Sunday, January 26, 2020
Principles of Musharakah and Mudarabah
Principles of Musharakah and Mudarabah Musharakah and Mudarabah written in the books of Islamic fiqh generally means contracts which are formed for starting a joint venture in which all partners participate in the business from starting till end when assets are liquidated. The books of Islamic fiqh were written in an environment when there were only small trades and no large scale businesses took place. The principles of Musharakah and Mudarabah can be applied to small as well as large scale commercial enterprises. The basic principles of Musharakah and Mudarabah are as follows: Musharakah and Mudarabah financing is not interest based Financier /investor must share loss to the extent of their investment Profit is distributed according to the agreed ratio with their mutual consent, but the sleeping partner cant claim more than the ratio of his investment Loss suffered by partner is exactly according to the proportion of his investment For financing a project, the traditional method of Musharakah and Mudarabah can be easily applied. If a Financier wants to finance the whole project, he can use Mudarabah financing and if some parties want to finance the project jointly, they can adopt Musharakah financing. It is very easy to evaluate the capital if the Musharakah or Mudarabah have been effected since inception of the project. In case of Musharakah if any partner wants to withdraw from the business, the other partners can purchase his share at an agreed ratio. The partner can thus either fully own the business on his own or can sell the share of the partner who withdrew his capital to other person who can substitute the withdrawing financier Securitization of Musharakah Musharakah financing can be securitised easily, in case of big projects a huge sum is required which a few people cant afford. Every person investing is given a Musharakah certificate which represents the amount of money he has invested in business. After the start of the business and buying non liquid assets, the certificates can be treated as negotiable instruments which can be sold in the secondary markets. However, if all the assets of Musharakah are in liquid form, buying and selling of these certificates is not allowed because as all the assets are in liquid form and exchange of such assets means exchanging money for money, and for exchanging money for money both must be equal. Access from any side is Riba, which is prohibited in Islam In case if the money invested is invested in non-liquid assets as land, machinery etc. the Musharakah certificate will represent the portion of ownership in those Assets. In this of assets being in non-liquid form, it will be allowed by the shariah to sell certificates in the secondary market on any price agreed upon by the parties with their mutual consent In case the assets in the business are a mixture of liquid and non-liquid assets most of the schools of thoughts including shafii have allowed trading only if the size of non-liquid assets in the whole business is more than 50%. However, if the Hanafi view is adopted, transaction if valid even if the non-liquid assets are less than 50% but the amount must be greater than liquid assets and non-liquid assets must not be negligible Financing of a single transaction The principles of Musharakah and Mudarabah can be easily used for financing a single transaction. It can be applied for fulling day to day needs of small traders as well as for import and export transactions. An importer can approach financier for financing him for importing goods for a single transaction. Banks can also finance for importing goods. If the letter of credit has no restrictions, Mudarabah can be followed and if the letter of credit has restrictions, Musharakah suits for such case. After selling the imported goods, the sales proceed can be shared by the financier and the imported on an agreed ratio When finance is required for working capital of a already running business, the principles of Musharakah can be applies in the following ways Before investing in the running business the capital of the business can be evaluated by the mutual consent. As according to Imam Malik, non-liquid assets can also form a part of capital so, this view can be applied here. The value of the already running business will be the share of one partner and the amount of investment by the financier will be his share. The profit given to the financier is agreed upon by both the parties which should not exceed the amount of his investment. The Musharakah can be for a limited period of time like 6 months, one year, two years, after the completion of the term both the liquid and non-liquid assets are evaluated again and profit may be distributed on the basis of evaluation Sharing of gross profit Financing by the method above can be very difficult in case the business is big and has large number of fixed assets, because the valuation of the assets, their appreciation or depreciation may create accounting problems which can cause disputes among partners. In this case Musharakah may be applied in another way In this scenario, difficulty arise due to calculation of indirect expenses like salary of staff, depreciation of machinery etc. For solving such problem only direct expense like raw material, labour, etc. Shall be borne by the Musharakah. It means all the indirect expenses shall be borne by the industrialist and instead of net profit, gross profit shall be shared among the partners. In order to compensate the industrialist, the percentage of his profit may be increased Running musharakah account on the basis of daily products Most of the financial institutions finance working capital by opening a running account from where the client draws the money at different intervals and returns surplus money. This process of credit and debit goes on and up to date of maturity. interest is calculated on the basis of daily products For making such arrangement possible for Musharakah Financing, following procedure