Risk Management Colorado State University Global

Colorado State University-Global (CSU-Global), located in Greenwood Village, offers students 100% online courses to complete a Bachelor’s and/or Master’s degree. Hazard or pure risks exist for this scholarly institution. Traditional risk management allows CSU-Global to assess and treat these risks. Generally, this is accomplished through insurance, specifically property-casualty, which transfers the risk of loss from the policyholder to the insurer. For this university, five loss exposures will be identified and studied using the six-step traditional risk management process. CSU-Global is exposed to loss. A loss exposure is a potential loss associated with risk. Loss exposures are categorized into property, liability, and†¦show more content†¦This analysis consists of four dimensions: loss frequency, loss severity, total dollar loss, and timing (Elliott, 2012). Tornadoes are a natural disaster occurring in Colorado. According to the City of Greenwood Vi llage (n.d.), most tornados are weak with wind speeds less than110 miles per hour, although some may be stronger; occur nine months out of the year, mainly in mid May through mid August. The state of Colorado has had over $67 million worth of damage due to tornadoes (StateMaster.com, 2015). Slips and falls injuring a visitor or employee to campus may happen due to weather, such as rain, snow or hail; a spilled beverage; clutter in a walkway; or a crack sidewalk. An injured employee would file a workers’ compensation claim, at an average cost of $20,000 per claim (Smith, 2013). A visitor to campus, with an injury as a result, will file a case against the university. The majority of incidents are related to slips and falls. Employees participating in activities, such as a college day at a local high school, drive university vehicles. In 2014, 6.1 million police-reported accidents occurred (National Highway Traffic Safety Administration, 2015). If the employee is at faul t, costs would be incurred for medical expenses, auto repairs, and/or time missed from work. Cyber risks to technology are increasing. With the amount of personal data stored, protection is the responsibility of the university. Cybercrimes, on average, cost an American firm $15.4

Ap Synthesis Essay Museums - 712 Words

Museums have long served a purpose as cultural staples. For every museum, big and small, careful consideration is used in selecting its contents. When securing new items for a museum, it is most important to consider public appeal, educational value, and cost-effectiveness. What makes a museum different from a billionaire’s private collection is patronage. Thus, a museum must be able to attract visitors interested in its displays. This captivation of interest should be for the purpose of entertainment. No one wants to go to a dull, boring museum and look at dull, boring paintings. One museum that capitalized on human intrigue was that of Charles Wilson Peale. Peale established the first natural history museum in the United States. (AP†¦show more content†¦Quoted by Handler and Gable, critic Ada Louise Huxtable declares the newly constructed reproduction of Colonial Williamsburg as â€Å"too clean,† arguing that it â€Å"does not include the filth and stench th at would have been commonplace.† (Source E) This sanitation of the truth completely misrepresents history, and the educational value greatly suffers. Conversely, the National Museum of the American Indian hopes to avoid this lack of judgment by dedicating itself to the â€Å"preservation, study, and exhibition of the life, languages, literature, history, and Arts of Native Americans.† (Source C) The main goal of the museum is to â€Å"span all major cultural areas† (C) and educate the public about and preserve the rich history of such a vast culture. The authenticity and significance of artifacts are important to representing culture and history, and the ability of these artifacts to educate should be a key factor of the selection process. Although a cultural center for entertainment and education, a museum is, at its core, a business. Being such, it must operate as such. Obtaining and maintaining valuable artifacts is expensive; procurement, transportation, upke ep, and security are some of the many costs involved. The revenue generated by the museum has to be sufficient enough to cover these large expenses. For that reason, the cost-effectiveness of a piece must be considered. A famous piece, such as the Mona Lisa, willShow MoreRelatedStephen P. Robbins Timothy A. Judge (2011) Organizational Behaviour 15th Edition New Jersey: Prentice Hall393164 Words   |  1573 Pagescharacteristic of these jobs is substantial interaction with an organization’s customers. And because an organization can’t exist without customers—whether it is American Challenges and Opportunities for OB 19 Express, L. L. Bean, a law firm, a museum, a school, or a government agency— management needs to ensure employees do what it takes to please customers.16 At Patagonia—a retail outfitter for climbers, mountain bikers, skiers and boarders, and other outdoor fanatics—customer service is theRead MoreLibrary Management204752 Words   |  820 Pagesstrategic thinking, a strategic planning process is likely to be no more that an exercise in futility. Strategic thinking, then, is a process of creating a better tomorrow for the information services organization, and it requires insight through synthesis as well as analysis, nonlinear as well as linear thinking, visual as well as verbal conceptualizing, implicit as well as explicit thinking, and the need to engages the heart as well as the head.1 Some Definitions Strategic visioning: A proactive

Why Did the U.S. become an Imperial Power free essay sample

