Why Profits Of Product Industry Are So High Finance Essay - Free Essay Example

As technology has advanced, retailers were able to improve their profit margins despite the prevailing competitive environment. They are well aware of their customers buying patterns and behavior. They know how to satisfy the needs and wants of their customers while saving a sufficient amount of profit margin for themselves. The reason why product based industry is so very well able to understand the psyche of their customers and use it as their own advantage is the availability of sufficient tools and theories to understand the market mechanism and its related variables in detail. They are able to devise business strategies in accordance to their goals and objectives, and implement them effectively. If we glance at the service industry in the very same fashion, it is clearly visible that they are not as comfortable with their customers as product based industry. Though they are available with tools and theories to understand their market as well but it certainly is not in as much detail as product based industries. 1.1 Pricing for Banks Pricing is one of the chief variables of strategic marketing and it has the most significant and direct impact on the sales revenue of any organization, and even then there are a very few conceptual researches making precise suggestions about setting prices. According to a research, pricing of services has been even given lesser attention than product pricing. But since service is becoming gradually more important part of the economy, the need to be aware of more about the pricing of services has developed; banking being the most important. There are two pricing challenges unique to service pricing that services are intangible and irreplaceable. (Rob Docters, 2004). Finch identifies some other including inseparability of production and consumption, heterogeneity and perishability. (J.Howard Finch, 1998) Banking being more complex than other services makes it more interesting and to an extent more troublesome as well. Pricing banking services is an art in itself. Iuliana Cetine ( 2010), in her research says that for a bank the price is one of the fundamentals of the marketing mix. The prices ought to be in conformity with the other Ps (product, placement, promotion) and they have to not be taken as a merely financial problem, where they are calculated by adding a margin of profit to the estimated costs; pricing is much more to it. Depositing and lending are two core operations for a bank, pricing these deposits and loans can significantly affect the overall performance of banks; but a research shows that banking executives are not very much able to handle pricing so well. Talking about lending in particular, banks usually are not able to convert their goals and objectives into an effective pricing strategy. Many banks still rely on ancient ways of pricing and handling loans. They have acquired technology for risk-management purposes but acquiring technology for pricing is something banks still have not yet paid attention towards. (Iuliana Cetine, 2010) Frank Rohde, who is a chief marketing officer at Nomis Solutions, claims in one of his interviews to FST that pricing process of retail banks is fundamentally broken. He talks about the US banks and banks all over the world, mentioning about how banks price, he says that pricing executives come up with pricing strategy without any knowledge about the volume and profitability; profitability teams further come up with different sets of rates with a pure subjective judgment about the pricing behavior of the consumers and market fundamentals. They lack of information and proper analysis as they lack tools essential for these purposes, they are not able to set appropriate targets. Even if they do, they are unable to understand the reasons of deviations from the set targets and how exactly can they correct their policies. Pricing technology is necessary to understand the pricing mechanism properly. Pricing instead of taking as a side operation should built as a core competency by the ban ks. It directly influences the targets and revenues of the banks. Mr. Rohde further claims that the basic root of the credit crisis is that banks have not been able to translate their knowledge of market demand and profitability into a practical pricing strategy. (Rohde, 2008) 1.2 Pricing theories with respect to granting Loans As mentioned earlier, depositing and lending are two core areas of banking. This research will primarily focus on the lending part of the banking operations. It will take into account all the pricing strategies banks have been using in the past and the strategies that are still in practices with regard to the pricing of loans. It will identify the areas which are crucial for devising effective pricing strategies and the areas where these strategies lack. It will further identify aspects in which these strategies have affected and still affecting banks till present day. Banks may include retail banks, commercial banks, investment banks, community banks and much more. This study will be focusing more towards the working of retail banks. Retail banks work with consumers and small business enterprises. Investment banks being vast subject in its own will be completely excluded from this research. There a number of theories devised for pricing of banking products and specifically f or granting loans as well. Nora Mihail in her research identifies cost plus profit, taking the cream, price depending on competition, price depending on value and price to penetrate as basic theories for banking products including lending. (Iuliana Cetine, 2010) These terms are self explanatory; Cost plus profit calculates all the relevant costs and further adds a margin of profit to it, taking the cream is for high quality newly introduced products to take the cream demand, price depending on the competition takes the competitors prices as a base criteria, price on the market checks for the already settled prices at the market, price depending on value is based on the value of the service perceived by the customers whereas price to penetrate is charging a low price in the start to gain a substantial share in the beginning. (Iuliana Cetine, 2010) Traditionally flat-rate pricing has been in practice by most of the banks. In flat-rate pricing strategy all customers obtain the loan at the same pre-decided rate set by the bank. As the article published by Bench Mark Consulting International says that flat rate is used by the banks which lack technology to design a sophisticated policy and therefore use a flat rate to to keep it simple (King, 2007). The problem with flat rate loan is that high credit quality borrowers can get loans at cheaper prices because of the regular use of risk- based pricing methods (mentioned in detail later) whereas lower credit quality loans find this rate cheaper and this leads to a very risky equilibrium which prove to be futile for the bank. There is a clear line between the banks who use a thoroughly planned systematic approach to loan pricing and those who just go by the market. Thomas A. Hannagan in his study points out certain questionable practices of the banks. The first one he pointed out is the omission to add any costs related to the risk of the loan leading bad credits to obtain loan at a cheaper amounts. Another practi ce he questioned is baseless assumptions about the costs bank incur to originate and maintain existing borrowers and the third one is when lenders estimate a very large earning from a credit than it actually is. (Hannagan, 2004) Theorists often talk about risk-based pricing when it comes to pricing bank loans. Risk based pricing, in simple terms, is charging higher to the risky entities and lesser to the lower risk entities. It keeps in line, the loan price with the anticipated loan risk. As mentioned by KANSAS on its official website that this method allows the lender to obtain a level of return that is in accordance with the taken risk and it follows the principle of financial theory of risk and return. (KANSAS, 2010). Managers of known banks claim that, despite tough economic conditions, they are able to increase volume by