Francisco Goya as Representative of Modern Art Essay

The culture of the museum, as well as its patrons, determines the vision of modern art. However, it is limited not simply due to the fact that tit negates or contradicts the aberrant and the other, but also because the preferences and interests of the patrons of the modern art have been peculiar or unusual with all the familiar concerns and obsessions of modern artists themselves. This consists of their concern with radical difference, their search for alternative forms of representation and their aspirations to demystify the classicism that inspired and shaped European art† (Doyle and Winkiel, 36). In order to understand the concerns of modern art through the artists, it is best to look at the life of Franciso Goya and the influences which shaped his brilliant art and masterpieces which gives emphasis to his right to be considered as the representative of Modern Art. In March 30, 1746, a young boy, future artist was born in Fuendetodos, which is considered to be a small town which is located close to Saragossa. The parents of this young boy, who was named Francisco Jose de Goya y Lucientes were Jose Francisco de Paula and Gracia Lucientes. The former was a gilder while the latter was a member of a poor but noble family. Even if Francisco Goya was only fourteen years old, he already took a four-year apprenticeship under the tutelage of Jose Luzan, who was considered to be an undistinguished who honed his painter skills through rigorous studies in Naples. Francisco Goya was part of the competitions which were sponsored by the Real Academia de San Fernando. It took place in Madrid in the year 1770 to 1771, but during that time, he was not that triumphant or victorious. In addition to this, when he participated in a competition which was sponsored by the Academia de Parma, he was only able to receive or obtain an honorable mention. However, this honorable mention cannot be taken for granted because it helped him receive pious commissions. These commissions were mainly from Saragossa, where Francisco Goya decided to settle by June in the year 1771. Franciso Goya’s wife is Madrid Josefa Bayeu, and they got married in July 25 1773. Madrid Josefa Bayeu is the sister of Franciso Bayeu, who is known to be the leading Spanish artist at the court. Josefa Bayeu was a very big help for Franciso Goya’s career. She helped him receive a position at the royal tapestry factory, for which Franciso Goya executed sixty-three cartoons by1792, wherein thirty nine are considered to be created before 1780. Franciso Goya has a competitive advantage against other painters because he is able to effectively use vivid colors and intense luminosity in his cartoons. In July 1778, Franciso Goya was able to publish his first serious groups of prints. Nine etchings in these prints were after the paintings created by Velasquez which can be found in the royal collection. In May 1780, he was unanimously voted or elected to the Academia in Madrid. His â€Å"Christ on the Cross† (Prado, Madrid), a conventional neoclassical painting was a great help for Franciso Goya to receive such position. In March 1785, he was chosen to be the deputy director of the Academia (Brown and Mann, 3) Approaching the end of the year in 1792, Francisco Goya suffered a mysterious illness which disabled him for much of the following year. This mysterious illness also caused him to become permanently deaf and eventually, reevaluate his goals as an artist. Francisco Goya’s powerful social commentary which is the result of his developed fantasy and invention can be observed in â€Å"Caprichos†. â€Å"Caprichos† is a series of eighty etchings which Franciso Goya offered for sale. Francisco Goya’s brilliant use of realistic observation mixed with brutal distortion creates an extraordinary power to the scenes which Goya had drawn from both the daily life and his own imagination. However, the sardonic criticisms that was received by Franciso Goya regarding his works, especially those from the existing social order, made him decide to remove them for sale. Between 1797 and 1798, Franciso Goya was able to receive the commission for the frescoes in the hermitage church which is located in San Antonio de la Florida in Madrid. He was able to receive this because of the help of Jovellanos who was the Minister of Grace and Justice, from November 1797 until the August of 1799. Franciso Goya inverted the customary baroque display or arrangement by illustrating the angels under the dome in which he characterized Saint Anthony conducting a miracle. Unlike the works of the other artists, â€Å"vigorous brushwork and the definitions of the figures primarily in terms of large, flat planes of intense color, unprecedented in church decorative schemes† were observed in Franciso Goya’s works. (Brown and Mann, 4) In 1819, Francisco Goya suffered a relapse of his illness. He again endured this illness which nearly cost him his life. This traumatic experience of Francisco Goya can be observed or is most likely reflected in the fourteen Black Paintings which he created in Prado, Madrid, in the year 1820 or 1823. Using oil as a medium, he painted directly on the walls of two rooms in the country house on the periphery of Madrid, generally known as Quinto del Sordo which is translated as the house of the deaf man. It was named after him, â€Å"the deaf man†, because he had purchased it in February 1819. His rough handling of paint and expressionistic distortions intensify or gave emphasis the violence of his works, particularly in the image of â€Å"Saturn Devouring His Son†. Several attempts have been made just to interpret Franciso Goya’s works, but these highly personal paintings challenged and disregarded any rational explanation (Brown and Mann, 5). Designing tapestries during the time of Francisco Goya was not a highly regarded task. In addition to this, it is not even well paid. However, designing tapestries offered Francisco Goya a chance or the break to start in the big city. The commissions that he received from designing tapestries came directly from the Court. After five years, Franciso Goya presented his designs to the King and the Crown Prince and Princesses in person. In this manner, he had the privilege of kissing their majesties’ hands, which is definitely one good indication or sign for a man who is eager to rise to the top (Hagen, 7). The prince, Charles IV, was particularly fascinated with the hunted, broadly with themes of the hunting. As a result, Francisco Goya mainly designed hunting scenes. When the heir to the throne took Maria Luisa of Parma as his wife, Francisco Goya’s art was changed. Maria Luisa wanted her tapestries to show the popular diversions, or scenes which show ordinary people enjoying pleasurable pursuits, which the temperamental Italian princess was not allowed to indulge at the strict Spanish court. Charles IV’s wife yearned to surround herself with light-hearted scenes which depicts everyday life also influenced the trend which is being acted out in the theaters of Madrid; â€Å"between the acts of classical dramas, the public would be entertained with comic scenes from the daily lives of the lower classes† (Hagen, 7). Not like the religious or pious themes of Franciso Goya’s Saragossa work and the hunting scenes which he created for the Crown Prince, the work of art which he created for the Maria Luisa now provided Francisco Goya the motivation. It also gave Francisco Goya the chance to illustrate how people behaved and how they treated each other, as well as the opportunity to show his representation of these things in his own perspective. Moreover, it can be said that he expounds these themes humorously and light-heartedly, which he would later present in a completely different light. From this early stage or phase stems the self-portrait of Francisco Goya, in which he is looking neither skeptical nor gloomy. It is not actually a self-portrait of Francisco Goya, but the broad, flat face with high cheek-bones, undoubtedly shows that it is him. Unmistakably at a â€Å"novillada†, Francisco Goya can be observed to be standing with a number of other young men situated near a bull. â€Å"Novillada† means a bloodless fight with a young bull. Goya himself testified to have engaged in such risk-laden chase or recreation, though speculations that it is just a rumor he spread himself are present. Considering the fact that bullfighting fascinated him right up to the end of his life, it would look that it is not out of his character. A strong indication or support for this would be the time when he signed one of his letters using the title â€Å"Franciso de los Toros†, which is considered or translated as â€Å"Francisco of the bulls† (Hagen, 10). Francisco Goya, however, was not only familiar with the bulls but also the majos and the majas or the men and women from the lower quarters of Madrid. These majos or majas unlike the other residents of Madrid, have a particular style of dress and conduct. The typical majo is said to be proud, easily offended and quick to pull a knife. In addition to this, he is relished with eye-catching costume and, as far as he could help it, the majos never worked. This unwillingness to perform any type of work at all known to be widespread among Spanish men in the 18th century, dated back to the time when Columbus discovered America. The new colonies sent their gold back to the king. The king in return, gave it to his favorites and his far too many officials and officers. Although this â€Å"Golden Age† was long gone, the pretension to idleness and redundancy had remained, even among those classes who had never directly profited from the king’s gold (Hagen, 10). The female pendant to the majo was the maja. The maja is considered to be a woman with passionate nature who took a delight in being provocative. In his representations or interpretations of majas, Francisco Goya challenges the concerns and issues of class and race. He also emphasizes the power of the gaze itself. Based on the writings of the French Ambassador of Spain in 1788, according to the accounts of J. E. de Bourgoing, the majas are indeed considered as the lower class but, for the bewitched majo, the maja was â€Å"the most seducing priestess that ever presided at the altars of Venus† (Mahon, 42). The limitation of the real majas would be the majism. Majism is the sub-cultural style of life and the way of dress, considered to be a significant aspect during the revolutionary call for democracy in the nineteenth century. Francisco Goya’s â€Å"The Naked Maja† (1798-1805) as well as her counterpart, â€Å"The Clothed Maja† (1800-1803), represents the power of the majism during their times. For the â€Å"Naked Maja† and the â€Å"Clothed Maja†, they boldly or shamelessly face the viewer. The majas posed heir hands in order to maximize the erotic effect which they inflict on their viewers. The maja’s fashionably coquettish shoes, shimmering dress and lace bolero in the â€Å"Clothed Maja† appears all the more tantalizing or enticing as compared to her bare flesh which can be observed in the â€Å"Naked Maja†. She is not, however, idealized or innocent due to her charms. Rather, she is a daringly erotic portrait or representation in an era when nudes are considered to be illegal or banned in Spain because of the influences of the all-powerful Church on erotic fashion or masterpieces. The erotic messages conveyed by fashion involve the interplay of their whole body and the perspective of both sexes. More particularly, it can be said that they are most acutely focused in the proportions of the female torso. It is the most considerable field of fashionable alteration and at the same time the one where the shape of fashion most willingly comes into view to wear the genuine look of nature. The placement, the depth and width of the pelvis, the relative girth and length of the rib cage, size and shape of the breasts, the set of the neck and shoulders, and the exact disposition of its fleshy upholstery, front and back, all these, along with the styles of posture both seated and upright, are continuously shifting visually, according to the way clothes have been variously considered in history to help the female body give the impression of being more beautiful and natural on their terms. Nude art, inescapably dedicated or devoted to Eros, recognizes those terms. Francisco Goya’s â€Å"Naked Maja† and â€Å"Clothed Maja† in Prado, Madrid are generally recognized as erotic. They are considered as such not just because of the shadowy suggestion of pubic hair. One of the most significant characteristics of the naked maja’s body is that it gives the impression of showing the effects of corseting without the corset, which on the other hand, is very positively present in the clothed maja. The high, widely separated breasts and rigid spine of the recumbent naked maja are as erotic as her pubic fuzz or sexy smile. Her breasts certainly disobey the law of gravity and her legs, comfortable or accustomed to emerging through the light-weight and to a certain extent, narrow skirts of the day, are self-consciously disposed for effect, comparable to that of a twentieth-century woman. It is the definite effect of her missing fashionable dress or costume that makes her a purposely or deliberately a sexual image (Hollander, 91). In this way, Francisco Goya’s majas can be observed within the context of his 1796-1797 â€Å"Caprichos†. The term â€Å"capricho† was coined after the Italian word â€Å"capriccio†, which means â€Å"a caprice or jeu d’esprit† outside the usual rules. In the year 1790s, capricho was referred particularly to the arts and to the power of imaginative and creative initiative and resourcefulness rather than observance of the traditions, norms or custom. Locally, the term was also utilized to illustrate or exemplify the moral points created in Spanish comedies. Francisco Goya, being a a keen theatre-goer, it is this understanding of the term that critics often use when reading his art. The paintings of the majas are part of this â€Å"capricho spirit† too, as they refer to the personal and the political. Goya create distortions in his patron, the Duchess of Alba and her courtly lifestyle wherein the Duchess was rumored or thought to be the model of the Naked Maja, due to the speculation that both have rich black hair. On the other hand, Francisco Goya’s â€Å"Caprichos† illustrate his faith in the power of fantasy not merely to lead art into a brave new world but to help depict and represent the hidden desires and fears of a politically corrupt society, and so to enlighten it too (Mahon, 43). Francisco Goya has been renowned as one of the greatest artists of all times and as an essential and a pivotal figure in the expansion and maturity of modern art. Francisco Goya’s utilization and management of the textual qualities of paint and the expressive and emotional intensity of much of his imagery to a great extent influenced later painters. Impressionists, romantics, symbolists, realists, and surrealists have all considered him as their spiritual ancestor. Francisco Goya’s oeuvre, which has been considered or contemplated to be consisted of 688 (Gassier and Wilson) to772 (Gudiol) paintings, is as diverse as it is large (Brown and Mann, 5). Francisco Goya also represents additional feminine sensitiveness and it is imbued or drenched with temperament. This is the quality of Francisco Goya’s impressionism which makes it modern (Caffin, 203). Francisco Goya as an artist is perceived and understood as being critical or even disapproving of conventional portraiture, which is considered as socially elevating, consistentand in large measure, banal. This analysis of the recipes of portraiture is frequently construed as an analysis of class-based society itself. Tradition in portraiture is not at all monolithic, if one considers the work of Francisco Goya where the communicative and expressive range inside the genre is adequately or sufficiently grand to act as precedent or example for almost any modern portrait (Brettell, 169). Works Cited Brettell, Richard R. Modern Art, 1851-1929: Capitalism and Representation. New York: Oxford University Press, 1999. Brown, Jonathan, and Richard Mann. Spanish Paintings of the Fifteenth through Nineteenth Centuries. USA: National Gallery of Art, 1990. Caffin, Charles Henry. The Story of Spanish Painting. Michigan: University of Michigan, 1910. Doyle, Laura, and Laura A. Winkiel. Geomodernisms: Race, Modernism, Modernity. USA: Indiana University Press, 2005.

