Category: Uncategorized

A-Cut-Above Company

The key competitors of A-Cut-Above will be Ariel Janitorial Service company and Greenup, Inc. this is because these companies operate in the same area as A-Cut-Above and provide almost similar services (Baker, 2004). The companies compare, in terms, of the services that they provide. While A-Cut-Above provides specialized services in lawn maintenance and landscaping, Greenup and Ariel Janitorial Service companies offer a variety of services. Besides, the companies compare with that; although they offer lawn maintenance services, they do not offer landscaping services while A-Cut-Above provides the service (Baker, 2004).

Strengths

The service that the company offers is in demand in the area and the services offered are unique since not everyone would desire doing the services. Besides, there are few firms offering the services of the company implying that there is less competition. In addition, the company offers attractive prices.

Weaknesses

The company is new in the service, which may make it difficult to challenge old companies in the service. The company does not have a major company, which it can attach to in providing the services. Besides, the company has few employees that may not be capable of meeting the demand in the area.

Opportunities

The company has an opportunity to grow; this is because of the availability of demand for its services in the area. It can utilize the opportunity in expanding its business. The company also has an opportunity in winning the community trust since there are a few companies providing the services.

Threats

Weather is a threat to the company since some weather conditions are not favorable for workers to work. The company is not also sure about the community response regarding its services, which is a threat to business. Since it is new in the business, the company may run out of money as it tries to compete old companies.

References

Stelzner, M. A. (2011). Launch: How to quickly propel your business beyond the competition. Hoboken, N.J: Wiley.

Baker, J. (2004). Jerry Baker’s green grass magic: Tips, tricks, and tonics for growing the toe-ticklinest turf in town!. Wixom, MI?: American Master Products.

A-Cut-Above Lawn Maintenance And Landscaping

A-Cut-Above Lawn Maintenance and Landscaping is a sole proprietorship form of business that is under the ownership of John White. The business has no stock since it is not incorporated. The A-Cut-Above Lawn Maintenance and Landscaping became registered fort business operations in September 2013 and is based in Houston, Texas. The sole proprietorship business has to plan for risks that can affect the business (Malecki, 1992). For instance, because of the nature of the business, employees may experience some injuries which the business has to compensate for. Besides, the business requires having liability coverage in order to cover errors and omissions that may occur or even cases of employee misconduct. Therefore, John White will require to have an adequate insurance coverage. The insurance coverage should be affordable to John White. An unaffordable insurance coverage will have the effect of increasing operating costs, which is likely to lead to the closure of the business.

Besides, in planning for risks in the business, John White will require to factor in the amount of tax payable and its implications for the business. Since the business is a sole proprietorship, the business will not be taxed separately from its owner (Cowan, 2005). The business owner will be required to report all the income or losses of the business on his personal income tax return (Cowan, 2005). Therefore, the profits of the business will pass from the business to the owner for personal tax return. This will imply that the sole proprietorship business will not be capable of cutting its tax bill since every income or loss will have to pass to John White for personal income tax return. This is different from a corporation since a corporation will be treated as a separate entity while submitting taxes (Seidman, 1950).

References

Cowan, N. (2005). Risk analysis and evaluation. Canterbury, UK: Institute of Financial Services, School of Finance.

Malecki, D. S. (1992). Risk management: When sole proprietor decides to incorporate be sure to consider coverage continuity. Rough Notes, 135(8), 36.

Seidman, J. S. (1950). A comparison of tax advantages of a corporation v. partnership or sole proprietorship. Journal of Accountancy (Pre-1986), 90(000002), 104.

Acute cholecystitis (case study)

Introduction

The biliary system consists of the gall bladder, bile ducts and associated system that are involved in the secretion and transportation of bile. The biliary system’s main functions are to drain waste products from the liver into the duodenum and controlled release of bile to aid in digestion. The greenish-yellow bile is produced by liver cells and consists of cholesterol, bile salts and some waste products. Bile salts, particularly, help in digestion of fats and remove waste. Bile is then excreted out of the body in faeces (Keus et al 2006). A complication of gallbladder, Cholecystitis may be classified as acute or chronic. In acute cholecystitis (AC) the gall bladder is dilated and is edematous. Its wall is thickened and inflamed (Lack 2003). Acute acalculous cholecystitis seems to progress more rapidly to gangrene and perforation than acute calculous cholecystitis (gallstones induced cholecystitis). Thus a timely diagnosis involving combination of clinical signs, laboratory findings and imaging techniques is necessary. (Keus, Broeders, and Laarhoven 2006).

Since the symptoms of cholecystitis resemble other medical complications and at times typical signs of AC may be poorly distinguished in some scans as in Computed tomography (CT) which is not sensitive or specific for AC and is, therefore, an accurate diagnostic process with high specificity is required. The article discusses role of various imaging modalities in identification of AC cases.

Aetiology:

Cholecystitis is an inflammation of the gallbladder wall and nearby abdominal lining. It is usually caused by a gallstone in the cystic duct, the duct that connects the gallbladder to the hepatic duct (calculous AC). Other causes of cholecystitis may include the bacterial infection in the bile duct system, tumor of the pancreas or liver , decreased blood supply to the gallbladder (Acalculous AC). Pregnant women may develop cholecystitis due to accumulation of thick layer of gallbladder sludge. It is made up of fine particles of material similar to gallstone. Kimura et al (2007) state that Acute cholecystitis also has other causes, besides the gallstones, such as ischemia; certain hemicals that enter biliary secretions; drug disorders; infections with microorganisms, protozoa, and parasites; collagen disease; and allergic reactions. Acute acalculous cholecystitis is also associated with a recent operation, trauma, burns, multisystem organ failure, and parenteral nutrition

Epidemiology:

About 10% of population has gallstones. In the younger age group the incidence of gallstones in female to male has ratio of 2:1 which increases in females with advancing age. After 60 years of age 10-15% males have gallstones compared to 20-40% females. The prevalence of gallstones in females is also associated with childbearing, HRT, oral contraceptives and obesity. Majority of cases are calculous cholecystitis while acalculous cholecystitis is caused to 5-15% cases only (Lack 2003).

The mortality is reported less than 10% for AC giving impression that it is not a fatal disease, except for the elderly and/or patients with acalculous disease (Kimura et al 2007). Sharma and Steel (2009) referred literature regarding mortality and morbidity due to AC cholecystitis. Gallstones result in morbidity when these become symptomatic. The incidence of AC is falling mostly due to increased acceptance by patients of laparoscopic cholecystectomy (removal of gall bladder) as a treatment for symptomatic gallstones. However immunocompromised patients may show mortality of up to 15%. Complicated cholecystitis has 25% mortality (eg, gangrene, emphysema of gallbladder). Perforation of gallbladder occurs in 3-15% of patients with cholecystitis and is associated with 60% mortality. People of Hispanic or northern European countries are more likely to have gallstones.

A brief case history:

A 51-year old woman presented to the emergency room with a 24-hour history of abdominal pain that began approximately one hour after a reportedly heavy party dinner. The pain began as a dull ache in the epigastrium but then localised in the right upper quadrant (RUQ). She reports some nausea but no vomiting. Since her arrival to the ER, the pain has decreased significantly. She also confirmed about a few such previous episodes in the recent past. Her medical history is significant for type II diabetes mellitus. On physical examination, her temperature is 38.0 C . Other vital signs are normal. The abdomen shows tenderness in the RUQ. The liver, rectal and pelvic examinations are normal. Her WBC count is 13,000/mm on arrival. Serum chemistry revealed total bilirubin 1.8 mg/dL, direct bilirubin 0.6 mg/dL, alkaline phosphatase 130 U/L, AST 50 U/L and ALT 35 U/L. Ultrasonography of the RUQ demonstrates stones in the gallbladder, a thickened gallbladder wall, and a common bile duct diameter of 4.0 mm (Tsai et al 2005).

Clinical diagnosis:

Acute cholecystitis is defined as an inflamed gallbladder resulting in pain, especially in

the right hypochondrium, generally with accompanying fever and leucocytosis. Ultrasound may show thickening of the gallbladder wall and a hypoechogenic rim or halo (Keus et al 2006). It is usually caused by a gallstone in the cystic duct. A typical attack of cholecystitis lasts two to three days. The major symptoms of cholecystitis may include: intense and sudden pain in the upper right quadrant of the abdomen, recurrent painful attacks for several hours after meals, pain that gets worse with deep breaths and may pass on to right shoulder blade, nausea, vomiting, abdominal bloating, chills, jaundice. The patients may experience these symptoms to different degree (Spira et al 2002). The diagnosis of acute cholecystitis was made in patient who presented with right upper quadrant or epigastric pain of more than 2 hours’ duration, had RUQ tenderness with localised peritoneal signs, and had a confirmatory radiologic study demonstrating gallstones as evidence of acute cholecystitis. Most frequently, patients had abdominal ultrasound studies that demonstrated gallstones as well as gallbladder wall thickening, pericholecystic fluid, and an ultrasound-induced Murphy’s sign (Madan et al 2002). The present case correlate well with the symptoms of acute cholecystitis as there are other indicators viz. lecucocytosis, enhanced levels of bilirubin, ALT, ASP and ALP and elevated temperature. Diabetic patients are at a risk of decreased blood supply to gall bladder and are on controlled diet. The patient’s condition was probably aggravated on this account combined with heavy meal (likely to be high fat).

Anatomy of billiary system:

The normal gall bladder (GB) is A pear shaped sac attached to the under surface of right lobe of the liver (Fig 1). It is covered with a stretch of peritoneum to about 60% of its surface however the surface covered may vary. The adult GB is about 10 cm in length and 3-4 cm in width. The wall is usually 1-2 cm thick but the wall thickness varies depending whether the gall bladder is relaxed or contracted. The organ has three parts broad outer part is fundus, central body part and a ‘S’ shaped neck with infundibulum. The neck connects GB with cystic duct. The mucosa of cystic duct is gathered into folds, near the neck forming spiral valves. These valves contain smooth muscle fibres in the lumen controlling filling and emptying of gall bladder. The capacity of adult GB is 40 -70 ml though it can accommodate upto 100ml fluid. Cystic duct is 2.5 cm in length and opens into dueodenum at other end. The length of cystic duct appears smaller (1.5 cm) than its anatomic length due to tortuous path (Lack 2003)..

The GB concentrates,stores and release bile produced by liver cells. Besides, the organ secretes gall bladder mucins with role in protection of epithelium. The intake of fatty meal and, to some extent, proteins cause contraction of GB. Cholecystokinin is the hormone responsible for contraction GB wall as a result emptying of bile into duodenum occurs (Lack 2003).

