Merger, Acquisition, and International Strategies Essay - 3

Merger, Acquisition, and International Strategies - Essay Example They may vary from managerial, financial, marketing and the ownership ratios which define each entity’s roles and expected targets (Kesner, 2008 pp327-342). Acquisition on the other hand can be viewed as process in which a large company; a firm enjoying a large capital base, investment base, corporate and governance monopoly and/or with economies of scale, buys out new upcoming or underperforming firms with an aim of improving productivity, strengthening its market share and/or to redeem these underperforming firms out of bad debts and unemployment of resources. Acquisition should mutually benefit the acquirer and the target firm in that the acquirer is looking forward to strengthen either its market share, reduce its cost of production and efficient transfer of factors of production within the firm. On the other hand the target firm; the new, small or the underperforming firm which is bought out by the larger and performing firm, is entitled to full share of the buyout and ea ch shareholder given his share income as per the firms memorandum of understanding. International strategies can be looked at as management planning processes to expand local business entity into the foreign market. Depending with the firm’s activities, that is, if it’s a service providing firm and/or it’s a goods producing firm, strategies will differ and the company’s goals on the international market will also influence the strategies to be applied. Expansion of companies to new external markets will involve strategic management, forecasting and analysis of the new markets in that, the company must meet the consumer needs, change value, fight competition to get the market share without compromising the brand’s image. This is according to Kinnunen Jani’s fourth journal: real Options and Strategies (2011, pp117-141).With this in mind, acquisitions and/or mergers may be an appropriate model for easier penetration in to the new international market. To understand the concepts of Merger, Acquisition and International strategies, we shall look at the different merging and acquiring firms in terms of their performances when they were sole entities and after merging. In addition we shall evaluate the international strategies used by these firms; those that have expanded their operations outside the United States and evaluate those that have their operations within the United States, how they fair in the internal trade and possibly advise them on either to merge or to remain in sole proprietorship. We shall look at two telecommunication companies in the United States: AT&T and Comtech telecommunications. Question1. For the corporation that has acquired another company, merged with another company, or been acquired by another company, evaluate the strategy that led to the merger or acquisition to determine whether or not this merger or acquisition was a wise choice? AT&T is the largest provider of communication services and b roadband subscriptions television service. Providing both the mobile and fixed telephony services, it enjoys a commanding market share of 107.9 million mobile customers; the company has seen a lot of transformations in terms of operations ownership and expansion since its inception in 1885. AT&T acquired Bell Company in December 31 1899 for a legal lawsuit. Being a market leader after the invention of the

Leonardo da Vinci Lifepath and Activity Essay Example | Topics and Well Written Essays - 1000 words

Leonardo da Vinci Lifepath and Activity - Essay Example In Milan, he began various projects for the duke and managed to complete six paintings among them there was one called the Virgin of the Rock, which showed figures from the bible including the Virgin Mary, the baby Jesus together with John the Baptist which he finished in approximately 1485. In Milan, Leonardo did not just work as an artist, but he also advised other people on subjects such as engineering and architecture. He was fond of writing notes and filled many pages with observations and thoughts on everything from the human body to astronomy. Leonardo came up with inventions in his notebooks, which could not be made at the time. For instance, he designed a helicopter, an underwater breathing device, a tank and a submarine which showed that he was way ahead of time (Joanne 6).Leonardo wrote most of his personal notes in mirror writing. He only used normal writing if he wanted his texts to be read by others. It is not clear why he did this, but several reasons have been suggest ed. His friends wrote that he wrote and painted using the left hand. In those times, writing left handed was a mess since the wet ink would smear as his hand moved across the paper; therefore, writing in reverse would stop the ink from smudging. It is also suggested that he did this so that people could not read.Leonardo was said to be tall with long blonde hair whose abilities were beyond the ordinary that he could readily solve any difficulty. In addition, Leonardo was said to be able to sing divinely.... Leonardo came up with inventions in his notebooks, which could not be made at the time. For instance, he designed a helicopter, an underwater breathing device, a tank and a submarine which showed that he was way ahead of time (Joanne 6). Leonardo wrote most of his personal notes in mirror writing. He only used normal writing if he wanted his texts to be read by others. It is not clear why he did this, but several reasons have been suggested. His friends wrote that he wrote and painted using the left hand. In those times, writing left handed was a mess since the wet ink would smear as his hand moved across the paper; therefore, writing in reverse would stop the ink from smudging. It is also suggested that he did this so that people could not read and steal his ideas (Jill 18). Leonardo was said to be tall with long blonde hair whose abilities were beyond the ordinary that he could readily solve any difficulty. In addition, Leonardo was said to be able to sing divinely and his charming conversation worn all hearts. Leonardo did more to create the concept of the artist genius than anyone else of his times. He constantly stressed the intellectual aspect of the art and creativity. Leonardo is said to be so curious, this curiosity made him shift from a project to another (Joanne 8). Back in Florence, Leonardo painted an artwork that became one of the most recognized art images in the world, the Mona Lisa; for a long time no one knew who the woman was. However, it is now known that she was Lisa di Gherardini, the wife of Florentine silk trader named Francesco Del Giocondo. It is said that Leonardo took the painting with him everywhere. Francesco commissioned the portrait with the aim of

Financial Analysis of Samsung

