The Credit Default Swap of Central East European Countries Essay - 4

The Credit Default Swap of Central East European Countries - Essay Example The risk in entailment of equity investment is high in Central European countries compared to Countries of Western Europe and this is mainly due to factors such as the weak rule of the governments, difficult and complicated financial accounts of organizations, currency risks, the transparent rule in government institutions etc. Economic performance of each country is unique and therefore equity risk premium is different for each country.The currency board is the controller of interest rates and provides financial stability to the country. The CDS premium is a powerful instrument in the credit derivatives market because it is a direct tool for measuring the credit default spreads. CDS spreads is in proportion to the pure valuation of defaulting risk of the primary body. Credit risk is tested by approximating the equity price and the volatility jumps in the financial market. CDS spread commonly referred is the premium payment for a CDS. Credit Default Swap spreads is a yardstick for pricing and hedging insecurities. â€Å"Risk premiums for Central Europe have increased substantially over the past two years and may well come down again when confidence returns to global financial markets. This may represent an excellent buying opportunity, as risk premiums tend to rise or even overshoot during turbulent financial markets.† (Nemethy 2009). The main objective of this dissertation is to examine the differences in the risk premium reflected in the CDS of CEE countries, especially Bulgaria. Bulgaria has a currency board restriction. Countries which have a currency board restrictions faceless degree of inflation and experience more GDP growth. The idea of this dissertation is to convince that risk premiums in CDS have an impact on the economy and has differences in the risk premium. Credit default swaps are an indicator of global financial crisis.

Using appropriate theories and concepts, critically evaluate the value Essay

Using appropriate theories and concepts, critically evaluate the value of the notion of reflection in your own self development - Essay Example Furthermore, it is within such environments that there is a refining of values and this is often done without ensuring reflection is made an important aspect of thinking. It is important to ensure that reflective thinking is developed and made an essential part of individuals because it is the only way through which they can challenge assumptions, and make an assessment of their intuition, and learn more about themselves. It is important to note that some of the biggest barriers for many individuals in achieving their objectives is their lack of reflection (Bowden, 2008, p.4). This is especially because I have realized that many people tend to repeat the patterns and behaviours, which contribute to their failures. However, when they adopt an attitude of reflection before undertaking what they are aiming at, they come to achieve genuine results and personal growth. I find that reflection enables individuals to discover their ability to gain what they want, making it the key to success because without it, all actions are meaningless. Through my own experiences, I have discovered that reflective thinking is a matter of problem solving, which requires an individual to see things in a new way independent of the way that they normally see these problems. It is through their looking at problems differently that individuals are able to find solutions to them in ways that they did not expect (Edwards, 2010). Taking time to reflect on a problem from a different perspective other than the habitual one, especially for a leader within an organization, is extremely important because it makes the individual to have time for constructive thinking. Through thinking outside the box, following Kolb’s reflective model, a leader is able to develop a better understanding of the problem facing the organization and take necessary action to ensure that the solution he comes up with is not only relevant, but it can be applied in a manner that does not threaten organizational

Landscape regeneration project Essay Example | Topics and Well Written Essays - 2500 words

Landscape regeneration project - Essay Example Landscapes are usually taken for granted and become so much a part of everyday life that they go unnoticed, till something happens to disturb the placidity. A landscape is never static; as cultures evolve, the concept and ideas underlying the definition of landscape also change. Landscapes contain myriad aspects, those of family history, familiar landmarks, historic buildings, art and antiques, plants and animals. Concerns with regard to landscape conservation are so widespread and growing so fast that it becomes extremely difficult to define a landscape. Most interpretations of the landscape reflect personal and collective self interest - things valued as mine or ours. Societies may be modest about what they are but are always proud of what they were. The Environment Act of 1995 places a duty on National Park Authorities aimed at 'conserving and enhancing natural beauty, wildlife and cultural heritage of the National Park' and 'promoting opportunities for the understanding and enjoyment of the special qualities of areas by the public'. National policy explicitly defines 'heritage' as ancient archaeological remains, sites and historic structures, and thus largely conceives of landscape in terms of the role it plays as a setting or backdrop for these remains, structures or sites. The time-depth this framing brings with it is clear: 'heritage' is to be defined more closely in line with the impressions it has of the past, as opposed to the impressions it may leave in the present. As such, the idea of heritage, and thus landscapes, as a process in itself is overlooked (Ross, 1995). In recent years, the world's waterfronts have provided a particular focus for culture led regeneration. Marshall (2001, p. 3) describes the waterfront as space "in the city which allows expressions of hope for urban vitality". "These waterfront redevelopment projects speak to our future, and to our past. They speak to a past based in industrial production, to a time of tremendous growth and expansion, to social and economic structures that no longer exist. . . ." (Marshall, 2001, p. 5). In this paper, we revisit the regenerative development work carried out in Newcastle-Gateshead Quayside and the West End to discover whether the stated objectives of the project have actually been achieved and to examine how the new developments have achieved different results in localities adjacent to each other. Landscape and Regeneration The meaning of the English word landscape both encompasses framed views of specific sites and the scenic character of whole regions; it applies equally to graphic and textual images as to physical locations (Daniels and Cosgrove: 1989). Landscape holds a broad intellectual scope as a theoretical concept across the arts humanities, and social sciences. It is easy to theorise and redefine landscape into distinct parcels of 'culture', 'history', 'environment', 'prehistory', 'associations' and 'nature' (Cosgrove, 1998, Olwig, 2002, Corner: 1999, Smith: 2003, Bender: 1993), but what and how does one combine these to define a landscape that takes all these within its ambit. How a person interprets a landscape depends upon the individual's background, knowledge and experience. The opinion of the 'expert' and that of the 'common man' on the street may, and is most likely to, be substantially different as to what represents the landscape of a

