Roaring & Not-So Roaring Twenties Essay Example | Topics and Well Written Essays - 250 words

Roaring & Not-So Roaring Twenties - Essay Example Banking system started to progress, although this was on temporary grounds. Music industry also flourished. Jazz and other modern instruments were introduced. Radio transmission saw progress and more familiarity amongst the masses. Literature also flourished. The American dream was being followed more vigorously. Wall Street flourished and went global. European Industries also saw progress. The negative side was the too much reliance on technology and artificial existence of the markets and industries. This eventually led to the Economic Recession towards the late 1920s. The Great Depression again led the mindset towards an authoritative mindset. For example, fascism, Communism, and Nazism, all prevailed as a reactionary mindset, ideology and political concepts against the capitalist markets. Other draw backs of this concept were the fact that social competition came about. The novel The Great Gatsby is reflective of the impacts the roaring twenties had on the society and

Firstmover Advantage Essay Example for Free

Firstmover Advantage Essay What, exactly, are first-mover advantages? Under what conditions do they arise, and by what specific mechanisms? Do first-movers make aboveaverage profits? And when is it in a firm’s interest to pursue first-mover opportunities, as opposed to allowing rivals to make the pioneering investments? In this paper we examine these and other related questions. We categorize the mechanisms that confer advantages and disadvantages on first-mover firms, and critically assess the relevant theoretical and empirical literature. The recent burgeoning of theoretical work in industrial economics provides a rich set of models that help make our understanding of first-mover advantages more precise. There is also a growing body of empirical literature on order-of-entry effects. Our aim is to begin to provide a more detailed mapping of mechanisms and outcomes, to serve as a guide for future research. We define first-mover advantages in terms of the ability of pioneering firms to earn positive economic profits (i. e. , profits in excess of the cost of capital). First-mover advantages arise endogenously within a multi-stage process, as illustrated in Figure 1. In the first stage, some asymmetry is generated, enabling one particular firm to gain a head start over rivals. This first-mover opportunity may occur because the firm posesses some unique resources or foresight, or simply because of luck. Once this asymmetry is generated there are a variety of mechanisms that may enable the firm to exploit its position; these mechanisms enhance the magnitude or durability (or both) of first-mover profits. Our discussion is organized as follows. We first consider theoretical models and empirical evidence on three general categories in which first-mover advantage can be attained: leadership in product and process technology, preemption of assets, and development of buyer switching costs. We then examine potential disadvantages of first-mover firms (or conversely, relative advantages enjoyed by late-mover rivals). These include free-rider problems and a tendency toward inertia or sluggish response by established incumbents. The next section addresses a series of basic conceptual issues. These include the endogenous nature of first-mover opportunities, and various definitional and measurement questions. We conclude with an assessment of opportunities for additional research, and a summary of managerial implications. 1 MECHANISMS LEADING TO FIRST-MOVER ADVANTAGES First-mover advantages arise from three primary sources: (1) technological leadership, (2) preemption of assets, and (3) buyer switching costs. Within each category there are a number of specific mechanisms. 1 In this section we survey the existing theoretical and empirical literature on these three general categories of first-mover advantages. The theoretical models surveyed in this section assume the existence of some initial asymmetry among competitors that can be exploited by the first-mover firm. This intial asymmetry is critical; without it first-mover. advantages do not arise. Later in the paper we consider ways in which this asymmetry may come about. Technological Leadership First-movers can gain advantage through sustainable leadership in technology. Two basic mechanisms are considered in the literature: (1) advantages derived from the â€Å"learning† or â€Å"experience† curve, where costs fall with Cumulative output, and (2) success in patent or RD races, where advances in product or process technology are a function of RD expenditures. Learning curve In the standard learning-curve model, unit production costs fall with cumulative output. This generates a sustainable cost advantage for the early entrant if learning can be kept proprietary and the firm can maintain leadership in market share. This argument was popularized by the Boston Consulting Group during the 1970s and has had a considerable influence on the strategic management field. In a seminal theoretical paper, Spence (1981) demonstrated that when learning can be kept proprietary, the learning curve can generate substantial barriers to entry. Fewer than a handful of firms may be able to compete profitably. 2 However, despite high seller concentration there are incentives for vigorous competition. Firms that do enter may initially sell below cost Rumelt (1987) refers to these as â€Å"isolating mechanisms,† since they protect â€Å"entrepreneurial rents† from imitative competition. 2 1n a related setting where learning depends on accumulated investment rather than output, Gilbert and Harris (1981) show that a first-mover will preempt in the construction of new plants over multiple generations. 