Financial Analysis of Samsung In todays era of digital there are companies drifted towards the digital technology. The company Samsung has made his position in the market by themselves and now days recognised as the most innovative and good quality brand in the sector of electronic industry. The Samsung follow the policy of we will devote out human resources and technologies to create superior products and services thereby contributing a better global society. In this assignment there is financial analysis of the Samsung Company in relation to the last five years summary. The various aspects are discussed critically in this assignment work. In addition to this there is comparison of the Samsung Company with respect to the Nokia Company a big rival of the Samsung Company in the market. There is comparison of the financial positions of both of the companies to make the differentiation between their strategies so they in future they can be benefited by this. Introduction to Samsung Company The Samsung Company is famous company in the area of electronic industry. This company was established in 1969 in Taegu, Korea. The founder of this company was Byung Chull Lee. At the very first time the company has started business with the manufacturing of Black and White TVs. At the early period of time the company was at the steady growth and after the end of year 2004 the company has got about the sale of  £52 billion and has assets about  £38 Billion. At this time the company had employed approximately 113 thousand at the worldwide. In this year the company got the competitive advantage too as it go ahead to its competitive rivals like Kodak, Philips, and Panasonic etc. (Barney and Hesterly, 2008, PC-2 -1). At that time the company involved in the manufacturing of TVs, Computers and Av equipments, Mobile Phones, Networking Equipments, LCD Screens, Notebook computers, Laptops, HDTVs , Washing Machines and other electronic equipments etc. (Barney and Hesterly, 2008, PC-2 -6) . According to the company the success they achieved is purely depend on their contribution that how they manage their company in an effective way by considering the things like contribution to society and mutual prosperity at the worldwide level among the people. The chairman of the company has told that the group of Samsung always guide their employees to pat emphasise over the efficiency and design of the products. Under the observation of the formal chairman the company able to attain the leading position in the electronic market (Barney and Hesterly, 2008, PC-2 -6). In relation to this the below diagram has shown the organisational structure of the company. Financial Analysis of the Company (Samsung) The Samsung is continued to grow and gain profit in the market at high rate. From the financial statement of the last five years of the company has clearly showed that how the company is on the track of the progress. From year 2005 to 2010 there is increase in the net profit of the company. For the year 2005 the company has gained the profit with 31 % but in the next year it was decreased by 1 % and become 30% then for the coming consecutive years there is decrease as that was recession period but still in recession it made the profit of 28% in both 2007 and 2008. For the further improvement in next year of 2009 there is total gross profit is by 33.5 % and fro the next and present year of 2010 the company has the highest profit of 35.3 % as a gross profit of the company. From the financial statement given in the appendixes it is clear that the company has got the improvement in last five years. Till year 2010 there is total assets of the company are 125,677 billion as Korean KRW. Source http://www.corporateinformation.com/Company-Snapshot.aspx?cusip=C410P0400 Ratio Analysis of the company Samsung The following table show the ratios for the company over last five years. The different ratios find in the table are ROE in which there are ratios of Profitability, assets turnover ratio and leverages are included and there is average ration of ROE is given. For the next there is Debt/ equity ratio for the five years followed by the Net debt/equity ratio and in the last column there is total earnings per share are given. The ratios are calculated from the balance sheet and income statements for the last five years of the company. The ratios calculated are shown in the following table for the years 2005-2010. Introduction to Nokia The company Nokia has started in year 1856 at the banks of Nokianvirta River. The company at that time is major force in the industry. After that it undergoes merger with Cable Company to enter into the market of electronic by the name of Nokia Corporation. The new company successfully entered into the market and play a pioneering role in the area of mobile communications. Due to the globalisation the company soon grow at fast pace and there is good position attained by the company. The most strategic decision taken by the company was in 1992 that to concentrate on the telecommunication business only. At present the Nokia Corporation  is engaged in the business of communication and manufacturing of the mobile. This company is at the number one position in the market. The company had over 123000 employees at present working in the company. The company has its roots in 120 countries of the world. The annual sale of the company is 41 Euro billion and has profit about 1.2 euro Billion as on the year of 2009. This company is recognised as the worlds largest manufacturer of mobile phones and even it provides the navigation system too in addition. The market shares of the company was 30% of the global market in the third quarter of year 2010 operating profit of à ¢Ã¢â‚¬Å¡Ã‚ ¬1.2 billion as of 2009. It is the worlds largest manufacturer of  mobile telephones: its global device  market share  was 30% in the third quarter 2010, but this value is less than to year 2009 when it was 34 %. The Nokia is continuing to growing by introducing advance technology accordin g to the global needs of the society and market. Financial analysis of Nokia For the financial analysis of Nokia there is consideration of the annual statements for the last five years of Nokia and also there is consideration of the balance sheet of the Nokia for the last five years from 2005- 2009. The following table is formulated for the explanation purpose to analyse the financial position of the company. Ration Analysis of Nokia The following table shows the ratio analysis of the company on the bases of above table which represents the overall financial statement of the company. From above table of ratios it has been seen that there is deterioration in the ROE ratios from 2007 to 2008 and from 2008 to 2009. There is also deterioration in the ROA ratio with the same pace. Comparison of Nokia and Samsung The both companies are reputed companies in the mobile sector. The Nokia is leading than the Samsung Company. At present the nokia is number one company but there is deterioration in the sales of the company and even in the ratios of the company if it continues it will be hard for the company to compete with its rivals. On the other hand the company Samsung is continue to grow. There is continue growth has seen in the company. As from the financial analysis of the company and the ratios calculated it has seen that at present the company has raised itself from the 15th position to the 5th position and this is milestone in the history of telecommunication industry. The company is continuing on this track to progress. The following presentation shows the comparison between these two companies. Nokia 2009 Samsung 2009 Position in Market 1st 5th Operating income ( 1716) 8973 Net profit 0.63 % 15.4% From above table it is clear that Samsung is making profit regularly. On the other hand there is continues deterioration in the Nokia from last four consecutive years. Vendor Conclusion From the above report it is concluded that the financial analysis is very important for the companies in every field. This is useful in find out the level of company and moreover this is useful in having comparison with the other companies so that for the future welfare possible steps should be taken. The financial analysis make the company knows about the finance they have to spend and where they need to spend this. This even gives the evaluation for the profit and loss for the company.

