...The book by Burton Folsom, “The Myth of the Robber Baron,” shines a light on a common belief that entrepreneurs during the industrial revolution are robber barons. Burton Folsom’s main point, is that there are two types of entrepreneurs he uses in the book in order to separate the Robber Barons from the entrepreneurs, which I will discuss a little later. Robber Baron is a term that is used for entrepreneurs during the 19th century that used questionable or unethical means to build/attain wealth. They payed there workers low wages while also buying out the competitors that could not keep up with them. Once the competition was brought out and that company was the last one standing they would jack up their prices. As I discussed earlier, Burton Folsom separated the entrepreneurs into two groups, one he classifies as the political entrepreneurs, these are the entrepreneurs that tried to succeed through federal aid, pools, vote buying, or stock speculation. These are the entrepreneurs that rely heavily on government help and subsidies. The other group that he refers to is classified as market entrepreneurs, these are the entrepreneurs that tried to succeed by creating...
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...Book Review: The Little Book That Still Beats the Market The book is written in the first person point of view of the author, Joel Greenblatt. He talks about the various elements and basics of finance in a much different light as compared to how a common, every day finance specialist would normally explain it. He breaks it down into a level wherein even young kids could understand, making it relatable to people of all ages. Having such a complex topic being discussed in the most simple way possible makes it that much more intriguing to read through, especially that it touches on different techniques on how one could better manage and make their own money. He starts off with a simple story and continues on with many more of them. However, what makes it so difficult to put down this book is that these stories serve as simple analogies of what had before seemed like a complex idea in the finance world. Not only do these stories make it more entertaining and easier to understand the basics of finance, but they are also very informative, practical and relatable. In addition to these series of funny and simple tales is the discussion of a heavy but gentle load of information that all build up to the revealing of the magic formula. This formula, as explained by Greenblatt, is one that has been repeatedly proven to beat the market thus, helping a number of people become better investors. There were many insights I was able to gain from reading this book. These insights were not...
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...has an effect on society. The novel, To kill a Mocking Bird, was written in the 1930’s. During this time period the United States was in the deepest and longest lasting depression in history of the Western world. It came to be known as the Great Depression. The depression was caused by the stock market crash of 1929, which wiped out millions of investors. At this time nearly half of the country’s banks had failed. It was not until 1939 that the economy began to fully turn around. The 1930’s was also a time of racial inequality. Although slavery no longer took place in the United States, African Americans were still treated differently. Examples of racial inequality is represented in Harper Lee’s novel, To Kill a Mocking Bird. To kill a Mocking Bird, was an award winning novel. It took place in an Alabama town...
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...5, 2015 Britney Jefferson The Blue Ocean Strategy were defined by professors W. Chan Kim and Renee Mauborgne. They wrote a book about The Blue Ocean Strategy back in 2005. The Blue Ocean Strategy involves the description of how the organization should try and proceed to find some way to work in the market place that is not bullied by the competition and also that is free of competitors. The blue ocean includes the potential industries that do not exist at present and all the untapped market spaces and demand demographics that will take shape as and when such potential industries take shape. Blue oceans can be brought into existence in two primary ways. One, as a completely new, unheard of industry can be created from within the red ocean by manipulating the functioning boundaries of an existing industry therein. (Chatterjee, 2014). Blue Ocean Strategy creates uncontested market space, make the competition irrelevant, create & capture new demand, break the value cost trade off, and simultaneous pursuit strategy of differentiation and low cost. The Blue Ocean strategy is quite important. This is because it allows some business to sell its products with no or little competition from other firms. It is also significant for some new business that does not have enough money for advertising and does not want to sell its products in some market where other industries have already established strong brands. According to Professor Kim Blue oceans are not about technology innovation...
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...Monday, January 27th, 2014 Case Summary #1 Dimensional Fund Advisors The California based investment and advisory firm, Dimensional Fund Advisors, was founded in 1981 by Chicago University students. The founders created DFA based on academic findings that stocks with small market capitalization outperformed the market and large cap stocks over a long period of time. DFA focused on selling investment funds that incorporated a bunch of small cap stocks from major stock exchanges like the NYSE. Their initial small cap funds were devised by ranking the market cap of stocks on the NYSE, AMEX and NASDAQ from top to bottom. From there, they split the ranked stocks into ten groups called deciles. They then sold different funds that would replicate buying stocks from the bottom 5 deciles. Over the years, they became one of the biggest small cap stock owners, owning over 3% of stocks in the bottom two deciles. DFA bought stocks in large blocks. They constantly looked for bargains on the market and bought in bulk. They only accepted deals that would save them several percentage points below the current market value of securities they wanted to purchase. They did not rely on any fundamental analysis in their stock purchases. They just focused on buying the small cap stocks that fell into their deciles and made sure that they didn't buy too many stocks that fell into the same industry or sector. DFA strongly believed that their funds offered enough added value to include a small...