Racism in Professional Sports

Racism is a problem that has existed in our society for many years. The roots of racism date back to when slavery was considered normal, and even further back then that. Racism happens all the time, everyday and everywhere. It is a complex issue which occurs at many different levels. In the world of sports racism is happening more often and becoming more of a concern. The first major example is of Jackie Robinson. Robinson is considered a leader in the black community for breaking the color barrier in the sport of baseball. Although Robinson went through a great deal of prejudice, many black athletes today face similar problems. The National Hockey League, Major League Baseball, and many other associations are dealing with this problem even still today. Racism doesn't only occur on the field. Today the management side of sports is more racist then the on field part. Racism is a problem that existed in sport when it first originated and continues to exist even in the world of sport today. Racism started in the beginning of sport when there were two separate leagues, the white league and the black league. It was in 1947, when Jackie Robinson stepped into the white world of baseball, that people noticed this was occurring. At the time no one was concerned with this because everything was segregated back then. â€Å"The verbal taunting, physical abuse, and death threats unleashed on him and his family had the 27 year old on the verge of mental breakdown (Guss, 1997). Robinson got through it by ignoring all those comments and using it as the reason he would play, to prove everyone wrong. He realized that he represented an entire race of people and if he were to explode he would condemn himself and his entire race. â€Å"I suffered then because I hoped to provide a better future for my children and for young black people everywhere, and because I naively believed that my sacrifices might help a little to make America the kind of country it was supposed to be†(Guss, 1997). Despite all the negativity, Robinson excelled in the majors by winning the 1947 Rookie of the Year award and helping lead his team to the World Series. Robinson's perseverance throughout his career is what paved the way for black athletes to make a stand and prove to the world that they can compete with white athletes. After Robinson's career was over the opportunity for black athletes to play on the same level as whites athletes had increased greatly. Although Jackie Robinson was discriminated upon half a century ago many black athletes today have to go through similar racism. In Major League Baseball racism is still a concern. Even though today African Americans are given an equal opportunity to compete, there are still certain people and players that disagree with this. In the same day and age that Albert Belle can earn $10 million per year, indicating that players are paid based on talent rather than skin color or personality, African Americans failed to make any progress (Guss, 1997). A big controversy that occurred during the 2000 baseball season included Atlanta Braves relief pitcher John Rocker. In an interview with Sports Illustrated Rocker made many derogatory, sexist, and racist remarks about the city of New York and the people who lived there. For his actions he was given a 22 game suspension and a reputation in society and throughout baseball as a racist(http://www. spn. go/profile/prifiles. com/mlb). Another example of racism in modern day baseball involves Marge Schott. â€Å"In an interview with Primetime Live, Cincinnati Reds owner Marge Schott repeated her belief that everyone uses the word nigger. She argued that racism is an invention of the press. Schott had been suspended from baseball for allegedly declaring that ‘I'd rather have a trained monkey working for me then a nigger,' and remarking ‘Hitler was good in the beginning but he went too far†(Steinberg, 1992). Schott was punished for her remarks with a $25,000 fine, a suspension for one year, and removal from the Reds day to day operations. Baseball chairman Bud Selig wants to make it clear to everyone associated with baseball that racism will not be excepted in this business. From John Rocker to Marge Schott the world of baseball has been altered by their remarks. It was thought that there was racist thoughts in Major League Baseball, but these two actions brought it to the forefront. The chairman definitely made the right move by suspending and fining these two. By doing that he shows that â€Å"racist utterances have no place in the national pastime†(Kirshenbaum, 1993). The National Hockey League is a sport that has been dominated by white players for its entire existence. There is an extremely small percentage of black players in the NHL today. Mike Greer of the Edmonton Oilers is one of these few black players. During one of the games last season Greer was being given a hard time and players kept yelling racial slurs at him. Another incident that occurred was between Marty McSorley and Donald Brashear. Donald Brashear, like Greer, is one of the few African Americans in the National Hockey League. The incident that occurred between these two was that McSorley hit Brashear in the face with his stick. This happened toward the end of the game, in which MrSorley was immediately thrown out of the game. NHL Commissioner Gary Bettmann acted quickly by hitting McSorley with a suspension for the remainder of the regular season, which only had twenty three games remaining. This was the longest suspension for any player due to an on ice incident. On top of that suspension the case was taken to court. â€Å"Although McSorley was found guilty by a Canadian court he received only an eighteen months probation, and the offense won't appear on his record if he completes the time without violating the terms of the probation. McSorley is also forbidden to play against Brashear in Canada or the U. S. during the probationary period. As an unrestricted free-agent it's possible no one will sign the 17-year veteran; if they do, he must meet with NHL Commissioner Gary Bettman before being reinstated†(Hardesty, 2000). Race is an issue everywhere and it always going to be,† says Pro Bowl running back Ricky Watters. â€Å"It's sneaky now. The owners have to be politically correct now. It isn't fashionable anymore to be a racist. Now they have to kind of go behind the scenes, but believe me it's still there. It's not really something you can explain. It's just a feeling. Just look at how many black head coaches were hired this year†(Guss, 1997). This quote was in response to the year of 1997 when Sherm Lewis, offensive coordinator for the Green Bay Packers who is African American wasn't even interviewed for a head coaching job. This is an issue because teams usually look for successful coordinators to be the head coach of their team. Sherm Lewis had just led his team to a Super Bowl appearance, while having his offense lead the league in points and yards per game. On top of this Dan Reeves, former coach of the New York Giants, was offered a head coaching position for the Atlanta Falcons after going 31-33 his last four years. It makes you wonder why a successful offensive coordinator with four Super Bowl appearances under his belt would not get interviewed while another man with a poor record would be given a head coaching job. As NFL's all time sack leader Reggie White puts it, â€Å"There is racism in the NFL. There are teams who have problems with black coaches and black quarterbacks†(Guss, 1997). Racism does exist in every aspect of life. From earlier times to more recent times it is obvious that racism is a part everyday life. When Jackie Robinson broke the color barrier in sports in 1947 he had imagined that by today things would have changed significantly, and to some extent they have. Even though African Americans are now allegedly offered similar treatment in sport, they are still treated differently. In all sports there is a very small percentage of African American coaches and managers. In some cases the black coach has had a much better resume, but still not given the job. This is the world we live in today. Racism is still a problem and will continue to be until their are changes made in the front office. As Hank Aaron says, â€Å"It's a closed society in many ways. We will still have some problems in sports, no question about it. I want people to realize that we still have a long way to go†(Guss, 1997).

