...Enterprises based on different market, cultural, economic and other elements in all countries give a different answer from both in theory and practice. This essay will briefly review the two main points of view and arguments. Then, according to the requirements of the distribution of issue, it will analysis the reason why Anglo Corporations must focus on shareholders, and discuss the characteristics and influence of the management mode with the priority of shareholders. Finally, this paper attempts to evaluate the above views and practices, and gives the appropriate recommendations. All of the above discussion will be carried out under the background and support of corporate governance theory. 1. Literature Review The essence of the problem that who takes priority between shareholders and stakeholders is: the purpose of corporate governance is to realize whose interests, in other words, whom you did it for is the most important issue. On this issue, there are two controversial and representative views. The theory of "shareholders priority" takes the maximization of shareholder`s value as the goal of corporate governance, which is based on the theory of " capital employed labor ", principal-agent theory and the unilateral governance of shareholders. On the contrary, the theory of "stakeholders priority " takes the maximization of interests of stakeholders as the objective of corporate governance, and advocates the common governance of stakeholders, which is based on stakeholder theory...
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...RMIT International University Vietnam Bachelor of Commerce Program Assignment Cover Page Subject Code: BUSM3311 Subject Name: INTERNATIONAL MANAGEMENT Location & Campus (SGS or HN) RMIT SGS Campus where you study: Title of Assignment: Report Proposal File(s) Submitted: BUSM3311_G4_A1_s3192820_PhanThu yChau Student names: Phan Thuỵ Châu Student Numbers: s3192820 Lecturer and Group number: Mr. Dung Huynh Group 4 Assignment due date: 5pm 23rd March 2012 Date of Submission: 22nd March 2012 Late Submission Approval: NI Number of pages including this one: 12 pages Word Count: 1099 (Main Content) BUSM3311 – International Management [REPORT PROPOSAL] Table of Contents A. Objective.............................................................................................................................................................3 B. Potential Market Analysis ........................................................................................................................4 C. Business Model ...............................................................................................................................................5 1. Foreign Acquisition: ...................................................................................................................................5 2. Going alone: Greenfield Entry:...............................................................................................................6 D. Environmental Issue ..........
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...Background of insurance industry of bd Insurance is not a new idea or proposition to the people of Bangladesh. About half a century back, during the British regime in the then India, some insurance companies started insurance business, particularly life, in this part of the world. Since 1947 until 1971 insurance business gained momentum in this part of what was then known as East Pakistan. There were about 49 companies transacting both life and general insurance business. These companies were operating under a free competitive economy. After the emergence of the People’s Republic of Bangladesh in 1971, the government, in order to make available the fruit of liberation to the general mass, nationalized the insurance industry along with the banks in 1972 by Presidential Order No. 95. By virtue of this order, save and accept postal life insurance and foreign life insurance companies (other than the Pakistani companies), all companies and organization transacting all types of insurance business in Bangladesh came under this nationalization order. At the same time, five insurance corporations were initially established by the Government, viz, Jatiya Bima Corporation (National Insurance Corporation), Teesta Bima Corporation (Teesta Insurance Corporation), Karnaphuli Bima Corporation (Karnaphuli Insurance Corporation), Rupsa Jiban Bima Corporation (Rupsa Life Insurance Corporation), Surma Jiban Bima Corporation (Surma Life Insurance Corporation). On 14th May, 1973 the Insurance Corporation...
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...Modigliani–Miller theorem From Wikipedia, the free encyclopedia The Modigliani–Miller theorem (of Franco Modigliani, Merton Miller) forms the basis for modern thinking on capital structure. The basic theorem states that, under a certain market price process (the classical random walk), in the absence of taxes, bankruptcy costs, agency costs, and asymmetric information, and in an efficient market, the value of a firm is unaffected by how that firm is financed.[1] It does not matter if the firm's capital is raised by issuing stock or selling debt. It does not matter what the firm's dividend policy is. Therefore, the Modigliani–Miller theorem is also often called the capital structure irrelevance principle. Modigliani was awarded the 1985 Nobel Prize in Economics for this and other contributions. Miller was a professor at the University of Chicago when he was awarded the 1990 Nobel Prize in Economics, along with Harry Markowitz and William Sharpe, for their "work in the theory of financial economics," with Miller specifically cited for "fundamental contributions to the theory of corporate finance." Contents [hide] * 1 Historical background * 1.1 Without taxes * 1.2 With taxes * 2 Notes * 3 References * 4 External links | ------------------------------------------------- Historical background Miller and Modigliani derived the theorem and wrote their groundbreaking article when they were both professors at the Graduate School of Industrial Administration (GSIA) ofCarnegie...
