Business And Environment Interaction Essay

Introduction Dealing with factors in the external environment is a crucial part of corporate survival, stability and growth.   This is especially recognized when a firm is operating internationally where barriers to entry and liability of foreignness serve as aggravation to the challenging task of responding to external forces.   The organization can remain indifferent despite environmental changes and still accumulate revenues. But as soon as its mediocrity and irresponsibility achieved their tolerance limits, the previous competitive position of the organization will likely be unreachable and eventually will drown into demise.   This issue is most alarming to Coca-Cola who is the current leader in carbonated drinks and one of the well-known brands in the soft drink industry.   Even with its current position, external forces are skilled protagonists continuously testing its current strategy and asking, â€Å"Are you capable of retaining your position?† Identification of External Forces The European market is recently observed changes in taste and preference for drinks.   The trend is less consumption of carbonated products and increasing demand for non-carbonated and still drinks.   This is happening since 1998 and a handful of research institutions confirmed this phenomenon including Mintel and Canadean.   Financial results of Coca-Cola also remained flat for its sugary product line while company report is expecting future based on the focusing expansion in its still drink. The market becomes more health-conscious and concern towards tasty but unhealthy drinks is in progress.   In addition to sugar, artificial additives and flavors are blacklisted characteristics of soft drinks for today’s consumers.   The complexity of customers especially in developed countries is a key concern for Coca-Cola as this market is less sensitive to price and are willing to pay more for healthier products.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Environmental factors have a close relation to the shift in social attitudes against carbonated drinks.   With longer hot weather lasting throughout the year as what happening in UK and other neighbouring countries, the shift to still and non-carbonated drinks will be minimal.   This is because physiological issues are stronger than self-expression and more people are willing to risks adverse effect to long-term health in return of enjoying carbonated drinks. Increased awareness of the effects of non-biodegradable products to global warming and pollution also affects the extent of the shift in preference.   Ozone-friendly packaging is an additional feature that drink products must possess to lure the market such as the use of biodegradable plastics.   With regards to bottled water manufacturers, their health advocacy and positive reception of the market is adverse affected by its adjustment to regulation of continuously decreasing of quality water in the UK.   This means that they may not be able to supply the widening market demand for healthy drinks due to scarcity of resources.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   With pressures from social and environmental factors, soft drink manufacturers find new ways to maintain and increase their market share.   This caused motivation within the industry to conduct research and development to create soft drink products that possess hybrid features that addresses health, environmental and taste needs of the market.   Hampered by the fact that the plant and facilities of manufacturers are fixed, the importance of serving the shift in market preference is concretized as they are willing to change the current design despite increase in costs and induce change. In its website, Coca-Cola advertised its products as complete which means that drink aspects such as style, taste, innovation and health are realized.   This can be obtained by introducing new products such as vegetable drinks, drinks that have anti-oxidant properties and exotic drinks.   Innovative packaging is also an important source of product competence such as the use of biodegradable plastics for juices and dairy drinks while tetra-type of packaging has supply chain benefits with longer shelf life and efficient storage compatibility.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   With all the efforts and financial loss shouldered by manufacturers to provide appropriate products in terms of demand, government regulation aggravates the difficulty manufacturers are facing.   Strategic opportunities such as business combinations with local companies are filled with restrictive features while merging with larger companies are confronted with antitrust law.   The contracting sales in carbonated products may force Coca-Cola to merge with competitors to save cost through elimination of repetitive processes and assets.   The need to innovate newer products may also induce others to acquire local companies that have the knowledge of market characteristics. These strategies are not easily available especially when the firm operates internationally.   Stricter quality standards can protect market leaders such as Coca-Cola from the threat of new entrants.   However, this depends on the structure and nature of political system in the host country.   For example, unethical marketing conducted by some companies labelling their cola products as â€Å"less sugar† even if the laboratory tests showed that there is substantial amount of sugar in the product.   