Current Event Alcohol Essay Example for Free

Current Event Alcohol Essay This article is very surprising in the fact that the understanding of binge drinking is changing. It has been apparent for some time now that excessively drinking has been a problem but it is now under the microscope of having a positive light to the young population. This study had articulated how binge drinking is being looked at and what is changing across student college campuses. The article was based within a college campus, they were studying who or why college students binge drink. They found that students that are perceived as being â€Å"high status† are socially connected and mentally happier. On the other hand those that are considered â€Å"low-status† were deemed to not being as happy, especially in terms of the satisfaction of their college life. This study is trying to show college students correlation with alcohol and what may be happening as a whole within a certain community. As college students we are known to have very high stress, alcohol, is said to help lower this stress. The national institute on alcohol abuse says,†over 400,00 students between the ags of 18 and 24 had unprotected sex as a result of their drinking† all of these statistics are worrisome. It is hard to understand why this is becoming such a problem but as it is described here, it can be directly associated with peer pressure and failure of education about the matter. Binge drinking is a major problem within our society. Even though this article is only from one university it can be multiplied and used to inform and educate other universities across the United States. If we don’t understand the effects it is making now we will not be able to control the future generations. This is particularly close to family ties considering many young adults are dying every year from excess drinking. From the article they state that, â€Å"1,700 college student deaths can be attributed to excessive drinking. † This statistic alone proves that it is a problem that could be prevented with proper education or different drinking laws. The culture within the United States put such a high emphasis on drinking. We learned and talked about how when something is illegal it makes more people want to try it or use the certain substance, I believe this can be directly connected with alcohol in teens and young adults. It I no urprise to me that the statistic of those that are classified as binge drinkers is so high, they say it is â€Å"peer pressure at its finest†, but I wouldn’t only correlate it to be from that but also from our; parents, educators, and role models not creating a clear understanding of how dangerous it can be and is. I agree with their statement that, †we want to make clear that we believe binge drinking is a really dangerous and ultimately self destructive behavior, and that a social power structure that promotes this is a bad thing†. This sentence really amplifies the need for change. This article is almost making a plea for people to understand and have knowledge of this subject. It has been passed over and if we don’t stop this power trip alcohol is having on young adults we wont realize when we have changed the older generation of society as a whole. On the other hand I believe since this was only done within one small university, in order to have collected and statistic information more studies would need to be done to find an average across the United States. This article was an eye opener for me to some of the crazy statistics that are out there and primarily tied to the use of alcohol. This study is only one example of how alcohol is affecting our society. It may makes some college students happier about their college experience but in the long run it will catch up to you and hurt not only yourself but those around you, as we have talked about this many times in class. Overall I would hope you evaluate your own personal decision and decide what is your best option. Don’t let other dictate how you should live or what they think is the best way to live.

The Key Resources In Management Information System Information Technology Essay

The Key Resources In Management Information System Information Technology Essay Information is defined as a fact that has been processed and organized in to a meaningful knowledge. It is a message that were received and understood and a knowledge that acquired through study, experience and instruction. Information also can be identify as concept that has many meanings, from everyday usage to the technical settings. The concept of information is closely related to notions of constraint, control, data instruction, and knowledge. Information has its own value and it can be very valuable when it is delivered at the right time, the right place and to the right person that need it. For an example, an investor can use the information about current economy to invest in a profitable business. If they got the wrong information about the business as they invest in a company that is almost bankrupt and they didnt know about it, they might loss and lose their money. Next information also is a very valuable asset in business field because it can determined whether an organization will make profit or loss. This is because any confidential information related to a company can be used against if the information fall into the wrong hand such as their competitor. So, information can be so powerful. A valuable information have several characteristic. This characteristic can show how much value the information is. There is the example of a valuable informations characteristic: Accessible A valuable information can be easily access by the authorized users so that it can be obtained when it is needed. Accurate The information must be accurate because it it will be used to support decision maker. If the information is inaccurate, its also will cause a wrong decision making. Complete It is contained with all the important fact. This can support in decision making too. Flexible The information can be used for a variety purpose so it can be a multipurpose information Reliable The information come from a reliable rsource and can be trusted by user. Secure It is only can be accessed by an authorized user. Timely The information can be obtained when it is needed. Verifiable The information is confirmed by many sources. Information give a lot of advantages to the users. It can be used in a meaningful way needed by the users. The advantages of information include: Support decision making A useful information will support in the decision making made by the user. It will help with the accuracy of the information that can be used by the user to make a decision. For an example, a person can make a wise choice in buying a peanut butter from two different brand by knowing both of the products price.. A Guide for a better planning and control It can be a good guildliness for making activities or control a performance of a work. For an example, a certain rules and policy is made to be followed by a companys staff to maintain or increase their production. Enhance knowledge and skills The advantages of an information is it can enhance users skill and knowledge by provide an information such as tutorial, instruction and guidelines. For an example, a musician can enhance their skills by learn from a tutorial video from Youtube.com. Besides advantages, an information also have their disadvantages. It is: Information overload Too much information can be a problem for user because there are too many information that cannot be handled and the reliability and the accuracy is unknown. Overemphasize decision making Information can overemphasize users judgement in making their decision if it is too much of information. It also can disturb users rational in making their decision especially in a critical and pressure circumstances. Unanticipated