Nuclear Iconography in Post-Cold War Culture :: Culture War Nuclear Iconography Essays

Nuclear Iconography in Post-Cold War Culture I wish in this paper to sketch a project involving nuclear iconography and post-Cold War culture. At the heart of this project is the claim that the current historical moment forms a legitimation crisis for the scientific, military, industrial, governmental, and "cultural" institutions whose interests are configured in the design, manufacture, deployment, and "use" of nuclear weapons. Within this moment, a variety of progressive and regressive movements have been intitiated through the production and reception of nuclear weapons rhetoric. The role of visual iconography in nuclear hegemony has traditionally received minor attention (e.g., compared with the "nukespeak" of foreign policy, mass media news coverage, and literary works). Recent scholarly articles and books have attempted to correct this verbalist imbalance by examining the genres and discourses of nuclear art (e.g., painting), cinema and photography. Collectively, this work establishes that the Bomb is -- after W.J.T. Mitc hell -- an "imagetext" in which verbal and iconic discourses interanimate to produce ways of (not) seeing and forms of (not) feeling that have historically positioned cultural subjects in relation to the technologies, policies, figures, locations, events, and institutions (in both senses as "customary practices" and "formal organizations") which have constituted the nuclear condition . . . "Now Do You See It?": Post-Cold War Nuclear Iconography I am interested in the role of visual rhetoric in maintaining this "war of position" between military, environmental, arms-control, pacifist, industrial, scientific and federal interests [in post-Cold War culture]. Issues in this research include the nature of verbal and visual codes in nuclear representations (e.g., in critical disagreement over the success of nuclear landscape photography in evoking viewer knowledge of the deadly, invisible radiation which "really" suffuses its depicted objects), the uses to which images are put in various social contexts (e.g., in museum exhibits commemorating the Japanese atomic bombings), and the consequences of images for existing power relations between nuclear authorities and citizens (e.g., in legitimating the "accelerated" -- and arguably incomplete -- cleanup of contaminated nuclear weapons plants by federal agencies and their contractors) . . . . . . A preliminary survey of prominent nuclear weapons images suggests [this] "new" theme in this process, unique to the post-Cold War era . . . . . . "Museumification" This theme describes the inter-related processes by which the partially decrepit and moribund nuclear apparatus is being dismantled, appropriated, recycled, commodified, and memorialized in contemporary culture (e.

Retailing businesses Essay

Different retailing businesses have very different distribution methods based on the types of product that they sell, some arguably more effectively than others. As mentioned in an earlier assignment, there are three main types of distribution channels. The first is the channel that goes from the producer, then to the wholesaler, then to the retailer or sells to the consumer. The second channel starts with the producer who sells straight to the retailer, who then sells to the consumer. The third channel goes directly from the producer to the consumer. Channels one and two are classed as indirect marketing channels, whereas channel three is a direct marketing channel as it goes straight from producer to consumer. All of the distribution channels start with a producer who will create the products, for example the person that milks the cows to get milk. For the first channel, the producer makes the product and then sells it to a wholesaler, such as Costsco who will purchase a huge quantity of products from them. They would do this to make sure that they have enough to sell onto retailers. They would keep a large amount of the product, for example some kind of confectionary, in there warehouse so they’re in a suitable environment to be kept until they’re sold on. Next, the retailer, who could be a small store or a larger store, who would want to purchase a specific amount of products from the wholesalers, not in as bulk form as the wholesaler would have purchased them in. This method would typically be used by used by smaller, more personal stores, that don’t need to buy in such bulk. This channel is effective for confectionary products for example, as Costco can get sweets such as Dairy Milk bars, or Skittles, at an incredibly low price for huge boxes. It is good because it means that the businesses further down the chain will have confidence that they will be able to get the products that they want because the wholesaler gets the items I such bulk and if they sell all of their products, they can replenish easily. For the second channel, the retailer can give their consumers a guarantee that the product is fresher than if they used channel one, as they are getting the product directly from the producer before selling it to the consumer. This is because companies get the products directly from producers so they can guarantee the quality, unlike the first channel where the products go through two separate distributors which could contaminate the product or  raise the risk of it being damaged. An example of this would be the electronics company Sony. Due to the fact that Sony produces their own products and then sells them onto other electronic stores such as Currys/PC World who will then sell the products onto the consumers. The third Channel will typically deal with the consumer directly rather than using a middleman. This means that the customer will get the product or service at that moment on purchase. An example of this could be seen with Gregg’s Bakery. Due to the fact they will have their products made on site and would be able to sell their customers everything they have produced in store without using other stores ford or bringing in any assistance. By doing this it gives Greggs a better look by being able to say that they produce all of their products on site and they can also guarantee that the products are fresh. Different sectors of business will use different techniques when going through the distribution stage differently. This can be from the difference of storing products whilst distributing them and how they actually transport the product to the next person in the channel. For example, how a food retailer and gets their products distributed will be different to how a clothing sto re gets theirs. For a restaurant they use a wide variety of produces such as local farmers and local fishermen, depending on the type of restaurant that they own. They could have very specific producers, for example if they were a halal based restaurant they would have to be very specific about their supplier. Then they will have to either make a deal with the producer/supplier so they can collect produce direct from them. Then they will prepare the food ready to