PEST analysis of Siemens

Analysts Political Factors Siemens GAG will be subject to legislation in any country within which they are operating. With the head office in Germany they are subject to German and European corporate law. In the U. K Siemens must obey English legislation specific to that market. For example The Trades Descriptions Act, which states that a company may not falsely advertise any of its products or services. Also effecting the company’s operations in Britain are the Sale of Goods Act and the Consumer Protection Acts that enable the consumer to have certain rights if they are applied with faulty or damaged goods.

As a multinational company Siemens will be subject to the fiscal policies employed by governments within a number of countries, furthermore when products are being sold internationally there will also be import and export controls that will affect the company such as tariffs that must be paid. Economic Factors. Siemens GAG is particularly exposed to fluctuations in the exchange rate between the US Dollar and the Euro, because a high percentage of the company’s business volume is conducted in the US and has exports from Europe. SOOT data monitor).

The current conflict in Iraq has caused uncertainty in many world markets. The unstable that has come about as a direct result of this can have an effect on Siemens as they have a wide ranging portfolio that spreads across a number of different markets. The ongoing Economic downturn has lead to a decreased capital expenditure from clients Siemens business has been negatively impacted by the prolonged economic downturn in a majority of its markets worldwide. Investment sentiment continues to be weak for the PEST analysis of Siemens

By Jamestown Company’s customers in important industry segments and regional mar test us, Europe, Asia and South American (Data Monitor). Siemens’ information and communications business is particularly affected by the current market conditions in the telecommunications industry. (Data Monitor) Lenders have said that are to increase the cost of borrowing due to actions of the Bank of England (Nova. Com). When it becomes more expensive to borrow money people tend to spend less this is because they have to pay more back in interest. Read  Siemens SWOT Analysis

Disposable incomes fall so therefore there it’s likely that consumer spending falls. These negative knock-on effects can be costly to Siemens sales turnover.

Social factors

In the modern society people are relying more and more on electrical goods for everyday use. Most people find that there are a number of electrical goods such as mobile phones that they say they could not live without in the modern world. There is a constant updating and changing customer demands for new and improved electrical gadgets.

In 2003 regulators were investigating claims that some Lenders were persuading people to borrow out of their reach. By borrowing more than they can afford a rise interest rates could cause serious financial problems for these people. This means there will be a reduction in purchasing especially of electrical goods that are often seen as luxury goods. There is a rising number of households in the U. K as an increasing amount of people are deciding to live alone as a result of increased divorce rates or because of an increased number of students living away from home at university.

In the short term his could mean increased consumption of electrical goods, which will be good for Siemens as they say ‘ our success depends on the success of or customers’. However in the longer term of things an increased number of households may result in a rise in house prices. This would mean higher mortgage payments and decreased consumer spending. Technological factors The 21st century has seen the Internet, email and other technological advancements dominate the business world. Siemens already use there website (Siemens. Com) as a tool to aid its development.

It is extensive use of tools such as this along with constant technological innovation that are paving the way forward in the modern economy. Maintaining a creative and modern website can ensure Siemens can communicate with existing customers and attract new ones. Data mining and data warehousing are modern tools to keep up with and identify ever-changing consumer trends of purchasing. These can also be used to ensure repeat custom. Siemens will be adversely affected if they fail to keep up with the ever updating technology that operates with the industries they are involved in.

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Identity and Belonging: Witness

‘Where we come from and our attitude to it are powerful forces in our lives. ’ “This gun of the hand is for the taking of human life. We believe it is wrong to take a life. That is only for God. ” The conflicting notions and difference between cultures is thoroughly represented throughout Peter Weir’s stunning and thematically moving film ‘Witness’ in which two different worlds with two different value systems are profoundly presented to its viewers.

Having a sense of belonging is essential to identity; it is a basic human instinct to belong and to have faith in certain beliefs, the preoccupations meaningfully explored within Weir’s creations. Moreover, through the use of film techniques and representation, Weir has managed to captivate and compel his audience to indulge into the hardships and strategic traditions in which the Amish community follow and also allows the audience to gain a further understanding to the extreme disciplinary law of the ‘Ordnung. The protagonist, John Book, faces a tedious journey to bring justice to contemptible crime and must undergo an ultimate sacrifice of ‘changing his ways,’ which would cause a crucial disregard to all his life lessons that have shaped and guided him, in order to gain the acceptance he subsequently strives for from his ‘former carers’ and unique counterparts of the Amish community. Book also faces the riveting dilemma to assert or deny his disreputable love with Rachel as well as apprehend where he truly belongs.

