Innovation, Creativity, and Enterprise Management at Starbucks

Starbucks holds an enviable position among innovative companies. The coffee chain has an insatiable appetite for innovation. The company is willing to suffer some losses in the near-term to develop superior products in the long-term via incremental innovation. However, the willingness to suffer losses is not what makes the company outstanding.Advertising We will write a custom report sample on Innovation, Creativity, and Enterprise Management at Starbucks specifically for you for only $16.05 $11/page Learn More The company’s wish to pay a high price in pursuit of innovation is what reflects its remarkable feature. This paper uses management tools and frameworks to explore the role that management practices play to support innovation. Specifically, the paper evaluates how Starbucks creates and develops opportunities and how it manages innovation. In addition, the paper explores how this company behaves as an entrepreneurial organisation. Creating a nd Developing Opportunities A number of studies that explore the capacity of entrepreneurs to create and develop opportunities exist. Ardichvili, Cardozo and Ray (2003) contend that entrepreneurs do not create opportunities but rather recognize the presence and emergence of opportunities. In this sense, the authors propose that the main issue to investigate when studying the dynamics of business opportunities is the entrepreneurial capacity to develop, recognize, and evaluate them. In recent times, sustainability has become a major issue in entrepreneurship because of the concerns associated with the deteriorating global environment. Research shows that entrepreneurs who are aware of environmental issues tend to identify and pursue business opportunities in ways that promote sustainable operations. They do not just look at the financial rewards that the opportunity will bring, but also the sustainable features of the business opportunity. The five main factors that drive the process of recognizing and developing business opportunities are â€Å"entrepreneurial alertness, information asymmetry and prior knowledge, social networks, personality traits, and the nature of the business opportunity†.Advertising Looking for report on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Entrepreneurial alertness refers to the ability of an entrepreneur to maintain a high level of awareness in regard to emerging opportunities. If an entrepreneur lacks entrepreneurial alertness, it is difficult for him/her to identify emergent opportunities. Information asymmetry and prior knowledge refer to the knowledgebase of an entrepreneur. At organizational level, this quality is the basis for the emergence of concept of learning organizations. Knowledge makes it possible for entrepreneurs to recognize opportunities when they are still undefined. In addition, it spurs the capacity of the entrepreneur to make the decisi ons needed to transform a business opportunity into a business venture. Social networks play a vital role in the process of recognizing and developing business opportunities because entrepreneurs often need information and resources not currently under their control to pursue business opportunities. It is normal for entrepreneurs to identify opportunities that they cannot develop unless they get assistance from their social network. The personality traits of entrepreneurs also determine how they pursue business opportunities. While all entrepreneurs are risk takers, they have different degrees of risk tolerance. Companies like Starbucks have a greater appetite for risk compared to most of their competitors. This comes from the personalities of the leaders of the firm. One personality issue that may influence the way an entrepreneur handles business opportunities is whether the given entrepreneur is an introvert or an extrovert. In this case, an extroverted entrepreneur has a larger social network to draw support from while an introverted entrepreneur has a smaller list of trusted allies. It could be estimated that Starbucks loves risk as the company believes in the rapid deployment of ideas followed by careful analysis and improvement of the original idea over time. Companies such as Apple ensure that they have fully developed a product before they release it to the market. In fact, Apple takes a lot of care to keep its product development processes secret, until the release of specific products. Starbucks sustains entrepreneurial alertness by maintaining a data collection system that gathers information from its employees and customers. Employees are asked to write to the company’s executives each time they feel that a given decision goes against the mission of the company.Advertising We will write a custom report sample on Innovation, Creativity, and Enterprise Management at Starbucks specifically for you for only $16.05 $11/page Learn More This also allows the company to attain information asymmetry because at any time, the company has more information regarding a specific issue affecting its business compared to its competitors. This enables the company to take advantage of the opportunities that arise in its favor. Managing Innovation In the context of organisational innovation, the word that represents the activities of entrepreneurs is â€Å"intrapreneurship†. â€Å"Intrapreneurship† refers to the activities undertaken by individuals within organisations that promote innovation. These activities focus on internal opportunities or circumstances that demand changes in the operations of a given organization. In this sense, innovation is not limited to the activities of individuals, but rather innovation can be the result of the activities of teams in an organisation. In cases where teams promote innovation, intrapreneurship refers to their collective activities that improve the servi ces and products offered by the organisation. Innovation can take place at the â€Å"micro level, the meso level, and the macro level†. At the micro level it refers to activities undertaken by the organisation internally to ensure that it improves its products and services. Innovation at the meso level refers to the industry specific elements of innovation covering the organisation’s supply chain and its immediate operating environment. Macro level innovation results from opportunities that arise because of things that take place at a higher level, such as changes in legislative frameworks and the legal