True West by Sam Shepard Essay Example | Topics and Well Written Essays - 1000 words

True West by Sam Shepard - Essay Example Additionally, the strong technical design created a relationship between audience and actors by taking them right into the actor’s world. The scenario is such that haunting echoes occur during monologues. There is an ornate from which water drips. The design is multipurpose, simple, and beautiful. Additionally, the costumes that the actors receive from Sam Shepherd indicate and reflect a unique, wonderful, and exceptional personality of the characters in a quite nice manner. For instance, He decorates Austin formally. This is because Austin is the clear and open-minded actor among the characters in the play. For Lee, he is dressed lazily and with no style, this reflects his tumble and uniquely rough character. On the other hand, Saul is dressed intriguingly eccentrically. His high status and swag allows him to have this dressing mode, which makes him stand above other actors and characters in the play. In fact, Saul is presented as already successful man. Similarly, the mother is conservatively dressed as Sam Shepherd points out. This goes a long way in blending well with her almost apathetic reaction and behavior to the haunting scene that takes place near the close of the play. As the actors change and undergo suffering with the proceeding of the play, the props also change. For example, the house in which the play takes place is in a pristine condition at the onset of the play. In fact, it clean, neat, and suburban house in California and is being taken care of by a screenwriter. He already began working harder upon the introduction of actors to him. The house has several houseplants that are mentioned countless times in the play and greatly symbolize the unmovable stand by Austin to maintain order that his mother and him adhere to. It is Californian kind of order. As a result, Austin has been given a responsibility to take care of them and he does so. However, after the arrival of Lee, the attention of Austin is diverted towards questioning about his identity and ideals. For this reason, the houseplants are neglected and they end up dying together with Austin’s lifestyle towards the end of the play. The mother greatly misses the houseplants since she misses the order and lifestyle of her life at home, she returns home only to find the plants died long time. This is symbolic of the death of her lifestyle too. As life takes a wrong turn for Austin after his brother interferes with his career life, the audience must also notice the significant change in settings within the house and change of sounds outside. For instance, the crickets become more aggressively loud, and the coyotes increasingly become destructing. The plants slowly by slowly die, the state of the kitchen turns into a state of disarray, and the only resource that kept Austin focus and committed to his work, the typewriter, eventually gets destroyed upon Lee’s attempt to try screen writing and gets frustrated with it. Consequently, the destruction and t he decay of props accompany or rather correspond with the destruction and end of Austin and Lee. Their lives are greatly infected by the presence of each other as Austin is disappointed and annoyed by Lee whose attitude is brutal and mad towards life and cannot comprehend Austin has strongly held ideas. The cherished order is thrown into chaos upon choosing Lee’

The Strategy that The Chronicle Gazette Must Implement to Further Essay

The Strategy that The Chronicle Gazette Must Implement to Further Penetrate and Maintain Its Market - Essay Example This research will begin with the statement that one among the leading newspaper in a major metropolitan area in the United States, The Chronicle Gazette, has a paid circulation of 225 customers. It is one among the highest rated newspaper in America. In fact, its writers have been recognized and awarded for their excellent works. Despite this fact, the Chronicle Gazette is challenged by a steady decline in its customer base subscription as well as its advertising revenues. It has been observed in the past 8 years that there has been a drop of a total of 35 percent among the customer base subscription to Chronicle Gazette. As a result, its advertising revenues have also deteriorated by a total of 28 percent. This is not only true for the case of Chronicle Gazette but also valid for the cases of other huge newspapers like New York Times and Wall Street Journal. Meanwhile, this continuous decline in subscription and advertising revenues to Chronicle Gazette and the whole newspaper publ ishing industry in the United States are largely caused by the increasing dominance of the Internet. This is because the Internet has largely become today’s means of news and information dissemination. Unlike newspapers, access to news to the Internet is for free. Aside from the free subscription, news accounts are indeed up – to – the – minute. The Internet is certainly more advantageous than a newspaper for having also video recordings on hot topics that can be played and watched. The Internet is very fast, up – to – the – minute, and has different features, unlike newspapers. Moreover, videos can be watched and more topics can be further explored by just a click on the Internet. According to Hoover’s Inc., there are approximately 2,000 companies that comprise the newspaper publishing industry in America today. The total annual revenues of the newspaper industry in America amount to approximately $30 billion in which majority of this earning come from the advertising revenues followed by customer base subscriptions. On the one hand, the circulation of the newspaper industry in America sums to an almost $50 million daily. Nonetheless, a constant decline in the circulation, as well as advertising in newspapers, has been observed over the past few years. This is because of the technological advancement of the Internet. People can readily access news and information any time they want for free. Internet news is up – to – the – minute and can be accompanied by videos and other details with just a click on the internet. 2.1 Data on the Declining Circulation and Revenue According to the Newspaper Association of America, there is an observed decline in the circulation of newspaper copies in the United States over a ten – year period. From the total number of 115,194,000circulated newspaper copies in 2000, it has significantly reduced to 97,712,000 in 2008.

Sustainable Solutions Paper Research Proposal Example | Topics and Well Written Essays - 250 words

Sustainable Solutions Paper - Research Proposal Example They also have more powers with their suppliers given their market share in the industry (Kurtz & Boone, 2011). Bargaining power of buyers: Comcast product prices have been on the rise, hence showing their powers on consumers. Most consumers are willing to buy even at higher prices because they have no options since this is the only company offering cables. Switching cables with others is expensive, hence minimizes the pain by buying from Comcast (Teen, 2014). Availability of substitutes: there had never been a substitute until recently when consumers had a choice of satellite or cable. For now, consumers can choose their connection to be cables or satellite, and it seems they will stay for longer (Teen, 2014). Competitive rivalry: there is competition from satellites which has resulted in price cuts, but not much. The prices have started rising again, despite the competition (Teen, 2014). However, there is fear that Cables or satellite will wipe the other to enable price cut. Comcast is a big organization and able to get favorable deals with content producers such as Disney and football leagues. This gives them the advantage to have a frequent supply of content to its customers hence adding value. Similarly, the organization has a close tie with technology partners, hence have a strong ability to offer superior products to customers (Eaton, 2010). The company has also increased customers value by converting its infrastructure to digital to maximize bandwidth capacity. It has also cluttered its acquisitions to improve the existing infrastructures. More so, it is leading in innovation by researching on products and developments as well as supporting activities to enable it satisfy its clients (Eaton, 2010). Secondly, the company has focused category targeting. For instance, it has products tailored for each market niche it

Predictive sales Report Essay Example | Topics and Well Written Essays - 2000 words

Predictive sales Report - Essay Example The upswings in the economy usually offer a rush of expanding the business; on the contrary, downward economy results in low business transaction. In strong economies, business enjoys greater prosperity. Along with that, it is also necessary to consider the other economical indicators of a state in order to exactly determine the scenario (Albuquerque & Vega, 2009). In this report, the economic condition of South Carolina will be highlighted and on the basis of that the retailer will be recommended to stock the inventory. In addition to recommend the appropriate stock inventory, the study also intends to formulate a predictive sales report. In order to shed light on the economic condition of the state, the most important factor that will be considered is the unemployment rate of the state. The unemployment rate will be the factor that will be stressed more. Studies have shown that the unemployment rate of a country has significant impact on the overall trade of a country. Unemployment Rate as an Economic Indicator During recessionary phases, the unemployment rate rises to its maximum level. For example, the unemployment rate during booming and normal phases is far below in comparison with the unemployment rate during recession. The 1975 depression saw global unemployment rate reaching 8.9%. ... The unemployment rate is also considered as the relative measure of the jobs available for employment and the tightness or slack of the labor market. Therefore, the unemployment rate of a state plays imperative roles in presenting the economic scenario of state and is acting as an alarm for the administration and government (Balduzzi, Elton & Green, 2001). Nowadays, business houses have also taken immense interests in the latest unemployment rates of a country or state so as to determine the chances of success for the business. This is principally because the unemployment rate is directly associated with the consumer spending. Thus, more unemployment rate will obviously lead to low customer traffic and reduced business transaction. Since, this report seeks to throw light on the economic scenario of South Carolina so as to recommend an overall inventory stock to the client, involved in physical retailing business, stressing more on the unemployment rate is fully justified. Presentatio n of the Data The data will be gathered from the website of the Job and Labor Statistics. In order to analyze the requirements of the inventory; the study will mainly consider the unemployment rate of South Carolina and along with that overall economic scenario of the state. A trend will be developed and on the basis of that inventory stock will be recommended. The findings of data are presented below: - Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2003 6.4 6.4 6.5 6.6 6.8 6.9 6.9 7.0 6.9 6.8 6.8 6.7 2004 6.7 6.8 6.8 6.8 6.9 6.9 6.9 6.9 6.9 6.9 6.9 6.9 2005 6.9 6.9 6.8 6.7 6.6 6.6 6.7 6.8 6.9 6.9 6.8 6.7 2006 6.6 6.4 6.4 6.4 6.4 6.5 6.5 6.5 6.4 6.3 6.2 6.1 2007 5.9 5.7 5.6

Social and Political Philosophy Essay Example | Topics and Well Written Essays - 1250 words

Social and Political Philosophy - Essay Example Locke was amongst earliest thinkers who subject the problem of freedom to empirical analysis with the help of theory of social contract. From 1675, having clarified his socio-political ideology, he flitted between England to the continental Europe according to how well the regimes matched his ideas. The Glorious Revolution of 1688 in UK had much to further strengthen Locke’s ideology. In his political thought Locke reasoned against the inalienable, divine and hereditary right of the monarch to rule. Locke professed that the power of good governance gets invested in the ruler with surrender of right to life, liberty and property by the citizen as a rational purpose to secure his freedom. Such laws applied to communities as a whole with exception of none. If the ruler trampled upon the rights of his citizens, his forfeited the right to rule. A relationship of trust existed between man and the Government. He set forth his political agenda in the ‘The Two Treatises of Government.’ At the psychological level, he agreed with Hobbes that compatriot empiricist, that all perception occurred through the sense but stating his political ideology, but at the political level he argues against Hobbes of the right to rule is invested in the monarch through divine intervention. With Hobbes, Locke endorses the idea of ‘self-interested’ of man but disagrees with him that he is desire-driven and selfish. Man, according to him is naturally social and altruistic (Ess, n.d). Endorsing the Glorious Revolution of 1688, he argued that right to rule could be forfeited if the ruler failed to protect the rights of the citizens. Locke wrote that man was moral and equal in the state of nature and he willingly enters into ‘social contract’ of the civil society, to advance his ends of peace and security People surrender unto a government a measure of their natural rights to secure the