Weir’s film is positioned between two worlds; the good and the evil, decency and corruption, head and heart, the Amish and the ‘English’. Throughout the film, the complexities of parallel worlds are explored where the different worlds begin to sporadically intertwine. ‘We want nothing to do with your laws,’ at the beginning of the film when Rachel first becomes subject to Detective John Book’s questioning and police procedures, she is taken out of her comfort zone and is presented with a world she knows not of.

Rachel is more so driven by the forceful nature of her own predecessors and ‘elders’ which intuitively leads to her attitude of not wanting to abide by the laws of a different world from her own. The passiveness of the Amish is explored as they are depicted as being self-cast as outsiders, basing their lives solely on natural things due to their own stringent belief that it will bring them closer to God.

Furthermore, the audience is able to gain an insight to the cultural restrictions in which the Amish live by; living in a rural society where there are no radios, telephones, or televisions, where the only means of transportation is a horse and buggy, and where one dresses to look “plain. ” The depiction of the Amish community in the film is extraordinarily contrasted with the modern contemporary society of the Americans, otherwise known as ‘the English’ by the Amish people.

Book’s world is portrayed as being the human function of corruption where ‘somewhere along the way [cops] lose their meaning. ’ Book is inevitably accustomed to deceit, brutality and violence that it consumes him and is the very essence in which drives him forward and acts accountable for his actions. He is inescapably surrounded by it, so much so that he is not completely oblivious to the corruption occurring within the very organisation that is meant to oppose it, his own police department. Book’s duty to investigate corruption within his police department leaves him shot.

This violence from Book’s own world and place of belonging is what ironically leads to him going into hiding amongst the Amish people in order for him to protect Rachel and Samuel. He is significantly driven by his job of policing that it acts as a powerful force in his life in which he is suited to, ‘[Elaine] thinks you like policing because you think you are right about everything and you’re the only one who can do anything…’ Evidently, Book is quite complacent living his own life in his contemporary society as it composes of his identity and sense of belonging.

At a further contrast, the contemporary society of the Americans deem to be utterly dependant on technology, not just as helpful tools but also for ones own sense of luxury. In the film, when Book is in town with Eli accompanied by other Amish they are ambushed by tourists who simply treat them as though they are placed there for their own amusement, the Amish are not acknowledged as being actual human beings. The tourists bombard them with taking photos and Book does not follow the placid way of the Amish, ‘Lady, you take my picture with that thing and I’m gonna rip your brassiere off… nd strangle you with it! You got that? ’ Though Book attempts to conform to the ways of the Amish he is still so accustomed to his old ways that where he comes from is his own sense of belonging. Furthermore, Book’s trial of ‘fitting in’ with the Amish is ultimately tested when he cannot rid himself of his urban assertiveness and simply turns to violence when a group of ‘townies’ harass Daniel Hochleitner, of the Amish, to which Book violently punches one of them in the face though ‘it’s not our way [of the Amish]. Book is fundamentally fixed in his ways, ‘it’s my way,’ and initially disregards his attempts to fit in with the Amish and gain their acceptance. Consequently, Book’s violent actions lead to Schaeffer and his despicable partners being able to locate and track down where Book is staying in hiding. Though Book has sufficiently failed in his attempts to conform to the ways of the Amish, it is evident that he finally makes a connection with the Amish community during the traditional barn-raising scene in the film where Book helps out and realises that for the Amish, community is more important than any other modern necessity.

Despite Book’s connection with the Amish he is still mildly branded as an outsider to their community and is only truly accepted through the eyes of Rachel. During the course of the film, Book and Rachel begin to grow affectionate for one another. The attraction between the two only grows stronger as the film progresses and Weir uses intended camera angles and film techniques to represent a change in the status quo. When Book and Rachel are together, they are always filmed through doorways. Book is depicted as always being in the doorway, symbolising that he cannot get past it whereas Rachel is always in through it.

However, as the attraction grows stronger, specifically after they kiss, Book talks to Rachel through the door of chicken wire, the holes in the wire imply that Book can now get through to the Amish community yet some of his own identity and predispositions will always remain behind the chicken wire. More so the attraction is shown within the scene in the barn in which Book is fixing his car with his radio on, an ultimate defiance of the ways of the Amish, to which Rachel responds positively.

