Instances of nexus between Corporate Governance and Social Responsibility!

Corporate social responsibility has been embraced by both local and international organizations in this twenty first century. In this case, the organizations put in high regard the society’s interests. This is carried out through the organizations being responsible for the overall effects of their endeavors on environment, shareholders, employees and even customers. In this case organizations have the overall obligation to abide by legislation.

They actually do more than what the statutory obligation demands. Most organizations just volunteer to improve the quality of life o the entire society, community, their families and the employees too. This paper focuses on Coca Cola as an international organization and why it shows interest in corporate social responsibility. This is in terms of economic, social, cultural, legal and technological factors.

Coca Cola Company is a widely known organization that produces a non-alcoholic beverage. It is one of the largest marketer, distributor and manufacturer of this drink. This Company’s headquarters are based in United States. Its Coca Cola product was first invented in the year 1886 by Pemberton John Stith. Later on in the year 1889, Candle Asa bought the formula and it was incorporated in the Company in the year 1892. This Company currently has more than four hundred brands which are sold in its branches that are in more than two hundred countries.

Coca Cola Company has also taken part in corporate social responsibility. This has been done through very many ways. All these have had very enviable positive implications in the society. One of them is the promotion of diversity. Through this venture, this Company was regarded as one of those that care for the minorities in the society. Due to this aspect, the Company was ranked by Fortune magazine to be 26^th. This Company is among the many that has been supporting Michigan University policies of affirmative action.

This Company also offers health benefits to its employees. It is known to give them orientation on sexual matters which is part and parcel of its employment policy. Coca Cola Company also plays a big role in helping in HIV/AIDS pandemic. This Company spent approximately $5 million every year since the year 2002 to help HIV/AIDS victims in Africa that are working in this Company. Initially it had also helped one thousand two hundred employees in Africa who were infected with the disease.

This Company employs approximately 58, 000 people in its Africa’s bottling system. This Company also has plans to support programs in line with HIV/AIDS. This is part of its budget propagated to cost $50 million. This cash is to be given to organizations dealing with this pandemic that are African based.

It is known for charitable donations during the Hurricane Katrina. In this case the evacuees were helped through the 30 million donations. Asia also benefited during tsunami where Coca Cola donated approximately $ 10 million for relief. Food, water and other supplies were also delivered by Coca Cola employees to the affected people. When there were terrorist attacks on Pentagon and World Trade Center, this Company gave $12 million to assist in efforts of relief in the area. The graph below shows Coca Cola Company’s CSR ventures in the education sector in Africa. The amount is in $million. The efforts made by this Company in education sector in Africa are worth credit.

Research shows that very many international organizations are incorporating corporate social responsibility into their operations. International organizations are using development projects that are community based to reach out to the society. There are very many reasons as to why international organizations are engaging in corporate social responsibility.

There are various economic reasons as to why international organizations get involved in corporate social responsibility. Many international organizations engage in this activity because they want to expand their economic niche. Many organizations know that when they get involved in the society’s endeavors, it will gain favor among the people and therefore the community will embrace its services or products. This can be described as a calculated move.

Many international organizations aim at growing economically even as they incorporate corporate social responsibility. This venture gives the Company the acceptance in the foreign country because the locals see its importance to them and in the long run expand economically through its increased profits. It also helps them to create a right environment for expansion of their business. This in the long run has very positive effects on the organization’s interest rates.

There are also social factors that make international organizations to get involved in corporate social responsibility. When these Companies get involved in CSR, they seek to create good relations with people in the society. These relations are healthy for the organization because they help both the society and the Company initiating them. International companies aim at being friends with its employees and the community. Social factors include health consciousness of management in relation to the Company’s employees.

International organizations clearly understand that their employees have to have good health for them to give their service and also this maximizes their potential. Career attitudes of the people determine whether an organization will have employees or not. Therefore this is one of the reasons why international Companies engage in CSR so that career attitudes align with the organization. Safety of international Companies is important and this is one of the factors that make international organizations to go beyond the borders to engage in CSR so that safety is enhanced in its business environment.

Culture among other factors also influences international organizations to venture into corporate social responsibility. Many international organizations carry out CSR because it is part of their organizational culture. In this case the organization has put in place a culture where they are concerned with its employees, the society, community and the environment at large. In this case this organization’s culture stipulates that it puts part of its profits back to the community and the society at large. CSR is also carried out by international organizations because they intend to know more about the society’s culture. In order to get to understand these people’s culture, they seek to interact with them through educational programs and other CSR approaches.

There are technological factors that are making international organizations get interested in corporate social responsibility. The reason as to why these organizations are interested in CSR is because they desire to improve the technological environment in the areas where they are operating. This is in line with diverse sectors like communication, transport among others. Many international organizations are involved in CSR through this sector because they are also affected in one way or the other by them.

For instance when they help improve communication networks in their area then their businesses will thrive. For example improvement of technology in the society by improvement of road network, then a Company dealing with products will be in a position of transporting their goods fast. This is very beneficial to Companies dealing with perishable goods like flowers and other horticultural products. International organizations understand that when they help in developing technology in branch nations through CSR, then they will automatically improve business relations.

There are also legal factors that make international organizations to be interested in corporate social responsibility. There are some nations that require the international organizations to participate in corporate social responsibility. This is in terms of government policies. For instance an international Company based in United States that wishes to have branches in Asia may be required by the Asian government to get involved in CSR. This is normally carried out by the government in order to benefit the community and its nation. In this case, the nation that does not adhere to these rules may not be allowed to continue with its businesses. In order to continue with their businesses, the international organizations are forced to adhere to the laws of the land.

