Global mgmt wk 3 Research Paper Example | Topics and Well Written Essays - 1250 words

Global mgmt wk 3 - Research Paper Example This software assists in decision-making that helps increase margins and enhance cash flows. Microsoft Dynamics NAV improves your confidence and visibility on all levels of your business by providing â€Å"an intuitive RoleTailored user interface, built-in workflows, and integrated systems† (Microsoft, 2012). It also offers self-help tools to its end-users and real-time information that minimizes the need to ask assistance from IT personnel. It also provides third-party solutions. This system requires only low investment and is highly compatible to your existing technology, thus, avoiding the need and costs for upgrade. It is available in different countries and provides translation to selected languages. It provides service plan that allows users to upgrade to newer versions. Costs start at $2,610 per single user, but the final pricing is determined by the purchasing partner. Pros: Suitable for any organization size, simple and user-friendly, offers self-help tools and third-party solutions, minimizes upgrade costs, widely available and multilingual, compatible with existing technology DBA Manufacturing is software for small businesses. It is good for 5-50+ users and combines the core functions of ERP and MRP. It resolves the complexities of ERP systems. It offers process workflow that is suitable to any company. It enhances operational performance, quality and efficiency, while minimizing inventory and work in progress status. This software provides a unique self-help sales model that allows users to freely navigate the software. It offers a lower price and incurring costs. There is also a downloadable free evaluation tool on their website, where the mentioned sales model was derived. It includes sample company data on a sample version of the software. DBA is self-implemented unlike other ERP systems which outsource consultants for implementation. It allows its end-users to start up the system on their own. Inquiries

Food and Beverage in Indonesia Essay Example for Free

Food and Beverage in Indonesia Essay This document is one of a series of free information tools for exporters produced by New Zealand Trade and Enterprise. New Zealand Trade and Enterprise provides a wide range of standard services and sophisticated solutions that assist businesses through every stage of the export process. For information or advice, phone New Zealand Trade and Enterprise on 0800 555 888, visit www. nzte. govt. nz, or contact your New Zealand Trade and Enterprise client manager. CONTENTS 1 MARKET STRUCTURE 1. 1 Market Overview 1. 2 1. 3 1. 4 1. 5 1. 6 2 2 Market Drivers Market Potential Import Trends Key Players in the Market Regulatory Sustainability 3 3 6 7 7 8 9 11 12 12 12 12 13 13 14 MARKET ENTRY AND DEVELOPMENT 2. 1 Market Entry Strategies 2. 2 2. 3 2. 4 2. 5 Points of Differentiation Long Term Strategic Issues for Exporters to Consider Distribution Channels Pricing 3 MARKET RESOURCES AND CONTACTS 2/ Exporter Guide | Indonesia | Food and Beverage | February 2012 1 MARKET STRUCTURE Indonesia is the world’s fourth most populous country with a population of 232. 5 million in 2010, and the largest economy in Southeast Asia. In 2011, New Zealand’s food and beverage exports totalled US$468. 3 million, making Indonesia New Zealand’s 11th largest export destination. i In November 2011, Indonesia provided formal notification of the completion of its internal ratification procedures to enable the ASEAN – Australia – New Zealand Free Trade Agreement (AANZFTA). From 10 January 2012, AANZFTA will open up considerable opportunities for New Zealand businesses. The agreement will allow duty / tariff free access to over 90 percent of New Zealand goods and services by 2015. ii 1. 1 Market Overview In 2010 and 2011, dairy and meat products comprised over 76 percent of New Zealand’s food and beverage exports to Indonesia (2010: US$363 million; 2011: US$381 million). In 2010, Indonesia’s dairy and meat market was worth an estimated US$2 billion. The majority of the population in Indonesia, approximately 85 percent, are Muslim and all slaughtered food and meat (excluding pork) must have halal certification. iii 3/ Exporter Guide | Indonesia | Food and Beverage | February 2012 1. 1. 1 Market by product category Packaged food In 2010, Indonesia’s packaged food market was valued at US$19. 1 billion. The sale of impulse and indulgence products (i. e. chocolates) grew due to increasing affluence. Nutrition and staples (i. e. rice) grew by 31 percent in 2010. Canned / preserved food had a high growth rate of 20 percent in 2010. Indonesia: Sales of Packaged Food by Category: Value 2005-2010 in million USD 2007 Packaged Food Total Nutrition/staples (i. e. rice) Dried Processed Food (i. e. dessert mixes, instant soup) Impulse and Indulgence Products (i. e.chocolate coated biscuits) Bakery Dairy Noodles Baby Food Confectionery Meal Solutions (i. e. tomato pastes). Sweet and Savoury Snacks Oils and Fats Sauces, Dressings and Condiments Frozen Processed Food Ice Cream Canned/Preserved Food Chilled Processed Food Spreads Meal Replacement (i. e. breakfast bars) Pasta Ready Meals (i. e. instant pasta) Snack Bars Soup 13,110 7,876 4,089 4,148 2,111 1,484 1,340 1,257 1,287 1,086 779 759 477 263 245 200 63 62 13 11 4 0. 9 3 2008 14,307 8,798 4,642 4,318 2,201 1,540 1,487 1,398 1,329 1,190 812 909 499 306 269 230 68 65 15 12 4 3 3 2009 14,817. 9,167 4,909 4,404 2,238 1,596 1,526 1,496 1,360 1,244 832 845 510 327 278 251 68 66 16 13 4 3 3 2010 19,100 11,959 6,515 5,506 2,781 2,026 1,999 1,967 1,704 1,634 1,054 1,039 653 439 356 346 86 82 21 17 5 4 4 Source: Euromonitor International (NB: IDR/USD currency; [2007] 9141, [2008] 9699, [2009] 10389. 