The Body Shop International Case Study Essay Example For Students

The Body Shop International Case Study Essay The Body Shop International ( Body Shop ) is a transnational company which is chiefly bring forthing ecological tegument and hair products.The company offers over 1200 of course produced healthy and beauty merchandises by and large target at adult female. The merchandises focal point is shampoos, conditioners, bath merchandises, soaps and skin picks but besides includes aroma, watering place merchandises, and beauty-related accoutrements. Their merchandises are entirely based on natural ingredients and manufactured harmonizing to an ethical codification which is opposed to animal proving. The cosmetics franchise is considered to be one of the biggest around the Earth with a good established repute in 54 states. L’Oreal, the dominant company in the beauty industry, acquired Body store in 2006. Although Body Shop has become a subordinate of L’Oreal S.A it still acts harmonizing to its ain policy, values and ethical codification. The acquisition has solved Body Shop ‘s fiscal jobs and has provided the agencies for enlargement to a bigger market portion. We will write a custom essay on The Body Shop International Case Study specifically for you for only $16.38 $13.9/page Order now The updations since the instance survey was written can be summarised as: In 2002 Anita Ruddick launched her ain web site â€Å" www.AnitaRoddick.com † in 2001 and an activism portal â€Å" www.TakeItPersonally.org † in 2004. At that clip figure of stores were were1500 Body store but nowit exceeded over 2500. During 2003 The Body Shop launched a planetary run to raise consciousness and financess to assist those affected by domestic force. The Stop Violence in the Home run physiques on about a decennary of runing on the issue in a figure of markets, including Canada, the USA, and West Malaysia. The run aims to foreground the issue, raise money to back up the work of groups. . In 2007 The Body Shop articulation forces with MTV in a new trade name partnership to raise financess and consciousness about HIV and AIDS amongst immature people, through the Spray to Change run. The money raised goes to the Staying Alive Foundation, a charity who fund with grass roots organisation s raising consciousness and educating immature and at-risk groups about HIV and AIDS. Undertaking 2 A brief reappraisal and treatment on company ‘s cardinal acheivements and important alterations over the last few old ages and how the company has adopted to emerging subjects like corporate societal duty, ethical selling, globalization, etc. 800 words Significant Changes: The first The Body Shop shop was opened by Anita Rodrick on 26th March 1976 in Brighton, on the south seashore of England. It was declared a public company in 1985 and shortly after that it created an Environmental Projects Department of its ain. The first Community Trade merchandise of The Body Shop was a Footsie Roller which was produced in 1986 by a provider in southern India. In 2006, as portion of the on-going Stop Violence in the Home and for carry oning the survey on domestic force against kids, The Body Shop created a partnership with UNICEF and the United Nations Secretary-General ‘s Study on Violence against Children. The Body Shop becomes portion of the L’Oreal Group and de-listed from the London Stock Exchange on July 12 2006. It operates independently within the L’Oreal Group and was led by the current direction squad of The Body Shop. Outline1 Cardinal acheivements2 Corporate A ; Social duty3 . Ethical Selling4 Globalization5 The Body Shop6 In shop7 Behind the scene8 At place9 Marketing Department including selling staff10 Production Department11 Strategic12 Department13 Techno Department14 Product / Graphic design section15 Warehouse Department16 Distribution Department17 Management Manners at Body Shop Cardinal acheivements The organic structure store was the first international cosmetics company to subscribe up to the Humane Cosmetics Standard, supported by taking international carnal protection groups. The Body Shop Values Reports are recognized ( 1995 A ; 1997 ) as trailblazing by United Nations Environmental Program and Sustainability, and ranked highest in their reappraisal of International Corporate Environmental Reports. The Body Shop is the first planetary retail merchant to fall in the Board of the Roundtable for Sustainable Palm Oil, working with NGOs and plantations to protect tropical rain forests and better the human rights of workers and autochthonal people. The Body Shop is the victor of PETA ‘s Proggy ( advancement ) awards for its on-going committedness to avoid carnal testing. During 2005 The Body Shop was awarded for accomplishing higher criterions of animate being public assistance in the decorative class at the first one-year awards of the Royal Society of Prevention of Cruelty to Animals in the UK Corporate A ; Social duty Corporate societal duty ( CSR ) or corporate citizenship entails companies acting in a socially responsible mode, and covering with other concern parties who do the same.It imlpies: An duty, beyond that required by the jurisprudence and economic sciences, for a house to prosecute long term ends that are good for society The go oning committedness by concern to act ethically and lend to economic development while bettering the quality of life of the work force and their households every bit good as that of the local community and society at big About how a company manages its concern procedure to bring forth an overall positive impact on society. The Body Shop is a maker and retail merchant of of course inspired, ethically produced beauty and cosmetics merchandises. Harmonizing to The Body Shop Corporate Social Responsibility website, â€Å" If concern comes with no moral understanding or honest codification of behaviours, so God assist us all. † is The Body Shop ‘s mantra. Let ‘s discourse few illustrations to see how does it is applied at Body Shop. a ) Sustainable Supply Chain Strategy The Body Shop works with its providers to advance socially responsible patterns in its supply concatenation as portion of its supply concatenation scheme. This is portion of its wider Framework for Corporate Social Responsibility. The Body Shop launched Community Trade. It is a targeted supply concatenation scheme to buy natural ingredients and accoutrements from socially or economically marginalized communities around the universe. It gives these manufacturers entree to a market that would otherwise be out of range and provides a just and dependable income, every bit good as a committedness to making a sustainable concern. For illustration, The Body Shop ‘s moisturizing socks produced by a Community Trade Supplier, Craft Aid in Mauritius, provides employment to 160 people, 40 % of which have disablements. B ) Prosecuting the Community through Community-based Undertakings One attack to prosecuting in corporate societal duty is through community-based development undertakings. An illustration The Body Shop ‘s launch of the 2008 Stop Violence in the Home run on the subject of friendly relationship. By supplying practical tools to authorise adult females to supply support to friends in demand, the run aimed to be a beginning of inspiration and support for 1000000s of adult females around the universe. The Stop Violence in the Home run besides raised ?1.9 million by 2008 and reached 56 markets. In each market, all the financess raised were donated to the chosen non-profit charity organisation, to assist fund critical undertakings of bar, support, and protection for adult females and kids. 4 ) Body Shop and Compaigns The run for UK-wide prohibition on carnal testing of decorative merchandises and ingredients started in November 1998, and the largest of all time request ( four million signatures ) being delivered to the European Commission in 1996. Homeless people: The Big