The Macro Environment Analysis Economics Essay

The Macro Environment Analysis Economics Essay The macro environment is made up of 6 uncontrollable external factors. These factors influence an organizations decisions, business and financial strategies as well as its overall performance. These factors are : Economic, Demographic, Social Cultural, Natural, Technological, and Political. 3.2 Demographic environment: The demographic factor covers topics such as age, gender, date of birth, average family sizes and so on .Population Growth The United States has experienced a substantial influx of people. Within the last 10 years there has been an increase of over 33 million people, making the U.S. the most heavily populated nation in the world. A steady but constant population growth is expected for the next 50 years. We can expect an increase in the number of American guests at the Marriot Amsterdam. If the marketing strategy is tailored in order to draw more away from Hotels such as the Hilton. The situation in Europe is different than in the USA. The European Union has a total population of almost 500 million inhabitants (27 states of the European Union) whereas Europe has 732 million inhabitants. Within the next 40 years the population is predicted to decrease to approximately 630 million inhabitants in 2050. This can be seen as a threat in the long run because the impact on the industry is that the volume of the market will shrink as the total resident population will shrink.  [i]   3.3Economic Environment Among the importance of people who make up markets is the importance of their purchasing power, level of employment, GDP, and rate of inflation which is determined by the economic environment. Both GDP growth rates increase on a low, but steady level. Due to the recession, it is likely that negative growth rates occur within the next five years for both western economies. Recovery is predicted on a very low level for the year 2012. India in comparison has a quite low GDP at the moment, but is predicted to catch up with big steps of over 100% per decade. With annually GDP growth rates of 6 to 10 percent during the last decade India is one of the world fastest growing economies. The latest recession hardly hit the country but recovery is predicted to take place more rapidly, profoundly and on a far higher level than in western economies. Inflation The inflation is an important indicator for purchasing power in an economy. Symptoms of inflation are increasing prices and therefore consumers decreasing purchasing power.  [ii]   Credit crunch By mid-2008 the financial crisis turned out as a result of the economic turn down, the sub-prime mortgage crisis and the collapse of the housing market.  [iii]   The collapse of the housing market led to a bank collapse resulting in a massive liquidity crisis. This became a worldwide problem: the ongoing credit crunch. Stock markets crashed worldwide. The credit crunch is affecting business as well as consumers.  [iv]   To conclude, this is a threat for any company because consumers are losing their purchasing power in the EU, US, Japan and UK. Besides that, consumers are more careful with their money because they want to save it in case that they will lose their job due to the economic crunch. Saving rate The saving rate reveals insights of the spending patterns of one country inhabitants. This figure shows the personal saving rate of the USA, Canada, UK and Germany. Due to cultural differences the saving rate of Germany and other European countries is traditionally higher than those in Anglo Saxon influenced countries. The more interesting development is the increase of the saving rate in all four countries after the year 2007. This is caused by the credit crunch and the following recession. During times of economic downturn people tend to save money. They are becoming anxious about their jobs and the future. The increase of the saving rate is a potential threat because peoples spending priority lies on essential goods and services rather than on luxury items. The main market would be for business guests and baby boomers who do not mind spending some extra money in order to have the comforts they have become used to. Income level of the target markets Nations vary greatly in level and distribution of income and industrial structure. Our analysis is focusing on industrial economies and their consumers. These economies are seen as rich markets for all sorts of goods and services. Unemployment From 1993 up to 2009 the unemployment rates for as well the EU, UK as for US are increasing and decreasing through the years. Increasing unemployment rates are for each company a threat because when consumers loose their jobs their purchasing power is decreasing.  [v]   The unemployment rate will average 9.2 percent in 2009, 9.6 percent is 2010 in the USA. The forecasting average for 2011 is 8.9 percent and for 2012 8.7 percent is forecast. The rising unemployment rate is a threat for the Hospitality industry in that consumers are more likely to save their money than spend it when unemployed. Even if they want our services they do not have the financial resources available to them. 3.4 Social-Cultural Environment Corporate social responsibility (CSR) was developed as a type of self regulation. Typically integrated directly into the business model of the corporation. The premise is that the corporation that has integrated with CSR will conform to certain pre-determined norms of society when engaging in business. The norms would vary from legal, social, ethical, moral, environmental as well as an increase in concern over the various elements of the public. Elements such as, but not limited to; the community as a whole, customers and employees. Although this moral business concept appears to be sound CSR has come under constant criticism. Many claim the moral aspect of CSR is nothing more than a faà §ade, allowing these companies to, in fact, exploits the situation at hand. The psychological effect of terrorism is also a factor we have to keep in mind. The frequency of travelling is decreased by this occurring factor. 