9, [2010] 9090. 4) 4/ Exporter Guide | Indonesia | Food and Beverage | February 2012 Fresh food In 2010, the fresh food market in Indonesia had a total volume of 48. 1 million tonnes, making Indonesia the fifth largest fresh food market in the world. During the period 20052010, demand of fresh food increased by 13 percent. iv Indonesia: Fresh food market in Indonesia in million tonnes Starchy Roots Fruits Vegetables Fish and Seafood Meat Sugar and Sweeteners Eggs Nuts Pulses 2007 14,985 10,386 9,095 5,016 1,969 1,778 743 671 222 2008 15,148 10,786 9,356 5,153 2,024 1,825 761 700 224 2009 15,309 11,147 9,613 5,291 2,078 1,872 777 730 227 2010 15,455 11,489 9,868 5,432 2,138 1,914 794 762 230 2011f 15,582 11,787 10,119 5,592 2,188 1,952 808 798 234 Source: Euromonitor International (NB: 2011 forecasts) Wineiv In 2011, the Indonesian wine market was worth approximately US$32 million (RP 275. 4 billion) and retail sales totalled 3. 1 million litres. Wine accounted for only 3 percent of total alcohol sales. Beer is considerably more popular as an alcoholic beverage. During the period 2008-2010, wine volume sales declined by 6 percent. While prices increased, the demand from Indonesian consumers with high disposable incomes and expatriates remained and the number of wine enthusiasts in Indonesia grew. The growth was influenced by western culture and wine events such as wine tasting, wine dinners and classes. The wine market showed an increase in sales by value of 61 percent during the period 2008-2010. v Indonesia: Wine Sales Off-trade Value in million USD Off-trade Volume in million litres 2006 12. 0 3. 3 2007 14. 0 3. 4 2008 15. 0 3. 4 2009 16. 0 3. 3 2010 28. 0 3. 2 2011 32. 0 3. 1 Source: Euromonitor International (NB: IDR/USD currency; [2006] 9159. 3, [2007] 9141, [2008] 9699, [2009] 10389. 9, [2010] 9090. 4, [2011] 8696. 1) 1. 1. 2 Market by distribution channel Mass grocery retail In 2011, traditional retailers, comprising small independent stores and open air markets, accounted for an estimated 77 percent of the total retail sales. vii 5/ Exporter Guide | Indonesia | Food and Beverage | February 2012 In the organised retail sector, Hypermarkets had the largest market share in 2010, with US$13. 6 billion in sales, followed by supermarkets (US$11 billion) and convenience stores / mini-markets (US$5 billion). During the period 2005-2010, supermarket sales increased by 112 percent, followed by hypermarkets (109 percent) and convenience stores / mini-markets (105 percent). Mass Grocery Retail Sector – Estimated Number of Outlets 2005 Total Convenience Stores / Mini-Markets Supermarkets Hypermarkets Source: Business Monitor International 2006 7,154 3,337 3,173 644 2007 8,530 3,953 3,830 747 2008 9,429 4,334 4,297 798. 2009 10,572 4,871 4,801 900 2010 11,524 5,299 5,252 973 5,912 2,758 2,652 502 1. 2 Market Drivers The following are viewed as key drivers for the food and beverage market in Indonesia: ? The food and beverage market in Indonesia grew in 2010, recovering from the worldwide recession. Purchasing power of middle and upper income consumers revived with an increase of disposable income. Political and economic conditions stabilised and the number of modern retail outlets and food service retailers grew. vi Consumers are embracing the health conscious trend seen throughout the world, as a result of exposure to health education through the media. vi To meet the increasing demand of educated and health conscious consumers, the Indonesian government has taken on initiatives such as the Merauke Integrated Food and Energy Estate project. Through this US$5 billion project, the government expects to produce almost 2 million tonnes of rice, 2 million tonnes of corn, 2. 5 million tonnes of sugar, 937,000 tonnes of palm oil,167,000 tonnes of soy beans and grazing land for 64,000 cattle. vii In April 2010, taxation on wine increased significantly resulting in an increase in wine prices. Approximately 45 percent of the cost paid by consumers is tax, including sales tax (VAT), excise and import tax. v While traditional markets still account for the majority of retail sales, they face greater pressure on market share as modern retail becomes more popular. While the government tried to discourage the rapid spread of modern retail, it wasn’t successful in enforcing its legislative regulations and modern retailers increased in numbers by using fake permits in some cases. iii ? ? ? ? 6/ Exporter Guide | Indonesia | Food and Beverage | February 2012 1. 3 Market Potential The overall food consumption is forecast to grow by a compound annual growth rate (CAGR) of 9. 1 percent to 2015. vii Modern retail, such as hypermarkets are projected to increase in numbers as urban centres expand and demand increases for convenience and added-value products (i. e. rice and noodle ready-meals). However, most consumers in Indonesia remain price sensitive and private label will be a popular alternative as it is perceived as good value rather than cheap. vii The sale of alcoholic beverages is expected to decline with a CAGR of 2. 3 percent during 2010-2015. However, wine is forecast to grow with a CAGR of 1. 4 percent during 20102015 as wine is perceived to be a healthier option than other alcoholic beverages such as beer. v Indonesia has a massive youth population of around 40. 9 million, aged between 15 and 24. This age group tends to be more westernised compared to the older population and is projected to drive demand for mass market products such as confectionary goods. vii There are opportunities for products targeted to improve the condition of specific health problems. These products include calcium fortified milk to prevent osteoporosis, dairy milk for nursing mothers, baby food and products for weight and cholesterol reduction. vi 1. 