issue paper for stateless people began as a The Body Shop Foundation undertaking establishing in 1991. Awareness of HIV and AIDS amongst immature people: In 2007 The Body Shop joined custodies with MTV to raise financess and consciousness about HIV and AIDS amongst immature people. . Ethical Selling As a decorative retail merchant, The Body Shop defied most recognized selling patterns. In an industry where 30 cents on every dollar of gross revenues was typically devoted to advertisement, the company had no selling or advertisement section. They operate harmonizing to standards, which places more accent on human values than on strictly commercial considerations.A Anita Roddick spends most of her clip making the selling activities such as runs and conferences. The Body Shop ne’er advertised in newspapers or magazines because this type of publicity would increase the cost of the merchandise. For The Body Shop, the most effectual and utile manner of advertisement is to utilize its stores and its staff, every bit good as utilizing issues awareness, such as â€Å" Activate Self-Esteem † . Example The Body Shop launched a run utilizing the â€Å" Ruby Doll † – a realistic looking doll to advance existent adult females. They used it in their shops, hosted arguments, funded research, and held conferences all related to self-esteem, all activities that point back to The Body Shop. Anita Roddick said about advertizement â€Å" There ‘s no illustration of anyone making what we ‘re making in America and doing it work † Globalization Globalization represents the increasing integrating of economic sciences, communications and civilization across national boundaries. In today ‘s society, corporations and endeavors are spread outing their concerns in the planetary markets. Globalization is necessary for success and endurance in the worldwide market ; nevertheless, planetary competition is non easy. For BodyShop the chances are in broad array non merely on the portion of embarking into parts with much income and net income to derive but besides an chance to portion and supply quality merchandises to fashion-conscious people with trend to manner lifestyle.Its successful and widely-known corporate civilization, its organizational construction, its directions manners and its well-controled and regulated franchise system efficaciously back up the planetary enlargement of Body Shop, under the decorative elephantine L’Oreal along with its strong trade name name, into more stray, under-deveolped and less developing counbtries in Africa and Asia. Task3 A critical rating of restriction and benefits of turning construct and popularity of ‘free market ‘ to organic structure store. A free market is market without economic intercession and intervention and ordinance by authorities except to implement ownership ( â€Å" belongings rights † ) and contracts. It is the antonym of a, controlled market where the authorities regulates how the agency of production, goods, and services are used, priced, or distributed. all markets within it are unregulated by any parties other than those participants in the market. A market economic system based on supply and demand with small or no authorities control. A wholly free market is an idealised signifier of a market economic system where purchasers and sells are allowed to transact freely ( i.e. buy/sell/trade ) based on a common understanding on monetary value without province intercession in the signifier of revenue enhancements, subsidies or ordinance. Free markets contrast aggressively with regulated markets, in which authoritiess straight or indirectly regulate monetary values or supplies, which harmonizing to free-market theory causes markets to be less efficient. Advantageous of free market economic system 1. market economic systems can set to alter easy ( If there is a demand for one thing, companies have the ability to alter what they produce alternatively of holding to travel through excessively much authorities protocol first ) 2. Rational ego involvement in market economic systems are besides encouraged ( allow freedom for people to make what they want, make what they want, and, sell what they want -to a certain extent- , this can besides be described as being able to make up one’s mind what is traveling to be produced, how it is traveling to be produced and for A whom it is traveling to be produced ) . the authorities tries to remain out of the manner of businesses- Although the authorities sets certain criterions concerns must follow- for the most portion concerns can make as they please. .ue72850b8f569c59e2f541715313867b4 , .ue72850b8f569c59e2f541715313867b4 .postImageUrl , .ue72850b8f569c59e2f541715313867b4 .centered-text-area { min-height: 80px; position: relative; } .ue72850b8f569c59e2f541715313867b4 , .ue72850b8f569c59e2f541715313867b4:hover , .ue72850b8f569c59e2f541715313867b4:visited , .ue72850b8f569c59e2f541715313867b4:active { border:0!important; } .ue72850b8f569c59e2f541715313867b4 .clearfix:after { content: ""; display: table; clear: both; } .ue72850b8f569c59e2f541715313867b4 { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .ue72850b8f569c59e2f541715313867b4:active , .ue72850b8f569c59e2f541715313867b4:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .ue72850b8f569c59e2f541715313867b4 .centered-text-area { width: 100%; position: relative ; } .ue72850b8f569c59e2f541715313867b4 .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .ue72850b8f569c59e2f541715313867b4 .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .ue72850b8f569c59e2f541715313867b4 .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .ue72850b8f569c59e2f541715313867b4:hover .ctaButton { background-color: #34495E!important; } .ue72850b8f569c59e2f541715313867b4 .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .ue72850b8f569c59e2f541715313867b4 .ue72850b8f569c59e2f541715313867b4-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .ue72850b8f569c59e2f541715313867b4:after { content: ""; display: block; clear: both; } READ: Response to Going to Meet the Man by James Baldwin Essay3. there is a great assortment of goods and services for consumers ( If there is a demand for a good or service, the demand will about ever be met in a market economic system ) . 4. market economic system encourage competitory environment, ( competition does promote invention, and the free market economic system has produced good over a century of dizzying proficient advancement. At the same clip productiveness has besides increased at a phenomenal rate. A competition is one of the basic grounds why there are by and large so many different assortments A of goods A for consumers to take from. Besides Free economic system promotes economic invention in several ways: By spurring merchandise competition among companies in the same line of concern By exposing domestic houses to the best new thoughts around the universe Enabling local houses to import high-technology capital equipment and know-how, so that they can fabricate merchandises and present services at lower costs Examples Market economic system has come to be accepted as a norm across the universe with many developing states like Africa, India and China traveling towards a full-market orientated economic system and we have seen the Body Shop, based on strong ethical and corporate civilization, widely benefits from the availablity of free market without compromising its ethical criterions and organizational values. Limitations of Free Market As the authorities meddles and efforts to command the economic system, it causes economic discord. A states involvements are n’t taken attention of, in a free market you vote with your dollars. If there is a Russian speech production client base, you learn to talk Russian. Does n’t work good for services such as wellness attention. No goverment involved means some merchandises could be harmful to people It is non as disciplined and secured as regular