Guillermo Furniture Store Recommendation Essay Example | Topics and Well Written Essays - 1000 words

Guillermo Furniture Store Recommendation - Essay Example High tech solution is already a part of the production process of Guillermo competitor. This technology has high level of automation that reduces the labor requirement from production process and even from movement of products across assembly line. High tech solution also has computer controlled laser lathe that gives exactly the required cut on the product, thus reducing wastage. JUSTIFICATION FOR RECOMMENDATIONÂ   Cost Benefit Adoption of high tech solution would benefit Guillermo in many areas. First, Guillermo would be able to reduce price of its products. Reduction in price is the most effective tool in meeting competition. Investment in this high tech solution will increase its production by considerable size of almost 50 percent in the first year to enhance its capacity of meeting market demand and compete with foreign competitor with increase in its supply at reduced cost and prices.. Increase in production would spread the cost over greater number of units. The overall labo r cost of the business would increase as labor with high technical skills will be required. However, the production time or labor time for both mid grade and high end products will decline from 20 to 4 units for mid grade and 30 to 4 units for high end products. This decrease in per unit means that almost 5 additional units of high end product (4 X 5 = 20) and 7 additional units of mid grade (4 X 7 = 28) can be produced in time that would have required preparing single unit of both categories under current production process. With adaptation of new technology, the firm will be able to make gross profit of $.891, 543 as compared to $.265, and 282 with current process. Increased Net Profit Adoption of high tech process would increase overhead cost from $222,705 to $. 696,979. This increase in overhead cost is due to increase in cost of salaries, insurance, property tax and depreciation. However, even with accelerated increase in overhead, firm will be able to make net profit (before t axes) of $.195, 564 from $.42, 577. This is the most attractive benefit that Guillermo is expected to gain from changing its business model to high tech solution. Investment Appraisal Technique With these benefits, high tech solution for business is highly capital intensive. Guillermo would require considerable amount to finance this new tech solution for its business. Guillermo Balance sheet for 2010 and 2011 provides information regarding its financial position. Among two modes of financing which are debt and equity, it is suggested that Guillermo shall opt for equity mode of financing. WACC for 2010 and 2011 has been 5.54% and 5.57% respectively with debt contributing 84.3% and 82.4% respectively for two years. Hence, the share of equity is only 15.7% and 17.5% for two years in line. In case, Guillermo adopts debt mode of financing it will then further increase the debt component of WACC which is already too high. WACC is the weighted average cost of capital and it shows the aver age capital cost of the company (Brigham, & Houston, 2004). Hence, it shall raise funds through equity. Cost of capital reduces if the company has too much debt in its capital structure and then it reduces its debt by increasing the equity (Emery, Finnerty, & Stowe, 2007). Therefore

What is the link between resilience and complexity Essay

What is the link between resilience and complexity - Essay Example In the present world, changes are ever occurring, many of which come with difficulties of adapting to. Various difficulties in life have forced people to bounce back to their normal living styles even after the complexities of life. The bouncing back provides a definition of the resilience concept. In this paper, discussion is made on the inter-relation of resilience and complexity. Resilience thinking is elaborated to show its broad areas of application and the how it is taken in the social, as well as the political scenarios. Thus, resilience thinking is the solution to the problem of governance in this complex world. Resilience is a principal concept in regard to government policy understandings. Currently, resilience is viewed as the ideal policy. It is, therefore, evident that resilience is a key facet on governance; as it shapes thinking. This complex world is in dire need of a new approach of governing. It is vital to note that the world is viewed as complex. Thus, without complexity, there would be no need of resilience. This is based on the fact that resilience thinking is involved with risks as well as complex aspects that influence the life of man. The synergy between resilience thinking in regard to governance and the complexity of the world will be under analysis. Resilience has come to be recognized as central to international and domestic policy-making. It has come to be seen as the guiding principle of policy governance and a key political category of our time. For sustainable development, resilience has become a top priority, and an international development aid agenda, which is key to international security concerns since it is vital for disaster risk reduction. Resilience affects the way politics is conducted both at the domestic and international levels1. In this discussion, a range of issues and questions will be analysed in terms of resilience frameworks, from educational training in schools to the global ethics and from

Coffee And The Environment Essay Example | Topics and Well Written Essays - 500 words