4 Import Trendsvii In 2010, Indonesia imported an estimated US$8. 1 billion, a growth of 25 percent from 2009. Indonesia is relatively resilient to global trade volatility but reliant on dairy and poultry imports to meet demand. Indonesia: Food and Beverage Trade in million USD 2009 Exports Imports Balance 18,756 6,476 12,280 2010e 24,765 8,120 16,645 2011f 30,406 9,573 20,833 2012f 36,517 11,233 25,284 2013f 43,492 13,172 30,320 2014f 52,167 15,598 36,563 2015f 62,034 18,448 43,585 Source: Business Monitor International (NB: 2010 estimate; 2011-2015 forecasts) 7/ Exporter Guide | Indonesia | Food and Beverage | February 2012 1. 5 Key Players in the Marketvii Food and beverages Nestle Indonesia had the highest market share with sales of US$23. 2 billion in Indonesia and Papua New Guinea. Nestle has a market leading position in the dairy sector and in its instant noodle category, operates a 50-50 joint venture with Indofood Sukses Makmur. One of Indonesia’s key players in alcoholic beverages is Multi Bintang with 414 employees and US$209. 5 million in sales in 2010. Indonesia: Key Players in the food and beverage market Company Nestle Indonesia Indofood Sukses akmur Terbuka Unilever Indonesia PT Charoen Pokphand Indonesia Mayora Indah Tbk Sari Husada PT Malindo Feedmill Tbk PT Siantar Top Tiga Pilar Sejahtera Food Sub-sector confectionery and dairy miscellaneous food dairy and tea meat and Fish confectionery formula and baby food miscellaneous food Snack food Snack food and instant noodles Sales (US$mn) 23,238** 4,493 2,303 1,764 845 317e 238 89 83 Yearending Dec-10 Dec-10 Dec-10 Dec-10 Dec-10 2010 Dec-10 Dec-10 Dec-09 No. Of employees 1,232 64,200 3,308 7,095 4,407 902 2,144 4,292 1,925 Year Established 1971 1990 1933 1972 1977 1954 na 1970 na Source: Company Investor Relations, BMI (NB: e = estimate, na = not available, **Includes Papua New Guinea) Mass Grocery Retail Hero Supermarket Tbk had the largest sales within the mass grocery retail sector with US$8. 97 billion in 2010. Hero has a broad range of store formats and offers lower value products while Carrefour, the biggest foreign retailer in Indonesia, dominates the upper end of the market. 8/Exporter Guide | Indonesia | Food and Beverage | February 2012 Key Players in Indonesia’s Mass Grocery Retail Sector, 2011 Parent Company PT Hero Supermark et Tbk PT Sumber Alfaria Trijaya Tbk PT Matahari Putra Prima Tbk Country of Origin Indonesia / Hong Kong Sales, US$ mn 8,971 Financial year 2010 Brand Hero Giant StarMart Indonesia 1,645 2010 Alfamart Alfa Minimart Foodmart Hypermart Cut Price PT Carrefour Indonesia PT Makro Indonesia ** PT Ramayana Lestari Sentosa Tbk PT Indomaret Prismatama PT Lion Superindo PT Alfa Retailindo Tbk France / Indonesia Netherlands Indonesia. Indonesia Belgium / Indonesia Indonesia 1,570*** 656e 639 500e 431* 187 2010 2010 2009 2010 2010 2010 Carrefour Makro Ramayana Indomaret Super Indo Alfa Alfa Grosir Gelael Format Supermarket Hypermarket Convenience Store Supermarket Convenience Store Supermarket Hypermarket Discount Store Hypermarket Supermarket Cash Carry Supermarket Convenience Store Supermarket Supermarket Supermarket Supermarket No of outlets 120 38 125 4812 Indonesia 1,615 2009 25 52 9 63 16 20 104 5,174 74 35 8 11. Source: Company Investor Relations, BMI (NB: e = estimate,*Based on Delhaize Group Rest of World Sales,** South Korea’s Lotte acquired Makro in October 2008,***Based on Carrefour’sIndonesia sales. ?Includes franchised, independent stores) 1. 6 Regulatory Information provided in this section is for reference only. When negotiating supply contracts and before beginning actual export, companies are advised to consult closely with their importer or distributor. Duties and tariffs Under AANZFTA there will be tariff free access to more than 90 percent of New Zealand goods by 2015, and the majority of these are food and beverage products. 9/ Exporter Guide | Indonesia | Food and Beverage | February 2012 Alcoholic beverages in Indonesia including wine are strictly regulated due to the Muslim Law. Wines are subject to 10 percent value added tax (VAT), import tax of 150 percent and income tax of 25 percent. Category A B C Classification Alcoholic beverage with 1-5 percent ethanol content Alcoholic beverage with 5-20 percent ethanol content Alcoholic beverage with 20-55 percent ethanol content Import duty USD 1. 57 / litre IDR 14,000 / litre USD 6. 18 / litre IDR 55,000 / litre USD 14. 00 / litre IDR 125,000 / litre Excise Tax USD 1. 25 / litre IDR 11,000 / litre USD 4. 5 / litre IDR 40,000 / litre USD 14. 61 / litre IDR130,000 / litre For more information, visit the Directorate General of Customs Excise at www. beacukai. go. id or the AANZFTA at www. asean. fta. govt. nz. Licensing and registration requirements Prior to importation of food, companies must follow a registration process which involves a fee of Rp 150,000-3,000,000 (approximately NZ$17-345). The documents needed to register include: ? ? ? ? ?a letter that guarantees safety, quality, nutrition and labelling an authorisation letter from the manufacturer health certificate or certificate of free sale issued by authorised deputy from country of origin an audit report of distribution facilities from NADFC (National Agency of Drugs and Food Control) provincial office. copy of registration approval letter from the NZ company’s importer For more information on licensing and registration, visit National Agency of Drug and Food Control at www. pom. go. id Labelling requirements. All imported food and beverages need to be labelled in Indonesian language and must contain: ? ? ? ? brand name name of product (type of food) list of ingredients net weight or net content or drained weight (if applicable) 10/ Exporter Guide | Indonesia | Food and Beverage |. February 2012 ? ? ? name