The Cold War And The Soviet War - 1199 Words

The Cold War was a succession of savage battles fought between the USA and the USSR during the end of World War II. These two prevailing countries never faced each other directly, therefore it was a war fought by proxy. Both the USA and the USSR had conflict between their two ideologies and ways of life, the USA assumed capitalism and democracy was the optimal way of living, while the USSR concluded communism was the more suitable choice. Each country believed their system or ideology was superior to the other. During the Second World War, the two countries faced a common enemy, Hitler. Therefore, the two countries had to collaborate to defeat the enemy and had to set their differences aside, however, as soon as this war finished, the†¦show more content†¦Berlin itself was located in the middle of East Germany, although it belonged to the USA. Britain and the USA claimed Stalin’s introduction of new currency to Bizonia - the joined zones of the USA and Britain in West Germany- and Eastern Germany was an attempt to â€Å"force the USA out of Berlin, and the Blockade was Russian empire-building in eastern Europe† (Clare, 2014). Since Berlin was entirely surrounded by the Russian zone, the Russians stopped all road and rail traffic into Berlin. The Americans were furious and debated fighting their way into Berlin, instead the Americans decided to give resources by air, (President Truman, 1949) stated the act was a move to test their ability and test their will to resist. For 11 months, the Blockade lasted. The Americans directed a total of â€Å"1.5 million tons of supplies for the people of Berlin, which included; food, medical supplies, and other necessities. There was a total of 275 000 flights who landed to the people’s aid.† (Clare, 2014). Finally, in May of 1949, Stalin re-opened the boarders. The Korean War was also a devastating even of the Cold War. This bloody war began in June of 1950 where the North Korean armed forces – who were communists - invaded South Korea – who were capitalists. The United Nations and The United States joined forces with

Grey Market Free Essays

string(92) " who have purchased their PS3 from the grey market might have trouble playing games online\." A  grey market  or  gray market  also known as parallel market  is the trade of a commodity through distribution channels which, while legal, are unofficial, unauthorized, or unintended by the original manufacturer. Unlike  black market  goods, grey-market goods are legal. However, they are sold outside normal distribution channels by companies which may have no relationship with the producer of the goods. We will write a custom essay sample on Grey Market or any similar topic only for you Order Now Frequently this form of  parallel import  occurs when the price of an item is significantly higher in one country than another. This situation commonly occurs with electronic equipment such as  cameras. Entrepreneurs  buy the product where it is available cheaply, often at retail but sometimes at wholesale, and import it legally to the target market. They then sell it at a price high enough to provide a profit but under the normal market price. International efforts to promote  free trade, including reduced  tariffs  and harmonized national standards, facilitate this form of arbitrage  whenever manufacturers attempt to preserve highly disparate pricing. Because of the nature of grey markets, it is difficult or impossible to track the precise numbers of grey-market sales. Grey-market goods are often new, but some grey market goods are  used goods. A market in used goods is sometimes nicknamed a Green Market. The parties most concerned with the grey market are usually the authorized agents or importers, or the retailers of the item in the target market. Often this is the national subsidiary of the manufacturer, or a related company. In response to the resultant damage to their profits and reputation, manufacturers and their official distribution chain will often seek to restrict the grey market. Such responses can breach  competition law, particularly in the European Union. Manufacturers or their licensees often seek to enforce  trademark  or other  intellectual-property  rights against the grey market. Such rights may be exercised against the import, sale and/or advertisement of grey imports. In 2002,  Levi Strauss, after a 4-year legal fight, prevented UK supermarket Tesco  from selling grey market jeans. However, such rights can be limited. Examples of such limitations include the  first-sale doctrine  in the United States and the doctrine of the  exhaustion of rights  in the European Union. Manufactures power towards the Grey Market When grey-market products are advertised on  Google,  eBay  or other legitimate web sites, it is possible to petition for removal of any advertisements that violate trademark or copyright laws. This can be done directly, without the involvement of legal professionals. eBay , for example, will remove listings of such products even in countries where their purchase and use is not against the law. * Manufacturers may refuse to supply distributors and retailers (and with commercial products, customers) that trade in grey-market goods. * They may also more broadly limit supplies in markets where prices are low. Manufacturers may refuse to honour the warranty of an item purchased from grey-market sources, on the grounds that the higher price on the non-grey market reflects