The Life and Death free essay sample

Lass Vegas traffic Jam, a new black 1996 BMW inched along impatiently, its gold detailing glimmering brightly under the street lights. Any attempt to catch a glimpse of the passengers within the tinted windows revealed only a distorted reflection of the chaotic, yet relatively motionless urban scene. The glass sunroof slid open and a dark figure rose partly through the opening, like a tank commander surveying the horizon for signs of the enemy. Discreetly the rear window of a nearby car rolled down as It approached, and the guzzle of a gun emerged slightly.The gun, almost indiscernible from the cavernous blackness inside the car, spewed out thirteen bullets, each one punctuated by a startling yellow flash and a reverberating crack that cut through the buzz of the traffic. In one blurred and sweeping motion the black BMW roared to life, accelerating across the traffic flow and towards the oncoming cars, retreating from the scene as the dark figure collapsed lie amply back into the vehicle. We will write a custom essay sample on The Life and Death or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page This incident is not a scene from a Denier/Pacing mobster movie. Nor is it an episode from an Oliver Stone or Question Titration film.In fact, It Is not a scene from any movie, although the story will likely wind up as a made- for-television drama. Rather, it is the dramatic finale of the life of rapper/actor Outpace Muar Shaker, who was shot four times during this escapade while traveling from a Mike Tyson fight to a nearby club on September 7th. He later died of the wounds, after six days of Intensive care and several unsuccessful operations. Outpace Muar, or OPAC, as he spelled it distinguishing him from the violent Peruvian terrorist group of the same name was one of todays most popular gangs rappers.His lyrics are usually vulgar, offensive, and explicit, and glorify the type of life that he and many other gangs rappers lead. They depict violence, drug use, crime and sexual abuse as acceptable, and as a necessary way of life. They often go so far as to threaten the lives of rappers from rival record labels, with whom he has an East/West coast disagreement resulting in sporadic violent episodes and threat volleys. Such lyrics as Outpace wrote accurately depicted his dangerous lifestyle. Unlike some other gangs rappers who conjure the image only for money, he actually led he thug life, as the tattoo on his stomach describes it.He was a magnet for violence, as his police record Illustrates. He served eight months out of a three year sentence for sexual assault, and was to face sentencing this month for assault and battery charges on a music video producer and carrying a loaded, concealed gun. In 1993, Shaker was sued by a limo driver who claimed that he and several others severely beat him. Also, he was sometimes on the other end of the violence. In November of 1 994 Outpace was shot five times In a New York recording studio In what as labeled a robbery, but allegedly was rivalry related.Despite these misfortunes, Outpace continued his lifestyle without fear of what threaten other rappers and fuel the tension between East and West coast record labels. He began to predict in some songs that either he or his rivals were soon going to be killed, but in the song How Do U Want It, Outpace said l got the scoop on how to get bulletproof, indicating that he didnt expect it to be him. Outpace may have thought he was bulletproof after surviving five bullets, including one to the head, in 1994, but on Friday the 13th the world learned that he was OHare near bulletproof.More correctly, he should be thought of as ignorant. He was ignorant to think that all the threats he rapped out against others and the reckless behavior he exhibited would not be reciprocated. Because of his ignorance, Outpace gave the five million fans who bought his last album the impression that gangsters are bulletproof, and that may have had a big impact on some listeners. But perhaps with his death, he corrected the damage by showing them what the gangster lifestyle really brings: violence, misfortune, and sometimes death.

