Stress Management Among Bank Employees

INTRODUCTION: Pressure is part and parcel of all work and helps to keep one motivated. But excessive pressure can lead to stress, which undermines performance, is costly to employers and can make people ill. Stress is ubiquitous and has become an integral part of everyday living, an unavoidable consequence of modern living. Stress is a condition of strain that has a direct bearing on emotions, thought process and physical conditions of a person. During the past decade, the banking sector had under gone rapid and striking changes like policy changes, increased competition due to the entrance of more private sector banks, introduction of new technologies, etc. Due to these changes, the employees in the banking sector are experiencing a high level of stress. Bank employees admit that stress is affecting their jobs, family life and health. Unpredictable economy, pressure to maintain profitability and increased responsibilities are main causes of stress. OBJECTIVES †¢ To analyze the origin and growth level of banking sector in Tirupur region To analyze the level of job stress among bank employees in Tirupur region. †¢ To analyze the contribution of over load, authority, conflict and Lack of Support from colic’s to the job stress among bank employees in Tirupur region. †¢ To analyze the importance of interventional strategies at organizational level to manage stress among bank employees. †¢ To analyze th e role of stress in interpersonal relationship †¢ To evaluate the progress, goals and success of stress management programme organized by the banks †¢ To give suitable suggestions to the banking sector to develop tressless working condition among the bank employees (1. 1) CONCEPT OF STRESS (1. 1. 1) INTRODUCTION TO STRESS A lot of research has been conducted into stress over the last hundred years. Some of the theories behind it are now settled and accepted; others are still being researched and debated. During this time, there seems to have been something approaching open warfare between competing theories and definitions: Views have been passionately held and aggressively defended. What complicates this is that intuitively we all feel that we know what stress is, as it is something we have all experienced. A definition should therefore be obvious†¦except that it is not. Definition: Hans Selye was one of the founding fathers of stress research. His view in 1956 was that â€Å"stress is not necessarily something bad – it all depends on how you take it. The stress of exhilarating, creative successful work is beneficial, while that of failure, humiliation or infection is detrimental. † Selye believed that the biochemical effects of stress would be experienced irrespective of whether the situation was positive or negative. Since then, a great deal of further research has been conducted, and ideas have moved on. Stress is now viewed as a â€Å"bad thing†, with a range of harmful biochemical and long-term effects. These effects have rarely been observed in positive situations. The most commonly accepted definition of stress (mainly attributed to Richard S Lazarus) is that, Stress is a condition or feeling experienced when a person perceives that â€Å"demands exceed the personal and social resources the individual is able to mobilize. † In short, it's what we feel when we think we've lost control of events. This is the main definition used by this section of Mind Tools, although we also recognize that there is an intertwined instinctive stress response to unexpected events. The stress response inside us is therefore part instinct and part to do with the way we think. The types of stress are as follows Mechanical †¢Stress (physics), the average amount of force exerted per unit area. †¢Yield stress, the stress at which a material begins to deform plastically. †¢Compressive stress, the stress applied to materials resulting in their compaction. Biological Stress (biological), physiological or psychological stress; some types include: a) Chronic stress, persistent stress which can lead to illness and mental disorder b) Eustress, positive stress that can lead to improved long-term functioning c) Workplace stress, stress caused by employment Music †¢Accent (music). †¢Stress (band), an early '80s melodic rock band from San Diego. †¢Stress (punk band), an early '80s punk rock band from Athens. †¢Stress (Neo-Psychedelic band), from the late 1980's. †¢Stress, a song by the French band Justice on their debut album Other Stress (game), card game †¢Stress (linguistics), phonological use of prominence in language Chronic stress Chronic stress is stress that lasts a long time or occurs frequently. Chronic stress is potentially damaging. Symptoms of chronic stress can be: †¢Upset stomach †¢Headache †¢Backache †¢Insomnia †¢Anxiety †¢Depression †¢Anger is the most severe cases it can lead to panic attacks or a panic disorder. There are a variety of methods to control chronic stress, including exercise, healthy diet, stress management, relaxation techniques, adequate rest, and relaxing hobbies. 1. 1. 2) what is Stress? Stress refers to the strain from the conflict between our external environment ands, leading to emotional and physical pressure. In our fast paced world, it is impossible to live without st ress, whether you are a student or a working adult. There is both positive and negative stress, depending on each individual’s unique perception of the tension between the two forces. Not all stress is bad. For example, positive stress, also known as eustress, can help an individual to function at optimal effectiveness and efficiency. Hence, it is evident that some form of positive stress can add more color and vibrancy to our lives. The presence of a deadline, for example, can push us to make the most of our time and produce greater efficiency. It is important to keep this in mind, as stress management refers to using stress to our advantage, and not on eradicating the presence of stress in our lives. On the other hand, negative stress can result in mental and physical strain. The individual will experience symptoms such as tensions, headaches, irritability and in extreme cases, heart palpitations. Hence, whilst some stress may be seen as a motivating force, it is important to manage stress levels so that it does not have an adverse impact on your health and relationships. Part of managing your stress levels include learning about how stress can affect you emotionally and physically, as well as how to identify if you are performing at your optimal stress level (OSL) or if you are experiencing negative stress. This knowledge will help you to identify when you need to take a break, or perhaps seek professional help. It is also your first step towards developing techniques to managing your stress levels. Modern day stresses can take the form of monetary needs, or emotional frictions. Competition at work and an increased workload can also cause greater levels of stress. How do you identify if you are suffering from excessive stress? Psychological symptoms commonly experienced include insomnia, headaches and an inability to focus. Physical symptoms take the form of heart palpitations, breathlessness, excessive sweating and stomachaches. What causes stress? There are many different causes of stress, and that which causes stress is also known as a stressor. Common lifestyle stressors include performance, threat, and bereavement stressors, to name a few. Performance stressors are triggered when an individual is placed in a situation where he feels a need to excel. This could be during performance appraisals, lunch with the boss, or giving a speech. Threat stressors are usually when the current situation poses a dangerous threat, such as an economic downturn, or from an accident. Lastly, bereavement stressors occur when there is a sense of loss such as the death of a loved one, or a prized possession. Thus, there are various stressors, and even more varied methods and techniques of dealing with stress and turning it to our advantages. In order to do so, we must learn to tell when we have crossed the line from positive to negative stress. Good stress v/s Bad stress: Stress has often been misunderstood to be negative, with few people acknowledging the importance and usefulness of positive stress. In our everyday lives, stress is everywhere and definitely unavoidable; hence our mphasis should be on differentiating between what is good stress, and what is bad. This will help us to learn to cope with negative stress, and harness the power of positive stress to help us achieve more. There are 4 main categories of stress, namely eustress, distress, hyper stress and hypo stress. Negative stress can cause many physical and psychological problems, whilst positive stres s can be very helpful for us. Here’s how we differentiate between them. Eustress: This is a positive form of stress, which prepares your mind and body for the imminent challenges that it has perceived. Eustress is a natural physical reaction by your body which increases blood flow to your muscles, resulting in a higher heart rate. Athletes before a competition or perhaps a manager before a major presentation would do well with eustress, allowing them to derive the inspiration and strength that is needed. Distress: We are familiar with this word, and know that it is a negative form of stress. This occurs when the mind and body is unable to cope with changes, and usually occurs when there are deviations from the norm. They can be categorized into acute stress and chronic stress. Acute stress is intense, but does not last for long. On the other hand, chronic stress persists over a long period of time. Trigger events for distress can be a change in job scope or routine that the person is unable to handle or cope with. Hyper stress: This is another form of negative stress that occurs when the individual is unable to cope with the workload. Examples include highly stressful jobs, which require longer working hours than the individual can handle. If you suspect that you are suffering from hyper stress, you are likely to have sudden emotional breakdowns over insignificant issues, the proverbial straws hat broke the camel’s back. It is important for you to recognize that your body needs a break, or you may end up with severe and chronic physical and psychological reactions. Hypo stress: Lastly, hypo stress occurs when a person has nothing to do with his time and feels constantly bored and unmotivated. This is due to an insufficient amount of stress; hence so me stress is inevitable and helpful to us. Companies should avoid having workers who experience hypo stress as this will cause productivity and mindfulness to fall. If the job scope is boring and repetitive, it would be a good idea to implement some form of job rotation so that there is always something new to learn. The types of stress are named as eustress and distress. Distress is the most commonly-referred to type of stress, having negative implications; whereas eustress is a positive form of stress, usually related to desirable events in person’s life. Both can be equally taxing on the body, and are cumulative in nature, depending on a person's way of adapting to a change that has caused it. (1. 1. ) Coping with Stress at Work place With the rapid advancement of technology, the stresses faced at work have also increased. Many people dread going to work, hence the term â€Å"Monday Blues†. What is the reason for this? There is partly the fear from being retrenched in bedtimes, leading to greater job insecurity on the part of those who remain. Undoubtedly, occupational stress is one of the most commonly cited stressors faced by people all over the world. Stress refers to the pressure and reactions to our environment which results in psychological and physical reactions. Whilst some stress is good for motivation and increasing efficiency, too much stress can result in negative impacts such as reduced effectiveness and efficiency. More and more people are feeling isolated and disrespected at work, and this has led to greater occupational stress. Many companies have taken to consulting experts and professionals on ways to increase connectedness and motivation of their employees. Some companies organize parties and make their employees feel valued at work. These are measures to motivate employees and help them to feel secure at their jobs, translating into greater productivity. However, not all companies have such measures in place, and some have not gotten it quite right. Hence, it is up to you to make sure that you can cope with stress at your workplace, and use it to help you work better. Here are 3 simple steps to help you with coping with stress in the workplace. Step 1: Raising Awareness Help yourself to identify when you are facing rising levels of stress, tipping the scales from positive to negative. This is important, as being able to identify signs of being stressed can help you to take steps to ensure that your overall quality of life does not drop. If left unacknowledged, the problem will only snowball, leading to disastrous consequences to your health and overall wellbeing. You can identify if you are feeling stressed by checking if you have any physical or psychological reactions, such as excessive sweating or heart palpitations, or the onset of headaches, irritability or the need to escape. If you experience any of these reactions, identify if you are feeling any overwhelming negative emotions, and if you are constantly worried. Step 2: Identify the Cause You need to be able to analyze the situation and identify what is causing the rise in stress. These stressors can be external and internal. External stressors refer to things beyond your control, such as the environment or your colleagues at work. Internal stressors refer to your own thinking and attitude. Often, we only start reacting to stress when a combination of stressors working together exceeds our ability to cope. Keep a diary or a list of events that have caused you to feel strong negative emotions, or that are likely stressors. This will help you to identify the causes of your stress. Whilst it is not always possible to eradicate them, we can change the way that we cope with it. Step 3: Coping with Stress In order to deal with the situation that is causing you stress, you need to calm your mind and body so as to stave off the reactions and cope with it in a positive way. This can be through different methods, such as taking time off. If a situation is triggering your stress and you are unable to calm down, remove yourself from it. Go outside and take a walk to calm down. Alternatively, you can try implementing relaxation techniques such as deep breathing. If it is an internal stressor, stop your thought process until you are able to deal with it logically. The key to making these 3 steps work for you is to practice them. These are not instantaneous solutions, and you need to condition your mind and practice them so that you can implement it when you are feeling stressed. (1. 1. 4) Stress Management Stress management is the need of the hour. However hard we try to go beyond a stress situation, life seems to find new ways of stressing us out and plaguing us with anxiety attacks. Moreover, be it our anxiety, mind-body exhaustion or our erring attitudes, we tend to overlook causes of stress and the conditions triggered by those. In such unsettling moments we often forget that stressors, if not escapable, are fairly manageable and treatable. Stress, either quick or constant, can induce risky body-mind disorders. Immediate disorders such as dizzy spells, anxiety attacks, tension, sleeplessness, nervousness and muscle cramps can all result in chronic health problems. They may also affect our immune, cardiovascular and nervous systems and lead individuals to habitual addictions, which are inter-linked ith stress. Like â€Å"stress reactions†, â€Å"relaxation responses† and stress management techniques are some of the body's important built-in response systems. As relaxation response the body tries to get back balance in its homeostasis. Some hormones released during the ‘fight or flight' situation prompt the body to replace the lost carbohydra tes and fats, and restore the energy level. The knotted nerves, tightened muscles and an exhausted mind crave for looseness. Unfortunately, today, we don't get relaxing and soothing situations without asking. To be relaxed we have to strive to create such situations. Recognizing a stressor: It is important to recognize whether you are under stress or out of it. Many times, even if we are under the influence of a stressful condition and our body reacts to it internally as well as externally, we fail to realize that we are reacting under stress. This also happens when the causes of stress are there long enough for us to get habituated to them. The body constantly tries to tell us through symptoms such as rapid palpitation, dizzy spells, tight muscles or various body aches that something is wrong. It is important to remain attentive to such symptoms and to learn to cope with the situations. We cope better with stressful situation, when we encounter them voluntarily. In case of relocation, promotion or layoff, adventurous sports or having a baby, we tend to respond positively under stress. But, when we are compelled into such situations against our will or knowledge, more often than not, we wilt at the face of unknown and imagined threats. For instance, stress may mount when one is coerced into undertaking some work against one's will.