cook it and will store the prepared ingredients safely at the correct temperature. They will then wait for the person at the end of the chain – the consumer – to come to the restaurant to cook it for them. This is good for the producer because money will track back to them through the restaurant gaining the money from selling the meals. The money goes into the restaurant from customers pockets, and then the restaurant will use a portion of this money to re-purchase some supplies from the producer. This is when a good working relationship will develop between them as they will gain more sales and earn more money back. Continuing with a food retailer, Greggs or a restaurant will want to get fresher ingredients than other retailers so that they can make sure they produce all of their products to be as fresh as can be. This  can be done for example by Gregg’s own in-store bakeries having their ingredients delivered in the morning and then they bake them the same morning to make sure they are as fresh as possible. When they order the ingredients from the producers they will have to check that the supplier is storing the produce correctly before purchasing, otherwise they may purchase products that could be unsuitable for them to use and if they did use them, could create problems for them in the future. A good example of this could be seen with restaurants purchasing fish. A lot of the time they would send an employee to get it directly after it has been caught on the boat . They do this so that there are no issues with how the fish is stored, as if it is stored incorrectly whilst distributed it will cause severe food poisoning and could lead to the restaurant getting sued or shut down. A clothing retailer will start the process from the producer then they will involve the their designers and then they would create the products. If the retailer manufactures their own brand clothing for example Primark the producers send the finished garments directly to their warehouses fir distribution into their stores. If it is a clothing retailer that buys garments from fashion houses or via intermediaries then the finished items would go to their wholesalers and then potentially go to retailers depending on what business it is and then finally, they would be bought by the consumers. They would start the process by collecting the cotton from the cotton farmers then they would be shipped off to the factories where weavers and designers will create the fabrics, the fabric factories will then sell them to clothing manufacturing companies who will create something that retailers can sell on to make a profit from the whole process. When they have been created they will choose either to sell them onto a wholesaler or to only sell it in their particular stores. With some businesses having stores in other countries it means they have to have all of their products send to one area then they will have to have those products sent to other stores across to other countries, extending the distribution channels. A retail business such as House of Fraser will be using the second channel. This means that they will get their clothing material/parts sent to them and then thy will create their products, and then send them to their retail stores. Because they have a large area inside their stores to store and display their stock it means they can have a large amount of one clothing item on sale at once. Because  House of Fraser is a bigger company than Greggs they will be using more trucks to get their products to them. Another difference between the two would be that House of Fraser will be able to store their products for a longer period of time due to them selling the non-perishable products unlike Greggs, who make the majority of their products on a daily basis and at the end of the day would have to throw those products away otherwise they would go off. In terms of cost, a restaurant will be willing to spend money in order to get products distributed to them in a safe and hygienic way, as long as they know the full process that the products take. For other businesses, such as Primark, the aim is to get them distributed to them at a very low cost, as long as the products aren’t damaged. This is because the products aren’t perishable and there is no need to store them in any specific way to keep them secure.

An Evaluation of the Factors Affecting the Online Shopping

Abstract Online shopping has grown rapidly in China over the last decade, yet there are only a few studies in Chinese context. This research focuses on B2C (Business to Customer) and C2C (Customer to Customer) to identify the factors that affect online shopping intention of consumers in both positive and negative aspects. However, there are some differences exist that influence online shopping intention among different countries.As a result, this essay evaluates the determinants of online shopping intention of Chinese consumers by comparing consumers in other countries, which will give an insight for online sellers to develop more competitive strategies in China. Contents Abstract Introduction1 Literature Review3 1. Global consumers6 1. 1 Main factors: price, convenience and risks6 1. 2 Additional factors7 2. Chinese consumers8 2. 1 Main factors: quality, delivery and payment security8 2. 2 Additional factors: social influence9 Conclusion11 Bibliography14 IntroductionThere are a grow ing number of people choosing online shopping and this growing trend has emerged all over the world over the last few decades. Online shopping is defined as â€Å"The act of purchasing products or services over the Internet† (Business dictionary, 2012). Similarly, iResearch (2011) defines it as â€Å"The process of transferring commodities or services from the merchant/seller to individual users (consumers) via the Internet. Such a process is called online shopping if any of its capital flow, logistics, or information flow involves the Internet. Benefiting from the rapid economic growth and the development of the Internet, online shopping has become increasingly prevalent in China. The amount of transactions in online shopping, accounts for 1. 1% in 2008 rising to 3. 