Transformational and Transactional Leadership

Transformational and Transactional Leadership Transformational and Transactional Leadership Thomas J. Kenny CRJ-810 Dec 16, 2011 Many styles of leadership exist in the management world. Most of these approaches are very similar to one another. Two very different styles of leadership are the transactional and transformational leadership styles identified by James Burns in 1978. These leadership styles are almost polar opposites of one another, with employees in the transactional leadership style motivated by rewards and benefits, and employees in the transformational style motivated by their charismatic managers.These two leadership styles, though different from each another, can be very effective tools in the world of policing. Transactional leadership represents â€Å"those exchanges in which both the superior and the subordinate influence one another reciprocally so that each derives something of value. †(Yukl, 1981) This style of leadership can be compared to dangling a car rot in front of someone, or giving officers who write the most tickets steady weekends off. Leaders who use this style give their subordinates something they want in exchange for something that the leader wants.The reward system of leadership used by the transactional leader can also involve rewards or values that are not as easily tangible such as trust and respect. Burns(1978) referred to these values as modal values; â€Å"modal values bond leaders to followers in an attempt to actualize the needs of both parties. † These rewards such as trust and respect may still be given out by low level police supervisors who may not have the authority to give out overtime or authorize special days off.While transactional leadership is concerned with increasing production and motivation through a reward based system, transformational leadership is concerned with making the employee want to succeed. Bass & Steidlmeier (1998) describes this difference as: Transformational leadership is p redicated upon the inner dynamics of a freely embraced change of heart in the realm of core values and motivation, upon open-ended intellectual stimulation and a commitment to treating people as ends not mere means.To bring about change, authentic transformational leadership fosters the modal values of honesty, loyalty and fairness and the end values of justice, equality, and human rights. Transformational leadership contains four components: â€Å"idealized influence (attributed or behavioral),inspirational motivation, intellectual stimulation, and individualized consideration. † (Bass, 1985) These four components can be summed up as that of a charismatic leader. Employees will see the qualities of this charismatic leader and try to emulate them.Bass (1985) describes this emulation of charismatic leaders as: If the leadership is transformational, its charisma or idealized influence is envisioning, confident, and sets high standards for emulation. Its inspirational motivation provides followers with challenges and meaning for engaging in shared goals and undertakings. Its intellectual stimulation helps followers to question assumptions and to generate more creative solutions to problems. Its individualized consideration treats each follower as an individual and provides coaching, mentoring and growth opportunities.Transformational leadership can be very effective in the world of policing, where the leadership exists from the top down. Officers who work for a transformational leader in a police department must â€Å"understand the vision of the department’s direction, appreciate the organization’s potential, believe that the goal of improvement is supported by the entire organization, and support the idea that change is needed. † (Bynum, 2008) Transformational Leadership can be very effective due to the fact that its motivational and inspirational effects can be long lasting and felt by every employee in the organization.Transformati onal leadership encourages its members to be more proactive and more productive without any specific direction or a reward in mind other than that it benefit’s the organization as a whole. With transactional leadership, some of the rewards such as better hours or days off can only be enjoyed by a few of the members. A competition to see who can write the most summonses, with the winner getting better days off, may increase production at first.The benefit of weekends off can not be given to everyone though, and usually only those who receive the reward will continue to produce as much. Transformational leadership might have a difficult time succeeding in an organization such as the New York City Police Department. The NYPD was founded in 1845, and therefore is deeply rooted in traditions and norms. Even the most charismatic leader, brought into the NYPD to institute change and a new direction, is going to be met with extreme resistance.Police Officers, who can tend to be very reflexive at times, might not take well to the idea of being self starting, proactive, and productive for their department. This initial resistance by subordinates usually makes the transformational leadership approach a long term solution to a departments problems. Transformational leadership tends to be more effective that transactional leadership, due to the fact that most of the terms in the reward based system of transactional leadership are defined and tangible.The subordinate is expected to produce a certain amount in order to receive a benefit. This can tend to make the employee cease production once they have met the production requirement. Conversely in transformational leadership the employees are motivated not by a reward, but for the good of the organization as a whole. This motivation can lead employees in a transformational leader organization to produce much more than what is expected of them. The fact that the terms of a transactional leadership arrangement are tang ible also makes it effective for a short term production problem.A precinct with an influx of burglaries, might offer an extra day off to the next officer who makes a burglary arrest. While in the long run they would want the officer to always be vigilant for burglary arrests, the added benefit of a day off will have additional motivational effects. Transformational leadership is most often effective in organizations that have a need for change, or that have undergone a recent crisis. Transformational leaders tend to have uniting qualities, which can bring an organization out of mediocrity.Adolf Hitler, who was a tremendously charismatic transformational leader, was able to bring Germany back from the brink of total collapse and financial ruin that it was in following World War I. Transformational and transactional leadership can be two of the most effective styles of leadership in policing. By using the transformational leadership style, police managers can foster an group of proac tive and motivated police officers, who want to achieve greater results for the good of the team.By using the transactional leadership approach, they can achieve great results exchanging rewards and benefits with subordinates for increased production. Using a combination of these two approaches to police leadership should lead to great success. References Bass, B. , & Steidlmeier, P. (1998). Ethics, Character, and Authentic Transformational Leadership. Vanguard. edu. Retrieved December 10, 2011, from www. vanguard. edu/uploadedFiles/Faculty/RHeuser/ETHICS,%20MORAL%20CHARACTER%20AND%20AUTHENTIC%20TRANSFORMATIONAL%20LEADERSHIP. df Bass, B. M. (1985). Leadership and performance beyond expectations. New York: Free Press ;. Burns, J. M. (1978). Leadership. New York: Harper & Row. Bynum, R. (2008). Transformational Leadership and Staff Training in the Law Enforcement Profession. The Police Chief. Retrieved December 10, 2011, from www. policechiefmagazine. org/magazine/index. cfm? fuseacti on=display_arch&article_id=1422&issue_id=22008 Yukl, G. A. (1981). Leadership in organizations. Englewood Cliffs, N. J. : Prentice-Hall.