following the risk based pricing. They instead of avoiding risk are opting for a suitable combination of risk and return; this can help them grow. Risk Base d Loan pricing can help in better risk management but there are certain drawbacks or in better words, limitations of risk based pricing. As Robert Phillips says that undoubtedly charging higher for higher is a sensible as well as profitable idea but this obviously is not final in pricing complexity. Risk-based pricing does not take a number of factors into account, one of which is the price sensitivity of customers into consideration. (Phillips, 2005) Bankers usually like this design in which lenders have better understanding of the available pricing options and the respective price is reached quickly. Lender can know in advance about the fee that will be charged to them and they can further look at the benefits of growth in total relationship with the bank. Hannangan says that can also use this loan pricing system to cross sell other fee based services of the bank. This gives rise to Relationship Based Pricing. (Hannagan, 2004) With the passage of time different non-banking f inancial institutions entered the place which was once the territory of banks. Banks faced a tough competition but did not lag behind. A basic rule of marketing any product or service is a differentiating factor. Relationship with the customer was a factor that banks could use as their differentiating factor to compete. Banks generally are likely to have long relationships and associations with their customers. This can build a loyalty factor among customers as well. Relationship pricing strategy takes the relationship with the customer as the basis to set a price. It usually takes into consideration, customers loyalty time, the total amount of business he provides, the frequency and type of transactions he does etc. (Relationship Pricing, 2010) A research on relationship banking supports this type of pricing by adding that the progress of bank-firm relationship can lead to benefits for the lender as well as borrower in terms of cost reduction or increased revenues and reduced ra tes. (Fredriksson, 2007) This kind of pricing takes into account all the services that a particular customer is availing. As mentioned by Thomas Hannagan, this pricing system can let lender receive benefits from the indirect ways such as deposit accounts. He states an example in which a borrower negotiated for a low-rate loan by guarantying to maintain a certain level of deposits in the bank which can help bank improve its return ratios. (Hannagan, 2004) Both the parties can negotiate for mutual benefit. SAP, a German software corporation providing software to support businesses globally, elaborates in its industry briefing about the pricing of banks. According to SAP banks have prospects to perk up their profitability by optimizing their price structure. (SAP, 2009) Bank instead of working on the price they need to sell at should focus on the price customers are willing to buy at. Simple pricing models only take monetary aspect of the transactions into account but advance models take all non price factors to give a true picture of rates and volume. Price optimization can help banks to come up with rates according to their growth strategy. If a bank plans to increase its profits without affecting volume, price optimization model comes up with a rate that bank needs to offer a particular chunk of customers and achieve its goal. Similarly if a bank intends to augment its volume with significant profits, the model calculates a price consumer intends to spend for a product in any area of business; it also shows how the pricing is balanced among loan products to maintain the overall strategy intended by the bank. (SAP, 2009) Pricing optimization allows executives to pull pricing as a core strategic driver of performance. Pricing should not be taken as a secondary function. Pricing should be treated as a core proficiency, it can be used a tool which can quickly and significantly influence the required results of the fiscal year. (Rohde, 2008) Banks can further use what-if analysis to alter the recommended strategy according to what is more feasible and comfortable to the suggested targets. Banks and other non-bank financial service providers who were relying merely on risk assessments have started employing value based approaches to pricing credit. The competitive environment in which banks are working in, value based pricing can help banks to continue with profitable growth. (David Vidal, 2009) A paper identifies certain structural guidelines to implement value based pricing; the steps researcher mentioned are identifying the factors that influence customers willingness to pay, define pricing segments along the structure identified, quantify ability to profitability change your pricing by measuring price elasticities and implementing the selected value based pricing approach using price optimization models. (David Vidal, 2009) Customer Loyalty is something that is extremely important for all the banks; it can be considered as one of the most valuable assets of a bank. Taking into account the aggressive environment, retaining customers is becoming increasingly difficult. Girish P B in his article says that retaining and increasing good business with a current profitable customer is more cost effective than targeting a new customer. Selection of a good pricing strategy can help banks retain profitable customers. (Girish, 2010) Moreover as mentioned earlier as well, pricing strategy has a direct influence on revenues and banking targets of a bank. A suitable pricing strategy can help bank increase its revenues, achieve targets, improve business ratios, increase business effectiveness, amplify its volume, improve on profitability, enlarge its customer base, and plenty of other factors important for a business. All these variables, their influencing variables and their relationship will be comprehended further in this study. INDUSTRY BACKGROUND Banking industry is the backbone of any economy. It is considered fundamental to economic growth. Banking industry alone can affect the entire economy, if banking industry of an economy is not working well; it will directly impact the working of the whole economy and vice versa. Banks in simple terms are described as financial institutions which accept deposits and issue loans. Banks extend loans to corporations and individuals to invest, handle savings and handle transactions. Though banking industry has evolved over time in economic, financial and technological aspects, the loan component of the banking has not advanced as much as the other services provided by banks. Banks have been able to handle their loans very well. Banks which extended credit have encountered loan defaults while other banks did not extend sufficient credit to perform well. Some banking executives and theorists claim the pricing component of the loans to lack. Banks cannot effectively price their loans ; some do not take all the pricing components into account while others which do, are unable to comprehend their behavior. Product based industries are available with sufficient pricing strategies to cater their needs. They are able to implement their strategic goals and objectives and excel in every dimension; as they can effectively translate their business strategies into pricing tactics. Banking professionals also have pricing theories for their assistance which have improved with the passage of time but despite focused considerations banks have not been able to perform up to the mark. This clearly indicates that either the pricing strategies bankers are available with are not enough or they lack in some key areas which still need to be addressed in order to completely understand the key influencing variables. Research Aim The aim of this research is to comprehend the pricing strategies and key influencing variables in pricing of loans, so that the banks are in a position to develop better performing and effective pricing strategies that alignment with their strategic business plans. Research Questions: Research question 1: In what aspects can pricing strategy be important for the banks with respect to granting