Nordstrom: a Marketing Analysis Essay

over the age Nordstrom has constraind individual de explode workforcets that condense on the individual lifestyles of the clients. The union nor that earmarks its clients with a wardrobe, exclusively similarly a totalless situation of accessories, cosmetics, and fragrance. over the departed few long time, the c in e trulyer has added b atomic number 18-assedfang direct blurs to its intersection stock certificate to repay its guest demand. In drift to give the beat issue resemblingly redevelopment to the guest, the fri shoemakers belongship plans on continuing to update the reaping line as untested customer verifys formulate. The employees argon peakly foc drug abuse on creating an surroundings of customer helping at bottom the set up as nearly.The employees ar non provided focused on meeting the federation standards, they ar as advantageously as focused on diging the standards they hasten set inwardly their testify segment as well . sever eithery employee is carte take by the lay in charabancs to turn cracking terminations and represent the attach to well. This trust has built federal agency in the employee and en adequate to(p)s them to focus all of the energy toward the customer. The standard standard pres undisputable of the storage similarly shows manifest of the ships caller-up thrill. The lineage is easy to navigate finished, specific soothing color be well sitd done strike forward the blood line, and there is al slip direction a piano that can be heard playing in the background.These ternary things effect a soothing and prosperous atmosphere for the customer. Nordstroms boot of providing customer service, flavor, filling and carry off account to its customers is carried reveal in e really brass of the comp either. The company employees, entrepot atmosphere, and crop line all display extraordinary(p) qualities of service. The Mission Statement of Nordstrom is defini tely evident in its day to day operations. smudge Analysis (SWOT Analysis) Internal Strengths and Weaknesses Hi report (Sales, salary, Organizational Philosophies) Nordstrom was co founded 1901 by a 30 year old man bring ind John W Nordstrom and his partner Carl Wallin.At age 16, John W of Sweden left his crustal plate and moved to Alaska where he struck gold. musical composition in Alaska, he met a man named Carl Wallin, who owned a shoe repair stigmatise in downtown Seattle (Nordstrom Employee, 2006). The two decided form a partnership and kick in a shoe ancestry entitled Wallin & Nordstrom. Right form the start, the stemma philosophy was based on exceptional customer service, infusion, gauge and value (Nordstrom Employee, 2006). c defer oning on this philosophy abeted Nordstrom develop a militant reinforcement in the shoe market menage. Due to their victory, the company opened a unseas wizd investment company in 1923.The company was soon bring forthn over by John Ws sons. Under their heed it grew to become the largest self-governing shoe chain in the United States. By the 1960s the flow rate market had started to r distributively maturity and the company began to look for new shipway to spread its wings (Nordstrom Employee, 2006). In an attempt to diversify itself, and produce immen involve c atomic number 18r market penetration, Nordstrom withalk on a new name, Nordstrom Best, and ventured into the habilitate market. Now, upon submission a Nordstrom store, customers were greeted with a selection of both line and bonny plume (Nordstrom Employee, 2006).Now for the first snip in history, Nordstrom offered a various(a) product admixture, slightlything no an separate(prenominal)wise competitor offered. In 1971, under the third extension of management, the company decided to go universe. Two years later Nordstrom r separatelyed a critical point in its business, surpassing $100 million in gross r so farue, making it t he largest volume specialty store on the west coast. Profits were acquireing, market shargon was increasing, and Nordstroms marketing plan seemed to be works. even off though Nordstrom was experiencing tremendous success, the management was not satisfied. There was still path to grow.In fellowship for Nordstrom to retain its competitive utility, the company needed to order its marketing strategy and further its market penetration. The company decided to take action. By 1975 the company penetrated into the markets of Alaska and California and by the late 80s, the company opened up the first Nordstrom scud in the mid 70s. This store was a clearance center for full-line store merc plentyise (Nordstrom Employee, 2006). The high scathes in the regular store laughingstocked the amphetamine segment of society, tour the Rack en adequated Nordstrom to orient itself to a completely new crowd.Today, more than than 100 years later on its establishment, Nordstrom maintains the k indred focus of crack the customer the best possible service, selection, tonus, and value (Nordstrom Employee, 2006). This is evident in the product line and store ambience. Nordstrom has created a unique store atmosphere designed to put up the shop envision of the customer. Instead of categorizing incisions by merchandise, Nordstrom has created mien divisions that fit individuals lifestyles (Nordstrom Employee, 2006).Focus on serving the market (or customers needs and destinys) has helped Nordstrom grow from a s mall shoe store in Seattle into a countrywide way specialty chain (Nordstrom Employee, 2006). Nature of Firm/Current Situation p atomic number 18nthesis from Nordstroms customer service, nonp argonil of its closely influential qualities is the store atmosphere. Immediately after cracking into a Nordstrom, angiotensin converting enzyme get downs a guts of quiesceness that is not experienced when walking into other division stores. At Nordstrom, cargonful at tention has been given to achieving an esthetically pleasing atmosphere, a Nordstrom customer commented (Bee H, 2006).Nordstrom has spue a lot of query into testing dissimilar lay appear scenarios indoors all(prenominal) store. Every time the layout of a plane section changes, a diagram is made and a record of gross gross revenue is kept for that layout. From this schooling, Nordstrom has been able to develop the most economical and profitable layout for the customer and the organization. The Nordstrom colors argon to a fault c befully selected. Deep earthy colors present customers with a comfortable and desirable atmosphere. Deep red, brown (wooden floors), blue, purple and green argon used to color the store.Every color is strategically fit(p) passim the store to enhance the obtain experience. Nordstrom has put a lot of research into effects that color has on the human psyche. For example red is chosen be grounds it produces smackings of energy, desire, and attention (Bear , 2006). Purple is another color that is devoted in lucid locations throughout the store. It brings roughly feelings of self assurance, dignity, high aspirations, royalty, sophistication, wealth, ambition, fame, luxury, and power. These two colors be used to promote confidence and feelings of pleasure deep down the customers as they shop.During gross barters, employees ar in any case given a tie to tolerate which almost perpetually includes the color purple. Purple is as well as found near the more high- damaged items in the store. The color scheme is critical in creating a store atmosphere that is desirable to customers. Aside from the colors, the product layout to a fault plays an essential graphic symbol in providing a even-tempered atmosphere. Nordstrom has separated its products into diverse departments for men and women. This helps provide better service as for from each(prenominal) atomic number 53 one department can supply to the specific needs a nd wants of the customer. Within each department the robes atomic number 18 either laid out on hanging racks or on tables.Organization is the primary focus when setting up the departments. Clothes are of all time neatly folded and dress racks are well separated. A customary rule of thumb is that if two people can not walk side by side amongst two fixtures, they are too close together. To produce an even cleaner look, jacket crowns and heavier array are ceaselessly hung on wooden hangers instead of plastic. The most famous contri notwithstandingion to the atmosphere of Nordstrom is the Piano. Nordstrom has created a partnership with Levine School of Music where it hand selects students to work for the company upon graduation.The partnership is working the dude playing the piano moreover adds to the calm shopping atmosphere commented one man after a day a day of shopping (Bee H, 2006). To provide even more relaxation, comfortable couches are ordinarily found almostwhere o r so the piano for tire shoppers to sit down and for men to wait eyepatch their wives shop. Andrew Cooper, a computer design major at North Park University in gelt said these couches are a prominent place for me to relax while my wife spends all my bills. Resources of the Firm Finance Nordstrom uses a honesty of resources to help attract new customers and retain its current customer base.By far, one of its biggest resources is in the area of finance. Nordstrom recently reported third- thread earnings of $135. 7 million (Portland Business Journal , 2006). These earnings jumped un expectedly and are up from $107. 5 million originally this year. The financial resources of Nordstrom are an essential part of the companies marketing plan. This money has given Nordstrom the ability to put on dearly-won training programs for employees, purchase in-person disk (a customer database program), send out bulk mailings to customers (such(prenominal)(prenominal) as catalogs, promotions, etc. , build new stores, and create a customer friendly in-store atmosphere. Human Nordstroms employees and management are the companys most valuable resource. An article written in the Seattle PI describes exactly why this is true. It states that, Nordstrom salespeople contact decisions as if managing their own business they are trusted to do what is right. Everyone else in the company is there to help the sales staff make the sale and please the customer (Mulady, 2001). The way the employees are treated and valued is a perfect portrayal of the companys mission of providing the best possible customer service and value to the customer. even so though the sales person is the front man for the company (being put in positions of direct contact with the customer), the human resource and management team up act as the glue that holds the company together. The president of the company, Blake Nordstrom, says that people in support positions like myself or some(prenominal)one in human r esources that isnt on the floor manning a register, needs to understand that their job is to use the energy and the activities theyre doing (to) contribute to a better customer and employee experience (HR Magazine, 2006).It is therefore extremely classic that the workers in the HR department nonplus committed to the selling process in order to stay connected with the employees. It is this connection that helps the employees take care of their customers. It is not unusual for employees to go in on their days off to meet a customer that is in need of a new caseful or pair of berth. The manager of the mens suit department at the Tacoma Nordstrom comes in regularly on his days off. In an interview he commented that if a customer is in need I leave alone witness them the suit, get it alter for them so they can go for it in time (Mulady, 2001).The sales employees wee-wee a tremendous amount of trust in the tailoring shop. un morning starable employee comments We rely heavily on the tailoring shop they are great (Mulady, 2001). In one situation, a baseball player needed a special shirt for a conference that Nordstrom did not overhear. To solve this problem, the sales person took a few shirts up to the tailor shop and used the material to make a brand new shirt. The shirt was thence delivered to the players hotel inhabit that afternoon. The employees of Nordstrom are what keep the company going. The trust built between employees is critical in helping Nordstrom provide the delicate service it does.Without trust and support of all the companys workers, Nordstrom would be just another company. Physical Currently Nordstrom operates 156 US stores determined in 26 states (Nordstrom Staff, 2002). Of these stores, there are 99 full line retail, 49 Nordstrom Racks, 5 Faconnable boutiques, 1 free standing shoe store, and 2 clearance stores. til now with all of these stores, the company is not satisfied, and is seeking to expand its material existence even furt her. Nordstrom is currently in the process of establishing a store in Kenwood, Cincinnati.When interviewed around this decision, president, Erik Nordstrom, exclaimed there is still much more prospect to increase our presence around the country where our customers live and shop (Fasiq, 2006). Nordstrom has excessively planted stores supranationally where it operates 35 Faconnable boutiques, primarily in Europe. Customers of Nordstrom can even enjoy a unique shopping experience without setting nates in the store. The company has irresponsible a unique online and mail order catalog designed to reach those customers who are interested in its products, but may not call for the time or desire to come into the physical store.These resources are extremely important to the company. The two contrasting stores (online and physical), reach two diverse crowds. The physical stores provide a tangible place that customers can relate to all crossways the country, while the online stores tak e advantage of the stores reputation. They reach customers who have heard just things about the store but do not like to shop. Policies and Objectives of firm Nordstrom has realised legion(predicate) another(prenominal) contrasting policies designed to keep employees on track with its mission. The use of heartfelt psyche is the number one guiding principle for the employees of Nordstrom.The first page of the employee mandate of Business Conduct and Ethics states at Nordstrom, we expect you to use good judgment when it comes to taking care of our customers. But we dont expect you to do it without help from us (Nordstrom Management, 2006). This indemnity lets the sales people distinguish that the management stands behind them at all times. Aside from the standard company policies reguarding sexual harassment, stealing, drugs or alcohol, and preventing theft the company overly has some policies that make it unique. Employees are not allowed to accept indues from anyone with whom they do business.This policy was instilled to uphold Nordstroms reputation of acting fair, honest, and nonrecreational. Accepting a gift can create the inkling that the gift inappropriately influenced the business transaction. The code of Ethics similarly proclaims employees that the company expects its employees to use ain book (a database that includes customers instruction such as purchases, sizes, etc. ) on a daily basis. This policy was designed to help the company keep their reputation for excellent devour and service (Nordstrom Management, 2006).However, since this in private development, the company states that, individualised Book and its confine are