Capitec Case Study Essays

Capitec Case Study Essays Capitec Case Study Essay Capitec Case Study Essay Wits Business School WBS-2006-21 Capitec Bank: Low-Cost Banking for Joe Average By December 2006, Capitec Bank, South Africa’s newest listed retail bank, had come a long way from its origins as a microlending organisation in 2001. Over time it had started introducing other banking services to its entry-level clients, so that by 2006 it offered all the basic banking services, namely lending, transacting and savings. Capitec’s chief executive for marketing and corporate affairs, Carl Fischer, considered the organisation’s strategic plan for 2007: to position itself as a proper bank in a much broader target market. Despite the perception that Capitec was more of a microlending organisation than a bank, it had in fact been performing exceptionally well as a bank for well over four years, with limited marketing effort (see Exhibit 1). Fischer realised that the key to survival for a low-cost bank in South Africa lay in high volumes, but still wrestled with the question as to how Capitec could overcome the current perception that it was a niche bank in order to attract the volumes it needed to compete successfully. Background to Entry-Level Banking in South Africa1 The South African government had endeavoured to facilitate and regulate the financial sector since 1992. Prior to the promulgation in 1992 of an Act exempting small loans from interest rate restrictions imposed according to the Usury Act of 1968, the vast majority of the South African population did not have legal access to formal credit. Banks did not offer microcredit, so borrowers had to resort to pawnbrokers, informal operators, mashonisas (township moneylenders) and other systems such as the stokvelsa, burial societiesb and rotating savings and credit associations (ROSCAs). After 1992, however, a whole new industry arose. Because it was legal for interest rates to exceed the cap placed on loans by the Usury Act, two separate types of operation began to expand: independent, cash-loan providers, who made one-month loans; and term lenders, who ensured repayment using payroll deductions. a A stokvel is an informal savings club in South Africa. Members of a stokvel pay a mutually agreed sum into the club every month. The cumulative savings of the group are then rotated to each member of the group on a regular basis. After everyone has had their turn in receiving the contributions, the group may disband or start another cycle. Burial societies, a hybrid of the stokvel, are informal self-insurance schemes, which absorb the costs of social activities and cultural requirements of funerals. Stokvel members contribute a fixed amount of money to a common pool weekly, fortnightly or monthly. Money is then drawn when the particular need arises. This case was prepared by Research Associate, Stephanie Townsend, with lecturer Thabo Mosala. The case is not intended to demonstrate effective or ineffective handling of an administrative situation; it is intended for classroom discussion only. Copyright  ©2006 Graduate School of Business Administration, University of the Witwatersrand. No part of this publication may be reproduced in any format electronic, photocopied, or otherwise without consent from Wits Business School. To request permission, apply to: The Case Centre, Wits Business School, PO Box 98, Wits 2050, South Africa, or e-mail chetty. [emailprotected] wits. ac. za. Capitec: Low-Cost Banking for Joe Average By 1999 the government realised that the 1992 exemption had created an environment conducive to high interest rates and abusive practices. The Micro Finance Regulatory Council (MFRC) was therefore established under the 1999 Usury Act Exemption Notice to protect consumers by regulating those institutions lending under the unrestricted interest rate window. The Exemption Notice made it compulsory for microlenders (all those who extended credit up to a new maximum of R10,000. 00, at rates above the statutory cap) to register with the MFRC. In 2002 it became compulsory for all suppliers of microfinance to register with the National Loans Register (NLR), thus creating a database that recorded all loans disbursed by lenders registered with the MFRC. According to researchers Patrick Meagher and Betty Wilkinson, from the IRIS centre at the University of Marylandc, the Exemption Notice had a great impact on the microlending industry and since then, several trends had emerged, including: an increasing formalisation of the industry (registration of previously independent operations); the introduction of new players (such as furn iture and retail merchants); an increased interest from the commercial banking sector; increased formal investment in microlending (funds raised on the stock market or through private placement); and increasing levels of client indebtedness. They went on to point out that, small borrowers required finance for a wide variety of reasons. These included compensating for seasonal fluctuation in cash flow; funding a small business; consolidating or paying off other loans; housing improvements; funding emergency expenses; paying for education; purchasing consumer products; and funding bad habits, such as alcohol abuse. 4 Cash microlenders had to take into consideration that there was a cyclical nature to their lending, ensuring that they had large amounts of cash on hand for part of each month. There were several different segments in the industry: formal registered firms – the so-called microfinance providers – which included commercial banks, financial institutions, section 21 (not for profit) enterprise lenders, developmental lenders, and larger short-term moneylenders; semi-formal moneylenders, such as small, unregistered moneylenders whose main livelihood was microlending and pawnbrokers, who were not yet formally included in the moneylending statistics; and purely informal moneylenders such as the mashonisas, stokvels, burial societies and ROSCAs. In 2000, the year before Capitec was founded, the demand for banking services from lowerincome individuals was growing rapidly, as a combination of increasing income levels in this segment of the population, urbanisation, rising consumer aspirations and the rapid growth of the informal business sector started to make an impact. Yet at this stage, the poor made little use of formal banking services and the fo rmal banking sector seemed to be inappropriately structured to satisfy this rapid growth in demand. In reaction there was considerable growth in the microfinance sector, with the biggest source of growth coming from the microlending sector. 6 IRIS is a research and advisory centre located in the Department of Economics at the University of Maryland which works to understand and facilitate economic growth and democratic development in poor and transition countries. c 2 Capitec: Low-Cost Banking for Joe Average Founding of Capitec The origins of Capitec dated to 2000, when the chairman of the PSG Financial Group, Jannie Mouton, persuaded Michiel le Roux, the former head of NBS Boland Bank to join PSG to help establish Keynes Rational, a PSG microlending division. In the process of canvassing his former colleagues, Le Roux met with Riaan Stassen (chief executive officer of Capitec in 2006), two other colleagues and Fischer, all of Boland PKS. They convinced Mouton and Le Roux that microlending alone was not sustainable in the long run, because of the unacceptably high interest rates and the challenges of recouping the loans. 7 (At the time, noted Fischer, the market was characterised by some shady characters who used unconventional methods to ensure that they would receive the repayments. ) Thus, the idea of a bank with microlending capabilities, that served the lower end of the market, was born. The fundamental principles around which the bank was structured were that it would recoup loans through a proper bank account, ensure that it understood its clients’ financial activities, and that it had insight into the creditworthiness of its clients. 8 The profitable microlending side of the business was to act as an income generator to finance the migration process to a formal bank. In the end the entire management team of Boland PKS joined Keynes Rational, soon to become Capitec Bank. Fischer noted that the process of establishing a bank was neither simple nor inexpensive. 9 It could literally take years to obtain approval for a banking licence from the South African Reserve Bank, build the technological infrastructure of the bank, and set up the inter-bank relationships with, for example, credit clearing bureaus and the Payment Association (which was part of Saswitchd). Capitec was the first new bank to enter the South African banking arena in 20 years. In March 2001 PSG obtained a retail banking licence and one year later Capitec listed on the Johannesburg Securities Exchange (JSE). During its first year Capitec traded as two separate entities, namely the bank (Capitec), and the microlending business (called FinAid). Both had separate branches, with separate branding. This situation was short-lived, however, as the management team soon realised that it made far more sense strategically to be one entity and one brand. 0 In the process of merging the two entities, the microlending side of the business had to be dramatically upgraded, Fischer said, as the branches were located in somewhat sleazy locations and run by less desirable personnel. 11 Thus, 75% of the branches were closed down or relocated to better surroundings and transformed to a more formalised structure. They were redesigned, with an open, modern feel for easy access. During this period Capitec focused predominantly on microlending which accounted for the perception in 2006 that it was still only providing microloans. By 2006, Capitec had grown significantly and the business, which was originally capitalised with R350 million, was worth R2. 2 billion. The half-year results released in September 2006, showed that the bank had grown by almost 50% in the past year and had increased its profitability by 71%, with a 23% return on equity. 12 It had close to one million clients, of whom 468 000 had savings accounts. Furthermore, savings customers were growing at a rate of 25 000 new clients per month. 13 (See Exhibit 1. ) By the end of 2006, Capitec had a staff count of over 2 000. Saswitch stands for South African Switch. Saswitch is the brand name for the electronic switch operated by Bankserv, an inter-bank system operator owned and controlled by member banks to facilitate exchange transactions among the various banks. d 3 Capitec: Low-Cost Banking for Joe Average Business Model From the inception of the bank, the Capitec management team decided to focus on providing lowcost basic banking services to the lower- to middle-income market, and not to create a bank that offered everything to everybody. As Capitec’s business strategy unfolded, it reversed what the bank believed to be the flaws in traditional banking, and offered its target market something completely different. As a result, the bank turned several conventional banking practices on their heads. Heather Formby, a journalist at the Financial Mail, referred to this as â€Å"a quiet banking revolution in some ways†. 14 The conviction to do this, Fischer said, flowed from deep insight into the needs of the bank’s target market, and a willingness to improve consumer financial literacy. 5 Target Market In 2001 the bank set out to service the typical microborrower, who originated from the lowerincome end of the market. While there were different levels of financial sophistication in this group, the typical clients were relatively unsophisticated. Only a few, for example, would know what an interest rate was. Fischer explained that the traditional microlending business was built on people having shortterm cash-flow crises, brought about by the behaviour of certain of the worst-case scenario clients. They would, on receipt of their salaries, withdraw every cent they had. This meant that they operated strictly with cash-in-hand – at a high security risk. By the middle of the month cash-flow problems usually presented themselves to such individuals, forcing them to turn to short-term loans. 16 However, Capitec’s market stretched much further than the typical salaried microborrower. The bank actually concentrated on the LSM 3-7e market (or those people with an income of between R1 179 and R6 659 a month). This gave it a total target market of 19 million people (see Exhibit 2). By 2006, the bank had the LSM 8 market within its sights as well. 7 Moreover, the management team had noticed a tremendous change in the average South African consumer over the past 10 years. As a result of better housing and electricity, the demand for white goods, such as fridges and washing machines, had accelerated beyond expectations, opening up yet another market for Capitec. However, Fischer observed that although Capitec’s loan repayments’ offer was better, white goods’ retailers were in a better position to offer immediate finance, such as hire purchase contracts, thereby satisfying their clients’ need for instant gratification (see section on Competitors below). Thus, he said, it remained an ongoing challenge to try and change the consumer mindset from desiring instant gratification to thinking â€Å"coldly and ruthlessly† about finance, and about where to find the best loan option. 