They begin to dance and although Book appreciates the moment, he does not fully understand that he is breaching the wishes of the elders in the community and ominously causes Rachel to act in such a manner which is stupendously frowned upon by her peers. Despite Eli’s warning that she will be “shunned” if she becomes too close to John, Rachel defiantly gives in to her feelings for the outsider. Though they come from two different worlds, hold different values, nd live different lives, their emotions and feelings towards one another prove to be the same. Eventually Book comes to terms with his limitations and realises that he does not belong in Lancaster County with Rachel despite his utmost attempts to try and change himself in order to belong. Book remains too dependant on things from his world and his reliance on technology bounds him. The life lessons and fixed ways in which Book continuously holds onto prove to a big part of his identity that to completely disregard them would be a vital sacrifice.

His attempts to try and belong with the Amish are boldly thwarted by his own understanding of his significant influence on young Samuel, ‘I would only kill the bad man. ’ His very presence brings danger and the aspect of life in which the Amish try to avoid, that is, murder. The place in which one comes from, one’s home and upbringing, proves to be a powerful force in one’s life. Having a place to belong is essential to identity and life lessons taught prove to be guidance throughout life.

It is essential to belong and people will try and change themselves in order to feel as though they fit in. However, to merge two completely different worlds together would be controversial and ultimately unprincipled. The love shared between Book and Rachel would never work because they were two different, they were bestowed with different values, different upbringings and essentially different morals. Book could never stay with the Amish, “He’s going back to his world, where he belongs. He knows it, and you know it, too. ”

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Two Heads are Better Than One

Societies are likely to decline due to corruption, in the passage we read “the soldiers got restless and only the rich could afford to raise an army to fight on Romeos behalf” Here we can notice that, because of corruption which resulted on the lack of funds the government could no longer provide protection for Rome. Therefore the richer members of society used their own funds to pay for the country’s army. The government failed to deliver services in good quality that was expected.

The quality of life deteriorates and people tend to develop a mentality of the survival of the fittest.

The effective way of fighting corruption is by;

  1. Teaching morality at home as well as at school and churches, especially to young children since they are the future leaders. If moral values are emphasized from a younger age the future generation will have better morals
  2. Introduction of a regular form of auditing for the government departments at least on a monthly basis.
  3. Introducing nongovernmental charity organizations to Andre some of the public funds
  4. Increase the awareness programmer regarding corruption, make the community take a stand and report any non- conformance’s from the government officials.

3. The reason why successful societies are the least corrupt is because of satisfaction In most of the needs.

There is no reason for any corruption at all; the rate of employment is high when compared to unemployment. People develop in terms of entrepreneurship which results In Job creation opportunities. Proper education Is guaranteed, people are tolerant and humanity is maintained.

4. The social indicators which demonstrate that the society is well run may Include the following;

Good Infrastructure-the public funds are used in a proper way and the government is able to provide services such as rail, roads, ports and social grant for senior citizens.

Proper housing is provided by the government for the people who are unable to buy their own houses. The unemployment rate Is very low as well as the crime rate Is low, education Is improved and the public funds are not misused.

Section B Tenderheartedness Private use of public property and funds Favoritism Bribery Nepotism Societal corruption BEE Fronting Failed society Figurer. (Different forms of corruption) In this article, we are going to discuss the ways in which corruption cripples the development of society, what are the different forms of corruption as well as causes and consequences of this corruption as illustrated on figure 1 above.

We will further discuss the possible measures which can be utilized in order to eradicate this disease which has become a barrier for the societal development.

WHY DO WE HAVE CORRUPTION IN SOCIETY?

  • Greed

Power hungry politicians are the greediest ones and are likely to be vulnerable when it comes to corruption. It is not the whole government that is corrupt; it is the individuals within the structures who got into positions not to deliver the services that have been promised, but to satisfy their own personal needs.

  • Lack of education

People seem to overlook and never notice the misuse of public property and funds due lack of education. The officials may bring documentation for reviews, but since communities lack educated personnel who can interpret the documents, then the name officials can mislead the public into believing whatever they say regarding the public funds.

  • Lack of morals

Nowadays people seem to not know now to distinguish between right and wrong, as long as they got what they want that is all that matters. We are moving towards a state whereby corruption is being accepted as a norm.

  • Poverty

Poverty is one of the aspects that contribute to the acts of corruption in society. Some people will go an extra mile doing all the wrong things towards the other members of society. A gentleman or a lady may come and tell everyone moieties even use the media for advertising posts for a certain company yet there is no such, but since the society is stricken by poverty nobody will seem to worry about the scam as long as there are Jobs to be offered.

At the end of the day they pay some bribery money and that gentleman or lady is gone forever with their money Bribery and how it affects the society Bribery is the act whereby a person offers or request payment in return for a favor, for example. If a person is caught speeding or driving under influence of alcohol or any kind of drugs, either the police officer asks for payment so that he/She can let him/her go or the offender may offers to pay the police officer for his/her freedom.