Americans had always sought to expand the size of their nation, and throughout the 19th century they extended their control toward the Pacific Ocean. However, by the 1880’s, many American leaders had become convinced that the United States should join the imperialist powers of Europe and establish colonies overseas. Imperialism, the policy in which stronger nations extend their economic, political, and cultural control over weaker territories, was already a trend around the world. Most Americans gradually warmed to the idea of expansion overseas. With a belief in manifest destiny, they already had pushed the U.S. border to the Pacific Ocean. Seeing that other nations were establishing a global military presence, American leaders advised that the United States build up its own military strength. One such leader was Admiral Alfred T. Mahan of the U.S. Navy. Mahan urged government official to build up American naval power in order to compete with other powerful nations. We will write a custom essay sample on Why Did the U.S. become an Imperial Power? or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page As a result of the urging of Mahan and others, the United States built nine steel-hulled cruisers between 1883 and 1890. The construction of modern battleships such as the Maine and the Oregon transformed the country into the world’s third largest naval power. In the late 19th century, advances in technology enabled American farms and factories to produce far more than American citizens could consume. Now the United States needed raw materials for its factories and new markets for its agricultural and manufactured goods. Imperialists viewed foreign trades the solution to American overproduction and the related problems of unemployment and economic depression. Cultural factors also were used to justify imperialism. Some Americans combined the philosophy of Social Darwinism, a belief that free-market competition would lead to the survival of the fittest, with a belief in the racial superiority of Anglo-Saxons. They argued that the United States had a responsibility to spread Christianity and â€Å"civilization† to the worlds â€Å"inferior peoples.† This viewpoint narrowly defined â€Å"civilization† according to the standards of only one culture. The United States pursued and achieved several foreign policy goals in the early 20th century. Americans believed in the superiority of free-enterprise democracy, and the American government attempted to extend the reach of this economic and political system, even through armed intervention. First, it expanded its access to foreign markets in order to ensure the continued growth of the domestic economy. Second, the United States built a modern navy to protect its interests abroad. Third, the United States exercised its international police power to ensure dominance in Latin America.

Developments in Production Economics †Free Samples to Students

Question: Discuss about the Developments in Production Economics. Answer: Introduction This part discusses Amazon online market to understand the interaction of demand and supply. Amazon is a virtual market that trades commodities across different world economies. The visited market was an online market, where a firm known as Amazon uses this platform to trade goods. The market consists of an assortment of goods ranging from clothing to books to electronics. This market has suppliers from various categories, who display their goods in the online market. The consumers of these goods are individuals from across the world, which makes orders through the internet. The online market brings together buyers and sellers who are operate in the local economy as well as in the global economy. This particular market is highly responsive to the forces of demand and supply. This is to mean that when the demand is high, and the supply is low, there is an increase in price, and on the other hand, when supply increase there is a decrease in price. In this particular market, the demand and supply forces control the prices of commodities. The online market consists of sellers who deal with goods similar to those dealt with by Amazon. The equilibrium on commodity prices is therefore largely determined by the market forces. For instance, when the supply of a particular commodity at Amazon e.g. a television is high, and the price of the same commodity is high, its demand drops, making it be a dead stock in the market. This forces the supplier to reduce its price so that the consumers can access the commodity. A significant reduction on price attracts the consumer in a way that the demand for the TV rises. The increase in demand results to an increase in the price of the product in a way that the supply equals demand. The point where supply equals demand is referred to as equilibrium. Based on the above explanations of the online market that was visited it is right to say that the firms operate in a perfect competition market structure due to the presence of a high number of sellers and a high number of buyers. This means that none of them can influence the prices, but rely on the market forces of demand and supply to set the prices. Also due to the presence of other online traders other than Amazon, there is a reduction of the market share of each firm. These firms sell similar commodities and the buyers who buy in this market have complete information about the commodities. This makes the firms in the market to be price takers. Role of government The online market is very different from the typical market as the online market is a virtual market that engages buyers and sellers from across the globe. Due to this reason, the market relies on the efforts of several governments to ensure that trading takes place. Some of the contributions by these governments include, security, whereby firms can ship ordered goods to the customer in any