Pathology:

Acute cholecystitis causes sudden, severe pain in the upper right part of abdomen. The majority patients have gallstone and have inflamed gall bladder walls usually without infection which may set in afterwards. The fluid in the gall bladder walls cause these walls to thicken. Acalculous cholecystitis is a rare occurrence and may be due to major surgery, critical illness or injuries including burns and sepsis. The long fasting or intravenous feeding may also cause acalculous cholecystitis. This is more severe form of cholecystitis than calculous (gallstone) cholecystitis and occurs in young children due to infections. Chronic cholecystitis is gallbladder inflammation that has lasted a long time and is always due to gallstones. It is characterized by repeated attacks of biliary colic (Yasutoshi et al 2007). The pathological examinations show leucocytosis, elevated levels of bilirubin and serum enzymes viz.Alkaline phosphatase, Alanine transaminase (ALT) and Aspartate transaminase (AST).

Role of imaging modalities in the diagnosis of AC:

Imaging modalities in association with medical history and clinical examination help in diagnosis of acute cholecystitis. Ultrasound or ultrasonography can also detect fluid around the gallbladder or thickening of its wall, which are typical of acute cholecystitis. Hepatobiliary scintigraphy is useful when acute cholecystitis is difficult to diagnose. In this test, If the radionuclide does not fill the gallbladder, the cystic duct is probably blocked by a gallstone. cholangiography is x-ray examination of the bile ducts using an intravenous (IV) dye. In percutaneous transhepatic cholangiography (PTC) a needle is introduced through the skin and into the liver where the dye (contrast) is deposited and the bile duct structures can be viewed by x-ray. Similarly, Endoscopic retrograde cholangiopancreatography (ERCP) examines the inside of these organs and detect any abnormalities. Computed tomography scan (CT or CAT scan) is a diagnostic imaging procedure using a combination of x-rays and computer technology to produce cross-sectional images or slices in different planes, of the body (Cheng et al 2004). Rosen et al (2001) suggested choice of the sonographic Murphy’s sign, different from the clinical Murphy’s sign used during physical examination of gallbladder, to increase sensitivity of US to 91%. Physicians from the emergency department and admitting surgeons request both US and cholecystoscintigraphy (HIDA) for definitive diagnosis. Kalimi et al (2001) found HIDA to show 86% sensitivity while US was only 48% thus they suggested HIDA could be used alone to diagnose AC. Bingener et al(2004) also reported 60% accuracy of US for AC detection. While sonography is very sensitive for the detection of gallstones, the ability to predict acute cholecystitis in patients with clinical symptoms appears limited. The scans from different imaging techniques are shown in Fig 2-4 below. Loud et al (1996) believe that an advantage of the MR technique is that %CE is an independent and more accurate determinant of acute inflammation than wall thickness (Fig 5). However, the ability to elicit a positive Murphy’s sign is an advantage of sonography over MRI.

Treatment and prognosis:

Specific treatment for cholecystitis is determined by the age, general health and medical history of the patient. The treatment is also dependent on extent of the disease and patient’s Preferences and tolerance to medicine and procedures. Treatment for acute cholecystitis usually involves hospital stay to reduce stimulation to the gallbladder. Antibiotics are administered to reduce the inflammation and/or fight the infection. The treatment may also use drugs made from bile salts to dissolve stones. Low fat diet and pain management proves beneficial. Sometimes, the gallbladder is surgically removed (cholecystoctomy) usually by laparoscopy (Paran et al 2006). Keus et al (2006) explain that aims of cholecystectomy in acute cholecystitis are threefold as: symptom relief, prevention of progression to complications, and prevention of recurrences of gallbladder disease. Cheng et al (2004) caution that high-density gallbladder wall sign is not only a specific sign for acute cholecystitis, but also a guarded predictor for acute gangrenous cholecystitis. If acute cholecystitis is confirmed and the risk of surgery is small, the gallbladder is usually removed within 24 to 48 hours after symptoms start. If necessary, surgery can be delayed for 6 weeks or more while the attack subsides. Delay is often necessary for people with a disorder that makes surgery too risky (such as a heart, lung, or kidney disorder). If a complication such as an abscess, gangrene, or perforated gallbladder is suspected, immediate surgery is necessary. In acute acalculous cholecystitis immediate removal of gall bladder is necessary (Paran et al 2006). The overall prognosis for cholecystitis is favorable. In some individuals, complications may arise if other organs are involved. Gallstones can return in the bile duct system after surgical removal of the gallbladder. Some patients experience pain even after removal of gall bladder (Paran et al 2006). It may be due to malfunction of sphinctor of Oddi that control flow of bile and pancreatic secretion. The other causes of pain like gall bladder attack may be small stones in the ducts, peptic ulcers or irritable bowel syndrome.

Summary and Conclusion:

The gall bladder inflammation is effectively diagnosed by combined clinical and radiologic examinations. Although the imaging modalities are sensitive to diagnosis of AC, physicians normally request scans by more than one technique for enhanced accuracy. The researchers differ in this regard. They believe that a single technique that correlates well with clinical and histological examination is sufficient. Some researchers also emphasise that modification of techniques to visualise exclusive signs of AC is desired (Kalimi et al; Cheng, Ng, and Shih 2004). For example, signs such as gallbladder wall thickening, gallbladder distention and, pericholecystitic fluid are present in patient not having AC. A CT technique without contrast enhancement revealed hyperdense gall bladder wall as high probable sign of acute gangrenous cholecystitis. Such patient should be given immediate treatment (Cheng et al 2004). The acceptance of laparoscopic cholestectomy has reduced complications due to AC.

References:

Bingener, J., W. H. Schwesinger, S. Chopra, M. L. Richards, and K. R. Shrinek. 2004.Does the correlation of acute cholecystitis on ultrasound and at surgery reflect a mirror image? The American Journal of Surgery. 188: 703-707.

Britannica (encyclopaedia). 2003. http://cache-media.britannica.com/eb-media/16/74316-004-386EA754.jpg [Accessed 22 Sep 2009] –

Cheng, She-Meng, Suk-Ping, Ng,and Shin-Lin, Shih. 2004. Hyperdense gallbladder wall sign: An overlooked sign of acute cholecystitis on unenhanced CT. Journal of Clinical Imaging, 28: 128-131.

C. van , Adriaan, Breda Vriesman, Robin Smithuis, Dries van Engelen, and Julien B.C.M. Puylaert . 2006. Gallbladder: Wall Thickening. HYPERLINK “http://www.radiologyassistant.nl/en/43a0746accc5d” http://www.radiologyassistant.nl/en/43a0746accc5d (Accessed 27 sep 2009).

Kalimi, R., G. R. Geselter, D. Caplin, M. Brickman, G. T. Tronco, C. Love et al. 2001. Combined sonography-cholescintigraphy . J Am Coll Surg. 193(6): 609-613.

Keus, I. A. M. J., and Broeders, C. J. H. M. van Laarhoven. 2006. Surgical aspects of symptomatic cholecystolithiasis and acute cholecystitis. Best Practice and l Research clinical gastroenterology, 20, 6: 1031-1051.

Lack, Earnest E. 2003. Pathology of pancreas, gallbladder, extrahepatic biliary tract and ampullary region. New York: Oxfors University Press, 2003.

Loud, P., R. C. Semelka, U. Kettritz, J. J. Brown, and C. Reinhold. 1996. MRI of acute cholecystitis: Comparison with the normal gall bladder and other entities. Magnetic Resonance Imaging. 14 (4): 349-355.

Madan, A. K.,S. Aliabadi-Wahle, D. Tesi, L. M. Flint, and S. M. Steinberg. 2002. How early is laparoscopictreatment of acute cholecyctitis. The American Journal of Surgery. 183:232-236.

Paran, Haim, Rivka Zissin, Eran Rosenberg, Igal Griton, Eugene Kots, and Mordechai Gutman. 2006. Prospective evaluation of patients with acute cholecystitis treated with percutaneous cholecystostomy and interval laparoscopic cholecystectomy. International Journal of Surgery 4 (2):101-105.

Tsai, Yuan-Ming, Chiao-Hsiung Chuang, Hsiu-Chi Cheng, Wei-Lun Chang, Ai-Wen Kao, and Chiung-Yu Chen. 2005. Usefulness of Fatty-meal Stimulated Gallbladder Contractility by Ultrasonography in the Diagnosis of Acute Cholecystitis. Journal of Medical Ultrasound 13 (4):179-185.

The Merck Manuals online Library. 2007. Cholecystitis. HYPERLINK “http://www.merck.com/mmhe/sec10/ch140/ch140c.html” http://www.merck.com/mmhe/sec10/ch140/ch140c.html (Accessed 1 Oct 2009).

Rosen, C. L., D. F. M. B rown, Y. Chang, C. Moore, N. J. Averill et al. 2001. Ultrasonography by emergency physicians in patients with suspected cholecystitis. American Journal of Emergency Medicine, 19 (1):.

Sharma, R, and Steel, P.A.D. 2009. Cholecystitis and Biliary Colic

HYPERLINK “http://emedicine.medscape.com/article/774443-overview%20%20%20%5d28” http://emedicine.medscape.com/article/774443-overview (Accessed 29 Sep 2009).

Spira, Ram M., Aviran Nissan, Oded Zamir, Tzeela Cohen, Scott I. Fields, and Herbert R. Freund. 2002. Percutaneous transhepatic cholecystostomy and delayed laparoscopic cholecystectomy in critically ill patients with acute calculus cholecystitis. The American Journal of Surgery 183 (1):62-66.

Yasutoshi, K., T. Tadahiro, K. Yashifumi, N. Yuji, H. Koichi, and S. Miho et al. 2007. Definitions pathophysiology and epidemiology of acute cholangitis and cholecystitis. Journal Hepato-Billiary-Pancreatic Surgery. 14(1): 15-26.

Abstract

This essay examines Adair’s business book on leadership as well as an article on leadership skills. The aim of this essay is to answer some of the research questions provided and thereby suggest that indeed, leadership qualities are essential in an organization.

In order to achieve this, the essay is divided into four sections. The first section gives definitions of the key terms used in the essay. The following section provides an overview of the article while the third section summarizes the book. The last piece highlights the key points from the previous sections.

Keywords: Leadership, effective leader, management

Introduction

Before the writer of the essay proceeds, it is detrimental to define the various terms used throughout the essay. One of such key terms is leadership qualities, which refers to the characteristics possessed by leaders that would let others to willfully follow what the leader intends to do. An effective leader is a person who possesses the ability to get work done effectively by others in a willful manner. Management, on the other hand, refers to doing things in the right way. However, management is different from leadership since leaders do not need to be managers.

