Global Pharmaceutical Industry

INTRODUCTION According to Hunter s. Thomas â€Å"you can turn your back on person, but never turn your back on a drug, especially when it's waving a razor sharp hunting. † The global pharmaceutical industry had done tremendous contribution to mankind, but now pharmaceutical companies are facing tough time in a decade. The case is broken in to different parts which is emphasized on how internal and external factors affecting the industry firstly, the main environmental forces currently affecting the industry through PEST analysis.Secondly, the implications of the changes in business environment that is internal factors through porter's five force theory. Finally, the use and limitations of the tools applied to solve case are discussed. ORIGIN AND EVOLUTION The present pharmaceutical industries are non-assembled and more of competitive but it had emerged in early 19th century in the Rhine valley near Basel Switzerland where dyestuffs were found to have antiseptic properties.Comp anies like Hoffman-la rochy, Sandoz, Novartis are all started as Rhine based family dyestuff and chemical companies, which are still doing tremendous business even to day. Slowly these chemical companies started making pharmaceuticals and synthetic chemicals and evolved as global players. In early 1940's the industry showed drastic changes such as introduction of penicillin and other drugs. In 1960's industry growing rapidly with the setting up of R&D not only this economies prospered by the spending on health care in same period.In 1970's industry showed major development but a strong regulatory controls also came into existence with this development, and this regulatory controls had removed the rule of permanent patent to some fixed period which resulted in birth of branded generics. ENVIRONMENTAL FORCES EFFECTING PHARMACEUTICAL INDUSTRY The scan of external macro environment in which the firm operates can be expressed in terms P- POLITICAL E-ECONOMICAL S-SOCIAL T-TECHNOLOGY POLIT ICAL FACTORS AFFECTING THE SECTORPolitical factors includes government regulations and legal issues defines both formal and informal rules under which firm operates some example like tax policy, trade restrictions and tariffs, political stability. Political arena has huge influence up on the regulations of business and the spending power of consumers and other business. Over many years the pharmaceuticals industry has increased political attentions because of increase in recognitions of the economic important of healthcare as a component of social welfare .It takes 10-15 years on average to experiment drug to travel from lab to patient consumption, as patent protection is fixed that is only 20 years but companies has to spend 15 years on experiments by the time it reaches to the market the patent will be almost comes to expired and which will result in birth of generic medicines which has exactly same ingredients as of branded drugs but shows huge difference in price, because the ge neric brand does not spend on clinical trials so the entry of generic are the major impact on pharmacy industry because of the legal policy set by political forces example in us 84% of sales had been dropped in 12 weeks by Allegra hay fever treatment because of expiry of patent in 2006. Another major problem affecting the industry in many countries are monophony which means only one powerful purchaser who are government. Since 1980 government around the world attracting pharmaceuticals as a politically easy target in their effort to control l in increasing health care expenditure like price and reimbursement controls and also the industry loosed both public and political support to resist this change.In 1990 the effect of economic recession had lead to fall in tax revenue, the government forever changing cost containment plans had become operations of the company unstable in European market which is highly fragmented, moreover the expansion of EU had provided many opportunities but it also raised new challenges from generics and low priced imports. ECONOMIC FACTORS AFFECTING THE SECTOR Economic factors affect the purchasing power of potential customers and the firms cost of capital examples like economic growth, interest rates and exchange rates. The government price control is a major challenge to the industry in the form of parallel trade. Parallel trade is nothing but free movement of the product across the Europe with out any trade barriers which will affect the local manufacture because the distributor will buy drugs in low price markets and export them to high price markets example buying the product from manufacture in Poland and exporting them to Ireland.The exchange rates and currency problem is also one of the major issue for example Canada has inflexible pricing and reimbursement criteria, where USA does not have price controls as a results the price drug in America is high compare to Canada which leads to damage of brand image in consumers mind for example price of Lipitor is 3. 20/pill in USA where in Canada which is 1. 89/pill for same drug. Not only this, the growth of pharmaceutical market is aligned with GDP growth. As R&D productivity is declined and development times were lengthened, as clinical trials are becoming more complex and costly there was sharp rise in R&D expenditure. SOCIAL CULTURAL FACTORS AFFECTING THE SECTORSocial factors includes the demographic and cultural aspects of the external macro environment these factors effects customers needs and the size of potential markets, some social factors include health consciousness, population growth rate, age distribution, emphasis on safety and carrier attitudes. ageing populations are creating pressure on healthcare funding systems as over 65 consumes four times more than that of below 65 which leads to more expensive technology solutions and increase in patient expectations had created an unsustainable situation to the industry. Some countries cannot enjoy unive rsal coverage system and latest treatments because they are not funded by the insurance companies like USA which can afford latest technology but cannot share the benefits because of increasing populations in different parts of the world.In developed countries consumer are benefited by the insurance and can afford ethical drugs but the countries who cannot afford to ethical drugs are switching to generic to save coast which pressuring pharmacists to substitute generic drug as the first choice, patented drugs are only used if generic drug fails. The OTC(over the counter) comprise of 20% of market which may purchase without prescription specially OTC is more in developing countries and also for these the patented drug companies has introduce disease management initiatives to attack the challenges from generic. Some consumer does not want to use biopharmaceuticals because they genetically done. TECHNOLOGICAL FACTORS AFFECTING THE INDUSTRY Technological factors can lower barriers to ent ry, reduce minimum efficient production levels and influence outsourcing decisions. Some of the technological factors includes R&D activity, technology incentivise and rate of technology change. he technology is an competitive advantage to the companies and success of R&D lays in team working, knowledge management and close relation with external flexible and some indicates lean and flexible operations and out sourcing is a gate way of success not only these there are many questions raised that the investment on R&D is could not sustain for example in 2005 there are nearly 650 cancers drugs in development. The utilization of technology is very expensive because it includes latest instruments which is possible only for developed countries to use technology because they are funded by insurance companies and product developed by this technology cannot afford in developing countries because of its huge investment.THE IMPLICATIONS OF THE CHANGING BUSINESS ENVIRONMENT OF THE PHARMACEUTICA L INDUSTRY Porter's five force model â€Å"The porter's model is an outside in business unit strategy tool used to know value of industrial structure. The competitive force analysis is made by the identification of five fundamental competitive forces. â€Å"(12MANAGE:2009) POTENTIAL ENTRANCE The threat of new entry is low in this sector because companies has to spend huge amount to produce a product, so investment for the capital is very huge and its as to follow many rules and regulations set up by the government and to maintain the standard which where set is very difficult for new companies which want to enter into market.More over it is very risky business because it takes 10-15 years for new market to come into market and nobody is sure about the success of the products and patent time is also limited. POTENTIAL SUPPLIER Bargaining power of supplier is low because there are only few suppliers because the suppliers in this industry are different from other industries as ingred ients used to make drugs are chemicals so the suppliers are chemical industries. It is very difficult for the suppliers to sustain in the market because if they increase their price the company may change supplier who supply raw materials comparatively low price compare to existing one and industry is not key customer group to the supplier. Brand image, role of quality, service of supplier is not considered by the industry. POTENTIAL BUYERSBargaining power of buyer is high because main buyers are generally government and the companies that is monophony and companies cannot go against them and they can only sell the product to government the other side of the buyer are consumers who's buying power is also high because of substitute available in markets and brand loyalty is low in consumers. POTENTIAL SUBSTITUTES Threat of substitutes is high in this industries, there are many substitute products in market like generics, branded generics, biopharmaceuticals as they are very cheap comp are to the branded drugs as discussed earlier that branded drugs will consider only when generic drugs fails. And import of drugs from china and India which are produce very cheaply compare to local producers. COMPETITIVE RIVALRYCompetitive rivalry is high in this sector because advantage gained by the first mover advantages (patent). As market is getting saturating companies are going global which means world wide launches, global branding and heavy investment in promotion as shorter product life cycle and to gain competitive advantage. In spite of taking care during launching the industry is still faces tough time from generic drugs and not only this merges and acquisitions as one of the major cause for competitive rivalry. SWOT ANALYSIS OF PHARMACEUTICALS â€Å"Swot analysis provide information that is helpful in matching firm resources and capabilities to the competitive environment in which it operates. â€Å"(QUICKMBA: 2007) S-STRENGTH W-WEAKNESS O-OPPORTUNITIES T-THREATSThe environmental factors internal are strength and weakness and external are threats and opportunities. STRENGTHS Patent is one of the major strength in this sector of industry which has strong brand names such as Pfizer, GlaxoSmithKline, Merck, Johnson and Johnson, Novartis. The above mentioned companies have good reputations among the consumers The sector have cost advantages from propriety know-how This sector company have exclusive access to high grade natural recourses The sector has favourable access to distribution networks WEAKNESS Patent is consider as strength of this sector but due to limited time for patent had become its weakness. The products from this sector have side effects.The products take long time in development such as clinical trials which takes 10-15 years. It involves high cost structures such as investment on R;D, advertising. One of the major weaknesses is regulatory and legal issues by FDA. OPPORTUNIITIES Human needs are unfulfilled, so this unfulfilled nee ds are the opportunities for develop new products. The arrival of new technology as technology keeps on changing time by time. The removal of internal barrier like free movements of goods within EUROPEAN UNION. Due to pressure from big branded companies as this sector contributes major share to economy due to there pressure loosening of regulations may be happen in future. THREATSGenerics are the major threat to this sector The shift in customers taste away from the firm's products, customer in this sector