...★ Chapter Two ★ Site Location 101: How Companies Decide Where to Expand or Relocate [As a businessman] I never made an investment decision based on the Tax Code . . . [I]f you are giving money away I will take it. If you want to give me inducements for something I am going to do anyway, I will take it. But good business people do not do things because of inducements, they do it because they can see that they are going to be able to earn the cost of capital out of their own intelligence and organization of resources. — Paul O’Neill, former CEO of Alcoa and President George W. Bush’s first Secretary of the Treasury 1 How companies decide where to expand or relocate is not rocket science. Their decision-making process is driven by business basics; subsidies rarely make a difference. The trouble is, the way the system is rigged, companies are getting huge subsidies to go where they would go anyway. Here’s a typical search process. A company of substantial size will usually hire a site location consultant to perform the research on new locations. If the company doesn’t use a consultant, it will assign lead duties to one of its divisions, usually real estate or finance. In either case, a management team will coordinate with the consultant or internal lead, providing input about what the company needs, from operations, sales, and other departments. The company—let’s call it Acme Widget—says to the consultant: to make widgets, we need a location that has plenty of workers who ...
Words: 7216 - Pages: 29
...Decision-Making Process Paper MGT/330 April 2, 2012 Managers within organizations are faced with the challenges daily of making excellent decisions. Some decisions they are faced with may be programmed decision while others may be nonprogrammed decisions. Programmed decisions are decisions that the manager may have been faced with before where nonprogrammed decisions are more challenging because it is a new decision that is more complex because they are uncertain of the possible solutions. In order to be an effective manager you have to possess the skill of outstanding decision making skills. In order for one to be successful within their personal life they may also need to possess an understanding of effective decision making. There are six stages that are followed in the ideal decision making process within an organization. Using this process will help one recognize problems and opportunities in the organization and make effective decisions. When management is able to accomplish all the stages of the process of decision making it is call vigilance. • Identifying and diagnosing the problem • Generating alternative solutions • Evaluating alternatives • Making the choice • Implementing the decision • Evaluating the decision (Bateman & Snell, 2009) In 2008, I was faced with the decision of taking a contract position in another city. I had just become unemployed because the company I was working with had a consistent...
Words: 765 - Pages: 4
...Decision-Making Process A personal decision had to be made about where we were relocating. My husband is in the Navy but we have been station in North Carolina for almost his entire career since he has been with Marines for so long. Time finally ran out and we had to relocate and had a choice of where we were moving to and that was one of the hardest decisions I have ever had to make. We had multiple decisions on a list and were told to choose our top three picks and we would get one of our picks. It was not only hard since I was not only moving my husband and I but our kids and animals as well, and the decision had to be a joint one with my husband and I. My first problem was trying to stay as close to family as possible since our kids are still young I wanted to stay in the states even though we had Italy, Spain, and Japan on the list and those were knocked out right away. My husband and I did have a non agreement about Hawaii and Alaska, he has always wanted to live in one of the two and I have been to Hawaii to many times on vacation and love it but again wanted to stay closer to family and Alaska was an immediate no since it is so secluded from the lower 48 states and have never had an urge to live there, just visit and leave. Our relocation was not for a year but for three years so that is a long time to choose somewhere to live and in a sense but some roots down. We were down to Rhode Island, Connecticut, and California and then the research began. ...
Words: 703 - Pages: 3
...opposing, end them?” These opening lines of William Shakespeare’s infamous soliloquy from “Hamlet” idealize my sentiments towards my decision problem: To pursue the path of the ‘Corporate Ladder’; one of a simplistic, ‘bare bones’, and uncomplicated lifestyle that I have in Columbus, OH (aka “Cowtown”)? I have hit the mid-life checkpoint and desire to have a plan in place so that it does not evolve into the proverbial mid-life ‘crisis’. My decision for this problem is based on objectives that meet my physical, mental, social, emotional, and spiritual wishes and goals. Among the alternatives I considered, I selected “Relocating/Transferring to another state with my current company” . I believe this alternative will provide an ideal mix of consequences and benefits such as flexibility, opportunity, challenge, short-term change and long-term sustainability, ability to modify the decision and its subsequent outcomes; as well as acceptable tradeoffs. The primary factors that led me to this selection are that this alternative lends itself to buying more time and gathering information to determine if this alternative is, in fact, the best alternative for me. This method helps to mitigate risk, but more importantly achieves my fundamental objectives, which were the determining factors for my decision selection. Problem Statement The nature of my decision problem is that of a life choice—the path I desire to construct for myself heading into the future—what my career choice(s) will...
