...Air Canada Evaluation Executive Summary Air Canada is a full service airline company with the largest market share in the Canadian market making it the largest airline in Canada and 15th in the world. I don’t recommend lending Air Canada due to: * Weak industry conditions * Poor historical performance/financial health * Risk factors assessment * Poor credit ratings Summary of Main Points The airline industry is a very volatile industry with a lot of uncertainties. Based on Porter’s five forces, companies in the airline business are faced with challenges such as threat of new entrants, high buyers power, high suppliers power, availability of substitutes, and intense competition. Historical operating results are poor. The company has been having continuing losses since 2008. Also, financially it is not healthy. Air Canada leverage ratio is very high, and obligated to significant debt due to pension fund, employees’ benefit, and orders of new crafts. Labor strike is a major risk factor. Recently, the company was faced with several strikes that caused many flights delays or cancelations. Negotiation is taking place between the company and labor unions. Outcome this negotiation might result in higher labor cost preventing the company from enhancing its cost structure. According to S&P, Air Canada credit rating is B-, which is a non-investment grade. Also, Moody’s downgraded the company from B3 to Caa1 due to its debt obligation and high...
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...Section 1.1 Social environment is the sign of the human spirit civilization and material civilization’s development. On the basis of the natural environment, through long-term conscious social labor, human beings have been processing and transforming the natural material and then social environment was formed. Social environment as one of the external environment factors has a great influence on business. With lasting changes in social environment that will cause demand of human beings for new products. (Haider, 2010) As a result, social environment will give marketing a new guidance. And demographic and cultural will be included as two main factors in social environment. Demographic is to gather people in groups that share with same common criteria. Because of the variables of demographic, demographic is divided in many parts. Such as age, gender, income, race, religion. (Naik, 2013) Cultural is the values and ideologies of a particular group of individuals. And it consists of languages, regions, habits, arts and so on. (Zimmermann, 2015) Besides, both demographic and cultural have direct link with marketing. Demographic will direct determine the potential capacity of the market. What’s more, the structure of population age and the level of education will have profound influence on market structure. Due to different cultural will cause different consumption concept, so cultural will affect customer’s consumption idea directly. Further to say, different consumption ideas will require...
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...Does It Affect Canadian Economy Table of Contents Introduction 3 1. Labor Market 3 1.1 Employment and unemployment rate 6 1.2 Employment rate and unemployment rate in long run 8 3. The Effects on Government’s Health Care Spending 14 4. Education 16 5. Standard of living 17 5.1 Increase productivity 19 6. Pension Plans 19 Conclusion 20 * Introduction The term baby-boomers refers to everyone who were born during the post-World War II, during the years 1947 to 1968, during which time there was a dramatic increase in the birth rate. It is estimated that 97% of the baby-boomers are still alive, which is about 8.5 million individuals. For a past decades, these baby-boomers have controlled and shaped many aspects of our economy, environment, and culture. But as this aging population is coming close to retirement, it could have serious impact on our society. In the coming years, there will be more retirees than worker, which could pose as a great issue in our economy. This paper will analyze the impact of this phenomenon on Canadian labor market and the level of investment, how this could reshape the government budget, and how it is going to affect the Canadian’s standard of living. 1. Labor Market It is quite clear that the retirement of baby-boomers has a big impact on the labor market. Some describes this as a “ demographic time bomb” for the nation’s labor force. Baby-boomers make up one-third of Canadian population, and a large portion...
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...Labor Market Information: Human Resource Human Resource (HR) Specialist is in charge of managing employees within an organization through the use of strategies and policies. There is now an increasing trend in HR to use technology as it can be another form of communication between clients and employees. A major concern to HR professional is the increasing cost of health care coverage for employees in which HR personnel must determine the amount of benefits given to them. The following table shows the industries employing the most amount of HR professionals (Government of Canada, 2010). Table 1: Industries Hiring HR Professionals Industry / Sector Public administration Professional, scientific and technical services Other services (except public administration) Finance and insurance Manufacturing % 26.40 14.50 12.30 9.30 8.40 Statistic Canada shows that in 2006, 6% of people in the occupation of Human Resource are selfemployed and in 2009 it has increased to 36%. This increase is mainly due to the fact that many business organizations are outsourcing their human resource capabilities. There are older people (age 35 to 55) working in this industry, and there are more females than males in this occupation (Statistics Canada, 2007). As the population of HR professional age, more of them will retire (Schramm, 2004). This means that there will be a potential labor shortage in HR. Thus, getting a job in HR in the next 5 years would not be difficult. Primary Research of Human...