market. Sometimes this works, but as 2008 is demoing, sometimes it doesn’t. Especially in a market-based economic system, where people want to do a net income, some unscrupulous folks may heighten their ain net income border at the disbursal of others, such as the consumer. The inclination toward net income may weaken the self-policing facets, and the consumer may non have the best trade. Scheme for Body Shop Although Free market economic systems have been successful in developed economic systems, will non be so in developing states and the lone resort for them is the theoretical account of the assorted economic system or societal market economic system. The welfare function of the province is retained in a societal market economic system which cares for the hapless. In instances where the hapless states are endeavoring towards a free market economic system, there should be certain sections controlled by the province but with prevalence of free endeavor such that efficiency is restored and the state moves towards economic prosperity. Free market economic system under centralised political control is the most effectual manner for these states. In a assorted type economic system, both the private ownership every bit good as the province takes portion in the agencies of production, distribution and other types of economic activities.both free-market and regulative forces are at work.A A Some see these forces as being at odds with each other ; others feel that the economic system works at its extremum when both forces are working together.A A Whatever you believe, many states, including the United States, have both systems at work at the same time, and the balance between the two dictates how the economic system, overall, will tendency. In world, all economic systems are assorted, though there are broad fluctuations in the sum of mix and the balance between public and private sectors. For illustration, in Cuba the authorities allocates the huge bulk of resources, while in Europe most economic systems have an even mix between markets and planning. Economic systems can be evaluated in footings of how efficient they are in accomplishing economic aims. ( 5 ) Free market available on hypertext transfer protocol: //www.economicsonline.co.uk/Competitive_markets/Economic_systems.html hypertext transfer protocol: //www.economywatch.com/market-economy/advantages-market-economy.html hypertext transfer protocol: //www.economywatch.com/world_economy/world-economic-indicators/mixed-economy.htm hypertext transfer protocol: //www.blurtit.com/q917361.html cubic decimeter ( accessed on 12june 2010 ) As it has really strong corporate civilization, supply concatenation direction, community engagements across Earth, effectual compaign against poorness and ethical issues, it has the possible to suit itself to demands of varing economic systems, whether free or regulated, or assorted economic system, and sucessfully remain competitory. Undertaking 4 Examination and Evaluation of organisational design and construction of Body store and cardinal direction patterns: In 2006, The Body Shop becomes portion of the L’Oreal Group. It retains its alone individuality and Values and continues to be based in the United Kingdom. It operates independently within the L’Oreal Group and is led by the current direction squad of The Body Shop describing straight to the CEO of L’Oreal, Jean-Paul Agon. The organisational structureof Body Shop has five basic elements as per Henry Mintzberg ‘s definition of administration. The Operating Core: Employees who perform the basic work related to the production of merchandises and services. In The Body Shop the operating nucleus is merchandise design and in writing design and production section. The Strategic Core: Top degree Management who are charged with the overall duty for the organisation. In the instance of The Body Shop its CEO and Top Line directors are its strategic nucleus devising policies and ordinance for the direction, executing and control. way of the organisation maintaining in head the factors of organisation ‘s repute, being, enlargement and growing. The Middle Line: Directors, who contact the operating nucleus to the strategic vertex. The Techno construction: Analyst who have the duty for impacting the certain signifiers of standardisation in the organisation e.g. In the instance of Body Shop the techno squad consists of its IT section, comptroller, work scheduler, long scope contriver. The Support Staff: Peoples who fill the staff unit, who provide indirect support services for the organisation. In the Body shop the undermentioned sections are fundamentally chief back uping section e.g. Public relation ; selling section including in shop staff, warehouse section and distribution section, paysheet section ( 6 ) 6 ) Organizational Design of the Body Shop: As per the web site of organisation, the basic design of the Body store includes the followers: The Body Shop In shop Behind the scene At place Marketing Department including selling staff Production Department Strategic Department Techno Department Product / Graphic design section Warehouse Department Distribution Department beginning ( 7 ) Organization values â€Å" Business organisation are non merely for the net income -their resources can be used to advance wider intents.the inspiration and the set of values associated guide the trading rules of organic structure store direction, which are: They aim to guarantee that human and civil rights, as set out in the cosmopolitan declaration of human rights, are respected throughout their concern activities. They will back up ling term, sustainable relationship with communities in demand. They will utilize environmentally sustainable resources wherever technically and economically feasible They will advance carnal protection throughout their concern activities and in many ways The overall corporate civilization and selling stategies of Body Shop support these ethical values. Body Shop organisational construction and planetary enlargement The Body Shop operates within a regional divisional construction. Centralized caput offices in the United Kingdom ( London and Littlehampton ) maintain planetary corporate and support maps. The company is so divided into four parts: UK and the Republic of Ireland ( ROI ) , the Americas, Europe, the Middle East, and South Africa, and Asia Pacific. Within each part are both company-owned shops and franchises as outlined. The divisional nature of the construction allows regional directors to â€Å" concentrate attempts on bettering operations in the ( parts ) for which they are responsible and the corporate officers can give their clip to overall strategic issues for the full corporation † ( Dess G. , 2006, p. 297 ) . This construction helps to suit rapid enlargement. Within the divisional construction and critical to TBS ‘s international enlargement scheme is master franchising, â€Å" whereby the franchisor ( TBS ) grants the maestro franchisee ( the regional division ) the right to franchise the franchisor ‘s construct to others within an sole district, making a three-party understanding. † ( Doherty, 1999 ) â€Å" By naming a caput franchisee in each major national market, Roddick was able to concentrate on the development of new productlines and the company ‘s planetary vision, instead than worry about the complexnesss of disposal or forces direction † ( HBR p. 4 ). Under this construction, there is a free-flow of information between central offices and parts, nevertheless the regional divisions become responsible for supplying information and supervising the sub-franchisees. It besides allows Body Shop caput office to concentrate on corporate strategic issues. Stakeholder civilization Its stakeholder civilization is its core competency. This civilization includes everything from committedness to the community, to the environment and to the protection of animate beings. The usage of stakeholder audience in combination with public coverage is a great manner to guarantee that that organisation is keeping their committedness of presenting value to the stakeholders. Undertaking 5 Discuss entrepreneurship and leading manner of laminitis, Anita Roderick. 