loans? Research question 2: What factors are taken into account by Banks while devising their pricing strategy? Hypothesis Poor loan pricing strategy is the key factor due to which banks are unable to achieve their strategic business objectives Existing pricing theories cannot help banking loans to perform up to the mark Objectives Comprehend the strategies that banks use for pricing their loans Indentify and elaborate on the aspects that can be influenced by pricing strategies banks adopt for pricing their loans Identification of the most suitable loan pricing strategy and suggestion for further improvement in the weaker areas of existing loan pricing models and theories. METHODOLOGY Business researches, depending on the nature of a research, can usually be classified into three basic categories which are exploratory, descriptive and causal research. Exploratory research is carried out in the beginning stages of decision making when the decision circumstances are vague and management is very unsure about the nature of the problem. Descriptive research is carried out when the management knows about the problem but not completely aware of the entire situation. (Zikmund, 2001) This type of research answers who, what, where and how questions. Causal study is carried out when the problem is very clear, specific and sharply defined. The cause and effect relationship among the variables is identified. (Zikmund, 2001) This study will fall under the causal category of research. The problem of the study is clearly defined and the hypothesis are stated which would be defended further in the research. The problem area is the loan pricing and its causal relationships wit h other variables will be identified to further identify and discuss the areas where current loan pricing strategies lack. It may have a little tinge of descriptive category as well when the pricing strategies that banks have used in the past or are still using will be identified and elaborated upon. This research will primarily be based upon secondary data sources. Different studies of different authors from different corners of the globe will be thoroughly studied and scrutinized in order to get hold of the subject and get a complete understanding of the subject matter. All the direct, indirect, moderating and intervening variables will be identified, a theoretical framework will be designed identifying the relationship among the variables and their significance; they will be studied in detail to reach justifiable conclusions. Dependent variable is the variable of primary interest to the researcher. The researcher analyses the dependent variable to get his answers. Here in this study it may be the volume of the loan, the profitability or the effectiveness of the strategy (this will be dealt further in detail). The independent variable is the one which influences the dependent variable. In this case it may be the interest rates, economic repercussions, loyal relationship etc. A moderating variable has a strong effect on the relationship of direct and indirect variable. The intervening variable is a surface in time when indirect variable starts influencing and the time when its influence is felt. All the relevant literature, studies, theories will be examined. The empirical evidences and regressions run in other applicable studies will also be taken into account to deduce the relationship among variables. The objectives of the research will be kept in mind while examining other studies in order to stay focused. Hermeneutical text analysis will be used in the study to analyze and discuss the strategies used by banks for pricing their loans. Hermeneutic s is a research technique which is followed by an interpretive pattern on text scrutiny. Hermeneutics is widely used in social sciences including researches in economics and business. Hermeneutics is a method of research which allows the researcher to interpret the texts in its background and draw a meaning accordingly. In order to understand something properly, one needs to take it in context and one need to have knowledge about it, and hermeneutics allows the researcher to combine both of these necessary elements to gain complete understanding of the relevant text. Thus hermeneutics makes use of the blend of information and contexts to generate fresh facts and gain additional understanding in research (Cole Avison, 2007); as in order to draw legitimate and justifiable conclusions, it very important to know about the social, political, economic and historical aspects of an event. Hermeneutics comprises of five concepts: the hermeneutic cycle, the hermeneutic horizon, fusion of horizons, rejection of author-intentionality and critique (Mir Prasad, 2002) A research on hermeneutics says that Hermeneutics means the theory of interpretation, i.e. the theory of achieving an understanding of texts, utterances, and so on (it does not mean a certain twentieth-century philosophical movement) (Forster, 2007) Hermeneutics is the research method in the field of text analysis which offers the researcher to interpret texts in their context and therefore derive meaning. As knowledge about something needs both information and context, hermeneutics enable to combine both to gain understanding. In social sciences the historical, political, economic and social backgrounds of phenomena have to be analyzed carefully to draw correct and legitimate conclusions (Mir Prasad, 2002). The major philosophy and concept of hermeneutics is its cycle. The cycle states that the part can only be understood from the whole and the whole can only be understood from the parts. (Mir Prasad, 2002) This means that in order to get the complete understanding of the parts, one need to know about the context and the whole scenario and in order to understand the whole scenario, one need to have a complete understanding of the parts. The social and cultural aspects are also taken into consideration. Not only the research subject is what the analysis will be based on but a separate analysis of the context is also required. While studying loan pricing, not only the directly related variables are taken into account, the environment in which those variables work has also to be taken into account to get an enhanced understanding of the working of actual variables. Timescale The way this research will be carried out is suitably planned; expected time for each part of the study is also determined. Things will take place exactly according to the pre-determined plans as this will help us give appropriate time to each section and as well as finish the study on time. In order to work in a systematic manner, keeping the time constraint in mind, the analysis part of the report is divided into four sub-parts, relevant data collection, analysis of the data collected, further analysis and final deductions. As this study is based on secondary data, analysis and data collection are the cornerstones of this study. Therefore, these stages will be carried out with utmost care. Following table shows how the time divided among different stages of the research: Sr.no. Task No of Weeks 1 Literature review 5 2 Analysis Relevant Data Collection 4 3 Analysis of Data Collected 4 4 Further Analysis and Data Collection 5 5 Analysis Final Deduction 3 6 Final Report write up 4 7 Final Presentation write up 1 8 Presentation Preparation 1 Though the planned will be followed strictly, still a room for delays is kept in mind. Some tasks (most likely analysis and literature review) may require extra time depending on the situation. If such things happen which is not very likely, we can use the room kept for delays or we can reduce time from other stages if they can be completely early without any compromise with the quality of work. Resources This study is not very costly to conduct, since it is relying on secondary sources for data. No primary activities will be carried out at any business locations. Access to Business and Marketing Journals is the major resource needed for this research. Access to quality data is major requirement and something that will significantly influence the quality of this research work. Moreover a computer with an online access to articles is all what is needed.