Natural resources Research Paper Example | Topics and Well Written Essays - 1250 words

Natural resources - Research Paper Example So, there are several industries that are considered as natural resource industries such as mining, fishing, forestry and many others but agriculture is barred from this list. The name ‘natural resource’ was suggested, by E.F. Schumacher in the book published in the era of 1970s called as Small is Beautiful (Longstreth, 2011, p.4). Categorization of Natural Resources Natural resources are categorized into renewable and the non-renewable ones. Renewable resources are the ones, which can replenish themselves, provided that they are not over-harvested and are utilized wisely (Perman, 1999, p.9). The examples include fishes, forests, trees and other things. Once, these renewable resources are utilized at a speed which is greater than their normal tempo of replacement, the entire reserves will decrease in quantity and ultimately be depleted. The speed of utilization of a natural resource should be equal to the replacement speed and the quantity of reserve stock of a particula r natural resource. Inorganic renewable natural resources comprise of soil and water. Flow renewable resources can be harmonized with renewable resources but the difference is that they do not require renewal like the renewable ones. Renewable power sources that are incorporated in the list of Flow renewable resources are of sun: solar, of earth: geothermal, biomass, landfill gas, of sea: tides and wind. Resources can be further categorized on the grounds of their source of origin: biotic ones and the abiotic ones (Perman, 1999, p.9). Biotic resources result from the living beings but the abiotic resources are originated from the non-living components of the earth such as land, air and water. Other resources such as those related with minerals and power are also in the abiotic category, though some of them are derivative of the natural resources. Non-renewable resources A natural resource, which is present in rigid amounts and cannot exist, grow or renew itself at a speed as it is u tilized, is a non-renewable resource. Few of the non-renewable resources can become renewable but they require very long time duration to come into this category such as the fossil fuels which need millions of years to build up in moderate amount but they cannot be called as exactly renewable. Natural capital Natural resources can become natural capital when they are used up as a commodity that can help to increase the infrastructural capital developments (Perman, 1999, p.9). These can comprise of loam, timber wood, various oils, different minerals and some other sort of products that are digged from the earth. Both the mining of the essential resource and then refining them to an unpolluted, straightly functional form, for example, some metals and the refined oils, are usually designated as the natural resource capitals, although the latter may perhaps not essentially happen next to the former one. A country’s natural resource, sometimes, verify its capital and the repute in the world economic structure, via depicting the political affect in it. Urbanized states in the world are actually not reliant on natural resources for riches, because of their increased dependence on infrastructural capital for fabrication of new products. Though, some view this resource nuisance which might harm the future vistas of a nationalized country because of the time that is wasted in offering bribes for other similar sort of economically non-productive activities that do not lead

Floating charge Case Study Example | Topics and Well Written Essays - 3750 words

Floating charge - Case Study Example A search at Company's House had not revealed any other existing charges. This floating charge was registered on the 24th of April 2008 at Companies' House, the same day it was created. In October 2008 Marina and Mortimer also decided to double their orders for polymeric fibers with Synthetic Fibres Plc, needed for the production of fake furs. Synthetic Fibres Plc insisted on a reservation of title clause in all contracts for future supplies of polymer fibers. In November 2008 Synthetic Fibres Plc made a delivery of '30,000 worth of polymeric fibres to Imitation Furs Ltd. Following the advice of their accountants on the 18th of March 2009, Imitation Furs Ltd is now in insolvent liquidation. To come up with an answer to the question, it is necessary to define first the meaning of floating charge and reservation of title clause (or simple retention of the title clause), where, when and how they are used, who can use, and the extent of their use. This paper will first begin with the discussion on the floating charge on the first part and the discussion of the simple retention of title clause on the second part. The discussion and conclusion will be based available scholarly works and decided cases relevant to the topic from reputable sources in the internet in answering the question. A floating charFloating Charge, Defined A floating charge is a mortgage, debenture or other security documentation, is likely to create charges over particular assets as security for borrowings or other indebtedness. There are essentially two types of charge, floating and fixed. A floating charge is appropriate to assets and material which is subject to change on a day to day basis, such as stock. Individual items move into and out of the charge as they are bought and sold in the ordinary course of events. The floating charge crystallizes if there is a default or similar event. At that stage the floating charge is converted to a fixed charge over the assets which it covers at that time. A floating charge is not as effective as a fixed charge but is more flexible.1 History of Floating Charge Floating charge has its roots from the United Kingdom.2 Historically, there is no legislation and no judicial decision that was a genesis of a floating charge, and the nature of the chargee's interest in the charged assets (or fund assets) remains doctrinally uncertain. The earliest descriptions were given by Lord Macnaghten in two cases.3 First, In Government Stocks and Other Securities Investment Co Ltd v Manila Rly Co [1897] AC 81 at 86 he said: "A floating security is an equitable charge on the assets for the time being of a going concern. It attaches to the subject charged in the varying condition in which it happens to be from time to time. It is the essence of such a charge that it remains dormant until the undertaking ceases to be a going concern, or until the person in whose favour the charge is created intervenes. His right to intervene may of course be suspended by agreement. But if there is no agreement for suspension, he may exercise his right whenever he pleases after default." Later in Illingworth v Houldsworth

Report on Business Level Strategy Essay Example for Free

Report on Business Level Strategy Essay Any given organization may comprise a number of different businesses. Each operating in distinct markets and serving different customers. A market is defined by demand conditions and based on an organization’s customers and potential customers. Industry is determined by supply conditions and based on production technology. Business level strategy is a means of separating out and formulating a competitive strategy at the level of individual business unit. This is sometimes referred to as a Strategic Business Unit (SBU). A Strategic Business Unit is a distinct part of an organization which focuses upon a particular market or markets for its products and services. The parent company sets the overall or corporate strategy. The role of the business unit is to devise a strategy which allows it to compete successfully in the marketplace and to contribute to the corporate strategy. A sustainable competitive advantage is about performing different activities or performing similar activities in a different ways. In other words, the firm must be capable of producing value for the customer that is recognized as being superior to that of its competitors. Michael Porter (1980) developed three generic strategies to help an organization outperform rivals within an industry, and so successfully position itself against the five forces. These strategies are referred to as generic because they apply to different types of organizations in different industries. The first of these three strategies is called Overall Cost Leadership. A cost leadership strategy involves a firm being the lowest cost producer within the industry. This allows the firm to outperform the rivals within the industry because it can charge lower prices and its lowest cost base still allows it to earn profit. In effect, this firm can charge the lowest price within the industry which the rivals simply cannot match. Therefore, a cost leadership strategy allows the firm to make superior profits. A Differentiation Strategy is based on producing products or services which are perceived by the customers as unique or different. A differentiated product has the opportunity to meet different customer needs more closely. It is the difference that is the basis on which the customers are prepared to pay a premium price. Clearly, the cost of producing differentiation must not outweigh the price being charged. Or, put another way, customer should be prepared to pay a price which exceeds the costs of differentiation, thereby allowing the organization to earn superior profits. The third Strategy is referred to as a Focus Strategy. A Focus Strategy allows an organization to target a segment of niche within a market. The segment may be based on a particular customer group, geographical markets, or specific product lines. Unlike overall cost leadership and differentiation strategies which are industry-wide, a focus strategy is aimed at serving a particular target market efficiency.