Goods and Services Tax

K SYMBIOSIS INSTITUTE OF MANAGEMENT STUDIES Goods & Services Tax Report submitted to Dr. Dhirendra Deshpande in partial fulfillment for the degree of Masters in Business Administration Symbiosis International University, Pune Abstract: This report is an attempt to understand the impact of GST on Indian economy. The report defines Sales Tax and Value-Added Tax (VAT). It then looks at the Goods and Services Tax (GST) design in India which has been adapted to suit the Indian taxation system.The report ends with the probable impact of GST on Indian economy and the limitations of the implementation of GST. ? Contents Introduction3 Sales Tax3 Types of sales tax3 Sales tax in India4 Value- Added Tax (VAT)6 Importance of VAT in India6 Advantages Of VAT6 Disadvantages of VAT7 Items covered under VAT7 Tax implication under Value Added Tax Act8 VAT vs. Sales Tax8 Goods and Services Tax (GST)10 Introduction10 The Need for GST10 Benefits of GST11 How GST Will Work12 GST vs. VAT14 GST vs. SALES TA X15 Limitation of GST16 IntroductionThis report is an attempt to understand the impact of GST on Indian economy. The report starts by defining Sales Tax and Value-Added Tax (VAT). It then looks at the Goods and Services Tax (GST) design in India which has been adapted to suit the Indian taxation system. The report ends with the probable impact of GST on Indian economy. Sales Tax A sales tax is a tax paid to a governing body by a seller for the sales of certain goods and services. Laws allow the seller to collect funds for the tax from the consumer at the point of purchase.Laws may allow sellers to itemiz (state item by item) the tax separately from the price of the goods or services, or require it to be included in the price (tax-inclusive). The tax amount is usually calculated by applying a percentage rate to the taxable price of a sale. When a tax on goods or services is paid to a governing body directly by a consumer, it is usually called a use tax. Often laws provide for the exe mption of certain goods or services from sales and use tax. Types of sales tax Gross receipts taxes: This tax has been criticized for its â€Å"cascading† or â€Å"pyramiding† effect, in which an item is taxed more than once as it makes its way from production to final retail sale. †¢Excise taxes: Applied to a narrow range of products, such as gasoline or alcohol, usually imposed on the producer or wholesaler rather than the retail seller. †¢Use tax: Imposed directly on the consumer of goods purchased without sales tax, generally items purchased from a vendor who is not under the jurisdiction of the taxing authority (e. g. , a vendor in another state).Use taxes are commonly imposed by states with a sales tax, but are usually only enforced for large items such as automobiles and boats. †¢Securities turnover excise tax on the trade of securities. †¢Value added taxes: In which tax is charged on all sales, thus avoiding the need for a system of resale c ertificates. Tax cascading is avoided by applying the tax only to the difference (â€Å"value added†) between the price paid by the first purchaser and the price paid by each subsequent purchaser of the same item. †¢Fair Tax: A proposed federal sales tax, intended to replace the U. S. ederal income tax. †¢Turnover tax: Similar to a sales tax, but applied to intermediate and possibly capital goods as an indirect tax. Sales tax in India Central Sales tax is generally payable on the sale of all goods by a dealer in the course of inter-state Trade or commerce or, outside a State or, in the course of import into or, export from India. According to S3, a sale or purchase shall be deemed to take place in the course of interstate trade or commerce in the following cases: 1. When the sale or purchase occasions the movement of goods from one State to another; 2.When the sale is affected by a transfer of documents of title to the goods during their movement from one State to a nother. Where the goods are delivered to a carrier or other bailee for transmission, the movement of the goods for the purpose of clause (b) above, is deemed to start at the time of such delivery and terminate at the time when delivery is taken from such carrier or bailee. Also, when the movement of goods starts and terminates in the same State, it shall not be deemed to be a movement of goods from one State to another.To make a sale as one in the course of interstate trade, there must be an obligation to transport the goods outside the state. The obligation may be of the seller or the buyer. It may arise by reason of statute or contract between the parties or from mutual understanding or agreement between them or, even from the nature of the transaction, which linked the sale to such transaction. There must be a contract between the seller and the buyer. According to the terms of the contract, the goods must be moved from one state to another.If there is no contract, then there is no inter-state sale. There can be an interstate sale even if the buyer and the seller belong to the same state; even if the goods move from one state to another as a result of a contract of sale; or, the goods are sold while they are in transit by transfer of documents. Sales tax is payable to the sales tax authority in the state from which the movement of goods commences. It is to be paid by every dealer on the sale of any goods effected by him in the course of inter-state trade or ommerce, notwithstanding that no liability to tax on the sale of goods arises under the tax laws of the appropriate state. No state can levy sales tax on any sale or purchase where such sale or purchase takes place †¢outside the state and †¢in the course of import of goods into or export of goods outside India. Only the parliament can levy tax on inter-state sale or purchase of goods Not all despatches of goods from one state to another result in inter state sales rather the movement must be on account of a covenant or incident of the contract of sales.There are some instances wherein the goods are moved out of the selling state and yet they are not considered inter state sales :- 1. Intra-state sales 2. Stock transfer from head office to branch & vice versa 3. Import and Export sales or purchases 4. Sale through commission agent / on account sales 5. Delivery of Goods for executing works contract Exceptions in the sales tax include: 1. Sales to resellers such as wholesalers and retailers that have a valid state resale certificate. 2.Sales to tax-exempt institutions such as schools or charities Value- Added Tax (VAT) VAT is a multi point levy where the tax paid on local purchases from the registered dealer can be set off against the tax payable on the sale of goods, other than special goods. Example: Consider the manufacture and sale of any item, which in this case we will call a widget. In what follows, the term â€Å"gross margin† is used rather than â€Å"profi t†. Profit is only what is left after paying other costs, such as rent and personnel. Importance of VAT in IndiaIndia, particularly being a trading community, has always believed in accepting and adopting loopholes in any system administered by State or Centre. If a well-administered system comes in, it only closes options for traders and businessmen to evade paying their taxes, but also makes sure that they are compelled to keep proper records of sales and purchases. Under the VAT system, no exemptions are given and a tax is levied at every stage of manufacture of a product. At every stage of value-addition, the tax that is levied on the inputs can be claimed back from tax authorities.At a macro level, two issues make the introduction of VAT critical for India. 1. Industry watchers believe that the VAT system, if enforced properly, will form part of the fiscal consolidation strategy for the country. It could, in fact, help address issues like fiscal deficit problem. Also the revenues estimated to be collected can actually mean lowering of fiscal deficit burden for the government. International Monetary Fund (IMF), in the semi-annual World Economic Outlook expressed its concern for India's large fiscal deficit – at 6 per cent of GDP. 2.Moreover any globally accepted tax administrative system would only help India integrate better in the World Trade Organization regime Advantages Of VAT 1. Simplification – Under the CST Act, there are 8 types of tax rates- 1%, 2%, 4%, 8%, 10%, 12%, 20% and 25%. However, under the present VAT system, there are only 2 types of taxes 4% on declared goods and 10-12% on RNR. This will eliminate any disputes that relate to rates of tax and classification of goods as this is the most usual cause of litigation. It also helps to determine the relevant stage of the tax.This is necessary as the CST Act stipulates that the tax levies at the first stage or the last stage differ. Consequently, the question of which stage of tax it falls under becomes another reason for litigation. Under the VAT system, tax is levied at each stage of the goods of sale or purchase. 2. Transparency – The tax that is levied at the first stage on the goods or sale or purchase is not transparent. This is because the amount of tax, which the goods have suffered, is not known at the subsequent stage. In the VAT system, the amount of tax is known at each and every stage of goods of sale or purchase. . Fair and Equitable – VAT introduces the uniform tax rates across the state so that unfair advantages cannot be taken while levying the tax. 4. Procedure of simplification – Procedures, relating to filing of returns, payment of tax, furnishing declaration and assessment are simplified under the VAT system so as to minimize any interface between the tax payer and the tax collector. 5. Minimize the Discretion – The VAT system proposes to minimize the discretion with the assessing officer so that every p erson is treated alike.For example, there would be no discretion involved in the imposition of penalty, late filing of returns, non-filing of returns, late payment of tax or non-payment of tax or in case of tax evasion. Such system would be free from all these harassment 6. Computerization – The VAT proposes computerization which would focus on the tax evaders by generating Exception Report. In a large number of cases, no processing or scrutiny of returns would be required as it would free the tax compliant dealers from all the harassment which is so much a part of assessment.The management information system, which would form a part of integral computerization, would make the tax department more efficient and responsive. Disadvantages of VAT 1. VAT is regressive 2. VAT is difficult to operate from position of both administration and business 3. VAT is inflationary 4. VAT favors capital intensive firms Items covered under VAT 1. All business transactions that are carried on w ithin a State by individuals/partnerships/ companies etc. are covered under VAT. 2. More than 550 items are covered under the new Indian VAT regime out of which 46 natural ; unprocessed local products will be exempt from VAT 3.Nearly 270 items including drugs and medicines, all industrial and agricultural inputs, capital goods as well as declared goods attract 4 % VAT in India. 4. The remaining items attract 12. 5 % VAT. Precious metals such as gold and bullion will be taxed at 1%. 5. Petrol and diesel are kept out of the VAT regime in India. Tax implication under Value Added Tax Act SellerBuyerSelling Price (Excluding Tax)Tax RateInvoice value (InclTax)Tax PayableTax CreditNet TaxOutflow AB1004% CST104404. 00 BC11412. 5% VAT128. 2514. 250*14. 25 CD12412. 5% VAT139. 5015. 5014. 251. 25 DConsumer13412. % VAT150. 7516. 7515. 501. 25 Total to Govt. VAT CST16. 75 4. 00 VAT vs. Sales Tax †¢VAT is a form of indirect tax which is imposed on products or services at different stages of manufacturing, where as Sales Tax is levied at the time of the purchase of the products or services. †¢VAT is levied on both the producer and consumer while a sales tax is levied on only the end consumer. †¢VAT involves tricky accounting while sales tax involves simpler accounting. †¢VAT is applied at the various stages of production while sales tax is applied on the total value of the purchase. VAT efficiently avoids evasion of taxes while a sales tax is unable to deal with this. †¢In VAT the method adopted is Input Tax Credit while Sales tax, liability of a dealer for a particular period is determined using the multiplication method. Goods and Services Tax (GST) Introduction Goods and Service Tax is a tax on goods and services, which is leviable at each point of sale or provision of service, in which at the time of sale of goods or providing the services the seller or service provider can claim the input credit of tax which he has paid while purchasing the good s or procuring the service. GST is the rate of tax remains the same but as per the necessity of the nation some goods or services can be declared as â€Å"exempted† or â€Å"Zero rated†. †¢A system Exports are zero rated and all the taxes paid while purchasing and manufacturing the goods including the taxes paid on raw material and services are returned to the exporter to make the exports competitive. †¢The sellers or service providers collect the tax from their customer, who may or may not be the ultimate customer, and before depositing the same to the exchequer, they deduct the tax they have already paid.The Need for GST †¢Avoid cascading effect of taxation: A main reason of the introduction of GST is to avoid cascading effect of taxes in India. For example manufacturing of a product attract CENVAT (Central Value Added Tax) is a component of the tax structure employed by many countries in the western section of Europe. CENVAT is derived from a tax syst em that is generally referred to as VAT. The manufacturer pays CENVAT on goods produced. According VAT rules, the sales tax is payable on the aggregate selling price which include CENVAT. Here there is no set off benefits available. Shortfall of Existing VAT: Indirect taxes like luxury tax, entertainment tax, are yet to be included in the VAT. These taxes are still existing and payable. †¢Shortfall of Existing CENVAT: Several taxes like additional customs duty, surcharges not included under CENVAT. Input tax and service tax set off is out of reach to the manufacturer and dealers. Benefits of GST †¢GST provide comprehensive and wider coverage of input credit setoff, you can use service tax credit for the payment of tax on sales of goods. †¢CST will be removed and need not pay.At present there is no input tax credit available for CST. †¢Many