Developments in transportation Essay

Developments in transportation, rather than in manufacturing and agriculture, sparked American growth in the first half of the 19th century; moreover, it was the booming railroad industry, the country massive turnpikes, and the canals promoting water travel that sparked American growth in the first half of the 19th century. Railroads had been in the making for years, and they just kept improving, thus improving the ease of news spread and travel throughout the United States. The turnpikes going from city to city brought ease in trading goods and transportation. In addition, the canals, such as the Erie Canal, promoted the thought of water travel leading to many key inventions and vehicles. Although developments in manufacturing and agriculture had a profound effect upon American economic growth in the first half of the nineteenth century, developments in transportation had a larger effect, as well as serving as the catalyst for the developments in manufacturing and agriculture. Railroads made the west accessible. They encouraged the migration and settlement of the western United States. Because of the railroads assisting people in moving out west, a need formed for new agricultural methods and tools to farm in the new environment. The Gold Rush in California only grew so popular due to the railroads bringing ease of travel to people heading out west. The Railroad industry also opened up the western areas of the United States to business, industry, and trade. It continued to influence developments of industry, so more products could be made, shipped, and sold. The railroad system also created the demand for new modes of communication, such as the telegraph, because there was more distance to cover, thus opening a whole new market in the communication industry. One of the most important achievements the railroad’s brought to the United States was the introduction of time zones to accommodate for the inter-state trade. By 1820, turnpikes connected almost all major cities in the United States.  They facilitated trade between areas of the country that were previously isolated, thus raising the economy in certain places. Turnpikes also provide a quicker and easier mode of transportation for people, therefore helping to decrease the standard of economic self-sufficiency. This meant people were less likely to be stuck growing their own food, making their own clothes, etc. because they now had a much easier trip to town where they could buy these goods. Canals became popular from about 1815-1840. The most famous canal was the Erie Canal. It opened an inexpensive and quick way to travel from the east to the west. Before the Erie Canal only the east coast had been readily accessible by water. Canals promoted trade between the eastern and western regions, sparking industrial development in the formerly farm-oriented west. Canals made New York City a major trade center. They allowed New York to prosper and continue to grow as an industrial powerhouse, creating more jobs and factories. This is what gave New York the advantage over cities like Baltimore and Philadelphia. The canals also promoted the development of the steamship, created first by Robert Fulton. All in all, the statement, â€Å"developments in transportation, rather than in manufacturing and agriculture, sparked American growth in the first half of the 19th century† is a valid statement. The advancements made in transportation is what led to the advancements made in manufacturing and agriculture. If it weren’t for the railroads, turnpikes, and canals, most of the manufacturing and agriculture developments would not have been made, and America would have been stuck in the past.