Coffee And The Environment - Essay Example Pros of Coffee To the farmers, large-scale production of coffee resulted to fear trade. In Brazil, investments in coffee production began in 1970.Coffee production dramatically changed the lives of the thousands of small-scale farmers in Brazil. Production of coffee leads to deregulation, privatization and liberalization of agricultural production process in growing of coffee. Therefore, it leads to high production of coffee in the country (Cleland, P. 11). Value of Pros According to Masood Sadiq, and Tauseef Sultan coffee is one of the greatest sources of antioxidant. The Authors have also stated that black coffee, without milk or cream, has a low-calorie count (364).The calorie count of black coffee is two calories. However, only two cups of black coffee would be beneficial and taking more than two would be introducing a high level of caffeine in the body. In addition, other health benefits that are associated with drinking coffee are it protects against type II diabetes, liver cancer, and Parkinson disease. Cons of Coffee Coffee farming has several cons to the environment. The first problem associated with coffee farming is soil erosion. According to the author, countries like in Brazil have faced a significant challenge in coffee farming because of soil erosion. Most of the farms in Brazil and the crops were grown along the slope. It maximizes soil erosion has the water quickly moves down the slope carrying way the top soil. The soiled water also pollutes the available water bodies.

MANAGEMENT INNOVATION Essay Example | Topics and Well Written Essays - 4250 words

MANAGEMENT INNOVATION - Essay Example Market opportunities need to be seized with alacrity and new territories explored with professional ease and objectivity. Time should not denounce Nokia later that, like other large companies, it could not stay ahead of its time nor engage its rivals and competitiors in eventful combat in the market place. For this it is necessary that Nokia should be ahead of its times and grab every innovative opportunity that comes its way. During the course of this research, recourse has been sought to empower resources at their command through cases. Research design is mainly framed to identify and analyze different ways for conducting the research and it also involves taking decision related to the sources from which the information has to be collected. Research design is an arrangement of situation and examination of all the information in a way that it aims to connect the significance of the research. Finally it is seen whether the objectives of research has been met in terms of the research questions. It is seen that to a very large extent, the secondary research has been able to meet the goals and objectives of research. The history of Nokia could be traced back to 19th century, 1865 to be precise, when an enterprising engineer called Frederik Idestam constructed a wood-pulp mill factory in South Finland. The town in which this factory was built was called Nokia, which has also rendered the brand its name. During the early years, Nokia’s main business was paper and pulp, which gained a reasonable degree of success because of the demand for this kind of paper in Europe, post the industrial revolution. Russia was one of their main buyers. However, the disintegration of Russia during the early 1990s also adversely swung the future of Nokia and for a brief period, this company went into bankruptcy. Upon recovery, it began to focus on telecommunications,

Cultures of the United States and Saudi Arabia Essay

Cultures of the United States and Saudi Arabia - Essay Example In effect, these factors essentially make the behaviors of human beings different, which essentially bring cultural differences in various societies. It may be stated that each country around the world has its own unique culture. However, there are also some similarities in some country's cultures. There are characteristic cultural differences and similarities between the Americans and the Saudis. However, in general, it is obvious that the differences in culture are way more than the similarities. For example, the Saudis believe that the religion is essentially the most important part in their daily lives. Americans do not attach a significant value to religion in their daily lives. Also, the Saudi government mainly depends on the religion as a constitution to lead the country. Because of all that, in this paper I will be focusing on the most important culture differences and some common similarities and of the United States and Saudi Arabia. Differences The following are the various cultural differences between the American and the Saudi societies. Collectivism The Saudi society is considered to be more collective in its cultural aspects than the American society. This can be attributed to the fact that collectivism is given more importance in Saudi than in America. People in Saudi Arabia prefer group work. That is, they favor undertaking their work in companies as a group rather than working alone. For instance, the Saudi people would prefer funding a business rather than looking for people to invest in it. Similarly, Saudi people think of themselves as members of one group hence they work together to effect things for each other according to Sam and Berry (2006). They also base their decision on group basis as opposed to Americans who mainly base decisions on personal thoughts. Power distance In Saudi Arabia, there is higher power distance as compared to America. The lack of development in Saudi followed by the belief in old customs has led to higher power distance in the country. This can be attributed to the fact that Saudi men have mor e authority than women hence women cannot make any decisions without the approval of men. On the other hand, in America, the man and the woman share in decision making hence there is almost no power distance. Uncertainty Avoidance Among the Saudi, the society is considered close minded while in America, the society is open minded. As a result, the Saudi people have uncertainty avoidance as opposed to their America counterparts, as they try to keep away from the unknown. For instance, in Saudi, the employees in a company are always opposed to change in procedures while in America the workers are more open to any change in company procedures according to Kleypas and McDougall (2011). Moreover, in Saudi, the people’s emotions at work are important hence good relations are ensured among workers. On the contrary, In America, work itself is the most important aspect at work as people do not allow personal relationships to interfere with their work. Nepotism Nepotism is considered a positive thing among the Saudi people and most family members succeed through family businesses. Men shake hands in meetings while good friends shake hands and kiss in Saudi. Similarly, men are free to approach fellow men in Saudi. This is however not the case when dealing with Saudi women. However to the American culture people are free to approach each other. To the Americans, this is an issue of freedom as opposed to Saudi where this is a matter of respect. Similarities Despite the above