country safely, political stability, which enables firms to do business with clients in various countries without fear of war breakouts. The government also provides the Infrastructure, which enables firms to transport goods with ease and therefore offers the goods at an affordable price. The other thing that the government offers to the market is licensing and regulatory policies that regulate the activities of the business as well as shield the customer and firms from unethical business dealings. The above-provided information shows how firms in a perfect completion market structure operate. The online market exhibited on this paper relies on the forces of demand and supply to be able to set the price. This shows that the firms in this market are price takers. Moreover, it is also evident that the role of government is crucial in this market. Large companies are organizations that have more than 200 employees and produce in large scale. Small-medium businesses are organizations that have less than 200 employees and produce relatively in large scale. Small businesses are enterprise than have less than 19 employees and produce in small scale. It is assumed that large organizations have been in the industry for longer time than small and medium companies. Large companies are able to avail the same products with the small businesses at relatively lower prices in the market. Large companies are able to produce many units compared to small business. The following report will discuss the micro economic issue that underlies this phenomenon that enable large organizations to sell same at lower price per unit compared to small companies. The analysis will involve use of micro economic theory and model to explain the phenomenon. Background of the Study Large companies involved in large production are selling of their commodities at relatively low prices. These organizations are produce in masses and serve a large market. First, large organizations have big machineries in their production departments. They have invested in machineries that are able to produce in large capacities. Secondly, large organizations have many employees. These organizations are able to train, retain and motivate employees. Employees in large organizations have high skills in the companies production and operations (Beattie, Taylor, Watts, 2009). Large companies are also able to attract highly skilled managers and experts in the field that they operate in. Large organizations have these abilities because of their capability to compensate employees. Thirdly, large organizations do transport their products in large quantities. These companies are able to ship raw materials and finished goods in large quantities. The companies are able to get supplies to their premises through negotiated terms with suppliers. Transporting products in large quantities enable the businesses to use train, ship and large trailers. The companies are also able to get the best suppliers of raw material because they purchase in bulk. Fourth, large companies are been in existence for long period of time. Companies take time to grow to be large businesses. This period give them experience in the industry that they operate in. They are able to understand the production techniques and marketing of the products that they produce and sell. This first move in the industry gives the companies capability to produce in large scale. Lastly, large organizations have financial resources to invest in production processes and marketing. These companies are able to attract investors to their portfolio who finance the company if need be. From the background study of the large companies, it shows that they operate in large scale. They purchase raw materials in large quantities and sell in high volumes. Large companies are able to charge low prices in the market. These low prices are competitive and attract consumers to buy their products. These low prices also affect the small businesses ability to enter and perform in the industry due to low or no profits being realized. Units Fixed costs Variable costs Total costs 1 10000 20 1200000 2 10000 40 1400000 3 10000 60 1600000 4 1000 80 1800000 5 10000 100 10000000 6 10000 120 12000000 7 10000 140 14000000 8 10000 160 16000000 Table 1 production costs showing fixed, variable and total costs Table 2 Transportation costs showing fixed, variable and total costs Units Fixed costs Variable costs Total costs 1 100 2 200 2 100 4 400 3 100 6 600 4 100 8 800 5 100 10 1000 6 100 12 1200 7 100 14 1400 8 100 16 1600 The phenomenon outlined in this report is a micro economic issue that allows organizations to benefit by producing and operating in large scale (Fuss, 2014). This tool is known as economics of scale. A firm is able to enjoy low cat of production when producing in large scale. Fixed costs associated with the production process are distributed to the large number of unit hence lowering costs per unit. Economics of scales gives firs cost advantage as a result of their size, scales of operations or output. Economics of scale is cause by increased efficiency over time. The economical tool requires firms to operate in large scale in order to redistribute fixed costs to per unit produced. Economics of scale is addressed by production theory. Production theory involves production decisions involved in converting inputs to finished outputs. The study involves making decisions on how much to produce, how to produce it and the right combination to produce. The decisions are aimed at maximizing output while minimizing resource input (Grubbstrm, Hinterhuber, 2009). The decisions outline the optimal production combinations that will maximize units of output. These decisions also involve combination of factors of production in the production process. Factors of production include labour, capital, land