does not have particular brand. Availability of huge range of substitutes in markets Entry barriers to some countries Parallel trade is also one of the major threat to this industry. USES AND LIMITATIONS OF TOOLS PEST USE Pest analysis looks at the external environment and good tool to understand big picture of the environment in which business operates. And it will allow companies to take opportunities and reduces threat of a company which they are facing. Pest analysis provide f urther plan to a company to develop if strategic plan is done correctly.With the pest analysis companies can see longer horizontal time and able to differentiate opportunities and threats and also help companies to look outside environment and what are the potential forces which going to affect. Pest is a mnemonic standing for political, economic, social and technology which are use to brain storm the characteristics of a industry and can draw conclusion as the significant forces of change operating with in it. More over it is useful to avoid taking actions which results in failure, it is very useful especially in starting new products because it will avoid assumptions and make to adopt quickly the reality of the new environment, it is straightforward and easy to adopt, broad categories covering major environmental factors and will provide more data about influence. LIMITATIONSIt is not a set of rigid compartment to store ideas more over pest analysis does not analyse all the detail s in the external environments like markets, share holder, creditors, supra-national bodies, pressure groups and labour markets. PORTER'S FIVE FORCE USE Porter's five forces theory is valuable contribution to study competition it give important information in three aspects. STATICAL ANALYSIS: It determine industrial attractiveness and gives an over view of profitability, this model helps in entry and exit questioning a market segment and used to compare influence of competitor forces and influence of competitors . DYNAMICAL ANALYSIS: It helps to understand potential future attractiveness of the industry. ANALYSIS OF OPTIONS:The knowledge and power of five forces help company to develop options to improve position of the company which results in new strategic direction like new differentiation for competitive products of strategic partnerships. Moreover, porter's five force models gives systematic and structured analysis of market structure and competitive situation, this model is ap plicable universal such as particular company, market segment and industries. LIMITATIONS Care should be taken while using this model such as never under estimate the important of current strength of the company. The model design for analyzing individual business strategies and it will not support the interdependence and synergy with portfolio of larger corporate.If we look from the theoretical side the model does not show possibility that an industry could be attractive because some companies in it. More over some times it may be possible to create complete new markets instead of selecting from existing one and also some people argued that environments which are characterized by rapid, systemic and quick changes require more flexible, dynamic approach for strategy formations. SWOT ANALYSIS USE The name it self say it is used to identify company's strengths, weakness, opportunities and threats. And use to formulate strategies the analysis usefulness of SWOT is not limited to profit seeking organizations.It is used in decision making situation when a desired end -state has been defined, and it is used in pre crisis planning and prevention and also used to in creating a recommendation during a viability study LIMITATIONS It has ability to over simplify the situation by dividing the firms environmental factors into categories in which they may not fit. The classifications of some factors as strength or weakness, or as opportunities or threats is some what peculiar CONCLUSION The pharmaceutical industry made tremendous contribution to man kind but, the industry is facing tough time in this decade. Yet it is targeted by government, media in spite of huge investment on R&D and the product life is getting shorter. Free trade, parallel trade and exchange rate are oreover the birth of generics, creating major problems to the industry. Niche areas getting crowded creating price pressure, but the presence of global expertise firms like Pfizer, Merck will stand as global opportunities. The industry more than ever needs to get a handle on the slippery business of scientific creativity and provided it critics with indisputable evidence of its value. BIBLIOGRAPHY Johnson et. al (2007). Exploring corporate strategy. 8th ed. England: Pearson Education. 915 Quickmba. (2007). Swot analysis. Available: http://www. quickmba. com/strategy/swot/. Last accessed 30 Oct 2009. Answers corporations. (2009). Swot analysis.Available: http://www. answers. com/topic/swot-analysis. Last accessed 30 Oct 2009. 12 manage. (2009). Five Competitive Forces. Available: http://www. 12manage. com/methods_porter_five_forces. html. Last accessed 30 Oct 2009. 12 manage. (2009). Five Competitive Forces. Available: http://www. 12manage. com/methods_porter_five_forces. html. Last accessed 30 Oct 2009. Olivia Hunt. (2008). Evaluation of five force theory. Available: http://www. articlesbase. com/education-articles/evaluation-of-the-five-forces-theory-176854. html. Last accessed 01 Nov 2009. Olivia Hunt. (2007). Study of Porter's Five Forces Theory. Available: http://www. articlealley. om/article_185592_15. html. Last accessed 01 Nov 2009. Netmba. (2007). PEST ANALYSIS. Available: http://www. netmba. com/strategy/pest/. Last accessed 01 Nov 2009. Quickmba. (2007). PEST ANALYSIS. Available: http://www. quickmba. com/strategy/pest/. Last accessed 02 Nov 2009. Verbigena. (2008). History and analysis of pharmaceutical industry. Available: www. verbigena. com/case_studies/history_analysis. pdf. Last accessed 10 Nov 2009 Papers4u. (2009). what is pest analysis. Available: http://www. coursework4you. co. uk/essays-and-dissertations/pest-analysis. php. Last accessed 10 Nov 2009 G. A. Cole  (2005). Strategic Management. 2nd ed. London: person. 506 Read Global Pharmaceutical Industry INTRODUCTION According to Hunter s. Thomas â€Å"you can turn your back on person, but never turn your back on a drug, especially when it's waving a razor sharp hunting. † The global pharmaceutical industry had done tremendous contribution to mankind, but now pharmaceutical companies are facing tough time in a decade. The case is broken in to different parts which is emphasized on how internal and external factors affecting the industry firstly, the main environmental forces currently affecting the industry through PEST analysis.Secondly, the implications of the changes in business environment that is internal factors through porter's five force theory. Finally, the use and limitations of the tools applied to solve case are discussed. ORIGIN AND EVOLUTION The present pharmaceutical industries are non-assembled and more of competitive but it had emerged in early 19th century in the Rhine valley near Basel Switzerland where dyestuffs were found to have antiseptic properties.Comp anies like Hoffman-la rochy, Sandoz, Novartis are all started as Rhine based family dyestuff and chemical companies, which are still doing tremendous business even to day. Slowly these chemical companies started making pharmaceuticals and synthetic chemicals and evolved as global players. In early 1940's the industry showed drastic changes such as introduction of penicillin and other drugs. In 1960's industry growing rapidly with the setting up of R&D not only this economies prospered by the spending on health care in same period.In 1970's industry showed major development but a strong regulatory controls also came into existence with this development, and this regulatory controls had removed the rule of permanent patent to some fixed period which resulted in birth of branded generics. ENVIRONMENTAL FORCES EFFECTING PHARMACEUTICAL INDUSTRY The scan of external macro environment in which the firm operates can be expressed in terms P- POLITICAL E-ECONOMICAL S-SOCIAL T-TECHNOLOGY POLIT ICAL FACTORS AFFECTING THE SECTORPolitical factors includes government regulations and legal issues defines both formal and informal rules under which firm operates some example like tax policy, trade restrictions and tariffs, political stability. Political arena has huge influence up on the regulations of business and the spending power of consumers and other business. Over many years the pharmaceuticals industry has increased political attentions because of increase in recognitions of the economic important of healthcare as a component of social welfare .It takes 10-15 years on average to experiment drug to travel from lab to patient consumption, as patent protection is fixed that is only 20 years but companies has to spend 15 years on experiments by the time it reaches to the market the patent will be almost comes to expired and which will result in birth of generic medicines which has exactly same ingredients as of branded drugs but shows huge difference in price, because the ge neric brand does not spend on clinical trials so the entry of generic are the major impact on pharmacy industry because of the legal policy set by political forces example in us 84% of sales had been dropped in 12 weeks by Allegra hay fever treatment because of expiry of patent in 2006. Another major problem affecting the industry in many countries are monophony which means only one powerful purchaser who are government. Since 1980 government around the world attracting pharmaceuticals as a politically easy target in their effort to control l in increasing health care expenditure like price and reimbursement controls and also the industry loosed both public and political support to resist this change.In 1990 the effect of economic recession had lead to fall in tax revenue, the government forever changing cost containment plans had become operations of the company unstable in European market which is highly fragmented, moreover the expansion of EU had provided many opportunities but it also raised new challenges from generics and low priced imports. ECONOMIC FACTORS AFFECTING THE SECTOR Economic factors affect the purchasing power of potential customers and the firms cost of capital examples like economic growth, interest rates and exchange rates. The government price control is a major challenge to the industry in the form of parallel trade. Parallel trade is nothing but free movement of the product across the Europe with out any trade barriers which will affect the local manufacture because the distributor will buy drugs in low price markets and export them to high price markets example buying the product from manufacture in Poland and exporting them to Ireland.The exchange rates and currency problem is also one of the major issue for example Canada has inflexible pricing and reimbursement criteria, where USA does not have price controls as a results the price drug in America is high compare to Canada which leads to damage of brand image in consumers mind for example price of Lipitor is 3. 20/pill in USA where in Canada which is 1. 