authors and researchers in earlier years. This would aid to shed light on the pros cons in grey marketing. In addition; this chapter provides live cases published in reputed newsweekly. The third chapter talks about the type of methodology the researcher has employed to achieve the study. It gives out the arguments in favour against of each method in order to gain understanding. Furthermore, it exemplifies of some important sources which have been accessed to complete the study. Thus, this chapter explains the different techniques to achieve the objectives. The fourth chapter forms the body of the thesis as it entails the detailed analysis of the various aspects to establish the objectives. This chapter generates convincing points to support the study. The fifth and the last chapter of the paper summarises all the information gathered, finally, concluding the thesis. 1.8 SUMMARY HYPOTHESIS To summarise the above literature in few words, I shall be basically focusing weather grey markets can influence the sales of a product, thereby helping towards market penetration. Concepts, rather strategies, such as free riding shall be looked researched upon to present realistic as well as optimistic view towards grey markets, thereby analysing -‘Can grey ever be good? ‘Can grey goods help in market penetration? LITREATURE REVIEW Almost exclusively, the existing literature on grey marketing regards the occurrence as a pricing problem but falls short to identify it as a market entry opportunity for start-up entrepreneurs. The grey marketing strategy forms apt for start-up entrepreneurs in view of their resource limitations and the risk of being a first-mover in market development. Within this paper, the researcher shall be focusing on how an entrepreneur can effectively penetrate an established market by adopting suitable approaches. This is most favorable for an incumbent trader to accommodate the entrepreneur/grey marketer even if the former could compel the latter out of the market through hostile counter actions. Moorthy (1985) demonstrated the game theoretic methodology is most appropriate to investigating the behavior of market participants in such a state. This game theory is being pursued by Lim G.H., Lee K.S., Tan S.J. (Journal of Business Venturing, Jul 2001, Vol 16) to depict the strategic communications between parties concerned in grey markets and to recognise the circumstances under which entrepreneurs can effectively enter these markets. 2.1 THE POSITIVES OF GREY MARKETING A study offered by USC Marshall Research in fall 2004 by Mark Bergen (Carlson School of Management, Kersi D. Antia (University of West Ontario, London) Shantanu Dutta (Marshall School of Business, University of California) portrays the optimism towards grey markets. According to the paper, grey markets are often an helpful way to react to competitive demands, control distribution channels, fragment markets, reach unexploited markets alter the changes in market conditions. Some of the positive aspects of grey markets are being highlighted below: Incremental Sales: Grey markets are favourable if they reach formerly untapped markets. Grey markets also disclose the existence of new markets. Cell phone manufacturers competing in Malaysia, for instance, discovered a buying segment keen to pay premium prices for the newest phone gadgetry. Supply restrictions: Grey markets are advantageous if they permit dealers to overcome supply constraints scarcities. For example, IBM relied on the illegal outlets in China to get around government policies requiring the participation of local companies. Rather than make huge investments to fake partnerships with local distributors, IBM turned a blind eye to a flood of grey market imports from Hong Kong. Competitive need of opportunity: Competitors will frequently exploit grey markets if they are lucrative companies which do not follow trail shall lose significant market share, position power. This is precisely what happened to Indian-branded manufacturers of PCs. With the evident competition and sales went on at high-end retailers, the actual sales volume that led to economies of scale market penetration took place in the unorganised sector, accounting nearly 60% of total market. Several branded PC maker in India, uncared for this market, failing to reach a large unexploited segment of customers whose wants were not being met by the existing channel. Competitors that did sell to this sector have since grown to be key players. Market Segmentation: It is at times complicated to segment market within an existing distribution channel structure. Grey markets permit firms to segment their customer base more profitably than they could if they employ only a constricted base of distributors, customer uncertainty branded dilution that arrives from selling through a multi-channel network of legitimate dealers. IBM used a twofold channel approach to sell profitably in high end markets while still attaining more price responsive consumers with grey market goods; this strategy helped the company meet sales targets, spawn profits produce sales economies in manufacturing. Channel Management: Occasionally it is less expensive to abide grey market activity than to close it entirely. Shutting down grey market can be very pricey in terms of management time other resources required sensing breach, filing them, communicating them internally with distributors, and punishing the lawbreakers. Grey markets may also be a less expensive means to serve small customer sections that do not have access to authorised outlets or customers who do not value the services offered by authorised dealers. Varying market environment: In many situations, distribution channels cannot modify adequately to meet new market realities. For example, auto dealers have supply networks in places that are hard to switch. But in an epoch of soft sales, sustained incentives continually growing competition, they are struggling for numbers, even if it means forgone revenues. With effect, dealers have been more tolerant to grey markets as long as these markets let them to get in touch with a broader set of customers at improved prices. Market Aptitude: Companies that reveal grey market activities the causes following them discover about their customers their markets. Since grey markets materialise on their own, outside existing supply channels structures, they are frequently driven by influential market forces (such as short supply to a particular segment that wants the product) therefore put forward some of the purest forms of market intelligence accessible. 