3% in 2010 of China’s total retail sales of consumer goods (CNNIC, 2011). Moreover, the latest report illustrates that up to December 2012, the number of net citizens in China reached 513 million, of whic h online shoppers are 194 million and the figure has kept a steady development trend with an increase of 20. % compared to the end of 2011 (CNNIC, 2012). It can be seen that online shopping in China has experienced a robust growth and demonstrates a great potential when compared to mature online shopping markets, such as the USA, UK and Japan. However, the development of China’s online shopping has encountered some obstacles, such as the limitations found within delivery and payment systems (Liu, He, Gao, & Xie, 2008, p. 925 & p. 932).Moreover, most research into online shopping has focused on western countries, but very little research has been done in the Chinese context (Kau, Tang, & Ghose, 2003, p. 140; Liu, et al. , 2008, p. 921; So, Wong, & Sculli, 2005, p. 1225). Therefore, in order to reach its potential and to maintain the steady growth tendency of online shopping market in China, it is important to attempt to comprehend the issues influencing the online purchase int entions of Chinese consumers.Thus, the purpose of this paper is to identify and evaluate factors that signify the differences between online purchase intentions of Chinese and global online shoppers. This paper is structured as follows. The next section reviews the related literature about the issues relating to online shopping. Section 1 will identify which factors are prominent or auxiliary and may affect online shopping intention of global consumers while section 2 will compare Chinese consumers with global consumers and evaluate the significance of the differences.Literature Review The e-commerce industry has developed rapidly worldwide over the last few decades including the online shopping market in China which has experienced steady growth. Much research has tried to identify what the factors are and how they affect the online shopping purchase intention; however, a large proportion of these studies have been concerned about the West while only a few studies have focused on C hinese online shoppers and take into account the cultural impact (Kau, et al. , 2003, p. 140; Liu, et al. , 2008, p. 21; So, et al. , 2005, p. 1225). To allow the reader to better understand the factors affecting online shopping intention in China, this section will offer academic research reviews regarding this subject, including different theories, influential factors, and concerns relating to cultural differences. Since online shopping has become more popular, it has attracted widespread attention. Different models and theories have been adopted by many researchers to identify and examine the factors affecting online shopping intention or behaviours. The Theory of Reasoned Action (TRA), the Technology Acceptance Model (TAM) and the Theory of Planned Behaviour (TPB)† have been frequently used (So, et al. , 2005, pp. 1226-1228). Chiu, Chang, Cheng and Fang (2009, p. 761) extended TAM â€Å"by introducing e-service quality dimensions, trust and enjoyment in the development of a theoretical model to study customers’ repurchase intentions of online shopping†. Similarly, Liao and Shi (2009, p. 5) conducted the related research which is also based on the TAM framework, but combined it with â€Å"environmental and social constructs to elucidate consumers’ attitude and behavioural intention to use e-retailing†. A number of studies have extensively discussed the factors influencing online shopping intention over many years. â€Å"Convenience, price savings, extensive information, enjoyment, and broad product selection are considered as major benefits of online shopping† (Fang, Chiu, & Wang, 2011 cited Childers et al. , 2001, p. 82). In addition, another research (Liao & Shi, 2009, p. 28) reveals that social influence, such as online consumer reviews or word of mouth play a significant role in affecting individual behavioural intention to shop online, which is consistent with the result of the research done by Chung and Shin (2 010, p. 473) and Lee, Park and Han (2011, p. 187-188). Moreover, many researchers suggest that â€Å"perceived ease of use and perceived usefulness† of shopping through the Internet are important antecedents of intentions (Chiu, et al. 2009, p. 763; Fang, et al. , 2011, p. 486; So, et al. , 2005, p. 1238). Even though online shopping brings some benefits to consumers which attract them to shop online, some factors have a negative effect on consumers’ purchase decision. For example, poor quality products and underdeveloped payment system; in particular, many researchers demonstrate that trust is a vital factor for online consumers to make purchase decisions. Xu, Zou and Wang (2006, p. 202) also point out that trust is considered to be the most important factor.In contrast, an earlier study suggests that in some countries the most important factor is price while trust is not as important as price (Kim, Xu, & Gupta, 2011 cited in Reibstein, 2002, p. 8). Recently, some res earchers have started paying more attention to the Chinese online shopping market and some comparative studies have been conducted in the context of online shopping in China due to the fast development of the Internet and rapid growth sales in online shopping. Areas covered include China and Japan (Atchariyachanvanich & Okada, 2006) and China and America (Ou, Sia, & Banerjee, 2007).It has been demonstrated that the differences between consumers in China and those in other countries, and namely issues dealing with product quality, logistic infrastructure, payment systems and social influence. This section has reviewed literature about the major theories used in research and some factors that research has suggested including the difference between China and other countries. In the following sections, this research will classify and evaluate the dynamic factors and related issues regarding consumers’ online shopping intentions by comparing China to some other countries. . Global consumers With the increasing intensified competition in online shopping, it is more essential than ever for online retailers to understand the factors affecting consumers’ intention in online shopping, which is critical to success. Therefore, a number of studies focusing on influential factors of online shopping appear in many published conference proceedings and journals. This section will categorize the issues influencing global consumers’ online shopping intentions. 1. 1 Main factors: price, convenience and risksThere are some factors which attract consumers to choose online shopping. Firstly, price has long been considered as a significant predictor when customer making a decision and e-commerce allows consumers to compare the prices across different online shops to find out the cheapest product easily (Kim, et al. , 2011, P. 1). Moreover, compared to traditional retail shops, internet-based shops have a cost advantage; as a result, they are able to offer their p roducts at a cheaper price than are available in traditional shops (Atchariyachanvanich & Okada, 2006, p. 281; Liao & Shi, 2009, p. 27). Secondly, many researchers also point out that as well as price the perceived ease of use and perceived usefulness are important factors to attract consumers to engage in online shopping (Chiu, et al. , 2009, p. 763; Fang, et al. , 2011, p. 486; So, et al. , 2005, p. 1238). For example, online shopping provides the opportunity for consumers to easily locate shops and products, especially convenient for target-oriented consumers who have already decided what they want to buy. (Fang, et al. , 2011, p. 485).On the other hand, even though online shopping brings some benefits and attracts some consumers, there are those that are aware of the risks involved and so this may lead to them rejecting it. Kau, Tang and Ghose (2003, p. 141) argue that those risks include: lack of security, the possibility of credit card fraud, uncertainty about the quality of p roducts, and return issues when the products are failed to meet consumers’ expectation. Moreover, due to the distances involved with online shopping and the fact that consumers are unable to touch or see the products seems to be an inherent perception of risk in shopping online (Kim, et al. 2011, p. 1; Kuhlmeier & Knight, 2005, p. 463). 