Categorizing Risks for Risk Ranking by Morgan et al Essay

Categorizing Risks for Risk Ranking by Morgan et al - Essay Example (CROUHY, et al., 2000) Risk categories provide a systematic and planned approach in identifying risks and mitigating them. Risk categorisation enhances range of risk identification leading to effective assessment (VAUGHAN, 1997), management and analysis process by which one can easily understand the nature of risks. It is almost impossible to develop one yard stick that fits for all the risks therefore, risk categorisation helps in arranging these risks in accordance to sources, area and effects of risk etc. Risk categorisation can also be based upon financial, regulatory compliance, safety, technology, security, environmental, strategic and stakeholder risks etc. (HAMPTON, 2009). So, dividing risks into categories provide adaptable cluster of risks that can be mitigated easily (GREGORIOU, 2007). When risk are categorised, it ensures filtering risks accurately as problems of double counting, fear inclusion of one risks or exclusion of another does not remain a concern anymore. Second ly when it comes to assigning scores to risks, categorised risks are easy to be scored as compared to uncategorised risks (AVEN, 2012). Risk categorisation is important is significantly important for assessing, ranking, managing, processing and mitigating risks (SMITH, 2005). Alternative Approaches to Categorisation The authors of this article presented three approaches and methods for categorization of risks which can be encompassed into three fields of literature (HUSSEY & HALL, 2008). First field of literature described by authors is psychological approach to categorise risks which is further subdivided into three approaches. In this approach it is assumed that risk is the subjective judgement of people (AVEN, 2008). Value judgement provides extensive analysis of risks yet can also be fatal if predicted immaturely (ISHIKAWA & TSUJIMOTO, 2009). One risk may not be important to second person as it is for the first person. Psychological approach further offer alternative subdivision as categorisation on basis of similarity (KIEV, 2002). Similarity risk categories help defining social and cognitional order of exploded population on which opinions are constructed and divided (SCHNEEWEIS, et al., 2010). Next alternative approach of risk categorisation is explanation based approach, in which based on understanding and relation between events, risks are arranged and categorised. After psychological approach, an alternative approach of Natural Sciences is prescribed which categorises risks considering the common characteristics of risks. Natural Sciences literature is defined through monothetic and polythetic classification (MOLAK, 1997). Whereas monothetic classification of risks comprise only specific risks that are sufficient enough to identify and explain the risk. On the other hand, polythetic classification of risks is a broad concept of arranging risks (Sutcliffe, 1994). Another proposed alternative approach is environmental psychological categorisation with subdivision of essentialist and constructivist perspective. Essentialist perspective requires similar features as necessary attribute to categorise risks whereas constructivist perspective supports adaptability and encourage categorisation designed upon stimuli presented at time to identify risks. Recommendations for Categorisation Authors have recommended to use an explanation based

Business Strategy Essay Example | Topics and Well Written Essays - 3000 words - 2