18 Having pinpointed the trends that characterised the target market, Capitec set out to offer practical solutions to the everyday challenges of its clients (see Exhibit 3). The company identified key needs such as price, real-time delivery, simplicity through paperless card driven processing and personal contact, and from this a business model emerged. The model rested on the four pillars of affordability, accessibility, simplicity and personal service, and Fischer maintained that â€Å"everything the bank did was measured against those four pillars†. 19 By applying this strategy, Capitec believed that it had managed to change consumer perceptions that banks e The South African Advertising Foundation (SAARF) Living Standards Measure (LSM) had become the most widely used marketing research tool in Southern Africa. It divides the population into ten LSM groups, 10 (highest) to 1 (lowest). The SAARF LSM segments the South African market according to its living standards, using criteria such as degree of urbanisation and ownership of cars and major appliances. 4 Capitec: Low-Cost Banking for Joe Average were expensive and slow, that they offered complicated products and services requiring loads of paperwork, and were not the right place to grow one’s money. Affordability Fischer maintained that the main objective of Capitec was to â€Å"slash by half the banking fees of its competitors†. 0 From day one the bank had managed to do this by using technology to help keep costs down and enable the bank to operate without back offices in all the branches. By cutting out paperwork and the administrative activity associated with it, the bank saved significantly on expenses. The branches themselves operated on a cashless basis to save on security devices such as bullet-proof glass and were kept simple, and there was only one ATM at each branch to facilitate withdraw als. By using the existing debit card infrastructure at retailers, the bank not only saved costs, but also encouraged a change in client behaviour by limiting the handling of cash. As cash transactions were very expensive, both the client and the retailer benefited from this approach. Capitec’s alliance with Shoprite Checkers and Pick ‘n Pay also allowed cash withdrawals from these retailers’ terminals. The fee structure was simple and affordable. Bank transactions such as ATM withdrawals and debit orders cost R2, cash withdrawals at point-of-sale terminals cost R0. 5 and, to encourage the use of debit cards, purchase transactions were free of any fees. Capitec realised that the first thing its clients did at an ATM was to enquire about their balances, and therefore ensured that the client’s balance appeared on the screen automatically at no cost when they inserted their cards. 21 By encouraging debit card use, the bank minimised the security risk associated wit h carrying large amounts of cash. To change a client’s borrowing mindset to one of saving, was yet another challenge. However, in an attempt to encourage the client to save, Capitec offered 10% interest on deposits up to R10 000 while other banks paid minimal interest on savings accounts. Fischer believed that this strategy had worked, judging by the rate at which Capitec was acquiring new savings account customers Breaking with convention, the bank reduced the interest rate on deposits exceeding R10 000. Underlying this move was the desire to manage the bank’s liquidity – to reduce risk by attracting large numbers of smaller accounts rather than being dependant on a few really big accounts, Fischer explained. 2 Accessibility Capitec’s almost 290 branches were located in places where people commuted, worked and shopped – at train stations, taxi ranks or shopping malls, for example. The bank’s minimum operating hours were from 08h00 to 17h00 and often from 07h00 to 19h00 on weekdays (to accommodate those clients on their way to or from work), and 08h00 to 13h00 on S aturdays. Simplicity Capitec ensured a simplified and focused product range, which allowed for an almost completely paperless environment. For example, the bank took photographs of its clients, while bank employees used fingerprint identification to identify themselves and verify transactions on clients’ accounts. The simple banking procedure entailed capturing the client’s details, taking the photograph and running a credit check. Within 10 minutes the client would have a Global One Banking Facility which gave access to savings accounts, transaction and loan accounts, as well as a debit card called the Global One Gold Card. All that was required to complete the process, was one signature and even this was soon to be replaced by client fingerprint identification. 3 5 Capitec: Low-Cost Banking for Joe Average Personal Service It soon became clear to the management team that the less informed a client was about banking, the more he or she needed support from people within the bank, so it set out to provide exactly that. In an effort to connect well with the target market, and in the belief that it was much s impler and more effective to do so in the client’s home language, Capitec recruited staff from the areas surrounding its branches and trained them in the required skills. 4 Capitec had also launched mobile banking in 2006 (see Exhibit 4), in terms of which a sales force would open accounts for customers at their workplace, at a time which suited the employer. Within minutes, using 3G-technology, a client would have access to an account and a debit card. Employers welcomed this move, as it meant that employees spent less time away from work. 25 Challenges Capitec’s two major challenges came from the demands imposed by the Financial Sector Charter and the National Credit Act. Financial Sector Charter 26 In terms of the Financial Sector Charter, which was signed in 2003, the major players in the financial sector – banks, insurance companies, brokers and exchanges – agreed to a set of service provision and empowerment targets. These included improving banking services to low-income earners, increasing the number of black employees at all levels of the organisation as well as ensuring that blacks shared in the ownership of the bank. It also required that they support black entrepreneurs. All financial services companies were expected to pursue these targets, to report periodically on their progress to a monitoring body and to be graded on their performance in the form of a public scorecard. The Charter aimed to ensure access to transaction and savings products for 80% of people in LSMs 1-5f by 2008. With 16. 4 million people (or 53. 5% of all adults) still lacking access to banking in 2006, another 8 million people would have to move from the unbanked category to the banked category over the next 18 months if this target were to be achieved. The government found that the interest rate caps contained in the Usury and Credit Agreement Acts had not been effective in protecting consumers. It found that credit allocation had been distorted to the detriment of low-income clients and that misleading disclosure, anti-competitive practices and the very high costs of credit had undermined the potential benefit of access to credit. The problems in the microlending industry were also found, to a large extent, to be a symptom of the failure of the banking sector to meet the needs of low-income earners. 7 In this context, the government passed the National Credit Act in June 2006. It was set to come into effect by early 2007 and would replace the Usury Act (1968), its Exemption Notices and the Credit Agreements Act (1980). The Act aimed to regulate the granting of consumer credit by all credit providers, including microlenders, banks and retailers. It would create formal bodies referred to as the National Credit Regulator and the Nati onal Consumer Tribunal, to ensure enforcement of the Act and promotion of access to redress, and to adjudicate contraventions of the Act. It addressed, among other things, over-indebtedness and the reckless granting of credit and unlawful provisions in agreements; it promoted disclosure in terms of the form and effect of credit agreements and disapproved any debt settlements other than debt enforcementg. The f g National Credit Act The poorest 60% of the population. The recoupment of payments through legal means, for example debit orders. 6 Capitec: Low-Cost Banking for Joe Average potential impact of the Act would be to limit the granting of pre-approved credith; to change the debt counselling process,i and; to result in a prolonged collection process. 8 The Act, in its attempts to make the credit facility process as transparent and comparable (to other credit facility offers) as possible, thus presented some challenges to banks and other financial institutions. For example, it complicated the quoting process and affected Capitec’s use of technology, as the new requirements demanded a complete rewrite of the ba nk’s systems. In turn, these changes prevented the organisation from advancing its own technology to stay ahead of the pack. Fischer explained that only by continued technological advancement could they stay at least three steps ahead. 29 Other Challenges Adding to the controversy surrounding banking charges in general, a report commissioned by the Competition Commission in 2006 had questioned the make-up of bank charges levied on transactions. As a result, the government again turned its attention to banking: this time to the transparency and costs of certain banking transactions. The first public hearing at which financial institutions could respond to the report was scheduled for the end of 2006. In addition, for Capitec, being one of the smallest players in the South African banking industry by far, presented a number of additional challenges, the most pressing of which was how to keep control of the bank. The management team was acutely aware of the danger of a hostile take-over attempt by a bank such as African Bank, for example (see Competitors below). 30 Future Plans Internet and cell phone banking were high on the agenda and the bank already had plans to launch these services in 2007. Capitec intended to use technology to its fullest extent to support its aim of growing its savings accounts in the mass market to three million by the end of February 2009. 31 In addition, Capitec had introduced six- and 12-month loans in 2005, in addition to the one- and three-month loans it already offered. Now, in 2006, it planned to introduce 18- to 24month facilities in the near future. Granting small, unsecured loans was expensive and inevitably resulted in high fees, yet, in Capitec’s latest annual report, Mouton pledged to continue making microcredit more accessible. He said that the bank wanted to reduce the cost of lending, at the same time offering more products to meet the exact needs of the market. 32 On the other hand, home loans would not form part of Capitec’s product offerings. Fischer explained that as far as Capitec was concerned, this was best left to the specialists who had perfected securitised lending. Another approach was necessary for unsecured home loans which they were evaluating. 33 According to Stassen, about 64% of salaried people in South Africa still did not have banking accounts, therefore huge growth opportunities still existed. 4 The reckless granting of credit is prohibited under the Act. Reckless credit is when a credit provider gives you a loan or other credit without assessing whether you can repay the loan and even if you do not understand or appreciate the risks, costs or obligations under the credit agreement or if the granting of the credit leads to you becoming overindebted. [Source: www. persfin. co. za (accessed 28 February 2007). ] i The process whereby a client is informed about the implications of the loan. h 7 Capitec: Low-Cost Banking for Joe Average Competitors Capitec faced competition from a number of sectors, both traditional and emerging. African Bank Investment Limited (ABIL) The focus of the bank was to underwrite largely unsecured credit risk through the provision of personal loans to the â€Å"formally-employed, emerging market†j. Prior to 1998, ABIL (then called African Bank) had operated for 24 years as a small commercial bank. It was bought by the JSElisted Theta Group in 1998, and subsequently merged with three loan finance companies owned by the Theta Group. In August 2002, it acquired the R2. 8 billion Saambouk personal loan book. By the end of 2006, ABIL had 1. million clients from various sectors of the South African economy. 35 The bank focused solely on term loans, requiring repayment over between 12 and 35 months, for example, in contrast to the typical microlending sector offering of loans to be repayed over one, three or six months. However, according to Fischer, the organisation was migrating to the lower end of the market, while Capitec was migrating up to the middle section of the market. 