500 Wordss Anita roddick- enterpriser An enterpriser is one who organizes, manages, and assumes the hazards of a concern or endeavor. Entrepreneurs live in the hereafter. They have originative personalities, are advanced, and thrive on alteration. Anita Roddick is surely a great enterpriser. Everything that embodies her exploits involves instruction and alteration. ( ) — — definition. Entrepreneurs have a vision of something new and they want to see how far it can travel. Entrepreneurs find the best manner of forcing thoughts along. Entrepreneurs use money to oil the wheels of success. Entrepreneurship has three parts, the individual, the thought and the resources For illustration her â€Å" trade non assistance † has priceless effects for states and people around the universe. But that is what entrepreneurs do! Entrepreneurs make alteration. Lashkar-e-taibas discuss few qualities of Anita as an enterpriser. Control Factor She prefered environments where they have maximal authorization and duty and make non work good in traditionally structured organisations. Like Entrepreneurs she had a demand to make and accomplish by holding control over events.it is of import as it helps show the self-government of an administration, which helps find a higher rate of enterpriser activity. Hazard Taking Entrepreneurs are determined to prosecute in hazardous actions in order to come up with new prospects.Likewise she has the bravery and the continuity to prosecute in her venture, even without the confidence of succeeding.. It may look like she is taking high hazards, but in actuality she had assessed the hazards exhaustively. Entrepreneur ‘s value system The 3rd personal factor is the enterpriser ‘s value system, which entails scrutiny, apprehension of one ‘s topographic point in the society, and the person ‘s thought about individuals and things. They have a ceaseless sense of urgency to make something. This corresponds with a high energy level.This includes the perceptual experience and the achievement motives of the enterpriser, for their values find their attitude towards their dedication with their work. Entrepreneur ‘s job resolution manner Invention and job resolution capablenesss are expected to be the nucleus of the entrepreneurial capableness of an enterpriser, for they are faced with a figure of challenges as they try to implement new thoughts and work out jobs, so their innovativeness counts. This helps entrepreneurs identify relationships in complex state of affairss. Chaos does non trouble oneself them because they can gestate order. Problems are rapidly identified and solutions offered. Employees/Environment †Most concerns focus all the clip on net incomes, net incomes, profitsaˆÂ ¦I have to state I think that is profoundly boring.I want to make an electricity and passion that bonds people to the company † . ( Anita Roddick ) .uef87e28b999fd9eb2c6a18a6234a38d6 , .uef87e28b999fd9eb2c6a18a6234a38d6 .postImageUrl , .uef87e28b999fd9eb2c6a18a6234a38d6 .centered-text-area { min-height: 80px; position: relative; } .uef87e28b999fd9eb2c6a18a6234a38d6 , .uef87e28b999fd9eb2c6a18a6234a38d6:hover , .uef87e28b999fd9eb2c6a18a6234a38d6:visited , .uef87e28b999fd9eb2c6a18a6234a38d6:active { border:0!important; } .uef87e28b999fd9eb2c6a18a6234a38d6 .clearfix:after { content: ""; display: table; clear: both; } .uef87e28b999fd9eb2c6a18a6234a38d6 { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .uef87e28b999fd9eb2c6a18a6234a38d6:active , .uef87e28b999fd9eb2c6a18a6234a38d6:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .uef87e28b999fd9eb2c6a18a6234a38d6 .centered-text-area { width: 100%; position: relative ; } .uef87e28b999fd9eb2c6a18a6234a38d6 .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .uef87e28b999fd9eb2c6a18a6234a38d6 .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .uef87e28b999fd9eb2c6a18a6234a38d6 .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .uef87e28b999fd9eb2c6a18a6234a38d6:hover .ctaButton { background-color: #34495E!important; } .uef87e28b999fd9eb2c6a18a6234a38d6 .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .uef87e28b999fd9eb2c6a18a6234a38d6 .uef87e28b999fd9eb2c6a18a6234a38d6-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .uef87e28b999fd9eb2c6a18a6234a38d6:after { content: ""; display: block; clear: both; } READ: Bookseller of Kabul Essayshe ever strived difficult to supply and keep healthy civilizations, where employees felt the belief that they are portion of an exciting future.They come to work with a fire inside them, a consequence of clearly stated leading and concern patterns that everyone explicitly understands.Every individual in the company knows how to separately lend to its future.As an great entrpreneur Anita Selected Staff that Support the Vision of the Corporation. Corporate Governance-Anita ‘s Decision -making As portion of the efficient qualities of Roddick entrepreneurship, the Body Shop is really sing the construct of effectual corporate administration as their competitory advantage.Anita Roddick, as caput of the decision-making organic structure of the company, created a good system non merely in selling their merchandises but besides in keeping expressive relationship to their overall stakeholders. The Board of Body Shop has been able to achieve complete control of all affairs sing the company. Their self-perseverance and duty to their responsibilities and eventually, their obeisance to the company Torahs all contribute to the development of the corporation. The Board ‘s authorization is clearly recognised within the company. And because of this, it is able to hold a solid clasp on the corporation ‘s existent operations, stakeholders and its fiscal concerns. Clearly, these facts prove the strength of the company ‘s corporate administration construction which is really contemplation of enterpriser accomplishments of Anita Roddick. External factors civilization, function theoretical accounts, work experience, instruction, and environment besides contribute to do great enterpriser. .Anita Roddick ‘s educational and professional calling is all right case in this respect. These factors determine the success in concern ventures by its interaction and interrelatedness, which brings good effects to the company. Continous Strategic growing and strong trade name name of organic structure store is clear illustration of Anita ‘s accomplishments as an enterpriser. ( 10 ) Decision Dame Anita Roddick deserves the congratulationss for her model public presentation as an enterpriser. She has become successful because of the clear ends that she wants her Body Shop to hold and achieve. In her instance, hazard project, creativeness and being advanced, and beliefs, are the factors that made her a successful enterpriser. The first measure is non to win in the market place, but to come in the market place with a strong individuality. The Body Shop is merely person ‘s organic structure store. Now, it is everybody else ‘s â€Å" organic structure store. † â€Å" From merchandise development to human resource direction, The Body Shop has been described as â€Å" advanced, † â€Å" dare, † and even â€Å" extremist † . But there is no inquiry it was successful. † ( HBR p. 4 ) Task6 A treatment on Body store ‘s place in modern-day era- ( discuss in relation to globalization, emerging direction theories, important internal alterations and emerging functions of free market. 