effects The decision made by the user that based on an information may have an unpredictable result. For an example, a fisherman decide to go to the sea because the weather forecast said the day will be fine. But, on the day he go to the sea, it was unpredicted rain happen. Information technology Information technology can be defined as a study, design, development, implementation, support or management of computer-based information system, particularly software applications and computer hardware. Information technology also deals with the use of computer and computer software to securely convert, store, protect, process, transmit, input, output and retrieve information. In other words, Information Technology is a work that involve with electronic devices such as computer, hardware and software. Advantages of Information Technology: Globalization IT has brought the world closer together and allowed the worlds economy to become a single interdependent system. Thats mean, we can share any information quickly and efficiently and we also can reduce the barriers of linguistic and geographic boundaries among countries. Communication With information technology, communication has become cheaper, quickerade more efficient. Nowadays, we can communicate with anyone, anywhere in the world just by text message, e-mail, web chatting and video conferencing. Cost effectiveness IT has helped to computerize the business process thus streaming business and make them extremely cost effectivemoney making machine. This can increase the productivity and make profits. Bridging the cultural gap Information technology has helped to bridge the cultural gap by helping people from different cultures to communicate with one another, and allow for the exchange of views and ideas. More time IT has made it possible for businesses to be open 24 hours a week, all over the world and also allowed us to make purchases from different countries easier and it is convenient. Moreover, you can have your goods delivered right to your doorstep with having to move a single muscle by using IT such as E-commerce. Creation of new jobs the best advantage of information technology is it create a lot of new and interesting jobs. The example of the new job creation is like computer programmers, systems analyzers, hardware and software developers and also web designers. Disadvantages of Information Technology: Unemployment While information technology have streamlined the business process, it also has crated job redundancies, downsizing and outsourcing. Its means that a lot of lower and middle level jobs have been done by using technology such as computer and machine and its causing more people to become unemployed. Privacy Information technology may have made communication quicker, easier and more convenient. But it has also bought along privacy issues. From cell phone signal interceptions to email hacking, people are now worried about their private information becoming public knowledge. Lack of job security Industry experts believe that the internet has made job security as a big issue since technology keeps on changing with every day. It means that a person has to be in a constant learning mode to make sure their job is secure. Dominant culture Information technology may have made the world a global village, but it has also contributed to a culture dominating another week culture. For an example, we can see now that young teenagers all over the world has been influences by the west cultural such as their acting, dress up and behaviour. Their languages also have become overshadowed, when English becoming the primary mode of communication for business and everything else. People People also have their role in the management information system. People are needed to manage the information and the information technology. They can process the information in a way that the computers cannot do. This is because they have a different way of thinking by considering many element before making a decision. The role of people: Resercher People become a researcher when they read any information, process, and use it to find a solution for a problem. For an example, a scientist make a research to find a cure for H1N1 virus. Contributor People can contribute and share the information that they have for goods. They contribute may have been the most important thing to something that they are contributing to. For an example, a motivator share his knowledge about stress management to a companys staff. It is important for the staff because they can do their work without stress and this can increase their productivities. Founder People can be a founder by manipulating information and turn it into a new foundation. They process old information and come out with a new information. This is important because we need to update and advancing our knowledge and information. People also have their advantage and disadvantages. It is: Advantage Sharing information People can share and exchange their information with each other to enhance their knowledge. By knowledge sharing, one can improve they thinking way and lead to a positive decision making and also lead to a positive result. Manage information People can manage their information to a meaningful and creative way different from computers. People also know when and how to use the information according to the circumstances. Create information People can create new information by doing a research. They can come out with more useful information Analysis information People can analysis any infotmation instantly and wisely. This can help them to make a quick decision making. Disadvantages Misuse of information Misuse of information can happen when the information is used by people in a wrong way. For a example, people use the information in hand to cause problem such as a computer-intelligence use their expertise to scam people using online business. Leak of information Leak of information can happen when the people incharged is not doing their job or leak the information themselves. This happen a lot in business field when the business information of a company was leaked to their competitor. This cause the company loss their profits. So, from all of the 3 key resources above, it is decided that information is the most important key because it is the base for Information technology and people. Without information, IT will have no use and people cannot make a wise decision in their life. This is because without information, technology cannot develop by itself. They need to use information to create and develop any new technology. Information nowadays have its own price. For examples, a company is buying information from an outsourcing company to increase their productivity and also their profits. People also is buying information such as newspaper, magazine and educational books. Information also is very valuable when it comes to the right time, right place and to the right person. It can be use to assist in support decision making especially in an emergency situation . And for the least important between the 3 key resources is people. This is because people can make mistakes in using the information and that can cause a very big problem. Next, people is easy to influenced by other element such as emotion in making a decision. This can make them choose a wrong or inaccurate decision. Then, all the skill, experience, expertise, and knowledge that a person have, cannot be backup. If something happen such a death, the informations will lose. Problem that we have nowadays is not many people have a skills required by a company to hire them such as skills in computer-based and others. This will make the employer hard to hire them and it will cost them a lot more money to send the staff for training or take a course. So here, people are the least important element in managemt information system challenge.