36 ABIL introduced credit cards as part of its offerings in late 2006. Capitec perceived African Bank as a major competitor because of its well-established reputation in the market. Mzansi A government initiative, the Mzansi account was launched as a low-cost product in October 2004 by the four major retail banks Absa Bank, First National Bank (FNB), Nedbank and Standard Bank as well as Postbank. The aim was to attract the 16. 4 million unbanked South Africans into the economic mainstream. This initiative was a direct outcome of the Financial Sector Charter, in terms of which the banks undertook to provide access points for first-order, retail financial services within 20 kilometers of 80% of South Africans in LSMs 1 to 5. 7 By mid-2006 more than two million people were users of the product. Facilities on Mzansi accounts were limited to deposits, withdrawals, debit card transactions and balance enquiries. In early 2006 all the banks agreed to include debit orders on the account in the course of the year. Interest was paid on credit balances (which could not exceed R15 000) and there was no monthly service fee. 38 Mzansi users were allowed to make four withdraw als and deposits free of charge. Thereafter, normal banking charges applied. In an article comparing Mzansi’s fees with those of a normal Capitec banking account, journalist Richard StovinBradford found that Mzansi’s were higher than those of Capitec. 39 According to Colin Donian, the initiatives director of the Mzansi account, the profile of the Mzansi account holder was mostly female and the average account balance was R300. Most account holders (62%) were between 25 and 54 years, and the largest uptake had come from black communities, where most of the unbanked population resided. 0 The Four Major Retail Banks Apart from the Mzansi account, all four major banks had other accounts serving the lower end of the market, such as Nedbank Transactor (designed to meet the needs of clients who did not Emerging markets in this context, refers to the upcoming black middle class market. On 9 February 2002, Saambou Bank, one of South Africa’s larger banks at the time, collapsed and was placed under curatorship. k j 8 Capitec: Low-Cost Banking for J oe Average require a cheque book), Absa Flexisure and FNB Smart Account. Standard Bank’s E Plan offered basic banking products to people earning less than R5 000 per month. Standard Bank launched its E bank in 1994 as a separate subsidiary which offered an electronic banking and savings product. It was a high-volume, low-margin product that proved to be extremely popular with the lowincome market, particularly because it offered a R1 000 death benefit to the account holder’s next-of-kin. By 1996 E Bank was doing so well that it had become a threat to its parent brand, with the result that Standard Bank incorporated the subsidiary into its main stable. 1 E Bank only entered the microlending market in 1999, and then did so via a joint venture with African Investment Bank Ltd. 42 Following on the success of E bank, Nedbank entered the low income market with its People’s Bank division in 1995, which later became its empowerment subsidiary with a separate banking licence. By 2003 People’s Bank had about 2 million clients. Unlike the other banks’ offerings, the Nedbank Transactor account was available to all customers – and not just to the entry-level segment of the market. Absa established its NuBank division in 1996, and immediately started granting credit to clients. In 2000, it acquired 51% of UniFer, which was then the market leader in microlending, and incorporated NuBank into this organisation. The rapid growth in the volume of loans granted, however, meant that UniFer’s administrative systems could not cope, and by March 2002 its provisions for bad debts were hopelessly inadequate. UniFer was accordingly delisted and made a whollys of local partnerships between banks and retailers were those between Standard Bank and cell phone group, MTN (with ts MobileMoney account), Nedbank and supermarket retailer Pick ‘n Pay (with Go 9 Capitec: Low-Cost Banking for Joe Average Banking), and the fashion retail group Edcon and FNB for the provision of personal loans. Fischer noted that some of these alliances were powerful and presented a potentially serious threat to Capitec. 48 The Standard Bank/MTN and Edcon/FNB alliances were relatively new i n the market and difficult to assess, but Pick ‘n Pay Go Banking had been in operation since 2000, which meant it had had time to prove itself. Operating as a division of Nedbank, Go Banking used the retailer’s stores (6 000 till points countrywide) for transactions, as well as Nedbank and Old Mutual Bank ATMs and branches. A customer could draw cash for only R2, get a balance enquiry free of charge, make deposits, and pay accounts. Both debit and credit cards were available. Although specific numbers of clients were hard to come by, Stovin-Bradford mentioned that Go Banking had never generated the sort of response expected by Pick ‘n Pay. 49 Accordingly, Fischer did not perceive Go Banking as a major competitor, as he believed the one thing that it lacked, was personal service. Banking is about people and service, and everything boils down to that. A retail cashier or a brochure can hardly offer personal banking advice,† he said. 50 Credit and Loans Provided by Retail Organisations The furniture retail industry in South Africa was worth R15 billion per year, of which about R10 billion was sold on credit. Historically, credit furniture sales had been conducted according to the Credit Agreements Act, which restricted interest rates to the ceiling of the Usury Act, while allowing the seller to retain ownership of the goods sold as collateral. However with the advent of the MFRC and a clearer more transparent regulatory environment for microlending, many of the furniture retailers, as well as other retail chains such as Woolworths, had started actively promoting microloans to their regular, well known clients. These organisations had a solid credit history on their clients, relied on a credit scoring methodology to assess risk, and did not require debit orders or other deductions. Most of their clients were salaried employees. 51 This was still a very new segment of the icrolending market and had yet to develop. Analysts speculated that it would replace much of the traditional furniture credit market, and also provide additional small loans to the retailers’ customers. 52 The MFRC had placed many objections to furniture organisations entering the microlending market, as it saw this as a means of bypassing the Credit Agreement Act. The argument was that since the retailers also controlled the price of the items they were selling, they could adjust the price of the goods to cover the cost of the lending. However, the retail organisations said that the ceiling on the Credit Agreement Act did not allow them to recover their costs. 53 Capitec perceived the retail market as a serious emerging competitor. 54 Conclusion To achieve its aim of growing its share of savings accounts in the mass market to three million by the end of February 2009, Capitec had little choice but to focus heavily on marketing. From this perspective, the company’s major challenge lay in changing the perception that Capitec was only a microlender. To do this, it had to build trust and stature in the eyes of the public. The question facing the Capitec management team was how it should set about doing this over the next year. Considering the fierce competition that existed in the market (the four major banks’ marketing spend, for example, was in the order of R200 million each per year) and the pressure from the South African government on financial institutions to support the lower end of the market, Capitec had some serious choices to make, and it would be these choices that would determine its destination. 10 Capitec: Low-Cost Banking for Joe Average Exhibit 1 Capitec Bank: The Present Profile Capitec Bank The Present Profile 3 Operations Clients ‘000 Savings Clients ‘000 Turnover R’m Number of Loans ‘000 Capitec Bank Branches % Impairment Profitability Headline Earnings R’m Headline Earnings per Share (c) ROE % Equity NAV per Share (c) Share Price (c) Market Capitalisation R’m 611 260 164 623 580 399 676 1 490 1 072 784 3 105 2 233 824 3 050 2 194 30 46 8 49 70 12 70 101 16 116 165 23 74 104 26 300 0 1 477 2 454 266 2. 58 380 18 1 904 2 617 265 1. 43 440 143 2 259 2 486 251 1. 45 706 375 2 863 2 650 253 2. 85 852 468 1 586 1 486 267 4. 07 04 05 06 Aug 06 Source: Courtesy of Capitec, August 2006. 11 Capitec: Low-Cost Banking for Joe Average Exhibit 1 The Present Profile (cont) Source: Courtesy of Capitec, 2006. 12 Capitec: Unconventional Banking in a Risky Market Exhibit 2 The Market: Average Income Spread The Market LSM 1 2 3 4 5 6 7 8 9 10 Average Income Spread Number ‘mil 30. 6 Income R 0–R 947 % 2. 1 3. 8 3. 8 4. 5 4. 1 4. 3 2. 3 1. 7 1. 9 1. 7 7 12 13 15 13 14 8 6 6 6 R 949 – R 1 179 R 1 179 – R 1 443 R 1 443 – R 1 977 R 1 977 – R 2 549 R 2 549 – R 4 366 R 4 366 – R 6 659 R 6 659 – R 9 388 R 9 388 – R12 077 R12 077 – R19 298 Target Market 19m * Household Income after statutory deductions Exhibit 3 The Average Client In Summary The Average Client Time constrained : 8 – 5 working hours Limited mobility – public transport Cash dependant – Security Risk Pay date driven Does not save Needs more information on managing finances Needs funding in times of crisis Source: Courtesy of Capitec, 2006. 13 Capitec: Unconventiona l Banking in a Risky Market Exhibit 4 Mobile Banking Mobile Consulting Source: Courtesy of Capitec, 2006. Unless otherwise indicated, all the information in this section comes from M Kirsten, ‘Policy Initiatives to Expand Financial Outreach in South Africa’. Paper delivered at World Bank/Brookings Institute Conference, 30-31 May 2006, available www. dbsa. rg, documents link (accessed 16 November 2006). 2 Ibid. 3. Wilkinson Meagher. â€Å"Filling the gap in South Africa’s small and micro credit market: an analysis of major policy, legal and regulatory issues. † Institute for Informal Sector Research. University of Maryland. 2001. 4 5 1 Ibid. Ibid. 6 Ibid. 7 Interview with Carl Fischer, 3 November 2006. 8 Ibid. 9 Ibid. 10 Ibid 11 Ibid. 12 S Planting, ‘Assume You Can’, Financial Mail, 7 April 2006, available www. financialmail. co. za (accessed 27 October 2006). 13 Interview with Carl Fischer, 3 November 2006. 14 H Formby, ‘Snug in the Low -Cost Niche’, Financial Mail , 27 October 2006, p 45. 5 Interview with Carl Fischer, 3 November 2006. 16 Ibid. 17 Ibid. 18 Ibid. 19 Ibid. 20 Ibid. 21 Capitec Annual Report 2006, p. 11. 14 Capitec: Unconventional Banking in a Risky Market Interview with Carl Fischer, 3 November 2006. Ibid. 24 Ibid. 25 H. Duvenhage, ‘Capitec Bank vat Bank na die Werkplek’, Sake Rapport, 10 September 2006, p 9. 26 Unless otherwise indicated, all the information in this section comes from M Kirsten, ‘Policy Initiatives to Expand Financial Outreach in South Africa’. Paper delivered at World Bank/Brookings Institute Conference, 30-31 May 2006, available www. bsa. org, documents link, (accessed 16 November 2006). 27 Ibid. 28 Nedbank Group, ‘The Turning Point’, National Credit Bill, available www. nedbankgroup. co. za/pdfs (accessed 10 December 2006). 29 Interview with Carl Fischer, 3 November 2006. 30 Ibid. 31 S Gunnion, ‘Capitec Lifts Client Base, Profit Fast’, Business Day, 28 September 2006, p 22. 32 Capitec Annual Report, 2006, p 12. 33 Interview with Carl Fischer, 3 November 2006. 34 Riaan Stassen quoted in an article by L Peyper, ‘G’n of Min Bankkoste: Bankgroep Wys Hoe’, Die Burger, 20 May 2006, p 23. 35 www. africanbank. co. a, about African Bank link (accessed 14 November 2006). 36 Interview with Carl Fischer, 3 November 2006. 37 R Stovin-Bradford, ‘Getting a Measure of Mass Banking’, Sunday Times Business Times Money, 7 May 2006, p 21. 38 Ibid. 39 Ibid. 40 www. southafrica. info/public_services/citizens/consumer_services/mzansi. htm (accessed 5 December 2006). 41 C. Mitchel and Heil, D, ‘Taking Banking to the Unbanked: Wizzit (A), Wits Business School case WBS 2006-14. 42 Ibid. 43 Ibid. 44 www. southafrica. info/public_services/citizens/consumer_services/mzansi. htm (accessed 5 December 2006). 5 Electronic correspondence with Carl Fischer, 5 February 2007. 46 www. postbank. co. za (accessed 14 November 2006). 47 R Stovin-Bradford, ‘Getting a Measure of Mass Banking’, Sunday Times Business Times Money, 7 May 2006, p 21. 48 Interview with Carl Fischer, 3 November 2006. 49 R Stovin-Bradford, ‘Getting a Measure of Mass Banking’, op cit. 50 Interview with Carl Fischer, 3 November 2006. 51 P Meagre and B Wilkinson, ‘Filling the Gap in South Africa’s Small and Micro Credit Market: An Analysis of Major Policy, Legal and Regulatory Issues’, op cit. 52 Ibid. 53 Ibid. 54 Interview with Carl Fischer, 3 November 2006. 23 22 15