1. 2 Additional factors Apart from the major factors mentioned above, some additional factors influence the intention of online shopping as well. First of all, the amount of availability of extensive information and choices in online shops which the traditional stores are unable to compete with. Therefore, the options of products available in conjunction with the very latest information being available are a relatively important attractant to online shopping over the traditional retail store (So, Wong and Sculli, 2005, p. 235). In addition, some other influential factors were identified by Kau, Tang and Ghose (2003, p. 140), Atchariyachanvanic h and Okada (2006, p. 2281) , and Fang, Chiu and Wang (2011, p. 482), such as time saving, time flexibility, real-time marketing offers, sharing other online customer reviews and enjoyment. Furthermore, Kuhlmeier and Knight (2005, p. 463) suggest that the more experience of using internet the more likelihood of the consumer to become an online shopper. 2. Chinese consumersSince neither can the existing knowledge of Chinese consumers’ behaviour on traditional shopping nor the reported findings about online shopping in other countries can be directly applied to the online shopping market in China; therefore, marketing strategies need to be tailored to the specific market (So, et al. , 2005, p. 1225). This section will highlight and address any differing issues influencing online shopping intention of Chinese consumers by conducting a comparison between Chinese consumers and consumers in other countries. 2. 1 Main factors: quality, delivery and payment security Liu, He, Gao and Xie (2008, p. 31) state that Chinese people are quite sensitive to price and like negotiating with sellers to achieve a satisfactory deal. Similarly, Atchariyachanvanich and Okada (2006, p. 2283-2285) believe that the main reason why Japanese and Chinese consumers shop online is for cheaper price; however, they add that cheaper price is not the most important reason affecting Chinese consumers’ online purchase intention, Chinese consumers rank the security of the website and the ability to read previous customers’ reviews at the top. It seems to highlight Chinese online shoppers’ uncertainty whether the products they buy re genuine and have good quality or not. Beside quality of products, delivery as another essential factor was concerned by Chinese consumers. Just as CNNIC (2012) shows in the 29th report that delivery is one of the main aspects causing consumer dissatisfaction of online shopping; more specifically, 12. 3%, 5% and 3. 6% of Chinese consumers were not satisfied due to delayed delivery, lost or damaged products and bad attitude of delivery staff respectively. As a matter of fact, Chinese logistic infrastructure lags behind some countries; particularly in terms of limited choices of delivery companies and long delivery time.In contrast, the US has a mature and efficient distribution network supporting online shopping, because outsourced third parties can provide professional services, such as FedEx, UPS, DHL, etc. (Ou, et al. , 2007, p. 23). Research carried out by Xu, Zou and Wang (2006, p. 206) shows that online payment security is the most important factor which should be strengthened by e-commerce companies because online shoppers pay more attention to it. Additionally, unsound credit card payment system is more likely to cause financial risk and privacy leakage.In the US, using credit card is the most popular way to pay for online shopping, while in China is still cash payment due to the cash-based culture and immature cr edit card payment system (Ou, et al. , 2007, pp. 21-22). This results from the immature Internet technology which to a large extent impedes the development of online payment system in China. Consequently, the financial risk might be caused by underdevelopment online payment system, which is a significant reason leading to a decision to reject online shopping (Zhou, Dai, & Zhang, 2007, pp. 49 & 55). 2. 2 Additional factors: social influenceBased on Hofstede’s cultural model, online consumer behaviour can be predicted by five cultural difference dimensions, one of them is individualism – collectivism, for instance, America and New Zealand belong to individualism while China belongs to collectivism. This, in turn, has led to different online shopping behaviour among consumers belonging to Eastern and Western cultures (Zhou, et al. , 2007, p. 46). Several studies have revealed that people from a collectivist culture should be more easily influenced by people within their s ocial circles (Liao & Shi, 2009, p. 5). Consequently, social influence should not be ignored in the context of online shopping in China. On the one hand, human interaction cannot be fully satisfied in Internet-based shopping; therefore, it may not be easily accepted by Chinese which are more likely to enjoy interacting with others when shopping (So, et al. , 2005, p. 1237). In addition, it is very common in China that one tends to follow if friends or relatives are interested in online shopping (Liao & Shi, 2009, p. 27).Furthermore, online consumer reviews or electronic word of mouth as a specific way of social influence in the context of online shopping plays an important role in affecting online consumers to make purchase decision (Chung & Shin, 2010, p. 473; Lee, et al. , 2011, p. 188). It seems that social influence is an importance factor affecting online shopping intention of Chinese consumers. Conclusion This project reviewed literature regarding online shopping issues firstl y. It then classified some main factors and additional factors which influence global consumers to choose or not choose Internet-based shopping.Specifically, cheaper price and convenience of online shopping have positive effect in affecting global consumers’ online shopping intentions; however, some risks in terms of products, financial and private information are likely to cause the rejection of online shopping. Finally, it acknowledged and assessed the divergent issues affecting Chinese consumers’ online shopping intention with a comparative approach. Chinese consumers are quite different to global ones due to culture difference and deficiencies within payment and delivery sytems.For example, perheaps because of the high rate of counterfeit and inferior products, Chinese online shoppers pay more attention to the product quality than price. Moreover, in China the logistic infrastructure and payment system are less developed and less mature than in other developed coun tries and this brings greater fear to Chinese consumers to conduct online shopping. Additionally, social influence and associated information from previous consumers who express their