Tescos Corporate Social Responsibility (CSR)

Tescos Corporate Social Responsibility (CSR) Introduction Tesco Plc is considered as the king of supermarkets in Britain. Its business is related to the small grocery stores under the Tesco Metro brand name, big supermarkets outside cities (Tesco Extra) and 24-hour stores. Its stores are not limited to food sector but also to provide books, CD/DVD/mini-discs, hi-fi and household appliances, household equipment, flowers, wine, apparel and many other items. In January 2003, Tesco takes over its key competitor in the British Territory, T S Stores. Currently, it employed 270,800 fulltime employees worldwide. Tesco has adapted rapid technological changes to boost its sales. Such as its on-line sales site Tesco.com, is now heavily contributing to its profits in recent years. The Group currently holds almost 1,988 stores in the UK and 1265 stores outside UK (Annual Report, 2007). Today, its market capitalization has reached  £36.60 billion. (Reuters, 2007) Tesco plc is a British based grocery and general merchandise international retail chain. It is the largest British retailer by global sales and domestic market share with profits exceeding  £2 billion. In 2008, the company achieved German retail giant Metro AG to make the third largest retailer in the world, the first movement among the top five since 2003. Originally specializing in food, has diversified into areas such as clothing , consumer electronics , consumer financial services , retail selling and renting DVDs , CDs , music downloads , Internet service , consumer telecoms , consumer insurance , consumer dental plans and software . Part 1: Project Objectives and overall research approach. Tesco Background. In 1919, Tesco Plc was established by Jack Cohen, by utilising the bonus which he achieved for his services in the World War I army. Then in 1924, he purchased a tea consignment from the company TE Stockwell. He decided to put the initial three alphabets of TE Stockwell and the initials of his name Cohen collectively to name his brand TESCO. In 1929 Cohen opened the very first Tesco store in Edgware, London. Originally, Cohens formulated the strategy of Piling it high, selling it cheap. Despite the fact that this strategy assisted Tesco in attracting a great amount of consumers, it also assisted Tesco in branding itself as a store for average class consumers and even earned an image as a low-end store. When Imperial Tobacco Company decided not to acquire Tesco because the company thought that the deal could damage its reputation, after considering of buying the company, Tescos brand image was further thrashed. Throughout the seventies, numerous analysts recommended the Tesco to transform the name of the company. Tesco obtained several companies during the seventies such as Williamsons, Burnards, John Irwins, Harrow Stores, Victor Value and Charles Phillips. However, all these businesses were not incorporated appropriately with Tesco, and a large number of these stores were not well organised. Furthermore, Tesco had small and poorly equipped stores as well. The only competitive edge Tesco had was the price. The products that were available at the store seemed to be of ordinary. Due to the rise in the income of customers in Britain, the customers did not want to look for bargains. They were now seeking high quality products. In order to cater these changing demands of the customer, Tesco decided to close down its numerous stores to focus on superstores to provide improved quality. Brief data Aims and Objectives. Tesco is one of the biggest food retailers in the world, functioning over 3,200 stores. The assembly is furthermore one of the biggest online food retailers. The objective of this study is to investigate the Tescos business ethics and corporate social responsibility. The business analysis will be conducted through PEST analysis and SWOT analysis. The target is to have an analysis of Tescos corporate social responsibility policies including business ethics and their impact on its business practice and its key stakeholders. Industry Activities. Tesco is one of the biggest food retailers in the world and biggest food retailer in the UK. It functions round 3,300 stores. In supplement to food, it furthermore functions in the non food segment. The company functions through multiple shop formats encompassing Extra, Superstore, Metro, Express and hypermarkets. The company functions in three geographical segments: the UK, Rest of Europe and Asia. The organisation is one of the biggest online retailers in the world. Tesco has a long period strategy for development, founded on four key parts: development in the Core UK, to expand by increasing internationally, to be as powerful in non-food as in food and to pursue clients into new retailing services. Tesco is undoubtedly an entire shopping centre in itself. Everything is literally discovered in one roof. No longer restricted to food shop pieces, it boasts services that would permit a consumer to avail of everything in one stop. Besides the additional trading of publications, cds, digital melodies, videos, blossoms, sport and gardening they furthermore supply economic services (e.g. borrowing cards, borrowings, mortgages, savings) protection services (e.g. vehicle, house, life, travel) telecoms services (e.g. Internet, residence and wireless phone) and wholesome household services (through its Tesco eDiets and wholesome household club) .Tesco has evolved diverse types of Tesco shops extending from Tesco Extra, Metro Tesco and Tesco Express in its extending quest to correctly address the desires of their diverse clients when and where they desire it. According to information gleaned from the web, the British retail group Tesco returns in recent weeks, an image blurring. It symbolizes the many facets of the reputation of a company facing a diverse audience, especially in times of crisis. Like many entrepreneurs, the boss of the group, Sir Terry Leahy, is firmly committed to the greenway, including offering reusable bags, which allowed him to avoid the production of 2 billion bags plastic. Tesco is also involved in the Global Social Compliance Programme (Global Social Compliance, GSCP), an initiative of distribution groups, which involves Carrefour. Created in 2006, the GSCP is to converge in terms of their supply chain standards for social audits, share best practices and contribute to the improvement of working conditions. The platform intends to issue a single message, consistent and shared based on ILO standards and the UN to all suppliers. She met 26 companies including Carrefour. GSCPs Advisory Council is composed of the International Federation of Human Rights, the UNI Commerce, CSR Asia and the UN Office for International Partnerships. Although this initiative