Words: 4040 - Pages: 17
...The Case For New Orleans Cameron Michael Argosy University Dr. Matthew Kuofie Introduction If one could go back in time, it would be fairly easy to avoid any mistakes. The decisions could be made in hindsight which would then make them simple decisions. This could be the case for the city of New Orleans. The city probably should have probably never been built there in the first place. A large portion of the city is at, or below sea level and is very high risk for flooding. There are far too many people that live their now, and it is impossible to just pick the city up and move it. With science backing a future of rising sea levels, the risk of flooding in the area is only going to continue to rise. If New Orleans is not rebuilt, it would be a huge hit to the local economy and job market. The population would largely decline due to the risk of living there and the poor job market. This would cause a similar situation as the one currently happening in Detroit. The city would face bankruptcy and would be a liability for the entire nation. On the other hand, trying to rebuild New Orleans has many issues as well. Does it make sense to spend billions of dollars rebuilding a city that will probably face another hurricane sometime in the future? Science points to rising water levels which is very worrisome considering half of the city is already at or below sea level. Part A New Orleans Economics It is no secret that Hurricane Katrina had devastating effects...
Words: 2170 - Pages: 9
...During the early 1800’s, many of the founding fathers had died and a period of transition existed with new and younger leaders who would try to shape the United States into a nation that they thought it should be in their eyes. Their decisions ultimately helped form our Nation into what it is today. One of these new leaders was President Andrew Jackson. Upon inauguration in 1829, Jackson wanted to settle the ongoing issue of the Indians and the land that they held within the states; as a result most of the energy and resources of his administration were focused on settling the dispute and moving on with the Nation. Within Jacksons first year in office he had plans to relocate the Indians to west of the Mississippi. With the relocation, Americans would be free to settle the land vacated by the Indians. Jackson’s stance on the issue is that if the Indians are not willing to adapt they had to be removed and relocated. Jackson wanted to preserve the Indian nation, however with expansion of the United States quickly approaching Indian Territory, the Indians needed to be moved instead of killed off. Ultimately this led to the Indian Removal Act of 1830. The act was written and in theory was supposed to represent a voluntary movement of the Indians and relocate them so that the white settlers could settle the farm the Indian’s fertile soil. But in reality it was to force Indian off their land and be push them further back into the interior of North America, even...
Words: 1186 - Pages: 5
...of a simple manufactured t-shirts all. The book goes through all the measures taken to assemble the t-shirts and the goes through it’s entire journey from seller to buyer to recycling. The book starts at the harvesting of cotton in Texas and ends in Africa with the reselling/recycling of the shirt. Through telling the life cycle of one simple t-shirt, Rivolo shows the reader many different issues in the global economy by putting it into something they can understand easier. In the book, Rivoli accounts for all the different steps and stops along the t-shirt’s life. The book is narrated in first-person with the assembly, sales, and recycling of t-shirts and with that goes on to explain the issues of globalization. The t-shirt’s life starts out in Lubbock, Texas, where the cotton is harvested and then sent to the second stop, China, where the t-shirt is manufactured. The third stop in the t-shirt’s journey is in Miami, where the t-shirts have to sent back to the...
Words: 952 - Pages: 4
...Having too move out of your native land and to some foreign land that you never seen before is what the Cherokee Indians were dealing with in 1838. Many people question why harm these Indians and force them to relocate? The man behind all of this is President Andrew Jackson. President Jackson was not the only person in the United States that wanted the Indians removed, but the majority of the people in the southern states also supported this idea. How Jackson and the Southern states enforce the Indian Removal Act and how they forced the Indians out of their native homes and land was just not morally right. Andrew Jackson was elected president in the election of 1828. Jackson was a lawyer & senate in Tennessee and later in his life served in the House of Representatives. Just like most of the presidents elected at the time, Jackson was also a war hero at Horseshoe Bend and at the Battle of New Orleans....
Words: 491 - Pages: 2
...on stocking quality products, providing customer service, and a more designer appearance than discount stores. This strategy is further supplemented by the company’s trademark “look” which involves an outdoors theme, complete with real wood décor and use of natural colors (Kammeyer-Mueller 2009). In order to meet the company’s business strategy and goals, staffing must be considered. The company must take some time to consider what route to take when it comes to staffing quantity and quality. A staffing strategy requires making key decisions about acquisition, deployment and retention of the organization’s workforce (Heneman III and Judge 2009). There are thirteen decisions under staffing strategy that affect staffing levels and staffing qualities. The thirteen decisions are: acquire or develop talent, hire yourself or outsource, external or internal hiring, core or flexible workforce, hire or retain, national or global, attract or relocate, overstaff or understaff, short- or long-term focus,...
