Credit cards from the legal perspective (special reference to UAE) Research Paper

Credit cards from the legal perspective (special reference to UAE) - Research Paper Example . Now, UAE has become a developed market for the usage of credit card due to consumer awareness and due to introduction of innovative creditcard products. There is an allegation about the UAE card issuers that they are charging exorbitant service charges from cardholders in UAE. Further, issuing of creditcards to all the migrant workers without verifying their credit status has brought many legal issues. This research essay will look into in general about creditcards with particular emphasis to the legal issues arising out of credit card business in UAE. CREDITCARDS FROM THE LEGAL PERSPECTIVE (SPECIAL REFERENCE TO UAE) Introduction In UAE, the creditcards are regarded as an essential part of life of UAE citizens as it is being regarded in other parts of the world. Creditcards convenient have come to limelight as it is being recognised everywhere today and because of its acceptable and convenient form of payment. The right usage of credit card offers the cardholder a flexible form of credit payment and may enhance the user’s credit standing, and one may even accrue rewards awarded by creditcard issuers. Nowadays, creditcards have become a common medium of payment. Creditcards are easy to carry, and it is safer than carrying cash. ... However, if a customer uses a credit card without any rationale, it could be devastating as quick sand. It is alleged that lenders can exploit gullible credit cardholders with the exorbitant interest rates and other penalties like delay for making payment or adding penal interest for late payment. As of today, about 68% of creditcards are being used as a transactional medium by consumers for their convenience who are likely to repay their balances on a monthly basis without any default. As per recent research study made by VISA , as compared to six years ago, there was about 50% of creditcards generated no interest at all to the issuers and whereas now, it is estimated at 60% of cards are being reported to have generated no interest. The popularity of creditcards can be attributed to the convenience in nature and also the credit facility it offers to card holders. Credit card offers not only convenience but also has substituted checks which is the traditional mode of payment for any purchases earlier. Credit card does not require to maintain adequate cash reserves to meet contemporary expenses. It is estimated that about 23% of consumer transactions are being carried over creditcards. Cardholders are permitted to carry interest-free balances for about sixty days as the cardholder is allowed to enjoy the credit not only throughout the credit cycle but also offers a grace period of 20 days after the lapse of the credit period. If a cardholder pays the balances within the credit period, he can avoid the payment of any interest on his credit purchases through his card. It is to be noted that consumers are chiefly employing credit card as an alternative for checks instead of considering it as a source of

The Worst Natural Disasters In History History Essay

The Worst Natural Disasters In History History Essay The Black Death had many long-term consequences. One was a series of vicious attacks on Jews, lepers, and outsiders who were accused of deliberately poisoning the water or the air. Lepers were singled out and persecuted. Anyone with a skin disease such as acne was thought to be a leper. They were, for the most part, exterminated throughout Europe. The attacks against Jews began in the south of France, but were most dramatic in parts of Switzerland and German areas with a long history of attacks on local Jewish communities. Jews were rounded up and burned or drowned in marshes. Sometimes there were attacks on Jews even where there was no plague. This persecution was often done, not solely out of religious hatred, but as a way of attacking the Kings or the Church who normally protected the Jews. Jews were often called the Kings property and it was a way for people to lash out at the institutions who they believe had failed them. Fewer Jews died from the Black Death, in part due to rabb inical law which called for a lifestyle that was, in general, cleaner than that of a medieval villager. It is estimated that between one-third and one-half of the European population died from the outbreak between 1348 and 1350. As many as 25% of all villages were depopulated, mostly the smaller communities, as the few survivors fled to larger towns and cities. The Black Death hit the towns and cities disproportionately hard. Some rural areas, for example, Eastern Poland and Lithuania, had such low populations and were so isolated that the plague made little progress. Larger cities were the worst off, as population densities and close living quarters made disease transmission easier. Cities were also infested with lice, fleas and rats, and subject to diseases related to malnutrition and poor hygiene. The influx of new citizens facilitated the movement of the plague between communities, and contributed to the longevity of the plague within larger communities. Bremen in Germany lost almost 7,000 of its 12,000 inhabitants. The prosperous city of Florence, Italy, may have lost 40,000 of it s nearly 90,000 inhabitants. Nearby Siena probably lost two-thirds of its urban population. Paris, the largest city north of the Alps, lost more than 50,000 of its 180,000 inhabitants. Most major cities were quickly forced to create mass graveyards where the dead could be buried. Many towns and villages lost almost all of their populations, and some eventually disappeared altogether. Larger towns declined drastically, as their workforces and merchant classes either died or fled. European population only began to grow again in the last decades of the 15th century. The precise demographic impact of the disease in the Middle East is impossible to calculate. Mortality was particularly high in rural areas. Many surviving rural people fled, leaving their fields and crops, and entire rural provinces are recorded as being totally depopulated. Surviving records in some cities reveal a devastating number of deaths. The 1348 outbreak in Gaza left an estimated 10,000 people dead, while Aleppo recorded a death rate of 500 a day during the same year. In Damascus, at the diseases peak in September and October 1348, a thousand deaths were recorded every day, with overall mortality estimated at between 25 and 38 percent. Syria lost a total of 400,000 people by the time the epidemic subsided in March 1349. In contrast to some higher mortality estimates in Asia and Europe, scholars believe the mortality rate in the Middle East was less than one-third of the total population, with higher rates in selected areas. The plague did more than just devastate the mediev al population. It caused a substantial change in the economy and society in all areas of the world. Economic historians have concluded that the Black Death began during a recession in the European economy that had been under way since