89/pill for same drug. Not only this, the growth of pharmaceutical market is aligned with GDP growth. As R&D productivity is declined and development times were lengthened, as clinical trials are becoming more complex and costly there was sharp rise in R&D expenditure. SOCIAL CULTURAL FACTORS AFFECTING THE SECTORSocial factors includes the demographic and cultural aspects of the external macro environment these factors effects customers needs and the size of potential markets, some social factors include health consciousness, population growth rate, age distribution, emphasis on safety and carrier attitudes. ageing populations are creating pressure on healthcare funding systems as over 65 consumes four times more than that of below 65 which leads to more expensive technology solutions and increase in patient expectations had created an unsustainable situation to the industry. Some countries cannot enjoy unive rsal coverage system and latest treatments because they are not funded by the insurance companies like USA which can afford latest technology but cannot share the benefits because of increasing populations in different parts of the world.In developed countries consumer are benefited by the insurance and can afford ethical drugs but the countries who cannot afford to ethical drugs are switching to generic to save coast which pressuring pharmacists to substitute generic drug as the first choice, patented drugs are only used if generic drug fails. The OTC(over the counter) comprise of 20% of market which may purchase without prescription specially OTC is more in developing countries and also for these the patented drug companies has introduce disease management initiatives to attack the challenges from generic. Some consumer does not want to use biopharmaceuticals because they genetically done. TECHNOLOGICAL FACTORS AFFECTING THE INDUSTRY Technological factors can lower barriers to ent ry, reduce minimum efficient production levels and influence outsourcing decisions. Some of the technological factors includes R&D activity, technology incentivise and rate of technology change. he technology is an competitive advantage to the companies and success of R&D lays in team working, knowledge management and close relation with external flexible and some indicates lean and flexible operations and out sourcing is a gate way of success not only these there are many questions raised that the investment on R&D is could not sustain for example in 2005 there are nearly 650 cancers drugs in development. The utilization of technology is very expensive because it includes latest instruments which is possible only for developed countries to use technology because they are funded by insurance companies and product developed by this technology cannot afford in developing countries because of its huge investment.THE IMPLICATIONS OF THE CHANGING BUSINESS ENVIRONMENT OF THE PHARMACEUTICA L INDUSTRY Porter's five force model â€Å"The porter's model is an outside in business unit strategy tool used to know value of industrial structure. The competitive force analysis is made by the identification of five fundamental competitive forces. â€Å"(12MANAGE:2009) POTENTIAL ENTRANCE The threat of new entry is low in this sector because companies has to spend huge amount to produce a product, so investment for the capital is very huge and its as to follow many rules and regulations set up by the government and to maintain the standard which where set is very difficult for new companies which want to enter into market.More over it is very risky business because it takes 10-15 years for new market to come into market and nobody is sure about the success of the products and patent time is also limited. POTENTIAL SUPPLIER Bargaining power of supplier is low because there are only few suppliers because the suppliers in this industry are different from other industries as ingred ients used to make drugs are chemicals so the suppliers are chemical industries. It is very difficult for the suppliers to sustain in the market because if they increase their price the company may change supplier who supply raw materials comparatively low price compare to existing one and industry is not key customer group to the supplier. Brand image, role of quality, service of supplier is not considered by the industry. POTENTIAL BUYERSBargaining power of buyer is high because main buyers are generally government and the companies that is monophony and companies cannot go against them and they can only sell the product to government the other side of the buyer are consumers who's buying power is also high because of substitute available in markets and brand loyalty is low in consumers. POTENTIAL SUBSTITUTES Threat of substitutes is high in this industries, there are many substitute products in market like generics, branded generics, biopharmaceuticals as they are very cheap comp are to the branded drugs as discussed earlier that branded drugs will consider only when generic drugs fails. And import of drugs from china and India which are produce very cheaply compare to local producers. COMPETITIVE RIVALRYCompetitive rivalry is high in this sector because advantage gained by the first mover advantages (patent). As market is getting saturating companies are going global which means world wide launches, global branding and heavy investment in promotion as shorter product life cycle and to gain competitive advantage. In spite of taking care during launching the industry is still faces tough time from generic drugs and not only this merges and acquisitions as one of the major cause for competitive rivalry. SWOT ANALYSIS OF PHARMACEUTICALS â€Å"Swot analysis provide information that is helpful in matching firm resources and capabilities to the competitive environment in which it operates. â€Å"(QUICKMBA: 2007) S-STRENGTH W-WEAKNESS O-OPPORTUNITIES T-THREATSThe environmental factors internal are strength and weakness and external are threats and opportunities. STRENGTHS Patent is one of the major strength in this sector of industry which has strong brand names such as Pfizer, GlaxoSmithKline, Merck, Johnson and Johnson, Novartis. The above mentioned companies have good reputations among the consumers The sector have cost advantages from propriety know-how This sector company have exclusive access to high grade natural recourses The sector has favourable access to distribution networks WEAKNESS Patent is consider as strength of this sector but due to limited time for patent had become its weakness. The products from this sector have side effects.The products take long time in development such as clinical trials which takes 10-15 years. It involves high cost structures such as investment on R;D, advertising. One of the major weaknesses is regulatory and legal issues by FDA. OPPORTUNIITIES Human needs are unfulfilled, so this unfulfilled nee ds are the opportunities for develop new products. The arrival of new technology as technology keeps on changing time by time. The removal of internal barrier like free movements of goods within EUROPEAN UNION. Due to pressure from big branded companies as this sector contributes major share to economy due to there pressure loosening of regulations may be happen in future. THREATSGenerics are the major threat to this sector The shift in customers taste away from the firm's products, customer in this sector does not have particular brand. Availability of huge range of substitutes in markets Entry barriers to some countries Parallel trade is also one of the major threat to this industry. USES AND LIMITATIONS OF TOOLS PEST USE Pest analysis looks at the external environment and good tool to understand big picture of the environment in which business operates. And it will allow companies to take opportunities and reduces threat of a company which they are facing. Pest analysis provide f urther plan to a company to develop if strategic plan is done correctly.With the pest analysis companies can see longer horizontal time and able to differentiate opportunities and threats and also help companies to look outside environment and what are the potential forces which going to affect. Pest is a mnemonic standing for political, economic, social and technology which are use to brain storm the characteristics of a industry and can draw conclusion as the significant forces of change operating with in it. More over it is useful to avoid taking actions which results in failure, it is very useful especially in starting new products because it will avoid assumptions and make to adopt quickly the reality of the new environment, it is straightforward and easy to adopt, broad categories covering major environmental factors and will provide more data about influence. LIMITATIONSIt is not a set of rigid compartment to store ideas more over pest analysis does not analyse all the detail s in the external environments like markets, share holder, creditors, supra-national bodies, pressure groups and labour markets. PORTER'S FIVE FORCE USE Porter's five forces theory is valuable contribution to study competition it give important information in three aspects. STATICAL ANALYSIS: It determine industrial attractiveness and gives an over view of profitability, this model helps in entry and exit questioning a market segment and used to compare influence of competitor forces and influence of competitors . DYNAMICAL ANALYSIS: It helps to understand potential future attractiveness of the industry. ANALYSIS OF OPTIONS:The knowledge and power of five forces help company to develop options to improve position of the company which results in new strategic direction like new differentiation for competitive products of strategic partnerships. Moreover, porter's five force models gives systematic and structured analysis of market structure and competitive situation, this model is ap plicable universal such as particular company, market segment and industries. LIMITATIONS Care should be taken while using this model such as never under estimate the important of current strength of the company. The model design for analyzing individual business strategies and it will not support the interdependence and synergy with portfolio of larger corporate.If we look from the theoretical side the model does not show possibility that an industry could be attractive because some companies in it. More over some times it may be possible to create complete new markets instead of selecting from existing one and also some people argued that environments which are characterized by rapid, systemic and quick changes require more flexible, dynamic approach for strategy formations. SWOT ANALYSIS USE The name it self say it is used to identify company's strengths, weakness, opportunities and threats. And use to formulate strategies the analysis usefulness of SWOT is not limited to profit seeking organizations.It is used in decision making situation when a desired end -state has been defined, and it is used in pre crisis planning and prevention and also used to in creating a recommendation during a viability study LIMITATIONS It has ability to over simplify the situation by dividing the firms environmental factors into categories in which they may not fit. The classifications of some factors as strength or weakness, or as opportunities or threats is some what peculiar CONCLUSION The pharmaceutical industry made tremendous contribution to man kind but, the industry is facing tough time in this decade. Yet it is targeted by government, media in spite of huge investment on R&D and the product life is getting shorter. Free trade, parallel trade and exchange rate are oreover the birth of generics, creating major problems to the industry. Niche areas getting crowded creating price pressure, but the presence of global expertise firms like Pfizer, Merck will stand as global opportunities. The industry more than ever needs to get a handle on the slippery business of scientific creativity and provided it critics with indisputable evidence of its value. BIBLIOGRAPHY Johnson et. al (2007). Exploring corporate strategy. 8th ed. England: Pearson Education. 915 Quickmba. (2007). Swot analysis. Available: http://www. quickmba. com/strategy/swot/. Last accessed 30 Oct 2009. Answers corporations. (2009). Swot analysis.Available: http://www. answers. com/topic/swot-analysis. Last accessed 30 Oct 2009. 12 manage. (2009). Five Competitive Forces. Available: http://www. 12manage. com/methods_porter_five_forces. html. Last accessed 30 Oct 2009. 12 manage. (2009). Five Competitive Forces. Available: http://www. 12manage. com/methods_porter_five_forces. html. Last accessed 30 Oct 2009. Olivia Hunt. (2008). Evaluation of five force theory. Available: http://www. articlesbase. com/education-articles/evaluation-of-the-five-forces-theory-176854. html. Last accessed 01 Nov 2009. Olivia Hunt. (2007). Study of Porter's Five Forces Theory. Available: http://www. articlealley. om/article_185592_15. html. Last accessed 01 Nov 2009. Netmba. (2007). PEST ANALYSIS. Available: http://www. netmba. com/strategy/pest/. Last accessed 01 Nov 2009. Quickmba. (2007). PEST ANALYSIS. Available: http://www. quickmba. com/strategy/pest/. Last accessed 02 Nov 2009. Verbigena. (2008). History and analysis of pharmaceutical industry. Available: www. verbigena. com/case_studies/history_analysis. pdf. Last accessed 10 Nov 2009 Papers4u. (2009). what is pest analysis. Available: http://www. coursework4you. co. uk/essays-and-dissertations/pest-analysis. php. Last accessed 10 Nov 2009 G. A. Cole  (2005). Strategic Management. 2nd ed. London: person. 506 Read