2.2 CONS OF GREY MARKETING 1. Dilution of exclusivity: Perhaps the most instant outcome of grey market is the draining down of exclusive rights to distribute a product. Instead of being the solitary distributor or one of a select few enterprises for delivering a product, the authorised distributor becomes merely one of several sources. The consequence is a radical drop in margins as multiple outlets struggle for the same customer. What follows promptly thereafter is only to be expected: loud complaints from the legitimate distributors and calls to the company to â€Å"do something concerning it!† 2. Free riding: But what if a manufacturer turns blind eye or, worse yet, writes off its authorized distributors complaints? While it is improbable that a distributor would split relations with the supplier in protest, there are several indirect but possibly more insidious ways of reaching the manufacturer. One of these is free riding. Free-riding was initially offered by Tan et al. (1995, 1997) as an alternative justification for the event of grey markets. In such situations, authorised traders, dispirited by anemic margins and manufacturers ineffectiveness, begin skimping on the imperative services they generally offer—such as presale service, consumer awareness education on product features, salesperson training and so on—in an attempt to lessen their expenses and match grey marketers price. This approach can weaken the value-added services and activities that often lay at the heart of several enterprises sources of differentiation and competitive plan in the market place. As one automobile dealer put it, â€Å"We invest millions in sales and service facilities. Its hard to compete with someone whose only investments are a briefcase and a cell phone.† The under provision of services is the death knell of high-end brands, as customers who value service will discard the brand in droves. 3. Damage to channel relations: Perhaps the prime cost of grey marketing is its impact on the relations and trust amid members of the distribution system. When a manufacturer has made major investments in official channel members or is dependent on one or a few associates (or both), grey markets that rip off these relationships can be particularly pricey. Visualise an official supplier that has recently coughed up $2 million to set up a new outlet and its related trappings—all to accomplish its contractual obligations. The manufacturer has guaranteed the dealer that ownership of an exclusive region will more than add up for his venture. Just as the distributor begins to foresee the promised sales, he receives word that the cash cow of the product line is offered down the street at a markdown of 15% to 20% off its own posted price. Frenzied phone calls to the manufacturer are met with empty reassurances or even stony silence. What should the enterprise do? Should it (a) match the price of its grey market opponent, doing whatsoever necessary to cut costs, (b) complain robustly to the manufacturer or (c) seek assistance from the courts, suing whoever appears liable for his current remorseful situation? 4. Undermining segmented pricing schemes: The spill over from this distribution headache expands with equivalent viciousness to most essential elements of a marketing strategy, including pricing. A basic characteristic of multinational operational strategy is the facility to price goods at levels that every local market can bear. As long as a company can fragment each market, it has a winning hand. But globalisation tosses a twist in the works. Tumbling trade barriers, easy accessibility of information and improved logistical potentials have collectively made the watertight local market a quaint belief; these factors also make it easier for grey market operators to flourish. 5. Repute and legal liability: A manufacturers ability to support its product is taken for granted. In the case of grey market goods, however, the manufacturer loses control of the product. FOR AN EXAMPLE OF how these five fundamentals can work together, consider the troubles faced by manufacturers of new, high-end IT products. High levels of services are often required to instruct customers on the features and benefits of these products. To really understand quality new product features and their functioning with other technologies, it is obligatory for the customers to learn from a salesperson at the retail outlet. To make such services available, the manufacturer time and again needs to develop a relatively elite set of distributors, fostering strong contacts and supporting the distributors actions with subsidies and an opportunity to achieve high margins. Authorised suppliers are chiefly vulnerable to grey markets in this condition. Illegitimate dealers can free ride, allowing other dealers invest in the service and offering the similar products at lower prices. Budding customers can take what they discover from authorised dealers and hunt for low-service, lower-price grey markets. The authorised sellers thus face high costs, shrinking margins and low sales. Often, the clarification they opt is to provide less service and to be more price competitive. As their margins contract, channel clashes grow, and the dealers start routing customers to competitors products which offer higher margins. The difficulty, then, eventually budges from the authorised distributors and comes to rest on the shoulders of the manufacturer. Below presented are two different cases providing two different perspectives towards grey practices. The first consist of a comparative study amongst countries the pricing structure of the grey goods that are being sold. The second case depicts the current scenario of grey activities in China. The case focuses mainly on the problem of counterfeiting of IT products the preventive measures that can be taken to minimise this nuisance. CASE 1: BUYING FROM THE GREY MARKET Are you tempted to buy cheap and cheerful goods from the grey market or should you take the authorised route? asks Sean Fleming. Anyone who has visited the US or the Far East will have found themselves going misty-eyed and waxing lyrical on the subject of how cheap things are over there. But you dont have to cross an ocean to see bargains. The difference in the price of new cars in Britain and mainland Europe they are often as much as 20% cheaper on the continent has many people hopping mad. The UKs Director General of Fair Trading has concluded the market isnt working, and has now ordered the Monopolies and Mergers Commission to investigate whether or not cartels exist in the car industry. Whatever the cause, people are realising that we must be paying over the odds in the UK for a whole range of goods and services. But do we complain? No, thats