With sound legal and political framework, market leaders such as Coca-Cola can survive the reduction in demand for carbonated products. Assessment of Implications Increased sophistication of customers will results in high product differentiation within the industry.   Traditional benefits of economies of scale achieved in the production of carbonated drinks reached its zenith due to the shift in preference.   With the lifestyle of people and technology going forward, it is unlikely that mass production of carbonated drinks will re-emerge as the industry’s business model.   Technological advancement enabled manufacturers to compete based on innovation. In contrast, only few are willing to invest heavily in research because of high risks associated with a new product in both corporate and market response.   This triggers the lucrative strategy of buying companies that offer the facilities and technical know-how.   Government regulation, on the other hand, will apply delays through litigation if not disapproval to business combinations that can impose strategic bottleneck in a company’s first mover aspiration and future profitability.   Even if allowed, merger and acquisition has a historical proof that confirms problems in pre-, during and post-merger/ acquisition phases.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   To further understand the implications of external forces on soft drink companies, it is necessary to study the industry’s strategic space and profit pool.   Since 2006, Europe is receiving the bulk of product introduction to address the sophisticated demands of the region in terms of nutrition and lifestyle.   A number of these products showed innovation by creating exotic and atypical flavours while packaging is made convenient for kids.   The search of value by manufacturers is present in all parts of the value chain, that is, from formulation of the drink up to the distribution of the finished good. Therefore, the usual cost-savings derived from volume-based strategy of carbonated drinks will be ineffective in present scenario.   Marketing campaigns concerning the impact of soft drinks on the heart is the current consideration of manufacturers which concretize that issue of out-of-the-manufacturing activities to derive value from the products.   As much as manufacturers want to excel in all the areas of the value chain, there are financial and structural constraints.   For example, the bottler’s margin is adversely affected whenever a client-manufacturer introduced new drinks that require new bottle design. As observed in Figure 1, innovation in the soft drink industry can maintain and attract market which is the basis of revenues.   However, the manufacturing processes and forward/ backward suppliers are the areas where the bottom-line is dictated.   Without innovation, the current structure of the industry can survive the impact of the change in consumer references.   This is especially true for carbonated drink manufacturers like Coca-Cola. Replacing the manufacturing process to introduce innovation such as non-carbonated or still drinks would require replacing also the machineries and perhaps the entire plant.   Packaging would require less acid resistance, delivery schedule would change depending on package design or expiration date and distribution networks may hesitate to carry the product awaiting positive reception.   As a result, a major source of margin of the company will be undermined due to high costs of manufacturing change.   On the other hand, if Coca-Cola remains to focus on carbonated drink, it will confront a vulnerable future earnings and market share. Differentiation strategy and innovation has a more long-run positive impact to Coca-Cola.   It is also suited for a leader in carbonated drinks and perhaps one of the most reputable beverage brands in the world.   The profit pool reveals that the carbonated products remain the highest margin and revenue contributor in the soft drink industry.   However, forecasts threatens this position with the healthy/ sugar-free products pulling substantial value followed by the same impact from non-carbonated products such as sports-energy, juice, dillutable and bottled drinks. In the long-run, those who will choose to retain a cost leadership strategy and keep large stocks of carbonated drink will face declining sales.   On the contrary, there are also disadvantages in differentiation strategy and innovation that present in regulation, challenge to marketing and transformation of traditional plant.   In an operating environment with ambiguous customer response, intense competition and restricted action, every action counts and one mistake can mean millions of investment lost.   Therefore, consideration of important issues such as creation of sustainable value including financial matters is top priorities. Consideration of Responses Vertical integration is the recent solution of Coca-Cola to address changes of external factors.   This is observed of its development of a bottling subsidiary to remain cost-effective and flexible.   This is a major step for the firm not only as traditional set-up only allows efficient bottling operations by third party suppliers but also it will avoid hindering the innovation feats of Coca-Cola such as demand of new packaging.   The fact-paced environment vulnerable to new innovation from competitors and suppliers, thus, is mitigated by this strategy.   