Death of a Salesman †Arthur Miller Essay

The original title for Miller’s play was ‘The Inside of His Head’. How does Miller’s use of set, lighting and stage direction help us to understand this idea? Arthur Miller wrote Death of a Salesman in 1949. This date is the period after the Wall Street Crash and the Great Depression and this is significant, as one of Miller’s aims in writing this play was that it would be a tragedy that American workers could relate to. The central themes and issues in the play are consumerism and exploitation; Miller wanted to write a play that was critical of capitalism and that would expose the falseness of the American Dream. The original title reflects one of the underlying themes in the play – the central character’s struggle to grasp the distinction between illusion and reality and the past and the present; often Willy Loman’s thoughts and views do not comply with those of the majority of the remaining cast. Miller uses symbolism, set, lighting and stage direction to help us to understand what is happening inside Willy’s head. One of the several symbols that give us an insight into Willy’s thoughts is the athletic trophy. It is placed on a shelf in the sitting room where it can be clearly seen; this demonstrates how important it is to the family. This importance then in turn shows that winning and competition are key ideas here and that this part of the American Dream is important to Willy and he prizes the achievements his son made as they show him as being superior to other people, which is what Willy is always striving to achieve, particularly in regards to Charly. In the same scene is the use of the melody of the flute. It reflects Willy’s father’s success as an entrepreneur (making wooden flutes), something Willy is always striving to achieve, and also the strong influence this has on his son. Also, the actual melody that is being played ‘tell(s) of grass and trees and the horizon’, and reminds us of the stark difference between the life Willy lived as a young child (with the father who he idolises) and the position he is in now; in an overcrowded area of New York, working for someone else (i.e., not working on his own terms, like his father) on commission. Another of the important symbols in the play is the lighting at the end of Act One. Just as Willy is talking about how great Biff was when he was younger, on another part of the set Biff walks into a gold pool of light, which is reflecting the praise Willy is giving him, the gold symbolising the initial power and success that he had. Also, just after this the light fades on Willy, representing the fact that his career, his influence on his children and possibly his life are drawing to a close. A further example of Miller’s symbolism in this play and his manipulation of non-naturalistic elements is in Act Two, the restaurant scene, with varied use of both lighting and music. The first of these symbols is the use of the ‘single trumpet note’ used in conjunction with ‘the light of green leaves’. This initiates the start of Willy’s mind thinking back to an event several years ago, the green of the leaves symbolising the time when the house was not surrounded by high rise flats, noise and pollution. Miller also says that the light ‘holds the air of a†¦ dream’, which is insinuating that at this point in time Willy’s dreams for himself and his children had not yet been ruined. This is upheld by the naturalistic state of his living environment. Throughout the scene the light continues to fluctuate and highlight different places and times. Another important part in this restaurant scene I when the music changes dramatically to accompany the presence of The Woman in Willy’s mind. The music is now ‘raw and sensuous’ highlighting one major part of Willy’s life, at this point in time, that does not fit into the same mould as the rest of his life; he is a family man, supportive of his children and striving to achieve new heights for his family, but now he is doing the very opposite of this by cheating on his wife, and so the music does not reflect any of the other, often light and cheerful melodies played on the flute. Up until Biff discovers his father with The Woman, no one else is aware of her part in Willy’s life, so even at this early stage, Willy will have thoughts inside his head which do not relate to those of an of the other central characters.

Attitudes Towards Minorities With Mental Illness Social Work Essay

Attitudes Towards Minorities With Mental Illness Social Work Essay Members of ethnic minority groups are faced with several barriers that prevent them from adequately participating in treatment for mental illness. Mental illnesses are commonly overlooked and untreated due to the negative connotations that surround them. Minorities with lower socioeconomic status frequently have poor physical health, which creates vulnerability to mental illness pooled with a lack of affordable treatment and accessible resources. Stigma along with various beliefs and attitudes generates discrimination and social distancing behaviors towards persons with mental illness, as a result of the direct affects of ignorance, negative attitudes, and common beliefs. This often results in discrepancy and underutilization of service amongst minority populations. Mental Illness is a disorder of the brain that affects a person’s mood, thinking and behavior (Cohen 2002, NIMH). Mental disorders are all around us, however, in many cases some are overlooked. According to the Na tional Institute of Mental Health an estimated 26.2 percent of Americans, ages 18 and older, suffer from a diagnosable mental disorder each year; an estimated 45 percent of those with any diagnosable mental disorder meet criteria for 2 or more disorders (NIMH 2010). Serious mental illnesses interrupt a person’s ability to carry out essential aspects of daily life. There are several different types of mental illnesses some of which are more severe than others, however, the most common disorders are depression, anxiety disorders, panic attacks, bipolar disorders, phobias, eating disorders, substance abuse, dementia, and schizophrenia (Kobau 2008). Causes of mental illness range from inherited traits and genetics to biological, environmental and social cultural factors to life experiences, such as excessive stress. When mental illnesses are left untreated, it can cause emotional, physical and behavioral health problems (Cohen, 2002; Whitley, 2010). However, due to stigmas and va rious negative connotations surrounding mental illness people often try to reject, ignore or self medicate the illness in a state of denial (Cohen, 2002). Moreover, poverty is an important moderator of the correlation between serious mental illness and social problems (Draine, 2002). African Americans as well as minorities are more prone to suffer from significant and persistent disparities within the mental health system (Whitley, 2010). This research paper will examine racial differences of both men and women suffering from common mental illness disorders and their usage of mental health services associated with stigmas. Minorities suffering from mental illness are often less likely to access service from a mental health professional, and will more often receive poor quality care or drop out upon admittance (Whitley, 2010). Stigma and Discrimination The term stigma originally derives from the ancient Greek practice where criminals were branded, leaving them with a mark referred to as a stigma that allowed them to be easily identified (Gibson 2008). Persons with a stigma were usually rejected from society, viewed as outcast, and devalued by society similar to persons suffering from mental illness. Due to the stigma attached to persons tormented by mental illness, it forms a lack of personal contact with persons suffering from these disorders; resulting in a lack of knowledge, which in turn leads to prejudices, negative attitudes and stereotypes towards them (Alegria 2002, Guimà ³n 2010). Stigmatization of persons suffering with mental illness stems from socio-cultural, ethnic, religious, and economic factors (Guimà ³n, 2010). Stereotype-based negative attitudes and prejudices towards mental illness develop early in life, originating from cultural, historical and media depictions (Sartorius Bauman, 2007; Guimà ³n 2010).

How two major supermarkets in the Australian market carry out their Assignment

How two major supermarkets in the Australian market carry out their business - Assignment Example This research establishes an inter-association between all picture images, content, and loyalty components. The outcomes of the research demonstrate the way store picture influences feelings more straight from store environment, service, producing and after sales service more so than the sight and expediency. This outcome promotes past researchers like Willkie and Olson et al. on the way feelings have a straight firm effect on store loyalty and reassure the proposed theory if a customer holds an optimistic feeling towards the supermarket; they are probable to be faithful. However, this study contrasts the research by Yoo and Macinnis that accounts for just supermarket site to have a straight impact on the general store feelings. Alain d’Astous and Melanie Levesque’s research, â€Å"A Scale for Measuring Store Personality†, develops the urgency to conceptualize the notion that every store has its personal new personality and establishes a technique in which it wou ld be assessed to access its psychometric features. Five sizes were established that are applied in the breakdown of this research of Coles vs. Woolworths. The sizes are marked complexity, firmness, genuineness, keenness, and unpleasantness. The research attains its outcomes through establishing a prosperous personality scale for supermarkets to aid with marketers’ breakdown of customers’ views on the grounds of their emotional sequences.  

Application for Head Teacher Position Essay Example | Topics and Well Written Essays - 250 words

Application for Head Teacher Position - Essay Example I will achieve this by reviewing and simplifying the customer facing processes (NSW Department of Education and Communities). I have worked in the position of a head teacher for three years. Therefore, I will bring the experiences I have gained working as both a faculty manager and a head teacher. In addition, I have a bachelor’s degree on Information Technology, which will enable me steer the development of online resources. Getting an opportunity to work as a head teacher will enable me improve, develop, and sustain high quality skills in teaching. The head teacher opportunity will also develop my skills in financial management like operational budgets and using programs like TIPA, BUDDY, and COST IT. Besides the skills gained from my previous experiences, I am very creative and a problem solver. I hope my achievements, nominations, and awards will Illustrate my character and make me a suitable candidate for this position (NSW Department of Education and

Employment Relationship-Shewin Memorandum Essay

Employment Relationship-Shewin Memorandum - Essay Example For the past 6 years, she is in the same cadre. During 8 years of service, she was in the reporting line of George Doright, who was enjoying the fame of very competent, energetic and a good character boss. In the later years, the new management came in and started the process of re-organizing / re-structuring of the organization for a better performance. Accordingly, the management repositioned the location of Doright and he was transferred to another division to accomplish the assigned tasks. During the process of re-organization of the company, two editors stand retired leaving a vacuum behind them to be filled in. After mentioned development in the organization, she was transferred to work under the subordination of infamous Arthur King, the Senior Editor of Blabber. During the incumbency of King, she had to suffer a lot because she was not ready to meet the sexual desire of King. Issues After the retirement of two editors from the company, she was expecting for the said position. Despite having expertise and experience, which requires for a vacant position, she was not considered for the same. However, to fulfill the formalities of promotional requirement, she was just called for an interview. The outcome of the interview was nothing but sheer wastage of time. After a lapse of reasonable period of time in her organization, last month, she applied for a junior level position of Editor. It meant that in spite of all odds, she did not give up her hope for a respectable status in the organization, which she did not get due to obvious reasons. It is strange to note that for the vacant position, she has been interviewed by King, the Editor of Blabber, in a restaurant rather than in his office. The interview was against her expectation and she was not comfortable with the interviewer since the questions asked in the mock interview of personal nature instead of professional. The most questions revolved about her personal life and about her boy friend. She lost her confidence the way interview was conducted and of course gave up her hope for the position for which she applied for. It is interesting to note that after few weeks of conducting interview of Shewin by King, the senior Editor instead of promoting her for the post, hired the services of Gene Whiz, an outsider for the advertised vacancy although Gene has no comparison with Shewin in terms of age, qualification, working experience and expertise. Gene was just 26 years old, did her master in journalism the other day from the University of Chicago and joined local newspaper of small size to work as a reporter. Factors The self analysis of Shewin concerning key factors that disqualified her for the position applied for are: a) promotion of three women in the upper strata of management that took place before re-organization / restructuring process b) King had no role in the promotion decision c) She refused to join King outside business premises to discuss business invitations since his lu st for women / bad reputation was not hidden from anybody in the company d) filing of complaints against her male counter parts while Doright was in office about their attitude of discussing their dates with girlfriends in graphics details loudly the next Monday morning of each weekend e) Doright, the then incumbent, reprimanded her male counter parts for their mentioned deeds f) five African American senior