The practices like this had made the society to lose their faith on the police department as well as Justice. In some cases we find that people who are not qualified for a particular Job are being hired only because they had paid the recruiter, some company officials may even request for sex in return for a position. The company will end up with the people who are not suitable for the Job and the exults will be very negative, since unqualified personnel will never be productive.

If the company is no longer productive there will be a negative impact on society, because a lot of people may lose their Jobs Just because of bribery.

  • Private use of public funds and property.

Private use of public funds and property has been a serious issue in South Africa, and it has resulted in non-delivery of the services which the funds or property were meant for. There are cases whereby people die because they could not get the help room the police, Just because there were no vans at the police station since Mr. so and so had taken his wife to work with the police van.

Incidents like these do not promote crime in the society, because the culprits know that the police are not responding to the cases which are being reported. In South Africa, corruption has been taken as a norm and it seems like it is an acceptable practice. It is evident that the society is not developing at all, in terms of infrastructure, service delivery as well as housing. We need to teach the value of morale TTY to the young ones who will be our next leaders.

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Critical Analysis: Public Corruption

Corruption is a problem dealing with economic and social structure of a nation across the globe. Corruption in politics is a public sector phenomenon and is nonetheless one of the central issues facing many nations in modern times. Dealing with both legal and ethical considerations, there are instances that the office or duties are being betrayed in exchange of selfish benefits. Throughout history, failure of the remedies applied to it largely impacted the socio-economic development of the nation.

It is good to analyze what motivates corruption, how its different varieties are perceived, what does it serve and what can be done to minimize or even eradicate this. Attitudes towards position and obligations remained to be the prime factors that motivate public personnel to be do corrupt actions. In high level and low level of corruption, the use of public office whether it is a high official or a clerk were initiated with the use of authority giving favors due to self interests that need to be met.

For example, alliance in politics servicing an electoral candidate’s campaign if perceived as a power of assuring victory in the electoral process will result not just to gratitude but to a subtle obligation for paying back in terms of influential favors since being a candidate in election required allotment of non profitable amount of money. This can also be applied with clerks who have the ability to give favor in exchange of bribes.

This is possible when we consider the low compensation of government employees that in order to survive, or earn more money, they will choose to accept the bribe (U Myint. 2000. p. 40-41) We can have in mind that hard times and great stress will make corrupt people. As we can notice with the way situations are determining the attitude of an individual, we can say that corruption is a form merely not of political choice but of economic choice and if we are talking about economic variables, we should not forget that market will always play its role and price is which will matter most in dealing with it.

It remained one of the highly considered points of view in analyzing corrupt acts, but this economic perception applied in high level of corruption revealed that it is incomplete and has discrepancies for there are actual motives beyond such as the immeasurable power of discipline. With the extent of corruption’s effects in the society and with its length of stay in the history of policy making, there can be notions that corruption is becoming part of the culture or that corruption is a culture itself.

But any act and practices suggesting lame authority has no space in an ideal society thus making them nuisance and should be acted to totally remove them in the social system. The attitude towards the use of authority apparently needs to be addressed in post conventional manner to keep it on track of servicing solely the public interests.

All collective actions done by people in the social group defined and established the culture and if a portion of culture is no longer servicing its functions there should be a way that it can be destroyed and make changes to adopt in better situations. Political planning must address the issue with high authoritative will paired with the sensitivity with the root causes of it.

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Siemens Bribery Case

Ian Collins Survey of Global Business Professor Portillo BSAD 113W 18 February 2013 Assignment #3: Siemens Bribery Scandal Before 1999 the use of bribery in Germany was not illegal and could be deducted as a business expense in a company’s taxes. This allowed companies like Siemens to gain the upper hand and have an unfair advantage over their competition in acquiring business deals around the world. Then when the law changed, Siemens still utilized bribery, and employed bribery tactics in other countries where it was also illegal.

In this case study I’m going to analyze the rationale and high levels of corruption that transpired in the Siemens bribery scandal and utilize the Organization for Economic Cooperation and Development’s (OECD) Guidelines for Multinational Enterprises to illustrate the negative impact of bribery. Siemens use of bribery initially could have been justified by the fact that German laws allowed it and was not illegal until 1999; the issue was that Siemens continued to use bribery even after the law had changed.

Corruption was deeply embedded in the business culture. Siemens transferred money into Swiss bank accounts to avoid detection and then hired contractors to set up the bribes. These actions were standard operating procedures for corporate executives who viewed bribery as a business strategy. Senior executives even made certain individuals that were directly in charge of the bribery funds sign compliance forms stating they had not engaged in that kind of activity, bribes were referred to as ‘useful’ money.