Using Material from Item a and Elsewhere, Assess the Usefulness of Subcultural Theories in Explaining ‘Subcultural Crime and Deviance’ in Society Today (21 Marks)

Using material from Item A and elsewhere, assess the usefulness of subcultural theories in explaining ‘subcultural crime and deviance’ in society today (21 marks) Subcultural theories believe that people who commit a crime share different values to the rest of society. Subculture theories come from two different schools of sociology which are appreciative sociology and strain theory.Appreciative sociology came from the University of Chicago in the early 20th Century; Chicago sociologists were determined to appreciate other lifestyles and cultures in Chicago using a participant observation which existed after a huge number of migrants from Europe and Southern USA. Whyte’s Street Corner Society (1943) suggests that deviant groups in society have clear norms and values which justify their behaviour.The Chicago study would say that it is useful in explaining subcultural crime and deviance because they used participant observations to get more accurate results within d ifferent subcultures and Whyte would also agree that it is useful because they could justify their behaviour by the norms and values in which they share. In item A â€Å"some sociologists link subcultural crime and deviance to the nature of capitalism† this shows that some sociologists believe that it doesn’t matter about what your norms and values are but depending on the amount of money that you have will determine you to turn to crime.In a stratified society they have goals which are linked with their position in the social system, each layer share different goals, but the system can only work if the majority of people can reach their goals, however, if they can’t then you can reach an anomie. This theory of that crime is committed due to your social class isn’t useful because it is more stereotypical to say that a lower on under class would commit the crimes rather than middle and upper class due to their subcultures norms and values being different b ut it isn’t to say that they won’t commit the crimes but it would be for different reasons.Robert Merton (1938) located a deviance within a functionalist framework. He said that crime and deviance were a result of a strain between the socially accepted goals of society for example having your dream house, and socially approved means of achieving these goals which are getting a job in which can support the socially accepted goals. This can lead to a state of anomie in which an individual suffering from anomie would strive to attain the common goals of a specific society yet would not be able to reach these goals legitimately ecause of the structural limitations in society. As a result the individual would exhibit deviant behaviour. Merton then suggested if a section of society cannot achieve a set of goals, they look to alternative ways of achieving their goals. There are 5 different forms of behaviour which could be understood as a strain between goals and means and th ey are: conformity (wanting to fit in), innovation (progressing), ritualism (things you go for), retreatism (step back from society) and rebellion (rebel against society).Merton’s theory has proven useful because he said that due to the poor fit in society causes anomie and by identifying 5 different forms of behaviour each member in society will fit into one section and is easier to place them into a subculture to help explain crime and deviance, by using the five stages will help locate the highest rates and become more useful to people analysing crime rates and what their behaviour is between their goals and means.Cloward and Ohlin (1960) said that Merton had failed to appreciate that there was a parallel opportunity structure to the legal one which is called the illegitimate opportunity structure. In this illegitimate opportunity structure a regular criminal career is available, with recognised means of obtaining the society’s goals. Dick Hobbs (1998) used the ille gitimate opportunity structure to interview successful professional criminals who had demonstrated that they have a possible career in crime as they were given the right connections and qualities to be a criminal.The illegal opportunity structure has 3 different subcultures which are: criminal such as gangs, conflict such as people fighting against society and retreatist which are people retreating from society. The illegitimate opportunity structure is seen as useful in explaining subcultural crime and deviance because for some people there is a criminal opportunity structure and is easy to identify which category they fall into and how it is easier to move from one to another depending on the values and morals in each group.In conclusion subcultural theories are useful in explaining subcultural crime and deviance in society today because categorising people into particular groups allows it easier to compare and allows people to justify reasons for committing the crimes rather than just stereotyping particular people, and as seen in the Chicago study using participant observations becomes more reliable and get more of an insight into why people commit the crimes they do.

Internationalization of Financial Markets Essay - 1

Internationalization of Financial Markets - Essay Example People adopt all these strategies to reduce the risk and allocate the resources in a strategic manner. Â  During the last 20 years, internationalization of financial markets has developed at a very swift pace. This took place due to the amalgamation of goods market leading to the presence of multinational corporations. Imports and exports volumes have increased largely leading to increasing in international transactions. All these elements have increased their presence internationally but the growth of internationalization of financial markets has gone beyond the adjustment of trade. Along with this growth, banks’ existence has also increased internationally with many new branches in new countries to satisfy the needs of customers working for multinational organizations (Horne, 1990). Â  The reason that banks have different packages for different countries is that people have different needs and trends. Some countries might have the trend of saving more and some might have investment trend depending on the current situation of the country. If there is inflation in the country, demand is high but supply is very low because the purchasing power of consumers has increased but output has not increased at the same pace. The government will increase the interest rate so that instead of spending the money people save the money and do not demand much (Welch & Liostarinen, 1993). During this period, foreigners will start saving their money in those countries’ banks. Similarly, when there is deflation in any country government will decrease the rate of interest so that people invest more to stimulate the production and prices. Â  Moreover, different countries confront different kind of natural calamities and other destructions. Insurance companies have great significance in these kinds of countries, they collect premium from people periodically and invest this money in different projects.

SAM 400 UNIT 8 Essay Example | Topics and Well Written Essays - 500 words

SAM 400 UNIT 8 - Essay Example ate the team members to be aware that their tasks are mutually dependent thereby increasing the flexibility of the team and increasing the team’s response time (Musselwhite, 2007). The team’s response quality is extremely reliant on the feedback gotten from the leader of the team, customers and other members of the team. Musselwhite (2007) asserts that obtaining timely feedback is vital to the team’s success. On the other hand, the team leader is supposed to make sure that feedback has reached the whole team according to its metrics and goals. In addition, feedback is supposed to be obtained in time in case of corrections and adjustments. Mostly, feedback is obtained too late for it to add any practical value. Even if feedback may be used in planning future things, instant corrections needed in performance may not be enhanced by it. Feedback can be termed as a productive communication. It is very useful to a team leader. Communication that is productive within the team is very essential. This communication among team members may lead to improvement in the productivity and quality of the team. Timely feedback can differentiate between a team viewing mistakes as great opportunities and a team that is concealing its mistakes (Musselwhite, 2007). In a certain point when the team sees faults as chances of improving the results of a team, it indicates that the leader of that team has effectively developed an environment that endorses solving of problems. When the members of the team are allowed to develop their performance, they can be more engaged and proactive. Moreover, teams have big ownership of results discovered by them. According to Musselwhite (2007), another way of creating a team structure that is overly effective is by developing an environment suitable to solve problems. In case the structure of the team is poorly arranged, it can lead to negative behaviors among the team members and hinder communication. In an event whereby the team is having

Managing Diverse teams Research Paper Example | Topics and Well Written Essays - 500 words

