...Assume that the Asset Demand for money is relatively elastic or flat, and that the Investment Demand Curve, is relatively inelastic or steep. Compare and contrast the effect of an increase in Money Supply upon the overall level of economic activity, using both the traditional transmission mechanism, and in the IS'LM model. Are there any major differences between these 2 models? Your answer should include all relevant diagrams. (20 marks IN RELATION TO THIS QUESTION, STUDENTS WOALD BE EXPECTED TO IDENTIFY AND EXPILIIN THE TRADITIONAL TRANSMISSION MECHANISM AND BRIEFLY EXPLAIN ITS CONSTITUENT PARTS; NAMELY MONEY MARKET, THE INVESTMENT DEMAND CARVE, AND FINALLY THE 45 DEGREE LINE PRODUCT MARKET MODEL. THEY WOALD BE EXPECTED TO BRIEFLY DESCRIBE THE EFFECT OF AN INCREASE IN MONEY SAPPLY WHEN THE ASSET DEMAND CURVE FOR MONEY IS RELATIVLY FLAT AND THE INVESTMENT DEMAND CT]RVE IS RELATIVELY STEEP. BETTER ANSWERS WOALD EXPLAIN WHAT THE LATTER 2 SLOPES INDCATE ABOUT THE PARTICULAR MARKETS. ANSWERING THIS QAESTION STUDENTS SHOALD IDENTIFY THE 2 PARTICULAR WEAKNESSES THAT CHARACTERISE THE TRADITIONAL TRANSMISSION MECHANISM. THE ARTE THE 2 PROBLEMS OF TryHEN INTERDEPENDENT VARIABLES AND IN TARN UNCERTAIN OR ANPREDICTABLE OR INDETERMINATE OUTCOMES OR RESALTS. OK. AS PART OF THEIR ANSWERS STADENTS SHOULD CERTAINLY MENTION THE FEEDBACK EFFECT OR THE RELATION BETWEEN CHANGES IN GDP OR Y, AND IN TARN CHANGES IN THE LEVEL OF TRANSACTIONS DEMAND FOR MONEY. FINALLY...
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...b) The objective of airline firms is to maximise profits. This can be achieved by maximising total sales and minimising total costs. The various demand elasticity concepts can be used to by the airline firms to maximise total revenue. Sales revenue refer to the total receipts from sales of a given quantity of goods/service. It is calculated by multiplying the quantity of good or services sold by the price of the good or services. Price elasticity of demand measures the degree of responsiveness of the quantity demanded of a commodity (market for air travel) to a change in the price of the good itself, ceteris paribus. Its formula is given by percentage change in quantity demanded of air travel over the percentage change in price of price of air travel. Ep is useful in helping the airline firms to determine the price that should be set or adopt appropriate pricing policy for its market for air travel, to maximise total revenue earned. For Ep, if the absolute value of the coefficient is greater than 1, this means that a given percentage change in price results in a larger percentage change in quantity demanded, ceteris paribus. The converse is true when demand is price inelastic. In this case, demand for air travel is price elastic. The two determinants affecting Ep for market for air travel are availability of substitutes and size of budget spent on good. The availability of substitutes of airplane is wide. For example, besides the airplane there are other alternatives as well...
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...1. Examine and analysis Dell’s Direct Model and its basic working and success and future challenges. Dell’s Direct Model Dell has been following it’s unique direct build-to-order sales model for more than 20 years. Customers can plan their own configuration and place orders directly with company via the phone or a web site. Over the years Dell supply chain efficiencies and direct sales gave it a competitive advantage. Dell has also leveraged JIT principle to make its manufacturing process success. Dell’s approach to JIT is different in that they leverage their suppliers to achieve the JIT goal. They are also unique in that Dell is able to provide exceptionally short lead times to their customers by forcing their suppliers to carry inventory instead of carrying it themselves and then demanding (and receiving) short lead time on components so that products can be simply assembled by Dell quickly and then shipped to the customers. Characteristics of direct model * Eliminate costs and risks of carrying large finished goods inventories * High velocity * Low-cost distribution * Direct customer relationship * Build-to-order * Just-in-time manufacturing * Products and Services aimed at specific market segments * Reduced channel costs: from 13.5%-15.5% to 2% of product revenue * Latest Technology was introduced faster than indirect channels * Dell can use IT to directly control its value chain, set quality measures and monitor in...