The Chicago Riots Act Of Violence And Destruction

Most people can feel bad for the people of Baltimore with the furious nature from April 18, 2015 - May 3, 2015. It’s really easy to feel a lot of compassion for the people who’ve suffered from police brutality, poverty, and injustice; even if you’ve never experienced either. Burning and looting a CVS store would be a lot harder to understand and would hardly seem to have anything to do with protesting the actions of the Baltimore Police Department. President Obama decried the Baltimore riots as â€Å"senseless act of violence and destruction.† Baltimore Mayor Stephanie Rawlings-Blake also seemed disheartened. â€Å"We worked so hard to get a company like CVS to invest in this neighborhood,† she said, â€Å"this is the only place that so many people have to pick up their prescriptions.† Why would anyone burn down the only CVS in their neighborhood? The main reason, I purpose, is most likely the same reason that poor people in these cities across the country burned â€Å"their own† neighborhoods in the late 1960s: They did not experience those places as their own. Then, like now, police brutality was a precipitating cause of the violence, but it was the long-term experience of the indignities of the ghetto that gave shape to the riots. Then, like now, media outlets compared the rioters to savages who had run wild and needed discipline. Rioting, to these bystanders, was not proper political protest but the criminal actions of poor people who merely wanted to grab what they could for free. ThisShow MoreRelatedThe Rebellion Of The Mid 1960s1479 Words   |  6 PagesRebels with a Cause During the mid-1960s, various racially driven riots descended upon Northern urban centers and blanketed the cities with violence and destruction. Historians have long debated the cause of these riots and whether they were actually riots, or rebellions against America’s prevalent racial polarization in urban areas. Some historians categorize the uprisings as unnecessary riots that stemmed from the increasing black militancy, ghetto residents lack of responsibility for their ownRead MoreCan Riots/Public Demonstration Bring Change?1459 Words   |  6 PagesCan Riots/Public Demonstrations Bring Change? A  demonstration  is an action by a group of people in favor of a  political  or other cause. It normally consists of walking in a mass march formation and either beginning with or meeting at a designated endpoint to hear speakers. Actions such as blockades and  sit-ins  may also be referred to as demonstrations. Demonstrations can be  violent or nonviolent. Nonviolent demonstrations can turn into violent demonstrations depending on the circumstances.Read MoreTerrorism is a Means of Serving Political Goals1161 Words   |  5 PagesWhile terrorism—that is, violence or the threat of violence aimed intentionally at civilians—has been employed since time immemorial as a means of securing political goals, the 1960s ushered in an entirely new form of political violence. Motivated by thinkers like Karl Marx and Friedrich Engels, this new breed of terrorism struggled in vain to halt the vehicle of Capitalism: as it was steered by the opulent and sustained thr ough exploitation of a bloodied working class. Significant amongst likemindedRead MoreThe Tulsa Race Riot : The Black Population Of Tulsa At The Time Of The Riots3694 Words   |  15 PagesThe Tulsa Race Riot is an event that is quite possibly the most unknown and misconstrued piece of history in the United States of America. When and if it is discussed, it’s taken as a single event that happened in Tulsa and was deadly and very destructive. The many theories of what occurred and how it came to the extreme mob like violence taken on Tulsa’s own civilians. The evidence found suggest there were alternative motives in Tulsa for acquiring land that the black civilians held. This paperRead MoreThe Apartheid Of The Vietnam War1723 Words   |  7 Pagesminiscule results of nonviolence. The association was ready to do more than hold up signs and hope that someone would listen. They were prepared to destroy and they were prepared for people to get hurt. They were the Weathermen. Their violence ranged from the destruction of buildings, to the injury and murder of innocents and police. Primarily, The Weathermen aimed to end the war in Vietnam, however, and they had also intended to fight against racism, sexism, and oppressive capitalism within the USRead MoreAnalysis Of The City Zoning And Population Migration1707 Words   |  7 Pagesunproductive are detrimental to the public good. The public policy of the Mayoral Government of Chicago has led to an ineffective and harmful modality, which has manifested itself into the colloquially titled â€Å"Chiraq†. Comparative analysis of the City Zoning and Population Migration between 1985 and 2012 depict a relationship between incidents of housing closure and a general increase in crime. Throughout the city of Chicago the neighborhoods with the highest population of displaced people tend to be the onesRead MoreMan Made Disasters1673 Words   |  7 Pagesinto general chaos. Rioting has many causes, from low minimum wage to racial segregation. And example of riots were those in the Watts neighborhood of Los Angeles, California in 1965 and 1992. The 1992 riots, which started at the intersections of Florence and Normandie streets, started immediately after the Rodney King verdict was announced on live TV. Approximately 50 people died in the 1992 riots. Terrorism Terrorism is a controversial term with multiple definitions. One definition means a violentRead MoreThe United States Presidential Election Of 2016 Essay1540 Words   |  7 Pagesbroken out across America that include burning flags, violence, fighting, offensive signs, and chants of â€Å"not my president.† Peaceful is out of the question when these protests turn violent and our first amendment rights are being taken to the extreme. The right to peaceful protests are crucial in America. Some of the greatest leaders in the United States history used peaceful protest to get their point across. They did not need to resort to violence to get their information and knowledge out to helpRead MoreThe Civil Rights Movement Is One Of The Most Memorable2109 Words   |  9 Pageswere the best weapon to fight for equal rights. Though African Americans still have inequality to this day. While King and other leaders fought peacefully in the past, protester Wes Annac believes America has the mindset that fighting violently like riots are the only way to get their voice heard which is not the way for voices to be heard. Those who are given authority were initially here to protect and serve people in the community. The hero role has sadly been replaced by personal creed to hurtRead MoreBlack Lives Matter By Karin Kamp1645 Words   |  7 Pagesa huge impact in America today, and it is anything but peaceful. The Black Lives Matter assures that police brutality and violence to blacks will be addressed as soon as they happen, even if they don’t necessarily need to be addressed at all. David French wrote, â€Å"This version of Black Lives Matter wants transparency, accountability, and assurances that police abuse and violence will be fairly and impartially investigated,†(Bla) Black Lives Matter was good before it became corrupt by hypocrites .

