The Conscience of Companies Today

Organizational or corporate social responsibility refers to the obligation of a business firm to seek actions that protect and improve the welfare of society along with its own interests. Corporate social responsibility often challenges businesses to be accountable for the consequences of their actions affecting the firm’s stakeholders while they pursue traditional economic goals. The general public expects business to be socially responsible, and many companies have responded by making social goals a part of their overall business operations (Hay, 1989). This paper will discuss four companies that have a conscience towards our today’s society, and helped to create a better community for all of us, they are Johnson & Johnson, American Telephone & Telegraph (AT&T), Herman Miller, and Procter & Gamble.

A crisis confronted Johnson & Johnson in the fall of 1982, when seven Chicago area residents died after taking Extra-Strength Tylenol capsules contaminated with cyanide. Not only was $400-million-per-year Tylenol the best-selling U.S. drug, but it was a product that symbolized the Johnson & Johnson reputation for quality, gentleness, and fine health care (Kreitner, 1990).

Despite the pressures of dealing with national media coverage, J&J executive immediately opened their doors to the press and took great pains to keep the public informed about the situation. It soon became apparent that the cyanide had been put into the capsules after they had left J&J’s factories, and the problem seemed to be confined to the Chicago area. Nevertheless, Tylenol sales sank to 20 percent of their previous level, and an opinion poll showed that 61 percent of Tylenol users intended to stop using the product.

A major question that arose was what to do about the 31 million bottles of Extra-Strength Tylenol on drugstore shelves throughout the country. The FBI and Food and Drug Administration advised J&J managers not to take any drastic action. Even so, the managers promptly took the unprecedented step of recalling the unsold bottles, at a cost to the form of $100 million (Fortune, 1987). A few weeks later they decided to reintroduce Tylenol capsules in a triple-sealed, tamper-resistant package. In the months following the tragedy, the company established a consumer hot line and continued extensive cooperation with media. It also made a widely advertised refund offer to consumers for any pre-crisis capsules they still had, and its chairman, James E. Burke, appeared on the Donahue show. In an opinion poll taken 3 months after the tragedy, 93 percent of the public felt that J&J had done a good job of handling its responsibilities.

In considering these events, David R. Claire, J&J’s president, said, “Crisis planning did not see us through this tragedy nearly as much as the sound business management philosophy that is embodied in out Credo.” The Credo’s first opening sentence is: “We believe our first responsibility is to the doctors, nurses and patients, to mothers and fathers and all others who use our products and services.” (Pearce & David, 1987) .

Unfortunately, the importance of relying on the Credo was soon demonstrated again by another crisis. In early 1986, a 23-year-old woman died after taking a cyanide-laced Tylenol capsule. The company quickly offered to the replace capsules with caplets, tablets in the shape of capsules. The replacement effort cost J&J $150 million. In addition, J&J announced that it would no longer offer Tylenol in capsules-another bold and costly move in keeping with its Credo.

The actions of J&J in the two Tylenol incidents earned the company widespread praise. Among Fortune’s 300 most admired U.S. corporations, J&J was rated number one in 1987 on community and environmental responsibility. J&J’s action in the Tylenol situation were unusually swift, decisive, and costly. In the mid-1990s, Tylenol remains one of the America’s most popular and trusted brand names (Guzzardi, 1990). The product commands nearly one-third of the $3 billion brand name analgesic market. No other brand approaches have even 50 percent of Tylenol’s market share.

American Telephone & Telegraph (AT&T) established goals for reducing air emissions, CFCs, solid waste, and hazardous waste in 1990. Under the direction of David R. Chittick, AT&T’s vice-president of environment and safety, the company has either surpassed its operations, AT&T invested $25 million to develop an array of alternative technologies (Business Week, 1987). One, called how solids spray fluxer, eliminates the need for CFC solvents to clean excess flux from electronic circuit broads. AT&T is now selling this technology to some 25 other companies, among them IBM. AT&T even gives its ideas away at times, to help to create a better and safer environment for all. The company managed to eliminate virtually all its ozone-depleting substances a year and half before company’s goal, and 2 years ahead of the worldwide ban.

Now AT&T does not have to worry about the new U.S. law that requires companies to put warning labels on all goods that contain or are manufactured with ozone-depleting substances. The company figures that the cost of tracking and labeling all the tiny components and switching systems that it once manufactured with CFCs would add up to hundreds of thousands of dollars. The early phase out also will save AT&T $25 million annually.

In addition, AT&T embraces total quality management (TQM) principles to solve the universal office pollution problem of too much paper. First, the company established a corporate paper reduction goal of 15 percent by 1995, then it created a corporate TQM team to figure out how to meet it. The department’s TQM teams suggested simple ways to decrease paper consumption, such as eliminating cover pages and using electronic rather than printed media. The department was consuming 22 percent less paper within a year.

Today, AT&T is one of the companies that has the reputation of saving the world. Company’s ‘goes green’ not only create a better place for communities, but also helping the company to save on a lot of costs.

Herman Miller, Inc., proves that financial success and a constant striving to be a better corporate citizen are complementary, not contradictory, goals (Griffin, 1993). The company has long been as well known for its participative management system as for its innovative office furniture designs (Woodruff, 1991). The company is doing everything it can to lessen its adverse effect on the environment. It recycles leather, vinyl, foam, office paper, telephone books, lubricating oil, and even old office furniture. When it found that recycling 800,000 Styrofoam cups every year was not practical, it banned the cups and handed out 5,000 mugs. Instead of dumping into landfills the 4,000 tons of scrap fabric that it produces each year, it now ships them to a North Carolina firm that shreds them and turns them into insulation for car-roof linings and dashboards.

Since 1982, much of the trash that can not be recycled has fueled Miller’s waste-to-energy plant, which saves $750,000 a year in fuel and landfill costs and paid for itself in ten years, a decade ahead of schedule (Woodruff, 1991). Miller also recently spent $800,000 for two high-tech incinerators to burn the toxic solvents that escape during staining and varnishing. Miller’s environmental consciousness extends beyond local and national products. One of the company’s best-known products, the $2, 277 Earnes chair, was always finished with rosewood until the company’s research manager realized that Herman Miller was contributing to the destruction of tropical rain forests. He consequently banned the use of rosewood and Honduran mahogany.