indirect taxes in state and central level submit by GST, you need to pay single GST instead of all. †¢Uniformity of tax rates across the states. †¢Ensure better compliance due to aggregate tax rate reduces. †¢By reducing the tax burden the competitiveness of Indian products in international market is expected to increase and there by development of the nation. †¢Price of goods is expected to be reduced in the long run as the benefit of less tax burden would be passed on to the customer. Overall tax compliance cost will reduce for government and can concentrate on GST. How GST Will Work The dealers registered under GST (Manufacturers, Wholesalers and retailers and service providers) charge GST on the price of goods and services from their customers and claim credits for the GST included in the price of their own purchases of goods and services used by them. While GST is paid at each step in the supply chain of goods and services, the paying dealers don’t actually bear the burden of the tax because GST is an indirect tax and ultimate burden of the GST has to be taken by the last c ustomer.This is because they include GST in the price of the goods and services they sell and can claim credits for the most GST included in the price of goods and services they buy. The cost of GST is borne by the final consumer, who can’t claim GST credits, i. e. input credit of the tax paid. How GST Will Work The dealers registered under GST (Manufacturers, Wholesalers and retailers and service providers) charge GST on the price of goods and services from their customers and claim credits for the GST included in the price of their own purchases of goods and services used by them.While GST is paid at each step in the supply chain of goods and services, the paying dealers don’t actually bear the burden of the tax because GST is an indirect tax and ultimate burden of the GST has to be taken by the last customer. This is because they include GST in the price of the goods and services they sell and can claim credits for the most GST included in the price of goods and ser vices they buy. The cost of GST is borne by the final consumer, who can’t claim GST credits, i. e. input credit of the tax paid. WorkingThe illustration shown below indicates, in terms of a hypothetical example with a manufacturer, one wholesaler and one retailer, how GST will work. Let us suppose that GST rate is 10%, with the manufacturer making value addition of Rs. 30 on his purchases worth Rs. 100 of input of goods and services used in the manufacturing process. The manufacturer will then pay net GST of Rs. 3 after setting-off Rs. 10 as GST paid on his inputs (i. e. Input Tax Credit) from gross GST of Rs. 13. The manufacturer sells the goods to the wholesaler. When the wholesaler sells the same goods after making value addition of (say), Rs. 0, he pays net GST of only Rs. 2, after setting-off of Input Tax Credit of Rs. 13 from the gross GST of Rs. 15 to the manufacturer. Similarly, when a retailer sells the same goods after a value addition of (say) Rs. 10, he pays net G ST of only Re. 1, after setting-off Rs. 15 from his gross GST of Rs. 16 paid to wholesaler. Thus, the manufacturer, wholesaler and retailer have to pay only Rs. 6 (= Rs. 3+Rs. 2+Re. 1) as GST on the value addition along the entire value chain from the producer to the retailer, after setting-off GST paid at the earlier stages.The overall burden of GST on the goods is thus much less. This is shown in the table below. The same illustration will hold in the case of final service provider as well. Stage of supply chain Purchase value of Input Value addition Value at which supply of goods and services made to next stage Rate of GST GST on output Input Tax credit Net GST= GST on output + Input tax credit Manufacturer 100 30 130 10% 13 10 13-10 = 3 Wholesaler 130 20 150 10% 15 13 15-13 = 2 Retailer 150 10 160 10% 16 15 16-15 = 1 The GST can be divided into following sections to understand it better: 1.Charging Tax: The dealers registered under GST (Manufacturers, Wholesalers and Retailers a nd Service Providers) are required to charge GST at the specified rate of tax on goods and services that they supply to customers. The GST payable is included in the price paid by the recipient of the goods and services. The supplier must deposit this amount of GST with the Government. 2. Getting Credit of GST: If the recipient of goods or services is a registered dealer (Manufacturers, Wholesalers and Retailers and Service Providers), he will normally be able to claim a credit for the amount of GST he has paid, provided he holds a proper tax invoice.This â€Å"input tax credit† is set off against any GST (Out Put), which the dealer charges on goods and services, which he supplies, to his customers. 3. Ultimate Burden of Tax on Last Customer: The net effect is that dealers charge GST but do not keep it, and pay GST but get a credit for it. This means that they act essentially as collecting agents for the Government. The ultimate burden of the tax falls on the last and final c onsumer of the goods and services, as this person gets no credit for the GST paid by him to his sellers or service providers. 4. Registration: Dealers will have to register for GST.These dealers will include the Suppliers, Manufacturers, Service Providers, Wholesalers and Retailers. If a dealer is not Registered, he normally cannot charge GST and cannot claim credit for the GST he pays and further cannot issue a tax invoice. 5. Tax Period: The tax period will have to be decided by the respective law and normally it is monthly and (or) quarterly. On a particular tax period, this is applicable to the dealer concerned; the dealer has to deposit the tax if his output credit is more. Than the input credit after considering the opening balance, if any, of the input credit. . Refunds: If for a tax period the input credit of a dealer is more than the output credit then he is eligible for refund subject to the provisions of law applicable in this respect. The excess may be carried forward to next period or may be refunded immediately depending upon the provision of law. 7. Exempted Goods and Services: Certain goods and services may be declared as exempted goods and services and in that case the input credit cannot be claimed on the GST paid for purchasing the raw material in this respect or GST paid on services used for providing such goods and services. 8.Zero Rated Goods and Services: Generally, export of goods and services are zero-rated and in that case the GST paid by the exporters of these goods and services is refunded. This is the basic difference between Zero rated goods and services and exempted goods and services. 9. Tax Invoice: Tax invoice is the basic and important document in the GST and a dealer registered under GST can issue a tax invoice and on the basis of this invoice the credit (Input) can be claimed. Normally a tax invoice must bear the name of supplying dealer, his tax identification nos. , address and tax invoice nos. oupled with the name and ad dress of the purchasing dealer, his tax identification nos. , address and description of goods sold or service provided. Impact of GST on Economy – International Experiences: Most countries have adopted VAT system and GST is considered similar to a VAT system. It is possible that some economies that have adopted VAT system are actually a GST as well. So we really do not know the broad experiences of most economies and stick to countries which call their tax systems as GST based. GST system has been adopted in a few economies – Canada, Australia, New Zealand and Singapore.Hong Kong proposed to introduce it but had to abandon it amidst stiff opposition. Over a long term there are improvements across the macroeconomic variables but there were short-term glitches. Inflation did seem to rise in the years of introduction but was mainly blamed on the administration for the same. The impact on revenue and current account has been very impressive with sharp gains seen in all th e three economies. In Australia there was a more dramatic impact of GST on the economy. Before GST’s implementation, consumers rushed to purchase goods that they perceived would be substantially more expensive post-GST.After the tax, consumer consumption and economic growth declined sharply initially. In Q1 2000, Australian economy recorded negative economic growth for the first time in more than 10 years. Consumption and growth soon returned to normal. There was some negative impact on price of real estate as well but the market rose and property prices and demand increased sharply in 2002-04. GST increased the real output of the Canadian economy by 1. 4% of GDP, principally through an increase in the productivity of capital and total factor productivity. The sectors like transportation, utilities, services and agriculture experienced significant gains.Following are the impacts of GST on Australia, New Zealand and Canada : AUSTRALIANEW ZEALANDCANADA Price ChangesShort run on e off effectShort run spike in prices, no longer run increaseShort run spike in prices, no longer run increase, price regulatory body Criticize Economic GrowthIntroduced during sustained economic growth periodIntroduced at the end of recession, subsequent upswingIntroduced in midst of major recession, criticized as Compounding problems Revenue GrowthRevenue exceeded expectationsRevenue exceeded ExpectationsRevenue exceeded Expectations Current AccountSlight improvement ince introductionRapid immediate improvement, longer term stabilizationDramatic Improvement since introduction of GST, NAFTA GST vs. VAT†¢ Limitations in Centre VAT system: There is CENVAT but several taxes are still out of the ambit like surcharges, additional customs duties etc. In some goods we get input tax and not in others, making the tax filing system complex and cumbersome. †¢Limitations in State VAT system: The States also have VAT but again story is the same. Many taxes like luxury taxes, entertain ment tax etc, are not included. There is no input tax credit in case of CENVAT paid on certain items. Interstate Sales Tax (CST): Though it is an important source of revenue for states it is seen as very burdensome by businesses. The companies make goods in one state but on distribution inside the country, end up paying taxes in each state. They are supplying goods within the country and should just be taxed at one place.†¢ Inclusion of Services in VAT system: Production of goods is because of both physical production and services. But Services are taxed only by Centre and that too is done selectively. The Services need to be taxed at State level and integrated with the Goods VAT system as shown in the example above. International Standard: GST is becoming an international standard and it is important India also has one. There are many factors before international companies while choosing a country for its business and taxation system is one very important factor. With other co untries having GST and India not having one, the companies are likely to opt for former ahead of India for locating their businesses. Likewise Indian companies may also prefer to increasingly set their bases in other countries where tax system is more efficient. GST vs. Sales Tax †¢Single versus multiple stageUnlike the existing sales tax, GST is generally charged on the consumption of goods and services at every stage of the supply chain, with the tax burden ultimately borne by the end consumer. This multiple tax levels feature of GST is the fundamental change from the present single-stage sales tax levied at only one stage of the supply chain. †¢Goods and services subject to tax GST operates on a negative concept – all goods and services are subject to GST unless specifically exempted. For sales tax, the same concept applies where all goods are taxable unless specifically exempted.It is anticipated that the number of exemptions under the present sales tax regime w ould be significantly reduced. †¢Tax payment and accounting periods Time of supply is an important feature under the GST regime (method or system of government) as it determines when one should account for GST in the GST returns. The approach used by many countries when adopting GST is that a supply is considered to have taken place at the earliest by three events that the time is invoice issue, the time any payment is received by the supplier and the time a taxable supply is made.The GST rules differ from the existing sales tax structure where sales tax becomes due and payable when there is a sale or disposal otherwise than by sale. †¢Group registration Group registration is included as a facility that allows companies to file consolidated GST returns. The objective is to reduce their GST administration costs where supplies made within a group would be disregarded for GST purposes. The facility could potentially result in better cash flow management for the group if goods and services are regularly supplied between group companies.The existing sales tax and service tax structures do not allow consolidated tax filings. Limitation of GST There are two main limitations of GST †¢Inflation: Most of the international case studies show an inflation spurt in initial months of GST implementation. In Australia’s case we saw spurt in prices of goods which Australian consumers Thought would become expensive after the GST. Much of blame for inflation is accorded to the various regulatory bodies and uncertainty over the new tax regime.The inflation situation stabilizes as implementation gains pace and is understood by consumers and producers. In India’s case inflation could be critical as unlike developed countries profiled above, India has far more inefficiencies in supply chain in local markets. The Indian GST reform is far larger in scale compared to above economies. Indian economy is already plagued with persistent high inflation and this n ew reform could further test inflation further. †¢Tax Revenue Shortfall: RBI in the State Finances Report (2010-11) said the revenue implications of GST are likely to vary across states.The Centre and the States are still discussing various aspects of GST like taxation rates, revenue sharing model between Centre and States etc. As there is still uncertainty over the final blueprint of GST, it is difficult to estimate the impact of GST on state finances. Other issues are enhancing the administrative capacity of states and building IT (Information technology) infrastructure to capture the full benefits of GST. The report points that VAT led to improvement in tax revenue for most states.