A Summary of the article

In early years, the managers organized and monitored the productivity of labor in the various organizations. Leaders, on the other hand, played a pivotal role in initiating change in an organization so as to assist the firm accomplish its objectives within the shortest possible time. The managers should present leadership qualities in organizations. Persons who possess such leadership qualities qualify to be effective leaders. Indeed, there are different qualities associated with leadership including the ability to have a vision about the future. In line with this, a principled leader focuses about the future success of the organization. Further, a true leader should be flexible in conducting activities within an organization, understand that there are constraints in achieving the objectives of a firm, share and shape ideas, adequately understand the environment around him, respect other people’s ideas and be creative in all his activities. Moreover, the leader should learn to ask other top leaders on how to carry out activities within the organization.. An effective leader would be learned and should possess the necessary skills to run an organization. In addition to this, he should establish a positive attitude to his work as well to other people around him. To sum up the article, it would be fair to say that an effective leader should portray concern for others, ask questions whenever in problems, effectively communicate, show flexibility in making decisions and also be willing to install change in addition to being creative, and innovative when undertaking activities within the organization (Martin, 2003).

A Summary of the Adair’s Book

According to Adair 2010, a strong manager and leader should reach the organization’s goals, assist the workers, promote the value of output, and encourage teamwork within the organization. In order to achieve this, the author outlines three requirements for a strong leader including achieving the task, managing individuals as well as encouraging teamwork. The author encourages individuals to think about their personal success in one’s unique situation.

In order to evaluate the leadership qualities, one needs to set objectives in an organization which should be attained within the set time. Then, planning is essential since it shows how the activities are to be conducted so as to achieve the ultimate goal in the organization. In addition, one has to apply the various leadership qualities in the organization. In case the objectives are effectively attained as set, then this is effective leadership (Eric, 2010).

In conclusion, it would be appropriate to suggest that indeed, effective leadership is essential in organizations. It assists organizations to achieve their objectives within a given period. Certainly, outstanding leadership qualities are a worthwhile ingredient towards success of virtually all organizations.

References

Eric, A. J. (2010). Business and Economics/Leadership. London: Kojan.

Martin. (2003). Leading change in Health and Social Care. London: Routledge.

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Adam Smith and the Role of the State

Adam Smith advocated for state intervention in the market in certain circumstances. His book, “The Wealth of Nations” did not only focus on a single ideology; it focused on multiple systems of thought. He discussed public finance in the last part of the book. Taking a look at his theory; it is obvious that most contemporary public economic concepts such as borrowing as finance tools, the economic effects of taxes, public expenditures, and public finance were first advocated for by Adam Smith.

According to Adam Smith, the purpose of the political economy is to enrich both the sovereign and the people. The market and the state are integral features of the political economy. Both the state and the market have their weak points. The image created of Adam Smith as a fanatic of a private market that is purely controlled by free market forces is wrong and misconceived. He acknowledged that market forces could not be left to control the economy on their own because of the monopolizing spirit and rapacity of manufacturers and merchants. Adam Smith does not advocate for exclusive state intervention. So long as merchants do not violate the laws of natural justice, they can be left to pursue their economic interests freely so as to build capital and industry.

The capacity of the society is the main source of employment and wealth in a state. Regulation may not increase the capital or industry in a state, but it may redirect it into a specific sector of the economy that is advantageous to the society. The redirection of capital that Adam Smith talked about refers to the development of a monetary policy by the state or the use of commercial regulations to self-finance a budget deficit in an economy.

Adam Smith objected to limitations and regulations in most economic sectors, but he advocated for state intervention in some economic sectors. They include the Banking and Finance Sector, defence and navigation; wages; incentives to advance industries; security; financing of public institutions and public works; the post office; company structures; monopolies; education; disease prevention; mortgages for boats, houses and lands; limitation of exports in times of necessity; borrowing rates and taxation policies. In Adam Smith’s point of view, the state has a right to intervene in the market whenever there is a possibility that individuals may breach natural liberty and endanger the society.

Adam Smith’s case is still applicable and convincing in today’s modern world. He correctly stated the duties of the sovereign as being provision of infrastructural services, justice, and security. He correctly surmised that taxes should be the main source of revenue for public services financing. Today, the equity taxation principle is still used to finance most of the national economies in the world. The state still has the right to intervene in the market during times of extraordinary situations such as natural disasters and wars to ensure that it does not have a deficit in its budget. State intervention in the market is still necessitated by the need for a long-term healthy economy and social peace. If the economy is left purely to the control of market forces, the security and sovereignty of a nation can be compromised by greedy merchants. The state needs to intervene to ensure that the principles of natural liberty are observed in the market. Excessive state intervention can ruin an economy. The state should only intervene when it’s absolutely necessary to do so for purposes of public interest.

Major Project: Similar Change in two Companies.

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Acquisition of New Companies by Technology Corporations

In the technology Industry, changes are the daily occurrence and they always bring about improvements and increase the clientele base. It is for this reason that two of the most influential firms in global technology decided to acquire new firms. Oracle Inc and SAP are two of the most influential and well established firms it the global technology industry (Stone, 2004).

Oracle Inc is a multinational company that has been around in the technology industry for the longest time. The company specialized at first in making computer hardware however in 2004, the company acquired Sun (Stone, 2004). This is a company that deals in the development of software. It allowed the Oracle to be able to penetrate into the enterprise application market. The market for the company’s products increased as the clients were able to purchase the hardware with already installed software.

SAP is a company that initially dealt in the production and sale of software, but with time and after the acquisition of Sybase, it ventured into the sale of computer hardware. SAP is a company known for consistency and it deals with its products (McDonald et al, 2006). The acquisition of the company was a counter-reaction to the acquisition of Sun by Oracle Inc.

Oracle Inc and SAP were companies that related very well because they were all in the technology world but in different areas. Oracle Inc dealt with hardware while SAP dealt with software. However when Oracle Inc acquired Sun and ventured into an industry dominated by SAP rivalry started. This led to competition for both hardware and software markets (McDonald et al, 2006). The companies are now dealing with both markets and continue to acquire more companies in an attempt to outdo each other.

The two companies are very similar; this is because they adopted a change by acquisition of other companies, in order to venture into a market where the product they produced initially can find a bigger clientele base.

Brief Description of the Firms

In the competitive world of technology and software development change is a constant and real factor and flexibility is necessary. This is the reason as to why in 2009 Oracle Inc, one of the leading firms in IT bought Sun at $7.4billion. This was to combine the two in order to increase the market share control of the firm in the industry and to increase their client utility level (Ries, 2013). In the same industry, a competing firm, Germany’s Sap, bought a California based company that deals in software, Sybase, at $5.8billion (Inc. Kogent Learning Solution, 2011).

The two companies were able to acquire companies that deal in software in order to increase their clientele base and market share control. Once the companies acquired the software companies, they were able to offer their customers more and better services. This is because the customers could be able to access their services via smart phones. This was a response to change in technology and consumer taste and preference.

Need for change

In any industry, when a company makes a major change, it is taking a big risk. At times it stands losing millions of dollars so the question is: why should the company take the risk of changing?

The main reason is to increase the profit margin. This is because changes in the business are inevitable because there are changes in consumer preference with time. At the same time increases market share-control. This not only increases the market and clientele base for a company. It also creates the insistence aspect in the clients, this means demand will no longer be responsive to increases in price and this is the same as being at the top of the pyramid in the industry.

Changes Experienced after Acquisition of Sybase by SAP

External Change: Market Structure

The acquisition was not to allow for SAP to venture into a new market; this is because Sybase has a small market share especially on database. It was simply to offer the clients of SAP a new improved option and expand in-memory to the already existing applications. This would increase consumer utility and create insistence. But the acquisition meant that Sybase would be no more as it would become part of SAP. The fact that the two companies are from different countries, was a breakthrough in the global market, however in the American market, there was a decrease in popularity (Information Week, 2010).

b). Internal Change: Administrative Structure

There will be an incorporation of both working cultures. The employees from both companies were brought on board; this is because there was need to have all the necessary knowledge and experience combined (Thomasch, 2009). New contracts for the employees from Sybase were drawn up under the new management.

4. Changes experienced after Acquisition of Sun by Oracles Inc

a). External Change: Market Structure

Sun is famous for production of hardware. The acquisition exposed Oracle to a new market; this is because it was formerly famous for the production and sale of software. Diving into a new market led to drastic changes n the strategies employed in marketing and sale. Oracle Inc made the two a pair, in order for a client to purchase hardware; it had to come with the software. Software was to be sold to already owners of the hardware.

b). Employee resignation and shift in production

Due to the acquisition most of the employees from Sun resigned, this was inclusive of the CEO and the engineering team. This led to great shifts in the production and sale of the products. At the same time it became a challenge to be resolved up to date (Thomasch, 2009).

5. Comparison of the two companies

a). The Similarities

Both companies deal in the IT world. They offer software and applications to be used in increasing business transactions by customers. They have e-business as their main basis. They have also improved and increased in capacity and market share by mergers, acquisition and partnerships (Inc. Kogent Learning Solution, 2011).

b). The differences

Product line SAP improves and enhances the core product it started with while Oracle moves towards fusion. This makes SAP to be more stable and predictable and Oracle to be innovative and visionary as well.

Cost and implementation period Oracle experiences a 20% less cost in production of its products and also takes less time to implement a change in the products compared to SAP.

Benefits and Business application SAP’s applications are more practical and preferred by most businesses as opposed to Oracles applications. This means that SAP has more benefit over Oracle in awareness and exposure in the business circle.

Flexibility Oracle is more flexible and easily adopts changes in the industry and this means it easily meets the needs of the customers. SAP is based on bureaucratic processes that take long and make it to be less flexible and decrease the rate at which changes are implemented.

6. Image analysis

Navigator

The change will be as a result of a well planed and strategically placed plan. It is due to pressures from the external forces like change in market and consumer preference and internal forces like change in employee and management structure, or even improvement in innovation. These forces will be directed at the managing team and there is need to come up with the best alternative to navigate through the forces and come out victorious.

Coach

The need for change will be a constant factor. This is because the industry is dynamic and is greatly influenced by the changes in technology. The management team will have to come up with an organizational culture that embraces flexibility. Designed to adopt to any changes in the industry. This means there must be clearly set practices that are capable of ensuring that with every change in the industry the steps taken will lead to a improvement in the organization.

Nurturer

The management will ensure that with time the firm grows to be strong enough to handle any change in the industry. This will be by training staff and creating better strategies to handle change. Adapting to changes will be easier as the firm will have grown and developed in that environment.

Part 3: Diagnosis

Introduction

A diagnostic model is used to come up with the best actions to be taken by a company in order to meet the needs. Different companies in different industries will have different diagnostic models (Rupp, 2010). The model is usually based on the proper analysis of the firm and its environment, identification of the key variables and proper research into the factors affecting the company (Harrison, 2005). This is followed by interpretation of data and statistical analysis that allows for a proper conclusion.

Oracle Inc is a company that has been around for years and was once the biggest company in terms of capacity and revenue in the industry. However poor marketing strategies and managerial decision have made it to be surpassed by other more recent firms. SAP is a firm that is based on bureaucracy but down the years there have been many mistakes and errors made that have cost a lot of time and money. The two companies are trying to come up into the market, but there is need to ensure they are healthy commercial enterprises that will not succumb to economic factors of the business cycle (Samson, 2012).