Another test of Herman Miller’s humane attitude came when some of its employees contracted the AIDS virus. When an AIDS victim in the company’s Georgia plant decided to let the rest of the workers know about his condition, his supervisor took charge, acting as what Herman Miller Chairman Max DePree calls a “roving leader”. The supervisor told two managers, and then the three of them quickly told everyone in the plant, ensuring that rumors did not get started. On the next workday after the announcement, the company’s director of health and wellness flew down from Michigan to show a video on AIDS and answer questions. With a history of such sensitivity to its environment and its workers, it is no surprise that Herman Miller tops lists of most-conscientious and best-managed companies (Nelson-Horchler, 1991).

Procter & Gamble is another company that has a conscience by helping the community. The 23rd Summer Olympic Games will be held in Los Angeles, in July and August. This will be the high point of years of hard work and training by many of America’s young athletes who are eager for an opportunity to make this country shine. But the U.S. Olympic Committee, which is responsible for fielding the U.S. team, depends on the American people to support these talented athletes. The U.S is the only major nation in the world whose Olympic athletes do not receive a continuing government subsidy. U.S competitors are supported solely by private donations.

P&G has initiated several programs to help raise these funds, giving millions of Americans the chance to support this important cause (Cordtz, 1990). Five big separate coupon events, involving over thirty P&G brands, make up the company’s Olympic promotions. They are designed to encourage consumer to purchase P&G brands and thus aid U.S. Olympic athletes. The company also sponsored a sweepstakes that helped to raise more funds. P&G Chairman of Board Owen B. Butler presented a check for $1 million, on behalf of the company to the U.S. Olympic Committee.

P&G’s past experience has taught the company to expect such business success. For the past four years, P&G has sponsored similar promotions benefiting the Special Olympics, and international sporting competition for mentally and physically handicapped children and adults. Business results have been very impressive. P&G helps itself by helping the communities.

Four examples stated above say that corporate social responsibility does not necessarily lower profits but encourage firms to focus on long-run profits rather than short-run profits, and optimum profits rather than maximum profits (Post, Frederick, Lawrence, & Weber, 1996). Because of its obvious importance, organization proactively attempt to manage social responsibility (Van Fleet & Peterson, 1994). Moreover, the iron law of responsibility suggests that socially responsible behavior may have a positive long-run effect on organizational success.

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Best Practice

What is a best practice? 1. It is the most efficient quantity and quality 2. A previously successful method 3. labor/appropriate use of materials 4. Money goes up (owner) 5. Replicable (everyone) 6. Defines goal (making money while maintaining guest satisfaction) 7. High guest satisfaction 8. Efficient 9. Ethical Stake Holders Employer/Owner Employee Guest Environment BONUS QUESTION: Jay Westerweld in 1987, invented Green Washing which is a deceptively used method to appear “eco-friendly” to increase profits or gain political support STOP: Standard Operating Procedure (Used by corporations)

QPI: Quality Performance Indicators ROI: Return of Investment Q: What is the difference between an independent and corporate chain? (INDEPENDENT HOTELIERS SHARE BEST PRACTICES by ERIC STOESSEL) Independent: * They are not branded and as well known * Customers tell the Independent hotels if something is wrong, not the brand * “Can do what they want when they want” * Biggest Challenge: Online Travel Agencies – reduced rates and high commission = losing money but you get exposure * 25% rate for product purchasing while corporate pay less than 17% * BP: “Capture and Keep” customers from OTA BP: Using online websites for bulk products such as Alibaba. com or Amazon. com * BP: Loyalty Program * BP: Call other property owners for advice * BP: Incentives for front desk staff of 20% – 50% commission for every room upgrade, early check in or pool pass sold instead of hiring a director of sales * BP: ? Charge guests property tax in times of trouble INDEPENDENT HOTELS: The drake hotels, Windsor Arms Hotel, Hotel Victoria What are best management practices for natural resource conservation? (29 BEST MANAGEMENT PRACTICES AND CASE STUDIES AT NRPA.

ORG/CONSERVATION) * Rain Barrels: Conservation education and fun with a 1,000 gallon rain barrel * Rain Gardens: Can slow stormwater, conserve water, and create a wild life habitat and landscape beauty * Wind and Solar Energy (WESTIN HOTEL IN TORONTO: GREEN ENERGY, ONLY HOTEL WHO’S LOBBY RESTAURANTS ARE POWERED 100% GREEN ELECTRICITY, FOR RECYCLING: ALL ORANIC WASTE MATTER IS SENT TO A COMPOST OF SITE. HOTEL IS EQUIPPED WITH RECYCLING BINS IN ALL AREAS & FOUR SEASONS INTERNATIONAL PARTICIPATES IN TREE PLANTING DAY) Best practice in Hospitality Maintenance BP: Management can remind housekeeping staff of the three basic rules: Clean, Disinfect, and Deodorize * Cleaning: Wipe surface from one side to another, and dirt removed first before disinfection. * Bucket of solution should be changed frequently eg. Every 3 rooms. * When Cleaning hard floors, use two bucket moping techniques * Use a cleanser appropriate for multiple surfaces * Dilution Control saves time and money- bulk * Shiny floors and vases – use metal polish daily * Provide incentives to staff who pick up trash, sweep corridors, wipe counters and tables (BEST PRACTICES IN HOSPITALITY MAINTENANCE – H2E CORNER) ARUBA MARRIOT CARRIBIAN RESORT PROVIDES HOUSEKEEPING STAFF A FULL WEEK OF FUN WITH BREAKFASTS, DINNERS, GAMES AND PARTIES ON AND OFF PROPERTY TO SHOW APPRECIATION AS AN INCENTIVE) Q: Name five different ways of being able to tell whether you have pests 1. Gnaw Marks 2. Droppings 3. Wall Marks 4. Smell 5. See the Animal 6. Skin Q: What do you do to eliminate them? 1. More air flow where there the air makes the flies go out 2. Fly Lights – sodium lights which keep them off instead of killing them 3. Automatic or spinning doors 4.