The Bonus Army Essay Example | Topics and Well Written Essays - 750 words

The Bonus Army - Essay Example The Government considered the cash-payment redemption to be inflationary and impractical increasing the budget deficit for two million dollars (Kingseed). As the atmosphere of frustration and despair was worsening the American Communist Party found and an opportunity to complicate things more sending John Pace to instigate a riot. Though the role he played is quite ambiguous the historians agree that the veterans were getting more aggressive and the Government was alarmed with his presence. As the consequence the tensions dramatically escalated up to physical violence. Starting with the police clashes the fear of the communist presence led to the military force involvement. When the fire was opened by the police and the situation went out of control the President Hoover took an advantage of the incident and directed to unleash the military in order to expel the marchers from the capital. At this point Douglas MacArthur assumes the role of the key actor of the eviction operation. Havi ng ousted the veterans from the downtown his mission was completed, but for whatever reason MacArthur decided to break the explicit instructions and continue coming down to Anacostia flats where resided the marchers and putting on fire the entire camp. Giving a press conference MacArthur justified his harsh action by the necessity to confront the communists, claiming that the Reds were plotting the revolution representing a threat to the government. Both Hoover and Macarthur believed that the majority of the rioters were communists. This assumption probably can explain the over-action. However, according to the numbers revealed by the Veterans Administration the president’s presuppositions were overestimated. Communists did not exceed 6 percent of the marchers (Kingseed). Wyatt Kingseed in his article The ‘Bonus Army’ War characterizes the MacArthur’s actions pay attention to his personality and problems with subordination saying that his â€Å"ambition p roved too great an obstacle for history to erase its view of his performance against the Bonus Army† (Kingseed). Nevertheless, while the government reaction was undoubtedly too harsh it should be considered in the complex with other events (like hunger march in Detroit auto plant) and difficult conditions of the Great Depression which suggested the growing communist sentiments in the society and subsequent threat to the capitalist system. The incident obviously could not help influence the presidential election in the fall of 1932. By calling the army to interfere and then being forced to support the MacArthur’s actions to suppress the veterans unrest Hoover was not able to do anything with the public opinion. The other president candidate from the Democratic Party Franklin D. Roosevelt though did not support the immediate cash-payment of the bonus either, understood the significance of the order to resort to force. Consequently the Bonus Army incident brought him to th e victory on the election. The next year the veterans came back to Washington to press the same question again. Roosevelt applied completely different strategy to handle the issue and sent his wife to speak with them. He took certain measures to resolve the problem: first producing the Economy Act that advantaged mostly a disabled veterans; creating

It Week8 Assignment Example | Topics and Well Written Essays - 500 words

It Week8 - Assignment Example However, the old network, IPv4, cannot be done away with until the transition period is complete (Venkata et al., 2012). The benefits that IPv6 offers surpass the limitations that IPv4 has. For instance, the new IPv6 makes it possible to have a plethora of IP addresses as opposed to IPv4. The burgeoning protocol has 128 bit addresses as compared to IPv4, which only has 32 bit addresses. The bit addresses that IPv6 uses enable the availability of numerous IP addresses. In addition to this, IPv6 eradicates the need for network address translation (NAT) which is present in IPv4 resulting in better peer-peer networks connectivity. Further, IPv4 presents security issues, which IPv6 eliminates as it promotes interoperability between myriad implementations (Venkata et al., 2012). Venkata, P., Reddy, P., Mohammed, K., Ali, I., Sandeep, B., & Ravi, T. (2012). Importance and benefits of IPV6 over IPV4†¯: a study. International Journal of Scientific and Research Publications, 2(12), 1-2. Data Definition Language (DDL) refers to statements that define the schema or database structure. For instance, CREATE – creates objects, ALTER – alters the database structure, DROP – deletes objects, COMMENT – adds comments to the dictionary of date, and RENAME – Renames database objects. DML refers to Data Manipulation Language, which are simply statements that manage data within schematic objects. For instance, SELECT – helps in retrieving data, UPDATE – updates data already present in a table, and CALL – Calls Java or PL/SQL. Data Control Language (DCL) includes commands such as GRANT. It mostly deals with permissions, rights, and additional controls of the database. SQL Server 2012 relies on the above SQL commands for interaction. Transact-SQL presents as central in sending and receiving communication with the SQL server (Microsoft, 2006). Distributed File System (DFS) enables administrators to make a group of shared

Walt Whitman Research Paper Example | Topics and Well Written Essays - 1000 words

Walt Whitman - Research Paper Example Whitman’s background was not among the stereotypical academic roots. Born from a working class family, he was not a highly candidate to be educated formal. It was in 1830, while maintaining a job and other forms of education through self motivation, that he was able to attend school. The meager income of the household was not enough to sustain the family of nine in their hometown of New York. Later on, he found his way to work in journalism to earn a living. He also became an educator, though with love and hate relationship with this profession as some disillusionments set in. by 1938 he was able to put up his own newspaper named ‘The Long Islander’ where he labored in every detail of its publication. This was where his first published poem appeared titled, ‘†Our Future Lot.† This endeavor soon end and he continued on writing for other papers and concentrated more on the poem genre in relation to current events (Kellingsworth, pp.2-3). â€Å"Come Said My Soul† and â€Å"Song of Myself† are two very different and yet at the same time similar poems of Walt Whitman. At first sight, it would be apparent to note that the main distinction lies in the length of the two poems. The first one being one single stanza with 11 lines while the latter is almost an entire book with 52 stanzas numbered accordingly. But while this is the obvious difference, the fundamental elements of the poems are the same and are quite susceptible to having the trademark that is palpable of a perceptibly Whitman creation through and through. The theme of the poems are the same. The persona speaks of struggles and overcoming adversities and a predisposition to one’s acts through his character. It would not be an ovestatement to note that the persona speaking in first person in both poems are the author himself. In â€Å"Come SaidMy Soul,†

Importance of Netpulses Technologies for Beach Bum Essay

Importance of Netpulses Technologies for Beach Bum - Essay Example It has been apparent from the fact that the application of different information systems has augmented at a faster rate over the previous years. Moreover, it has been noted that the aspect of information technology (IT) has relentlessly become a vital constituent in the working life as well as the personal environment of every individual. Most of the business organizations belonging to different industrial segments extensively rely upon the feature of information technologies or systems at a considerable level. With the rapid appearance of the feature of electronic commerce or e-commerce, the implementation, as well as the application of information systems, has been raised at large. The business organizations enthusiastically use the different information systems not only for the motive of increasing their operational standards but also to generate new business opportunities in order to remain competitive in this present situation of the global business market (Ward & Peppard, 2002) . In order to deal with the information technologies strategically, it is quite important to understand the function of technology-based information systems which significantly facilitate to develop the business organizations. In today’s contemporary world, the organizations desire to execute an advanced strategic approach in order to manage the information systems. The various strategic applications linked with information systems as well as technologies which are quite vital for the businesses include computer-incorporated manufacturing programs and electronic mail or electronic data interchange (EDI) systems among others (Ward & Peppard, 2002). In order to deal with the information technologies strategically, it is quite important to understand the function of technology-based information systems which significantly facilitate to develop the business organizations.

Platos view of a perfect world Essay Example | Topics and Well Written Essays - 1000 words - 25

Platos view of a perfect world - Essay Example On the contrary, I think its’ very far from being Utopia. But what is Utopia? I would think that it is a world where there are peace and love among all men. But according to Plato’s The Republic, he considered a perfect state to have two things: the perfect man and the perfect justice. A perfect world cannot exist if the people that consist it are flawed. I must agree albeit hesitantly because come to think of it, the world is nothing but the sum of the people which consist it. Hence, to make a perfect world, the men that form it must be perfect as well. Although we have come a long way since our barbarian ancestors, we are not perfect still. According to Charles Darwin, men may have noble qualities and god-like intelligence and yet â€Å"men still bears in his bodily frame the inedible stamp of his lowly origin.† Since it is our body that limits us and prevents us from being perfect, Plato has suggested in The Republic that in the modern world, sickly and deformed children are segregated and put to death so they don’t contaminate nor burden the rest. They are flawed, and there is no room for flaws in a perfect world. Plato suggested that in a perfect world, there is unity among men and they are one with the state. Men cease to be mere individuals and instead they are seen as members of the state. I agree with this line of thinking because if men today would think this way, they would hesitate before doing harm to another because if they injure another, they injure the State. And in a way, they injure themselves. However, to attain this oneness with the State, Plato suggests communal property under the control of the state. Likewise, it suggests that the State rears the children without parents knowing their offspring. All of these are aimed to prevent accumulation of wealth, brains, beauty and other qualities of birth. Again, I must agree with this line of thinking.