and address of parties that produce or import the products into Indonesia registration number date, month and year of minimum durability For more information on labelling, visit the National Agency of Drug and Food Control at www. pom. go. id. Quotas New Zealand wine exports are subject to Indonesia’s import quotas. The Indonesian government increased the import quota for wine to 225,000 cases in 2009, from 80,000 cases in 2008. The number of cases of wine imported in 2008 and 2009 were 77,485 and 191,953 cases respectively. Error! Bookmark not defined. Indonesia has also recently imposed beef quotas which are being reviewed regularly. Halal Halal certification in Indonesia is required for all food derived from animal products, and recommended for companies whose products are targeting the mass retail market. Exporters are advised to check this closely with their importers or distributors in Indonesia. The Federation of Islamic Associations of New Zealand (FIANZ) is recognised by the Indonesian Ulama Council (MUI) for certifying products in New Zealand. They can be contacted at [emailprotected] co. nz. For more information on the overseas market access requirements (including halal requirements), visit the New Zealand Food Safety Authority at www. foodsafety. govt. nz For more information on halal, visit the MUI at www. halalmui. org 1. 7 Sustainabilityviii The Indonesian Government encourages companies to use sustainable packaging and recyclable materials through tax incentives and an awards system. The government plans to boost the environmentally friendly packaging through Industrial Regulations in Indonesia (RUU Perindustrian). Alternatives to plastic packaging such as vegetable material or bio-plastic packaging have been welcomed by the market. Bio-plastic is made from biotic materials (i. e. corn, cassava or micro-biota) and the material is easier to decompose. A national water company, PT Aqua Golden Mississippi, is currently developing a water bottle from vegetable material. The Indonesian Nanotechnology Society is researching a thinner plastic bottle which can be decomposed in 4 to 8 weeks. 11/ Exporter Guide | Indonesia | Food and Beverage | February 2012 2 MARKET ENTRY AND DEVELOPMENT 2. 1 Market Entry Strategies Indonesia is a price sensitive market, but with the growth of the new generation of middle and high income consumers, the quality of products is of greater importance. Branded and high quality food and beverage products are in demand. The middle high income segment is paying more attention to healthy products as the new generation becomes more health conscious. Indonesian consumers prefer internationally well-known brands and imported products, particularly for their children. In 2010, the government approved a number of import licences for alcoholic beverages. There were previously only 2 companies with import licences but now more than 20 companies have secured a licence. To acquire an import licence, a company needs to have at least 20 brands in its portfolio. It is recommended that New Zealand food and beverage products focus on Jakarta (with a population of 9. 6 million), Surabaya (4 million) and Bali (4 million). Jakarta and Surabaya are big markets in their own right but are also distribution hubs to the east and western parts of Indonesia. Bali is a popular tourism destination and there is a demand for quality products from hotels and restaurants. 2. 2 Points of Differentiation New Zealand is known in Indonesia as a producer of fresh, clean, high quality and healthy products. However, the market holds little knowledge about the range of products New Zealand sells. New Zealand companies need to continuously promote the overall New Zealand image for the benefit of their products. 2. 3 Long Term Strategic Issues for Exporters to Consider Recently a number of new regulations were introduced, which are aimed at protecting local producers of horticultural, agricultural and dairy products. Political issues and corruption are still a major issue in doing business in Indonesia. All imported food and beverage products must be registered by Indonesia’s National Agency for Food and Drugs Control (BPOM). New Zealand food and beverage exporters are advised to check with their Indonesian customers or partners what the exact process is. The specified time limit for BPOM to issue registration is 45 working days, but in the past it has taken 6-12 months. 12/ Exporter Guide | Indonesia | Food and Beverage | February 2012 2. 4 Distribution Channels. The best market penetration strategy is to appoint a local importer who has an established network across Indonesia. This will enable New Zealand businesses to access the retail market and also the HORECA (hotel, restaurant and catering) markets. Importers will undertake the product registration on behalf of New Zealand companies. New Zealand companies must provide the necessary documentation including a letter of appointment for the Indonesian importer. 2. 