the beginning of the century, and only served to worsen it. Europe had been overpopulated before the plague, and a reduction of thirty percent to fifty percent of the population should have meant less competition for resources. There was more available land and food, and higher wages. The great population loss brought economic changes based on increased social mobility, as depopulation further eroded the peasants already weakened obligations to remain on the land. In Western Europe, the sudden scarcity of cheap labor provided an incentive for landlords to compete for peasants with wages and freedoms, an innovation that, some argue, represents the roots of capitalism. The resulting social upheaval caused the Renaissance and even Reformation. In many ways the Black Death improved the situation of surviving peasants. In Western Europe, because of the shortage of labor, they were in more demand and had more power. Because of the reduced population, there was more fertile land available. However, the benefits would not be fully realized until 1470, nearly 120 years later, when overall population levels finally began to rise again. The death of so many people concentrated wealth in the hands of survivors. In many cases, those workers who remained alive could earn up to five times what they had earned before the plague. In the towns, plague had the effect of consolidating wealth somewhat, especially among the middle class. The drop in population was accompanied by a corresponding rise in per capita wealth. There where large increases in spending in the towns at this time. Profits, however, for property owners and merchants declined as they found themselves having to pay higher wages and getting less when they sold their products. Property owners tried to collect higher fees from tenant farmers as a way to increase declining incomes. Higher payments to landowners and legal limitations on the rights of some peasants were implied. Economic and political unrest occurred in most parts of Europe during the second half of the 14th century. The Black Death changed religion drastically. The old religious moorings were weakened. Many believed the wrath of God seemed to be raining upon earth. Symptoms of mass neurosis appeared. Some people sought refuge in merriment or luxury and self-indulgence. Others became preoccupied with grisly subjects. Inspired by Black Death, Danse Macabre (Dance of Death) is an allegory consisting of the personified death leading a row of dancing figures from all walks of life to the grave. They were typically with an emperor, king, pope, monk, youngster, and beautiful girl, all in skeleton-state. They were produced to remind people of how fragile their lives were and how vain the glories of earthly life were on the universality of death. Many frantically performed the Dance of Death in cemeteries, while others secretly celebrated the Black Mass, mimicking religion in a mad desire to appease the devil. The Black Death led to cynicism toward religious officials who could not keep their frequent pr omises of curing plague victims and banishing the disease. No one, the Church included, was able to cure or even explain the plague. In fact, most thought it spread somehow through air. This increased doubting of the clergy. Pope Clement VI reigned during the plague years in Europe during a time when the papacy was based in Avignon, France. This period in papal history, known as the Babylonian Captivity to its detractors, was a concurrent cause of the peoples lack of faith in the Catholic Church. The Avignon popes were seen as having subordinated themselves to the French monarchy and their ineffectiveness regarding the Black Death only compounded the common mans disillusionment. Extreme alienation with the church culminated in support for different religious groups such as the Order of Flagellants, which grew tremendously during the opening years of the Black Death angering church and political officials greatly. Flagellants practiced self-flogging to atone for sins. Its members wen t into the streets, two by two, beating each other with chains and whips. Flagellants traveled from town to town and were often looked upon as spreaders of the disease. The Black Death hit the monasteries very hard because of their close quarters and their kindness in helping the sick. There was a severe shortage of clergy after the epidemic cycle. This resulted in a mass influx of new clergy members, most of whom did not share the life-long convictions and experiences of the veterans they replaced. The result was abuses by the clergy in the years afterwards and a further deterioration of the position of the Church in the eyes of the people. The Black Death had an effect on the arts. After 1350 European culture in general turned very morbid. The general mood was one of pessimism, and the arts turned dark with representations of death. Both sculptors and painters began to portray the dead and dying, as well as images of death and the grim reaper. Peoples attitudes towards music and art changed as they began to see the depression surrounding them. The horrific nature of the Black Death was reflected in the realistic depictions of human suffering and carnage as well as the symbolic use of the skeleton. In Giovanni Boccaccios Decameron, a group of young people fleeing the plague takes refuge in a house outside of Florence where they entertain each other with colorful and irreverent stories. While these stories are often seen as a rejection of traditional medieval values, Boccaccio himself was critical of those who abandoned relatives and friends in the face of the plague. Like the artists of the day, Boccaccio continued to h old traditional social and religious values. The primary impact of the Black Death on painting and sculpture was the willingness of the newly rich to invest in religious art for churches and chapels. These contributions were often made in gratitude for being spared the plague, or with the hope of preventing future infection. The science of alchemy was also affected by the plague. As a specialty and method of treatment, it was considered the norm for most scientists and doctors prior and during the Black Death. However, after the plague had taken its toll, the practice of alchemy slowly began to wane. The citizenry began to realize that, in most cases, it did not affect the progress of the epidemic and that some of the potions and cures used by many doctors throughout Christendom and the Islamic world only helped to worsen the condition of the sick. Because the stench of decaying bodies from those who had succumbed to the plague was so noxious, many thought that the plague was spread via the atmosphere and so used pungent scents hoping to keep it away. Scents such as pine and rosemary were burned like incense or processed into oils in which handkerchiefs were dipped and placed over the mouth and nose. Church bells were chimed in a futile bid to ward off the plague. Merchants sold charms and spells to ward off the plague. Rumors that claimed a person had done or worn something particular to survive led to the newest fad to prevent or cure