not the British way, is it? So that decision to investigate high prices in the UK will come as music to many peoples ears. Trade and industry minister Stephen Byers says he has identified this as a key obstacle to the concept of a harmonised Europe. If you want proof that things cost more here in the UK, there is plenty of it around. Bureau European des Unions de Consommateurs (BEUC), the European consumers organisation, carried out a survey last year in 52 cities across Europe in which it compared the prices of 400 different products. From this it produced an index of the cheapest and most expensive countries. The UK turned out to be the dearest of the 10 countries sampled, with a rating of 124 overall. By comparison, France scored 107, Luxembourg 102 and Germany a rating of 100. Report after report, survey after survey, they all come back with the same result when you compare like-for-like goods, we in the UK are paying more than just about everyone else in the developed world. Sure enough, its the same story with IT equipment both hardware and software. Feel like paying through the nose? No? Thats unfortunate, because the chances are youre going to. There is a painfully simple solution to all of this, of course. If stuff is cheaper somewhere else, then go somewhere else to buy it. Plenty of people import cars from Holland and Germany, and even from the Far East, so why not do it with IT? The practice of buying from non-standard, unauthorised outlets is often referred to as buying from the grey market. The grey market is a bit like the black market, except in this case no ones actually breaking the law just risking the annoyance of original manufacturers. There are big savings to be had from going grey. For example, an IBM PC 300GL, with PII 400MHz chip, 32Mb memory and a 4.2Gb hard drive running Windows 98 would set you back about #814 in the UK, but bought on the European mainland, the same PC will cost you #689. Thats a 15% saving. How about a Cisco 1601CH router? Itll cost you about #779 here and only #649 on the other side of the channel. Mike Almond is business development manager at ProSource, a company which specialises in finding this sort of deal for its customers. Using a combination of overseas contacts and the Net, ProSource keep tracks of international prices on a daily basis. When asked by a customer for a particular product, it can go out and find the best price. Were not saying were better than established channels or that our approach is the right one for organisations to adopt, but our results speak for themselves. More importantly, we offer an alternative option to our customers. Thats what a free market should deliver, Almond says. Its not difficult to find this stuff. Some manufacturers will discount heavily in particular countries to make in-roads into that market. We can use those markets to buy products back cheaper. There is, of course, a catch buy your kit from another country and the manufacturers warranty is invalid when you get home. No warranty means no technical support, no helpline advice and certainly no upgrades. Some manufacturers are so inflamed at the thought of people saving money like this that they will not just refuse support; they will also claim the law is being broken. This is despite the fact that Europe is now a single market. Phil Humphries is head of IT services at Surrey Police and it is no surprise that hes extremely cautious about ending up on the wrong side of the law, whether statutory or a manufacturers warranty rule. As part of his forces year 2000 project, a lot of equipment has been replaced, at the same time as migrating to Windows NT. He may have seen lots of expensive equipment being bought, but Humphries is not tempted by the lure of the grey market. I am aware that some of the things we use could be bought cheaper overseas by using the grey market, but I dont think the differences are as great as they used to be, he says. Apart from which, the hassle factor would be enough to put me off. This is an important factor for many people. All too often you dont know exactly what youre buying and who you are buying it from. In the event of a problem, can you be sure youll be able to get hold of them? Humphries said. But theres more to it than that. Saving money on initial capital outlay may have its attractions, but Humphries feels this is a short-term gain had at the expense of longer term success. We are moving away from a situation where we are buying boxes. Now we want to deal with a partner which can offer the right support we need from start to finish. Most of the bargain-basement IT offers that crop up in the small ads will be for software. Adverts purporting to have US versions of Microsoft Office at less than half price are fairly commonplace. David Gregory, Microsoft UKs customer legal licensing manager, warns there is more to these offers than meets the eye. He explains: Our biggest problem with people using unauthorised sources is that the overwhelming majority of this software is counterfeit. It will be passed off as being from the US, but in about 90% of cases it is pirated. The individual serial number on the product tells us where that product was bought or if it is a copy. Finding anyone with IT purchasing responsibility who will admit to using the grey market is difficult, although one IT manager confided anonymously: Most of our procurement has to go through a centralised process. However, some stand-alone projects are bought on an ad-hoc basis and thats when buying on the cheap becomes a viable option. But why is any of this stuff priced so much higher in the UK in the first place? Almost all the major manufacturers operate different pricing policies in different countries, but few can explain why the UK gets clobbered quite so comprehensively. As far as Microsoft is concerned, Gregory says: The majority of software originates from the US and there are certain unavoidable costs incurred when taking that software into other territories local support services, language support, translating documentation and so on. Not to mention currency fluctuations. But with the worlds foremost software vendor moving toward shipping single every-language versions of its products, this position is set to become obsolete. On the hardware front, the worlds number one in PCs, Compaq, also varies prices between the countries that it sells to. David Petts, Compaq UK commercial unit business manager, explains: Local pricing exists because different markets have different patterns of economic behaviour. In Europe, Compaq prices are set by the companys European HQ in Munich, and individual countries are then able to fix their