The Childhood Of Mother And Dad Essay - 1218 Words

Mary is a 14 month little girl, wearing a fluffy dress, large hair bow and Maryjane shoes, accompanied by her mother Lana to a children’s museum. After Lana signed an OLLU consent and confidentiality form, this observer assured the mom that their names would remain anonymous and only used for this academic project. A family genogram visually demonstrates that Mary has a three year old, older brother Peter (see Appendix A). These two are the only children in their generation. Mom, whose primary language is Romanian, feels completely American now. She has a younger, unmarried, 28 year old brother. Dad, age 37, has two older sisters with one married and the other single. Mom’s parents were born in Romania and live in San Antonio via Canada where mom was born. Dad’s parents are of Greek, German and other western European descent. Both mom and dad, who own their own home, are college graduates. Mom was a kindergarten teacher before the children were born and now identifies as a full-time homemaker. Dad is a mechanical engineer, working full-time in a Houston petroleum company. He acts kindly, and patiently assists with childcare evenings and weekends. Mom was observed to be highly attentive, protects her daughter from falls, bumps and wobbles, is keenly observant, verbally responsive and multi-sensorally interactive to her daughter. She fills their days with educational activities, reads about 20 books/day, sings songs, develops theme weeks, and restrictsShow MoreRelatedJeannette Is The Narrator Of Her Memoir, Telling Her Story1036 Words   |  5 Pagesnarrator of her memoir, telling her story from age three into adulthood. As a child she is adventurous, wild-hearted, and Dad s favorite. Jeannette, a middle sibling, is closer to younger brother Brian than her older sister Lori: Brian shares Jeannette s love of the outdoors, while Lori is more a bookworm. As Jeannette matures, her feelings toward Dad and Mom change. She resents Dad s drinking and how he constantly lets her and the rest of the family down yet never openly admits it or allows his flawsRead MoreHow Do I Know Who I Am?1572 Words   |  7 Pageschanging so we need to grown and change with it and also accept it. In my home I had my mother, my father, and my brother who was three years older than I am. I have an incredibly caring, thoughtful and motivated mother. Reflecting on anything from my childhood is always challenging for me. My father struggled with alcoholism my entire childhood, until it took his life when I was just 16. Throughout my childhood we were all faced with emotional, physical, and verbal abuse. When it came to discussingRead MoreChildhood Trauma1541 Words   |  7 PagesChildhood Trauma Family violence is always disheartening. Childhood sexual abuse is by far the worse. There are many forms of childhood sexual abuse. The sexual abuse can involve seduction by a beloved relative or it can be a violent act committed by a stranger. Childhood sexual trauma causes psychological, interpersonal, and behavioral. This paper will show a first account of the impact of childhood trauma. Family History Jewel grew up in turmoil. She found out fromRead MoreThe Glass Castle by Jeanette Walls1228 Words   |  5 PagesThe story begins with Jeanette Walls riding in the taxi in New York, on her way to the event when she notices her mother out the window digging through the trash. Even though her mother has been homeless for years, she feels shame about her mother’s life. This leads her to think about her childhood and how her parents’ choices affected her. She opens the door to her childhood, beginning with when she was 3 years old and boiling her own hot dog by standing on top of the chair to reach the stovetopRead MoreSocial Class, Race, And Gender1436 Words   |  6 Pagesshaped my childhood, romances, household structure, and the person I am today. When I look back on my childhood, I go back to my front yard where I would always play outside with my brother and neighbors weather it would be street hockey in the cul-de-sac, to a overly-intense game of basketball. But when I recognize how my childhood was behind closed doors, it wasn’t much different. My house was the place everyone came to hang out at. I had a large scale beautiful home with a basement my dad builtRead MoreAnalysis Of The Book Master Harold And The Boys 1444 Words   |  6 PagesFugard, the writer of â€Å"Master Harold† †¦ and the boys, exerts a miscellany of literary devices to achieve a certain desired effect within the play. One such very special literary device he makes strong use of is the phone calls between Hally and his mother about his alcoholic father. The phone calls play a fundamental role both as an energizing ingredient and a pivot to establish the plays uncontrollable atmosphere, tension and suspense and allows the readers to question, analyse and then decipher theRead MoreMy Favorite Trip Of My Childhood1295 Words   |  6 PagesI sit fidgeting in my seat while holding my pillow, waiting to start the greatest trip of my childhood. As everyone files into the stuffed minivan my two older brothers, my sister, my dad, and I sit and wait for the last person to join us. When the time comes and my mother graces us with her presence we waste no time getting on the road. Once we get on the road and moving, there is no stopping, for anything. This whole ride is worth it when we cross Atlantic City and drive over a bridge into BrigantineRead MoreMy Mother s Parents Struggled With Addiction Essay1403 Words   |  6 PagesMargaret â€Å"Markie†, the eldest, , Catherine â€Å"Kerrie†, the second eldest, my mother, Marian, the middle child, Amy, the second youngest, and lastly, Matt, the youngest. Moreover, my mother and my aunt Margaret â€Å"Markie† Smith have also battled alcoholism and m y aunt Amy has since been diagnosed with schizoaffective disorder. Due to my mother’s family struggle with alcoholism, addiction, and mental disorder, my mother’s childhood was particularly difficult. Not only was she undoubtedly influenced by herRead MoreIn Cold Childhood Essay989 Words   |  4 PagesManny Vincent Di Pietro Miss Beck essay 19 May 2017 Archduke Franz Ferdinand In Cold Childhood Childhood is the most important part of life; it creates the mold that humans fit into for the rest of their lives. Human beings, whether or not they realize, act and think based on their childhoods and the way they had been raised. In the novel In Cold Blood, Perry Smith had a tragic childhood; he had neither the feeling of family nor people around to help him. Later in life, Perry met DickRead MoreMy Dad Created A Safe Haven For Me905 Words   |  4 Pageswings in order to fly, but in my case it has taken my nineteen years and counting! When I â€Å"hatched† my dad created a safe haven for me. He was born in a little pueblo in Mexico and migrated to California when he was sixteen. My dad lived in a garage along with his parents and four of his younger siblings until he graduated high school and attended Cal State Fullerton University where he met my mother. They had me a year after they married. They both successfully jugged their responsibilities achieved

Comparison of Health Care Spending of United States With OECD Countrie