and entrepreneurships. These factors of production are required for a production process to take place. They are the input to the production system. Therefore, the production theory outlines decisions in production to ensure optimization is achieved in a company. Production involves several costs that are used to make decisions on the optimal production point. These costs are as follows; Fixed cost: These are costs in the production process that do not change with change of units being produced. They are constant throughout the production period. Where the firm produces 10 units or 100units, the fixed costs does not change. Fixed costs include machinery, salaries of supervisors and managers and rent. Variable costs: These are costs that increase with an additional increase of units produced. They are associated with units produced by the firm. Variable costs are not constant and can be attributed to each product produced. They include workers wages, electricity bills, fuel and water. Total costs: These are combination of fixed costs and variable costs. They are the total cost that the company has incurred in producing each unit. Average cost: These are total costs divided by the number of units produced. This cost shows the average cost used to produce each unit. This is the average cost of both fixed cost and variable costs of a unit. This cost is used to distribute fixed costs to the number of units produced. Marginal cost: This is the cost that the firm incurs with an additional unit produced. This cost show the amount that the firm use to produce an additional unit. Long term and short run: Short run is the period in the production process where there are both fixed and variable costs. Long run is the period of a firms production where there are no fixed costs. This period of time everything can change that can result to changes in fixed costs. Economics of scale is achieve when a firm average costs are at minimum. At the start of the production activities, the costs of the production both the fixed and variable costs are at the highest point. The average cost of producing a single product is also highest at this point. The average cost reduces with time. In the long run, the average cost reduces to it minimum allowing the company to operate at optimal condition (Lines, 2008). Pa Q a shows the average cost at the beginning of the production cycle. P b Q b , shows the average costs at minimal at is attained after some times. This point the company enjoys the economics of scale. Therefore, economics of scale is achieved when the firms total average cost is at minimum. At this point the firm benefits from low cost and is able to use this situation to attain competitive edge. Operating at economics of scale has several advantages; first, the firm is able to sell it outputs at competitive prices in the market. The average cost per unit is low and the company is able to make profit selling at relatively low prices in the market. This attracts more customers to purchase companys products (Parkin, 2014). Second, the firm is able to use this situation to create barriers to market entry. Low prices discriminate competitors in the market. New entrants are unable to make profits leading to closure or exit from the market. Low prices in the market discourage new entrants from entering the market. This barrier help the firm survive in the market and increase its market share by dominating. Third, the firm is able to compensate it employees higher than its competitors. This enables the company to attract highly skilled labour to work in the company. This improves the companys products. Lastly, the company is able to increase its profits. This is as a result of compe titive prices and dominance created by the company. Limitation of the economics of scale tool The microeconomic tool cannot be sustained in the long run. In the long run the fixed costs change due to changes in technology or production processes. This necessities the firm to change and acquire new capital for production purposes (Singh, 2013). At this period, the company loses it economics of scale that it had latter attained. There are a lot of government interventions that limit the companies from utilizing this micro economic tool. The governments impose taxes and price regulations to protect infant businesses. This hinders the firms ability to benefit from the economics of scale that it attains. Conclusion From this report of large companies selling at low prices than small business, a concept of economics of scale emerges. The concept analysis how some companies are able to sell at relatively low prices and gain profits in the market. The concept also analysis how large organizations can use their capability to attain and benefit from economics f scale. Economics of scale enables companies to attain competitive prices and exercise market discrimination by using their size, output and level of operations. Therefore, organizations should aim attaining economics of scales in order to maximize profits and avoid being discriminated in the market. References Beattie, B., Taylor, C., Watts, M. (2009). The economics of production (1st ed.). Malabar, Fla.: Krieger Pub. Fuss, M. (2014). Production Economics (1st ed.). Elsevier Science. Grubbstrm, R., Hinterhuber, H. (2009). Developments in Production Economics. International Journal Of Production Economics, 121(2), 299-300. https://dx.doi.org/10.1016/j.ijpe.2009.08.001 Lines, T. (2008). Markets, prices and market power. International Journal Of Green Economics, 2(3), 295. https://dx.doi.org/10.1504/ijge.2008.021424 Parkin, M. (2014). Economics (1st ed.). Boston: Pearson. Singh, S. (2013). Micro economics (1st ed.). New Delhi: APH Pub. Corp. Yang, X., Liu, W. (2009). Inframarginal economics (1st ed.). Singapore: World Scientific Pub., Co.