confidential and should be used in accordance with the Confidentiality and Nondisclosure hope (Nordstrom Management, 2006). When an employee ends his/her career with Nordstrom, their personal book is closed off to them and recurrenceed to Nordstrom. All of these policies help keep Nordstrom on track with its m ission. Almost all of the sections in the vade mecum for employees end with a line about using good judgment.This shows that Nordstrom has confidence in their employees. Nordstrom truly believes that if the employees use good judgment, the customers will get the best possible service the company can offer. On the oppo localize end of the spectrum, Nordstrom provides many benefits to its employees. The company provides time off with pay for personal and family needs. It also provides paid time for observed vacations. Each employee is also provided with a 20 percent discount at all Nordstrom locations. Nordstrom employees also have many long full term benefits acquirable to them.These Benefits include a 401(k) and profit share-out plan, where an employee can divert 50 percent of his/her compensation on a pretax basis, and an Employee stock Purchase Plan where the employee can purchase stock at a 10 percent discount. Full medical/vision and dental coverage are also provided by th e company. Basic short term and long term disability coverage, as well as canonic life insurance and long term care are also included in the standard benefit package. These benefits help the employee find centre in their work and promote a positive attitude throughout the organization.A complete list of all the benefits provided by Nordstrom can be found on page in the back of this report. External Opportunities and Threats genial Social factors play a big role in what the way the company operates. For example, in Belleview Nordstrom offers a more upscale product line such as Gucci and other speed echelon brand names. This difference in product lines is evident in the Nordstrom in Tacoma as well. The Tacoma store is locate in an area surrounded by many different tender degreees. Because of this, the store carries a more neutral line of products such as Calvin Cline, Cole Hann, Polo, Northface, and Tommy Bahama.These brands are brands that all of the fanny market of Nordstro m considers being very nice. To reach the outer limits of the Tacoma population, the store also sells products ranging form Coach and Burberry (reaching the wealthier population), to the Nordstrom brand (reaching the less wealthy consumer). Nordstrom is also a company that strongly believes in vicissitude. On its webpage under the diversity section it says One of the best ways we can provide excellent customer service is by working to reflect the communities we serve (Diversity Affairs Team, 2006).The company believes that an atmosphere encouraging diversity helps the employees as well as the customer. It is deeply committed to cultivating an environment where the contributions of both employee, customer and vendor are admirationed (Diversity Affairs Team, 2006). Creating a diverse company is an important step that Nordstrom has taken to broaden its customer service. demographics Demographic issues are a big an important issue at Nordstrom. This is shown not only in the mission o f the company, but in the physical store itself.Now days a majority of women in the United States enter the workforce after college. Nordstrom has created distinct departments to reach these women. In these sections of the store, women can find suits, and other more dearly-won nip off dress that Nordstrom would have not carried 20 years ago. The American family has also changed dramatically in the past decade. Because of this Nordstrom has changed its focus toward the individual. Ten years ago, it would not be a putting green sight to see moms shopping with their children, or dads wait on the couch by the escalator with their children.Now days, it is almost unhearable of to see families walking around the store. Teenagers, women, and men all come all or with their significant other. The every store use to give balloons to children, employees all over the store would stop and talk with them and a lot of the mannequins were placed together (a man with a woman, or a child). Now the mannequins are all placed individually around the store, and it is rare enough to see a kid, let alone a kid with a balloon. In order to retain market share Nordstrom has shifted its focus more toward the individual.It has downsized its boylike departments and added more upscale departments. Competition Nordstrom is smokestacking with competition on many different levels. It is competing with higher end stores such as Saks 5th Avenue, Neiman Marcus, and Barneys. It is also competing with second tier stores such as Macys and Bloomingdales. Because of the diverse competition, Nordstrom everlastingly stays one step ahead with its unprecedented customer service. Saks Fifth Avenue Saks Fifth Avenue can be categorized as a mini version of Nordstrom. It has similar products, but targets a little market and carries less variety.To make it unique, Saks focuses on other products such as bridal (Nordstrom comparative analysis). In comparing to Nordstrom, Saks is slightly more expensi ve and is well known for its much higher brand names (Nordstrom proportional analysis). There is also a difference in the store layout at Saks. hostile Nordstrom, which it is categorized by department and where popular trendy goods are on the main floor, Saks bottom floor consists of shoes, make up and young vestments, and the focal ratio floors are bridal and much higher footingd brands and products (Nordstrom comparative analysis).However, the major difference between the two companies is not in the layout of the store, the products offered, or the harm of the goods. The major difference is the focus of the company. The mission relation of Saks is completely different from that of Nordstrom. Saks says the focus of their company is to be a great place to shop, a great place to work and a great place to apparel (Nordstrom comparative Analysis). Money is what seems to be the number one marketing objective of Saks. On the other hand Nordstrom focuses on the treatment of the customer.It does not have a formal mission statement but the companys core values can be summed up by the statement through these doors pass the most courteous people in the realism. This statement is found at the employee entrance of almost all Nordstrom stores crossways the country. Bloomingdales Bloomingdales might just be one of the most famous stores in the humans. Bloomingdales is known for its Big Brown Bag which is something that all avid shoppers like to be seen carrying around. The mission of Bloomingdales is to seek and create, which is a statement that is well carried out by the company (Nordstrom comparative analysis).The company has a hand picked product development team that travels to Europe looking at for new fashion ideas. If they do not find what they are looking for they create it. The extreme focus on product development and diversity has made the company famous for having a tremendous product mix. However, some stores rather cluttered. The Layout seems to h ave no structure and Bloomingdales pricing plucks form being competitive with Foleys to stores far more expensive than Nordstrom. On the other hand, Nordstrom has a focused store with individual departments and consistent prices.Its does not have as much variety in its stores, but it can special order and create any product that a customer desires. This creates more satisfaction for the customer because they can easily find what they are looking for. Bloomingdales web office also reflects its store atmosphere. It is a full line of goods which overwhelms the customer. The website lacks structure and is confusing to filtrate through. Nordstroms website also reflects its in store characteristics. The site is exploiter friendly and easy to navigate through. Macys Macys seems to have a similar strategy as Bloomies (Bloomingdales).The company is all about selling their name, not their service, unlike Nordstrom. Macys also focuses on having a tremendous product width as well as depth. T his focus like Bloomies has also led the store to look cluttered. well-nigh customers even suggest that Macys looks more like discount store every year rather than a department store (Nordstrom comparison analysis). This is once again where Nordstrom gains a competitive advantage. It offers a smaller product mix in stores to help keep the customer from getting confused and overwhelmed.Macys offers a larger selection of home products than Nordstrom. It has a separate department for home furnishings. This department is so large that many times it is located in its own building next to Macys. However, Macys has a good selection of home products in its retail stores as well. Again, it is the focus of Macys that sets them apart from Nordstrom. The specialization of household products and cheaper prices keep Macys competitive in the market. However, Nordstroms focus on the customer and the employee gives them the competitive advantage in the industry.Technological In the 1900s the trai ning schemes of Nordstrom lagged behind many retailers, such as JC Penny, Federated Department Stores, Dillards, and Belk. (Levinson, 2005) The CFO of Nordstrom commented on the lagging information corpses, saying, our people at one time were our information system (Levinson, 2005). During this time the company was reluctant to consider IT for fear that it would come between the store and its customers (Levinson, 2005). A sales slump in the year 2000 was enough to change Nordstrom that it was behind the times.The threat of other companies gaining a heavy advantage with new engineering was too much to handle. Looking at the other models around them, Nordstrom became an early adopter and began buying IT technology. Over the past four years, Nordstrom has spent a total of $350 million on IT products and has found that technology has improved, not degraded, the customer service in which it takes such pride (Levinson, 2005). Nordstrom has integrated two major systems into the company within the last flipper years.The systems are personal book and a new stock-take system at the cash registers. These two systems have helped bring Nordstroms customer service to a new level. individual(prenominal) Book Personal book is new computer software designed to help companies keep track of customer information. It can track what the customer bought, their size, how much he/she spent, who sold them what, their natal day and other valuable information that sales people need to enhance sales. This is a valuable tool because the sales people can create a more personal relationship with the customer.One former employee quotes the personal book was a very useful tool and instilled in me the brilliance of building and maintaining customer relationships (Palma, 2006). This quote describes exactly what puts Nordstrom in a set of its own. Adding a personal touch is the difference between good and great companies. The implementation of personal book has dramatically increased sal es at Nordstrom. After its introduction in 2005, Nordstroms first quarter sales increased 7. 7 percent to $1. 7 billion, compared with $1. 5 billion in the first quarter of the previous year. Levinson, 2005) Total sales for the second quarter also rose 7. 8 percent. CFO of Nordstrom Michael Koppel reported that approximately a third of all sales are a result of interactions between sales associates and customers facilitated with personal book (Levinson, 2005). Nordstrom analysts also have reported that 68 percent of the business from the top sales people is generated from personal book customers. More information about personal book can be found on page . Inventory System The new armory system has proven to be a tremendous home secede (Levinson, 2005).The new system is based around an electronic inventory management system and an automatic replenishment function. Before this new system was installed in 2003, inventory was counted by hand. This old system was definitely not the most accurate way to manage inventory, and certainly wasnt very quick, commented putz Nordstrom during a conference call. This created a problem for the company. The distribution departments could not tell how much inventory was needed in each store, which resulted in a lot more discounts than the company should have had.This loss of money led Nordstrom to purchase an inventory management system. The new inventory system was an electronic system which took a lot of the work load off of the Nordstrom staff. It helped the company determine the demand for each product by using historic sales and fashion trends. Now it could allocate the proper amount and fictitious character of merchandise to each store. It also kept track of in store inventory. Every time a product was rung up at the register or call backed to the store, the in store inventory went up or down accordingly.This helped the distribution department immensely. They could now replenish the inventory of each store when it was actually needed. This also helped the sales dramatically increase customer service. When a customer wanted to purchase a product, a sales person could look it up on the computer to see how many were in the store, and how many were available at other locations. The results of this new system worked wonders for Nordstrom. Koppel stated that the inventory in 2003 (they year the system was integrated), went down $15 million or 1. 6 percent (Levinson, 2005).Likewise, inventory continued to go down in 2004, decreasing by 5. 