environment of the business. Starbucks is adept at the management of innovation. The company has a strong culture of innovation, which is the backbone of its entrepreneurial model. Starbucks is using all available means to expand its footprint beyond the coffee sector. In fact, some people question whether coffee is just a Trojan horse in the Starbucks business model. T his question is valid, especially considering the portfolio of products that Starbucks is already offering, and the products that it is planning to launch. Starbucks is aware that innovation in the current business climate must go beyond the traditional aspects of innovation, which were quality control, cost cutting, and operational efficiency.Advertising Looking for report on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More The first area of focus in the current paradigm of innovation is the reinvention of business processes. The second one is collaboration and integration within the firm, and the third one is the creation of new markets by meeting the emerging needs of customers. The drivers of innovation at the macro level include the growth of e-commerce, and globalisation. One of the consequences of innovation using these new approaches is that companies find themselves with new competitors. When Starbucks started selling music, it found itself in direct competition with Apple. Apple, on the other hand, is not primarily a music retailer but a technology firm. The Apple iTunes store was an innovative offshoot to support Apple’s iPod business. Starbucks, which is a coffee firm, finds itself in direct competition with Apple, which is a technology company, for a share of the music market. Another illustration of the new philosophies of innovation at play in the Starbucks business model is the co llaboration between Starbucks and PepsiCo to sell hot-on-demand coffee through vending machines. Starbucks specialises in selling different types of coffee products to its clients. On the other hand, PepsiCo has a large network of vending machines and has a lot of experience with vending technology. Therefore, the innovative collaboration between these two firms led to the introduction of hot-on-demand coffee. PepsiCo owns the technology while Starbucks supplies the network with coffee. This way, the two companies are able to expand their footprint in the beverages market. Behaving as an Entrepreneurial Organization Entrepreneurial organisations refer to firms that have an active philosophy, which encourages entrepreneurial behaviour in the firm. This dimension is very important in the current business climate because of the competitive nature of international trade. Organisational structures can be entrepreneurial or administrative. Entrepreneurial organisations are said to practic e corporate entrepreneurship. The difference between administrative and entrepreneurial organsations is the attitude of their top leadership to risk. Administrative organisations favour the pursuit of low risk opportunities for lower rewards. Entrepreneurial organisations, on the other hand, favour the pursuit of higher risk opportunities for higher rewards. One of the key indicators of an entrepreneurial organisation is the ability to develop and deploy new products ahead of the competition. This calls for intense innovation and a solid risk philosophy. A company such as Apple thrives on the capacity to develop and release new products ahead of its competition. It is very difficult to sustain this ability without having an entrepreneurial mindset across the organisation. In other words, a company that wants to use innovation as its source of competitive advantage must have an entrepreneurial culture. An important aspect in the development of entrepreneurial organisations is that th e top management of the firms must be entrepreneurial. It is impossible to develop an entrepreneurial organisation where the top managers are averse to risk, or have no entrepreneurial commitment. At the same time, the organisation must be able to give middle level managers the ability to experiment with new systems, and to learn. Middle level managers represent the future of the organisation. If the entrepreneurial mindset exists only at the top, then the organisation cannot survive in the long-term. Starbucks CEO, Howard Schultz is well known for his entrepreneurial traits. Schultz worked with Starbucks when it was a very small retail chain. He was on a visit to Italy where Italian coffee bars inspired him to develop a national coffee retail chain in America. When the management of Starbucks refused to buy into Schultz idea, he went on to open new coffee retail stores named â€Å"Il Giornale†, on his own. Afterwards, Schultz entered into an agreement with Starbucks to buy t he coffee company. He chose to retain the Starbucks as the name for his expanded company. This story illustrates that Starbucks has always been in the hands of a very entrepreneurial leader. As such, the company has retained its knack for creativity and innovation. Starbucks behaves as an entrepreneurial organisation because it has a very innovative and risk tolerant CEO. The company is not always successful in all its endeavours. However, no effort goes to waste because the company usually builds on the lessons it learns from its entrepreneurial ventures. The company is aggressive in seeking feedback. It seeks the opinion of its staff, and monitors the comments made online by its clients and competitors, which gives the company an advantage. Risk Profile The activities of the company illustrate that it has a highly established entrepreneurial culture as well as a high level of risk tolerance. The organisation prefers to launch new products quickly before competitors can respond in contrast to many multinationals that prefer to refine new products before releasing them to the market. In conclusion, Starbucks is adept at creating and developing business opportunities. It does this by maintaining a high appetite for risk. The company has developed a culture that tolerates its aggressive risk behavior and is also active in the pursuit of innovation in its operations. Its model for managing innovation takes into account the modern approaches to innovation, which include collaboration with other businesses to create new markets. Finally, the organisation demonstrates tendencies of corporate entrepreneurship in its activities. The most compelling evidence of this is the personal profile of its