...BUSINESS CIRCLE THEORY INTRODUCTION. The term business cycle (or economic cycle or boom-bust cycle) refers to economy-wide fluctuations in production, trade and economic activity in general over several months or years in an economy organized on free-enterprise principles. The business cycle is the upward and downward movements of levels of GDP (gross domestic product) and refers to the period of expansions and contractions in the level of economic activities (business fluctuations) around its long-term growth trend. These fluctuations occur around a long-term growth trend, and typically involve shifts over time between periods of relatively rapid economic growth (an expansion or boom), and periods of relative stagnation or decline (a contraction or recession).Business cycles are usually measured by considering the growth rate of real gross domestic product. Despite being termed cycles, these fluctuations in economic activity can prove unpredictable. History A BASIC ILLUSTRATION OF ECONOMY/BUSINESS CIRCLE. Theory The first systematic exposition of periodic economic crises, in opposition to the existing theory of economic equilibrium, was the 1819 Nouveaux Principes d'économie politique by Jean Charles Léonard de Sismondi. Prior to that point classical economics had either denied the existence of business cycles, blamed them on external factors, notably war, or only studied the long term. Sismondi found vindication in the Panic of 1825, which was the first unarguably international...
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...1.5.2 Defining ‘cross-cultural management’ Unsurprisingly, there is no one clear or definitive answer to the question of what defines cross-cultural management. The answer depends on which perspectives on ‘management’ and the relation of this process to ‘culture(s)’ we choose to emphasise. Mead and Andrews define cross-cultural management as the ‘development and application of knowledge about cultures in the practice of international management, when the people involved have different cultural identities’ (Mead and Andrews, 2009: 16). This can be compared with the definition given by Laurie Jackson in his book International HRM: A Cross-Cultural Approach (2002). He emphasises the importance of ‘examining the contributions of different cultures in interaction’. This emphasis on the complexities of ‘interaction’ or ‘communication’ between ‘cultures’ (i.e. groups of people or stakeholders) is one shared by Mead and Andrews, and it is developed throughout this course, where we discuss several case studies from the field of human resource management (HRM) and international human resource management or IHRM (cf. Briscoe and Schuler, 2004; Harris, et al., 2003). The text Cross-cultural Marketing, edited by Rugimbana and Nwankwo (2003, from which you’ll be reading in Unit 5) highlights the importance of communicating one’s cultural identity in international and cross-cultural management. The book eschews the traditional practice of asking how far marketing ideas that...
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...working. Within this definition, there are two aspects which might be seen as the most significant elements of training. At first, the fact that training is supposed to be planned and systematic needs to be highlighted. Moreover, the second aspect to be highlighted is related the objective of training, which is described as enhancement of specific work-related abilities. A simple but systematic model which captures the characteristics of training and development described above is the so called training cycle. It is characterised by displaying training not as a single and occasional event with a fixed starting and end point, but as a continuous process and an infinite circle. (Tayler, 1991) Since the 1970s and to the present the training cycle is the conventional model for organisational training and development. Originally and referring to Armstrong (2001), Donelly (1987) as well as Kenney & Reid (1986) the training cycle can be divided into four stages. As a first step in the cycle, training needs need to be analysed in order to specify which skills or knowledge are required but missing within the organisation or individual employees. The second step refers to the design of training programmes. After the training needs are analysed, a training is designed based on the required skills or knowledge, including the development of a training plan. The third stage describes the...
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...resource NBER Macrohistory Database would be an excellent choice to examine the economic state of some countries during and after one of the most significant wars in history. The site covers a variety of data records including business cycles, job creation, job data, and the status of import dealings, segregation, and even children’s health. The study of the causes and effects of the war are truly remarkable. A majority of the statistics were dealt with on a quantitative level with facts and little decisions of personal opinions about the war. This resource is a great source of study for the plethora of data about the world at war. The concepts pertaining to the benefits of the trade are very understandable, yet seem to be extremely selfish and somewhat cutthroat altogether. At the end of the day, it is all about supply and demand, which makes it smart business. Quantitative research provides information about the future based on past trends. The Bureau of Economic Analysis generates various closely inspected economic data that impacts the decisions of civil servants, enterprises, and individuals. They provide an expansive up-to-date image of the United States economy. The bureau is a part of the United States Department of Commerce which provides analysis on input, output, savings, investments and balances of payments from various regions or sectors of the country. The predictions and decisions...
