...management theory, Enterprise strategy Mainly in product and market as the core to arrange (corporate). However, the actual business affected by the market and non market factors in reality, more and more enterprises realize, government regulation and policy, public support, stakeholders, the news media are they get an important source of competitive advantage. Enterprises through the prompted the government to Competitor Or Substitute Manufacturer imposed regulation, or win over rivals more preferential policies, or through some Policy Influence of upstream and downstream enterprises to win for a supply of sth. ability, so as to win the comparative advantage over competitors. Non market factors to the enterprise produces is directly affected, and not just through the role of market factors Indirect effects . Therefore, in the real environment of competition, not strategy and enterprise market based on environmental factors to solve various problems, western scholars gradually the non market strategy into strategic management of enterprises Theory Field of vision, as a part of enterprise strategic system to study and in this field has been made certain achievements. Non market strategy - background From the perspective of strategic management From the perspective of strategic management, production and development strategy research of non market involves the background changes in two aspects, one is the non market factors directly impact on the development of enterprises...
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...Non-Market Production The non-market production occurs mostly in times of financial crisis or as a way for individual to evade certain governmental controls. This kind of market also suffers a significant increase when needed goods are scarce and the internal production can’t satisfy the demand. Countries that experience high demand of basic necessity goods and low production of these goods are more likely to develop a strong and out-of-control non-market production market, also known as black market. This kind of market is not reflected in the GDP because it can’t be controlled or audited by the government. The NPM (non-production market) also refers to services based on cash flow, illegal substances and contrabands, illegal money exchanges, etc. One perfect example of this kind of market is founded in my native country Venezuela, where basic necessity products like milk, eggs, chicken, sugar, flower, toilette paper, and medicine can’t be found easily. A parallel market developed and now people are paying more than 4,000% of its regulated price. The dollar exchange in this country can be used as an example; in which the government set the price for 6.35Bf per dollar (03/19/2015. Source: http://themoneyconverter.com/USD/VEF.aspx) but it can’t be bought through regular channels. In consequence, the dollar’s exchange price increased to an impressive 283.41Bf per dollar or 4,463% of the official price (Source: http://dollar.nu/paralelo-en.php). One can’t but wonder why Venezuela...
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...OFRB’s guidelines and worried about public complaints. They lacked resources for crackdown. 3. Public/Community: some justified the ban on videos for demeaning the beauty of sexual intimacy, destroying families and negatively effecting teenagers/young people. Overall, there were mixed reviews concerning social impact of these videos and the need for government regulation. 4. AOV: responded ban would create a black underground market that would prove more dangerous due to lack of regulation on video content and who viewed it. It rebuked the public/community claims by stating that it received responses both supporting and condemning its actions. Further, AOV supported regulating standards in business to avoid crackdown on its stores. 5. Rivals: were concerned that by limiting Class A stores, their value would double harming the rivals. The licensing fees structure would not be sufficient to cover bylaw enforcement costs. 6. Church groups: called adult videos a moral evil and did not consider them contributing to increased violence. Current Non Market Strategies: 1....
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...constituencies, in both international and US environments. Topics include integrated strategy, activists and the media, legislation affecting business, lobbying, regulation and antitrust, intellectual property, international trade policy, and business ethics. Most core courses focus on firms’ interactions with customers, suppliers, and alliance partners in the form of mutually beneficial exchange transacted in markets. In contrast, this course considers the strategic interactions of firms with comparably important constituents, organizations, and institutions outside of markets. Issues considered include those involving activist and interest groups, the media, legislatures, regulatory and antitrust agencies, and international organizations such as the WTO. Markets and the business environment are increasingly interrelated: issues such as boycotts, legislation, regulation, judicial decisions, and trade policy directly affect firms’ market performance. Conversely, the profit-maximizing activities of firms often give rise to issues that involve governments and the public. For example, the market strategies of some ecommerce firms have sparked debates ranging from intellectual property protection to Internet privacy. Correspondingly, managerial decision-making almost always has ethical implications. More often than not, however, those ethical implications are viewed as implicit byproducts, rather than explicit...