Human resources Essay Example | Topics and Well Written Essays - 1250 words - 1

Human resources - Essay Example The use of effective performance management could somehow contribute to the overall success of a business organization. Implemented by the line managers, performance management is valuable to corporate managers and employees in the sense that the organizational competencies are aligned with the organizational core values (Armstrong and Baron 20). Through the use of proper coaching and guiding techniques, the line managers are expected to be able to effectively motivate employees to unleash their potentials which are necessary in improving the overall performance of the group as a team (ibid). Considering the advantages of having effective performance management, improving the overall organizational performance of a business group is equally beneficial on the part of the public shareholders and the business owners. Basically, improving the overall business performance of an organization increases its profit earnings. Therefore, the public shareholders are expected to receive higher di vidends whereas the business owners are expected to receive more financial gains. ... hat is taking place within a business organization, it becomes a challenge on the part of the HR managers to establish organizational culture that promotes organizational behaviors that are more flexible and open to changes (Rahim and Rahim 227). For this reason, positive reinforcement on employees is necessary from time to time. Within a business organization, the unbreakable behavior laws are referring to the act of making accepted behavioral practices a significant part of the organizational culture. By making positive behavior a part of the organizational culture, the practice of positive behavior within the business organization can become a norm. This makes the development of positive behaviors more difficult to break. Organizational behavior is considered the key factor that could effectively improve the quality products and services being delivered by employees. Given that the HR manager is able to reinforce positive behaviors among its employees, the organizational managers will be able to effectively motive the workers into working as a team in order to reach the organizational goal. It is also possible to make employees become more self-sufficient as a worker. By making employees learn to embrace the importance of self learning, employees could contribute more in terms of improving the overall business performance. Q.3 What is pinpointing? As explained by Axson Pinpointing in performance management is pertaining to organizational behavior that indicates relevant business information that can be used by the organizational leaders when making important business decisions (216). By pinpointing parts of the faulty production process or negative human behavior that could hinder the operational success within a business organization, the organizational managers

Qantas Cas Notes Essay Example for Free

Qantas Cas Notes Essay Analyse and interpret data Maintain Qantas/Jetstars combined domestic market share of 65% Match capacity with demand sustaining loads around 80% Grow Jetstar in Asia Increase internet sales Increase customer service standards Enhance complementary portfolio businesses like Freight Reduce losses of Qantas international Transform Qantas International for focusing on right aircraft, right route, network optimisation and margin improvement Grow their frequent flyer program members and partners Market Segmentation and Selection of the Target Market Qantas market segmentation is complex because each segment has distinctive and different needs and expectations, such as the need to make stop-overs, the ability to pay fare levels and expectations in terms of in-flight service and comfort. Qantas mainly uses behavioural segmentation to select its target markets. Buyers are distinguished according to trip purpose e. . business and leisure/non-business travellers. Marketing Strategies Positioning Formulating the Marketing Mix Product Strategies Scheduling features Comfort-based features I ne Qantas Frequent Hyer scneme (H- Intangible benefits Brand name Price Cost plus margin: Qantas determines the cost of production and then adds a margin for profit Market: most fares at Qantas are determined by the market, where demand is matched with supply Competition based: monitoring what other airlines such as Virgin Blue are charging Pricing Strategies Price penetration Full Fares Promotional Fares Loss Leading Promotiono Advertising Sales promotions particularly in periods of subdued demand. When Qantas first launched Jetstar it released 100,000 tickets at $49. Qantas also launches a two-for- one ticket sale, which allowed a second passenger to fly for the cost of taxes and charges. Personal selling Publicity Place/Distribution Distribution to end customers is achieved by Qantas in two ways, direct and indirect. DIRECT via its own retail outlets INDIRECT via sales agents People Because most customers have direct contact with Qantas employees, especially on he ground, the impression they give has a big impact on how Qantas is perceived. Qantas staff must have appropriate personal attributes and training for their Jobs. Qantas spends more that $275 million a year on staff training to ensure a very positive interaction between its customers. Processes Booking flights online Online check in Mobile check in cnecK In KIOSK Physical Evidence Qantas customers are influences by Qantas signage, its website, its terminals, its lounges, etc. E-Marketing uses an electronic medium to perform marketing activities, e. g. website, email. Global Marketing is the use of marketing activities across national boundaries. Qantas uses: Global Branding Standardisation Customisation Implementing, Monitoring and Controlling the Marketing Plan Qantas has a systematic base for continually monitoring, controlling and adjusting its marketing activities using the following tools: Developing a financial forecast of revenue using statistical models, past sales data, executive Judgement and surveys of customer buying intentions. It then estimates costs such as market research costs, promotion costs, product development costs and distribution costs. Comparing actual and planned results using a number of performance criteria.

The kidneys structure, functions, and what controls these functions Essay Example for Free

The kidneys structure, functions, and what controls these functions Essay The kidney is made up of nephrons, which are a kidneys functional units. These nephrons collect fluid filtered from the blood. The kidney connects to the renal artery, renal, vein, and ureter. Purified blood leaves the kidney using the renal vein, urine leaves using a ureter and the renal artery carries blood from the aorta to the kidney. The nephron has a cup-shaped nephric capsule that surrounds a cluster of capillaries called the glomerulus. A good deal of fluid from the blood filters into the capsule. Large proteins and whole blood cells are left behind due to the fact that their too big to pass through the filters along with the plasma or blood fluid. There are four main parts of the nephron tubule: the proximal convoluted tubule, the U-shaped loop of Henle, the distal convoluted tubule, and the collecting duct. A substantial amount of resorption takes place in the proximal convoluted tubule. The small proteins, glucose, and ions are returned to the blood by active transport. If the glucose in the filtrate, or filtered fluid, exceeds the kidney threshold level, some glucose will remain and appear in the urine. The loops of Henle permit the production of rather concentrated urine. The collecting duct, together with the loop of the Henle, plays a vital role in water balance. The concentration of urine takes place in the collecting ducts although the process depends on the activities in the loops of Henle. The loops of Henle and the collecting ducts are in the medulla of the kidney. The other parts of the nephron are outside the medulla in the outer region, the cortex. Theres a fluid in the medulla that contains an osmotic gradient in which solutes are steadily more concentrated in the direction away from the cortex. There are two kinds of solutes in the gradient: salt and urea. The loops of Henle create a salt gradient which actively transport salt ions out of the filtrate. The actual concentration of the urine takes place in the collecting duct after the urine passes through the distal convoluted tubule from the loop of Henle. The urine leaves the collecting duct through the pelvis of the kidney  and down the ureter to the urinary bladder. Urine composition and rate of urine formation is regulated by the hormones vasopressin, aldosterone, and angiotensin, and the enzyme renin. The posterior pituitary gland in the brain releases vasopressin. Vasopressin increases resorption of water from the urine. When the body is losing water the body stimulates vasopressin secretion in result slowing down the loss of water through urine. The body detects water decrease either by lower blood volume (i.e. bleeding) or an increase in concentration of blood plasma (i.e. sweating). Very little water is resorbed from urine when there is an absence of vasopressin. Water volume depends on the amount of salt; therefore the amount of salt in the body directly affects the volume and concentration of the blood. When the salt levels in the blood increase the adrenal gland in the kidney secretes a hormone called aldosterone. Aldosterone causes the body to resorb sodium by the distal tubule. The rate is determined by blood salt content. Since less salt is resorbed by the kidney the urines salt content increases therefore increasing urinary volume. When the sodium levels in the blood decrease the kidneys secrete and enzyme called renin. Renin converts the plasma protein angiotensinogen into the hormone angiotensin. Angiotensin causes the constriction of blood vessels to increase the aldosterone secretion. Then the aldosterone promotes the resorption of sodium by the kidney and the urines salt content decreasing urinary volume.