Weather stripping (the thing at the bottom of the door) 5. Gravel barrier or a grate because pests don’t like uneven surfaces 6. Training staff to understand the importance of closing the door behind them such and pest control Best practice of water management * EPA – began a label called Water Sense that helps the end user identify water-saving products. * Managers being trained and aware of making sure only the best when buying the products * Utilize the service of performance contractors * Minimize water waste and expense has started to become on the best practices.

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Market Mix Persuasive Essay

UNIVERSITY OF NAIROBI SCHOOL OF BUSINESS STUDIES – BANDARI COMPUS KIBWANA . K. MATAKA REG NO: D61/70919/2008 MASTERS IN BUSINESS ADMINISTRATION ASSIGNMENT A. IDENTIFY A FIRM OPERATING IN KENYA AND ANALYSE ITS PRODUCT MIX USING BOSTON CONSULTING GROUP MATRIX (BCG MATRIX) B. FOR THE SAME FIRM DISCUSS HOW CHANGES IN THE MARKETING ENVIRONMENTAL FORCES IN THE LAST THREE YEARS HAS AFFECTED MARKETING ACTIVITIES. C. IDENTIFY LAWS/ACTS IN KENYA AFFECTING MARKETING. WHAT IS THE PURPOSE OF LAW/ACTS. A. Identify a firm operating in Kenya and analyse its product mix using Boston Consulting Group Matrix (BCG Matrix)

In order for us to discuss the identified firm operating in Kenya and analyse its product mix using Boston Consulting Group Matrix (BCG Matrix) its important to discuss Boston Consulting Group as concepts then we apply and analyse the company identified. Boston Consulting Group Matrix which is also referred as BCG Matrix, Boston matrix, Boston Box, Boston Matrix or Boston Consulting Group analysis is a chart that has been created by Bruce Henderson for the Boston Consulting Group in 1970 to help corporations with analyzing their business unit or product lines.

Among its uses this model helps organizations to allocate resources and is used as analytical tool in branding marketing, product management, strategic management and portfolio analysis. For the purpose of our discussion we will analyze the East African Breweries Ltd (EABL) which has an annual turnover of over 30 billion and has the largest share of beer industry in the region. The group employs more than 1000 people across East Africa. We intend to skew our discussion on the Kenyan perspective of the company.

Generally, Boston Consulting Group matrix considers two criteria the native market share and marketing growth rate. Categorically it separates products into four areas namely:- * Stars * Question Marks * Cash Cows * Dogs Question Marks Under question marks products we argue that Alvaro which is a non alcoholic malt drink qualifies to be considered into this category. These products which are also referred as problem child have high growth rates but low relative market share. In the first six months in the market the company had spent over 600,000 to promote it.

Thus they are known to be growing rapidly and thus consumes large amount of cash. Alvaro has shown the potential to gain market share and become a star and eventually a cash cow when the market slows. However if the question mark does not succeed in becoming a market leader it will degenerate into a dog when the market growth declines. Question marks must be analysed carefully to determine the direction in which they are moving toward to. Stars In November 2004 EABL introduced Senator keg brand into the market.

The brand has high performance since it is providing affordable and high quantity alternatives for illicit brews. It targets the low income earners. This brand qualifies to be a star. Senator Keg is probably relatively new product in the growth phase because they have high market shares, however they may be generating sufficient growth profits to cover their investment needs. By 2008 the product had passed the mark of 3500. This products will become cash cows of the later years but it currently unlikely to be enerating a high level of revenue due to the high level of investment required to expand the product. Usually the predominant strategy is to grow then to the next stage the “cash cow” where most profits are made. To achieve this company is using the ‘Tuko Mtaani’ na senator keg promotion as the main marketing campaign. Cash Cows Tusker is the main brand for EABL with over 30% of the Kenyan beer market selling more than 700,000hectolitres per year. This brand was launched in 1923. Tusker beer has high market share in a show growing industry.

This product typically generate cash in excess of the amount needed to maintain the business. With this product the market life circle has moved to maturity and the growth is slow. They are regarded as staid and boring state. Tusker beer as a cash cow, also benefit from low production costs, reaping the advantages of experience or learning curve, plus product loyalty. Pilsner beer brand may also be categorized in this category. Dogs They are products which have little or no prospects. Some books refer them as pests. These units typically break even generating enough cash to maintain the business market share.

It may not yet be making a loss unless it is demanding disapproriate use of overheads. Hence this category and just like the problem child should be thoroughly analysed with a view of either improving it or even discontinued as soon as it becomes a burden. Whitecap beer brand falls under this category. It is one of the oldest brands which is targeting high ranking professional people. The overall goal of this ranking is to help corporate analysts decide which of their business units to fund and how much which units to sell.

The above discussed can be summarized in the table below:- StarsSenator Keg| Question marks/problem ChildAlvaro| Cash Cows * Tusker * Pilsner| DogsWhite Cap| Market Growth Rate Low High Market Growth Rate HighLow Relative Market Share B. FOR THE SAME FIRM DISCUSS HOW CHANGES IN THE MARKETING ENVIRONMENTAL FORCES IN THE LAST THREE YEARS HAS AFFECTED MARKETING ACTIVITIES. The Marketing Environmental factors for Kenya Breweries consist of the actors and forces that affect the company ability to develop and maintain successful relationship with its target customers.

In the last three years the company experienced changes in the marketing environmental forces. These marketing environmental forces may be categories either as micro environmental forces and macro environmental forces. The changes in micro environmental forces will be discussed by looking at both the internal and external environmental forces. The changes range on the following areas:- * The company * The suppliers * Marketing intermediaries * Customer markets * Competitors * Publics During the period under review the company experience a marketing change (physically) of the top management.

Recently the top management experienced a shakeup after the CEO – Mr. Gerald Mahinda, leaving the company to South Africa based company Brand house. This calls for readjustment, internal rearrangement, which affected the marketing programmes, plans and actions. More adjustments are expected since the person replacing Mr. Mahinda – Mr. Seni Setu from Ghana was working with Coca cola it is expected that he will pump in the skills gathered from the rival firm. During the electioneering period year 2007/08 the country witnessed massive violence and destruction of properties.