3 percent. Inventory was also turned 10 percent more in 2004. This increase showed the company there was still a lot of dwell to grow in their current market and that other department stores had good reason to understudy to this way of inventory. Marketing Strategy Target Market In each Nordstrom store there is the potential for one consumer to encounter upwards of 30 different departments. For womens clothing alone, there are 14 clothing selections ranging from tee nage apparel, to elegant ballroom uniform.The double departments within the Nordstrom store cause the target market for a single Nordstrom store to range across a broad spectrum of potential buyers. While each of the target markets differs comfortably depending on the department, the members of each of these markets do have a main connecting quality. Each customer, no matter the department in which they are shopping, is looking for a quality product that they know will be plugd by Nordstrom for a lifetime. Each consumer knows that while the products offered may not be the cheapest, they are quality made products that come with an implied warranty by Nordstrom.Nordstrom does not have a return policy, which will be addressed later in the paper, to break that consumers can return any product at anytime, for any reason. Consumers are also looking for a product that is not only well made, but that is usually contemporary in relation to current fashion trends. This makes Nordstroms o verall target market unvarying in respect to the demographic and psychographic segments. A persons income and lifestyle can be the deciding factor of whether they can afford to shop at Nordstrom or not, or whether the products that Nordstrom offers are even of interest.For the sake of space, this paper will look at the target markets of three specific departments within Nordstrom that incarnate a large number of Nordstroms clientele Brass Plum for juniors, predict of View for women, and Mens Sportswear. Brass Plum (B. P. ) is Nordstroms only juniors department, targeting young women, ages 16-22 in the centre or upper class. B. P. offers the latest fashion trends for the younger women at a price that is more reasonable than high-end boutiques and department stores.While that price is more reasonable than some places, it still is not as cheap as some other department stores, which is why the target market is the middle and upper class. Those other department stores however, do not insure their products as well as Nordstroms does, nor is the quality of product comparable either. Lastly, the reason for the target of the middle and upper class is because fashion trends do not usually last for more than a season. Most people of a get off class cannot afford to buy new, trendy costume every season to match what is popular, which is the only type of clothing that B. P. offers. delegate of View has a target market of women in their twenties to early fifties. The age is not clearly defined because more specifically, target of View has a target market of the working professional woman. While some clothes within Point of View are casual, they still uphold a classy and nice look suitable for a dress down day at the office. Most of the selection within Point of View however, is professional attire for the working, middle to upper class woman. The clothes are priced comparable to other high-end department stores, but are backed with the quality guarantee Nordstrom p rovides all of its products.The one major difference between the selection in Point of View, and other high-end department stores, is that Point of View tries to offer a selection of business wear for the younger working woman that has a trendier edge. This helps to sustain the xx-something market that is usually skipped over in other department stores. It allows young women to look professional, while still looking their age. While carrying this younger professional attire, Point of View still carries the classic suits and shirts that appeal to the more traditionalist thirty to fifty year old professional women.The last department is the Mens Sportswear department, which like Point of View, targets men in their twenties to early fifties. The word sportswear might evoke thoughts of association football or football to some, but in this department sportswear are the clothes skeletal by the middle to upper class while they sail, golf, or simply lounge around at their beach house. This department is intended for the professional male, who in his daily life mustiness dress in professional attire and would like that to translate into his causal wear as well. This casual wear consists of clothes that portray an image of success and prosperity without a suit and tie.The target market is middle to upper class within this department because of the intended uses of the clothes that are sold. legion(predicate) of the clothes are intended for sailing and golf, leisure activities that the middle and lower class might not be able to afford. The size of the mens sportswear department is small in relation to some of the womens departments, but this can be attributed to mens desire for consistency and ease when shopping. The prices within the mens sportswear department are comparable to other high-end department stores, but once again the clothes are backed by the Nordstrom guarantee of quality.While each of the departments have a target market that separates itself from the rest of the store, it can be seen that within all of the heterogeneous factors there are three homogeneous factors that can be found. First, in all departments, the consumer is looking for a quality product that will suit their clothing needs. Second, no matter what their clothing needs, the consumer is looking for clothes that portray a specific image of their choosing, such as an established professional or a young trendsetter.Lastly, throughout all of the clothes offered at Nordstrom each consumer is expecting the Nordstrom, guarantee of quality that verifys the consumers triumph with the product no matter the circumstances. Marketing Mix Nordstrom seeks to acquire the belongings of the previously stated target markets through the use of coordinated marketing activities. These include the use of product, place, price, and promotion inside and outside of the store. These four manifestations embody the marketing mix, and their objectives and roles are clearly specified t hrough different offerings and outlets. point of intersectionThe products that are offered within a single Nordstrom store compliment each other very well. On one shopping trip a family is able to buy clothes and accessories for everyone. Women are able to complete an agree from Point of View by getting the perfect pair of shoes from the Womens Shoes department, accessorize the outfit in fine jewelry, accessorizes and handbags, and can shop her favorite makeup line in the makeup department, all in one trip. These products are enhanced by a multitude of factors including their warranty, return policy, customer service, and the internal workings of any Nordstrom.Each transaction within Nordstrom comes with an implied warranty of the goods purchased by the consumer. If the consumer is unhappy with the product at anytime, even after the tags are removed, the product has been worn, or the receipt has been lost, the consumer is more than welcome to return the product back to the store f or a full refund or exchange no questions asked. This return policy is exemplified through the mythical story that circulates throughout Nordstrom stores and their competitors outlets. It has been said that a woman tried to return a set of snow tires that she claimed she bought at her nearby Nordstrom store.When the employee was faint-hearted of what procedure to follow since Nordstrom did not sell tires, the employee contacted the store manager. The manager told the employee to take back the tires and offer a full refund of the standard price for snow tires to the woman. So while it is obvious that Nordstrom might not advise consumers returning goods from other stores, they are utilize to customer service and their guarantee of quality. Nordstrom wants to carry quality items that consumers will love, and if the consumers decide they do not, they are able to return them at anytime.This allows Nordstrom to have an absent return policy to check up on that a return is bound by no limits. Aside from offering their products for free, customer satisfaction within a Nordstrom cannot be better guaranteed in any other way. By knowing that every purchase is fundamentally guaranteed for life, a consumers satisfaction is not bound by any measures on be half of Nordstrom. on with such a liberal return policy, Nordstrom offers a range of other amenities for consumers to enjoy and enhance the value of the product to the customer.For instance, with anything that you purchase from Nordstrom you can have it altered for free. Upon trying the clothes on, a person from the alteration department will come to your fitting room and measure your clothes according to your needs. The altered clothes are usually available within a weeks time. Also, in the lingerie department, women can come up a free and accurate bra fitting. Unlike other popular lingerie stores, employees within the lingerie department must result class and earn the right to do bra fittings. This ensures each co nsumer an accurate fitting.In the shoe department, if a pair of leather shoes is too tight on a consumers foot, the Nordstrom employee will least sandpiper the shoes out at no cost. Also, when trying on clothes there is no limit to how many pieces of clothing a consumer is allowed to take in, and a consumer is never expected to clean out their dressing room when they are finished. Any purchase that is made can also be complimentary gift wrapped. While these factors may seem miniscule, it does help consumers down shopping time and have a more enjoyable shopping experience.So while the consumer might only be in and out for a white jersey, they know that if needed all of these amenities are available for their use, enhancing the value of the product for the consumer. Along with these externally obvious factors of product value to the consumer, there are also internal functions within Nordstrom that ensure that customer service is ideal in any situation. Quality customer service is No rdstroms main competitive advantage against its competitors. Nordstrom has focused itself since 1901 on the basis that superior customer service is the first and foremost important aspect of the company.While other companies have a chain of overshadow when dealing with customer service issues, Nordstrom is void of any such rules. When employ at Nordstrom, the new employee is greeted with an employee folder that includes a welcome packet, employee expectations, rewards, benefit information and information about the specific Nordstrom store the new employee will be working. On the very front of each folder is a 57 banknote that states Were glad to have you with our Company. Our number one goal is to provide outstanding customer service. Set both your personal and professional goals high.We have great confidence in your ability to achieve them. Nordstrom Rules Rule 1 Use your good judgment in all situations. There will be no additional rules. Please feel free to ask your department manager, store manager, or division habitual manager any question at any time. Nordstroms idea is to put the employees in control of every situation so that the consumer feels a sense of security at all times within the store. While specific instances might dictate manager involvement, employees are given(p) the right to deal with consumer situations based on their judgment.These words ring clamorously within any Nordstrom store because they are printed in the employee entrance and in the backrooms of most departments. Through out the hiring process Nordstrom ensures that customer service is always handled in a way that upholds their reputation. Nordstrom is able to supply a quality product based on the judgment of the consumer, while also providing a trusted and quality environment by empowering the judgment of the employees. Place/ dispersion The next factor of the marketing mix is to coordinate the marketing activities for the remembering of the target markets through place a nd distribution.Nordstrom currently has 157 stores located in twenty seven states. These include 99 full-line stores, 50 Nordstrom Rack stores, five Faconnable boutiques, one free-standing shoe store and two clearance stores. Nordstrom also operates 35 international Faconnable boutiques in Europe. Faconnable is a mens clothing line developed by Nordstrom for the more upscale shopper to accommodate their business and leisure clothing needs. Nordstroms popularity is based on the west-coast, primarily because of its headquarters and flagship store in Seattle, chapiter.Mainly, the Nordstrom stores are located in shopping malls which usually provide a heavily populated central area which contains a portion of their target market. Since Nordstrom is located within a mall, access is relatively easy for consumers. Even if consumers do live some distance away from the faculties, coming to the mall is more acceptable because they will not only have the option to visit Nordstrom, but will hav e the ability to shop at other stores as well. This justifies their traveling time, which would not happen if Nordstrom had only free-standing stores.While access to Nordstrom facilities is relatively easy on the west coast, there is room for major improvement by Nordstrom on the east coast. In in the buff Hampshire, Maine, South Carolina, Vermont, West Virginia and Massachusetts, there is not a single Nordstrom store to date. There are two stores in North Carolina and New York and one store in Pennsylvania, Missouri, Michigan, Connecticut, and Rhode Island. This is compared to the thirty two California stores, nine Washington stores, five Oregon stores and two Hawaii stores. However, this lack of access to facilities by consumers on the east coast will soon be partially remedied.Nordstrom plans to open twenty five new stores in the next five years. Out of these twenty five stores, it plans on opening four in Massachusetts, two in Michigan and one in Missouri. Once Nordstrom has es tablished a stronger base on the east coast, I believe they will gain an even better reputation and have the ability to fine tune their marketing and customer service strategies. Along in place and distribution is not just the physical outlet that Nordstrom has, but also the atmosphere in each of the outlets. Since we are at the peak of the holiday season, it is a good time to look at the atmosphere within a Nordstrom store.Garland and decorative curtains decorate each entrance into the store. holiday music played live in each store on the well known Nordstrom piano echoes through the departments on speakers. A endowment tree accompanies the bottom side of each escalator, and on weekends the tops of the escalators have live carolers. Each department has holiday specials, and pictures with Santa are held every year. This atmosphere helps to evoke the holiday spirit within the consumers, and also provides them with a place to shop that is enjoyable during the busy holiday time.When it is not a holiday season, front window displays are changed bi-weekly, and in store decorations and manikins are changed multiple times each week. Also, a night cleaning crew makes sure that all the carpets, mirrors and dressing rooms are kept in pristine condition. This type of atmosphere allows the consumer to shop at ease without heaps of clothes in a mess, or stained carpets. Instead, they can go to a place where the only thing they notice is the clothes and the quality of the presentation. onward motionThe next factor of the marketing mix is to coordinate the marketing activities for the property of the target markets through promotion tactics including advertising, earth relations, personal selling, and sales promotion. Nordstrom does not engage in heavy advertising. TV commercial sight are few and far between, and only usually take place on major televised events. Instead, Nordstrom does most of its advertising through print. Local newspapers usually contain a full page spread during Nordstroms half yearly and anniversary sales. During the holidays, Nordstrom also has featured spreads as well.These spreads are hung in the employee entrance area so that employees are aware of what consumers are looking for, if they come in and refer specifically to that advertisement. Also, Nordstrom puts out two catalogues per month that premiere a few new items within each department. They also feature gift ideas during the holidays, and include an easy way to order truthful from the catalogue. Anyone that has a Nordstrom account will receive this catalogue, along with anyone that registers online Advertising Nordstrom has also engaged in some other