Further, government standards such as carbon dioxide emission can be addressed through a more integrated plan. Formally, Coca-Cola has to put preference to bottling companies that are not only cheap and quality producer but also has an environmental compliance for manufacturing wastes.   With the creation of its own bottling segment, it also solves the problem of increasing government intervention in social and environmental responsibility of manufacturing firms.   Coca-Cola can spend less on environment-related and supplier search costs which impact can extend up to environmental-conscious customers.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Vertical integration is not only noticed in the manufacturing processes of the firm but also in management structure.   Committees for marketing, strategy and innovation are considered one functioning body where the action of one has influence or can be influenced to/ by the results of other committees.   The new structure would allow a cost-efficient and integrated recognition of problem and opportunities in the environment.   Recently, the efforts of the consolidated committee are focused on the project of customer-retention to maintain leadership particularly in carbonated drinks as well as increase market share in non-carbonated drinks.    With their close collaboration, they easily identify that the issues of inactivity and obesity, low level of quality and quantity of water, change in market preference and intense rivalry have adverse effect to financial performance of the firm.   Instead of spending glamorous but baseless advertisements, the valuable budget is invested on market research which rationalized the actions of each department.   The difference in today’s environment for Coca-Cola is that its leadership is threatened and careful strategy is a must to optimize its resources amid innovation, expansion and research costs demanded by the unpredictability in the environment.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   In its global operations, there are regions that exemplified performance growth but only a few to mention such as the Middle East and Latin American countries.   For the European market, however, the reverse is true.   This induced the firm to acquire a bottling company in Germany to provide the same cost-savings of vertical integration from its major manufacturing plants.   The strategy is a smart tactic because the decrease in revenues can be mitigated by efficiency in production and distribution.   Acquisition in foreign countries also indicated the intention of Coca-Cola to expand its product line in an international scale. The German experience, however, incidentally indicated that the cost of doing business will rise because labour and technology in the country is relatively expensive.   The good side is that quality of production and potential innovation necessary to compete in the current industry structure can magnify. As early as 2004, Coca-Cola is in a mission to integrate host country facilities for better coordination, synergy in resources and manufacturing flexibility.   In Japan, it developed a centralized value chain design to restructure the operations based on the business management and relationship traditions of companies.   In this country, where linking for long-term partnership, it is easier to conduct business when the company is implementing a strategy as a whole and based on the request of its partners.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   A decade from now, the soft drink industry will be dictated with high product differentiation and the company who can find valuable competency in its innovation would be the leader.   This is a path that Coca-Cola is undertaking.   Its financial depth and reputation enabled it to acquire important parts of the value chain to protect its carbonated products from significant decline and also to satisfy the innovative demand of non-carbonated and new-age drinks. It used its historical leadership position to protect its market share even tough it partially lagged innovation feats for still drinks.   Its biggest challenge, however, is to acquire a useful innovative product that can compete with new-age drinks.   Its carbonated drink surely found complacency to have at least a constant growth by vertical integration but improving on non-carbonated drink demands more work.   It is expected that in the future it is able to acquire a non-carbonated firm without intervention from government regulation.   Otherwise, it would be force to develop innovation internally which is less clear. Conclusion Coca-Cola is on the right track when it comes in attacking the external forces head-to-head.     It is diversifying its operations, integrating its resources and adopting to local needs in its quest in finding sustainable value.   There are odds such as government regulation apparent in the hardship of acquiring a vendor-made innovation in the non-carbonated product that can pump-up the stagnant financial performance of the carbonated drink. So far, however, the company is doing its share in solving the unpredictability and spontaneity of the external environment.   It is able to decode that the external forces are sometimes like domino in relation to each other.   That is, the change in one (e.g. climate change) can lead to another (e.g. change in consumer preference).   