5 Pricing New Zealand products face stiff competition from other imported products, particularly products from Asian countries. With the right pricing and product positioning strategies, Indonesian consumers are willing to pay for premium products. Mark-ups for imported products will include: ? ? ? import agent fees custom duties value added tax (VAT) of 5-10 percent 13/ Exporter Guide | Indonesia | Food and Beverage | February 2012 2. MARKET RESOURCES AND CONTACTS ASSOCIATIONS /ORGANISATION ASEAN New Zealand Combined Business Council Halal Indonesia The Federation of Islamic Associations of New Zealand (FIANZ) WEBLINK www. asean. org. nz www. halalindonesia. org/ www. fianz. co. nz/index. php Indonesia National Agency of Drug and Food Control www.pom. go. id ASEAN Australia New Zealand Free Trade Agreement Guide Ministry of Health Republic of Indonesia Directorate General of Customs Excise. TRADE EVENTS InterFood Indonesia Fish and Seafood Indonesia Agri Indo Jakarta Fashion Food Festival OTHER NZTE PUBLICATIONS Indonesia Country Brief Wine Market in Southeast Asia Food and beverage in the hotel, restaurant and institutions market in Southeast Asia www. asean. fta. govt. nz www. depkes. go. id/en/ www. beacukai. go. id WEBLINK www. interfood-indonesia. com www. fisheryandseafoodexpo. com www. agri-indo. com www. jfff. info WEBLINK www. nzte.govt. nz www. nzte. govt. nz /www. nzte. govt. nz Disclaimer: This publication is provided to you as a free service and is intended to flag to you market opportunities and possibilities. Use of and reliance on the information/products/technology/concepts discussed in this publication, and the suitability of these for your business is entirely at your own risk. You are advised to carry out your own independent assessment of this opportunity. The information in this publication is general; it was prepared by New Zealand Trade and Enterprise (NZTE) from publicly available and/or subscription database sources. NZTE; its officers, employees and agents accept no liability for any errors or omissions or any opinion/s expressed, and no responsibility is accepted with respect to the standing of any firm/s, company/ies or individual/s mentioned. New Zealand Trade and Enterprise is not responsible for any adverse consequences arising out of such use. You release New Zealand Trade and Enterprise from all claims arising from this publication. New Zealand Trade and Enterprise reserves the right to reuse any general market information contained in its reports. i ii iii iv v vi vii viii Euromonitor International, 26 August 2011. Indonesia: Country Profile APNZ, 15 November 2011. Indonesia to join regional FTA. The New Zealand Herald. Retrieved from www. nzherald. co. nz Euromonitor International, 9 August 2011. Consumer Food Service in Indonesia. Euromonitor International, 2011. Market sizes, Indonesia Euromonitor International, February 2011. Alcoholic Drinks Indonesia Euromonitor International, November 2010. Packaged food Indonesia Business Monitor International, August 2011. Indonesia Food Drink Report Q4 2011. Euromonitor International, April 2011. Packaging Indonesia 14/ Exporter Guide | Indonesia | Food and Beverage | February 2012.

Impacts on Private Savings in Pakistans Economy

Impacts on Private Savings in Pakistans Economy 1. Introduction The term savings describe the unconsumed disposable income which is kept with intention of stabilizing consumption in some future time. Private savings contribute in overall growth of any country and economists consider it as a gauge to economic health. When people start to rely on debts either than their saved cash much more pressure is found on the financial institutions which reduce the strength of any nation. People save in good times so that they have enough funds in their account for the rainy days which are more likely to come in a very frequent pace in countries developing countries like Pakistan. This issue of insufficient funds lead any country towards poverty which is a big threat for all emerging markets which are trying to become prosperous and want to be counted as developed nation of this impulsive world. Pakistani economy is in its developing stage, and this is the reason that is facing a very low saving rate. There are various factors behind this phenomenon. Saving is the key factor which increases future consumption (Kim, 2010), this fact made researcher inclined towards the importance of this topic to be researched and discussed comprehensively. Even though this issue was in consideration by many researchers before but it still need to be considered more as no much conclusive results were found for it in the past. Private savings is expected to contribute overall growth of a country by making it more stable and organized. Several economic and demographic variables are expected to have their valuable influence on Private Savings (Hondroyiannis, 2004); variables in this study are selected by keeping this fact in view. 1.1 Background Private savings are facing a very consistent decline in Pakistan from so many past decades which are not a common trend as other Southeast Asian countries are having a gradual increase in their Private savings. Private savings which become part of national saving after being summed up with public savings; this gives it a vital role in the overall performance of any country. Savings can create intensions of investment specifically on capital stocks which will cause an increase in nation’s productivity, this chain will leads towards raise in wages and consumption and Increased capital stocks also increase employment. Researcher is considering few variables as determinants of private savings which are previously found to have the impactful determinants in past studies. Incomes of individuals is considered as one of the most influential factors in many past studies but evidence is also available that in 1970s and 1980s private savings of Pakistan was having average of less than 17% of disposable income which was very low in comparison with other Asian economies (Husain, 1996). Another evidence which prove strong relation between income and private savings is as stated that pension plan enhance its importance. Income and employment have significant relation with personal savings (Kim, 2010). FDI is also considered to be desirable and recommended to be increased by researchers (Shahbaz et al, 2010). It is stated that whenever remittances increase a very visible increment in National savings is visible, a positive and significant relation was found in the research (Chaudhry et al, 2010). 