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...understand the difference between business’s market and nonmarket environment is important to define a coherent strategy for both setting. Basically, those differences are that nonmarket strategies are based on information and values, instead of the monetary value of goods that are considered when thinking about the market. Businesses are more than economics agent, because businesses somehow represent political and social interests, which are linked with the government system, the society and politics. So, that’s why managing certain problems and individuals is imperative to reduce the risk of being hemmed in by external factors, and to create business opportunities. Even when those issues seem to not add value In order to have more success it’s recommended to involve others to become stronger as a cooperative matter if the businesses’ environment is shared, although a party is not connected directly with the issue. Nonmarket strategy is specially needed when companies have a global approach because four mainly reasons: 1. They have to manage simultaneously and fit different social and political panoramas 2. Nongovernmental organizations are becoming global as well as commerce 3. Governments are more aware of being able to adapt regulations so that they get more control 4. Nonmarket strategy helps to get a better position in‐between competitive markets, and beyond them. Nonmarket strategy structure ...
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...the government and support the government policy. The energy efficiency stand is reasonable and fit the sustainable stratagem for the company. However the accepting level is low in the welding machine manufacturing industry. We believe the additional tax reduce policy is necessary for the standard. The standard required a big change of the building process of the welding machine. So at the beginning of start this new industry role we believe the government need offer some tax benefit for the company which product reach the high level( level 1 or level 2) of the standard. For example in the air-condition industry the government encouraged energy efficient air-conditioning by reduce 2% sales tax and the 85% of the air-conditionings in the market reached the energy efficiency in 3 years after the stand was issued. The tax benefit can reduce the developing cost...
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...Women Empowerment in Bangladesh: Effect of WTO Non-Agricultural Market Access (NAMA) Introduction The negotiations on Non-Agricultural Market Access (NAMA) in the World Trade Organization (WTO) are expected to lead Bangladesh to substantial increase in ReadyMade Garments (RMG) export in world market. The NAMA negotiations are aimed to reduce or eliminate tariffs, including tariff peaks, high tariffs, tariff escalation and nontariff barriers for non-agricultural goods, in particular on products of export interest to developing countries. Non-agricultural products include industrial goods, manufactured goods, textiles, fuels and mining products, footwear, jewellery, forestry products, fish and fisheries, and chemicals. Collectively, they represent almost 90% of world merchandise exports. WTO has decided to take Special and Differential treatment for developing and least developed Members like Bangladesh, including through less than full reciprocity in the reduction measures to assist LDCs to participate effectively in the negotiations. NAMA negotiations are likely to have important positive implications for the LDCs like Bangladesh in the form of increased export. As the structure of Bangladesh export is heavily titled towards labor-intensive sectors as apparels and textiles, increase in export will likely to have consequent positive implications on new job creations in RMG sector. In Bangladesh nearly 3 million workers are with RMG sector of which 80% is female workers. The...
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...section 51 | [West Jet: An analysis of Non-Market Strategies] | | Contents History 3 Nonmarket Environment 3 Public perception 4 Private politics 5 Public politics 6 Court or regulatory scrutiny 7 Integrated Strategy 8 Leaders’ Responsibility 9 Conclusion 10 Bibliography 12 History West Jet was founded in 1996 by 5 entrepreneurs who believed they could succeed as a low-cost carrier in the western Canadian market. With a fleet of only three Boeing 737 aircraft and just over two-hundred employees, West Jet served Calgary, Edmonton, Kelowna, Vancouver and Winnipeg. West Jet went public in 1999, allowing for greater access to capital and potential for growth. In 2000 market share was expanded to eastern Canada. By 2004 West Jet began to access the U.S. and in 2006 started international flights. West Jet continues to grow into new markets and is now in position to become a major competitor among international carriers. The low cost “no-frills” service and corporate culture have been the praise of West Jet success. To use market share as a measure, West Jet began with none and now has approximately 33% Canadian market share with plans for this to increase. Nonmarket Environment West Jet has developed a very strong market position in a short period of time. They certainly have a strong marketing strategy and low-cost structure that promotes strong margins. The non-market environment can nullify any market advantages such as price and product attributes...