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...Chapter: 3 3.1 Introduction of the Tools Used by the Jet Airways……………………………………11 3.2 Solution Taken by the company ………………………………………………………..12 3.3 Alternative solution………………………………………………………………………12 3.4 Impact of success ………………………………………………………………………...13 Chapter: 4 4.1 SWOT Analysis of the Approaches Used by the Company…………………………..13 4.2 Comparing the Company’s Adopted model with other model………………………..14 4.3 Finding from the Comparison Results………………………………………………….15 4.4 Recommendations………………………………………………………………………...16 Chapter: 5 5.1 Introduction of strategy…………………………………………………………………..16 5.2 Strategies adopted to illustrate your suggestions are appropriate…………………….16 5.3 Implementation of your recommendation model against Organizational Problem or Issues…………………………………………………………………………………………….17 Conclusions……………………………………………………………………………………...18 PROBLEM SOLVING AND DECISION MAKING IN JET AIRWAYS Chapter: 1 1.1 Introduction The Problem Solving and Decision making process focuses on the competencies for effective problem analysis and evaluation for problem solving. It includes process like finding the root causes, generation solutions with alternatives and making appropriate decisions. The issues occurred in Jet Airways are analyzed using models and solutions are generated for that. The report...
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...Assignment 3 Question 1 According to Irving Fisher, “money illusion” caused business cycles. Briefly explain. Fisher’s usage of the term money illusion is used to differentiate the real interest rates to nominal interest rates. This term basically defines consumer’s inability to realize the difference in a nominal term of a dollar to a purchasing power of a dollar, which takes into account of the inflation rate. In other words, people did not realize about the effects of inflation on their standard of living and purchasing power. For example, people were just happy with nominal increase of their wages, even though they were losing out due to bigger inflation rate. This could have been due to lack of financial education and price stickiness spotted from goods and services. Fisher believed that money illusion is somewhat the cause of business cycles. Whenever the economy is in a state of booming there follows high inflation. This causes the nominal interest rates to rise, and hence make businesses to feel that the real interest rates are also high, leading to less borrowing and investments. This however, pulls the economy down and gradually slows the economy leading to a vicious cycle. This pattern is the same for the vice versa situation. Expansions and contractions in an economy create money illusion in the process and stop each stage and reverse the economic activities. With expansionary and contractionary phases, banks have to make corresponding judgment and alter their...
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...economic environments on business activities within a selected organisation. M2: Compare the challenges to selected business activities within a selected organisation, in two different economic environments. This assignment is asking me to describe the influence of two contrasting economic environments on business activities within a selected organisation. Nike is a global brand specialising in the design and manufacture of athletic apparel, footwear, accessories and equipment; it is headquartered in the United States, Europe, and the Asia Pacific Region. Its products are available through over 20,000 retail outlets, including those in its own footfall outlets, e.g. Nike Factory stores. This study considers the contemporary business environment of Nike using a PESTLE approach, paying particular attention to any human resources management (HRM) issues that may arise under each heading. Overall, it is argued here that Nike has attempted to address various business and social challenges by harmonising its value proposition to ‘Consumers, shareholders, business partners, employees, and the community.’ There are many external environmental factors that can affect your business. It is common for managers to assess each of these factors closely. The aim is always to take better decisions for the firm’s progress. Some common factors are political, economic, social and technological (known as PEST analysis). The political factors...