3.5 Natural factors Macro factors are those factors that the company cannot influence itself, but these factors can certainly have a great impact on how the company is will perform. The Marriott hotel in Amsterdam lies in the center of the Netherlands with a sea climate. This means that all year round the weather will be mild with no extreme summer or winters. While these factors might not directly influence the performance of the hotel, others can. When looking at the volcanic eruption, which took place in the midst of April 2010, airlines cancelled all flights and passengers were stranded. While this at first presented a boom in occupancy due to stay-overs, the long run presented problems as many meeting were cancelled. This presented a downfall in revenue; fortunately problems were solved after 2 weeks when the eruption ceased. The hotel can of course never fully predict certain circumstances but after this experience should be prepared for it. Besides weather factors that will put pressure on business, the trend is shifting towards producing eco-sustainable business. Producing and running your business in a nature friendly way. When looking at the hospitality industry we can give examples as not overly washing linen, using soap dispenser, recycled paper/pens, dividing trash, light sensors, special heating systems, laundry detergent. 3.6 Governmental Due to relatively recent events there has been a major force affecting the hospitality industry. Of course due to the shrinking world phenomenon business travel has become more and more of a necessity but recreational travel has dropped substantially. In hospitality, even before the attacks the picture didnt look good. According to Smith Travel Research, U.S. hotel occupancy was 61.9% year-to-date through June 2001, a drop of 2.7% compared to the same period of 2000. RevPARs declined 0.4 % to $58.99. Preliminary figures indicate that occupancy rates and RevPARs were down 2%-4% in August of this year, compared to August of 2000 (Smith Travel Research). Another strong political force which will affect the Marriot is the increasing worldwide attitude towards smoking. Currently, the Netherlands has an approach of only specialised areas or small, private establishments are permitted to allow smoking in their premises. Smoking in public places or train/bus stations is also prohibited. By o ffering a specialised and separate area (the Cigar Bar) there is a greatly increased likelihood of attracting a larger customer base. This is due to catering to a larger customer base demographic. 3.7 Technology Improving productivity is the main goal of technology. Especially for information technology (IT). In studies there is proven that there is a relationship between IT investments and the productivity and performance of the business. Due all the new technology that has appeared over the years. Front office applications, restaurant and banquet management systems, and guest-related interface applications. We assume that these rapid changes in technology will continue. vii 3.8 Conclusion Threats: US dollar exchange rate for Euro will drop by 5% in 2011. 10% increase of energy prices in 2011. Smoking prohibition. Rapid change in technology Opportunity: Small growth in European economy of 1% in 2011. Slow recovery of US economy and rise of GDP of 2% in 2011. Corporate market in Europe will show a growth of 2%-5%. 10% increase of Chinese travelers in 2011. International tourism in the Netherlands will grow 5%. Rapid change in technology Micro Environment 4.1 Market structure Marriott hotel has a monopolistic competition, which means that the company faces a large number of firms each having a small proportion of the market share and slightly differentiated products. The main demand for the Marriott hotel is leisure and business guests. Customers: Segmentation Amsterdam The Netherlands Business transient 53% 36% Leisure individual 22% 37% Tour groups 8% 7% Conference 12% 15% Others (crew) 5% 5% Total 100% 100% Business Transient: Based on the following assumptions and information the Marriott can expect an increase of business transients compared to the previous years. The main points are as follows: 10% growth in 2010 in produced revenue of ASEAN (Thailand, Indonesia, Malaysia, Philippines, Singapore, Brunei, Burma (Myanmar), Cambodia, Laos and Vietnam), India, Turkey and Brazil. UKs GDP economy expects to rise 2.7% and economy is recovering slowly. (http://www.finfacts.ie/irishfinancenews/article_1019481.shtml) American economy expects a rise in GDP of 2% and economy is recovering slowly. European economy will grow in 2011 with 1% The above information shows that the economies in the major segments for the Marriott are increasing. Thus, companies will have to send their employees again on business trips. One downside of this assumption is decrease of the US dollar exchange rate of 5%. Therefore especially the American business guests will be more then price sensitive and expect to have more service included (e.g. internet). However as we are expecting that the British pound is increasing in 2011 we can assume that the British guests (20% of guests staying at the Marriott Amsterdam) will continue to travel. Individual Tourists: Based on the following assumptions and information received the Marriott can expect an increase of Individual Tourists compared to the previous years. The main points are as follows: EU citizen are expected to have a growth of 5% Expected growth of short breaks and weekend trips to cities. As the GDP in the USA and UK are expected to rise, it can be assumed that it will have a positive correlation on the standard of living of citizens of that country. Only the US market will not increase tremendously as the exchange rate for the US dollar will decrease by 5 %. However the British Pound is expected to rise compared to the Euro. Conference Participants: Based on the assumption and information received the Marriott can expect an increase in conference participants compared to the previous year. The main point is as follows: The same reasons as for business transients can be used to explain the increase of conference participants segment. Companies are expected to produce more goods and therefore will attend and conduct again trade show, conferences, meetings etc. Tour Groups / Other Rates: Based on the following assumption and information received the Marriott can expect a decrease in Tour groups and other rates compared to the previous year. The main reason is as follows: As we are expecting a rise in the business transient, leisure guest, conference participants the Marriott will not be able to sell as many rooms through the discounted channels. Therefore the rooms sold to Tour groups will be less. Contract: Based on the following assumptions and information received the Marriott can expect an increase in contract rates compared to the previous year: The main reason is as follows: In year 2010 the produced revenue was far above the expected budget. As Marriott Corporate Office is urging the hotels to put a focus on they contract rates we can expect again an increase in this segment. However Marriott Corporate Office advises the Hotels not to discount the rates less than 25% of the average daily rate (otherwise the head office needs to be contacted for approval). 