Pricing Options using Binomial and Trinomial Methods

Pricing Options using Binomial and Trinomial Methods Published in the 1970s, the Black-Scholes-Merton model provided an entirely new definition for the financial option market, half a century later the Binomial tree option pricing model was published, and that is the true key that allows the option market to be generalized to the world. Based upon the Binomial model, the Trinomial option pricing model was built to reduce possible errors and persons thus expected it to be a better approach. Still how much better is the Trinomial model, and is it worth spending the time on calculations? These will be the key comparisons provided in this dissertation. The comparisons are based upon computer calculating time used, and approximation error. An illustrative example is used to build the data base for further comparison of the convergence speed of these two models. All the values are calculated using the Matlab program and Casio calculators in order to provide examples of the assumption that the Trinomial option pricing model is a better model in reducing the approximation error, but takes much longer than the Binomial tree model to get the results. Chapter 1 introduction The emergence of financial derivatives in the 1970s marked a highly significant and exciting event in the history of finance. Options trading began in the United States and European markets in the late eighteenth century, and over the last 20 years, options played a key role in all financial derivatives. The option price was an old question for the financial world. Back in the 1900s Louis Bachelier published his academic dissertation ThÃÆ' ©orie de la speculation (Theory of Speculation), which became known by the public as the milestone of modern finance. The random walk theory, which built a random model of the stock prices changing pattern and how it follows in the stock market, was first applied in his paper. In 1964, Paul Samuelson (Nobel Prize in Economic Science winner) revised L.Bacheliers model, and instead of the stock price he used stock returns to eliminate the negative figures which might occur in L.Bacheliers model. Based upon this new model P.Samuelson also studied the Call Option pricing problem, and built a pricing equation for it. Although the equation was quite a beauty to watch, it could not be used in real world dealings since two of the main factors depended upon the investors personal predilection. Futures and options are traded actively on many exchanges throughout the world. Before any certain systematization models of the option had been created it was impossible for people to evaluate any kind of option price in a common way. Any approximations of the price based traders personal experience would well likely result in mistakes. The only method to maximize the good of the option price would be to build a standard and systematization model and find the quantification of the option trading. This was an important event in the financial world at that time. Since the emergent of option trading, and especially of securities options trade, researchers have been busy in the studies of options pricing. In 1973, Fischer Black and Myron Scholes published The Pricing of Options and Corporate Liabilities at the University of Chicago, where they presented the famous Black-Scholes model for options pricing (B-S model for short). They derived a partial differential equation, which governs the price of the option over time. Once it has been published, the B-S model received strong responses and gained a breakthrough in this field. While some researchers conducted thorough tests on the models accuracy, many others presented various opinions on the problems in the model and expanded on them for the purposes of improvement and extension. Because of this glary partial differential equation and all of the contribution that it had created, M.Scholes and R.Merton (F.Black was deceased) both won the Nobel Prize for Economics. In 1979, Cox, Ross and Rubinstein published a paper called Option Pricing: A Simplified Approach, and in a simple manner obtained the pricing formula using the Binomial model, which was applied widely. This is the event that really changed the option trading market because it made option trading more transparent to most traders, and advanced the improvement of the market. During the option, the trading market developed more and more different sorts of option models, with the most famous and widely used models being the European option and American option. As these two options were named, they were mainly applied in Europe and America and the main difference between the two options is when the option will be fulfilled (I will fully explain this at a later stage). The Binomial option pricing model is essentially a Binomial Tree which shows possible values that an underlying asset or stock initial stock price can take, and the resulting value of the option price at each individual stage of the asset. The main idea of the tree is constructed by assuming that the stock can only go up or down by a factor related to the length of time period, and volatility of the stock. Trinomial model was developed by Prelim Boyle in 1986; it is an adjusted and improved version of the Binomial Tree. Instead of assuming the stock can only go up or down, the Trinomial Tree allows a third choiceà ¢Ã¢â€š ¬Ã¢â‚¬ the stock remains constant. Compared to the Binomial and Trinomial tree model, the Black-Scholes model is a more mathematical and theoretical model: V = SN (d1) N (d2) (Will be explained at later stage) Although the binomial option pricing model and trinomial tree values converge on the Black-Scholes formula value as the number of time steps increases. With these two simplified methods the option pricing theory and option market became more generalized and easier for the public. With the time flows, the option market began to prevail all over the world, and therefore more and more specific different types of options were created to adapt to the disparate country. In this dissertation I will mainly study and present the relation and difference between the Black-Scholes model, the Binomial Option Pricing model and the Trinomial Tree model, in both a mathematical and financial way. Chapter 1: This chapter is mainly about the Black-Scholes models differential equation, including every valuable deduction I provide a few interesting examples to give a straight forward view of this method. Chapter 2: In this chapter I will explore the Binomial pricing model with European and American options. By presenting the formulas and equations I will study how to calculate the option price and explain some basic financial terms. At the main time I will also compare the results of the Binomial Tree model to the Black-Scholes model. Chapter 3: In this chapter I will demonstrate the Trinomial model with examples and large amount of figures by using the Matlab software. The European and American options will be compared with the Trinomial model. Chapter 4: In the last chapter in my dissertation I will look at how effectively the Trinomial tree model is improved based on the Binomial model. The Matlab code I wrote will help me process this comparison up to a million steps. This will be my thesis of this dissertation and this project. 1.1 Risk Many of the valuation and risk management principles apply across all financial options. In this section, I will first briefly introduce some basic concepts and features of risk management and financial derivatives, especially the option pricing problems. RiskUncertainty of the result The risks obtained and a persons unexpected profit is the same as bringing loss or even damage to a person. In the financial market, risk is ubiquitous with: asset risk (stock), currency risk (exchange rate): credit risk, and so on. There are two ways of facing the risks. Risk Avoidance Risk-taking The process of selecting investments with higher risk in order to profit from an anticipated price movement, is called speculation. Financial derivatives are types of risk management instruments whose payoff depends upon the behaviour of the underlying assets. The most common derivatives are forward contracts, futures and options. Forward contract: A cash market transaction in which delivery of the commodity is deferred until after the contract has been made. Although the delivery is made in the future, the price is determined  on the initial trade date. The party agreeing to buy the underlying asset in the future is called a long position, and the party agreeing to sell the asset in the future is called a short position. The value of a forward position at maturity depends upon the relationship between the delivery price (K) and the underlying price (ST) at that time. For a long position this payoff is: fT = ST à ¢Ã‹â€  K For a short position, it is: fT = K à ¢Ã‹â€  ST Forward contract is normally traded over-the counter, OTC. Futures contracts are very similar to forward contracts, except they are not exchange-traded or the contract is standardized, and thus does not have the interim partial payments due to marking to market. Before studying the Binomial Tree method, I will look at what options are. 1.2Options An option is a derivative financial instrument that gives the buyer or holder the right, but not the obligation, to buy or sell an underlying financial asset or commodity. The buyer of the option gains the right, but not the obligation, to engage in some specific transaction on the asset. An option which conveys the right to buy something is called a call option, and an option which has the right to sell is called a put option. The reference price at which the underlying may be traded is called the exercise price or strike price. Most options have an expiration date. The process of activating an option is called exercise. If the option is not exercised by the expiration date, it becomes void and worthless. The options and related concepts can be classified into the following types: 1. Exchange-traded options Exchange-traded options (also called listed options) are a class of exchange-traded derivatives. Exchange traded options have standardized contracts, and are settled through a clearing house with fulfillment guaranteed by the credit of the exchange. Since the contracts are standardized, accurate pricing models are often available. Exchange-traded options include:[4][5] stock options, commodity options, bond options and other interest rate options stock market index options or, simply, index options and options on futures contracts callable bull/bear contract 2. Over-the-counter Over-the-counter options (OTC options, also called dealer options) are traded between two private parties, and are not listed on an exchange. The terms of an OTC option are unrestricted and may be individually tailored to meet any business need. In general, at least one of the counterparties to an OTC option is a well-capitalized institution. Option types commonly traded over the counter include: Interest rate options Currency cross rate options, and Option on swaps or swaptions. 3. Option styles Some options with complex financial structures are called exotic options, and these include: Barrier option any option with the general characteristic that the underlying securitys price must pass a certain level or barrier before it can be exercised. Double barrier option-A double barrier option involves a mechanism where if either of two limit prices is crossed by the underlying, the option either can be exercised or can no longer be exercised. Cumulative Parisian barrier option -A cumulative Parisian barrier option involves a mechanism where if the total amount of time the underlying asset value has spent above or below a limit price, the option can be exercised or can no longer be exercised. Standard Parisian barrier option-A standard Parisian barrier option involves a mechanism where if the maximum amount of time the underlying asset value has spent consecutively above or below a limit price, the option can be exercised or can no longer be exercised. Binary option-A binary option pays a fixed amount or nothing at all, depending on the price of the underlying instrument at maturity. An Asian option is an option where the payoff is not determined by the underlying price at maturity but by the average underlying price over some pre-set period of time. Bermudan option an option that may be exercised only on specified dates on or before expiration. For a cleaner view, I summarized various types of options in to a table below: standard of classification Types of options Option buyers right Call option and put option Excises time of option buyers. European option and American option intrinsic value In the money options, out of the money options and at the Money options Trading place Exchange-traded options and OTC options(Over-the-counter) Structures of options exotic options and vanilla options Margin of option. Unsecured and secured options There are two main reasons why investors would use options: to reduce risk and to gain more profit such as to speculate and to hedge. These will be discussed later. There are two main types of options, one is the European option the other is American option. The European option can only be exercised on the expiry date, while the American options may be exercised at any time before or on the expiry date. Assume k is the strike price; T is the expiry date, and the payoffs Vt: Vt = (St-K) + (call option) Vt= (K-St) + (put option) In this case, S is the spot price of the underlying asset. (t=T) Next, I will discuss the option pricing problems. Options are a type of bond derivative; its price depends upon the movement of underlying assets. The change of price of underlying assets is random because it is a kind of risk asset. Once the price of underlying assets is confirmed, then the option price can be confirmed too. This is saying that at the time the price of the underlying asset is St, the option price will be Vt and there exists function V(S, t) so that Vt= (St, t). At the expiry date, the value of option VT is the payoffs. VT = (ST-K) + (call option) VT= (K-ST) + (put option) The option pricing problem is to calculate V=V(S, t), (0, V(S, T) = Especially when t=0, and let the stock price is S0, what is the premium? p=V (S0, 0) =? Therefore, the option pricing problem is a working backward problem. 1.3 Types of investors. Now, I will look at three types of people in the stock market Hedger: An individual who enters into hedging trades. Hedging is a way of reducing risk. Hedgers want to avoid exposure to adverse movements in the price of an asset. For example: A Chinese company needs to pay a British supplier one million pounds after 90days.The company is facing the risk of fluctuation of exchange rate. If there is a big exchange-rate rise, this will affect its anticipated profit because of the extra cost. If the exchange rate is 12.5 Yuan / pound. The company considers two Hedging plans in view of the probability that the exchange rate may rise. Plan 1. Buy a forward contract stated to use 12625000 Yuan to purchase one million pounds after 90days. Plan 2. Buy a call option contract stated to use 12500000 Yuan to purchase one million pounds after 90days and pay a 250000 Yuan premium (as 2%). I now list the two hedging strategies in the table below: Spot exchange rate (Yuan/pound) 90dayslater exchange rate(Yuan/pound) Without hedging Forward contract Purchase call option contract 12.5 Increase to13 13million Yuan 12,625,000 Yuan 12,750,000 Yuan Decrease to12 12million Yuan 12,625,000 Yuan 12,250,000yuan According to the statistics provided, it can be seen that there will be extra costs when the exchange rate rises if the company does not use any hedging strategies. The costs are fixed after90days if they choose the forward contract but they may miss the chance that if the exchange rate goes down, they will gain from unforeseen profit .Meanwhile the company will prevent extra costs (rise in exchange rate) and gain profits (decrease in exchange) if they choose to purchase the call options contract, but they have to pay the premium. Speculator: An individual who is taking a position in the market. Usually the individual is betting that the price of an asset will go up or that the price of an asset will go down. Options like futures provide a form of leverage. For a given investment, the use of options magnifies the financial consequences. Good outcomes become very good, while bad outcomes may cause the whole initial investment being lost. For example, assume the stock price of X at 30th of April is à ¯Ã‚ ¿Ã‚ ¡666. The stock price may go up in August, and there are two investment strategies that investors may take. Investors spend à ¯Ã‚ ¿Ã‚ ¡666000 cash on 1000 shares of stocksà ¯Ã‚ ¼Ã¢â‚¬ º Investors purchase a call option contract which ends on 22nd of August: strike price is à ¯Ã‚ ¿Ã‚ ¡680, 1000shares, assume investors paid à ¯Ã‚ ¿Ã‚ ¡39000 premium for that. We now analyze the investors investment return in two different situations. (Ignore the interest rate) Case 1.If the stock price rises up to à ¯Ã‚ ¿Ã‚ ¡730 on 22nd August. For strategy A: The investor sells stocks on 22nd August to get à ¯Ã‚ ¿Ã‚ ¡730000 in cash. Return = (730000-666000)/666000=9.6% For strategy B: The investor exercises his option and gets profit: Profit=730000-680000=à ¯Ã‚ ¿Ã‚ ¡50000 Return = (50000-39000)/39000 Case 2.If the stock price drop to à ¯Ã‚ ¿Ã‚ ¡660 instead of rise on 22nd August. Strategy A: Loss =666000-660000=à ¯Ã‚ ¿Ã‚ ¡6000 Return= (660000-666000)/666000 Strategy B: The investors profit is=0 He will lose à ¯Ã‚ ¿Ã‚ ¡39000, and the percentage loss is 100%. Arbitrageur An individual engaging in arbitrage. Arbitrage A trading strategy that takes advantage of two or more securities being mispriced relative to each other. Arbitrage opportunities cannot last for long. As arbitrageurs interfere in the market, the forces of supply and demand will bring the market back to equilibrium. Therefore, in my project most of the arguments concern financial derivatives such as option prices, and, forward contracts will be based on the assumption that no arbitrage opportunities exist. 1.4 The Black Scholes Merton model There are seven important assumptions we use to derive the Black Scholes Model: It assumes that percentage changes in the stock price in a short period of time are normally distributed. It is defined as expected return on stock per year and as volatility of the stock price per year. This assumption suggests returns on the underlying stock are normally distributed, which is reasonable for most assets that offer options. It is possible to buy and sell any amount of stock, this includes short selling. There are no transactions costs , taxes or other fees. The stock pays no dividends during the options life. There are no arbitrage opportunities. Markets are efficient and Security trading is continuous. The risk free interest rate is constant and known.(