A Study On Globacom Limited Marketing Essay

A Study On Globacom Limited Marketing Essay Nigeria’s mobile telecommunication industry started in 2001, with the launch of Global System of Mobile Communication (GSM). Since then, Nigeria has emerged as the fasting growing Telecommunications economies in the Africa, and third in the world, after China and Brazil (Aneke, 2009). Globacom is one of the biggest telecommunication companies in Nigeria, It is the only Telecommunication company amongst the top 4 GSM providers, to be have originated from Nigeria. Not only is Globacom a proudly Nigerian company, it has successfully been targeted as the pace setter (based on innovations) of the telecommunications industry in Nigeria (Ochai, 2009 ). Since its launched in 2002, and started its operations in August 2003, it was the first mobile phone service provider to offer per second billing in Nigeria. This gave Globacom a great competitive advantage, has other mobile operators were only offering per minute billing (Ochai, 2009). The next paragraph looks at the background of Gl obacom, to understand how it started, and see how far it has gone since its inception. Background of Globacom Globacom was launched in 2002 by Nigerian business tycoon / billionaire Dr Mike Adenuga, who is already successfully in the oil industry, with Conoil plc and the banking industry with Equatorial Trust bank (ETB). It started operations in August 2003 by offering both per second and per minute billing. Being the first in Nigeria to offer per second billings, people gradually started swapping their SIMS to Globacom SIMS as the per second billing was seen as a cheaper option. Globacom started to grow and gain market share, just one year after it started operations, it has gained 25% market share in the telecommunications industry. The next paragraph is the Globacom Vision, now that its background has been analysis, it is necessary to see where it plans to go. (check for definition of vision and adjust this part and the beginning of the next) Globacom’s Vision Globacomâ₠¬â„¢s vision is building Africa’s biggest and best Telecommunications network (www.gloworld.com ). This is a big dream for a company that started just six years ago. So far they are aiming towards achieving their goal by being continuously innovative and being one of the best telecommunication services providers in Nigeria. Globacom is now present in Nigeria, Cà ´te d’Ivoire, Benin republic and Ghana (www.gloworld.com). Now that the vision is known, the subsequent chapter analysises the Globacom strategies so far in the bid to realise its vision. Key strategies: creating a competitive positioning Market target Globacom Limited’s market target is the generation X and Generation Y of the Nigerian and African population, based on the type of products and services they offer. They have continued to offer services that would appeal to this target Audience. The products and services includes free Globacom to Globacom midnight, free MMS, and lots more. Globacom Limit ed has also targeted the average and below average citizen they constitute majority of the Africa population and they have done this by reducing their pricing, which makes their products and services more appealing to them. Cost leadership