As a result, it is one step away from assuring itself that its leadership position is out of threat. Bibliography   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Baird, S. & Deal, W. (2003). Consumer information Food policy Nutrition information Regulations. The Technology Teacher, 62, 43-50. Capps, O., Kim, S. & Nayga, R. (2001). Food Label Use, Self-Selectivity and Diet Quality. Journal of Consumer Affairs. 35(2), 346+. Coca-Cola Website, viewed on 2 May 2008, Dean, D. (2004). Consumer Reaction to Negative Publicity: Effects of Corporate Reputation, Response, and Responsibility for a Crisis Event. The Journal of Business Communication. 41(2), 192+. Euromonitor, viewed on 2 May 2008, Foster, F.D., and S.   Viswanathan , 1994, Strategic Trading With Asymmetrically Informed Traders and Long-Lived Information, Journal of Finance and Quantitative Analysis , 29, 499-518. Hitt, M, Hoskisson, R & Ireland 2003, Strategic Management: Competitiveness and Globalization, 5th Edition, South Western; Thomson Learning, Singapore. Kotler, P 2003, Marketing Management, 11th Edition, Prentice Hall: NJ. Navder, K. (1993). Genetically Modified Foods: A Growing Need Plant Biotechnology Can Help to Overcome the World’s Concern for Feeding Its Ever-Growing Population Food and nutrition labelling: past, present and future. School of Health Sciences. Nutraingredients Website, viewed on 2 May 2008, Proctor, T 2000, Strategic Marketing: An Introduction, Routledge, London.   

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Defining Civic And Social Responsibility - 920 Words

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The Rights of the People to Keep and Bear Arms, Shall Not...

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Speech Gilbert Grape of Mice and Men Adversity Comparative Study 15/15 Essay Example For Students

Speech: Gilbert Grape of Mice and Men Adversity Comparative Study 15/15 Essay Good morning year 11 and teachers. My class has been studying the concept of Adversity which is all about the hardship, misfortune and untoward conditions in a persons life. John Steinbeck’s novel ‘Of Mice and Men’ and ‘Whats eating Gilbert Grape’ a movie directed by Lasse Hallstrom both thoroughly examine the social and economic adversities which prevailed in their contexts. ‘Of Mice and Men’ is a novel which pursues the plight of two migratory workers who are looking for more work after the developmentally challenged Lennie gets them into trouble at the last job. The text is set in 1930s California during the depression, in a rural town with limited social and economic prospect. Steinbeck encourages the reader to empathise with the characters, which positions the reader to better understand the hardships faced in this context. A main feature of this text is the recurring motif of george and lennies dream farm. The farm represents freedom from all the pairs current hardships, a place where they can be self sufficient, and free from the social constraints that exist due to lennys disability. By including this dream farm, Steinbeck hopes to assist the reader in understanding the social attitudes towards disabilities. Another value that can be taken from the novel is the concept of the inauspicious outcomes for the carer of a person such as lennie. Through the use of a resentful tone, when george says â€Å"I could get along so easy and so nice if I didnt have you on my tail. †, Steinbeck conveys to the reader, that George is unhappy with the strain looking after lennie puts on his life. The impact this has on the reader, is supposed to give understanding of the social and economic repercussion on the protector. Of mice and men attemps to position the reader in ways so that they gain a full understanding of the concept of adversity, from the straight out nature of adversity, too the flow on effects of caring for a person who is in a state of affliction. The other text we studied on my class was the movie Whats eating Gilbert grape directed by Lasse Hallstrom. This text too is set in a rural American town with limited social and economic prospect, however it is set in a more recent context of the 1980s. The movie is about a dysfunctional family living through many different sources of adversity, a morbidly obese mother, no father, a son with a similar development disability to lennie and worst of all is their location, being such a small town, it has no facilities to support the family. In this text, two of the characters suffer conditions which are, on a social level, very disabling due to the lack of understanding by the society of their context. The mother Bonnie is perceived as a sort of sideshow belonging in the circus. When she is spotted outside the police station after retrieving Arnie from yet another mishap, everyone around stares at her and one man goes so far as to take a photo. This explores the nature of the social condition under which bonnie suffers. The technique of slow motion is utilised to reveal Bonnies inner turmoil as well as reflecting the towns narrow minded attitude. This event affirms the idea of the social adversities faced by the grape family. Like the novel, the family in this movie is a strongly portrays the strain, a person who requires extensive care, puts on those around them. Comparing the movie and the novel, you gain an understanding for the true hardships that a person can suffer, and the flow on effect of having to deal with this affliction. These two texts provide insight into the changing nature of societys attitudes towards those more vulnerable by comparing their ideas over their changing contexts.