The Sense Of Community Cohesion In Britain Sociology Essay

The Sense Of Community Cohesion In Britain Sociology Essay Socio-anthropologists hold the opinion that people think, feel and act in certain ways based on the environment in which they have grown. The environment in this context could be inferred as the community that has influence their make-up or identity. In recent times, public debates in the media by politicians, journalists, experts and other stakeholders have focused on what is or constitute being British. These debates have sharply bordered on socio-religious identities, and raised questions such as: Does religious beliefs supersede community bonding? To what extent is ones loyalty to the community in which one lives?. Other debates have been on profiling and condemnation of racially motivated violence and harassment, a hand wringing debate on institutional racism following the publication in 1999 of the Macpherson Report into the death of Stephen Lawrence (Amin, 2002). Government policies and legislatives on equal opportunity to highlight awareness of sense of community, presuppose that the very fabric of the concept of community is weakened and threatened in our contemporary Britain. Community is A body of people having common rights, privileges, or interests, or living in the same place under the same laws and regulations (http://www.brainyquote.com/words/co/community146100.html) The meaning of the word Community has changed over the years. Smith (2001)explores the theory of community in the article entitled Community and highlighted on why the attention on social capital and community may be important. the use of the term community has remained to some extent associated with the hope and the wish of reviving once more the closer, warmer, more harmonious type of bonds between people vaguely attributed to past ages (Elias 1974, quoted by Hoggett 1997: 5). People lived in groups sharing faith, religion and other social norms during pre industrialization era. Community was redefined after this when people became workers in industries. They were many studies about community in the middle of the 20th century leading a deeper analysis of the term. The free Dictionary however defines individualism as a belief in the importance of the individual and the virtue of self-reliance and personal independence. This definition  highlights on the word belief anything held as true. Thus in this context the individuals opinion is held in high esteem and supplants that of any others. Hofstede (1991) in his cultural dimensions describes individualism as pertains to societies in which the ties between individuals are loose: everyone is expected to look after himself or herself and his or her immediate family. Hofstede scaled Britain on high individualism index of 89, and that people thinks in terms of I and not We. Researchers found that Britain was the most individualistic society in the world one that valued the self over the group more than any other country.(Richard A, 2009) According to the Kwintessential website certain traits are common to countries that have high individualism. personal goals and achievement are strived for, it is acceptable to pursue individual goals at the expense of others, individualism is encouraged whether it be personality, clothes or music tastes and finally the right of the individual reign supreme; thus laws to protect choices and freedom of speech. (http://www.kwintessential.co.uk/intercultural/individualism.html) A recent report for the Childrens Society highlights the above facts. Leading experts today identify excessive individualism as the greatest threat to our children. In a landmark report on A Good Childhood, commissioned by The Childrens Society and published by Penguin, they show that childrens lives have become more difficult than in the past, and they trace this to excessive individualism. (http://www.childrenssociety.org.uk/whats_happening/media_office/latest_news/14758_news.html) Other organisations like Joseph Rowntree Foundation have express the fear over the changes that are taking place in Britain. They have classified excessive individualism as a social evil. The JRFs recent public consultation revealed a strong sense of unease about some of the changes shaping British society. This Viewpoint continues the discussion about modern social evils on the theme of inequality. Chris Creegan argues that until we can reconcile the problems of excessive individualism, consumerism and greed at the heart of contemporary society, life opportunities will continue to be lost, limited and wasted. (Creegan C, 2008) To enable all different groups to get on well in all communities, community cohesion should take place. A cohesive community is one that affords the people in the community knowledge of their rights and responsibilities. People from different backgrounds in this community should have similar opportunities. They must also trust their local institutions like the police and the courts. They should believe that the local council will offer fair services to all in the community and not for instance place all new immigrants looking for accommodation from social landlords into areas that are deprived and unwanted by the rest of the community. The community must recognize the contributions of both new arrivals and those already settled and not be intimidated by the change it brings. A typical example is the arrival of the Polish immigrants. Some people in Britain could not recognize the skills, experience and knowledge they brought to the nation but rather were fearful that they had taken jobs from the British. Also, that there are positive relationships between people of different backgrounds at school, work and home. According to Ted Cantle Community cohesion à ¢Ã¢â€š ¬Ã‚ ¦ isà ¢Ã¢â€š ¬Ã‚ ¦micro-communitiesà ¢Ã¢â€š ¬Ã‚ ¦mesh into an integrated whole. These divided communities would need to develop common goals and a shared vision (Home Office, 2001b: 70). In his recommendations, Cantle draws on the importance and the need for Social networks and social capital, social order and social control, social solidarity and reductions in wealth disparities. Worley (2005) also demonstrates how the concept of   community is vi tal to the community  cohesion, and suggests that whilst the  concept of community is highly ambiguous, it has continuing significance in New Labour policymaking.   