CEO, Howard Schultz who supports corporate entrepreneurship as a serial innovator and entrepreneur. Reference List Ardichvili, A, Cardozo, R Ray, S 2003, ‘A Theory of Entrepreneurial Opportunity Identification and Development’, Journal of Business Venturing, vol 18, pp. 105-123. Borkowski, N Gordon, J 2005, ‘Entrepreneurial Organizations: The Driving Force for Improving Quality in the Healthcare Industy’, Journal of Health and Human Services Administration, vol 3, no. 4, pp. 531-549. Dalal, S 2007, Creativity And Innovation Driving Business, Creativity Innovation Books, Mumbai. Daughtry, TC Casselman, GL 2009, Executing Strategy: From Boardroom to Frontline, Capital Books, Herndon, VI. Davila, T, Marc, EJ Robert, SD 2007, The Creative Enterprise: Culture, Greenwood Publishing Group, Boston, MA. Ferrell, OC Hartline, MD 2008, Marketing Strategy, Cengage Learning, New York, NY. Flamholtz, EG Randle, Y 2012, Growing Pains: Transitioning from an Entrepreneurship to a Professionally Managed Firm, John Wiley and Sons, New York, NY. Gapp, R Fisher, R 2007, ‘Developing an Intrapreneur-led Three-phase Model of Innovation’, International Journal of Entrepreneurial Behaviour Research, vol 13, no. 6, pp. 330-348. Harvar d Business School 2005, Strategy: Create and Implement the Best Strategy for Your Business, Harvard Business Press, Boston, MA. Jaakson, K, Tamm, D Hammal, G 2011, ‘Organisational Innovativeness in Estonian Biotechnology Organisations’, Baltic Journal of Management, vol 6, no. 2, pp. 205-226. Jones, MA 2008, The Innovation Acid Test: Growth Through Design and Differentiation, The Innovation Acid Test: Growth Through Design and Differentiation, Axminster. Kazmi, A 2008, Strategic Managenent and Business Policy, Tata McGraw-Hill, New Delhi. Lau, TL, Shaffer, MA Chan, KF 2012, ‘The Entrepreneurial Behaviour Inventory: A Simulated Incident Method to Assess Corporate Entrepreneurship’, International Journal of Entrepreneurial Behaviour Research, vol 18, no. 6, pp. 673-993. Patzelt, H Shepherd, DA 2011, ‘Recognizing Opportunities for Sustainable Development’, Entrepreneurship Theory and Practice, vol 10, no. 11, pp. 631-652. Robert, MG 2005, Cont emporary Strategy Analysis, Wiley-Blackwell, Malden, MA. Sahaf, MA 2008, Strategic Marketing: Making Decisions For Strategic Advantage, PHI Learning Pvt Ltd, New Delhi. This report on Innovation, Creativity, and Enterprise Management at Starbucks was written and submitted by user Landry Barton to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

Free Essays on Oil Spills

The Exxon Valdez Oil Spill: the Harm That Followed Almost 14,000 oil spills are reported each year. The Exxon Valdez oil spill is one these reported and also one of the world’s most known. It was not the largest spill, but it had the most detrimental environmental effects known today. The Exxon Valdez spill is also the most expensive spills to date. The spill occurred in Prince William Sound of Alaska. This is a large commercial fishing industry, plus it is home to migratory birds, sea otters, and many other marine mammals. The Exxon Valdez spill sadly could have been prevented. Because of the negligence of the captain of the Exxon Valdez, the tanker struck a reef with detrimental effects. The Exxon Valdez tanker was loaded with 40 million gallons (952,000 barrels) of oil in Valdez from the Trans-Alaska Pipeline. The captain of the ship, Captain Joseph Hazelwood, came on board after having drinks with a friend at the port. Once the ship was filled they wasted no time and began their journey to the refineries in Long Beach, California after dark on the evening of March 23, 1989. When the captain boarded the ship, he knew many things about the ship. For example, when the 987 foot long ship is fully loaded it rides five stories deep in the water (Blashfield, 17). Bligh Reef, which they would be passing by is only 40 feet below the surface of the sea. This massive ship takes at least two miles to stop. Knowing all of this information Captain Hazelwood decided to cut it close by trying to turn the tanker in the narrow space between the ice and the reef. (Schoowe, 11). With all of this known, the captain did three strange things. He ordered the helmsman to put the ship on automatic pilot, he ordered the engines accelerated to a speed normally used only in open seas, and he left the bridge, with a junior officer, third mate Gregory Cousins, in charge while he went to his cabin. What happened next will later be a ... Free Essays on Oil Spills Free Essays on Oil Spills The Exxon Valdez Oil Spill: the Harm That Followed Almost 14,000 oil spills are reported each year. The Exxon Valdez oil spill is one these reported and also one of the world’s most known. It was not the largest spill, but it had the most detrimental environmental effects known today. The Exxon Valdez spill is also the most expensive spills to date. The spill occurred in Prince William Sound of Alaska. This is a large commercial fishing industry, plus it is home to migratory birds, sea otters, and many other marine mammals. The Exxon Valdez spill sadly could have been prevented. Because of the negligence of the captain of the Exxon Valdez, the tanker struck a reef with detrimental effects. The Exxon Valdez tanker was loaded with 40 million gallons (952,000 barrels) of oil in Valdez from the Trans-Alaska Pipeline. The captain of the ship, Captain Joseph Hazelwood, came on board after having drinks with a friend at the port. Once the ship was filled they wasted no time and began their journey to the refineries in Long Beach, California after dark on the evening of March 23, 1989. When the captain boarded the ship, he knew many things about the ship. For example, when the 987 foot long ship is fully loaded it rides five stories deep in the water (Blashfield, 17). Bligh Reef, which they would be passing by is only 40 feet below the surface of the sea. This massive ship takes at least two miles to stop. Knowing all of this information Captain Hazelwood decided to cut it close by trying to turn the tanker in the narrow space between the ice and the reef. (Schoowe, 11). With all of this known, the captain did three strange things. He ordered the helmsman to put the ship on automatic pilot, he ordered the engines accelerated to a speed normally used only in open seas, and he left the bridge, with a junior officer, third mate Gregory Cousins, in charge while he went to his cabin. What happened next will later be a ...