Managing Diverse teams - Research Paper Example ceptance of the cultural diversity within the workplace, and specific to the American labor force, required that the management and leadership of both public and private enterprise should "embrace diversity", failing which may well "jeopardize their viability, profitability and competitiveness" within the business environment (p. 356.) To this end a "cultural awareness" program and/or policy frameworks were forthcoming. This is highlighted by the benefits that a holistic cultural and diversity management process and practice could realize, with respect to the mismanagement or lack of management skills and abilities, specifically around the benefits of a multicultural and diverse workforce can in fact be represented as a liability for the organization in question (Walker & Miller p. 50, 2010).The potential of such liability is highlighted below, as well as the benefits that may be directly associated with the sound and effective management of a culturally diverse workforce. Based upon the very fact of individual differences within various cultures, in terms of the different "values, styles and personalities", the modern day supervisor or manager must come to "recognize, respect and capitalize" on these traits regardless of the various backgrounds, normally based upon "race, ethnicity, gender, and sexual orientation", and such diversity can in fact "also help improve the companys competitive position in the marketplace" (Walker & Miller). In addition to this Albrecht provides that the potential benefits associated to a multicultural workforce provide for "better decision making, greater creativity and innovation, and more successful marketing to different types of customers". However beyond the specific management and efficacy thereof, there are additional factors that are associated with the costs of multicultural workforces, which are highlighted as "higher turnover rates, interpersonal conflict and communication breakdowns." (p. 245, 2001.) These are the issues

Movie Report Essay Example | Topics and Well Written Essays - 1500 words - 1

Movie Report - Essay Example Through the father’s emphasis on creationism, the boys learn to always be watchful of God’s divine beauty by connecting with the natural environment. There are powerful positive and negative implications of religious values in the film. A River Runs Through It illustrates the life span of Paul and Norman as they experience challenges and opportunities as they progress through adolescence and eventually adulthood. Both of these characters maintain a very distinct and diverse worldview, with Paul being more of a rebellious character interested in drinking and gambling while Norman is more level-headed and responsible with a sense of moral duty. According to contemporary theologians, modern worldviews are often conflicted (a type of imprisonment) where individuals in society have become completely detached from their religious roots. People in modern society tend to miss the mystical connections between spiritual realities and the nature of secular living in community and culture (Vujisic 321). This, according to the author, tends to separate the individual, a type of alienation, which ultimately leads to psychological and emotional problems. When a person removes God and the divine from their lifestyles, it fails to equip them with the healthy mental adjustment required to live a happy and full life holistically. Paul and Norman’s preacher father seems to understand this, trying consistently to reinforce the importance of recognizing creationism in daily life. Mostly, this is illustrated through fly-fishing and finding communality with the natural environment. Each time a fish is caught by any of the three men, the Presbyterian father reinforces that God has blessed them for their efforts, thus reinforcing that one must maintain a worldview that is consistent and relevant to the concepts of religion and God. The film does an excellent job of attempting to make the audience consider the role of religion in finding personal fulfillment and in e stablishing positive family values that can be applied to everyday lifestyle. A River Runs Through It, though occurring during the period between approximately 1919 to 1970, illustrates how this detachment from religion creates individuals in society that have no spirituality or self-control. When Paul becomes a young adult, he often frequents a local night club where he engages in heavy, debt-burdening poker playing and excessive drinking with others in the community. During one scene of the film, Norman’s girlfriend assigns Norman to take her brother fishing, who shows up exceedingly drunken and unable to fish. Alongside him is a young woman with a very bad reputation for being a deviant and a drinker, who is also unable to function and eventually passes out from her over-drinking. A River Runs Through It illustrates the type of character that is developed when they lose touch with religion. The drunken woman aforementioned has a very vulgar mouth and a very demeaning perso nality that is practically devoid of shame and self-control. This individual seems to have a worldview that is very disconnected with the divine. It should be recognized that a worldview is â€Å"a commitment, a fundamental orientation of the heart,

Building a companies without borders Essay Example | Topics and Well Written Essays - 1250 words

Building a companies without borders - Essay Example According to Becht (2010, p. 2), this means that most of the top managers of Reckitt Benckiser â€Å"haven’t held jobs in their company of origin for years and view themselves as global citizens rather than as citizens of any given nation.† The company operates in 60 countries and its 400 managers are from 53 nationalities (Becht 2010). According to Becht (2010, p. 1), the company adopted the strategy of being a â€Å"company without borders† because â€Å"it’s one of the best ways to generate new ideas and create entrepreneurs.† Becht (2010) claimed that Reckitt Benckiser’s strategy of â€Å"global cross-fertilization† led to good results because the strategy accounts for 35 to 40% of net revenue. Becht (2010) implied that â€Å"global cross-fertilization† promoted the invention of innovative products in Reckitt Benckiser. In turn, innovative products enabled the company to enjoy â€Å"steady, profitable growth, even during th e downturn† (Becht 2010, p. 1). Thus, according to Becht (2010), Reckitt Benckiser has outrun all her competitors since 2005. In the Becht (2010, p. 2) narrative, Reckitt Benckiser deliberately deploy managers in unfamiliar territories and not in their country of origin but they are expected â€Å"to find their footing very quickly.† Most managers, however, â€Å"grow tremendously† when they are taken out of their â€Å"familiar zone† (Becht, 2010, p. 2). Despite the multiplicity of nationalities in Reckitt Benckiser, the company insists on a common language in all meetings (Becht 2010). All are expected to say their piece no matter how blunt one’s piece is expressed. Thus, Reckitt Benckiser’s meetings are â€Å"chaotic† because â€Å"what takes over† is â€Å"an intensity and a feeling that we have to fight for better ideas† (Becht, 2010, p. 3). At Reckitt Benckiser, consensus is not highly valued but â€Å"conflict tha t simply slows down decision-making or is for political or personal gain is not tolerated† (Becht, 2010, p. 3). Nevertheless, â€Å"almost every key decision is made in meetings where it’s first discussed† and all must agree 100% to implement the decisions and â€Å"move quickly† (Becht, 2010, p. 3). However, minority views are not crushed (Becht, 2010). Those who do subscribe to the majority position are allowed to experiment with their ideas (Brecht, 2010, p. 3). Some of the questions that can be raised are as follows? How to the diversity of cultures impact on business? Do international connections play a role in business profitability? Are â€Å"companies without borders† a global trend? How do companies without borders organize themselves as a business? On the impact of diversity of cultures in managing businesses, John et al. (2011, p. 7) argued that â€Å"cultures that vary in value orientations should also vary in the level of control and p articipation.† John et al. (2011, p. 7) pointed out that â€Å"in a truly global marketplace, managers working in cross-cultural interactions need a better understanding of the impact of cultural orientation on an individual’s expectation at the service encounter.† This means, for example, consumers in diverse cultures vary with regard to how fast services should be, how faithful advertising should be on claims with regard to product quality, how assertive consumers can be with

Conservative, Liberal and Libertartian views Essay

Conservative, Liberal and Libertartian views - Essay Example Choosing among different issues of these civic stances involve trade-offs. Most of the Democratic Party is associated with liberalism while the Republican Party with conservatism. However, this is not a rule as some Democrats are relatively conservative while some Republicans are relatively liberal. Conservatives expect maximum individual freedom by allowing the government to carry out tasks only which individuals can not do such as building highways, maintaining police and military forces. On the other hand, liberals believe the government should be kept under control. Some argued that income taxes should be abolished and roads should be built and owned privately. Conservatives think that individual freedom has gone too far and caused the loss of many traditional moral principles. They perceive that America has declined culturally with family breakdown, crime and increasing numbers of pregnant teenagers. The government intervenes in the economy by collecting taxes to finance social security, health care for the poor and elderly, high schools and highways. The government regulates environmental protection, safety of food and medicine, workspace safety and fairness among employees. Conservatives and libertarians agree that the government should not manage t

Films Essay Example | Topics and Well Written Essays - 250 words

Films - Essay Example The Godfather is one of the popular 70’s movies that many love to this date. (Lee and Waterman 2) The 70’s was an age of producing films that represent an era full of passion, love, science fiction and nostalgia of television miniseries. The movies from the 1970’s still remain excellent movies attraction due to the music, the movie sequence, the dressing and culture that is well illustrated. These films represent a dawn in production of superb movies, which are copied and parodied of the 70’s lifestyle. However, the movies in today’s times still have that courage and toughness in production of movies that have hit the market at a wider scale. Movies like the Titanic and Avatar have won world wide recognition from many audiences, and the movie industry is still growing more and more. Lee, Sang-woo, and David Waterman. â€Å"Theatrical Feature Film Trade in the United States, Europe, and Japan since the 1950s: An Empirical Study of the Home Market Effect.† Journal of Media Economics 20.3

To what extent can global geopolitics in the period since 1989 be Essay

To what extent can global geopolitics in the period since 1989 be described as a 'clash of civilisations' - Essay Example Between the 1940s and 1989, global citizens were held hostage to recurring conflict between the world’s two largest superpowers which never reached a full militaristic situation as a result of both superpower’s capability to impose mass destruction against the other (Gaddis 56). However, since 1989, many states have developed more technological capacity and economic strength, making powers other than the Western Bloc and the Eastern Bloc more influential in geopolitics. Since 1989, more geopolitical power spread throughout emerging militaristic and economically-sound states has changed the dynamics of political relationships throughout the world. This essay explores the Gulf War, theory regarding global capitalism and U.S. unipolarity to describe how geopolitics, today, has led to a clash of civilisations. Between 1980 and 1988, Iraq had been engaged in a lengthy war against Iran, sparked by unsettled border disputes between the two nations. Iraq, a once-wealthy and prosperous nation, was witnessing its economic strength diminishing as a result of continuously funding a costly military effort against its rival. During this war, Saudi Arabia, one of the world’s largest oil producers, began to fear that if Iran won this conflict, it would create an Iran hegemony that would ultimately threaten national security of Saudi Arabia and its oil-related revenues. Saudi Arabia had loans $26 billion USD to Iraq as a dual effort to ensure that the Shia in Iran would not gain substantial political power. Kuwait, another oil rich nation, had also loaned Iraq $14 billion USD to assist Iraq in its military objectives against Iran. By 1990, Kuwait refused to simply forgive this $14 billion dollar loan even though Iraq was convinced that the eight year-long war had achieved an oppression of Iran’s growing strength (Watson, George, Tsouras and Cyr 61). The Saudis, additionally, placed considerable pressure on Iraq to begin loan