Excessive Individualism is concerned with each one for him/herself and God for us all and therefore undermines the sense of community cohesion in Britain. People have become increasingly self-reliant. Families are not so extended anymore but reliant on one, two or the most three people. People are not in contact so much with their relatives and tend to rely on their immediate family only. Family homes are acquired to accommodate the immediate family and not the extended family. People hire child minder, nannies and do not rely so much on their relative anymore. Everyone aspires to be rich or amass wealth that will meet his and her families needs. Some researchers have even blamed the recession on individualism. From the public consultation we did last year, there was a strong sense that the decline of community has corresponded with a rise in individualism. Participants suggested that people increasingly look after their own individual or family interests without considering the needs of society or the community. (Urwin J, 2008) People are no more interested in what the community achieves but what they the individuals can achieve. Even industries encourage people to be individualist by offering DIY packages which take attention from tradesmen to the individual. Thus a sense of togetherness is non existent. If the advent of industrialization has promoted individualism, then what about information age. Computerization, in terms of games development such Wii, Playstation and Xbox 360 are all means and mediums that does not encourage people to go out and socialize in the community, rather it encourages people to engage with themselves. Online shopping has brought the benefit of purchasing items from the comfort of our homes; however, this goes a long way to kill social interaction. Most social activities are now targeted at the individual in his home. People have become lazy at forming relationships with others especially those who live in urban areas. The East end of London was once a upon a time described as dark in the night and dark in day dark in the day meaning it was not lit up by the middle classs Christianity. That has diminished in todays Britain leaving little bulbs of religion here and there making religion or faith very individualistic.And yet the old east end is often held up as the epitome of community. Peoples values vary and individual behaviour has become very personal and cant be corrected by community as before. You cant correct other peoples children without being murdered or abused. Everyone keeps themselves to themselves and its hard to get to know your neighbours. There are some very sweeping generalizations in these preceding statements they referencing or at least phrased with greater nuance. This is what happened in Oldham, Burnley and Bradford when communities lived in different areas went to different schools and had little to do with each other. Whilst the physical segregation of housing estates and inner city areas came as no surprise, the team was particularly struck by the depth of polarisation of our towns and cities. The extent to which these physical divisions were compounded by so many other aspects of our daily lives, was very evident. Separate educational arrangements, community and voluntary bodies, employment, places of worship, language, social and cultural networks, means that many communities operate on the basis of a series of parallel lives. (Independent Review Team, 2001; 9) Peoples inability to relate to others goes a long way to affect community cohesion. It creates fear, tensions and misunderstanding which is what was experienced in Bradford, Burnley and Oldham. Fears about the overwhelming and negative effect of diversity on social cohesion and national identity have been expressed by journalists and policy makers alike. For example, David Goodhart, the editor of The Prospect, targeted his February 2004 article at the detrimental impact of ethnic diversity in modern Britain on the sense of community and solidarity among citizens, and on the viability of the British welfare state (Goodhart 2004), while Trevor Philips, Chair of the Commission for Racial Equality, reiterated this argument by stressing the need for strengthening common values and core Britishness (Baldwin and Rozenberg 2004). (http://www.nuff.ox.ac.uk/Politics/papers/2005/NLetki_social%20capital%20and%20diversity_final.pdf) This paragraph is all a quote authors citing other authors. It needs some link to your argument pulling out those elements that directly bear on it. Having said all of the above, community cohesion issues are multifaceted and function differently in specific areas. There are many parts to building community cohesion, from tackling inequalities to developing peoples understanding and tolerance of others. (http://www.nottinghamcity.gov.uk/index.aspx?articleid=2627) Excessive individualism is not the only factor that works against community cohesion. There are other factors like integration which needs to happen for new residents and existing residents to understand and accept one another. In the Cantle report the issue of intergration came up and the comments were as follows: The other problematic issue is that of levels of integration/segregation. Again there is a perception within the established white community that minority communities do not do enough to integrate into what they see as British culture or society, instead forming a separate community (a view which seems at odds with the observed white flight when such integration is attempted). Yet to an extent segregation will always occur through choice- whether naturally gravitating towards people who share your views or seeking minority-specific facilities such as places of