own prices within a given range. So, if one were to charge at the top end of the range and another charged at the lower end, you could, in theory, see material price differences, he says. Why the UK is hit hardest by these price differentials is obviously a difficult subject for manufacturers to discuss candidly. One source within a major hardware company begrudgingly admits: Lots of things are cheaper in the US and Japan. Its the way of the world people just need to face up to it. So, there you have it put up and shut up. If you dont put up, and instead succumb to the grey market, your warranties wont work. However, there are ways to get around the warranty issue. In the case of Compaq, any warranty in operation in the UK will also cover the rest of Europe and vice-versa. You can buy Compaq kit in Holland, for example, and not have to worry about your warranty. ProSources Almond explains that it is important to keep geography in mind when venturing into the grey market. Manufacturers will claim warranties are not valid, but under EC law there is nothing to stop you buying things from any other EC country. If we have a customer that is very sensitive about maintaining the warranties, well be careful to only buy from within the right region, he says. In the case of IBM, things are even more straightforward: good old Big Blue offers global support on all its products, so it doesnt matter if you bought your ThinkPad in Durban but you live in Doncaster. A long-standing champion of the grey market is Cirencester-based RBR Networks, Ciscos largest European distribution partner. Before getting its Cisco accreditation in October 1997, RBR was something of a thorn in Ciscos side. It was doing so much business in grey-market Cisco product that in the end the company had to be brought into the fold. RBR marketing director, Jos White, takes a fairly pragmatic view of the subject. He does, however, prefer the term second sourcing to grey market he believes it doesnt sound so grubby. Using second sourcing, we could make a healthy margin and still sell cheaper than most of the competition, says White. It has to be up to the manufacturer to make it worth everyones while to use the authorised channels, he adds. Manufacturers cannot simply try and ban this sort of thing and it is definitely not on for them to throw their weight around, threatening everyone by saying that their licences are invalid and they may be breaking the law. It comes as no surprise that a manufacturer such as Compaq is against the use of the grey market. It has nothing to Grey Marketing Activities Within the Software Industry Grey Marketing Activities Within the Software Industry Future ABSTRACT The research work has presented an enlarged view of the operation within the grey markets, their functioning, pricing structure, the customer base lastly the arguments in favour, thereby evaluating -‘Can grey be good? It has also focussed on grey markets- as a subject of annoyance for the IT players OEMs. Counter-arguments hostile measures adopted to combat grey goods have also been the point of discussion. Overall, this piece of research is being successful in presenting a balanced view of the goods the bads of the grey industry from the perspective of industry players, grey entrepreneurs as well as consumers. INTRODUCTION 1.1 AIMS To obtain information insights about grey marketing activities within the software industry. With the help of Journals, case studies secondary research activities shed light on the present scenario of the grey markets (consumer targeting inclination, pricing etc). The pros cons of grey marketing shall also be presented to have an equalised view. To know what are the hostile measures adopted by firms to prevent grey activities. Present cases to depict the preventive measures adopted by firms like HP Microsoft to combat grey market products. The paper also focuses on the initiatives adopted by independent agencies such as AGMA BSA towards grey market activities. Market Penetration Grey Markets Can grey market ever be an alternative to market penetration? If yes, to which extent can it be possible? In addition, understanding the concept of ‘free riding as a way for market penetration, as mentioned in the Journal of Business Venturing (Vol 4). To evaluate: Can grey ever be good? Based on the research undertaken, evaluating thereby concluding the positives negatives of grey markets. Should they be encouraged? Can they boost an economic scenario of a country? lastly how effective can they be in increasing sales of a product? 1.2 OBJECTIVES The methodology that is to be adopted for fulfilment of the above aims is as under: Journals, Newsweekly, Internet (secondary research) along with white papers provided by firms shall be the main sources of information for this research. Primary data obtained through interviewing shall be the most vital aspect (it shall be considering not only the consumer perspective towards grey markets its products, but also of dealers operating within this arena). finally, the crux of the research (insights, analysis evaluation) will be presented to obtain a concluding perspective. 1.3 GREY MARKET: AN NTRODUCTION Majority of distribution companies are flourishing thanks to distribution channels that shepherd product from a manufacturer eventually direct them to the consumers through a chain of legitimate distributors across the world. But a mounting quite detrimental market subsists that can cause ignorant customers to buy technology products with untrue warranties, several designed for use in other countries or worse products consisting counterfeit parts. These practices can erode customer satisfaction harm brand integrity, causing major profit attrition for manufacturers. Welcome to the global ‘Grey Market where branded products have been sidetracked from the authorised supply channel within a country or are imported into a country without the approval or awareness of the manufacturer. Grey market goods are usually sold at lesser prices than those proposed by the legitimate distributors. And the pricing disparity amongst various legitimate markets customers generates an opportunity for the brokers to procure labelled products at discounted prices move them to markets where they can fetch high income. A research study by KMPG demonstrates that grey market goods pose a grave challenge to information technology manufacturers their authorised dealers. The study reveals that IT manufacturers are communally losing up to US$5 billion in profits on yearly basis, a figure that is mounting. While the grey market affects many businesses, including automobiles, consumer products, pharmaceuticals, fashion accessories others, this study shall validate that computers related products are the industry segments most affected by grey market actions. 