BLGW marketing plan Essays - Leuven, Anheuser-Busch InBev

Bud Light Golden Wheat Marketing Plan Kyle Turner Marketing 5000 I.EXECUTIVE SUMMARY Anheuser-Busch Companies, Inc. traces its roots to 1852 and the Bavarian Brewery in St. Louis. Through new technologies and modern marketing practices, the local brewery was transformed into the industry leader. Budweiser was the first national beer brand, introduced in 1876. Twenty years later, Busch introduced Michelob, America?s first specialty beer. In 1957, Anheuser-Busch became the leading U.S. brewer, a position it retains today. In 1982, the company introduced Bud Light nationally, which grew quickly in popularity and today is one of the world?s best selling beer brands. In 2008, Anheuser-Busch and InBev combined to become Anheuser-Busch InBev. The new company is the world?s largest brewer and one of the top 5 consumer goods companies in the world. An evaluation of the company?s internal strengths, weaknesses, opportunities and threats served as the foundation for this strategic analysis and marketing plan. The plan focuses on the company?s ?megabrand? strategy, with the introduction of Bud Light Golden Wheat. Anheuser-Busch has a dedicated plan of over $30MM total year marketing for Bud Light Golden Wheat, which includes heavy national media and outdoor to build awareness and introduce the brand. There will be special focus on digital to reach trendsetter consumer and a full line of merchandising and branded products to support sampling and promotion. The goal is to support trial of Bud light Golden Wheat with full Public Relations push to reinforce the ?More Flavorful Light Beer? message. II.ENVIRONMENTAL ANALYSIS Anheuser-Busch will launch Bud Light Golden Wheat in early October 2009, in an effort to attract older drinkers who are looking for a little more flavor from their light beer. The Bud Light ?megabrand? will soon have three formidable prongs. A-B is trying to stay ahead of where consumers are going. The beer has been in development for nearly two years. It will roll out the week of October 5 in every market across the country. It will be backed by a $30 million annual advertising budget. Sales of wheat beers have tripled since 2003.?The goal is to ?stay true to what the mother ship, Bud Light, has to offer,? Levy said. More money may flow to Anheuser-Busch even if people shift their purchases. That?s because both wheat and lime varieties of Bud Light will sell for roughly $1-$1.50 more per six-pack than standard Bud Light. Golden Wheat will be brewed in Baldwinsville, N.Y., Cartersville, Ga., and Ft. Collins, Colo. (McWilliams, 2009) A.The Marketing Environment 1. Competitive forces. Chicago-based MillerCoors' Blue Moon wheat beer is one of the hottest-selling craft brews, but Anheuser-Busch is angling to cut in on that growth with its new Bud Light Golden Wheat. Just two months after its debut, the new wheat beer has nearly matched Blue Moon's monthly sales. Both brewers are looking for a new source of growth as sales of mass-market beers stagnate. MillerCoors beat its archrival to the new category with Blue Moon, launched in 1995. Sales of the Belgian-style wheat beer made with coriander and citrus flavors grew 14% to more than $125 million last year, according to data from Chicago-based Information Resources Inc. Blue Moon accounts for about 2% of MillerCoors' total annual sales. Anheuser-Busch showed last month that it has the marketing muscle and distribution wingspan to make up lost ground quickly. It sold 263,000 cases of Bud Light Golden Wheat in November, nearly equaling Blue Moon's total, IRI data show. Bud's wheat beer also is ma de with coriander and citrus flavors. To some extent, the wheat beers are a defensive move for both brewing giants. Independent breweries producing craft brews in small batches have skimmed customers from mass-produced beers in recent years. The big brewers apparently figure it's better to cannibalize their own sales than to let rivals take them. MillerCoors doesn't call attention to its ownership of Blue Moon, but it's using traditional mass-marketing techniques to promote the brew. Anheuser-Busch offers a line of craft beers under its Michelob brand, while MillerCoors owns Leinenkugel's. Both face a challenge in selling drinkers on craft brews from mass-market breweries. Past efforts, such as Miller Lite's Brewers Collection a few years ago, flopped. MillerCoors is investing more in craft beers such as Blue Moon because it predicts the sector

Shareholder Activism Essay The WritePass Journal

