Foundations of Finance Essay Example | Topics and Well Written Essays - 1000 words

Foundations of Finance - Essay Example The explanation states that the utility function formed for wealth is concave in shape. A person who is wealthy has lower marginal utility for any additional wealth. In contrast to it the person who is poor has higher marginal utility for additional wealth. The economist who model risk aversion based on expected utility theory, do so as they arise solely because utility function over wealth is concave. The diminishing value of marginal utility of wealth theory of risk aversion appeals to psychological intuition and helps in explaining some of the large scale risk aversion of humans. The theory also implies that people become risk neutral when stakes are not high. Differentiable utility function is used by expected utility maximize wants to take a small stake in a positive expected value bet. The approx risk neutrality predictions holds not just for smaller and negligible stakes but also for stakes that are of sizeable size and economically important. While it is not often and univers ally appreciated by researchers but the expected utility theory fails to provide a plausible account of risk aversion over modest cases and is considered among some small fractions of researchers in different contexts using different types of utility functions. Let the cable connecting the top of 6 feet tower to junction box be y and the length of the cable connecting the top of 15 feet tower to junction box be z. Let the distance of junction box from the base of 6 feet tower be given by x and the distance of junction box therefore from the 15 feet tower will be given by 20-x. Least cabling is required for the first case if the box is kept at the base of 20 feet tower. Least cost will be required in this case as the cost of the cable that connects 15 feet tower to the junction box is higher than that cable which connects that top of 6 feet tower to the junction box. Efficient frontier is curved chart patter that defines a set of optimal

History of the Rockettes Research Paper Example | Topics and Well Written Essays - 1250 words

History of the Rockettes - Research Paper Example The Rockettes have a long history that spans several decades. Most people who enter the Radio City Music Hall may not know that the Rockettes were a group that was formed in 1925 in St. Louis, Missouri by Russell Markert. Markert originally called the group, â€Å"The Missouri Rockets† (The Radio City Rockettes). Markert decided to create this group after he saw the John Tiller Girls who were a part of the Ziegfeld Follies in 1922. Markert thought that he would be able to put together a group comprised of leggy women who could do â€Å"complicated tap routines† and â€Å"eye-high kicks† that in his words, would â€Å"knock your socks off† (The Radio City Rockettes). Eventually, the Missouri Rockets were moved to New York to perform at the Roxy Theater, then owned by S.L. â€Å"Roxy† Rothafel, who was the theater impresario. The Missouri Rockets performed in a program at that time called Rain or Shine. There were actually three different groups of women who comprised the Missouri Rockets until Rothafel, so imp ressed by the women, pulled them all together and renamed them the Roxyettes. In 1932, the Radio City Music Hall had its opening night and the Roxyettes performed for the first time on this stage; since then, there have been hundreds of performances and they have become famous. During this opening night, they were part of 17 groups who performed including such performers as the Flying Wallendas, Ray Bolger and Martha Graham (The Radio City Rockettes). In 1934, the group was â€Å"streamlined† and the Rockettes were born. In the early years of the Rockettes all girls were white and their height had to be between 5’6† tall and 5’10† to 5’10  ½Ã¢â‚¬  tall. In 1985, Setseko Maruhashi became the first Asian (Japan-born) Rockette and in 1988, Jennifer Jones became the first African-American. For many years, there was controversy about hiring African-Americans because it was felt that they would â€Å"distract from the consistent

Foreign Intelligence Organization Essay Example | Topics and Well Written Essays - 750 words

Foreign Intelligence Organization - Essay Example In the past, these countries focused their efforts on getting intelligence concerning the United States Military capabilities, as well as military research and development activities. Today, these nations also collect technical, scientific, proprietary and economic information. The information collected is aimed at promoting the national welfare of these nations and also acquiring and maintaining highly developed military systems. These countries have the ability of collecting U.S. intelligence information using Human Intelligence (HUMINT), Signal Intelligence (SIGINT), and by analyzing open source material.1 Other countries also have the ability to collect imagery products that can be used to collect Image Intelligence (IMINT). It is essential to note that only the Russian Federation gathers space-borne intelligence. 1The People’s Republic of China also has this ability though to a rather limited extent. Therefore, Russia remains to be the nation that poses the most significa nt intelligence collection threat to the U.S. Russia has immense intelligence capability that was inherited from former Soviet Union. A large proportion of Russia’s intelligence collection infrastructure is focused on collecting information relating to the U.S. The Russian Federation uses SIGINT, HUMINT, IMINT, MASINT, and open source analysis. This is used to develop intelligence products for military planners and Russian political leaders. According to the federal Bureau of Investigation, Russian intelligence operations have increased in sophistication, scope, and number.2 They are likely to remain at this high level for the near future. The bodies legally responsible for foreign intelligence functions in Russia include the Russian Foreign Intelligence Service (SVR), the Main Intelligence Directorate of General Staff (GRU) and the Federal Agency for Government Communications and Information (FAPSI). SVR mainly collects scientific, political, technical and economic informati on. Majority of case officers working for SVR operate from Russian Embassies and consulates under diplomatic cover. Though alleged that SVR personnel have been reduced by 30%, active collection operations continue, and suspicion that SVR influences