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...generally a huge mile stone to public, asking an individual to dedicate the rest of his/her life to another individual is a serious matter. Normally there are three steps get a ring, get down on one keen and get the other individual say “yes”. As time pass, the methods of proposing were varied tremendously. If the gentleman cannot think of a better way to courtship according to Darwin, they might not be mated. So with the aid of psychology, men should have a better chance with the answer “yes” after a proposal. Two-factor theory of emotion This theory suggest that emotion is based on two factors, firstly physiological arousal and secondly a cognitive label. So first of all an emotion is felt, then a physiological change, it could be heart beat rise, sweaty palms, knees weak, heavy arms, dry eye, dry throat, and change in breath. Then the individual observe environment to reason the physiological arousal, is it the noise of bangs some distance away, the footsteps sounds of someone behind, a rat in the corner of the wall. Finally is to label the emotion in that moment. However this can cause emotion misinterpretation when a person’s feeling is not trigger by external stimulant but still try to label feeling relying the environment. Example A person (X) was walking alone in a dark alley...
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...trust only had 36 holdings, 10 of which accounted for 50% of the fund’s assets. No manager had matched Miller’s consistent index beating record. Miller’s results were in contradiction to the conventional theory which suggests that it is extremely difficult to beat the market on a sustained basis as it is characterized by high competition, easy entry and informational efficiency. Problem Statement: The Lag Mason Value Trust has been able to outperform the S&P 500 index for 15 consecutive years till 2005. Will the trust to able to consistently deliver similar performance in future? Should a rational investor buy shares in Value Trust as on middle of 2005? What can be possible reasons for the exemplary record of the Value Trust? Can the reasons of the trust’s success can be only attributed to the trading skills and style of Bill Miller or is it sheer luck? US Mutual Fund Market: The mutual fund market in the US has seen exponential growth in the last 30 years. The numbers of mutual funds have increased from 361 to 8,044 in between 1970 to 2005. By 2004, Mutual fund owned nearly 20% of the outstanding stocks of US companies. The value of each share was called Net Asset Value (NAV) NAV = (Market Value of fund assets – liabilities) / fund shares outstanding Annual total return = (Change in net asset value + dividends + capital gain distributions)/ NAV (at the beginning of the year) Annual payments were collected as a percentage of the fund’s total assets...
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...Load – A mutual fund that comes with a sales charge or commission. The fund investor pays the load, which goes to compensate a sales intermediary (broker, financial planner, investment advisor, etc.) for his or her time and expertise in selecting an appropriate fund for the investor. The load is either paid up front at the time of purchase (front-end load), when the shares are sold (back-end load), or as long as the fund is held by the investor (level-load). If a fund limits its level load to no more that 0.25% (the maximum is 1%), it can call itself a "no-load" fund in its marketing literature. Expenses – The expense ratio is the annual fee that all funds or ETFs charge their shareholders. It expresses the percentage of assets deducted each fiscal year for fund expenses, including 12b-1 fees, management fees, administrative fees, operating costs, and all other asset-based costs incurred by the fund. The expense ratio, which is deducted from the fund's average net assets, is accrued on a daily basis. Turnover – The percentage of a mutual fund or other investment vehicle's holdings that have been "turned over" or replaced with other holdings in a given year. The type of mutual fund, its investment objective and/or the portfolio manager's investing style will play an important role in determining its turnover ratio. All things being equal, investors should favor low turnover funds. High turnover equates to higher brokerage transaction fees, which reduce fund returns. Also, the more...
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...[pic][pic] [pic]Copyright © 2005 West Chester University. All rights reserved. College Literature 32.2 (2005) 103-126 [pic] | |[pic][pic][pic] | | | |[pic] | | | |[pic] | | | |[pic] | | | |[pic] | | | |[pic] | | | | | | | | | | | | | | | | | | | |Access provided by Northwestern University Library ...