Peru Essay Example | Topics and Well Written Essays - 500 words

Peru - Essay Example A good example is when President Alberto Fujimori who ruled the country from 1990 to 2000 was found guilty for grave violation of human rights by the Peruvian Supreme Court. The conviction and prosecution of the president in the country indicated that the country was able to deal with crimes of such levels. The verdict aimed at achieving accountability after the crimes committed in the country and the globe (Giddens & Thomas, 30). Cases of grave human rights violation have often been presented at the international criminal court basing on the absence of effective judiciary systems in the member states. The trial of the former Peru president was successful despite the many challenges. The trials of Head of States such as Slobodan Milosevic and Charles Taylor have taken place in the international court. However, Peru’s approach indicates that national governments can be able to prosecute former leaders by putting unique and highly competent judiciary system in place (Lee, Ambrose, 70). Basing on the second principle of the Rio Declaration targeting sharing and management of transboundary resources, States have, in accordance with the principles of international laws and charter of the united nations, the sovereign rights to extract and exploit their resources pursuant to their own developmental and environmental policies, and the responsibilities of ensuring that activities within their control and jurisdiction do not cause harm to the environment of neighboring states and beyond. Political borders are drawn on natural resources and environment that overlap into one another. Such resources are often extracted for developmental gain although sometimes it may result in consequences such as pollution (Kauffer, 40). The consequences of extraction may cross the political boundary set and affect the neighboring states. Peruvian people and boundary have to be protected from the effects of resource extraction in the neighboring countries such as

How Does IT Influence Business Essay Example | Topics and Well Written Essays - 1250 words

How Does IT Influence Business - Essay Example Laudon &Traver (2002) therefore explains that information technology plays a role in the manner which companies and business organizations are able to communicate market and accomplish their objectives. Specialized information technologies normally plays a role in shaping the best business practices that an organization needs to pursue, and hence plays a role in shaping the face of business on a daily basis. It is important to understand that information technology has played a role in improving the quality of business operations. Information technology increases the productivity of an organization, because of the use of computers and other tools of IT. The use of computers has played a great role in transforming the work environment. It has played a role in driving the costs of processing data, and improving the capability of an organization to store and disseminate large volumes of data, which are of great importance to the company (Laudon &Traver, 2002). The internet enables an organization to transfer these information from one department to another, and to customers. Take for example the electronic health registers that are implemented by hospital organizations in the United States. Electronic health registers have improved the manner which business organizations are able to store and disseminate the information under their possession (Laudon &Traver, 2002). This information can include the name of the patient, his or her medical condition, and their medical history. Private hospital organizations have a chieved in the use of electronic health registers to treat their patients. This is because they are able to share this information with doctors, and other people responsible for handling the patient (Tansey, 2003). This in turn leads to an accurate diagnosis and a reduction in the readmission cases. Furthermore, information technology has played a role in improving the internal operations of a business organization. This

Wicca Research Paper Example | Topics and Well Written Essays - 1250 words

Wicca - Research Paper Example Nevertheless, an in-depth look into the nature of Wicca somehow dispels most of the previous negative concepts associated with it. Far from its reputation of destructiveness, Wicca is actually a religion of natural healing and deep spirituality. Due to the absence of higher authority, prophet or Bible in Wicca, it is difficult to specify the basic tenets and principles of the religion. Nevertheless, there remain 13 principles upon which Wiccan belief is based. First, Wiccans feel the need to attune themselves to nature or the â€Å"natural rhythm of life forces† (Robinson, 2010). These forces are usually determined by the movement of the moon. Second, Wiccans recognize the fact that they are stewards of nature and that this responsibility stems from their own intelligence and consciousness. Third, Wiccans believe in the possibility of achieving supernatural power, but would most likely believe that non-Wiccans cannot possess the same thing. Fourth, Wiccans recognize the creati ve power of sex as well as the role of the masculine and feminine polarities in achieving creative power. Fifth, Wiccans recognize the dualistic existence of a world which is both physical and psychological or spiritual. Nevertheless, unlike other religions which focus their attention on the latter, Wicca presupposes the equal purpose of both worlds. Sixth, Wiccans do not recognize any leader or hierarchy of leadership but only those who have shared their wisdom with others. Seventh, Wiccans recognize the unity among religion, magic and wisdom – and they consider this particular worldview as Witchcraft or the Wiccan Way. Eighth, Wiccans recognize that the title â€Å"Witch,† when ascribed to oneself, does not in any way have a negative connotation. Instead, a â€Å"witch† means someone who â€Å"[seeks] to control the forces within himself† in order for him â€Å"to live wisely and without harm to others and in harmony with nature† (Robinson, 2010) . Ninth, Wiccans regard life as a journey towards the continuous development of consciousness. As one’s consciousness develops, his knowledge of the universe also expands. Tenth, Wiccans feel a particular â€Å"animosity† towards Christianity and all other religions that declare themselves to be â€Å"the only way,† for this is tantamount to denying freedom to many other ways of achieving spiritual development. Eleventh, Wiccans basically do not want to dig deep into history and would consider themselves different from the wicked witches of the old. Twelfth, Wicca does not accept the idea of absolute evil but this does not mean that they recognize Satan or the Devil. Wiccans also do not rejoice in the suffering of others and do not advocate greed. Thirteenth and last, Wiccans believe that the secrets to good health and well-being lie within Nature (Robinson, 2010). In addition to the above 13 principles, Wiccans also believe that God, â€Å"The One† or â €Å"The All† is the one force that has created this universe and is still constantly creating it. God for the Wiccans is both male and female, and would regard the various Gods and Goddesses as mere aspects of â€Å"The All,† However, as Wicca is a decentralized religion with no clear higher authority, some Wiccans are pantheists, others are atheists, while some remain as agnostics (Robinson, 2010). Moreover, the Wiccan version of the Golden Rule is â€Å"Do what you want, as long as you harm none† (Cunningham, 2005). Harming none, however, means both not harming others and not harming oneself. Therefore, if one abuses his body and denies it the necessities of life or gives it too much pleasure, then one violates this moral principle (Cunningham, 2005

Factors in a child’s development Essay Example for Free

Factors in a child’s development Essay Family is one of the biggest external factors in a child’s development. The first three years of a child’s life are when their foundations are laid out influencing what type of a person they may grow up to be. A child who is given lots of love, attention and guidance are more likely to thrive compared to those who are ignored. At this very early age parents and siblings are the most important thing in a child’s life so everything they do can influence a child, this is when they first start to imitate other peoples actions so if a child is in a stimulating environment then they are more likely to want to continue to be stimulated when they reach school age. Friendships are also a major factor, by the age of three children start to form strong friendships. Friendships may begin to influence behavior, in a positive or sometimes a negative way. They will start to learn how to listen to other people’s opinions and also how to voice their own views. Read more:Â  Explain how children and young people’s development is influenced by a range of external factors essay It’s when children start making friends that their personalities really start to develop and they start either start to become a leader or a follower. Peers may become a big influence over their likes and dislikes. What a child eats also plays a big part in a child’s development both in a physical and mental way. Calcium, protein and fats are all essential in a child’s diet to help them grow. When a child starts school it becomes more difficult from a parents prospective to supervise what children are eating especially in children of high school age, too much sugary and fatty foods can lead to children becoming over weight and lacking in energy. It is important for schools to take an active approach in what children are allowed to eat when possible. In today’s world of high technology the media is also a big factor in how children develop. The television can be an amazing aid in a child’s development if watched in moderation. A child that spends too much time in front of a television may run an increased risk of becoming over weight and children who view violent television shows show a tendency towards an aggressive behavior. Social media is also taking a part in children’s developments as friendships are formed with people from all over the world that once would not have been accessible unfortunately it can also have negative results as children can be bullied without an adult around to help them and can lead to a very low self esteem.