The Benefits of Private and Montessori School Systems Versus the Research Paper

The Benefits of Private and Montessori School Systems Versus the Public School System - Research Paper Example Both public and private schools are good for the children, but they have certain differences which can be important factors while deciding the schools for the children. Public schools are those which are governed by the state, where all the decisions regarding the school would be taken by the state and the government. Private schools are those which are privately owned, the owner of the school or the board of trust would decide anything regarding the school and its benefits. Even the Montessori schools are owned by an individual or a group, and which is privatized. These schools have different features, facilities, and structure of the system, and these factors influence the education of the children (Dronkers & Robert, â€Å"School Choice in the Light of the Effectiveness Differences of Various Types of Public and Private Schools in 19 OECD Countries.†) Thesis Statement There are certain differences in the public schools and the private schools, regarding the benefits, struct ures, education system and size among others, primarily due to the difference in ownership. Both the schools are delivering education to the children of the world, and both public and private schools are helpful to them. Both of them have focused on the same objective, but in different ways. In relation to the topic of the paper it can be stated that both the public and private schools are effective and beneficial to the children, and it depends upon the students, their locations, their affordability and adaptability to decide which schools to join. However, the private and the Montessori schools are providing better educational system as compared to the public schools, which can facilitate the students to gain dynamic learning skills. In the paper, the major objective would be to highlight the benefits of the public as against the Montessori and private schools and compare them to show how they are related to the educational system of the world. Argument School is a place where chi ldren get their first lessons regarding, the world, its people, life, environment and manners among others. A school is just not for gaining bookish knowledge; it also gives the children a scope to develop themselves in every manner. The more facility a school gives a child the more exposure that child gets. In many places in the world, children are still not getting proper education. In many of the places children are not going to school due to the lack of awareness and due to the less number of affordable schools for them. In few places the children are not getting the opportunity to go to school because of the differences in their nature, color, religion, race and cast among others. These factors are the obstacle in the educational system, and both private and public schools are facing these obstacles. Private and public both the schools are beneficial to the children, but private schools are a little better than the public schools. The public schools are governed by the state, w here all the decisions regarding the school, students and exams are taken by the government. In the private school, the ownership is privatized and an individual or a group can be the owner of a private school. Private school has no such direct connection with the government. The owner or the board members are responsible for taking any decision regarding the sch

Articles Essay Example | Topics and Well Written Essays - 1000 words - 1

Articles - Essay Example Competence was a study aimed at determining prejudice based on the high competency associated with Asian Americans and sociability studies depicted the way in which social framework diminish the significance of Asian Americans (Monica et.al, 2005). The article realized that the most appropriate correspondents to use were University students as it selected correspondents from three campuses. In addition, the article focused on theory findings and disregarded practical findings as it would have minimized the effectiveness of data obtained from the correspondents. From the article, sociability recorded the most number of causes of prejudice against Asian Americans as competency was a cause to few correspondents. The main reason for this direction on the data collected is the fact that Americans have a social system that tends to exclude other races from its fit. The article also realized that most respondents appreciate the competency level of Asian Americans. With the change in perception from social system this problem would be solved. This article focuses on analyzing the depth at which Asian Americans are prejudiced and discriminated in the modern day American society. The article mainly focuses on comparing the perception towards Asian Americans to other minority groups such as Jews the blacks. The article also creates a summary of the history of prejudice towards Asian Americans and the reason as to why laws do favor the creation of equal treatment towards Asian Americans. The article uses data from already done research on the same problem. The article argues that among all existing groups in America, Asian Americans were held with the least regards if compared to blacks, Jews, Hispanics and whites (Weaver, 2012). This is based on the assumption that Asian Americans consist of the lowest population among the cited groups considering the massive number of the Blacks, Jews, Hispanics and the White. In addition, media activism exclude the fact that

5 Basic Principles Of Energy Security

5 Basic Principles Of Energy Security Energy security is put in first place among the priorities facing the European Union. Although the problems of ensuring energy security were standing in front of a united Europe from the beginning of the integration process in recent years they have acquired the greatest relevance and importance for the EU. This is due to the fact that today the EU depends 50% on external energy supplies to its market and on the policies pursued by supplier states. In addition, European countries are concerned about the well-known problems with the energy supply for them against the backdrop of turmoil between Russia, as the main EU energy supplier and Belarus and Ukraine, through whose territory the Russian hydrocarbons are delivered to the West. Russian-Ukrainian standoff on the issue of gas prices and transportation is the major concern of EU member states and compel them to talk about the need to diversify energy supplies. Concentrating 7% of world population, more than a quarter of world GDP and 20% of world trade, the EU has only 2% of the worlds black gold and 4% natural gas. Limitation of its own resource base in Europe accounts for a significant dependence of the EU on external energy supplies. The European natural gas market is the third largest in the world. The volume of gas consumption in EU countries reached 513 billion m3 (21% of world consumption). Russia is the second largest EU oil supplier and provides 33% of the EU black gold needs. The Russian Gazprom is the leader in EU natural gas supplies with 46% of total. If we talk about security of energy supplies, the main task in this area is the energy sectors geographical and resource diversification i.e. the expansion of supply sources, supply routes and pipelines. The EU security in energy sector NABUKO I EU The European Union is seeking to protect self from energy dependence on Russia with diversification of natural gas supplies policy by agreements with non-conventional energy suppliers, the Caspian