Words: 1767 - Pages: 8
...Marine Enterprises Memo To: Chris Shakra From: Date: December 14, 2011 Re: Houston Relocation Mr. Chris Shakra, Congratulations on your decision to relocate Marine Enterprises to Houston. Our move to Houston will improve morale, cost effectiveness and profitability for Marine Enterprises. This is a big move for the company and the many employees willing to relocate. We are promoting the move by showcasing the many benefits of living in Houston and relocation assistance for an easy transition for our employees. Our employees will also have an opportunity to see a 1:18 scale model and take a virtual tour of our new facility. I have scheduled a seminar on Monday to announce the relocation, benefits of living in Houston and company assistance for the move. Below is an outline of the seminar we will hold on Monday. We will convey the many benefits of living in Houston to our employees: -Lower cost of living -Affordable Housing -Excellent Weather and Low pollution -Excellent School System -Lower Crime Rate We will review our company assistance program for the relocation: -$3,000.00 Relocation assistance to all employees -Real Estate Assistance -Job assistance for those who wish to remain in New York I strongly feel our employees will view this as a good move for them and their families. I am confident this transition will be a success for Marine Enterprises and it’s employees. Administrative Assistant II 30 Rock...
Words: 2057 - Pages: 9
...United States, IBM from the United States to China and HSBC from London to Hong Kong. This report will examine the reason behind this phenomenon and what are the consequences as a result of that. There are some key reasons that lead to this trend. i) Moving closer to the Asian market As Asia continues to charge ahead in its development, many companies want to fight for a slice of the pie and are moving into Asia to take advantage of the growing demand there. For example, Procter & Gamble (P&G) has this year moved its global headquarters for their beauty and baby-care business, including its biggest brand, Pampers, from Cincinnati to Singapore. They have expressed that the move to Singapore was motivated by a need for P&G brands to be closer to the growing number of consumers in Asia. As we can see from this, multi-national companies see the importance of the Asian market and believe that in order to take advantage of the potential there, need to relocate their headquarters. It is no longer enough to just have operations in Asia, but it is also helpful to have headquarters within the region to facilitate development. ii) Moving away from heavy corporate taxes The next trend is that of companies moving their headquarters out of countries that have heavy corporate taxes. This is extremely prevalent in the United States, with a recent Wall Street Journal article stating that at least 10 big local multi-national companies have intentions to relocate out of the...
Words: 1805 - Pages: 8
...in-depth interviews with 38 separated parents (27 fathers and 11 mothers) concerning their experiences of contested relocation proceedings in the Family Court of Australia (FCA), the Federal Magistrates Court or the Family Court of Western Australia between 2002 and mid-2005 (i.e. where the Court order had been made between 18 months and five years previously). The research team also planned to interview the children of these parents, but after only being able to recruit three children had to abandon this aspect of their study. The study aimed to specifically examine how parents (and children) perceived the impact on themselves and other family members of the decision; what had happened for the family members in the aftermath of the decision (for example, how had patterns of contact evolved in the period after the decision?); and what reflections on the process did parents have, and what advice would they have for other parents? Parents were recruited through the Courts (400 letters), with letters sent to solicitors 3 Our research team has been collaborating with this Sydney team to undertake a parallel project in New Zealand. 23 when they were...
Words: 6565 - Pages: 27
...the United States well before World War 2 and the Japanese American internment. Racial prejudice and unfair treatment toward the Japanese American citizens began in the late 1800's and steadily built over the next few decades. Japanese Americans were subjected to getting land in areas where no one else wanted to be such as near power lines and on dirt or soil where it was hard to build. The Japanese Americans were also held down in the farming and mining industries by often paranoid local American competitors. The Japanese bombed the United States in Pearl Harbor on December 7th, 1941 which led to a national widespread fear of Japanese citizens, primarily on the west coast, carrying...
Words: 1882 - Pages: 8
...During 1942, the United States government decided to relocate all Japanese American citizens and relocate them to an internment camp. The U.S. began to worry about America’s safety and security. During the war, many decisions were made, however, the U.S. never realized what this would do to the lives of the Japanese people. Interning the Japanese American citizens put their lives through much different and much more difficult ways of living. The Japanese relocation greatly affected the lives of Japanese American citizens in a negative way. In 1942, The U.S. government began relocating approximately one-hundred twenty-two thousand Japanese-American citizens into internment camps. Doing this cut the Japanese American citizen's jobs, let alone...
Words: 818 - Pages: 4
...as much as possible in order to keep the team in their city. St. Louis officials offered almost $500 million for a new stadium in the city which is more than Los Angeles, San Diego, or Oakland were willing to provide. Stan showed in his actions and words many times after the decision became public that he did not care how much the fans tried or how much money St. Louis gave him for a new stadium, he would never keep his team in the city. The Ram’s relocation application made harsh comments about St. Louis including saying “the St. Louis market is one that ‘will continue to lag’ and send any NFL team that stays to ‘financial ruin’” (Davidson). Kroenke’s lack of consideration for Spanos or the feeling of current fans has caused many to feel alienated and turn towards other NFL teams. His actions show that he may care more about what he wants than what is best for the team, which, along with offending the fans, may end up losing the teams even more supporters and their money, which meaning the relocation will lose the team quite a bit of money and decrease their value. If either team relocates and joins the Rams they would have to share the burden of paying for the stadium or pay a large sum for renting it out. If one of these teams...
Words: 1570 - Pages: 7