operations, and conduct propaganda is rife.2 The GRU mainly provides strategic and tactical intelligence for the Russian Military.2 They collect warning intelligence, important information on military capabilities of likely adversaries, and data on superior military technologies. Their collection techniques include HUMINT, both overt and clandestine, open sources, satellite imagery reconnaissance, SIGINT from ships, ground stations aircrafts and satellites. Collection activities that significantly threaten U.S interests are those under the Space Intelligence Directorate and First Deputy Chief.3 The Space Intelligence Directorate, in conjunction with the Fleet Intelligence Direction, manages Russia’s space reconnaissance program. Th e SDI operates many research institutes, its own cosmodromes, and a centralized computer processing facility. FAPSI’s main role is communications security for Russia.2 Russia continues to place emphasis on HUMINT.3 This is because of the information they gathered from the past. It is

Analysis of Brick cleaner Aim Essay Example for Free

Analysis of Brick cleaner Aim Essay Theory/Hypothesis: The main ingredient in brick cleaner is HCL and must be diluted and titrated with a base to be able to analyse it. It reacts with parts of the concrete which allows it to remove the concrete from the bricks. I think there will be around 30% of HCL in brick cleaner. Materials: 5mL brick cleaner 100mL, 0.1M standard sodium carbonate solution 250ml de-ionised water Methyl orange indicator 250mL volumetric flask 4x100mL conical flasks Small funnel 10mL measuring cylinder * 20mL pipette * Pipette filter * Dropping pipette * Burette and stand White tile Electronic balance Safety glasses Gloves Method: 1) A 250 mL volumetric flask was weighed with its mass recorded 2) A 10mL measuring cylinder was used to pour 5mL brick cleaner into the volumetric flask. The flask was stoppered straight after all the brick cleaner was in the flask. 3) The flask was then reweighed 4) De-ionised water was added until the flask was about half full. The flask was stoppered and shaken carefully upside down several times. 5) More water was added to the flask about a cm below the graduation line. A dropper was used to accurately drop the right amount of water to the flask so the bottom of the meniscus was on the graduation line. 6) A 20mL pipette was used to put 20mL of sodium carbonate solution into each of the four 100mL conical flask. 3 drops of methyl orange indicator was added to each. 7) The burette was filled with the solution of brick cleaner. 8) The sodium carbonate solution was titrated with the solution of brick cleaner until there was a clear permanent colour change. 9) Steps 7 and 8 were repeated until 3 concordant results were Results: Weight Volumetric flask 78.968g Brick cleaner 6.00g Titre 1 2 3 Initial vol 2.3 23.4 3.0 Final vol 23.4 44.5 24.0 Vol added 21.1 21.1 21.0 Calculations: On page attached. Discussion: The weight for the brick cleaner may not be 6.00g as the volumetric flask was not weighed again with the brick cleaner in it because that step was forgotten. So the result above was taken from another student that did the prac. This will affect the results as the mass of the brick cleaner is used to determine the percentage by mass of HCL in brick cleaner. All 3 titres show that they are only within 0.1 of each other. The hypothesis has been disproved because it was suggested the 30% of HCL would be in brick cleaner and theres only 2.4% although its not certain that those steps were done correctly. There were no problems encountered during this prac. Focus Questions: 8)a) the manufacturer says that brick cleaner is made up of around 35% HCL, which is a massive difference to the answer that was got in this prac but again question 7 was not done correctly. b) differences in class results occur because not everybody would have done the exact volume of brick cleaner, sodium carbonate etc as each other therefore the difference in results obtained. 9) To correctly clean up a spill of 20mL brick cleaner you would mop it up immediately, washing it away with massive amounts of water 10)a) volumetric flask= once with water twice with brick cleaner b) Burette= once with water twice with diluted solution of brick cleaner c)pipette= once with water twice with diluted brick cleaner d) conical flask=once with water twice with sodium carbonate solution Conclusion: To conclude, there should be 35% HCL in brick cleaner although it was found that there was only 2.4%.

Energy Security For India Environmental Sciences Essay

Energy Security For India Environmental Sciences Essay India stands on the verge of achieving its dream of being a world power today as her economy races ahead seemingly unstoppable. Though we have been able to achieve food security to feed our burgeoning population, the hunger of our economy is yet to be satiated. A growing economy demands energy an uninterrupted supply of energy. Today in this world of competing economies, the conflict of securing means of energy within the rising economy of the world has the potential of being the spark needed to ignite a new world war. No country produces enough energy in the required forms to satisfy its energy needs, thus we are facing the possibility of conflict as each nation tries to nudge out the other from the energy producing areas of the world in order to ensure a continuous supply of energy. India today faces this formidable challenge of not only meeting her energy needs but also providing adequate varied energy of desired quality to the users at a reasonable cost in a sustainable manner. With an economic growth of 8-10 percent sought after, the quality quantity of energy required is only going to increase exponentially. 4. As India looks to the future and aims to secure her rightful place in the emerging new world order, it is imperative for the nation to understand and plan for a secure energy environment to cater for sustained economic growth. Energy security will play a pivotal role around which Indias rapid progress and development may be sustained in the foreseeable future. It is incumbent on each one of us to have sufficient knowledge of the complexities of this issue which will play such an important role in our day to day lives in the years to come. 7. There are certain terms and definitions which are peculiar to the concept of Energy Security. The term Energy Security itself is yet to get a single definition and various interpretations of this term abound. The following few terms relevant to the syndicate research effort are clarified in the subsequent paragraphs. 