Running Head Divorce The Effect On The Children Essays

Running head: Divorce: The Effect on the Children Divorce: The Effect on the Children Divorce: The Effect on the Children Divorce, once uncommon in our society, is now becoming more and more frequent, disrupting our children's state of well-being. Some children of divorced families have long-term behavior problems such as depression, low self-esteem, poor school performance, acting out, and difficulties with intimate relationships. Children with divorced or divorcing parents often have a sense of abandonment, because their parents become too preoccupied with their own psychological, social, and economic distress that they forget about their kids' needs (Lamb and Sternberg, 1997). In 1988, Professor Jeanne Dise-Lewis conducted a survey of 700 middle school students. The students were asked to rate certain events as to the stress they causes. The death of a parent or close family member was the only thing that outranked divorce (Zinsmeister, 1996). A divorce in the family creates a major life change for most children. Loss of contact with friends, schoolmates, neighbors, teachers, and sometimes moving to a new location may bring a lot of psychosocial stress upon the children, and that stress can be very harmful. Since the divorce boom started in the 1960's, father-mother divorces have increased at an alarming rate. Today more than 1,000,000 kids experience a divorce in the family every year in the United States alone (U.S.A. Today, p. 8). As a result of the divorce, many children live in single-parent homes. This usually results in a drop in income for the family. Remarriage creates step families. Children often have a hard time adjusting to this new situation. Many of the remarriages end in divorce. As children see these marriages end, they may become more likely to accept divorce as they enter marriage. It seems that the old saying, ?staying together for the sake of the kids? is becoming a fairy tale. Parental Actions: Custodial and Nonresidential Children's behavior, development, and adjustment to divorce is affected closely by the actions of both of their parents. In a typical divorce situation, one parent has custody of the children and the other is considered to be the nonresidential parent. Children whose nonresidential parents continue to support them financially, whose custodial parents are psychologically healthy, and those who can maintain a meaningful relationship with the nonresidential parent tend to be affected less by the divorce (Lamb and Sternberg, 1997). The nonresidential parent who supports the children economically through child support also tends to spend more time with the children. The situation is improved when there is no conflict between the two parents. Divorces do not always have to be bad; in some cases a divorce can offer members of dysfunctional families the chance to escape from family related stress and conflict (Zinsmeister, 1996). When ex-husbands and wives can work through their problems and go on with their lives, divorces can be considered successful. Personal Experience In the United States, about 45% of all first marriages are now dissolved, and in the United Kingdom, 41% divorce within 14 years (Lamb and Sternberg, 1997). Divorces are happening all around us. Most of us can relate directly, or have some friends that have been affected by divorces. Two of my closest friends now belong to divorced families. The divorces of my two friends' parents was painful for me as well as them. I spent days upon days helping them cope with the divorce related stressors. Today we still have bad memories of those several months surrounding the divorces, and occasionally one of them will have a break-down. Custody and Support In most divorce situations, the mother has custody of the minor children. The children receive support from the nonresident parent. Historically, the amount of support does not cover half the cost of raising a child. In addition, many of the support payers do not pay the full amount of support awarded by the courts (Lamb and Sternberg, 1997). Wage garnishment and stronger support enforcement laws are possible solutions to this problem. Joint custody is allowed in some states. While the idea sounds positive, children of joint-custody agreements often feel that they are constantly leaving one house to go to the other. The child does not feel a stable home exists. When the parents do not have a

Calibans Nature Essays - Caliban, The Tempest, Ariel, Prospero