Critical Review of Related Literature Essay

The economic system is the the method in which a country produces, distributes and consumes goods and services. An economic system must answer four basic economic questions that will direct a nation’s economic activity (Pride, Hughes and Kapoor, 2010): †¢ What goods and services- and how much of each- will be produced? †¢ How will these goods and services be produced? †¢ For whom will these goods and services be produced? †¢ Who owns and who controls the major factors of production? Four types of economic systems have been formulated and implemented throughout human history. These are: traditional economy, command economy, capitalist/free economy and mixed economy. Traditional economy is based on culture, tradition and rituals. This type of economy, which developed gradually characterized by slow productivity and low rising capital-labor ratios, usually consist of agriculture based societies (Mokyr, 1989). Command economies are economies in which the government owns and controls major factors of production. Also called centrally planned economy, the government decides on all issues regarding labor, mode of production and what goods and services to produce. Socialist and communist societies are examples of command economies. However, most leaders of these forms of government realized that although it was based on the principle of equality, the system was inefficient leading to shortages or surplus of products which usually resulted in political unrest (Taylor, 2007). Capitalist economic system is a system wherein individuals and private enterprises own and operate the major factors of production. Based on the lassiez-faire theories of Adam Smith in which individuals are given the freedom to utilize resources as they deem fit. The role of the government is limited to regulation and creating economic rules. This system promotes competition and prices of goods and services are determined by the mechanisms of supply and demand (Pride et. al. 2010). The last type of economy is the mixed economy wherein the advantages of capitalism or free market economy is combined with some of the principles of a command economy. In this economic form, goods and services are exchanged between households and firms. The government, on the other hand still regulates and imposes rules, but ian important responsibility of it is to collect taxes from business owners and its citizens, which will enable to also provide goods and services such as education, infrastructure and security (Pride et. al. , 2010). In this context, the market (producers of goods) answer the â€Å"wants† while the government provides the â€Å"need†. Economic Shift These economic systems have created economic shifts that determined the primary products of that economic era and the modes of production. In the traditional economies, agriculture was the main form of industry. In fact, economists estimate that the British economy in 1760 was comprised of almost 90% agriculture industries (Mokyr, 1989). However, the advent of the Industrial revolution changed the economic landscape from agriculture to industrial. The introduction of machines, technological innovations and assembly lines in to the modes of production shifted the economy form producing agricultural products to manufactured products. Post-World War Two and increasing globalization would witness another global economic shift. Again, technology played key role in the rise of service economies. Service economies are not directly engaged in manufacturing but is involved in the â€Å"provision of human value added in the form of labour, advice, managerial skill, entertainment, training, intermediation and the like† (OECD, 2000). The rapid development of information and communication (ICT) technologies have allowed companies to tap on the knowledge and intellectual properties of economies packaging them as a distinct economic output. This form of economy has bled into different industry sectors such as ICTs and healthcare, as companies are pressured to â€Å"concentrate on core competencies, reduce costs, exploit external, specialized expertise, giving rise to business process outsourcing companies. This has enabled foreign companies to tap into other foreign countries’ labor providing much needed jobs especially for developing countries. The shifting of economies, the development of technology and the success of mass production has led to the commodification of products and services. This has stripped away the personalization of products and services, mutating relationships into an exchange relation or as Karl Marx (1978) called it â€Å"callous cash payment†. Pine and Gilmore (1999), point out that although commodification has led to cost-savings, it no longer breeds growth and profitability. Thus, they reveal that there is another aspect of economy that has not fully been explored and tapped by businesses. They labelled this new approach as the Experience economy. Companies that identify experience as a distinct â€Å"economic output† are given new horizons to expand their businesses. Experience= â€Å"Economic Output† The concept of an experience economy is rooted in the principles of creating â€Å"sensations† between the consumer and the product creating â€Å"memorable† experiences (Pine and Gilmore, 1999). This economic strategy engages the customer, customizing products and services according to their needs and wants, turning the them into not just passive users of products but as important factors in the creation and marketing of the product. Pine and Gilmore (1999) refer to the coffee bean as a perfect example of the effect of experience as an â€Å"economic output†. The coffee bean is a commodity that if manufactured and sold as a good in a grocery sees a jump of between 5-10 percent in ts price from a raw commodity to a manufactured and packaged good. However, when a cup of coffee is sold in cafe’s and coffee shops, its effectively jumps to 100-300% percent of its raw price and people are still willing to pay for it? Why? Pine and Gilmore attribute this willingness to the â€Å"experience† factor that cafe’s and coffee shops add to the cup of coffee. The added experience of an ambiance of comfort, relaxation and satisfaction effectively raises the value of the cup of coffee. And yet, customers are willing to pay for that expensive cup of coffee because the drinking of one is no longer focused on the coffee itself (although the quality of the product still has the biggest percentage in the satisfaction criteria) but on the whole experience of drinking it. Experience itself is not a new concept, but economists and producers of goods have , in the past, attached it to the delivery of services that it’s power is largely unappreciated and tapped (p. 2). However, Pine and Gilmore (1999) reiterate that â€Å"experiences are as distinct from services as services are from goods† (p. 3). When a person buys a service, he purchases a set of intangible activities carried out on his behalf. But when a buys an experience, he pays to spend time enjoying a series of memorable events that a company stages-as in a theatrical play- to engage him in a personal way. (p. 2) It is through this concept of a theatre and stage that the authors initially frame the concept of experience economy. The consumers are the actors in theatres, stages and plays which are prepared, scripted and planned by companies. Thus, for the experience to be truly credible and believable, manufacturers and suppliers must change their perspective from merely providers to â€Å"stagers of events†. Customers and clients are no longer viewed as just but are treated as guests. The stagers of events must therefore be flexible, ready to adapt to the demands of their guests. This relationship between the stager and guest is much more deeper than â€Å"the callous payment of cash† referred to by Marx (1978) but actually creates a relationship between both parties building on trust and quality service. Although experience economy have primarily been associated with the entertainment industry, with the efforts of theme parks and movies to deliver realistic and truly interactive attractions through the use of 3D technology, surround sound and, in the case of Walt Disney theme parks, productions that immerse the â€Å"sights, sounds, tastes, aromas and textures† of their guests (Gilmore and Pine, p. 3). However, other industries have taken notice of this approach. Service industries such as restaurants are investing on ambiance and in services that engage all the sensations of their guests to create unique dining experiences. IT companies are racing to create much more powerful processors to create ICT experiences that are â€Å"interactive and life-like† (Grove, 1996). It has also been adapted by parking lots, department stores, appliance repairmen, and increasingly by businesses themselves to create much more dynamic and productive workplaces by bringing employees and the products closer. Evidently, the experience economy has become a philosophy for companies that seek to distinguish themselves from the competition. In this light, what industries have been greatly transformed by this philosophy? What strategies did they create in order to provide their guests with unique experiences? Did the adoption of this philosophy bring about positive effects? Or did it further lead to consumer alienation? This paper will attempt to answer these questions by reviewing cases of experience cases and provide a picture of the effect of this strategies. A critique of the philosophy will attempt to reveal its strengths, weaknesses and limitations when applied in the real world. Review of Related Literature The Cruise Ship Experience A doctoral dissertation study by Hosany and Witham (2009) focused on the cruisers’ experiences and analyzed the relationships between tourists’ experiences and personal evaluation of satisfaction and feedback. Based on the conceptualization of tourism experiences by Oh, Fiore and Jeoung (2007), the study hoped to contribute on the experiential concept of tourism by enhancing its theoretical progress and advancing important implications for cruise markets (Hosany and Witham, 2009). Oh, Fiore and Jeoung (2007) conduced a study that sought to provide empirical evidences of the experience economy as posited by Pine and Gilmore (1999). Using the setting of a Bed and Breakfast Inn, which has been identified as highly experiential in nature (McIntosh and Siggs, 2005), guests were asked to measure their lodging experiences. Utilizing a rigorous and methodologically sound approach to scale development, Oh et. al. (2007) were able to create a sound and valid scale which measured tourism experiences. The main objective of Hosany and Whitham’s study therefore was to validate the measure developed by Oh et. al. (2007) by applying it to the context of cruise tourism. This main objective was supported by two specific objectives: †¢ to identify the underlying dimensions of cruisers experiences †¢ to investigate the relationship between cruisers’ experiences, satisfaction and intention to recommend The study chose to examine the cruiser experience since these trips offered â€Å"total escape, safe transportation to exotic destinations, Vegas style entertainment, luxurious pampering service, quality food and beverage, innovative onboard features and awe-inspiring aesthetics among others† (p. 5). Cruise vacations are chosen because of their promise of luxurious care and entertainment (Cartwright and Baird, 1999) and are laden with experiential benefits that engage tourists in a unique social experience (Kwortnik, 2006). Employing survey method, the Oh et. al. (2007) tourism experience scale was reworked in order to apply to the context of the study. Variables such as: cruiser’s experience, memory, arousal, overall perceived quality, intention to recommend and satisfaction were measured along with other variable of interest such as demographic variables that included: gender, age, travel companion, number of past cruises taken, and nationality. The four dimensions of experience: education, entertainment, aesthetics and escapism were represented with four statements and were rated using a 7-point scale ranging from [1] strongly disagree to [7] strongly agree. Variables such as arousal and memories about the cruise experience were also measured using 7-point scales. Overall perceived quality and overall satisfaction were assessed through two items each (poor/excellent and inferior/superior, and extremely dissatisfied/extremely satisfied and terrible/delighted respectively). Finally, respondent;s intention to recommend were measured using the question â€Å"How likely is it that you would recommend this cruise to family and friends or family members† and through a scale of [-3] extremely unlikely and [+3] extremely likely. Data collection was done aboard the cruise ship â€Å"Rhapsody of the Seas† which is owned and operated by Royal Caribbean International Cruise Line. It was achieved by approaching the cruisers less than hour after disembarking from the ship and while waiting for their coach transfers. All in all, 169 questionnaires were accomplished out of the 1859 guests onboard. The study established the validity and generalisability of the Oh et. al. (2007) measure for tourism experience. Data also revealed that the four realms of experience (education, entertainment, aesthetics and escapism) can be applied in the context of cruise experiences and still be proved reliable and valid. Although the four dimensions varied in their importance in explaining the variable outcomes of arousal, memory, overall perceived quality, satisfaction and intention to recommend, the results were similar with Oh et. al. (2007) which identified aesthetics as the main factor in experiential outcomes. This also agrees with Kwortnik’s (2008) conclusions that a ship’s design and ambient features affect cruiser’s emotions and behaviors. Hosany and Witham’s (2009) findings on entertainment contradicted Oh et. al. (2007) in that it was found to be the second strongest determinant of outcome variables. The study attributes this to the reputation of cruise ships as entertainment havens. Education and escapism dimensions were found to be of little consequence to the cruise ship experience. The study also found out that the four dimensions of cruisers’ experiences have direct impacts on passenger’s intention to recommend. Overall, Hosany and Witham’s study provide tangible and empirical findings that back-up the concept of experience economy posited by Gilmore and Pine (1999). The study’s initiative to investigate the concept’s application on an industry that has yet to be fully explored but is a perfect setting for investigating experience economy is the its greatest strength. The literature review of the study provides rich, background detail on the concepts of experience economy and other recent studies on the cruise ship industry. However, the sample of the study barely scratched the population of the its main study. The time constraint (two weeks) and the focus on only one cruise ship could be seen as the greatest weaknesses of the study. It would have been interesting to see a comparison of experiences between two cruise ships that ply the same cruise route. A lack of the effect of cruise ship employee behavior on the overall experience is an area that should have been investigated but was overlooked. This should have been an important factor for the study since Gilmore and Pine reinforces the importance of the company’s interaction in setting the feel for the â€Å"stage of experience. † the study also did not take into account the sociological aspect of the cruise, such as the effect of other cruiser’s behavior on the whole experience. Despite these, the findings of the study that revealed its greatest contribution by proving the validity of Oh et. al. ‘s (2007) tourism measure. This is a giant step for the further investigation of experience economy by providing a reliable test that can be applied in different tourism contexts. Experience Economy in the Rural Context Isaac Kwamena Arthur’s (2008) paper entitled â€Å"Conceptualisation of Experience Economy as Competitive Advantage for Rural Food Industry and Rural