the disease. Liquor, originally made by alchemists, was commonly applied as a remedy for the Black Death, and as a result the popularity and consumption of liquor in Europe rose dramatically after the plague. The Black Death was a historical event of great magnitude, and one with many consequences. The indirect influences on history are significant and give rise too many speculations on what might have happened had there been no Black Death. The impact of plague was greater on England than any other European country. The Black Death struck such a blow to the already weakened feudal system that it lost much of its meaning within two generations and had entirely disappeared within 150 years. On the European continent, the system was more rigid and lingered on for centuries, giving way year by year in one country after another to monarchy and other forms of government. The Black Death greatly accelerated social and economic change during the 14th and 15th centuries. It also led to peasant uprisings in many parts of Europe, such as France (the Jacquerie rebellion) and in Italy (the Ciompi rebellion, which swept the city of Florence). One of the groups that suffered the most was the Christian church. It lost prestige, spiritual authority, and leadership over the people. The church promised cures, treatment, and an explanation for the plague. They said it was Gods will, but the reason for this awful punishment was unknown. People wanted answers, but the priests and bishops did not have any. Many of the clergy abandoned their Christian duties and fled. People prayed to God and begged for forgiveness. After the plague ended, angry and frustrated villagers started to revolt against the church. The survivors were also enraged at doctors, who said they could cure patients but did not. Soon after the last eruption of the Black Death, the views on children also changed. Although carrying on the family name was still considered important, the birth rate dropped. Children were considered not worth the trouble to rise since they would probably die anyway. It took four hundred years before Europes population equaled the pre-Black Death figures. The demand for agricultural workers ga ve survivors a new bargaining power. Workers formerly bound to the land could now travel and command higher wages for their services. In addition, people left rural areas and migrated to cities for higher wages. The economic structure of land-based wealth shifted. Portable wealth in the form of money, skills, and services emerged. Small towns and cities grew while large estates and manors began to collapse. The very social, economic, and political structure of Europe was forever altered. One tiny insect, a flea, toppled feudalism and changed the course of history in Europe.

Graduation Speech: We Are First Nations Peoples :: Graduation Speech, Commencement Address

I am honored to stand and speak to you this evening. I am very proud to be a part of the first graduating class for the Gaylord Heritage school. We thank the staff at the Heritage school, the Gaylord Tribes, our families and our community. I thought about what I would say for a long time and than I remembered what my grandparents taught me about life. My grandparents and family talked to me about education. My dad told me a story about an elder who was very proud of his new toolbox filled with tools. Every day his children would ask to use the tools in his box and he said: "No, not today, I am saving these for a special occasion." As his children grew older they continued to ask for the tools but again he said: "these tools were being saved for the right occasion." Finally the children gave up asking for the tools. One day many years later, the grandfather thought that it was time to open the box of tools and use them. As he opened the box, with children and now grandchildren looking on, he saw that the tools were rusty. He picked up the wrench but it crumbled in his hands. This story symbolizes to me a lesson: of how if we don't share our knowledge -our tools - and pass that knowledge on, then we have all lost the gift in our hearts. And the tools will rust and crumble in our own hands, never to see the light of day again. So let's share all of our tools and pass them on to the next generation so they can work on our house when we get old, and maybe even pay the rent. There are prophecies from many different tribes that speak of the seventh generation. This prophecy states "from the time of the coming of the non-natives, the seventh generation will be the ones that will see the big changes that are coming. This is the seventh generation coming up, and these are the people we must teach so that they do things right this time, so they will keep in mind what they will leave for the next seven generations that will follow them. This is how we are taught to live on this earth: we should look to how our decision and actions will affect the seventh generation to come. Graduation Speech: We Are First Nations Peoples :: Graduation Speech, Commencement Address I am honored to stand and speak to you this evening. I am very proud to be a part of the first graduating class for the Gaylord Heritage school. We thank the staff at the Heritage school, the Gaylord Tribes, our families and our community. I thought about what I would say for a long time and than I remembered what my grandparents taught me about life. My grandparents and family talked to me about education. My dad told me a story about an elder who was very proud of his new toolbox filled with tools. Every day his children would ask to use the tools in his box and he said: "No, not today, I am saving these for a special occasion." As his children grew older they continued to ask for the tools but again he said: "these tools were being saved for the right occasion." Finally the children gave up asking for the tools. One day many years later, the grandfather thought that it was time to open the box of tools and use them. As he opened the box, with children and now grandchildren looking on, he saw that the tools were rusty. He picked up the wrench but it crumbled in his hands. This story symbolizes to me a lesson: of how if we don't share our knowledge -our tools - and pass that knowledge on, then we have all lost the gift in our hearts. And the tools will rust and crumble in our own hands, never to see the light of day again. So let's share all of our tools and pass them on to the next generation so they can work on our house when we get old, and maybe even pay the rent. There are prophecies from many different tribes that speak of the seventh generation. This prophecy states "from the time of the coming of the non-natives, the seventh generation will be the ones that will see the big changes that are coming. This is the seventh generation coming up, and these are the people we must teach so that they do things right this time, so they will keep in mind what they will leave for the next seven generations that will follow them. This is how we are taught to live on this earth: we should look to how our decision and actions will affect the seventh generation to come.