800 words. Body Shop has assorted rivals in decorative industry such as Proctor and Gamble, Unilever, Shiseido, L’Oreal, Avon, Revlon Boots, Nectar, Bath A ; Body Works, Origins, and Aveda etc. Let ‘s utilize follwing competitory concern theoretical account to analyze Body Shop ‘s competitory environment as general position. Please see Appendex for Porter ‘s Five Forces Industry Competitive Analysis 6.1 ) SWOT Analysis The SWOT analysis helps to place major factors in the internal and external environment of a company. A SWOT analysis of Body Shop identifies countries on which the company needs to concentrate on in order to better company public presentation, so that we analysis and see the assorted phases of the SWOT analysis. Strengths Brand Loyalty – Body Shop is greatly dependent on its trade name repute which is a critical factor in gross revenues. Due to its alone merchandises, it has come out to be seen as one of the most environmentally friendly retail merchants. L’Oreal ‘s support – L’Oreal ‘s experience in advertizement, planetary trade name development, investing capital and selling can hike overall gross revenues. Community Trade -TBS beginnings low-priced natural stuff from deprived communities worldwide. As committedness to this plan addition, the company will be able to capitalise on these cost nest eggs and value making activities. Global Position -TBS is located in 55 states worldwide, cut downing its exposure to market hazards in one part. Due to this company in a good place and take advantages of growing chances in and around these part while increased planetary consciousness of the company. Niche selling – Body Shop targets a niche market. By saying that it is non proving its merchandises on animate beings and by looking to hold an ecological profile, it has appealed to clients with ethical issues. Bing the lone store in the shopping Centre that sells ecological merchandises, has given it advantage in the local market. Charity support – Body Shop provides fiscal assistance in charities by giving little sum of money. Management-it has really focussed direction and staff due to effectual corporate civilization. Failings Operation Cost- A diminution in profitableness was experienced in 2006, due to inefficient stock list supply direction and increasing operating costs as a consequence of reorganisation and franchise. Given the growing of the organisation and its recent restructuring, it is critical for The Body Shop to concentrate on bettering operational efficiency.A Reducing stock list retentions and bettering efficiencies within the supply concatenation are a great topographic point to get down in the context. Untrust on L’Oreal- Body Shop, unlike L’Oreal, has really rigorous policy on no carnal proving for decorative merchandises whci create possible environment of misgiving about new policy of L’Oreal after its geting of Body Shop. This indicated a loss of market portion within this strategic parts. this diminution is likely to be the recoil of TBS’loyal consumers to the alteration in ownership. That is the failing in future.Body Shop has to do certain it values and environmental policies should be observed along with L’Oreal. Opportunities Expanding market – Emerging market in developing states with the addition in consumers passing in developing states, big markets with high population are emerging in the Russian and Jordanian markets and can now concentrate on other turning markets in states such as Pakistan, China and India. The growing potency of these markets is what is driving the growing of full industry. Male Segmentation- with the turning figure of work forces interested in wellness and beauty productsthere is spread outing inclination for Male training merchandises. For illustration In 2006 the entire market for male training merchandises reached to $ 3 billion.This section has a great possible if the tendencies continue. They increase merchandises entree to clients, increasing consciousness, sales.and net incomes. Internet Channel- As consumers become more occupied on the cyberspace and with direct gross revenues, L’Oreal has the chance to spread out these channels to their fullest capacity through presenting them in new and emerging markets. Menaces L’Oreal different values-As a top performing artist in C A ; T industry, L’Oreal is known to back up assorted activities that are non in-line with TBS ‘s values, such as utilizing ingredients tested on animate beings. The coup d’etat of TBS by L’Oreal has do some protagonists to experience that TBS ‘s values no longer represents their ain and they will therefore non back up the company any longer. This causes a recoil and resulted in declined gross revenues and net income. Price- Market may go monetary value sensitive.if monetary value is major driving factor for consumer purchasing behavior so Body Shop has to revise its pricing scheme to remain in competition because its merchandise monetary values are comaparatively higher. More Competition-Market section growing could pull major competion.the wider competition is in the market is ever menace to Body Shop both domestically and internationally.so it has to remain one measure in front of its rivals in footings of merchandise design and client satisfaction. Management Manners at Body Shop Staff Motivation â€Å" Most concerns focus all the clip on net incomes, net incomes, profitsaˆÂ ¦I have to state I think that is profoundly deadening. I want to make an electricity and passion that bonds people to the company † Anita Roddick ( HBR p. 6 ) The Body Shop has healthy civilization, its employees are n’t kept in the dark ; instead they are supported in the belief that they are portion of an exciting hereafter. They come to work with a fire inside them, a consequence of clearly stated leading and concern patterns that everyone explicitly understands. Every individual in the company knows how to separately lend to its hereafter. It has the environment where direction promote staff to inquire inquiries to happen better working methods, promote argument. It is ever supportive of new thoughts which th keeps people interested and advanced. Such civilization involve staff in determination devising and it make heroes of employees who personify what company wants to see. It encourages to advance 2 manner appraisals staff to directors and directors to staff. And it helps to guarantee staff that they are non a solitary voice. Let them to turn. Hiring Staff The Body Shop choice Staff that Support the Vision of the Corporation.It looks for people who have energy and wonder. They should be able to take information and tally with it. It ever aims to use â€Å" large † people with large thought and large thoughts. Employ people that will suit in. General environment at Body Shop Steering people to the beginning of their ain power. Making a committedness to common ends and shared values. Weaving societal and environmental dimensions into the cloth of the company. There is a touchable sense of euphory. There is a sense of existent energy about the topographic point. There is a sense of joyful amateurism and merriment. There is a sense of lovingness, household and community. ( 12 ) Such direction manners and healthy corporate civilization transform and actuate employees to bring forth best single consequences which contibute to organizational growing and success.they are no more ordinary staff and people ; they are passionate and extremely bear down team-members lending organizational sucess, both locally and globally.So, we see from a individual store gap in Brighton in 1976 has sprung 100s of franchises throughout the universe. Anita sees the duty of concern as being supportive to the community both locally and globally. Mentions 4 ) Corporate duty available on, hypertext transfer protocol: //social-corporate-responsibility.suite101.com/article.cfm/corporate-social-responsibility-at- the-body-shop ( accessed on 8th June 2010 ) ( 5 ) Free market available on hypertext transfer protocol: //www.economicsonline.co.uk/Competitive_markets/Economic_systems.html hypertext transfer protocol: //www.economywatch.com/market-economy/advantages-market-economy.html hypertext transfer protocol: //www.economywatch.com/world_economy/world-economic-indicators/mixed- economy.htm hypertext transfer protocol: //www.blurtit.com/q917361.html ( accessed on 8th June 2010 ) ( 6 ) Organisational construction on, hypertext transfer protocol: //www.provenmodels.com/22 ( ( accessed on 18th June 2010 ) 10 ) Entrepreneur ‘s Hall of Fame: Anita Roddick, hypertext transfer protocol: //www.ltbn.com/hall_of_fame/Roddick.html hypertext transfer protocol: //www.mission-coach.co.uk/pages/belief_model_leadership_anita_roddick.asp Roddick, Anita. Interview. The Entrepreneurial Mindset. 