development† sought to introduce a framework which can be applied to the rural food industry in order for it to attain a competitive edge in an experience economy. The paper presents evidences that point to the positive implications of experience economy on business profits and community development. Studies have proven that experience economies add value to rural businesses (Fiore et. al, 2007), its usefulness in industries such as tourism (Richard, 2001; Hayes and Macleod, 2006; Oh et,al. 2007), small city development (Lorentzen et. al. , 2007) and its implication on the development of urban sports and recreation settings (Howell, 2005). Despite most experience economists identifying its products as â€Å"competitive† (Lorentzen, 2008) and providing a higher degree of â€Å"customer satisfaction and profitability† (Sims et. al. , 2007), they do not present any framework or theory to guide firm’s in maintaining this competitive advantage. Thus, Arthur’s paper sought to provide a deeper understanding of experience economy through the presentation of strategic approaches that can be adapted by rural food industries to maintain competitive advantage. Guided by the research question: â€Å"what is the experience economy and what strategic approaches exist for experience producers in the rural food industry to utilize in achieving competitive advantage? † (Arthur 2008, p. 2), the paper analyzed different views on strategic management concepts while adapting on Gilmore and Pine (1999) concept of experience economy. Employing an extensive literature review, Arthur (2008) explores the concepts of experience economy and its applications drawing mostly on the works of Gilmore and Pine (1999). he reveal that although earlier authors have identified the concept of â€Å"experience industries† (Toffler 1970, p. 221), it was Gilmore and Pine that â€Å"indicated a new orientation of experience, which is central to creating events around products† (Arthur 2008, p. 3). This idea of creating events around products therefore create experiences (such as an educational show on how a product is manufactured) which becomes the package in which products are marketed and sold. In applying the experiential economy concept on rural food industry, Arthur (2008) focused on the two forms of experience realms: customer’s â€Å"passive† or â€Å"active† involvement and the level of â€Å"immersion† or â€Å"absorption†. These two forms delineate the individual’s participation in the experience and the bond that is created between the consumer and the experience (Gilmore and Pine 1999, p. 30-31). Arthur (2008) then enumerates different examples of experiential economy at work in the rural food industry, such as the local food producers organizing food processing festivals wherein consumers can watch how food products are prepared. For further immersion, Arthur (2008) suggests educational tours that introduce consumers to the inner workings of food processing plants and by encouraging their participation in some of the processes. The escapist realm of experience can be attained by customers â€Å"being engaged in the production and processing of their product† (Arthur 2008, p. 5). He also suggests the creation of theme parks and utilization of venues where consumers can purchase various food products in order to engage the aesthetic realm of experience economy. In discovering a framework for maintaining competitive advantage, Arthur (2008) first defined the parameters of competitive advantage. He cites Besanko,et. al. (2007) definition as his basis for identifying competitive advantage as the â€Å"firms specific abilities to do or achieve things which are superior over their competitors in the market (Arthur 2008, p. 7). Arthur identifies three models which can be utilized to attain competitive advantage in the rural food industry: five Force model, resource-base view, and the relational view. The five force model identifies an industry’s profitability (Porter, 1985; Grant, 2002 and Xu et. al. , 2006) and offers an understanding that competition is not merely between competitors but involves the whole process of production and its players. The identification of these five forces are attributed to Porter (1985, p. 4): †¢ threat of new market entrants †¢ threat of substitute products or services †¢ bargaining power of suppliers †¢ bargaining power of buyers †¢ rivalry among competitors The resource base view looks at the â€Å"internal organizational resources and capabilities to achieve competitive advancement in a selected environment† (Douglas and Ryman, 2002). This framework looks at how a firm’s uniqueness can give it an edge against its competitors (Grant, 2002). Various management literatures identify relational view as the â€Å"inter-firm relations† which gives rise to a firm’s profitability (Dyer and Singh, 1998; Duschek, 2003; Douglas and Ryman, 2003). It sheds light on the importance of networking in creating competitive advantage. In combining these three models, Arthur (2008) provides a framework for rural food industries that builds upon the five force understanding of the prospects of obtaining competitive advantage through experience offerings in the rural food industry, strengthened by the firm’s identification and utilization of its capabilities and resources according to the resource base view model, and finally, through a seeking out and building of strategic alliances (based on the relational view model) to cement its position in the industry. Although Arthur (2008) was able to identify the contribution and importance of experience economy in different industry sectors,it was not able to provide new insight on the topic. This can be attributed to the methodology adapted by the study and its heavy reliance on the works of Gilmore and Pine (1999). However, it was able to achieve its both its objectives with the discovery of a framework for maintaining competitive advantage in rural food industries by reviewing and combining three strategic management models. This is the study greatest strength since it pioneers initiatives towards the creation of frameworks which cater to the performance of industries in the experience economy. But, its the study’s greatest strength is also its biggest pitfall. With the absence of a real data gathering research methodology and reliance on previous works, Arthur’s (2008) suggested framework remains a hypothesis and not yet a valid theory as it remains to be tested and operationalized within the context of the rural food industry. On a positive note, the author does plan to test his conceptual framework in a empirical case study of the Thisted food industry in Denmark. Exploring the Inner Sanctum of Experience Mark van Doorn of Philips Research presents a fresh look at the concept of experinec economy in his paper entitled An Inside Story on the Experience Economy (2006). In this paper, Doorn (2006) explores the concept of experience as a cognitive process that shapes the individual’s consumption behavior and answers the need for â€Å"psychological self-determination and well-being† (p. 1). An analysis of literature leads Doorn (2006) to cite Turner’s Literary Mind which explains that top understand the mind, one must dwell on the body and the â€Å"primitive underpinnings of the mind† (Doorn 2006, p. 2). Turner gives importance to the story or â€Å"narrative imaging† as the main component of â€Å"thought, crucial for planning, evaluating, explaining, for recalling the past and imaging the future† (Turner 1996, p. 4-5). Turner reveals that the human mind engages in experiences by creating narratives to explain even the simplest of acts (p. 13). This follows with Cognitive Science Theories that state that experiences are absorbed by the senses and processed by the mind. Doorn (2006) also explores the concept of ambient narratives wherein individuals are immersed in an interactive experience created from a mixture of virtual and real world concepts which they can change according to their own experiences. Doorn’s (2006) analysis of experience economy is such a departure from the usual studies on the topic. His paper reveals the connection between economics, psychology and literature by dispelling normal academic notions of experience economy as rooted in the delivery of personalized and highly specialized products and services. He posits that the melding of literature and performance with business and technology can actually lead to a much more interactive and effective experiential economy. However, Doorn’s (2006) analysis only reveals these connections and yet ends up with more questions regarding the creation of a â€Å"grand unification theory† (p. 10) that will answer and describe the cognitive processes of experience economy. Impacts of Experience Most studies undertaken under experience economy seeks to measure the â€Å"experience†, overlooking the impact of â€Å"experience economy† on the society in general and its effects on tourism. Joanie Willet answers this dearth of literature in her study entitled Cornwall’s Experience of the Experience Economy; Longitudinal impacts (2009). The paper will investigate the impact of experience economy on a selected area by evaluating socio-economic changes which have resulted from regional experience strategies and the impact of experience economy discourses on the area. Cornwall, England will be the case study of regional economies that really heavily on tourism. The paper is guided by the following objectives: †¢ Review the Key Tenets of the Experience Economy according to Gilmore and Pine (1999) †¢ Discuss experience economy with regards to Cornwall †¢ Trace socio-economic changes in Cornwall brought about by experience economy Findings of the study reveal that underneath Cornwall’s image as a wealthy tourism destination is a society plagued by â€Å"severe inequalities and deprivation† (p. 10). Government efforts to create an idealized English setting to promote tourism has constrained the economic opportunities in Cornwall. Willet (2009) reveals that efforts to create a unique English â€Å"experience† for tourists have led to sociological impacts detrimental on the Cornish locals. However, Willet (2009) discovers that Gilmore and Pine (1999) provides a provision wherein the personalization of â€Å"guest’s experiences† require locals to adopt advanced skills and educational assessments which will balance out the detrimental effects of the experiential economy. Willet’s (2009) study provides a holistic picture on the true sociological impacts of the rise of experience economies. This study revealed that the ideals of Gilmore and Pine’s (1999) of customized services and unique services does not necessarily lead to the development of both the consumer and producer. However, the study would have yielded deeper empirical evidence by employing research methods a such as surveys with both tourists and locales ad interviews with the key players in the Cornwall micro-economy. But overall, Willet’s study is a cautionary tale that reveals the two-sides of economic ideas. Lise Lyck’s lecture on Experience Economy as an Instrument to Create Economic Profitability presents the other side of Willet’s study. Employing case study to describe the hotel economic landscape of Copenhagen and analysis on three frontrunner hotels in Copenhagen, the investigation sought to answer two primary objectives: â€Å"Shall hotels invest in experience economy? † and â€Å"How do risk and business cycle development influence decision-making and profitability? † The methods revealed that with the construction of the Oresund Bridge brought a large influx of clients in accommodations for Copenhagen, Denmark and Malmo, Sweden. This led to an expansion in the number of hotels in the Oresund region, totaling to 196 hotels with 19,036 rooms in total. This economic expansion has led to hotels banking on a delivery of unique accommodations through the employment of experience economy. The case study focused on three hotels in particular: Hotel Fox (formerly Old Park Hotel), Hotel Skt,. Petri and Guldsmeden Hotel. The utilization of unique marketing techniques, innovations in core values and hotel concepts and the focus on consumer behavior have indeed turned the hotel’s adoption of the experience economy into profits and the establishment of new and better images. The case study also revealed that there was a dependency to business cycle development, which guided the creation of a framework that was specifically catered to the investment in hotels. This model, when applied to the case studies, rendered useful decision-making insights in the context of experience economy investment projects. This study presents another framework that is useful in the application of experience economy in real world situations. The study was able to demonstrate that through innovative industry practices and a full commitment to the delivery of unique experiences can indeed yield profits especially for service sectors such as hotel chains. Once again, this study blurs the distinction between the delivery of service and experience. Is is however evident that in the context of hotels, the delivery services are much more effective and appreciated when packaged as an experiential product. Research Proposal The review of related literature revealed the different aspects in which the economics of experience have been investigated. The manner in which experience economy was investigated mirrored an outward spiral model in which early studies focused on the description, distinction and investigation of the â€Å"experience† itself. Studies that focused on these were able to reveal the importance of consumer behavior in influencing the type of experience to be delivered. Most early studies also sought to prove or disprove the initial principles posited by Gilmore and Pine in their assertion of the experience as a separate â€Å"genre of economic output† (Gilmore and Pine, introduction) â€Å"distinct from services as services are from goods† (p. 2). However, recent studies on the topic have led to a widening of horizons, and stepping out from the core of the spiral model of experiential economic research. These studies, such as Willet and Lyke, explore the socio-economic impacts of the real world implementation of experience economy. These studies have revealed the positive and negative impacts on businesses and communities, both cautioning and encouraging economic policy-makers and decision-makers. Useful data culled from the review of related experience economy literature for the research proposal would be the tourism experience measure of Oh et. al. (2007) discussed and adapted by Hosany and Witham (2009) in their own investigation of cruisers’ experiences. The study can utilize and adapt this tool in measuring tourist behavior and satisfaction towards Thai indigenous tourism products. Although Arthur’s study is merely a proposal, its ideas on the local implementation of experience economy and its framework for competitive advantage can be applied on the case study of the Four Seasons hotel and the Rose Garden Hotel. The numerous case studies presented in the review of related literature can provide a useful guide for analyzing the economic viability of experience economy in the context of Thai tourism. Especially of value is the last case study of hotels in Copenhagen which provided a framework and guidelines in the implementation of investment projects based on experience economy. The research proposal can then prove or disprove the validity of the framework by applying it to experience economy investment projects in the context of Asian countries. References: Taylor, John. (2007). â€Å"Economics. † Boston, MA: Houghton Mifflin Company. Mokyr, Joel (ed. ). (1989). â€Å"The Economics of Industrial Revolution. † Lanham, MD: Rowman and Littlefield Publishers. Pride, William, Hughes, Robert and Kapoor, Joey. (2010). â€Å"Business. † Mason, OH: Cengage Learning. Organization for Economic Co-operation and Development (2000). â€Å"The Service Economy. † Science Technology Industry. OECD. Gilmore, Jim and Pine, Joe. (1999). The Experience Economy: Work is Theatre and every Business is a Stage. † Aurora, OH: Strategic Horizons LLP. Grove, Andrew. (1996). â€Å"Keynote Speech: Comdex computer show. † November 18, 1996.