states (Caspian states have only 4-5% of worlds gas reserves). But due to the unreliability of Russian energy supplies through third countries (Belarus and Ukraine) as well as the possibility of using Russian resources as a political tool, transporting Caspian Sea hydrocarbons (Azerbaijan, Kazakhstan and Turkmenistan) to the West has acquired great importance to the EU. Improve supply reliability and energy security EU responsible implementation of the Southern Gas Corridor. The planned corridor is composed of three parts: the Trans-Caspian gas pipeline (the project provides for delivery of natural gas from Kazakhstan and Turkmenistan to Azerbaijan), Baku Tbilisi Erzurum (from Azerbaijan through Georgia to Turkey) and Nabucco (from Turkish territory, via Bulgaria, Romania, Hungary Austria). Thus, the reliability of energy supply in Europe is due to the changing geography of supply, increasing the number of exporting countries, the creation of new infrastructure facilities. In the face of increasing competition from non-traditional suppliers of hydrocarbons Russia is very important to maintain the competitiveness of their energy in the European market, to ensure effective and reliable conditions for their transit to Western Europe. From the European Union course to diversify energy imports implies Russias post-Soviet space deterrence, to avoid direct or indirect control by the latter over the mining sector and transit infrastructure in surrounding areas. Revealing in this regard, the role of such organizations as the GUAM (Georgia, Ukraine, Azerbaijan and Moldova), which can be an active participant in non-Russian energy supplies to European markets. Major energy projects GUAM is the White Stream. White Stream the idea of the Ukrainian side to diversify natural gas supplies to Europe and Ukraine and reducing dependence on Russia. According to the concept of developers this pipeline should pass along the Eurasian oil transport corridor, i.e. from Azerbaijan to the Georgian port of Supsa, and then across the Black Sea to Ukraine and onward to the EU, bypassing Russia. From a geopolitical point of view, the creation of transport corridor from east to west, bypassing Russia, on a plan of Brussels, will: To diversify energy supplies to reduce dependence of the EU from Russia and thus ensure energy security; Dismantle the transport system of the former Soviet Union, largely through the territory of Russia and provides strategic control over the export of Central Asian energy resources; Open the path to European Union cooperation with countries seeking to establish independent from Russian energy transportation routes; Establish control over the hydrocarbon resources of the region and not to allow these resources were available to Russia; At the expense of control over energy resources to ensure the establishment of political control over the countries of the region; Set the geopolitical pluralism, independence (from Russia), the newly independent states. Implementation of the EU projects such as the Nabucco, whose design capacity is 30 billion m 3 of gas per year, is a complex challenge for the Russias national interests towards Europe and tangibly affect Russias foreign policy and foreign economic activity. Russian energy resources development and policy Energy policy Russias European direction is traditionally occupies a leading position in trade of fuel and energy resources. The EU has come 53% of Russian oil exports and 62% natural gas. For Russia, with its unique geographical and geopolitical position, the problem of transit of energy resources are of particular importance, since it depends on the transit of hydrocarbons in the main markets of third countries. This implies the task of ensuring uninterrupted supplies of Russian energy exports to Europe. Improving energy security EU calls for Russia to develop and implement a wide range of policy and energy initiatives aimed at diversifying sources of supply of hydrocarbons. Passionate desire of Russia to find new routes for transporting oil and gas to the EU, bypassing the neighbors (Belarus and Ukraine), good reason: a choice of routes is important because it allows not depending on the mood of the transit country. Currently, construction of the North European Gas Pipeline Northern stream » (Nord Stream) will run under the Baltic Sea from Vyborg, Russia to Greifswald Germany. Capacity will be 55 billion m 3 of natural gas per year. Implementation of this project will help solve the problem of diversification of export flows of gas, will expand supply in Western Europe and the implementation of Russias obligations under the concluded and the future long-term contracts for the supply of natural gas. The second project is the South Stream (South Stream), which will run under the Black Sea from Novorossiysk to the Bulgarian port of Varna, and then divide into two branches and will pass through Serbia and Hungary to Austria through Greece to southern Italy. Capacity will reach 60 billion m 3 of natural gas per year. The main objective of these projects is to provide direct communication between the seller (Russia) and customers (Western, Central and South-Eastern Europe), bypassing the territory of Belarus and Ukraine, through which the now Russian natural gas to the EU through pipelines Urengoi Pomary Uzhgorod and Yamal Europe. As a Eurasian power, Russia is naturally interested in a free hand in its energy policy in all directions. At the end raises the question of correcting the current asymmetry of Russian energy exports in favor of the eastern direction. Russias national interest is to diversify markets for energy resources, expanding the geography of supplies of hydrocarbons. Due to this, Russia reduces dependence on the potential risks and, of course, opens up new and promising markets. To enter the Asia-Pacific region will create a pipeline Eastern Siberia Pacific Ocean (ESPO) pipeline, which would connect the oil fields of Western and Eastern Siberia to the ports of Primorsky Territory in Russia and provide access to the markets of the Asia Pacific region. This pipeline capacity of 80 million tonnes a year must pass from the Taishet (Irkutsk region), north of Lake Baikal through Skovorodino (Amur region) in the Pacific Kozmino Bay (Primorsky Krai). The priority of Russian foreign energy policy includes the construction of a branch in China from being built oil pipeline Eastern Siberia Pacific Ocean. Power outlet will be 15 million tones a year. The implementation of the above projects will provide an opportunity to solve simultaneously the two most important geo-economic and geopolitical objectives: provide a way out of Russian crude oil to the rapidly growing market of the Asia and the Pacific region and reduce dependence on the main buyer of energy. Tendencies of development of world energy markets and energy security issues Malo history, why energy is needed, crucial statistics In our fast developing world, according to recent prognosis, energy consumption can grow up to 30% within next 15 years. World oil demand can became higher for 42% and natural gas consumption will rise for about 60%. Todays world market is characterised with four most important circumstances: sharp rise of energy demand in developing Asian countries (up to 45% of perspective world growth in oil consumption) increasing gap between demand and production volume of gas in economically developed countries (for example, by 2020 between 60% and 70% of gas consumption in Europe will be provided with the account of imports) insufficient capacity for the production, processing and transportation of oil and gas as well as