a higher level of service even though the manufacturer does of course control their own prices to distributors. * Alternatively, they may provide the warranty service only from the manufacturer’s subsidiary in the intended country of import, not the diverted third country where the grey goods are ultimately sold by the distributor or retailer. This response to the grey market is especially evident in electronics goods. Identifying the Grey Market Product * Manufacturers may give the same item different model numbers in different countries, even though the functions of the item are identical, so that they can identify grey imports. * Manufacturers can also use batch codes to enable similar tracing of grey imports. Parallel market importers often de-code the product in order to avoid the identification of the supplier. In the United States, courts have decided that decoding which blemishes the product is a material alteration, rendering the product infringed. Parallel market importers have worked around this limitation by developing new removal techniques. * The development of  DVD region codes, and equivalent  regional-lockout  techniques in other media, are examples of technological features designed to limit the flow of goods between national markets, effectively fighting the grey market that would otherwise develop. This enables movie studios and other content creators to charge more for the same product in one market than in another or alternatively withhold the product from some markets for a particular time. ————————————————- Five reasons for not buying a grey market product ————————————————- ————————————————- The grey market holds a lot of attraction for a number of people looking for tech products. In many cases, it provides people with products that have not been officially released in their countries (consider the iPad) and in others, allows them to buy a product at a much lower rate – a grey market iPhone 3GS for instance comes for around Rs 28,000 as compared to its prim and proper counterpart, which costs in the vicinity of Rs 35,000. However, making a purchase from the grey market comes with its own set of pitfalls, some of which can be significant. Here’s a look at five of the biggest ones. 1. No assurance of authenticity:   No matter how well you know the dealer from whom you have bought the product, you have virtually any way of knowing that what you have got is a genuine, first-hand article. There is a chance that you might end up with a second-hand product that has been repackaged. 2. Absence of warranty and support:  Products purchased from the grey market are not covered by official warranty and support. So the Lord help you if something goes wrong with it – you will have to head right back to the grey market to get it repaired, without any assurance whatsoever that things will be fine. 3. No updates:  In the case of many grey market products, software updates are simply not possible. You therefore run the risk of not getting the latest improvements the company might have made to a product. Many people using pirated versions of Windows have been unable to install the special packages Microsoft released for the software. 4. Limited functionality:  A number of products will work only with limited functionality if you purchase them from â€Å"unofficial† sources. For example, those who have purchased their PS3 from the grey market might have trouble playing games online. You read "Grey Market" in category "Papers" 5. No receipt:  A grey market purchase being not strictly legal, you are unlikely to get a proper receipt for your product, which effectively prevents you from showing it in your accounts, when you head to the taxman to show your revenues and expenses. The Darker Shades of the Grey Market The grey market has long been an issue for manufacturers and their retailers, but the problem has grown exponentially because of the Internet. The simple definition of the grey market is â€Å"the sale of products by unauthorized dealers, frequently at discounted prices. † Grey market worries go way beyond the scuba industry. It is a global issue for manufacturers as large as Sony, Hewlett-Packard and Xerox, and a major worry for retailers as sophisticated as Best Buy. It is also a problem within numerous industries, some of which you wouldn’t guess. For example, broadcasting has its grey market resellers of Dish Network and DIRECTV. And consider the wine business — for marketing purposes wine is sold for much less money in parts of Europe. Because of the price disparity it is possible to buy wine from an authorized distributor, say in France, and resell it in the United States, often for less than the wholesale price of a U. S. authorized distributor. No, the scuba equipment industry is not uniquely paranoid. You are not alone in your concernsGrey market goods are not necessarily illegal, so some ask, â€Å"What is the harm, especially when consumers can benefit from lower prices? † The answer is that the grey market undermines normal distribution channels. It does this in a number of ways. The most obvious is that products that are diverted to unauthorized resellers usually end up competing with a manufacturer’s legitimate dealers with substantially lower prices. This devalues the products, reduces everyone’s profits, and alienates the manufacturers’ dealers. It also puts the manufacturers’ network of dealers, and thus the manufacturers’ future distribution, at risk. Pricing is a big issue. The argument