1.2 Problem Statement In past several studies are done on the topic of private savings (Husain, 1996, Kim, 2010; Lean and Song, 2009; Masson, 1998; Chaudhry et al, 2010). Those studies have identified several variables which are influential on private savings in different countries. This study is being conducted by using recent data and this is the reason that this will add latest knowledge. Thus there is a need of such work to be done in Pakistan by making use of latest data. Dynamic of private savings play a vital role for Pakistans economy where there is lots of instability in economic conditions. Instability of this economy has made it really essential for all the members of this economy to maintain some funds for crucial times. This study will allow all the readers to understand that what factors are affecting this important element in the selected economy. 1.3 Research Question Background of this research gives birth to following research question; Q. What is the determinant of Private savings in economy of Pakistan? 1.4 Research Objective The core objective of this research is to highlight the importance of private savings in Pakistan and addressing key factors which are controlling the behaviour of private savings in positive or negative manner. In order to achieve this broad objective following specific objectives are pursued in this study; To identify the impact of FDI on private savings of Pakistani economy To identify the impact of ADR on private savings of Pakistani economy To identify the impact of REM on private savings of Pakistani economy To identify the impact of INF on private savings of Pakistani economy 1.5 Scope of the Study This study will reveal fundamental issues regarding private savings which will be helpful for the economy of Pakistan. Thematic focus of this study is to determine the factors that are affecting private saving. Geographical focus of this study is the economy of Pakistan. 1.6 Limitation of the Study Researcher is putting all possible efforts in this study, but in spite of that there are always some limitations of research. Limitation of this study is accessibility; due to availability of limited resources data collected for this research is from online sources. 2. Methodology 2.1. Type of Research This is a quantitative research in which numeric data is being analysed through application of statistical model. Deductive approach is being applied in this research where, we are dealing with an existing theory and testing it parametric form of data. Furthermore, this is a descriptive cum explanatory research is being done in this study for understanding the relation between dependent and different independent variables. 2.2.Data Source Electronic copies of required data were acquired from official website of state bank of Pakistan, economic survey of Pakistan and hand book of economics. Secondary data is being used in the research which was available on different websites. 2.3.Sample Size As per the focus of this study, data collected for this research is of Pakistani economy. Researcher is collecting annual data of past 30 years which is from 1984 to 2013. 2.4.Statistical Technique By using SPSS 19.0 data is imported and descriptive and regression analysis is performed on metric data. Application of descriptive analysis has allowed the researcher to explain the data rigorously. Regression analysis is applied to check out existence of relationship between selected dependent and independent variables. 3. Conclusion and Recommendation This research which was conducted in order to reveal important and impactful factors influencing private saving is found to be useful and contribute well. Out of the four hypotheses that were established in this research, three are accepted and one is rejected. Results which were found in the end indicated that, three factors which were foreign direct investment, age dependency ratio and remittance have significant impact on private savings. There is only one variable that has insignificant relation which is Inflation. FDI should also be increased and this could only be done if political situation of our country will become stable as it will make our country more lucrative for the foreign investors. Previously there was a very good and appreciatable trend as many Multinational companies were coming and investing in Pakistan but this trend is now facing a down trend due to bad political and social conditions of the nation. Decrease in age dependency is although causing an increase in private saving but there is a need of making sure that this decrease is not because of bad health condition or child labour. Government must make policies for taking a better care of all these dependent effectively. Remittance is normally considered to be a factor that strengthens economy, but in case of Pakistan, negative relationship is due to ineffective usage of remittance. At this point there is a need of prioritising the needs and wants. Receivers of remittance must ensure that they are using it effectively rather than wasting it. Government can also intervene in this by increasing the taxes on remittance inflow and also assuring that false channels for sending remittance are not being adopted. Inflation in Pakistani economy is a major problem and insignificant relation between inflation and private savings shows that two extreme situations 1) poverty and 2) extreme richness are on their hype in this economy. There is a need of making policies through which equal distribution of wealth can become possible in the economy. This research can be continued further by considering other economic factors which were not covered here. Other dependent variables can also be considered which also contribute in overall growth of any country and thought to be judgemental factor of economic health by economist.