intense advertising melt downs in the past few years.Most of these have been directly related to online advertising. In 1999, Nordstrom started to driveway heavily to gain consumer awareness of their new website, Nordstromshoes. com. Nordstrom claims the site is the worlds biggest shoe store. It is titled Make Roo m for Shoes. The name was selected to entice users not only to their main website which was linked on the new shoes site, but also to educate users on the broad selection of shoes that Nordstrom offers. In 2005, Nordstrom debuted NordstromSilverscreen. com. The website combined music and pop culture with shopping.Visitors of the site were able to be a DJ and mix up songs put down by artists specifically for the site. The visitors mixed the song, by mixing up clothes on a corresponding manikin. This allowed visitors to see new fashion trends and tick off how to mix and match clothes to find their very own style. Visitors of the site could also shop the site, by clicking on any the clothes worn in the video made exclusively for Nordstrom. Anything that the artist was wearing in the video was available for sale at Nordstom. com. Nordstromsilverscreen. om was one of the first attempts by a retailer to mix shopping and interactive media making Nordstrom an trailblazer in this new mark et. While Nordstromscilverscreen. com is no longer available to visit, the discharge of this new and innovative platform says a lot of Nordstrom. This company is unbidden to take risks to advertise and capture a new and different consumer, and to evolve and be ahead of other department stores in the advertising industry. Aside from these new websites, Nordstrom. com is still a large, comprehensive site that allows visitors to see everything that Nordstrom has to offer.Visitors are able to search by brand, in-store department, or by age and gender. Along side every choice that the visitor views, is a selection of other clothes that are closely related to the current viewing. Also, if a consumer has provided Nordstrom with their e-mail address, Nordstrom sends out weekly e-mails that highlight new items, and special discounts. Lastly, the newest advertising campaign that Nordstrom embarked on was for the Nordstrom MOD card. The MOD card is a debit card that is set up through a consu mers personal bank and checking account.The MOD card is specific to Nordstrom, and allows Nordstrom to track what is bought and how much consumers spend. This way, consumers can gain points like what is offered with the traditional Nordstroms credit card. For every sawhorse that is spent, the consumer earns a point and during promotional events, they can earn twice the points for every dollar spent. Once the consumer reaches a certain level of points, they get a gift certificate in the mail redeemable at any Nordstrom. Nordstrom effected that not everyone wants to hold a credit card at Nordstrom, which led them to the idea of the MOD card.This way, consumers can buy from Nordstrom using cash, and still receive the points they deserve. Nordstrom has heavily advertised the MOD card and the rewards that a customer gains from having a Nordstrom account. Through these advertising activities, Nordstrom is better able to promote their stores in a positive and controlled manner. Public Re lations The next segment of promotion is public relations. Nordstrom is equipped with a public relations representative, who is located at Nordstroms headquarters in downtown Seattle, Washington.Consumers are able to find out about public relation activities on their website under investor relations, or in their annual report. On the Nordstrom website consumers are able to find out about new store openings, upcoming events, stock information, news, and press releases. Nordstrom also relies on customer word of mouth. While other competitor department stores deal with union battles, and declining sales, the quality and outstanding customer service is rarely questioned by consumers. Consumers know by personal experience and word of mouth that Nordstrom is dedicated to its customers.Nordstrom also engages in public relations activities through the promotion of some of their clothes. Most recently, Nordstrom has taken an active role in the nonpareil campaign and formed a partnership wit h the company Edun. Edun is selling a t-shirt with the word ONE across the front. This promotes the idea that if the United States government allocated just one percent of its budget to health, education, and medication for underprivileged countries, the United States could but millions of lives. For every shirt sold Edun contributes ten dollars to the Apparel Lesotho Alliance to urge Aids (ALAFA).The ONE shirts are made in Lesotho, Africa. Upon selling the ONE shirt within their stores, Nordstrom donated $100,000 to ALAFA. Nordstrom is also a yearly sponsor in the Race for the Cure, hosted by the Susan G. Komen Breast Cancer Foundation to assist money for breast cancer research and awareness. Nordstrom exclusively hosts the stick to the Bridge to Beat Diabetes marathon in Seattle, Washington. The proceeds benefit the Juvenile Diabetes Research Foundation. So far in 2006, the Beat the Bridge marathon donations have raised $855,078. 57.Through not only their exceptional reputati on, but also through involvement in philanthropic activities Nordstrom is able to enhance their public relations. These positive public relation activities in turn influence consumer perception and decision making. Personal Selling The next section of promotion is personal selling. Personal selling is defined as a purchase situation in which two people communicate in an attempt to influence each other (Lamb, et al, 2006). Personal selling is the basis of Nordstroms philosophy and mission statement.Personal selling emphasizes the relationship that is developed between a salesperson and a consumer. Within any department at a Nordstrom store, a consumer will be able to find numerous employees who are erudite about the products they offer, and who are also eager to help them find some(prenominal) it is they are looking for. When a consumer is shopping within a department, a single salesperson will usually help them through the undefiled purchasing process. If what the consumer is l ooking for happens to be in a different department, that same salesperson will go to that other department and get whatever it s. The salesperson will find sizes, colors, and styles from other stores if what the consumer is looking for is not available at that specific store. Salespeople also can take payment on Nordstrom credit cards at their payment station, and can hold clothes for the consumer. Salespeople are endowed with the ability to manage customer service situations, so if one consumer feels comfortable with a specific salesperson, basically all of their needs can be taken care of through that salesperson. This created a very strong relationship between the salesperson and the consumer.If the consumer knows that when they go to Nordstrom they can count on someone being there that they know and trust, they will be more likely to ask more questions and try on more things. Nordstrom has made personal selling even easier through their new system of Personal Book. Personal Book allows a salesperson to enter in consumer information such as their address, phone number, birthday and recent purchases. During sale times, salespeople are asked to call at least fifty people from their personal book to the consumer know that they are excited to see them at the sale.Having this information also enables the salespeople to send out thank you cards which are conjectural to be done a daily basis by a salesperson. The thank you cards are mailed out to the consumer, and add a personal finishing touch to the purchase, which also enhances the bond between the consumer and the salesperson. Personal Book also can keep track of what a consumer has bought, so when Nordstrom has a big sale, some of the consumers who have purchased the most throughout the year are invited to shop the sale prior to anyone else, and to preview what is going to be offered.Personal Book also allows for promotional materials to be sent out pertaining to certain events that occur within a department that a consumer oftentimes shops. All of these benefits from Personal Book enhance the personal selling aspect of promotion. Consumers are not seen as a target market within the store, but are rather seen as individuals with specific needs and wants that are catered to be the Nordstrom employees. Sales Promotion The last component of promotion is sales promotion. Sales promotion is everything else that is not covered by personal selling, advertising, and public relations.Usually sales promotions are a quick tool that straight off increases consumer demand of a product. Nordstrom does not offer a lot of the one day sales, or door buster sales that other department stores offer. Instead, Nordstrom focuses all of their attention on their three major sales per year. These include the half yearly sales, in June and November, and their Anniversary sale in August. These attractions are not just a sale, they are an event. Special promotions, rewards and deals are offered. A kick-rally pr ior to the doors opening helps to hype up the employees for the coming busy weeks.Consumers line up outside of Nordstroms doors hours prior to opening. They enter a newly decorated store from the previous day, with new displays, merchandise and prices. Nordstrom focuses on these events for the utilization of showing the consumer that they do not just want to push inventory in and out of the store. They want to offer quality products that consumers enjoy, and reward consumers for their purchases through major discounts at these sales. Lastly, another important factor of these sales is that they have created a tradition.Women and their daughters take time off school and work to attend the first day of the sale. At the sale they go Christmas shopping, school shopping personal shopping. This is important for Nordstrom because their limited numbers of sales are not only seen as a time to get a good deal, but they have penetrated the culture and created more than just a sale. hurt The last factor of the marketing mix is to coordinate the marketing activities for the holding of the target markets through price. Nordstrom strives to provide the most quality product for the cheapest price allowable.However, Nordstrom does cater to an upper and middle class target market which does raise their prices from other lower department stores. Each department within Nordstrom, as stated earlier, has a different target market which does vary the range pf prices immensely within one store. In the St. John department catered to upper class wealthy women, a consumer can buy a suit jacket for $2,000. In Point of View, targeted toward the more middle class women who want to look professional without spending as much, a suit jacket is available for seventy dollars.Through this, it can be seen that the department a consumer goes to will determine the price they will pay. Whatever the dollar price of the purchase, Nordstrom tries to justify that price through their personal selling efforts and their product guarantee. A sale is not just a sale, as proven earlier in the personal selling section. Consumers and salespersons are able to establish a relationship which enhances the consumers purchase experience. Because the consumer knows that no matter what they buy, whether it is a pair of socks, or a mink coat, the quality of that purchase is indefinitely guaranteed by Nordstrom.

Quality of life Scenario Essay

destiny ONE Medical-Surgical Cases2. What is the rationale for changing the method of administering furosemide? c M.G. is fl uid overloaded and require to decrease fl uid volume in a short period. IV constitution is delivered directly into the vascular system, where it can start to work immediately. In HF, rake fl ow to the entire GI system is compromised therefore the absorption of vivaly ingested medications may be variable and take longer to work.3. You administer furosemide 80 mg IVP. Identify three parameters you would use to monitor the gistiveness of this medication. k perfunctory weight I&O fall dependent edema Decreased SOB, decreased crackles in the bases of the lungs, and possibly decreased O2 demands Decreased JVD4. What laboratory tests should be ordered for M.G. related to (R/T) the order for furosemide? cFurosemide 80 mg is a potent diuretic, which may cause the loss of potassium and magnesium. These 2 electrolytes ar important in maintaining a stable heart r hythm. These electrolytes ordain need to be supplemented if the levels are low. Note Most HF admissions are R/T fl uid volume overload. Patients who do not require intensifier care monitoring can most often be toughened initially with IVP diuretics, O2, and angiotensin-converting enzyme (ACE) inhibitors.5. How do ACE inhibitors help in HF? kACE inhibitors impede the conversion of angiotensin I to angiotensin II, a potent vasoconstrictor. This results in systemic vasodilation, thereby reducing preload (reducing the volume of consanguinity entering the left ventricle) and afterload (reducing the resistance to the left ventricular contraction) in patients in HF. Instructor Note You could tell the students that the most frequent sideeffect of ACE inhibitors is a persistent, nonproductive cough. The intensity of the symptoms tends to be dose related the higher the dose, the more intense the cough. An important alternative medication is an angiotensin II receptor blocker (ARB), often called an ACE without a cough. Mosby items and derived items 2009, 2005 by Mosby, Inc., an affiliate of Elsevier Inc. 3chapter 1 Cardiovascular Disorders Case Study 16. M.G.s symptoms improve with IV diuretics. She is ordered back on oral furosemide once her weight loss is deemed tolerable to achieve a euvolemic state. What will determine if the oral dose will be adequate to consider her for discharge? k It is critical to help the primary care provider assess whether the change from IV to oral diuretics can maintain a stable weight. One of the fl uid management goals for patients in HF is to maintain a target weight. This is done by monitoring daily morning weight, holding an accurate I&O, and recording subjective symptoms.7. M.G. is ready for discharge. What key management concepts should be taught to prevent relapse and another admission? Hint theatrical role the mnemonic MAWDS. kThe most essential aspect of teaching hospitalized patients without overloading them is to focus on realistic key points. Teaching should be aimed at tips to improve symptoms and prevent readmission. The 5 most important concepts for patients with HF are included in MAWDS instructions.Medications Take as directed, do not skip a dose, and do not run out of medications. Activity Stay as dynamic as you can while furbish uping your symptoms. Weight Weigh all morning. Call if you gain or lose 2 pounds overnight or 5 pounds from your target weight.Diet Follow a low-salt diet and limit fl uids to less than 2 quarts or liters per day. Symptoms Know what symptoms to physical composition to your provider report early to prevent readmission.Mosby items and derived items 2009, 2005 by Mosby, Inc., an affiliate of Elsevier Inc.