The punishment Siemens faced involved paying fines totaling $2. 6 billion. In the Organization for Economic Cooperation and Development (OECD) Guidelines for Multinational Enterprises, which sets voluntary principles and standards for business conduct, clearly outlines the negative aspects that comes from bribery. “Bribery and corruption are damaging to democratic institutions and the governance of corporations. They discourage investment and distort international competitive conditions.

In particular, the diversion of funds through corrupt practices undermines attempts by citizens to achieve higher levels of economic, social and environmental welfare, and it impedes efforts to reduce poverty. Enterprises have an important role to play in combating these practices. ” In defense of the Siemens employees, many of them just believed that was how business was done and had the best interests of the company at heart. It was about keeping the business alive and not jeopardizing thousands of jobs,” if this indicates the intention of the employees then the act is more justifiable than just doing the action out of greed. Siemens is a company that allowed greed to cloud their judgement to use bribery to gain the upper hand, as well as not evolving with the changing laws. You can only speculate as to the real thought process behind the choice to engage in bribery, whether it was done knowingly to gain an unfair advantage or sincerely to protect the jobs of many employees, the action was still committed.

A company needs to be aware of the laws, regulations and what is considered acceptable business conduct of the other countries it chooses to do business with and not violate them, including the use of bribery. ——————————————– [ 1 ]. http://lilymayunjue. blogspot. com/2012/06/summary-of-siemens-bribery. html [ 2 ]. http://www. nytimes. com/2008/12/16/business/worldbusiness/16siemens. html? _r=0 [ 3 ]. http://www. oecd. org/daf/inv/mne/48004323. pdf [ 4 ]. Article: Siemens Bribery Scandal

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Cause and Effect of Corruption

There is a growing worldwide concern over corruption at the present time. Several factors are responsible for this. A consensus has now been reached that corruption is universal. It exists in all countries, both developed and developing, in the public and private sectors, as well as in non-profit and charitable organizations. Allegations and charges of corruption now play a more central role in politics than at any other time. Governments have fallen, careers of world renowned public figures ruined, and reputations of well-respected organizations and business firms badly tarnished on account of it.

The international mass media feeds on it and scandals and improper conduct, especially of those in high places. The rising trend in the use of corruption as a tool to discredit political opponents has brought scandalous and corrupt behavior to international attention. Corruption can be a major obstacle in the process of economic development and in modernizing a country. Many now feel that it should receive priority attention in a country’s development agenda. This greater recognition that corruption can have a serious adverse impact on development has been a cause for concern among developing countries.

In a recent survey of 150 high level officials from 60 third world countries, the respondents ranked public sector corruption as the most severe obstacle confronting their development process. Countries in the Asia and Pacific region are also very worried about this problem and they are in substantial agreement that corruption is a major problem that is hindering their economic, political and social development, and hence view it as a problem requiring urgent attention at the highest level. Increasing public interest and concern over corruption have resulted in a large amount of scholarly research on the subject.

Admittedly, there are still wide gaps in the current state of information and knowledge on the matter and much more remains to be done. Nevertheless, theoretical and empirical research that has been conducted thus far has yielded fresh insights into the problem. We now have a clearer understanding of the underlying causes of corruption, its consequences, and ideas and approaches on possible measures to combat it. At the same time, a better perspective has been obtained on the reasons why corruption persists in so many countries, and why it is difficult to deal with, although people throughout he world view it with disfavor. It is a common practice in many developing countries to institute price controls and to provide essential goods and services at subsidized prices to consumers. The official price for a key food item, such as rice, is fixed by paying a low administratively set price to farmers, while gasoline, electricity and charges for public transport and other essential items are provided at low subsidized prices. These mostly benefit city dwellers as they are the main consumers of these subsidized goods and services.

The urban bias in the provision of subsidized food and other necessities stems from the political reality that city dwellers, especially the large masses at the lower end of the income scale, are more politically conscious, better organized and are easier to be instigated into civil unrest than the rural poor. It is usually discontent in the cities that ignites social and political upheavals in a country. Fixing prices at artificially low levels lead to demand exceeding supply for the subsidized goods so that the all too familiar shortages, rationing, corruption and black markets result.

Several undesirable consequences follow. There is a loss of potential government revenue. For example, when those that have access to subsidized gasoline, such as government officials and car owners, sell it on the black market at several times the official price, they make large profits. These profits could be taken as revenue by the government, if there is no subsidy, no price distortion, and gasoline is valued at its true opportunity cost, that is, charged by the government at its market clearing price.