is not under ground, it remains unknown to the general public. In addition, the group Tesco, which has 280,000 employees in Britain, has actively supported Marie Curie Care Centre, giving him 6.3 million pounds, twice more than expected. This sum is intended to fund over 315,000 hours of nursing care to more than 5,600 terminally ill patients and their families, all at home. Some  £ 500,000 has been collected outside of Tesco stores, 2 million pounds were lifted further by the store staff,  £ 500,000 by the distribution centre employees and the remainder from the rest of the group. The Tesco Charity Trust. The Tesco Charity Trust has brought its side 20% of the amount raised by staff. Yet, at virtually the same period, the website of UNI Global Union deals with social conflict in a Tesco supermarket in Douglas, Ireland, in which the union intervenes Mandate. Moreover, Greenpeace believes that Tesco, Marks and Spencer but are complicit in the Amazonian deforestation by importing Brazilian beef. This breeding would have dramatic consequences for biodiversity and global warming. According to an AFP dispatch, other multinationals, major commodity in this region, are singled out: Adidas, BMW, Carrefour, Ford, Honda, Gucci, IKEA, Kraft, Toyota and Wal-Mart. Faced with such a stream of positive news or disturbing, it appears that a company that cares about its reputation must advance on all fronts at the same time taking into account all its stakeholders, the difficulty being that they are extremely diverse for a group the size of Tesco. Part 2: Information gathering and accounting/business techniques. This study is established on both primary as well as secondary data. The study methodology utilised is the review of diverse literatures which are accessible online. This study engaged investigations from the brief reports, items from periodicals, and online material accessible on the web. Using the methodology checked in preceding investigations, this study started with a very broad review of the literature. The outcome and deductions are founded on the secondary data. The methodology utilised for the purpose of this study is established on the secondary data. This study is more or less founded on the review of publications and the reasonings are drawn on the cornerstone of genuine assets recorded in the references. Financial facts and numbers will be accumulated from the yearly accounts of Tesco. Primary data is mainly obtained through the annual report of Tesco 2010 which is available online. Primary data assemblage is essential when a investigator will not find the data required in secondary sources. Market researchers are involved in prime facts and figures about demographic/socioeconomic characteristics, attitudes/opinions/interests, awareness/knowledge, aims, motivation, and behavior. Three basic means of obtaining prime facts and figures are observation, surveys, and experiments. The alternative will be leveraged by the environment of the difficulty and by the accessibility of time and money. Examples encompass reviews, meetings, facts, and ethnographic research. Agood investigator knows how to use both prime and secondary causes in her writing and to integrate them in a cohesive fashion. An important source of primary data is survey research. The various kinds of surveys (personal, posted letters, computer, and telephone), are described ahead. Experiments are another significant source of data for trading research tasks. The environment of experimentation, the types of untested designs, and the uses and limitations of this procedure of getting data are furthermore clarified ahead. Experiments are conducted in either a laboratory setting (most advertising exact replicate pretests) or in a field setting (test marketing). Electronic and computer technologies have revolutionized both these environments, which are recounted later. Conducting prime research is a helpful ability to come by as it can substantially supplement study in lesser causes, such as periodicals, publications, or books. Primary study is an very good ability to learn as it can be useful in a kind of backgrounds encompassing business, personal, and academic. The secondary data that are accessible are somewhat quick and cheap to get, especially now that computerized bibliographic search services and databases are available. The various sources of the lesser facts and figures and how they can be obtained and utilised are described ahead. Tesco provides an inclusive offer. It describes Tescos ambition to cater its customers of top, middle and low income in the same stores. Tesco has invented a reward system known as the Club-card which collects the essential consumer data that is used to provide specific service to cater the needs and potential wants of consumer. When shoppers sign up for the Club-card, they initially submit their profile which includes gender, age and address. Tesco could divide their customers into segments by relying on these aspects. The information of the goods purchased is instantly uploaded into Tescos database the minute the consumer purchases it. Product information was used to sell cross-sell additional products and services such as delivery of groceries. Beginning in 1997 when Terry Leahy took over as CEO, Tesco began marketing itself to using the phrase the way to Tesco to describe the purposes, values, principles, and goals of the foundation of the company. This phrase became the standard marketing speak for Tesco as it expands nationally and internationally under Leahys leadership, implying a change in the company to focus on people, customers and employees. Corporate social responsibility (CSR) can be defined as the active and voluntary contribution to improving social, economic and environmental factors by companies, usually with the aim of improving its competitive position and its value . The performance evaluation system throughout the organization in these areas is known as the triple bottom line. Under this concept of administration and management encompasses a set of practices, strategies and business management systems that seek a new balance between economic, social and environmental. The history of CSR can be traced back to the nineteenth century under the Cooperatives and Associations who sought to reconcile business efficiency with social principles of democracy, self-help, community support and distributive justice. Its leading exponents are now companies social economy , by definition Socially Responsible Companies. Corporate social responsibility (CSR) aims for excellence within the company, taking with special attention to people and their working conditions and the quality of their production processes. Corporate social responsibility is the set of actions that take into account the companies