Case Study About Southwest Airline Essay

Southwest Airlines was incorporated on June 18, 1971, serving three cities, Dallas, Houston, and San Antonio. It has been a successful business that has grown into a powerful force in the airline industry. The reason Southwest has remained financially viable is their commitment through point-to-point service with a quick turnaround time. The more planes in the air and the less time on the ground is a profitably business model. Although, there are some areas where Southwest struggled and could improve upon (Kruggel, 2001). In a large competitive Airline industry that has a strong entry barrier, Southwest Airline succeeded on their customer service and quality differentiation distinct any other Airline contributor. The company set them self up for any breakdown what might would happen in the future. Nevertheless, September 11, 2001 attack happened and the Airline could have been better prepared for that event (Anthony & Govindarajan, 2007, p. 114). After 9/11 attack struggling airlines had changed their business strategies and offer lower pricing. Almost every aspect that differentiated Southwest airline from other companies were cut because of having to adapt to new security protocols. These strategies caused Southwest not staying in competitive advantage position, and therefore, they had to slash their pricing lower than average. Of course, loyal customers would continue using Southwest over other airline industries. Analysis: Southwest competitive advantage strategies are as follow: Southwest implemented the first and most simplistic frequent-flier program: purchase eight flights and get one free. Other are their point-to-point services, which are generally targeting the frequent business traveler. With several regular flights per day, if a passenger happens to miss their flight, they will be automatically booked onto another flight. Secondly, secured routes through secondary airports which generally had lower fixed costs for the airlines and less overcrowding of travelers ease? (Koke, 2011). Southwest focal point on fast, dependable turnaround time utilizing only one type of aircraft, make available for staff and passenger to be familiar with the effectiveness of the service. Passengers are not allocating seats, which let the passenger to be guided more efficiently. In addition, Southwest’s point to point system is more dependable because it does not depend on the time arrival of an earlier flight for departure. After Porter’s five competitive forces model, Southwest airline utilizing the differentiation from competition by allowing a friendly, warm flying experience for the travelers with low cost flights undercut the competition, which would fit under the threat of substitutes. Other aspect of preventing the threat of substitutes is the reliability of the airline (Porter, 1987, pp. 28-35). The Southwest airline is determined not only to take care of their stakeholders, but to protect our planet and its natural resources as well. Conserving fuel and water, employing green purchasing practices that meet the leadership in energy and environmental design standards for new construction and building are some of the practices they are determine to retrofit. Gary C.  Kelly Southwest president and chief executive officer said,† Looking Forward As we look to our future in building Southwest Airline, our priority is to maintain the excellence we have built over the past four decades with our brand, culture, customer service, operational excellence, and consecutive annual profits. I am enthusiastic about our 2013 plan and believe our transformation efforts will make us better, stronger, and more competitive. And, the outstanding efforts, commitment, and dedication of our people give me confidence in our ability to successfully execute our plan. We are committed to our purpose to connect people to what’s important in their lives through friendly, reliable, and low-cost air travel. That purpose will guide us to go forward on our journey in pursuit of our vision to become the World’s most loved, most flown, and most profitable airline† (Movawad, 2010). The founder of the Southwest Airline Herb Kelleher in his recent interview mentioned, â€Å"We don’t know everything about everything. We know about one thing. I have seen other airlines make mistakes, buying radio stations, hotel chains, rental car businesses, and so forth and so on. And I thought, We do not want to get into thinking that we’re massive and great because we’ve done pretty well. And that is still the policy today† (Reingold, 2013). One of the Southwest airline competitor’s was United airline in terms of new services and prices. It started a program called â€Å"Shuttle by United†. The disadvantage Sout hwest airline had, was how to deal to access the program at hand. The next one was to figure out how to respond to the initiatives. Specify the decision factors while approaching the circumstance, there were some unpredictable conditions that Southwest airline had to deal with (Freiberg & Freiberg, 2006, pp. 65-70). First, it was the determination of the profitability of the flights they were profiting from and losing from competitors such as United airlines. The concern was how many round trips each airline made, how many miles each flight was, and load factor of each flight. Daily profit calculation for each flight showed how much profit they made each city and finally state wide. After some calculation â€Å"Shuttle by United† program was forecasted that it would put the United airline into debt if they do not gain more profit from it. As of now the program costs more to run than it will pay off (Anthony & Govindarajan, 2007, p. 115-116). Conclusion: While the airline industry in the United States has not made flourishing financial headlines, one small company has been able to fulfill its customers and gain a place in Fortune 500 companies in a short period of time. Southwest has adapted to the business traveler who is looking for reliability and less hassles. In addition, it has a fast reward system that is easy to comprehend and helps retain customer loyalty. In addition, Southwest hires the best people and rewards them accordingly, in a fun, enjoyable environment. Management-employee relation, organizational training and strong leadership are identified as the source of employee motivation. Finally, Southwest negotiates fuel prices for their airlines years in advance allowing the company to keep their pricing consistent (Lunsford, 2008).

Kierkegaardian Journeys To Selfhood Essay Example | Topics and Well Written Essays - 500 words

Kierkegaardian Journeys To Selfhood - Essay Example However, one who is unable to make a choice either way, for such a person the self is not created. Hence, a choice has to be made and this is the way that the self is created. The aesthetic’s form of choice leaves the individual self-less because he has been lured by passions and lust. His choice is based on the emotions which rule him for that small period of time. He is overpowered by those emotions of lust and passions and unable to relieve himself from them. Nobody can understand your actions and thoughts; this does not even attract pity from others. They merely pray that wise sense may prevail upon you someday because every revelation that you make is an illusion. They become self-less because they have deceived their own self throughout the life. This is why Kierkegaard says such choice leaves the individual self-less. In the ethical stage the virtues are dominant and one evaluates the dilemma and the problem based on truth, honesty and righteousness. In such a situation, the individual is not confronted with a choice. He knows what is to be done. His personality itself is immersed in the choice that he is not different from the choice. The choice and he are indivisible; there is no dualism. Suppose one has to make a choice about a life problem. If he delays the decision, he is able to understand the situation better. He delays not because is unable to make a choice but to understand the alternatives. When one believes in the inner self, there is no time for though-experiments. A person would always see where the alternatives would lead him to; he would evaluate the shortest path to accomplish his goals or reach his destination. Thus, the choice cannot be wrong because he is evaluating the alternatives with righteousness. The choice has to be made with tone of seriousness. This is because, Kierkeg aard says, the next moment one may not have the power to choose. Hence even if the personality postpones the choice, the choice is made

Parachute jump Research Paper Example | Topics and Well Written Essays - 750 words

Parachute jump - Research Paper Example From the Newton laws of motion, a free fall is the motion which involves the weight of a body as the only body is the only force that acts against it. Gravitation was reduced to a time space curvature. Felix had no force acting against him and hence moved along a geodesic. Due to absence of any other forces, gravitation acted on him equally due to the relative weightlessness. In this condition the gravitation field is zero. Felix in the free fall experienced gravititation "0-g". The Newton’s law of universal gravitation simplifies the dynamical equations that describe the trajectories that result due to gravitational force under normal conditions as F = mg. This accounts for the assumption for objects falling to earth over relatively short vertical distances. It is however much untrue over larger distances. The equation ignores the air resistance that was involved that has an effect on falling objects within appreciable distance in air causing them to approach a terminal velocity quickly. The air resistance effect varied enormously due to the size of Felix. The equation ignores the rotation of the earth failing to describe the Coriolis effect (Heitzmann, 23) Near the surface of the Earth, g  =  9.8  m/s ². The assumption is that SI unit g is measured in mps therefore d has to be measured in meters and time t in seconds. Therefore, velocity v is measured in meters per seconds(Heitzmann, 26) Felix is assumed to have started from rest and air resistance was neglected. In the Earth’s atmosphere all results are inaccurate after the first five seconds of the fall. Felix’s velocity at the time should have been a little less than the vacuum vale of 49 m/s due to the resistance of air. As Felix was falling through the atmosphere (which is not a perfect vacuum) therefore, he did not encounter a drag force brought about by air resistance. The drag force should have increased the velocity of the free fall. Felix therefore reached a state where the drag force

International Human Resources Management Essay Example | Topics and Well Written Essays - 3250 words

International Human Resources Management - Essay Example Foreign Trade has received great impetus due to these factors and companies looking towards expanding their organisations are employing norms and policies to facilitate proper monitoring and maintenance of their employees. Due to growth in commerce and management, strategy planning and execution has become an integral part of organisation. Due to this, International Human Resources Management has come to the forefront. International Human Resources Management seeks to lay down common rules, solutions to problems and personnel management systems to help this new phase of global expansion transform into a success story and to help organisations adapt and procure better results. Working in a country that one is not familiar with, is a great challenge in itself. More so, when it involves the establishment of a branch office of your company or deals with the successful initiation of an extension of your company, in a scenario completely different from the one you are familiar with. Heading these operations that delve into international horizons and expansion plans of your company build up more responsibility that needs to be fulfilled, on your part. Therefore, a great amount of thought-processing and execution must go down into such plans, before embarking on a conclusion. Vancouver Communications is an established organisation with its headquarters in Canada. It is involved in the production and sale of office communication equipment. Mike Ansell, the CEO of the company for the last 15 years had come up with the proposal to expand the operations of the company. This led to the establishment of the company in Wolverhampton. The work procedures and functioning of the office has been similar to the Canadian office. Furthering the expansion plan, the CEO has come up with the proposal to set up an office in Turkey, for which Helen Reeves, the Deputy Head of Marketing shall head the operation. At this stage, how should the company proceed with its expansion plans Should it follow the same old conventional method of work, even in its subsidiary as suggested by Mike Ansell How should Helen Reeves evaluate and formulate an action plan for successful functioning of the subsidiary under her in Turkey These are some of the questions that need to be answered befor e a headlong jump into the setting up and organisation of the new subsidiary. Evaluation of Mike's Proposal Introduction: Mike's proposal needs evaluation and assessment, since the plus and minus points of the same need to be identified and worked upon. Here are the various facets of evaluation, that could either accentuate or diminish the quality of Mike's proposal. Turkey is one of the favorable fast-growing sites for international expansion of business, trade and commerce. Transfer of technology, the extent of involvement of the local resources, the net currency profit, etc. are some of the factors that are looked into, before the green signal

Statistics case memo Project Example | Topics and Well Written Essays - 1500 words

Case memo - Statistics Project Example This data represent 21 New Jersey counties. This report will examine correctness of the charge that New Jersey banks have been withdrawing from urban areas with a high percentage of minorities. For this, I will use Asbury Park Press compiled county by county data and summarize this data set using scatter diagram and the descriptive statistics and presents findings in this memo. The importance of this study is to test whether banks serve their own communities. A scatterplot is created taking â€Å"x† as the percentage of the population within each county that is minority and â€Å"y† as people in each county per branch bank within the county. Figure 1 shows the scatter diagram of minority percentage (independent variable x) against the number of people per bank branch (dependent variable y). There appears a strong direct positive relationship between the number of people in county per branch bank and the percentage of minority population in county. The R2 value of 0.5265 indicates that about 52.65% of the variation in the number of people in county per branch bank is explained by the percentage of minority population in county. This is a strong effect. However, the other 47.35% of the variation in the number of people in county per branch bank remains unexplained. The slope coefficient of regression of 35.89 suggests that for every percent increase in minority population in the county, the number of people per bank branch increases by about 36 on average. The intercept coefficient of regression of 2082 suggests that for no minority population in the county, the number of people per bank branch will be about 2,082 on average. The p-value for â€Å"x† variable the percentage of minority population in the county is 0.0002, which is less than 0.01. Therefore, the percentage of minority population in the county significantly predicts the number of people in county