Setting low farm prices on rice and other agricultural products, to provide cheap food for city dwellers, means farmers are subsidizing the people in the cities. Likewise, low prices set on gasoline and energy contributes to deficits in the government budget. Fixing low prices on rice and agricultural products, in the wake of sharp increases in the prices of other domestically produced and imported goods, turns the terms of trade against farmers. This adversely affects their incentive to produce and hinders agricultural output. Low prices set on energy result in huge losses for the government enterprises engaged in this area.

Consequently, they do not have the resources to invest in new facilities, to buy spare parts or to properly maintain existing machinery, and equipment that are falling into disrepair. The outcome is frequent breakdowns, unreliable and poor service, and general inability to meet requirements in terms both of generating capacity and in the quality of energy produced. Under-pricing energy has other harmful effects. Cheap energy leads to its uneconomic and wasteful use. When energy prices are kept at a level much below cost for decades, there is little incentive for its users to adopt energy efficient technologies and methods of production.

So they are not sufficiently prepared for the large price adjustment that inevitably comes when low prices are no longer sustainable due to an internal or an external shock. The result is disruption in production, more corruption as bribery will be resorted to order to avoid payment of the higher charges, and increased inflationary pressures as higher energy costs will be passed on to consumers by raising prices. Thus, price controls, subsidies and the corruption and black markets they generate, can lead to undesirable social and economic consequences.

This also illustrates the point that dismantling controls, getting rid of subsidies and preventing price distortions form a key element in economic reforms and for the establishment of a properly functioning market economy. Unfortunately, corruption places severe constraints on a country’s capacity to undertake economic reforms. The rich and the powerful, the main gainers of a corrupt system, will therefore oppose reforms. The leadership in a country has a key role to play in combating corruption. It is an Asian tradition to hold leaders and those in authority in high regard and esteem.

Hence the top leadership must set a good example with respect to honesty, integrity and capacity for hard work. Since fighting corruption will involve taking difficult decisions, the leadership must also display firmness, political will and commitment to carry out the required reforms. Honest and dedicated leaders are an essential, but not a sufficient, condition to counter corruption. Several other conditions are needed as well. Credibility is one of them. For success, the offenders both on the demand and supply side of a corrupt deal must be convinced that the government is serious about fighting corruption.

Publicly try and punish some well-known corrupt people in the country. Some highly publicized trials and convictions of important officials and businessmen on charges of corruption have taken place in several countries. A publicity campaign to create greater awareness on the adverse effects of corruption and a clear and unmistakable official announcement on the desirability to bring it under control would be helpful. Ordinary citizens have a lot of firsthand experience with corruption, they are a good source of information and their help and cooperation should be solicited for the successful launch of an anti-corruption drive.

Once people are convinced that a sincere and genuine effort to combat corruption is underway, they will respond and extend their full cooperation in resolving the problem. Just a little opening up and providing opportunities for them to express their views on the matter will bring forth an outpouring of information, ideas and suggestions. A responsible press to gather, analyze, organize, and present information is considered vital to create greater public awareness and to provide the momentum for undertaking reforms to overcome corruption.

Secretiveness has been a key factor that has enabled public officials and politicians to get away with corruption. A responsible and an investigative press has played an important role in many countries, both developed and developing, in exposing misconduct as well as in serving as a watchdog to limit corruption and preventing it from getting out of hand. The press has not always acted in a responsible manner, and like everything else in this world, it is not perfect. Nevertheless, its power to limit misconduct and improper behavior should not be underestimated.

Views on the effectiveness of anti-corruption oversight or watchdog bodies are mixed. There are instances where they have proved useful. However, in surveys and interviews of public officials and members of civil society organizations, most respondents do not have a high opinion of them. Improving institutions involves such things as improving the legal framework, promoting efficiency of the police force, strengthening the auditor general’s office, and appointment of a responsible inspector general empowered to investigate and prosecute corruption.

A useful conclusion that has emerged from the current discussion and ongoing debate on the corruption issue is that corruption is a symptom of economic, political, and institutional weaknesses in a country. To be effective, measures against corruption must therefore address these underlying causes and not the symptoms. Emphasis must be placed on preventing corruption by tackling the root causes that give rise to it through undertaking economic, political and institutional reforms.

Anti-corruption enforcement measures such as oversight bodies, a strengthened police force and more efficient law courts will not be effective in the absence of a serious effort to address the fundamental causes. Another observation that may be useful to bear in mind is that corruption is most prevalent where there are other forms of institutional weaknesses, such as political instability, bureaucratic red tape, and weak legislative and judicial systems. The important point is that corruption and such institutional weaknesses are linked together and that they feed upon each other.