so that their activities have a positive impact on society and affirm their principles and values that govern both in their own internal methods and processes in its relationship with other actors. CSR is a voluntary initiative. It is the conscious and consistent commitment to comply fully with the mission of the company both internally, and externally, considering the expectations of all participants in the economic, human and social environment, demonstrating respect for ethical values, people, communities and the environment and to build the common good. The responsible management of the company implies that this act reconcile (balance point) between business interests and expectations that it is the community (particularly its stakeholders-stakeholders) The main ethical responsibilities of business with the workers and the community are: Serve the society with useful and fair. Create wealth in the most effective way possible. Respect human rights to decent working conditions that promote health and safety and human development and professional workers. Ensure the continuity of the company and, if possible, to achieve reasonable growth. Respect the environment wherever possible avoiding any kind of pollution minimizing waste generation and more efficient use of natural resources and energy. Enforced laws, regulations, rules and customs, while respecting the legitimate contracts and commitments. Ensure equitable distribution of wealth generated. Business ethics and therefore business morality generally result from an individuals own moral standards in the context of the political and cultural environment in which the organization is operating. Ethics are founded on moral principles that are themselves grounded in effects. This holds true whether you subscribe to the idea that a moral judgment must fulfill only formal conditions that are universal and prescriptive or whether you think it must also meet a material condition for the welfare of society as a whole. Social responsibility, another term for good citizenship, means producing sound products or reliable services that dont threaten the environment and contributing positively to the social, political and economic health of society. It also means compensating employees fairly and treating them justly, regardless of the cultural environment in which you operate. Corporate social responsibility (CSR) is a concept that describes the activities of companies beyond revenue; the term is increasingly used to describe the role of any business in society. CSR involves a wide commitment by companies to social health and the common good and policies that support them. This involves not only the products a company produces, but also be a good corporate citizen in terms of employees hired and how to find them. It also has to do with protecting the environment and participating in the local community and the wider culture in which the company engages in business. Broadly speaking, CSR has three key components: à ¢Ã¢â€š ¬Ã‚ ¢ The basic values, ethics, policies, and practices of a companys business; à ¢Ã¢â€š ¬Ã‚ ¢ The voluntary contributions made by a company to community development; à ¢Ã¢â€š ¬Ã‚ ¢ The management of environmental and social issues within the value chain by the company and its business partners-from the acquisition and production of raw materials, through the welfare of staff, to product sale, use, and disposal. Part 3: Results, Analysis, Conclusions and Recommendations. This part discusses the corporate social responsibility initiatives of Tesco and its impact on the internal and external environment of the company. It details the activities undertaken by Tescos management and employees to contribute to the benefit of the society and the community in which the company operates. It also discusses the active role played by Tesco in protecting and regenerating the environment and in extending the CSR initiatives to its suppliers. It also highlights a few criticisms against Tesco including polluting the environment in some countries and not adhering to its CSR standards. Issues: Examine a companys responsibility towards the society Understand the importance of social and environmental issues Determine how a companys stand on social and environmental issues can contribute to enhancing the companys image Benefits of Corporate Social Responsibility In the last decade, a large number of companies have recognized the benefits of incorporating basic practices and social responsibility policies. Their experiences have been backed by a series of empirical studies that show that the RS has positive impacts on business values, measured in several ways. Companies have also been encouraged to adopt or expand efforts of RS as a result of pressure from consumers, providers, community, investors, activist organizations and other stakeholders. As a result of studies in recent years, the RS has increased dramatically in companies of all sizes and sectors that have developed innovative strategies. These benefits are numerous and can be measured both quantitatively and qualitatively, is also found that the company may enjoy greater loyalty from consumers, employees work more comfortable, the shares have greater stability, and saves costs potential legal and administrative sanctions. The advantages found are: à ¢Ã¢â€š ¬Ã‚ ¢ Financial Performance Improvement The study published in 1999, Business and Society Review, showed that 300 large corporations found that companies that made a public commitment to honor their code of ethics, performance showed a three times higher than those who did not, on the parameter value added in the market. In another recent study by Harvard University found that companies with a balanced action between employees and shareholders showed a growth rate four times higher and employment growth rate eight times higher than those of companies focused only to shareholders. à ¢Ã¢â€š ¬Ã‚ ¢ Reducing Operating Costs There are several initiatives that can help a company reduce its operating costs and increase productivity, particularly those related to the environment and the workplace. By way of example are: programs for balance between personal life and work to help reduce absenteeism and increase employee retention as well as allow companies to reduce costs in recruitment and training or retraining initiatives aimed at eliminating scrap costs and generates revenue through the sale of materials. There are several practical examples of significant environmental savings. For example, Dow Chemical Co. and the National Resource Defense Council established an alliance in order to reduce the production of 26 toxic chemicals to only one. For this reason they have managed to save 5.4 million a year, and as an added benefit the quality of their products. à ¢Ã¢â€š ¬Ã‚ ¢ Improved brand image and reputation In the global economy, brand image and reputation are among the most valued strengths. Responsible marketing practices, by nature, are highly visible to consumers and have the potential to strengthen or weaken the publics opinion about a company or brand. à ¢Ã¢â€š ¬Ã‚ ¢ Capital Markets The latter continue to grow at high rates in most developed countries have begun to grow in developing countries. à ¢Ã¢â€š ¬Ã‚ ¢ Innovation Socially responsible organizations have an innate tendency to innovation in products and processes, which helps them to anticipate events allowing lead changes in the composition of their products, improve quality and human security of their production processes, improve security and quality of domestic activity, ahead of the competition in the launch of new products, the implementation of different types of future legal regulations, etc. Corporate social responsibility: the internal dimension The views that are considered to fall within the internal dimension, the company has under Social Responsibility (SR), are: human resources management, health and safety at work, adapt to change and environmental impact and management of natural resources. à ¢Ã¢â€š ¬Ã‚ ¢ Human resources management: When it comes to RS the first thing you think is that a company be socially responsible before the society or community in which it resides, it must be with the employees taking into account that one of the biggest challenges is to have people trained and sense of belonging in this context the company should include measures such as lifelong learning, improving the information on the company, a better balance between work, family and distraction, greater human resource diversity, equal pay and prospects opportunities for women, participation in profits or shareholder of the company and the consideration of employability and safety in the workplace. Another way to be socially responsible is when you discriminate against persons because of race, color or sex, responsibility and accounting practices that help meet the countrys economic policies such as employment generation. à ¢Ã¢â€š ¬Ã‚ ¢ Health and safety in the workplace: Usually the health and safety have been addressed from a legal standpoint, but now companies, governments and sectoral organizations seek new ways to penetrate and promote this issue, especially now that both companies and consumers are more sensitive to values and ethical issues related to the production process. This and other practices such as SA8000 Certification which will be detailed in the next article help the company to be socially responsible. à ¢Ã¢â€š ¬Ã‚ ¢ Adapting to change: Any country suffers when companies are restructuring because of manpower cuts can generate economic and social crisis of great magnitude, but the community suggests that a restructuring from the point of view socially responsible means to balance and take into account the interests and concerns of all affected by the changes and decisions. à ¢Ã¢â€š ¬Ã‚ ¢ Management of environmental impacts and natural resources: The corporate social responsibility is closely related to the environmental impact generated by the proposed objectives and that directly affect communities. Therefore the environmental field can be considered as a solid framework for the promotion of corporate social responsibility. Corporate social responsibility: the external dimension The company should be socially responsible with local communities, business partners, suppliers, customers, employees, shareholders and the environment among others. à ¢Ã¢â€š ¬Ã‚ ¢ Local communities: The corporate social responsibility with local communities to be expressed in: 1. Integration of the companies in their local environment. 2. Contribution to community development in terms of employment generation. 3. Establishment of training commitments of the community, environmental conservation, and procurement of socially excluded people, caring for children in daycare, sponsoring cultural and sports activities at the local level, donations to charity. 4. Participation in social welfare projects. à ¢Ã¢â€š ¬Ã‚ ¢ Business partners, suppliers and consumers: Relationships with partners, suppliers and consumers are especially important for businesses, thereby reducing costs and increasing quality. The main features to be emphasized as the relationship with partners, suppliers and consumers are: 1. Large companies are both partners of the smaller companies either, as customers, suppliers, contractors and competitors. 2. Companies are aware that their social performance can be affected by the practices of their partners and suppliers throughout the production chain. 3. The companies are responsible for promoting entrepreneurship in its location, for example, tutoring, or assistance provided to small businesses for their contribution to social responsibility and reporting. They also support small businesses with venture capital, facilitating their expansion. à ¢Ã¢â€š ¬Ã‚ ¢ Human rights: As for human rights companies ensure that their trading partners are respecting the values they considered essential and what is the approach to be taken and how to work in countries where there are frequent violations of human rights. Although companies establish codes of conduct for the respect of human rights, labor conditions and environmental factors must be taken into account that they are no substitute for national and international laws, nor the provincial and municipal. à ¢Ã¢â€š ¬Ã‚ ¢ Global environmental problems: Because environmental problems have reached beyond the boundaries and that companies are directly related to and with the consumption of resources in the world, it is important to begin a drive to reduce the environmental impact of its activities throughout production chain. The stakeholders perspective. In much of the twentieth century, proper responsibility for the wider impacts of business, has been social. Recently, it was recognized that the concept of stakeholders has a central role. In this perspective, each organization will have different stakeholders: for companies, their stakeholders they typically include consumers, suppliers, shareholders and staff from a wide range of other, for governments, organizations can include employers, unions and NGOs. As you increase the influence of key stakeholders-oriented companies will be the adoption of corporate responsibility deeper and more solid. The detailed discussion of these issues highlighted the following aspects: à ¢Ã¢â€š ¬Ã‚ ¢ The leadership role in promoting a set of core values in business. à ¢Ã¢â€š ¬Ã‚ ¢ The need to ensure that Corporate Social Responsibility is an integral part of the overall business à ¢Ã¢â€š ¬Ã‚ ¢ To consider CSR as essential philosophy à ¢Ã¢â€š ¬Ã‚ ¢ The importance of follow the process properly, that is, through transparency and consultations. An analysis of stakeholders, recognize that shareholders are always among the most important stakeholders of corporations. In recent years, however, its role has been changing in two ways: à ¢Ã¢â€š ¬Ã‚ ¢ First, for most shareholders, the importance of organizational governance has become an increasingly pressing issue, and à ¢Ã¢â€š ¬Ã‚ ¢ second, the volume of socially responsible investment (SRI), which can be defined as investment for social goals and financial, has grown rapidly in recent years. TESCOs CSR Approach Once a year, the board of directors of Tesco Plc consider the companys strategy of corporate social responsibility and the review of the overall performance on this subject is discussed after every three months. Members of the board and the executives of the company receive review on corporate social responsibility performance, due to which the company can assess future opportunities and risks. In 2001 the company established the Corporate Responsibility committee which encompasses of cross functional executive. These executives meet several times in a year to discuss the matter of corporate social responsibility of the company. The first corporate social responsibility report was published in 2001 by the Corporate Responsibility committee. The committee used Steering Wheel framework of Tesco evaluate its accomplishment of Corporate Social Responsibility performance. Corporate Social Responsibility is a crucial part of the Tescos steering wheel framework so as to to guarantee that CSR is a crucial part of the everyday performance of the company. Environmental Responsibility Tesco has always realised that strategies that may pose harm to the environment should not be a part of the company. These sort of strategies would have a negative impact on the companys image and may result in damaging the brand name, the clients and the environment as a whole. Conserving the environment is an important part of Tescos corporate strategy as it is believed to be associated with the companys economic goal. Nevertheless, Tesco has made sure to commit itself to maintain an environment which is healthy for everyone. Tesco has made all workers to play an dynamic part in its initiatives towards healthy environmental. Energy, Water and Fuel In 1996, Tesco initiated a campaign where it provides awareness towards energy consumption. The employees were expected to play a dynamic role in it. Managers in all Tesco depots, stores and offices supervised energy consumption and put an effort in reducing waste. During 1997 and 2005, Tescos energy consumption reduced 35% per square foot. Tesco is planning to further reduce it by 5% by the year 2006. Societal Responsibility As Tesco is large in size and it has huge scale of operations, it was able to impact the society on a large scale in numerous ways, through encouragement of its staff and consumers in order to achieve social responsibility. Tesco implemented numerous programmes to achieve social responsibility. These responsibilities include fund raising, charity for a foundation and to promote education. Tesco believed that it had a key part to play in order to promote healthy food for its consumers and struggled to make sure that healthy food is accessible at reasonable charges. These inititives were not only for the UK but were made available for other countries where Tesco was originated. Communities Tesco donated one percent of its before tax profit to charity, in the form of gifts and donations. In the year 2004 and 2005, the companys total donations as charity were around 21,762,931 pound. The companys charitable trust granted donations of 878,556 pounds to local and national charitable organisations in Britain. Economic Responsibility Tesco has taken great initiatives to achieve the economic growth and development in all the localities around the world. Tesco has played a dynamic role in reducing unemployment, supply of products at reasonable prices and giving opportunities to the community to grow and expand. Regeneration Tesco deliberately moved into areas with high unemployment and low development to trigger growth, and to make the areas commercially attractive. In 6 years duration, Tesco has helped in providi

Ikea report Essay

Executive summary This report describes the importance of market research, the target market and market segmentation. How a business can use a situation analysis and SWOT to provide a direction for Ikea. This examines how types of customers and buyer behaviour will impact marketing strategies. Evaluates as a key marketing strategy for Ikea as a case study. Analyses marketing strategies can be used to achieve marketing objectives and describes some ethical and legal things that a business must manage and respond to while marketing. Business Overview Ikea is a well-known global brand with hundreds of stores across the world. In order to improve performance, it must assess its external and competitive environment. This will reveal the key opportunities it can take advantage of and the threats it must deal with. Ikea responds to both internal and external issues in a proactive and dynamic manner by using its strengths and reducing its weaknesses. Through this, Ikea is able to generate the strong growth it needs to retain a strong identity in the market. Ikea’s passion combines design, low prices, economical use of resources, and responsibility for people and the environment. The company’s products, processes and systems all demonstrate its environmental stance. For example, clever use of packaging and design means more items can fit into a crate, which means fewer delivery journeys. This in turn reduces Ikea’s carbon footprint. Ikea believes that there is no compromise between doing good business and being a go od business. It aims to go beyond profitability and reputation. Ikea is intent on becoming a leading example in developing a sustainable business. This will create a better everyday life for its customers. Market research When Ikea conducts market research it is important that the business first determines its information needs. The business should have some idea about the type of information it is looking for. It could vary from customer profiles or brand awareness through to attitudes towards certain new products. Once its information needs are established, the business can determine the most appropriate research method. This is primarily done by IKEA group although individual stores would use sales reports in order to  gather data about the types of customers and popular products that are particular to the area or store. The Target Market The target market is a group of customers for whom a particular product has been developed. The