04 Sept. 2007 lt ; hypertext transfer protocol: //www.cwerty.com/members.asp gt ; . ( accessed on 6th June 2010 ) 12 ) Leadership manners available on, hypertext transfer protocol: //www.mission-coach.co.uk/pages/belief_model_leadership_anita_roddick.asp Hamm, John. â€Å" The Five Messages Leaders Must Manage. † Harvard Business Review ( 2006 ) : 1-9. ( accessed on 26th May 2010 ) Beginning: Henry Mintzberg, Structure in Five: Planing effectual organisation, Page 279 ; Book Organizational Theory ( Third edition ) Stephen P. Robbins â€Å" Anita Roddick. † Business the Ultimate Resource. Cambridge: Perseus, 2002. 1134-1135. Bateman, Thomas S. , and Scott Snell. Management Leading and Collaborating in a Competitive World. Boston: McGraw Hill, 2007. Roddick, Anita. Business as Unusual. Chichester: Anita Roddick Books, 2005. Roddick, Anita. Interview. The Power of the Story. 04 Sept. 2007 lt ; hypertext transfer protocol: //www.cwerty.com/members.asp gt ; . hypertext transfer protocol: //news.bbc.co.uk/l/hi/business/4815776.stm hypertext transfer protocol: //www.ltbn.com/hall_of_fame/Roddick.html hypertext transfer protocol: //www.thebodyshop.com/companycasestudy/naomaarron hypertext transfer protocol: //ivythesis.typepad.com/term_paper_topics/the_body_shop/ hypertext transfer protocol: //www.bodyshop.com/global/index.aspA hypertext transfer protocol: //social-corporate-responsibility.suite101.com/article.cfm/corporate-social-responsibility-at-the-body-shop

The Life Span Perspective of Development

The Life Span Perspective of Development During the life, people change significantly with references to their physical appearance and characteristics and with references to their mental and emotional progress. The life span perspective of the human development is based on the idea that a person moves through several stages of development during the whole life (Berger, 2011, p. 7).Advertising We will write a custom essay sample on The Life Span Perspective of Development specifically for you for only $16.05 $11/page Learn More Thus, certain changes are typical for the definite stages of life, but it is also important to pay attention to the individual character of experienced changes because all the people are different. From this point, the life span perspective aims to explain the human development with the focus on separate phases completed during the whole life; and all the stages of the human development are taken into consideration in spite of the fact that the followers of this perspective a re inclined to determine phases according to different criteria. The Aspects of the Life Span Perspective of Development The life span perspective of the human development is characterized by the complex approach to analyzing all the aspects of the people’s changes observed during different life stages. As a result, it is possible to speak about the multidimensional character of the approach because all the aspects are discussed in their connection. According to Berger, the human development presented as the life span is multidirectional, multicontextual, multicultural, multidisciplinary, and plastic (Berger, 2011, p. 10-18). This statement means that it is irrelevant to discuss the human development as started at one point and moving to another one; or as dependent only on one context, including only the family or social status; or as dependent only on one culture. The people’s development is the complex process because a person is influenced by a lot of environments, cultures, and situations during the life span. This person interacts with many people belonging to different cultures and ethnic groups and develops the specific personal traits during the whole life (Berger, 2011, p. 10). Each detail associated with the person’s life, such as the family, socioeconomic status, and character, matters to explain the aspects of the person’s life span development. Freud and Erickson’s Theories of Life Span Development There are many theories of the life span development which differ in criteria according to which psychologists determine different stages of the people’s life. Freud and Erickson’s theories are similar in focusing on the age-related steps, but they are different in criteria to state the fundaments for the stages’ progress. Thus, Freud’s theory depends on a range of psychosexual phases because the theorist is inclined to associate the man’s sexual nature with the psychological develop ment. Freud concentrates on the childhood as the period when a child experiences some crises which determine the oral, anal, phallic phases, and the period of latency. These periods lead to the genital stage lasting during the adolescence and adulthood. According to Freud, the stages depend on the centers of pleasures important during different stages (Berger, 2011, p. 43-47). As a result, the human sexual nature is chosen as the criterion to propose the life span stages.Advertising Looking for essay on psychology? Let's see if we can help you! Get your first paper with 15% OFF Learn More Erickson’s theory is based on the social aspect. If Freud’s theory depends on psychological crises associated with the sexual development, Erickson’s theory depends on psychological crises associated with the people’s social interactions. Erickson states that people move through a range of stages during which they are impacted by the peculiarities of the environments and interactions with people. People’s activities and behaviors during different stages are explained with references to their attitude to their society and personal interactions. As a result, at different stages, people are influenced by the conflicts between their identity or independent life and society which can be represented as the family, relatives, friends, and other people (Berger, 2011, p. 51). Interaction of the Heredity and Environment A person can be discussed as an individual only with references to the unique combination of the heredity and environment’s impact on his or her development. Today, scientists cannot provide the single opinion on the role of nature and nurture in the person’s development because it is impossible to state what factors affect the personal development drastically. Heredity makes people different in their appearance and physical qualities when nurture makes people different in their vision of the world , education, and lifestyle. It is important to note that nature and nurture are in ongoing interaction to affect the person’s individual development. The unique complex of the genetic material and environment produces a unique person who should be discussed only with references to combination of heredity and environment (Berger, 2011, p. 9). Inherited qualities should be combined with the environment’s impact to influence the individual’s development. Conclusion The life span perspective of the human development depends on the idea that people move through many stages during their life, but this movement should be discussed as the multidimensional process rather than as the linear movement. Such aspects as the interaction of nurture and nature can influence the person’s development significantly because various inherited qualities or life situations can affect the people’s life differently. Reference Berger, K. S. (2011). The developing person thro ugh the life span. New York, NY: Worth Publishers.