An efficient diagnostic model for the two companies is the four frames of organization model. It is a holistic model that takes a pragmatic analysis at the business and is time efficient.

The Diagnostic Model

The four frames of organizations model is meant to ensure that all aspects of the firms are well catered for. It analyzes the following four sectors of the firms:

Structural frame.

This focuses on the structure and functioning of the firms in the following areas:

The hierarchy of power and authority – it should be based on bureaucracy where the roles and responsibility of each and every position are clearly outlined. The functions are predetermined to ensure proper coordination, accountability and responsibility. The chain of command is clearly outlined and every department has a head that is to be responsible for the actions of the subordinates (Levy, 1986).

Specialization and division of labour- the required technical qualification and experience for a position. The proper roles should be enhanced to ensure there is efficient utilization of all factors of production for maximum output.

Set goals and objectives for the firm- these should include all long term and short term goals and objectives and a futuristic plan for expansion in both size, magnitude and market influence (May, 2010).

Control and coordination mechanisms- these are supposed to ensure that the actions of the employees and their roles are in line with the already set goals and objectives of the firm.

Human Resource Frame.

Harmony- there should be harmony between the needs of the employees and the needs of the organization.

Work relationship- there should be a good work relationship between the juniors and the seniors. A well structured working environment that offers space for competition, innovation and growth.

Compensation package- this is to ensure that the firm stays competitive and its labour is well satisfied.

Political Frame

Equitable distribution of power- this is to aid in meeting the vested interests of all stakeholders in a democratic way. It also allows for all the stakeholders to feel they are equally represented.

Tactics and conflict resolution strategies-it is meant to ensure that people follow the rules and at the same time the rules lead to efficiency performance by the labour force without any conflict of interest.

Symbolic Frame

Work Culture- focuses on symbolic meaning of actions, words, occasions and even physical structure. It represents the history, the present and the history to be made.

Image Maintenance – the image of the company will be a product of the culture. The work and the output will determine how the firm will be viewed and the PR of the products in the market (Levy, 1986).

Application in Oracle Inc.

Oracle Inc is a dynamic organization that can easily adopt changes; however there are areas that can be improved like:

The structural frame of the company should be based on bureaucracy. This is because it requires having a properly and clearly outlined rules and processes to be followed when enacting a change.

Political frame of the company should be looked because it should encompass the needs of the employees and the company as well. This will aid in ensuring that a repeat of what happened when the company tried to acquire another smaller company and all the employees later on walked out including the president of the company.

Current marketing strategies need to be changed. It should encompass trying to create and ensure insistence by the clients. Sales have been decreasing for Oracle since 2005 after it hit the $6.2 billion revenue mark. This can be attributed to increase in competition from Microsoft in database. It can also be attributed to the poor decision to acquire firms that have been long term rivals. It decreases the moral of workers.

In an oligopolistic global market structure, price wars always lead to loss for both companies. Due to price wars with SAP on customers the companies have both experienced losses. They should embrace non price marketing strategies.

The symbolic frame should be established, the company should formulate a culture that will represent their signature products and improve their PR to the public.

Application for SAP

Political frame should be used to ensure that employee’s and company’s needs are all catered for effectively with minimal conflicts.

Human resource frame should be addressed by ensuring there is dynamism. Bureaucracy has held the company back that operations costs dig a deep hole in the revenue (Pahl, 2009). It takes SAP twice the time it takes Oracle Inc to make software. Inefficiencies in the operations and management will lead to losses.

Structural frame should be well established especially on specialization and division of labour which fosters innovation. Currently the company is on the verge of losing $1.6billion to Oracle because they copied their software. Innovation leads to originality and such cases can easily be avoided. Training their employees to know the customers taste and adjust their products to suit them.

Market diversification – just like how Oracle has diversifies from hardware to software, the company should do so as well in order to increase the market and revenue. This also opens new doors to more discoveries. This can be the expected potential changes.

SWOT Analysis

Both companies have strengths and weaknesses that need to be worked on

Strengths

Oracle Inc – efficient production and operational methods that lead to increased and quick changes. The company also deal in both sale and production of software and hardware, venturing into a market of one aids the sale of the other as they go hand in hand.

SAP Inc – more practical and applicable software that are easily used by people. This is due to consistency over the years, simple and efficient improvement are made on the product and increases their efficiencies. This makes it stable.

Weaknesses

Oracle inc- unpredictability of the company due to drastic changes over the years; this has made the company to experience losses. There is also the issue of employees resigning from firms once the company has acquired it. This can be prevented by expansion of the firm by partnership and not acquiring the firms.

SAP Inc – bureaucratic processes in decision making makes the company to be less flexible in a dynamic and ever changing environment (Pahl, 2009). This creates inefficiencies in production and increases both explicit and implicit cost.

Opportunities

Oracle Inc – venturing into the hardware and software markets opens doors to more partnerships with other firms and increase in revenue. The software creates a promotional package for the company’s products and can be used as a marketing strategy.

SAP Inc- specialization in their product has created and established a good clientele base that is at the insistent point (Pahl, 2009). This is a signature move for them and allows the company to become the leader.

4.4 Threats

Oracle Inc- strict competition from other firms like Microsoft and IBM, this has led to decrease in the market share control from 2005. The negative image created by the rivalry has decreased the number of employees willing to work for the company. This was clear from the resignation of directors and managers from an acquired company

SAP Inc- law suit that has led to a claim of $1.6billion dollars from Oracle Inc. This, plus the time used for the trial has decreased performance and production in the firm.

Potential areas of Resistance

Potential area of resistance is usually in the internal part of the firm. This is because with time the firms have formed a work culture that is about to be changed (Samson, 2012). There is also the aspect of different strategies to be used and this will mean that new employees will have to be taken on board.

Another area is the market diversification, this is a costly activity and the business may fear losses that can be experienced. The market may not be receptive of the products due to insistence to substitutes from other firms.

Recommendations

There is need to analyze the firms holistically. It is the only way to be able to solve age old production, marketing, managerial and acquisition problems that lead to inefficiencies in the long run for the companies (Samson, 2012).

Proper projection of the future expectation while using data in the current regime gives a clear and pragmatic outline of the company. This is what is required for both firms.

Timeline of communication

Communication is one of the most important aspect of any company. This is not only because it enhances coordination but because it improves relations (May, 2010). The timeline of communication in the companies was dependent on the following:

The message

If the message to be passed required to be repeated the timeline would be often and would be structured in a way that it would reach all employees.

The audience

The audience would also determine the frequency of the message, for instance a message to all employees would be repeated , however if the message was meant for the board members it would be discussed in a meeting and that would be the final time unless revisited for special reasons.

Type of communication

Verbal communication

This would most of the times be used in meetings and when addressing large number of stakeholders. It was also used when the communication did not require to be referred to in the future.

Written communication

This is in form of contracts, memos and letters written to the different stakeholders of the companies. This would form part of the communication to the media and to stock market to trade shares.

Rationale

Formal communication

This would be done mostly as written communication (May, 2010). This is because it forms part of the data required to analyze the company. When the companies were acquiring the other smaller companies there had to be well spelled out and written documentation to legalize and proof the actions.

Informal communication

This is mostly done i the form of oral communication. Written documentation is not required in this case at all.At least 4 Communication pieces listed on spreadsheet

First communication piece

Topic Venture into a new market

Frequency of Timeline Often

Stakeholder Stakeholders and board members

Purpose Investment

Communicator CEO of company

Message Acquisition of a new company

Author HR director

Delivery method Board Meeting

Measure Willingness to invest

Second communication Piece

Topic New products and methods

Frequency of Timeline Once

Stakeholder Employees

Purpose Employee training

Communicator HR Director

Message Production of hardware and software

Author HR Director

Delivery method General employee meeting

Measure Willingness to learn new methods of production

Third communication piece

Topic Increase in market

Frequency of Timeline Frequently

Stakeholder Customers

Purpose Increase in sales and revenue

Communicator Marketing Director

Message Introduction of new products into the market

Author Marketing team

Delivery method Advertisement

Measure Increases in sales, revenue and market

Fourth communication piece

Topic Acquisition of a firm

Frequency of Timeline Once

Stakeholder Company to be acquired

Purpose Acquisition of a firm

Communicator Assistant CEO and company lawyer

Message Increase in market share control

Author Assistant CEO

Delivery method Meeting with board members of the company to be acquired.

Measure Signing of contact into agreement

Your analysis of the actual communication plan as seen from the “public eye”

Communication is based on the model and structure of a company. When it is well executed the public will hardly hear of any disagreements however when improperly handled there are always public exposés.

The model of communication should be based on the hierarchy pyramid. This means that the junior employees will not know a lot about the company and therefore not much can leak to the public.

During the process of acquisition and mergers, there is usually a lot of speculation and uncertainty, this was a lesson well learnt by Oracle when it acquired a company and almost three quarters of the labour force walked out. This was viewed by the public as a poorly planned step. For this reason the junior employees should be addressed after the finalization of a contract to ensure that they are also on board and that they do not walk out.

Mass media has a very big impact on the performance of any firm. When the PR of a company is tarnished by media it loses market, investors and even partners. This can be losses and can lead to further selective discrimination from the public in terms of purchases and consumption of goods.

References

Ferguson, S. D. (1999). Communication Planning: an Integrated Approach, Cambridge University Press, London

Communication should be a continuous process in any business enterprise. It should be integrated to be able to reach all the targeted audience. Communication of the same message to different people should not be done by embracing a one size fits all. This is because different people in an organization have different reasons for being there.

Harrison, I. M. (2005). Diagnosing Organization: Methods, Models and Processes, MA Harvard University Press

The book looks at the different ways in which an organization can be able to take an analytical look at its operations and pull out the one area that slows them down. According to the book, most of the methods used to diagnose company problems are usually general and they do not narrow down the problem to be exact. This leads to diagnosis of several problems with the same corrective measures that do not work for all of them.

Inc. Kogent Learning Solution. (2011). SAP, Handbook, Columbia Publishers

SAP as a company has a very organized and well structured administration and production process. This is because its products are very unique. For over the years the company has embraced a signature product and worked on it.

Information Week. (May 10, 2010). SAP Buys Sybase for $5.8billion. (Press Release). Retrieved 13 May 2010

Acquisition of Sybase by SAP was a huge step by the company. This is because it brought about major changes in the industry. It increased its own competition advantage and posed as a great threat to the then expanding Oracle Inc.

Levy, A. Merry, U. (1986). Organizational Transformation: Approaches, Strategies and Theories, Aviation Publishers

It is based on the transformations that organizations go through in every stage of expansion and acquisition. The problems and most mistakes made by managers and the diagnosis best suited for most of the errors.