Developing Marketing Strategies and Plans MCQS Essay

1. A key ingredient of the marketing management process is insightful, ________ marketing strategies and plans that can guide marketing activities. a. creative b. measurable c. macro d. micro e. niche Answer: a 2. According to a chapter story about H&M clothing stores, H&M is able to put products out quickly and inexpensively by all of the following EXCEPT ________. a. having few middlemen and owning no factories b. buying large volumes c. having extensive experience in the clothing industry d. having a great knowledge of which goods should be bought from which markets e. having total control of its distribution channel from the time the goods are produced until the time they are sold Answer: e 3. The task of any business is to deliver ________ at a profit. a. customer needs b. products c. customer value d. products and services e. improved quality Answer: c 4. In a hyper competitive economy such as ours, a company can win only by fine-tuning the value delivery process and choosing, providing, and ________ superior value. a. communicating b. selecting target markets with c. composing d. developing e. researching Answer: a 5. The traditional view of marketing is that the firm makes something and then ________ it. a. markets b. sells c. distributes d. prices e. services Answer: b 6. Today, the â€Å"mass-market† is actually splintering into numerous ________, each with its own wants, perceptions, preferences, and buying criteria. a. micro markets b. market targets c. macro markets d. customer cliques e. demographic units Answer: a 7. The first phase of the value creation and delivery sequence is ________ that represents the â€Å"homework† marketing must do before any product exists. a. choosing the value b. market research c. target marketing d. service consideration e. projective thinking Answer: a 8. The last step in the value creation and delivery sequence is ________ the value where the sales force, sales promotion, advertising, and other communication tools announce and promote the product. a. developing b. distributing c. communicating d. reversing e. researching Answer: c 9. The Japanese have refined the value delivery process to include a component that emphasizes ________. a. zero servicing b. zero customer feedback time c. zero promotion d. zero dependency on intermediaries e. zero marketing costs Answer: b 10. The ________ is a tool for identifying ways to create more customer value. a. value chain b. customer survey c. brand loyalty index d. promotion channel e. supplier database Answer: a 11. The ________ identifies nine strategically relevant activities that create value and cost in a specific business. a. value proposition b. value chain c. mission statement d. annual report e. manager’s log Answer: b 12. The ________ in the value chain cover the sequence of bringing materials into the business (inbound logistics), converting them into final products (operations), shipping out final products (outbound logistics), marketing them (marketing and sales), and servicing them (service). a. operations process b. manufacturing process c. primary activities d. secondary activities e. tertiary activities Answer: c 13. Procurement, technology development, human resource management, and firm infrastructure are handled in certain specialized departments and are called ________. a. materials handling b. support activities c. inventory activities d. primary activities e. benchmark activities Answer: b 14. The firm should estimate its competitors’ costs and performances as ________ against which to compare its own costs and performance. a. competition b. standards c. challenges d. benchmarks e. moveable standards Answer: d 15. The firm’s success depends not only on how well each department performs its work, but also on how well the various departmental activities are coordinated to conduct ________. a. core strategies b. satellite businesses c. core values d. core business processes e. core technologies Answer: d 16. With respect to core business processes, all the activities involved in gathering market intelligence, disseminating it within the organization, and acting on the information is referred to as the ________. a. market sensing process b. market research process c. target marketing process d. market pulse process e. deployment process Answer: a 17. With respect to the core business processes, all the activities involved in researching, developing, and launching new high-quality offerings quickly and within budget are referred to as the ________. a. new product process b. new offering realization process c. product development process d. product launch process e. return on investment process Answer: b 18. With respect to the core business processes, the ________ is considered to be all the activities involved in defining target markets and prospecting for new customers. a. customer acquisition process b. customer relationship management process c. fulfillment management process d. customer prospecting process e. customer equity process Answer: a 19. A good way to describe the ________ would be discuss all the activities involved in building deeper understanding, relationships, and offerings to individual customers. a. customer acquisition process b. customer relationship management process c. customer prospecting process d. customer fulfillment management process e. customer equity process Answer: b 20. Another way to describe a value delivery network (partnering with specific suppliers and distributors) is to call it a ________. a. teamwork group b. cabal c. domestic power center d. link to relationships e. supply chain Answer: e 21. The key to utilizing organizational core competencies is to ________ that make up the essence of the business. a. make the competencies pay for themselves b. own all intermediaries who come in contact with your goods and services c. own and nurture the resources and competencies d. emphasize global promotions e. segment workforces Answer: c 22. We can say that a ________ has three characteristics: (1) It is a source of competitive advantage in that it makes a significant contribution to perceived customer benefits, (2) it