A Critical Assessment of the Eclectic Theory

INTRODUCTION It is true of everything that the scratch line steps ate both the most important and the most difficult. To come out with, theorization consists of a set of definitions of innovations. The elemental concepts underlying the eclectic surmise of the multinational enterprise (MNE)(1) are currently being criticized by the internalization theorists(2) in that the proclaimership advantage is double counting, that is, the internalization and localization principle factors are necessity and sufficient to explain the existence and growth of the MNE.The controversy seems to require a thorough examination of the concept of the ownership advantage. However, the examination should extend still afield. Our objective in this paper is to assess critically the three basic concepts in the eclectic theory, i. e. , the ownership advantage, the internalization advantage, and the location advantage and to suggest the beginnings of an pick framework to deal with the MNE and FDI (i. e. , foreign direct investment). REDUNDANCY OF THE OWNERSHIP ADVANTAGESome Features of the Electic possibility First of all, we moldiness set up the target of our examination. The eclectic theory, check off I, as advocated by Dunning is as follows Dunning 198179 1. It (i. e. , the blotto) possesses net ownership advantages vis-a-vis mansions of other(a) nationalities in serving particular foodstuffs. These ownership advantages largely take the unionise of the possession of intangible pluss, that are, at least for a period of time, exclusive or specific to the firm possessing them. . Assuming condition 1 is satisfied, it must be more beneficial to the enterprise possessing these advantages to use them itself rather than to share or lease them to foreign firms, that is, for it to impute its advantages through an extension of its own activities rather than externalize them through licensing and similar contracts with independent firms. 3.Assuming conditions 1 and 2 are satisf ied, it must be breadable for the enterprise to utilize these advantages in conjunction with at least round factor inputs (including natural resources) away its home country otherwise foreign markets would be served entirely by exports and domestic markets by domestic production. Four consumes of the eclectic theory should be noted here, as far as they are concerned with our argument. Firstly, costless to say, the concept of the advantage is a relative concept i. e. advantage of a firm vis-a-vis the others tautologically means their disadvantage vis-a-vis the firm. The advantage is tacit from the viewpoint of economic competitiveness and profitability, and thus it takes the form of an economic asset whether tangible or intangible. Thus, the asset value is measured by capitalizing the catamenia of expected future earnings by means of the rate of return. Secondly, the concept of internalization is interpreted as internalization of an ownership advantage rather than that of an f aint market. 3) Thirdly, the existence per se of the ownership advantage has nothing to do with the internalization thus, the ownership advantage is logically independent of the internalization advantage. Finally, the ownership advantage is logically independent of the location advantage thus, the ownership advantage can be measured without referring to location factors. (4) The system of logic of the Internalization Theory Let us focus on the mho and third features and compare them with the basic logic of the internalization theory. The distinctive feature of the internalization theory is its recognition that the firm is an economic institution, the objective of which is to maximize profit (i. e. , super-normal profit in the Marshallian sense) in the world of market imperfections. The firm attempts to maximize its revenue and besmirch its be the firm maximizes its organizational benefits after remunerating all the factors of production, R&D, marketing, and management.Firstly, if arms-length markets are inefficient and incur huge movement costs, the firm would replace them with its unified ownership and control (i. e. , the internal quasi-market)(6) and minimize its internalization costs(7) i. e. , the internalization of markets. Secondly, if no market exists for external economies specify to be private costs minus cordial costs), the firm would give them under common ownership and control and prevent them from leaking outside i. e. , the internalization of externalities. 8) Thirdly, if internal economies defined to be private benefits and, at the same time, social benefits) are expected after totally eliminating markets, whether internal or external, the firm would not only internalize the markets but also reorganize and trend the activities under the common ownership and control i. e. , desegregation under internalization. (9,10) market imperfections may exist in final-product markets as well as in intermediate-product markets of physical product s (i. e. components and semi-finished products) and intellectual products (i. e. , knowledge or information). final-product markets, however imperfect they are, the firms cannot internalize markets since, needless to say, consumers are independent of producers and merchants. They can only acquire super-normal profit by manipulating their market power. Note that although some academics misunderstood,(11) there is no warranty that the internalization increases efficiency and social welfare in both intermediate- and final-product markets.On the contrary, it is rather practicable that the internalization by the MNE creates imperfect competition or noncompetitive (monopsonistic) situations and thus increases social costs by means of restricting the take of high-tech goods, building up an entry barrier by straight and/or horizontal integration, effective collusion, etc. It is also quite possible that the integration takes part in restricting competition and more than offsets its op timistic benefits in social welfare. (12,13) In relation to social costs, we should pay some attention to a new concept, sensed consummation costs. Transaction costs can be classified into three categories i. e. , those inherent in trade good transactions per se,(14) those inherent in oligopolistic or imperfect competition, and those originating from government regulations. (15) Oligopolistic or imperfect competition places competitors in a situation of uncertainty in respect of potential transaction costs as a takings of arrns-length transactions. Concerns about the dissipation of valuable information may well blow up the value of subjectively perceived transaction costs to the extent of intimately prohibiting arms-length transactions.Uncertainty in oligopolistic or imperfect competition creates self-inflating feature to the perceived transaction costs. Certain embedded social relations modify pure economic rationality(16) and affect the prime(a) of internalization. Furtherm ore, bounded and creeping rationality of the management makes the strategy (i. e. , choosing between internalization, integration, and arms-length transactions) moderately rigid once it has been decided upon. 17) Internalization, in these circumstances, may be perceived as private-cost minimization, but not as social-cost minimization. 18 Another important feature of the internalization theory is that it expounds interrelations between production, R&D, marketing, and management. (19) The internalization of the markets and externalities of these activities and their integration generate the advantages of the firm over the others. The firm may exercise its market power when it internalizes and integrates them, so as

Early History of Flight

AIR TRANSPORTATION Early History of flight of steps more than or little 400 BC Flight in China The discovery of the kite that could cut down in the vent by the Chinese started humans thought process some flying. Kites have been important to the innovation of trajectory as they were the ascendant to b on the wholeoons and gliders. Hero and the Aeolipile The ancient Greek railway locomotiveer, Hero of Alexandria, worked with line of products pressure and fail to construct sources of power. One experiment that he developed was the aeolipile which used jets of steam to create rotary motion. 1485 The Ornithopter and the Study of Flight Leonardo da Vinci made the premiere real studies of course in the 1480s.He had over one C drawings that illust evaluated his theories on bird and mechanical flight. The drawings illustrated the wings and tails of birds, ideas for man take ining machines, and devices for the audition of wings. 1783-The Flight of the start-off Hot crease Balloon The br another(prenominal)s, Joseph Michel and Jacques Etienne Montgolfier, were inventors of the startle het up snap balloon. They used the smoke from a fire to blow anxious origin into a silk bag. The silk bag was attached to a basket. The hot atmosphere and so rose and allowed the balloon to be lighter-than- air power. In 1783, the freshman passengers in the colorful balloon were a sheep, rooster and duck.It climbed to a height of about 6,000 feet and prope direct more than one mile. The first manned flight was on November 21, 1783, the passengers were Jean-Francois Pilatre de Rozier and Francois Laurent. 1799-1850s-Gliders Sir George Cayley is considered the FATHER OF AERODYNAMICS.. Cayley experimented with wing design, distinguished surrounded by lift and drag, and speculate the concepts of vertical tail rallys, steering rudders, rear elevators, and air s conspiracys. Cayley intentional m each a(prenominal) different versions of gliders that used the movements of the body to control.A young boy, whose name is non cognise, was the first to fly one of Cayleys gliders, the first glider cap sufficient of carrying a human. 1891 Otto Lilienthal German engineer, Otto Lilienthal, studied aerodynamics and worked to design a glider that would fly. Otto Lilienthal was the first someone to design a glider that could fly a person and was fit to fly long distances. 1891 Aerodrome Samuel Langley was physicist and astronomer who realized that power was unavoidable to help man fly. He built a model of a tied(p), which he called an aerodrome that included a steam-powered engine.In 1891, his model flew for 3/4s of a mile before running out of fuel. It was too healthy to fly and it crashed. He was very disap drawed. He gave up trying to fly. His major(ip) contributions to flight involved attempts at adding a power plant to a glider 1894 Octave Chanute Octave Chanute was a successful engineer who undertook the invention of air woodworking planes as a hobby, by and by be inspired by Otto Lilienthal. Chanute knowing several aircraft, the Herring Chanute biplane was his most successful design and cooked the seat of the W pay off biplane design. MANS FIRST SUCCESFUL FLIGHT 903- The Wright Brothers Orville Wright and Wilbur Wright was very deliberate in their quest for flight. The Wright Brothers designed and used a wind tunnel to bear witness the manakins of the wings and the tails of the gliders. After they found a glider shape that consistently would fly in the tests in the North Carolina Outer Banks dunes, then they turned their attention to how to create a airplane propellerulsion system that would create the lift needed to fly. The Flyer lifted from level ground to the normality of Big Kill Devil Hill, at 1035 a. m. , on December 17, 1903.Orville piloted the plane which weighed six hundred and quint pounds. The first heavy flight strikeed 120 ft. in 12 seconds. The two brothers took tur ns during the test flights. It was Orvilles turn to test the plane, so he is the brother that is credited with the first flight. In 1904, the first flight lasting more than quintuplet proceeding took place on November 9. The Flyer II was flown by Wilbur Wright. In 1908, passenger flight took a turn for the worse when the first fatal air crash occurred on September 17. Orville Wright was piloting the plane.Orville Wright survived the crash, but his passenger, Signal corps Lieutenant Thomas Selfridge, did not. The Wright Brothers had been allowing passengers to fly with them since May 14, 1908. TYPES OF AIRPLANE locomotive engineS TURBOJET ENGINE The basic idea of the turbojet engine is simple. variant taken in from an opening in the front end of the engine is compressed to 3 to 12 quantify its original pressure in compressor. The turbojet engine is a reaction engine. In a reaction engine, expanding plashes push hard against the front of the engine TURBOPROP ENGINE (Turbo p ropeller Engine) A turboprop engine is a jet engine attached to a propeller. The turbine at the gage is turned by the hot gases, and this turns a shaft that bugger offs the propeller. Some subtile airwayrs and transport aircraft are powered by turboprops. Engines featuring such(prenominal) propellers are called prop caramel browns. Hungarian, Gyorgy Jendrassik who worked for the Ganz wagon works in Budapest designed the very first working turboprop engine in 1938. Called the Cs-1, Jendrassiks engine was first tried and true in August of 1940 the Cs-1 was abandoned in 1941 without going into production collect to the War. Max Mueller designed the first turboprop engine that went into production in 1942. TURBOFAN RNGINE A turbofan engine has a large fan at the front, which sucks in air. Most of todays airliners are powered by turbofans. In a turbojet all the air entering the intake passes by dint of the gas generator, which is composed of the compressor, combustion cham ber, and turbine. TURBO SHAFT ENGINE It does not drive a propeller. Instead, it provides power for a helicopter rotor. The turbo shaft engine is designed so that the travel rapidly of the helicopter rotor is independent of the rotating despatch of the gas generator.RAMJET ENGINE The speed of the jet rams or forces air into the engine. It is essentially a turbojet in which rotating machinery has been omitted. A ramjet vehicle requires some form of assisted takeoff, such as another aircraft. It has been used primarily in guided-missile systems. Space vehicles use this type of jet. PARTS OF AN AIRPLANE AND THEIR FUNCTIONS 1. Fuselage- The body of the plane. It is loosely a long tube shape 2. Landing gear- The wheels of a plane. ? in that maintain are two main wheels on either side of the plane fuselage.Then there is one more wheel near the front of the plane. The brakes for the wheels are like the brakes for cars. They are operated by pedals, one for from each one wheel. Mos t landing gear passel be folded into the fuselage during the flight and undecided for landing. 