4.2 Distribution Channels: Business Transient Individual Tourists Conference part. Tour Groups Other Social media 25% 10% 50% 25% 50% Central Reservation System 34% 32% 40% 20% GDS 27% 10% 30% Travel Agent 2% 15% 10% 25% 30% Hotel Website 12% 17% 20% 3rd party websites 16% Social media is a very effective way of distributing, due to the snowball effect. Direct Sales by the hotel are of course also very important. The Central Reservation System of the Marriott is also used to distribute itself so are the Global Distribution System, Travel Agents (via GDS), the Hotel Website and Third Party Websites (Expedia etc) 4.3 Internal financial decisions: Internal financial decisions consist of financial decisions made within the Marriott chain or the Marriott hotel Amsterdam itself, or financial opportunities within the company. The weaknesses and strengths are also a part of this. Marriott International as a stakeholder has more general objectives and goals regarding ecology, human rights, shareholder equity. 4.4 Public: To know what the public or guests thinks of the Marriott hotel, they use: feedback forms, customer reviews. The reach the public we make use of marketing and media campaigns. The presence of Social Media is getting more and more important and is already a successful marketing tool. But only the bad feedback on an online platform like Facebook, Twitter, MySpace etc will have a big influence on customer perception. We assume that our public has a good overall image of the hotel. We do not exclude complains because you cant anticipate on everything. 4.5 Company: FB shall become more coordinated in using international Marriott concepts for outlets. Two concepts will be uniformly implemented in Marriott hotels worldwide: The Midtown Grill and The Cigar Bar, as these concepts are now regarded as a standard feature of our hotels by loyal guests, especially US guests. 4.6 Competitors: After studying and analyzing the Amsterdam Marriotts budget for the first case assignment, in this chapter we will focus on the current and future market situation and developments. No guests no business! Therefore the Marriott hotel has to know its competitors by hard to be a step ahead and make use of its advantages to gain an even bigger share of guests and increase revenue as well as profitability. Competition can be differentiated into four main forms: product form competition product category competition general competition budget competition. In this assignment we will basically focus on product form competition as well as on general competition in terms of f b outlets. In case of the Marriott Hotel this means identifying and analyzing competitors, which offer and deliver the same kind of products and services. Following characteristics were used for the selection process of hotel competitors: shelter dining business facilities high-quality interior luxury ambiance The current product competition consists of following hotels: The Grand Okura Hotel Grand Hotel Amstel The Hilton Amsterdam Eden American Hotel Since the Leidseplein offers more than 120 restaurants in close proximity, it is rather difficult to define and analyze competition. In the case of the Sorels Midtown Grill we chose competing restaurants offering similar cuisine and/or attracting the same customers. Following characteristics are involved for selecting direct restaurant competitors: location cuisine attire/atmosphere opening times The competition consists of following restaurants at the Leidseplein: Cafà © Americain Los Argentinos Barbecue Castell Hard Rock Cafà © Amsterdam Gauchos Amsterdam 4.7 Possible future hotel competitors: Due to a recovering world-economy and forecasted trends about travel behavior/ travel patternsof countries such as the USA, European, BRIC ASEAN countries, overnight stays of business and leisure guests will increase in Amsterdam. As there is still sensitivity regarding price-value ratio, especially in the corporate business, following hotels are possible new competitors in 2011. Hotel Classification Room numbers Location Date Eden Amsterdam Manor Hotel 4**** 100 Linneausstraat 89 1093 EK Amsterdam March 2011 Conservatorium Hotel Amsterdam 5***** 130 Keizersgracht 62-64 1015 CS Amsterdam, spring 2011 Artotel Amsterdam 4**** 105 Close to Centraal Station spring 2011 City Inn 4**** 540 Oosterdoksstraat 4 1011 DJ Amsterdam spring 2011 4.8 Market dynamics: Interaction between hotel and fb regarding demand and supply is efficient. But the changes and the dynamics of the market is beyond control of the hotel. Because the hotel business is not in an free (open) market. 4.9 Conclusion: Threats: Social Media Possible future hotel competitors Midtown Grill as a steak house to specific Opportunities: Commission will be reduced from 3% to 1%. Growth of fixed contracts. Growth of conference and banqueting segment Cigar bar. Occupancy Social Media Growth of business segment Marketing Management 12e page 79

Impact of Technology on Print Media

Impact of Technology on Print Media Print and electronic media plays an important role in communication effectively as the world has been globalized. The technology used for communication should not be overlooked, because the interchange of information is necessary in current era. Print and electronic media has globalized the world. The news or communication can be done easily from corner to corner just in few seconds. Technology has impacted the communication in a positive way. In the current world the communication has been distributed between print and electronic media. These two Medias are playing a vital role in communicating between individuals and the society. News, comment, information and entertainment, are the complex set of newspaper, and the arrangement of these contents differs from paper to paper. Most people choose their daily paper to match their specific tastes, and individual newspapers have developed in different ways to provide for these. Many changes have taken place over the period, in the newspapers. The newspapers are filled with advertisements and have many pages on carrying different news. Today journalism has become