1.4 INTRODUCTION TO THE PROBLEM (a) Software Counterfeiting Counterfeiting is amongst the most exigent problem facing the information technology (IT) industry today. Illegal replicas of brand-name high tech products are flooding the marketplace, causing harm to legitimate companies profits and dropping their aptitude to invest in research and development (RD). Multiplication of technology employed to make computers, servers, and a host of high tech products—as well as a lack of regulatory enforcement in developing countries—is speeding up counterfeiting. It is now estimated that as much as 10 percent of all high tech products sold globally are counterfeit. (b) Free Riding: A Way To Penetrate Markets? ‘Free Riding is a term which comes into picture when software products have been counterfeited. Free-riding was first introduced by Tan et al. (1995, 1997) as an alternative explanation for the incidence of grey marketing, whereby grey entrepreneurs are provided with the opportunity to enter money-making markets that are presently supplied by big firms. However, hostile measures have been taken to prevent grey market activities by agencies like AGMA BSA as well as biggies like Microsoft, HP etc. HP is administrating reseller spot checks and distie reviews to stamp out the grey market in a variety of regions without being hesitant to exercise the law courts against resellers who â€Å"breach contractual requisites†. The firm, at the moment, is taking legal action in opposition to one UK reseller for violation of agreement and cautions it has other cases under review. While, Microsoft has collared another plagiarist in the UK for flogging grey software on eBay. The software giant has scored  £35,000 in compensation against an internet trader for copyright violations and illegitimately bringing in cheap American software to Europe. Meanwhile, an agency like Business Software Alliance (BSA) is outing bandits by setting a bounty on their heads. The group announced its Blow the Whistle operation which presents $1m to workers who squeal on their companies. Certain firms are trying to launch software which might allow manufacturers detect sales through unofficial mediums. 1.5 SCOPE FOR THE REASERCH The main reason behind the proposed research subject is to obtain information on the grey markets the practices that are being carried out. The scope for undertaking the research work is as under: Understanding the global phenomenon of ‘grey marketing. Understanding the logistics within grey markets. The precautionary measures adopted by the firms agencies to prevent grey activities. The concept of free riding to penetrate markets within the software arena. lastly analysing evaluating the research produced to gather provide insights. 1.6 LIMITATIONS TOWARDS THE REASERCH The possible shortcomings for the proposed research topic are as under: Being an unconventional subject for research, obtaining information can be tough. Tracking the right sources of information is a major challenge. Information gathered through ground research cant be entirely relied upon, as it can be manipulative. Information obtained from grey suppliers may not be fruitful, as they might not give out precise information about the present scenario Interviewing people from companies or firms who are being targeted by grey marketers may prefer to remain low profile on the preventive measures they plan to adopt in future. 1.7 REASEARCH STRUCTURE The research has five focus groups (in order to understand the information.) The first chapter offers an inside view of the topic with its backdrop. It also contains the customary objectives which form the foundation for a focused research study. Meanwhile, it also describes how the established purpose will be achieved and the manner they would provide help. This section gives rationale and importance of conducting this research. The second chapter comprises the prior literature on grey markets, constructed by a range of authors and researchers in earlier years. This would aid to shed light on the pros cons in grey marketing. In addition; this chapter provides live cases published in reputed newsweekly. The third chapter talks about the type of methodology the researcher has employed to achieve the study. It gives out the arguments in favour against of each method in order to gain understanding. Furthermore, it exemplifies of some important sources which have been accessed to complete the study. Thus, this chapter explains the different techniques to achieve the objectives. The fourth chapter forms the body of the thesis as it entails the detailed analysis of the various aspects to establish the objectives. This chapter generates convincing points to support the study. The fifth and the last chapter of the paper summarises all the information gathered, finally, concluding the thesis. 1.8 SUMMARY HYPOTHESIS To summarise the above literature in few words, I shall be basically focusing weather grey markets can influence the sales of a product, thereby helping towards market penetration. Concepts, rather strategies, such as free riding shall be looked researched upon to present realistic as well as optimistic view towards grey markets, thereby analysing -‘Can grey ever be good? ‘Can grey goods help in market penetration? LITREATURE REVIEW Almost exclusively, the existing literature on grey marketing regards the occurrence as a pricing problem but falls short to identify it as a market entry opportunity for start-up entrepreneurs. The grey marketing strategy forms apt for start-up entrepreneurs in view of their resource limitations and the risk of being a first-mover in market development. Within this paper, the researcher shall be focusing on how an entrepreneur can effectively penetrate an established market by adopting suitable approaches. This is most favorable for an incumbent trader to accommodate the entrepreneur/grey marketer even if the former could compel the latter out of the market through hostile counter actions. Moorthy (1985) demonstrated the game theoretic methodology is most appropriate to investigating the behavior of market participants in such a state. This game theory is being pursued by Lim G.H., Lee K.S., Tan S.J. (Journal of Business Venturing, Jul 2001, Vol 16) to depict the strategic communications between parties concerned in grey markets and to recognise the circumstances under which entrepreneurs can effectively enter these markets. 