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...http://www.investopedia.com/contact.aspx Table of Contents 1) Mergers and Acquisitions: Introduction 2) Mergers and Acquisitions: Defining M&A 3) Mergers and Acquisitions: Valuation Matters 4) Mergers and Acquisitions: Doing The Deal 5) Mergers and Acquisitions: Break Ups 6) Mergers and Acquisitions: Why They Can Fail 7) Mergers and Acquisitions: Conclusion Introduction Mergers and acquisitions (M&A) and corporate restructuring are a big part of the corporate finance world. Every day, Wall Street investment bankers arrange M&A transactions, which bring separate companies together to form larger ones. When they're not creating big companies from smaller ones, corporate finance deals do the reverse and break up companies through spinoffs, carve-outs or tracking stocks. Not surprisingly, these actions often make the news. Deals can be worth hundreds of millions, or even billions, of dollars. They can dictate the fortunes of the companies involved for years to come. For a CEO, leading an M&A can represent the highlight of a whole career. And it is no wonder we hear about so many of these transactions; they happen all the time. Next time you flip open the newspaper’s business section, odds are good that at least one headline will announce some kind of M&A transaction. Sure, M&A deals grab headlines, but what does this all mean to investors? To answer this question, this tutorial discusses the forces that drive companies to buy or merge with others, or to split-off or sell parts of...
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...A PROJECT TO STUDY Acquisition OF TATA AND CORUS 0BY Jigar Gandhi Roll No- 11 PGDM - 4TH semester INTRODUCTION –( MERGERS AND ACQUISITION ) In this changed business paradigm only those organization rule who visualize the possibilities before they appear as plausible. Present Business environment, characterized by the globalization and liberalization, accommodates organization that are coming up with innovative strategies to survive and flourish. Companies in the global economies climate are thriving to each the pinnacle of the successes seeking competitive edge of over their rivals. While the waves liberalization and deregulation have been shaking the corporate shore around the global the domestic organizations are falling prey to the fierce competition and unprecedented challenges carried by this emerging business scenario. The recessionary trend consequents to the wall Street tsunami has made for the organization a maze with no exit . Drowning in the luxury of producing goods only to keep life simple is suicidal, rather an un quenched thirst must always prevailing that makes the quest for the value sustainable. Existence of keen competition with number and volume also made the texture of the competitor stronger shock absorber both finally and strategically creating a wide exposure for the business enterprises to build armour for protecting themselves from the threats lying in and forthcoming from the environment. Thus, organizations are left with...
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...Study for Supply Chain Leaders: Dell's Transformative Journey Through Supply Chain Segmentation Matthew Davis Faced with ever-changing customer needs, product commoditization, unique global requirements and new, low-cost competitors, Dell embarked on a three-year journey to segment its supply chain response capabilities. The company designed its supply chains based on a mix of cost optimization, delivery speed and product choices that customers value, while aligning internally across all functions to execute against this vision. Key Findings Dell's market and business strategies changed, requiring the company to move from a single supply chain to a customer segmentation supply chain approach. A unified, cross-functional business strategy with collaborative, decision-making processes across sales, marketing, product design, finance and supply chain is essential for segmentation. Segmentation is enabled by a cost-to-serve (CTS) methodology to dynamically allocate costs to business decisions, highlight net profitability and drive the right actions for each supply chain. Supply chain segmentation is a multiyear journey enabled by the development and alignment of organizational skills to the needs of the journey's different phases. Recommendations Start with segmentation of your company's customers and channels to understand the different demand rhythms and cycles. Focus on decreasing the time required to sense or shape changes to end-customer demand. Begin...
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... Case Study for Supply Chain Leaders: Dell's Transformative Journey Through Supply Chain Segmentation Matthew Davis Faced with ever-changing customer needs, product commoditization, unique global requirements and new, low-cost competitors, Dell embarked on a three-year journey to segment its supply chain response capabilities. The company designed its supply chains based on a mix of cost optimization, delivery speed and product choices that customers value, while aligning internally across all functions to execute against this vision. Key Findings Dell's market and business strategies changed, requiring the company to move from a single supply chain to a customer segmentation supply chain approach. A unified, cross-functional business strategy with collaborative, decision-making processes across sales, marketing, product design, finance and supply chain is essential for segmentation. Segmentation is enabled by a cost-to-serve (CTS) methodology to dynamically allocate costs to business decisions, highlight net profitability and drive the right actions for each supply chain. Supply chain segmentation is a multiyear journey enabled by the development and alignment of organizational skills to the needs of the journey's different phases. Recommendations Start with segmentation of your company's customers and channels to understand the different demand rhythms and cycles. Focus on decreasing the time required to sense or shape changes to end-customer demand. Begin the design...