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...The Super Project Case Analysis Dilemma of incremental analysis [Author Name] General Foods is a large corporation organized by Product lines. Corporation was planning to introduce a new product Super – a new instant dessert, based on flavored, water-soluble, agglomerated powder. Super would be offered in four flavors although chocolate was estimated to account for 80% of total sales. The requested capital investment for Super was $200,000, and its production would take place after modifying an existing building, where Jell-O was manufactured and by using available capacity of Jell-O agglomerator. Cost for the key machine was not included in the project. On the basis of test market experience, once the product is introduced, it was expected to capture a 10% of dessert market share, 80% of which would come from growth in total dessert market share and 20% of which would come from erosion of Jell-O sales. There are basically four categories of capital investment project proposals at General Foods corporation: (1) safety and convenience; (2) quality; (3) increase profit; and other. Super project was considered into third category, as a profit-increasing project. Crosby Sanberg, a manager of financial analysis at General Food Corporation calculated return on investment in three different ways of on Super Project. The first technique was Incremental basis, which projected Super project would have an attractive return of 63% in 7 years, which in-turn could directly identify with...
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...Legal Forms of Business Law 531 April 5th, 2012 Legal Forms of Business Once one makes a choice to start a business, the next decision is under which legal form that business should operate. The selection is dependent on factors like the ease and cost of creation, the capital necessities, management style, government limitations, personal liability, and tax considerations (Cheeseman, 2010). It is important to make sure whichever legal form of business one chooses is in line with the best interests for his particular venture. The following will provide a basic scenario in which a business owner needs to decide which legal form of business best suits his or her needs along with an explanation of that choice. A sole proprietorship is the least complex business form. Scenario: Lucas just graduated from college with a degree in art. He has long wanted to be an interior decorator. He has student loans to pay back, but feels as though he can provide decorating services to consumers and make some money. He does not know anyone with an art background, so she will be providing these services alone. In the scenario above, it would be appropriate for Lucas to start a sole proprietorship. This form is cheap and easy. Lucas does not have a lot of money and he is eager to get started quickly. Quick start up is achievable because there are essentially no formalities. Aside from obtaining a license that is required in some local governments, no state or federal approval is necessary...
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...Blacks in Business/ Black billionaires The Declaration on the Elimination of Discrimination against Women was adopted by the general assembly in 1967, and was a huge step towards equal rights for women. In the same time period, Martin Luther King was assassinated and the black civil rights movement placed strong roots in the streets of America. When Forbes 400 first came out in 1982, there were only 12 billionaires on the list that year, none of them neither women nor blacks. The most current list (2013) of the world’s billionaires contains 1.426 names. Seven of these are black, a number that equals 0.49 percent of the total number. On the other hand, the number of women on the same list is 138, which equals 9,68 percent. So, for the last 50 years the two groups reached a very different outcome. Although there are several possibilities for why blacks are a minority in the one- percent group of the financial world, racism itself is the root of this worldwide problem. However, these numbers show us the elite of the world’s business people. To get a better understanding of the real differences between black and white businessmen we have to investigate the first steps towards entrepreneurships and the factors that come to play regarding racial differences. In the United States there is a big gap in the success-rate between black and white-owned businesses. This is a major concern for blacks in business because a sole proprietorship has historically been a method for economic...