may be suggested A portion of the actual profit must be used for management of the business A portion of the profit must be used for paying the investors Loss must be borne by the investor in the exact ratio of their investment in the business The average of the contribution made to the musharakah account on daily basis must be treated as the share capital of the financier Profit earned at the end of the term must be calculated on daily product basis, and must be distributed among the partners accordingly If parties allow such arrangement, it does not seem to violate any principles of Musharakah However, this needs to be looked into by the experts of Islamic jurisprudence. Practically, it means the parties have agreed to the principle that the profit earned at the end of the agreed time will be divided by the capital utilized per day. Which will lead to average of money earned on daily. The amount of money earned per day will then multiplied by the total number of days the money is invested by the partner for the calculation of his actual profit Some of the scholars do not allow this method as this method does not reflect the calculations of the actual profit earned by a partner of the Musharakah. The business may have earned a huge profit during the time a partner had no investment at all or share of his investment would be negligible but he will be paid at par with the other partners who had invested a huge sum of money. Similarly, the business may have suffered a great loss when a particular partner had invested huge amount of money and he will pass on loss to the other partners despite of their no investment during the loss or having invested negligible amount of money The answer to the argument is that it is not necessary for the partners in Musharakah that they earn profit on the amount of their investment only. Once the Musharakah takes place the profit earned by the business are earned by all the partners despite whether their money in invested in the business or not. This is generally true for the Hanafi school of thought,Ãâà which does not make it necessary for a Valid Musharakah that the money invested by the partners are together mixed up
Saturday, January 18, 2020
Courtroom work group Essay
During this paper I am going to be covering topics such as the courtroom work groups, the role of a prosecutor, the effects of the criminal justice funnel and the backlog of cases on the court system and the courtroom work group. Topics such as these are important to cover so that each individual has a complete understanding of the pros and cons of systems in the judicial system. What is a courtroom work group? ââ¬Å"The professional courtroom actors, including judges, prosecuting attorneys, defense attorneys, public defenders, and others who earn a living serving the court.â⬠(Pg. 312) By Frank Schmalleger 2011. From my understanding a courtroom work group is anyone who works as an employee of the court systems. This includes the bailiff, courtroom recorders, courtroom clerks and translators. During a daily basis the courtroom work group is expected to maintain interaction that serves the court and its many members. The courtroom work group is focused on bringing the case to a fair ending by communicating with each other even though there are different parties hoping for different outcomes. The reason they are able to communicate so well is because even though they support different sides of the case, they are all focused on closing the case quickly. If I was able to make changes to the courtroom work group I would like to change the allotted time each judge spends on a single case. I feel it is important that citizens understand what the judge is telling them and they feel like they are being treated with care not just being rushed through the system. Frank Schmalleger said, ââ¬Å"An attorney whose official duty is to conduct criminal proceedings on behalf of the state or the people against those accused of having committed criminal offences.â⬠(Pg. 315) A prosecutor has too many duties for one person to take on so they hire assistant districtà attorneys who take over most of the court work. There are approximately 2,300 chief prosecutors assisted by 2,400 deputy attorneys. I believe that a prosecutor takes on a case by determining what the case fundamentals are and then deciding the amount of court work to assign each assistant attorney. The effects of the criminal justice funnel are certain individuals not being allotted the proper amount of time needed for the judge to look in to their case before being sentenced. I feel that the criminal justice funnel is just a way to speed up the amount of time you spend in the court system. Because of the lack of judges and funds our judicial system has, we are forced to be put through a system that is impersonal and processed too quickly. As of right now if every citizen going through the court system received as much time as they felt necessary, we would be in a permanent back log which means that one person could sit in prison awaiting trial for over a year when his case could have taken a substantially shorter amount of time with the criminal justice funnel. When members of the court work group are able to come to an agreement or plea-bargain, they are able to speed up the process and move on to the next case quicker and more effectively. Some solutions to making the criminal justice funnel more successful would be to put more money in to the judicial system so that more judges could be hired and citizens feel that they are provided with a more personalized journey through the court system. If this was applied the amount of backlog would be substantially reduced because there would be more judges to handle cases each day. In conclusion, I believe that the court system is always going to be changing. There are always going to be people who are not pleased with the way the judicial system is ran. There are also many aspects which do need attention and would be able to be fixed if only the funds were available. 2.00 chief prosecutors assisted by 2400 deputy attorneys. nal offences. udge is telling them and they feel like they are