Political factors also influence international organizations to get involved in corporate social responsibility. There are environmental regulations that international organizations have to adhere to and this sometimes is part and parcel of them depending on the place. This is sometimes part of the trade restrictions imposed on international organizations.

The other reason as to why many international organizations are interested in corporate social responsibility is because of human nature. Human beings have the tendency to help others and the society even if they are strangers. These international organizations feel the need to help the society because of the nature of humans. It is very evident that after someone achieving what they want or rather what is enough for themselves, they tend to help the society. This is the same case with international bodies. Many of them after achieving their targets feel they also have to do something for the entire community and society at large because they feel the need to.

Management teams in international organizations live with people in the society, interact until they become friends. This normally affects the management such that problems faced by the community become their problems too. They feel they are part and parcel of the people and therefore they naturally have the burden to help. Take for example people around an international organization suffer from a natural calamity like the case of Hurricane Katrina. Since this people are the organization’s customers, they just have to get involved to help them regain their normal lifestyle.

The table below shows the amount spent (per annum) by international organizations in CSR projects. That is in helping HIV/AIDS patients and awareness, educating the poor and maintaining of the environment. This is for the year 2007.

Organization	Education	Environment	Health(HIV/AIDS)
Coca Cola	$ 5m	$3.1 m	$ 6m
British American Tobacco	$ 2.5 m	$ 3.5 m	$ 4.8 m
BP	$3.4 m	$ 2.6 m	$ 3m
Shell	$4.5 m	$ 1.3 m	$2m

The strategic issues that are involved in addressing corporate social responsibility are quite diverse. They include issues of education of the community. In this case international organizations sponsor needy students’ education. Most of the needy students that are sponsored by international organizations are bright students. Issues of poverty are also quite essential in CSR matters.

Educational forums and projects are normally organized by international organization to train and educate people on poverty alleviation through entrepreneurship. Environmental factors are also taken with their deserved seriousness when international organizations plan for CSR. In most cases international organizations help in keeping the environment clean by employing cleaners to clean the town.

They are also concerned about beautification of environment and conservation practices like tree planting. They plant flower gardens that are well manicured in towns as efforts of beautifying the environment. Another strategic issue that is highly addressed by international organizations is health sector where they help build hospitals and also sponsor needy cases in terms of medical upkeep.

International organizations have in the past become quite concerned about the HIV/AIDS pandemic. These organizations ensure that their employees are well educated concerning their HIV/AIDS status. For instance Coca Cola Company normally educates new recruits on sexual matters that affect their health. Those that are already infected with the disease are counseled to live a positive life. They are also supported financially so that they can get or access health facilities. This enables AIDS infected workers to access anti-retro viral which are very expensive with ease.

Corporate social responsibility is all about organizations being involved in society’s interests. International organizations are influenced by various factors to get involved in CSR. These factors are political, legal, economic, Social, technological and environmental based. Without getting involved in corporate responsibility, international organizations may never thrive in business in foreign nations. The rate of growth would be very slow. Strategic issues in corporate social responsibility endeavors by international organizations are quite diverse. They include education of employees, the health sector, technological sector and the environment. It is however very evident that involvement of international organizations in corporate social responsibility has brought plausible results in many nations.

Making inferences of cheap student health insurance for hassle-free education!

If we are a student and we wish to live a healthy life then having a cheap student health insurance is almost mandatory. Student health care is of prime concern all across the globe. A student has to worry about his/her studies, books, rent and a lot more other things. At any point of time a major accident or a severe illness may occur to him or her. At this hour either a cheap student health insurance or any other student health care option is needed. In this way their academic plans will never be affected. A cheap student health insurance does not fail to show up even in the case of emergencies or in case of claims.

A particular student health care plan caters to the needs of student traveling abroad for their further studies. There are cheap student health insurance which may be annually renewable and provides the perfect medical coverage. These cheap student health insurance plans cover areas like visa requirements, mental health, sports and international student health care and emergency care facilities. Some of the student health care and medical plans include health insurance coverage over checked baggage loss, personal accident, personal liability, and bail bond, disturbance in studies, sponsor protection and lot more.

Some colleges try to take care of the student health care facilities themselves. Many health care officials and college administrators are coming up with a number of innovative ideas about organizing student health care programs. A model student health care plan demands one flat rate per student. These are called decapitates models. It enhances the quality of student health care and also provides an additional amount of money to spread awareness about public health.

Many colleges have made it compulsory to have either a general or cheap student health insurance before taking admissions into the college. This gives them a chance to have a way of earning profits from the insurance payments. The demands of these kinds of colleges actually help in making students realize the need for a cheap student health insurance. Students having no health insurance are guaranteed by the universities that they would be provided with student health care and benefit plans.

There are many students who sustain their living and studies with scholarships or jobs. Cheap student health insurance finds its importance in order to protect the student health care needs of such students who literally have to struggle in order to earn their degrees. In such cases, parents of the students cannot afford to pay much for the medical facilities and an appropriate insurance plan will make their life easy.

Cheap student health insurance covers all the major treatment that may be needed for a student. Living without cheap student health insurance is like welcoming a financial disaster with open hands. Students who indulge in active sporty life often experience leg sprain, wrist sprain or fractures. These health hazards demand immediate and special care and hence health insurance coverage is a must. If we want to live a healthy education life then do not hesitate to avail the online plans that offer cheap student health insurance. There is a student health care solution for all the students to give them the freedom to function freely even during any kind of medical emergencies.

The role of International Development Cooperation (IDC)!

International development cooperation is a very important aspect in this twenty first century. Since the past two decades, there have been developments in various sectors of different nations. These include developments in transport technology and information communications. There has been great rise in globalization since the beginning of the twenty first century.