The Ethical Issues Associated with the Outsourcing of Legal and Law Research Paper

The Ethical Issues Associated with the Outsourcing of Legal and Law Related Services Outsourcing to India - Research Paper Example However, a number of ethical issues have cropped up as a result of this outsourcing. The American attorneys based in the US believe that by doing so the American attorneys are losing touch with their work. With outsourcing, a number of problems crop up such as the issue of keeping control over the work and the way it's being done in the first place. While outsourcing call centers etc were more commonplace, the American companies were less forthcoming regarding outsourcing legal work overseas due to the fear of the clients' backlash and the way the labor unions would react to the use of Indian labor. The American Bar Association ethical rules clearly state that all law firms are required to pass all the cost savings on to the clients as a result of outsourcing. There are a number of legal authorities which will be studied for the purposes of this paper such as the California Rules of Professional Conduct (CRPC), ABA Model Rules of Professional Conduct(Model Rules) and lastly, the California State Bar Act. There are a number of advisory bodies such as the ABA standing committee on Ethics and Professional Responsibility Formal Opinions (ABA), California Standing Committee on Professional Responsibility and Conduct, San Diego County Bar Association Legal Ethics Committee etc. According to the laws regarding unauthorized practice or even abetting such practices can result in; B&P 6125: "No person shall practice law in California unless the person is an active member of the State Bar."According to CRPC1-120 "A member shall not knowingly assist in, solicit, or induce any violation of these rules or the State Bar Act." According to the definition of law provided by the case of Morgan v State bar 51 Cal. 3d 598(1990); Farnham v State Bar Cal. 3d 605, 612 (1976);"The giving of legal advice and the preparation of legal instruments and contracts by which legal rights are secured; court appearances; engaging in negotiations with opposing counsel."Â  

Perceptions that consumers have for the different marketing messages Essay

Perceptions that consumers have for the different marketing messages - Essay Example This research will begin with the statement that the selective exposure process focuses on individuals to agree with those medium of communication that is in alignment with their views and opinions. Consumers in this selective process only go out for things that are of interest to them and oppose those things that they are against about. An example can be the fluctuations of the share prices. A drop in the share prices would affect the consumers and they may apply the selective exposure process. The selective retention process observes that consumers tend to retain those marketing messages that are of interest to them and also are favoring their opinions as well. The marketing messages that are against the opinion of the consumers do not tend to retain for long in the minds of consumers. The products advertised to consumers such as mobile phones for youngsters may be a highly attractive product and they may observe keenly the advertising done for mobile phones. The selective percepti on theory states that consumers interpret facts that they are interested in. In other words, consumers comprehend the situation the way they want to see it as. They hear what they believe in rather than what the message is actually trying to state. Therefore, in this case for different consumers, the same message may have different worth and meaning to them. For example, consumers that like to watch a lot of television may only see the advantageous side of watching television and may ignore the disadvantages that watching too much television has on humans.

A Foundation Course Essay Example for Free

A Foundation Course Essay Maslow suggested heredity played a strong role in personality development. The essence of the kind of person was established in the genetic structure, and the environment determined which part to unfold or become actualized. The issue of nature versus nurture was considered in his theory. Maslow adopted a growth-directions theory in that a person grew gradually from one kind of individual toward being a different kind. Another prominent figure is Carl Rogers. Both Maslow and Rogers believed human nature was intrinsically good and embraced self-actualization as the empirical principle. Rogers introduced the person-centred therapy. Therapist offered personal congruence, unconditional positive regard and accurate empathic understanding in a therapeutic relationship. Research methodologies employed by humanistic psychologists were mainly introspection investigative techniques. Individuals were analysed from the inside. Humanistic psychologists were of the view that the perfect example of an individuals personal experience was found in ones thoughts and feelings. They did not claim to be objective. Instead, they were intent on this subjective interchange of a relationship that uncovered the personal knowledge of another individual. Strengths of humanistic psychology were that the theorists proposed a positive, optimistic picture of humans. This was in contrast to behaviorism which was accused of reducing individuals to a system of observable acts, thereby missing the human aspects, and was in contrast to Freuds psychoanalysis SS101-TMA05 Marisa Lee 93512450 11 September 2000 Pg 11/12 which was accused of adopting a negative model of humanity, emphasizing on neurotic behaviour. The humanistic approach was notable for its concern for the individuals hopes and plans for the future, which was being neglected in many other theories. One other major strength of humanistic theory was its insistence on the importance of unique personal experiences. The insistence on the importance of unique personal experiences mentioned above had also become one of humanistic theorys weaknesses in that the unique experience made it imprecise when communicating the essence of one persons experience to another. The theory is lack of falsifiability as instrospection was the principal investigate technique. Humanistic psychologists were subjective in validating their theory. They trusted their own feelings and logic more than objective data. By concentrating on the self, other parts of an individual like bio-electrochemical nature, analytical abilities, memory systems were left untouched. Conclusions Psychologists while attempting to explain behaviour of individuals, adopted a varied basis of assumptions, and different images of mankind evolved. The concept that man acts like a machine and reacts to outside forces gives rise to the mechanistic view of mankind. Another concept that mans behaviour can be explained via bringing out their memories in the unconscious renders the psychoanalytic image of mankind. An alternative view that man seeks to aspire oneself by fulfilling the hierarchy of needs gives rise to the SS101-TMA05 Marisa Lee 93512450 11 September 2000 Pg 12/12 humanistic image of mankind. Man can be viewed differently but there is not a theory that explains all. To have a more comprehensive understanding of mans behaviour, a combined study of all the different images of mankind would be helpful. References : 1. Swales, C. (1991). Social Sciences : A Foundation Course, Psychology 2, Units 17 18. The Open University of Hong Kong. 2. Faw, T. and Belkin, G. S. (1989). Child Psychology. McGraw-Hill, Inc. P. 12-31. 3. Thomas, R. Murray. (2000). Comparing Theories of Child Development. 5th Edition. Wadsworth/Thomson Learning. Chapter 5. 4. Berk, Laura E. (1998). Development through the Lifespan. Allyn Bacon. P. 15-18. 5. Woolf. Theoretical Perspectives Relevant to Developmental Psychology  http://www.webster.edu

The Military Career of George Washington Essay -- American America His

The Military Career of George Washington Most people today think of George Washington as the first President of the United States. Perhaps they may remember that he was also the commanding general of the Continental Army. However, George Washington had much experience in the military before the Revolutionary War. Because of his experience, he was ideal for the responsibility of leading the new nation to victory over the British. In 1752, George Washington was 20 years old. He had no military experience, but his brother Lawrence had served in the British militia and this motivated George to join up (George 74b). Before the Revolutionary War, George Washington actually worked for the British. He showed his natural leadership right away. At the age of twenty, he was assigned to train militias in Virginia. The young Major Washington showed he was brave and ambitious. In 1753, he heard that a man named Robert Dinwiddie, who was the acting governor of Virginia, planned to send a message to the French troops that they needed to withdraw from the Ohio River Valley. The French wanted to hunt and trap there, but the British wanted the land for farming. Washington went to Dinwiddie to volunteer to be the messenger. Dinwiddie had enough confidence in the young soldier to let him go. Washington did not go by himself. He took a frontier guide, an interpreter, and four frontiersmen. It was dangerous wilderness and it was the middle of November. The group traveled until the middle of December. It was a long and cold journey. The French rejected the British instructions. Washington had to make the journey back to Virginia in the bitter winter weather. Indians and other dangers surrounded him. He finally returned in the middle of Ja... ...and had my commission taken from me, or in other words, my command reduced, under pretense of an order from home†¦I have been on the losing order ever since I entered the service†¦"(George 74d). However, as a result of Washington’s early military career, he learned many skills and strategies that he would later need. He also won the respect and admiration of the colonists. When he resigned his commission in 1759, the House of Burgesses passed a resolution to grant Colonel Washington the "thanks of the House†¦for his brave and steady behavior" (Fleming 34). He was well on his way to becoming "first in war†¦and first in the hearts of his countrymen." Works Cited Fleming, Thomas, Liberty! The American Revolution, Viking, 1997. Sellers, Charles and May, Henry, A Synopsis of American History, Rand McNally & Company, _ _ 1963. The World Book Encyclopedia. 1994.