2.1 THE POSITIVES OF GREY MARKETING A study offered by USC Marshall Research in fall 2004 by Mark Bergen (Carlson School of Management, Kersi D. Antia (University of West Ontario, London) Shantanu Dutta (Marshall School of Business, University of California) portrays the optimism towards grey markets. According to the paper, grey markets are often an helpful way to react to competitive demands, control distribution channels, fragment markets, reach unexploited markets alter the changes in market conditions. Some of the positive aspects of grey markets are being highlighted below: Incremental Sales: Grey markets are favourable if they reach formerly untapped markets. Grey markets also disclose the existence of new markets. Cell phone manufacturers competing in Malaysia, for instance, discovered a buying segment keen to pay premium prices for the newest phone gadgetry. Supply restrictions: Grey markets are advantageous if they permit dealers to overcome supply constraints scarcities. For example, IBM relied on the illegal outlets in China to get around government policies requiring the participation of local companies. Rather than make huge investments to fake partnerships with local distributors, IBM turned a blind eye to a flood of grey market imports from Hong Kong. Competitive need of opportunity: Competitors will frequently exploit grey markets if they are lucrative companies which do not follow trail shall lose significant market share, position power. This is precisely what happened to Indian-branded manufacturers of PCs. With the evident competition and sales went on at high-end retailers, the actual sales volume that led to economies of scale market penetration took place in the unorganised sector, accounting nearly 60% of total market. Several branded PC maker in India, uncared for this market, failing to reach a large unexploited segment of customers whose wants were not being met by the existing channel. Competitors that did sell to this sector have since grown to be key players. Market Segmentation: It is at times complicated to segment market within an existing distribution channel structure. Grey markets permit firms to segment their customer base more profitably than they could if they employ only a constricted base of distributors, customer uncertainty branded dilution that arrives from selling through a multi-channel network of legitimate dealers. IBM used a twofold channel approach to sell profitably in high end markets while still attaining more price responsive consumers with grey market goods; this strategy helped the company meet sales targets, spawn profits produce sales economies in manufacturing. Channel Management: Occasionally it is less expensive to abide grey market activity than to close it entirely. Shutting down grey market can be very pricey in terms of management time other resources required sensing breach, filing them, communicating them internally with distributors, and punishing the lawbreakers. Grey markets may also be a less expensive means to serve small customer sections that do not have access to authorised outlets or customers who do not value the services offered by authorised dealers. Varying market environment: In many situations, distribution channels cannot modify adequately to meet new market realities. For example, auto dealers have supply networks in places that are hard to switch. But in an epoch of soft sales, sustained incentives continually growing competition, they are struggling for numbers, even if it means forgone revenues. With effect, dealers have been more tolerant to grey markets as long as these markets let them to get in touch with a broader set of customers at improved prices. Market Aptitude: Companies that reveal grey market activities the causes following them discover about their customers their markets. Since grey markets materialise on their own, outside existing supply channels structures, they are frequently driven by influential market forces (such as short supply to a particular segment that wants the product) therefore put forward some of the purest forms of market intelligence accessible. 2.2 CONS OF GREY MARKETING 1. Dilution of exclusivity: Perhaps the most instant outcome of grey market is the draining down of exclusive rights to distribute a product. Instead of being the solitary distributor or one of a select few enterprises for delivering a product, the authorised distributor becomes merely one of several sources. The consequence is a radical drop in margins as multiple outlets struggle for the same customer. What follows promptly thereafter is only to be expected: loud complaints from the legitimate distributors and calls to the company to â€Å"do something concerning it!† 2. Free riding: But what if a manufacturer turns blind eye or, worse yet, writes off its authorized distributors complaints? While it is improbable that a distributor would split relations with the supplier in protest, there are several indirect but possibly more insidious ways of reaching the manufacturer. One of these is free riding. Free-riding was initially offered by Tan et al. (1995, 1997) as an alternative justification for the event of grey markets. In such situations, authorised traders, dispirited by anemic margins and manufacturers ineffectiveness, begin skimping on the imperative services they generally offer—such as presale service, consumer awareness education on product features, salesperson training and so on—in an attempt to lessen their expenses and match grey marketers price. This approach can weaken the value-added services and activities that often lay at the heart of several enterprises sources of differentiation and competitive plan in the market place. As one automobile dealer put it, â€Å"We invest millions in sales and service facilities. Its hard to compete with someone whose only investments are a briefcase and a cell phone.† The under provision of services is the death knell of high-end brands, as customers who value service will discard the brand in droves. 3. Damage to channel relations: Perhaps the prime cost of grey marketing is its impact on the relations and trust amid members of the distribution system. When a manufacturer has made major investments in official channel members or is dependent on one or a few associates (or both), grey markets that rip off these relationships can be particularly pricey. Visualise an official supplier that has recently coughed up $2 million to set up a new outlet and its related trappings—all to accomplish its contractual obligations. The manufacturer has guaranteed the dealer that ownership of an exclusive region will more than add up for his venture. Just as the distributor begins to foresee the promised sales, he receives word that the cash cow of the product line is offered down the street at a markdown of 15% to 20% off its own posted price. Frenzied phone calls to the manufacturer are met with empty reassurances or even stony silence. What should the enterprise do? Should it (a) match the price of its grey market opponent, doing whatsoever necessary to cut costs, (b) complain robustly to the manufacturer or (c) seek assistance from the courts, suing whoever appears liable for his current remorseful situation? 