8. Energy Security. Energy security can be defined as The continuous availability of energy in varied forms in sufficient quantities at reasonable price This definition of energy security implies the following:- (a) Energy should be provided to all citizens and if this is not possible, then it is not a sustainable situation for a country. (b) Energy security requires that the lifeline energy needs of the nation are met in full. Lifeline energy is the basic necessity of a person to live. (c) Demand of energy backed by the ability to pay by whole strata of society should be fully met. (d) Safe and convenient energy is desirable as use of traditional fuels such as wood or cow dung cakes lead to indoor air pollution which has adverse impact on the health of women and children. (e) Energy is required in different forms to meet different needs. Energy in one form cannot be easily substituted by other forms. If we try this substitution, it would cost a lot of money and quality of the end product also goes down. For example, using kerosene for lighting houses instead of electricity. (f) Energy should be available at all times. An interruption in this chain imposes high cost on the economy. (g) To ensure energy security at all times, shocks and disruptions should be anticipated. A country should have the ability to absorb these shocks or disruptions. 9. The Minister of Petroleum and Natural Gas, Shri M.M.Deora, delivered a speech in the Shell Distinguished Lectures Series at Rice University, in Houston, Texas, U.S.A. on 31 March 2006. During this speech, he defined energy security in the Indian context as the assurance of energy supply to all Indian citizens at affordable cost at all times with a prescribed confidence level considering shocks and disruptions that can be expected.  [2]   10. In our context, the above definition could be further modified. In India, energy security can be defined as follows We are energy secure when we can supply lifeline energy to all our citizens irrespective of their ability to pay for it as well as meet their effective demand for safe and convenient energy to satisfy their various needs at competitive prices, at all times and with prescribed confidence level considering shocks and disruptions that can be reasonably expected.  [3]   11. Relevant Terminologies. (a) Energy Independence. The condition in which a country is not beholden to foreign nations or fluctuations of the market in meeting its energy needs. Most countries would like to have a greater degree of energy independence. (b) Energy Interdependence. The idea that oil producers and consumers are mutually dependent on one another. An appreciation of interdependence is an important component in the evolving conception of energy security. (c) Resilience. Resilience as the term itself implies, refers to a security margin that would allow a country to absorb any minor shocks to its energy supply and facilitate recovery after disruptions. Global Energy Situation 12. For the first time since 1998, global primary energy consumption fell in 2009, but like the broader economic downturn, changes varied greatly across regions. With consumption falling, energy prices declined in 2009, though again the pattern varied by fuel. Oil prices began the year below $40 per barrel, and increased steadily during the year as Oil Producing and Exporting Countries (OPEC) production cuts were greater than the decline in consumption. Natural gas in competitive markets fell sharply and remained weak through most of the year due to falling consumption, continued development of unconventional resources in the US and rising Liquefied Natural Gas (LNG) supply. Coal prices also fell and then started to recover, while displaying regional variety. The recession and now, hopefully, the recovery, has taught us how interlinked the world really is.  [4]   13. Oil. Global oil consumption declined by 1.2 million barrels per day (b/d), or 1.7percent, the largest decline since 1982. China, India and Middle Eastern countries accounted for all of the non- Organisation for Economic Cooperation and Development (OECD) growth. Global oil production dropped even more rapidly than consumption, falling by 2 million b/d, or 2.6 percent, the largest drop, again, since 1982. OPEC production cuts implemented late in 2008 were maintained throughout 2009, resulting in a decline of 2.5 million b/d, or 7.3 percent. Every OPEC member participating in the production-cutting agreement reduced output in 2009. OPECs Middle Eastern members accounted for nearly 75 percent of the overall reductions. Oil production outside OPEC grew by 0.9 percent or 450,000b/d. Non-OECD capacity surpassed OECD capacity for the first time. The Asia-Pacific region accounted for more than 80 percent of the global growth, largely due to increases in India (+19.5percent, or 580,000b/d ) and China (+10.5percent, or 820,000b/d). Global crude runs fell along with oil consumption, declining by 1.5 million b/d, or 2 percent. The proved oil resources and oil consumption by the region are enumerated in the map and graph :- 14. Natural Gas. Globally, natural gas was the fuel that experienced the most rapid decline in consumption, falling by 2.1 percent, the largest decline on record. Consumption declined in all regions except the Middle East and Asia Pacific. Russia had the worlds largest decline (in volumetric terms), with consumption falling by 6.1percent. OECD consumption fell by 3.1 percent, the largest decline since 1982; the decline in the US was a relatively modest 1.5 percent, as weak prices improved gass competitive standing against other fuels. Iran saw the worlds largest volumetric consumption growth, while Indian consumption growth of 25.9 percent was the highest among major countries in percentage terms. Global gas production declined for the first time on record. Production fell sharply in Russia (-12.1 percent) and Turkmenistan (-44.8 percent), driven by declining consumption in Russia and much of the rest of Europe and the availability in Europe of competitively priced liquefied natura l gas (LNG).  [5]  Continued expansion of unconventional supplies allowed the US to record the worlds largest increase in production for the third consecutive year, surpassing Russia as the worlds largest producer. Production in the Middle East and Asia Pacific also increased, driven by growth in Iran, Qatar, India and China. The proved natural gas reserves of the world are shown below:- 15. Coal. World coal consumption was essentially flat in 2009, the weakest year since 1999. For the first time since 2002 , coal was not the fastest growing fuel in the world. The OECD and the former Soviet Union experienced the steepest decline on record, while the growth elsewhere was near average, largely due to above average growth in China, which accounted for 46.9 percent of global coal consumption.  [6]  Today coal accounts for 23.3 percent of the worlds energy demands and this figure is likely to increase by 60 percent by 2030. 16. Nuclear Fuel. Global nuclear power generation declined by 1.3 percent a third consecutive annual decline. Lower output in Europe and Eurasia as well as North America,outweighed increases in Asia Pacific.  [7]  Nuclear fuel contributes to only 6.8 percent of global energy requirements; however, this is likely to see a sharp rise by 2030. 17. Hydroelectricity. Hydroelectricity output grew by a below average 1.5 percent which was non the less sufficient to make it the worlds most rapidly growing major fuel in 2009. Growth was led by China Brazil and the USA. USAs Energy Policies and their Impact on India 18. The first decade of the new millennium has seen the energy interests of India and the United States of America intertwine like never before. The issues of continuing reliance on fossil fuels, increasing dependence on imports to satiate energy hunger and the need to address the issue of climate change has further enhanced the cooperation between the two countries. The United States of America has enunciated the following as the strategic goals and the measures to achieve them, for its energy policy:- (a) Energy Diversity. Increase energy options and reduce dependence on oil, thereby reducing vulnerability to disruption. The strategies to reach this goal are as follows:- (i) Reduce dependence on energy imports, particularly oil in the transportation sector, by developing and effectively deploying technologies to increase fuel efficiency and enable the substitution of alternatives such as bio fuels, electricity, and hydrogen. (ii) Collaborate globally with governments and scientists to expedite the development and deployment of unconventional energy resources, such as bio fuels, that can substitute for oil and natural gas. (iii) Collaborate globally with governments and scientists to expedite the development and deployment of nuclear power which can substitute for oil and natural gas. (iv) Ensure adequate crude and regional home heating oil supplies during emergency shortages by maintaining the operational readiness of the Strategic Petroleum Reserve and North East Home Heating Oil Reserve. (v) Ensure an expanding supply of domestic energy for the American public by promoting the construction of an Alaska Natural Gas Pipeline and the environmentally responsible development of the Outer Continental Shelf and the Artic National Wildlife Refuge. (b) Environmental Impacts and Energy Strategies to Reach this Goal. (i) Support the creation of new nuclear generation capacity to produce carbon-free electricity in the near term (2015); complete a permanent repository for nuclear waste at Yucca Mountain by 2017; and, develop next generation advanced reactor and fuel cycle technologies for deployment in the long term (2025) for both electricity and hydrogen production. (ii) Advance clean coal technology through public-private partnerships for continued electricity generation from the countrys extensive coal resources, ultimately resulting in near-zero atmospheric emissions power plants. (iii) Support research and development efforts to reduce the costs of renewable energy technologies and accelerate the large-scale use of carbon-free electricity sources. (iv) Develop technologies to reduce vehicle emissions by improving efficiency and greatly expanding the use of clean fuels, while maintaining vehicle safety, performance, and cost characteristics. (c) Energy Infrastructure and Strategies to Reach this Goal. (i) Develop advanced wires and coils to increase the capacity, efficiency, and reliability of the electricity system. (ii) Advance real-time visualization and control tools to improve the reliability and efficiency of the Nations electricity delivery system by increasing the utilization of transmission and distribution assets. (iii) Integrate advanced technologies, including distributed generation, storage, and load management on distribution utility feeders to improve the efficiency and reliability of constrained sections of the electricity grid. (d) Energy Productivity and Strategies To Reach This Goal. (i) Support enhancements to existing energy markets that will help stimulate private investment in more efficient and economically productive end-use technologies. (ii) Develop integrated building technologies and formulate appliance standards to significantly increase the energy efficiency of residential and commercial buildings. (iii) Partner with energy-intensive industries to develop technologies that enable more efficient use of energy in their industrial processes. (iv) Develop technologies that enable cars and trucks to be fuel efficient, while remaining cost and performance competitive. 19. Impact on India. (a) Development and Deployment of Renewable Energy Technologies. The domain of renewable energy offers tremendous opportunities for strengthening Indo-US relations. While US companies have already invested heavily in the Indian market, especially in the field of solar energy, Indias own Suzlon Energy Cooperation has emerged as the worlds fifth largest supplier of wind turbines and the US forms a hub for its operations. Thus this two way exchange benefits both countries. (b) Promoting Energy Efficiency and Power Sector Reforms. The Unites States of America had set this as a major target for its energy security goals in the coming future. At the same time,the Indian energy security policy also aims at achieving better energy efficiency across all sectors. The USAID collaboration with the Government of India has already brought out the formulation of the Bureau of Energy Efficiency (BEE) in India which has set the energy efficiency standards for various appliances in the country. As the US take further strides in this field, India too can benefit from its experience. (c) Civil Nuclear Deal. The signing of the civil nuclear deal has opened up new opportunities for the Indian nuclear industry. With the technology