Persuasive Language Techniques

Persuasive Language Techniques 1. Attacks Attacks are a version of playing the man, not the ball. If you can make your opposition seem less credible, you may be more likely to get a reader to agree with your side of the argument. At the least, attention can be taken away from the issue itself and put on to the personality. Attacks can attempt to belittle or embarrass or just plain insult an opponent. The idea is that the weaker you can make your opposition appear, the stronger you and your contention will appear. Example text: That’s the sort of suggestion I’d expect from a nose-in-the-air toff like Turnbull. . Colloquial Language Colloquial (slang) language can be used in different ways. It can set the writer up as knowledgeable, on the inside of a social group. A writer may also use slang in a sarcastic manner, to attack an opponent or mock an argument. It may also be used to appeal to a reader’s own sense of cultural identity, or reinforce a writer’s ov erall tone. Example text: She’s a top sheila that Jessica Rowe. Channel Nine are stark raving to give her the boot. 3. Emotive Appeals Like many persuasive techniques, emotive appeals aim to engage people’s feelings, not logic or reason. If a writer can manipulate a reader to feel a certain way, that reader should be more likely to agree with the writer’s overall contention. Often writers will use other forms of persuasive language techniques in order to appeal to people’s emotions. There is a huge variety of emotive responses that can be aimed at by writers, such as: Democracy Family valuesHedonismReason and logic Charity Fashion-senseHip-pocket nerveSafety CompassionFear of changeMoralitySelf-interest Environmentalism FreedomNostalgiaSense of justice Fairness Group loyaltyPatriotismVanity Example text 1: Soon we will see civilians lying dead in our own streets if we do not act against terrorism. Example text 2: In our society today there are people living without food or adequate shelter. Such basics of life can be provided if those of us who can afford to, give to organisations such as the Salvation Army, to help those unable to help themselves. 4. Inclusive language Inclusive language aims to directly address the reader, either personally or as a member of a shared group. This involves using such words as us, we, you, our. Example text: It is time for us to show our belief in the value of mateship and a fair go, and give generously to the Good Friday Appeal. 5. Rhetorical question A rhetorical question is one in which the answer is so obvious it is not required. The idea here is not to receive an answer, merely to reinforce a point. Example text: Should footballers be treated as above the law? Persuasive Language Techniques 6. Exaggeration A writer may describe a situation in forceful, overblown language in order to make the issue seem more important or urgent than it may otherwise be considered. Exaggerating the scale of an issue can draw an emotional response from a reader. Also known as hyperbole. Example text: Councils are losing the war against vandals. 7. Emphasis There are three types of emphasis that writers use to draw the reader’s attention to a specific point or idea: Repetition; Cumulation and Alliteration Repetition Repeating a single word a number of times over is repetition. Example text: We will all suffer for years to come unless we stop this government, stop them in the workplace, stop them in the polls, and stop them on election day. Cumulation Using many similar words in a short space is cumulation. Example text: This task requires guts, determination, grit and willpower. Alliteration Repetition of the first sound in consecutive words is alliteration. Example text: To rip people off so blatantly shows Mr. Craven to be cruel, calculating and crooked. 8. Evidence. There are three main types of evidence: Anecdotal; Expert Opinion and Statistical Anecdotal evidence An anecdote is a tale involving real life events, a true story. Such stories can be used by writers as evidence to back their claims. To support a contention, and to make themselves appear more credible, writers often use personal anecdotes. Example text: I can tell you that, as a single mother of two, I received very little in the way of financial support during my attempts to return to fulltime work. Expert opinion To make a writer’s position seem more credible, they may quote the opinions of experts that correspond with their own. As in a court case, experts are often called on to make one side seem stronger and more believable. Example text: My stand on the issue of exposed underwear is supported by fashion designer Ruby Reed, who recently stated: â€Å"Anyone whose underwear is exposed due to low slung jeans should be punished as forcefully as possible. † Statistical evidence Like any form of evidence, statistics can be used to make an argument seem more conclusive, a writer’s opinion more valid. Often statistics are used that are out of context, or from unreliable sources. As the saying goes, â€Å"There are lies, damned lies, and statistics. † Example text: A recent survey found that 90% of students favoured no school uniforms at all.

P2 and M1 for communication Essay

There are a wide range of skills we can use to communicate for example we send, receive, and process huge numbers of messages every day. But communication is about more than just exchanging information; it’s also about understanding the emotion behind the information. Communication can improve relationships at home, work, and in social situations by deepening your connections to others and improving teamwork and decision-making. It enables you to communicate even negative or difficult messages without creating conflict or destroying trust. Communication combines a set of skills including nonverbal communication, attentive listening, the ability to manage stress in the moment, and the capacity to recognize and understand your own emotions and those of the person you’re communicating with Argyles theory, communication cycle has six different stages that help you communicate you ideas.it also takes into consideration how you put your ideas across e.g. body language. An idea occurs, you have an idea that you want to communicate. Message coded, you think about how you are going to say what you are thinking. You put your thoughts into language or sing language. Message sent, you speak, sign, write or in some other way send a message. Message perceived, the other person has a sense of your message. They hear you words or see your symbols. Message decoded, the other person understands your message or what you have just said. This may not always be easy as they may make assumptions about your words and body language e.g. for example you went to the doctors and the doctor asked what wrong and you reply saying ‘I have a constant pain in my ear’. The doctor would need to keep the conversation going by rephrasing the question to something like so it’s your ear that’s hurting? This is to make sure you understood or got the right answer. Message understood, if all goes well your ideas will be understood. Argyles theory, communication cycle is a very useful thing to use when trying to communicate to sensitive patients. The communication cycle is a very useful cycle as it makes sure that you don’t say anything insensitive or hurtful to the person who is meant to be receiving the information. the communication cycle is also useful because there are a wide range of stages to help you communicate with others which helps you send someone information with them understanding what you are saying for example a doctor telling a patient when there next appointment is they could use the cycle to help them give the patient the information. But what do you think? Here is a diagram  of Argyles theory. Tuckmans theory In Tuckmans theory explains that as the team enters each stage they develop maturity, ability, relationships and the leader changes leadership style to fit in with the group.it also allows the team to look at the stages to see what stage they’re currently at. There are five different individual stages forming, storming, norming, performing and adjouring.Tuckmans stages are all necessary and inevitable in order for the team to grow, to face up to challenges, to tackle problems, to find solutions, to plan work, and to deliver results. Forming, the team is assembled and the task is allocated. The team members rend to behave independently as they don’t know each other and may feel intimidated. Individuals are also gathering information and impressions about eachother. Storming, the team starts to progress, addressing the task by suggesting ideas. Relationships may also be starting to develop. It is also essential that a team has a strong leadership. Depending on the culture of the organisation and individuals the conflict will be more or less supressed. As the team starts to move out of the storming stage they will enter the norming stage. This tends to be a step forward by the team agreeing on the rules and values by which they operate. By now the team should start to trust each other. After the arguments, they now have a better understanding of eachother and are able to appreciate each other’s skills and experience. Performing, at this stage the group will be filled with enthusiasm. The team will be able to function as a unit as they find ways to get the job done smoothly and effectively without inappropriate conflict. Some people don’t get up to this stage Adjouring, when team members are proud of what they have achieved and happy to have belonged together but at the same time they recognise that it is time to move on.tuckmans theory is a very useful theory as it gives you a range of information about team building, group skills and there stages. Overall, Tuckman’s Stages is a balanced group effort. And also shows how they’re progressing by maturing and building relationships. Here is a diagram of Tuckmans theory. Personally I think argyles theory is more effective and important than  Tuckmans theory as he gives you a load of communication skills to help you give people information. so it’s more than likely that the other person will understand the information they’re receiving. I don’t think Tuckmans theory is more important than Argyles because in Tuckmans theory he doesn’t give you much information about communication. But both theories are effective and are useful. Effective communication and interaction play an important role in the work of all health and social care professionals. For example, care professionals need to be able to use a range of communication and interaction skills in order to: work inclusively with people of different ages and diverse backgrounds, respond appropriately to the variety of care-related problems and individual needs of people who use care services, enable people to feel relaxed and secure enough to talk openly, establish trusting relationships with colleagues and people who use care services, ask sensitive and difficult questions, and obtain information about matters that might be very personal and sensitive. Nurses may have used their communication and interaction skills to find out about the symptoms of your health problems or may have given you advice or guidance on some aspect of your health behaviour or lifestyle. website Date Time http://www.studymode.com/essays/p-2-Discuss-The-2-Theories-1360439.html 29/09/2013 23:15 http://www.studymode.com/essays/Argyles-Communication-Cycle-And-Tuckman’s-Interaction-1092710.html 29/09/2013 23:19