Fair Values in Accounting for Financial Instruments Essay - 2

Fair Values in Accounting for Financial Instruments - Essay Example Along with the depth development of financial instruments and fair value accounting practices by national standard setting bodies in many countries, fair value measurements have helped to create a more accurate representation of fact. Because of this, the FASB, IASB and other agencies continue to improve the recognition and measurement standards of financial instruments. For instance, in 1990, Richard C Breeden, the chairman of the SEC pointed out that historical cost for financial reporting does not help to prevent and/or defuse financial risk. As such, fair value accounting should be taken as the measurement of financial instruments (SEC, 1990). Although many people support the implementation of fair value, the debate about this has not stopped and has become fierce; especially after a financial crisis. As means of providing an example, FASB No. 157 provides a definition of â€Å"fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.†(Deans, 2007) There also have another defines set out by IASB including IAS 32 (presentation of Financial Instrument) and IAS 39 (recognition and measurement) which Fair value is defined as â€Å"the amount for which an asset could be exchanged, or a liability settled, between knowledgeable, willing parties in an arm’s length transaction. (IASB) IAS 39 defines fair value slightly differently from SFAS 157† (Laux & Leuz, 2009). Firstly, the information provided by the fair value accounting method can be considered as more relevant. Generally speaking, such information should satisfy the requirements of relevance and reliability at the same time. Brath explains the quality characteristic of accounting information. In this way, he proposes that it includes reliability, relevance, predictive, timely, neutrality, comparability, etc. (Ball, 2006). Historical costs

Principles of Finance Essay Example | Topics and Well Written Essays - 1000 words

Principles of Finance - Essay Example Together, they help promote stability and balance in the behavior of governments and financial institutions through surveillance, financial, and technical assistance. Based on the summary in Table 1, $282.978 trillion was raised in Japan, the U.K., and the U.S. from 2001 to 2006 from IPOs, debt offerings, and mergers and acquisition activities throughout the world. Of this, the U.S. accounted for 26%, while the U.K. had 9.7% and Japan only 2.3%. The declines from 2001 to 2003 resulted from the dotcom bubble explosion and corporate scandals in the late 1990s until 2001, affecting investor confidence and the ability of firms to raise funds. However, the increasing amounts since then signify a steady recovery that continues to hold. The U.K. issues more equity than either the U.S. or Japan, the U.S. issues more debt securities than the other two countries and that in these three countries debt issues are greater than equity issues by an overwhelming factor of almost 280-to-1. What could explain these findings Figures 1 and 2 (IMF, 2006; BIS, 2006) show that most debt issues are from corporations, and that Japanese (101.7% debt-to-equity) and European (69.6% debt-to-equity) corporations have more debt than U.S. companies (43.1% debt-to-equity). This explains why Japan and the U.K. issued lower amounts of debt compared to the U.S. during the period. Second, debt yields are lower in Japan compared to the U.S. and the U.K., and while equity yields are higher in the U.S. than in the U.K. and Japan, debt returns (5 to 11%) are higher than equity returns (-33% to almost 0%) in all three countries, and interest rates are declining. This means debt is more attractive to issuers and investors than equities. For investors, debt returns are higher, so they would rather lend their funds. For companies, debt is also cheaper since the trend for interest rates is flat to declining. Therefore, investors and corporations both prefer debt over equity. Q2: Vodafone plc Case Analysis Vodafone plc (2006: 2-3) is a London-based telecommunications company with total turnover of 29.4 billion, assets of 127 billion, and over 170 million customers worldwide, making it the biggest telecoms firm in the world. With debt of 20.1 billion and stockholders' equity of 86.9 billion, it has a debt-to-equity ratio of 23%. Net debt is 17.3 billion after taking out cash and cash equivalents. Vodafone raises funds in various currencies by issuing debt securities because it has a good financial network in London, the world's financial center. The company's policy (Vodafone, 2006: 41) is to maintain the currency of debt and interest charges in proportion with expected future principal multi-currency cashflows, which explains why 113% of its net debt is in currencies other than sterling: 73% of debt is in Euro, 21% in Yen, 14% in US Dollars, and 5% in other

Dramatic irony Essay Example for Free

Dramatic irony Essay The Inspector makes Mrs Birling expand on what should be done to the boy and Mrs Birling not realising what has happened by linking together the parts carries on, the Inspector asks, So hes the chief culprit anyhow? and Mrs Birling replies, Certainly. And he ought to be dealt with very severely-. It is now, if the audience hadnt already worked it out from when Mrs Birling about the father being a drunk, her realising from others Erics a drunk, and the Inspector wanting Eric to stay so he could see him later, that we realise from Sheilas dramatic Mother-stop-stop! Erics the father. It is such a dramatic moment, there is suspense and tension; it shocks the audience and yet Mr and Mrs Birling still dont see Eric as the father and tell Sheila to be quiet. Mrs Birling doesnt stop, shes already spoken about how the father should be made an example of and she on basically saying what should be done to her son, make sure hes compelled to confess in public his responsibility. The Inspector too confirms what she has said asks again if she is sure that that should happen, she agrees, it is then she realises, the penny drops, its Eric. Shes shocked. Mrs Birling has, in other words, told the Inspector that her son is responsible, should be made an of and confess in public without even knowing it. She has convicted her own son. This is dramatic irony as we, the audience have realised it was Eric and shes carried on sentencing him. She has matters worse, which she will eventually regret. This is such a dramatic part of the play, she has condemned her own son to the blame and also without realising killed her own grandchild I dont believe it. I wont believe it.- She will believe it. The next dramatic moment is shorter in length but still or even more, dramatic. This is the moment at the end when the Inspector has left and everyone is left questioning what has happened.  After the Inspector has left the family start blaming one another for the girls death. It is after this that Sheila, first of all and then the others question the Inspectors existence Its queer-very queer-. When Sheila says this Mrs Birling seems to understand what Sheilas thinking I know what your going to say. Because Ive been wondering myself, to which Sheila replies, It doesnt matter now, of course-but was he really a police inspector? Sheila and Eric dont think it matters but Mr and Mrs Birling clearly think it does, Well, if he wasnt, it matters a devil of a lot. Its clear that the younger generation, Sheila and Eric, have very different views form that of their parents. Sheila and Eric do not feel that it matters if the Inspector wasnt a police inspector, its what they have all done that is the important part, theyve killed a woman, He was our Inspector alright.-Eric. Gerald then returns and tells them that he has found out that the Inspector was not a real police inspector. Although they had their doubts this puzzles everyone. Gerald then has idea that all that had happened wasnt to the same girl. To confirm his thoughts he rings up the infirmary and asks if there is anyone who has committed suicide by drinking disinfectant. There is no girl. Everyone apart from Sheila and Eric are relieved and act if nothing has happened, Sheila and Eric question the way they behaved but Mr and Mrs Birling and Gerald dont care. Just when they are trying to forget, the phone rings. The drama starts when Gerald rings the Infirmary. There is a tense wait for us to know whether there is a girl, to which all this happened to, or if the things Mr and Mrs Birling, Sheila, Gerald and Eric did was all to one girl. The characters actions add to the tension we sustain, for example Birling wiping his brow, Sheila shivering and Eric clasping and un-clasping his hands, showing their nerves. No girl has died in there today. Nobodys been brought in after drinking disinfectant. They havent had a suicide for months. We are lulled into believing it is over; that the suspense has ended and there is nothing more to happen. Mr and Mrs Birding and Gerald are relieved but it is only Sheila and Eric that keep in consideration what they have done and actually seriously think about what has happened, Sheila But youre forgetting one thing I still cant forget. Everything we said had happened really had happened. If it didnt end tragically, then thats lucky for us. But it might have done. This just shows the difference of the natures of the characters. Sheila shows herself as being concerned and truly sorry for what she has done, as well as Eric. However, Gerald, Mr Birling and Mrs Birling show the totally opposite view on what has happened, they come across as selfish, cruel and arrogant people from the way they behave. An example of this is when Mr Birling says, The whole story was a lot of moonshine. Nothing but an elaborate sell! Sheila says how disgusted she is with their behaviour, Mr and Mrs Birling and Gerald carrying on not caring. Gerald tries to get Sheila back into thinking of the wedding Everything all right now Sheila. What about the ring. This is a prime example of Geralds attitude towards what has happened. Sheila-No, not yet. Its too soon. I must think. Mr Birling then says something very ironic. After all that he and his wife, the older generation, have done and the way they have acted towards this situation (terribly), he turns round and comments on the younger generation, who are clearly more sensible, caring and altogether better, and says Now look at the pair of them-the famous younger generation who know it all. And cant even take a joke. This is in response to Sheila saying no to Gerald, it is very ironic. It is now that it happens, the most dramatic part of the play. The Phone rings. It rings sharply, immediately we think the worst, is it? Has a girl been found in the same situation as Eva Smith? The actions of the characters, their moment of complete silence is very tense. Mr B. answers the phone; he talks slowly dragging the moment on. His actions are slow intensifying; he slowly puts down the phone. He looks in a panic stricken fashion at the others. The audience knows what is about to come but are still waiting for it to be confirmed. Mr Birling confirms our thoughts; a police inspector is on his way as a girl has just died after swallowing some disinfectant. This ending is very, very powerful. It changes the nature of the play as it becomes a mystery-who was the inspector? It becomes cyclical and therefore spiritual-how many more times will it happen? Will it start again when the inspector arrives?  An Inspector Calls with its dramatic moments is a very powerful play. It has skilful climaxes and wonderful twists to the plot. It is a very enjoyable play that always keeps you on edge.