has applications in a wide variety of markets, and (3) it is difficult for competitors to imitate. a. core competency b. business strategy c. core technology d. strategic business unit e. winning strategy Answer: a 23. Core competencies tend to refer to areas of special technical and production expertise, where ________ tend to describe excellence in broader business processes. a. process benchmarks b. distinctive capabilities c. core business values d. value statements e. mission statements Answer: b 24. George Day sees market-driven organizations as excelling in three distinctive capabilities: ________, customer linking, and channel bonding. a. target marketing b. market research c. fulfilling customer needs d. market sensing e. customer service relationships Answer: d 25. Competitors find it hard to imitate companies such as Southwest Airlines, Dell, or IKEA because they are unable to copy their ________. a. product innovations b. distribution strategy c. pricing policies d. activity systems e. logistics system Answer: d 26. One conception of holistic marketing views it as â€Å"integrating the value exploration, ________, and value delivery activities with the purpose of building long-term, mutually satisfying relationship and co-prosperity among key stakeholders.† a. value creation b. value proposition c. value management d. value research e. value chain Answer: a 27. Holistic marketers achieve profitable growth by expanding customer share, ________, and capturing customer lifetime value. a. undermining competitive competencies b. building customer loyalty c. milking the market for product desires d. renewing a customer base e. inspecting all market share data Answer: b 28. The holistic marketing framework is designed to address three key management questions. Which of the following is one of those questions? a. Value claims—how does the company deal with value erosion? b. Value proposition—how can value propositions be made profitable? c. Value chain—are there weak links in the company’s value chain d. Value network—how can a company effectively network? e. Value exploration—how can a company identify new value opportunities? Answer: e 29. The customer’s ________ reflects existing and latent needs and includes dimensions such as the need for participation, stability, freedom, and change. a. competence space b. resource space c. emotional space d. relationship space e. cognitive space Answer: e 30. The companies ________ can be described in terms of breadth—broad versus focused scope of business; and depth—physical versus knowledge-based capabilities. a. business mission b. core strategy c. cognitive space d. competency space e. resource space Answer: d 31. The collaborator’s ________ involves horizontal partnerships, where companies choose partners based on their ability to exploit related market opportunities, and vertical partnership, where companies choose partners based on their ability to serve their value creation. a. resource space b. competency space c. cognitive space d. rational space e. service space Answer: a 32. Business realignment may be necessary to maximize core competencies. Which of the following would be one of the steps in this realignment process? a. Reviewing all macro relationships. b. Reviewing global outreach projections. c. Redefining the business concept (the â€Å"big idea†). d. Reviewing successes from e-commerce (if any). e. Revamping the ethics statement. Answer: c 33. ________ allows the company to discover who its customers are, how they behave, and what they need or want. It also enables the company to respond appropriately, coherently, and quickly to different customer opportunities. a. Network management b. Strategic management c. Marketing management d. Customer relationship management e. Total quality management Answer: d34. To respond effectively and provide value delivery, the company requires ________ to integrate major business processes (e.g., order processing, general ledger, payroll, and production) within a single family of software modules. a. human resource management b. internal auditing management c. internal resource management d. strategic management e. marketing management Answer: c 35. With respect to value delivery, ________ allows the company to handle complex relationships with its trading partners to source, process, and deliver products. a. a value matrix b. a global distribution policy c. a business development strategy d. business partnership management e. total quality management Answer: d 36. Successful marketing requires having capabilities such as understanding ________, creating customer value, delivering customer value, capturing customer value, and sustaining customer value. a. customer loyalty b. customer per c. customer retention d. customer value e. customer benefits Answer: d 37. According to a McKinsey research study, which of the following is one of the main challenges that marketing must face in the twenty-first century? a. The threat of ethics-based lawsuits. b. Doing more with less. c. Hostile takeover attempts. d. Increasing control by big government. e. Being independent of the distribution process. Answer: b 38. Strategic planning in the twenty-first century calls for action in three key areas. Which of these key areas deals specifically with devising a long-term game plan for achieving long-run objectives? a. Creating a viable business opportunity. b. Producing a strategic fit. c. Developing an investment portfolio. d. Expanding core competencies. e. Establishing a strategy. Answer: e 39. Most large companies consist of four organizational levels: the ________, the division level, the business unit level, and the product level. a. board of director level b. major stakeholder level c. management team level d. corporate level e. strategic level Answer: d 40. The ________ is the central instrument for directing and coordinating the marketing effort. a. strategic plan b. marketing plan c. tactical plan d. customer value statement e. corporate mission Answer: b 41. The ________ lays out the target markets and the value proposition that will be offered, based on an analysis of the best market opportunities. a. organizational plan