4. Undermining segmented pricing schemes: The spill over from this distribution headache expands with equivalent viciousness to most essential elements of a marketing strategy, including pricing. A basic characteristic of multinational operational strategy is the facility to price goods at levels that every local market can bear. As long as a company can fragment each market, it has a winning hand. But globalisation tosses a twist in the works. Tumbling trade barriers, easy accessibility of information and improved logistical potentials have collectively made the watertight local market a quaint belief; these factors also make it easier for grey market operators to flourish. 5. Repute and legal liability: A manufacturers ability to support its product is taken for granted. In the case of grey market goods, however, the manufacturer loses control of the product. FOR AN EXAMPLE OF how these five fundamentals can work together, consider the troubles faced by manufacturers of new, high-end IT products. High levels of services are often required to instruct customers on the features and benefits of these products. To really understand quality new product features and their functioning with other technologies, it is obligatory for the customers to learn from a salesperson at the retail outlet. To make such services available, the manufacturer time and again needs to develop a relatively elite set of distributors, fostering strong contacts and supporting the distributors actions with subsidies and an opportunity to achieve high margins. Authorised suppliers are chiefly vulnerable to grey markets in this condition. Illegitimate dealers can free ride, allowing other dealers invest in the service and offering the similar products at lower prices. Budding customers can take what they discover from authorised dealers and hunt for low-service, lower-price grey markets. The authorised sellers thus face high costs, shrinking margins and low sales. Often, the clarification they opt is to provide less service and to be more price competitive. As their margins contract, channel clashes grow, and the dealers start routing customers to competitors products which offer higher margins. The difficulty, then, eventually budges from the authorised distributors and comes to rest on the shoulders of the manufacturer. Below presented are two different cases providing two different perspectives towards grey practices. The first consist of a comparative study amongst countries the pricing structure of the grey goods that are being sold. The second case depicts the current scenario of grey activities in China. The case focuses mainly on the problem of counterfeiting of IT products the preventive measures that can be taken to minimise this nuisance. CASE 1: BUYING FROM THE GREY MARKET Are you tempted to buy cheap and cheerful goods from the grey market or should you take the authorised route? asks Sean Fleming. Anyone who has visited the US or the Far East will have found themselves going misty-eyed and waxing lyrical on the subject of how cheap things are over there. But you dont have to cross an ocean to see bargains. The difference in the price of new cars in Britain and mainland Europe they are often as much as 20% cheaper on the continent has many people hopping mad. The UKs Director General of Fair Trading has concluded the market isnt working, and has now ordered the Monopolies and Mergers Commission to investigate whether or not cartels exist in the car industry. Whatever the cause, people are realising that we must be paying over the odds in the UK for a whole range of goods and services. But do we complain? No, thats not the British way, is it? So that decision to investigate high prices in the UK will come as music to many peoples ears. Trade and industry minister Stephen Byers says he has identified this as a key obstacle to the concept of a harmonised Europe. If you want proof that things cost more here in the UK, there is plenty of it around. Bureau European des Unions de Consommateurs (BEUC), the European consumers organisation, carried out a survey last year in 52 cities across Europe in which it compared the prices of 400 different products. From this it produced an index of the cheapest and most expensive countries. The UK turned out to be the dearest of the 10 countries sampled, with a rating of 124 overall. By comparison, France scored 107, Luxembourg 102 and Germany a rating of 100. Report after report, survey after survey, they all come back with the same result when you compare like-for-like goods, we in the UK are paying more than just about everyone else in the developed world. Sure enough, its the same story with IT equipment both hardware and software. Feel like paying through the nose? No? Thats unfortunate, because the chances are youre going to. There is a painfully simple solution to all of this, of course. If stuff is cheaper somewhere else, then go somewhere else to buy it. Plenty of people import cars from Holland and Germany, and even from the Far East, so why not do it with IT? The practice of buying from non-standard, unauthorised outlets is often referred to as buying from the grey market. The grey market is a bit like the black market, except in this case no ones actually breaking the law just risking the annoyance of original manufacturers. There are big savings to be had from going grey. For example, an IBM PC 300GL, with PII 400MHz chip, 32Mb memory and a 4.2Gb hard drive running Windows 98 would set you back about #814 in the UK, but bought on the European mainland, the same PC will cost you #689. Thats a 15% saving. How about a Cisco 1601CH router? Itll cost you about #779 here and only #649 on the other side of the channel. Mike Almond is business development manager at ProSource, a company which specialises in finding this sort of deal for its customers. Using a combination of overseas contacts and the Net, ProSource keep tracks of international prices on a daily basis. When asked by a customer for a particular product, it can go out and find the best price. Were not saying were better than established channels or that our approach is the right one for organisations to adopt, but our results speak for