opinions online about products and sellers are essential for the Chinese online consumers.As noted above, online shop retailers should not simply apply the existing knowledge about global online consumers to Chinese online shoppers, cultural differences must be taken into account, which is critical to their success and will benefit the development of online shopping market in China. (Words: 2507) Bibliography Atchariyachanvanich, K. , & Okada, H. (2006, 17-20 December 2006). A Study on Factors Affecting the Purchasing Process of Online Shopping: A Survey in China & Japan. Paper presented at the the 7th Asia Pacific Industrial Engineering and Management Systems Conference, Bangkok, Thailand.Chiu, C. M. , Chang, C. C. , Cheng, H. L. , & Fang, Y. H. (2009). Determinants of customer repurchase intention in online shopping. Online Information Review, 33(4), 761-784. Chung, K. H. , & Shin, J. I. (2010). The antecedents and consequents of relationship quality in internet shopping. Asia Pacific Journal of Marketing and Logistics, 22(4), 473-491. Fang, Y. H. , Chiu, C. M. , & Wang, E. T. G. (2011). Understanding customers’satisfaction and repurchase intentions : An integration of IS success model, trust and justice. Internet Research, 21(4), 479-503. Kau, A. K. , Tang, Y. C.E. , & Ghose, S. (2003). Typology of online shoppers. Jouranal of Consumer Marketing, 20(2), 139-156. Kim, H. -W. , Xu, Y. J. , & Gupta, S. (2011). Which is more important in Internet shopping, perceived price or trust? Electronic Commerce Research and Applications. Kuhlmeier, D. , & Knight, G. (2005). Antecedents to internet-based purchasing: a multinational study. International Marketing Review, 22(4), 460-473. Lee, J. , Park, D. H. , & Han, I. (2011). The different effects of online consumer reviews on consum ers’purchase intentions depending on trust in online shopping malls.Internet Research, 21(2), 187-206. Liao, Z. Q. , & Shi, X. P. (2009). Consumer perceptions of internet-based e-retailing: an empirical research in Hong Kong. Journal of Services Marketing, 23(1), 24-30. Liu, X. , He, M. Q. , Gao, F. , & Xie, P. H. (2008). An empirical study of online shopping customer satisfaction in China: a holistic perspective. International Journal of Retail & Distribution Management, 36(11), 919-940. Ou, C. X. J. , Sia, C. L. , & Banerjee, P. (2007). WHAT IS HAMPERING ONLINE SHOPPING IN CHINA?Information Technology Management, 18(1), 16-32. So, W. C. M. , Wong, T. N. D. , & Sculli, D. (2005). Factors affecting intentions to purchase via the internet. Industrial Management & Data Systems, 105(9), 1225-1244. Xu, H. J. , Zou, X. W. , & Wang, H. S. (2006). Consumers'attitudes of e-commerce in China. Scholarship and Professional Work – Business, 7(2), 202-207. Zhou, L. , Dai, L. W. , ; Zhang, D. S. (2007). ONLINE SHOPPING ACCEPTANCE MODEL— A CRITICAL SURVEY OF CONSUMER FACTORS IN ONLINE SHOPPING. Journal of Electronic Commerce Research, 8(1), 41-62.

Karl Marx and George Shaw

Karl Marx and George Shaw Introduction Karl Marx’s article was essential in explaining how the working class and the elite relate to one another through the capitalist machinery, while the play ‘Mrs. Warren’s Profession’ confirms Marx’s assertions by portraying the effects of an exploitative system of labor. The paper will start with the basics of Marx’s theory in the book and relate them to its manifestations in Shaw’s play. Thereafter, the report will identify commonalities between these two writer’s schools of thought and make a conclusion.Advertising We will write a custom essay sample on Karl Marx and George Shaw specifically for you for only $16.05 $11/page Learn More Comparison Karl Marx argues that the failures of capitalism will eventually lead to its destruction because it is self contradictory. Marx affirms that wages are what a laborer receives for his work; it is thus a commodity like the equipment that the employer uses to get work done or the lease agreement that he pays in order to open shop. Therefore, labor may be regarded as an investment in production. A worker has the option of selling his labor (commodity) to any investor he chooses at any time. However, he has no right to refrain from selling it at all as he will have no earnings and no means to sustain himself; as the author eloquently puts it â€Å"he works in order to live† (Marx 204). A laborer’s life is all about selling his labor for sustenance. In other words, capitalism has minimized his choices and forced him to contend with this scheme of things. The same concepts prevail in George Bernard Shaw’s play Mrs. Warren’s profession. In this Victorian society, men have no option but to sell their labor. However, women experience even worse predicaments than their male counterparts. They can only sell their labor if they are as highly educated as Vivie. Most of them do not even have the option of exchang ing labor for wages. They must reduce themselves to prostitutes or unhappy wives. Capitalism is inherently exploitative in the play because it gives male workers minimal choices and women even worse alternatives. Karl Marx explains that capitalism is exploitative because employers steal the actual value of worker’s input for benefits. When a laborer works for the capitalist, his pay is equivalent to his value as a commodity. The wage is what is necessary to create the laborer as the employer must train and prepare him for the job (Marx 207). However, Marx notes that laborers produce more value than they consume, and this makes the employer-employee relationship unequal. In order to get profit, capitalists take advantage of the surplus value that a worker produces. For instance, if a worker need to give 6 hours of his time in order to match his sustenance, then any extra hours will be a surplus that exceeds the value of what it took to produce the worker. The stolen excess of a laborer’s worth is an employer’s gain (Marx 208). Therefore, no equal exchange takes place between workers and employers; cheap labor is the means with which the ruling class attains its status.Advertising Looking for essay on political sciences? Let's see if we can help you! Get your first paper with 15% OFF Learn More These sentiments echo throughout George Bernard Shaw’s play. Vivie learns about Mrs. Warren’s profession from her mother. When Mrs. Warren defends her profession, she says â€Å"How could you keep your self respect in such starvation and slavery? And what’s a woman’s worth? What’s life worth? Without self respect! Where would we be now if we minded the clergyman’s foolishness? Scrubbing floors for one and six pence a day and nothing to look forward to but the workhouse infirmary† (Shaw 219). Mrs. Warren was conscious of the unequal exchange that takes place in most conventional p rofessions for women. The worth that women, in particular, provided their employers were in no way related to the meager earnings the got. These exploitative conditions were similar to the ones that slaves experienced. It should be noted that although George Shaw’s play appears to support prostitution, the industry is still just as