There is great movement of information sectors across borders of nations and great interdependence between nations worldwide. International cooperation has had developments and benefits to people worldwide. The major aim of international cooperation for development is to see to it that there is progress in needy nations. However it is evident that international cooperation for development has not been very successful. This paper basically suggests policy reforms towards international cooperation for development.

Research reveals that international organizations have in the past conducted development assistance to nations using their own ways. This is however no longer effective since there is quite inadequate coordination. This is the coordination between programs in the international organizations and the individual projects. The other major reason as to why they have been ineffective is due to poor capacity on the part of the recipients of aid to actually take in the assistance. A good example is Japan in relation to its security force.

Research carried out in the year two thousand and seven indicates that sector wide approach has been proposed especially in the Sub-Saharan Africa. This is whereby both the multi-lateral and the bilateral agencies carry out the overall formulation of programs in specific individual sectors.

After the developmental programs are formulated, they are then executed. Examples of these sectors include education and health. This in most cases is carried out in alliance with the needy nations or rather the nations that are to receive the aid. Research also reveals that some nations are not in favor of this program. This includes Japan.

Policy reforms towards international cooperation for development are very necessary. This is in political management. In order to attain the overall results, it is very important that there be implementation of sound management especially of the economic policies therein. Research also reveals that there is so much delay in the implementation of the policies. This is clearly illustrated in the existing current account deficits which actually depict arrogance in the whole scenario. It is therefore very important that reforms be made in accordance to policy management.

One of the major reforms that are needed in international cooperation for development is self controlled analysis. Reforms have to be carried out in this sector to ensure that the policies formulated are being effectively implemented. This is because previous years indicate that while there has been quite a lot of policy formulation, there has been no self-controlled analysis in this sector. This is in relation to the overall policy management of the integral issues in international cooperation for development.

Reforms also need to be made such that there is overall analysis of the maximum capabilities on the ground. This is because research indicates that in the past, this has not been merged with the policy management and formulation.

To ensure international promotion is promoted, it is very important for the stakeholders to actually reform their attitudes. This is through maximum recognition of the significance by these stakeholders of this noble venture. Another aspect is actually going by the laid down principles of international cooperation. For instance, Japanese stakeholders need to maintain the right attitude in their involvement in international cooperation issues. The involvement is not just enough, but they need to actively get involved. The Japanese stakeholders need to change their attitude completely in order to have maximum results.

Reforms are also necessary in developing international cooperation development like its technical assistance.

This will greatly improve the capability of the recipient nations to make good use of the assistance. Looking at overall implementation of technical assistance, the reforms need to aim at the available needs in recipient regions or nations. It is also very important that necessary structures for technical assistance be set up in international cooperation for development.

This can be carried out through ensuring that their officials make good use of their knowledge. This is also to ensure that their skills are maximally used. This can automatically help in helping recipient regions or countries. Other reforms that are necessary are in relation to the support measures that have to be incorporated in the whole exercise.

It is very important that a reliable database of experts be put in place who knows how to speak foreign languages. This has to be carried out in Japan’s police Force. This is because, in the past people have been used who do not understand the foreign languages. People who have experience working in the recipient nations need to be used. These can work hand in hand with the Non-governmental organizations therein.

To ensure that international cooperation for development is a success, there needs to be education of officials in the recipient regions or nations. The necessary materials required for implementation need to be incorporated in order to achieve maximum success. The other reason as to why reforms are needed is because there is great underestimation of the great danger that lies in capital markets.

Research carried out by many scholars in relation to this issue reveals that the financial market cannot be liberalized before trade. It is therefore very important that domestic markets gain the liberalization first. This has to be done and then the external sector be liberalized in order to enhance effectiveness of international cooperation for development.

It is very clear that the current strategies in international cooperation for development are not quite effective. It is therefore important that reforms be implemented to enable recipient nations to benefit. One of the major reforms that have to be implemented is in relation to market speculation.

It is very evident that financial markets are greatly linked together. Considering the system of market economy and worldwide diffusion, it is very important that the financial system internationally should be greatly re-examined. This is to ensure that there are no loopholes therein. It is also very essential that a safety net in international levels be established so that the available crises do not go overboard.

Sector-wide approach has been recently used in relation to international development. In this case, donors, governments and all the stakeholders are brought together. There are various principles that are set in order to operate the policies available. This works towards broadening of the policy dialogs in relation to international cooperation for development.

Reforms are very essential because they will play a big role towards the stability of the international community. There needs to be great movement in international cooperation by means of alliances. This is through the alliances with essential entities like United Nations. This should also be done in relation to other international organizations. It is very important that good governance be implemented in relation to international cooperation because it plays a big role towards global development.

So much has been carried out in international cooperation development since the twenty first century. It is however quite evident that these efforts have not been quite effective due to various reasons. One of the reasons is that there is quite inadequate coordination between programs in the global organizations and the individual projects in beneficiary nations or regions. It is also evident that recipient regions or nations have poor capabilities of absorbing the assistance. It is therefore very essential that reforms be carried out in relation to international cooperation for development in order to achieve optimum results. One of them is that there has to be adequate implementation of sound management especially of the economic policies therein. Reforms are quite essential in developing international cooperation development in accordance to its technical assistance. This will significantly improve the potential of the recipient nations to make excellent use of the support. All in all well calculated reforms will play a big role in achievement of goals in international cooperation.

How our Professional Liability Premium can be determined?