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...Unconditional standing requirement. EXPANDED DESCRIPTION OF THE COURSE AND INSTRUCTIONAL METHODS: A. Expanded Description of the Course: This course reinforces the basic concepts of financial management. The course provides an in-depth discussion of key topics that are critical to financial management: (1) the goals of the firms, (2) financial statement analysis, planning, and forecasting, (3) working capital policy and management, (4) capital budgeting techniques without and with risk, (5) capital structure theory and application, (5) the cost of capital estimation, and (6) long-term financing decisions. In addition, the course examines issues such as lease financing, merger and acquisition, and international financial management. B. Instructional Methods: The delivery system throughout this course will be a combination of class discussion and case analysis. The case analysis will be both in a written format and oral presentation. The amount of lecture will be limited to detailed coverage of concepts pertaining to each individual case. REQUIRED BACKGROUND OR EXPERIENCE: A. Prerequisites: Fundamental of Financial Management (GBA 546), all required 500-level courses, and microcomputer proficiency. If a basic finance course was taken more than three years ago, students are strongly urged to retake GBA 546 again. Conditional, unclassified , or open university students are not...
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...operating management based on contribution to the investment. The Article IV in Corporate Law of china also regulate the shareholder’s rights. There are widespread debates and discussions about the characteristics of stock ownership for it’s significance to solve the problems with in the government-owned enterprise and the shared corporation, especially after the reformation in 1990s.The community rights theory holds most supporters, and it’s being taken as a popular theory. General summary and superiority of community rights theory This theory holds the view that the identity of community member in profit community is the fundamental prominent of shareholder’s rights, namely that shareholder’s rights is one of the community rights. The community rights theory was proposed by German scholar Renaud in 1875, and it divided into two main streams(single rights theory and the collective rights theory), acting as a significant academic theory in the continental legal system. The nature of equity always links to the characteristics of corporation property rights. All the investors gather their capitals to form the corporation, thus consisting of corporation property rights, the shareholder gets equity according to their donating. The equity and the...
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...CHAPTER I INTRODUCTION 1. Background of Case Study Selection Differentiated strategy is the strategy pursued by the company to produce products that are different or unique compared to competitors' products. Researchers are interested in doing research on the company because researcher wanted to learn more about controls for differentiated strategies, both theoretical and practical. Minnesota Mining & Manufacturing Corporation (3M) is one of the companies that have successfully implemented differentiated product strategy that gives priority to innovation as a competitive advantage offered. This company believes that innovation to be the cornerstone of 3M’s future success. Current management has continued to embrace and expand these policies and philosophies. That is why researchers interested in evaluating policies and 3 M that philosophy is based on the innovation in the implementation of the strategy of differentiation 2. Motivation Motivation researchers conducted a study of control for differentiated strategies in Minnesota Mining & Manufacturing Corporation (3M) because the researchers wanted to know more about the factors that influenced the design of the system and also the policies and philosophy rooted in the innovations made by 3M Corporation. By studying and examining the existing policy and philosophy that is rooted in innovation from the company, researchers can get a clearer picture of how to do a proper evaluation and what steps...
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...accommodating rooms, convention room and private pub, I will be able to turn it into a successful Inn. Shopping and hospitals are located about 15-20 miles from the property for those who enjoy a shopping experience or for those who might be in need of medical assistance. I will offer and serve breakfast which will be complimentary and dinner at extra charges. Kayak and ski rentals will be available upon request as well as a local trained and certified hiking guide for those guests who are not familiar or comfortable venturing the mountains alone. With the State revenue coming in and my managerial background, this hotel will be successful. I invite you, the reader, to stay there a weekend and understand why it is such a popular place to visit. I promise you will not forget your experience. Section 2 – Company Background Company Background The Great Outdoor Experience Hotel is located in the...
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...U.S. Company in the world and it participates in three very profitable industries: Mining/Crude-Oil industry, Petroleum Refining, and Chemicals. Exxon Mobil is a multinational oil and gas corporation. They have evolved over the past 125 years as a regional marketer of kerosene in the U.S. to the largest publicly traded petroleum and petrochemical enterprise in the world. Today Exxon Mobil operates in most of the world's countries and is best known by their familiar brand names: Exxon, Esso and Mobil. They make the products that drive modern transportation, power cities, lubricate industry and provide petrochemical building blocks that lead to thousands of consumer goods. Exxon Mobil was founded by John Rockefeller and his associates in 1870 originally named standard oil company. By 1882 Standard Oil Company was renamed Standard Oil Company of New Jersey (Jersey Standard) and the Standard Oil Company of New York (Socony). Standard Oil broke up into 34 unrelated companies after a U.S. Supreme Court ruling, including Jersey Standard, Socony, and Vacuum Oil. After 100 years in business the company went through yet another name change to Mobil Oil Corporation. In 1972 Jersey Standard becomes Exxon Corporation. In November 30, 1999, Exxon and Mobil join together to become Exxon Mobil Corporation. The merger increased their ability to be a more effective global competitor in the volatile economy and in an industry that is very competitive. In 2005 both Exxon Mobil and Qatar Petroleum...