Question: Discuss trends in data concerning spending and determine if rates are higher or lower. Discuss the impact of technology and its relationship to spending versus health outcomes in the United States. Answer: The performance of United States in various measures related to well being of the individual. It ranks at the top among the top countries in the Better Life Index. The average household net disposable income per capita is 39531 USD a year. It is more than the OECD average of 23938 USD a year. But there is disparity among the richest and the poorest. The top 20% of the population earn eight times approximately than the bottom 20% (Oecdbetterlifeindex.org, 2015). From the 2014 data, it is evident that the health care system is the most expensive in the world. The health care spending of United States remains the highest than the OECD countries. Health care spending of United States accounted for 16.9% of the GDP in 2012. This is the highest share amongst the OECD countries. In 2012, 48% of the health care spending of United States was financed publicly. It is below the average of 72% in the OECD countries (oecd.org, 2014). As per the data of 2010, the health care expenditure of 2012 is 15.3% of the GDP in United States. On the other hand, in the OECD countries the expenditure in health care is less than 10% of GDP and does not exceed 11.3 %. The health care spending of United States has shown a slow trend due to the rise of price of the products of the pharmaceutical and the hospital sectors. The slowdown has been predated by the crisis in the economy. The slowdown has decelerated further by 2% in the year 2011 and 2012. The lower rate of gro wth of United States is higher than the average of the OECD countries. It is lower than the European countries as there has been significant reduction in the health care spending of the of the OECD countries. A downtrend has been noticed in the spending of the pharmaceutical sector of the OECD countries (OECD Health Statistics 2014 How does the United States compare?, 2014). The pharmaceutical sector of United States has shown downtrend after it has shown years of strong growth. The growth in the pharmaceutical sector has reduced by 1.1% in the year 2012. It was mostly due to the pricing effects which was a result of the loss of patent protection for some of the highly selling drugs. This has resulted in the increase in the share of the cheaper generic of drugs available in the market (OECD Health Statistics 2014 How does the United States compare?, 2014). The trend of health care spending in the year 2006 has been lower than the 2011 and 2012. The rise in the price of the products of the hospital industry and the health care industry has been the major reason behind the rise in spending. There was significant growth in the health care spending in almost all the OECD countries since 2008. The growth in the health care sector was fixed at 4% per annum but after 2008 the health care spending in the country has seen a sharp decline. It grew at only 0.2% in between 2009 and 2011. This was a result of the economic downturn in the country. Amongst the OECD countries, the decline was starkly seen in the decline of the health care spending in Greece and Ireland by 11.1% and 6.6% respectively in between 2009 and 2011. The health care spending also slowed in Canada and United States (OECD Health Statistics 2014 How does the United States compare?, 2014); (oecd.org, 2014). The OECD countries have universal health coverage for a set o health services. But the health scheme of United States varies (Health at a Glance 2013 OECD INDICATORS, 2013). This has increased the expense on health care services in United States. In United States, 15% of the population was uninsured in 2011 in United States. This has increased the out of pocket expenditures of the population in United States. In the OECD countries the life expectancy rate continued to increase from 65 in 2011. But the additional years are lived by the people with some chronic diseases. For e.g. quarter of the people of the age group of 85 years suffer from dementia (Health at a Glance 2013 OECD INDICATORS, 2013). The health care spending in United States has been increasing starkly than the other sectors of the economy. The introduction of new technology in the health care sector has increased the expenditure of the health care sector. Sophisticated imaging technology is used in United States and the MRI techniques are highly costly. Among the other OECD countries, United States spends the most in the technology used in the health care sector. United States is far above than the OECD countries in the use of technology (A, 2015). Technology, administrative expenditure, hospital costs and choice of lifestyle and the chronic conditions has resulted in the rise of the health costs. Installation and implementation of the electronic health records is considered to be a costly affair. The use of advanced technology has adverse effect on the health care spending of the country. Other areas of concern of the health care spending are the rise in the administrative expenses and the increase in the hosp ital costs. There has been rise in the administrative regulations in United States which has burdened the hospitals to overcharge their patients. The rise in the prices of the medicines has also raised the health care spending of the country. In 2010, the health care expenditures was $814 billion. It was 31.4% of the GDP of the country. The cost of the hospital care in the country will increase rapidly. The major health care spending of the country is done in curing the chronic diseases in the country. The chronic conditions of the disease fall into 20% of the health care spending of United States (A, 2015); (Cms.gov, 2015). The various factors that are discussed above have resulted in the rise of the health care costs in United States than the OECD countries (Norbeck, 2013). The health care costs are above the gross domestic product, growth of the population and the rate of inflation. Use of advanced technology has been a major factor for the rise of the health care costs (Norbeck, 2013). References A, W. (2015). The impact of technology on health care cost and policy development. - PubMed - NCBI. Ncbi.nlm.nih.gov. Retrieved 23 January 2015, from Cms.gov,. (2015). National Health Expenditure Data - Centers for Medicare Medicaid Services. Retrieved 23 January 2015, from Health at a Glance 2013 OECD INDICATORS. (2013) (1st ed., pp. 9-50). Retrieved from Norbeck, L. (2013). Who's To Blame For Our Rising Healthcare Costs?. Forbes. Retrieved 23 January 2015, from OECD Health Statistics 2014 How does the United States compare?. (2014) (1st ed., pp. 1-3). Retrieved from oecd.org,. (2014). OECD Health Statistics 2014 How does Canada compare?. Retrieved 23 January 2015, from

The Application of Eugenics Practices