the limited possibilities of new sites insufficient transparency of world energy market All these conditions presented to the fore the problem of energy security. Also, the globalization process with which the world has faced in the twentieth century, directly affect the sphere of world energetic  [1]  . The enormous energy demand growth in Asia intensified competition for stable and cheap energy sources and in many parts of the world (especially rich in energy resources) occurring instability and conflicts. These circumstances contribute to energy instability and large fluctuations in energy prices. World reserves of cheap energy are reduced, crossed the zenith of production while consumption is growing steadily. In light of these circumstances should be considered global processes in the energy sector. If we take in consideration allocation of worlds energy reserves, it can be seen that every part of the world has some reserves or reserves are allocated within reasonable range (e.g. Russia energy reserves are sufficient to cover rising European demand, Gulf of Mex ico and Venezuela reserves are most convenient to America) Dijagrami. Experts assessment say that there is sufficient energy reserves, but the cost of exploitation going to be sufficiently higher. World of cheap and accessible energy is definitely behind us. It is necessary to mention climate change and slowly growing tendency of reduction in CO2 emissions which will affect the consumption of fossil fuels but the global demand will not be reduced. Achieving global energy security will be reached by the world community implementation of measures in three main areas: Reliable supply of the world economy traditional forms of energy; Increase the efficiency of energy resources and environmental protection; Development and use of new energy sources. All world and especially developed countries and largest energy suppliers have to contribute to achieving energy security. Basic principles of energy security Despite all the differences in the approaches of major states, there are common points in the understanding energy security. In fact, it is possible to isolate the basic principles that are more or less shared by all states. Energy security is the mutual responsibility of both the energy consumer and the energy supplier. This is acknowledged by all, but the problems arise where the consumer and provider begin to demand each from other guaranties of supply or pay for these supplies. For example, in a moderate variant, the demand for guaranties of supply can lead to the consumers request to allow him representing the economic interests of the company for development and transportation of energy resources in the provider country. This is the case where the EU requires from Russia opening its energy sector for European investments. On the other hand, Russia sets requirements of direct accessing to the customer delivery systems. In the radical version assurance of supply can be expressed in direct political and economic dictation towards supplier country, up to carrying out military operations against them. Also, in the recent history we have witnessed that supplier country can impose measures such as deliver y cutoffs, which affected not only targeted countries but many others (Russia Ukraine and Russia Belarus disputes). However, there is a third option, presented by Asian countries. It is the willingness to guarantee delivery due on the one hand, the participation of companies representing the economic interests of consumers in developing energy resources in the provider country, on the other playing by the rules of the provider country and investing heavily in infrastructure, mining and transportation. In this case, it is not a simple commodity-payment scheme, but a more complex investment, insurance and other contractual relationships. The consumer provides his assurance of supply at the expense of investment in infrastructure provider, so as to optimize the supply chain, making it more modern, less costly, etc. Suppliers, allowing consumers to develop projects in their territory introduce not only secure and stable market, but also a strategic investor. Thus, we are talking about the principle of responsibility and interdependence of consumer and provider  [2]  . Further, despite the limited number of countries that act as energy suppliers, development of events shows that there is competition between them; moreover, the very limited number of suppliers can toughen this competition. Factor that stimulates competition among providers is definitely another principle called diversification of sources and suppliers. At the moment there is competition between energy suppliers and it must also be built into the system of global energy security. The most important condition for this is the energy security depoliticization. In fact, the competition based on economic principles, competition for consumers is logical and understandable phenomenon. However, any use of energy resources for political purposes in the situation of rising demand leads to conflict, consequences of which can be unpredictable. Every attempt to put energy as a subject of political conflict is challenge to the global energy security system. Thus, the principles of energy security are also the depoliticization and fair competition. Moreover, if we can present the competition between suppliers, it is much more serious phenomenon the competition between consumers. The global reduction of energy production will imply the competition among energy buyers and consequently instability in particular regions could appear. Economic development without stabile energy supply is impossible. Therefore, overcoming global problems such as poverty, epidemics, poor education, environmental challenge, without economic stability is unattainable. Energy supply and demand, market competition, joint investments, global warming, CO2 emissions, joint stability and many other factors indicate that energy security is primarily a global issue so we can point at another principle, the principle of globality.. In this context, we should not forget that energy security is inseparable part of a global security system. Looking the importance of energy for the quality of life and life in general, it is necessary to emphasize the principle of social orientation of energy security for both individual countries and the world at large.

Give a life to your friend, it’s free!

Give a life to your friend, it's free! BY wersl 23 Compare and Contrast: Lion and Tiger Lions and tigers are the top two ferocious animals in the big cat family. The lion is known as the â€Å"king of beast â€Å"and the tiger is known as the â€Å"emperor of beast†. Both lions and tigers have many things in common and at the same time they have a number of differences. Lions and tigers belong to the mammalian group and Felidae family. Lions lives in prides and tigers lives alone. They have no predators of their own and reside at the top of their food chain.This essay is going to talk about the physical characteristics, diet, habitat and geographical distribution, reproduction and cross breed. The physical characteristics of a lion is male lion is highly distinctive and is easily recognized by its mane. Lion coloration varies from light buff to yellowish or reddish of the body. The underparts are generally lighter and the tail tuft is black. The color of the mane varies from blond to black. The lion is a carnivore and a hunter. Its legs are short with very powerful muscles. Male lions are 20 to 35% larger than the females and 50% heavier.Each lion has, what are called, â€Å"whisker spots† The pattern formed by this top row of whiskers differs in every lion and remains the same throughout its lifetime. Lions are the second-largest in the cat family (the tiger is the largest). Physical characteristics of a tiger highly distinctive and is easily recognized by its stripes. Tigers are tawny brown in color with dark stripes and whitish. Tigers have rusty-reddish to brown-rusty coats, a fair (whitish) medial and entral area and stripes that vary from brown or hay to pure black.The pattern of stripes is unique to each animal, and thus could potentially be used to identify individuals, much in the same way as fingerprints are used to identify people. This is not, however, a preferred method of identification, due to the difficulty of recording the strip e pattern of a wild tiger. the function of stripes is camouflage, serving to hide these animals from their prey. Tigers have round pupils and yellow irises. Tigers are the heaviest cats found in the wild.The diet for both the lion and the tiger are kind of the same, but they eat different animals because they are not from the same place. Both lion and tiger eats about 15. 