Friday, January 10, 2020
Ideas, Formulas and Shortcuts for Expository Essay Samples for 3rd Grade Book Characters
Ideas, Formulas and Shortcuts for Expository Essay Samples for 3rd Grade Book Characters Explain why it's important to eat healthful foods. There are various kinds of expository essays. The majority of the moment, expository essays are presented by offering a wide range of topics and approaches to bring up the idea. All these types of writing provide sufficient details on this issue in easy to comprehend the logical purchase. Ruthless Expository Essay Samples for 3rd Grade Book Characters Strategies Exploited If you're going to compose an expository essay, be ready to devote much time hitting books. When you get a well-formulated topic, it's a half success of your final writing. In school, it's an unavoidable truth that you are going to be requested to write something about a topic which sometimes you're so eager to finish. There may be lots of things you wish to discuss, but when all is said and done, there's a need to acquire right to the point. More than every other so rt of writing, expository writing is a daily requirement of the majority of careers. Essay writing provides plenty of benefits to students in the academe. As all of us know, it's never a simple job to write especially college essays. What You Don't Know About Expository Essay Samples for 3rd Grade Book Characters Here are some guidelines you may utilize. If you wish to simplify the procedure, you can try activities like listing, clustering, freewriting, and questioning. You're able to consist of information based on your own personal life findings, but nevertheless, it shouldn't be the sole source. You just need to dig into current social problems of the local community and find the foundation for topics from that point. The Expository Essay Samples for 3rd Grade Book Characters Trap Let's look at another example. Jerusalem is often called the city of 3 religions. In reality, this lesson itself is an illustration of expository writing. The Appeal of Expository Essay Sam ples for 3rd Grade Book Characters Describe what you think it's going to be like. An introduction has become the most significant part your bit of writing. Then the next step is going to be to find out more about the expository essay structure. To continue to keep your writing smooth, make certain that your paragraphs transition well. Describe a number of the new responsibilities you are going to have when you enter middle school. Every day you'll be able to learn some new truth about science developments. Therefore, if you prefer to have nontrivial expository essay topic that demands thorough research, choose something which refers to a technological region of study. Look to your neighbor and inform them an overview of the story. The Key to Successful Expository Essay Samples for 3rd Grade Book Characters Cite the most essential ones, then describe, in your words, why they support your argument. Explain what types of feelings you get. Do not allow the fancy words fool yo u it's very likely that you've already written one without even being aware of it! Explain several methods you might handle somebody who's attempting to bully you. The conclusion ought to be a construction made from the past couple of paragraphs. Explain why it's so important to you. Explain the importance of the claim in regards to the total argument. Hurry up to complete an essay order form at the website and forget about worries! What You Should Do About Expository Essay Samples for 3rd Grade Book Characters Starting in the Next Five Minutes Well, that's just normal. Starting off with a considerable occurrence, discovery, or study will provide you with more points in factual research also. In addition, there are times when you truly feel like you don't wish to write something. It effectively tells your reader you've thought about your topic from several angles! You cannot begin writing an essay without a sharp clue about what things to write. While an expository essay n eeds to be clear and concise, it may also be lively and engaging. Consider your readers. Brainstorm ideas and select the topic that is ready to attract your audience. Locate the trustworthy information for the essay topic you will work on. That's the reason you should do an excellent pre-writing job trying to find the attractive topic, which you'd like to present to your intended audience. Such a planning has helped them think all of the way through the essay till they begin writing. The Benefits of Expository Essay Samples for 3rd Grade Book Characters From its name, you can guess that you need to have a crystal clear picture of a particular thing so as to offer your reader with a very clear and concise explanation. Define the characteristics which make a very good friend. Describe how you would handle a great friend who's angry with you. Spend some time considering the goal of your writing. Paragraph one is the point where the fourth-grader sets down his primary topic sentence. It's structured exactly as with any other essay with an introductory paragraph, w hich will include a sound thesis statement, and main body paragraphs which help to prove your thesis statement, and a conclusion paragraph that summarizes all of your points and wraps up your essay. As you're most likely already aware, it is quite rare to get a totally open-ended expository essay assignment. Examine the expository essay samples, which one can easily find online nowadays. Choose the one which you liek to compose a great expository essay! Creating an effective essay of the type may appear to be a more challenging task in comparison to other essays. Software manuals are full of this kind of writing. Your duty as the writer is to supply the reader with as much information as possible. Then you need to focus on your reader. Your reader will observe all details throughout the prism of your ideology.