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...Managerial Analysis General Electric Company (GE) . Principles of Management (MGT 1120) Name: Caleb M Bruce Date:11/30/2015 Company Background 1. General Electric Company (GE) international headquarters is located in Fairfield, Connecticut 06828 at 3135 Easton Turnpike. Being among the largest multinational corporations, it conducts business internationally in Angola, Australia, Brazil, Canada, China, Indonesia, Korea, and the United States of America as well as in six of the seven continents and in over 170 countries worldwide. 2. General Electric Company offers many products and services. GE provides financing to and for other growing organizations. This organization is key to the infrastructure of the global economy by providing billions of dollars to funding of other organizations. This organization also builds and produces appliances such as clothes washers, and dryers, dish washers, refrigerators and much more on an everyday consumer level to a corporate consumer level. They also are a big influence in lighting from how the electricity is transferred, to the bulb itself. They also produce power systems so large or home facilities can operate. Mainly with electric providing power generator support. Ge makes extensions into their aviation and automotive fields by building engines for the forms of transportation. 3. One of the original founders of GE is Thomas Edison in the year 1890. Entrepreneur Thomas Edison brought multiple of his companies together...
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...Practices of Chevron Dwayne D. Pavelka MGT 330 Management for Organizations Instructor: Richard Allen March 9, 2015 Management Practices of Chevron There are basically five basic management practices that are implemented in the workplace for a majority of businesses: planning, leading, organizing, staffing, and controlling (Baack, Reilly& Minnick, 2014). In order for a business to maintain some decorum of profitability, the management of the company must consistently review all aspects of this practice. Chevron is a large oil and gas corporation with a global presence. With a corporation comprised of many business units, it is imperative management remain in constant motion with regard to the five basic management practices and pay strict attention to sudden shifts or changes in these particular areas. Chevron is a world leader in this industry and in order for the corporation to remain high up in the rankings of similar corporations; they must exceed the standard in all aspects of their business. Planning is high priority at Chevron. With decrease in the demand of oil and the inventories rising as opposed to being distributed to production companies to process the oil for usage as well as the production of gasoline, Chevron has found it necessary to prepare for this price decrease. While in the process of their planning, they were analyzing models with statistics and potential projections that would offer a glimpse of turn-around in the market prices. Reports have...
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...Net Present Value and Capital Budgeting Course Module in Introductory Finance Course Modules help instructors select and sequence material for use as a part of a course. Each module represents the thinking of subject matter experts about the best materials to assign and how to organize them to facilitate learning. Each module recommends four to six items. Whenever possible at least one alternative item for each main recommendation is included, as well as suggested supplemental readings that may provide a broader conceptual context. Cases form the core of many modules but we also include readings from Harvard Business Review, HBS background notes, and other course materials. Click here to add the full list of materials to your library (you must be logged in as a registered user. Not registered? Sign up now.) 1. Overview of suggested content (HBS case unless otherwise noted) Title Author Product Number Publication Year Pages Teaching Note 1. Time Value of Money Introduction Buying Time (HBS online tutorial) Kaplan 104708 2005 -- -- Alternative: Introduction to Accumulated Value, Present Value, and Internal Rate of Return Hammond 173003 1972 10p -- Valuing Capital Investment Projects Kester 298092 1997 5p 204152 Alternative: Tree Value Ruback 201031 2000 3p 202018 Luehrman 207121 2007 6p 209156 Luehrman & Abelli 4212 2010 8p 4213 Piper & DeVolder ...
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