4 lbs. of meat per day. A typical diet for a lion will include zebra, giraffe, buffalo, wildebeest, gazelles and impala. Lions are opportunistic and will readily scavenge the kills of cheetahs, leopards, wild dogs and hyenas. A main prey species for a tiger is are deer, buffalo and wild pigs, but they will also hunt fish, monkeys, birds, reptiles and sometimes even baby elephants.Occasionally, tigers kill leopards, bears and other tigers. Both lion and tiger are both meat-loving big cats. Habitat of a lion and a tiger are both different, because they are both from different contents of the world. Lion lives in Rich grasslands of East Africa to sands of Kalahari Desert, South Sahara to South Africa, excluding the Congo rain forest. They avoid dense forests because prey is scarce. Fun fact in the wild, lions live for approximately 12-18 years, while in captivity they can live over 24 years. Fun fact

Bsh White Goods Industry

ISTANBUL TECHNICAL UNIVERSITY INSTITUTE OF SOCIAL SCIENCE [pic] MARKETING MANAGEMENT Elif Karaosmanoglu Assignment 1 SEGMENTATION AND POSITIONING WHITE GOODS INDUSTRY Submitted by: OSMAN OZEN 401111024 Table of Contents 1White Goods Industry3 2Brands in White Goods Industry3 3Marketing Objectives3 4The Brands of BSH3 5Segmentation & Targeting & Positioning3 5. 1Segmentation3 5. 2Target Market3 5. 3Positioning3 5. 3. 1BOSCH3 5. 3. 2SIEMENS3 5. 3. 3GAGGENAU3 5. 3. 4PROFILO3 6References3 White Goods Industry The home appliances sector showed a strong recovery in 2010. Driven by increasing consumer confidence and the recovery of real estate construction, the market for large domestic appliances grew by 8% bringing the market to a total of 5. 4 million appliances. All major appliance categories with the exception of the solo cookers showed a significant growth. Refrigerator sales increased by 11%, dishwashers sales grew by 7% and washing machine sales increased by 8%. Oven sales was the only category which declined by 4%. Driers, which is a new growth area, increased by 19%. Large home appliances, produced in Turkey, managed to increase by 12% year-on-year reaching 18. million units. Roughly 75%, 13. 7 million units, were exported, which reflects an increase of 9% year-on year. With this volume Turkey became the biggest white goods appliances producing country in Europe. [1] Brands in White Goods Industry The leader of white goods industry in Turkey is Arcelik and its main competitor is BSH (Bosch and Siemens Home Appliances). BSH is the second comp any in Turkey’s white goods industry. The others are followers. Bosch and Siemens Home Appliances Group is the world's third largest producer of large domestic home appliances. The group owns 14 brands and operates 43 factories worldwide, with its largest production facility being in Cerkezkoy, Turkey. The group posted annual sales of 10. 8 billion Euros in 2010, establishing itself as the leading home appliances company in Europe. In Turkey, BSH is one of the leading companies in the Home Appliances industry, with its main brands Bosch and Siemens, its special brand Gaggenau and local brand Profilo. BSH is the second largest company in its industry with 25% market share. Due to its rapid sales and investment growth, BSH is ranked the 7th largest foreign company in Turkey. It operates 4 factories producing refrigerators, cookers, washers and dishwashers with a production capacity of more than 3. 5 million units. More than half of its annual production is exported to countries around the world, mainly in Europe, North America, and Australia. †¢ 7th largest foreign company †¢ 2nd largest producer of white goods, with 25% market share †¢ 23rd largest industrial company †¢ Offers the best After Sales Service in the Home Appliances Sector †¢ Leader in the â€Å"built-in† appliances category †¢ Biggest production location within the BSH Group †¢ Offers Europe's top selling premium brands I will investigate BSH’s four brands in this assignment. I will analyze STP of BSH’s brands. Marketing Objectives BSH envision to be â€Å"the first choice† of their customers, dealers, suppliers and employees—that is the basis of their strategy. They employ this philosophy to improve the lives of their customers, by creating new product values, sustaining uncompromised. The white goods industry in Turkey has been facing some tough times in the past few years. The housing developments in Turkey had been progressing quite reliably, however because of the global financial crisis the growth in construction sector stopped. In addition, energy and water savings are becoming major factors for consumers in deciding which appliance to buy. With lifestyle changes and the way homes are being designed, they are convinced that the built-in appliances will receive much more attention in the next years. Although it is expected that housing demand will decrease, as the second objective in the years ahead, they will continue to develop products that bring elegance, comfort and ease of use, while contributing towards the conservation of resources and protecting their environment. Their main objective is to look forward to growing stronger, moving towards achieving their vision to be â€Å"the first choice† together with their customers, dealers, suppliers and employees. The Brands of BSH For BSH, one of the principal factors for success is the presence of strong brands that are clearly focused on their target groups and presenting a coherently structured product portfolio. 1 BOSCH For them, their brands form the most important ingredient to win in the global arena. They represent a pivotal symbol of trust and sense of purpose for the consumer. Over 100 years later, Bosch continues to stand by its founder’s words. The Bosch name has always meant a guarantee of both quality and reliability. Bosch remains committed to uncompromising performance and great design to be built into every single appliance they produce. Every time Bosch designs a new product, its ideas are based on sound ecological principles, ensuring they make the most economic use of natural resources and minimize the pollution of air, land and water. They are constantly developing new ways to reduce energy and water usage while maintaining product performance and efficiency, helping to conserve their planet and save you money by lowering costs. Bosch stands for premium quality, perfect engineering and high longevity. The â€Å"achievement of a higher quality of life and enduring value through beneficial technological advancements† stands at the core of the brand philosophy. 