In sociology, a bio-social environment can largely benefit from the applied science of eugenics. In other words, eugenics supports the study of modifying or boosting the genetic make-up of any sample of a population.Advertising We will write a custom essay sample on The Application of Eugenics Practices specifically for you for only $16.05 $11/page Learn More In most cases, the human population is the major target in the application of eugenics practices. It is also imperative to mention that eugenics is a broad social philosophy that attempts to improve the productivity and genetic wellbeing of certain individuals, while lowering the productivity of some individuals by modifying their genetic make-up. It is definite that eugenics has been a subject of great discourse and controversy since the time it was developed and adopted. During the first few decades of the 20th century, eugenics had attained high popularity especially in the western world. It had been recognized as a formidable social movement. For instance, institutions, influential individuals as well governments were already propagating and advocating the practice of eugenics before the mid 20th century. Although the identification and understanding of certain features and compositions of genes have been facilitated in the study of genetics, there are still no definite and approved scientific methods that can be used to evaluate traits that may finally be useful. However, eugenics has been moderately applied in boosting body defense against diseases such as Cholera and Malaria. In terms of genetic diversity, it is worth to mention that policies that promote eugenics are likely to interfere with the natural diversity of genes among various populations. There is a wide pool of scientific evidences which have demonstrated that vulnerability towards certain ailments could be rife especially among populations with modified genes. For instance, individuals whose genes have been incapacitated find it difficult to adapt effectively against prevailing environmental conditions. Needless to say, when undesired genes are eliminated in the process of eugenics, the diversity of genes portfolio is equally reduced leading to unbalanced population in terms of various personalities needed to supplement society. Individuals and corporate bodies who support the practice of eugenics argue that the process of eliminating genes may not necessarily impact a population negatively because it as slow program that can be reversed whenever undesired consequences are noted.Advertising Looking for essay on social sciences? Let's see if we can help you! Get your first paper with 15% OFF Learn More They also reiterate that when a particular program on eugenics is adopted, any unwanted consequences can be noted in advance and therefore controlled accordingly. Additionally, they observe that in case of any significant reduction in gene diversity, then it will take remar kably long period of time with negligible effects. Therefore, there is no cause for alarm over the practice of eugenics. The autism rights’ movements have also entangled themselves in the controversies surrounding eugenics. When genes are predisposed among individual with autism, it is definite that the rate of autism can be reduced. However, autistic movements argue that there is no need of lowering the rate of autism using eugenics because it is an integral component of brain diversity. On the same note, the Down syndrome’s advocacy groups also purport that the latter condition is part and parcel of neurodiversity that should not be interfered with at all. Finally, it is vital to mention the relevance of heterozygous recessive traits in relation to the practice of eugenics. There are scenarios when it is practically impossible to eliminate single-gene mutations. It is against this backdrop that genes with heterozygous recessive traits may be difficult to eradicate du e to myriads of carriers that are attached to them. Therefore, eugenics is a scientific attempt in gene mutation that has not achieved complete success. This essay on The Application of Eugenics Practices was written and submitted by user Wendell Vaughn to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

Service Delivery System Essay Example

Service Delivery System Essay Example Service Delivery System Paper Service Delivery System Paper The Lewis Partnership is in my opinion a very well organised company. Through their description in the first edition of their Occasions Magazine the reader gets in a world of dreams hopping to be there and to have the possibility to see it with the own eyes. The description is fantastic and you become the wish to be there and to know personally such a loving place. The employees describe the organisation as excellence as a culture, a work ethic and a way of life and a unique and very special place. The two most important managers Chris Lewis and Mark Lewis illustrate their both hotels as the first choice for all occasions. They want the costumer to be the King and they want to spoil the clients so that they spend an unforgettable time in the hotel. By offering luxury and elegance, by giving only the best service and by realizing the wishes of the costumers they show that they have a very well designed Customer Benefit Package. The clients appreciate very much the services offered by the hotels. This is shown with the example of the couple who chose the Moat House Hotel to celebrate their wedding. The couple was very pleased by the flexibility of the hotel manager. They were even allowed to change pictures and to put some own ones to adorn the rooms. The fact that this couple chose this hotel again for their first anniversary and for the naming ceremony of their first child shows that they were very satisfied with the service offered by the hotel. In the magazine they also express the careful choose of their providers of foods, flowers and coffee. The Lewis Partnership remarks also the high quality of their restaurants and point out the 2 AA Rosette standards. The winning of some awards is also a sign for the good quality delivered in the hotels. (Occasions Magazine / First Edition) 2. What is a Service Concept and why is it important to such a company?  The service concept of a company is the sum of the facilities and the deals that a company offers to their costumers. These depend on the point of view of the company by which the organisation wants the costumers, their employees and the stakeholders to perceive it. The point of view of the company depends on the initial vision that the creator of the company had when he or she started with the business. In the case of the Lewis Partnership they started with the idea of transforming the manor house into a pub and a small restaurant. After the vision they created the mission, a very difficult task because it is not easy to design and to change the mission once it is created. Later on when they took over the Swan Hotel they applied the same mission to this second business changing only some specific hotel own details. The mission is the way of doing things and the way that they wanted to be perceived by their environment. They decided to develop a place where people can enjoy holidays, a business travel or a simple dinner. They worked hardly over years and this way they build up on this idea. Step by step they expanded. They transformed the pub into a small restaurant. They worked very hard and they had big difficulties due to the lack of experience. But the business worked always better and later on due to the increasing demand of the costumers they decided to transform the restaurant into a hotel. After an extensive research they started the project. Due to the importance of having qualified personnel they employed an experienced team of professionals. The costumers were so satisfied with the service that the Manor house has been repeatedly named the most popular civil wedding venue. The well going Moat House Hotel and the opening of the Swan Hotel were the result of taking exceptional care of the costumers; they adapted the needs of the costumers and innovated their business on an ongoing basis. Another very important task is to be a good leader. The bottom line for all leadership efforts is customer satisfaction. Continued patronage ensures companys