worship or particular shops and services that would not be financially viable in a more dispersed community- and this is not necessarily a cause for concern. The Cantle Independant Review team notes: (Wntrmute 2003) A cohesive community must also have the ability to create opportunities to bring people together, confront myths and intolerance so that people in the community can realise their full potential. Every area is unique and will therefore face different challenges. Britain has a rich diversity in towns, cities, urban and picturesque villages. Community cohesion must be able to meet the differing needs of its residents before cohesion can be promoted. For community cohesion to function well there needs to a sense of safety. People must feel safe and welcome. There should be jobs so that establish residents do not start to blame new residents of taking their jobs. Social trends have also influenced the experience of poverty within England. For example, unemployment figures are roughly comparable with those of the 1970s, but changes in social structure (more single home owners or single parent families) mean that a greater number of homes lack a source of income. The UK is the only EU country in which households with children are more likely than households without children to include no one with a job. This is attributed to the high proportion of UK lone parents without a job. (from the Social Inclusion National Action Plan) (Wntrmute 2003) Lack of jobs in certain communities in Britain has created a gap of have and half not in communities. Priorities should be given to regenerating run down areas in the community to promote community cohesion. If run down areas are not regenerated residents will start to become bitter and it will create tensions in the community. This will also attract businesses to the area which will in turn impact on the community. The provision of affordable housing will also help promote community cohesion. Housing is recognised as a major determinant of the shape of communities (Independent Review Team, 2001; Home Office, 2001) In communities like Slough where there has been a large in flux of immigrants, there are accusations that local residents are being passed over in social housing. Also, when there is housing, communities do not break up and move away looking for housing elsewhere. In recent times, we have seen young people move away from villages because properties there are too expensive. Residents in the community should also be provided with the opportunities for training for jobs. This will boost confidence and enhance job seeking opportunities. There should be good transport links in the community. This should put the community on the map. Make people get to places quickly and conveniently. Give access to shops and amenities. There should be good environmental improvement which will enhance communities. An insert of cultural and leisure facilities should aid the promotion of a cohesive community. Cultural and community centres which promote belonging. Britain is now made up of people from different backgrounds and for them to get on well together community cohesion must happen. This will however, be difficult if excessive individualism is prevalent. Having said that, community cohesion cannot be undermined by excessive individualism alone other factors like housing, poverty, race etc are contributing factors. . .

The Pros and Cons of Free Trade Essay -- Free Trade Tarriff Duty Tradi

The Pros and Cons of Free Trade Free trade is exchange of goods and commodities between parties without the enforcement of tariffs or duties. The trading of goods between people, communities, and nations is not an innovative economic practice. Nations are however the main element within a free trade agreement. By examining free trade through three different political ideologies: Liberal, Nationalistic, and Marxist approaches, the advantages and disadvantages will become apparent. Theses three ideologies offer the best evaluation of free trade from three different perspectives. The fundamental component for a liberal political economy is the concept that there be no interference from the government or any other outside source. It is this ‘laissez-faire’ approach that enables the liberal political economy to create what is known as a division of labour. Within this division of labour there are individuals who manufacture goods and those who manage goods. It is the latter however, that end up with the most capital in the long run. The advantage of free trade from a liberal perspective is the ability of the minority controlling the goods to ascertain more wealth than the majority manufacturing the goods. What Smith’s perspective does not take into account is why nations with more low-level workers are less prosperous than nations with more advanced means of production. Nations that have advanced technologically are better off because their means of production allow for more production from less workers, but cost more and are less appe aling to those in control. This element relates directly to the disadvantage of a liberal perspective. While the rich become more affluent and cheaper workers are available in struggli... ...ne is treated equally. The advantage within free trade from a Marxist perspective is poorer nations are allowed the same opportunities as the richer nations. The disadvantage is that no matter how much one nation produce’s (their effort), they are entitled to the same opportunities. The wealthy and perhaps more productive nations would view this as unfair to them. Free Trade is a beneficial idea if all parties involved, that is, the workers, the state, and the private sector, could be represented equally and justly. Until all three ingredients are given the same chances, each perspective will allow for different advantages and disadvantages. By examining the liberal, nationalistic, and Marxist perspectives individually and in contrast with one another, free trade can be seen as a completely different political economy from one region or nation to the next.