The Impeachment Of President Bill Clinton

The Impeachment Of President Bill Clinton In 1992, Bill Clinton became the 42nd president of the United States, defeating George Bush. Bill Clinton was the first President born after World War II and the youngest since John F. Kennedy. He is the second president in United States history to be impeached. His impeachment was the consequence of his indiscretions. The impeachment hearing and all the evidence was publicized and often imitated to make fun, but his impeachment was no laughing matter. President Clinton had serious allegations against him that were continuously denied until the evidence was too incriminating that he could no longer cover the truth. Bill Clinton was born in Hope, Arkansas in 1946. While attending high school he traveled to Washington D.C. with the Boys Nation to attend a leadership conference. He and others in the group were invited to White House. During his visit he shook hands with President John F. Kennedy, an event that became one of the most memorable of his youth and which sparked an early interest in entering politics. Clinton attended Georgetown University, earning a degree in International Affairs. He then attended Oxford University to study Government and later onto Yale Law School. He met his wife, Hillary, during this time. In 1972, they both worked for presidential candidate, George McGovern. After completing law school he returned to his home, Arkansas, to teach law at the University of Arkansas. During this time he was contemplating his political career. In 1974, he ran for U.S. Congress but lost in a close race. In 1976, he became the Attorney General of Arkansas. He proceeded to become the youngest Governor in the U.S. and then served as the Chairman of the National Governors Association. Clinton continued his political career and in the 1991-1992 presidential election he became President of the United States. He defeated the allegations of marital infidelity, pot smoking, and draft dodging but the turmoil was just beginning. Widely considered the most investigated President ever, the Clinton administration had been dogged by controversy from the very beginning. Shortly after Clinton was elected president, more allegations began to surface. The first major Clinton scandal involved the White House travel office and came to be popularly known as Travelgate. Whitewater began back in 1978 when Bill and Hillary Clinton along with two Arkansas acquaintances, James B. and Susan McDougal, borrowed $203,000 to purchase 220 acres of riverfront land in Arkansas Ozark Mountains, then formed the Whitewater Development Corporation with the intention of building vacation homes (History Place, 2000). In 1982, McDougal purchased Madison Guaranty, a small saving and loan company that was shut down in 1989 after several failed loans. In 1992, the Federal Resolution Trust Corporation, during its investigation into the causes of its failure, named both Bill and Hillary Clinton as potential beneficiaries of alleged illegal activities at Madison Guaranty. A referral was then sent to the U.S. Justice Department (History Place, 2000). There was said to be illegal dealings and but by late 1997, the Whitewater investigation came to a close. The Office of Independent Counsel failed to produce the necessary substantial and credible evidence of an impeachable offense that would justify referring the matter to Congress for further action (Linder, 2005). After this investigation, Clinton personal affairs were being watched closely by Kenneth W. Starr, a former Justice Department official in the Reagan administration, and federal appeals court judge and solicitor general in the Bush administration. He began investigating the Clintons to matters that were personal unrelated to the Whitehouse-Travelgate case. The second allegation began to surface, the Paula Jones case. Paula was a former Arkansas state employee. In 1994, Paula alleged that in 1991, she was summoned by Clintons bodyguard to go his hotel room. She claimed that Clinton committed sexual harassment by dropping his trousers in a Little Rock hotel room and asking her to perform a sex act. She filed a civil lawsuit against the President in federal district court in Arkansas, seeking $700,000 in damages along with a personal apology from Clinton (History Place, 2000). When the alleged event occurred Clinton was not yet the president but when the allegations were made his lawyers advised him to postpone the case. Clintons plan to postpone the case didnt last long before the case reached the United States Supreme Court. For the first time in U.S. history, a sitting President was subjected to a civil lawsuit for actions that occurred before he became President (History Place, 2000). During the Paula Jones controversy Clinton gets involved with Monica Lewinsky. Monica Lewinsky was an intern that came to work at the White house in 1995. During her internship she was assigned to the West Wing of the White House and met Clinton. This was the start of there sexual encounters and secret meetings. She was transferred to the Pentagon and became friends with Linda Tripp. Linda Tripp, a Defense Department employee and friend of Monica Lewinsky. Lewinsky confided in Tripp and began telling her stories about the affair that she had with Clinton. Tripp began secretly tape-recording her conversations with Lewinsky, which included discussions of Lewinskys affair with Clinton. Tripp began to share information with Joness lawyers, and Starr. These findings were building a strong case against Clinton. The Supreme Court ruled 9-0 on May, 27 1997 for the Jones case and it proceeded. Joness legal team was in search of more dirt on Clinton. The information from Tripp was just the break that they needed to proceed towards the impeachment of Clinton. Clinton found out that Lewinsky was on the list of witnesses in the Jones case. A close friend on Clintons, Vernon Jordan, assisted Lewinsky in finding another job and also found her a lawyer. The lawyer provided help with an affidavit in the Jones case in which she would deny having a sexual relationship with the President. In 1998, Clinton testified in the Jones case. He was caught off guard because for the first time he was questioned about his sexual relations with Monica Lewinsky. Clinton denied under oath having any sexual relations with Lewinsky. Clintons denials would be used as the basis of an article of impeachment. Internet sites, news reporters, and magazines began to publically reveal the Lewinsky affair for the first time. Clinton continued to deny the allegations. He made a televised appearance to attempt to end the speculation. Clinton stated, But I want to say one thing to the American people. I want you to listen to me. Im going to say this again: I did not have sexual relations with that woman, Miss Lewinsky. I never told anybody to lie, not a single time never. These allegations are false. And I need to go back to work for the American people (History Place, 2000). This was his first speech but not his last he continued to deny the existence of the relationship. In April 1998, the Paula Jones sexual harassment case was dismissed. It was dismissed on the grounds that the alleged act was not considered sexual harassment under federal law. Starr and his team were still in pursuit of Clinton. Lewinsky declined to testify against Clinton until July. She hired lawyers and met with Starrs staff for the first time. She presented the details of her relationship with Clinton. Starr granted her immunity. Lewinsky also turned over a dress that was stained with semen, the DNA from which proved that Clinton and Lewinsky had been intimate. The next day, Clinton, whom Starr had subpoenaed to come before the grand jury, agreed to appear (Greenburg, 2003). She testified before Starrs federal grand jury. She gave explicit details about the sexual encounters but also told the jury that no one told her to lie or offered her a job in lieu of not telling. In August 1998, Clinton testified and admitted the affair with Lewinsky but continued to deny the Joness allegations. He also gave a televised apology for the relationship with Lewinsky that he described as, wrong. Clinton thus became the first President ever to testify in a grand jury criminal investigation concerning his own actions. Some thought his apology was enough but others thought it was inadequate. Clintons testimony would later be used as the basis of an article of impeachment. In September, Starr charged Clinton with impeachable offenses including perjury, obstruction of justice, and witness tampering. Starr disclosed the information to the public and America was flooded with explicit details. President Clinton was in jeopardy of loosing his position in office, something that he worked so hard for. The public began to make mockery of the acts, especially Clinton. The press had called on Clinton to resign and others were deeply concerned about the impact on the nation. In October 1998, the impeachment hearing began. The Democrats, in defense of Clinton, produced an array of scholars asserting that the charges against Clinton did not rise to the level of high Crimes and Misdemeanors mentioned, but not specifically defined, in the U.S. Constitution as grounds for impeachment, and therefore did not warrant removal of the President from office (History Place, 2000). Clinton was given 81 written questions that asked him to admit or deny allegations in Starrs report. His answers to the questions will be basis of an article of impeachment. In December 1998, the Judiciary Committee voted mainly along party lines to approve the first three articles of impeachment, accusing Clinton of committing perjury before Starrs grand jury and in the Jones case, and with obstruction of justice in the Jones case. The next day, the fourth article was approved, accusing Clinton of making false statements in his answers to the 81 written questions (History Place, 2000). Most people in America did not approve of an impeachment. Democrats wanted an alternative or a possibly reprimand but the majority wanted him to stay in the office. During this time Clinton had ordered military strike against Iraq because Iraqi leader did not comply with U.N. weapons inspection. Some say that his action was an attempt to prolong the impeachment but others say such allegations are absurd. The impeachment proceedings were delayed twenty-four hours. On December 19, 1998, President Clinton fate was decided before the full House of Representatives. They voted on the four articles on impeachment: Article 1- perjury before Independent Counsel Ken Starrs grand jury, Article 2- perjury in the Paula Jones civil case, Article 3- obstruction of justice related to the Jones case, Article 4- abuse of power by making perjurious statements to Congress in his answers to the 81 questions posed by the Judiciary Committee. The Republican-controlled House of Representatives brought two articles of impeachment against President Bill Clinton, charging him with perjury and obstruction of justice (Greenburg, 2003). The impeachment trial began January 7, 1999. Although this was the second impeachment trial in U.S. history, it would possible be the first for a president to be removed from office. On February 12, 1999, as the whole world watched as Senate voted. On Article 1, the charge of perjury, 55 senators, including 10 Republicans and all 45 Democrats voted not guilty. On Article 3, obstruction of justice, the Senate split evenly, 50 for and 50 against the President (History Place, 2000). A two-thirds majority was needed as stated by the Constitution. President Clinton was found not guilty on both charges and was allowed to serve the reminder of his term in office. President Clinton concludes by saying, Now that the Senate has fulfilled its constitutional responsibility, bringing this process to a conclusion, I want to say again to the American people how profoundly sorry I am for what I said and did to trigger these events and the great burden they have imposed on the Congress and on the American people (History Place, 2000). The allegations that led to the impeachment hearing were indeed immoral actions but did they warrant grounds for impeachment. Many will argue that Clinton was trying to protect his privacy by not disclosing all the facts before the court and others would say that he outright lied to cover the truth. He persuaded Lewinsky and other key witnesses into giving false testimony about the affair. In the case of the court when you swear under oath you are entitled to tell the truth but Clinton did not. In doing this, William Jefferson Clinton has undermined the integrity of his office, has brought disrepute on the Presidency, has betrayed his trust as President, and has acted in a manner subversive of the rule of law and justice, to the manifest injury of the people of the United States (Hall, Finkelman Ely, 2005). Was justice served? I will say, yes it was. Clinton was wrong for a lot of different reasons but no one other than our God is void of making mistakes. He was humiliated in the public eye and humbly admitted his untrue nature. It is often hard to disclose your own wrong doings to one person but to the whole world that is big. In realizing that he did not have much choice or look like a complete fool he still did the right thing. The trial was needed because there was wrongdoing but the judicial system did not fail the American people. Despite the whole ordeal, I feel that Clinton was one of the best Presidents during my time. Do we judge a person from there wrongdoings or do we look at the bigger picture? I look at the big picture and I stand behind my view, justice was served.

We Must Solve the Climate Change Crisis :: Global Warming Essays, 2015

"For the sake of our children and our future, we must do more to combat climate change. Now, it’s true that no single event makes a trend. But the fact is the 12 hottest years on record have all come in the last 15. Heat waves, droughts, wildfires, floods—all are now more frequent and more intense. We can choose to believe that Superstorm Sandy, and the most severe drought in decades, and the worst wildfires some states have ever seen were all just a freak coincidence. Or we can choose to believe in the overwhelming judgment of science—and act before it’s too late." -- President Barack Obama We owe something to future generations in terms of conducting energy and environmental research and coming up with various energy policies that are forward thinking. Historically, the path to the future is created in the past. Our generation must commit itself to constantly researching energy and environmental impacts of energy to come up with innovative information. More specifically, research in climate change and how human use of energy impacts climate change is very important for the future. Additionally, policies need to be thought of, created, passed, and put into action properly. Based on the plethora of issues that we as a class have identified through our various energy policies, it is extremely apparent that there is a need for innovative policy for energy and climate change impacts in the US. Since we are only students, it is amazing to see how we were all able to come up with these policies, and it shows that policy makers definitely have a lot of work to do going forward. Who knows, maybe we will see policies similar to the ones we created become implemented in the future. Overall, it is important for policies to be created now for the future to look bright in terms of the way the United States uses its energy and regulates its emissions from energy overall. In the future, new policies will be created; however, they will need to assess the strengths and weaknesses of policies created today.