1 2 in an effort to accumulate greater experience, and thereby gain a long-term cost advantage. Such vigorous competition sharply reduces profits. Empirical evidence supporting such learning-based preemption is given by Ghemawat (1984) in the case of DuPont’s development of an innovative process for titanium dioxide, and by Porter (1981) who discusses Proctor and Gamble’s sustained advantage in disposable diapers in the US. Similarly, Shaw and Shaw (1984) argue that late entrants into European synthetic fiber markets failed to gain significant market shares or low cost positions, and many ultimately exited. Learning-based advantages are also evident in the case of Lincoln Electric Company (Fast, 1975); the firm’s early market entry with superior patented products, coupled with a distinctive managerial system promoting continued cost reduction in an evolutionary technological environment, has enabled the company to sustain remarkably high profitability. Inter-firm diffusion of technology, which diminishes first-mover advantages derived from the learning curve, is emphasized in theoretical papers by Ghemawat and Spence (1985) and Lieberman (1987c). It is now generally recognized that diffusion occurs rapidly in most industries, and learning-based advantages are less widespread than was commonly believed in the 1970s. Mechanisms for diffusion include workforce mobility, research publication, informal technical communication, â€Å"reverse engineering,† plant tours, etc. For a sample of firms in ten industries, Mansfield (1985) found that process technology leaks more slowly than product technology, but competitors typically gain access to detailed information on both products and processes within a year of development. Lieberman (1982, 1987b) shows that diffusion of process technology enabled late entry into a sample of forty chemical product industries, despite strong learning curve effects at the industry level. R~Dand patents When technological advantage is largely a function of RD expenditures, pioneers can gain advantage if technology can be patented or maintained as trade secrets. This has been formalized in the theoretical economics literature in the form of RD or patent races where advantages are often enjoyed by the first-mover firm. Gilbert and Newberry (1982) were the first to develop a model of preemptive patenting, in which a firm with an early head-start in research exploits its lead to deter rivals from entering the patent race. Subsequent papers by Reinganum (1983), Fudenberg, et 3 al. (1983) and others showed that that preemption by the leader depends on assumptions regarding the stochastic nature of the RD process and whether it is possible for followers to â€Å"leapfrog† ahead of the incumbent. One general defect of this patent race literature is that all returns are assumed to go exclusively to the winner of the race. As an empirical matter, such patent races seem to be important in only a few industries, such as pharmaceuticals. In most industries, patents confer only weak protection, are easy to â€Å"invent around,† or have transitory value given the pace of technological change. For a sample of 48 patented product innovations in pharmaceuticals, chemicals and electrical products, Mansfield et al. (1981) found that on average, imitators could duplicate patented innovations for about 65% of the innovators cost; imitation was fairly rapid, with 60% of the patented innovations imitated within four years. Imitation appeared relatively more costly in the pharmaceutical industry, where immitators must go through the same regulatory approval procedures as the innovating firm. Levin et al. (1984) found wide inter-industry variation in the cost and time required for imitation. They also found inter-industry differences in appropriability mechanisms, with lead-time and learning curve advantages relatively important in many industries, and patents important in few. In a study using the PIMS data base, Robinson (1988) found that pioneer firms benefit from patents or trade secrets to a significantly greater extent than followers (29% vs. 13%). However, he also found that patents accounted for only a small proportion of the perceived quality advantages enjoyed by pioneers. Several case studies have examined the role of patents in sustaining firstmover advantages. Bresnahan (1985) discusses Xerox’s use of patents as an entry barrier. In addition to key patents on the basic Xerography process, Xerox patented a thicket of alternative technologies which defended the firm from entry until challengers used anti-trust actions to force compulsory licensing. Bright (1949) argues that GE’s long-term dominance of the electric lamp industry was initially derived from control of the basic Edison patent, and later maintained through the accumulation of hundreds of minor patents on the lamp and associated equipment. RD and innovation need not be limited to physical hardware; firms also make improvements in managerial systems and may invent new organizational forms. Organizational innovation is often slow to diffuse, and hence may convey more durable first-mover advantage than product or process innovation (Teece, 1980). Chandler (1977) describes managerial innovations that enabled producers to exploit newly-available scale economies in 4 manufacturing and distribution in the late 19th century. Many of these firms—e. g. , American Tobacco, Campbell Soup, Quaker Oats, Proctor and  Gamble—still retain dominant positions in their industries. Preemption of Scarce Assets The first-mover firm may be able to gain advantage by preempting rivals in the acquisition of scarce assets. Here, the first-mover gains advantage by controffing assets that already exist, rather than those created by the firm through development of new technology. Such assets may be physical resources or other process inputs. Alternatively, the assets may relate to positioning in â€Å"space,† including geographic space, product space, shelf space, etc. Preemption of input factors II the first-mover firm has superior information, it may be able to purchase assets at market prices below those that will prevail later in the evolution of the market. Such assets include natural resource deposits and prime retailing or manufacturing locations. Here, the returns garnered by the first-mover are pure economic rents. 