The most affected region is the Rift Valley and central Province. These are the regions which are known for growing barley which is the main raw material for beer processing. It is in record that farms were set ablaze and farmer displaced. This greatly affected and disrupted the supply pattern and equally affected the cost of acquiring the raw material. In a large extent this compelled the company to resort to alternative sources of raw materials. Since the traditional suppliers were no longer reliable, stock not available.

This greatly raised the production cost and hence cost shifting process was and is still being administered. This fact has been captured by the EABLS2009 half year results report which had the theame of “ growth in extraordinary times”. Changes in Marketing intermediaries such as resellers, physical distribution firms, marketing services agencies and operations of financial intermediaries has greatly affected the marketing activities of East African Breweries and the country at large. The period under review witnessed the introduction of telebanking services.

The Mpesa and Zap concepts for the safaricom and Zain mobile service providers greatly affected the marketing intermediaries. In fact some resellers are now partnering with these two services providers. This has smoothen the marketing activities and shortened transaction period. Our discussion on marketing intermediaries is not complete without looking and analyzing the aftermath of post election violence in particular. The period under review witnessed the physical redistribution of reseller, firms and the potential customers.

The resellers, firms and customers migrated away from volatile regions to neutral grounds. The company areas forced to utilize the research and development department to analyse this new trend of distribution of resellers; physical distribution firms and relocated customers. In order for East African Breweries Limited to create satisfying customer relationship it must partner with marketing intermediaries who form an important component of the company’s overall value delivery system to customers. The resellers who are at times referred to as middlemen are the main players for the company.

The company distribute their products through the wholesalers to the retailers before reaching the final customers. The wholesalers are considered as the distributors. Hence like explained earlier all these were affected by the post election violence. However still the company did a lot of the intermediaries marketing. For example 500 bars were recruited and activated, 2500 waiters trained and modules and CDS manuals provided. The East African Breweries Ltd position and strength in relation to the competition and its market share has a very important influence on company strategy.

The period under discussion saw the entrants of new players and aggressive advancement of new competitions such as Keroche Industries and Kuguru Food Products. This led the company into trying to reach out for the new products such as the new brand of customers. The introduction of non-alcoholic drink (Alvaro) which is a flanker product and meant to attract other customers. In order to the capture the market from illicit brews. The company introduced the Senator keg. This new products exposed the company to the major marketing battle with the Coca cola company.

Under competition companies usually derive their marketing strategies from the competition rather than customer orientation. According to research about 70% of Kenyans predominantly Christian populations do not drink alcohol but do socialize in bars and pubs. According to Ndirangu Maina, – the Managing Director of Kenya Market Research firm (Consumer Insight Africa) “The non alcoholic business was owned by Coca cola, its amazing that an alcoholic company would think of that before coke. ” Like explained earlier over 600,000 has been pumped for this product.

The fact that we have competitors in the market implies that Kenya breweries is not a monopoly. In fact they are at times challenged by the traditional brewers who have cheap products. This prompted the company to introduce new products such as Allsops and Senator keg into the market. Basing our next argument on the studies of Kotler by looking at the seven types of publics. For the last three years all the seven publics were affected by a number of changes. The period witnessed the formation of East African Community, this has led to the company advancing into all east African Countries including Rwanda and Burundi.

This greatly increased the size of publics for example citizens action publics include consumer organization, local publics, general publics and the internal publics have been increasing. This greatly changed the marketing strategies, plans and timings. Our second part of discussion is based on the macro environmental forces which are factors over which the organization has least control over the last three years. These factors have greatly changed hence affecting the marketing activities. Changes in social cultural environment is from two dimensions – social and cultural. Kibera F. N. and Waruingi B.

C advance an argument of the concept of “oneness” among Africans. This belief further influences distribution in that many African distributor find it unethical to expand profit base at the expense of their own. It has further been argued that consumers go for imported goods because they view them as superior. Also related to culture are norms and believes for example EABL will not concentrate on North and eastern province because of traditional norms and religions and beliefs on alcohol. However for the purpose of our discussion let us look at social factor associated with demographic patterns.

The perpetual pull of the urban centers and the push of rural centre’s have lead to concentrating the population on urban areas. This trend has now changed to pull those urban areas which have more cosmopolitan status which was as a result of post election violence. There a number of people lost their lives. This clearly shows that clenographic patterns keeps on changing with the interaction of people and the other element of cultural borrowing and sharing. Generally the urban population is characterized by the sprawling slums for the low income people.

The company resorted to introducing Senator keg campaigns of the Tuko Mitaani so s to capture this market. The fact that cultures are for people and people form the markets hence any changes in them greatly affects the marketing structure and strategies. There is negative publicity or rather attitude of the society towards bar attendants. Recently the company as a marketing venture resolved to national campaign of training the bar attendants and to a large extent sending the message to the society that there is nothing wrong with those who deal in alcohol a total of over 2500 waiters have been trained.

Further those one found sellers of their products by training them they greatly improve their image and sales. The world is currently experiencing economic crunch. Inflation is on the rise and it has passed 29. 30%. This means the cost of production is increasing, also consumers are now conscious of the prices and priority is placed on primary products. Hence EABL is witnessing a shift of customers to cheaper brands. Here the Tuko Mitaani promotion came into play. Unemployment or disguised employment is on rise. This affects the customers behavior because of absence of source of income.

Further for those who are employed due to the world economic crunch and inflation, the disposable income is mainly spent on primary goods. Hence the percentage which is normally being left for luxuries is being reduced and further consumer shift to cheaper products and local brews. The economic crunch has also affected credit availability. Here many distributors continue to carry narrow assortment of merchandise. Therefore the economies of large scale distributions are largely affected. Also affected is EABL which has to get some supplies on credit.