The threat of globalization for smaller firms

The threat of globalization for smaller firms Globalization has costs and benefits. There are examples of poorly managed economies. (eg when countries opened their economic borders before they had the capacity to respond well) but there are also examples of well managed countries thatengage well with international community. Many governments and supranational authorities have committed themselves to encouraging trade in the world economy and further reducing poverty through the Millennium Development Goals (MDGs) and are cooperating together to work out smart ways to manage globalization for their smaller firms /countries success in the world economy. Through the evaluation of the strategic management in the global competitive enviroment. The purpose of this report is to evaluate the process of the strategic management of smaller firms by governments and supranationals in the global competitive environment. Introduction and Background What is globalisation? Globalisation can be defined as the greater movement of people, goods, capital and ideas due to increased economic integration which in turn is propelled by increased trade and investment. It is like moving towards living in a borderless world. There has always been a sharing of goods, services, knowledge and cultures between people and countries, but in recent years improved technologies and a reduction of barriers means the speed of exchange is much faster. Globalisation provides opportunities and challenges. Bigger markets can mean bigger profits which leads to greater wealth for investing in development and reducing poverty in many countries. Weak domestic policies, institutions and infrastructure and trade barriers can restrict a countrys ability to take advantage of the changes. Each country makes decisions and policies that position them to maximise the benefits and minimise the challenges presented by globalisation. ( www.globaleducation.edna.edu.au) In a world economy, characterized by a high level of changes over the past few years, we can say that the world does not appear any more like it was in the past. Indeed so many transformations have been done in terms of government regulations, business, telecommunications, technology, research and development, customers needs and tastes, reduction in barriers to free trade and the world with all these factors have led to a great convergence. All these transformations are leading our national economies into a global system or a global economy, i.e. an independent, integrated global economic system therefore a process that we can refer to as globalization. Hence, in the era of the globalization, it has been inevitable for national enterprises to globalize in order to gain for instance some competitive advantage, economies of scales, more market share, better skills. Indeed, nowadays, wherever a company operates, theses products or services would find some foreign competitors. ( Hill, 2006), The impact of globalization on small and medium enterprises (SMEs) has received a lot of attention in international markets in the past few years. Today, globalization is a major driver that has impact on nearly every business. One of the reasons for the international focus on SMEs is that these firms make significant contributions to the economy of both developed and under-developed countries. SMEs contribute over 55 percent of GDP and over 65 percent of total employment in high-income countries (UNCTAD, 2004). In Middle and East Asia for example, SMEs are major players in their countries economy; accounting for a higher percent than what it represents in the developing countries. Globalization has that much impact on business forces which have added more drivers to Porters five Forces. One of these new drivers in business life was discussed in an article by Larry Downes in Beyond Porter says that technological progress in logistics and distribution enables nearly every business to buy, sell and cooperate on a global scale. Similarly, customers have the chance to compare prices globally in order to find the best offer. Many SMEs are now looking to go global. The markets are more accessible than ever before. However, most SMEs are finding it difficult to master the art of market entry, resulting in heavy losses. Globalization has increased competitive pressures on firms. Together with rapid technological change it has altered the environment in which SMEs operate. The bottom line is that, in an open and liberalized world, increasing SMEs competitiveness has become a major challenge. Globalization has also expanded competition both geographically and to new areas. Competition between companies was mainly on products and services, at least to the extent that markets were protected from foreign competition. There is a wealth of economic evidence that demonstrates that globalization brings great benefits as well as costs. It offers the opportunity for a higher rate of sustainable growth- growth that translates into longer, healthier lives and improved living standards. But, if we look at another side of picture then it has been proven that some of the competitive obstacles often faced by the little fish in the big ocean. Compared to larger firms, Small and Medium-sized Enterprises (SMEs) are generally less well-equipped to face increases in international trade. As a result of their lower productivity, many have found it difficult to compete. Also, given their limited resources, they have found it more difficult to take advantage of the removal of tariff barriers. Global markets are more integrated with more free flow of information, goods and services and migration. As a consequence of globalization we have seen the rise of the influence of large multi nationals, to the detriment of Small and Medium Enterprises. In response to this threat governments and supranational authorities have designed programs to protect and support these small firms to allow for their survival. Threat of globalization The increasing interdependence of countries in a globalised world makes them more vulnerable to economic problems for smaller firms like the Asian financial crisis of the late 1990s. (J.O Ajiboye, Adeyunke Tella University of Botswana) Smaller firms will find it difficult to compete on the global level as they lack the financial and technical resources that multinationals have. In addition they lack the economies of scale which results in lower cost per unit for the multi nationals. Pricing could be a challenge since the smaller firms are likely to have high costs per unit. Larger firms have the capacity to undercut the smaller firms prices as a consequence of this competition between smaller and large firm would erode margins of smaller firms and some of them would end up making loses and winding up. It would be difficult for smaller firms to attract a highly skilled work force because multi nationals have the capacity to pay better packages as they will have more financial resources. This would pose a challenge for smaller firms to operate efficiently and effectively. High promotional, advertising and branding costs are a barrier to entry for small firms Cultural and religious factors can also affect competitiveness of small firms. For instance, in countries where Islam is a dominant religion in which strict adherence to halaal standards is a requirement, small firms may find it difficult to penetrate the market or to survive in such markets. Import restrictions can also affect small firm competitiveness. For example, in some countries such as Egypt, where there is an import ban on raw materials small firms may find it difficult to penetrate in such markets without a diversified global market base. Smaller firms may find it a challenge on the global market in terms of meeting certain international standards imposed by certain markets. Export restrictions may also pose a problem. In some markets there are restrictive export regulations which, smaller firms find difficult to comply with e.g, small firms in Africa exporting agricultural produce into European markets such as honey or paprika. Membership of a Trading blocs such Common Market For Eastern and Southern Africa COMESA, Southern African Development Community SADC and the European Union EU, inter alia, could be another source of hindrance to smaller firms. Countries that are not members of such trading blocs may find it difficult to trade with member countries. Further other government policies such as high taxes are a disincentive to investment. Small firms are likely to be affected by such taxes. Unlike multinationals, small firms are likely to suffer currency exchange losses. This is because small firms may not have capacity to hedge against such losses. Multinationals, operate in different markets and can easily cushion such effects. Multinationals have the capacity to produce better and cheaper goods as a result of the superior resource endowments such as modern technology and have larger budgets for research and development as compared to smaller firms. Purchase Power Parity is another factor to consider e.g, multinationals can procure inputs in countries where the currency has a higher PPP. Globalization poses new challenges for SMEs by leading them to at least partially integrate the consequent idea of global change in their strategy. The expansion of markets does not mean that only large businesses will be able to profit fully from this trend. There is no correlation between large market and large business. Whatever the cost, to encourage the competitiveness of large national businesses. A fish that has become bigger and bigger in its pond will be eaten when it reaches the sea; it is better to teach it how to fight when it is small so that it can deal with the competition, wherever it is. On the other hand, the internal factors constraining the globalization of SMEs are lack of experience on their part, insufficient resources and an excessive perception of risk. The major external factors are national information networks that are inadequate or poorly connected internationally, deficient complementary regional resources and assistance programs that are maladapted to SME requirements. In a number of countries, the positive factors appear to be gaining ascendance over the negative. The recently completed (1996) OECD study on market globalization and SMEs shows, on the one hand, that the major factors sustaining or accelerating SME globalization are as much a result of the internal dynamics of small businesses as of environmental support. In the first instance, searching for diversified growth, specific innovation-based production, and open-minded management capable of engaging the appropriate specialized resources, go a long way toward explaining the behavior of internationally open SMEs. The case of the environment presumes effective regional consulting, funding and logistical resources to support exports. (Pierre-Andrà © Julien Università © du Quà ©bec à   Trois-Rivià ¨res ) How Governments and other supranational authorities support small firms In order to support the small firms from the threats of globalization governments and other supranational have designed programmes to protect them as stated below. Examples of Supranational institutions that manage such programs are: Governments, COMESA, WTO, World Bank, AU, SADC,UN, ECOWAS, EU etc. Government support: Some of the different programs that must be designed include: Favorable bilateral and multilateral trade agreements which, support positive trade balances must be instituted by governments. This will ensure the growth of small firms thereby contributing to overall country growth. Governments should use their political influence to lobby for relaxed trade. Providing loan guarantees to small firms. Some of these guarantees involve partnerships with private banks or multilaterals such as the World Bank. Such policies help the smaller firm have access to finance. Governments also offer incentives and subsidies to allow the smaller firms compete on the international markets e.g. the Government of South Africa made deals with the Government of Zambia to allow a tax rebate of about five years also the EU also subsidies small scale farmers in the EU. Governments should introduce tax rebates on certain sectors of the industry e.g. in Zambia agricultural inputs are have zero tax to bring into the country to encourage more people engage in to agriculture and overall boost the economy for exports . Governments may devalue its currency to increase export volumes by allowing its exports to be cheaper e.g. China and Japan are practicing this. This should however be done carefully recognizing that it can be inflationary. Government should institute policies that encourage domestic trade through relevant monetary and fiscal policies. Government should encourage policies that support reduction of borrowing costs. Legal enactment of credit acts must be encouraged to protect the consumer. Government should provide grants to economic agents for capital injection. Government should encourage agencies such as the Zambia Development Agency which to provide support to help small and medium businesses become more innovative, efficient and competitive through a national network of services and support for eligible SMEs to access expert, practical advice and support tailored to their individual firms. 4.2 Supranational Support includes: Supranational authorities should introduce grants, loans and funding for small economies to encourage production and trade among countries. Supranational should endeavor to help less developed countries by exposing entrepreneurs to the international markets. Supranationals should facilitate trade expos to stimulate trade. eg traditional indigenous artifacts have found their way to the international markets. Fair trade policies play a bigger role in protecting trade, fair and stable price and institutes like the WTO should encourage this. Forums are another platform that these institutions have introduced to give a voice to the voiceless on issues of economic development e.g. G8 are encouraging world trade by adopting certain polices. Examples of supranational and their impact on globalization: 4.2.1. a International Monetary Fund (IMF) The IMF is a sister institution to the World Bank in the United Nations system. It shares the same international membership and the same goal of raising living standards in its member countries. It works to foster global monetary cooperation, secure financial stability, facilitate international trade, promote high employment and sustainable economic growth and reduce poverty. 4.2.1. b World Bank(WB) The World Bank Groups mission is to fight poverty and improve the living standards of people in the developing world. It is a development bank which provides low-interest loans, interest-free credit, grants, policy advice, technical assistance and knowledge sharing services to low and middle-income countries to reduce poverty. The Bank promotes growth to create jobs, and to empower poor people to take advantage of economic opportunities. The Bank is strongly committed to the Millennium Development Goals which target poverty. (www.globaleducation.edna.edu.au/.) 4.2.1. c World Social Forum (WSF) The World Social Forum (WSF) is an amalgamation of many political/social movements from around the world. It was created to openly discuss alternatives to the model for globalisation formulated by the World Economic Forum, large multinational corporations, National Governments, IMF, the World Bank and the WTO. It is working to demonstrate that the path to sustainable development, social and economic justice lies in alternative models for people-centered and self-reliant progress, rather than in neo-liberal globalisation. (www.globaleducation.edna.edu.au/.) 4.2.1. d World Trade Organisation (WTO) The World Trade Organization (WTO) is a global international organisation dealing with the rules of trade between nations. At its heart are the WTO agreements, negotiated and signed by the bulk of the worlds trading nations and ratified in their parliaments. The goal is to help producers of goods and services, exporters, and importers conduct their business. (www.globaleducation.edna.edu.au/.) 5.0 Conclusion More and more SMEs are availing themselves of new material and immaterial technologies to increase their productivity. They are innovating to prolong the useful life of their products or to change these products. They are associating with large businesses or working in networks to boost their strike forces. These networks also provide them with international information to prevent them from being outpaced by change. But given the limitations of globalization, some Governments and supranational can have SMEs break away from increased competition by positioning them in specific niches. Globalization can offer as many opportunities for dynamic SMEs as obstacles for those that lag behind in modernizing their production processes or developing these niches which can give them at least temporary shelter from the pressures of new competition. There are social and economic costs to globalisation. Trade liberalisation rewards competitive industries and penalises uncompetitive ones, and it requires participating countries to undertake economic restructuring and reform to help smaller firms. Some countries have been unable to take advantage of globalisation and their standards of living are dropping further behind the richest countries. The gap in incomes between the 20% of the richest and the poorest countries has grown from 30 to 1 in 1960 to 82 to 1 in 1995 (www.globaleducation.edna.edu.au/.). The major economic powers have a major influence in the institutions of globalisation, like the WTO, and this can work against the interests of the developing world. The level of agricultural protection by rich countries has also been estimated to be around five times what they provide in aid to poor countries. Trade liberalization and technological improvements change the economy of a country, destroying the traditional agricultural communities and allowing cheap imports of manufactured goods. (www.globaleducation.edna.edu.au/.) References and Biography www.globaleducation.edna.edu.au www.worldbank.org/ www.forumsocialmundial.org. www.wto.org/ www.ausaid.gov.au/ Michael Porter Johnson and Scholes, 1993