now available as a result of the deal, India would be able to increase the share of nuclear energy in its energy basket form a meagre three percent now to nearly eight percent by 2030. (d) Clean Technologies in the Field of Non Renewable Resources. With the world still dependent on non renewable sources such as oil and coal, the need of the hour is to develop technologies which can assist in better utilisation of the fuel in a more energy efficient and environmentally friendly manner. The two countries can collaborate in this field to develop these technologies. Chinas Energy Policies and thier Impact on India 20. China become a net importer of oil in 1993 and since then embarked on wide ranging changes in its energy policies in order to ensure a continuous supply of energy to fuel its phenomenal growth. With its entry into the global oil bazaar as a major importer, China quickly learned the hazards of relying solely on purchase policies in the open markets. The more aggressive recent foreign investments of its state owned enterprises, notably China National Petroleum Corporation (CNPC) and China National Offshore Oil Company (CNOOC), stem directly from a May 1997 policy paper in which former Premier Li Peng blessed Chinese involvement in the exploration and development of international oil and gas resources .He also tied such projects specifically to the objective of stable, long-term supplies of oil and gas. The Chinese governments energy policies are dominated by the countrys growing demand for oil and its reliance on oil imports. The National Development and Reform Commission (NDRC) is the primary policymaking and regulatory authority in the energy sector, while four other ministries oversee various components of the countrys oil policy. The government launched the National Energy Administration (NEA) in July 2008 in order to act as the key energy regulator for the country .The policy focused on the following areas: (a) Self sufficiency. (b) Encouraging the diversity of energy structure and imports. (c) Improve energy efficiency and adjusting economic structure. (d) Energy conservation. 21. Impact on India. (a) Chinas String of Pearls strategy is well known as a means of encircling India; however the origin of this strategy lay in securing her energy needs. These pearls extend from the coast of mainland China through the littorals of the South China Sea, the Strait of Malacca, across the Indian Ocean, and onto the littorals of the Arabian Sea and Persian Gulf. China is building strategic relationships and developing naval forward presence along the SLOCs that connect China to the Middle East. The list of pearls include the following: upgraded military facilities in Hainan Island, upgraded airstrip on Woody Island located in the Paracel archipelago about 300 nautical miles east of Vietnam, container shipping facility in Chittagong, Bangladesh, construction of a deep water port in Sittwe, Burma, construction of navy base in Gwadar, Pakistan, pipeline through Islamabad and over Karakoram Highway to Kashgar in Xinjiang province that would transport fuel to China itself, intelligence gatheri ng facilities on islands in the Bay of Bengal near the Malacca Strait and construction of Hambantota port in Sri Lanka. (b) Loan for Oil. China is taking advantage of the economic downturn to step up its global acquisitions and financing of projects. One of the financing strategies is to secure long-term deals is Chinas bilateral loan-for-oil deals with several countries. These loans amount to about $50 billion or 70 percent of the total investments by the 3 major NOCs since 2008 according to industry sources. While several resource-rich countries have been strapped for cash during the credit crunch of 2008-09, China can use its vast foreign exchange reserves, estimated at $2 trillion, to help leverage such investments. China finalized loan for oil deals recently with Russia, Brazil, Venezuela, Kazakhstan, Ecuador and reportedly agreed to a loan of $3 billion to Turkmenistan to assist in developing the South Iolotan gas field project to feed the Central Asia Gas Pipeline. China agreed to loan Russian companies, Rosneft and Transneft $25 billlion to finance the East Siberia Pacific Ocean oil pipeline i n exchange for 300,000 bbl/d of oil shipments. The Chinese Development Bank (CDB) also agreed to loan Petrobras of Brazil $10 billion so that Sinopec can access 200,000 bbl/d of oil for export to China. The loan to Venezuela stands at $4 billion to finance various projects increasing oil exports to China almost three-fold to 1 million bbl/d by 2015. CNPC and the China Export-Import Bank intend to lend Kazakhstan $5 billion each in two loans allowing CNPC a much larger role in the upstream oil development in the Central Asian country, following the companys acquisition of Petro Kazakhstan in 2005. (c) Acquisitions in Africa. Many in the oil industry agree that the most pragmatic acquisition strategy would be to look for good exploration blocks. But this is predicated on having a corporate team capable of evaluating possible exploration acreages in the world, which the big international oil companies have. Unfortunately, however, most of the Indian oil companies, unlike the Chinese companies, do not have a comprehensive set-up or database to follow this strategy, with the result that India ends up acquiring blocks that are in the very high risk category. Neither are the exploration blocks acquired in the bidding round examined in depth due to shortage of time available thanks to lack of adequate research of the area. Although Indian oil companies have notched up some successes over the last few years in buying equity stakes in foreign oil and gas blocks, the most notable being the Sakhalin-1 (offshore) project in Russia and the Greater Nile project in Sudan where the Chinese al so have a major interest, they have failed in many more or managed to acquire marginal stakes in others. For instance, India lost a bid to acquire Royal Dutch/Shells 50 per cent interest in Block 18 offshore Angola, which includes the Greater Plutonia development, with reserves of one billion barrels, after the Chinese government offered the Angolan government a 17-year, $2 billion loan at a low (1.5 per cent) interest rate along with the offer to build hospitals, and electronics manufacturing factories.  [8]  The Indian government was also prepared to support ONGC by offering $200 million to help build a railway, but this was dwarfed by the Chinese package.