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...Exercise 3: Decision tree analysis TMMC production capacity recommendation Limitations Past performance: RX 330/350 VIII Exercise 4: Current regional production strategy Assessment Change recommendations IX Summary Appendix A References Page 2 3 4 4 7 7 8 8 9 10 11 13 16 16 17 17 18 19 19 19 21 21 23 24 1 I. Executive Summary Toyota Motor Corporation is leading the way to future mobility through innovation, productivity, quality and efficiency. Toyota uses a self-developed strategy known as the Toyota Production System (TPS) to guide business process improvements. This strategy applies principles of “just-in-time” production, also called “lean”, to align supply closely with consumer demand while avoiding surplus inventory. The report defines eight TPS terms, i.e. jidoka, just-intime, hoshin, heijunka, muda, kaizen, standardized work, and pokayoke; and gives examples of how terms are applied in other industries. TPS has been utilized by a variety of industries all over the world, though many organizations tailor system components to their needs rather than embracing TPS as a total management system. The advantages of TPS are savings in time, space and resources resulting in increased efficiency and revenue, however, TPS limits organic production capacity by narrowing supplier relationships and...
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...International School of Business – University of Economics Ho Chi Minh RESEARCH ESSAY DINH XUAN LOC EAP5 EAP 5 Essay Topic – September 2015 Economy The United Stated, Vietnam, and ten other countries are working together to reach an agreement called the Trans-Pacific Partnership. Once completed, the TPP will boost the economies, lower barriers to trade and investment, increase exports, and create more jobs for the countries involved. To what extent do you agree with the above statement? Refer to specific examples in your answer. The global economy in the twenty first century has changed rapidly with the trend of trade liberalization. The appearance of some high valuable bi- and multilateral agreements might affect strongly trading activities in the future, especially the Trans-Pacific Partnership (TPP) agreement. This free trade agreement (FTA) is one of the most challenging and largest pacts not only for TPP members, but also for the international exchange. Therefore, the purpose of this paper is to ascertain the direct and indirect effect of the TPP agreement to the worldwide trading. In fact, if the TPP is signed by twelve members, it will boost the development of the global economy significantly, as well as might change the exchange policy around the world. The TPP is a comprehensive agreement, so its provisions cover various sectors of national economy, however, with the limitation of time and specialized knowledge, this paper only assess the outcome of the TPP...
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...1. A summary of the agricultural industry in Argentina, Canada and their differences With a solid base of natural resources, the agricultural sector is one of the cornerstones of economic activity in Argentina, as one of the main countries possessing the highest quantity of farmable land. In 2004, agriculture accounted for 11% of the nation’s GDP and 57% of total merchandise exports. Argentine producers have applied global technological advances to their agricultural operations to optimize output. With use of farming technology, Argentina is one of the main exporters of soy, wheat, corn, and fruits. Main trading partners are the European Union, such as Spain, the Netherlands, Italy, Germany and France, as well as Asian countries such as China. The country has a fairly educated labor force, and a large market size but the country’s competitiveness is eroded with poor institutional environments and lack of government efficiency and transparency that leads to investor distrust. The expansionary fiscal and monetary policies have caused overheating of the economy recently, surfacing the nation’s historic problem of high inflation rates. Along with high debt levels, these factors contribute a lot to low investor confidence, creating capital outflows. The markets are also rather inefficient, with goods, labor, and financial markets ranking among the 120th place in the most recent Global Competitiveness Report (Appendix A). There is also no protection from the government, where like...