Implementing the Ramsar Convention in Developing Countries: The Role of

Implementing the Ramsar Convention in Developing Countries: The Role of Local Community Support and Involvement Over the last two decades, â€Å"a consensus has gradually emerged that long-term conservation depends on understanding and support from those closely connected to the environment and its resources† (Shine, Klemm, 1999.) Several international environmental conventions have reflected this consensus by establishing a legal basis to involve local communities, especially those in developing countries, in their implementation. Recent changes in the focus of the Ramsar Convention on Wetlands are consistent with this global trend towards emphasizing the importance of community support and involvement. Adopted in Ramsar, Iran on February 2, 1971 in response to the alarming rate of worldwide wetland loss and degradation, Ramsar’s mission is â€Å"the conservation and wise use of wetlands by national action and international cooperation.† The Ramsar Convention’s move to promote community involvement in wetland conservation began in 1990 with the initiation of a Small Grants Fund, created to fund local non-governmental organizations and community wetland conservation projects in developing countries. In its 1993 â€Å"Additional Guidance† publication, the Ramsar Convention asserts that countries should incorporate into their wetland management plans procedures to guarantee that local communities are involved in decision-making, and have a strong knowledge of wetland issues. Is the international environmental community correct in their assertion that implementation depends on local community support and involvement? As the Ramsar Convention is one advocate of this assertion, this study sought to determine if local community support ... ...unity is correct in their assertion that local communities are critical for the implementation of all other conventions. Works Cited Mangrove Action Project: Yadfon’s Way Thailand’s Community Forest Projects: The Fishers That Rescued the Sea. Online. Available: http://www.earthisland.org/map/sstal.htm. Updated May 7, 2002. [accessed 4/24/04] Ramsar Convention on Wetlands: The Lake Naivasha Riparian Association (LNRA), Kenya. Online. Available: http://www.ramsar.org/key_awards99_interview_lnra.htm. Updated May 7, 2004. [accessed 4/25/04] Shine, C., Klemm, C. 1999. Wetlands, Water, and the Law. International Union for the Conservation of Nature and Natural Resources: Cambridge, UK. Susskind, L., Moomaw, W., Gallagher, K. (Editors). 2002. Transboundary Environmental Negotiation. John Wiley and Sons: San Francisco, CA.

The Class-Size Amendment Must be Repealed in Florida! :: Argumentative Persuasive Argument Essays

The Class-Size Amendment Must be Repealed in Florida! The latest amendment to the Florida constitution reduces the average class size in schools around the state. Although many people believe that smaller class size will help students learn by giving them more time individually with their teacher, studies prove that class size has little or no effect on student achievement. The class-size amendment is a waste of non-existent money, and in the long run, it will only hurt Florida’s economy and the education program. On November 5, 2002, voters approved the reduction of class sizes around the state, much to the dismay of the governor and well-informed citizens everywhere. Governor Bush previously had warned that the revision to the constitution would cost $27.5 billion over eight years and would force the state to raise taxes and cut services. Unfortunately, naà ¯ve supporters of class size reduction chose to go ahead with the modification of the constitution for emotional reasons, having no actual evidence demonstrating benefit from smaller classes. Much evidence exists, however, to demonstrate why this amendment should not have been passed. In 1986, the Tennessee legislature commissioned the Tennessee Class Size Experiment to determine if class size made a difference in achievement for disadvantaged students. After studying 79 different schools in 42 school districts for 4 years, the researchers found that class size only had an effect on students in kindergarten through 3rd grade, and that effect was minute. The impact was only on reading, not math, and smaller classes did not help disadvantaged students. A 2002 study of New York City schools showed that smaller schools, not smaller classes, had an effect on student success. From these and other studies, Florida should have learned that paying $27.5 billion to count the number of children in a class is a waste of money. Instead,

J. R. R. Tolkien Essay -- essays research papers

Three Rings for the Elven-Kings under the sky, Seven for the dwarf lords in their halls of stone, Nine for mortal men doomed to die, One for the Dark Lord in his dark throne. In the Land or Mordor where the shadow lies. One Ring to rule them all, One ring to find them, One ring to bring them all and in the darkness bind them. In the land of Mordor where the shadows lie†¦ (J.R.R. Tolkien, Rings)   Ã‚  Ã‚  Ã‚  Ã‚  These are the most famous recognized lines in The Lord of the Rings, J.R.R. Tolkiens’ masterpiece. Strong, tall men, fun party loving hobbits, pointy eared elves, short, plump dwarves and slimy, icky, putrid orcs are just a few of the races in Lord of the Rings. (J.R.R. Tolkien, Rings)   Ã‚  Ã‚  Ã‚  Ã‚  This is only a small sample of the information that J.R.R. Tolkien put into his books. Not to mention songs, maps, and plenty more background information. Tolkien created a whole new world for readers with his books. Why did J.R.R. Tolkien have such an interesting life and where did all of his information come from?   Ã‚  Ã‚  Ã‚  Ã‚  It all began when Arthur Reuel Tolkien and Mabel Suffield had their first-born son on January 3, 1982 in Bloemfontein, South Africa. (Darryl Friesen, Early) Tolkien’s early years and barely even memorable ones were spent divided between the city and a country farm. During this time, at school, Tolkien was bitten by a huge tarantula, which would later influence one of his stories in Lord of the Rings. (W.J. Rayment, A Bio)   Ã‚  Ã‚  Ã‚  Ã‚  On February 15th, 1896, Tolkien left South Africa with his mother and younger brother, Hilary to return to England. His father however was also suppose to return to England with them within the next few months, but while he waited in South Africa he caught rheumatic fever and soon died. This left the grieving family with a very limited income. (W. J. Rayment, A Bio)   Ã‚  Ã‚  Ã‚  Ã‚  By now Tolkien was showing great interest in languages and had developed remarkable skills with them. He had already mastered Latin and Greek, and was already making up languages on his own. So, naturally, when Tolkien and his family reached Birmingham, England his mother paid for Tolkien to attend King Edward VI School. (David McDonald, Bio Sketch)   Ã‚  Ã‚  Ã‚  Ã‚  In 1900, Tolkiens’ mother, along with her sister May were received in... ... that Tolkien had to change his address, telephone number, and eventually had to move to Bournmouth at a South Coast Resort. In 1955, The Return of the King, the final book of The Lord of the Rings was published.( Darryl Friesen, Timeline)   Ã‚  Ã‚  Ã‚  Ã‚  With his major book out of the way, Tolkien decided to retire from Oxford and looked back toward his wife. For the next few years Tolkien would work on his liturature and live with his wife peacefully. On November 29th, 1971 Tolkien lost his wife and soon returned to Oxford shortly after. On September 2, 1973, Tolkien died at the age of 81 from an pneumonia at a private hospitol in Bournemouth. (Darryl Friesen, Post)   Ã‚  Ã‚  Ã‚  Ã‚  Tolkiens’ books still live on even after his death. In 1977, The Simarillion was published with the help of Tolkien’s son, Christopher. The Hobbit is recommended of most lists of childrens’ books. On December 19th, 2001, New Line Cinema released a live action movie of The Fellowship of the Ring earning a whopping 95.3 million in its first week. The Two Towers was released in December 2002 and The Return of the King will be released in December 2003. (Darryl Friesen, After)

A Probation Officer’s View of Effectiveness

There are two distinct sets of interests that were served by the individual evaluations; it can fairly be said that the newspaper’s evaluation of the department served the interests of the newspaper, as the newspaper would of course be able to use such sensational articles to attract readers to their publication.  Ã‚  Ã‚   It can also be said that to a certain extent, the interests of the public are served if there is accurate information in the newspaper articles.  Ã‚  Ã‚  Ã‚   Furthermore, the proposed evaluation would serve the needs of the higher ups in the probation department, as the evaluation could serve as a means for the managers to protect themselves from potential complaints from the public as a result of the newspaper articles.1.  Ã‚  Ã‚  Ã‚  Ã‚   What theory or theories of effectiveness are represented in the new evaluation format?One theory of effectiveness which is especially appropriate in describing the new evaluation format is contingency theory.   T o be more precise in describing what is meant by contingency theory in this particular situation is that the new evaluation format would only be effective and useful to any extent if it were accepted by the subordinates in the department once handed down from the director of the department.   All of this ties back to the allegations made by the newspaper as well, because if the new evaluation format is not embraced by the entire department-superiors and subordinates alike-it will not be able to come into being, just as the original attempt at an evaluation resulted in the loss of a department head and the appointment of a new head, who is now attempting to institute the new evaluation format.2.  Ã‚  Ã‚  Ã‚  Ã‚   What process and outcome measures are included in the evaluation? What domain of activity do these cover? Is the meaning of the variables clear?Within the evaluation, the process measures included consist of the surveillance/monitoring of clients, the intake/processing o f clients, and the ability to take on additional cases to maximize productivity.Additionally, the outcome measures could include the success of the clients upon their completion of the probation program, the resulting reduction of caseload for the probation workers, and improvement of the overall system that is utilized for the processing and monitoring of clients.The domain of activities that these measures cover can best be described as a combination of administrative and enforcement, which is to say that the probation officers perform the actual law enforcement activities required of them as well as the accompanying paperwork and recordkeeping.   The meaning of the variables overall is somewhat vague; for example, how one can measure the â€Å"success† of a client may be easier said than done, as is the measure of the improvements to the system itself.   The point to be realized here is that variables must be clearly defined if a process is to be as effective as possib le.   