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Importing a Foreign Product in Bangladesh

White appliance is a foreign company and it’s trying to get in Bangladeshi market. In Bangladesh the average monthly income is about 500 dollar a month which is 35000 in Taka.

So the income scale is medium. According to our survey we figured out that microwave oven is used by the people whose income scale is about 70000-80000 or higher in the month. If we consider the social class, we found the people from the higher and higher middle class are using the microwave oven and the rest of the people are comfortable with the gas stove. In Bangladesh, the market of microwave oven is not that good enough. Our company cannot sustain in this limited amount of market. The company actually wants a huge market to do business.

In this case, we got only one option and that s to expand the usage of microwave oven in the country and to do so we need to target a new segment. We can’t just work on only two classes. Rather we need to concentrate on the middle class and upcoming middle class people. To expand our market, we targeted the middle class and upcoming middle class families and to do so, we need to promote our product as a permanent need. For example, if we think of a house appliance, we always think about a tv, refrigerator, furniture etc. So we need to work in such a way that we can point that microwave oven is a must in a home appliance.

We have gone thru most of the middle class families recently to get their opinion and found that they can actually afford to buy a micro wave oven. The cost of a microwave oven is about 7000-10000taka but the problem is the usage cost. They say microwave oven consumes lot of electricity and it creates a huge electricity bills which sometime get beyond affordability. Even most people believe the oven make food tastes bad. Many of them don’t know how to use the microwave oven; even many of them misinterpret the microwave oven that it is a source of cooking food.

Yes of course microwave oven is a cooking product but it is not suitable for our Bangladeshi food habit. We cannot cook our food in microwave as it is made on European context. It is very good for ready made food. Since, Bangladeshi people are not habituated in ready made foods; we can promote the oven as a source of freshen up the food by heating it. So the factor that mostly will create problem interfering in Bangladeshi market is: 01. Huge amount of electricity consumption 02. People misinterpret the product 03. People think oven make food taste bad

The most important and common problem is the electricity consumption. Microwave really takes a huge quantity of electricity to operate. To sort out this problem we are concentrating on manufacturing as special kind of oven named the electric convection oven. In this oven it has a special device or an adaptor which make the oven consume less energy and heat the food like the typical microwave ovens. A table is given below Appliance |Temperature |Time |Energy |Cost | |Electric Oven |350 |1 hour |2. 0 kWh |11. 2 | |Electric Convection Oven |325 |1 hour |1. 39 kWh |5. 00 | |

We’ve made a compare between the regular oven and our special oven and figured out in average people can actually save 6 taka in every one hour. People may be getting interested on our product because we have made it cost effective. We need to promote our product in a way so that people should realize that microwave oven is not a product to cook, rather it helps people to get the food fresh by heating it. People have misconception about the microwave oven that it makes food taste bad. We need to reduce such perception and imply that there is nothing to do with the tastes.

It just heat up the food to make it fresh. Such promotion may get a huge response because nowadays people are getting busy day by day. Even in many families, both husband wife is doing job and therefore they don’t have much time for cooking. Even if we look at the bachelors, they still don’t get any time to cook. Microwave oven is the best solution to cope up with their busy days. In the segment of busy people they would get a relief of cooking several times a day. All they need to do is to cook food once a day and get fresh food all day by heating with microwave oven.

We can also promote the product by giving a recipe based on microwave cooking as a bonus. In fact we will also provide them with special bowls suitable for microwaves. We can also provide a facility of membership card to a particular shopping mall where they can buy their necessary groceries in a minimum discount. In this way, people may get interest of buying our product. We can also make the microwave open which can be operated by the remote control. It will be easy for the users to operate it. The advantage of microwave oven is it makes the food fresh.

Maximum people faced such problems in cooking and that is when food is been cooked in the afternoon, we prefer to have that in dinner too. So the food that was cooked in the afternoon need to heat up on the gas stove which makes the food dry. So to regain the previous taste, more spices and water should be given and again re cook the food which is very bothering and also it kills time too. In this case, microwave oven just heat up the food to make it fresh and it do not dry up the food which is an advantage.

Tagline: Though we are manufacturing and marketing the product in Bangladesh for the genuine people, I’ve considered THREE taglines “WHITES; FOR THE PEOPLE, BY THE PEOPLE, WITH THE PEOPLE” “LEMONY FRESH 24HR” “HEAT IT, FRESH IT” Thing we need to think is that how will we actually enter the market after targeting our customer. We first thought about making a permanent factory to get the market permanently but we cannot do that for many circumstances. The Bangladeshi infrastructure is not suitable for our company. Moreover in Bangladesh, political turmoil, labor strike and most important problem load shedding is the daily situation.