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...one day sick. What is happening there is not normal.” She added that the family does not blame Sports Direct for his stroke, which left him partially paralyzed. She said people felt they had to work despite feeling unwell for fear of a “six strikes” policy, in which anyone who gets six warnings in six months will lose their job. It is alleged that warnings are issued to workers for taking long toilet breaks, excessive chatting and for having time off for sickness. The chairman of the company, Keith Hellawell mentioned to the shareholders that he was happy that the company complied with the health and safety regulations. “I am proud of this organisation and I am proud of the way this organisation operates.” Said Hellawell. Claire Jenkins, a non-executive director, said: “The six strikes policy is actually not dreadful at all, in fact, compared to an awful lot of employers, six strikes is actually...
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...Question 1: Identify and explain the 4l’s based on the case. a. Issues The dispute over the safety of the pickup trucks, vehicle safety and defective design Firstly, the root cause is that the GM company has a unreasonable design of their gas tank on the collisions GM C/K pickups, the report shows that this pickups’ gas tank was too close with the bumper, it only 25 centimeters long. This is dangerous because that will cause explosions if there is any strike. A safety design should be place the gas tank on the top of axle or add on a shield between the gas tank and bumper. Further, the report also shows that the gas tank design was used for trucks manufactured between 1979 and 1987, and the fact is GM knows about their design problem but take no measure to fix or recall their cars because that will cause more cost. At the Moseley case happens, there are at least 130 other lawsuits involving the design of the gas tank GM need to faced. So the major issue of this case in this point is that whether the gas tank design and placement were defective and because that explosion case after their pickup was struck on the side by another vehicle. And those assumptions were proved by the GM engineer who is testified that GM company hidden the knowledge of this dangerous safety defect, but GM try to block his testimony because they had known for years and refused correct it for fear of alerting the public. Moreover, the provided videotapes of GM’s own crash tests between 1981 and 1983...
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...he dispute over the safety of the pickup trucks, vehicle safety and defective design Firstly, the root cause is that the GM company has a unreasonable design of their gas tank on the collisions GM C/K pickups, the report shows that this pickups’ gas tank was too close with the bumper, it only 25 centimeters long. This is dangerous because that will cause explosions if there is any strike. A safety design should be place the gas tank on the top of axle or add on a shield between the gas tank and bumper. Further, the report also shows that the gas tank design was used for trucks manufactured between 1979 and 1987, and the fact is GM knows about their design problem but take no measure to fix or recall their cars because that will cause more cost. At the Moseley case happens, there are at least 130 other lawsuits involving the design of the gas tank GM need to faced. So the major issue of this case in this point is that whether the gas tank design and placement were defective and because that explosion case after their pickup was struck on the side by another vehicle. And those assumptions were proved by the GM engineer who is testified that GM company hidden the knowledge of this dangerous safety defect, but GM try to block his testimony because they had known for years and refused correct it for fear of alerting the public. Moreover, the provided videotapes of GM’s own crash tests between 1981 and 1983 showed that it’s truly dangerous when the pickup was stuck on the side by...
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...With the introduction of currency, cultures began to implement negative-reciprocity into their economic systems and social organizations. Instead of bartering and creating social bonds, people try to get the most out of a trade/social interaction, while giving up the least of their possessions/money. Different cultures have developed means of using negative reciprocity to their benefit. Many societies have used negative reciprocity in their trade and sharing systems to both strengthen and fight existing relationships as well as ward off foreigners. Negative reciprocity is apparent in the fraternal polyandry that is practiced in Tibetan societies of North Nepal. Lee Cronk’s Reciprocity and the Power of Giving and Melvyn C. Goldstein’s Polyandry: When Brothers Take a Wife support the argument that the different tribes’ methods of integrating negative reciprocity into their everyday lives is both practical and beneficial to the preservation of their cultures. Negative reciprocity is evident in Cronk’s passage when he initially describes that there are “strings attached” (this specific example is about the !Kung people, but is applicable to the other tribes) to exchanges when they take place (140). The ‘strings’ are the very essence of the trade between Indians and Indians as well as Indians and colonists, and upon learning this, the colonists understood the deeper meaning of trade amongst other cultures. The ‘strings’ in other cultures go further than those of our own. One may use...