The Future of America :: Free Essay Writer

The Future of America A hungry boy stole food from a market, was caught, and his right hand was chopped off. The next week the same boy, stole fruit from an orchard, again was spotted, and his left hand was chopped off. A few weeks later, leaving the back door to a bakery open, his mouth full and eyes no less vibrant, the boy was caught once again. The men of the town were stumped, what was to be chopped off next? The men of the town did not know what to do, until someone offered giving the boy a job. The boy never stole again. As difficult as it may be to remain open-minded when addressing a situation, sometimes the alternative solutions are better than that of the extreme. Throughout American history, there is evidence of over-coming close mindedness. This evidence is seen in women's voting rights and African American's freedom. With the increasing youth violence present in America, we are once again given a task. This task, like that of Women's Suffrage and Civil Rights, is not going to have a simpl e solution. If the men in the story above had not come up with an alternative solution, what would be chopped off next? Arms? Feet? After reading about this topic and all its perspectives, I believe that severe punishment will always fail to deter youth crime. Rehabilitation and prevention, as difficult as they may be to accept, deserve attention. Arguments have resulted from examining the increase of convicted youth criminals and the severity of crimes committed. The youth crime rate has reached a twenty year high, says Patricia Cohen in her article entitled, "Punishment." Equally staggering she says, is the fact that "from 1988-1991 the youth murder-arrest rate climbed 80 percent(518)." Terrible crimes committed by youth are sometimes as serious as those of their adult counterparts. As a result, the term ‘youth' is no longer synonymous with innocence. With this sudden "madness," as coined by Males and Docuyanan in "Crackdown on Kids: Giving Up on the Young," juveniles are being deferred into court at lower and lower ages(519). This can be seen in Wisconsin where ten-year-old children can be tried as adults for murder(519). Does imprisonment deter youth crime? Some people believe it is the only way to go, others disagree. Males and Docuyanan are among those who disagree, bringing up the point that, "If more prisons a nd surer sentences were the solutions to crime and delinquency, California should be a haven where citizens leave doors unlocked and stroll midnight streets unmenaced(521). The Future of America :: Free Essay Writer The Future of America A hungry boy stole food from a market, was caught, and his right hand was chopped off. The next week the same boy, stole fruit from an orchard, again was spotted, and his left hand was chopped off. A few weeks later, leaving the back door to a bakery open, his mouth full and eyes no less vibrant, the boy was caught once again. The men of the town were stumped, what was to be chopped off next? The men of the town did not know what to do, until someone offered giving the boy a job. The boy never stole again. As difficult as it may be to remain open-minded when addressing a situation, sometimes the alternative solutions are better than that of the extreme. Throughout American history, there is evidence of over-coming close mindedness. This evidence is seen in women's voting rights and African American's freedom. With the increasing youth violence present in America, we are once again given a task. This task, like that of Women's Suffrage and Civil Rights, is not going to have a simpl e solution. If the men in the story above had not come up with an alternative solution, what would be chopped off next? Arms? Feet? After reading about this topic and all its perspectives, I believe that severe punishment will always fail to deter youth crime. Rehabilitation and prevention, as difficult as they may be to accept, deserve attention. Arguments have resulted from examining the increase of convicted youth criminals and the severity of crimes committed. The youth crime rate has reached a twenty year high, says Patricia Cohen in her article entitled, "Punishment." Equally staggering she says, is the fact that "from 1988-1991 the youth murder-arrest rate climbed 80 percent(518)." Terrible crimes committed by youth are sometimes as serious as those of their adult counterparts. As a result, the term ‘youth' is no longer synonymous with innocence. With this sudden "madness," as coined by Males and Docuyanan in "Crackdown on Kids: Giving Up on the Young," juveniles are being deferred into court at lower and lower ages(519). This can be seen in Wisconsin where ten-year-old children can be tried as adults for murder(519). Does imprisonment deter youth crime? Some people believe it is the only way to go, others disagree. Males and Docuyanan are among those who disagree, bringing up the point that, "If more prisons a nd surer sentences were the solutions to crime and delinquency, California should be a haven where citizens leave doors unlocked and stroll midnight streets unmenaced(521).

Martin Luther King I Have a Dream Essay

1) Rock solid, unshakeable confidence You can see from Martin Luther King’s body language that he was calm and grounded as he delivered his speech. Although you can’t see his feet as he’s speaking, I’d imagine him to be heavily planted to the ground, with a solid posture that says â€Å"Here I am. I’m not budging. Now, you come to me.† As a speaker, Martin Luther King had the solidity that is surely only found with those who have completely aligned their actions with their firm commitment. The 200,000 people at the Washington rally could not have pushed King off-track if they’d tried, so solid was he in his convictions. Self-belief from a beyond-personal source gives this sort of power – and you can see the impact. Martin luther king with this faith 2) The Voice It would always take a commanding voice to inspire thousands and Martin Luther King’s booming voice was well practiced in his capacity as a Baptist preacher. His cadence, his pacing and his preacher-like drama bring real passion to the speech. Martin Luther King used powerful, evocative language to draw emotional connection to his audience, such as: â€Å"Now is the time to rise from the dark and desolate valley of segregation to the sunlit path of racial justice.† â€Å"This sweltering summer of the Negro’s legitimate discontent will not pass until there is an invigorating autumn of freedom and equality.