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...built correctly can support agile organizations and can transform as the organization and its business transforms. Software that effectively meets client’s needs will help an organization become more productive and enhance decision making. Software that does not meet client’s needs may have a damaging effect on productivity and can even cause a business to fail. Employee involvement along with using the right implementation methodology when developing software is critical to the success of an organization History The Systems Life Cycle (SLC) is a type of methodology used to describe the process for building information systems, intended to develop information systems in a very deliberate, structured and methodical way , reiterating each stage of the life cycle. The systems development life cycle, according to Elliott & Strachan & Radford (2004), " originated in the 1960s, to develop large scale functional business systems in an age of large scale business conglomerates. Information systems activities revolved around heavy data processing and number crunching routines" . Several systems development frameworks have been partly based on SDLC, such as the Structured Systems Analysis and Design Method (SSADM) produced for the UK government Office of Government Commerce in the 1980s.Eversince, according to Elliott (2004), " the traditional life cycle approaches to systems development have been increasingly replaced with alternative approaches...
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...unemployment, expectation, consumer income, and interest rates. The following is an analysis of how each factor is performing at the present moment and how each of these factors are connected and can effect each other in determining what decisions need to be made for the U.S. government going forward. Unemployment Fiscal policy plays an important role with unemployment. The current economic model is one in which " unemployment can arise, but can be mitigated by tax cuts and public spending increases" (Princeton University, 2014). The problem with this method is that it is financed with government debt and can be fiscally costly in the long run. In terms of model perspective, the Keynesian and Classical models differ in their treatment of unemployment. The Keynesian model views unemployment as the normal state because it is part of the business cycle. It holds that the government must get involved to change the situation. AS is horizontal, and government intervention may be required to reach target outputs. Current fiscal policies to improve this type of unemployment are deficit spending and monetary policy. The Classical theory, on the other hand, treats unemployment differently. It seems full unemployment as the norm and as the level it will return to long term. It occurs in a situation where there are not enough jobs available for the amount of people who need one. The AS curve is vertical for the Classical theory. It can be ineffective because of the lack of flexibility in the...
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...evolutionary, cyclical, and fundamentalist theories and demonstrates why it is important to looking beyond the popularly accepted knowledge about social development represented by economic and conflict theory. This approach provides a more robust generalization that more adequately describes social advancement, and concludes that classical researchers did not consider leadership as a social segment to be studied, that influences societal and cultural development. Leadership understanding of societal and cultural development is critical for enabling them to lead positive social change. ABSTRACT Depth The Depth section compares modern research in societal and cultural development to the theories of classical researchers in order to further develop the findings of the classical study, and to determine if leadership consideration has been addressed in modern times. The study shows that the theories of classical researchers are sufficiently robust to support a consistent, continued basis for understanding societal and cultural development into modernity. This study broadens the Breadth section presentation, and demonstrates that modern researchers continue the classical paradigm, adding depth and...
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...ECON545: Project 2—Macroeconomic Analysis Situation D Brian Banks 8/24/2014 Uncle Dan has a 100-acre corn farm. After 30 years of growing corn, he wishes to leave that commodity’s market and enter a more profitable market instead. He is thinking of subdividing his land and building homes and shops. He reckons he could make a good profit by selling the homes and renting the shops. Uncle Dan has several costs and risk factors to consider in making the switch. The best way to approach this scenario requires researching the economy in terms of GDP growth rate, interest rates, level of unemployment, the business cycle, fiscal policy, monetary policy, international trade, and demographics from a macroeconomics perspective. The macroeconomic factors to be considered from the view of the organization are: GDP growth rate, Business cycle, Fiscal policy and level of unemployment, monetary policy and interest rates, International trade, and Demographics. Business Cycles, Unemployment, Inflation, International - Comparative Advantage, Exchange Rates, Trade, Monetary Policy and Interest Rates, and Fiscal Policy and Unemployment are the variables that are critical in addressing the issue. The United States has one of the most diversified and most technologically advanced economies in the world. Finance, insurance, real estate, rental, leasing, health care, social assistance, professional, business and educational services account...
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...REPORT ON TIME SERIES ANALYSIS REPORT ON TIME SERIES ANALYSIS SUBMITTED TO M. KHAIRUL HOSSAIN PROFESSOR Department Of Finance University Of Dhaka SUBMITTED BY Group – 17 Section-A BBA 12th Batch Department Of Finance WE ARE... |Sl. No |Name |Roll No | |1. |Dulal Paul |12-143 | |2. |Rahat Hussain Md. Zaidy |12-149 | |3. |MD. Arif Hasan |12-150 | |4. |MD. Khurshid Alam |12-170 | |5. |MD. Saiful Islam |12-254 | Letter of Transmittal Date: 16th September, 2008 M. Khairul Hossain Professor Department Of Finance Faculty of Business Studies University of Dhaka Subject: Submission of report We are pleased to submit the following report on the “Time Series Analysis”. By completing the report, we have got acquainted importance and relevance of time series on business application. We also perceived idea on the whole process of Time Series Analysis. We acquired knowledge about the method...