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...International Newspaper Report NAFTA, or the North American Free Trade Agreement is a trade bloc between the countries in North America, which are the United States, Canada, and Mexico. This agreement is very helpful when it comes to importing and exporting between these countries. Joining the trade agreement with the United States and Canada was a very smart decision for Mexico from a business standpoint. Mexico looks a lot better to other countries when they are trading with such great countries like the United States and Canada. The article “NAFTA: Learning to Deal with Thy Neighbor” talks about whether the North American Free Trade Agreement is working well between the countries or not. The overall emphasis of the report says that NAFTA has a positive effect on those countries involved, some more than others, but overall it is a positive thing. The leader of international affairs realized that free trade was the solution to the trade deficit, because it makes it much easier to trade between countries therefore more trading will go on between those countries. The article refers to specific sectors that are affected by such things as trade and NAFTA. The first of these sectors is economic. The fact that imports and exports of merchandise trade have rose to over $900 billion each year between the countries just goes to show that NAFTA is doing great things for the economy. The author states that this is great for the economists, but what about the manufacturers...
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...Over the last few decades’ significant changes to Canada’s economy and labor force have transpired. Gone are the days where the rich owned servants and the metal smiths flourished with business. Employment became centralized around assembly lines and factory work initializing the biggest change the economy had seen and capitalists were at large with their ability to mass-produce. Post industrialism and globalism silenced the roar, leading us where we are today, with a heavily populated and unskilled service industry. This leaves society wondering, “what is the future of work”? In this written essay, we will explore the future of work by focusing on the current situations and what possibilities might transpire. The following topics will be covered: • The real reasons for precarious work popularity and it’s outcome on the labor force • The impact of unions and what their disappearance would bring • Post industrial Canada and the effects of international business on industries • Environmental threats on the primary industry • The future of technology on work As we’ve seen with pervious trends, the future of work is heavily reliant on the current situation. In today’s economy most workers are faced with inequality and job insecurity resulting in unemployment, precarious work, or furthermore dangerous jobs. The human capital theory suggests that an equal opportunity is available for everyone but only those individuals with the higher skill sets will end up in virtuous work...
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... 12 August 2008 Students of Industrial Relations HRM-414 Department of Business Administration East West University, Dhaka Dear Students As a part of your Industrial Relations course, you are hereby assigned a report on Industrial relations at garments sector and its global impact. Assigned report must follow the standard system and methodology and should contain accurate data. You are allowed to form a group of 3 members in order to accomplish your task. The university will appreciate any additional benefit that can be obtained from your report. You are required to submit the report on 10 August, 2008 and do a presentation on 12 August, 2008. I wish you best of luck. Sincerely Dr.Nargis Akhter Letter of Transmittal August 12, 2008 Dr. Nargis Akhter Associate professor Department of Business Administration East West University Dear Madam It gives us a pleasure to submit the report on” Industrial relations at garments sector and its global impact.” As you authorized us to prepare by 10 august, 2008. It was a fantastic opportunity for us to prepare the report under your guidance, which really was a great experience for us. The data used for preparing the report includes reports available...
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...540, International Tourism Development May 26, 2013 Review key points from Darden Restaurant’s most recent 10-K. Their stock symbol on the NYSE is DRI Darden Restaurants based on company sales, market and the amount of company owned and managed restaurants, is the world's largest casual dining restaurant company who has a variety of dining brands to choose from. Their mission is to be “The best, now and for generations... and a place where people can achieve their dreams” (Darden 10K, 2012). According to their most recent 10-K report (2012), there are many key points for review. “Of the 1,961 restaurants across the United States & Canada none of them are franchised” (Nation’s Restaurant News, 2012, p.1). Domestically Darden doesn’t offer franchise opportunities. However, they do have 28 restaurants outside of the United States operated and independent to third parties. Other key points are company sales and stocks. The total company started out in 1970 with 3.5 million in sales ending with 7,998.7 million, with 9.5% attributing to alcohol, in 2012, showing significant growth. Stock prices were at a high 55.84, low 40.69, and closed at 53.06 per share as of May 27, 2012. Ford Equity research (2013) projects that Darden will perform in line with the market over the next 6-12 months based on key factors such as earnings strength, relative valuation, and recent price movement (para. 1). “To support future growth, they are striving to change in two important...