My Job At E-dak :: essays research papers

My Job at E-Dak Coming to E-Dak, for me, meant leaving a comfortable "big-six" accounting position to work for a 30-person start-up. It was a tremendous gamble, but my choice came down to whether I wanted to continue performing repetitive audits or face new challenges at E-Dak Dynamics, and in the process help to change the world. Working for E-Dak places me at the epicenter of one of the world's most dynamic industries: telecommunications/ networking. Although I knew little about E- Dak's domain of fiber-optics, I felt strongly that my fate rested in the trenches of Silicon Valley, in an industry where only the paranoid survive, at a company with a business model in defiance of Moore's Law. At the time the term 'information superhighway' hadn't been coined yet, but it would soon become our driving focus, as data traffic over long-haul networks skyrocketed and the world's telecommunications providers increased their investment in high-capacity fiber-optics. With an innovative product line that provides pavement for the information highway, E-Dak quenches an unending and growing thirst for bandwidth. For me E-Dak has meant working at the fourth fastest growing company in Silicon Valley, with $500 thousand of revenue exploding to over $60 million in four short years. It has also meant playing a role in the information revolution. E-Dak gives me a broad business perspective. It's relatively small size facilitates a close interaction with department heads. If had I stayed in public accounting or gone to a larger corporation, I would not have earned the same breadth of experience, most likely being limited to working within a single division or with a handful of accounts. At E-Dak my scope encompasses all aspects of accounting and finance across the entire enterprise. My reports show the "big picture" and are used extensively by senior management as a map to chart company progress and plot future growth. A start-up firm gives me the opportunity to deal with a wide variety of issues. From its infancy, I have had the chance to help shape E-Dak's growth strategy. Once proving myself to management, I was given challenges beyond the realm of debits and credits, including managing a short-term investment portfolio, implementing an information system, establishing a German joint venture, and financing a real estate deal. I derive much pleasure in overcoming each new challenge and cherish the knowledge and experience gained in each endeavor. E-Dak has allowed me to develop working relationships with a premium community of finance and accounting professionals. I've gained insight into how accounting firm partners manage audit teams, how top-caliber investment bankers perform valuations, how banking officers approve funding requests, and how tax

Advantages of Telecommuting Essay -- Employment Work Papers

Advantages of Telecommuting Today much focus is being placed on the ability of organizations (private, and public) to increase their productivity, and quality of service. As a result it is necessary to improve the well being of employees, decrease unnecessary costs, and enhance the competitiveness of the organization. Given this, it is no accident that telecommuting, is one of the largest growing areas, in flexible alternative work schedules. The influence of globalization over all aspects, of many economies, also increases the effectiveness of telecommuting. Now, more than ever, many employees are taking advantage of completing their work in an alternative work environment. Advantages can be tangible, such as reduction in office space, or intangible, such as improved family life. Employee advantages include freedom, decreased clothing expenses, and increased moral. Employers also benefit from telecommuting. Reduced absenteeism, and reduced financial cost, are only two reasons why an employer should consider im plementing a telecommuting program. There are also environmental advantages to acknowledge, with regards to telecommuting, such as the reduction of traffic, and thereby the reduction of pollution. Spinning off, from the success of telecommuting, are companies, who offer help, with incorporating telecommuting, such as HOMEWORKS, and JALA International, Inc. Some companies list jobs for people interested in telecommuting positions. Still, there are also professional organizations established to enhance the performance of telecommuters, like the International Telework Association & Council (ITAC) . My personal experience with telecommuting has been so positive that I felt it was necessary to research it's advantages, an... ...rnational Inc., www.jala.com/ustcforecast.htm "Press Releases", JALA International Inc., www.jala.com/whatsnew.htm "JALA and Telework", JALA International Inc., www.jala.com/history.htm "HomeWorks for Telecommuting", www.coronado.ca.us/TMA/homeworks.html "Report on the Home Office Computing Survey of Telecommuting Practices", Amy Bellinger, Helen LeVan, Article, Home Office Computing Magazine, www.bluemarble.net/~amyloo/tele.html#profile "AT&T Releases Results of Telecommuting Day Survey", Released 9/20/94, www.att.com/press/0994/940920.chc.html ""Marketing Firms Wrestle with Telecommuting", 11/10/98, American Marketing Association 1998, http://www.shrm.org/hrnews/. " US Telecommuting Trend Surpasses 11 Million: Strong Economy, Internet Spur Growth", Article, International Telework Association & Council (ITAC) WebSite, www.telecommute.org