Drugs in sport Essay Example for Free

Drugs in sport Essay Drugs in sport is a major problem at this moment in time as it is beginning to become easier to attain drugs in your locally area. There is four different aspects that will be looked at in this essay are the four different aspects of drugs in sport which are philosophy, sociology, psychology and physiology. Each of these different aspects is influential in drugs in sport. These issues are major in sport, as they not only affect the professional athletes that people think that they do. A survey taken of sefton Liverpool is only one example how it affects everyone not just professionals. This showed that anabolic steroids had been the third most commonly offered drug behind cannabis and amphetamines, revealing that 6à ¯Ã‚ ¿Ã‚ ½4% of boys and 1à ¯Ã‚ ¿Ã‚ ½3% of girls had been offered anabolic steroids (Clarke 1999). We can see the problems with drugs in sport in that if children find out there favourite players or athletes are taking these drugs then they must be tempted and the survey shows how easy it is for them to gain possession of the drug. Drugs are a major issue that has to be looked at. Un officially reports claim that there is as many as twenty to forty percent of gym users taking perfromencing-enhancing drugs. This shows the severity of drugs in sport. (Drug scope website) The first aspect to look at is the philosophy of drugs in sport. Philosophy is described as the study of the fundamental nature of knowledge, reality, and existence or, a theory or attitude that guides ones behaviour. (Concise Oxford English Dictionary 2004) The philosophy behind dugs in sport is complex as there are many different philosophies that people will take. One reason is because of their desire to win. The win at all costs theory is rife throughout sport at all levels. The fact that drugs are used widely throughout sport is because of this theory. If a competitor thinks that he will be able to get the edge on any of his opponents he will take it. But the win at all cost attitudes towards sport is essential in athletes taking these performance-enhancing drugs. It was really rammed home what length professional athletes will go to become successful and win. The win at all cost mentality was evident at the biggest stage of sport the Olympics. At the last Olympics there were 24 doping violations throughout the whole of the games. This is double the amount found at the previously highest amount taken at the Olympics. (BBC website) It shows that competitors will do whatever it takes to win that gold medal. The philosophy for many people who decide to go ahead and take drugs is because they believe everyone else does. An interview with a professional weightlifter called Tammy Thompson. She showed the philosophy of since everyone else takes drugs then so should I. in the interview she t6alks about the reason why she started to take performance enhancing drugs. Instead of training harder or going to better techniques, I figured they were taking drugs and I would too. Id catch up. (Todd, 1987) This shows one reason behind this competitor took these drugs and why many other do. The theory that when they lose it is because everyone else is taking drugs not because they cant make the grade in there sport. The philosophy of doing what everyone else is doing is probably the main reason for the competitors taking drugs. When you are watching certain sports you automatically believe that they are taking drugs to enhance their performance. Sports like power lifting, or bodybuilding is rife in them and it is obvious that people would take the drugs to keep up with the other people in their sport if they want to be successful. If we look at taking drugs in a philosophic viewpoint, we always come to the fact that does it really affect the persons success. Are these performance-enhancing drugs actually the magic pill the media makes them out to be? (Simon 1984). They may improve the performance of the competitors taking them but they still have to have the desire to be successful and train to make these drugs work. The drug will not suddenly make an average performer become world class. The person still needs to have that core skill and determination to train and win. We see the taking of these drugs as cheating. Gunther Luschen describes cheating as cheating in sport is the act through which the manifestly or latently agreed upon conditions for winning such a contest are changed in favour of one side. As a result, the principle of equality of chance beyond differences of skill and strategy is violated (1976). Throughout your early experience of sport as a child you are told of the philosophy that cheaters never win. But as a child growing up we see people cheating by taking these drugs every day and the children will see these and it will become even more acceptable than it is at this moment in time. Children are seeing there favourite stars suspected of taking drugs such as Rio Ferdinand and they will start to believe that this is all that you can do to become successful in sport. This is just one case of high profile names being found or believed to be taking drugs while competing in sport. When you look on what the philosophy is behind the reason performers take drugs there is a wide selection. But one thing through all the theories that you may find for the use of performance enhancing drugs is that they are related to the person or persons winning. No matter what why they put there reason for taking these drugs it will always come back to the fact that they want to win and be successful. The next factor that I will be looking at the affect of taking the drugs has on a persons psychology. There is psychological affects that come upon a person are different for each stage of use of performance enhancing drugs. Some affects of taking these drugs are to have changes in moods, become more confident in your self and you become more motivated and enthusiastic. These may seem like good affects but these come early in the usage of drugs. Eventually the person will come prone to mood swings; they will create aggressive feeling, which grow into violence and hostile behaviour. (Corrigan 1996) we can see just from these affect the severity of taking these drugs. You think of the amount of people that are on these drugs and you can see the problem that arise with people taking performance enhancing drugs, these violent behaviour are also what led to such incidents as including reckless driving or crashing cars, assaults, marriage break-ups, domestic violence, child abuse, suicide and attempted murder or murder. (Schulte, Hail, Boyer, 1993) We can see the potential havoc that these drugs can cause to a person psychological health. When you look at the psychological effect that taking these drugs have upon the persons taking anabolic steroids one familiar factor continues to arise. This factor is that a person will develop mood disorders. Pope and Katz (1990) found that 22 per cent of bodybuilders and footballers were found to meet the American Psychiatric Associations criteria for a manic or depressive episode while on anabolic steroids, it was also discovered that once stopped taking the drug there symptoms subsided. This shows how taking these steroids can affect a persons psychological well being. The drug affects people in a variety of ways, be it like above in their moods and make them come a bit more depressed. Where as in the other reports found that taking these anabolic steroids affect a person aggression we can see this in a study taken by Choi and Pope (1994) they took study of 24 anabolic steroid user and 14 non users. The findings were that while a person who was taking a drug cycle they were more likely to report verbal and physical fights with their spouse compared with the non-user and people that were not currently on a drug cycle. We can see from these affects that a person has while he or she is on a drug cycle. This is a worrying thought as we have already seen the amount of drug user there is thought to be. Among the community of steroid users there is a term called roid rage, which described by Wright, Grogan and Hunter (2001) as an uncontrollable outbursts of aggression. In report taken by Beel (1994) people who are taking these drugs compare normally to the general public in education, income, height and alcohol consummation. Though are likely to report roid rage as a response to small amounts of provocation. This is a worrying finding if it does not take a lot to make a person go into an uncontrollable fit of rage. We see the stats of how many people can get hold of these drugs and how many people are currently using the drug. But you only realise the fact that it affects the people around them as well. If they take one of these roid rage it may be the people nearest to them they take it out on and in s ome cases that can be there wives or their children. Looking at the overall effect of drugs on the whole on the user psychological state of mind it is worrying thought that there are so many effects that can occur a person during cycles of drug use. These affects are not just affecting the person themselves but the people nearest to them they are also affected. We see all the problems that come with taking these drugs and yet they still take them knowing that they will affects them and this shows that they are willing to do whatever it takes to be successful in there goal. This links in with the philosophy of winning at all costs on previously in the paper. The next factor that I will be looking at is the sociology behind why people take these performance-enhancing drugs. A main factor in the use of these drugs is to enhance their body appearance. When giving reasons for using these performance-enhancing drugs improving body image was most frequently given answer amongst gym users. (Taylor and Black 1987) this answer shows that people are to this being socially acceptable and look the correct way to people. This stems from the public image and the role models that are made of sports stars. Examples are rife in all countries, are it here in Briton where a lot of our superstars are given the clean cut image and built up to a superstar status. You look at Dwain Chambers a major force in 100 meters sprinting who is portrayed to the public as the greatest thing since sliced bread. Chambers ultimately caught with taking banned substance THG while in his training camp in Germany. (Parry 2006) This has ruined his image of a role model. People looking up at chambers will think this must be acceptable and the only way to be successful. It promotes that image in society that to become as successful as him you will have to take performance-enhancing drugs. We see the affect that drugs have in sport through the number of people caught each year. But when you look and see that children are thinking of beginning to play sport and want to be successful you can see the problem. Linford Christie and Olympic medalist himself stated that athletics has become so corrupt with drugs that he would not want he children involved in it. (Savulescu, Foddy and Clayton 2004) when you see an Olympic champion saying such bad thing about a sport it helps you realize the severity of drug taking in sport. This affects him even though to the society who thinks it was best time of his life, but in reality he does not even want his children to experience this side of a professional sportsman society where drugs are common and not really thought about. When you look at society and who their role models are especially in England the people they look up to are the professional footballers. So the affect of any of these players taking drugs would affect the society as a whole and promote taking these performance-enhancing drugs. In survey conducted by Waddington, Malcolm, Roderick, et al (2004) of professional footballers in England, they found that there was at four premiership players using enhancing drugs. This has massive affect on society as if these people are thought to be gaining in success and in the money that they earn then it must have affect on society on how they react to this. Public see there top stars such as Gerrard, Rooney, or Henry taking drugs they will obviously think that this is how they can immolate there heroes. This shows how drugs in sport affect the society as a whole. The sociology side of drugs in sport is big in that it affects a lot of different society I not just one singular society. We look at athletes who get caught taking enhancing drugs and they are role models to all aspiring athletes or competitors and to no that they only achieved these heights through taking drugs only promotes the need for competitors to take drugs. A big example is in America baseball where Mark McGwire broke the record for most home run hits in baseball history for one season. Two weeks before McGwire broke this record he admitted to taking performance-enhancing drug but once he broke that record he was still treated like a hero and built up as a great of the game. But with this they also to a society of aspiring baseball players promoted taking this drug to become a player as good as McGwire was. The final aspect that you have to look at is what are the physiological affects when you are taking drugs. While a person is taking these performance-enhancing drugs there are physical affects that occur to the body. Strauss and Yesalis (1991) said that while a person is taking anabolic steroid that there is a growth in the size of a person while on these drugs. Though this is a plus of becoming bigger or being more successful at there sport there is also the downside of taking these drugs. Some of these problems are testicular atrophy, prostate enlargement, difficulty in urination secondary to changes in the prostate, (Daigle 1990) these are not shown to the buyer the problems that can occur from taking anabolic steroids, this is only one of many possible symptoms. When we look at all the different forms drugs caffeine also come up as a banned substance in terms off athletes. This drug has an affect on the muscles of the body and makes them go for longer it act upon the skeletal muscles. (Ganslen 1974) Drugs the different types of drugs which a person takes are vast they can range from drugs that are designed to produce muscle mass and make the performer bigger such as anabolic steroids, or drugs designed to make your red blood cell count become greater which are called EPO. EPO proper name Erythropoietin. EPO is a hormone produced by the kidneys that produces red blood cells within the body. By injecting themselves with extra EPO, athletes can not only improve oxygen absorption but also potentially increase the metabolism and healing process of muscles. (Bennett, 2003) This drug is helpful with professional coaching as it means that the person can train for longer. We can see simply from the two different drugs the radical changes that taking these performance-enhancing drugs can have on people. When you look at drugs in sport through each of these different aspects you can see a lot of how sever the problem is. Each aspect links in with each other to form different problems. Looking at the different whys that it harms a person it is not only a person body that it is affecting but also their mind. You also look at top professionals from all around the world; they are role models to children from their countries who wish to be like them. So when they decide to take these drugs it is there body they are damaging but also the body of there fans who think that it is acceptable to take drugs if there heroes are doing so as well. It is the responsibilities to get a message out that drugs a re bad and should never be used in enhance a competitors performance because there decision affects many more people.