Discovery Of Oil In Ghana Economics Essay

Discovery Of Oil In Ghana Economics Essay Since the discovery of oil in deep-water offshore the coast of Ghana in 2007, the nation has had amplified expectations on possible accelerated economic growth and development. This black gold if managed well has the propensity to transform a structurally week economy into a self-sustain economy or can lead to social, economic and political instability as evidenced in some resource rich countries where their economies are characterized by corruption, poverty, and conflict. As Ghana becomes a member of league of oil producing countries, it is imperative that the country considers available successful options for effective allocation of its oil windfalls. This paper examines policy instruments that the Ghanaian governments can adopt to promote rapid improvement in development indicators in order to avoid the resource curse. Now, with oil as a shot in the arm, were going to fly, Were going to really zoom, accelerate, and if everything works, which I pray will happen positively, you come back in five years, and youll see that Ghana truly is the African tiger, in economic terms for development.  [1]  This statement attributed to a former president of Ghana in 2007 upon discovery of oil in commercial quantities justifies the optimistic expectations from the government and people of Ghana on the acceleration of economic growth and development from revenues to be obtained from exploration and development of oil fields. However, countries endowed with abundance of natural resources often perform poorly in achieving their targeted economic development than those with fewer resources resulting in what is popularly known as the paradox of plenty or natural resource curse.  [2]  For most of these richly endowed countries, the dream of using revenues from oil and gas to propel economic development is shutte red due to poor governance, oil price volatility, overdependence of oil revenue and the enclave nature of the oil industry. Ghana, a resource rich country and already producing gold, diamond, bauxite, magnesium and aluminium has not been able to achieve economic stability and low poverty rate with revenues from these mineral resources. Based on current proven reserves, Ghanas production of oil from the Jubilee field is expected to reach it peak from 2013-2015 at a production capacity of 120,000 barrels per day, lasting for 20 years and a potential revenue generation of USD 1.8 billion per annum at its peak production.  [3]  Availability of both short and long term economic measures and macro-economic policies are needed to avoid the resource curse. This paper seeks to examine how the governments of Ghana can effectively manage this scarce resource (oil) in the nations quest to achieving a middle income status economy by 2020. For a proper understanding of oil exploration and exploitation, chapter two will consider the history of oil discovery in Ghana. A comparative approach method will be adopted in chapter three to analyse two diverging case scenarios of how one country (Norway) has been able to effectively manage it resources to advance economic development and the other countrys (Nigeria) failure to achieve such success. Chapter four will elaborate on how key mechanisms such as diversification of the economy, strengthening of contractual and legal framework, transparency and accountability and resource management can be used as a tool in achieving sustainable economic growth. The conclusion will be chapter five. 2. Ghana Overview: History of Oil Discovery Exploration of hydrocarbons in Ghana started in 1896 from the onshore Tano exploration in the Western Region (GPE, 2004). This initial exploration by the West Africa Oil and Fuel Company (WAOFCO) and later by the Socià ©tà © Franà §aise de Petrole in 1909 was hitched by the discovery of seepages of oil onshore by early explorers in surrounding communities onshore Tano (GNPC, 2009). The Saltpond field, which is the first major oil field in Ghana was discovered and developed by Signal Amoco in 1970 and began producing oil in 1975. A total of about 3.47 million barrels of oil was produced and 14 billion cubic feet of gas was flared between 1978 and 1985.  [4]  Three major discoveries Cape Three Points, Saltpond and North and South Tano were made from drilling of 31 wells by the end of 1980. With the nations vision of reducing crude oil importation and the provision of sustainable and reliable supply of petroleum products, Ghana Petroleum Corporation (GNPC) was established in 1983 with a mandate to continue major and sustainable exploration activities through the usage of needed technology and personnel, accelerated petroleum exploration and preventing adverse effects on the environment from petroleum exploration.  [5]  Figure 1 shows Ghanas Jubilee Oil Field. Figure 1: Ghanas Jubilee field straddles two licenses: Deep-water Tano and West Cape Three Points Map of Ghana highlighting offshore projects Source: Tullow Oil Ghana, 2012 In June 2007, GNPC together with its partners in the Jubilee field, Tullow Oil and Kosmos Energy announced the discovery of oil offshore Ghana. Tullow Oil expressed that the oil discovered offshore Ghana is one of the biggest oil finds in Africa in recent times.  [6]  Production of oil from the Jubilee field commenced in December 2010, and is estimated to contain 1.5 billion barrels of oil. Production in 2012 is estimated to be between an average of 70,000 and 90,000 barrels per day (bpd).  [7]  It is important to observe that since 2007, more offshore discoveries of oil and gas has been made with the recent discovery filed by Hess and GNPC for the Pecan-1 exploration well located in at deep-water Tano/Cape Three Points license offshore Ghana.  [8]   3. Comparative Analysis In recent years, due to the extreme variations in the standard of living of resource-rich countries, resource management has become a key element in exploration and development of natural resources. While countries such as Norway ranks very top in effective management of oil revenue, others such as Yemen, Angola, Nigeria and Chad have performed poorly in achieving economic development. Plagued in poverty, most of these countries have become rich with poor people often struggling to design appropriate resource management strategies for resource utilization.  [9]  Oil price volatility and the Dutch Disease are the two commonly known adverse effects to development path of resource endowed countries. The Dutch Disease which occurred in the Netherlands in 1970s refers to a sharp increase in the value of exported resource leading to appreciation of the local real exchange rate. This usually increases import as a result of increase in expenditure due to what is termed as petro-dollar an d makes exportation of local commodities unattractive and difficult, hence the spending effect. The shift in human resources and logistics from other sectors to the resource sector raises cost of production of other sectors creating resource pull.  [10]  A comparative analysis of Norway and Nigeria discussed is intended to offer Ghana with two practically extreme modules for guidance in avoiding the resource curse. 3.1 Norway Norway has earned a reputable position in resource management in oil and gas development. This has been labelled by many as the classical Scandinavian mechanism to tackling obstacles for long-term economic growth and development in the oil and gas industry. Norway discovered its first commercial oil in 1971 from the North Sea and considered its windfall from oil revenues as a temporal tool to insulate global economic shocks instead of stimulating present consumption. From the Norwegian Model, the government carefully and effectively disaggregated administration of petroleum development into policy formulation, commercial and regulatory arms. The separated arms included the national oil company (Statoil) which was mandated to undertake commercial oil and gas exploration and exploitation, Norwegian Petroleum Directorate (NPD) as a regulatory body responsible for control, monitoring and provision of technical support and Ministry of Petroleum and Energy directing government policies.  [11]   To sustain revenue management and wealth, total and non-oil economy separation was introduced in economic forecasting in 1973 and was strengthened by the establishment of Government Petroleum Fund, renamed as Government Pension Fund in 2006. New fiscal policy guidelines were adopted by Parliament in 2001.  [12]  All these policy instruments instituted and strictly adhered to has resulted in prudent and transparent management of oil revenue. (Insert SWF institute) The success chalked by Norway in the management and administration of revenue from oil and gas production has attracted immersed international attention and has led to the formation of the Oil for Development (OfD) by the Norwegian government. The scheme launched in 2005 aims at supporting developing economies upon request, to manage, control and achieve economic development through efficient utilization of oil revenues.  [13]  With core members such as Nigeria, Angola, Uganda, Vietnam and limited cooperation countries such as Ghana, Tanzania and South Africa, Oil for Development now cooperates with more than over 23 countries depending on area of expertise needed. 3.2 Nigeria Nigeria joined the ranks of oil producers in 1958 after it had discovered oil in commercial quantities in 1956 by Shell-BP as the sole concessionaire at the time and producing about 5,100 bpd at Oloibiri in the Niger Delta. By the late sixties and early seventies, production level had surged to over 2 million barrels of crude oil a day.  [14]  Between 1971 and 1973, Nigerias oil revenue almost quintupled due to windfalls from increasing oil prices. Nigeria as a major oil producer joined the Organisation of Petroleum Exporting Countries (OPEC) in 1971 and established the Nigerian National Petroleum Company (NNPC) in 1977 as a national oil company to manage and controlled both the upstream and downstream energy sectors.  [15]  Though sectorial and trade patterns begun showing traits of oil income by early1970s, agriculture maintain its dominance accounting for about 40% of non-oil GDP and employing about 70% of the national work force. However, this achievement was short-lived as the economy suffered severe oil syndrome propelling a sharp decline in agriculture sector, collapse of non-oil export and appreciating of the countrys real exchange rate.  [16]  These were the result of high public capital spending (an increase from 3.6% of nominal GDP in 1970 to 29.5% by 1976) leading to high GDP deficit , inflation and wage increments by the government, based on the Public Service Review Commission (the average wage for civil servants doubled with increases of up to 130%).  [17]   http://www.eia.gov/countries/analysisbriefs/Nigeria/images/oil_production_consumption.png Nigeria has failed on the path to developing clear cut oil revenue management systems to manage its windfalls. This is traced to failures on attempted management commissions such as the Niger Development Board of 1960 and the Oil Minerals Producing Areas Development Commission (OMPADEC) of 1992 due to political instabilities. The most recent commission created to salvage the country is the Niger Delta Development Commission (NDDC) in 2000.  [18]  Nigerias crude oil production capacity is currently at 1.673 million bbl/d, with recent offshore oil developments and the restart of some shut-in onshore production increasing it to an average of 2.17 million bbl/d for the month of July 2011. High levels of poverty and corruption has led to kidnappings, militants takeovers of oil facilities in the Niger Delta and pipeline vandalism since 2005.  [19]  Though currently producing below capacity, Nigerias oil production is expected to increase based on the estimated 37.2 billion barrels of proven oil reserves and a more comprehensive revenue management system envisaged from the much debated Petroleum Industry Bill.  [20]   4. Implementing Strategic Management Framework The energy sector strategy and development plan 2010 drafted by the Ministry of Energy in Ghana advocate that in order to achieve the countrys goal of sustaining oil and gas exploration, development and judicious management of accrued revenue, the ministrys plan is to manage oil and gas revenues transparently and ensure equity for the benefit of the present and future generation of Ghanaians. This will be achieved through institutional reforms and transparent regulation for the management the oil revenue through legislative guidelines for the creation of a Future Generation Fund and stabilization fund.  [21]  The challenge is how Ghana positions itself in managing and formulating policies to achieve these set goals. Subsequent chapters will be dedicated to deliberating various successful policies and management styles governing allocation of oil revenues, how much to save (Current versus Future), building economic shocks for oil price volatility and guarding against the Dutch Dis ease 4.1 Strengthening Contractual, Regulatory and Legal Framework In modern business transactions, the buyer is always guided by the traditional concept of caveat emptor let the buyer beware of the natural risk in purchasing products in the market. To this end, and more crucial in the oil and gas industry is the opposite, let the owner beware of how resource revenue management if not meticulously planned could create inequalities.  [22]  Countries such as Botswana and Norway have been able to manage their resource sectors to sustain economic growth by adapting efficient and effective contractual and legal framework. Ghana in an attempt to follow such examples has passed two crucial bills, the Petroleum Revenue Management Bill (PRMB) and the Petroleum Exploration and Production Bill 2011 (PEPB). These bills governing exploration, development and management of oil revenues are intended to strengthen and provide a comprehensive approach to the Ghana National Petroleum Corporation Act (PNDC Law 64), the Petroleum (Exploration and Production) Act (P NDC Law 84), the Petroleum Income Tax Act, 1987 (PNDC Law 188), the Internal Revenue Act 2000 (Act 592) and the Environmental Protection Act 1994 upon commercial discovery of oil in 2007. The Petroleum Revenue Management Act 2011 provides for framework for the collection, allocation and management of petroleum revenue in a responsible, transparent, accountable and sustainable manner for the benefit of the citizens of Ghana in accordance with Article 36 of the Constitution and for related matters.  [23]  Thus, the bill provides instruments for key issues such as setting up of petroleum funds, allocation and disbursement of the funds, management and investments of the petroleum funds and encumbrances and auditing of the funds.  [24]  The Petroleum (Exploration and Production) Act, also seeks to provide a robust framework for the sector for the exploration, development and production of petroleum and create an enabling environment for increased private sector participation and investment in the petroleum sector and to strengthen the regulatory framework for healthy competition and quality assurance.  [25]  By adopting Production Sharing Agreement in negotiati ng and awarding of petroleum contracts to IOCs, Ghana seeks to promote local contents and sense of ownership in petroleum production. However, it is important to state that creating these regulatory and legal frameworks alone is not the end, for Ghana to be able to be successful in promoting economic growth using petroleum revenues; it must strictly adhere to these frameworks as done in Norway and Botswana. 4.2 Transparency, Accountability and Democratic Governance Strong institutions and administrative capacity for transparency and accountability in the oil industry is an important tool in achieving the purpose of improving human lives. Independent and accountable institutions are needed to manage proceeds from natural resource revenues. As done by some countries such as Chile and Malaysia, even with relatively low institutional capacities have overturned the negative cycle and maintained social stability and accelerated economic growth.  [26]  Ghana as member of the New Partnership for Africas Development (NEPAD) which promote good corporate governance, effective regulatory framework for economic activities, corporate accountability , sound, transparent and predictable government policies should adhere to these standards in order to promote quality standard of living and reduce poverty rate. Another mechanism used in tracking the performance of extractive natural resources countries in admonishing transparency, accountability and good governance is participating as a member of the Extractive Industries Transparency Initiative (EITI). As a global standard of ensuring transparency, EITI provides all industry players (IOCs, civil society groups and international organizations) and country members with principles of upholding transparency and accountability of payment from natural resources.  [27]  Ghana together with other countries such as Norway, Nigeria and Tanzania as EITI compliant countries have been meeting all requirements in the EITI standards and must continue to do so as a measure of promoting and strengthening transparency. The democratic dispensation in Ghana is considered by far to be one of the most reliable and stable governance in Africa. Continuing this path of democratic governance and strong civil societies such as the Centre for Policy Analysis (CEP A), IMANI, Centre for Education and Policy and the Institute of Economic Affairs (IEA) in Ghana, the country can tap experience from Chile and Botswana in avoiding the resource curse. The position of transparency and accountability is confirmed in article 8.1 of the Petroleum Revenue Management Act 2011. Its state that for the purpose of transparency and accountability, the records of petroleum receipts in whatever form, shall simultaneously be published by the Minister in the Gazette and in at least two state owned daily newspapers, within thirty calendar days after the end of the applicable quarter.  [28]   4.3 Resource Management A million question usually posed by many experts is whether Ghana should spend or save windfall revenues from the oil sector. Thus, should revenue management policy be structured towards repayment of Ghanas large foreign borrowing and eradicate capital scarcity and credit spreads, invest in foreign assets through sovereign wealth fund which has the capacity of building economic shock absorbers against volatile oil prices or to invest in domestic capital which has the tendency of promoting growth and structural transformation. In the case of Norway, the government instituted the State Petroleum Fund (SPF) in 1990 to function as both savings and stabilization funds to manage macroeconomic growth and guard against oscillating oil prices. Through prudent economic managements, strong democratic institutions, transparency and conservative fiscal policies, the SPF accumulated substantial wealth which led to consistent budget surpluses and the surging popularity of the Norwegian Model.  [29]  Though economic conditions and priorities between Ghana and Norway are different, Chile a developing economy has similar economic growth and development characteristics to that of Ghana. Like Norway, Chile in 1985 established the Copper Stabilization Fund for the management of its copper revenues and its effective management led to economic booms and poverty reduction between 1990 and 1997. Ghana governments oil revenue from the Jubilee field has four components, a royalty of 5% of gross oil revenues, Ghana National Petroleum Corporation share of 13.75% as oil fields commercial net profits, an additional oil entitlement of 10-25 % of petroleum revenue, net of royalties and the GNPC interest, is accrued if the project rate of return is between 18 and 33% and government levies on company income tax on all net profits of 35 %.  [30]  For effective management of windfall revenues from oil production and drawing experience from Norway, Chile and Botswana, Ghanas Petroleum Revenue Management Act allocates government oil revenues between annual budget and sovereign wealth funds based on benchmark revenue. The Petroleum Act established a Petroleum Holding Fund with Bank of Ghana to receive and disburse all public oil revenues. From the Petroleum Holding Fund, 50-70% is allocated to consolidate the annual budget with a minimum of 70% to be used for investment in eleven prior ity areas including agriculture, human resource, education and health, security, transport and the remaining 30% for consumption. The other 30-50% from the Petroleum Holding Fund goes into the Ghana Petroleum Funds which consist of the Ghana Stabilisation Fund and the Ghana Heritage Fund. The Ghana Stabilisation Fund, constituting a minimum of 70% of the Ghana Petroleum Fund, will be used to cushion the impact on o sustain public expenditure capacity during periods of unanticipated petroleum shortfalls and the remained 30% to be invested as the Ghana Heritage Fund to provide an endowment to support the development for future generations when the petroleum reserves have been depleted.  [31]  These policies, when properly administered and supported with strong democratic institutions can eliminate Ghana from the oil curse. 4.4 Conflict Management As observed in the case of Nigeria, political instability and authority has been a key fundamental issue hindering effective management of oil revenue. This is to say that though the promise of piece of share of the oil cake keeps the nation together, its distribution has plunged the country into political, social and economic instability resulting in high levels of poverty and corruption, militants takeovers of oil facilities and vandalism in the Niger Delta.  [32]  Similar cases are spread across the Middle East where poor management of oil revenue has led to polarization of the economy and economic laxity. Although Ghanas commercial oil discoveries have been made in deep water offshore Western Region, the fact still remains that region is most likely to suffer more in the case of oil spillage. Environmental safety trust funds and care must be taken to avoid social disruptions. From Ghanas own experience, towns such as Obuasi and Akwatia which are well known for the extraction of gold and bauxite have seen little development with respects to the national revenue generated from the area. As a result, there are important discussions on the need to establish Western Region Development Fund to cater for a more responsive regional development to avoid undesired sentiment of marginalisation and alienation. 4.5 Diversification and sustainable Economic Policy A key challenge of windfall revenues is how to avoid or minimize the possible negative effect that spending from oil revenues could have on the non-oil sectors of the economy. This negative effect usually leads to shrinking of non-oil sector by shifting production from exports while imports stay the same, shifting production from import substitutes goods and creating additional imports of goods and services. Unlike Nigeria which has seen a near collapse of export from the agricultural sector after discovery of oil, Indonesia has achieved tremendous improvement in agricultural production.  [33]  Other countries such as Angola, Iraq and Equatorial Guinea have also performed poorly in sustaining agricultural development and food security. Agriculture, services and manufacturing sectors are relatively labour-intensive, with agriculture alone employing about 65% of the work force in most developing countries as compared to the extractive industry , Ghana as a major exporter of cocoa, gold and a relatively growing manufacturing sectors should continue to diversify its productions to build a robust economy capable of sustaining oil price volatility. 5. CONCLUSION Ghana, like other developing countries can effectively manage its oil revenue and use the windfalls as an engine for accelerated development through sustainable planning from upstream, midstream and downstream activities. Major challenges for the country would be how to develop the oil and gas industry with optimal local content and participation, how to provide security for the industry and the overall management of potential revenue from oil and gas production. From a lot diverging experiences, Ghana can only do better in areas many countries have failed in relation to the management of exploration and exploitation of crude oil. Given the fact that crude oil and gas as natural resources are exhaustive and temporary, the broad objective of the country should be to use revenues accrued from oil production in support of the non-oil productive sectors in order to achieve a diversified and stable economic growth. The set-up of the national petroleum regulatory authority responsible for the regulation of all petroleum activities and the creation of a future generation fund and stabilization fund to ensure transparency and equity of benefit for both present and future generations are good initiatives. To maximize potentials from the oil industry, these initiatives should be cushioned by building a supporting human resource capacity, technological transfer and strong contractual, regulatory, legal frameworks.