business hopes that these people will buy the product when it is made available in the marketplace. Some products appeal to all consumers, while others have limited appeal. A business needs to understand the nature of consumer markets. The three types of markets Ikea appeals to are Consumer, Mass and niche. The products in Ikea produce are universal to all and with their flat pack design they fall into the niche market. Ikea focuses on meeting the customer demands and satisfying their needs. Ikea’s main focus is that of the selling orientation. Market segmentation Market segmentation is the process of breaking down a total market into small markets It allows businesses to focus their efforts and resources on a section of the market. By focusing on a particular target group, It would consider the features that consumers of this target group would be looking for in a product, the appropriate promotional strategies to generate awareness of and sustain interest in the product, and the most suitable pricing policies and distribution channels. Market segmentation and product/service differentiation,Demographic segmentation, dividing consumers into groups based on selected demographics, so that different groups can be treated deferent Situation analysis and SWOT Situation analysis is the way in which a business can examine the current position within the market and provides them with direction for their marketing campaign. SWOT is the first stage of planning and looks at the Strengths, Weaknesses, Opportunities and Threats involved in a project or business venture. For example, one of Ikea’s key strengths is its strategic aim to use no more material than necessary in the production of each item. One particular table, the NORDEN table, uses knotty birch wood. The knots in this wood usually mean it is rejected by other retailers and manufacturers as unsuitable for use. However, IKEA has made the knots part of its design feature. Types of customers. psychographic segmentation, this is based on lifestyle and personality, values and interest, Ikea does not divide the store into sections but you have to walk through the whole store before you can exit, this is a strategy to sell more products. The types of customers vary from people, households, firms, educational institutions, government, clubs and societies, religious organisations. The customers that account for most of Ikea’s sale is the bold customer. Ikea is a business that is not aiming towards a purchase occasion but the usage rate of their product, being household items they aim for their products to last well and function to a good quality standard. Ikea has a good user loyalty with a wide range of buyers from the types of customers. Consumers see how affordable Ikea products are and how well they last, as long as they don’t mind putting the product together. The buying process would not be different from Ikea customers but the free yearly catalogue gives purchasers time to plan a trip to Ikea as the Ikea stores are not usually located conveniently due to the large floor space required to house their product. Ikea stores are not usually located outside the inner metropolitan area for this reason. There are psychological, sociocultural, economic and government reasons why people shop or don’t shop are Psychological segmentation Branding. Ikea is ranking 41 in the world’s most valuable brands. The brand name alone is worth 8 million. The brand image for Ikea stands for affordable, contemporary design and its flat pack product range that gives Ikea its identity. The brand name or logo essentially provides a message to the people of the quality and value associated with that product, when they see it they immediately form judgements on the quality, a strong brand name is essentially enhancing the relationship between a business and its customer. Marketing and strategies Product Ikea’s products are tangible, Product matters because it is the reason that customers go to Ikea in the first place. Ikea has the market in flat pack furniture and the unique design attracts customers and meets their needs, this product could include the prestige of owning the product which would also relate to psychological factors. Place Place matters because it is how the customers access the product. The Ikea experience is more than just products, it is a retail concept laid out in such a way that families, singles, couples etc. can enjoy shopping for furniture. A day at Ikea has been described as more of an outing than a shopping trip. Price Price matters because it is at the heart of the Ikea concept. Flat pack furniture cannot compete on price with upmarket, fully assembled pieces, so it is essential that Ikea continues to keep its prices below the competition. Price including pricing methods, market and competition based, Competition based pricing is the commonly used pricing strategy. Promotion Promotion is the most public aspect of marketing and it matters because it helps to drive customers into the stores in order to buy furniture. Ethical and legal. Ikea is recognised as a business that is both legally and ethically a responsible business that looks beyond profit and develops a positive workforce with these practices, advertising is very powerful in developing the wrong or wright idea and misleading advertising is bad ethics. Developing products in 3rd world country is considered unethical because they get payed well below minimum wage. Ikea produces environmentally responsible products, the flat pack design would be argued that it minimizes wastage and the cardboard would be environmentally friendly. The role of consumer law deals with Deceptive and misleading advertising which could be false information about products features and content, false special offers which don’t exist and  overstating the benefits that a product will provide to the consumer. Price discrimination, giving preference to some retail stores by providing them with lower prices than is offered to the competitors of those retailers. The competitor and consumer act aims to discourage the price discrimination in the business environment. Implied conditions and warranties is a great way for a business to ensure the product will last at least the warrantee time, this attracts customers and the consumer expects the business to fulfill their legal obligation to provide a refund or replacement or the product if there is a manufacturing problem within the warranted date, regardless the business by law. Resale price maintenance, this aims to balance the profit maximization of a business, Ikea ensures that the quality of a product in one country doesn’t differ from another. A manufacturer cannot refuse to sell the goods to a retailor if the retailor intends to sell the product for below the recommended price.