Business Strategy - Essay Example Best cost strategy combines strategic emphasis on low cost as well as focused differentiation. It focuses on giving its customers more value for money. For E.g. Kingfisher Red Airlines is an example of best cost airlines providing luxury of Kingfisher Airlines but at comparatively lower price than that of competitors in luxury segment. The product line of company employing best cost strategy has products with appealing attributes and assorted upscale features. The aim of focused differentiation strategy is to secure a competitive advantage through offering customers of niche market with a product that they perceive as vary well suited to their needs, tastes and preferences. The strategic target of focused differentiation strategy is a narrow market in which needs and preferences of the buyers are distinctively different. Attributes appealing specifically towards niche members forms the basis of competitive advantage in focused differentiation strategy. B. Explain in detail, IKEA†™s hybrid strategy? IKEA used a mix of low cost and differentiation strategies as a part of its hybrid strategy. They used innovative means for attracting customers and people who can become there prospective customers in near future. The company tried to create differentiation in the retailing industry it operated in. It could be taken instance from the fact that the company allowed its customers to relax in its western style stores in a view that they could be aspiring customers of IKEA in near future. The production emphasis of products in focused differentiation strategy depends on customization meeting the tastes and requirements of targeted customers. The marketing emphasis of this strategy is towards communicating that how the product offers all the requirements in meeting buyers’ expectation in target market. Commitment in serving to niche markets better than rivals remains the key of sustaining the strategy. C. Why is IKEA’s hybrid strategy is difficult for competitors to imitate? Hybrid strategy is difficult for imitate and lend IKEA to outsmart competition. This is because through hybrid strategy IKEA is created a mix of two competitive strategies i.e. low cost and differentiation and the mix of these two strategies becomes difficult to imitate. D. Explain 3 business risks that IKEA faces in its hybrid strategy? The three business risks related to hybrid strategy are: These strategies could lack flexibility for IKEA in the scenario of changing external environment. These strategies could lack specificity in a long run for IKEA. Hybrid strategies help a company majorly when the organization has resources and capabilities of employing the strategy and serving an attractive niche market. Question 2 Provide the explanation with two examples in each of the 5 macro environmental influences that IKEA face from operating internationally? Macro-Economic Forces This includes forces at national and regional level that affects the company. IKEA is retail chain build on a global platform where factors like inflation rates, interest rate and current exchange rates in bear some impact, but such impact can’t be considered influential. As the interest rates are slashed as a result of recession in the economy, the company could borrow money at a cheaper interest rate. Same is the case with changes in current

Thomson Additional Scanners Essay Example for Free

Thomson Additional Scanners Essay Our training partnership and scanner promotion has been a great success. To date, 19,987 Retail Sales Associates have enrolled in the training program. The program can be completed in just four hours with a 98% completion rate.   In line with this, we would like to enlist your help on a subsequent project. As you can recall, the initial promotion was to give away scanners to the first 500 RSAs to complete the training. Due to an error in our email notification system, we inadvertently notified 1,000 RSAs that they would receive scanners. I assure you that the system has been repaired and no further notifications have been sent out.   In order to immediately repair this problem, we are seeking your professional help to determine how we can provide additional scanners in a timely manner and at a minimal cost. Please contact me as soon as possible with: Order details and requirements . Cost estimates and rebates you can offer us . Delivery time frame estimates Bob OBrien and Sheila Gallagher have been informed about the situation and both agreed that we can work together on a solution.   If you have any questions, feel free to contact me at 702-458-8316. In the last meeting, we have tackled the problem about the mix up in the promotion of scanners. We have discussed the cause which was a technological lapse in the automatic response email system. As a consequence, 1,000 RSAs were notified that they will be given free scanners through the promotional endeavor of our company and Thomson. However, the IT manager assured the company that the email notification system has been fixed and that it is currently functioning well. In addition, the head of the IT department ensures that this kind of incident would not happen again. More so, you have also requested the formulation of suggestions on how to deal with the problem and to resolve the dilemma of providing an additional $500 scanners at a lesser cost.    Recommendations The following were the recommendations and options discussed during the meeting: Purchase 500 scanners from Thomson and distribute it to the the other RSAs who were notified. Through this, the possibility of having strained relations with the retail partners or RSAs will be prevented because the company has complied with its promo. Also, the good reputation of the company would be maintained. Creating an e-mail that would inform the 500 RSAs that there have been an error with the companys email notifications system that wrongly notified them about the free scanners. As a consolation, the company could send a token of consolation for sending a wrong message regarding the scanner promo. This approach could prevent the influx of calls from dissatisfied RSAs and even litigation by the RSAs. Request the Thomson company if they could give away free scanners since the partnership and the promotion have been successful. By doing this, the company would comply with its promise of giving free scanners to RSAs and at the same time satisfy them with an excellent. Based on my own opinion, I would suggest buying the extra 500 scanners to the RSAs as indicated in the promo. To minimize the cost, we should ask Thomson for a bulk discount or   if they can shoulder some of the expenses of the scanners since we already have established a strong business relationship with them. This mix up with the promotion was an honest mistake and there was no intention at all in our part to ruin the promotion. So I think Thomson would understand our predicament and hopefully they would help us with our problem. In the end, we can assure our business partners and clients that we would continue to provide   first-rate services.