Placing Professional Liability Insurance for Architects, Engineers and Environmental Consultants is our sole focus. As insurance brokers, we know that getting the best terms for our clients requires that we negotiate with underwriters the premium for each client. To do this effectively it is critical to understand how insurance underwriters view risk and the factors they use in setting premiums. The article below was written by Lee Genecki, one of our senior brokers. Lee was formerly the lead underwriter for the Travelers A/E professional liability insurance program. As the lead underwriter it was Lee’s responsibility to set rates and establish the risk assessment criteria for quoting premiums. This article describes risk factors underwriters assess and provides insight to design firms on how to complete an insurance application to present a firm in its best light. It also describes the role we play as a broker to negotiate competitive terms.

Michael Hall, President, Hall & Company

A Behind the Scenes Look
To those outside of the insurance industry it may appear that professional liability premiums are determined somewhat randomly by people with limited knowledge of the design profession. As a former underwriter turned broker, I am here to tell you that this misconception couldn’t be further from the truth. Your professional liability premiums are established through a process involving the assessment of several factors over which you have some power to influence.

Looking through the eyes of an underwriter, design professionals can gain an edge in obtaining the best possible insurance premiums with the use of a thoughtful application submission. The article below describes the factors underwriters use in developing quotes for professional liability insurance.

What your application tells underwriters
when an underwriter receives your application their immediate task is to evaluate your firm’s potential loss exposure. The two basic types of loss exposure are frequency and severity. Underwriters use the information on your application to calculate the probability of your firm experiencing claims over the life of the policy and furthermore, if you have a claim, how much it will potentially cost.

However, before even considering the merits of an individual firm, insurance carriers already have defined what type of firm is a “good risk” for their company based on previous experience. They try to attract as many such firms as they can with various coverage differences and program enhancements but the primary lure is price. Their objective is to set a price that attracts good risks but still allows for an underwriting profit. This is complicated by the catastrophic nature of professional liability claims in the A/E industry. Losses tend to be quite large with a recent statistic stating that the average indemnity payment for a paid loss is upwards of $350,000. As a result, the many end up paying for the few.

Design firms need to make their business look attractive to the insurance company in order to obtain the best possible terms. The first step in this strategy is to identify the different risk factors and then present your firm in the most positive way. While numerous factors determine the risk that your firm poses to an insurance company, for the purpose of this discussion we will focus on the most critical areas.

Area of Practice
There is not much that you can do to influence an underwriter in this category. You are what you are. But it may be helpful to understand how the insurance company evaluates each discipline when it comes to their exposure to risk. The most common discipline in most insurance companies’ books of business is Architects. As a result, insurance carriers tend to use their rates for architects as base from which to determine rates for other types of firms.

There are two disciplines that tend to pay a higher rate for their insurance than Architects: Structural Engineers and Geo technical Engineers. Keeping in mind that underwriters are always thinking about exposure to loss, the question they asks themselves is “ what happens if there is an error in a structural calculation or a Geo technical report?” In many cases the project is stopped or even scrapped with a worst case scenario being a collapse. Because of this, Geo technical Engineers take the unenviable position of paying the highest average rate in the industry with some carriers charging as much as two times what Architects will pay. Structural Engineers pay a much higher rate as well but they tend to be roughly 1.5 times more than Architects.

The professional discipline seen as having the lowest exposure to loss and thus paying the lowest rate is Electrical Engineers. Going back to the basic underwriting question, if an Electrical Engineer makes an error, the damage and corresponding fix is usually far less than a foundation issue or an insufficient support beam. There are always exceptions but the claims statistics strongly support this evaluation. Positioned somewhere between Electrical Engineers and Architects sits Mechanical Engineers, Surveyors, and Civil Engineers with Civil Engineers having a rate that most closely resembles that of Architects.

Location of Projects
The location of your practice or more specifically, the location of your projects does have bearing on the rate that is determined for your firm. Claims statistics show that the probability of a loss on a building in Miami, Florida is much different than a building in Flagstaff, Arizona. There are many theories as to why this is the case, but the statistics clearly show that a higher rate is needed in most major metropolitan areas as opposed to most rural areas. Again, there are exceptions to every rule, but the statistics on this topic are definitive.

Type of Projects
Rate factors in the area of project types, more so than any other, presents the greatest amount of differentiation amongst the various insurance carriers based on their individual statistics and beliefs. Understanding the “sweet spots” of the different carriers and matching your firm’s characteristics with the best markets is the job of your insurance advisory, your broker. As a design professional, you cannot possibly know all of the different markets and specifically which markets best suit your firm.

In general, project types that are seen as the least “risky” in the eyes of the insurance company are those which tend to have less individuality in the design and have less emotional attachment than other project types. This includes projects such as office buildings, banks, retail, and most commercial projects.

Project types that tend to be more of a challenge from a risk perspective are those which are more unique to their individual locations and have a much greater bodily injury exposure than the others. They can also run quite large in scale which increases the physical damage exposure exponentially. These include schools, jails, industrial plants, bridges, parking garages, and stadiums.

Finally, the projects that are considered to be high risk are residential projects, swimming pools, harbors and docks, mines, and amusement parks and zoos. The project type with the highest perceived risk is condominiums. The industry has determined that for every premium dollar received by the carrier for a condominium project, 3.5 dollars goes out. All of these projects either carry a high emotional factor from the end user or have a high inherent catastrophic loss exposure such as a mine or amusement park. It is not the intent of this article to discourage any design firm from performing services on high risk projects but it is prudent to understand the exposures and manage the risk as well as possible.

Internal Risk Management
Your firm’s internal risk management practices provide the best opportunity for you to differentiate your firm and illustrate to the underwriter why you are worthy of their absolute best rate, the rate that is given to the “best in class” type firm. Throughout the application are questions that on the surface seem benign and unimportant but they are there to paint a picture of the firm for the underwriter that goes beyond the discipline and project types.