Heineken Is One Of The Worlds Pale Lager Marketing Essay

Heineken Is One Of The Worlds Pale Lager Marketing Essay Heineken is one of the worlds huge pale lager and is dedicated to grow and remain independent, made by Heineken International since 1873. The trade name that stands for the founders name Heineken is presented in almost all countries on the planet earth and is one of the worlds most valuable international premium beer brand. It is very popular in the United States, Europe and even Middle Eastern countries such as Egypt, Syria, Iraq and Sudan. Their international brands are Heineken and Amstel, but the group brews and sells more than 170 international premium, regional, local and specialty beers and ciders, including Cruz campo, Birra Moretti, Fosters, Maes, Murphys, Newcastle Brown Ale, Ochota,  Tiger, Sagres, Star, Strong bow  and  Zywiec. It is available in a 4.3% alcohol by volume, in countries such as Ireland. Heineken has been able to remain one of the worlds leading consumer and corporate brands for more than 130 years. Famous brands include Amstel, Europes third-largest selling beer, Cruzcampo, Tiger, Zywiec, Birra Moretti, Ochota, Murphys and Star. They are more than 119 breweries in more than 65 countries brewing a Group beer volume of 139.2 million hectolitres. In this report we going to Discover more about company, strategy, as well as their operations in EUROPIAN region. 1.1 History The Heineken story began more than 140 years ago in 1864 when Gerard Adriaan Heineken acquired a small brewery in Amsterdam. Since then, four generations of the Heineken family have expanded the Heineken brand and the Company throughout Europe and the rest of the world. Values and principals Heineken morals and ethics are not a lavish: they are essential to every level of business. Heineken is committed in sustainable development, in optimiseing their financial results with nominal impact to business atmosphere. To do this, they abide with number of governing business principles and three other core values such as- respect, enjoyment and quality that reflect their passion for beer and respect for their employees, business partners, customers, shareholders and all others who are connected to company. 2.0 Marketing audit for Heineken The marketing audit is a fundamental part of the marketing planning process. It is conducted with implementation of the plan. The marketing audit considers both internal and external marketing planning, as well as review of the plan itself. PEST analysis is an audit of an organizations environmental influences with the purpose of using this information to guide strategic decision-making. The PEST technique involves assessing four sets of factors: Political/legal, Economic, Socio-cultural, and Technological. The assumption is that if the organization is able to audit its current environment and assess potential changes, it will be better placed than its competitors to respond to changes. PEST analysis is concerned with the environmental influences on a business.The acronym stands for the Political, Economic, Social and Technological issues that could affect the strategic development of a business. Identifying PEST influences is a useful way of summarising the external environment in which a business operates. However, it must be followed up by consideration of how a business should respond to these influences. The table below lists some possible factors that could indicate important environmental Influences for a business under the PEST headings: Political / Legal Economic Social Technological Environmental regulation and protection Economic growth (overall; by industry sector) Income distribution (change in distribution of disposable income; Government spending on research -Taxation (corporate; consumer) Monetary policy (interest rates) Demographics (age structure of the population; gender; family size and composition; changing nature of occupations) Government and industry focus on technological effort -International trade regulation Government spending (overall level; specific spending priorities) Labour / social mobility New discoveries and development -Consumer protection Policy towards unemployment (minimum wage, unemployment benefits, grants) Lifestyle changes (e.g. Home working, single households) Speed of technology transfer -Employment law Taxation (impact on consumer disposable income, incentives to invest in capital equipment, corporation tax rates) Attitudes to work and leisure -Rates of technological obsolescence -Government organisation / attitude Exchange rates (effects on demand by overseas customers; effect on cost of imported components) Education Energy use and costs -Competition regulation Inflation (effect on costs and selling prices) Fashions and fads Changes in material sciences Stage of the business cycle (effect on short-term business performance) Health welfare Impact of changes in Information technology Economic mood consumer confidence Living conditions (housing, amenities, pollution) Internet! 2.1.1 Political Efforts to reduce levels of alcohol consumption: Governments conduct promotion to change public consumption, e.g. anti-drink and drive behaviour. Associated with this is increased regulation on the nature and style of alcohol advertising. For example, it is prohibited in Austria, Denmark, Finland, Norway and Sweden. Alcohol promotion has been banned on TV in France and, in the UK to reduce its influence on younger TV and radio audiences. 2.1.2 Economical Implementation of the Single European Market (SEM) enabling freedom of movement of goods and services, people and capital across national borders brought opportunities and threats to the brewing industry. It has allowed firms to invest equity to acquire full-ownership of established breweries across Europe, rather than minority holdings. At a production level, it has encouraged the location of breweries and associated logistics distribution centres to be made on cost-efficient criteria rather than regional or national obligations, enabling an international, and even global, approach to beer production. At the same time, the European logistics industry has been liberalized in the lead up to 1992 with the removal of national licenses, quotas and control within the road-transport sector, although there remains a dominantly national flavor to its provision. As yet, the unification of taxation, especially excise duties across Europe which could ease administration, is only under discussion. The difficulties of implementing the proposals are considerable. However, with the current variations in excise duties encouraging a black market, especially between the UK and France, movement is afoot to reduce the extreme variations. The publicity associated with the substantial cross-Channel movement (or bootlegging) of alcohol and tobacco products between France and the UK, with adverse repercussions for UK suppliers and tax collection for the Exchequer, has concentrated minds on finding a solution to the taxation disparities. The brewing industry relies on economies of scale in both production and distribution to be successful. The removal of trade barriers, with the chance to capitalize on economies of scale, is helping companies, especially those operating within small domestic markets. Both Heineken in the Netherlands and Carlsberg in Denmark have been obliged to internationalize as their own domestic markets are too small to provide sufficient scope for economies of scale for desirable growth. Expansion through joint venture, acquisitions and mergers, together with licensing and strategic alliance, has enabled an extension of brand franchising and complementary brands. 2.1.3 Social Provision of environmentally friendly packaging: In Germany and Denmark drinks require returnable bottles for re-cycling and, since 1995, at least 65% of packaging has had to be re-usable. In Denmark cans are banned for in-country production, although, due to European Union (EU) competition rules, import exemptions allow high imports of canned beer, from Germany in particular. These regulations incur short-term increases in the costs of packaging and distribution as new technology is introduced to meet the requirements. 2.1.4 Technological Heineken use their technology to keep detailed documents of shipping, in their warehouses to make the beer more efficiently and for shipping purposes. 2.2 SEGMENTATION TARGETING POSITIONING proceeds to segment the market, select the appropriate market target, and develop the offers value positioning. The formula segmentation, targeting, positioning (STP) is the essence of strategic marketing. (Kotler, 1994, p. 93) . The process of market segmentation can also consist of the selection of those segments for which a firm might be particularly well suited to serve by having competitive advantages relative to competitors in the segment, reducing the cost of adaptation in order to gain a niche. This application of market segmentation serves the purpose of developing competitive scope, which can have a powerful effect on competitive advantage because it shapes the configuration of the value chain. (Porter, 1985, p. 53). Segmentation is the process of identifying sets of consumers. These sets must be homogeneous, distinct, attractive and reachable. It use demographic (i.e. age), geographic (i.e. ZIP codes), and psychographic (i.e. attitudes) information to describe and separate groups. Segmentation requires the marketer to look at pools of potential customers from multiple angles to consider their areas of focus. Heineken focuses on youth in different locations. Targeting a specific segment or segments requires the evaluation of multiple segments. Choices can be hard to make and sometimes seem arbitrary. To aid the marketer, metrics for the most important criteria should be associated with each potential segment. In the end, the segment(s) with the greatest potential should be selected. Europes largest brewer, Heineken NV, is to embark on an acquisition spree and attempt to make its flagship lager brand more appealing to young consumers as increased competition and sluggish sales continue to blight its more mature beer markets. Positioning Gunter and Furnham (1992) prescribe that after selecting target markets the trategist should develop positioning objectives to then develop them into a detailed marketing mix. However, Aaker (1996) recommends developing the positioning objective only after the brand identity and value proposition have been developed. In exploring the latter, it is useful to understand Aakers definition of positioning is the part of the brand identity and value proposition that is to be actively communicated to the target audience and that demonstrates an advantage over competing brands. Kotler (1994) refers to it as the unique selling proposition. Heineken is the worlds most valuable International premium beer brand Heineken hopes to consolidate its position within the high growth Romanian beer and mineral water market by acquiring Transylvania based brewer bere mures for an as yet undisclosed fee. As of 2009, Heineken owns over 119 breweries in more than 65 countries and employs approximately 54,004 people 3.0 Global Brand Development: Since stage of beer market development in each country is different strategy should be used. In embryonic markets (Africa, Eastern Europe) pushing strategy is suitable. In growing markets (Italy, Spain, Japan) both pushing and pulling strategies are agreeable. In mature markets (North and Central Europe, Australia,USA) pulling strategy is the best. Global positioning target can be achieved through creative marketing communication. Heineken should develop a number of high-profile, quality television campaigns with universal appeal, featuring high profile, contemporary celebrities. However, within the marketing mix, there will always be a requirement for locally driven campaigns and support. By connecting to local situations, consumer will develop a greater emotional tie to the company. The term marketing mix refers to the primary elements that must be attended to in order to properly market a product or service. Also known as The 4 Ps of Marketing, the marketing mix is a very useful, if a bit general, guideline for understanding the fundamentals of what makes a good marketing campaign. Product product refers to products or services. The product or service that offer the needs to meet a specific, existing market demand. Or, product should be able to create a market niche through building a strong brand. Heineken maintains it beer quality and special taste Price: The price that set for Heineken product or service plays a large role in its marketability. Though Heineken has many competitors Heineken maintains its quality and price. It changes it price according to the situation and location. Place: Heineken has huge marketing in Ireland and Netherlands. Compare to other brands Heineken is not available in all retails stores frequently. Promotion: Heineken has quickly recognised that consumers are increasing seeking value and positivity in the current recessionary environment. 