Indian trade liberation :: essays research papers fc

The International Trade Liberalization of India According to many global economic studies the key to peace is through the promotion of free trade and the institution of democratic principles, this theory also known as liberal international relations theory. In late 1991, with the transfer of the Indian Parliament into the hands of political and economic reformers, despite much opposition, India began its quest towards liberalization. The reform implemented freer trade in the largest democracy in the world. Facets of the Reformed Policy since India's independence from British control in 1947 until India’s Prime Minister Narasimha Rao took office, have characterized Indian’s foreign policy as fairly isolationist. During the Cold War period India retained a policy of nonalignment. It was uncommitted to either the West or the East and stuck to an "Swadeshi" ideology. This Swadeshi ideology simply meaning "India first," and was an extremely nationalistic ideology that advocates self-sufficiency. Just under a decade ago, Indian foreign policy has taken significant strides towards liberalization. Since Prime Minister Narasimha Rao assumed his position as the head of this state in economic shambles, India has undergone significant reform in its domestic and foreign economic policy. Rao's administration implemented major changes in international banking, interest rates, and the ability to fully convert rupees (India's currency) into international tradable transactions. But most importantly, towards the end of 1991, Prime Minister Narasimha Rao opened India's doors to international foreign investment. Many global economic studies stated the reforms in 1991 were simply necessary. As Clive Crook reported in The Economist at the time, the new government attempted to restructure the "ever-proliferating bureaucracy" and the "license raj". This reshaping dismantled the barriers for international foreigners to enter into the Indian markets. Such barriers included ser ies of permits and licenses granted only by members of the Indian Parliament or high-ranking bureaucrats. These complicated and inefficient policies turned away potential foreign investors and, therefore, hurt the Indian economy. As part of the reform plan, Prime Minister Narasimha Rao implemented revolutionary changes. According to the Asian Survey by Nalini Kant Jha, Prime Minister Narasimha Rao limited the equity participation to 40% and removed the provision for the necessity of local control of industry. India also turned into favoring export-led growth; therefore, it removed restrictions on foreign trade and significantly reduced customs duties and tariffs on imports. Since the advancement towards liberalism and the legitimacy of its government, India has strongly remained the largest democracy in the international environment.

A Comparison of Wealth in Antony and Cleopatra and The Tempest Essay

The Importance of Wealth in Antony and Cleopatra and The Tempest  Ã‚     Ã‚  Ã‚   Wealth and it’s relationship to poverty figures in heavily in two of the plays we have read thus far in class. In both Antony and Cleopatra and The Tempest we are treated to characters and situations that deal with wealth and poverty. Specifically however, both plays have visions of an abundance of wealth that seems at times both corruptible and foolish. In Antony and Cleopatra we have their excessive behavior and flaunting, which proves to be a vice that grips them much to tightly. In The Tempest, characters stranded on a deserted island have their own unique versions of achieving that said abundance. Shakespeare treats the topic similarly in both plays, and uses it to expose the very nature of abundance.    For example, in Antony and Cleopatra we are treated to many scenes describing the level of excess the title characters are involved in. In Act 3, scene 6 Shakespeare writes, Here’s the manner of’t: I’th’ market-place, on a tribunal silver’d, Cleopatra and himself in chairs of gold Were publicly enthron’d. At their feet sat Caesarian, whom they call my father’s son, And all the unlawful issue that their lust Since then hath made between them. Unto her He gave the stablishment of Egypt, made her Of lower Syria, Cyprus,Lydia, Absolute Queen  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   (2-10).    With that passage, Shakespeare (through Caesar) is criticizing the lavishness and public showings of both Antony and Cleopatra. He seems to think it grotesque to have them sitting in front of everyone in â€Å"chairs of gold†.    Even earlier, Antony’s abundant behavior is made obvious. Shakespeare writes, â€Å"he fishes, drinks, and wastes/The lamps of night in ... ... riches? His want of this abundance is like the others, made worse by the fact that he at first had no idea what it was. He had something better (although some would view him as poor), and now a glimpse of wealth has changed him.    In the end, by looking at these two plays, we can see that wealth can indeed be a corrupting force in Shakespeare’s world. Although wealth may not necessarily be just money. It can come in many forms; power, idleness, etc. And in today’s world where money-winning game shows are what pass for culture and entertainment, it seems all the more relevant.    Works Cited:    The Riverside Shakespeare: Second Edition Houghton Mifflin Company Boston/New York   G. Blakemore Evans and J.J.M Tobin eds. Shakespeare’s The Tempest: World’s Classics The Oxford Shakespeare. Oxford University Press New York/London.   Ed. Stanley Wells   

Imperfect Reality, Unattainable Dream Essay

A dream creates ideal circumstances which are not ideal in reality. Reality instigates the destruction of the ideal and therefore encourages one to fantasize about that which is unattainable in actuality. In one’s imperfect reality, a dream is unattainable; thus, one may often compromise or modify his dream in order for it to match or perhaps justify the practical. This imperfect reality generates an unattainable dream. Jay Gatsby’s disillusionment in F. Scott Fitzgerald’s The Great Gatsby permits Gatsby to imagine that which will never exist. When his reality and fantasy collide in such a way, his fantasy perishes, and additional conflicted dreams and imperfect reality ensue. Gatsby’s passion is an exercise in futility because reality prohibits the execution of such a dream. Gatsby’s passionate illusion develops based on wishes which cannot be met in his reality. Human wonder allows him to envision his fantastic image; however, he finds that it is â€Å"pervaded with a melancholy beauty† because the potential of his beautiful dream deteriorates in his harsh material world (Fitzgerald 152).Gatsby fails to realize that Daisy is the type of woman who cannot â€Å"be over- dreamed† for she lives her life in a concrete world with which Gatsby is unfamiliar (Fitzgerald 96). Gatsby’s failure to recognize that Daisy flourishes in the material world leads him to believe that she loves him, and that she â€Å"never loved† her husband (Fitzgerald 103). Gatsby’s reality does not match his fantasy, though, for he loses â€Å"the freshest and the best† his reality offers when Daisy refuses to marry him (Fitzgerald 153). His reality and his dream become unaligned after Daisy’s refusal; he begins to reconstruct and embellish his vision and consequently, he exhausts and eradicates his reality. Gatsby’s i ntention to marry and love Daisy is honorable until he exhausts the tangible. He begins to revere his dream and, as a result, he fails to recognize that his illusion is unfeasible in actuality. He continues to de-humanize Daisy until he no longer loves her, but rather his illusion of her. Daisy’s flaws are human, but Gatsby eliminates such flaws in his dream; therefore he sets a standard which Daisy never achieves. Gatsby ultimately pays â€Å"a high price for living too long with a single dream† and never regains a sense of the â€Å"old warm world† where everything is definite and concrete; he continues to try to create what is â€Å"no longer tangible† (Fitzgerald 161.161.134). His attempts are in vain because his reality never matches his fantasy; his dreams are passionate but Gatsby’s realization that his idealized vision is neither practical nor palpable both metaphorically and physically deteriorates him. When the â€Å"colossal significance† of his illusion vanishes, â€Å"only the dead dream† keeps him alive (Fitzgerald 93.134). The destruction of Gatsby’s dream parallels the destruction of innocence. The eradication of his sole hope and desire forces Gatsby into a world foreign to him: reality. The concrete world slowly deteriorates Gatsby’s mind until the â€Å"holocaust† is complete (Fitzgerald 162). Gatsby’s physical death is not as â€Å"invariably saddening† as the metaphorical death of his dream, for upon the destruction of his dream, he has nothing for which to live The standards set in Gatsby’s dream never match his reality, thus his continued attempts to achieve such standards are in vain. Unfortunately, his disillusionment allows a cyclical pattern to develop in which his imperfect reality constantly fuels his dream. Without the recognition that his dream will never match his reality, Gatsby remains an unsatisfied man. His dissatisfaction consequently corrupts his dream and instigates the cycle of discontent with which he lives until his unfortunate death.