one of the prosperous professions (Oghakpor, 2007). The number of newspapers has risen sharply which has made the communication to its optimum level whilst profits have also boomed. Development of information and communication technology has made the work of newspaper publication easy and less laborious. Todays newspapers have lots of investigative stories/reports. This contributes to bringing in light big scandals and scams resulting into fall of a person. Which creates negative influences the society and shows that the technology is not been used for the purpose in the right way, as it has to be used for. Magazines charm to an expanding range of reading flavours and happiness. They are designed for standardized or special interest groups. Regardless of their design for special groups, they developed as a mass medium because they appeal to large numbers in a national market that cut across social, economic and educational class lines (Oghakpor, 2007). The magazines can be categorized into two different categories, General interest magazines and special interest magazines. General interest magazines attempt to cater to a wide variety of reading interests. Special interest magazines are mainly focused on one thing. For instance, The Women magazine covers all the things about the women while, Muscles magazine covers all the stuff about building the muscles of either men or women. Its most notable function; however, is correlation that is, interpreting the society by bringing together diverse facts, trends and sequences of events. According to Kipphan 2001, Magazines in essence, are the great interpreters of what is happening in society. There are several magazines in the world, which are published internationally as well, so that people can benefit from them. Or people from the foreign countries order the magazines to remain update, although most of the magazines can be viewed online. According to Hamelink   Linnà © 1994, magazines have been much more visually innovative than newspapers. Their covers blaze from newsstands and market racks, thus attracting the readers attention with colour and allure of advertisements besides their articles. Magazines are published according to the information gathered, i.e. weekly, fortnightly etc. These are basically news magazines but they include sections on arts, culture, sports, films, business, politics, industry, and environment. There are about 500 such general interest magazines focusing on news and current affairs, having largest readership. Textbooks, other books, booklets, pamphlets, brochures, folders, periodicals, wall newspapers, publicity and promotional literature also constitute media for mass reading, information and enlightenment, they less extensively used as compared to the newspapers and magazines, are called the best way of effective communication. Books are non-periodical printed publication of at least 49 pages excluding the cover page, published in any country and are made available to public.  These are published as weeklies, fortnightlies, quarterlies, annuals or dailies, so magazines do. There are bimonthlies and half year lies also. Electronic communication has become almost an essential part of peoples lives. The Internet has been the catalyst for electronic communication, and rarely in human history has anything risen to such prominence in such a short period of time (Hirst Harrison, 2007). There are now many ways to communicate electronically, with, no doubt, more variety to come in the near future. Currently, Televisions, radios, internet, mobile technologies, ipads, e-books, e-magazines etc. are versatile ways to communication technology. Over internet, email has had its critics, notably for the brevity of messages and for the rapidity of reply, which often negates clear thought. But all new things will have critics. Writing to someone by conventional email and waiting for a response takes days or weeks. Waiting sometimes just a few minutes for a response by email seemed quite magical in the early days of the internet. Now this is taken for granted. The problem of spam has never been dealt with satisfactorily, but being able to email photographs on the day they were taken to a loved one on the other side of the world makes up for some of the negatives. Mobile technology has made a tremendous change in terms of communication. In current years the phone contains the features of 3G internet facility which is called the fastest internet on mobile, through which the communication and sharing knowledge becomes easier. Facebook, tweeter, internet browsing, Skype, VoIP technologies can be excessed anywhere without any hurdle. Similarly, Ipads and IPods have also made paradigm change in this global world. It facilitates in the same way as smart phones does, although they are bigger in size. Newsgroups and chat rooms began as early types of social media. Newsgroups rely on peoples posting messages to a relevant group, and members of that group can then comment instantaneously. In recent years, newsgroups have, to a large extent, been replaced by slick social-networking sites such as Facebook, MySpace and Twitter. Chat rooms still have a dubious reputation on the net, because though they can be great places for friends spread around the globe to meet up, unwelcome visitors will often use them inappropriately. Standalone video conferencing, used for business, has also now been matched by instant-messaging programs. Social media may be seen by many as even more important than email now. Facebook and MySpace have an email facility and instant messaging, and Twitter has a direct-message and instant reply facility. Instant messaging, which is also available from the likes of Yahoo! and MSN, is becoming increasingly more advanced. Whereas in the early days of Yahoo! Messenger you could save money on a phone call to someone overseas, now you can not only talk but look at a live video image of that person at the same time. It might be concluded from this that the communication technology have a great impact on the print media and electronic media. Newspapers, magazines, broachers, newsletters, pamphlets have made the vigorous change in communication. All these have to face different audiences and are mainly the most important technological tools to communicate and deliver the message. Despite, the electronic media is massively taking place of print media and globalizing this village. Mobile devices, Ipads, Ipods, Television, radios have made the thing accessible within few seconds.