The company came up with Jisimamie na Kshs. 50 million credit advancement strategy targeting SME’s and giving them 50,000 for a viable business plan. Since under such circumstances consumers buy what is really necessary and the EABL is out for cost saving ventures. This greatly affect marketing exercise which are generally consume a lot of cash the marketing spending yet increased by 5% in 2009 reports, EABL has to be careful therefore with pricing policies, marketing and distribution activities. EABL in 2008 alone 2. 165 million was spent on marketing alone.

Coming up with Bambua Bambika million promotion meant to entice consumers to buy with the hope of getting out of economic crunch. The speed of change and the impact of technology has a major impact on the EABL ability to undertake the marketing activities. Technological environment is based on scientific knowledge, research, inventions and innovations. The period under review saw the introduction of major technologies. To mention a few introduction of new technology for canned beer, telebanking and widespread use of internet and world wide web.

The top achievement of the company is the coming up with a high yielding barley species. The change in technological forces has greatly influenced marketing activities of EABL. Further the company has capitalized in internet to create a web site which is interactive and calls for scanning of information across the board. The canned beer is suitably parked for takeaways. The ecological/physical environment forces are calls using of physical environmental friendly ingredients. The changes in climatic conditions for the last three years is associated with global warming.

We are witnessing harsh climatic conditions. The extremely hot conditions have forced EABL to start the programme of supplying refrigerators to wider areas so as to cool their products and making them more refreshing. Further harsh climatic conditions have affected production of barley hence raise cost. Further the company has launched the Green Goals 2010 innitiative with its six pillars such as caring for environment, enforcement of environmental standards, recycling, waste reduction and survey matters. In order to take care of pollution the company is sticking to recyclable non wasteful parking material.

All these environmental issue have led to the growth importance of green issues in marketing. Related to the physical environment forces is geographical forces. Population distribution and size indicates an absolute potential consuming public. The bulk of this discussion has been explained while presenting arguments for demographic pattern and its changes. Connectivity and general infrastructure are part of geographical forces. Regions like Bundalangi and general Western region have experienced destruction of infrastructure such as roads, bridges due to harsh climatic condition.

This greatly affect the distribution of products and raises the cost of production and distribution. Increasingly, political and legal systems can have significant effects on marketing policies and strategies. Both the government and consumer have made the task of marketing more complex. The period under review has witnessed the raise of popularly known sin taxes by over 70%. This affected the cost of production. Further the government has introduced NACADA which is all out to fight alcohol and drugs consumption. This indiscriminate advocacy against alcohol has affected marketing activities of EABL.

The highlighted legislations and anti alcohol lobbyist strict advertising laws shaped the company’s marketing process. This lead to the following strategies. We ID Campaign, Don’t’ drink and drive campaigns The legal framework is more inclined toward regulation of activities in general terms. The concept of free market economy has greatly affected the marketing of KBL products since foreign products fill the market. The period being discussed has witnessed the ever growing concern of alcoholic related advertisement.

If this law is passed then it will mean total restructuring of market process for KBL even though this law is yet to be passed yet it is causing ripples in form of lobbying and discussion farms which the company is forced to take up the responsibilities and related cost. Finally the political skirmishes related to the post election violence has greatly affected the marketing activities of EABL. A lot has been discussed about the effects post election violence in the earlier discussions. c. IDENTIFY LAWS/ACTS IN KENYA AFFECTING MARKETING. WHAT IS THE PURPOSE OF LAW/ACTS.

It must be noted that marketing does not take place in a vacuum. Among the factors which affect marketing is legal related factors. In Kenya there are a number of laws which generally affect market operations in the country. The laws regulate marketing functions right from the functions, products and even pricing. For the purpose of this discussion let us look at them one after the other. The Supplies Preventition Management Act Cap 17 of 2007 aims at establishing, inventory, improve and publish the standard of the supplies professional. The Act guides on training and relevant examinations boards.

The Acts empower the administrators of this Act register and licence all practitioner under this cadre. The Sale of Goods Act Cap 31 specializes the condition for sales of goods in Kenya. The Act specifies the formulation of a contract and the performance of a contract. The rights of unpaid sellers against the goods and action for the breach of the contract one areas which have been covered in the Act. Narcotic Drugs an Psychotropic substances Act Cap 4 of 1994 is an Act of parliament with respect to the control of the possession of trafficking in narcotic drugs and psychotropic substance an cultivation of certain plants.

To provide for forfeiture of property derived from or used in illicit or narcotic drugs and psychotropic substance and for committed purposes. The Tobacco Control Act Cap 4 of 2007, its objective and purpose is to provide a legal framework for the control of the production, manufacture, sale, labeling, advertising, promotion, sponsorship and use of tobacco products including exposure to tobacco smoke in order to protect the user, consumer, person below the age of 18 and secondary affected citizens.

The Exchange Control Act Cap 113 (Repealed) is an Act of parliament to confer panes and impose duties and utilization in relations to gold, currency payments, security, debts and the import, export, transfer and settlement of properties and for purposes committal thereof. The Act further has rules which are regarded as the Exchange Control fees. The fire Arms Act Cap 114 is an act of parliament for regulatory, licencing and for the controlling, the manufacturer, importers and exporters, sales, repairs, storage, possession and use of firearms, ammunition, arigrams and destruction devices and commented purposes.

Which its subsidiary inflation the Act has rules associated with firearms. Equally fees chargeable per fireman is specified. Another Act of Parliament charged with the responsibility to make provisions for regulatory the sale and supply of liquor and for matters incidental thereto and committed therewith is the Liquor Licencing Act Cap 121. However this act does not apply to certain areas these areas have been stipulated in the Act varying for medical purposes to sale of liquor on board of vessels.

Related to this Act is the Pharmacy and Poisons Act Cap 244 which is also an Act of parliament to make better provision for control of the profession of pharmacy and the trade in drugs and poison. Copy Right Act Cap 130 (1966) is an Act of Parliament to make provision for copyright in literacy, musical and artistic works, audio visual works, sound recording and broadcasts. Under its subsidiary legislations has regulations which are amid at explaining caption 15.