The US Firm Kraft Foods Took Over Cadbury Marketing Essay

The US Firm Kraft Foods Took Over Cadbury Marketing Essay According to the Harvard Business Essential the word strategy originated as a military term, and adopted by businesspeople when refereeing to plans for controlling and utilizing limited resources human, land and capital. In his classic article, Kenneth Andrews (1971) described strategy as the goal of promoting and securing vital interest, whilst M. Porter (1980) re-defined strategy as a broad formula for how a business is going to compete. One of the founders of the renowned Boston Consulting Group, Bruce Henderson linked strategy to competitive advantage. However, being different is not an instant guarantee for business success. According to ORegan Ghobadian (2009) Cadbury is one of the worlds largest confectionary businesses with top ranking in over 20 of the worlds 50 biggest confectionary markets. (See figure 1). It has one of the largest and wide spread markets in emerging countries around the world. Kraft Foods, Inc. is the largest confectionery, food, and beverage corporation whose headquarters is in the United States and the second largest in the world after Nestle. It markets many brands in more than 155 countries. (See figure 2). It is listed as a public company, on the NY Stock Exchange. (Wikipedia, Accessed 02/04/10) The former chief executive of Cadbury, Todd Stitzer launched the Vision in Action program in 2007. At it launch, he said the vision was aimed at driving the companys margin s up by mid-teen by 2011. It hoped to achieve this by focusing on 3 key priorities: Growth, Efficiency and Capacity. (Company Annual Report 2009) And as of the present time, the strong performance continues, edging Cadbury closer to its goal. 2.1.2 Kraft Key Strategy Performance (see Appendix Fig. 4) In an article written by boozco for the Strategy + Business, (Issue No 56, autumn 2009), 11 of Krafts top executives were interviewed about their strategy for the 3 year turnaround and campaign for growth. The interview started with the company CEO Irene Rosenfeld who as at 2005 was in charge of the Frito-Lay division of PepsiCo. Thus when she became the chef executive in 2006, she observed that Kraft concentrated its power to its HQ in the US and this was hindering innovation and growth. Thus her first objective was to decentralise Kraft, and re-focus the companys vision to the challenging macro-economic environment. The company went about these changes by introducing what it called Organising for Growth (OFG) which began in 2007. It included review of organisational structure with a 3-year turnaround time, dismantling of existing centralisation of power matrix, clear operational initiatives such as building up sales capabilities etc, and implementing new operating metrics coupled with financial rewards for executive managers. (See figure 5) 3. Market Driven Analysis of Acquisition 3.1 Why Kraft could not resist Cadbury (see Appendix fig.5,8,10,1112) According to Andrew Clark of the Guadian, the attraction of Kraft to Cadbury comes down to brands, sheer scale, geography and distribution channles. Though Kraft has some big brand products such as Maxwell House Coffee and Philadelpha cream cheese, many of these and other products were reported struggled to gain market sector domamnce in spite of the fact that they have been around for many years. (The Guadian, 06/04/10) Predictably, acquiring Cadbury meant addition of brands products such as Cadburys chocolate, confectionary and chewing gum products will increase the comapanys annual revenue from 4% to 5% whilst earnings growth which were lagging between 7% to 9% will now increase to between 9% to 11%. This predictation is based on Cadburys shrewed distribution strategy. For example, it has strong presence within the instant consumption channels such as corner shops and petrol stations where prices can be marked up, whilst relying on people making impluse buying. In comparison, Kraft products are mainly seen in traditional outlets such as supermarket and food stores where profit margins are lower. (The Guadian, 06/04/10) However, the acquistion comes at cost, for example, a cost cut of $675m have been highlighted, this will include effiecency savings of $300m. This amount is as a result of stream lining procurement, RD, and logostics. Futher $250m will come from duplicated adminstrative work which will now be centralised, and a $125m project synergy saving in making biiger bulk deals when buying media adverts. (The Guadian, 06/04/10) 3.2 What next after the takeover? (See Fig. 6,913) The share magnitude of the two companies coming together is enough to give anyone sleepless nights, as there are many strategic risk factors to consider. A winning Kraft/Cadbury strategy that is well implemented might work for a long while, however according to (refà ¢Ã¢â€š ¬Ã‚ ¦) no strategy is effective forever. 3.2.1 The Stakeholders (see fig. 7) Figure xxx shows an illustrative mind map of the different group of people that are interested in the financial strength of the two companies. It is worth nothing that whilst the government is interested in Corporation Tax and no breach of legislation especially e.g. National Minimum Wage Act (1998) ref, shareholders are particular about shares especially ROI. Whilst the workforce are interested in job loses, pensions etc. Other points of interests are competition from other competitors. Likewise, the general public wants to be reassured that the acquisition will not led to exploitation of Child labour in other to fight off price war competitions. Hence the strategy to manage these groups of people will be paramount in the coming years 2010 and beyond for the acquisition to be judge successful. 4. Balance Scorecard Introduction The notion of the Balance Scorecard (BSC) was brought into existence in 1992 in a business review article written by David Norton and Steve Kaplan (Kaplan and Norton 1992). The article was born out of the notion that the ability of a company to measure its intangible assets had a direct bearing on company performance and its ability to achieve company strategic objectives. The BSC brings additional value to the traditional measurement of historical financial perspective by including the measurement of internal business processes, innovation and learning and customer perspectives-all key indicators of future successful implementation of company strategy. The BCS is thus seen as a 3-way tool: Measurement System, Strategic Management System, and Communication Tool. See Fig 3 Fig 3 Source: Wiley and Sons (2003) The need to include lag and lead indicators in determining strategic performance is important. Lead indicators are those that affect future performance of Cadbury e.g. increasing market share. Lag indicators are those that indicate what has happened in the past, e.g. financial performance. Whilst lag indicators are important, Cadbury needs to focus on the future indicators of strategic success i.e. customer perspective, business perspective and learning and growth perspective. Cadburys governing objective at the start of 2009 was to deliver superior shareholder returns by realising their strategic vision to be the worlds BIGGEST and BEST confectionary company. (Cadbury Report 2008). Stakeholder theory identifies 5 main groups who have a vested interest in the commercial undertakings of the company.