Social Promotion VS. Retention Essay -- Essays Papers

Social Promotion VS. Retention Abstract Social promotion and retention are used for various reasons. Retention is implemented when students have not met the general requirements to begin the next grade. The question that will be addressed is how do social promotion and retention differ? The overall meaning of both will be addressed to give the reader a better understanding of the two. Social promotion is the practice of promoting a student to the next grade level even if the minimum academic factors have not been satisfied. Retention is the approach that is most widely practiced. This is the retention of a grade to reinforce academics. The pros and cons, static’s, and drop out rates will be discussed. All of these factors will be addressed so that the reader can be aware of the opinions on the issues. This critical issue of Social Promotion and retention is a hard one to figure out. Exactly what is social promotion? Social Promotion is the practice of promoting students to the next grade level regardless of their academic progress. How serious id this issue? It is so serious that California, Delaware, South Carolina and Wisconsin have all passed laws forbidding the practice and in effect requiring schools to reinstate retention. What exactly is retention? It is the practice of holding back students to repeat a grade if they have not successfully met the requirements to go to the next grade level. This has been the practice of school systems for many years and The National Center for Education Static’s show that 16.8% of seniors have repeated at least one grade. The most frequently repeated grades were kindergarten through second. Does retention work? In the majority of studies done they... ...es to Help Students Succeed, North Central Regional Educational Laboratory. Kelly, Karen (1) Kelly, K. (1999). Retention vs. Social Promotion: Schools Search for Alternatives . Harvard Education Letter. Albany, NY. Ruldolph, Angela (1) Johnson, D. and A. Ruldolph (2001). Beyond Social Promotion and Retention-Five Startegies to Help Students Succeed, North Central Regional Educational Laboratory. Teachers, American Federation of (1) Teachers, A. F. o. (1997). Taking Responsibility for Ending Social Promotion: A Guide for Educators and State and Local Leaders. U.S. Department of Education. Thompson, Charles L. - Cunningham, Elizabeth K. (1) Thompson, C. L.-C., Elizabeth K. (200-12-00). Retention and Social Promotion: Research and Implications for Policy. ERIC Digest. New York. 161.

Analysis of the Physician Assistant Suicide Debate Essay -- Euthanasia

Medical science, beginning in the last half of the twentieth century, began to achieve the remarkable ability to prolong life. In most cases, this is beneficial; however, in regards to prolonging the dying process, sometimes indefinitely, this is frequently viewed by patients and their families as cruel, rather than life-giving, and they petition the courts for the right to die. Despite the legitimacy of this position, a variety of forces have repeatedly endeavored to limit the rights of individuals in shaping the dying process for themselves and their loved ones. This is a particularly problematic area for health professionals and the following examination of the issues that this entails demonstrates that the most ethical position for society is to respect the autonomy and decisions of individuals. To die of cancer is frequently a drawn-out process. Terminal patients are frequently in tremendous pain despite the use of opiates. It seems perfectly logical to many people that individuals who wish to forego such torture, when they know that this inevitable, should be allowed to painlessly end their lives rather than suffer a slow, painful death. Yet, there are those who disagree. Stein (2004) reports that before stepping down as the country's Attorney General, John Ashcroft asked the US Supreme Court to overrule the nation's only assisted-suicide law. A previously held lower court ruling held that the federal government did not have the power to punish Oregon doctors who legally prescribed lethal doses of federally approved drugs (Stein, 2004). Oregon's Death With Dignity Act allows patients who have been diagnosed with less than six months to live to request such a lethal dose if their diagnosis has been confirmed by two do... ...out, this objection can be overcome through the institution of strict guidelines, such as were instituted in Oregon in accordance with their physician-assisted euthanasia law. Works Cited Feinberg, B. "The Court Upholds a State Law Prohibiting Physician Assisted Suicide." . Journal of Criminal Law and Criminology 88.3 (1998): 847-76. Web. . Harris, J. "Consent and End of Life Decisions." Journal of Medical Ethics 29.1 (2003): 10. Web. . Singer, P. "Freedom and the Right to Die." Free Inquiry 22.2 (2002). Web. . Stein, L. â€Å" Right to Die†. U.S. News & World Report 18.137 (2004, November 22) Print. Sunstein, Cass R. "The Right to Die." Yale Law Review (1997): 1123-163. Web. .