Agricultural produce marketing Act Cap 320 is an act of parliament to control and regulate the marketing of Agricultural produce, enable marketing brands to provide for the powers and fantasies of the boards and for matters committed therewith. This stipulates the establishment of marketing boards and under its miscellaneous part it stipulates the regulations, offences and other related matters. Associated with this Act we have National Cereal and Produce Board, Pyrethrum Act 340, Tea Act Cap 343, Cotton Act cap 335, Coconut Industry Act Cap 332 and Coffee Act Cap 9 among others are all agricultural marketing related Acts.

The National Cereals and Produce Board Act which is an Act of parliament that regulates and controls the marketing and processing of maize, wheat and scheduled agricultural produce to produce NCCPB and control purpose therewith. The rest of the listed Acts listed in this paragraph are to provide respective avenue for reorganization, regulation of the respective industry and the control of growing process and most importantly marketing. That respective product for both scientific and agronomic research and any other concerned purposes.

The Pest Control Product Act Cap 346 (1983) is another agricultural related Act which regulated the importation manufacture, distributors and the use of products for controls of pests, and of the organic functions for control purposes. The Restriction Board Monopolies and Price Control Act Cap 504 is and act of parliament which is geared towards encouraging competition in the economy by prohibiting restrictive trade practices continuing monopolies concentration of economic powers and prices.

However even though this Act supports competition the Foreign Investment Protection Act Cap 518 gives protection to certain approved foreign investments and matters incidental thereof. In conclusion therefore legal aspects generally influenced the marketing practices in Kenya. In fact the laws discussed are only a few. There are others and in fact all the laws of Kenya has one way or another affected marketing either directly or indirectly.

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Ikea Strategic Brand Management

When people talk about furnitures, the first brand which comes to mind is IKEA. Originating from Sweden, IKEA first open shop in 1958, then in Norway in 1963 and soon after, it spread throughout the whole of Europe and thus slowly making its way to the whole world. With their biggest market in Germany with 45 stores followed by United States with 35 stores, now IKEA have 313 stores in 30 countries. (Cult Branding, 2012). Known for its simplistic design which has maximum optimization, IKEA product ranges from not only furniture but also different furniture segments such as kitchen cabinets, build-in wardrobe and much other furniture.

IKEA strategic brand management in making the brand such a craze among its customer and thus leading to a brand value which is important for IKEA’s entire product line making IKEA one of the most valuable brand in the furniture niche. A visit to IKEA for either shopping or leisure would reveal several factors on why customers come back over and over again for not only products from IKEA but also the shopping experience from IKEA. Comparing a visit to IKEA with any other furniture outlet is different as one gets the sense of belongingness as the layout of every IKEA store makes one feels homely.

It is so that customers can visualize their homes when buying IKEA products. IKEA’s interior designing team designed the rooms or kitchens in a way that people could visualize how their homes will look like before purchasing the product from IKEA making a purchase from IKEA a worthwhile one. Adding to that, IKEA made things different as its furniture and home furnishing shopping is differentiated so well, consumers who wanted specific products from specific departments of the home. Another value added to IKEA’s brand is about the design of the products.

Eventhough IKEA’s product design are minimalistic, the products presents itself in an innovative way in such that it does not take much space and yet still being able to function better or on par with what the particular product will do which still look pleasant to house owners or visitors instead of a sore eye. For instance, IKEA’s simple Lackside coffee table might look like a dull one in black and white, but throwing in the colours made it fun to look it although an old school design is used.

In a sense, that the designs are modern and traditional with functionality. IKEA’s products always come with a set of instruction manuals that are not complicated and are straightforward making IKEA’s product being easily assemble without much of hassle which in turn keep their prices low and reasonable to the range of products being sold. Making products in such way added value to the brand IKEA as furnitures are often regarded as comes in one piece or do it yourselves which is very difficult to assemble.

Having products in low and reasonable price range, it is no surprise that the brand IKEA appeals to most people, primarily to young urban couples or families which do not want to burn a deep hole in their pockets in their investment of their first house. However, this does not mean that people on the middle income or higher income do not buy products from IKEA. IKEA produces products in such it varies in prices depending on its differences. Therefore, the brand IKEA is made stronger by introducing a variety of product ranges with different product prices which caters and fulfill to any level of income consumer’s need in the market.

Despite having products at such low prices, this does not show that products sold are not of quality as buyers are given a sense of value to their household items but satisfying the customers saying “less is more”. Not only that, every single year, IKEA’s product prices are cut down even further which made it favourable for consumers who could not afford to get it the following year, thus making the IKEA brand also a favourable one. Taking things a few steps back, most of IKEA’s product are made of wood which somehow does not go well with the word environment in various ways. Therefore, waste reduction is a crucial key in production.

IKEA’s designers and engineers strive to reduce the amount of material used and wasted in production of its furnitures. Additionally, many waste products are then used to make new products, which in turn further reducing overall cost both to the pocketbook as well as to the environment. Adding on to this, the Recovery Department is responsible for sorting and recycling all recyclable materials, including packaging broken down in-sotre as well as materials collected from customers at recycling donation bins where available. In conclusion, IKEA’s strategic brand management involves its retail and alue to be seen by consumers all around the world. Using differentiation to its advantage, IKEA differentiates themselves with other big home furnishing and furnishing outlets available such as Big Brand, Darby and Vandrie through products which are innovative, quality and yet low in prices. And thus, living to its tagline “affordable solutions for better living” says it all. (IKEA 2012) References Cult Branding. (2012). The IKEA Cult Brand Profile. The Cult Branding Company. Retrieved from http://www. cult-branding. com/ikea-cult-brand-profile IKEA (2012). Welcome to IKEA. Retrieved from http://www. ikea. com/