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...Non Market Environment of McDonald’s Case Study Columbia Southern University Abstract This case study explores the nonmarket component of McDonald’s. The issues, interest, institution and information of the nonmarket is identified. This case study revolves around the most frequently addressed issues against McDonald’s which include contribution the poor public health, treatment of livestock, and aggressive marketing practices. The timeframe of each issues ranges from the 1990s to 2000s. Many of these issues have been continuous through McDonald’s history but none like the allegations of contributing to poor public health. McDonald’s has approached these issues by adjusting ingredients, posting nutritional facts, and adding healthier offerings to their menu. To become a more socially responsible organization McDonald’s should identify and address future issues before they arise As a successful global organization McDonald’s faces much scrutiny. The most prominent issue facing McDonald’s is their contribution to obesity and poor health in society. This organization has also been accused of aggressive marketing towards children. This practice has been directly linked to the obesity in children (Baertlein, 2012). Other interest groups have addressed their treatment of their livestock and the fillers and contaminants found in the food. Various groups have targeted McDonalds backing the aforementioned issues. PETA is the most prominent group with official capacity that has...
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...all over Kenya so as to serve the whole Kenyan market. Our mission statement is to return Kenya and also inspire moments of optimum and happiness among our customers. The company’s main products are non-alcoholic drinks. Non-alcoholic drinks include soft drinks and hot drinks. Soft drinks contain carbonated or non-carbonated water, sweetness and a flavor while hot drinks include coffee and tea. These are the main products that miliphus limited deals with. With the above products our target audience is the whole market. Non-alcoholic drinks have no regulations and hence the whole market from children, youth and adults are all allowed to use the non-alcoholic drinks. To meet our market niche the company does a lot of promotions activities in public, advertisements on the television and radios at all times because non-alcoholic drinks have no specific time to be advertised unlike the alcoholic drinks they must be advertised at specific times. SITUATION ANALYSIS. Situation analysis is the systematic collection and evaluation of past and present economic, political, social, and technological data aimed at identification of internal and external sources that may influence the organizations current and future strengths, weaknesses, opportunities and threats. The costs involved in producing non-alcoholic drinks is relatively lower compared to alcoholic drinks which need a lot of chemicals and reactions and also a lot of time. For non-alcoholic drinks it’s all about mixing the carbonated...
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...produces and markets architectural paint and primarily serves the Southwestern part of United States. The company markets its paint and sundry items in more than 50 counties in Texas, Oklahoma, Louisiana, and New Mexico. Headquarter for the company is located in Dallas, Texas where it does most of it business. The Dallas-Fort Worth (DFW) metropolitan area is the major source of business as well as the financial center in the southwestern service area. JBC mainly target do-it-yourself customers who make up 50% of their sales and professional painters who make 25% of sales. The company sells top quality architectural paint and accessories at the highest price to various markets. They also sell original equipment manufacturing (OEM) materials throughout the U.S and worldwide. Though JBC’s sales have increased on annual basis the sales volume remained same. And since the competition in the industry has increased over the years the company fear facing a plateau in price. The company is also facing a major dilemma and must maintain their growth and profit margin, but in order to do so they have to increase their sales in a mature market. Therefore, the company has to decide what market to target (Southwestern part like Dallas Forth-Worth or surrounding areas), who to target (do-it yourselfers or professionals), and how in order to expand their brand and market share. This case will examine JBC’s growth potential for urban vs. rural and household vs. professional market and well as the...
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