(Kaplan 2010) Cadburys strategic focus placed emphasis, primarily, on one stakeholder group; the shareholders. Fig 4: The strategy map links intangible assets and critical processes to the value proposition and customer and financial outcomes. Fig 4 shows the causal connection between these different metrics and the ultimate strategic aim of delivering shareholder value. The upward flow identifies the cause and effect relationship in the BSC that lead to superior performance. An e.g. is that innovative practices identified by learning and growth lead to more efficient internal business processes which in turn lead to a superior customer experience and eventually long term shareholder value. 4.1 Financial Cadbury continues to increase its profit margin towards its goal in the mid teens. 4.2 Customer Measurement Cadbury creates customer loyalty by identifying the exact amount of pleasure that customers derive from the Cadbury experience. This ensures that customers returned repeatedly and remain loyal. This has been an essential part of the strategic focus ensuring strong performance in 2008. (Cadbury Corporate Brochure 2008) Emerging markets have been identified as part of the overall strategy to reach more people, more quickly. As stated in the Cadbury India report in 2008, the overarching goal is this sector is to have more grams in more mouths. The potential for growth in this segment of the market is significant as the per capita consumption is very low compared to other non-emergent markets.0.03kg compared to 4.3kg in Europe. (Cadburys India Report 2008). The link between Cadburys relationship with Fairtrade is crucial to ensuring that company achieves its strategic objective of sustainability by increasing its supply of raw materials and ensuring the livelihood of the farmers who produce these raw materials.(Cadbury 2008 corporate brochure) 4.3 Innovation and Learning The challenges include managing different pay structures, different ethos, work patterns and hiring methods. The management of all of these aspects will have a significant impact on Krafts ability to successfully integrate Cadbury into its global family and reap the financial rewards that will make the union a profitable one. Successful integration studies have shown that monetary rewards do work, but on their own are not enough to promote a successful collaboration between two different companies engaged in a merger or acquisition. (Montmarquette et all 2004). Krafts pledge is to take the best of both approach to the acquisition. (Kraft Final Offer 2010) Kraft culture is different to Cadburys culture and this will have major implications for the successful synergy of the two companies. Tetenbaum (1999) identifies culture as being at the centre of any successful merger or acquisition. Hofstede (2001) identifies culture as the collective programming of the mind that distinguishes the members of one group or category of people from another 4.4 Internal business processes Innovation and research and development are key aspects of strategic success. Continuous investment in the development of new product ranges, especially in emerging markets, will be necessary to achieve strategic objectives. Cadburys extensive distribution networks ensure products are easily accessible to all consumers, from the large supermarket chains to the small corner kiosk in a remote part of India. The BSC is only as effective as the action taken as a result of the metrics indicated and measured. Leadership is important to ensure that the metric information is followed up and changes made to maximise the impact of these measurements on performance.(Neely 2008). Cadburys developing association with the Fairtrade brand ensures that it is meeting its corporate social responsibility objectives, as well as ensuring a constant supply of raw material for its products, a form of backward integration. Fig 5 4.6 Criticisms of the BSC: The recent global crisis has also highlighted the weakness in current measurement systems as they failed to identify the potential for risk for many companies. Analysis needs to identify, not only the historic performance, but also the potential future risks. Risk assessment and management needs to become an essential part of the any measurement system used in the future. Cadbury/Kraft must now identify, mitigate and manage risk in such a way that it becomes an integral part of their strategic management ethos. Management Control Systems will need to be agile enough to respond to rapid changes in the environment in which they operate in order to achieve their strategic objectives. Simons levers of control present an alternative system of measurement that includes complimentary metrics e.g., belief systems, interactive control systems and boundary systems etc. (Simons 1995). Fig 5 The BSC has been criticised as being too simple as a measurement/control tool. Businesses are more complex than just a few controls or levers. The functioning of the BSC has been compared to a pilot in charge of a flight from A to B. The BSC provides the mechanism for control and guidance in achieving the goal. (Kaplan and Norton 1996). The BSC is seen mainly as a diagnostic tool rather than a tool that aids strategic success. Where is the point of balance in the competing demands of the different measures?. For e.g. Cadburys overarching goal is delivering superior shareholder returns, but this must be balanced against the needs of staff. A trade off must occur at some level. Companies must understand the cause and effect relationship between the metrics in order to make the most appropriate decisions. Timing difficulties in respect of cause and effect relationships mean that the results of measures introduced may take a significant period of time to have an impact on the financial outcomes. It is essential to link the four aspects of the BCS to strategy to ensure its maximum effect on performance. Nair (2007) BSC can be seen as too rigid in its measurement matrices, i.e. just 4 elements and does not include risk, corporate social responsibility or environmental metrics. Need to conduct sensitivity analysis to measure responsiveness of performance to certain scenarios. More research is needed on the cause and effect outcomes for companies that use the BSC. Fig 6 4.7 Potential problems for Cadbury: Staff integration poses a significant challenge to Cadburys governing objectives. This is part of the internal process element of the BSC. This has the potential to derail the recent merger. (Shebioba 2010) Fig 6 shows how Cadbury can translate its mission into desired outcomes. Ensuring that all staff are aware of the new strategic direction that the combined company is now embarking on, and everyone understanding the impact their role has on achieving strategic objectives.