The Andean Community of Nations

The Andean Community of Nations The Andean Community of Nations History The history of the Andean Community of Nations started on the 26th of May 1969, when Bolivia, Chile, Colombia, Ecuador and Peru signed the Cartagena Agreement. This was the launch of the Andean Integration process and was also known as the Andean Pact, (Andean Community of Nations, a brief history, par. 1). On February the 13th 1973, Venezuela joined the agreement and on the 30th of October 1976, and Chile withdraw itself out of de community. Also Venezuela withdraws itself out of de community. This happened in April 2006. All the bodies and institutions of the Andean Community of Nations as we know today were created in the first ten years of the organisation except for the Andean Council of Presidents. This was created in 1990 ( Andean Community of Nations, a brief history, par. 4). Objectives The Andean Community of Nations has six objectives: to promote the Member countries harmonious development throughout integration and economic and social cooperation to accomplish growth and to create employment to assist participation in terms of regional integration with the purpose of a creation of a Latin America common market to reduce the differences that exist between the member countries to consequently search for the improvement of the living conditions of the citizens living in the region of the Andean Community of Nations to improve the role of their member countries in the world and the international economy ( Andean Community of Nations, what are our objectives?). Tactics and actions Organisation and structure The Andean Community of Nations consists of 4 members: Bolivia, Colombia, Peru and Ecuador. The observer countries are Mexico and Panama. The Andean Community of Nations has thirteen bodies and institutions: Andean Council of Presidents The Council of Presidents is highest body of the organisation and is responsible for the making guidelines for the rest of the organisation Andean Council of Foreign Affairs This body is made up of all the foreign affairs ministers of the member countries and is responsible for making and carry out the foreign policy of the organisation Andean Community Commission The Commission is the main policy- making body of the Andean Community of Nations Andean Community General Secretariat The General Secretariat is the executive body of the organisation and has the responsibility of drawing decisions for the Council of Foreign Affairs Andean Community Court of Justice This Community is the legislative body of the organisation and is made up of four judges of the four member countries. They are responsible for ensuring that the laws of the Community are being applied appropriately. Andean Parliament The Andean Parliament is the body that represent the citizens of the member countries. Andean Development Corporation This Corporation is the financial institution of the organisation. They support the public and private sector of the member countries as well as the governments. Latin America Reserve fund The purpose of this Fund is to give financial assistance to the member countries by giving credits or loans and it also helps the member countries to harmonize their financial and monetary policies. Andean Business Advisory Council Andean Labour Advisory Council Andean Health Body Simon Rodriguez Convention Simon Bolivar University All the above mentioned bodies and institutions are part of the Andean Integration System (SAI). This system was designed to allow effective coordination between al the bodies and institutions in order to maximize the Andean integration. Introduction based on questions 1 -7 The purpose of this paper is to examine the role that e-government can play in Regional International Organizations in Central- en South America. First it is important what is meant by e-government. E-government is also known as electronic government, e-gov, digital government or online government. Technology, or e-government, is the way of exchanging information and services with citizens, businesses, organisations and other arms of government. E-government also entails the use of information technology to free movement of information to overcome the physical bounds of traditional paper and psychical bases systems, as well as the use of technology to enhance the access to and delivery of government services to benefit citizens, business partners and employees. E-government comprises activities that take place by digital processes over a computer network, usually the internet. These activities generally involve the electronic exchange of information to acquire or provide products or service, to place or receive orders, to provide or obtain information, or to complete financial transactions. Second it is important to examine what is meant by Regional Organizations in Central- en South America. Regional Organizations are international organizations which bring together countries occupying a certain region with shared needs and interest for the purpose of closer cooperation and or integration. According to the Yearbook of International organizations there are eight criteria for inclusion under the international organization: The aims must be genuinely international with the intention to cover at least three states Membership must be individual or collective participation, with full voting rights, and must be open to any individual or entity appropriately qualified in the organizations area of operations. Voting must be so that no national group can control the organization The constitution must provide for a formal structure giving members the right periodically to elect governing bodies and officers. Provision