Shareholder Activism Essay Introduction Shareholder Activism Essay Can shareholder activism actually deliver the desired change?IntroductionShareholder activism – the Theoretical PerspectiveLegal BasisExamples of Shareholder ActivismAnalysis and ConclusionsReferencesRelated Can shareholder activism actually deliver the desired change? Introduction The increasing awareness of shareholders and their level of importance to the modern organisation have raised multiple questions as to the potential role which shareholders can play in influencing the decision making of the management team and their willingness to engage with a broad range of stakeholders. Where shareholders have an impact to any degree, this is referred to as shareholder activism and is largely described as being the role that shareholders play in dominating the decisions made by management teams (Bainbridge, 1995). Whilst it is readily accepted that shareholders own the company, whereas directors manage the company, there has historically been a misapprehension that shareholders are simply interested in the financial profits that the company produces. It is argued in this paper that this is not the case and shareholders are becoming much more involved in ensuring a balanced approach and that organisations have a wider awareness of issues such as corporate social re sponsibility (Schacht, 1995). The purpose of this paper is to consider whether or not this type of shareholder activism can actually be seen to be delivering a positive change, specifically in the area of corporate social responsibility. In order to look at this issue and the development of CSR, shareholder activism in its entirety needs to be looked at, before then considering the legal regime which encourages such activism and any specific cases that are relevant, before drawing conclusions on the key question. Shareholder activism – the Theoretical Perspective The management of an organisation has, for a long time, accepted that the performance of a business is down to them and that, if the shareholders are unhappy about the performance or the returns of the business they may potentially walk away from the organisation or the position of the manager may be in jeopardy. Where shareholders take this type of action on board, it can be suggested that shareholder activism is in operation. Broadly speaking, there are several key reasons why which investors may pursue the shareholder activist approach. Firstly, shareholder activism occurs in order to procure a better return on shareholder investment; secondly, to ensure that the company pursues a different corporate strategy that will ultimately improve performance and profitability, a key example of this being the suggestion that the company should demerge; thirdly, to make changes in the management team; fourthly in order to pursue some form of special interest, such as a social and ethical agenda (it is this agenda which will be looked at in more detail in the paper below). Finally, shareholder activism is undertaken to influence the outcome of some form of corporate agenda that has already been pursued (Tarrow, 1994). Shareholders have always had the option of essentially voting with their feet, when they disapprove of the decisions of the management team. For example, they can simply sell their shares, where traditionally the criticisms of management decisions would take place in private, with shareholders simply moving away when they were displeased. Although the concept of shareholder activism is not necessarily new, in recent years, it has certainly increased in its operation and become much more prevalent. Examples of recent shareholder activism include action by an institutional investor, Knight Vinke Asset Management which lobbied for changes in the HSBC strategy, or in Tesco where shareholders became involved in demanding changes in working conditions relating to clothes’ suppliers in Asia. Interestingly, shareholder activism does not depend on the size of the market, with shareholder activism being a tool that can be used in any type of organisation. Those holding shares are also potentially able to act in this way and therefore this lends a considerably more diverse meaning to the notion of shareholder activism, which can be derived from a much broader range of sources (Roe, 2003). With this potential diversity in mind, the next step is to look at the tools that are available for the activist shareholder and to identify the statutory basis upon which such action can take place. Legal Basis One of the key statutory powers which are available in order to support shareholder activism is that of the Companies Act 2006 (the Act). This Act lays down the legal framework which enables a shareholder to exercise any of their legal rights when they are pursuing an activist agenda. The precise options available to the shareholder will depend on the type of company in which they hold shares; for example, there are different rights attached to public companies. For the purpose of this analysis, all potential legal rights will be looked at and it should be borne in mind that these may not always be available, particularly to shareholders of private companies (Wrneryd, 2005). In accordance with sections 303 to 305 of the Act, shareholders are able to call a general meeting. This is a strong element of the shareholder activism as it provides members with a platform in which they can make their requirements known. In the aftermath of the Shareholder Rights Directive 2009, members and groups of shareholders representing a minimum of 5% of the public companies voting rights are able to demand that the directors call