The Rime Of The Ancient Mariner By Samuel Taylor Coleridge

â€Å"A journey of a thousand miles begins with a single step.† The poem The Rime of the Ancient Mariner by Samuel Taylor Coleridge is a famous Romantic work about a mariner and his crew on an overseas journey. While on this journey, they encounter some rough weather. However, a sea bird, the albatross, leads the men out of the ice and fog. For some reason unknown to the readers, the Mariner shoots the albatross, and the whole ship and crew are cursed by God. It isn’t until after the Mariner learns his lesson that the curse is lifted and he is led back to shore by supernatural creatures. Throughout the poem, the Mariner is not only on a physical overseas journey, but he is also on a spiritual journey on which he learns to love and treat all of God’s creations with respect. In the beginning of the poem, the physical journey is presented as joyous. However, the end of the journey is presented as dismal from the death of the crew and the curse put upon the Mariner. At the start of the Mariner’s tale, he loves the sea, and he and the rest of the crew are happy and excited to be going out on another journey. He starts his story, and he says, â€Å"The ship was cheered, the harbor cleared / †¦ / And he shone bright, and on the right / Went down into the sea† (lines 21, 27-28). Coleridge wants his readers to feel the happiness of the Mariner, the crew, and the audience waving off the ship. At this time in the story, the Mariner has a great crew and an elated atmosphere; everything is rightShow MoreRelatedThe Rime Of The Ancient Mariner By Samuel Taylor Coleridge904 Words   |  4 PagesSamuel Taylor Coleridge was born in Ottery St. Mary in England and was the last of 10 children. His father died when he was 9 years old and at that time he was already into fantasy books. He later went to school in in London and went to Cambridge University. Later in his life he made some breakthroughs that caused a revolution in poetic style and thoughts. Towards the end of his life he was troubled with some illnesses but is known for being the poet who established the importance of imaginationRead MoreThe Big Lesson from the Poem, The Rime of the Ancient Mariner by Samuel Taylor Coleridge568 Words   |  3 Pagesbe explicitly encapsulated in a maxim. The mariner is cursed with a lifelong penance after he killed the Albatross. He has to feel a pain in his chest that becomes unbearable until he sees a certain soul that is the right one to tell to. No matter what. In the long poem, â€Å"The Rime of the Ancient Mariner† by Samuel Taylor Coleridge has three lessons about human life and they are supernatural, pride, and suffering. In â€Å"Rime† by Sam Coleridge, the mariner goes through many supernatural events thatRead MoreAuthors or Horror, Edgar Allen Poe for The Raven and Samuel Taylor Coleridge for â€Å"Rime of the Ancient Mariner533 Words   |  2 Pages The two poems are eerie in aspect to modern day horror. Our terrifying horror movies and books derive from these two men; Edgar Allen Poe and Samuel Taylor Coleridge. Although these two authors are different in their techniques of writing, there are two poems that are similar. â€Å"The Rime of the Ancient Mariner† and â€Å"The Raven† consists of a bird bringing a bad omen. The situations are different; however, the meanings of the birds are similar. In these two poems, the differences are more apparent;Read MoreVarying Interpretations of Themes in Rime of the Ancient Mariner by Samuel Taylor Coleridge669 Words   |  3 Pagesa character, instead of a gift (think Ophelia in Hamlet, with her giving of the flowers). In the Rime of the Ancient Mariner, the Albatross is seen as a symbol of hope, life, and God, while the Raven in The Raven is interpreted as death, regret, and Satanic evil. The Albatross here is used as a symbol of hope, while the Raven is interpreted as a symbol of regret. In Rime of the Ancient Mariner, the shipmates were stuck in a sea of ice, after being blown there from a huge storm. They were slowlyRead MoreHeart of Darkness, by Joseph Conrad and The Rime of the Ancient Mariner, by Samuel Taylor Coleridge857 Words   |  4 PagesMarlow and the Mariner in Heart of Darkness and The Rime of the Ancient Mariner are both morally ambiguous characters with many similarities. Each embarks on a great journey in which their character is tested numerous times. Their trials lead to many profound revelations about humanity, which are explored in ways only possible because of their hazy morality. At the start of their adventures, both Marlow and the Mariner were only sailors looking for adventure and fortune. The motivations forRead MoreBirds of Joy and of Death are Poetic Symbols737 Words   |  3 Pagesexamine in some detail.† (Skelton). In both stories, The Rime of the Ancient Mariner by Samuel Taylor Coleridge, and The Raven by Edgar Allen Poe, the symbolic message takes the form of a bird. A comparison of the symbolic meaning of the individual birds is needed to further understand what message the author intended to display within each story. In both tellings, the birds’ coming signifies a change. In The Rime of the Ancient Mariner, the albatross comes and suddenly a path opens up in theRead MoreThe Rime Of The Ancient Mariner878 Words   |  4 PagesThe Rime of the Ancient Mariner is a poem by the English poet Samuel Taylor Coleridge. Coleridge and his friend, William Wordsworth, put together a collection of their work called Lyrical Ballads. It contained Coleridge’s famous poem Rime of the Ancient Mariner. This collection is widely recognized as the initiation of the shift towards modern poetry and British Romantic literature. Although the poem’s deliberate use of antiquated language differed from romantic poetry’s use of modern languageRead MoreSamuel Taylor Coleridge s The Rime Of The British Romantic Movement1065 Words   |  5 Pages Samuel Taylor Coleridge, a leader of the British Romantic Movement, was born in Devonshire, England on October 21, 1772. Out of fourteen children, he was the youngest in the family. Samuel’s father, Reverend John Coleridge was a much respected priest of a town and also headmaster of Henry VIII’s Free Grammar School. Samuel attended his father’s school until the age of 8, but after his father passed away in 1781, he attended Christ’s Hospital School in London where he remained throughout hisRead MoreEssay on The Allegory of The Rime of the Ancient Mariner876 Words   |  4 PagesThe Allegory of The Rime of the Ancient Mariner According to Microsoft Encarta Online Encyclopedia, an allegory is described as a fictional literary narrative or artistic expression that conveys a symbolic meaning parallel to but distinct from, and more important than, the literal meaning. This is true in Samuel Taylor Coleridges poem, The Rime of the Ancient Mariner. The Rime of the Ancient Mariner is an allegory that symbolizes the inherent struggle of humans facing the ideas of sinRead MoreThe Rime of the Ancient Mariner and Marks2252 Words   |  10 PagesSECTION A Answer one question from this section. You must answer both parts of the question. You are advised to spend one hour on this section. The Rime of the Ancient Mariner – Samuel Taylor Coleridge 1. Write about the ways Coleridge tells the story in Part 5 of ‘The Rime of the Ancient Mariner’. (21 marks) And â€Å" ‘The Rime of the Ancient Mariner’ is simply a tale of crime and punishment.† How do you respond to this view? (21 marks) Lamia, The Eve of St Agnes, La Belle Dame Sans Merci –