3. Wings- The wings are shaped with smooth surfaces. There is a issue to the wings which helps push the air over the top more pronto than it goes under the wing. ? The shape of the wings determines how fast and high the plane can fly. ? Wings are called airfoils. 4.Flaps- slide back and knock off to add-on the surface of the wing area. -They also tilt down to increase the curve of the wing. 5. Slats- move out from the front of the wings to make the wing space larger. This helps to increase the lifting force of the wing at slower speeds like takeoff and landing. 6. Ailerons- are hinged on the wings and move downward to push the air down and make the wing tilt up. This moves the plane to the side and helps it turn during flight. 7. Spoilers- after landing, the spoilers are used like air brakes to tighten up any remaining lift and slow down the airplane.REGIMES OF FLIGHT Ranges of speed defined relative to the local speed of sound. 1. SUBSONIC this category contains most of the mercantile jets that are used today to move passengers and cargo. the speed is just downstairs the speed of sound as 350-750 miles per hour. engines today are lighter and more powerful and can travel quickly with large loads of passel and goods. 2. SUPERSONIC 760 MPH is the speed of sound. These planes can fly up to 5 times the speed of sound. Planes in this regime have specially designed high performance engines. They are also designed in jackanapes materials to provide less drag. The first powered aircraft to explore this regime was the bell shape X-1A, in 1947. The wings of supersonic fighters are swept in planform to reduce drag. President Kennedy- in 1963 he proposed the supersonic plane as a national priority. UNITED STATES- gave up its first attempts to erect a supersonic transport (SST) for commercial used after spending 1 one million million million dollars i n development. TU-144- supersonic version of Russian but it has been plagued with economic and rubber problems. CONCORDE- British/French version of SST has a cruising speed of 1,458 miles per hour at an altitude of 50,000-60,000 feet, which takes it out of the more heavily traveled subsonic jets levels of 30,000-40,000 feet. -it take speeds of200-215 knots to take off, as compared with 165 knots for subsonic. Supersonic Transport problems it seats lonesome(prenominal) 105 passengers. fuel consumption is 2-3 times that of a subsonic. The avow is less that 4,000 miles. Advantages of Concorde 80% are business travelers cabin is pressurized to 5,000 feet instead of to about 7,000 feet as in subsonic jets. air conditioning balances the humidity, which makes colds. Even though the SST has turn up economically unfeasible mostly because of its small pay load. ? Air travel changes will probably call for an improved version, one of that can carry at least 250 passengers and have a 7500 mile range. ? That kind of plane would be a boon for pacific basin travel, where current flight times are nine to thirteen hours. 3. HYPERSONIC 3500-7000 MPH speed of sound. Rockets travel at speeds 5 to 10 times the speed of sound as they go into orbit. In the 1970s, the term generally came to refer to speeds of Mach 5 (5 times the speed of sound) and above.The hypersonic regime is a subset of the supersonic regime. Large variations in air density and pressure occur because of shock waves, and expansions 4. TRANSONIC Transonic is an astronautics term referring to a range of velocities just below and above the speed of sound (about mach 0. 81. 2). It is defined as the range of speeds amongst the full of life Mach number. Most modern jet powered aircraft spend a big amount of time in the transonic state. This is particularly important due to an effect know as wave drag, which is prevalent in these speed ranges. Severe instability can occur at transonic speeds. scanda lize waves move through the air at the speed of sound. THE NEWEST PLANES Boeing 747-400- the newest of the long range jets. ? can carry 410 passengers and has a range 0f 8,800 miles MD-11 -McDonnell Douglas newest jets. ? MD-11 can carry 405 passengers. ? -Both planes are beingness built to test the travelers capacity to sit in one seat for a marathon 16plus hours, extending over 7,000 to 8,000 miles. 1987- Europe and its Airbus industry had cast off about 15 billion on the line to produce a JUNIOR JUMBO -the airbus A-340, -a 275-seater with a range about 8,000 miles? -greater flight frequencies because of faster loading and deplaning of passengers. Aircraft Footprint- is the distance from the takeoff point to the point at which the plane is no longer significantly audible. N. V Fokker- a little aircraft contender. ?-are fuel- in effect(p) and require small cockpit crews. FREEDOMS OF THE AIR First freedom of the Air the right or privilege, in take to be of sche duled world(prenominal) air religious services, granted by one press out to another conjure or evokes to fly across its soil without landing (also known as a First immunity Right).Second granting immunity of the Air the right or privilege, in wish of scheduled outside(a) air services, granted by one evince to another State or States to land in its territory for non- profession purposes (also known as a Second freedom Right). Third Freedom of The Air the right or privilege, in treasure of scheduled planetary air services, granted by one State to another State to put down, in the territory of the first State, dealings coming from the central office State of the carrier (also known as a Third Freedom Right).Fourth Freedom of The Air the right or privilege, in respect of scheduled international air services, granted by one State to another State to take on, in the territory of the first State, traffic destined for the fireside State of the carrier (also known as a Fo urth Freedom Right). Fifth Freedom of The Air the right or privilege, in respect of scheduled international air services, granted by one State to another State to put down and to take on, in the territory of the first State, traffic coming from or destined to a three State (also known as a Fifth Freedom Right).ICAO characterizes all freedoms beyond the Fifth as so-called because only the first five freedoms have been officially accept as such by international treaty. one-sixth Freedom of The Air the right or privilege, in respect of scheduled international air services, of transporting, via the home State of the carrier, traffic stem turn between two other States (also known as a Sixth Freedom Right). The so-called Sixth Freedom of the Air, unlike the first five freedoms, is not incorporated as such into any widely recognized air service agreements such as the Five Freedoms Agreement.Seventh Freedom of The Air the right or privilege, in respect of scheduled international air services, granted by one State to another State, of transporting traffic between the territory of the granting State and any third State with no requirement to include on such operation any point in the territory of the recipient State, i. e the service need not connect to or be an extension of any service to/from the home State of the carrier.Eighth Freedom of The Air the right or privilege, in respect of scheduled international air services, of transporting cabotage traffic between two points in the territory of the granting State on a service which originates or terminates in the home country of the foreign carrier or (in connection with the so-called Seventh Freedom of the Air) outside the territory of the granting State (also known as a Eighth Freedom Right or consecutive cabotage).Ninth Freedom of The Air the right or privilege of transporting cabotage traffic of the granting State on a service perform entirely within the territory of the granting State (also known as a Nin th Freedom Right or tolerate alone cabotage). GOVERNMENT AGENCIES INTERNATIONAL AIR TRANSPORT linkup (IATA) o Is an international industry trade group of airlines headquartered in Montreal, Quebec, Canada. o IATA was formed IATA was formed in April 1945, in Havana, Cuba. It is the successor to the external Air craft Association, founded in The Hague in 1919, the year of the worlds first international scheduled services.Functions ? To the component airlines- it provides solutions to problems beyond the resources of any single airline. ? To the government- it is the medium of negotiation for international fares and agreements. ? To the travelling earthly concern- it ensures the traveling public gumshoe and efficient operations of all the airlines, veracious business practice by the airlines and travel agents. ? Clears financial balance between airlines and charges between tickets. ? Caters ground holding ? Performs maintenance service ? Handles aircraft leasing projects ? Pro motes worldwide air travel safety Regulate the shipping of dangerous goods INTERNATIONAL cultured AVIATION ORGANIZATION (ICAO) ? An agency of the United Nations, codifies the principles and techniques of international air piloting and fosters the planning and development of international air transport to ensure safe and orderly growth. Its military headquarters are located in the Quartier International of Montreal, Canada. Functions ? Adopts standards and recommended practices concerning air navigation. ? Prevention of unlawful interference ? Facilitation of border-crossing procedures for international civil air travel. Defines the protocols for air disaster investigation followed by transport safety authorities in countries signer to the Convention on International Civil tune, commonly known as the Chicago Convention CIVIL AERONAUTICS BOARD (CAB) ? Agency charged with the power to regulate the economic aspect of air transportation in the Philippines. Functions ? Licensing of domestic and international airlines. ? Regulation of fares and rates for the carriage of person s and property. ? Enforcement of the economic provision of R. A. 776. ? Authorization of navigation of foreign aircraft in the Philippines. federation in the negotiation of air agreements covering exchange of air rights. ? bespeak corrective to improve safety in air commerce. ? Assure trade protection of the public by requiring the performance of safe and adequate air service, eliminating rate discrimination, unfair competition and deceptive practices in air transportation. Air loony toons Office (ATO) ? The Philippines Air Transportation Office (Filipino Tanggapan ng Transportasyong Himpapawid), abbreviated as ATO, is responsible for implementing policies on civil aviation to assure safe, economic and efficient air travel.FUNCTIONS ? Establish and prescribe rules and regulations for the inspection and registration of all aircraft possess and operated in the Philippines and all ai r facilities ? Establish and prescribe the corresponding rules and regulations for the enforcement of ? Determine, acquire and/or prescribe charges and/or rates pertinent to the operation of public air utility facilities and services ? Administer and operate the Civil Aviation Training Center (CATC) ? Operate and maintain national dromes, air navigation and other similar facilities in compliance to ICAO ?Perform such other powers and functions as may be prescribed by law. PHILIPPINE AERO piazza ripening CORPORATION (PADC) ? The corporation undertakes business and development activities for the establishment of reliable aviation and aerospace industry. ? It engages in design, manufacture and scale of all forms of aircrafts. ? It develops local capabilities in maintenance, fastness and modification of equipment related to air flight. ? It operates on air transport service for domestic and international flights. ? Head Reynato R. Jose FEDERAL AVIATION ADMINISTRATION (FAA) It concen trates on passenger safety, aircraft certification to meet safety standards, pilot licensing and air traffic control. ? Also responsible for investigation of aircraft accident. ? 1958- FAA became independent MANILA INTERNATIONAL aerodrome AUTHORITY (MIAA) ? This government agency is in charge of operating and maintaining airport facilities in the Mactan International Airport. ? As with MIAA, MCIAA is responsible for keeping Mactan airport in tip-toe shape to ensure its competitiveness as a trade and tourist gateway to Visayas Island group. It implements airport rules, provides airport safety and security needs. ? Under operations are international and domestic operations and maintenance, fire fighting and give up and electrical and mechanical services. ? Head Gen. Mgr. Alfonso U. Alerre INTERNATIONAL AIR CHARTER ASSOCIATION (IACA) ? Trade association of supplemental and charter airlines. NATIONAL AERONAUTICS AND SPACE ADMINISTRATION (NASA) ? The role of NASA is aeronautical resear ch. ? They achieve world leadership in space technology and exploration. LOCAL TRANSPORTATION SYSTEM LIST OF AIRLINES IN THE PHILIPPINESPHILIPPINE AIRLINES ? It is the national airline of the Philippines. ? The first airline in Asia and the oldest of those currently in operation. ? Makati City headquarters ? Flies both domestic and international ? Ninoy Aquino International Airport, Paranaque City main hub. ? China skyways and Japan Airlines principal Asian competitors. ? IATA PR HISTORY ? February 1941 established ? Started by a group of businessmen led by Andres Soriano. ? March 1941 started its operation with a single Beech mystify 18 aircraft making one flight daily between capital of the Philippines (from Nielson Field) and Baguio. In July 1941, a chartered DC-4 ferried carried 40 American servicemen to California, making buddy the first airline to cross the Pacific. ? December 1941, started regular service between Manila and San Francisco.? INCIDENTS AND ACCIDENTS ? Pal ha s 21 crash records ? Last one being in 1999 and most of them being in its earlier years. ? Philippine Airlines Flight 812 was a scheduled passenger flight from Francisco Bangoy International Airport in Davao City to Ninoy Aquino International Airport near Manila.On May 25, 2000, an Airbus A330-301 operating on the route was hijacked by a man later identified as Reginald Chua, just before the airplane was about to land. The flight carried 278 passengers and 13 crew members. AIR PHILIPPINES ? It is an airline registered in the Philippines. ? Primarily focuses on the domestic affordable market. ? IATA 2P ? ICAO GAP ? Call sign Orient Pacific History ? February 13, 1995 was incorporated. ? Subic base operations. ? February 1, 1996 started its flight operations with a Boeing737-200 between Subic, Iloilo and Zamboanga.ASIAN SPIRIT ? An airline found in the Philippines that usually flies routes not serviced by major airlines such as Philippine Airlines. ? The Philippines youngest airline . ? Based in Manila. ? Founded in 1996 by the Airline Employees Cooperative. ? IATA 6K ? ICAO RIT ? Call sign Asian Spirit CEBU PACIFIC ? One of the newest airline companies operating in the Philippines. ? The countrys 2nd largest airline after Philippine Airlines ? Cebu headquarters ? March 8, 1996 first flight ? Started with 24 flights daily among Manila, Cebu and Davao. By 2000s, was able to operate international flights to the countries of Malaysia, Indonesia, Singapore, Thailand, South Korea and the dependency of Guam. ? IATA 5J ? ICAO CEB ? Call sign Cebu Air PACIFIC EAST ASIA CARGO LINES ? Is a cargo airline establish in the Philippines ? IATA Q8 ? ICAO PEC PACIFICAIR ? Pacificair ( Pacific Airways Corporation ) is an airline based in Manila, Philippines. ? schematic 1947 ? Operates scheduled passenger flights, air taxi services, and is involved in country work. ? IATA GX ? ICAO PFR ? Call sign Pacific West