Thursday, January 2, 2020
Basic Guide to Using Spanish Adverbs
Like an adjective, an adverb is a type of word that often is used to provide needed details. Although we could make grammatically complete sentences without them, we would be severely limited in what we could convey. What Are Adverbs? Spanish adverbs are much like their English counterparts. There are at least two ways in which we can define what adverbs are: Words that tell us when, how, or where the action or process in a sentence takes place.Words that modify or limit the meaning of a verb, adjective, adverb, or entire sentence. As in English, most Spanish adverbs are derived from adjectives. Most Spanish adverbs that are derived from adjectives end in -mente, just as in English most end in -ly. Examples of Adverbs Classified by Function The following sentences give examples of the way adverbs can be used as shown in the above criteria. English translations follow roughly the same word order to help clarify the adverbs usage, although other word orders usually are possible.) Telling us when: Pronto voy a verte. (Soon I am going to see you. Pronto tells when I will see you.) Telling us how: Los estamos observando cuidadosamente. (We are watching them carefully. Cuidadosamente tells how they are being watched.) Telling us where: A Amanda le gusta jugar afuera. (Amanda likes to play outside. Afuera tells where Amanda likes to play by explaining where.) Modifying a verb: Entonces estudiamos con nuestros amigos. (Then we will study with out friends. Entonces affects the meaning of the verb estudiar by explaining when.) Modifying an adjective: Espaà ±a todavà a està ¡ muy verde. (Spain still is very green. Muy affects the meaning of the adjective verde by indicating intensity.) Modifying another adverb: Muy pronto voy a verte. (Soon I am going to see you. Muy affects the meaning of pronto by indicating intensity.) Modifying a sentence: Desafortunadamente no voy a estar aquà . (Unfortunately, I am not going to be here. Desafortunadamente affects the meaning of the rest of the sentence by explaining its significance.) Examples of Adverbs Classified by Meaning Adjectives can also be categorized by the way in way they change meaning. In some cases, this affects whether they come before or after what is modified. Adverbs of manner: Adverbs of manner are the most common and are used in a wide variety of situations, as they tell how something is done. In Spanish, they typically come after the verbs they modify. Estudia bien. (She studies well.)Canta mal. (He sings poorly.)Conduce lentamente. (He drives slowly.)Me abrazà ³ carià ±osamente. (She affectionately hugged me.)Leo mucho. (I read a lot.) Intensifiers and modifiers: These serve to make the adverb or adjective they modify either more or less intense. They come before the words they modify. Estoy muy cansada. (I am very tired.)Es poco inteligente. (He is not very intelligent.)Està ¡ mà ¡s borracho. (He is quite drunk.) Point of view adverbs: These adverbs modify an entire sentence and evaluate it. Although they usually come at the beginning of a sentence, they dont have to. Quizà ¡s à ©l tenga miedo. (Perhaps he is afraid.)Personalmente, no lo creo. (Personally, I dont believe it.)Pablo evidentemente estudia mucho. (Pablo obviously studies a lot.) Adverbs of time: These adverbs tell when something occurs. They often come after the verb but can come before. Salimos maà ±ana. (Were leaving tomorrow.)No estudia nunca. (He never studies.) Adverbs of place: These adverbs tell where an action or process occurs. They can be confusing for beginning learners, since many of the adverbs that indicate place can also function as prepositions or even as pronouns. Adverbs of place appear either before or after the verb they modify. It is more important in Spanish than in English to make certain that the adverb is placed close to the verb it modifies. Està ¡ aquà . (It is here.)Allà comeremos. (Well eat there.)Te busca arriba. (He is looking for you upstairs.) Quick Takeaways Adverbs are a type of word that is used to affect the meaning of an entire sentence or certain words, particularly verbs, adjectives, and other adverbs by telling us how, when, or where.Spanish adverbs based on adjectives frequently end in -mente.Depending on how they are used, Spanish adverbs can be placed before or after the words whose meanings they change.