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Proposal for Handicraft

PROPOSAL OF MODERN AND CLASSIC HANDICRAFT 1. 0 INTRODUCTION * This product is owned by MODERN AND CLASSIC HANDICRAFT SDN BHD. This company is located Bandar Hilir, Melaka. Handicraft is a product made by human’s hands without using any machinery or equipment. Generally handicraft means art or skills of hands are not usually dined with machines but rather with hand tools. The price that we offer is very affordable to our customer. 2. 0 PRODUCT DESCRIPTION 3. 1 This company’s product is handicraft basket newspaper. It is made from recycling of paper such as old newspaper. 3. Our company has many competitors of handicraft such as a cane handicrafts, wood handicrafts, bamboo handicrafts, and shell handicrafts. Their design and collection very impressive and modern in the global design trend. Plus, they all have a great and cute design and have a lot of experience and ideas in the creation of handicraft. 3. 3 Our product features is made from newspaper. The creation are beautiful and very high artistic. It does also promote recycling, have a light weight and easy to carry anywhere, durable, strong, very suitable in place in any room in the house and of course comes with cheap price. . 4 Our special features of product newspapers additional accessories such as ribbons to make a decoration into our product. It is to attract the people to buy our product because it is different from other products. 3. 5 Our product must be in the market because it is a very different product that other. An important that comes from this product is, it is made by hand. Moreover, it did not use any machine that harms an environment. Our product is also a terms combination in modern and classic handicraft.

Another thing is, our main aim for this product to be on the market is, to avoid more pollution happen in our environment. Overall, this product is comes from the newspaper and 100% handmade product. It is value for the customers and the quality of the product is guaranteed. In this product, the customer also can find another design instead the small one and the big one. Example, the basket and dustbin. 3. 6 Our product is suitable for the bride, house wife, traditional and handicraft collector, and also some restaurant owner.

This target of customers will likely to buy this product for specific purpose. For example the restaurant owner will buy our product for unique decoration of the table to place tissues. Same also goes to house wife. 3. 0 The objectives of our company are: 4. 7 To introduce to the people the uniqueness of our product that is comes from the newspaper. * The main option to produce this handicraft is to reduce the pollution and show benefit of that comes from recycles work. It is also will show the uniqueness about product that made by hands and uses the newspaper as the main item.

We did not use any machines, so it will reduce many cost and can save the budget to produce our product. 4. 8 To share an interest from the shareholders of making a product that can build a good environment. * Our shareholders want to have a good environment in order to produce any product. We decide to bring our company name as a company that have a safe environment in workplace, also bring the interest of the shareholder. It can be proven by there’s no pollution like the factories of making any handicraft product.

In terms to get any profit, we also remain the importance that we have care about our environment 4. 9 To market a various shape of handicraft product. * Our product is comes with various shape that will catch the interest of the consumer. Another important objective that we hold in this company is to bring a large marketing of our product. Instead people want to using a product to store a things from a plastic product, we want to make a new marketing about to store a product that comes from recycle things, and to give an awareness to the consumer about reduction of pollution. * 4. SIGNIFICANCE OF OUR COMPANY: 5. 10 To get the profit from a good product that we have made It is a valuable works that comes from a hand. Thus, it is important for the company to get the real profit from the product, so the worker in the company will feel the value that comes from the product. Instead, this is new innovation that the company wants to bring to the consumer. By only using a newspaper, there’s many benefit that everyone can share. 5. 11 To ensure that customers are satisfied with the our design Our target are to give our customer believe and satisfy with our design and collection.

Although, we want them feel happy and should collect or buy our product again. It is because we will get satisfication our design with affordable price. 5. 12 To protect the environment Newspapers could be used to protect the environment and prevent pollution. Our product can also save money by recycling newspapers. Nowadays, there’s so many production of the products. People just want to get the profit, but didn’t think the effects that it will brings to environment. By this product, it will show the important on how the way effective of protect the environment.

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What Recycling Methods Do People in my Community Practice?

Statement of the Problem What recycling methods do people in my community practice in order to conserve our limited resources? Research Questions i. What recycling methods do people in Castries practice in order to conserve our limited resources? ii. How effective are these recycling methods to the people of Castries? iii. What other methods can the people in Castries use to enhance conservation methods? Reasons for Selecting the Area of Research This area of research was selected because I believe that recycling can solve lots of environmental problems.

It also helps in saving a lot of expense, required for the production of new products. People should be aware of those factors and should in their community to conserve our limited resources. Method of Investigation To obtain information for my research, I used a method of investigation that is the most accurate and easiest way to collect information. The method I used was a questionnaire. A questionnaire is a research instrument consisting of a series of questions and other prompts for the purpose of gathering information from respondents.

Reasons for Selecting the Instrument This research instrument was chosen because it is an important tool in public research. If you get a number of persons to make a judgment of what most people think. It is also an easier way of finding information and cost less expense. Data Collection Instrument Cover Letter Dear participant, is __________ and I am a student of the _____________________. For my Social Studies SBA, I am researching on the topic recycling.

I am inviting you to participate in this research study by completing the attached questionnaire. The following questionnaire will require approximately two days completing. There is no compensation for responding. In order to ensure that all information will remain confidential, please do not include name. If you choose to participate in this project please answer all questions as honest as possible. Thank You in advance for taking the time to assist me in my Social Studies SBA research. Yours Truly ___________

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Eco- Resort

There are researches done by the United Nations Environment Program (UNEP, 2005) indicate that, from 1994 to 2004, the international economic sector of tourism industry has grown by 25%, contributing to 10. % of the world’s total GDP. To aid the growth of tourism, the UNEP, connected with the World Tourism Organisation, has released the report titled Making Tourism More Sustainable: A Guide for Policy Makers. The report emphasizes the importance of tourism hoteliers to make efficient effort to maintain the environmental sustainability. According to World Wildlife Fund (2010), eco-resorts are “types of resorts in which eco-efficiency measures are adopted throughout the lifecycle of the building, ranging from orientation, design, operation and maintenance”.

Dowling (2000) also defines the eco-resort, quoted as followings: “An eco-resort is a self-contained, upmarket, nature-based accommodation facility. It is characterised by environmentally sensitive design, development and management which minimizes its adverse impact on the environment, particularly in the areas of energy and waste management, water conservation and purchasing. ” (Dowling 2000: 165). To summarise the above, eco-resorts are not just focusing on the operation process, but from the concept design until the sustainability of the on-going policies.