that lower prices benefit consumers is grossly incorrect. In a service business the grey market winds up hurting everyone, including the consumer. As price cutting gets out of hand and retailers have to compete with price their margins suffer. Consider that, as a general rule, a 10 percent reduction in a retailer’s gross profit requires the retailer to sell to 50 percent more customers to earn the same profit dollars. In a specialty business like scuba that increase is near impossible to achieve. The grey market puts the business of the legitimate dealers in jeopardy. That pressure goes up the line to the manufacturers who are forced to watch their dealer base dwindle, and/or make concessions to dealers to help them compete. Then manufacturer margins suffer. In diving, many companies work on slim net margins, so when the gross margins suffer†¦. Let’s put the price and margin factors aside for a moment. Another large issue is that since manufacturers have no control over unauthorized dealers, products and brands can be devalued not just from (the consumer’s perception that results from the) low pricing, but because of negative issues surrounding consumer protection, product integrity, service and warranties, and recall notifications. In short, when a manufacturer loses control of its distribution, negative consumer experiences can damage the goodwill and reputation of a brand. And finally, a manufacturer’s product pricing structure includes its costs for marketing, promotion, product research and development, product liability and regulatory compliance. Although unauthorized resellers benefit from selling the products, they do not contribute to these expenses. It’s a very important consideration that for consumers, the scuba business is as much about service as it is about equipment. The service component becomes such a tangible part of every product’s retail price. The profit represents no less than your consumers’ access to this sport. And anyone who thinks that price is the pressing issue for our customers doesn’t understand the importance of service in the consumer’s perception of a product’s value. In other words, in this business consumers expect retailers to supply them all of the other (including the social) aspects of the sport. Of course, there’s a limit to that loyalty when it’s tested by low grey market prices. In short, anyone who thinks that the grey market’s lower prices are good for consumers is wrong. It’s a Tactical Issue Unauthorized dealers acquire products in a number of ways. In scuba, as in the wine example above, much of the product comes from overseas, where favorable exchange rates or pricing structures make America an attractive market. Unauthorized dealers also work to acquire product from sources within the authorized dealer network. I would like to emphasize again that people in the diving business tend to see their industry as paranoid, too provincial, too protective of retailers. But you are not. In fact, in all industries afflicted by the grey market, concerned manufacturers use a number of tactics to fight those sales. In the electronics industry, for example, Sony and many others won’t honor the warranty on products bought through the grey market. The U. S. division of Nikon goes further. They will only service products that are purchased through an authorized retailer. It declines grey-market repairs even if a customer is willing to pay for them. Another lever that manufacturers use is the threat of prosecution of trademark laws to restrict advertisements for the products. So when grey market products are advertised on Web sites it is possible to petition for removal of advertisements that violate trademark or copyright laws. Our business, Net Enforcers, has been helping companies combat grey-market distribution of their wares. We understand the darker sides of the grey market because we work in a number of industries for some very large companies like Samsung and Sony as well as for many of the manufacturers in the scuba industry. The companies hire us as a private police force to monitor Web sites for illegal use of product photography, copyrighted product descriptions, trademark logos and branding material. We also look for false or fraudulent statements of warranty or statements to the effect that the manufacturer supports the product they sell. We’re the plumbers, finding leaks in the distribution pipes through sophisticated methods of investigation. When we find sites that we suspect are illegitimate, we issue takedown notices, a method of copyright enforcement that compels Internet service providers to pull suspected copyright infringements. The purpose of this piece is to explain the problem that the grey market has become in many industries and why you are right to be concerned about it, and to encourage your industry to continue working to keep it in check. This s especially critical because the dive business is so safety- and service-oriented, and its retailers create diving’s customers. It’s why maintaining the integrity of brands, products and pricing requires an especially strong commitment to stay within the proper distribution channels. PRESENCE OF GREY MARKET: Grey Market is present in many industries. Some of them are: * Automobiles * Cell phones * Computer games * Pharmaceuticals * Pianos * Photographic equipment * Broadcasting * With securities * IPO * Electronics * Textbooks How to cite Grey Market, Papers

Role of Corporate Governance Control and Management