Tuesday, December 24, 2019
Essay on Cyber Warfare - 909 Words
Cyber Warfare Autumn Volosin CIS 450 20 November 2012 Table of Contents Section 1.1: What is Cyber Warfare? Section 1.2: Methods of Cyber Warfare Attacks Section 1.3: Who is targeted by Cyber Warfare? Section 1.4: How to defend against Cyber Warfare Section 1.5: Cyber Warfare Companies and Agencies Section 1.6: Cyber Counterintelligence Section 1.7: Important situations pertaining to Cyber Warfare Section 1.8: America versus China Cyber Warfare Section 1.9: Cyber Warfare around the world Section 1.10: Cyber Warfare everyday What is Cyber Warfare? ââ¬Å"Cyber warfare is a term used to describe the use of the Internet to wage war in the virtual world, often with real effects in the physical world,â⬠(McGuigan). In the pastâ⬠¦show more contentâ⬠¦Classified information that is not handled securely can be intercepted and even modified, making espionage possible from the other side of the world. Specific attacks on the United States have been given codenames like Titan Rain and Moonlight Maze. General Alexander notes that the recently established Cyber Command is currently trying to determine whether such activities as commercial espionage or theft of intellectual property are criminal activities or actual breaches of national security. As for sabotage, military activities that use computers and satellites for coordination are at risk of equipment disruption. Orders and communications can be intercepted or replaced. Power, water, fuel, communications, and transportation infrastructure all may be vulnerable to disruption. According to Clarke, the civilian realm is also at risk, noting that the security breaches have already gone beyond stolen credit card numbers, and that potential targets can also include the electric power grid, trains, or the stock market. Electrical power grids can be a method of attack in cyber warfare as well. In 2009 a report was released showing that the United States electrical grid was incredibly susceptible to attacks in cyberspace, which could cripple the nation by shutting offShow MoreRelatedThe Threat Of Cyber Warfare1631 Words à |à 7 Pagesinformation with the malicious intent to sabotage. Conversely, there are those who are not quite sure if cyber warfare is an actual threat. This will also provide an ample answer to questions such as: What is cyber warfare? And will answer the question of, what is the history of cyber warfare? And will answer the question Is there any real way to protect ourselves from a cyber attack? Cyber warfare has been around since the beginning of human creation, when the serpent told Eve to eat from the forbiddenRead MoreCyber Warfare And Global Affairs1543 Words à |à 7 Pagessteal information. Even countries are using the cyber domain as a separate battlefield to fulfill their missions and acquire information. Cyberwar is relatively a new term to describe: an Internet-based conflict involving politically motivated attacks on information and information systems. But the definition is constantly evolving with time and the more knowledge the public acquires about these conflicts. Although the idea of explaining cyber warfare is far too vast and bound to only readily availableRead MoreCyber Warfare And Its Effects On The World1683 Words à |à 7 Pagesembedded global positioning system guidance kit provides obvious visible damageââ¬âsomebody, or something, just fractured into smaller pieces. The same is not necessarily the case with bellicose actions in the cyber dimensionââ¬âat least not at first look. Senior leaders as a whole have largely ignored cyber warfareââ¬â¢s catastrophic potential due to the initial invisible physical effects and huge costs associated with protecting our systems and information. As our reliance on technology grows as exponentiallyRead MoreCyber Warfare And Security Threats2770 Words à |à 12 Pagesbecome prey to attackers and has given birth to a new era of Cyber warfare. Consequently, the Internet, computers and networks have become targets and vehicles of cyber attacks and generate challenges to our security privacy. Cyber Warfare presents an ever-increasing amount of security threats, which continue to escalate with increasing harshness, and is now a critical issue in our technology realm and a growing threat to the world. Cyber wars are generally politically or economically motivated, withRead MoreCyber Warfare Is Not Fully Understood2407 Words à |à 10 PagesCyber-warfare is a relatively new con cept to the imagination, but its novelty should not belie its importance to be understood at all echelons of a command structure. It is an emerging reality, and its relevance is proportionate to the continuous global expansion and convergence of digital networks. The capabilities of cyber-warfighting strategies and tactics are extensive, and a need for a common language and understanding is necessary for cyber-warfighting capabilities. Within any culture, languageRead MoreStop Cyber Warfare Before It Happens Essay2506 Words à |à 11 Pagesof warfare. It gives protection to civilians in times when war tares families and countries apart. President Obama speaking on the importance of the fourth Geneva Convention stated, ââ¬Å"We lose ourselves when we compromise the very ideals that we fight to defendâ⬠¦And we honor those ideals by upholding them not when its easy, but when it is hardâ⬠(ââ¬Å"Presidentâ⬠). Today Americans face a new type of conflict, one that many co nsider as the fifth breed of warfare, and answers by the name cyber warfare (ââ¬Å"Threatâ⬠)Read MoreCyber Warfare : A Nation State Or International Organization Essay2110 Words à |à 9 Pages Cyber Warfare Introduction: Cyber warfare involves the actions by a nation-state or international organization to attack and attempt to damage another nation s computers or information networks through, for example, computer viruses or denial-of-service attack. The Internet has experienced a magnificent development