Runway Incursion essays

Runway Incursion essays A runway incursion is any occurrence at an airport involving an aircraft, vehicle, person, or object on the ground that creates a collision hazard or results in a loss of separation, as defined by air traffic requirements. This separation loss can happen to a departing aircraft, or one preparing for a takeoff. Planes that are landing or intending to land can become subject to a loss of separation or incursion. In other words, ground operations are fertile ground for incursions. Although general aviation accidents have been decreasing over the past few years, incursions with all dangers attached to them have been increasing at an alarming rate. It is merely a matter of time for these incursions become tragic accidents. On 431 occasions in 2002, two aircraft or an aircraft and a vehicle mistakenly got too close together on an airport runway. Another mounting problem at U.S. Airports is delays. Currently the average airport delay per flight is eighteen minutes and by the year 2010 experts expect this number will climb to 44 minutes if no new technology is implemented at airports. The costs of these delays cost airlines over 254 million dollars per year which will lead to an increase in fares for passengers. The most logical way to reduce delays is to build more runways at the major airports but this will not solve the problem of runway incursions. The next step that many airports and the FAA have been researching, is installing new surface and navigation systems at airports. Two of the newest systems that have been researched are Airport Surface Detection Equipment Model X (ASDE-X) and Airport Movement Area Safety System (AMASS). This paper will focus on the technology behind ASDE-X and AMASS, benefits of these technologies, issues with these systems, cost/benefit analysis, strategies behind the use of these systems and finally how these technologies will change in the future. Continuous growth in US aviation is resulti...

Human geography Essay Example | Topics and Well Written Essays - 1500 words

Human geography - Essay Example Geography has a rich tradition as a study Human being from earlier times had to interpret and interact with different spatial element. Knox and Marston studied human geography form a contemporary aspect. They have simplified the human geography in to three tiers; the core, the periphery and semi - periphery. The core are those countries which are the super powers of the world. They have immense wealth and power. The peripheral countries are those who are under developed and achieve no benefits from rich countries .Finally the semi – periphery countries are those which are industrializing and capitalizing countries. They resemble the characteristics of both core and peripheral regions. They play major role in enhancing the economic, social and political growth of core and peripheral regions. Even their geographical positioning comes between core and peripheral areas. Semi peripheral nations have dominance over peripheral ones and further technological developments can lead to their chances of being turned into core nation. development. These nations are on their way to position themselves as wealthy nations. They have well advanced economies but are yet to show their signs of development. Where as poor nations is far behind from rich nation and super powers, they require lot of time to even cross the poverty line. Traditional method only give importance to rich and poor, they are completely ignoring the rapidly boosting economies like India, china etc. Middle class nations with little more development in different areas like technological and politics can emerge as a well developed nation. Knox and mars ton gives complete importance to the semi peripheral category. They constitute as a different sector of the global economy. They help both developed and developing countries in the growth. These regions paves way to technological innovation and industrial development and this stimulates the growth of the economy of the

Technology and Nursing Research Paper Example | Topics and Well Written Essays - 750 words

Technology and Nursing - Research Paper Example Technology and Nursing- Computer Charting There is no denying the fact that the usage of computer systems is becoming ubiquitous in the area of healthcare and nursing. In the healthcare the manual charting of the patient data and information was not only time consuming and laborious, but was open to a range of flaws and constraints. In the recent times, many hospitals and healthcare institutions have evinced a trend towards the exploitation of technology and computer systems for patient charting. Computer charting happens to be a useful technological development in the area of nursing which has obliterated the need for manual documentation by nurses, which has predominantly been replaced by computerized documentation. It goes without saying that the trend towards computer charting has facilitated the healthcare with multiple advantages and has made the work of nurses relatively easy and more accurate (Aktan, Tracey & Bareford, 2011). One distinct advantage of computer charting is tha t it has made the process of nursing documentation quiet hassle free (Aktan, Tracey & Bareford, 2011). Computer charting allows for more accurate and complete nursing documentation, thereby minimizing the scope for errors, misinterpretations or misunderstandings. Computer charting has totally obliterated the scope for any redundancies in the nursing documentation. The technological provision for computer charting has automated the collection and reuse of the patient data, setting aside the laborious and less accurate manual processes (Aktan, Tracey & Bareford, 2011). Besides, computer charting not only allows for the sharing of the patient data across platforms and departments in a healthcare institution, but also allows for a timely and accurate analysis of patient data (Hakes & Whittington, 2008). The other big advantage of this technology is that it has facilitated compliance with the state and federal legal requirements and statutes in the nursing profession. Being digital in it s scope and relying on computer software, electronic charting makes it feasible to assure consistency with the state and federal legal statutes and requirements (Waneka & Spetz, 2010). Computer charting with its provision for the collection and sharing of data across multiple platforms has indeed given a flip to the technology of nursing informatics (Waneka & Spetz, 2010). The other thing is that computer charting has really revolutionized the healthcare with the doctors and specialists being able to access the patient’s paperless charts, no matter in whichever part of the world the patients are admitted. On the one side the provision of computer charting curtails the paper work, allows for accurate and legible patient records and facilitates the sharing of data, and on the other side, computer charting makes the job of nursing more organized (Hakes & Whittington, 2008). Thereby it requires much less overtime. This influx of technology in the arena of healthcare also makes th e patients and their family members feel more confident. Also, some costly and state of the art computer charting systems like Omnicel and Pixis could also help the nurses in giving medication to patients and some of them even have the capability to digitally chart the medication in the computer memory as it is dispensed (Waneka & Spetz, 2010). However, the thing that needs to be understood is that it would be wrong to assume that computer