3.1 Market entry Heineken has a pragmatic view taking a cautious approach to entering new markets. While it encourages organic growth, it has expanded by using a combination of direct export, licensing, joint venture, strategic alliance and acquisition. While it exports its premium Heineken brand from its plant in Amsterdam in the Netherlands, it is also involved in local regional production. A typical entry strategy has been to begin by exporting using intermediaries such as local distributors, and then to develop licensing production agreements through joint ventures with local brewers. Ultimately, the goal is to acquire full ownership and control of the local production wherever possible. The Netherlands Heineken has been the dominant market leader in its home base in the Netherlands having 53% of the market in 1991, well above its competitors Grolsch (15%) and the 15% taken by Interbrews subsidiary Verenigde Brouwerijen. Unfortunately, the Heineken brand market share, 45% in 1980, itself dropped to only 30% in 1991. In response Heineken introduced the Amstel and Buckler brands, the latter being the first non-alcoholic beer available on draft. Uk In the 1960s, when Heineken entered the UK, the beer-drinking public was not familiar with the strong beer being drunk in other European countries. Consequently, it made a licensing arrangement with Whitbread to brew a weaker version of standard Heineken brand (3.6% alcohol by volume (abv) ) that proved popular with lager drinkers. By 1990, about 10% of all lager drunk in the UK carried the Heineken brand. As beer drinkers became increasingly familiar with the continental brands, the Heineken Export Strength (5.0% abv) was introduced which Whitbread also brewed under licence. In 1993, the UK was the second largest market for beer in Europe, consuming 224 pints per head of population, although that level dropped to 218 pints per head in 2002 (Tighe, 2003). The pattern of consumption is different from the rest of Europe with more than 80% being drunk in pubs, many of which are linked, or tied, to breweries. Heinekens route was through access to Whitbreads distribution network through a licensing agreement. Interestingly, these ties were broken in the early 1990s when the Conservative government introduced legislation to increase competition. This obliged Bass to dispose of its 7,500 pubs most of which were expected to become independent small businesses. In practice, most were acquired by Pubmaster which currently owns 8,500 pubs, reflecting the continued concentration of ownership within the brewing distribution network. Ireland In 1993, Guinness and Heineken dominated in Ireland with a combined market share of about 85%. From the 1970s the Heineken brand was produced under licence until Heineken acquired its own production site in 1983. Murphys stout was a particular success story, becoming the number two brand of stout (behind Guinness) in both Ireland and the UK; by 1993 it was also being sold in the US and France. Italy Heineken entered the Italian market in 1960 when it acquired a minority stake in a small brewer. This was extended in 1974 when Heineken and Whitbread each bought a 42% holding in the company, renamed Birra Dreher. By 1980, Heineken was the sole owner of Dreher having acquired Whitbreads 42% share. Mergers with two former Henniger breweries strengthened Dreher so that, by 1993, it had a 25% share of the Italian market behind the market leader Peroni with about 40%. Despite the decline in the Italian beer market being more severe than in other European markets, Dreher maintained its margins although its market share fell. The Heineken brand retained its position, while its Buckler brand benefited from the increasing growth of the non-alcoholic segment. As in other countries, Heineken, in this case through Dreher, increased its control of the distribution network by purchasing a number of drinks wholesalers. In 1991, Heineken began importing its other Heineken brands into Italy to prov ide more effectively for the premium beer segment. Greece In 1965, Heineken entered a joint venture agreement for Athenian Brewery to produce the Amstel brand. By 2002, it had 98.8% ownership and a dominant 70% or so of the Greek market. This enabled it to strengthen its own Heineken and Amstel brands, and to import its associated Dreher and Coors beers. Heineken still dominates the Greek market. France In 1982, Heineken acquired Albra, which had an 8% market share and owned two breweries in France. In 1984, Albra was merged with Brasseries et Glacieres International to form the Sogebra group which in 1993 had 25% of the beer market, challenging the market leader, BSN Kronenbourg (50%). With the successful re-organisation of the Sogebra group, Heinekens fortunes continued to improve. However, the poor economic climate of the early 1990s, together with the increased competition for limited shelf space among retailers, has been challenging. Spain In 1984, as Spain was preparing to join the EU, Heineken purchased 37% of the local El Aguila brewer and increased its holding to a 51% controlling interest by 1993. El Aguila suffered from outdated production techniques and poor branding which necessitated investment in production and some re-structuring with resulting labour redundancies and short-term losses. The Aguila Pilsner brand was positioned for the standard market segment and a new Adlerbrau brand was introduced targeted towards the premium segment; Adlerbrau was then itself replaced by Aguila Master. Spain was a challenging market where many small family breweries operated within a federal infrastructure so hindering the implementation of economies of scale. Nevertheless, the Spanish market was attractive, with beer consumption the third highest in the EU, and increasing from 51 litres per capita in 1978 to 71 litres in 1989. Not surprisingly, by 1991 other companies were intent on acquiring a slice of the market through similar joint venture arrangements. They included Guinness/Carlsberg (Cruzcampo), the French group BSN (Mahou) and San Miguel Philippines (San Miguel). 4.0 Heineken SWOT Analysis Heineken SWOT Analysis company profile is the essential source for top-level company data and information. Heineken SWOT Analysis examines the companys key business structure and operations, history and products, and provides summary analysis of its key revenue lines and strategy. 4.1 Strengths The taste of Heineken beer is unique. The yeast that is used to make Heineken beer till today is developed in 1886.so the taste uniqueness of it has been there for a hundred years Heineken is the worlds second largest beer manufacturer.They produce 5.6 billionl liters of beer each year. second only to anheuser busch who produce 10 billion ltrs . This gives economics of scale and a platform for futher expansion of their market capitalization. In some markets like U.S.A and Hong Kong the Heineken brand is perceived as a premium brand and has successfully established a brand image. Heineken has owned subsidiaries in Netherland, France and Ireland whereas they held majority stake in 15 other breweries all over the world.Which gives Heineken a global presence. 4.2 Weaknesses Insome countries the brand image of Heineken was too narrow such that the brand was seen appropriate for special occasions only, While in other countries like Latin America the brand is viewed just another imported European beer .In Netherlands It was viewed as a mainstream brand. The company has limited its reach to the European and the Western countries and there still lies a scope for scaling up in countries like India where the beer is just imported and thus making it impossible to penetrate deep down No production base in some area and TV commercials are just aired in larger markets Lack of integrated marketing campaign Lack of worldwide advertising campaign 4.3 Threats Increase in drunk driving laws Competitors increasing market share Mergers and acquisitions of other breweries Other Breweries are becoming much larger than Heinekens Brewery 5.0 Recommendation to achieve the global brand Introduce a number of innovations across liquid, packaging and format that will serve to further endorse international leadership credentials because innovation is the lifeblood of brand domain. Heineken has a strong brand tradition. In order to flourish its  brand reputation  across the world, convince the consumers that the brand is some way superior. Develop a relationship with customers, build  affinity  between brand and customers bysponsoring international rugby tournaments, and world soccer tournament such as -( the Champions Leagues, the UEFA Champions League,  worlds premier club) where target audience of men from all over the world gather in one place. Building the brand  recognition  for long-term  to differentiate the brand Heineken and be sure to add value to the product in order to get the brand loyalty. (For example, Heineken can maintain its good quality or create benefits for society and culture, and provide an emotion to its consumers. 6.0 Strategies Macro analysis Heineken has been able to remain one of the worlds leading consumer and corporate brands for more than 130 years. It confronts directly the challenges in many of our markets to deliver organic profit growth, but also focuses on building the long-term future of our brands and business. 6.1.1 Current strategies Key focus is on driving the growth of our brands and improving our financial performance on ensuring that acquisitions, partnerships and distribution strategies create value. The focus is also on enabling our employees to use their potential and building a true performance based culture. Heineken aims for sustainable growth as a broad market leader and  we aim for segment leadership. In both cases, the Heineken brand plays an important part. We establish broad leadership usually by acquiring strong brands, which are combined into a new, larger company. Offering training to the employees, improving the organization, and introducing new technology then reinforces the positions of the local beers. This results in economies of scale that create a distribution network for both the local beers and Heineken beer. If a market is already in the hands of other brewers, we devote all our energy to developing a premium segment with Heineken beer, and if feasible, specialty beers. The goal of Heineken is to grow the business in a sustainable and consistent manner, while constantly improving profitability. The  four priorities for action include:   To accelerate sustainable top-line growth. To accelerate efficiency and cost reduction. To speed up implementation: we commit to faster decision making and execution.   To focus on those markets where we believe we can win. 6.1.2 Failures in strategies Heineken: Declining sales volumes now should explore new Strategies. An expected drop in revenues for Heineken has been more than cancelled out through cost-cutting measures and a shrewd pricing strategy. While beer volumes have suffered during the recession, this can be seen as the continuation of a more established trend. Plant closures have helped Heineken to reduce costs, but future profits will need to be driven by alternative methods. Heineken has revised its profit forecast for 2009 and now expects low double-digit growth for the year overall. The third largest brewer in the world reported a 4.7% decline in volume sales, but strong cost-cutting measures and a sound pricing strategy have allowed the company to further grow its profits. Beer v olumes have been badly hit by the recession, but this is largely a continuation of a longer and more established trend in established markets. The category has lost significant custom to the wine and spirits segments in recent years, as beer has garnered a particularly unhealthy reputation. Consumers beer preferences were once widely predicted to enjoy Resistance to the recession, but this has not proved to be the case and many consumers have switched to cheaper brands, with notable gains seen in the private-label beer market. Heineken has been able to drive profits through an array of cost-cutting measures. A number of plants were closed after Heinekens purchase of Scottish Newcastle. This acquisition gave the company the largest share of the European beer market, which allowed the undertaking of consolidation through the plant closures. Heineken has also increased prices, which has helped to offset some of the volume declines. Price rises in the beer category have become commonplace, but the company has ensured that its prices remain competitive without compromising the integrity of the brand. The expected results from Heineken demonstrate the possibilities that still exist during a recession. Cost-cutting measures have improved profits and will leave the company in a stronger position during a recovery. However, reducing costs can only fuel profit growth for a finite length of time, and the company must ensure that it continues to grow its business in developing markets while consolidating in the established markets of Europe and the US. 6.1.3 Implementations: The basic strategies of Heineken is to capture the local market. By merging with local firms Heineken has started capturing local market. Merger and acquisitions seems very good at for the present situation but according to servey (Dg internal market and services , 2005). 7.0 Recommendations: Heineken is one of the strongest products in the market and is dedicated to grow and remain independent, made by Heineken International since 1873. From the above repost accomplished that from macro analysis, there are positive conditions in Europe to increase profitability of Heineken. There are number of other steps in marketing plans can improve sale of Heineken. The Heineken brand can be developed through the distinctive characteristics of the marketing communication mix: multiple form of marketing communications are needed to communicated the value benefits of a product or market offering to larger and larger numbers of actual and potential consumers The value benefits of a product or marketing offering is communicated to the target market through three modes: marketing communication mix, mass marketing forms of communication , personal marketing forms of communication Creating strong associations and responses in the consumers mind: creating awareness of the brand, establishing the brand image brand judgments and feeling , and creating strong consumer-brand connect By designing a marketing communication strategy that delivers a consistent message that aims at informing, persuading, and reminding consumers- directly or indirectly about the products and brand for sale in the market segment It should focus on the markets that are in the embryonic stage and also on the developing markets and one of the being India, Heineken still has not penetrated India and the beer that is available in through imports. Company does not have fixed group that looks into marketing communication mix They should go like When in Rome, do as the Romans do that signifies that the communication mix should be different from country to country, and it should be significantly referring to the personalization of the masses representing the target population of a particular. It should keep learning from what happened to other brands that entered into foreign markets and did not do well and they should learn from their failures