economics :: essays research papers

Lesson 1 Project Economic Questions and Vision The two major economic systems in the world are the capitalist (free market) economic system and the socialist economic system. The many different countries of the world usually have an economic system in place that contains elements of both capitalism and socialism. Since the philosophies of capitalism and socialism are opposite, an individual country and its economic system will answer key economic questions differently. Regardless of how much that country or society supports either philosophy, the key questions their economic system must answer are the same. One question that must be answered is, what goods will be produced? Another question is how will these goods be produced? Also there is the question to be answered, for whom will these goods be produced? The location of the economies operation on the production possibilities frontier (PPF) is also very important to production. The PPF is related to what goods are produced which depends on whether the economic system is based on capitalism or whether it is based on socialism. What goods will be produced in a capitalist economic system Is determined by what the market wants. As an example if the buyers and sellers want more computers, televisions, automobiles. houses, and entertainment or food to be produced, then the production of these products will take place. (pages 56, 57, 58, and 59 of Economics 6th edition by Roger A. Arnold) In the capitalist economic system the sellers usually respond to the buyers changes in wants or preferences also. Goods and services are produced when enough buyers exist that desire to buy those goods and services. If buyers start wanting more of a certain product than another, production usually shifts to meet the need. Capitalism is based on the concept of free enterprise and the principle of individual rights. This means freedom from private and government coercion. Production and trade help to increase the wealth that people need to support their life. In the capitalism system the person who creates the wealth is the owner of that wealth. (http://www.capitalism.org) What goods will be produced in a socialist economic system Is decided by the government in control. The government may or may not be responsive to the wants of the ordinary citizen. Some economist believe that one of the reasons for the fall of communism in the Soviet Union as well as in Eastern Europe was a decline in economic growth.

Nestle Crunch Marketing Plan Essay

Executive Summary This marketing plan was created for Nestle Crunch to position itself in the next year to deliver at least $13 million in profit without increasing the budget by over $2 million. An analysis of the chocolate confectionery market will be analyzed to develop marketing strategies to implement to satisfy these objectives. situation analyses Market Size Crunch is produced by the largest food and beverage company, which is Nestle. Retail sales of chocolate confectionery comprised of $33.8 billion in retail sales, which $16.9 billion were in chocolate sales. Market Trends The growth rate of chocolate confectionery lagged behind the cereal, gum, and sugar confectionery and showing very little projected growth through 2014. Unit Volume 35% of the market share in sales were the Regular sized Chocolates, 30% were for the miniatures, 25% were of promotional items (promotes seasonal sales), and then there were the king sizes which made up of only 10% of the market sales. Price Nestlà ©Ã¢â‚¬â„¢s strategy was to list the lowest price on their bars at $0.79 each for Butterfinger and Crunch, while its close competitor, Hershey’s priced its Bars and Reese’s cups at $0.89. The other competitor, Mars, priced theirs even higher at $0.99 each. Price increase would result in lost in sales. Product Services Offered Nestle Crunch offered consumers a chocolate confectionery that served as an indulgent treat in contrast to satisfying hunger. SWOT Analysis In SWOT, strengths and weaknesses are internal factors. In business, the strengths identified are what a business works to maintain, build, and leverage. Weaknesses that are identified should be removed, resolved, or remedied. Opportunities and threats are external factors. External factors are, in most part, out of our external locus of control. We can only either optimize it or deal with it. Opportunities should be prioritized and optimized. Identified threats must be acknowledged by a business and/or develop counter measures for it, if any (SWOT Analysis, 2009). INTERNAL Strengths Offer the lowest prices among competitors Crunch is regarded as an indulgence, a reward, or treat Participates in all channels of distribution Produced by the worlds’ largest food and beverage company – Nestle Weaknesses Marketing budget cannot increase more than $2M from the previous year (2009) Its positioned to target males and young adults who were not the largest chocolate consumers EXTERNAL Opportunities Large market in the Midwest Females and children consumed most of the chocolate confectionery Psychographic segments that are potential target markets: Practical value seekers Confection loving moderators TV has the greatest reach Threats Chocolate sales lag behind sugar confectionery, cereal bar and gum Competitors –Hershey and Mars in the U.S. market share marketing strategy Positioning We want to position Crunch as: â€Å"Nestle Crunch is for women and children who want to reward themselves to an indulgent chocolate treat, because Nestle Crunch is the only chocolate bar that tells you best that you deserve it.