May, G. (2010). Strategic Planning: Fundamentals for Businesses, Macmillan Publishers

Communication in a business is not all about the message; it is also about passing the relevant message to the relevant people in the most convenient way. Poor communication can be also in the feedback mechanism; this is because most businesses do not allocate any channel in which their message can be responded to.

McDonald, K. Wilmsmeier, A. Dixon, C. D. (2006). Mastering the SAP Business Information Warehouse: Leveraging, Grapevine Publishers

SAP is a business enterprise that is predictable and has a linear relationship with all the inputs and output for this reason; it is easy to master the products. SAP has leverage of consistency over the years and this gives it a competitive advantage over the other companies as its products can be easily used by the consumers.

Pahl, N. Richter, A. (2009). SWOT Analysis: Idea, Methodology and a Practical Approach, Bell Publishers

Swot analysis is easier written down than implemented in the daily commercial activities, the book analyzes an applicable look at the internal and external environment and deciding the best moves to make and what to get rid of. In a nutshell SWOT is applied in everyday activities but it is usually not well structured.

Ries, S. (2013). Oracle Database 11g Database Administration, Springer Publishers

Oracle Inc is a dynamic company that easily adapts to new taste and preference of clients. This is the reason as to why11g Database Administration was a major milestone step in the right direction of increasing consumer utility.

Rupp, A.A. Templin, J. Henson, A. R. (2010). Diagnostic Measurement: Theory, Methods and Applications, Oxford University Press, New York

Improvement in performance is relative to the methods used to diagnosis the weaknesses that companies may have. Difference in structure of a company calls for different methods and application in solving similar weaknesses. The applications should at all times be tailored to suit the company.

Samson, D. Daft, L. R. (2012). Management, Random House Publishers

Management should be very influential when it comes to bringing about the necessary change required. This can be by making decisions that will not only allow for change to be adopted in the company but also a change mechanism that ensures there is a smooth transition at all times.

Stone, M. F. (2004). The Oracle of Oracle: The Story of Volatile CEO Larry, Colombia Publishers

It offers the story of the founding father and CEO of the company. The reasons behind every decision made and the lessons learnt from all the mistakes in the past years. The book also focuses on the strategies applied by the company in an effort to keep its commanding position in the industry despite the challenges and increase in competition.

Thomasch, P. (August 20, 2009). Oracle Wins E. U Approval to buy Sun Micro-System, Reuters. Retrieved 2009-08-30

Oracle Inc had been for long trying to get the European Union to agree for the company to finally sign the agreement. However there were several issues when it came to the two companies coming together. The EU thought that it would lead to a monopoly especially given the fact that the two companies commanded substantial market share control. The contract was later allowed to become valid.

Student’s name

Professor

Social work and human services

Date of submission

Addiction: The most neglected disease in America

Traditionally, addiction was defined as the intake of substances that produce a psychoactive effect on the individual. In most cases, people take such substances as fun but their bodies become dependent on them over time. This dependence on substances like alcohol and tobacco is known as addiction. Alcohol and other psychoactive substances work through changing the chemical balance of the brain. In the recent past, modern psychologists have widened this definition to include psychological dependency on an activity. Some examples of psychological dependency include addiction to shopping, sex, Internet, pornography, work, and physical workouts. Juts like alcohol and other traditional addictions, psychological dependencies should be considered as addictions because the individuals involved have no control over them. Moreover, they experience feelings like guilt, shame, anxiety, and hopelessness whenever they engage in them. Addiction is a major problem in many countries and authorities are worried, because if they don’t do anything, they risk losing future generations. One of the countries whose future is threatened by addiction is the United States. This paper will address the various types of addictions in the country as well as factors that contribute towards making America an addicted nation.

According to the recent statistics released by the National Institute on Drug Abuse (NIDA) and the National Institute on Alcohol Abuse and Alcoholism (NIAAA), Americans don’t know how to deal with personal problems. Many of them panic and try to come up with quick external fixes as a way of dealing with them. It’s normal that people face challenges in their lives at one time or the other but what is important is how they deal with them (Johnson 23). Some of the common problems faced by Americans include lack of money, excessive demands at the place of work, marital challenges, and trying to bring up children in a society where the media sets the agenda. It’s a very worrying trend that when faced with the above mentioned challenges, Americans rarely turn to interpersonal or internal resources in finding a balance.

As noted earlier, the first impulse of an American when faced with a problem is to look for a quick external fix which acts as both the solution and the problem. The first place that Americans look for solutions is in dopamine spikes. Individuals have different ways of making themselves feel better about their situations (Sheff 107). Its common knowledge that dopamine is the neurotransmitter that is activated by satisfying events. Such events may occur by nature or they can be activated through the use of certain drugs like cocaine, nicotine or even methamphetamine among others. Many of these drugs make the individual feel better by stimulating the functioning of their bodies therefore making them feel drunk or “high” as they say.

Throughout the world, America is respected for the impulse of its citizens to work hard, courage, and innovations. However, the fruits of these efforts take time to be realized and this has made many Americans impatient. Consequently, people have turned to drugs and other types of addictions as a means of finding quick satisfaction. This is understandable because naturally, people like achieving the fruits of their labor within the shortest time possible. Americans have lost patience and have embraced the idea of “why wait?”, and this desperation to feel better has made them grab anything within their reach so as to feel better and survive the day. The culture of addiction in the country has seen many people opt for artificial drugs and stimulants. The situation is made worse by the fact that many Americans abuse more than one drug. Current statistics indicate that one in every ten Americans is involved in drug abuse. Moreover, the statistics released by National Institute on Drug Abuse (NIDA) indicate that a quarter of all adult Americans are involved in binge drinking (Johnson 20). More worrying is the fact that many people in America who are involved in drug abuse don’t accept that they have a problem and therefore don’t seek treatment.

The issue of addiction in America has brought about many other side effects. First, many people who are involved in drug and substance abuse have been reported to have eating disorders. This explains why two thirds of the adult American populations qualify to be referred to as obese. Many addicts don’t have time to enjoy a balanced diet, but instead, they go for snacks and other fast foods (Sheff 127). Families of people who are involved in any kind of addiction are not stable and mostly end up in divorce. That’s why one in every five American mothers and wives is under anti-depressants. This raises the question, how has America wrapped itself with the blanket of prescription drugs, compulsive shopping, compulsive sexual behavior, celebrity worship, Internet addiction, and video gaming among other addictions? The answer to this question is that external fixes to problems, which are readily available in America, provide only those who have money. For example, the alcohol industry in the country takes in about $ 1 billion annually and tobacco takes in about $ 35 billion annually. Other types of addictions like Internet, gambling, prostitution, and texting also serve to fuel the dopamine fire in the country.

Although it’s natural that people like to feel good, great care should be taken when looking for this good feeling. This is because dopamine is derived from several emotional and physical sources. People should always seek for dopamine that comes from within because external dopamine creates a vicious cycle of relief. With time, this dependence on artificial dopamine may spill out of control and result in serious health complications. For the lucky few, they may land in rehabilitation centers where they can be treated by professionals. However, those who are not lucky enough may end up in the streets or may end up dying if drastic measures are not taken to help them.

Types of Addictions

(a) Social Media/Technology Addiction

Social media/technology addiction is the process where an individual utilizes most of his/her time on the Internet until it gets in the way of other schedules of day to day life. This type of addiction has become a major debate lately, although researchers have not yet come into a conclusion whether it is a disorder or an ailment. Social media/technology addiction is believed to be more widespread in comparison to addiction to drugs. Most health professionals have indicated that individuals who spend most of their time in the Internet suffer from depression, anxiety, and a number of psychological problems (T. Courtwright 87). Psychologists have disclosed ways of taking care of patients with social media/technology related problems and they have also confirmed that the addiction can cause severe life consequences. Additionally, the technology addiction has had great impact on marriages leading to high levels of divorce. According to many researchers and studies, this issue should be looked into seriously for it posses a huge threat to the society in general.

Every year, additional social media policies are implemented and the effortlessness of access is continuously getting better; hence, it is quite clear that social media/technology addiction is a problem that may not be eradicated any time soon. Direct conversations, status information and sending of various comments symbolize a number of the most widespread methods of interacting with associates and pals. In addition, connections completed via websites sidestep a lot of restrictions in personal conferences and discussions (T. Courtwright 98). Acquaintances all over the world interact easily on social media since movements are limited and the Internet has become quite inexpensive. Also, embargos, time-restrictions, and funds are viewed as a small issue in the practical world. The Internet can also be accessed in various parts of the world through the use of smart phones and this has led social media to be the most comparatively reachable form of interaction that provokes the urge to login anytime in the course of the day.

Despite the fact that social media and technology networking assist many people to appreciate themselves and to be more attached to the society, it has also left several individuals with a sense of loneliness. The addiction also has several negative impacts such as losing a job or disconnecting with close relatives and friends. In addition, if too much time is used on the Internet, social operations might be prejudiced and a sense of anxiety might rise if an individual is not able to access the electronic mechanisms and Internet for a long period. According to an Experian survey, on average, Americans utilize about sixteen minutes per hour on the Internet scrutinizing social networks (Mohr, 147). The report also indicates that this addiction is higher in the United States compared to other countries. However, the time spent on the Internet is still higher for countries such as Australia and United Kingdom averaging to fourteen minutes and thirteen minutes per hour correspondingly. Fighting social media/technology addiction is quite important, because it promotes social standards and good health. Individuals should time themselves on the number of hours per day on social media. This would enable them to control the level of addiction and they would be able to balance and attend to other aspects of their day to day life. Individuals are advised to practice more of offline connections in comparison to the amount of time utilized online (Juman 201). People who may want to spend more time on the Internet should try to engage in social interactions in the morning and prior to sleeping. This entails creating time for close relatives and pals instead of visiting social media websites from morning to evening. People are also encouraged to take social media break days in order to socialize with pals and close family members. It is also advisable that one should select friends cautiously on social media websites. This helps people to socialize with genuine acquaintances instead of categorization via updates from distant family members and ex-friends.

Generally, addicts lack joy in their lives and some may even commit suicide due to depression which has continued to change the way people perceive the Americans in the contemporary world. In order for the Americans to experience a change in addiction related issues, they must first embrace the fact that these are major setbacks that are affecting the nation negatively. This will be a great intervention and any person or entity disturbed about the well being of American people will be willing to help and contribute to the reduction of various America’s addictions (T. Courtwright 210). The psychologists and other health practitioners should join to fight the social medial/technology addiction for it is poses a major threat in the American culture and behavior of the American people.