Question: Discuss about theRole of Corporate Governancefor Control and Management. Answer: Strengths and Weaknesses of the Market-Based System of Corporate Governance Corporate governance can be defined as the control and management system of organization based on some principles and best practices in this field. Corporate governance provides rules and proper framework of control by which both shareholders as well as partners can be managed. No corporate governance is perfect. There are many strengths and weaknesses in every countrys corporate governance (Jeffers, 2005). The strengths and weaknesses of Anglo countries such as the United Kingdom, the USA and New Zealand are as follows: Strength and Weaknesses of Corporate Governance in Anglo Countries: Strengths- The U.S. system has ability to fill the gaps in conditional contracts and resolve the agency problems. The management system of U.S. does a good job of policing efforts to switch corporate efforts to their own uses. The laws of U.S. have rules to protect minority shareholders from misuse. In UK, there is Cadbury model and report which ensures the quality of information provided by both of the parties. The guidance of UK has played important role for the investors to understand board structure and composition (Mallin, 2006). Weakness- Although U.S. system is doing good job but it provides mixed result. Because of mixed policies, investors are facing problems in public companies. Along with this, U.S. system is working poorly in terms of controlling agency costs. The U.S. system is much depending on share market rather than banks and this is the reason of political issues. Succession issues may be a major problem. Sometimes corporate governance cannot be successful in some areas. The weakness of New Zealand and UKs corporate governance is that it is failure to focus on the critical issues such as social and environmental issues (Martynova Renneboog, 2011). Comparison Between European and Asian Relationship-Based Insider Systems and the Market-Based System European and Asian relationship-based System Vs Market-based System (advantage): There are wider group of stakeholders in European and Asian relationship-based System which are actively recognized. It includes customers, stakeholders, suppliers, banks and local communities. On the other hand, market based system has priority of market regulation (Maassen, 2002). European and Asian relationship-based System represents the diverse interests on the board of directors while market based system represents transitory interest of owner. European and Asian relationship-based System establishes close relationship with banks which provides stable finance while there is the absence of close relationship between shareholders and management in Market based system (FRANKS MAYER, 2002). The European and Asian relationship-based System has inert-corporate shareholdings which provide stability of ownership. On the other hand, in the Market based system, there is an existence of an active market for corporate control. Shareholders have rights over the organizational group (The Institute of Chartered Accountants of New Zealand, 2003). European and Asian Relationship-Based System Vs Market Based System (disadvantage) : The European and Asian relationship-based System is regulated by the securities market which is weak. While the Market based system is regulated by the banks and outsiders which is risky. Corporate control market is weak in European and Asian relationship-based System and there is a risk of takeover of poor performing companies. On the other hand, in the Market based model, the owners of the organizations are outsiders so there is a lack of direct monitoring (Hanson, L., Lorsch, W. J., Wharton, C. R., 2016). There is a lack of development of institutional investors and financially stable banks in European and Asian relationship-based System and in Market- based system, there is low diversification opportunities because of outsider owners. There is a lack of public disclosure of information in European and Asian relationship-based System and there is less control of insider management on the organization. Minority groups are exercising control because of shareholders agreement and voting restrictions in European and Asian relationship-based System. On the other hand, there can be conflicts in the shareholders because of voting rights. The inter-locking business network can be the cause of complacency more than competitiveness in European and Asian relationship-based System and there can be competitiveness among the shareholders for the ownership in Market based System. UK FRC Corporate Governance Code The UK FRC Corporate Governance Code is valuable in that it demonstrates the way that governance has developed in most jurisdictions using the Anglo-American model, including New Zealand. There is a case given in the question. In the case, there are three points in the board composition of the company. Those points are as follows: The board chair is a non-executive director who holds a 25 percent shareholding in the company: This structure does not comply with components of the FRC Code because according to the UK FRC code, there should be at least two non-executive directors in the company. The board chair cannot be a non-executive director because he or she must be an independent person. Apart from this, according to the UK FRC code, they must be independent member of the company and they can hold any