† strategy development Objective The mission is to deliver at least $13 million in profit without increasing the budget by more than $2 million. Targeted Consumer Demographics Target Market Crunch satisfies a consumer’s need to satisfy an indulgent desire, and promotion is used to trigger these impulses. Therefore, promotion is vital to increasing sales. Specifically, to children and females (teenage females, adult females, and mothers) who mostly attribute chocolate as an indulgent desire according to the Figure below In addition, according to the research, women are 51% of the population and consume 6% more chocolate than men. Children and young adults under the age of 25 comprise 60% of the population. In terms of geography, the Midwest is 22% of the population and the region that sells the most chocolate confectionery. strategy development Financial Projections Strategy and Execution Minus 1 event of free standing insert (FSI) coupon good on one regular size Crunch bar Add I event of A regular bar bonus size (+25%) is offered during 2-week promotional period; it was not offered in 2009 Minus 1 event of a 2-week store display featuring regular size Crunch Distribution increases by 2.0 percentage points A Crunch price increase of +12.5% on all products would match Hershey’s retail prices but would still be less than Mars’ prices; no pricing action was taken in 2009 The following table shows the impact on sales and profit when making changes  in the marketing mix. According to the table, with the marketing mix selected we are able to achieve our objective of ensuring production contribution of at least $13 million, our profitability percentage change is at least over 15%, and budget does not increase by more than $2 million. Advertising and Promotion Media Marketing The media vehicles for advertising that will be utilized are TV, print, and online. Since TV has the greatest reach, 70% is allocated in the budget for TV advertising and promotion; 20% for online and 10% of the budget for print marketing. The total budget for these media marketing is a little below $12.9 million We have an estimated reach of 90% for the TV advertising and marketing and 10% and 20% for print and online respectively. The pie graph below illustrates the media mix selection: Pricing strategy The pricing strategy will be to increase the price of Crunch by 12.5%, which will match the Hershey’s retail price, but will still be below the price of Mars. An increase in price does result in a decrease in sales, but after thorough examination of the P&L, it will show an increase in profitability to justify the drop in sales. Distribution strategy Increasing the distribution showed to increase sales. Since a large percentage of sales were sold through other distribution channels besides mass merchandisers, supermarkets, and convenient stores, an increase in distribution to the other channels that include drug stores, warehouse club, and vending machines, justify a slight budget increase as shown in the Figure below. The following figure summarizes the marketing plan Promotions, advertising, and special events are concentrated on the special holidays that historically show increase sales in the chocolate confectionery market. Many of the events are also focused mostly in the Midwest, because this region is shown to have the highest sales and consumption in the nation. The budget is kept below a $2 million increase while still accomplishing the goal of increasing profitability. Other Metrics The following table shows 2008 and 2009 chocolate confectionery market size and market shares of Nestlà © Crunch and its competitors as additional references. References Alan Chapman. SWOT Analysis. (2009, October 13). Retrieved October 16, 2009, from http://www.marketingteacher.com/Lessons/lesson_swot.htm U.S. CHOCOLATE CONFECTIONERY: DYNAMIC MARKETING PLANNING. Retrieved on June 02, 2014 from : https://brenau.instructure.com/courses/1209789/pages/course-documents?module_item_id=10683688

Comparing and Contrasting Country Lovers and The Secret Life of Walter Mitty Essay

These elements contri excepte to the short fabrications effectiveness as origin subr awayines several(predicate) literary forms and dashs to plug in the lecturer to the tarradiddle. means has populacey book of factsistics that help the author adopt the reader such as punctuation, the exercising of con nonations, and culture. This is what helps the readers tomography mesh over, paint the picture, and get emotionally connected to the authors drool.In comparing and contrasting the two short stories of the secluded livelihood of Walter Mitty by James Thurber and inelegant Lovers by Nadine Gordimer you see the differences and similarities in style between the two authors. The culture, which is the common characteristics of a group or a do primary(prenominal) (Clugston 2010), is very similar in some(prenominal) stories since they atomic number 18 close to real livelihood with the telescope in the 1900s. Both stories cast around kindreds and tell apart. Thurber st yle is more creative then Gordimer which is defined by his use of connotations and punctuation, although both stories argon very exact when it comes to the characters and settings within the stories.In the short story solid ground Lovers Gordimer does a great vocation illustrating the setting, which is the time or calculate in which the action occurs (Clugston 2010). Gordimer provides details ab divulge the s kayoedhward African culture that allow the reader to understand the separatism and segregation the characters ar living. The reader gets to feel what its the like to be discolor in in the s show uph Africa by means of the detailed descriptions of the loving conditions and treatment of blacks. The main characters in the story are Paulus and Thebedi. Paulus is the son of a farmer who was raised with the children of the black families that worked on his fathers farm. He falls in write out with a black childhood playfellow as a teenager but he understands that a rela tionship with her is disallow. Thebedi is Paulus black childhood playmate who becomes his lover. The two stupefy a sexual relationship which results in a child being born. The source, which is a representation of the idea behind the story (Clugston 2010), is assorted love or prohibit love. The laws and culture of southwestern Africa forbid interracial couples. Thebedi & Paulus are aware of the dangers of being in concert but choose to get gnarled anyway.As the story unfolds, Gordimer arrests out the imagination of the reader through the use of metaphors, which is an implied comparing between bingle object and some other that is unalike from it (Clugston 2010). An fount of this is when Goridmer writes, hidden by the mesh of old, anteaten trees held in place by vigorous ones, wild edible asparagus bushing up between the trunks, and hither and there pricklypear cactus deep-setskinned and bristly, like an old mans face (Clugston 2010). This allows the reader to visually p aint the picture of where Thebedi and Paulus are at and what the scenery is. A common symbolism, which is something that has a literal identity but excessively stands for something else (Clugston 2010), that is used in sylvan Lovers is a tree. A tree can be a symbol for life, death, or immortality. This is a good match with the theme and temporary hookup of the story.The mend, which is a dynamic element in fiction, a sequence of inter cogitate, conflicting actions and events that typically build to a climax and bring close a resolution (Clugston 2010), thickens as both Thebedi and Paulus continue their love affair. Thebedi goes on to marry Njabulo, who is withal black, and fails to tell Paulus of her espousal. At the same time Thebedi in any case finds out she is pregnant with Paulus baby. When Thebedi gives birth to her daughter its obvious the baby isnt Njabulos but he accepts her as it was his own. When Paulus finds out virtually the married couple and the child he becom es upset, why does he get upset, I mean its a manse of his love for Thebedi which ties back to the theme of veto love. The story takes an interesting twist, although the author neer clearly states that Paulus killed the baby, its evident he did by the flow of the story. Its up to the reader to understand the why, why would Paulus kill the baby? Again, I count the why ties back to the theme of forbidden love.Paulus has accepted that Thebedi will never be his wife due to society and the racial customs of South Africa. Understanding this he doesnt want anyone to find out astir(predicate) the baby because interracial relationships are forbidden so he takes the utter intimately(a) measure of killing the baby. One could also argue that he killed the baby out of jealousy and not wanting some other man to raise his child. The story ends with Thebedi refusing to show against Paulus in the killing of her baby. This shows that Thebedi has accepted her piece in society as a black wo man liberal up any hope if a relationship with Paulus. Throughout the whole story Thebedi character is subservient to Paulus but the ending shows that Thebedi is also submissive to society by giving into social traditions and discriminatory behavior of South Africa.The short story of The abstruse Life of Walter Mitty by James Thurber is written in a third person establish of view, which occurs when the speaker is not a histrion in the story (Clugston 2010). The form is moderate omniscient, which is when the thoughts and feelings of only one of the characters are related through the narrator (Clugston 2010) that character is Walter Mitty. The setting of this story occurs in a urban center called Waterbury but the state is never mentioned or disclosed, one can assume its Waterbury, Connecticut. The main characters are Walter Mitty and Mrs. Mitty. Walter Mitty is someone who gets bossed around by his wife so he creates a cabalistic life for himself. In his secret life he sees hi mself as a regnant man who is admired by all, something he is not in real life. Mrs. Mitty is the bossy, nagging, overbearing wife of Walter Mitty. Thurber does a great agate line illustrating the relationship between Walter and his wife which many mess can relate too, I lay out it very humorous. That takes me to the theme of thestory, which I believe is marriage. Thurber portrays a marriage where the maintain is submissive to his bossy, nagging, and overbearing wife. A second theme could be masculinity since all of Walters dreams portray him as a powerful man whos admired by all.The story is about Walter taking his wife into town to visit her hair dresser. along the way Walter begins to imagine to escape the honesty of his real like. Thurber does an excellent profession of attractive the readers imagination through each of Walters fantasys allowing the reader to vividly picture what Walter is fantasizing about. An example of this is during Walters first fantasies where he is noble-and-mighty a hydroplane through a storm, Rev her up to 8500 Were overtaking through The pounding of the cylinders increased ta-pocketa-pocketa-pocketa-pocketa-pocketa (Clugston 2010). The lumbering of ta-packeta-pocketa is just the cylinders of the car Walter is driving. Each one of Walters fantasies is tied to something that is specific to whats going on in the story. As Walter drives past the hospital he starts to fantasize about being a surgeon. As the newsboy shouts about the Waterbury trial Walters fantasizes about being in a courtroom. The freedom magazine leads Walter into a fantasy about military dugout. Thurber does a great job of interweaving Walters fantasies with the surroundings of the story.The uses of symbolisms in The Secret Life of Walter Mitty were not used in the traditional literary forms. Instead Thurber ties in the symbolism of control and power in each of Walters fantasies by Walter cover bravery, no fear, power, fame, and a man with high rankin g titles. Thurber does a great job of connecting and supporting the symbolism with the theme of marriage and masculinity. The use of this symbolism is to show how Walter feels about marriage, since Walter feels powerless throughout the story as his wife talks down to him. there are many differences and similarities in Country Lovers and The Secret Life of Walter Mitty. The first and most recognizable difference is Country Lovers is a tragic story with a plot that builds up along with way with romance, fleshly relationship, racial discrimination, pregnancy,arranged marriage, murder, deception, secrecy, and acceptance of normalcy. art object The Secret Life of Walter Mitty is a clowning with not much of a plot. Where they are similar, both are written in a third person particular(a) omniscient point of view. Both had themes of love and marriage but were very different in how each played out. Country Lovers was forbidden love and arranged marriage while The Secret Life of Walter Mit ty was love and marriage between a husband and wife. These literary elements contribute to the short storys effectiveness as authors uses different literary forms and styles to connect the reader to the story.ReferencesClugston, R. W. (2010). Journey into literature. San Diego, California Bridgepoint Education, Inc.