(b) Behavioral Addiction

The second type of addiction in America is known as behavioral addiction. Unlike substance addiction, behavioral addiction does not involve taking any substances but rather involves dependency on certain activities. A person suffering from this type of addiction experiences uncontrolled compulsion to engage in an activity repeatedly until the activity results in negative consequences to the social, mental, and physical wellbeing of the individual. Some health professionals and scientists sometimes refer to behavioral addiction as impulse control disorders and argue that they are easy to treat compared to substance addiction. In a broader sense, a person addicted to an activity feels powerless about the activity and finds himself doing it regardless of its negative consequences.

A research carried out by The Scripps Research Institute in 2009, revealed for the first time that the molecular mechanisms responsible for making people addicted to drugs were also responsible for some behavioral addictions like overeating. In this research, scientists concentrated and studied a receptor in the brain known as dopamine D2 receptor that is believed to play a key role in one’s susceptibility to drug addiction. The D2 receptor work by reacting to a neurotransmitter known as dopamine released in the brain when one goes through a pleasurable experience like sex or eating. Recently, Judith Sewel Wright identified some behavioral addictions as soft addictions because they don’t pose a great risk to the health of individuals but mostly affect their productivity.

The root cause of addiction in America is the lack of authentic and direct contact with the real world. As noted earlier, many Americans don’t like to face issues head-on but adopt the strategy of periodical mood alteration which in most cases results in addictions. In some instances, individuals may end up in weird distorted dependence where they ignore the real things and embrace the unreal ones. A good example of such a case is the Korean couple who adopted and decided to raise a virtual child in an Internet café and neglected their own child. While they were busy raising the virtual child, their child died out of neglect and starvation since the child was only fed in-between sessions of the game (T. Courtwright 142). According to the report released by the police who investigated this incident, the parents of the child spent most their time online raising the virtual child as a way of escaping from the real world. Just like in Korea, video game and Internet addiction is a major problem here in the United States.

One of the major challenges that people who work in addiction treatment institutions face is finding an authentic way of helping patients recover. This is mainly due to the American culture that seems designed to promote dependence on artificial and quick solutions to problems. Another major player in the promotion of addiction among Americans is the media. Turn the TV or radio on at any time and the prevailing wisdom says that there is no reason to suffer. The American media also promote the idea that synthetic solutions to problems are normal and that there is a pill for every problem may it be shyness, fibromyalgia, erectile dysfunction, ADHD and this further promotes immorality. Immorality, especially among the youth, has become a very common behavior practice to the extent of causing sex addiction.

(c) Sex Addiction

The first type of behavioral addictions among Americans is sex addiction. Normally, sex is supposed to be a part time enjoyment between couples that helps them bond more and reproduce. Sexual addiction is mainly classified based on two major existing medical models namely the American Society of Addiction Medicine (ASAM) and Diagnostic and Statistical Manual of Mental Disorders (DSM) .Over the years, it has become increasingly difficult to diagnose sexual addiction because it does not fit into the DSM-IV standards (T. Courtwright 114). Scientists and psychologists believe that sexual is associated with bipolar disorder, narcissistic personality disorder and obsessive—compulsive disorder (OCD). Clinicians and other health professionals faced a lot of challenges when diagnosing sexual addictions mainly because some patients may be suffering from more than one addiction. In most cases, obsession is pervasive and progressive and grows together with denial.

During early stages of addiction, addicts don’t perceive themselves as preoccupied and continue to engage in the activity while making excuses. Compulsion occurs if the person is physically reliant on the activity for his/her physiological stasis. Repeated engagement in sex or any other addictive behavior results in a state where the patient is in a state of chemical dependency. Incase an addict acts when not in the chemically dependent state, it’s seen as prompted by obsession only. People who advocate for sexual addiction to be classified as a disorder argue that sex addicts display narcissistic behaviors which disappear as the addicts move towards sobriety.

As noted earlier, sex is meant to be a way of connecting between a man and woman for the purposes of pleasure and reproduction. However, people who are addicted to sex do it for the wrong reasons and may spend a lot of time thinking or doing it. The most amazing thing about people who are addicted to sex is that they actually don’t enjoy doing it but find themselves engaged in it. Due to the risk posed by STDs and HIV/Aids, people are supposed to have one sexual partner. More to this, people are also advised to use protection whenever they are having sex with a person whose HIV status they don’t know. Regardless of the danger posed by having multiple sex partners, people who are addicted to sex are helpless and find themselves getting involved with more than one partner. Instead of using sex as a way of connecting with their partners, sex addicts use it as a coping mechanism. It’s worth noting that not all sex addicts visit prostitutes or have multiple partners but rather engage in behaviors like watching porn, masturbation or visiting strip clubs (T. Courtwright 95). Early signs of addiction to sex include visiting brothels, cyber sex, masturbation, voyeurism, and exhibitionism among others. Sexual addiction is mostly treated through therapy conducted by certified sex addiction therapists. Moreover, sex addiction can also be treated using chemical inhibitors. This kind of treatment works through interfering with neurotransmitters. More specifically, they adjust the behavior of a sex addict by lowering his or her libido.

(d) Shopping Addiction

Shopping addiction is another behavioral addiction that is quite common. All over the world, shopping is a very enjoyable experience if it’s done based on the set budget. However, there are people who go overboard and shop even for things that they had not planned for. Buying things that are not planned for is known as shopping addiction, compulsive buying or oniomania. Addiction to shopping is very similar to addiction to food, gaming, and sex mainly because it involves impulse control disorder. This kind of addiction is very common in the United States and it’s believed that it affects about 9% of people in the country (Juman 114). Majority of people who suffer from this kind of addiction in the United States are women. Many people don’t this that this kind of addiction is serious and they mostly make fun out of it. According to studies carried out in the United States among compulsive shoppers, majority of them were found to have serious financial problems, anxiety and depression. Moreover, many of the people studied were found to be going through difficulties in their relationship with some having lost their spouses.

As noted above, addiction to shopping is very prevalent in the United States than in any other country. To many Americans, shopping is a very effective way of reducing negative emotions like sadness, worry and loneliness among others. This helps them escape from the real world even if it’s only for a short time. Everyone feels good when they have the latest clothes, car, phone and shoes because it boosts their confidence and raises their social status. However, compulsive shoppers continue to buy things even when it’s affecting them negatively.

The same case with other behavioral addictions, impulse buying remains a controversial topic to date as different groups continue to argue whether excessive spending qualifies as an addiction. Another disagreement among professionals is whether impulse shopping should be classified as an obsessive-compulsive disorder (OCD), addiction, impulse control disorder or mood disorder. People who Some of the early signs of addiction to shopping include uncontrollable spending, lying about spending, going for shopping alone, juggling bills to get money for shopping, thinking about shopping all the time and spend money of items that one knows they cannot afford. From the time people are young, they are taught that hard work is the key to success and is very desirable (Juman 85). When people graduate from colleges and university and secure jobs, they like to work hard so as to please their bosses and earn promotions. Although hard work is a virtue that must be instilled in every person, it becomes a problem when one’s job becomes the main focus of their life. This is dangerous because such people neglect other areas of their lives like marriage, families, and friends.

Many patients that suffer from this type of addiction admit that they have a problem especially in their relationships and finances. Moreover, existing statistics in the United States indicated that majority of shopping addicts respond well to treatments including medications and counseling. If a person suspects that they suffer from impulse shopping or any other type of addiction, they should be willing to openly discuss it with a doctor. This admission that one has a problem is the first step towards recovery. Other getting treatment for the addiction only, people suffering from this type of addiction are also taken through financial counseling.

Conclusion

It’s not a secret any longer that America is an addicted nation that needs a lot of global help to come back to soberness. This is necessitated by the fact that America boasts as the only military and economic super power in the world. It’s very shameful of America to boast of the above mentioned achievements if it can’t handle the welfare of its citizens. According to Mohr (142), many people attribute the addictive nature of many Americans to the fact that majority of them have almost everything that they require in life. With this, many of them don’t go through the hardships that people in other countries go through. With a superior economic background, the mind of many Americans is mostly preoccupied with merrymaking which exposes them to the urge to make easy passage through life. This explains why many people associate addiction in America with the need to make easy money. As stated earlier in the paper, Americans are never ready to pay the price for any achievement and mostly seek for easy answers to their problems.

Addiction can be classified into two major categories namely behavioral and substance addiction. In the past, many health professionals only recognized substance addiction. However, modern research has proved that one can also be addicted to behaviors. Some of the most common addictions include alcohol addiction, addiction to nicotine, sex addiction and addiction to one job. One main way of telling whether one is suffering from addiction is to assess whether they are always preoccupied with one thing. For example, whether one is always thinking about sex even when it’s not right to do so. More to this, people should seek for treatment if they suspect that they are suffering from any kind of addiction.

Works Cited

Denizet-Lewis, Benoit. America Anonymous: Eight Addicts in Search of a Life. Simon and Schuster, 2009

Johnson, Lorie. Pill popping nation? America’s growing addiction. CBN News Health & Science. 2012

Juman, Richard. Doped-up Nation: How America became a country of addicts. Alternet,2012

Medical News Today. What is addiction; what causes addiction? Medical news today,2013

Downloaded from <http://www.medicalnewstoday.com/info/addiction/>

Mohr, S. Addict Nation: An Intervention for America. HCI; 1 edition, ISBN-10: 0757315453, 2011print

Sheff, David. Clean: Overcoming Addiction and Ending America’s Greatest Tragedy. Houghton Mifflin Harcourt, 2013

T. Courtwright, David. Dark Paradise: A History of Opiate Addiction in America. Harvard University Press, 2009

Watterson L R, Hood L, Sewalia K, Tomek SE, Yahn S, et al. The Reinforcing and Rewarding Effects of Methylone, a Synthetic Cathinone Commonly Found in Bath Salts. 2012

Downloaded from http://www.omicsonline.org/JARThome.php



Acquisition Report of OF Y LIMITED

Student Name:

University:

Subject:

Instructor:

September 19, 2013

Table of Contents

Content…………………………………………………………………………………Page

Letter of Transmittal…………………………………………………………3

Executive Summary…………………………………………………………4

Introduction…………………………………………………………………..4

Analysis………………………………………………………………………5

Recommendations…………………………………………………………….8

Conclusion……………………………………………………………………8

References……………………………………………………………………9

Letter of Transmittal

To: THE MANAGING DIRECTOR, X LIMITED

From: “PUT YOUR NAMES”

Ref: 45, INDIA, BOMBAY

RE: ACQUISITION OF Y LIMITED

A per your request to prepare a report detailing advice regarding the potential acquisition of Y limited, I have assessed the fundamental information concerning the subject matter and the report is as outlined above.

The main aim of this analysis is to provide the potential returns and risks of this impending acquisition. In doing so, the report has narrowed down its findings to country-specific risks and returns as it applies to the IT industry.

It was a wonderful experience working on this project, and hope to continue working with you in your future projects.