This paper is going to explore the principles of eco-resorts, also analysing the benefits and the disadvantages of eco-resorts. Criteria of eco-resorts The Sharetime Magazine (2011) suggests that eco-resorts include the theme of re-use, re-cycle and reduce. As mentioned before, in order to claim that is an eco-resort, there are several criteria to be covered. Environmental factors should be considered during the design stages of the resort. Murphy (2008) suggested that the landscape features need to be appealing to guests and efficient to operate.

Bohdanowicz (2003) pointed out that resorts are built “to provide comfort and services twenty-four hours a day, year round”. This shows that the consumption of the resorts is massive and non-stop. Green-orientated landscape features can be added during the design stages in order to carry out the green policies in the operations. One of the most significant examples of green-orientated landscape is the green roof. According to the EPA, the United States Environmental Protection Agency (2012), a green roof is a ‘vegetative layer grown on a rooftop’.

The green roof helps cool down the temperature in the area through evapotranspiration. During the process of evapotranspiration, water from the rooftop soil is absorbed and enters the plants in the transpiration process. The water is then evaporated by the sun through evaporation (Wark, 2010). The other main benefit from implementing a green roof is that the air quality will be improved by a green roof (Martin, 2008). It works as a natural air-cleaner as green plants absorb carbon dioxide, the most common automobile emission, and release oxygen.

In addition, as resorts are massive in energy consumption, it is efficient and beneficial to design a building-integrated photovoltaic. The building-integrated photovoltaic is solar electricity systems which are built into a building, instead of added on a building later (Gold Coast Energy, 2012). Solar energy is known as one of the most effective renewable energy source. The research carried out by Roisin (2012) points out that the amount of incident solar energy on earth each year equals to 1500 times the world’s annual energy use.

Apart from the green-orientated landscape features, there are small designs that can input in the design of the resorts. For example, the resorts can design to use energy saving light bulbs such as LED light bulbs to minimise the energy consumption (Eartheasy. com, 2012). Another idea is to create policies that aim at being eco-friendly. In the aspect of transportation, electric cars can be used within the resort area, to minimise the exhaust emission (Dissabandara, 2010). In the aspect of technology, nowadays the Key Activated system is common in most of the resorts (Entergize, 2012).

The system is designed to reduce the energy consumption to minimum level in the resorts while the room is unoccupied. It automatically detects the room status and switches the energy on and off. This reduces the unnecessary waste of energy cost by the guests. In the aspect of daily operations, there are several ways to be ‘green’. The re-use towels policy based on guest request helps save energy and water for washing laundry. According to the Pacific Institute (2011), toilet flush volumes in the resort have declined significantly in the past 25 years, decreasing from 6 gallon per flush in 1980s to the new volume 1. gallon per flush in 2001. In addition to that, the older showerheads have flow rates of an average rate of 5 gallon per minute and 3. 5 gallon per minute average flow for the new ones (Vickers, 2001). The above changes in the resort accommodation greatly help minimising the consumption level of water within a resort. Recycle of wastes can also be carried out to ensure the environmental footprint of the resorts to be minimised. In order to help the customers define the eco-resorts, there is a third-party certification program, which is known as LEED, Leadership in Energy and Environmental Design.

According to LEED official website (2012), it is a nationally accepted organisation for design, operation and construction of high performance green buildings. With the LEED certification, the resorts can thus claim themselves an ‘eco-resort’. Benefits of eco-resort To introduce, the sustainability of both the business and the neighbourhood environment has become two important focuses in the recent years. Firstly, in the point of view of the resort owners, the eco-friendly concept can attract target market group which has awareness to the environment aspect.

Eco-resorts provide a positive impression to the public, which is also a major selling point for marketing. LEED certified resorts can request a higher rental rates than the non-certified resorts (LEED, 2012). Secondly, standing in the position of a consumer, eco-resorts can be attractive to who is paying attention to environmental protection. They can enjoy themselves in the resorts without worrying about massive damages to the environment. Thirdly, looking on the environmental side, eco-resorts, for sure, is an absolute benefit to the environmental protection.

It is not just about the present effort, but also raising public awareness to environmental protection (Eco Green Hotel, 2008). Considerations in eco-resorts It is no doubt that going green for a resort is a contemporary develop trend and an absolute benefit to resort management. However, there are some constraints that needed to take in consideration during planning. First of all, focusing on the staff management, for sure that the staffs working in a green resort should maintain the green policies carried out. The staffs need to be well-trained and willing to input effort into helping the resort to be ‘green’ (Townsend, 2011).

Individuals that are believed in environmental protection will be willing to do more work for the environment. This is one of the motivations to the organisation as keeping the resort ‘green’ is a complex responsibility. Another point is at the financial side, the construction cost and maintenance fee of the building-integrated photovoltaic is higher than traditional electricity system (Sutherland, 2008). The hoteliers need to consider whether the cost is worth spending to operate an eco-resort. In addition to that, consumer behaviour is one factor which is not controllable.

Even if the resort is encouraging customers to save energy and reduce wastes, they may still produce a lot of wastage throughout their stay. For example they may flush the toilet a few more times due to the fact that the decrease in the volume per flush. Therefore, it is an uncertain input to the resort. The resort can encourage the customers to be environmental friendly through marketing campaigns. Conclusion To summarise the above, it is a win-win strategy for both the business and the neighbourhood environment to go ‘green’ as long as they are able to set up an effective plan successfully.

It is not just about recycling, but a complex concept with different considerations. Designs, operation policies, financial aspect, human resources and customers’ behaviour are the major elements that are included in an eco-resort. They need to be linked and corporate with each other in order to set up a successful eco-resort. People nowadays pay more and more attention in environmental protection, sustainability is a growing concern to all industries. It is a trend for the hospitality to go green, as a small step of the resort can bring huge improvement to the environment.

According to Murphy (2008), the resort should have a long-term vision and goals that matches sustainable objectives development strategy. Resorts should try to minimise the ecological footprint, which has been proposed to be ‘accounting tool that enables us to estimate the resource consumption and waste assimilation requirements of a defined human population (resort) in terms of a corresponding productive land area’ (Wackernagel and Rees, 1996).

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