b. strategic marketing plan c. corporate tactical plan d. corporate mission e. customer value statement Answer: b 42. In which of the following plans would we most likely find directions for implementing and addressing daily challenges and opportunities in product features, pro motion, merchandising, pricing, sales channels, and service areas. a. The tactical marketing plan. b. The target marketing plan. c. The deployment plan. d. The product launch plan. e. The product development plan. Answer: a 43. If you wanted to find out more about target markets and the organization’s value proposition, which of the following types of plans would most likely contain information that might be useful to you in your quest? a. The marketing plan. b. The organizational plan. c. The strategic marketing plan. d. The tactical marketing plan. e. The marketing mix plan. Answer: c 44. The ________ process consists of corporate, division, business, and product planning. a. implementing b. controlling c. innovation d. planning e. competitive Answer: d 45. All corporate headquarters undertake four planning activities, the first of which is ________. a. defining the corporate mission b. establishing strategic business units and assigning resources (SBUs) c. assigning resources to each SBU d. assessing growth opportunities e. understanding target markets Answer: a 46. A clear, thoughtful mission statement provides employees with a shared sense of purpose, direction, and ________. a. profitability b. target market feasibility c. opportunity d. continuous improvement e. quality products Answer: c 47. Mission statements are at their best when they reflect a ________. a. market b. strength c. competency d. vision e. value Answer: d 48. Which of the following terms matches to the phrase â€Å"it is a single business or collection of related businesses that can be planned separately from the rest of the company†? a. Strategic business unit. b. Diverse business unit. c. Growth business unit. d. Niche market unit. e. Specialized business unit. Answer: a 49. Market-penetration, product-development, and market-development strategies would all be examples of ________ strategies. a. concentric b. conglomerate c. horizontal d. intensive growth e. integrative growth Answer: d 50. A(n) ________ is when a company might seek new businesses that have no relationship to its current technology, products, or markets. a. concentric strategy b. conglomerate strategy c. horizontal strategy d. intensive growth strategy e. integrative strategy Answer: b 51. Which of the following terms most closely matches to â€Å"the shared experiences, stories, beliefs, and norms that characterize an organization†? a. Organizational dynamics. b. A business mission. c. An ethical/value statement. d. Customer relationships. e. Corporate culture. Answer: e 52. The first step in the business unit strategic-planning process deals with which of the following? a. Goal formulation. b. Business mission. c. Strategy formulation. d. Program formulation. e. SWOT analysis. Answer: b 53. When a business gets to know market segments intimately and pursues either cost leadership or differentiation within the target segment it is referred to as a ________. a. defined strategy b. focused strategy c. value-added strategy d. competitive advantage strategy e. customer-focused strategy Answer: b 54. If a firm pursues a ________ strategy, it must be good at engineering, purchasing, manufacturing, and physical distribution. a. differentiation b. overall cost leadership c. focus d. domestic customer relationship e. market share Answer: b 55. To keep their strategic alliances thriving, corporations have begun to develop organizational structures to support them and have come to view the ability to form and manage partnerships as core skills. This is called ________. a. value managed partnership b. synergistic partnership c. centralized partnership d. partner relationship management e. win-win relationship management Answer: d 56. Traditionally, most businesses focused on stockholders. Today, the focus is on what are called ________. a. stakeholders b. partners c. regulators d. consumer triads e. supply-chain relationships Answer: a 57. A ________ is a written document that summarizes what the marketer has learned about the marketplace and indicates how the firm plans to reach its marketing objectives. a. strategic plan b. marketing plan c. sales plan d. target market plan e. competitive analysis plan Answer: b 58. Which of the following permits senior management to grasp the marketing plan’s major thrust? a. The situation analysis. b. The marketing strategy. c. The executive summary and table of contents. d. Financial projections. e. Implementation and controls. Answer: c 59. Most marketing plans cover ________. a. one year b. two years c. three years d. four years e. five years Answer: a 60. The most frequently cited shortcomings of current marketing plans, according to marketing executives, are lack of realism, insufficient competitive analysis, and a ________ focus. a. long-term b. profit c. short-run d. product e. price Answer: c

Analysis of Wal-Mart Managerial Accounting Process Essay

Company Description For the final project of managing finance Wal-Mart Stores Inc is chosen as the discussion target. Being one of the grocery retail shop leaders in the world, Wal-Mart (WM) operates business with 10,000 retail units in 27 countries with about USD444 million of sales in 2012 (Wal-Mart homepage 2012). Driven by the corporate strategies, WM growth rapidly around the world. To support the growth, managerial effectiveness in the operations is very important. Since budget is the first step which put manager’s plan into operation, let’s take a close look at WM’s budgeting process. Budgeting Process Budget reflects a company’s plan, both long and short term, to accomplish business objectives. The focus of the WM’s budgeting system is on providing  better quality and services to the customers. WM follows needed considerations in its budgeting process and procedures. They implements flexible budget in its business that identifies overhead cost drivers and allocates capital to those over head costs properly. Through