Police Functions Essay

Over the years, police have been portrayed in the media, television shows, and the local newspaper as crime fighting heroes. This portrayal would make one think a police officer is always out doing a dangerous job, which may require shooting, beating up, or arrested the bad guy. The truth is, most officers will not make a felony arrest in a given year, and there are also many officers who have never fired their weapon. There are various perspectives of the policing functions. I will examine these perspectives from the local, state, and federal organizational levels. I will identify and address possible future changes in laws and the overall impact these changes will have on the field of policing. Local Police Police, usually called law enforcement officers, apprehend criminals and investigate crimes. There are several other functions that the police perform. Local police have three main functions: maintaining order, controlling crime, and providing basic social services. Local police maintain order in different activities, such as traffic control in power outages, crowd control outside of a local football game, resolving domestic disputes, and removing drunken patrons from the streets. Police officers serve and protect. The main focus of maintaining order is keeping the peace rather than enforcing the law, so to speak. In different situations, officers may have to make an arrest to ensure the peace, but the appropriate order-maintenance solution often consists of less formal actions, like clearing crowds after a big game. Controlling crime is basically patrol and criminal investigation. Basic social service is calling police in an emergency situation. The majority of phone calls to the police are in need of social service as opposed to those relating to crimes. There are several factors that shape what police do. Police officers are available 24 hours a day seven days a week. People call on the police when they find themselves in an emergency situation and there is not another agency available. Because of this availability, it sometimes gives officers a heavy workload. Police work is different and unique from other jobs because these men and women are permitted to use force. Force in this case is deadly or physical force as well as arresting someone. Police officers have to be ready to shoot in a split second, if need be. Discretion is used in all areas of policing. Officers rely on their training as well as experiences to decide what to do when dealing with citizens. A wonderful example of discretion is an officer giving you a warning for speeding as oppose to upholding the law and issuing you a citation. State Police State police are a part of The Department of Public Safety. Every state with the exception of Hawaii has its own police force possessing statewide jurisdiction. The nation’s largest state police force is California Highway Patrol. The directors of highway patrols or state police are appointed by the Governors. Tasks done by state police agencies include assisting the local police departments in criminal investigations, patrolling the state’s highways, training municipal and country police, maintaining centralized crime records for the state, and operate a crime lab. Federal Police Within the executive branch of the national government lies the federal law enforcement. The FBI, or Federal Bureau of Investigation, is a part of this federal organization. The FBI investigates several categories of federal crimes. Their focus is on protecting the nation from threats, such as terrorism, organized crime, drug trafficking, white collar crimes, and violent crimes, such as kidnappings and bank robberies as well as civil-rights crimes. The FBI is equipped with crime labs, fingerprint files, crime statistics, and a training academy, which enables them to assist state, local, and other federal agencies. Due to the increases in organized crimes, the FBI also has wiretapping authority. Federal officers have jurisdiction nationwide. The Department of Homeland Security is another branch containing federal law enforcement agencies. Some of DHS agencies are: United States Secret Service- which is responsible for apprehending anyone caught counterfeiting U. S. money. They are also responsible for the protection of other officials of the federal government and for protecting the president. Immigration and Customs Enforcement- enforces the flow of immigrants into the United States. INS agents deport aliens who break the United States naturalization laws. They are also responsible for the patrol of the United States border to stop illegal immigrants from entering the country. In the 1990s, INS agents focused on the Mexican-U. S. border, where large numbers of illegal immigrants and huge amounts of illicit drugs entered the United States. INS agents arrest hundreds of thousands of illegal immigrants each year, but the number making it safely into the United States still exceeded the number arrested. † (The Nature of Police Work) Customs and Border Protection and Transportation Security Administration also fall under this agency. Conclusion Patrol and criminal investigation used to dominate policing. Uniformed officers would roam the streets interrupting crime and trying to prevent them from happening. There are different strategies to policing. These strategies include patrol, special operations, and investigations. There are changes that can be made in laws to impact the field of policing. Local police departments can reduce corruption by keeping a closer eye on the department and listening to the community. Bad seeds would have to be removed from all areas of policing. These departments can also form a positive relationship with the public by showing they are doing more than making arrests. Federal agencies are sometimes limited in the information they can share with other departments, but if there is something useful, they can pass the information along to help all agencies out. There are many functions to policing. While police are heroes to a lot of people, they are not just out fighting crime and locking up the bad guys. They are there for us when we need them, regardless if our cat is stuck in a tree or we have a runaway teenager. Different agencies perform at different levels each having different duties. Once we understand what different agencies are able to do, we understand policing better.