themselves. More importantly, we offer an alternative option to our customers. Thats what a free market should deliver, Almond says. Its not difficult to find this stuff. Some manufacturers will discount heavily in particular countries to make in-roads into that market. We can use those markets to buy products back cheaper. There is, of course, a catch buy your kit from another country and the manufacturers warranty is invalid when you get home. No warranty means no technical support, no helpline advice and certainly no upgrades. Some manufacturers are so inflamed at the thought of people saving money like this that they will not just refuse support; they will also claim the law is being broken. This is despite the fact that Europe is now a single market. Phil Humphries is head of IT services at Surrey Police and it is no surprise that hes extremely cautious about ending up on the wrong side of the law, whether statutory or a manufacturers warranty rule. As part of his forces year 2000 project, a lot of equipment has been replaced, at the same time as migrating to Windows NT. He may have seen lots of expensive equipment being bought, but Humphries is not tempted by the lure of the grey market. I am aware that some of the things we use could be bought cheaper overseas by using the grey market, but I dont think the differences are as great as they used to be, he says. Apart from which, the hassle factor would be enough to put me off. This is an important factor for many people. All too often you dont know exactly what youre buying and who you are buying it from. In the event of a problem, can you be sure youll be able to get hold of them? Humphries said. But theres more to it than that. Saving money on initial capital outlay may have its attractions, but Humphries feels this is a short-term gain had at the expense of longer term success. We are moving away from a situation where we are buying boxes. Now we want to deal with a partner which can offer the right support we need from start to finish. Most of the bargain-basement IT offers that crop up in the small ads will be for software. Adverts purporting to have US versions of Microsoft Office at less than half price are fairly commonplace. David Gregory, Microsoft UKs customer legal licensing manager, warns there is more to these offers than meets the eye. He explains: Our biggest problem with people using unauthorised sources is that the overwhelming majority of this software is counterfeit. It will be passed off as being from the US, but in about 90% of cases it is pirated. The individual serial number on the product tells us where that product was bought or if it is a copy. Finding anyone with IT purchasing responsibility who will admit to using the grey market is difficult, although one IT manager confided anonymously: Most of our procurement has to go through a centralised process. However, some stand-alone projects are bought on an ad-hoc basis and thats when buying on the cheap becomes a viable option. But why is any of this stuff priced so much higher in the UK in the first place? Almost all the major manufacturers operate different pricing policies in different countries, but few can explain why the UK gets clobbered quite so comprehensively. As far as Microsoft is concerned, Gregory says: The majority of software originates from the US and there are certain unavoidable costs incurred when taking that software into other territories local support services, language support, translating documentation and so on. Not to mention currency fluctuations. But with the worlds foremost software vendor moving toward shipping single every-language versions of its products, this position is set to become obsolete. On the hardware front, the worlds number one in PCs, Compaq, also varies prices between the countries that it sells to. David Petts, Compaq UK commercial unit business manager, explains: Local pricing exists because different markets have different patterns of economic behaviour. In Europe, Compaq prices are set by the companys European HQ in Munich, and individual countries are then able to fix their own prices within a given range. So, if one were to charge at the top end of the range and another charged at the lower end, you could, in theory, see material price differences, he says. Why the UK is hit hardest by these price differentials is obviously a difficult subject for manufacturers to discuss candidly. One source within a major hardware company begrudgingly admits: Lots of things are cheaper in the US and Japan. Its the way of the world people just need to face up to it. So, there you have it put up and shut up. If you dont put up, and instead succumb to the grey market, your warranties wont work. However, there are ways to get around the warranty issue. In the case of Compaq, any warranty in operation in the UK will also cover the rest of Europe and vice-versa. You can buy Compaq kit in Holland, for example, and not have to worry about your warranty. ProSources Almond explains that it is important to keep geography in mind when venturing into the grey market. Manufacturers will claim warranties are not valid, but under EC law there is nothing to stop you buying things from any other EC country. If we have a customer that is very sensitive about maintaining the warranties, well be careful to only buy from within the right region, he says. In the case of IBM, things are even more straightforward: good old Big Blue offers global support on all its products, so it doesnt matter if you bought your ThinkPad in Durban but you live in Doncaster. A long-standing champion of the grey market is Cirencester-based RBR Networks, Ciscos largest European distribution partner. Before getting its Cisco accreditation in October 1997, RBR was something of a thorn in Ciscos side. It was doing so much business in grey-market Cisco product that in the end the company had to be brought into the fold. RBR marketing director, Jos White, takes a fairly pragmatic view of the subject. He does, however, prefer the term second sourcing to grey market he believes it doesnt sound so grubby. Using second sourcing, we could make a healthy margin and still sell cheaper than most of the competition, says White. It has to be up to the manufacturer to make it worth everyones while to use the authorised channels, he adds. Manufacturers cannot simply try and ban this sort of thing and it is definitely not on for them to throw their weight around, threatening everyone by saying that their licences are invalid and they may be breaking the law. It comes as no surprise that a manufacturer such as Compaq is against the use of the grey market. It has nothing to