† â€Å"We can never be satisfied as long as our bodies, heavy with the fatigue of travel, cannot gain lodging in the motels of the highways and the hotels of the cities† Martin luther king let freedom ring 3) Rhythm & Repetition The intensity of King’s speech is built through bold statements and rhythmic repetition. Each repetition builds on the one before and is reinforced by Martin Luther King’s ever increasing passion. â€Å"We can never be satisfied as long as the Negro is the victim of the unspeakable horrors of police brutality. We can never be satisfied as long as our bodies, heavy with the fatigue of travel, cannot gain lodging in the motels of the highways and the hotels of the cities. We cannot be satisfied as long as the negro’s basic mobility is from a smaller ghetto to a larger one. â€Å"Go back to Mississippi, go back to Alabama, go back to South Carolina†¦Ã¢â‚¬  â€Å"With this faith, we will be able to hew out of the mountain of despair a stone of hope. With this faith, we will be able to transform the jangling discords of our nation into a beautiful symphony of brotherhood. With this faith, we will be able to work together, to pray together, to struggle together, to go to jail together, to stand up for freedom together, knowing that we will be free one day.† â€Å"Let freedom ring from Stone Mountain of Georgia. Let freedom ring from Lookout Mountain of Tennessee. Let freedom ring from every hill and molehill of Mississippi. From every mountainside, let freedom ring.† As the speech comes to a close the pace of Martin Luther King’s repetition increases, helping to build to a crescendo. 4) Ditching the Script If that wasn’t dramatic enough, Martin Luther King’s â€Å"I have a dream† speech was never meant to even include its most famous sequence and climax. Originally penned under several names, such as the catchy â€Å"normalcy speech† and â€Å"A Cancelled check†, King put aside his script ten minutes into the speech. Few would dare risk it at such a moment, but King was said to have responded to the cry of Gospel singer Mahalia Jackson â€Å"Tell ‘em about the dream, Martin!† and ad-libbed what came next. This is what gave â€Å"I have a dream† its raw power and edge – King was living the words that he spoke. 5) With, not ‘at’ his people It’s thought that King ditched the script so that he could connect more with his audience. And it worked. â€Å"I am not unmindful that some of you have come here out of great trials and tribulations,† he begins. King goes on to talk to his audience and their personal situations directly, â€Å"Go back to Mississippi, go back to Alabama, go back to South Carolina, go back to Georgia, go back to Louisiana, go back to the slums and ghettos of our northern cities, knowing that somehow this situation can and will be changed.† King is with the people, fully connecting to them with his eyes and delivering a powerful rhythm in his speaking. Martin Luther King’s script writer, Clarence B Jones reflected, â€Å"It was like he had an out-of-body experience.† So often it is the speaker who is flexible and vulnerable enough to connect with their audience who has the most powerful impact.

Racial Tensions Essays - Discrimination, Social Inequality, Politics

Racial Tensions Essays - Discrimination, Social Inequality, Politics Racial Tensions For Democracy to truly thrive there must be equal opportunity and an equal distribution of hope for all people. A myth that underpins American culture is that we live in a land where success is based on merit, and differences in wealth is due to the differences in ambition and ability. Each individual has equal opportunity obtain an educational foundation that will provide social mobility, self-improvement and self-awareness. Lastly each individual will live without the pains of discrimination and will have the freedom to pursue their dreams. If this American myth is true, do we still need legislation such as Affirmative Action? Since the birth of this country, there has also been the issue of racial discrimination. We have made progress since the days of slavery and segregation, but animosity towards a universal acceptance of all races still exist. Today in America, white males occupy most managerial positions, and corporate market institutions have a disproportionate amount of capital, power and influence on how society is run and how culture is shaped. (p25, Race Matters) After the United States Congress passed the Civil Rights Act in 1964, it became apparent that certain business traditions, such as seniority status and aptitude tests, prevented total equality in employment. In 1965 the U.S. government believed that employers were discriminating against minorities and that action must be taken to try to bring equality back into the marketplace. On September 24, 1965, President, Lyndon B. Johnson issued Executive Order #11246 at Howard University that required federal contractors to take affirmative actio n to ensure that applicants are employed . . . without regard to their race, creed, color, or national origin (Civil Rights). When Lyndon Banes Johnson signed that order, he enacted one of the most controversial pieces of legislation. Affirmative action was created in an effort to help minorities leap the discriminative barriers that are present in this country. In a statement released in 1981 by the United States Commission on Civil Rights, Jack P. Hartog, who directed the project, said: Only if discrimination were nothing more than the misguided acts of a few prejudiced individuals would affirmative action plans be reverse discrimination. Only if todays society were operating fairly toward minorities and women would measures that take race, sex, and national origin into account be preferential treatment. Only if discrimination were securely placed in a well-distant past would affirmative action be an unneeded and drastic remedy. The problem with Affirmative Action is that is has t wo serious drawbacks that I will mention, it contributes to preferential treatment and reverse discrimination. The following cases are examples of what has occurred after the legislation has been past; In 1969, five major Omaha corporations reported that the number of white managers fell 25% due to restrictions put on them when affirmative action was adopted (Nebraska Advisory Committee 27). In 1977, The Northern Natural Gas Company of Omaha, Nebraska, was forced by the government to release sixty-five white male workers to make room for minority employees. (Nebraska Advisory Committee 40). From the above examples we have created situations that have the potential to increase racial prejudices amongst the workers and families of the workers. Needless the employees were treated unfairly. Martin Luther King Jr. desired a world without discrimination, without prejudice, and without stereotypes. I have a dream that my four little children will one day live in a nation where they will not be judged by the color of their skin, but by the content of their character.(Martin Luther King Jr.) The fundamental lesson that years of discrimination should have taught is that to give anyone preference based on skin color, sex, or religious beliefs is wrong. Needless to say preferential hiring does influence judgments based on skin color, race and sex. By no means am I trying to use the late Martin Luther King Jr.s speech against his original cause, but instead I hope to bring attention to the fact that the government has implemented a law, which can lead to negative consequences. The end result from affirmative action may actually fuel, rather than extinguish, racial hostilities through out our country. Just as the late Martin Luther King Jr. feelings towards discrimination fueled one of the greatest changes