Probabilities for Monopoly

Monopoly is a board game in which players get to put capitalism into action. Players buy and sell properties and charge each other rent. Although there are social and strategic portions of the game, players move their pieces around the board by rolling two standard six-sided dice. Since this controls how the players move, there is also an aspect of probability to the game. By only knowing a few facts, we can calculate how likely it is to land on certain spaces during the first two turns at the beginning of the game. The Dice On each turn, a player rolls two dice and then moves his or her piece that many spaces on the board. So it is helpful to review the probabilities for rolling two dice. In summary, the following sums are possible: A sum of two has probability 1/36.A sum of three has probability 2/36.A sum of four has probability 3/36.A sum of five has probability 4/36.A sum of six has probability 5/36.A sum of seven has probability 6/36.A sum of eight has probability 5/36.A sum of nine has probability 4/36.A sum of ten has probability 3/36.A sum of eleven has probability 2/36.A sum of twelve has probability 1/36. These probabilities will be very important as we continue. The Monopoly Gameboard We also need to take note of the Monopoly gameboard. There are a total of 40 spaces around the gameboard, with 28 of these properties, railroads, or utilities that can be purchased. Six spaces involve drawing a card from the Chance or Community Chest piles. Three spaces are free spaces in which nothing happens. Two spaces involving paying taxes: either income tax or luxury tax. One space sends the player to jail. We will only consider the first two turns of a game of Monopoly. In the course of these turns, the furthest we could get around the board is to roll twelve twice and move a total of 24 spaces. So we will only examine the first 24 spaces on the board. In order these spaces are: Mediterranean AvenueCommunity ChestBaltic AvenueIncome TaxReading RailroadOriental AvenueChanceVermont AvenueConnecticut TaxJust Visiting JailSt. James PlaceElectric CompanyStates AvenueVirginia AvenuePennsylvania RailroadSt. James PlaceCommunity ChestTennessee AvenueNew York AvenueFree ParkingKentucky AvenueChanceIndiana AvenueIllinois Avenue First Turn The first turn is relatively straightforward. Since we have probabilities for rolling two dice, we simply match these up with the appropriate squares. For instance, the second space is a Community Chest square and there is a 1/36 probability of rolling a sum of two. Thus there is a 1/36 probability of landing on Community Chest on the first turn. Below are the probabilities of landing on the following spaces on the first turn: Community Chest – 1/36Baltic Avenue – 2/36Income Tax – 3/36Reading Railroad – 4/36Oriental Avenue – 5/36Chance – 6/36Vermont Avenue – 5/36Connecticut Tax – 4/36Just Visiting Jail – 3/36St. James Place – 2/36Electric Company – 1/36 Second Turn Calculating the probabilities for the second turn is somewhat more difficult. We can roll a total of two on both turns and go a minimum of four spaces, or a total of 12 on both turns and go a maximum of 24 spaces. Any spaces between four and 24 can also be reached. But these can be done in different ways. For example, we could move a total of seven spaces by moving any of the following combinations: Two spaces on the first turn and five spaces on the second turnThree spaces on the first turn and four spaces on the second turnFour spaces on the first turn and three spaces on the second turnFive spaces on the first turn and two spaces on the second turn We must consider all of these possibilities when calculating probabilities. Each turn’s throws are independent of the next turn’s throw. So we do not need to worry about conditional probability, but just need to multiply each of the probabilities: The probability of rolling a two and then a five is (1/36) x (4/36) 4/1296.The probability of rolling a three and then a four is (2/36) x (3/36) 6/1296.The probability of rolling a four and then a three is (3/36) x (2/36) 6/1296.The probability of rolling a five and then a two is (4/36) x (1/36) 4/1296. Mutually Exclusive Addition Rule Other probabilities for two turns are calculated in the same way. For each case, we just need to figure out all of the possible ways to obtain a total sum corresponding to that square of the game board. Below are the probabilities(rounded to the nearest hundredth of a percent) of landing on the following spaces on the first turn: Income Tax – 0.08%Reading Railroad – 0.31%Oriental Avenue – 0.77%Chance – 1.54%Vermont Avenue – 2.70%Connecticut Tax – 4.32%Just Visiting Jail – 6.17%St. James Place – 8.02%Electric Company – 9.65%States Avenue – 10.80%Virginia Avenue – 11.27%Pennsylvania Railroad – 10.80%St. James Place – 9.65%Community Chest – 8.02%Tennessee Avenue 6.17%New York Avenue 4.32%Free Parking – 2.70%Kentucky Avenue – 1.54%Chance – 0.77%Indiana Avenue – 0.31%Illinois Avenue – 0.08% More Than Three Turns For more turns, the situation becomes even more difficult. One reason is that in the rules of the game if we roll doubles three times in a row we go to jail. This rule will affect our probabilities in ways that we didn’t have to previously consider. In addition to this rule, there are effects from the chance and community chest cards that we are not considering. Some of these cards direct players to skip over spaces and go directly to particular spaces. Due to the increased computational complexity, it becomes easier to calculate probabilities for more than just a few turns by using Monte Carlo methods. Computers can simulate hundreds of thousands if not millions of games of Monopoly, and the probabilities of landing on each space can be calculated empirically from these games.