These questions include, but are not limited to, use of written contracts, limitation of liability provisions, insured sub consultants, types of contracts, in-house education programs, attendance at risk management seminars, and professional society memberships. Individually and collectively these categories allow for the underwriter to apply debits and/or credits based on the responses given. In some cases the difference can be as much as 25%.

The unfortunate reality is that far too few firms are properly advised by their insurance representative as to the effect of these questions and thus do not enjoy the premium reductions associated with them. Again, it pays to be with an expert that knows your business and the ever changing marketplace.

Loss History
The area of risk that is perhaps most quantifiable is loss history. As was mentioned earlier, when a design firm does have a legitimate claim, they tend to be quite expensive. There also is a belief in the underwriting world that past claims are a pretty fair indicator of potential future claims activity. As a result, a firm with claims in their past generally pays a much higher rate than a similar firm with no claims. The industry standard is to look five years into a firm’s past for claims activity but it is not uncommon for a carrier to look ten years back when evaluating a larger firm.

The key for any design firm with a claim is to take the time to effectively articulate the circumstances regarding the claim and the lessons learned. In some cases, given the right approach and documentation, a firm along with its broker, can convince the carrier that it is an even better risk than a firm with no claims because of the experience and knowledge gained from the unfortunate situation.

Setting the price
Underwriters’ thorough review of these and other factors gives them a profile from which to develop a specific rate for your insurance. The rate is applied against your professional fees and a premium is determined. The premium is increased as the limits of liability desired increases. Conversely, the premium is decreased as the deductible that is carried increases.

Looking through the eyes of an underwriter, design professionals can gain an edge in obtaining the best possible insurance premiums with the use of a thoughtful application submission. However, an application does not speak for itself. As your professional liability insurance broker, we work with you to understand your practice and gather mitigating information on the areas that underwriters perceive as risky. Then, we negotiate with underwriters to favorably characterize your firm and prove the mitigating information to encourage the most competitive premium quotes. Integral to this task is our specialized knowledgeable and complete focus on the A/E industry.

What are Competitive Advantages in Global Economy?

Nike Shoe Company

Nike inclusive is a company that basically indulges in the designing, developing and international marketing of quality apparel, equipment, footwear, and accessory products. The company started trading actively in sportswear back in the year 1999. The footwear is precisely designed and manufactured for athletic use. A large portion of Nike’s products is however used for leisure and casual purposes. Nike inclusive operates it own subsidiaries for manufacturing and the distribution of sports apparel. The main competitors of this company are Adidas, Reebok among others.

Describe the market structure within which the company operates and the pricing strategies adopted by the company

Nike operates in a very competitive industry. Competition is often very stiff as many companies contend for sales. A lot of finances are spent for marketing and promoting the products by competing firms through various channels in a bid to communicate to the target consumers who channel their money to purchasing the firm’s products. Over the years, there has been decline in the growth of sport shoe industry although new markets are up-and-coming with high growth levels. For example the corporate merchandise market and extreme sports market. The demand in sport shoe industry has a seasonal trend and this escalates the rivalry even more, (Porter, 1985).

The pricing strategies adopted by the company

The selling price adopted by a company for its products directly affects the profitability and eventually the viability of the company. This area usually receives a lot of attention from Nike’s management. To ensure the viability of the company products in the market and rise above its competitors, Nike uses the following pricing strategies, (Thompson, and Strickland, 2001).

Setting rather than managing prices; The brand manager adopts a reactive approach in making pricing decisions rather than a proactive approach. This means that the setting of prices at Nike inclusive depends on the prices adopted by competitors and the sales figures that Nike has.

Avoidance of customer value when pricing; It is not always accurate to predict the value that a customer has towards a given product. It is also not possible to quantify the value that the products give to customers. For this reason, Nike avoids the use of customer value when making pricing decisions. Although consumers may not buy a product whose price is higher than the satisfaction derived from the product , they will at all times purchase a product that has a price lower than its perceived satisfaction. By avoiding this approach, Nike keeps off under pricing its products in order to maintain the brand equity and customer loyalty, (Porter, 1985).

Establishing customer value for products; the brand managers at Nike inclusive rigorously engage in attempts to know the value that customers have for their brands. This is undertaken by carrying out detailed interviews with the customers on Nike’s brands. The company is hence able to gain a better understanding of the customer. The precise information obtained is used by brand managers to establish a basis for the pricing decisions in the company. Such information is reliable in developing an effective pricing strategy that is proactive, ( McGahan, 2004).

Describe the company products, strategic assets and distinctive capabilities of the company

Nike is an integrated company that solely focuses in the shoe industry. It comes up with designs, makes and markets sport shoes, clothing, and equipment as well as accessory goods. Nike is dedicated to restoring the environment, increasing value for its business partners, shareholders, and, customers, and securing intergenerational quality of life as expressed through its mission statement. (Grant, 2005).

Currently, the company trades its products to approximately 20,000 retailers in US and in about 110 other countries worlds wide. Almost all of the company’s products are manufactured by independent contractors. The company realizes between $8.8 billion and $9.6 billion in revenue annually. The shoes designed by Nike are particularly meant for athletic purposes but most of the users prefer to have them for leisure or casual purposes. Besides athletic wear, Nike also sells sports equipment like sport balls, casual wear for children, men and women branded Cole Haan. This is a subsidiary of Nike. Other plastic products are sold by Nike to manufacturers through another of the company’s subsidiaries by the name Nike IHM, Inc.

The major competitors of Nike inclusive are Adidas, Reebok among others. Nike has been closely monitoring changes in the economy. There has been a movement from use of standardized goods to niche commodities. In line with this as part of its corporate strategy, Nike has chosen to be flexible with the market trends. This is the main source of its success competitive advantage. In addition, to rise above its competitors the company has highly differentiated its products. Specifically, Nike started off as an athletic shoe company but today, its product line is inclusive of equipment, clothing, and accessories.