(Regan and Ghobadian 2009) Fig 7 shows why companies fail to meet their objectives. Simons levers of control will assist the new Kraft Cadbury combination Fig 7 Source: Kaplan and Norton 1992 In order to successfully achieve its overarching goal of superior shareholder returns, Cadburys must successfully balance the barriers to achievement as identified above. 5. Conclusion Cadburys has now become a part of the Kraft family and there is a strategic focus on Kraft reaping the benefits of Cadburys strengths and position in emerging markets. The combined company will need to focus its attention on achieving new corporate goals and devising a strategy that maximises the synergy of the union between them. The use of the BSC or levers of control will aid management in measuring and achieving strategic objectives. It must be noted that in isolation any system that measures the performance of the company will be meaningless unless it is combined with other systems. There is still room for some work to examine the relationship between cause and effect and the impact this will have on Cadburys strategic performance. This is a crucial part of the integration of Cadbury into the Kraft family. Only time will tell if Kraft will get the sugar rush it envisages from the purchase of Cadbury for  £11.6bn. References: Andrews, K., The Concept of Corporate Strategy (Homewood), IL Richard D. Irwin Inc. 1971 Clark Andrew, Chocolate, chewing gum and coner shops, Why Kraft cant resist Cadbury, The Guadian. Tue 19 Jan 2010. Accessed 06/04/10 22:36 Hofstede, G. (1981) Cultures and Organisations: Software of the Mind, London: Harper Collins Henberson, B., The Origin of Strategy, HBR Nov- Dec 1989 Introduction to the Balance Scorecard. John Wiley . 2003 Inside the Kraft Foods transformation. Introduction by Chairman CEO Irene Rosenfeld, Strategy + Business issue 56, Autumn 2009 reprint number 09207 Kaplan, R. S. and D.P. Norton (1992) The Balance Scorecard: Measures that drive performance, Harvard Business Review, (January- February): 71-79 Kaplan, R.S., and Norton, D.P.(1996). Linking the balanced scorecard to strategy. California Management Review, 39 (1), 53-79 Kraft Final Offer document 2010. Kaplan, R. And Norton, D. (2001). The stratergy Focused Organisation: How Balanced Scorecard Companies Thrive in the New Business Enviroment. Boston, MA: Harvard Business School. Montmarquette C, Rulliere JL, Villeval MC, Zeilger R (2004) Redesigning Teams and Incentives in a Merger: An experiment with Managers and Students Management Science Vol.50, No 10 October 2004, pp. 1379-1389 Nair, B. (2007) Balanced Scorecard Performance Management Systems: Its success and failures- A Literature Review, 1 (3/4) Neely, A. (2008) Does the Balance Scorecard work: An empirical Investigation. Centre for Business Performance School of Management. Research Paper 1/08 OReagan, N., and Ghobadian, A. (2009). Sucessful nstrategic re-orienrtation:lessons from Cadburys experience. Journal of Stratergy and Management. Vol 2(4), 2009, pp. 405-412 Porter M. E., Competitive Strategy (NY: Free Press), 1980, xxiv Pandy, I (2005) Balance Scorecard: Myth and Reality. VILKAPA, 30 (1) Shebioba, J. (2010) International Business Assignment Simons, R. (1995). Levers of control: How Managers Use Innovative Control Systems to Drive Strategic Renewal. Boston: Harvard Business School Press Simons, R. (1995). Levers of control: How Managers use innovative control systems to drive strategic renewal. Harvard Business Review ? Strategy: Create and Implement the Best Strategy for your Business, 2005 p(xi) Tetenbaum, T.J. (1999). Beating the Odds of Mergers and Acquisition Failure: Seven Key Practices That Improve the Chance for Expected Integration and Synergies. Organisational Dynamics, Autumn 1999, 25-35.

History and Pros of Animal Testing Essay -- Biology Medical Biomedical

History and Pros of Animal Testing Abstract: Animal research refers to the use of non-human animals for testing or experimenting on. The first recorded use of animals for testing started with the Greeks in the third and fourth century BC. The use of animals for testing is usually in the basic fields of; biomedical research, security, evaluation and education of a product. It is estimated that almost 50 million—100 million animals are tested on and killed annually, but this is usually done to make a product safer for humans. Part one: History There has been no earlier reference to testing of animals, than in the writing of the Greeks. In about the third or fourth century BC, Aristotle (384-322 BC) and Erasistratus (304-258 BC) were two of the first to be recorded to test experiments on live animals. Also Galen, a second-century Roman physician was known as the â€Å"father of vivisection,† because he dissected pigs and goats. These were some of the first recorded events of early animal testing. Animal testing has played a major role in some of the most famous experiments. For example: in 1796, Edward Jenner used pus from a pox-infected cow to vaccinate James Phipps against the wide spread virus, small pox. After Jenner’s discovery, small pox slowly declined no longer to be the main cause of morality in England. Another very well - known experiment using animal testing happened around the 1880’s: the germ theory that Louis Pasteur developed was tested out by giving Anthrax to a flock of sheep. (Wikipedia) Also in 1885, Pasteur invented vaccines for cholera and rabies by studying animals. In 1922, insulin was isolated from dogs and afterwards helped advance the treatment of diabetes. Laika, a dog from Russia, on November 3,1957, b... ... is almost definite anyone would save the baby. (Of Cures and Creatures) This is the same situation as animal testing, would you rather save a person from an untested product that’s poisonous or save a rat from being tested with it? Bibliography: "Animal testing." Wkipedia. 27 July 2006. Wikimedia Fondation, Inc. 20 July 2006 . Center for Alternatives to Animal Testing. "A CAAT Timeline: 1981-2002." CAAT. 12 Feb. 2003. 22 July 2006 timeline.htm>. BCC. "Animal Experiments." Hot Topics. 17 Aug. 2004. 22 July 2006 . ECheat. "Animal Testing: Pros and Cons." eCheat. 19 Apr. 2005. 22 July 2006 . FRAME. "the three rs." FRAME. 23 July 2006 3rsintro.htm>.