3 A first-mover with superior information can (in principle) collect all such rents earned on non-mobile assets such as resource deposits and real estate. 4 The firm may also be able to appropriate some of the rents that accrue to potentially mobile assets such as employees, suppliers and distributors. The firm can collect such rents if these factors are bound to the firm by switching costs, so that their mobility is restricted. One empirical study of first-mover advantages in controlling natural resources is Main (1955). Main argues that the concentration of high-grade nickel deposits in a single geographic area made it possible for the first company in the area to secure rights to virtually the entire supply, and thus dominate world production for decades. The basic argument is sta-ndard economic analysis, and can be traced back to Ricardo’s analysis of rents captured by landowners (first-movers) in the market for wheat in 19th century England. 4 Note that with complete markets, a first-mover with superior information need not actually own or control such assets to capture economic rents. Hirshleifer (1971) argues that if futures markets exist, the firm can simply assume forward market positions that exploit its superior information. 3 5 Preemption of locations in geographic and product characteristics space First-movers may also be able to deter entry through strategies of spatial preemption. In many markets there is â€Å"room† for only a limited number of profitable firms; the first-mover can often select the most attractive niches and may be able to take strategic actions that limit the amount of space available for subsequent entrants. Preemptable â€Å"space† can be interpreted broadly to include not only geographic space, but also shelf space and â€Å"product characteristics space† (i. e. , niches for product differentiation). The theory of spatial preemption is developed in papers by Prescott and Vissher (1977), Schmalensee (1978), Rao and Ruttenberg (1979) and Eaton and Lipsey (1979, 1981). The basic argument is that the first-mover can establish positions in geographic or product space such that latecomers find it unprofitable to occupy the interstices. If the market is growing, new niches are filled by incumbents before new entry becomes profitable. 5 Entry is repelled through the threat of price warfare, which is more intense when firms are positioned more closely. Incumbent commitment is provided through sunk investment costs. 6 The empirical evidence suggests that successful preemption through geographic space packing is rare. In their study of the cement industry, Johnson and Parkman (1983) found no evidence of successful geographic preemption even though structural characteristics of the industry suggest that such strategies would be likely. In a study of local newspaper markets, Glazer (1985) found no difference in survival rates between first- and second-mover firms. One explanation for these findings is that all firms in cement and newspaper markets have similar technologies and entry opportunities, so preemptive competition for preferred sites drives profits to zero. In other words, there were no initial asymmetries in timing or information to be exploited. One counter-example illustrating effective geographic preemption is a case study of the Wal-Mart discount retailing firm (Ghemawat, 1986b). Wal-Mart targeted small southern towns located in contiguous areas that competitors initially found unprofitable to serve. By coupling spatial preemption at the retail level with an. extremely efficient distribution network, the firm has been able to defend its position and earn sustained high profits. Schmalensee (1978) developed his model of product space preemption in lncumbents fill these niches in order to sustain monopoly profits at nearby locations; these profits may be dissipated if new entry occurs. 6 judd (1985) argues that sunk costs are not sufficient; exit costs are required as well. 5 6 the context of a lawsuit brought by the Federal Trade Commission against the three major US breakfast cereal companies. The FTC alleged that these firms had sustained their high profit rates through a strategy of tacit collusion in preempting supermarket shelf space and product differentiation niches. Although the lawsuit was dismissed, the cereal firms have continued to sustain exceptionally high profit rates. 7 Robinson and Fornell (1985) found that new consumer product pioneers initially held product quality superiority over imitators, and eventually developed advantages in the form of a broader product line. Thus, there is some evidence that pioneers try to reinforce their early lead by filling product differentiation niches. Preemptive investment in plant and equipment Another way in which an established first-mover can deter entry is through pre-emptive investment in plant and equipment. Here, the enlarged capacity of the incumbent serves as a commitment to maintain greater output following entry, with price cuts threatened to make entrants unprofitable. In these models, the incumbent may successfully deter new entry, as in Spence (1977), Dixit (1980), Gilbert and Harris (1981) and Eaton and Ware (1987). Alternatively, pre-emptive investment by the pioneer may simply deter the growth of smaller entrants, as in Spence (1979) and Fudenberg and Tirole (1983). These investment tactics do not seem to be particularly important in practice. Gilbert (1986) argues that most industries lack the cost structure required for preemptive investment to prove effective. Lieberman (1987a) shows that preemptive investment by incumbents was seldom successful in deterring entry into chemical product industries. One exception was magnesium, where Dow Chemical maintained a near monopoly position for several decades, based largely on investments (threatened or actual) in plant capacity (Lieberman, 1983). The role of scale economies is intentionally de-emphasized in the abovementioned models of preemptive investment. 