Sustainable Management Futures (indivdual assignement ) Assignment

Sustainable Management Futures (indivdual assignement ) - Assignment Example EADS and BAE made all of their assets to move to the newly established company. At present, EADS holds 80 percent shares of Airbus, whereas BAE holds 20 percent shares of the company. a supervisory council has been established to look into the operation of airbus. This committee is actually a shareholder committee and consists of seven members only. In this committee five members come from EADS, while the remaining two come from BAE. The committee is responsible for approving budget of Airbus (Airbus, 2010). This shareholder committee also helps in making and implementing investment strategies of the firm. Later on Airbus significant effort has been made to reorganize the company to build several centers of excellence with an aim to earn profit. Each of these centers is authorized with the power of making their own manufacturing and buying policies relating to the production of different parts of aircrafts. They are allowed to make subcontract in order to reduce costs. This kind of o perational set up has been chosen by this aircraft company as for this industry, this policy seems to be the most effective way of building and maintaining profitability. Presently, airbus has four subsidiaries which are authorized to take their own operational decisions. These subsidiaries are airbus of North America, Airbus of China, Airbus Japan and Airbus Transport International. It is a very profitable company and presently it offers its supports more than 3000 aircrafts with 250 operators. Airbus has a mission of providing those aircrafts that are best suited to the current needs of the market along with supporting all these manufactured aircrafts with services of the highest quality. It holds the vision of listening to their customers’ needs and responding accordingly. This paper will make an attempt of examining sustainable management of airbus which operates on a multinational ground. First of all a rigorous analysis of the political, economic, social and technologic al aspects associated with the company will be conducted. Then focus will be placed on environmental aspects that the company should take under consideration. The paper will also discuss the major drivers that have forced the company to take into consideration various environmental aspects while forming its operational policies. This paper will also discuss sustainable management strategies of Airbus along with considering the benchmark requirements. Finally it will analyze the impacts of these policies. PEST analysis and analysis of Environmental Factors associated with Airbus operation: The essential items to deal with the global strategy (based on the PESTEL analysis): Political analysis: Airbus has always been the source of economic activities such as jobs, technology development, ancillary companies and spin offs. Therefore EU has provided Airbus its assistance throughout. Since Airbus is a European consortium of French, German, Spanish and UK companies, therefore EU has served it full-fledged since it a support through tax breaks, financing, loan guarantees and research and development support. In 2001, in one of the reports from European Association Of Aerospace Industries, it is seen that there have been at least 4,35,000 jobs in the aerospace sector of Europe, with 1.2 million jobs being supported directly or indirectly by the industry. There has been a friction in the relationship between US and

Legal Environment of BUSINESS FINAL EXAM Essay Example | Topics and Well Written Essays - 1500 words

Legal Environment of BUSINESS FINAL EXAM - Essay Example On the other hand, the article contains guarantee for fitness of goods for the right use (Ferrari 43). This implies that the seller of a product should assure the buyer that the product will serve the intended purpose. In this case study, the seller bought software online from Ace Inc. according to Article 2 of the Uniform Commercial Code, the buyer is entitled to enjoy products of merchantable quality and the product should serve the intended purpose (Saxon 93). However, it appears that the buyer has no problem with the quality and performance of the product. The buyer discards the software because the seller has offered it at a higher price than another seller of similar product. Therefore, basing my view on article 2 of the Uniform Commercial Code, I believe John (buyer) has no reason for discarding the software because the seller has met all the requirements as stipulated in the article. John was supposed to examine different prices offered by different sellers in order to decide on where to buy the product. The fact that John bought the similar software from a different company implies that what Ace Inc met the warranties of merchantability and fit for the purpose (Ferrari 71). Also, these warranties apply to John because he bought the software from a company that was operating in the same field of business. According to the law of contract, the buyer owes the seller duty of acceptance of the product and payment of reasonable price (Ferrari 112). Therefore, John should accept the software and pay a reasonable price for the products. In case the buyer feels that the price was unfair, he should petition the court to decide on what the fair price will be in this situation. Question B: sale of goods Contracts The contract is for the sale of goods as stipulated in English Sale of Goods Act 1893 (Saxon 154). A contract for sale of goods involves an offer and an acceptance. In this case study, Ammco made an offer to sell merchandise worth more than $500.00 to Erm a. According to the requirements of the contract of for sale, Erma agreed to purchase the merchandise in writing hence fulfilling the contract requirement that sale of goods exceeding $5 should be in writing (Ferrari 154). The contract involved two parties, the seller and the buyer. In addition, the consideration of a contract for sale of goods should be in monetary value, and this was fulfilled in the case study because Erma agreed to pay more than $500. The contract for the sale of goods determines the moment when transfer of property in goods takes place because this determines when the risk in goods passes to the buyer and remedy available to each party in case the goods are damaged. This contract did not follow the actual procedure of forming a contract. The additional information given by the seller to the buyer constitutes a counter offer hence the contract is voidable at the will of the buyer (Ferrari 187). This implies that the contract will be formed between the buyer and the seller the moment the buyer will accept the new conditions stated by the seller. Should the buyer agree to pay for insurance and cost of freight, then there will be a conclusion of a contract under Cost Insurance and Freight (C.I.F). Under C.I.F contract, the buyer has a right to accept the merchandise only if the merchandise meets the specifications stipulated in the contract. The goods on voyage are at the buyer’s risk since the seller insured the goods on his behalf. However, if the

Social constructivist model Essay Example for Free

Social constructivist model Essay This theory is based upon the idea that children are ‘empty clay tables’ (Tabula Rasa) and that they are capable of being moulded and shaped by adults. It was first developed by the philosopher John Locke (1632-1704). People who work in this way are known as ‘behaviourists’. Transmission model sees people as passive and that they learn through experiences. The transmission model concentrates on nurture and not nature; it is split into two main components, learning theory and sociallearning theory. Classical conditioning: Pavlov (1849- 1936) worked with dogs, he fed them when the church bell rang or a light was flashed. The dogs salivated when they were fed; eventually they salivated at the sound of the bell or when a light was flashed even if no food was given. This is called the conditioned response. Operant conditioning: skinner the psychologist (1904- 1990) developed Pavlov’s work more and concentrated mainly on modifying and shaping behaviour. He did the same thing by feeding animals but only rewarded them with feed if they did as he asked. This acted as positive reinforcement. So he did the opposite if they did not do as he asked he would give them electric shock which acted as negative reinforcers. This theory accepts basis of learning theory but emphasises that children learn behaviours through watching adults and imitating them, especially those close or important to them. Children can also learn by imitating other children. A well known social learning theorist was a man named Albert Bandura (1925- ) he found that most behaviours are learned through observation. For example aggression, sex roles or sharing. The social learning theory emphasizes the fact that adults need to show acceptable behaviour towards children as they will model their behaviour e. g. if and adult shouts and gets angry at another adult then children are likely to model this behaviour towards others, and vice versa.