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Under this contract, the customer selects the capital equipment or property (assets) to be nuanced by the bank and the bank then purchases these assets from the manufacturer or supplier and then leases them to the customer for an agreed period. In conformity with the Shari's, the owner of the assets (in this case the bank) must be paid rent (fixed or variable, as agreed by the lesson and lessee) and must exercise all the rights and obligations that are incidental to ownership such as maintaining, insuring and repairing the assets.The lessee, on the other hand, obtains the use of the asset for the period of the lease subject to paying the rent. The lessee may assume the obligations, such as maintaining, insuring and repairing the asset, in return for a reduced rent. 1 . 3. 2 What is Car Ajar? As mentioned above ‘Jar is basically the transfer of suffuses (defined below) of a fixed asset to another person for an agreed period, for an agreed consideration. Under a Car ‘Jar ag reement the car will be rented to the customer for the period agreed at the time of contract.Upon completion of the lease period the customer in the Means case discussed below, gets ownership of the car against his initial security deposit. Car ‘Jar is a Shari's-compliant car-leasing scheme. It is based on the principles of Jar and is completely free from the element of interest. This product is designed for interpretative individuals, looking for a car-financing scheme that helps in avoiding interest-based transactions. So Car ‘Jar is simply a rental agreement under which the car will be given to the customer in exchange for rent for a period, agreed at the time of the contract.Means Bank, based in Pakistan and a pioneer in this area, purchases the car and rents it out to the customer for a period of three, four or five years. Upon completion of the lease period the customer gets ownership of the car against his initial security deposit. Somewhat confusingly, the Means Car ‘Jar scheme has elements of ‘Jar WA Satin within it. In this case study I propose to follow the Means assumption in using ‘Jar in the sense that it involves car ownership at the end of the maturity of the deal. This is in line with Shari's methodology and terminology. . 3. 2. 1 What is Suffuses? Suffuses is the right of enjoying a thing, the property of which is vested in another, and to draw from the same all the profit, utility and advantage that it may produce, provided it be without altering the substance of the thing. Items without suffuses cannot be leased. It is necessary for a valid lease contract that the corpus of the leased asset remains in the ownership of the seller, and only its suffuses is transferred to the lessee. 1 . 3. 3 In what Sense is Car ‘Jar Interest Free?In Car Ajar, the asset remains under the ownership and at the risk of the bank and the customer only pays the rental for the use of the asset, Just like the rent of a house. 3 Und er leasing or lease purchase, the Islamic financial institution buys the financed asset and retains the title through the life of the contract. The customer makes a series of lease payments over a specified period of time, and may have the option at the end to buy the item from the lesson (and owner) at a pre specified residual value. Leasing was not originally a mode of financing.It was simply a transaction meant to transfer the suffuses of a property from one person to another for an agreed period and an agreed upon consideration. Leasing can be used as a mode of financing, in Islamic banks, as an alternative to conventional car financing. However, the consideration of leasing as a mode of financing should be based on certain notations. It should be understood, by all using it as a mode of financing, that it is not sufficient to substitute the term ‘interest' with the term ‘rent', and use the term ‘mortgage' instead of the term ‘leased asset'.There must be a significant difference between leasing and an interest-bearing loan. It is no secret that an Islamic bank or financial institution will take into consideration the same factors as a conventional bank when determining the rental payments and residual value. These would include the rate of inflation, the creditworthiness of the Jesse, the opportunity cost value of the money (as reflected by market interest rates) and so on. An implicit ‘interest rate' can trivially be calculated from the price, residual value, term of the lease and the lease payment.This fact is not hidden. Indeed Muslim customers are encouraged to ‘shop around' and ensure that the Islamic financial institution is not implicitly charging an interest rate, which is in line with the conventional market. In the final analysis, however, the difference is in the form of the contract. If the lease is structured in accordance with the various conditions within Islamic Jurisprudence, t will contract no rib and e nsure that it cannot contain such forbidden rib in the future (e. G. In terms of late payment fees, etc. ). 1 . 3. 4 What is the Difference between a Conventional Lease and an Islamic Lease? The most important financial difference between Islamic leasing and conventional leasing is that, with Islamic leasing, the leasing agency must own the leased object for the duration of the lease. Therefore, although leasing a car from a car manufacturer or car dealership may in principle be permitted for Muslims (if the contract satisfies the other conditions), Muslims should investigate further.In many cases, the car dealership may in fact use a bank or other financial intermediary to provide a loan for the present value of lease payments, and charge the customer interest on this loan. This would constitute the forbidden rib. Scrupulous Islamic financial institutions ensure that the contract abides by all the restrictions set out in the Shari's (e. G. , subleasing requires the permission of th e lesson; late payment penalties must be handled very carefully to avoid rib, etc. ). The differences between conventional and Islamic financing schemes are described in he sections below. 1. 3. 4. Leasing versus Conventional Financing Conventional Financing The conventional financing schemes provide financing for purchasing a car; that is, in essence the financier is giving a loan and charging interest. 4 Islamic Financing The Islamic car financing – ‘Jar – is based on a lease contract. It is not a financing scheme; rather it is a lease contract. As mentioned earlier leasing is a contract whereby suffuses rights to an asset are transferred by the owner, known as the lesson, to another person, known as the lessee, at an agreed-upon price, called the .NET, and for an agreed-upon period of time, called the term of lease. . 3. 4. 2 Rentals versus Installments A conventional car financing scheme is actually an interest-based loan given by the financial institution, w ith interest being charged on the loan. Islamic car financing is based on pure rentals. In Car ‘Jar the asset remains at the ownership and risk of the bank and the customer only pays the rental for use of the asset, Just like the rent for a house. 1. 3. 4. 3 Ownership In conventional car financing, the car is purchased in the name of the buyer from the dealer. Islamic FinancingUnder ‘Jar the ownership remains with the bank; that is, the car is purchased from the dealer in the name of the bank. This is because it is one of the foremost conditions of the Islamic mode of leasing that an object cannot be leased out unless it is in the possession of the lesson. 1. 3. 4. 4 Risk/loss Since the car is bought in the name of the buyer in the traditional mode of car financing, the risk is immediately transferred to the buyer, whereas in the case of Islamic financing, this is not so. The car is purchased in the name of the bank from the dealer and so the risk mains entirely with the bank.As the corpus of the leased property remains in the ownership of the lesson, all the liabilities and risks emerging from the ownership are borne by the lesson. The lessee is responsible for any loss caused to the asset by misuse or negligence. The lessee can also be made liable for the wear and tear, which normally occurs during its use. But the lessee cannot be made liable for a loss caused by factors beyond his control. (The agreements CIO 5 with traditional car financing generally do not differentiate between these two situations.In a lease based on Islamic principles, both situations should be dealt with separately. 1. 3. 4. 5 Down-payment versus Security Deposit Both the down-payment and the security deposit are one-time payments. The major difference occurs because the buyer can buy back the car against the security deposit in the case of Ajar, whereas in conventional banking the down-payment remains with the bank, and no buy-back of the car can occur against the down- p ayment. With ‘Jar the buyer is required to keep a security deposit at the bank.There is a minimum and a maximum requirement for the security deposit. The requirement is efferent in the case of conventional car financing, where a down-payment is made by the buyer of the car. 1. 3. 4. 6 Return of the Car In a traditional car financing scheme, the customer takes out a loan to purchase the car, which he cannot return under any circumstances whatsoever, unless he pays off the loan. Islamic Financing In the Islamic mode of financing, the buyer has the right to return the car anytime during or at the end of the lease period.Since this is a lease agreement, and the lessee has been paying rentals, he can return the car to the bank and take back the security deposit any time he wishes. . 3. 4. 7 Termination of Contract The buyer of the car has the option and right to terminate the contract and return the car before the contract reaches its maturity in both the conventional and Islamic m ode of car financing. The difference lies in the post-termination phase. In the conventional car financing scheme, if the customer wants to terminate the contract the only option he has is to buy the car by paying the rest of the installments.In the Islamic car financing scheme, the customer has two options: either return the car and get back the security deposit or buy the car from the bank at the market alee plus a certain percentage of spread for the bank. 6 1. 3. 4. 8 Documentation Differences Sequence/process Islam considers the procedure in which any transaction takes place as a significant factor in all modes of financing. The underlying difference between the Islamic and conventional modes of financing is that of the process. To Muslims, not only the end result but also the means to it are important.If the result is correct and the steps are wrong, or vice versa, the entire process is deemed invalid, from a Shari's perspective. According to Shari's principles, lawful steps t o lawful results are very important. The most important financial difference between Islamic permitted leasing and conventional financial leasing is that the leasing agency must own the leased object for the duration of the lease. Ownership of the asset is the prerequisite for leasing out its suffuses. As mentioned, Islam places great emphasis on the sequencing. 1 . 3. The Means Bank Car ‘Jar Scheme Means Banks Car ‘Jar has been designed according to the principles of Islam and is completely interest-free. Moreover the ‘Jar contract and other documentation also comply with Shari's requirements. In contrast, a conventional car-financing scheme s actually an interest-based loan given by the financial institution with interest being charged on the loan. Also, in conventional car-leasing schemes, the lease contract is not in compliance with Shari's law and has rib and other UN-lilacs elements in it. 1. 3. 5. What Makes Car ‘Jar Unique? Some of the key characteris tics of the Means Car ‘Jar are described in the following sections. Rights and Liabilities of Owner Versus User ‘Jar is an asset-based contract, that is, the lesson should have ownership of the asset during the life of the contract. Under Shari's law all ownership-related rights and abilities should lie with the owners while all usage-related rights and liabilities should lie with the user. A conventional lease contract does not distinguish between the nature of these liabilities and dumps all liabilities on the user.This is not permitted under the Shari's. Under ‘Jar all ownership-related risks lie with the bank and all usage related links lie with the user, thus making the lesson the true owner of the asset and making the income generated through the contract permissible (hall) for the Islamic bank. Continuation of Lease Rentals in the Case of Total Loss or Theft of Vehicle If the eased vehicle is stolen or completely destroyed the conventional leasing company wo uld continue charging the lease holder rent until the settlement of the insurance claim.Under the Islamic system, however, rent is consideration for usage of the leased asset and, if the asset has been stolen or destroyed, the concept of rental becomes void. As such, in the above-mentioned eventualities, Means Bank does not charge the lease rental. Is there a Penalty for Late Payment of Rent? If so How is This Permissible Under the Shari's? In most conventional financial leases an extra monetary amount is charged if rent is to paid on time. This extra amount is considered as rib under the Shari's and is distinctly forbidden 7 (harm).The lessee may be asked to undertake that if he fails to pay rent on its due date, he will pay a certain amount to a charity that will be administered through the bank. For this purpose Means Bank maintains a charity fund where such amounts may be credited and disbursed for charitable purposes. What is the Insurance Arrangement under Car Ajar? Being the owner of the car, the bank will be responsible for insurance of the car and for paying the insurance premium. If Tactful (Islamic insurance) is not available, the insurance is done under the conventional system.Can the User Buy the Car Prior to the Termination of Rental Agreement? Yes. The rental agreement contains the purchase price schedule. Is the Product Approved by Means Banks Shari's Board Yes. Car ‘Jar is designed under the supervision of Means Banks Shari's Supervisory Board and is approved by the Board. In order for any Islamic financing technique to be acceptable to the Islamic community it has to be endorsed by the appropriate Shari's Board who will provide a Fatwa (a religious ruling). The appendix to this case illustrates the Fatwa applicable to the Means Bank Car ‘Jar agreement.

A book review of `Bias` by Bernard Goldberg

The book Bias by Bernard Goldberg is statement by its author that network news (CBS, NBC, ABC, and CNN), has failed in its mission by presenting the liberal position on issues as the baseline, of reasonableness and that any variation from that position is controversial or a deviation from should be.   Reasonable minds, in other words, do not differ.The book asserts the claim that the News is packed with the views of liberal advocacy groups and rarely includes the views of conservative thinkers.   In his nearly thirty years at CBS News, Emmy Award- winner Bernard Goldberg earned a reputation as one of the finest reporters in television news. When he looked at his own business, however, he saw that the media far too often ignored their primary mission: objective, disinterested reporting.Time and time over and over he saw that they slanted the news to the left. For years Goldberg appealed to reporters, producers, and network executives for more balanced reporting, but no one listene d. The liberal bias has continued for some time. Now, in BIAS, he blows the whistle on the news business, showing exactly how the media slant their reporting while insisting that they're just giving the basic facts (Regency, 2001).One of the main points in the book deals with how CBS Evening News dealt with the flat tax proposal of the Republican presidential candidate Steve Forbes.   The story as reported by Eric Engberg was one-sided.   There was no time given to flat tax supporters.   In point of fact, the report was actually a mocking of Steve Forbes’ plan.   The only critics were a small number of right-of-center sources.In the book Goldberg shows: ·Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   how media bias has twisted the facts of some of the biggest stories of the last two decades, ·Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   the facts that prove that conservatives   and liberals in politics are treated radically different by the news media, ·Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   how the news is knowingly â€Å"manufactured,†Ã‚ ·Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   why certain key facts are omitted from news stories if they make a case a or a cause seem less compelling ·Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   that the news media feels free to heap criticism on just about anyone or anything but is absolutely intolerant of any criticism of its own work, and ·Ã‚  Ã‚  Ã‚  Ã‚   a behind-the-camera tour to witness scenes of jaw-dropping arrogance and â€Å"spin-cycle† journalism (Regency Publishing, 2001)The resulting furor was all started by an editorial published on February 13, 1996 by Goldberg in The Wall Street Journal entitled â€Å"Networks Need a Reality Check.†Ã‚   The premise of the editorial was 1) there was a liberal bias on the part of television news reporters that 2) got in the way of their reporting.This was not an earthshaking revelation, in that most people knew of this, without being told.   However, this had not been stated or publishe d before by an admitted liberal.   For that exactly what Goldberg had thought of him as.   But, he was also then a typical network newsman.Another example of liberal bias is during the Clarence Thomas-Anita Hill hearings, NBC News actually brought Catherine MacKinnon in as an ‘expert’ to bring perspective to the hearings.   MacKinnon is the feminist who famously implied that all sexual intercourse is rape (Wilson, 2001).This editorial was a very public announcement of the unpardonable sin of publicly mentioning the issue of the liberal bias in the media.   In the editorial, Goldberg called the offending reporter and his own network employer to task (Hartlaub, 2001).The resulting outcry from reporters and anchors on all three networks including cold shoulders from coworkers help to confirm his suspicions that bias in the new media was real.That editorial, as well as subsequent ones printed on February 15, 1996 and May 24, 2001 all caused extensive, but revealing problems for Goldberg.   It was a reaction not to the comments, whether they were true or false, but to the fact that the statements were made at all.