this way, WM is able to make a budget for different levels of activity. WM set goals and objectives and define their mission and vision clearly in their budgeting process. They plan for the stock requirement in order to achieve the forecasted level of sales. Budgeting process is also helpful to measure the performance of different departments in WM. It enables them to manage costs of different levels of action by weighing the actual costs against the budgeted cost (Plunkett, Attner & Allen, 2011, p. 558-560). WM takes corrective action to control those costs in order to make this closer the flexible budget prepared in advance. WM communicate goals and targets of each employee through budget and continuous report back to the corporate on operation, investment and financial activities based on budget information. Its budgeting procedures help WM to be competitive in cost and to economically use the resources that made better revenue for the company. In contrast to this, in this procedure, prediction is difficult for the manager because they believe on a range of estimates of what to expect financially. In addition, this process also depends on various variables that affects to each other. It is very complicated to prepare and difficult to understand for other employees of the company (Axson, 2010, p. 132-140). Management Accounting System Management accounting system (MAS) in WM play a crucial role to improve their business activities effectiveness. Management accounting information are collected, stored and prepared through use of well designed accounting information system. It simplifies getting information to people outside of the organization when necessary. Through use of MAS, WM determines its initial purchase price of raw material including subsequent operating and maintenance costs. MAS help to evaluate the pricing structure’s effectiveness by showing cost, sales and revenue data. It gives idea to the company to decide the price of the product to be competitive in the market. WM disseminates this information to its various parties through conducting  formal and informal meetings, conferencing, global network and employees’ survey techniques (Needles, Powers & Crosson, 2010, p. 720-722). Moreover, WM mainly uses its accounting reports based on principles of GAAP to make inform its stakeholders about its financial position. WM uses the strategic management accounting system which helps to enhance the effectiveness of decision making within the company. WM use MAS for everything from entering in new market to vendors/products selection and even new pricing process, promotion strategies and to distribution (Needles, Powers & Crosson, 2007). The accounting information from MAS of WM helps in planning, controlling and other managerial activities. Their system also able to come up all kind of alternatives with integrated accounting information which assist management to find out the best strategy for organizational effectiveness improvement (Wal-Mart homepage 2012). WM disseminate managerial accounting information through budgets for all departments which help all departments to facilitate proper integration in all kind of activities within the company. WM currently uses Vision Suite accounting software that includes different aspects of finance like AR/AP, general ledger, check writing and external accounting integration. This software is faster and relatively cheaper and generates accounting documents automatically. Through this, many types of useful reports can be generated for management to make decisions. On the other side, it can be susceptible for computer viruses and hackers. In absence of proper control and security, it can create problems for the confidentiality of the company (Gilbertson & Lehman, 2008, p. 6, 437 ). Costing System In term of costing process, WM is focus on inventory control since that is the most important part of their business to determine its profitability. To determine the cost of inventory, WM uses several costing method. In order to reduce inventory cost as well as determining accurate cost of products, WM uses both LIFO and FIFO. By using the retail method of accounting, inventories are at low cost or at least at market rate. This will help to increase the effectiveness of operation since WM is retail  business and this will facilitates competitive advantage over competitors. According to WM’s 2012 annual report, they use LIFO to determine weighting average cost for products in US and for inventories for international operations are using the FIFO method (Wal-Mart annual report 2012, page 31). These differences way of costing will enhance effectiveness of the company in managing cost. WM accomplish their strategy, â€Å"everyday low cost approach† (EDLC) through these co sting method (Wal-Mart annual report 2012, page 18). So as to allocate cost to different products, WM uses the activity based costing (ABC) system. ABC system enables the WM to better understand the cost structure and cost drivers. On the basis of this, WM takes effective decisions regarding price structure. The ABC approach can exhibit the actual work done relating with production more accurately in order to be useful in management accounting. The ABC system is used by management to collect a full cost view. VM can reduce the overhead cost by minimizing the number of cost drivers (Leitner, 2007, p. 5). In contrast to this, there is possibility that as per this method, costs can be more than profits. Apart from this, it also requires data input from multiple departments that can create greater risk of failure of data inputs. The cost of managing the system is also high due to having more cost pool volume. For instance, Wal-Mart is a large organization, as cost accounting information is difficult to separate, due to the presence of multiple product lines and numerous machine setups in complex production environments (Drury, 2006, p. 350-362). Capital Decision Making Process Evaluation of investment appraisal techniques is useful in capital decision making process by bringing together financial and strategic aspects of the project. The capital investment decisions of WM are mainly driven by its financial priorities such as growth, leverage and returns on investment. The major concern of WM is international expansion and its profitability (Wal-Mart annual report 2012, page 28). WM select and manage projects through the below steps: 1. Project information collection – collect information such as past performance, costs, benefits and associated risks. 