Our company cannot sustain with these problem. In this situation we are planning to get involve to a domestic company in Bangladesh in joint venture. We are interested of making a joint venture with Walton. Walton doesn’t manufacture micro ovens. So it might be a good opportunity for them to make a new segment of product in their company and we have the advantage of using their infrastructure. More over we can make a deal with them such as we will make the factory jointly by spreading 50/50 and our company will provide all the necessary machineries. Walton will maintain and hire the labor to manufacture our product.

Walton and whites works in a joint venture and so we can use their distribution channel. In the contract of joint venture we will offer them 70/30 profit and bargain the profit margin up to 40%. Then we will also bargain about the selling of our manufacturing product. We will try to convince them allow us to sell our product on the other Asian countries by exporting. Such as if 100 micro ovens are manufactured in the industry of joint venture, 50 micro ovens will be sold in the Bangladeshi market and there would be a 50/50 profit share on the first fifty ovens.

Then they must allow us to sell the other 50 micro ovens to other Asian countries by exporting thru Walton and we would give them 20% profit or may bargain up to 30% for the last 50 products. According to the contract Walton will maintain the labor cost and we have the right to employ our own expert representatives to watch out the both the internal and external situation. Our company wills not toler any trade union inside the venture premises. Government officers are not allowed as deputation. Yearly audit should be done by the renowned auditors.

Finally Walton cannot terminate this joint venture within 10yrs. It would be good for both of us because Walton got a new segment of their product line, and they can make some extra profit from the product and our benefit is our market is been diversifying. In fact the best advantage we got in this joint venture is reducing the labor cost as the labor cost in Bangladesh is very cheap. The factory overhead cost is very cheap. People here actually want to do overtime job in a certain payment where in the western countries people don’t want to do job more than 8 hr.

In our point of view, they should take the offer because by working with us, they might get many resourceful information, technologies, can train skilled workforce to develop their industry. The government might verify this thing and to develop their domestic industries they might be very co operative with us. For example we don’t need to give duty fee in the port, more over we might get a facility to export our product from the Bangladeshi port on behalf the Walton in a half tax rate. The disadvantage of this joint venture is the leak of technology and information.

If the country’s national level business policy frequently changes, it may affect our company profit. The most important issue is the corruption. If the corruption can’t be controlled, law and order situation is not good in the country and lack of good governance may create a huge problem in this joint venture. Working in Bangladesh as a joint venture it saves a lot of money because it has less responsibility such as labor cost and maintains, political turmoil, load shedding etc. The home country would take care of these. The process we are saving a huge budget is called the economy of scale as it utilize the money very efficient way.

Establishing a factory in Bangladeshi premises would cost lot of money. We believe our company is working not only for the highest income category or group but for the every level of people. We are highly dedicated on fulfilling the customer need. We don’t work just for a profit. Considering the people’s need and the income status, we offer a facility of buying our product in an installment. People can buy our product in 3 month Period installment. It might be a chance of encouraging people to buy our product. To inform the people about our product, we choose to make commercial advertisement in various public channels.

Nowadays cooking program in TV channels has gained a good reputation. In this case, what we can do is to sponsor a cooking program or we can arrange such program in TV channels based on the recipe which is related on microwave cooking. For some reason, if the budget gets tight, we will request some of those cooking programs to use our microwave and influence indirectly the audience to buy our product. We can also promote our product by giving the opportunity of demo using in the retail stores in the country. We also can arrange a flash mob in the busiest locality to get the product in the peoples mind.

We can also sponsor many inter country sports to spread the name of our product. In the last step we will also try a pilot operation on marketing our product in the Bangladesh defenses especially in the Army. The name of this pilot operation is called “THE VETERAN”. In the hill tracks or in the borders our soldiers face a lot of problem on getting fresh food. They often complained about it. They can’t get fresh food just because in those areas they are in the call of duty for the nation. They are not authorized to leave their position or to return their barracks for the sake of the country’s safety.

Yes there are cooking facilities in the barrack but there is certain time of three days meal. If a person misses that time, he or she will not be allowed to get the meal. So in this case, they have to cook it for their own. Now the soldiers in the duty cannot often return in time. In this case, they don’t need to cook again rather all they need to do is to heat up the meal. So to sort out such problem, we might influence them to use our product in 20% discount rate. This discount is named as the veteran rate. We are not actually just doing business but we also took the oath of serving our nation.

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