Sex Education in American Schools Essay example -- America Public Scho

Every year in America, one million teen girls become pregnant and at least three million teens become infected with an STD (Donovan, 1). Though these numbers slightly fluctuate, problems facing American adolescents today, like HIV/AIDS, other STD’s, and teen pregnancy. This means that some needs to change. These problems will decline when sex education is revamped everywhere in America, by making the curriculum completely comprehensive in addressing problems facing adolescents today such as teen pregnancy, STD’s, rape, pressures and emotions dealing with sex, and give teens good communication skills. Right now teachers approach these subjects on their tip toes, dance around the issue, and not fully give out all the information. Meditation. To find out what needs to be change we should look at what is being taught. In Levine’s book, Harmful to Minors, she discusses the curriculums being taught in public schools today, by breaking them down into two categories. Abstinence-only and abstinence-based. Both of these programs do teach about health, physical education, home economics, and biology, but both can really differ when dealing with the different â€Å"sensitive† issues. Abstinence-only education, promotes postponing sex, but when it comes to issues like contraception, it is taught how affective it is, but not where to get it. Abstinence-only curriculum promotes more education through the family, instead of through school. Some abstinence-only curriculums do deal with comprehensive issues, but mainly try to avoid the subject. Some teachers even make up lies to try and scare kids away from sex. Abstinence-based is more comprehensive. The curriculum does promote that abstinence is the only 100% full proof method, but ... ...’s. Numerous sexual partners later, she found out she had Chlamydia. These are great examples when comprehensive sex education is needed. Kids will be kids, and kids have sex. Educating the youth will only have them making wiser decisions and protect themselves. There is no doubt that change is needed. Comprehensive sex education is the answer. Informing the youth will have positive repercussions for not only the youth, but for society in general. Evidence does not lie. Abstinence-only education does not work, and there is no evidence that supports it. Comprehensive sex education does not give adolescents the wrong ides. They already have the wrong idea, but still America doesn’t get it. Educating is the only way we have a fighting chance. When the youth has all the information and resources available, they will make informed responsible decisions.

Microeconomics Homework

Patent is defined as the bundle of rights of an investor or his assignee to have â€Å"exclusive rights† granted by the state for a fixed given time in trade for a discovery of an invention (Freeadvice.com 2008: 1). Based from this definition of patent, it is already clear that an individual can have the freedom to solely produce a certain good given that he/she invented it. This sole production of an individual or a firm triggers for the existence of monopoly in the market. Monopoly requires only a single producer and many buyers. Therefore, with the aid of patent, an individual can easily engaged into monopoly since the government would provide that said person legal protection and privilege to be the sole producer of a certain good after a specific period of time. This legal protection of a certain invention serves as the barrier for other people to reproduce it other than the inventor or his assignee. As for the case, due to the discovery of sucralose as a substitute for sugar the state awarded Tate & Lyle its property rights over sucralose leaving them the sole producer of the said products. Since the company is the sole producer in the market of sucralose, it turned out that the company already created monopoly in the market. Other market players can only start to produce sucralose only by 2020, which means, no other market entities will be able to supply the market with the said product other than Tate & Lyle for the next 12 years. Using examples from the data, explain why firms take out patents. It was identified and stated on the given case that the production of artificial sweeteners in the market is very profitable to a point wherein almost 20 percent of the total profit of Tate & Lyle comes from their production of sucralose. Tate & Lyle is already on the process of putting more manufacturing plants to further increase their production capacity to supply the high demand of artificial sweeteners in the market which eventually to the acquisition of more profit out of their production. This high profitability in the monopoly of Tate & Lyle of sucralose made other firms in the market to eagerly find ways to enable them to also produce artificial sweeteners in the market legally. Even if the patent becomes expired by 2020, the demand of artificial sweeteners will be high enough to accommodate the entry of other producers of artificial sweeteners in the market. In addition to this, since Tate & Lyle charges high prices on their artificial sweeteners, industries that use artificial sweeteners as one of their inputs wanted to take out the patent rights of Tate & Lyle to lower down the price of artificial sweeteners in the market as competition step into the market. Although artificial sweeteners are already cheaper as compared to conventional sugar in the market, industries would still want to further lower down its prices by infusing market competition through getting rid of Tate & Lyle’s patent rights over the production of artificial sweeteners in the market. Discuss whether patents in the artificial sweeteners market lead to market efficiency or market failure. Read also  Homework Solutions – Chapter 3 Although not implied directly on the given case, but certainly, the existence of patent rights to Tate & Lyle causes failure in the market. Price of artificial sweeteners would not be that high if there is competition existing in the market. Consumer welfare will surely improved if price level of artificial sweeteners in the market would go down. There will also be enough room for those companies that uses artificial sweeteners to minimize their production costs, thereby leading to cutting of the prices of their products. In this regard, it is clear that it is not only the consumers that will be benefited by the removal of patent rights to Tate & Lyle but also other firms that use artificial sweeteners as a factor of production as substitute to the conventional sugar in the market. Yes, it is true that the discovery of artificial sweeteners provided benefits to the market as a replacement to sugar, but that benefits can still be further improved if its prices will be controlled by market competition and not by simply monopolizing agent who’s goal is to on how to increase their profit through utilizing the bundle of rights that was given by the government. But on the other side of the coin, of the government would remove property rights to those who will discover something new in the market, there is a big possibility that they will be de-motivated to have an initiative to conduct researches and make inventions since it will be easily copied by other firms in the market thereby defeating the initial purpose of conducting research – provide ways to improved the market position of the company. Well, this scenario is inevitable since the government would still have to protect the interest of the consumers as well as the inventors. As an alternative to solve this problem of improving the quality of welfare of both parties, the government could provide patent rights to a certain company but with a condition of setting floor price or price ceiling in order to protect the interest of the consumers as well as the company itself. Works Cited Freeadvice.com (2008). What is Patent [online]? Available: http://law.freeadvice.com/resources/gov_material/patent_trademark_office_patent_defined.htm [Accessed 1 March 2008].