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...income statement as of December 31, 1997 Palliser Furniture Ltd. did very well financially. The net income for the year grew at an astonishing rate of 92.6% from last year’s net income of CDN$5.96 million to CDN$11.478 million. The sales volume increased 16.9% from CDN$277.21 million to CDN$324.061 million. Yet, the cost of sales increased by only 14.5% from CDN$ 182.091 million to CDN$208.532 million. This difference in the increase rate of sales volume and the cost of sales has generated greater profit margin. Even though, the company has done very well throughout the years, can Palliser afford to stop being innovative—in its product as well as its market strategy—and still maintain its market share? Most analysts would say yes, if they limit themselves to only Palliser's income statement. However, the international market is a dynamic environment. It's constantly changing rather than remaining the same. These changes are brought about by the social, technological, economic, and political (STEP) differences in each of the countries. When an international trade is engaged, the STEP environment for both countries will change over time which can cause a great barrier to one country's export compare to the others. This is precisely what happened in 1975. The...
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...Canada Homes Corporation Report prepared for: CHC Board of Director Prepared by: Erdell & Co., Management Consultant July 2, 2006 Executive Summary Canadian Home Corporation (CHC), a residential developer in Eastern Canada, was incorporated in 1978 and is well-known in the residential construction industry for quality and innovative design. Currently CHC is experiencing challenges in generating profitable income and meeting shareholder’s objective of annual dividends. It remains unprofitable due to rising material and labor costs, and the cyclical nature of the real estate industry. In addition, quality issues have created negative publicity that threatens the reputation of CHC. The purpose of this report is to analyze strategic and operational issues with CHC and to provide recommendations to improve the performance of the company. CHC’s external opportunities and threats that affect the company’s decision on its strategic alternatives include: increasing popularity of prefabricated housing, high demand of renovation, labor shortage, and a shortage of land available for development. In light of its internal analysis and external environment, CHC must: 1. Pursue renovation services 2. Manufacture prefabricated homes 3. Reject GH’s joint venture proposal 4. Reject rental property development proposal 5. Divest Maritimes Division To mitigate the various operational issues: 1. Declare bankruptcy for its European subsidiary ...
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...Canada’s Assessment Overview BUS 343 International Marketing Ashford University Prof. LaCasse September 28, 2015 Canada’s Assessment Overview Canada (2014) Mergent online source expressed that the Canada is rich with resources such as natural resources, their labor is skilled, it has a modern infrastructure, strong economic prospects, and its fiscal budget is balanced. Exports for Canada are roughly a third of the GDP, with the United States absorbing 80% of its exports per year. However despite Merchant’s report of Canada’s soundness, how well a country performs for their own economy is really more important by having the right trading partners, technology advance products and services, and being able produce these services in areas that need and want them at right margin prices. Here we will assess Canada’s: Principal imports and exports, gross national product (GNP) demographics of the population, and per capita income. In addition I will also discuss Canada’s target markets and recommended products (goods or services) that I believe would benefit Canada. Note: Line spacing is off, see APA 6th for correct spacing Principle Imports and Exports The significance of imports and exports provide the consumer with products and services they want and need, ultimately imports and exports affect the economy. Products and services provide choices especially products produced from foreign countries. Despite the benefits of products and services by countries...
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...Contemporary Issue in Business: * Demographic problem – Baby boomers are aging, and there are fewer younger people in Canada. Therefore, the demographic drag would probably increase in the coming years. As the boomer generation ages, labor force participation rates will decline and hours worked will fall. Aging will put pressure on the labour market. As workers retire and there are fewer people to replace them, there will be upward pressure on wages and adjustments on the composition and the nature of the labour force. For firms, attracting talent, while retaining relevant expertise and institutional knowledge, will be more challenging * Financial systemic risk: Until today we continue to see the enormous costs to the global economy of the financial crisis that started five years ago. Canada is not averse to this risk, since it gets transmitted across financial institution and markets. Although, this risk cannot be really controlled, managers do have the tendency to take on excessive risks during economic upswings, which leads to firms becoming overly risk averse during economic downturn. * More recently, Statistics Canada issued a report (March 9, 2010) arguing that by 2031, 25-28% of the Canadian population could be foreign born. These statistical forecasts are telling us that immigration is a major force shaping Canada’s urban areas. * Indeed, Canada’s track record in successfully integrating immigrants is slipping. On average, immigrants arrive in this country...
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