2. Evaluating the project – Use cost benefit analysis, net present value, IRR etc to evaluate the project. WM uses discounted cash flow (DCF) investment appraisal technique in capital decision making process. They only invest its capital in projects that meet stringent payback periods and yield at least a required rate of return in a DCF analysis (Brigham & Daves, 2012, p. 544-549). 3. Selecting project – WM uses NPV and IRR method to evaluate projects’ alternative. For selecting projects, they will based on different criteria of the projects, but also taking into account the incremental revenue, time, company reputation etc.. The above help WM to ensure optimal utilization of their capital resources. For example, WM’s new solar project in California, they focused on DCF method to decide that it should invest its capital in this project or not. After implementing this technique, WM determined the average payback period for its energy saving projects that was 6.3 months. It also provided an annual return on investment of 190 percent on these projects that was profitable for the company. Therefore, WM wants to consider these discount flow values for its new solar project in order to make profits as future prospective (Ailworth, 2012). Capital Structure In term of capital acquisition decision, the main criteria are the long term sustainability and stability in performance. The cash flow is the main source of capital that ensures the long term success. WM considers market position, market trend, credit policy, financial status and stakeholders’ interests before deciding the best sources of acquiring financial capital. Sometimes, it also considers the financing cost to arrange the capital for running its operations. Credit rating of the company influences the WM’s decision on capital structure because its good rating helps it to take the credit from the financial institutions (Kronwald, 2010, p. 5-16). Instead of issuing common equity, WM is relying more on funds borrowing from market. Additionally, capital structure of WM is risky as their financing  rely heavily on debt or loans that may impact earnings. WM has been operating at 1.71 debt equity ratio (Yahoo Finance, 2012). Funding decisions of WM is associated with capital rising through debt more because of taking benefits of tax deduction and lower financing cost. â€Å"It has some implications such as funds generation; positive impact on financial result or company performance and meeting needs on operation and investment† (Seidman, 2004, p. 77-80). This is important to maintain low capital cost while achieving the company goals in the capital structure of the company (Wal-Mart Annual report 2012 page 28). Conclusion In order for the company to make effective managerial decision, various kinds of processes and approaches in budgeting and costing are necessary. WM implemented a well quality budgeting process which improves their effectiveness in accomplishing their objectives. Their budgeting process helps to motivate and improve effectiveness of employees and also help to create long term objective for the organization. They use MAS to do have the most cost effective vendors and products selection and also to manage all the accounting information to improve the effectiveness of the managerial decision. In order to reduce the total cost of products and maintain competitive position in the market, WM selected the appropriated costing process and procedure. Given their effective method of capital resources and effective capital structure for obtaining capital which helps WM to be efficiency in a lot of capital decision making as well as objectives accomplishment. In summary, the overall managerial a ccounting practices with WM is quite effective. Information Sources and Methodology Most of the information of this discussion was collecting from the annual report of WM for 2012. In addition, finance text books, journals and web sites are being used as well. For the annual report, 3 years has been reviewed in order to have a more clear picture of their growth as well as if there were any managerial practices or process been changed. A lot of information about WM’s financial and managerial accounting systems such as budgeting/costing process, capital structure etc are available in those resources. Observation methodology is used to analyze information. References Ailworth, E. (2012). â€Å"Walmart to install solar panels on 27 stores in Mass.† Retrieved from: http://bostonglobe.com/business/2012/05/14/walmart-install-solar-panels-stores-mass/kxHjt9sQrPxSvN5sPWTjsN/story.html Accessed on : Oct 25, 2012 Brigham & Daves, P. R. (2012). â€Å"Intermediate Financial Management†. USA: Cengage Learning. Drury, C. (2006). â€Å"Cost and Management Accounting: An Introduction†. USA: Cengage Learning EMEA. Gilbertson, C. B. & Lehman, M. W. (2008). â€Å"Fundamentals of Accounting: Course 1†. USA: Cengage Learning. Kronwald, C. (2010). â€Å"Credit Rating and the Impact on Capital Structure†. Germany: GRIN Verlag. Leitner, A. (2007). â€Å"Activity Based Costing†. Germany: GRIN Verlag. Needles, B. E., Powers, M. & Crosson, S. V. (2010). â€Å"Financial and Managerial Accounting†. USA: Cengage Learning. Plunkett, W. R., Attner, R. F. & Allen, G. S. (2011). â€Å"Management†. USA: Cengage Learning. Axson, D. J. (2010). â€Å"Best Practices in Planning and Performance Management: Radically Rethinking Management for a Volatile World†. USA: John Wiley & Sons. Seidman, K. F. (2004). â€Å"Economic Development Finance†. UK: SAGE. Yahoo Finance (2012). Retrieved from: http://in.finance.yahoo.com/q?s=WMT Accessed on : Oct 25, 2012 Walmart Homepage 2012. Retrieved from: http://corporate.walmart.com/our-story/our-stores Accessed on : Oct 25, 2012 Walmart Annual report 2010 to 2012. Retrieved from: http://stock.walmart.com/annual-reports Accessed on : Oct 25, 2012