The Company is a market leader when it comes to pioneering novel products. For instance, the latest release is the Shox Line. This is a sport shoe designed to augment an athlete’s capacity to run and jump. A lot of research was done on this product and the highest level of technology used. The products of Nike are classic and trendy, the designs are simple not to mention fashionable. Nike has highly invested in mass production, creative, exceptional adverts and product promotions, (Hunger, J. and Wheelen, 2003).

This company has priceless physical assets and state of the art distribution amenities. To maintain contact with customers, Nike has contracted Hewlett-Packard for the supply of software, hardware and consulting services to host project named Nike Supply Chain,0 (NSE ). This is to help come up with a supply chain that is consumer driven and an outline for decision-making and for providing a competitive advantage that is sustainable. As a result Nike will be able to respond to the dynamic conditions, improve product quality and reduce investment risks, (McGahan, 2.004)

Besides, Nike has valuable human capital. The workers are motivated and are from an athletic background. The company as well has a solid balance sheet and strong financial position. The most significant source of sustainable competitive advantage is the indescribable assets like corporate brand and organizational culture. Even a blind man can talk of the adverts, promotions and corporate events. There is a well established research and development department to ensure new innovative and creative products.

Developing Strategies in the changing Global Economy

Nike is keen on the changing global economy and has been seeking competitive advantage over its rivals. Several changes have taken place in the shoe industry and this has been greatly beneficial to the industry. These changes are; (Hunger, and Wheelen, 2003).

• Rapid growth in footwear production
• Manufacturers today must have flexible designs and high output
• There is a massive increase in shoe designs increasing competition and volatility in the market
• High innovation and quality designs are a must for success.
• Producers have to be protective of their information and manufacturing technology.

One of the main reasons for the success in seeking competitive advantage in the changing global economy is flexibility. Nike has at all times remained flexible in the changing market by subcontracting to international countries that have low cost of labor, (Grant, 2005). Secondly, Nike highly focuses on differentiating of its products. Rather than dealing in one line of a product, the company has diversified and differentiated the products it offers to the market. For instance, Nike started out as an athletic shoe but today, it produces and sells a variety of products ranging from equipment, clothing all the way to even offering accessories. This differentiation has enabled Nike too successfully;

· Obtain and gain loyalty from buyers on its brand.

· Register an increase in sales.

· Command a fine price for all the company products.

How to Improve our Writing Skills?

Writing skills are very essential in student education especially in secondary schools. This is due to the fact that this group of students is creating a basis of their writing skills which they will use later on in life. This is one of the parts that teachers in secondary schools put emphasis on. In most cases writing skills is part of English grammar lessons that are taught in secondary schools. The subject is normally compulsory such that all students get to sharpen their skills in writing.

It is understood that writing skills form the core basis of the other subjects. This is because most of the subjects if not all have their exams answered in written form. The other subjects therefore borrow a lot from writing skills. Students who have poor writing skills can actually end up failing their exams in all the subjects because they are not in a position to communicate effectively. This paper is dealing with aspects of students writing skills in secondary school, the essence of writing skills among other factors.

The objectives of this paper are quite diverse in nature. One of the major objectives is to find out the different aspects of students writing skills in secondary school. It also aims at elaborating on the essence of writing skills to these students. Part of the paper clearly shows the level of students’ development of their writing skills. The general development of the students writing skills is also an aspect that is dealt with in this case. Methods of students development is also part and parcel of the objectives of this paper.

Different theories have been invented that are highly related to student learning. All these theories acknowledge that there are various factors that affect a student’s learning. They include their spoken language among other factors.

There are various aspects of student writing skills in secondary schools. They include students having the ability to spell all the words that they write correctly. This is part of the basic principles in writing skills in secondary schools. There is also the other aspect of the use of punctuation marks appropriately when wring essays and compositions. This has to be carried out in a logical fashion. Usually students in secondary schools are required to write sentences that are coherent in nature.

Another requirement in secondary schools language lessons is that students have to clearly and easily recognize the various parts of speech in a written document. Many students are prone to make many spelling mistakes when they are in secondary schools. These mistakes in most cases are caused by the inability to generally differentiate between a noun and a verb.

For instance, students can easily fail to differentiate the word makeup and make up. Students in secondary schools are prone to common mistakes. They include words like it’s and its, you’re and your among others. This is due to ignorance on the students’ part and sometimes they are just not keen in class when the teacher is teaching. There is much use of slang language and this greatly affects their written skills. An example of other words that students easily confuse include they’re, their and there. This is not very encouraging fact considering that secondary students are expected to know these simple facts. Teachers in secondary schools have the responsibility of ensuring that students master these simple principles and aspects in their writing.

The essence of writing skills is that they are highly used in the students’ lives later on. This is when they are even no longer students. The essence of writing skills is to have a generation that is well equipped in their written communication. Writing skills are quite essential because they are the core of communication in this twenty first century. Many students go to school with the aim of getting jobs later in life. When seeking for employment they need to write cover letters, and curriculum vitae. When one lacks the correct writing skills, he or she can miss or rather be denied the job opportunity.

Proper writing skills make communication to be very effective. This is the twenty first era and there are many communications made in chat rooms and through the emails. Without proper writing skills, an individual can be mistaken or misunderstood. It is also very clear that without proper writing skills, students will not be in a position of passing their examinations which are great determinants to their future life.