2 SIEMENS Sold in more than 55 countries around the globe, Siemens stands for innovative thinking, precision engineering and pure style to millions of people worldwide. Siemens meets consumer needs with a wide range of products from washing machines to vacuum cleaners and from consumer products to television. Siemens is the â€Å"number one† appliance brand in Germany, and the leading built-in appliance brand in Turkey. For many years, consumers, dealers and architects have appreciated the technological superiority and stylish design of Siemens appliances. Siemens, the great name in technology, stands for intelligent innovations and consistent orientation toward the future, and a modern approach to the technical features and design of home appliances. Siemens has a visionary approach and use of cutting-edge technologies aimed at improved functionality, gives rise to pioneering products and solutions that allow user to perceive and experience progress in a fascinating manner. Home appliances from Siemens are characterized by clear, functional design and optimum precision. Siemens products set standards in the marketplace. They are the result of progressive ideas, a consistent system, a performance-based approach and perfection for production. 3 GAGGENAU Gaggenau is the brand of professional cooking technology for the modern home. It specializes in high-performance built-in kitchen appliances. Gaggenau’s appliances incorporate a specialist's knowledge, skill, and decades of experience. After all, the first built-in appliance manufactured and sold in Europe was a Gaggenau. Every Gaggenau appliance is perfectly made, easy to handle and extremely reliable. Each and every one is especially beautiful, and the brand regularly receives the design awards to prove this. Yet, beauty isn't the only benefit of Gaggenau. Customers love Gaggenau's versatility and professional functions as well. Gaggenau became an internationally known luxury brand after World War II. In 1951, Georg von Blanquet, a passionate amateur cook, took the reins of the company and developed the Gaggenau kitchen technology, resulting in the manufacture of top-quality built-in appliances. Gaggenau stands for innovative engineering, long lasting materials, clear form, good handling, sustainable workmanship, and sets recognizable standards in the fields of food, lifestyle and culture. 4 PROFILO Profilo has blended the international know how and experience with the local lifestyle preferences in Turkey. Profilo is one of the oldest leading traditional brands in Turkey. The brand is highly preferred by customers who place durability and quality above all else. Profilo branded appliances are designed according to the unique needs and habits of Turkish consumers. The brand's success in meeting expectations comes from its careful examination of local market needs and sensitivities. This thorough consideration of the consumer has ensured the brands' longevity. It is known as a provider of long-lasting, durable and user-friendly home appliances, with a wide range of products and functionalities. 1] Segmentation & Targeting & Positioning 1 Segmentation BSH pursues demographic segmentation ( economic), psychographic segmentation (lifestyle), and behavioral segmentation ( benefit sought ). 2 Target Market According to the segmentation of the market the target groups of BSH are as the following: Siemens: Young and energetic, modern people who are seeking for high quality and performance, from middle and upper socio economic classes. Gaggenau: Sophisticated and modern people from upper socio economic class who are seeking for premium and excellent products. Bosch: People who are seeking for uncompromising performance and great design, from middle and upper socio economic classes. Profilo: People prefer to have the best value for the money, from lower and middle socio economic classes. 3 Positioning The values and specialties that BSH wants to place with its brands in consumers’ minds are as follows: 1 BOSCH Quality: Bosch products fulfill the highest demands in performance and offer maximum operating convenience. The premium quality is tangible in the superiority of the materials and visible in the product finishing. Technical expertise: Bosch offers fully rounded solutions oriented towards people’s needs and maximum user benefits that create greater quality of life. Quality of life: Bosch products make daily family life and chores easier and more enjoyable. They free up more time for the finer things in life, creating the balance for harmonious togetherness. Responsibility: Bosch acts on the basis of clear principles. Responsibility for people, society and the environment are important guiding principles for Bosch and therefore these are the driving forces behind the continuous development of products and services. It has always been an unbearable thought to me that someone could inspect one of my products and find it inferior in some way. For that reason I have consistently tried to produce products which can withstand the closest scrutiny – products which prove to be superior in every respect. † Robert Bosch [2] 2 SIEMENS Fascination: Siemens constantly takes up technologic al challenges and is fascinated with developing futuristic products, solutions and services. Expressiveness: Siemens develops products for the modern and dynamic society. It stands for concise and pure design. The brand offers styling that is sure of itself, emphasizing the individual expression of confident personalities. Performance: Siemens products set the standards in the marketplace. They are the result of progressive ideas, intensive development and perfect execution. 3 GAGGENAU Professionalism: Gaggenau appliances are often particularly large and impressive. They are designed for performance with generous capacities. Leadership: Gaggenau is true to tradition, combining simplicity with utmost quality and reliability. Gaggenau solutions go beyond narrow, constraining standards, impressive in their dimensions and convincing in their daring simplicity. Passion: Gaggenau makes good sense, knowing the uses and limitations of technology, reducing systems to essentials with composed mastery. It shares the dream of the perfect kitchen, in preparation and culinary delights. Excellence in Design: The professional kitchen provides lots of space. Its design is elegantly restrained and completely functional. Gaggenau's typical design is outstanding, crystal clear, and beautiful; completely self evident and truly expressive. PROFILO Durability: Profilo products are durable against all odds. Accessibility: It is a brand that is accessible to all Turkish consumers financially, physically and emotionally. The balance between quality and terms of payment is reflected visibly. Empathy: Profilo produces user friendly products responding to the basic needs of women, who are the primary user of their appliances. [1] R EFERENCES [1]   2010 Annual Report   (2010). http://www. bsh-group. com. tr/page. aspx? id=22 [2] Bosch Communication Center http://www. boschcommunicationcenter. com 3] BSH Ev Aletleri Sanayi ve Ticaret A. S http://wrightreports. ecnext. com/coms2/reportdesc_PRICE_C79628190 ———————– 2. 6 Arcelik Haier Samsung Fagor-Brandt 1. 7 White Goods Companies (2007 – billion euro) World 2. 3 Miele 2. 3 3. 1 3. 8 Indesit 3. 8 Maytag 4. 8 General Electric 7. 1 LG 7. 3 BSH 10. 1 Electrolux 11. 5 Whirlpool Europe 1. 0 LG 1. 0 Candy 1. 9 Arcelik 2. 5 Miele 2. 5 Whirlpool 2. 9 Indesit 4. 7 Electrolux 6. 1 BSH 36 % Market Share, 2007 Leader in Germany 21 % Market Share, 2007 Leader in Europe 7 % Market Share, 2007 3rd in the World