success. The supervisors have some contact with customers because they are working leaders, but there are the employees of the service team who handle the bulk of the customer contacts. That is why the importance of satisfied employees is so important to provide good service to the costumers. Desired behaviours only will take place when each leader and their respective managers and supervisors start modelling these behaviours to those they manage. When employees see their leaders actually leading by example, they feel good about their work and are more motivated to satisfy their guests. Guests and customers in general feel good when they deal with companies who seem to treat their people well. (www.hotelexecutive.com). In the case of the Lewis Partnership managers and the rest of the staff have a very good relationship. The employees have the possibility to be rewarded by themselves with the AboveBeyond awards. Management and rest of employees work together they built a strong team and the work atmosphere is very good. It is also important to point out that the services sector has grown steadily in the last 20 years. People not only want to be in a nice hotel and to pass there some days for holidays or business. They want to get more for their money. The competence is always harder and only satisfied clients choose the same hotel twice. The surroundings and the installations of a hotel are very important but you will not reach a second visit of a client if you do not offer a very good service. The Swan Hotel has a three stars category and the Moat House a four Starts category and this is also an important reason to deliver a good service to customers. Of course hotels with fewer stars should also give a good service but when a person books a table or a room in a four stars hotel he has a higher service expectation. (www.moathouse.co.uk) (www.theswanstafford.co.uk)  3. What features of a service delivery system appear to make this company successful in delivering quality service to their customers? A service delivery system is a mix of capabilities provided through resources. A good service delivery system depends on the coordination and effectiveness of all the characteristics around the service provided. In the case of a hotel the management has to answer many key questions and take many decisions to create a Costumer benefit package. They have to answer questions like: what wants the costumer, what are his needs, which are his preferences. The management needs to design procedures and to teach the staff on them to reach a high satisfaction by the costumers. A very helpful way for employees to follow the procedures is creating standard operating procedures, where each procedure is fixed step by step. It is also very important to measure the results to evaluate their effectiveness and to make improvements with the feedback of the environment. What is a Costumer benefit package? It is a combination of tangibles and intangibles that comprise a service. (Class Notes March 2004) For example: Why is a Costumer Benefit Package so important? Because of the upward trend in the business service sector over the past 20 years and also because competitive edge starts with a solid Costumer Benefit Package. It is vital to develop the CBP because it is a very useful tool for service providers to clarify what they do and do not offer through their services also because it helps to define service providers responsibilities to customers. In todays service oriented economy, it is important that companies develop a strong CBP to stay competitive. The management should keep in mind that there are many factors to take into consideration while designing an appropriate CBP for their company. (www.freequality.org) According to the GAP model, the personal needs of the costumer are the most important for the hotels. Especially GAP 5, which is; expected service contra perceived service is a force for the Lewis hotels. This is where they have the chance to impress the customers, and according to themselves, they certainly do. From the first step they take into one of the two hotels, they are meet by a staff member and taken care of. The whole stay is also carefully planed where the customer gets the opportunity to choose exactly what he or she wants in his or her room. You can say that the service and quality is reliable (The Lewis Partnership Magazine).

Innovation, Entrepreneurship and Management Essay

Innovation, Entrepreneurship and Management - Essay Example Implication of Current Global Financial Crisis on Innovation of Firms Since innovation relies on resource allocation in terms of research and development, it is likely to be affected by current global financial crisis (Nakagawa,pg.258). A closer scrutiny of various European firms has revealed a significant change in innovation investment amidst the economic crisis. A survey conducted in 2009, revealed significant shifts in innovation investments across various firms in Europe where innovation investment and expenditure in firms declined from 40.2 percent to 10.6 percent (Filippetti and Archibugi,pg.2). The reduction in innovation investment and expenditures was attributed to direct effects of global financial crisis and recession. The economic crisis and recession reduces the short-term willingness of firms to engage to invest in innovation due to adverse macroeconomic environment that firms operate within (Archibugi, Filippetti and Frenz,pg.2). The mode of financing channels for Eur opean enterprises has been through bank loans and stock and bond market. In fact, most European banks have reviewed and tightened their money supply regulation due to global financial crisis (Fasnacht,pg.73). ... Most firms rely on profits and extra revenues for their research and development initiatives. Since the global economic meltdown is directly related to earnings of companies, any slight reduction in companies’ profits can affect their innovation approaches and incentives (Savona, Kirton and Oldani,pg.140). All business sectors and companies in Europe have felt the effect of the ongoing financial crisis in varying degrees thus leading to deterioration of their revenues and profitability. The reduction in financial results of European companies is linked to reduction in consumerism, export cut back or reduction and shifting demand in domestic consumers. Cash flow and increased profitability and revenues are crucial for the survival of companies in relation to engagement in innovative activities. Robust and increased cash inflow in terms of profitability and increased revenues provides the safest protection of companies to engage in innovation. Research and development initiative s in European firms have hence been affected by the ongoing global recession due to the fact that their commitments to innovation have been pegged on success in revenue and profit growth. On the other hand, the ongoing financial crisis and economic turmoil has not affected the commitment of other European companies to innovation. This is particularly evident in high performing businesses that continue to invest in innovation amidst the economic turmoil (Heinrich and Betts,pg.34). Although other firms and businesses have panicked and reduced investment on research and development, some high performing firms have remained calm and are continuing to invest in innovation even though there has been pressure for such companies to reduce capital expenses (Shahzad, Ullah and Azam,pg.6). The