Category

Economics

The Principal Causes of the Great Depression

Introduction The most prolonged and worst economic depression in modern history occurred in the U.S. The great depression quickly extended to the rest of the world. It began in the summer of 1929 as an ordinary recession and lasted until about 1939. Shortly after the ‘roaring twenties, the United States...

US Firm Entering China as a Foreign Market

Nationalistic Orientation China is one of the founding members of the United Nations (UN), and its membership is grounded on its signature on the UN charter. It is one of the largest developing countries and the world’s second economy. The country is one of the essential players of the G20....

Economic and Perceived Value Pricing

Reflection of prices Pricing strategies are essential for both goods and services because they determine the income and profitability of a business establishment (Kotler, 2011). I think that prices should either reflect the cost of making the product, as suggested by the economic pricing approach, or the perceived value, as...

Economic Value of Sport Fishing in Southcentral Alaska

Introduction Southcentral Alaska’s progress is closely related to its resources, which are limited but renewable. As a part of the United States, this region has demonstrated careful and clear planning that needs to be preserved regarding the current economic growth and organizational interests. Alaska’s unique resources continue contributing to multiple...

US Oil and Gas Industry Affected by Pandemic

Introduction Exxon Mobil Corporation is an American company, the largest private oil company in the world, one of the largest corporations in the world in terms of market capitalization. In 2007, it took the 2nd place in the list of the largest public American Companies Fortune 1000 and the list...

The Future of Energy in Saudi Arabia

Introduction Saudi Arabia is a leading manufacturer of energy such as natural gas and petroleum for both local consumption and export. It has the largest crude oil reserves in the world; domestically, this fuel is utilized in the generation of electricity. The country economy depends on oil production, which accounts...

Flip-Flops Company’s Pricing Strategy

Pricing Objectives Increase market share from 0 to 30% within 6 months of operation Increase sales level to 75% within the first 3 months of operation To yield 20% profits within the first accounting period. Detail in price In a research by Smith (2011), pricing decisions must capture the dynamics...

Central Banks in Times of Financial Crisis

Introduction In a country, central bank is in charge of the flow of money in the economy. Furthermore, it is also responsible for control of currency value among other currency related issue in a country. Though commercial banks are also responsible for circulation of money in an economy, they are...

Capital Investment Decision

Buy or lease option The decision on whether to buy or lease on an equipment for a certain project would depend on the profitability of each option. The management of the project should select an option that is most profitable. The net present value criteria will be used to compare...

Customer Service: The Training Session

Introduction It must be acknowledged that offering satisfactory products to customers is the most important thing for business success of every business organization. The workers who are directly in the frontline to deliver products to customers are the face of the company. With this regard, it is always necessary for...

Security Variation: Present and Future Values, and Expected Returns

Present and future values and security valuation Money accumulates value within a given period but also can lose value as well. The gain in value is measured by the amount of interest earned while the loss of value is measured by the inflation accrued over a given amount of time...

An Islamic Perspectives of Loans & Interests

Literature Review According to Iqbal and Llewellyn (2002), the Islamic financial system has quite a lengthy history. From the very early days, Muslims were able to establish a financial system without interest in mobilizing resources to finance productive activities and consumer needs (Marty et al, 1999). The system worked quite...

The Cost-Management Analysis in the Organization

The Role of the Cost-Management Analyst in the Organization of the 21st Century The article Look out, management accountants is about the significance of cost accountants in organizations. The article highlights that the cost accountants are highly beneficial in any firm that aims at managing costs and increasing efficiency. Here,...

Globalisation and Growth of China’s Economy

Many factors impact the Chinese economy in terms of growth and sustainability. One of the most significant factors is foreign direct investments (FDI) and foreign investment enterprises. According to Tang (2010), in the last two decades (1980-2009), there has been an outstanding expansion of foreign direct investments and foreign investment...

Bond Investments and Risks Related to Them

A bond is an asset class along with stocks and cash equivalents (Investopedia, 2011). Bonds are loans offered to corporates or governments by investors to be paid in a specified period. They are normally attached to a fixed interest rate, unlike normal loans. Bonds in most cases are used by...

Time Value of Money in Investment Decision Making

In a real sense, investing involves the “exchange of money at a given time so as to achieve future cash flows from the investment” (Sherrick, Ellinger and Lins, 2000). Changes in time between inflows and outflows with reference to investment conditions cause differences in current values. This implies that assessing...

