1) The Chrysler-Fiat strategic alliance had two main goals. Foremost, to help Chrysler survive and rearrange its operations. Secondly, to aid Fiat’s access into the North American market that the company withdrew from in the early 1980s. Both companies intend on sharing the technology platforms in their vehicles, and have the potential to be competitive factors in the industry. Concerning rearrangement and global incorporation, Chrysler and Fiat would like to pursue corporate activities that help reduce cost by sharing knowledge in R&D and assembly operations.
First mover Advantage • Petronas will be having the ability to prevent rivals and competitors, and by capturing demand will have a strong and established brand name. • Petronas will be able to build sales volume in that country. So that they can drive competitors out of market. • Ability to create a customer relationship by offering standard
Toyota being one of the leading firms for product sales naturally relies a lot on its dealerships to maintain this high level of production. A company’s promotional mix is a particular set of promotional strategies or methods in a bid to entice consumers to buy their products, and Toyota uses advertising, personal selling, sales promotions, direct selling and public relations. The company uses various platforms for their promotion such as websites, TV and newspapers. Also, as an example, they implement their TogetherGreen program where the Prius is included, in their public relations category to reach out to customers with a more environmental style of life. The way Toyota sets the prices of its products in two different ways: value-based pricing and market-oriented pricing.
In his paper Carl B. McGowan “A simplified approach to demonstrating the irrelevance of dividend policy to the value of the firm” showed that investors are free to follow any dividend pattern that looks best for them regardless the firm’s dividend pattern. Thus, the value of the firm is not determined by the pattern of the dividend stream but by the present value of the future dividends, regardless of the pattern. Any pattern of dividend payments that the firm adopts can be changed by the investor to any other pattern. H Kent Baker, in his study “How corporate managers view dividend policy”, that investigates the views of corporate managers about the relationship between dividend policy and value through a survey examination sent to 603 US firms listed in the NYSE. The result shows that most respondents believe that dividend policy affects firm’s value.
Vertical integration can reduce transactions costs by bringing contractual negotiations, such as between procurement and manufacturing stages, under the single governance structure of the firm. Linked to this is the fact that vertical integration removes the risk of contractual 'hold-up ' (opportunistic reconstructing) where the firm has significant asset-specific investments, which cannot be easily redeployed if negotiations with another company break down. For the integrating firm, control of up and downstream functions increases market power over existing competitors and create barriers to new entrants. In terms of operations management, vertical integration can accelerate throughput and mitigate the need to hold inventory stocks. Where a firm is faced with irregular or non-existent upstream and downstream functions, vertical integration addresses this form of market failure and helps the firm to expand its production if horizontal integration is a growth strategy.
First, a sourcing strategy aligns an organization’s overall business strategy with the sourcing objectives. For example, it does not benefit an organization to select a supplier for a multiple- year agreement based on superior manufacturing capabilities and local presence if the organization is evaluating global outsourcing operations in support of business growth and cost competitive objectives. Second, when properly defined, a sourcing strategy assists an organization by gaining a true understanding of its requirements, knowing how it must map to the existing supply market, and then develop a plan for both short and long-term sourcing objectives. Having a clearly defined sourcing strategy will significantly improve both the quality of the results and the speed required to achieve an organization’s sourcing objectives. Because Strategic Sourcing is so comprehensive, there is a high probability that the criticality and scope of Strategic Sourcing ends up involving much more.
Commercial loan is the simple loan that earn by the bank and it is debt based funding arrangement that a business can set up with a financial institution. Some of the small business may face the problem of no enough cash or lack of cash on hand to access the debt and equity market for the financing purpose. Therefore, they need to rely on financial institution to settle the problem. Normally the bank will use the sources of money to earn their interest income. For example, customer A has a surplus of cash of RM 10000 and he want to deposit it into his account.
The second theory called fractional reserve theory of banking explained that an individual bank can only act as an intermediary while collectively they end up making some money through systemic interaction. There is another theory that maintains that banks have a superlative power of creating money out of thin air. They can create new money when they extend credit. Despite the far-reaching consequences of the role of commercial banks in the money creation process, no empirical study has tested these theories. Since 1930's most of the researchers have favored the first two theories and they moved further and further away from the truth that a commercial bank does create money.
If Outsourcing has presented itself as a possible solution for me and my company, it is natural to weigh the advantages and disadvantages before embarking on a partnership. Gain insight into the good and bad of outsourcing to help you decide if outsourcing is right for me. Here we break down the possible advantages and disadvantages of outsourcing. The Advantages of Outsourcing The advantages of outsourcing of outsource your non-core activities and spend more time concentrating on my core business processes. Offshoring gives my access to professional, expert and high-quality services.
VDB secretary gets store from the BDOs through check which is en- traded in for money an open area bank through the investment account opened extraordinarily for this reason. However stream of trust from the focal government is not smooth in specific locale because of non accommodation of MPR in time or MPR not arranged in understanding to the rules by the MORD. • Total trust got under NREGA for the state in the year 2013-14 till February 2014 was 13161.278 lakhs out of which 10834.648 lakhs have been as of now used. • Advantages of NREGA saw by the respondents: • Has made sturdy resources in the town. • Assets made under the NAREGA plan are : Drought sealing Flood control and security Land advancement Micro watering system lives up to expectations Renovation of conventional water bodies Rural drinking water offices Increased rustic network Water