exploitative as other conventional ones. This proves Karl Marx’s point that no matter how promising a certain industry may seem workers have no choice but to remain buyers of the capitalist class. The aristocrat Croft explains that he regarded the industry of prostitution as a highly profitable one. He asserted that if he turned away from this opportunity, then he would be behaving like an insensible man. Other people were seizing opportunities to make money in various industries so this should come as no surprise. The callousness inherent in the business world was evident in the profession of prostitution, as well. Mrs. Warren objects to th e exploitative nature of the business world; consequently, she chooses to become a prostitute (Shaw 260). However, she contradicts these objections by perpetuating the same level of exploitation against innocent girls. Mrs. Warren rose to the rank of madam by first starting as a conventional prostitute and then climbing the ranks. By running brothels in different parts of Europe, she is doing the same thing that caused her to become a prostitute in the first place. Just like capitalists who cannot survive with exploiting workers, Mrs. Warren could not become a madam without exploiting other women. Marx believed that workers have the freedom to move from one employer to another but never from one class to another. There were structures that kept the working class in their place. The meager wages that they derived from their work was never sufficient to remove them from this cycle; it was only enough to feed them or meet their basic needs. Likewise, in the case of prostitutes in Georg e Bernard Shaw’s play, they had wealth but no virtue; consequently, society never accepted them. One can see this when the Reverend hosts an event in which he finds it appalling that Mrs. Warren is attending it. Society was limiting their choices and ensuring that women always result to an underpaid and overworked position by frowning upon other alternatives to wealth creation. Capitalists make certain that they always have a constant supply of workers by minimizing their options and keeping them in lack.Advertising We will write a custom essay sample on Karl Marx and George Shaw specifically for you for only $16.05 $11/page Learn More Karl Marx notes that the interests of the working class will always antagonize those of the elite. Eventually, this may lead to the demise of the capitalist system as it will implode (Marx 209). When workers appear to be getting more wages as a result of growth in their places of work, this is equivalent to getting mor e crumbs from the rich man’s table as he is enjoying the lion’s share of those rising profits. Therefore, capitalism operates in a mutually exclusive way; one group will always benefit at the expense of another. Likewise in the play, Mrs. Warren chooses to become a prostitute because of her discontent with the exploitative nature of work. Many others like her enter this secret profession because their needs antagonize those of their employers. In essence, an implosion occurred in this society because capitalism had failed to live up to its promise. Prostitution was the unnatural response to a system of work that undermines the same people it depends on for survival. The author of the play Mrs. Warren’s Profession clearly indicates that he is a socialist and a firm supporter of Karl Marx’s principles in the book â€Å"Wage, labor and Capitalism†. One can determine this by the playwright’s choice of characters. Mr. Croft is a shrewd capitali st who does not even conceal the unethical nature of his business practices. In one situation, Croft even boasts about his business. He compares himself to his brother who is in charge of a factory that hires 600 girls. Croft believes that prostitution is far superior because even though his brother gets 22% from the factory, none of the girls earn enough to live comfortably. The audience reacts to this self righteousness by disliking Croft. George Bernard Shaw wanted to show that capitalists are often morally repugnant. Vivie’s response to Croft’s assertions enforces these sentiments. She explains that his words are quite offensive and polluting. One can, therefore, realize that the playwright was speaking out against injustices inherent in a capitalist world. In Karl Marx’s writing, he talks about the notion of the alienated worker. Since members of the working class have no choice but to keep selling their labor power to capitalists, most of them must contend with this role exclusively (Marx 206). They focus so much on creation of value for the employer that they even lose their humanity. Such people misplace their individualism and uniqueness thus becoming like machines. The same thing is evident in the play Mrs. Warren’s profession. The women in this play have lost their sense of humanity as society assesses their worth by how much they can clean or scrub (Shaw 66). Those who choose a daring path such as Mrs. Warren have also reduced their humanity to their secularity. Consequently, one can see that capitalism alienates workers and transforms them into machines.Advertising Looking for essay on political sciences? Let's see if we can help you! Get your first paper with 15% OFF Learn More Employers and many capitalists have created a lot of mystery concerning the way they do business as well as in the value of the things that they create. Karl Marx explains that commodities reflect the social relations and the labor that people put into them. The price of the item often obscures this fact (Marx 209). Capitalists have given money a mythical significance in order to neutralize their effects. Even bourgeois economists minimize the exchange of commodities to financial patterns alone. These individuals do not look at what happens in terms of the social aspects of money. Members of the lower class may, therefore, not be aware of the exploitative nature of wage labor. The shift away from the social relations of labor thus protects the proletariat from potential inquisitions and protests from the working class. Similarly, the same issue of deflecting the real value of commodities exists in the play Mrs. Warren’s Profession. Croft chose not to focus on the exploitativ e nature of his work and instead extolled the profits earned from the trade (Shaw 150). He was justifying his actions by talking about the amount of money made from the trade. However, prostitution still uses vulnerable girls to make profits; this case was not an exception. Conclusion Capitalism promotes class conflicts as explained by Karl Marx, which can only lead to undesirable consequences. George Bernard Shaw’s Victorian society exploits workers and gives females extraordinarily few choices for sustenance. As a result, some of them have lashed out against this exploitation through immoral acts such as prostitution. Marx, Karl. Wage Labor and Capital. Literary Theory: An Anthology. Ed. Julie Rivkin Michael Ryan. MA: Blackwell Publishing Ltd, 2004. 201-210. Print. Shaw, Bernard George. Mrs. Warren’s profession, NY: Broadview, 1902. Print.