Project Management and Project Management It

Examination Paper: Project Management IIBM Institute of Business Management Examination Paper Project Management Section A: Objective Type (30 marks) †¢ †¢ †¢ This section consists of multiple choices questions and short answer type questions. Answer all the questions. Part One questions carry 1 mark each and Part Two questions carry 5 marks each. Part One: Multiple choices: 1. During _________formal tools and techniques were developed to help and manage large complex projects. a. 1950s b. 1980s c. 1920s d. 1990s 2. PERT stands for: a. Program Evaluation and Reverse Technique b.Progress Evaluation and Review Technique c. Program Evaluation and Review Technique d. None of the above 3. The most basic model of any Operating System is: a. Project Model b. Input-output model c. Output-input model d. None of the above 4. Overall complexity = a. Organizational complexity*resource complexity*technical complexity b. Organizational complexity+technical complexity-resource comple xity c. Technical complexity+resource complexity/organizational complexity d. Organizational complexity*resource complexity/technical complexity 5.Relevant areas of the APM body of knowledge are: a. Quality Management b. Budgeting and cost Management c. Project Cost Management d. Both ‘a’ and ‘b’ MM. 100 1 IIBM Institute of Business Management Examination Paper: Project Management 6. Costs associated with the planning process include: a. Planer’s tools b. Opportunity cost c. Planned labour and associated expenses d. All of the above 7. CPA stands for: a. Critical Path Analysis b. Common Path Analysis c. Critical Path Algorithm d. Common Problem Analysis 8. The project duration with the normal activity time is ____days. . 11 b. 16 c. 17 d. 21 9. The nature of the work organization is important as it: a. Defines responsibility and authority b. Outlines reporting arrangements c. Determines the management overhead d. All of the above 10. Matrix Managemen t was invented by a. Mullins b. Belbin c. Drucker d. Frederick Taylor Part Two: 1. 2. 3. 4. Define ‘Cost Estimating Techniques’. Write a note on ‘Critical Path Analysis’. Differentiate between General Management and Project Management. What is ‘Team Life Cycle’? END OF SECTION A 2 IIBM Institute of Business ManagementExamination Paper: Project Management Section B: Caselets (40 marks) †¢ †¢ †¢ †¢ This section consists of Caselets. Answer all the questions. Each Caselet carries 20 marks. Detailed information should form the part of your answer (Word limit 150 to 200 words). Caselet 1 It’s a Risky Business Four friends wanted to start a business. After much discussion, they had hit upon the idea of launch a mail-order toys and games business. They were in the development stage of their business plan and wanted to be sure that they had been through with their planning.To reinforce this, they had just received a letter fr om a group of venture capitalists, agreeing to fund the start up. It concluded its review of their plan by stating: The business plan presents a credible opportunity for all involved and we are prepared to approve the funding request, subject to a risk analysis being carried out on the project to start the business. The group was stunned-the funding that they had been hoping for was suddenly a reality. Just one thing stood in their way- that damned risk analysis process. They started with identifying the key risk elements that could face the business during in start up phase.They considered the process between the time that they received the funding and day one of trading. What could possibly go wrong? Lots of things. They brainstormed the possibilities and recorded them. They then considered the effect that these would have on the project as a whole. The list they generated prothings going wrong and not enough making sure that the positive steps towards the business opening were ha ppening. They needed to priorities’ the events. As importantly, what would happen, when they eventually occurred? Who would be responsible for each of them? On what asis could they rank each risk, in order to identify the most important risks for which they would develop mitigation and ownership? They decided to use a table to show the risk event, the likelihood, the severity and by multiplying the two providing a risk priority number (RPN). This would the allow ranking of the risk elements. For the three highest ranked elements, the group then generates a mitigation process with someone in the group taking ownership of that process. As can be seen, the top three risks were identified and mitigation tasks put in place to either prevent the risk event happening or to reduce its effect.The initials of the ‘owners’ of that risk in the last column show who has agreed to monitor that set of events and ensure that the mitigation is put into place before the project suf fers from that event occurring. Questions: 1. What further methods could have been used to generate ideas for the identification part of the risk process? 2. What should happen as the project progresses to manage risk? 3 IIBM Institute of Business Management Examination Paper: Project Management Caselet 2 Fast-track Product Redevelopment at Instron Background Instron designs and manufactures machines for testing the properties of all types of material.One particular plastic testing instrument has been selling around 250 units per year worldwide. In 1992 at the height of the recession, with margins being squeezed and sales volume dropping, Instron decided to redesign the instrument to reduce its cost and make it easier to manufacture. The Project Instron began to undertake change in the late 1980s, which included a programme to institute concurrent new product development. This was accompanied by pressure for cost reduction, the introduction of manufacturing changes, and the breaking of the firm into business teams.The team was highly transient and changing environment, there were few restrictions on the way the redesign project had to be handled. It was one of the first projects in Instron to be run from the beginning as a concurrent engineering project. A small multi-functional team was formed, consisting of a manufacturing engineer, a design engineer, a marketing engineer and a draughtsman. The design rief was to improve the ease of manufacture of the product such tat a cost reduction of 20 percent could be achieved. The team was co-located in an area adjacent to the manufacturing facility.Although there was some initial resistance, the comment was made that ‘they don’t know how they ever worked without it’. The ease of communication and sharing of ideas became a more natural part of working life. Adverse Effects The principles of concurrency were, in general, favorably accepted by departments downstream of the design process and with som e notable exceptions, unfavorably viewed by the design department. Individuals had concurrency imposed on them in the initial projects selected; be tried out. Senior management staff was selected as champions of the cause, with the objective of overcoming the resistance to change that existed.This came in a number of forms: 1. Passive resistance- summarized as ‘don’t show reluctance to apply the new ideas, attend all the group meetings, nod in agreement, then carry on as before. 2. Active resistance- ‘do what you like, but don’t ask me to do it’ 3. Undermining the initiative- through overstating the apparent problems. They began by carrying out brainstorming sessions with manufacturing engineers, buyers, members of the shop floor, suppliers and additional design engineers, to find new and innovative ways to improve the product.The outcome of these investigations was to draw up a list of areas where improvements were thought possible. The Benefits Ach ieved The results of this team’s action were: †¢ Cost reduced by 49 percent †¢ Product range rationalized from 12 to 2 versions †¢ Unique part count reduced from 141 to 98 and total number of parts reduced from 300 to 189 †¢ Assembly/machining time reduced by 55 percent †¢ Project completed on time, with last version being released in April 1994. Once operational, few problems were encountered and those that did occur were minor in nature.The success was attributed by the firm to two decisions: †¢ The selection of the right project- one that made it easy to demonstrate concurrency †¢ The selection of the right people- those who were prepared to be open-minded and have some enthusiasm for the changes. The company now views this as a simple project that restored the profitability of an established product through the use of innovation, ingenuity and new design techniques by the whole concurrent team. What 4 IIBM Institute of Business Managemen tExamination Paper: Project Management is also clear is that the product was subject to technical change in only one area- the materials used. The other benefits have all been due to the approach tat the firm’s management has taken to its new product development (NPD) Process. The firm felt that the project has been a success and that this method of working would become an institutionalized methodology. Questions: 1. Identify the steps the firm took in this project. How did this contribute to the success? 2.How might the main adverse effects be identified? END OF SECTION B Section C: Applied Theory (30 marks) †¢ †¢ †¢ †¢ This section consists of Applied Theory Questions. Answer all the questions. Each question carries 15 marks. Detailed information should form the part of your answer (Word limit 200 to 250 words). 1. What is the role of strategy in Project Management? 2. Identify the different roles that cost, price and profit can play in determining proje ct costs. END OF SECTION C 5 IIBM Institute of Business ManagementExamination Paper: Project Management IIBM Institute of Business Management Examination Paper Project Management in IT Section A: Objective Type (30 marks) †¢ †¢ †¢ This section consists of multiple choice questions and short notes type questions. Answer all the questions. Part One questions carry 1 mark each and Part two questions carry 5 marks each. MM. 100 Part One: Multiple choices: 1. The knowledge areas of Project Management Process Group are: a. Planning and Initiating b. Executing and Closing c.Monitoring and Controlling d. All of the above 2. To create a successful project, a project manager must consider: a. Scope b. Time c. Cost d. All of the above 3. Which one of the following is not involved in the top ten skills or competencies of an effective project manager: a. People skills b. Leadership c. Integrity d. Technical skills 4. Another name of a phase exit is a _______ point. a. Review b. St age c. Meeting d. Kill 5. Which process group includes activities from each of the nine knowledge areas? a. Initiating b.Planning c. Executing d. Closing 6 IIBM Institute of Business Management Examination Paper: Project Management 6. The project team works together to create the ______. a. Scope statement b. WBS c. WBS dictionary d. Work package 7. __________ is a network diagramming technique used to predict total project duration. a. PERT b. A Gantt chart c. Critical Path Method d. Crashing 8. Which of the following is not a key output of project cost management: a. A cost estimate b. A cost management plan c. A cost baseline d.None of the above 9. CMMI Stands for: a. Capability Maturity Model Integration b. Complex Maturity Model Integration c. Common Maturity Model Information d. Capability Maturity Model Information 10. A proposal evaluation sheet is an example of: a. RFP b. NPV analysis c. Earned value analysis d. Weighted scoring model Part Two: 1. Define Product Life Cycle. 2. What is Project Integration Model? 3. Write a note on Gantt charts. 4. What is Project Quality Management? END OF SECTION A 7 IIBM Institute of Business ManagementExamination Paper: Project Management Section B: Caselets (40 marks) This section consists of Caselets. Answer all the questions. Each Caselet carries 20 marks. Detailed information should form the part of your answer (Word limit 150 to 200 words). †¢ †¢ †¢ †¢ Caselet 1 A preliminary estimate of costs for the entire project is $140,000. This estimate is based on the project manager working about 20 hours per week for six months and other internal staff working a total of about 60 hours per week for six months.The customer representatives would not be paid for their assistance. A staff project manager would earn $50 per hour. The hourly rate for the other project team member would be $70 per hour, since some hours normally billed to clients may be needed for this project. The initial cost estimate al so includes $10,000 for purchasing software & services from suppliers. After the project is completed, maintenance costs of $40,000 are included for each year, primarily to update the information and coordinate the â€Å"Ask the Expert† feature and online articles.Projected benefits are based on a reduction in hours consultants spend researching project management information, appropriate tools and templates, and so on. Projected benefits are also based on a small increase in profits due to new business generated by this project. If each of more than 400 consultants saved just 40 hours each year (less than one hour per week) and could bill that time to other projects that generate a conservative estimate of $10 per hour in profits, then the projected benefit would be $160,000 per year.If the new intranet increased business by just 1 percent, using past profit information, increased profits due to new business would be at least $40,000 each year. Total projected benefits, ther efore, are about $200,000 per year. Exhibit A summarizes the projected costs and benefits and shows the estimated net percent value (NPV), return on investment (ROI), and year in which payback occurs. It also lists assumptions made in performing this preliminary financial analysis. All of the financial estimates are very encouraging.The estimate payback is within one year, as requested by the sponsor. The NPV is $272,800, and the discounted ROI based on a three-year system life is excellent at 112 percent. Discount rate 8% Assume the Year project is done in about is months 0 Costs 140,000 Discount 1 factor Discounted 140,000 costs Benefits Discount factor Discounted benefits Discounted 0 1 0 1 40,000 0. 93 37,037 2 40,000 0. 86 34,294 3 40,000 0. 79 31,753 Total 243,084 200,000 0. 93 186,185 200,000 0. 86 171,468 200,000 0. 79 158,766 515,419 (140,000) 148,148 137,174 127,013 8 IIBM Institute of Business ManagementExamination Paper: Project Management benefits – costs Cumulat ive (140,000) benefits-costs Payback year 1 112% Discounted life cycle ROI—Assumptions Costs PM (500hours, $50/hour) Staff (1500 hours, $70/hour) Outsourced software & services Total project costs (all applied in year 0) Benefits # consultants Hours saved $/hour profit Benefits from saving time Benefits from 1% increase in profits Total annual projected benefits Questions: 1. What according to you are the factors that can hamper the profit growth related with the project? 2. Mention some strategies to further improve the project’s turnover. ,148 in 145,322 272,336 NVP #hours 25,000 105,000 10,000 140,000 400 40 10 160,000 40,000 200,000 9 IIBM Institute of Business Management Examination Paper: Project Management Caselet 2 Many organizations spend a great deal of time and money on training efforts for general project management skills, but after the training, project managers may still not know how to tailor their project management skills to the organization’s particular needs. Because of this problem, some organizations develop their own internal information technology project management methodologies.The PMBOKR Guide is a standard that describes best practices for what should be done to manage a project. A methodology describes how things should be done, and different organizations often have different ways of doing things. For example, after implementing a systems development life cycle (SDLC) at Blue Cross Shield of Michigan, the Methods department became aware that developers and project managers were often working on different information technology project in different ways. Deliverables were often missing or looked different from project to project.They may have all had a project charter, status report, technical documents (i. e. , database design documents, user interface requirements, and so on), but how they were producing and delivering these deliverables was different. There was a general lack of consistency and a need for st andards to guide both new and experienced project managers. Top management decides to authorize funds to develop a methodology for project managers that could also become the basis for information technology project management training within the organization.It was also part of an overall effort to help raise the company’s Software Capability Maturity Model level. BlueCross BlueShield of Michigan launched a three-month project to develop its own project management methodology. Some of the project team members had already received PMP certification, so they decided to base their methodology on the PMBOKR Guide 2000, making adjustment as needed to best describe how their organization managed information technology projects.See a complete article on this project on the companion Web site for this text. Also see the Suggested Reading to review the State of Michigan Project Management Methodology, which provides another good example of an information technology project management methodology. Many organizations include project management in their methodologies for managing Six Sigma projects. Other organizations include project management in their software development methodologies, such as the Rational Unified Process (RUP) framework.RUP is an interactive software development process that focuses on team productivity and delivers software best practices to all team members. According to RUP expert Bill Cottrell, â€Å"RUP embodies industry-standard management and technical methods and techniques to provide a software engineering process particularly suited to creating and maintaining componentbased software system solutions,† Cottrell explains that you can tailor RUP to include the PMBOK process groups.Specifically, IBM Rational, the creators of RUP, found that it could adjust RUP input artifacts with PMBOK process inputs, RUP steps with PMBOK process tools and techniques, and RUP resulting artifacts with PMBOK process outputs. Questions: 1. Accordi ng to you what are the skills that needed for the project management of an organization? 2. How the six sigma project became a helpful tool in very sophisticated kind of project management? END OF SECTION B 10 IIBM Institute of Business ManagementExamination Paper: Project Management Section C: Applied Theory (30 marks) †¢ †¢ †¢ †¢ This section consists of Applied Theory Questions. Answer all the questions. Each question carries 15 marks. Detailed information should form the part of your answer (Word limit 200 to 250 words). 1. What is cost? What is the importance of Project cost Management and explain basic principles of Cost Management. 2. Define the following: a. Resource Histograms b. Project Communication Management END OF SECTION C S-2-260211 11 IIBM Institute of Business Management