Albania and EU integration Essay

To provide a ele manpowertary idea for Albanian miserliness and its europiuman integration possibilities. 2. To provide intimacy approximately advantages and disadvantages that Albania faces in unlike welkins of parsimoniousness. 3. To provide knowledge supple Albanian ability to weigh the obligation of rank and file. 4. To provide knowledge about positive and unsystematic risk for Albanian europiuman integration.Methodology1. Research enigmaIs Albania in line with EU expectations? Which argon the abilities of Albania to primary(prenominal)tain the obligation of membership? Basic objective is to examine, firstly frugalal information of Albania based on the collected entropy from 2002 2012, than to verify if they atomic modus operandi 18 in line with EU criteria.2. ExpectationsSince Albania is de terminationined in its decision to join European Union and to be severalize of Economic integration, it has do a matu roam in reforming institutions, in legislation, and the intimately(prenominal) important the assignment of SSA (Stabilization and association process). But the go along is actu completelyy s first and insufficient. The cause of this polarization be on political refining of the inelegant which historically has non faced any experience of democracy. So expectations ar not very positive. On a long term prat only new socialized and democratic generation locoweed truly execute fundamental reforms call for to be part of European Economic consolidation.Data Collections1. Primary data World Bank give notice (of)s and Instat.2. alternate data Journal websites and financial news papers.European Union Integration The im covenant in Albanian Economy The aim of this project is to express how a great deal the scotch development in Albania is in line with European Union? In the first section will beanalyzed, relations between Albania and EU. Over all now Albania is part of Stabilization and necktie process, in stiff polit ical and sparingalal dialogue with EU. Last ten-spot we tramp submit that our countrified defecate faced some changes on our politic system and sparing angiotensin-converting enzyme, through three main factors, endorse rest, financial assistance and civil society. How we realize these challenges? Did these three factors chance upon positively our prudence since we argon one of the main countries that were not affected by world crises and how? In the second section will analyze economic criteria by examining development of miserliness in Albania. The examination includes different force fields of economy? The existence of a good function of nourishment commercialise economy This includes the main essentials of economic indemnity w here(predicate)(predicate) the primary objective is the protection of a commercialise oriented economy.Here we can name that Albania has a visible fall out starting from family 2007 when we signed CEFTA agreement. Macroeconomic Sta bility Over all Albania has bear on the macroeconomic stableness, because it was keen affected by impertinent economic conditions. financial policy of Albania has help to keep stable largeness and inhibit inflationary expectations. Public debt is over modified and essential reforms atomic number 18 pipe down missing. Interactions of market forces jibe to the official data, results that utter involvement in economy remains limited un little it is think on energy, transport and pissing supply. Market Entry and Exit Here we can conclude that Albania is one of the countries that scram facilitated barter entry to the market barely procedures for market conk out are solace ineffective.Legal System Albanian faces many weaknesses in rule of law, harmonize to real data, rottenness is in considerable levels and reforms of proportion rights are tranquil incomplete. This has adverse affect on the market environment. monetary sectors and Development Some further is mad e just now it is compulsory the consolidation of state-supported finances and the reduction of public debt. Human and pecuniary heavy(p) The structure of macro economy remains unchanged similarly relaxation remains again a challenge. Albanian economy is overt by industry specific shocks. State influence State interventions are limited save it is tacit a concern the impact on the public finance of the lack of diversification and Economic integration with EU Albania has remained a leading trading and an investiture partner of EU, as result alternate with CEFTA has been improverd.The third section willexamine Albanian ability to urinate the obligation of membership. The analysis is structured based on internal and impertinent market of Albania which includes put out execution of goods there has been a progress as regards of stabilization, moreover foster efforts are inevitable to be done and the preparations are advanced in this part. Free movement of people The pro gress here is visible, since 2010 Visa liberalization can be counted as a mastery particularly towards headmaster qualifications, but further efforts are demand to be plane. Free movement of capital there also has been some progress with adaption of amendments of criminal code, low of banks and low of frust pution of money laundering but even though there are several efforts that are needed to be dish outn. As a conclusion I provoke to say that Albania has made little progress toward economic development and the consolidation of its democracy. This is registern by the overlay of European explosive charge on October 2012, as the results at fulfilling the EU twelve priorities were poor, and obviously it was candid that Albania would lose its chances to be awarded with the candidate posture on declination 2012 and declination 2013. Such a step was not justified by our economic and political conditions.Relations between the EU and AlbaniaAlbania is a country that is part of the Stabilization and Association Process. According to this pact we can say that Albania has strictly implemented its obligations. Between the EU and our country there is a regular political dialogue and economic ripening, which has proceed through the SAA structure. In March and April of decision year, Albania took part in the see organized by the Stabilization and Association Committee and the European Council in which they discussed the reform of public administration. Albania was involved in this dialogue with multi belatedral economic focus with the Commission and the EU member countries, with focus, preparation and coordination of domestic economic policies to integrate economic and monetary union in the EU. One of the most important achievements of Albania was the liberalization of visas for citizens traveling to the Schengen area.This agreement entered into force in December 2010. Immediately after this agreement and until today, the committee evaluates on a regular basis, the progress made by the country in the implementation of rules and visa roadmap. Albania is a country that iswaiting for EU membership, as such it has accredited transition assistance, institution building and cross-border mergers. For the electric current rate 2007 2013, the European Union has allocated for Albania, an marrow of 594 million. This amount of benefit, its focus is on justice, politics and public administration reforms in Albania, and also based on individual sectors, transport, and environment, and cultivation, social and rural development. This component part is managed by the EU Delegation in Albania / Tirana. Regarding the upcoming years 2014 2020, the European Commission and the Albanian government will negotiate and discuss the inevitably and capacities for future assistance. We need to know that Albania is a member of several EU programs as example Program Throughout life learning Europe for Citizens, Culture, Competitiveness and Innovation.Eco nomic CriteriaIn 1993 after examination of economic development and the state in which Albania was, in Copenhagen European Council stated that, to be part of the European Union, Albania needs to be foc employ towards a functioning market economy and also to have the aptitude to cope with the challenges of a hawkish market of EUThe existence of a functioning market economyPolicy EssentialIn order for Albania to have a focused market economy and sustainable, the main political parties, which have impact on the countrys economic policies, must agree on the basis of sound market economy, despite political tension in the country. establish on the report of the European Committee for Albania, the countrys macroeconomic stability has been maintained, but there are some shortcomings again. Among these deficiencies can acknowledgment the 2012 budget shortage, which was beyond the norm. The dearth caused, statutory debt, allowed to pass the measure of 60 %. In the process of privatizatio n of property might say that was a failure. In January, Albania presented at EC Economic and Fiscal program for the years 2013-2015. The culture medium scenario is characterized by a very optimistic macroeconomic program. But match to the assessment of this program the Commission has submitted a lack of enforcement and targeting strategy but we can say that consensuson the basis of a market economy has been maintained. Macroeconomic stabilityAccording to the data obtained in the annual report of the Bank of Albania, we can conclude that economic growth in 2012 was 1.6% less than a year ago. Total gross output also shows that in 2012 was about 5% less compared with a year ago. Inflows of foreign currencies in the country by immigrants have had a slight sum up of 1.6% for 2012, composition hole-and-corner(a) consumption has fallen to low levels. One of the main factors of economic growth, have been net exports, opus for imports can say that they have record a considerable Decrea se. After a 12-month period with a operative reduction, economic indicators tend to show a growth in late 2012 and early 2013. However we can say that GDP grew only 1.7% in the first quarter of last year. Foreign demand for Albanian products has resulted in considerable numbers. GDP per capita in purchasing power and consumption resulted in 30% among 27 that was average. According to the analysis may conclude that Albania recognize the economic growth, so global crisis did not affect Albania during early 2013. During the period 2012-2013 the incumbent account deficit precipitated by about 1.5%, worthy 10.5% from 13% in 2011. Imports introduced to a go down, 5.2% less than a year ago, while exports increased by 8.5% in total value, but may be noted here that there was a considerable increase in the export of goods but not services. In June 2013 current account deficit reached 10.1% in value to the corners of Albania.The inflow of foreign take up investment (FDI) passim 2012 r emained unchanged with that of a year ago. This influx financed about 70 % of current account deficit therefore 10 % more than in 2011. The flow of incoming capital suffered a Decrease of 11.3 % in a year, but we can say that during 2012 had a positive balance of payments and a world-shaking increase in international reserves at 4.2 %. During 2013, foreign direct investment (FDI) rose by 12.3 % more than the precedent year in annual impairment. Also we can say that the current account deficit has decreased, but again is an important aspect that affects the economy of our country especially considering the volatility of FDI and remittances. Throughout 2012 we can say that there has been a square improvement of working conditions, the un conflict rate has however recognized gritty score although this year it has had an average of 13 % compared with 13.4 % the previous year. The private sector in the countryhas increased employment offer, in Albania at a rate of 2.8 % based mainl y in the agriculture sector of the country. By 2013, according to statistical data, unemployment continues to be high again, with an improvement of about 0.2 %. To maintain a constant interest rate, and to administer a possible inflationary trend, was used a sound monetary policies that brought the countrys macroeconomic stability.The inflation rate in the country declined by 1.5% compared with a year ago, belongings a constant level of 2%. This stability at a rate of 2-4% inflation was the main objective of the Bank of Albania. Since that in Albania, we have basket price fluctuations this reflected in a slowdown of annual inflation from 2.5% in 2012 to 2.2% in 2013. In an effort to stimulate economic growth in the country, the Bank undertook several measures, as for example the reduction of the sanctioned interest rate from 3.75 to 3.5% during the past year. The financial system in Albania has achieved a significant degree of Euroisation. Loans in Euros remained at a level of 61% of deposits in July the past year, compared with 64% in 2012. While in call of other deposits in foreign currency statements have a slight decrease of 2%. Albania represents a floating exchange rate regime, which has remained the akin since 1992. Albanian Lek has maintained sustainability where its value in 2012 reflected a 0.9% appreciation against the euro. We loosely are within the boundaries of a stable monetary policy, have a storage inflation and a stable exchange rate. annual revenues did increase by about 7% in 2012 compared with the previous year. During this year, the excise impose and VAT suffered significant declines, we can say that this Decrease, resulted in 12% less than the initial objectives.Revenues from GDP fell by 25.1%, which were considered in 2011, to 24.5% in 2012. In terms of GDP spending, can also say that suffered a decrease of 0.6% compared with a year ago. Public expenditures represent just 4.6% of gross production, from 5.4% the previous year. Publ ic debt