Communication is part and parcel of life. That is the main reason as to why students in secondary schools have to be taught writing skills. As the students pursue higher education, they tend to specialize in different sectors or professions they are no-longer taught the basics like writing skills. These skills are important because students in the long run will have to work with others and therefore need proper communication skills in writing. The information technology also requires skilful writing to be used.

Writing skills taught in secondary schools enable students to compete with other students all over the world on the same level. Secondary students in most cases have various competitions that they engage in with their peers all over the world. These competitions include writing essays concerning various matters of concern in the contemporary world. This includes essays on poverty alleviation and globalization.

When students develop their writings, they go through different levels. It is quite important that students go through all he levels of development in relation to their writing skills. This enables them to be quite all round and to have in depth knowledge in relation to writing skills.

The first level of students’ development of their writing skills is in relation to speech or the spoken language. It is known that the spoken has great influence to the written. That is why students are required to speak correct language in order to excel in the written. It is a requirement that students in secondary schools speak correct language and those who do not adhere to the rule are normally subject to punishment.

In the academic writing in secondary schools, there are different levels of development. As a good writer, one has to think of the main purpose as to why they are writing. It is also very essential to think about the reader and the expectations. This normally helps in knowing the level of formality of the written script. The written work can range from being extremely informal to extremely formal.

Students are expected that by the time they are joining secondary schools, they already have the basic knowledge of writing informal papers or documents. Examples of documents that require informality include personal letters, reminder document and diary. On the other hand formal documents include examination papers, cover letters, curriculum vitae and also other legal documents like a land title deed.

Students in secondary schools have to develop their writing skills both in line with formal and informal writing. Students can write personal reflections and journals in an informal manner. The formal style of writing is however highly emphasized compared to the informal. Formal scripts also include essays which evaluate, argue or even inform about an issue.

When writing various analysis and explanations about a case study and also reports from research, the formal writing is used. This is due to the fact that most of the papers and written work in secondary schools has to be carried out in a very formal manner. This is a very core requirement of the education curriculum.

Development of students writing skills in secondary schools is very essential. In most cases students are expected o fully develop their formal writing skills. In formal writing, secondary students have to develop and know essential matters. They include the student focusing on the issue and not beating around the bush.

It is highly expected that students research and evaluate a topic before writing their work. In this case the objective of writing has to be kept in mind. The work has to be quite impersonal in nature in order to be more convincing to the reader or teacher for that matter. It is a requirement that students choose words that have very precise meanings.

In this case secondary school students are required to avoid using words that have vague meaning because they are more colloquial in nature. As students develop their written skills in secondary schools, they are expected to avoid using abbreviations, clichés, and jargon and also slang language. It is also very important that as students develop their writing skills they avoid having definite claims but rather have them in tentative pose.

There are various methods of development of students writing kills in secondary schools. One other known method is the cooperative method. Cooperative method of learning development has been known to produce positive results. The outcome of using this method in secondary schools is very attractive in nature. In this method, students are generally provided with an environment where they can develop their language, share ideas, have constructive feedback and also develop their vocabulary. This method is highly incorporated in secondary schools. In this case students are put in groups where they have open forums of discussion and developing of their spoken and written language. In this case, cooperative interaction between students is successfully incorporated in all their stages of writing. Before writing a script or paper, students are allowed to brainstorm on ideas and discuss the important issues that need to be written. Students co-work in the whole process.

Students are allowed to share ideas in line with conferring, editing and proofreading their work. Cooperative method allows secondary school students to share and even present their work in the team. Through this, students are in a position to correct each other and also learn from each other. This method gives students the opportunity to get different views of the same topic.

Another method is the multiple intelligences (MI). In this method students are guided to have both interpersonal and intrapersonal connections that enable them to sharpen their writing skills. This is the integration of much intelligence. Intrapersonal connections involve the connections that are personal based. Interpersonal connections on the other hand are more of students interacting cooperatively. In this case there is performance of skits, drawing illustrations and generally use graphic organizers to facilitate learning.

The following hypotheses are used in the research concerning development of writing skills in secondary schools;

• Students in secondary schools are taught extensive writing skills
• There are different methods of development of students’ writing skills
• Students in secondary schools go through different levels of development of writing skills
• There are various aspects of students’ writing skills in secondary schools

Writing skills are quite essential to secondary school students. This is due to the fact that they form the basis of the other subjects taught in school. Writing skills are needed in learning mathematics, science and history among other subjects. There are various aspects of writing skills. They include students writing the correct spellings. Other aspects also include using both the past and the present tenses correctly.

Use of the right punctuation marks when writing essays and research papers is also very essential aspect of writing. Students go through different levels of developing their writing skills. This ranges from acquaintance to familiarity of the writing skills. They also get to learn more about formal and informal writing and the issues associated with the two during these levels. Developing of student’s writing skills when they are in secondary school is very essential. These skills are normally used later in life in different avenues. There are different methods of developing students’ writing skills in secondary schools. They include the cooperative method and multiple intelligences. All these factors well incorporated result in excellence in written languages in secondary schools.

Affirmative Actions lead to the facets of controversies!

Introduction

For many years, there has been controversy regarding affirmative action in America. Even today, affirmative action still creates intense debate in the public domain. Some proponents of affirmative action point out to the representative importance which affirmative action as brought about, while others note the conflict created by affirmative action in of limited resources such as job opportunities that have to be competed by different groups. As Helms (2003) clearly observes, proponents of affirmative action see it as an acid test of America’s commitment to upholding racial and social justice, while the opponents of affirmative action view it as deplorable contravention of equally opportunity principles. To further explore these varying viewpoints different studies have been carried out by various scholars to try and explain the issue or find some clarity. This research paper is going to examine a number of past empirical studies carried out on the subject of affirmation action. The paper will proceed along this course: Affirmative action will be defined for the purpose of academic clarity, different findings from previous studies will be discussed in length, and research methods used in his finding will be highlighted. In addition, various theories or hypothesis will be underscored and finally, a conclusion will be given to sum up the paper.