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...American Finance Association Why Do Companies Go Public? An Empirical Analysis Author(s): Marco Pagano, Fabio Panetta, Luigi Zingales Source: The Journal of Finance, Vol. 53, No. 1 (Feb., 1998), pp. 27-64 Published by: Blackwell Publishing for the American Finance Association Stable URL: http://www.jstor.org/stable/117434 . Accessed: 24/08/2011 01:33 Your use of the JSTOR archive indicates your acceptance of the Terms & Conditions of Use, available at . http://www.jstor.org/page/info/about/policies/terms.jsp JSTOR is a not-for-profit service that helps scholars, researchers, and students discover, use, and build upon a wide range of content in a trusted digital archive. We use information technology and tools to increase productivity and facilitate new forms of scholarship. For more information about JSTOR, please contact support@jstor.org. Blackwell Publishing and American Finance Association are collaborating with JSTOR to digitize, preserve and extend access to The Journal of Finance. http://www.jstor.org THE JOURNAL OF FINANCE * VOL LIII, NO. 1 * FEBRUARY 1998 Why Do Companies Go Public? An Empirical Analysis MARCO PAGANO, FABIO PANETTA, and LUIGI ZINGALES* ABSTRACT Using a large database of private firms in Italy, we analyze the determinants of initial public offerings (IPOs) by comparingthe ex ante and ex post characteristics of IPOs with those of private firms. The likelihood of an IPO is increasing in the company's size and the industry's market-to-bookratio...
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...Value Creation of Spin-offs and Carve-outs Dissertation zur Erlangung der Würde eines Doktors der Staatswissenschaften vorgelegt der Wirtschaftswissenschaftlichen Fakultät der Universität Basel von Roger Rüdisüli von Amden SG Difo-Druck GmbH Bamberg 2005 Genehmigt von der Wirtschaftswissenschaftlichen Fakultät der Universität Basel auf Antrag von Prof. Dr. Heinz Zimmermann und Ass.-Prof. Dr. Wolfgang Drobetz. Basel, den 10. Mai 2005 Der Dekan Prof. Dr. Heinz Zimmermann Acknowledgements V Acknowledgements My dissertation would not have been possible without the support of various people to whom I would like to express my sincere gratitude. Firstly, I would like to thank my academic supervisors Heinz Zimmermann and Wolfgang Drobetz of the University of Basel (Switzerland) for their academic guidance, encouraging support and the very pleasant cooperation. Special thanks goes to Jürg Wicki for his advice in selecting the subject, structuring the dissertation, and choosing its fundamental building blocks. I am also heavily indebted to Neelesh Singhal and his team at McKC in Madras (India) who helped me to find the vast amount of data used in my research. Without their assistance it would have been impossible to obtain the data. I am also grateful to Sabine Keller-Busse and the partners of McKinsey & Company in the Zurich office for making my educational leave possible and for the financial assistance provided. My acknowledgement also goes to Thomas Bollinger...
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...of their families, communities, and countries, creating a ripple effect that benefits everyone. The word gender describes the socially-constructed roles and responsibilities that societies consider appropriate for men and women.17 Gender equality means that men and women have equal power and equal opportunities for financial independence, education, and personal development 3 . Women's empowerment is a critical aspect of achieving gender equality. It includes increasing a woman's sense of self-worth, her decision-making power, her access to opportunities and resources, her power and control over her own life inside and outside the home, and her ability to effect change.4 Yet gender issues are not focused on women alone, but on the relationship between men and women in society.5 The actions and attitudes of men and boys play an essential role in achieving gender equality.6 Education is a key area of focus. Although the world is making progress in achieving gender parity in education, girls still make up a higher percentage of out-of-school children than boys.7 Approximately one quarter of girls in the developing world do not attend school.8 Typically, families with limited means who cannot afford costs...
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...| Analysis Of Indian Commercial Vehicles Industry | | | Abstract | | | This project analyzes the Indian Commercial Vehicles Industry using Porter’s Five Forces Analysis framework including the competitive positioning and RBV analysis of the different players. | PROJECT TEAM GROUP – 9 S.No. | Name | Roll Number | 1 | Ashish Kumar | 1514013 | 2 | Hari Sharma | 1514017 | 3 | Pranal Dongare | 1514033 | 4 | Souveek Bose | 1514053 | 5 | Sujatha Krishnamurthy | 1514057 | 6 | Vinod Vijayakumar | 1514070 | Industry Overview Performance of commercial vehicles industry in India is one of the most important indicators as well as enablers of economic activity. Commercial vehicles account for 3% of the total domestic market for automobiles in India1. The net sales turnover for this industry in FY2014-15 was 72,264 cr. and the number of units sold was 6.15 lakh units2. The industry is segmented into Goods and Passenger vehicles with each segment further divided into LCVs (Light Commercial Vehicles) and M&HCVs (Medium and Heavy Commercial Vehicles). A detailed classification of commercial vehicles can be found in Figure 1. Figure 1: CLASSIFICATION OF commercial vehicles Source: CRISIL Research, 14-Mar-2015 report Three major domestic players, namely Tata Motors, Mahindra and Mahindra and Ashok Leyland, dominate the industry. Strong positive outlook and space for growth has enticed foreign players, such as Volvo, Daimler and Isuzu Motors, to make...