McDonalds Corporation in India

McDonalds Corporation in India Organization; McDonalds is the worlds leading fast food chain with 31,000 local restaurants in 118 different countries and collectively serving more than 58 million people (www.aboutmcdonalds.com). Due to globalization and internationalization, the corporation established joint ventures, and later franchises, which enabled them to spread into other countries, like India. This turned McDonalds into a multi-billion dollar enterprise (McDonalds Annual Report 2008). Founded in 1937 by brothers Richard and Maurice McDonald, the fast food chain began as a drive-in restaurant in California (Vignali 2001). In 1954, Ray Croc saw an opportunity in the fast food market and initiated a deal with the brothers, giving him rights to franchise McDonalds in America (Vignali 2001). By 1965, there were over 700 McDonalds restaurants in the country and in 1967, the corporation went global by opening restaurants in Canada and Puerto Rico (www.aboutmcdonalds.com). Since then, an average of 4.2 new McDonalds restaurants is opened daily around the world (Hill 2009), one of which included Indias first McDonalds in Mumbai in 1996 (www.mcdonaldsindia.com). The American fast food chain is the focus of this report because of its increasing international presence in the world. The literature review covers an overview of the strategies and models that will help better understand McDonalds move into the Indian market. The discussion and analysis section will focus on McDonalds in particular and the challenges and competition the corporation faced in this new foreign market. Lastly, the report will conclude with recommendations on how and what McDonalds can do to better their performance in India. Literature Review Globalization refers to the growing interdependent relationships among people from different cultures and nations as physical and psychological walls collapse, barriers to the movement of trade, capital and people are blurred and modern technology is integrated (Daniels et. al. 2009; Hill 2009). This indicates the two main factors that drive globalization are the decline in barriers to the free flow of goods, services and capital, and the change in technology (Daniels et. al. 2009). Internationalization involves customizing business strategies depending on cultural, regional and national differences (Vignali 2001). Since the 20th century, more corporations have become global to create value for their organizations and to achieve competitive advantage. This was followed by the development of multinational enterprises or corporations (Daniels et. al. 2009). According to Vignali (2001), globalization involves marketing standardized products the same way everywhere, thus viewing the world as a single entity (Vignali 2001). However, the reality is that nations, cultures and people vary around the world. Corporations need more than just globalization to succeed in the international market. According to Taylor (see Vignali 2001), companies should think global, act local (Vignali 2001, p.98) by combining internationalization and globalization elements to create a competitive advantage. Entry Modes Determining the appropriate entry mode for a corporation is a complex task. Hill, Hwang and Kim (1990) state that different entry modes have different levels of control over foreign operations, in terms of managing operational and strategic decision-making. Some of the common entry modes used by global corporations are franchising and joint ventures (Hill 2009). Franchising is when a company, or franchisor, sells intangible property, like a trademark, to the franchisee with the stipulation that the franchisee abides the by the rules and conditions specified in the franchising contract (Hill 2009). The rules as to how franchisees operate a restaurant extends to control over the menu, cooking methods, staffing policies, and design and location. This is a common strategy approached by many fast food chains. By franchising to local people, the delivery and interpretation of something foreign is translated by the local people, in terms of both product and service (Vignali 2001), and the costs of running the business is cheaper. However, franchising may inhibit a corporation taking profits out of one country to support competitive attacks in another country (Hill 2009). Also, the quality of the brand in the foreign country may not be the same or up to par as the quality of the brand of products in the corporations native country, which is ultimately bad for business (Hill 2009). Joint venture is sharing ownership between two or more companies and the percentage of ownership varies from 50% to more or less (Daniels et. al. 2009). It has similar advantages as franchising but can have more problems, such as lack of control of technology (Hill 2009). When choosing the market it is important to consider long-term economic benefits including the market size, the present wealth of consumers in the market, and the future wealth of the consumers, which depends on the economic growth rate (Hill 2009). Hill (2009) argues the product value in the foreign market is another deciding factor. This depends on if the product is suitable to the market and the local competition. As they turn global, organizations are transformed in terms of their strategies, operations, management, marketing, and human and material resources and services (Daniels et. al. 2009). This is because foreign markets have different physical, social and competitive factors from the domestic market, and this affects the objectives and the strategy of the corporation (Daniels et. al. 2009). IR Model Companies that operate internationally face two forces: pressures for global integration and pressures for local responsiveness (Daniels et. al. 2009). In their research paper, Doz and Prahalad (1984) explain economic, technological and competitive conditions push global integration, whereas diversity in customer needs, distribution channels, media and trade barriers between countries push responsiveness. Research shows that the higher the pressure for global integration, the greater the need to maximize efficiency through standardization (Daniels et. al 2009). Customers accept standardized products and this reduces costs for the corporation (Daniels et. al 2009). But, international corporations are under pressure to adapt their operations to the local market conditions and local customer demands, as well as adhere to the policies mandated by host-country governments, which varies around the world (Daniels et. al. 2009).   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  The integration-responsiveness model, shown in figure 1, was initially developed by Prahalad and Doz in 1987 and then developed further by Bartlett and Ghoshal in 1989. It shows the interaction between global integration and local responsiveness (Daniels et. al. 2009). The IR model presents four strategies to guide how international corporations will enter and compete in the foreign market: international strategy, multidomestic strategy, global strategy and transnational strategy.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  International strategy is adopted by corporations when they want to influence their core competencies by expanding into foreign markets. Secondly, a multidomestic corporation is locally responsive (Daniels et. al. 2009, p.475) as it allows each of its operations in foreign countries to act independently. The subsidiaries have the freedom to respond to the preferences of their local customers when designing, making and marketing products (Daniels et. al. 2009). A global strategy maximizes integration and it pushes a company to make a standardized product for a global market, such as shampoo. Lastly, transnational strategy differentiates capabilities and contributions from country to country allowing companies to learn from them. It endorses an integrated framework of technology, financial resources, creative ideas, and people (Daniels et. al. 2009). Culture   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Hofstede, a key researcher in the subject, defines culture as the collective programming of the mind which distinguishes the members of one group or category of people from another (see Hill 2009, p.89). Banerjee (2008) adds it is a set of values, ideas, artefacts, and other meaningful symbols that shape our attitudes and actions. Globalization has given rise to a new concept of no-border (Banerjee 2008, p.368) world. Cultures merge, change and evolve as people move around the world; this has increased rapidly due to improved technology, the birth of the internet and expanding networks of interpersonal and mass communications (Craig and Douglas 2006). As mentioned earlier in this report, corporations become international to create value and gain competitive advantage. One means of doing this is by promoting cultural diversity (Daniels et. al. 2009) as people from diverse backgrounds and experiences are brought together. When divergent cultures come in contact, cultural collision takes place. In adjacent to this theory of cultural collision, Craig, Douglas and Bennett (2009) introduce Americanization, a type of internationalization, which refers to the spread of American culture through US corporations. Establishing a global platform allows individuals and organizations to interact with each other, regardless of time, space and language. Globalization leads to plenty of opportunities, but it has also gives rise to challenges. Mayo (see Rawwas 2000) found that first-time exporters often fail as they try to expand internationally is because they were unable to understand cultural differences and foreign business practices. Rawwas (2000) concludes that an enhanced sensitivity to cultural variables is needed (p.203) for understanding the needs of international customers and making the necessary decisions to meet them. Discussion and Analysis   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  McDonalds has been operating in India since 1996 and has a total of 160 restaurants nationwide (www.mcdonaldsindia.com). Its strategy is to achieve best value by offering the best quality, while prices are kept reasonable (www.mcdonaldsindia.com). McDonalds success is attributed to its commitment to deliver quality, service, cleanliness and value to customers, increasing the number of outlets to improve convenience, and finally, its investment in supplier development, training and people (www.mcdonaldsindia.com). Entry Modes The growth of the emerging Indian market is attributed to the resurgence in manufacturing sector, growth in service sector, and bigger foreign investments (Sharma and Srinivasan 2008), as well as technological changes, GDP growth, and increase in literacy and income levels (Dana and Vignali 1998). Sharma and Srinivasan (2008) list Indias infrastructure, its economic development, market size, present and future wealth of consumers, and consumer culture as the main attraction for foreign investors. Hill (2009) and other researchers specify Indias large and relatively prosperous middle class of around 100 million (Harding 2000) was a main attraction for McDonalds. In addition, Sharma and Srinivasan (2008) state the expectation of India to be one of the top three economies in the world by 2050, along with China and USA also