over the past two decades, from a petite network limited chiefly to the scientific society to a universal network that counts more than two billion users. With development came risingRead MoreCyber Warfare1994 Words à |à 8 PagesCyber warfare One of the first cyber-attacks was the Morris worm in the year 1988. It had affected the world cyber infrastructure. This worm utilized the weak areas of UNIX system Noun1. This worm has replicated adversely and slowed down the computers in all of the US and made them unusable. Cyber warfare has become a societal issue now. Though the roots of cyber warfare aimed at military areas primarily, it extended its effects to non-military areas too. The information infrastructure based companiesRead MoreCyber Security And Cyber Warfare2152 Words à |à 9 PagesFINAL REPORT 8.1 Summary 8.1.1 Motivation To address the increasing threats to national security coming from the cyber domain, military intelligence corps have recognized the need for officers trained in cyberspace 88 Data subject to restrictions on cover and notice page. counterterrorism techniques, technologies, and methods. These officers direct and conduct integrated electronic warfare, information technology, and cyberspace operations, as authorized or directed, to ensure freedom of action in andRead MoreCyber Warfare Is The New Warfare Domain1528 Words à |à 7 Pagesattack the opposing country using their cyber warfare capabilities. II. Explanation of thesis and short summary. Cyber warfare is the new warfare domain. Understanding how to morally utilize the newfound capabilities will assist the United States to maintain military dominance as well as mitigate possible immoral tragedies. Cyber warfare and war envelops a vast array of topics available for discussion. Therefore, the topics of interest within cyber warfare will be confined to attacks on electrical
Monday, December 16, 2019
Boston matrix analysis for BHP Billiton Group Free Essays
Abstract The paper provides an analysis of BHP Billiton Group based on the Boston matrix. It is indicated that this matrix is a solid marketing tool to determine the financial performance of organisations. It focuses on companiesââ¬â¢ market share and market growth. We will write a custom essay sample on Boston matrix analysis for BHP Billiton Group or any similar topic only for you Order Now As a result of the implementation of the Boston matrix analysis to BHP Billiton Group, it is concluded that the company is at the position of a cash cow on the matrix. This finding has significant practical implications, and thus recommendations to use certain strategies are provided. Introduction The Boston Matrix represents a marketing tool, which is commonly used to conduct product portfolio analysis and management. This instrument was introduced by the Boston Consulting Group in the 1970s (Stern and Deimler, 2006). The Boston Matrix mainly focuses on the dimensions of market share and market growth, as these aspects are considered important to identify the areas in which companies need to utilise resources in order to optimise their profit generation capacity (Kotler, 2006). The matrix indicates a focus on a product management perspective as an integral part of the analytical process. Market share refers to the percentage of the total market, which is attained by organisations. This value can be measured by considering the percentage of revenue or unit volume. It is usually assumed that a high market share suggests significant financial benefits to a company. Market growth relates to the attractive parameters identified in a particular market (Schermerhorn, 2013). Businesses are usually grouped into four major categories: dogs, cash cows, question marks and stars. Dogs are companies that encounter the challenges of low market share and low market growth, while cash cows tend to have a high market share in low growing markets (Kotler, 2006). Question marks have a low market share in high growing markets. Stars represent the ideal situation for organisations because they tend to have a high market share in a rapidly growing industry (Stern and Deimler, 2006). These elements are reported by Stern and Deimler (2006) to generate sufficient cash and extensive opportunities for development. By applying the Boston matrix analysis to the performance of BHP Billiton Groups, it appears that specific information and trends from the companyââ¬â¢s segments should be considered. The iron ore segment of the organisation has been following a star strategy by focusing sales in Australia due to its intention to decrease production costs, which would help the corporation obtain a bigger share of the market. This may happen even though growth in Chinese steel output significantly decreases (BHP Billiton Ltd., 2013). BHP Billiton Groups has a high market share in the Chinese location but low growth, which reflected in the price drops. This in turn decreased the revenues from the companyââ¬â¢s associated segments. According to this dimension, the corporation has been following a cash cow strategy. The iron ore segment of the organisation is facing persistent challenges related to the decline of iron price, workers strike as well as strengthening Australian dollar (BHP Billiton Lt d., 2013). The copper segment is also affected by copper prices. As a result, the organisation has been following a question mark strategy by indicating a low market share in China due to the overall decline in copper revenues. Yet, the strategy of the company is to maintain a high market growth because of its positive production outlook in the respective segment. Similarly, the coal segment is negatively affected by low coal prices and rising cost. However, the corporationââ¬â¢s coals continue to be recognised as the most highly valued, supporting strong long-term margins, implying that BHP Billiton Groups has been following a star strategy in the Chinese and Australian locations (BHP Billiton Ltd., 2013). Future