We Need Less Television and More Play Essay -- Media Entertainment Ess

We Need Less Television and More Play In today’s world, society’s focus is not getting out in the environment and enjoying nature. The focus is television, cell phones, the internet, and any other means of technology available. Our society needs to stop indulging in technology and start enjoying nature again because too many people are glued to the television several hours a day, planning their day around usage of a computer and/ or their television shows, health concerns are on the rise for these constant viewers who don’t participate in other activities, and all of this absorption of the information age is separating us from nature. We are indeed an information economy, which has many good aspects to it, but we should not be shutting out nature from our lives. The average child watches approximately 3-5 hours of television per day (Department of Education, University of Maine). Our two year olds are watching approximately 3 hours of television pre day! Why are they watching so much? What ever happened to going to the park, playing red rover- red rover, hopscotch, or even TV- tag? The answer lies in the parents of these children. There was a study done to show the reasons why parents do not limit the amount of television their children watch. The most commonly mentioned reasons for which parents are not limiting television are because they need to get work done, they do not want their children to get bored, and that television never hurt their brain so why would it hurt their child’s. The truth is, if television is watched enough it does hurt your child’s brain, impacting neurological development. Thinking skills, imagination, attention span, reading abilities, and speaking skills in a child decrease the more they wa... ...on the brain. Going out in nature, playing games, and going places will allow our future children to develop and will give them the opportunities that they will not have if they spend their lives in front of the television. WORKS CITED: Anderson, Chris and Runciman, Lex. (1995). A forest of voices. Mountain View: Mayfield Publishing Company. Willow Computing (2000). LimiTV, Inc [Electronic version]. Retrieved March 29, 2004, from http://www.limitv.org/ Wellsource Incorporated (2003). Health plus: Watching too much television? [Electronic version]. Retrieved March 30, 2004 from http://vanderbiltowc.wellsource.com/dh/Content.asp?ID=907 American Psychological Association (2004). Public Affairs: Violence on television- What do children learn, what can parents do? [Electronic version]. Retrieved May 5, 2004 from http://www.apa.org/pubinfo/violence.html

Case Study of Bg Group

A. METHODOLOGIES: 1. The Weighted Average Cost of Capital (WACC) Approach: This method offers a wide range of advantages. For instance, the Capital Assets Pricing Model (CAPM) is employed in the calculation of the Cost of Equity. Thus, the discounted rate of 7. 58 percent used in figure 1. 12 Appendix is likely to be precise. The total value of the firm is $4. 73 billion. Nonetheless, in view of the probabilities of forecasting errors in the estimation of cash flows, the degree of precision does not guarantee an accurate result.Another drawback of the approach would be the failure to allow for the impacts of real options available to management on future cash flows. Hence, this method is considered as an alternative for crosschecking. The assumptions are the dividends grow constantly in perpetuity at 3 percent and the debt ratio is also constant at 28. 1 percent. For further analysis, please refer to item 2a and 3c in the Appraisal. 2. The EBIT Multiples Approach: Under this methodol ogy, the debt-equity ratio was not required. Thus, the value of the firm is approximately $4. 3 billion after liquidity discount was taken into account. This yields an insignificantly different result compared to the result under the WACC method. However, since the average EBIT multiples strongly depend on the comparable companies in the industry, reliable information is less likely to be available in practice. Therefore, another approach is employed. 3. Adjusted Present Value (APV) Approach: The APV method is more complicated than two methods mentioned earlier inasmuch as it takes account of unlevered value of the firm and the interest tax shield.Recent complexity of the method notwithstanding, APV provides management with an explicit valuation of interest tax shield and an assumption of constant debt-equity ratio is unnecessary. According to figure 1. 10, the total value of the firm before synergies is $5. 02 billion. Nonetheless, this method ignores the costs of financial distres s, which might lead to an overvaluation of the firm with a significantly high debt ratio. 4. Conclusion: Under different methods employed above, the range of difference appears to be immaterial.Thus, the value of the firm before synergies is expected to be approximately $4. 89 billion on average. For the purpose of consistency, APV method is selected for further analysis of the value of the firm both before and after synergies. B. FINANCIAL ANALYSIS: 1. Free Cash Flows (FCFs) Valuation: The present value of the cash flows is calculated based on the WACC rate and it is estimated at $1. 