a general meeting of the company. Similarly, where the directors choose to convene a general meeting there are rules associated with giving notice to the individual shareholders. This allows shareholders the opportunity to bring a platform upon which to discuss their own issues. Secondly, in accordance with sections 314 317, members with a shareholding of at least 5% or shareholders or that have at least 100 shares with an average of at least  £100 per member are entitled to demand that the company circulates a statement to shareholders of up to 1,000 words regarding a proposed resolution or any other business that is going to take place at the meeting. This again provides the shareholders with the information that they need in order to be potentially active. It is also noted that beneficial owners of shares can count towards the threshold in order to meet the 5% trigger (Belloc and Pagano, 2009). As well as the ability to gain access to the meeting and information in relation to the meeting, shareholders are also entitled to be active within the meeting itself. In accordance with section 338, shareholders holding a total of 5% shares can propose a resolution, a strategy that was used by the investor efficient capital structures but they required a resolution as part of the 2007 AGM of Vodafone plc to pursue a specific strategy. Furthermore, section 168 provides shareholders with the ability to propose the removal of the directors. Arguably, this is one of the greater sanctions available to shareholders, from the perspective of the individual directors. Where this process is being initiated, special notice of 28 days must be given of the intention to propose this resolution and to reasonably work in line with the articles of association of the company (Filatotchev, et al 2006). Importantly, section 116 of the Act allows any shareholders to gain access to the shareholder register which then may offer them the opportunity for the shareholders to join forces in order to deal with a particular agenda, making the ability to reach the 5% thresholds somewhat easier. There are, however, requirements for shareholders to ensure that when they are canvassing support they are doing so for the proper purpose. There are certain thresholds which allow shareholders to have rights, with 5% offering the opportunity to propose a resolution, to require an independent report in the case of quoted companies, the power to require companies to publish audit concerns, again in quoted companies, and also the power to include a matter that should be considered at AGM. When the required percent of the shareholders join forces, the power becomes much more threatening to the management team, as this is the requisite amount required a specific resolution. For example, at 75%, the shareholders can require a special resolution to be passed. The regime associated with proxies can play a very important role when it comes to shareholder activism with the 2006 Act making changes as to the way in which proxies can operate, allowing the property to be much more effective. For example, members have an absolute right to appoint a proxy who can attend a meeting and vote on their behalf. Another key area of shareholder activism emerged from the ability to use corporate representation, rather than using a proxy, as this allows shareholders a much greater degree of practical flexibility when they are unable to comply with proxy deadlines, or some other form of formality. Corporate shareholders are also able to appoint representatives by virtue of their own board resolution. Finally, it is worth noting that shareholders’ rights can be utilised by indirect investors. For example, under the 2006 Act, it is possible for the beneficial shareholders holding shares to enjoy information rights, i.e. to obtain information in relation to the company and in many cases the beneficial shareholders can count towards reaching the 5% thresholds. Although this goes beyond the scope of the discussion here, it is worth noting that these beneficial shareholders can have a direct impact on any agenda for shareholder activism. Examples of Shareholder Activism In order to gain an understanding of just how effective these legal provisions can be, the situation in Tesco can be looked at. In 2007, the poverty charity â€Å"War on Want† used the fact that it held a 5% shareholding in order to present a resolution at the 2007 AGM, with a view to ensuring a better deal for suppliers, in particular across Asia. The matter did not rest there and in June 2008 Tesco was targeted once again by a group of shareholders who were headed by an individual high- profile shareholder, to look at the living conditions of chickens, prior to their purchase by Tesco for sale. The shareholders in both these cases used section 338 of the Companies Act 2006, in order to demand resolutions relating to their individual issues. Once this resolution had been demanded, the company was required to circulate information relating to the resolution, as well as any supporting statements (Aguilera, 2005). This type of shareholder activism