BUSINESS PROJECT MANAGEMENT Assignment Example | Topics and Well Written Essays - 3500 words - 1

BUSINESS PROJECT MANAGEMENT - Assignment Example Secondly, it was supposed to be completed in 2001 and ended up being completed in late 2004 after a prior completion period of 2005 had been rescinded and pushed back to that time in 2004. The building was to play host to a total of 129 members of the Scottish parliament and more than 1000 workers as well as civil servants. Its building and construction had been controversial right from the start. The points of controversy lay with the location choice, the design, the architect and the entire construction; everything was fully criticised. An enquiry into why the project took that long was construed and determined that the project was all flawed right from the start to the end in terms of management, finance, competence of the project management and many other aspects and issues. The location details are to it that the building was supposed to be erected on a 1.6 ha piece of land and located just 1 km east of the city of Edinburg. The Spanish architect sought a design that was representative of the national identity. This issue of design was the beginning of the project problems given that the design was delivered late and not in line with the requirements of the project previous historical requirements. Suffice is to say, what was discovered was a complex non-hierarchical low lying, organic collection of buildings that intended to integrate the environment and Scottish people. The building was later found out to be a complex of several buildings with varying designs of architecture including a section providing accommodation for the members of parliament, their staff and researchers. Many features were attached to the building and this made it very expensive attracting critical acclaim from the people and other leaders including some members of parliament t hat used it. The estimation cost of the building was put to the bar way back in 1997 before the ideal construction started. However, it was noted

I will send the question to writer direcly Assignment

I will send the question to writer direcly - Assignment Example The traditional marketing mix is considered to be the 4 Ps – product, price, place and promotion. For service industries, a further 3 Ps were added (McGrath, 1986) – people, physical evidence and processes. For the purposes of this essay, the focus will be on the four Ps, with their international variations considered as they apply to Tesco later in the essay. Keegan and Green (2011, p.399) define a product as â€Å"a good, service, or idea with both tangible and intangible attributes that collectively create value for a buyer or user†. One of the key attributes associated with a product is branding, which can be useful for organisations extending operations overseas. Price is defined as â€Å"a function of the demand for the product as determined by the willingness and ability of customers to buy† (ibid, p.365). For international markets, consideration must be given to price floors, price ceilings and optimum pricing. Place is â€Å"the availability of a product or service in a location that is convenient to a potential customer† (ibid, p.399) although it can also include the when and how products and services are available as well. Promotion refers to â€Å"all forms of communication used by organisations to inform, remind, explain, persuade and influence the attitudes and buying behaviour of customers and othersâ €  (ibid, p.431) and includes a wide variety of options, all of which should be used to convey and reinforce a consistent message. Tesco plc a leading food and grocery retailer in the UK operating out of 4,331 stores in 14 countries worldwide: the UK, other European countries, the USA and Asia (Datamonitor 2010b p.15). It is one of the major retailers within the UK food industry, within which hypermarkets, supermarkets and discounters hold a 61.3% by value of the market (ibid p.10). Within the UK, Tesco is perceived to have reached the extent of its expansion, so is now seeking overseas expansion to increase its