Thanking you,

“YOUR NAME”

Executive Summary

Expanding into new global markets through acquisition is much the same as venturing into a new enterprise. Most multinational companies often fail to succeed in international markets because of poor or lack of due diligence of the host-nation’s culture, as well as country specific aspects such as national politics, societal attitudes, technological differences and economic barriers. Companies need to be vigilant to factors such as political landscapes, for instance terrorism and civil wars to they make acquisition decisions because such elements can ultimately result in enlarged costs of conducting business operations comprising hiring of security personnel to secure your premise or buying business insurance to protect your business against possible damages.

Potential investors need also to consider intangible assets while determining the value to the company to be acquired. Intangible assets entail, the level of the management team (whether strong or not, the reputation of the company, the growth trends of the IT industry, whether the company has skilled workforce, the customer loyalty and concentration, the trade secrets of the company, the quality of reporting its financials since Y is a limited company and the geographical location of the company. Therefore, in establishing the real value of Y limited, X limited should peg the value of Y limited on those unique strategic advantages that only Y limited can achieve.

Introduction

Several multinational IT corporations and not just Indian firms are increasingly venturing into the global markets because they have noted that success cannot be achieved only within their domestic markets. For Indian IT Company, venturing into international markets does not merely mean that there are opportunities outside Indian geographical segments that they can tap, but it also means the opposite (i.e. other multinational IT companies are also India as a potential investment location). For companies with great vision and mission such as X limited, they aspire to grow and expand both in the domestic and global markets. Hence, international venture is being sought by X limited mainly to acquire economies of scale and to reduce the risk of the reliance on the saturated local and geographical market segments with regard to their global rivals.

Analysis of the potential returns and risks

Economic barriers: International concerns causing business failures include hidden costs for instance internal regulation and bureaucracy. The monetary and fiscal policies in Europe can affect the monetary exchanges in France that play a significant role regarding the operational expenses such as paying of wages and purchasing of materials. France has an open tax system and there are no hidden fees which can result in the increased cost of running business.

Societal factors: The perception of the public is a significant component of a company’s global reputation. Therefore, looking at the country’s societal beliefs and issues are important for the success of X limited. According to (Sherman, 2007 pg, 16) a survey carried out by GlobalScan, 8 out of ten people in France belief that companies should be partly responsible for minimizing human abuses in states where they conduct business. Societal elements comprise a company’s impact on the religious beliefs, the environment and local communities. Also, because Indians mostly speak English and their business counterparts and customers in France speak French, Language barrier may affect the company operations and could cause increased costs for hired translators and cultural misunderstanding.

Future Returns: The value of the business should be determined from the perspective of its future returns and performance. The 5-year financial and performance history of Y limited is important to the extent it assists in projecting the future returns and performance of the Y limited once acquired by X limited. Strategically, the future returns and performance of Y limited firmly relies on the current status of the company and has outlined, the Y limited has been recording impressive performance and returns of up to 20% per annum, a clear indication that the future returns and performance of the company would be look good unless something tragic happens. Because the value of the business is not entirely based on the price (for example the million Euros that Y limited has proposed), X limited has to look at associated deal Terms and structure.

Various business values can exist due to various operating assumptions, payment terms, and deal structure among others and not because of various valuation modes. Some of the drivers of business value include; future performance, cash flows as opposed to profits, deal structure, financial return expectation, as well as the asset type.

Political Risks: Political events and decisions usually have an unpleasant effect on the operations of a company. Political risks comprise actions of political groups and governments, which restrict company transactions, causing profit loss. In severe instances, political risk might include property confiscation. Political risk can take various dimensions. France, for example after last year’s general election some policies may change, because of the new leadership that may have a different ideology and change earlier policies. Within the macro-level, the political risks may arise as result of external elements such as fractionalization of ethnic groups, political systems, societal fragmentations along the lines of religion, caste, and language, political instability of the neighboring states and reliance of major political power. Within the micro-level, the potential risks may be caused by changes in policies and laws in areas such as import duties and taxation, currency convertibility, and the control of dividends repatriation among others.

Micro-Analysis

The best way to assess the level of country-specific risks is through understanding the way the country/government views the operations of the company. X limited should pay attention to the following scenarios and their effect when the acquire Y limited in France.

It can be viewed by the government as a threat to the independence of the country. This is particularly true in scenarios whereby the MNC acquires control of strategic national resources or assets such as IT infrastructure or oil.

It can be viewed by the government as a threat to the local companies. Specifically, the host nation (France) could be concerned about the local companies from declining sectors and those within the promising sector, which require hand-holding.

It can be perceived by the government to be the hiding value, through depressing revenues to minimize tax liability or by way of transfer pricing regulations. In some instance, the government may suspect that the company is intentionally keeping the best technology out of the country.

Potential Advantages of Acquisition

Goodwill and market has been established

There is generation of cash flow

The relationships with the banks and suppliers have been established

There great potential from growth

Economies of scale and scope

Marketing and managerial expertise

Financial strength

Advance technology

Potential Disadvantages of acquisition

Religious heritage

Human resource norms

Corruption and nepotism

Integration of Cross-border supply chain

Supply-chain disruptions

Recommendations

Based on the above, X limited should adopt some defensive and integrative strategies to manage those potential risks.

Integrative Strategies:

X limited should establish proper communications channels with the host nation.

They should make the expatriates familiar with the culture, customs and language of the host nation

Ensure extensive deployment of the locals to manage the business operations

Defensive Strategies:

The company should raise as much debt and equity as possible from the host nation

Where possible, the company should insist on host nation guarantees and

Employ few host-nation citizens in key position

Conclusion

After conducting a thorough background information check, past returns and performance of Y limited as well as the projected returns, together with the potential risks, micro analysis, country-specific risks, and intangible values such as the reputation, customer loyalty, location and quality workforce of Y limited, this report concludes that is appropriate for X limited to go ahead with the acquisition plans because France, has desirable fiscal and monetary policies backed with great political stability.

7. References

Smith, J. 2001. “How do foreign patent rights affect U.S. exports, affiliate sales, and licences?” Journal

of International Economics Vol.55, pp. 411-439.

Gaughan, A. 2001. Mergers and Acquisitions. New York: Harper Collins.

Owen, S. H. and M. s. Daskin, 1998, “Strategic Facility Location: A Review”, European Journal of Operations Research,111, pp

423-447

Sherman, J. 2007. Running and Growing Your Business. New York: Random House.

Wilson, D., 2003. Strategy as decision-making. In Images of Strategy. Oxford: Blackwell.

Hofstede, G. 2001. Culture’s consequences: International differences in work-related values.

Newbury Park CA: Sage.

Addressing Canadian Poverty

Name

Institution

Date

Name:

Address:

Tel:

Email:

Thursday, March 06, 2014

The Federal Minister,

Ministry of Health,

Physical Address:

The Honorable Minister,

Dear Sir/Madam,

RE: ADDRESSING POVERTY IN CANADA

Canadian Poverty as a Concern

I am writing this letter to express my concern about the biting poverty that eats the society leaving people destitute and desperate. I would start by stating categorically that poverty is a serious human rights’ violation, a social deterrent to obtaining quality healthcare and literacy. Accordingly, it is a vice that should be stamped out of society with the urgency it deserves. Poverty reduction in Canada is not a far-fetched dream. The country has adequate resources; technical knowhow and everything it needs to tackle this crisis and transform the society into a socially and economically viable and prosperous one.

Current Poverty States and its Implications

The current state of poverty denies the affected citizens the right to access quality education. Without education, citizens lack the power to make decisions about their lives. This lack of power impacts negatively on their health. Moreover, poverty breeds people who lack the energy and motivation to contribute to the welfare of the whole country. Hungry people are angry and cannot serve their country towards the heights of social and economic prosperity. Poverty is also associated with diseases arising from malnutrition and stress-related cases. Poor people are also ill prepared to take care of their health as they can barely raise funds to have medical insurance covers. I therefore appeal to you to listen to these concerns and act on them so that many poor Canadians can be happy again with enough food on their tables, quality healthcare and education. Every single Canadian needs to be happy and their social wellness should be a priority of the government.

Ways of Addressing Canadian Poverty

Good Will and Right Attitude

I believe that poverty is a vice that we can wipe out of society if we decide to do so. The first thing that the federal government needs to do is have the right attitude and the good will to tackle this crisis which has become a matter of social justice. Developing this attitude does not cause any resources or even energy. It should emanate from empathizing with the citizens who toil and moil and still find it difficult to make ends meet. Having ten billionaires and ten billion beggars is unjustifiable and a social evil that should not be allowed to happen in Canada. All humans should be treated equally and nobody should be seen to be more important than the other.

Tax Cut

I appeal to your humble office to take a leading role in helping in the reduction of the tax burden. The Canadian income tax system is very progressive. The reduction of the burden will help the citizens have something left at the end of the month to help them through their social and economic lives. Countries that highly tax their citizens do not prosper economically. They end up hurting the economy even further. This is because people get humiliated and disgusted with the established tax structure and become less productive and efficient in performing their duties. Hungry and angry people are often less productive in their places of work than the highly remunerated counterparts. They lack the right motivation to discharge their duties and responsibilities to make the economy viable and worthwhile.

Addressing Social and Income Inequality

The office should also consider the initiation of more social programs than it has already done. The 2013 Canadian Conference Board study revealed that the Canadian income inequality stands at 27%. This is far lower than it ought to be; and the main reasons for this gross inequality were attributed to the tax system and transfers to the poor people. Initiation of social programs and strengthening the already existing ones will be a step towards the betterment of the lives of the poor Canadians who do not deserve to be poor by any standards. The extensive and mandatory employment insurance program must be closely monitored and appraised so that all the employers comply with it. It is one of the strategies that will see poor Canadians obtain quality healthcare without having to strain to get money with is often unavailable out of their pockets. The close monitoring and strengthening of the program will also ensure that the workers who are no longer employed continue to get medical treatment and save them from the otherwise impending poverty.

Increase Investment in Social Amenities and Necessities

Apart from the government transfers, the ministry should initiate other publicly funded social programs and services designed to benefit citizens with low income. These programs should aim at public education, Medicare, employment equity, subsidized housing and subsidized post secondary education among others. It is worth noting at this point that many poor Canadians are not able to obtain these services not because they do not want them, but because of the fangs of poverty that tear their families apart.

The citizens appreciate the introduction of the working income tax benefits in 2007 which encouraged the low income people to get involved in the labor force. The signs were good with the expansion of these services and the susceptible people had something to celebrate. They believed it would help bid goodbye to the injustice of poverty. However, more than half a decade down the line; some Canadians still wallow in abject poverty. For them, life is not worth living as they lack the power to get them to economic prosperity. With the assistance of your ministry, Honorable Minister, I am very confident that the program can be expanded to target the poor populations and help them.