share in the company. Four of the board members are executive directors including the CEO and the CFO: According to the UK FRC code, there must be at least three to four executive directors. According to the UK FRC code, CEO and CFO can be the executive directors in the company (FMA, 2016). The board has one sub-committee an audit committee with three members. This includes the board chair, an independent director and the CFO, who is able to provide specific information about the company: The Company is using defined and described structure of auditing committee. It is not mentioned in the FRC code i.e. the board should establish an audit committee of at least three, or in the case of smaller companies1 two, members. The company chairman may be a member of, but not chair, the committee in addition to the independent non-executive directors. Along with this, the board should satisfy itself that at least one member of the audit committee has recent and relevant financial experience. Comparison Between UK FRC Code with the New Zealand FMA Principles and Guidelines The UK FRC code is based on the expected actions and behavior of the board of directors within an organization. The FRC code sets out the best practices for some issues such as leadership, effectiveness, accountability, remuneration, and relation with the shareholders. This FRC code is based on the behavior of the board of directors of the company. On the other hand, FMA Principles and Guidelines are based on the ethical standard. The aim of the FMA Principles and Guidelines is that directors should set high standards of ethical behavior and hold the management ethically. Both the principles and practices can be compared on some points and those are as follows: Board Composition and Performance: According to the UK FRC, there should be a clear vision by the head of the company. There should be executive responsibilities for the running of the business. On the other hand, according to the FMA Principles and Guidelines, there should be ethical standards which have to be set by the directors of the company. In the FRC code, the chairman is responsible for leadership of the board and ensuring its effectiveness on all aspects of its role. On the other hand, in FMA Principles and Guidelines director should be responsible for the business operation of the company. The board in the FRC code should meet sufficiently regularly to discharge its duties effectively. There should be a formal schedule of matters specifically reserved for its decision. While in FMA Principles and Guidelines, every issuers board should have an appropriate balance of executive and non-executive directors, and should include directors who meet formal criteria for independent directors. In the FRC code, the roles of chairman and chief executive should not be exercised by the same individual. The division of responsibilities between the chairman and chief executive should be clearly established, set out in writing and agreed by the board and in the FMA Principles and Guidelines, all directors should, except as permitted by law and disclosed to shareholders, act in the best interests of the entity (Stephen layburn, 2015). References Deloitte, (2016). FRC consults on changes to the UK corporate Governance code. Retrieved on 3rd November 2016 https://www2.deloitte.com/content/dam/Deloitte/uk/Documents/audit/deloitte-uk-audit-governance-in-brief-frc-consults-april-2014.pdf (2016). Corporate Governance in new zealand. Retrieved on 3rd November 2016 from https://fma.govt.nz/assets/Reports/141201-FMA-Corporate-Governance-Handbook-Principles-and-Guidelines2014.pdf J., MAYER, C., (2002). Corporate Governance in the UK Contrasted with the us system. Retrieved on 3rd November 2016 from file:///C:/Users/Guest/Downloads/Forum302-focus3.pdf FRC News. (2016). UK Corporate Governance Code. Retrieved on 3rd November 2016 from https://www.frc.org.uk/Our-Work/Codes-Standards/Corporate-governance/UK-Corporate-Governance-Code.aspx Hanson, L., Lorsch, W. J., Wharton, C. R., (2016). Rating the corporate governance compact. Retrieved on 3rd November 2016 from https://hbr.org/1991/11/advice-and-dissent-rating-the-corporate-governance-compact Jeffers, E. (2005). Corporate governance: Toward converging models?, Global Finance Journal. Volume 16, Issue 2, p. 225. Lockhart, J., Crow, , (2014). Corporate Governance issues in New Zealand and Australia. Retrieved on 3rd November 2016 from https://ethicalboardroom.com/global-news/corporate-governance-issues-new-zealand-australia/ Maassen, G.F. (2002). An International Comparison of Corporate Governance Models. Retrieved on 3rd November 2016 from file:///C:/Users/Guest/Downloads/Maassen_9789090125916.pdf Mallin, C. (2006). International corporative governance: a case study approach, Northampton, Massachusetts. USA: Edward Eldar Publishing Ltd. Martynova, M., Renneboog, L. (2011). Evidence on the international evolution and convergence of corporate governance regulations,:Journal of Corporate Finance. Volume 17, Issue 5, p. 1542. Stephen layburn. (2015). Corporate Governance in New Zealand Revised Principles and Guidelines from the FMA. Retrieved on 3rd November 2016 from https://stephenlayburn.co.nz/corporate-governance-in-new-zealand-principles-and-guidelines The Institute of Chartered Accountants of New Zealand. (2003). Submission to the securities commission corporate governance principles. Retrieved on 3rd November 2016 from https://www.ecgi.org/codes/documents/grsccgr.pdf