Affirmative action

The phrase affirmative action elicits various meanings, some of them are; campaign to widen the grouping of suitable people to include in special groups; compensatory education aimed at upgrading the grades of these special groups; time lines to assess progress of uplifting /upgrading these groups; actual quotas given to these groups or preferential treatment. Affirmative action came up as a result of legislations, executive decrees, and court orders or even planned action by major companies.

Including discussion of the authors’ findings

To have a good understanding of affirmative action, it is worthwhile that we take a detailed review on some of previous studies carried out by different authors regarding varying aspects and impacts and outcomes of affirmative action.

Creating equality

Affirmative action remains important in creating equality, as citizens of one nation, it is important that equality should be cultivated. (Helm, 2003) The best equality is economic equality. Thus, it follows that each individual has a morally obligation to make the society a better place to live in. Many feel that the only solution is affirmative action. Ultimately if affirmative action is not taken, there will be group in the society with an increased proportion of jobless, poorly educated people and socially unequal. The question asked is: should affirmative action then be used to try and balance these inequalities? To many the answer is yes as it beings equality in the society. This viewpoint is supported by a study carried out by Helms (2003) which found out that, the number of blacks in managerial positions have doubled when affirmative action was introduced, at the same time the number of blacks in the police force also have highly increased basically due to affirmative action program. (Helms, 2003) Thus affirmative action remains a way of improving the status of those who are not privileged (Helm, 2003).

Affirmative action is Inefficient

Tyler, (2004) in his study to establish how effective affirmative was particularly in setting of employment quotas; Established that, many people who do not support affirmative action see the affirmative action program as not effective and should be down away with. They add that the only effective way of hiring workers in a company is through qualification and the only effective way of admitting students to colleges is through merit. This is what should be used instead of resorting to affirmative action which is ineffective (Tyler, 2004). However, the participants who support affirmative action program argued that, affirmative action was aimed in helping those who were persecuted in the past. Tyler (2004) concluded that in the real sense such programs are known to harm the very people who are supposed to benefit from the program. For example, many American will refuse to visit a black under the assumption that the doctor was admitted to college and to the current position he has through affirmative action or through “special preferences” (Tyler, 2004). This is also being observed in other professional and it is hurting the minorities who are supposed to be benefiting from the same action. The unfortunate part is that even those professional who have qualified without benefiting from affirmative action also are shunned because of the stereotype that has been created by the affirmative action. (Tyler, 2004)

Affirmative action is unjust

In a study carried out by Gryphon (2005) to find out if affirmative action brings justice or not, he revealed that, when an individual is denied employment or an admission to enter college because of affirmative action program, then the affirmative program can be termed as unfair. This somehow becomes unclear, since it is not clear what should then be considered as being just. The system remains indeed with unsolved issue of what is fair to be done. In fact different people supporting different sides will give different arguments. For, Gryphon (2005) affirmative action is not fair since it appears to replace professional or academic qualifications with racial inclinations. Others see it as unfair since it judges the qualification of an applicant on the basis of belonging to certain group instead of looking at the credentials of the individual. Many participants in this study of Gryphon (2005) alleged that, affirmative action is a new way of discrimination, and any form of discrimination that is based of any attribute such as race or gender, by definition is not fair and should not be practiced.

Research methods

The previous studies this paper as reviewed were carried out using both quantitative and qualitative research methods. In a number studies researchers as well included secondary research methods where previous findings were incorporated. In qualitative research, the methods used to get information were through interviewing and through questionnaires, which were designed to get specific information from the respondents regarding specific information on affirmative action.

Hypotheses and theories

In carrying out their studies, different researchers used formulated different hypotheses to guide their studies. For example Nacoste (1985) formulated the following hypothesis; affirmative action enhances inclusion and diversity in tackling common societal discrimination. In another study carried out by Tyler (2004) who sought to know the effects of affirmative action on the society. He formulated the hypothesis that affirmative is good for the society and it is ethical to practices. To further expound this point we shall examine some and theories.

Affirmative action is ethical

Tyler (2004) states that, it is inaccurate and misleading to claim that affirmative action is unethical and that it only cares for the people on the basis of race or that affirmative action embraces selection of persons who are not well qualified. Affirmative action does not encourage this and it is just the wrong interpretation. Yet, race is simply one aspect that affirmative action is taking care of. Tyler, (2004) adds that, affirmative action remains ethical and fair because the program plays an important role in assisting to dismantle the unjust system of racial disadvantage that unfortunately is still present in the United States even today. (Tyler, 2004)

Affirmative action create equality

Many others argue that affirmative action is creates equality in the society. Proponents of affirmative action feel that affirmative action will create some equality in the society and balance by crafting means where the minorities can also benefit. As Helms (2003) points out, the common good comprises basically in making sure that the social systems, social policies, and the environment as a whole in which we live should be used to benefit all. Those as members of one society it will be unjust one group to prosper while another groups remains behind. For the purpose of common good it is therefore important that the community resources be made in way that they can also benefit those who are minorities.

Conclusion

Affirmative action remains controversial and will continue to draw different arguments depending on which side one. Different studies have been carried out on affirmative action, and different authors have made different conclusion. To some Affirmative action is just another way of discrimination that should not be allowed to happen in America as one can not correct a wrong with another wrong. To those who support affirmative action view the program as the only way of correcting and uplifting those who were left behind economical and social. Thus, it remains to be said that the issue of affirmative action will continue to be debatable depending on which view point one is taking.