should be made for continuity of operations with a permanent headquarter Officers should not all be of the same nationality for more than a given period. There should be a substantial contribution to the budget from at least three states and there should be no attempt to make profit for distribution to members Those with an organic relationship with other organisation must show that it can exist independently and elect its own officials Evidence of current activities must be available Negative criteria are: size, politics, ideology, field of activity, geographical location of headquarters, nomenclature, is irrelevant deciding whether a set-up is an international organisation or not REFERENCES There are two ways of defining Central America. It is possible to define Central America as a region of the North American continent. Geopolitically spoken, it comprises seven countries Belize, Guatemala, El Salvador, Honduras, Nicaragua, Costa Rica and Panama. Mexico is often included. In Latin America and in Europe, the Americas are considered to be a continent and Central America is a region of that continent. The United Nations geoscheme defines the region as all states of North America south of the United States; conversely; the European Union excludes Belize and Mexico from its definition of the region. South America comprises the countries of Argentina, Bolivia, Brazil, Chile, Colombia, Ecuador, Falkland Islands, French Guiana, Guyana, Paraguay, Peru, South Georgia and South Sandwich Islands, Suriname, Uruguay and Venezuela. Besides those countries are there also various islands, many of which belong to countries of the continent. Geopolitically, the islands states and overseas territories of the Caribbean are generally grouped as a part of sub region of North America. Third, it is important to know what the main Regional Organisations are in Central- and South America. The main Regional International Organisations are: Mercado Comun del Sur (MERCOSUR) The Andean Community of Nations The Union of South American Nations (Unasur/Unasul) The Organization of American States (OAS) Pan American Institute of Geography and History (PAIGH) Inter-American Drug Abuse Control Commission (CICAD) Organismo para la Proscripcion de las Armas Nucleares en la AmÃÆ'Â ©rica Latina y el Caribe (OPANAL) The Inter- American Development Bank Associacao Latino-Americana de Intergracao / Asociacion Latino-Americana de Intergracion (ALADI) Association of Caribbean States (ACS) Latin American Economic System (SELA) Latin American Centre for Development Administration (CLAD) Mercado Comun Del Sur and the Andean Community of Nations are two Regional International Organisations which have great influence in the region. The two organisations are the two main trading blocks and therefore the choice was made to examine them further in the rapport. Mercosur (Mercado Comun del Sur) Mercosur or Mercado Comun del Sur, is a trading bloc in South America. The trading bloc is the fourth-largest trading bloc in the world and the largest in South America. The bloc comprises Argentina, Brazil, Paraguay and Uruguay and was founded in 1991 by the treaty of Asuncion. In 1994 the treaty of Ouro Preto gave the organisation a wider international status and formalised a sustoms union. The organisations headquarters lies in the capital of Uruguay Montevideo. Mercosur has two official languages; Spanish and Portuguese. The rotation of the presidency of Mercosur between member states takes place every six months. The Mercosur institutions include among others: Common Market Council Common Market Group Commission of Commerce of Mercosur Parliament of Mercosur The parliament of Mercosur was inaugurated in December 2006. Initially, the parliament serves only as an advisory committee for the foreign ministers of the Mercosur member states. The four states that conform Mercosur find expression in their democratic, defending societies of the fundamental liberties, the human rights. They unite to fight against poverty and unite to bring economic development and legal security. The fundamental objective of the treaty of Asuncion is the integration of the four states parts, through the free movement of goods, capital, services and people among its member states, the establishment of a common external tariff and the adoption of a common commercial policy. The Mercosur countries count a population of more than 220 million people and have a collective output of $1.1 trillion, accounting for over 75 percent of South Americas GDP with $800 billion for Brazils count. Mercosur has 5 associated members; Bolivia, Chile, Colombia, Ecuador and Peru. The fact that they are associated members means that can join free-trade agreements but they remain outside the blocs customs union. There were moves to include Chile as full member, but these were suspended after Chile signed a free-trade deal with the United States in 2002. On the 4th of July 2006, Venezuela became the fifth full member of Mercosur. Venezuela, a leading oil and gas producer gave Mercosur greter economic clout, but it raised fairs that the controversial Venezuelan leader Hugo Chavez could use the group as a platform for his anti-US stance. Klonsky, J. (2007). Mercosur: South Americas Fractious Trade Bloc. Retrieved November 19, 2007, from Council on Foreign Relations Website: http://www.cfr.org/publication/12762/ Mercosur, Quienes Somos. Retrieved November 19, 2007, from Mercosurs official website. Website: http://www.mercosur.int/msweb/portal%20intermediario/es/index.htm BBC, Profile: Mercosur Common Market of the South. Retrieved November 19, 2007, from Internation Organisations Website: http://news.bbc.co.uk/1/hi/world/americas/5195834.stm