Caliban's Nature Essays - Caliban, The Tempest, Ariel, Prospero Caliban's Nature Calibans Nature When looking at Shakespeares The Tempest one can find an underlying themes of civilization verses barbarism. The characters that are created represent symbols of nature, and their actions build their symbolism. Through the actions we get a view of Shakespeares ideas on civilization and the uncivilized, as well of letting the reader form their own opinions. Prospero, the former Duke of Milan, after being removed by his brother, arrives on an island. He frees a spirit named Ariel from a spell and in turn makes the spirit his slave. He also enslaves a native monster named Caliban. These two slaves, Caliban and Ariel represent the theme of nature verses nature. Caliban is considered the illustration of the wild, a beast of nature. During the first meeting, Caliban comes across as very savage and immoral. Prospero, when approaching Calibans lair, says disdainfully, ...[he] never/Yields us kind answer, meaning Caliban never responds with respect. Once Prospero reaches the cave he calls out and Caliban harshly retorts, Theres wood enough within. This short reply reveals the bitterness he feels from leading his life as a slave. This attitude makes Caliban appear to be an valueless servant. There is also an extreme anger on the part of Caliban towards Prospero. When he is requested to come forward, Caliban answers, As wicked dew eer my mother brushed/With ravens feather from unwholesome fen/Drop on you both!...And blister you all oer! Although his actions may be justified they are still considered improper for a servant. Previous to Prosperos arrival on the island, Caliban was his own ruler. His mother, Sycorax, left the island to him. Regardless, Prospero took charge of the island and imprisoned Caliban. ...Thou strokst me...I loved thee... is a portion of a quote that portrays the relationship Caliban felt towards Prospero prior to be enslaved. Prospero was his teacher, he taught Caliban to speak and in return Caliban showed him the island, The fresh springs, brine pits, barren place and fertile... Rightfully so Caliban regrets helping Prospero, near the end of his speech he says, Cursed be I that did so! Calibans imprisonment his why he feels this way. However, the attempted rape of Prosperos daughter, Miranda, is the direct cause of the enslavement. This crime appeals to the reader as a good cause for punishment, but Shakespeare also illustrates that Caliban deserves sympathy, instead of disgust. Caliban committed a crime that deserved punishment, but he was not raised in society so therefore did not know what he did wrong. The only way of life he knew was to follow and do what he feels. Caliban does not know right from wrong based on societys standards. Due this aspect there is a degree of sympathy towards Caliban because he is oppressed due to conduct he could not control. Prospero comments, A devil, a born devil, on whose nature/Nurture can never stick... which explains why despite the teachings of Prospero, Caliban reacted on his instincts. Caliban is helpless among the civilized because is a way of life he could never fully understand. Even though Caliban is a man of a nature he should not be considered less honorable than any character from civilization. Citizens of society picture nature as ugly and unrefined, so this is how Shakespeare portrays Caliban, as a hideous beast. His appearance is meant to illustrate the immoral animal nature within him. Despite this immorality, Caliban posses purity and innocence, something that no man of society can claim he has. Caliban does not act to please others, rather his own pleasure is top priority. Shakespeare gives Caliban some fine poetry, ...Sounds and sweet airs, that give delight and hurt not./Sometimes a thousand twangling instruments... With this quote Caliban states that nature can be equally as charismatic as society. Caliban portrayed as evil, but he is not as soulless as Antonio, Prosperos brother. Antonio is from the civilized world, yet he produces corruption and ugliness far worse than that of Calibans nature. Basically, Caliban behaves disgustingly in the eyes of civilized society. Nevertheless, his background and environment which he grew up in accounts for these actions and justifies them. Shakespeare uses the character of Caliban to represent nature and to show readers that nature is not as bad as it appears to be at face value. Through Caliban readers can gain an understanding of those individuals who were not raised in the same atmospheres we were. With this awareness, a feeling of great sympathy is inflicted on the readers for those who are less