was seen to be successful in these individual cases and provided a real forum for the shareholders with a relatively minimal percentage to change the strategy and activities of the organisation itself. Tesco is not alone in facing these types of issues and many other large companies have also faced action from minimal shareholders, relating to specific issues such as wages for staff or supplier issues. This shows a clear indication of the willingness of shareholders to become much more active in putting their points forward and being willing to take on corporations by forcing resolutions to be placed and information to be provided to the broader shareholding (Hendry et al 2007). Analysis and Conclusions The question presented here is to consider whether or not shareholder activism can truly have an impact on organisations, when it comes to encouraging changes and improving corporate social responsibility within the organisation. By looking at the history of shareholder activism and the way in which shareholders are becoming much more willing to engage in the operation of the company, as well as examining the provisions of the 2006 Act which provide shareholders with the ability to undertake these activities, it is argued here that shareholder activism is a growing and real threat to management teams of all sizes. In particular, the 2006 Act offers a considerable opportunity for shareholders to demand information and to have certain items discussed at the AGM. By merely providing this platform for discussion, shareholders can become more active in order to ensure their ultimate agenda is not pursued. By looking at this and using a company such as Tesco as an example, it can be seen that groups of shareholders are gaining real attention and are able to have a direct and dramatic impact on the decisions made by the management teams, particularly when faced with the ultimate sanction that shareholders can request the removal of those directors who fails to comply (Gillan and Starks, 2000). It is concluded here, therefore, that shareholder activism is a real and direct method whereby shareholder groups can encourage changes in the strategy of the organisation relating to both corporate, social responsibility and any other relevant issues. References Aguilera, R.V. (2005) ‘Corporate governance and director accountability: An institutional comparative perspective’ British Journal of Management, 16: S39–S53. Bainbridge, S. M. (1995) The politics of corporate governance, Harvard Journal of Law and Public Policy, Vol. 18 (3), pp. 671-735. Belloc, M. and Pagano, U. (2009) Co-evolution of politics and corporate governance, International Review of Law and Economics, Vol. 29 (2), pp. 106-114. Filatotchev, I., Jackson, G., Gospel, H., and Allcock, D. (2006) Key Drivers of ‘Good’ Corporate Governance and the Appropriateness of UK Policy Responses The Department of Trade and Industry and King’s College London. Gillan, S.L. and Starks, L.T (2000) ‘Corporate governance proposals and shareholder activism: The role of institutional investors’ Journal of Financial Economics, 57 (2): 275- 305. Hendry, J., Sanderson, P., Barker, R. and Roberts, J. (2007) ‘Responsible ownership, shareholder value and the new shareholder activism’ Competition Change,11 (3): 223-240. Roe, M.J. (2003) Political Determinants of Corporate Governance: Political Context, Corporate Impact Oxford University Press. Schacht, K.N. (1995) ‘Institutional investors and shareholder activism: Dealing with demanding shareholders’ Directorship, 21 (5): 8-12. Tarrow, S. (1994) Power in Movement: Collective Action, Social Movements, and Politics in Marens, R. (2002) ‘Inventing corporate governance: The mid-century emergence of shareholder activism’ Journal of Business Management, 8 (4): 365. Wrneryd, K. (2005) Special issue on the politics of corporate governance: Introduction, Economics of Governance, Vol. 6 (2), pp. 91-92.

Answer the question Essay Example | Topics and Well Written Essays - 250 words - 28

Answer the question - Essay Example Such people are never alone and get easily terrified at the idea of getting acquainted with solitude for even a little while. Peer pressure to constantly remain in the world of mass media like Facebook, Twitter, Instagram etc. is so high that students are left with no choice but to become part of this popular youth culture. Otherwise, they are instantly labelled antisocial introverts. Research also claims that becoming part of the â€Å"in† crowd is just part of growing up in schools and colleges (p. 100). Social media in the form of a big societal force also has another shattering influence on teenagers or youth. It is no hidden reality that everyone is busy nowadays in trying to fit into an ever narrowing social ideal because that is how others want them to act. This social ideal is impressed by our social media which makes people insecure and uncomfortable with how they naturally look. Youth is most vulnerable and susceptible. This is because they very easily become a prey to the propaganda instigated by social media which is about looking thinner and more