28 billion. The rate is used by reason of the assumption of different components, for instance cost of equity and cost of debt. For further information of the assumption, please refer to the Appraisal. . Terminal Values and Long-term Growth: The terminal value before synergies is $3. 45 billion whereas this amount after synergies is $8. 36 billion. In details, the synergies revenues and the backhaul sy nergies savings are the major contributors to the significant difference. Additionally, the terminal value represents the market value of free cash flows from AirThread Connections at all future dates. This, thereby, lends the analyst the plausibility to believe that the discounted rate is equal to the WACC rate of 7. 58 percent.Lastly, to be conservative, that is, in the worst scenario, the figure of growth rate obtained in the Appraisal is around 3. 0 percent. 3. Non-operating Investment in Equity Affiliates: This amount of $1. 72 billion is equal to Equity in Earnings of Affiliates times the historic P/E multiple for the industry at 19. 1. These investments are valued under the market multiple approach because a thorough due diligence is not possible to be conducted. 4. Value of Operating Assets: This value is equivalent to the present value of the target company on a going concern basis.It is estimated at $5. 02 billion before the synergies and at $10. 38 billion after the syner gies. However, since the value of non-operating assets is not taken into account, the total value of the target company is not fully reflected. 5. Enterprise Value: The Enterprise value is equal to the sum of the value of operating assets and the value of nonoperating assets. i. Before Synergies: In this case, the synergies related business revenues and the backhaul synergies savings are not considered. The FCFs ppear to be more immaterial accordingly. It, therefore, leads to a lower Intermediate Term Value of $1. 57 billion and a lower Enterprise Value of $6. 74 billion. ii. After Synergies: With the effect of synergies, the FCFs and, thus, the Enterprise Value of $12. 1 billion appear to be more material. Importantly, the significant difference is contributed by the cost-saving efficiency in backhaul costs and the network utilization. Thus, more advantages would occur. Firstly, administrative expenses such as auditing fees are reduced.Secondly, the market share will, in essence, i ncrease and monopoly gains due to large regional client bases from the target company could be expected. The company will be able to set a higher price and to increase a sheer volume of sales. Also, the company will gain more reputation and the cost of capital will be lower accordingly. Lastly, due to its new size, the company will have more bargain power and the relationships with banking entities will be better. Consequently, the cost of borrowing tends to decrease. Case Study of Bg Group A. METHODOLOGIES: 1. The Weighted Average Cost of Capital (WACC) Approach: This method offers a wide range of advantages. For instance, the Capital Assets Pricing Model (CAPM) is employed in the calculation of the Cost of Equity. Thus, the discounted rate of 7. 58 percent used in figure 1. 12 Appendix is likely to be precise. The total value of the firm is $4. 73 billion. Nonetheless, in view of the probabilities of forecasting errors in the estimation of cash flows, the degree of precision does not guarantee an accurate result.Another drawback of the approach would be the failure to allow for the impacts of real options available to management on future cash flows. Hence, this method is considered as an alternative for crosschecking. The assumptions are the dividends grow constantly in perpetuity at 3 percent and the debt ratio is also constant at 28. 1 percent. For further analysis, please refer to item 2a and 3c in the Appraisal. 2. The EBIT Multiples Approach: Under this methodol ogy, the debt-equity ratio was not required. Thus, the value of the firm is approximately $4. 3 billion after liquidity discount was taken into account. This yields an insignificantly different result compared to the result under the WACC method. However, since the average EBIT multiples strongly depend on the comparable companies in the industry, reliable information is less likely to be available in practice. Therefore, another approach is employed. 3. Adjusted Present Value (APV) Approach: The APV method is more complicated than two methods mentioned earlier inasmuch as it takes account of unlevered value of the firm and the interest tax shield.Recent complexity of the method notwithstanding, APV provides management with an explicit valuation of interest tax shield and an assumption of constant debt-equity ratio is unnecessary. According to figure 1. 10, the total value of the firm before synergies is $5. 02 billion. Nonetheless, this method ignores the costs of financial distres s, which might lead to an overvaluation of the firm with a significantly high debt ratio. 4. Conclusion: Under different methods employed above, the range of difference appears to be immaterial.Thus, the value of the firm before synergies is expected to be approximately $4. 89 billion on average. For the purpose of consistency, APV method is selected for further analysis of the value of the firm both before and after synergies. B. FINANCIAL ANALYSIS: 1. Free Cash Flows (FCFs) Valuation: The present value of the cash flows is calculated based on the WACC rate and it is estimated at $1. 