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...Time series analysis We are pleased to submit the following report on the “Time Series Analysis”. By completing the report, we have got acquainted importance and relevance of time series on business application. We also perceived idea on the whole process of Time Series Analysis. We acquired knowledge about the method of measuring trend, growth rate, acceleration rate etc. In spite of limitation of time & opportunity we have tried our level best to complete the report. We are pleased to provide you with this report with necessary analysis, references and we shall be available for any clarification, if required. Thank you for assigning us in this study. On behalf of the group Md. Arif Hasan ID: 12-150 Table of Contents Serial No Topic Page No 1 Letter of Transmittal 1 2 Rationale of the study 2 3 Objectives of the report 3 4 Methodology of the report 3 5 What is Time Series 4 6 Uses of Time Series in Business 5 7 Components of a Time Series 5 8 Classical Time Series Model 9 9 Methods of trend measurement 9 10 Least squares method 10 11 The Growth Rate 14 12 The Acceleration Rate 15 13 Rule of 72 16 14 Bibliography 17 Rationale of the study Having been assigned to prepare a report on Time Series Analysis we are submitting the term paper based on our findings and understandings. Time series analysis has vast application and is of huge importance in the field of Business and Economics as well as in decision making thereof. Calculating secular trend we can...
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...FOREIGN DIRECT INVESTMENT AND THE MULTINATIONAL CORPORATION CHAPTER 2. 2.1. INTRODUCTION International business activity is by no means a recent phenomenon. The lives of Phoenicians and Carthaginians, in the ancient world, were deeply dependent on international business. This economic activity included foreign direct investment (FDI), joint ventures and strategic alliances, among other forms of internationalisation (Moore and Lewis, 1999). Several multinational corporations (MNEs) can also be identified in Europe in the middle ages and in the beginning of the modern era (Dunning, 1993a; Jones, 1996). The origins of modern international business activity however, are associated with the industrial revolution. Modern MNEs, in particular, have their roots in the massive international movement of factors that took place in the nineteenth century (Dunning, 1993a: p.99). Resource-seeking was the most common motivation of FDI in this period, even if by 1850 many firms had already crossed the Atlantic, in both directions, in what can be defined as market-seeking investment (Dunning, 1993a: p.100; Jones, 1996: p.5). 8 Despite the presence of FDI, most foreign investment in the nineteenth century - and indeed until the late 1940s – was portfolio capital. As a result, international business activity was largely ignored in economic theory until the late 1950s. On the one hand, the phenomenon did not have a major perceived economic impact. It was widely assumed that MNEs were...
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...people can be resistant to change; having previously done something in a certain way, social learning may encourage them to learn / behave in a different way, which in turn can challenge the veracity of both past information and the new information being received. The Behaviourist approach to learning claims that as human beings, we are all born as a blank slate and we inherently want to learn. Behaviourists argue that all behaviour is acquired through some form of conditioning – sometimes referred to as classical conditioning and operant conditioning. According to this approach, we all have the same inherent drive to learn, and consequently the learning environment is the most important factor determining educational success. Behaviourists also emphasize the role of reinforcement and punishment in shaping behaviour. Pavlov (2003) argued that we learn through association and that any behaviour we perform is a matter of stimulus and response, which is referred to as classical, or Pavlovian, conditioning. Therefore, in a classroom setting, lecturers should facilitate associations for learning with the environment (for example, entering the classroom means a student should know to put a phone away without being asked because they are already conditioned to do so). Unfortunately, conditioning via association isn’t always effective, so operant conditioning is another consideration for a behaviourist approach. Devised by Skiiner (1938) this method of conditioning involves both reward...
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