supply growth in the coal segment indicates that it is predominantly Australian, which directly sets the organisation at the position of a star on the Boston matrix. The fact that the outlook for the petroleum segment looks good is important to predict that the company may return to its position as a star on the Boston matrix. One of the expectations in this context is that total shale production is most likely to rise in the future (Stern and Deimler, 2006). In terms of the companyââ¬â¢s geographical locations, it seems that geographic factors limit competition for the organisation. The company operates in more than 100 geographical locations across the world. The companyââ¬â¢s market share is high due to its diversified portfolio of services. Moreover, its market growth is relatively high (Grant, 2013). Therefore, BHP Billion is pursuing a star marketing strategy considering the mentioned aspects. With regards to the companyââ¬â¢s aluminium segment, it can be argued that BHP Billiton is pursuing a star marketing strategy, considering its both high market share and high market growth. For instance, the corporationââ¬â¢s total aluminium production for the fiscal year of 2013 is approximately 1.2 Mt (BHP Billiton Ltd., 2013). This means that the companyââ¬â¢s market share is extremely high in this segment, which along with its high market growth in markets of Western Europe and Asia makes the corporation in a winning star position on the Boston matrix. The manganese segment of the company shows its adoption of a star strategy because approximately 80% of its production is sold directly in countries, such as China, India and South Korea (Grant, 2013). This aspect implies that BHP Billiton has both high market share in the mentioned markets and high market growth. It can be argued that BHP Billiton Groupââ¬â¢s share prices were relatively low in 2012. This aspect prompted the company to follow a question mark strategy because despite its low market share, the provision of various natural resources took place in a high growing market (Schemerhorn, 2013). However, at the end of 2012, the corporation gradually started expanding its share prices by representing an adequate price-to-earnings (P/E) ratio. This means that the group has focused on following a star strategy in its main segments. Yet, it is challenging to estimate the market price for each product due to the extensive diversity of the companyââ¬â¢s products (Grant, 2013). Another challenge associated with the quantification of returns is the categorisation of returns in different currencies. As previously indicated, BHP Billiton Group placed importance on location when it comes to making investments. In the United States, the corporation has been extensively concerned to adhere to a star strategy on the Boston matrix by distributing crude petroleum (BHP Billiton Ltd., 2013). It is essential to note that the company relies on its current strength of occupying a leading position in global commodities prices that are related to the health of the international economy. This suggests the potential of the corporation to predominantly follow a star strategy, which would guarantee it a better position compared to other organisations operating in the same industry sector (Grant, 2013). Nonetheless, the company is unable to predict currency assessments, which may lead to the adoption of a cash cow or a question mark strategy according to the Boston matrix. It has been indicated that certain flaws in the global economy negatively affect the performance of the corporation in the sen se of decreasing its market share in certain segments. For instance, such flaws may lead to a reduced demand for commodities, which may directly reflect in lower prices and reduced profitability of the company. The diverse portfolio of assets provided by BHP Billiton Group has assumed a solid market position of the company in its major segments. It is important to note that the corporation occupies a leading position in the trade of uranium in Australia after Olympic Dam Mine as well as of other natural assets, such as silver and copper (BHP Billiton Ltd., 2013). This places the company at a quite favourable position regarding its trade activities and thus it is more likely to adopt a star strategy in its home country. The fact that the corporation is a leading producer of nickel globally is indicative of the high market share it has in different segments and in different locations across the world (Stern and Deimler, 2006). As a result of the application of the Boston matrix analysis to the performance of BHP Billiton Group, it can be suggested that the company has the potential to make a substantial impact on the global delivery of natural assets. Its position as a star in most of its seg ments and in most locations shows solid management and leadership practices present at the organisation. It is important to note that the major purpose of the Boston matrix analysis is to help BHP Billiton Group decide which of its business units should be kept as well as in which areas it can invest further (Grant, 2013). There are different strategies to be applied considering that the organisation is in the position of a cash cow on the Boston matrix. One of these strategies is to hold in order to maintain its sales or market share (Schermerhorn, 2013). Another strategy that can be utilised is to defend its position regardless of the challenges the company faces with regards to its market share and projected market growth (Kotler, 2006). BHP Billiton Group can also implement a strategy, which is identified as ââ¬Ëmilkââ¬â¢, implying that the company is expected to use the cash it generated in the fiscal year to return to its position as a star on the matrix from the period of 2011 to 2012 (BHP Billiton Ltd., 2013). The fact that the company is at the position of a cash cow means that its profitability ratios have significantly declined. For instance, the organisationââ¬â¢s