grew considerably and non-positive, from 59.4% of GDP in 2011 to 62.9% in early 2013. So our public debt has passed the legal boundaries of 60% to close to 3%. In the area of tax administration, we can say that there have been significant improvements in the electronic payment of taxes and also the tax filing system. There are still weaknesses in tax collection. Measures have been taken for approval to toss imports of machinery, processing equipment and raw materials used for investment. An important measure is the abolition of person-to-person income tax. Interplay of market forcesThe countrys economy is dominating the private sector, which constitutes about 80% of GDP. Privatizations have been the basis for several state companies to place as Alb petrol oil Typeset, Alb telecom for telecommunications, INSIG as insurance and CEZ Distribution for energy, which callable to disputes arbitrary, is now again in the hands of the state. There are counted about 11 new agreements for investments in agriculture, in 2012. In the energy sector we have also signed agreements for investment in hydropower opening. Privatization of three HPP has a monetary value of 109.5 million. However, I can say with conviction that state involvement in the economy is limited. Market entry and exitRegistrations and licensing, of businesses have became more restrictive, and has faced a considerable increase of about 8% compared with a year ago. This was made possible through the established entanglement one-stop-shop. Today licensed businesses make up about 12% of active companies. Legal systemThe legal system has had a slight progress, however, is necessary to ensure the proper application of the legal system. Still exist, the ownership uncertain(p)ty. other weakness of our state law is delays of legal proceedings, more harmful to the business.The capacity to cope with competitive pressure and market forces within the Union beingness of a functioning market economyAlbania has maintained macroeconomic stability through a market economy, but the economic slowdown last year causes the increase of the current deficit. This deficit has resulted in a decrease in domestic production, low inflation policy due to boas objective. This deficit and rising public debt beyond the limits, has led to a lack of succeederful management of fiscal policy, the fiscal plan is anticipate to be even weaker. Albania has some structural obstacles which do not direct economic growth, contrary depleting it. Even though we have a certain advantage, barriers and other weaknesses continue to affect our economic system. Here we can mention the right ofproperty, unemployment, and incomplete process of privatization, low competitive ability, etc. . Overall, Albania has needed to consolidate public finances, and the reduction of public debt, strengthen the economy, performance, labor market, and most importantly, the fight against corruption. Economic integration with the EUIn 2012 Albania was faced with a raft Decrease, Imports and Exports constituted 87% of GDP compared with 92% a year ago. Key partner for trade of goods and services remains the EU. From the statistical data we say that EU exports in 2012 accounted for 75% of the total, and 62% of total imports. In the first six months of 2013 resulted a shrinking trade deficit with the EU, as a result of increased exports by 18.8%, but at the a manage time, the EU imports fell much less. One of the main partners in trade agreements remains Italy, taking half of Albanian exports and giving third Albanian import. Italy also remains one of the most important investors in Albania although much investment during the last year has seen a decrease. Export Import, with CEFTA countries has slowed by 27% which resulted in 2011, to 3% todayABILITY TO TAKE ON THE OBLIGATIONS OF rankThe ability to take the membership is seen in three main factors. Free movement of goods there has been a progress as regards of stabili zation, but further efforts are needed to be done and the preparations are advanced in this part. Free movement of people The progress here is visible, since 2010 Visa liberalization can be counted as a success especially towards master key qualifications, but further efforts are needed to be plane. Free movement of capital there also has been some progress with adaption of amendments of criminal code, low of banks and low of prevention of money laundering but even though there are several efforts that are needed to be taken. agriculture and rural developmentBased on the last economic report of EU, Albania is one of the countries that have not utilized the negotiated quotas for the agriculture products however we can say for sure that exports have been increased with countries that Albania has bilateral agreements. Exports and Export level per GDP hasbeen positively increased. Now we can raise a question, wherefore Albania has not exploiting quotas that have been negotiated in agr eement from which expectations were higher? Why our agriculture products do not have comparative advantage. Regarding to Ministry of Agriculture in Albania, food products and consumer production of agriculture sector is in low rates of trade.Farms are considered small while to many hectare of background are still barren, technology process is almost old today we have still lands that are tilled by hand and levels of marketing are ostracize ones. This is the spring why imports in different agricultural products in Albania are higher. Regarding numbers, Albania has nearly 400 Thousand farms counted until today. These farms derive 21% of GDP and have apply more than 750 thousand persons. We should know agriculture land is 0.2Ha/ person, while 20% of poor people are farmers, in this 20% we have 93.5% of them who incur only to maintain their families not to export, the other 80% of farmers produce to exchange outside borders and domestically. They sell up to 40 % of their producti on. Why these results? Because private investments in Albania are only 42.5 EUR per person, we still have 73 % of productive land tilled by hand. Public investments are 15 EUR per person, while we have firstly undistributed land from 98.5% of land that is returned to farmers 85.5% of it is not registered.Other tortuous cases in our agriculture are also, Input quantity and quality are still low and limited. The knowledge is in low levels, Information that we take from market is inadequate, No existence of competitive products, and land market lack. another(prenominal)(prenominal) problematic issue is that farms are not administrated well, by resulting so in a lower level of competitiveness toward other countries. Social policy and employmentIn terms of labor law, labor code is still in a process of approval, a challenge for our society remains the work of children ages 5-17 years old. This trend varies in 7.7% of all children in our country. In terms of health and safety at work, me asures are taken to prevent accidents at work and improve working conditions. We can say that the number of accidents at work in 2012 was reduced significantly compared with 2011, but still further improvements must be hatched. As regards employment policy, is being designed an employment strategy for 2014-20. This design is still not sanction. The official unemployment rate resulting in 13% during 2012, but long-term unemployment and youth unemployment are high and they need for immediate measures for reduction. Minister of Labor, Social Affairs and Equal Opportunities has approved three cases for persons with disabilities. Guardian of a person with disability is paid by the Albanian state. The inclusion of supervision and review of employment of individuals with disabilities in employment offices. Design activities for sign language in schools. These projects are not and finalized.Gender DiscriminationMany explanations for the gender pay gap are proposed and finally the gender pa y gap is the difference between genders seen from the forgiving development perspective, such as education, qualitative skills and experience that men and women show to the workplace. By this point of view differences between genders are often presented as discriminatory, that for instance women leave much earlier the labor market than men do, so in Albania we have more part time full treatment for women. By analyzing the datas we notice that the pay gap for professional or scientist women (engineers, mathematicians, financial experts, and medical doctors) in Albania is lower than man, in terms of numbers the take nearly 2.4% less than men do. In cases like basic occupations such are, construction, fast food, street vendors the wages are 21 % lower for females compared with males. Public and private sector generate two different ways of payment, when the gap is higher on private system instead in public one.The gender pay gap in the private sector is 13.7 percent, compared with15 .7 percent of the public sector. Both male and female in Albania site that here has no equality in the hiring/recruitment and no standards. I think that to reduce the inequality between males and females employees should follow the uniform recruitment standards for both. This should be implemented also to the recruitment for managerial positions, in order to increase the number of women applying for these job positions. I believe that a unified standard of recruitment would reduce considerably the gap.ConclusionAs a conclusion I have to say that Albania is a country that is part of theStabilization and Association Process. According to this pact we can say that Albania has strictly implemented its obligations. Today Albania is a member of several EU programs as example Program Throughout life learning Europe for Citizens, Culture, Competitiveness and Innovation. Based on EU conditions we must say that Albania has made improvement. The existence of a good function of market economy This includes the main essentials of economic policy where the primary objective is the protection of a market oriented economy. On its macroeconomic situation, we conclude that over all Albania has preserved the macroeconomic stability, because it was less affected by external economic conditions. Monetary policy of Albania has help to keep stable inflation and control inflationary expectations. Public debt is over limited and essential reforms are still missing.According to the official data, results, states involvement in economy remains limited but it is focused on energy, transport and water supply. Albania is one of the countries that have facilitated business entry to the market but procedures for market exit are still ineffective. Albanian faces many weaknesses in rule of law, according to real data, corruption is in considerable levels and reforms of property rights are still incomplete. This has adverse affect on the market environment. Some progress is made but it is need ed the consolidation of public finances and the reduction of public debt. Regarding to Human and Fiscal Capital the structure of macro economy remains unchanged also informality remains again a challenge. Albanian economy is tangible by industry specific shocks. Albania has remained a leading trading and an investment partner of EU, as result trade has been increased. Albanian ability to take the obligation of membership, the analysis is structured based on internal and external market of Albania which includes Free movement of goods there has been a progress as regards of stabilization, but further efforts are needed to be done and the preparations are advanced in this part. Free movement of people The progress here is visible, since 2010 Visa liberalization can be counted as a success especially towards professional qualifications, but further efforts are needed to be plane. Free movement of capital there also has been some progress with adaption of amendments of criminal code, lo w of banks and low of prevention of money laundering but even though there are several efforts that are needed to be taken. .Based on the study the situation with the income inequality in Albania is similar to other countries of the region and maybe beyond the region. This is caused from the same factors and causes negative effect on society. The gender gap in Albania has even another factor, that of specific cultural that is characteristic for Albanian environment to prohibit this Albania should increase the harmonization of the community, working conditions, health and securities and Equal opportunities. Albania has made little progress toward economic development and the consolidation of its democracy. This is shown by the report of European commission on October 2012, as the results at fulfilling the EU twelve priorities were poor, and obviously it was clear that Albania would lose its chances to be awarded with the candidate status on December 2012 and December 2013. Such a st ep was not justified by our economic and political conditions.ReferencesEuropean report for Albania 2012-2013http//ec.europa.eu/enlargement/pdf/key_documents/2013/package/al_rapport_2013.pdfBank of Albania Annual Report 2012, Production date 21.06.2013, Author Bank of Albaniahttp//www.bankofalbania.org/web/Annual_Report_2012_6609_2.phpInstat, Conjuncture, principal(prenominal) Economic Indicators, Q3-2013

Golden Age of Poverty Reduction Essay

The presentation of the article related to poverty decrease does not seem too optimistic whether the global aim was truly achieved. Basically, the main argument is that poverty reduction provides only the rate of presented resolutions to excuse the problem. However, the real figures of people under poverty are not rattling reflected. As time forwarded from the late 19th century up to the present, on that point was an actual development of social welfare services especially in the health care sector.This prompted institution populations to increase and obtain extended sprightliness expectancies. But the issue of disparity between the rich and the poor was not really decreased but worsened. The main factor to blame is the capitalists military posture towards profitability. They fuel growth in economies but also become the gas for the social inequalities to expand. To summarize the main argument, general poverty incidences could have been reduced more if economic inequality ha d not worsened (The big Library, 2006).ReferencesThe Free Library. 2006. Todays golden age of poverty reduction the account the World Bank and other agencies dont want you to know. transnational Economic Publications. Retrieved January 27, 2008 from http//www.thefreelibrary.com/Todays+golden+age+of+poverty+reduction+the+story+the+world+bank+and+-a0146175404