Acquisition of Reebok by Adidas, M&a Deal in the Sports Industry

This report presents a brief summary of the M&A deal and the performance of the Adidas-Salmon Group and the Reebok International which are the top players after Nike, in sportswear market. Mergers and Acquisitions is an extreme matter of concern in the corporate world since last few decades. M&A can also be considered as a main vehicle which drives towards direct investments, either domestic or foreign. With motives of achieving greater efficiency and effective strategies, most of the companies had gone through at least one M&A activity at least once in a lifetime.This report contains theories regarding Mergers and Acquisition and is focused on the Cross-border M&A (Adidas- A German company and Reebok- an American company). It includes the acquisition process and presents the motives behind the acquisition of Reebok by Adidas. The report also includes the analysis to identify whether synergy (Value of (Adidas+ Reebok) > Value of Adidas+ Value of Reebok) has been achieved or not. I t can be identified through performance measurement and evaluation.The analysis of the company’s annual reports and the reviews in various websites contributed to determine whether the company is able to achieve its target objectives. Table of Contents S. N. Title Page No. 1. Introduction1 2. Literature Review2 a. The need of Merger2 b. Due diligence3 2. 2. 1 Legal and regulatory issues3 2. 2. 2 Tender offer3 2. 2. 3 Empirical Evidence4 2. 2. 4 Strategies of Adidas & Reebok 4 3. Methodology5 4. Discussion5 a. Synergies achieved5 4. 2 Financial Analysis6 4. 3 Targets and Achievements: Post merger evaluation7 . Conclusion and Recommendations9 References10 1. Introduction Corporate Restructuring is the process of reconstructing the operational, financial, legal and other structures of an organization in order to achieve the organizational efficiency, technological advancement, market expansion, profit maximization and obtain the competitive advantage over others. Mergers and Acq uisitions (M&A), which is one of the major corporate restructuring methods and started in US, has become a global practice for over 100 years.With the increase in globalization concept, most of the companies around the world have undergone through one among the following three types of M&A. Vertical merger which includes the combination of the forms operating in the different levels of the same industry differs from the Horizontal merger where the two combined firms operate in the same business activity. Conglomerate, the third type is rather unique as it involves the combination of firms of different industry. For a detailed analysis of M&A activity, I have chosen an acquisition ofReebok (an American sportswear company) by Adidas (a German sportswear company) and evaluating its performance and the various stages of the M&A activity. Adidas-Reebok acquisition is categorized under horizontal Cross-Border M&A whose main objective is to present the group as a market leader in the field of sportswear. The rate of M&A activities seem to be increasing day by day. However, the success rate of these mergers is very low. This is because of the lack of ability to achieve the synergy, which is obtained as a result of increased competitive advantage.So, the report is based on evaluating the various aspects of Adidas-Reebok performance to draw the conclusion whether the integration is successful to meet the target objectives or not. 2. Literature Review With an aim to drive competition and growth in the sports market, there was significant presence of the M&A activities since late 1990s. In 1997, Adidas acquired the Salomon Group for $1. 4 billion. In 2003, Nike acquired Converse for $305 million and in 2004 Reebok acquired The Hockey Company for $330 million. In 2005, the Adidas-Salmon Group acquired Reebok for $3. billion and in 2008; Nike acquired Umbro Plc for 285 million.Many analysts have identified that the companies major objectives and targets of M&A activities ha ve not successfully achieved in most of the cases. Timothy and Mark (2007) point out the major of failure as cultural aspects of mergers that are poorly dealt with and mention that successful mergers are based as much on emotional reactions and energized behavior. Bjorkman, Stahl, and Vaara (2007) also discussed the role of cultural differences on the capability transfer for cross-border acquisitions. . 1 The need of Merger According to the data obtained by Sporting Goods Manufacturers Association International in 2004, Nike was the leader in American sportswear with market share of 36% leaving Reebok and Adidas the second and third position with 12. 2% and 8. 9% respectively. And America alone counts for almost 50% of the total global sportswear market. So, it was an important opportunity for Adidas and Reebok to have a combined competitive strength over the leader Nike, a famous brand in its fashion, status, colours and combinations.Besides that, Adidas was facing a tough competit ion with the fourth largest sports brand Puma, which compelled it to take the growth strategy through acquisition with Reebok. Puma had already disclosed expansion plans through acquisitions and entry into new sportswear categories So, for a successful merger, the challenge was to integrate Adidas's German culture of control, engineering, and production and Reebok's U. S. marketing- driven culture. Also, the core competencies of the combined companies seem a major strength than the individual competencies. Adidas Core Competencies |Reebok Core Competencies |Combined Core Competencies | |–Technology |– Trend Identification |– Adidas technology with Reebok design | |– Customer focus |– Ability to market to a niche segment |– Adidas sports with Reebok women’s market | |– Brand recognition |– Women’s shoe design |– Adidas shoes with Reebok apparel | |– Supply chain |– Design expertise |– Ad idas global strength & Reebok US strength | |– Collaboratively competitive |– Celebrity relationships | | 2. Due diligence 2. 2. 1 Legal and regulatory issues: Any M&A process should face through the regulatory bodies before they are granted the permission. There are various antitrust authorities which will examine and restrict the merger activities that create the monopoly in a particular market. Some of these authorities are the Federal Trade Commission (FTC) in USA, the Competition Commission in the UK, the European Commission in EU and the Federal Cartel Office in Germany. Adidas, being the German company had successfully passed the regulatory check and was approved by both the Federal Cartel Office and the European Commission to acquire Reebok on $3. 8 bn.As Reebok was targeting mainly in the American youths where as Adidas was targeting the European professionals and these brands had different pricing positions, EU concluded that this integration would not signif icantly affect the competition in the sports market. 2. 2. 2 Tender offer Tender offer in M&A is a general offer made by any acquirer company to a target company either publicly or directly to the shareholders to grant their stocks in the price which is higher than the present market price. After analyzing the market value of Reebok, Adidas has offered the buying of Reebok’s share with 34. 2 percent share premium. A written consent between Adidas and Reebok was established mentioning all the legal obligations. 2. 2. 3 Empirical Evidence The once in a lifetime opportunity’, as mentioned by Adidas-Salomon AG Chairman and CEO Herbert Hainer, came into reality after the deal was closed on Jan 31, 2006, which provided the new Adidas group with an increased Capital of around â‚ ¬9. 5 billion ($11. 8 billion) in the global athletic footwear, apparel and hardware markets. Adidas-Salmon group paid $ 3. 527 bn to Reebok as total value of the Reebok shares calculated at the ra te of $59. 0 per share. They had paid 34. 2 % share premium. The share price of Reebok had rose by 30% after the acquisition.Hainer added, â€Å"The brands will be kept separate because each brand has a lot of value and it would be stupid to bring them together. The companies would continue selling products under respective brand names and labels. This is considered as the major strategy to keep the existing brand values and customers safe, protecting their brand loyalty. 2. 2. 4 Strategies of Adidas & Reebok The two companies came to the M&A deal with some of the very important strategies that lead to the growth and expansion of the market and the product portfolio along with the shared technology. The acquisition helped the new group to double the sales in America (U. S. $3. 9 billion) and also Reebok to increase its sales in Europe from the Adidas’s strong brand recognition and market expertise. Both the groups are creating the greater job opportunities with the well expe rienced and world class employees. They are selecting their top most employees into a new group for more effective business operation.This will help them to establish themselves as top most global brand from their strength (improved R&D systems with award winning cutting-edge technology, trend-setting street wear and classic design) with a strong presence as qualitative and wide ranged sports products. The combined group showed stronger presence among various teams and athletes such as David Beckham, Allen Iverson, Yao Ming, Tracy McGrady and also the top sports events like FIFA World Cup 2006 and Olympics 2008 to increase the global visibility of both the brands. 3. Methodology The report is based on academic knowledge gained during the course and the further research done on various websites.This includes the company’s website, various reviews and other academic sources available in the internet. After introducing about the M&A process, the literature review was done from t he past papers about Cross-border M&A and the management report on Adidas-Reebok M&A. The official website of Adidas group was used as the major source of annual financial report and performance measurement report, which helped to analyze the success of the integration in terms of sales revenue and other performance measurement indicators. After the detailed study of the case, the report contains few recommendations which might help the company to increase its profit and ultimately achieve its target objectives. 4. DiscussionThe success and failure of the M&A can be accessed from the perspectives of shareholders, managers and employees as the interests of these groups do not coincide (Sudarsanam, 2003). The report below contains analysis from different perspectives. 4. 1 Synergies achieved: The combined group had achieved the synergies based on each other’s competitive strength. Operating synergies affect the operations of the combined firm and include economies of scale, inc reased pricing power, and higher growth potential (Damodaran, 2006). As a geographical and demographical category, Reebok got chance to benefit from its partner Adidas which has expertise in European market.Similarly, Adidas benefited from Reebok expertise in American and Asian markets especially the youths and women. The new group had the wide range of products with continuous brand development by sharing R&D technologies. The synergy in distribution channel can be obtained through distribution and operation efficiencies. They have obtained 40% synergies in marketing, sales and distribution through selective diversification of channels and the optimum utilization of distribution capacity. Hadfield (2006), in his article quotes the statement of Steve Bonomo, the head of recruitment of Adidas, who says that the Adidas-Reebok acquisition has reduced the global recruitment cost by 30-50 percent.This reduction in expenses will help to increase the profit to some extent. Through global s ourcing and using economies of scale, they have been able to achieve 20% operations synergies. 4. 2 Financial Analysis: After the integration the management structure was reformed with the reduction of unnecessary branches and departments. They also agreed to share the cost incurred in production technology, distribution and back operations. The Reebok switching from pre-order in bulk amount to pay as you go system results the instant cash and uniform production and distribution of goods. The Annual financial report of Adidas group shows the sharp increase of sales revenue after the acquisition process.As the official deal was signed in Jan 2006, there is the dramatic rise in the sales from Dec 2005 to Dec 2006 resulting very high sales revenue of the combined group than it used to get during the individual sells. There is a continuous increase in sales even though the market was hit by the economic crisis during past few years (shown in the graph). The fact that the Adidas group fa ced serious decrease in sales of Reebok goods in Europe because the company decided to shut down some of the retail branches was very noticeable. But there was huge increase of the sales of Adidas products in America, which ultimately offset the losses, incurred in the group and ultimately led the company towards profit. [pic] Source: Adidas-group. com/ annual report 4.3 Targets and Achievements: Post merger evaluation Targets |Achievement | Description | |Environmental |75% |The environmental targets and strategy for climate change and carbon emissions | |sustainability-Group achievement| |have been developed as a whole but the group-wide strategy covering the entire | | | |value chain has remained. | |Environmental sustainability- |50% |The cross- brand group was formed to support all the Adidas brands but the full | |Product | |implementation of the prepared guidelines is in due. |Environmental |100% |Launched the internal Company Initiatives to promote environmental assessments | |Sustainability-Properties | |and awareness, reviewed the in-house ‘Think Green Guide’, established the | | | |environmental management systems but still remained to get ISO 14001 | | | |certification by the end of 2010. | |Supply Chain Systems |75% |As a member of Fair Factories Clearinghouse Compliance, Adidas group fully | | | |review the integrity of the data. Also, launched new Environmental guidelines to| | | |provide health and safety guidelines to the employees.But remained due about | | | |50% of the task to implement upgraded Key Performance Indicator to measure the | | | |company’s performance and also the sustainable compliance monitoring | | | |methodology. | |Global Economic Crisis |100% |Provided several updates on company’s website about risk and supply chain | | | |consolidation. Also provided guidelines on managing employees’ redundancies and | | | |layoffs in appropriate manner. |Stakeholder Engagements- |50% |Highly accepted th e concept of marketing and sourcing strategy but couldn’t | |Internal | |obtain better cotton materials for quality and performance testing. | |Stakeholder Engagements- |100% |Broad engagement with the governments and key stakeholders which assist in | |External | |decision making and also collaboration with different brands, suppliers and | | | |other industry actors. | Source: – Adidas. com, annual report, 2009 5. Conclusion and Recommendations The M&A itself is a complex and risky process both in terms of making a deal and in achieving the target objectives. It is also difficult to identify the exact determinants of the success or failure of the M&A.So, the conclusions are met on the basis of the grounds that a researcher considers, but this might be insufficient to other researchers who consider the broader areas. The analysis carried out under the case of Reebok acquisition by Adidas group shows that the new group is able to increase its sells through the restruct uring process. But even performance measurement report of the company highlights some of the issues where the company was unable to achieve the target objectives. The major target to lead the market ruler, Nike has not yet been achieved. The market positions of these two brands have remained constant. In contrast, it has a biggest threat of its following competitor, Puma to have integration with Nike and drop down the market share of Adidas group.