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...Problem Statement Two of New Balance main competitors, size and product wise, Adidas and Reebok, recently announced their intention of merging. Together, they become a counterweight large enough to rival with Nike, the world’s dominant player in athletic footwear and apparel. The Davises, sole owners of New Balance, know that this transaction will have an impact on the industry and their business. They wonder how to react to ensure long-term business profitability and whether they should adjust the company’s priorities in light of the changing competitive landscape. New Balance wants to grow and needs to find the appropriate strategy to effectively support this endeavour. At the same time, the company’s leaders wish to remain committed to its core values, philosophy and heritage. The athletic footwear industry is very competitive and each player tries to differentiate itself from the rest of the pack. Although New Balance produces cutting-edge, high performance running shoes, their style, or lack of, plays against them. The market has evolved since the successful introduction of its iconic 990 running shoe, and more and more people are now wearing sneakers for casual purposes. The Adidas-Reebok merger will certainly have consequences on the industry. Many stakeholders, including New Balance’s own employees, will soon begin to ask questions about the company’s response. In order to secure its assets, the Davises must quickly determine how to tackle the situation and capture...
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...Analyzing SAP ERP's success in TISCO The critical success factors of ERP systems mainly include proper implementation and usage. Beside this there are several other factors that decide the regular functioning of ERP in organizations. While many organizations have not incurred the necessary benefit in terms of money and other measures there are lots who have witnessed multiple profits. Studying them will help in understanding the critical success factors for ERP implementation. They will help in deciding ERP success. TISCO PROFILE This company founded and established in the year 1907 is known to be one of the leading steel giants in the country offering multiple products and successfully running many subsidiary corporations. Being a large entity does not stop things from being subject to scrutiny and internal audit. They are regularly implemented with the help of committees who report to the selected members from the senior management. The company is dedicated to providing laudable services to the stakeholders improve on the quality and as thrive for innovations and improvements constantly. BACKGROUND TATA steel is India’s largest integrated private sector steel company that started its corporate journey in the year 1907. Backed by captive iron ore and coalmines, Tata Steel runs state-of-the-art Cold Rolling Mill complex at Jamshedpur, Eastern India. The enterprise has undergone a modernization programme costing $2.3 billion, resulting in production of steel at...
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...sometimes portrayed as holding serpents and other forms of cultural figures. The Nigerian cultural tale starts with Mami Wata as a daughter to Yemaja. She takes the form of mermaid and her tales predominantly surround coastal areas. Her tales are mainly religious and she people accuse her of playing part in many sea associated calamities and tragedies including abductions when people are swimming, sinking ship, storms and other forms of water catastrophic events. Although she depicts in visual form as human, she is believed to be a spirit of the underwater and her abductions lay basis that her survivors tend to come back wealthier and in better status than they left. Her visualization mostly comes with a serpent wrapping around her bosom; between her breasts. People believe that sometimes she passes through marketplaces in the figure of a complete human. Mami Wata takes form of a superstitious being with string powers and negative personality attributes. Nigerians believe that she has the power to make people sick and that only she can take away these particular ailments. People blame Mami Wata for all kinds of body diseases and conditions. Barren women blame her for her ability to make people infertile. People also believe that Mami Wata has the ability to cure these sicknesses and also has the ability to make women beautiful after she heals them of their ailments. Her body’s tattoo of a snake shows her superstitious nature, mainly associated with negativity and her dark side...
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...THE FUTURE Chapter 16—SUPPLY CHAIN PROCESS INTEGRATION AND A LOOK TOWARDS THE FUTURE For those for whom integration is not happening, the future is bleak and getting darker.[i] There is a lot of value that is “trapped” between the processes trading partners use to transact business, and when companies work together, they can unlock that value and share its benefits.[ii] LEARNING OBJECTIVES After completing this chapter, you should be able to: • Discuss and compare internal and external process integration. • Discuss the requirements for achieving process integration. • Describe the barriers to internal and external process integration, and what can be done to overcome them. • Understand the importance of performance measurements in achieving internal and external process integration. • Understand why it is important to align supply chain strategies with internal process strategies. • List and describe the eight key supply chain processes, and how trading partners integrate these processes. • Discuss a number of the latest trends in the areas of process management and process integration. CHAPTER OUTLINE Introduction Achieving Internal Process Integration Extending Integration to Supply Chain Trading Partners A Look at Trends and Developments in Integration and Process Management PROCESS MANAGEMENT IN ACTION—An Interview with Zack Noshirwani, Vice President of Integrated Supply Chain for Raytheon The...
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