Organization resource management

Organization resource management ‘The organization resource management may be defined as the composition of people and tools in any organisation for the attainment of the organisational goals. The organisation resource management in star bucks company has achieved greater heights by planning, organising and controlling the resources available within the organisation to achieve its goals. Starbucks is one of the best known and fastest growing companies in the world. Set up in 1971, in Seattle, the company grew slowly initially, but expanded rapidly in the late 1980s and the 1990s. By the early 2000s, the number of outlets reached to about 3000 from 9000 outlets . It was widely believed that the companys success and rapid growth could be attributed largely to its committed and motivated workforce. This ensured that employees remained motivated, and Starbucks had a relatively low employee turnover However, in the early 2000s, the company faced the challenge of finding and retaining the right number and kind of employees to man its future growth. In January 2005, when Starbucks Coffee Company (Starbucks) was placed second among large companies in the Fortune Best Companies to Work For survey Despite the fact that employees, especially those on the frontline, are critical to the success of retail businesses, most companies do not have a strong relationship with their employees, and consequently suffer from a high rate of employee turnover (In the early 2000s, employee turnover in the retail industry was around 200 percent). In this scenario, Starbucks stood out for its employee-friendly policies and supportive work culture. The company was especially noted for the extension of its benefits program to part-time workers something that not many other companies offered. As a result, Starbucks employees were among the most productive in the industry and the company had a relatively low employee turnover. However, by the early 2000s, three possible problems had to be considered would the company be able to support its staff with the same level of benefits in the future, given the large increase in the number of employees; would the company be able to retain employees if it made any move to lower its human resource costs by cutting down on benefits; and would Starbucks be able to maintain its small company culture, an important element in its past growth. Starbucks realized early on that motivated and committed human resources were the key to the success of a retail business. Therefore the company took great care in selecting the right kind of people and made an effort to retain them. Starbucks recruitment motto was To have the right people hiring the right people. Starbucks hired people for qualities like adaptability, dependability and the ability to work in a team. The company often stated the qualities that it looked for in employees upfront in its job postings, which allowed prospective employees to self-select themselves to a certain extent. Having selected the right kind of people, Starbucks invested in training them in the skills they would require to perform their jobs efficiently. Starbucks was one of the few retail companies to invest considerably in employee training and provide comprehensive training to all classes of employees, including part-timers Analysts said that Starbucks biggest challenge in the early 2000s would be to ensure that the companys image as a positive employer survived its rapid expansion program, and to find the right kind of people in the right numbers to support these expansion plans. Considering the rate at which the company was expanding, analysts wondered whether Starbucks would be able to retain its spirit even when it doubled or tripled its size. By the early 2000s, the company began to show signs that its generous policies and high human resource costs were reflecting on its financial strength. Although the company did not reveal the amount it spent on employees, it said that it spent more on them than it did on advertising, which stood at $68.3 million in fiscal 2004. That the company was finding its human resource costs burdensome was reflected in the fact that it effected an increase of 11 cents on its beverage prices in mid-2004. Analysts wondered whether the companys cost problems could be met by a price increase, as customers already paid a premium for Starbucks beverages. On the other hand, it would not be easy for the company to cut down on benefits, as it could result in a major morale problem within the company. A strategic HR plan lays out the steps that an organization will take to ensure that it has the right number of employees with the right skills in the right places at the right times. HR managers begin by analyzing the companys mission, objectives, and strategies. Starbucks objectives, for example, include the desire to â€Å"develop enthusiastically satisfied customers† as well as to foster an environment in which employees treat both customers and each other with respect. Thus, the firms HR managers look for people who are â€Å"adaptable, self-motivated, passionate, creative team members Job Analysis To develop an HR plan, HR managers must obviously be knowledgeable about the jobs that the organization needs performed. They organize information about a given job by performing a job analysis job analysis Identification of the tasks, responsibilities, and skills of a job, as well as the knowledge and abilities needed to perform it. to identify the tasks, responsibilities, and skills that it entails, as well as the knowledge and abilities needed to perform it. Managers also use the information collected for the job analysis to prepare two documents: †¢A job description job description Outline of the duties and responsibilities of a position., which lists the duties and responsibilities of a position †¢A job specificationjob specificationDetailed list of the qualifications needed to perform a job, including required skills, knowledge, and abilities., which lists the qualifications—skills, knowledge, and abilities—needed to perform the job Training Regular training to the stuff was the most important key to the success of the company the employees were on a regular knowledge of the latest equipments used in the company. The company spends loads of sum on training of employees. This Mkes the employees more efficient and effective in their tasks. Advantages of training Staff become more competent at their jobs Staff become moer flexible Staff motivation increases Increased productivity Changes become easier to introduce Fewer accidents The organisations image improves eg when dealing with customers Reduced waste Disadvantages of training Once fully trained, staff may leave for better paid jobs Financial cost of training may be high Work time is lost when staff are being trained Quality of training must be high for it to have a positive effect

Macbeth, King Lear and Much Ado About Nothing :: English Literature Essays

Macbeth, King Lear and Much Ado About No Shakespeare writes his plays to teach a moral story, of behavior and love. The three plays, King Lear, Much Ado About nothing, and Macbeth, the parents are very stubborn and their views are very narrow toward their children. The children know that they are treated poorly but love their parents although they have many faults in trust and love. Each play ends with a loving relationship because thoughts about one another is cleared up and they live happily ever after. King Lear, has many valuable points. Shakespeare emphasizes the importance of love between family members by showing how much harm disloyal or unloving family members can cause. King Lear cruelly abuses his most loving daughter, Cordelia, simply because she admits that her love for her father is limited: "Unhappy that I am, I cannot heave my heart into my mouth. I love your Majesty/ According to my bond, no more nor less." This truthful declaration by Cordelia leads to her disinheritance. However, despite this rejection, Cordelia continues to stand by her father's side and defend him in his time of need against Regan and Goneril. Now that they have their land and power, these disloyal sisters won't care for or even support their father. In fact, the two are now so greedy and disloyal that they wish to have Lear murdered. In effect, Lear, Goneril and Regan are very much alike: their failure to love family members causes great pain, first for themselves and then for others. Lear treats Cordelia poorly because he does not realize that he has mistrusted his only true daughter. This mistrust comes from the fact that Lear believed Regan and Goneril when both professed their love for him. However, neither is honest. Toward the end of the play, Lear realizes that he has been very unfair to Cordelia, and that the other two sisters have misled him. Cordelia, however, remains true to Lear, as she respects the relationship between them although he does not. Shakespeare expects family members to be true to one another and have a solid trust in each other. Lear doesn't do what Shakespeare expects: he no longer loves Cordelia after she confesses she loves him only to the extent a daughter should. All of his love is for Regan and Goneril because both of them tell their father what he wants to hear: that they love him more than anyone in the world. Macbeth, King Lear and Much Ado About Nothing :: English Literature Essays Macbeth, King Lear and Much Ado About No Shakespeare writes his plays to teach a moral story, of behavior and love. The three plays, King Lear, Much Ado About nothing, and Macbeth, the parents are very stubborn and their views are very narrow toward their children. The children know that they are treated poorly but love their parents although they have many faults in trust and love. Each play ends with a loving relationship because thoughts about one another is cleared up and they live happily ever after. King Lear, has many valuable points. Shakespeare emphasizes the importance of love between family members by showing how much harm disloyal or unloving family members can cause. King Lear cruelly abuses his most loving daughter, Cordelia, simply because she admits that her love for her father is limited: "Unhappy that I am, I cannot heave my heart into my mouth. I love your Majesty/ According to my bond, no more nor less." This truthful declaration by Cordelia leads to her disinheritance. However, despite this rejection, Cordelia continues to stand by her father's side and defend him in his time of need against Regan and Goneril. Now that they have their land and power, these disloyal sisters won't care for or even support their father. In fact, the two are now so greedy and disloyal that they wish to have Lear murdered. In effect, Lear, Goneril and Regan are very much alike: their failure to love family members causes great pain, first for themselves and then for others. Lear treats Cordelia poorly because he does not realize that he has mistrusted his only true daughter. This mistrust comes from the fact that Lear believed Regan and Goneril when both professed their love for him. However, neither is honest. Toward the end of the play, Lear realizes that he has been very unfair to Cordelia, and that the other two sisters have misled him. Cordelia, however, remains true to Lear, as she respects the relationship between them although he does not. Shakespeare expects family members to be true to one another and have a solid trust in each other. Lear doesn't do what Shakespeare expects: he no longer loves Cordelia after she confesses she loves him only to the extent a daughter should. All of his love is for Regan and Goneril because both of them tell their father what he wants to hear: that they love him more than anyone in the world.