net profit margin, operating profit margin, ROE and ROA deteriorated in the period from 2011 to 2012 and from 2012 to 2013. It can be suggested that the company should seriously rethink its position in the market so as to try its best to restore its star position from the past (Schermerhorn, 2013). The application of the Boston matrix analysis to BHP Billiton Groupââ¬â¢s performance yields significant conclusions about the companyââ¬â¢s challenges and opportunities that can be addressed. Conclusion This paper has provided an analysis of BHP Billiton Groupââ¬â¢s financial performance based on the Boston matrix. It has been indicated that the organisation is currently at the position of a cash cow on the matrix considering its high market share and low growing market (Kotler, 2006). Certain strategies have been provided so that the organisation can implement them in order to improve its position and return to the status of a star, which represents an ideal combination of a high market share and fast growing market (Grant, 2013). References BHP Billiton Ltd. (2013). Stock Analysis on Net [online]. Available at: http://www.stock-analysis-on.net/NYSE/Company/BHP-Billiton-Ltd/Financial-Statement/Income-Statement [Accessed: 14 August 2014]. Grant, R. M. (2013). Contemporary Strategy Analysis. New York: Wiley. Kotler, P. (2006). Marketing Management. New York: Pearson Education. Schermerhorn, J. R. (2013). Exploring Management. New York: Wiley. Stern, C. W. and Deimler, M. S. (2006). The Boston Consulting Group on Strategy: Classic Concepts and New Perspectives. New York: Wiley. How to cite Boston matrix analysis for BHP Billiton Group, Essay examples
Sunday, December 8, 2019
Sustainable Development Business Structures -Myassignmenthelp.Com
Question: Discuss About The Sustainable Development Business Structures? Answer: Introduction The company that I would like to establish in South Africa is called Sephora. South Africa has a mixed market and also has a ready market for the goods which we will be producing and distributing. The firm we are about to establish in South Africa is a multinational operating in many countries worldwide and it wants to establish its first outlet in Africa and precisely in South Africa. The company wants to gather various business opportunities in South Africa and also the home country. The company anticipates many consumers since it will be the first business they open in Africa and hence the consumers from the neighboring countries will go there for shopping. The competitors that the company will face will include Edgars, the Truworths, and Woolworths (Corsi and Dominique 27). The products services that the firm will offer include skin care services that will include the assistance on the right products for the consumers skin, the makeup applications which is meant to help the clien ts choose the right make up that will be suitable for their skin type and complexity, fragrance consultants that will make the clients choose the fragrance of their choice and then we will have the loyalty program in that the clients will be offered with a loyalty program card that will enable the clients to earn some points if they shop with us (Corsi and Dominique 30). The firm targets working with women since most of their products are mainly for beautification. The products we produce pass through the Bureau of standards in the countries we sell our goods and this is meant to maintain quality standards as we also abide by the rules of the land (Kim 213). The economic factors that are mostly bound to affect us include the inflation in the economy and we have a way of using pricing strategy to remain in the market. Our firm also aims at creating biodegradable products which will marketing sure that our environment is kept greener (Kim 264). This will reduce pollution. Our company is seeking to be fully registered by the government of SA so that it will sell it products smoothly while abiding by the law. Product promotion will be done on social platforms which include integral and Facebook so as to capture customer interests and also serve customers in an individual perspective. The aim (mission) of the multinational is to expand globally in every country and also offer the best services and products to all the esteemed clients. The firm has a vision of expanding its territory to the who of the world and mostly the African continent by the end of the year 2019 and also launch a reality show and magazine by the end of 2018. The firm also has an aim of opening an academy for training the clients in the process of applying the products in a period of five years. The firm has some short term goals which it needs to achieve (Luo and Rosalie 480). The latter includes a long term relationship and coexistence between the customers and the suppliers and also be able to solve all problems and find solutions to the problems that our customers have concerning our products. There exist different forms of business structures which include: functional business structure, matrix business structure and customer business structure. The company is bound to employ the matrix form of business structure (Dudin 134). The latter involves the combination of the functional and customer structure because it is introducing its product for the first time in Africa and hence there is a need for some promotion and budget plan. References Corsi , Patrick and Morin Dominique . ""Entering New Markets." ." Sequencing Apple's DNA (2016): 27-34. Dudin, Mikhail. nnovative foresight as the method for management of strategic sustainable development of the business structures. No. dud2, 2013. Kim, YongSeog. " "Customer targeting: A neural network approach guided by genetic algorithms." ." Management Science (2014): 254-270. Luo , Yadong and L Tung Rosalie . ""International expansion of emerging market enterprises." A springboard perspective." (2013): 475-486.
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