28 billion. The rate is used by reason of the assumption of different components, for instance cost of equity and cost of debt. For further information of the assumption, please refer to the Appraisal. . Terminal Values and Long-term Growth: The terminal value before synergies is $3. 45 billion whereas this amount after synergies is $8. 36 billion. In details, the synergies revenues and the backhaul sy nergies savings are the major contributors to the significant difference. Additionally, the terminal value represents the market value of free cash flows from AirThread Connections at all future dates. This, thereby, lends the analyst the plausibility to believe that the discounted rate is equal to the WACC rate of 7. 58 percent.Lastly, to be conservative, that is, in the worst scenario, the figure of growth rate obtained in the Appraisal is around 3. 0 percent. 3. Non-operating Investment in Equity Affiliates: This amount of $1. 72 billion is equal to Equity in Earnings of Affiliates times the historic P/E multiple for the industry at 19. 1. These investments are valued under the market multiple approach because a thorough due diligence is not possible to be conducted. 4. Value of Operating Assets: This value is equivalent to the present value of the target company on a going concern basis.It is estimated at $5. 02 billion before the synergies and at $10. 38 billion after the syner gies. However, since the value of non-operating assets is not taken into account, the total value of the target company is not fully reflected. 5. Enterprise Value: The Enterprise value is equal to the sum of the value of operating assets and the value of nonoperating assets. i. Before Synergies: In this case, the synergies related business revenues and the backhaul synergies savings are not considered. The FCFs ppear to be more immaterial accordingly. It, therefore, leads to a lower Intermediate Term Value of $1. 57 billion and a lower Enterprise Value of $6. 74 billion. ii. After Synergies: With the effect of synergies, the FCFs and, thus, the Enterprise Value of $12. 1 billion appear to be more material. Importantly, the significant difference is contributed by the cost-saving efficiency in backhaul costs and the network utilization. Thus, more advantages would occur. Firstly, administrative expenses such as auditing fees are reduced.Secondly, the market share will, in essence, i ncrease and monopoly gains due to large regional client bases from the target company could be expected. The company will be able to set a higher price and to increase a sheer volume of sales. Also, the company will gain more reputation and the cost of capital will be lower accordingly. Lastly, due to its new size, the company will have more bargain power and the relationships with banking entities will be better. Consequently, the cost of borrowing tends to decrease.

Manifest Destiny Essay

1. The expansionist policies of Thomas Jefferson and James K Polk successfully strengthened the United State economically, domestically and internationally. Although the effects of these policies may not have become apparent within the first couple years following, they have definitely shown how they strengthen the country over time. These expansions of the United States set up the foundation for the future of this country, as well as providing opportunities to many. Proper Nouns: Louisiana Purchase, Treaty of Guadalupe Hidalgo, California, Texas, Manifest Destiny 2. During the 1840s, Manifest Destiny was presented as a progressive â€Å"benevolent movement†, though in truth, it endorsed cultural superiority, aggressive foreign policy, and prolonged the already existing sectional crisis. Proper Nouns: Mexican War, Indian Removal Act, James K. Polk, General Zachary Taylor, Oregon Territory Look more:  manifest destiny essays 3. Between the years 1800-1850, the nation was full of battles and prosperity. Territorial expansion was a reason in most of the battles, but also gained fortune for the nation. There were many impacts on national unity between those time periods, but the main influence was territorial expansion. Proper Nouns: Louisiana Purchase, Thomas Jefferson, Mexican War, Missouri Compromise, Oregon Territory 4. Although victory in the Mexican War added 525,000 square miles of land to the United States, the aftermath excited up debates about sectional interests among New Englanders, westerners, and southerners from 1845-1855. Proper Nouns: Annexation of Texas, Compromise of 1850, Kansas-Nebraska Act, â€Å"popular sovereignty†, Free Soil Party 5. During the 1840s and 1850s, the United States was preoccupied with the fulfillment of new influence in the west and how to settle the status of whether there lands would be free or slave states. As a result of the Mexican War, the U.S. men vast new land holdings in the West, stimulating a debate between the North and South over the extensions of slavery into the West. This sectional trouble over slavery’s extension was a major factor in the eventual inauguration of the Civil War. Through emphasizing divisions between the North and South over the control of Western lands, the debate over slavery’s extension clearly influenced the Civil War’s coming. Proper Nouns: Civil War, Wilmot Proviso, Dred Scott Decision, â€Å"Bleeding Kansas†, John Brown.