presented ample opportunities for the American corporation. It was a major risk on McDonalds part as India is the only country where the fast food giant does not include beef in its product, McDonalds primary raw material (Harding 2000). In conjunction with Sharma and Srinivasan, Morrison and Beck (2000) add that the costs and risks associated with doing business in India are lower because it is an economically advanced and politically stable democratic (Hill 2009, p.489) nation and it is cheaper for McDonalds to use local raw materials (Morrison and Beck 2000). Prior to its entry into India, the corporation was involved with local suppliers to ensure they were able to generate the right quality and quantity of raw materials required for production. These included potato farms in Gujarat, Trikaya Agriculture for lettuce, Dyanmix Dairy for cheese, and Vista Processed Foods for chicken and vegetables (www.mcdonaldsindia.com). McDonalds also developed a cold chain network, which keeps raw materials fresh as they are moved from the farms to the restaurants at the lowest possible costs. This unique network benefits the local farmers, while at the same time, gives customers high quality food products that are fresh and of great value (www.mcdonaldsindia.com). Goyal and Singh (2007) insist that although traditionally, Indians prefer home-cooked meals, there has been a shift in the food consumption patterns due to westernization. Indians were more receptive to international food and eating out at restaurants (Goyal and Singh 2007). According to worldwatch.org (see Goyal and Singh 2007, p.184), Indias fast food industry is growing by 40% each year. Prior to the entry of international fast food outlets, Goyal and Singh (2007) reveal that Nirulas was a popular domestic fast food provider. The British Wimpys was the first international fast food chain to enter the Indian market in 1984 and were an instant success. Except for Wimpys and later KFC, India was not home to many fast food outlets in the mid-1990s, and the McDonalds Corporation felt they could give something extra to the Indian customers (Goyal and Singh 2007). McDonalds entry into India was initially done through joint-venture companies: M.D. Hardcastle Restaurants Pvt. Ltd. heads up the restaurants in west and south India, while those in the north and east are managed by Connaught Plaza Restaurant Pvt. Ltd. (www.mcdonaldsindia.com). However, this is unlike Vignali (2001) and Hill (2009) who indicate that McDonalds growth and international success is attributed to using the franchising strategy (Hill 2009, p.498). McDonalds allows local firms in India to use its brand name as long as they stick to the franchising contract. They also organize the supply chain for its franchisees and provide management training and financial assistance (Hill 2009). As mentioned in the literature review, maintaining the expected quality of McDonalds products throughout its outlets in India is a challenge (Hill 2009). One way in which they handle this is by establishing a master franchisee (Hill 2009, p.498). This is where the joint venture McDonalds has established with the two local firms is crucial. The managers of the firms, who have been trained at McDonalds Hamburger University in America, head up the two master franchisee and oversee the operations in all McDonalds outlets in India (www.mcdonaldsindia.com; Hill 2009). It can be argued that the American fast food giant initially entered the Indian market through joint-ventures, but then later spread all over the country through franchises. Hill (2009) continues that, through joint ventures and franchising, McDonalds benefits from the local partners knowledge of the countrys competitive conditions, culture, and language, and the corporation is also relieved of the costs and risks of opening in the foreign market on their own; instead, the franchisee assumes all the responsibilities. By using this strategy, McDonalds was able to expand rapidly at a relatively low cost and risk (Hill 2009). IR Model McDonalds adopted the international strategy through franchising to push their core competencies in the Indian market and to customize their products and services to the local customer demands (Hill 2009). This way the corporation relies on local subsidiaries in India to stick to the regulations of running McDonalds and ensure the standardizing of its products and services (Daniels et. al. 2009). However, the Indian market is culturally diverse, so complete standardization within an international scale is impossible. Dana and Vignali (1998) argue that standardization is cheaper, but success is often a function of being able to adapt to an environment (p.50). McDonalds standardizes as much as possible to reduce costs, but they are aware of cultural differences and have adopted the concept of think global, act local (Vignali 2001, p.99). According to Hill (2009), international strategy provides the subsidiaries with some freedom, but the primary control resides with managers at the headquarters in America. Multidomestic strategy, on the other hand, allows McDonalds in India to act independently from its counterparts in America. The Indian subsidiaries are granted the authority to design, make and market new products that directly respond to the local customers preferences (Hill 2009). McDonalds does not use beef because the cow is worshipped by the local Hindu population. In fact, possession of beef could result in five years jail time (Dana and Vignali 1998). Thus, the corporation completely removed beef from all its products, as well as pork for the Muslims (Harding 2001). Instead of the ever-popular Big Macs found in the west, McDonalds in India serves Maharaja Macs made from mutton, spicy vegetarian rice patties (Morrison and Beck 2000), chicken burgers, vegetarian McAloo Tikki burgers, containing potatoes, and vegetarian pizza puffs all designed to draw in the Indian middle-class (Harding 2001; Vignali 2001). Customers in India have different preferences due to cultural and religious differences, so McDonalds is required to modify and adapt their products and services as according to the local demand. Therefore, as indicated in figure 2, McDonalds strategy is positioned between the international and multidomestic quadrant. Culture Craig, Douglas and Bennett (2009) state in their article that as that the opening on McDonalds in India is a reflection of the American culture spreading. The Indian public have mixed feelings about the companys presence in the country. Usually, the younger generation, particularly, the college-going crowd and high school students from the middle-class enjoy the new taste. However, many of them argue that McDonalds food is badexpensiveun-Indian (Harding 2001). Food ingredients are not the only things McDonalds had to modify. They learned the hard way to be aware of the religious belief and value of Hindus, Jains, Muslims and Christians in the country and adapt to each. Dana and Vignali (1998) recount an incident in the late 1990s that arose when McDonalds printed two million bags illustrating the flags of 24 competitors of a football championship. The problem was that the Saudi Arabias flag contained the religious words: There is no God but Allah, and Mohammad is his prophet (Dana and Vignali 1998, p.50). This angered the large Hindu population in the country and caused a scandal, affecting McDonalds reputation. Competition McDonalds key competitor is KFC, another American fast food giant. KFC entered the Indian market a year before McDonalds and there were problems from the start. The corporation would fatten its chicken on maize, but this was also a source of nutrition for the poor in India. They were getting less and less maize and could not even afford to eat at KFC (Dana and Vignali 1998). The Karnataka Farmers Association went on riots to demonstrate their protest and anger at the corporation, and it eventually culminated with KFC losing their permit in the southern state (Dana and Vignali 1998). KFC restaurants in India are limited and many of them have faced issues, such as unsanitary conditions (Dana and Vignali 1998, p.51).   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Another competitor in India for McDonalds is the British fast food chain, Wimpys (Dana 1999). They are the only international fast food conglomerate who has been in India the longest. Their growth has been slowed down over the years due to the number of international fast food chains entering India, but they frequently expand and reinvent their menus with Indian dishes to attract Indian customers (Goyal and Singh 2007). Although McDonalds has done comparatively better than KFC in India, the former faced plenty of challenges too. In the following section, recommendations are given on how McDonalds can improve their performance in subcontinent. Recommendations and Conclusion   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Early 2000, McDonalds faced a lot of problems and the local population were dissatisfied with the corporations presence in the country. The problems stemmed from the corporations lack of understanding about cultural and religious beliefs in India. This shows a sign of lack of faith and lack of trust, particularly after rumours of beef fat in cooking oil used by the French McDonalds (Harding 2001) set of angry protests in India. Delhis managing director for McDonalds insists the outlets in India do not use beef extracts, but since the McDonalds empire was built on beef products, some Indians find it hard to believe that the local outlets do not use beef extracts (Harding 2001).   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  It is a delicate situation and a hard problem to solve when religion and cultural beliefs are involved. The best thing McDonalds can do to keep business flowing in India is by building up consumer trust in the Indian market. By establishing a strategic alliance between domestic competitors, like Nirulas, customers might be influenced into eating at McDonalds (Hill 2009). This collaboration would encourage McDonalds to develop more Indian-friendly products, like curries, that fit the tastes of the local demand, and it might present the American corporation in a more favourable light. McDonalds is a popular fast food chain found all over the world. Entering into the Indian market was a brave move and it set new challenges for the corporation due to cultural, religious and ethical differences in the country. McDonalds are still facing problems, but for the most part they have managed to attract a part of the Indian population, fascinated by this western culture. In conclusion, despite the blurring of the physical boundaries between India and America, cultural factors still affect Indian customers buying habits (Banerjee 2008) and McDonalds need to focus on gaining the trust of their local customers, or they will be unsuccessful like their fellow-American competitors, KFC. References BANERJEE, Saikat, 2008. Dimensions of Indian culture, core cultural values, and marketing implications: An analysis. Cross Cultural Management : An International Journal, 15(4), pp.367-378. DANA, Leo Paul, 1999. Nirulas small business. British Food Journal, 101(5/6), pp.500-504. DANA, Leo and VIGNALI, Claudio, 1998. Introductory cases. 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