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...Stock Market Report The first step to building my portfolio was defining my objectives. What exactly did I want to achieve by participating in this game? Keeping in mind that many financial analysts fail to beat the S&P 500, I realized that my chances of beating the market were slim. If “professionals” have difficulty choosing the right stocks, then chances are I will to. In short, I decided that taking a gamble and investing in risky stocks to win the game was probably a futile strategy. The technical reason for why I, or any other person for that matter, cannot beat the markets is that markets are mostly efficient. Much of what I know about a company is probably public information so it is already reflected in that company’s stock price. For example, many people view Apple as a company with much potential for growth. As a result, the demand for its stock is already very great; so great that some say the demand for the company can’t go any higher. If I were to buy Apple, I must find a reason for why the public is undervaluing it; simply saying the iPhone is selling off the charts won’t work since everyone already knows that. With this in mind, I focused on buying stocks that I was familiar with and could at least make a reasonable case as to why they were undervalued. I decided to settle on buying a group of stocks and keeping them until the end of the game. In fact, since I was investing for the long term, I pushed myself to rarely look at my holdings in order to limit...
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...was also bangkrupt. In the early 2000s, Sumsung Corporation launched a strategy to revitalize its consumer video electronics business. Long regareded as a low- quality brand, it sought a quality leadership position in the fledgling market for digital home entertainment, including high definition television (HDTV). Samsung embraced digital light processing (DLP) technology. Cheaper and fatter than plasma, more expensive and thinner than traditional rear projection televisions (RPTVs) , Samsung’s DLP televisions offered a picture quality that equaled or beat either alternative. Samsung’s first generation DLP sets garnered rave reviews from speciality magazines and web sites. The technology appealed to critical early HDTV adopters who did their research and ignored the brand reputation. In fact, samsung’s reputation has improved since the launch of DLP. It has successfully entered the market for high-end plasma market. It takes little imagination to come up with a strategy. In fact, almost all managers can easily identify any number of strategic options for their firms. Here are a few popular business strategies, with examples of firms that have pursued them: Grow larger (general Electric, AHERF) Downsize (avon, SARA LEE) Diversify into new markets (Wal-Mart, PepsiCo) Dominate a niche (starbucks, jiffy Lube) Outsource the production process (Nike,...
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...to maximize assets. DFA based their approach on academic research and skilled traders. This create a essential formula for the company to create a list of possible investments that fit within the company’s ideal portfolio. DFA used a strategy to decrease the costs between the client and DFA as well as create value. DFA additionally used a value proposition of DFA by using the academic research to create specialized portfolios focusing on the small cap companies (small cap = 300 mil- 2 bill range). This investment approach focused on the Fama and French model. Their research demonstrated the small cap companies tended to outperform the large cap companies. DFA also added trading capabilities to increase variety among the competitive market while decreasing transaction costs. Passive Approach - Pros the company created low operating expenses, no initial decision making from managers or the investors. Relied on the fundamentals of the Fama and French Model. Cons the company managers do not actively participate with decisions, performance measures are set by the model and therefore does not include trending or forecasting of the stock variety types. Ex. Technology boom 2. What are the Fama-French findings? Do they make sense? Should we...
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...Patrick Murray Mrs. Crays English 9/10 27 April 2017 The Time Period of the Mocking Bird (from the book to kill a mocking bird): The Novel To Kill a Mocking Bird written by Harper Lee is a novel written in the 1980’s and is based off a little girl (herself) when she was younger during the time period of pre WWI and the early 1930’s. This books setting is in Alabama during the 1920’s and slavery is still a thing in America. Which this sets the setting for a little girl named “Scout” growing up in a time period of Great Depression and a family not being the richest but truly loving and being a real family. The book To Kill a Mocking Bird in its best scene the courthouse is a man who is named “Tom Robinson” who is accused of raping...
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...In the book Ready Player One, there is plenty of symbolization throughout it. Symbolization is a great way for authors to get a point across, without actually saying it. It can take many forms like colors, people, and objects. One example is how the companies are really greedy and will do anything to make money. This is a lot of how the real world works today. Many people will do whatever it takes to get rich. There is more and more competition between companies that fight for the lowest price. Oversea companies also compete for United States markets and can sell their items for a cheaper price. The lower prices from other countries causes our companies to lower their prices, and the only way they can do that is to cut down other areas....
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...marketing is the result of a general concept of sales which came from the theory of exchange. This idea originated from the fact that people want things they do not have and they want to get rid of things that they have to much of. The position of marketing in organizational success has changed over the years as marketing has become the essence of a businesses success. Most parts business rely on the success of marketing. The working parts of marketing include advertising, public relations, promotions and sales. Marketing is the process of planning and executing the pricing, promotion, and distribution of goods, ideas, and services to create exchanges that satisfy individuals and organizational goals. The very hart beat of the organization is its ability to market the product, goods, or service it provides to the community. In order for a business to be successful the manufactured goods or service it provides has to be known to potential customer. Proper use of marketing strategies creates product or awareness. Popularity of product and organization allows the business to grow, this means jobs. A company’s ability...
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