Globalization Impact on Chinese Economy’s Growth

The growth of globalization has led to openness in international markets, thus leading to rapid economic growth. Foreign investments have gained a great boost from globalization. The increased foreign investment has encouraged many countries to introduce new trade policies to attract foreign investments. This is about the great effects of...

The Institution of Economic Regulation

Introduction For a country’s economy to grow, the government has to involve itself in economic regulation and economic development. It can be defined as the governments deliberate actions aimed at influencing industrial economic activity. The regulations enable economies to sustain themselves in time of financial crisis. Whereas we can say...

Financial Services and Commercial Banks

Introduction Commercial banks have a great role in developing the countries’ business infrastructure because they mediate the central bank and the people. The commercial banks also provide the business players with the opportunity to make transactions easy and within the reach because they are spread in various areas. The paper...

Common in Financial and Reporting Standards

Introduction The rise of globalization has necessitated the need for adopting common financial and reporting standards (Bellandi, 2012). IFRS developed by IASB promises to deliver on the elusive common standard for organizations all over the world. Although GAAP and IFRS differ in important ways, but notable similarities can also be...

Omani Commercial Banks in Financial Services Sector

Introduction Commercial banks are the largest and most important credit institutions in a country and they provide important services to the population. Koch and Scott (2009) praise banks as “engines of growth” noting that the credit flow facilitated by banks is vital to the economic wellbeing of a country. By...

Inflation and Deflation: US and Saudi Stock Markets

Inflation The stock market of any country is influenced by various factors that determine its economic development. Inflation is a commonly known factor that has such influence on the equity market. Many studies have revealed that the stock market is a key indicator of the economic development of a country....

Multinational Corporation (MNC): Risks and Costs

Identify common political factors for an MNC to consider when assessing country risk. Briefly elaborate on how each factor can affect the risk to the MNC Extension of business operations into the cross-border market always gives new opportunities to the MNC managers. Nevertheless, the extension also brings new risks and...

Saudi Small and Medium Manufacturing Enterprises

Introduction Small and medium enterprises play key roles in many economies throughout the world. They serve personalized needs of clients in different industries (Katua 461-472). SMEs are non-subsidiary business organizations that employ relatively less number of workers, are somewhat independent, and have relatively less output. The number of employees and...

Chinese Stock Market: Financial Performance

The Chinese Stock Market is the largest investor in the world beating off the long dominance of the US and an inferior effort from Japan. Jenifer Carpenter, Fangzouh Lu, and Robert Whitelaw wrote in the article that China is the biggest investor and the largest contributor to the growth of...

Carbon Tax Policy Determination

Introduction The Australian Government passed the Clean Energy Bill, also known as Carbon Tax, and related legislation in early November 2011. It should be a base for a carbon pricing mechanism. Opposition of such measures claims that it might lead to firm’s relocation and reduction of working places. However, government...

Capital Budgeting and the Internal Rate of Return (IRR)

The Internal Rate of Return (IRR) of the project is approximately 18%. This is proportion of the initial cost that the management aspires the project will be able to produce in terms of profits on an annual basis for the seven years. It is a relatively low figure, especially given...

Sharjah Cement and Industrial Development Company: The Ratio Analysis

Executive Summary This report covers the ratio analysis of Sharjah Cement and Industrial Development Company. The ratios covered include profitability, liquidity, asset management, and debt management ratios. The report concludes that Sharjah Cement and Industrial Development Company is profitable, liquid, and has a low gearing level. Introduction The company selected...

“Do You Know Your Cost of Capital?” by Jacobs & Shivdasani

Introduction The cost of capital denotes the cost of a company’s finances (debt as well as equity), or, from an investor’s viewpoint, the necessary rate of return on a firm’s extant securities. It is employed in the evaluation of novel projects of firms and is the minimum return, which investors...

Federal Open Market Committee Members on Present Economy

Introduction The members felt that economic activity has been expanding at a commendable pace. Apparently, the rate of unemployment had declined with steady job gains indicating improvement of the labor market. The members also noted that underutilization of the labor resources is continuously reducing. They expect that real economic activity...

Johnson & Johnson: The Financial Ratios

The MSN financial ratios are inaccessible. As a result, alternative websites have been used to assess the financial ratios. The paper uses financial ratios from the Morning Star and compares them with those from the MarketWatch. The two sources give almost similar results on the ratios under consideration. Financial condition...