Minimum Wage Policy

The minimum wage laws should be rethought, reconsidered and redesigned to respond to the needs of the poor Canadians. The Canadian constitution rests the responsibility of enacting and enforcing the labor laws with the provinces. As such each province has its own minimum wage. As of April 2012, Yukon had the minimum wage of $9.27 per hour and Nunavut had the highest minimum wage at $11 per hour. These minimum wages should be redesigned to respond to the needs of the poor population. Offering a minimum wage of $15 per hour will not be so difficult and the fruits will outweigh the costs. This is because the laborers will be very motivated and work towards their own success and that of their organization and the country.

Personal Appeal

Honorable Minister, it is my strong conviction that all these can be done. We must bring up a society where people have the right attitude to work and the power to make decisions and manage their own homes and societies. Poverty takes away that power and leaves the vast majority of the affected population destitute. Poverty should not be allowed to thrive in our society because of its many detrimental effects. It is a vice that we have to fight to the tooth. If we let it defeat us, we shall have done a great harm and injustice to our own generation and that of our children and the children of our children. It is time to stand up, walk the talk and fight this violation of human rights. It is time to fight poverty, and we must win the battle.

Kind Regards,

Name:

References

Mackinnon, S. (2013). The Politics of Poverty in Canada. Social Alternatives, 32(1), 19-23.

Schirle, T. (2013). Senior Poverty in Canada: A Decomposition Analysis. Canadian Public Policy, 39(4), 517-540. doi:10.3138/CPP.39.4.517.

Stanger-Ross, J., & Ross, H. S. (2012). Placing the Poor: The Ecology of Poverty in Postwar Urban Canada. Journal of Canadian Studies, 46(1), 213-240.

Dale Godwin

Director

ACT Aviaries Pty Ltd ACN 008 999 979

Dear Attorney General

ACT Aviaries Pty Ltd appreciates the opportunity to provide this submission expressing the need for urgent amendment of the new Commonwealth Legislation.

Dale is the Director and Owner of a small business, ACT Aviaries Pty Ltd. Dale appreciates the new Commonwealth Legislation relating to sale of goods contracts, which is yet to be amended. He acknowledges that the Act will bring solution to sellers and other persons suffering losses and damages through inability to recover goods and other properties from buyers who default payment. The current Sale of goods legislation in Australia provides remedies to the seller where the buyer defaults payment depending on the terms of the contract. However, in some cases, it does not provide any remedy, irrespective of the terms applied in a sale of goods contract. To small business traders, the problem is compounded by the fact that most of them have limited knowledge in relevant legal details relating sale of goods contract. Thus, in many respects, the new Commonwealth Legislation will codify the existing sale of goods law and will provide some certainty to the small business traders in areas where in the past, uncertainty has flourished. Dale is concerned that there are many pending cases relating to the aforementioned issue, which are likely to see more sellers suffer losses or damages under the current sale of goods legislation. Therefore, he urges that there is urgent need for amendment of the new Act to rule the pending cases, including his own.

Evidence of need

Generally, the sales of goods legislations in Australasia stipulate that the risk of loss, damage or destruction to the goods passes from the seller to the buyer upon the delivery of the goods to the buyer and not upon the transfer of title. Further, it provides that if a seller passes goods to a buyer, who later becomes insolvent without having settled the full debt, the goods forms part of the bankrupt estate and hence, becomes part of the properties to be distributed on prorata basis among all the unsecured creditors, including the sellers. However, the same legislation provides allowances for introduction of retention of title clauses or a Romalpa clause into a contract by the parties which allow them to decide when the property in goods is to pass from the seller to the buyer.

Romalpa clauses provide a chance for the seller to take advantage of appropriate sale of goods legislation to reserve the title of the goods sold on credit terms until the buyer pays the full price for them. Therefore, Dale acknowledges the various advantages of applicability of Romalpa clauses in contracts. For instance, the Romalpa clauses give an opportunity to the seller to recover the goods, in circumstances where the buyer becomes insolvent, notwithstanding the fact that the agreed final date for payment is not due. In addition, these clauses help in creation of a trust relationship between the buyer and the seller especially where the goods are meant for a re-sell.

However, there are several difficulties that attend to the application of Romalpa clauses that mostly affect small business traders. For example, no remedy is provided for to enable the seller to trace goods or the proceeds from a re-sale of goods by a buyer, but which are not invoiced as unpaid items by the buyer. In addition, it is difficult to trace the proceeds from a re-sale of goods are not kept in a special account on behalf of the seller. This explains the fact that though the use of Romalpa clause have served as instrument for commercial certainty for small business trades such as ACT Aviaries Pty Ltd, there have been myriad of complications surrounding their application.

The recent ACT Aviaries Pty Ltd and Parklife Pty Ltd case illustrates many of the issues that are at stake with the current sale of goods legislation in Austrasia. In this case, Dale Godwin, Director and Owner of ACT Aviaries Pty Ltd signed a contract with Eric Sully, the director of Director of Parklife Pty Ltd to supply different items necessary for installation of a butterfly enclosure. In the agreement, the parties incorporated the following Romalpa clauses;

Clause 5(a) provided that the seller retains ownership of the goods until all accounts owed by the buyer to the seller are fully paid

Clause 6 provided that if the goods are resold, or products manufactured using the goods are sold by the buyer, the buyer should hold such part of the proceeds of any such sale as represents the invoice price of the goods sold or used in the manufacture of the goods sold in a separate identifiable account as the beneficial property of the seller and shall pay such amount to the seller upon request.

Parklife Pty Ltd was required to pay the purchase price to the seller within a period of 90 days after delivery in accordance with the terms of the agreement. During the time of delivery, Dale had left surplus aluminium railings worth about $800 for future maintenance of the Aviary. However, the credit period was barely over before Eric Sully contacted Dale to inform him that Parklife Pty Ltd had become bankrupt, without having settled the bill for the butterfly enclosure. After receiving the insolvency report, Dale sought to collect the aluminium railings he had left at the site but Eric Sully informed him that they had been combined with other materials by the employees of Parklife Pty Ltd and used to make model butterflies, which had been given to Weston Primary School. Dale learnt that the School’s Parents and Community Association donated $1000 to the Butterfly Park as an indication of their appreciation. The railings were not part of the unpaid bill by Parklife Pty Ltd. The current sales of goods legislation in Austrasia does not provide remedy where goods in question are not traceable in the invoices of the seller as part of the unpaid bill by the buyer. Hence, despite the inclusion of the above Romalpa clauses in the contract, it is difficult for Dale to trace total or part of the proceeds given as a donation to the park.

In a separate contract, Dale offered bird cages to Eric Sully for sale at $50 each on the condition that Dale retains ownership of the items until Eric clears the bill for the items. They agreed that Eric would keep the proceeds on behalf of Dale in a special piggy bank. Later, Dale asked for the bird cages back and Eric Sully declined honour the request stating that the items were selling like hotcakes. Eric promised the Dale that he would save the remaining cages for the gift shop and keep the proceeds in a special piggy bank. In accordance with the current sale of goods legislation and the terms of the contract If Dale can trace the proceeds kept in the special piggy bank as well as the remaining cages from Eric if he honours the promise. However, Dale may not be able to trace proceeds from the already sold cages if Eric fails to keep the monies in a separate special piggy bank as agreed. Despite the inclusion of a Romalpa clause giving Dale right over the proceeds and the cages, he may only be able to recover the remaining bird cages in that case. These cases demonstrate just a few of the many complications that small business traders are encountering with the current sales of good legislation in Austrasia. Thus, among other issues, the new Commonwealth legislation needs to be amended urgently so as to address the aforementioned issues among others.

The need and to give effect to trust to extend the meaning of proceeds

There are two issues that the new legislation needs to address in relation to whether trust has been created in a contract. To start with, an issue arises on whether an agreement for a trust is capable of operation. The case between Dale Godwin and Eric Sully makes it clear that the provision for trust within the conditions set in the contract will be effective when trust is created between the parties. Secondly, it must be established whether trust has been applied in the contract in accordance with the agreement between the parties. This makes it more difficult for the sellers for practical reasons.

Despite an agreement, the buyer may fail to keep monies received by from a re-sale in separate account to service the debt owing to the seller. But the Queensland District Court in Rondo Building Services v Casaron case held that where the buyer failed to honour the agreement to keep the proceeds in a separate account, the trust never operated. Though this is arguably correct, it is quite restrictive to my view. In reference to the case between Dale Godwin and Eric Sully, this makes it difficult for Dale to trace the proceeds in case Eric fails to keep the keep the monies received from the resale of bird cages in the special piggy bank.

Finally, as demonstrated in the ACT Aviaries Pty Ltd and Parklife Pty Ltd case, there is need to extend the meaning of ‘proceeds’. Currently, there is no remedy to the seller for proceeds derived by the buyer from goods delivered by the seller but which are not part of the unpaid bill, even under the equitable doctrine of tracing. Thus, where tracing is concerned in regard to such proceeds, the new law need to preserve the right of the seller, even if it means tracing part of the proceeds. However, it may be argued that if trust has arisen between the parties and the buyer fails to honour the agreement, the seller may still rely on other legislations such as the Discrimination Act 1991. But this might meet some difficulties given the other rules affecting an agreement such as the rules of insolvency.

Conclusion

The new Commonwealth Legislation will be of great utility with respect to the commercial sale of goods. It will help in addressing number of difficult legal issues that have arguably proper operation of the current sale of goods legislation. Most importantly, it will help in providing solutions to small business traders who are mostly affected and who are on the verge of experiencing lose or damages. This explains the fact that there is urgent need to amend the new Act, which will reflect the interests of small business traders and hence, bring certainty to sellers who have pending cases.

References

ACT Parliamentary Counsel, Discrimination Act 1991, 2011, [Accessed, 15 September, 2011], http://www.legislation.act.gov.au/a/1991-81/current/pdf/1991-81.pdf

Gillies, P, why it is important to know when title has been transferred, Business law, Federation Press, Sydney, 2004.

Hamilton, G. H, Invalidation of securities upon insolvency, Federation Press, Sydney, 2000

Jones King Lawyers, “Retention of Title (A Fresh Perspective)” 2010, accessed [15, September, 2011], http://www.worrells.net.au/library/insolvency/Retention%20of%20Title.pdf

Kelly, D., Hayward, R., Hammer, R. & Hendy, J., sale and supply of goods and services, Business law, Taylor & Francis, New York, 2011.

Sihombing, J. E., Goods: sales and securities, Hong Kong University Press, 1997

Thampapillai, D., J, Retention clauses in Australia, 2010, [Accessed, 15 September, 2011], http://works.bepress.com/cgi/viewcontent.cgi?article=1000&context=dilan_thampapillai&sei-redir=1#search=%22romalpa%20clauses%22

Turley, I, Principles of commercial law, Routledge, London, 2001

Tomasic, R., Bottomley, S & McQueen, R, Corporations law in Australia, Federation Press,

Sydney, 2002