8 When scale economies are large, first-mover advantages are typically enhanced, with the limiting case being that of natural monopoly. However, outside of public utilities, scale 7 8 0f course, these profits may be derived from sources other than spatial preemption. have also ignored the possibility that network externalities may enhance the po- sition of the first-mover firm. These externalities arise if there are incentives for interconnection or compatibility among users. (See, for example, Farrell and Saloner (1986) and Katz and Shapiro (1986). ) 7 economies approaching the natural monopoly level are seldom observed in US manufacturing industries. 9 In a theoretical treatment, Schmalensee (1981) shows that in most realistic industry settings, scale economies provide only minor entry barriers and hence potential for enhanced profits. Switching Costs and Buyer Choice Under Uncertainty Switching costs First-mover advantages may also arise from buyer switching costs. With switching costs, late entrants must invest extra resources to attract customers away from the first-mover firm. Several types of switching costs can arise. First, switching costs can stem from initial transactions costs or investments that the buyer makes in adapting to the seller’s product. These include the time and resources spent in qualifying a new supplier, the cost of ancillary products such as software for a new computer, and the time, disruption, and financial burdens of training employees. A second category of switching costs arises due to supplier-specific learning by the buyer. Over time, the buyer adapts to characteristics of the product and its supplier and thus finds it costly to change over to another brand (Wernerfelt, 1988). For example, nurses become accustomed to the intravenous solution delivery systems of a given supplier and are reluctant to switch (Porter, 1980). A third type of switching cost is contractual switching cost that may be intentionally created by the seller. Airline frequent flyer programs fit in this category (Klemperer, 1986). Theoretical models of market equilibrium with buyer switching costs include Klemperer (1986) and Wernerfelt (1986, 1988). Switching costs typically enhance the value of market share obtained early in the evolution of a new market. Thus, they provide a rationale for pursuit of market share. However, first-movers with large market shares do not necessarily earn high profits; early competition for share can dissipate profits. And under some conditions the inertia of an incumbent with a large customer base can make this firm vulnerable to late entrants, who prove to be relatively more profitable (Klemperer, 1986). For example, see Weiss (1976). This finding applies to manufacturing operations only; greater scale economies may arise in distribution and advertising. Also, many retailing markets are geographically fragmented, leading to the possibility of spatial preemption of the sort described earlier. Such preemption requires the presence of some scale economies in the form of fixed costs. 9 8 Buyer choice under uncertainty A related theoretical literature (e. g. , Schmalensee, 1982) deals with the imperfect information of buyers regarding product quality. In such a context, buyers may rationally stick with the first brand they encounter that performs the job satisfactorily. Brand loyalty of this sort may be particularly strong for low-cost â€Å"convenience goods† where the benefits of finding a superior brand are seldom great enough to justify the additional search costs that must be incurred (Porter, 1976). In such an environment, early-mover firms may be able to establish a reputation for quality that can be transferred to additional products through umbrella branding and other tactics (Wernerfelt, 1987). Similar arguments derived from the psychology literature suggest that the first product introduced receives disproportionate attention in the consumer’s mind. Late entrants must have a truly superior product, or else advertise more frequently (or more creatively) than the incumbent in order to be noticed by the consumer. In a laboratory study using consumer products, Carpenter and Nakamoto (1986) found that order-of-entry influences the formation of consumer preferences. If the pioneer is able to achieve significant consumer trial, it can define the attributes that are perceived as important within a product category. Pioneers such as Coca-Cola and Kleenex have become prototypical, occupying a unique position in the consumer’s mind. Pioneers’ large market shares tend to persist because perceptions and preferences, once formed, are difficult to alter. More traditional marketing studies confirm the existence of such perceptual effects. In a study of two types of prescription pharmaceuticals—oral diuretics and antianginals—Bond and Lean (1977) found that physicians ignored â€Å"me-too† products, even if offered at lower prices and with substantial marketing support. ’ ° Montgomery (1975) found that a product’s newness was one of the two key variables necessary to gain acceptance onto supermarket shelves. These imperfect information effects should be greater for individual consumers than corporate buyers, since the latter’s larger purchase volume justifies greater investment in information acquisition activities)-~ Using the 0ne explanation of these findings is that physicians are price insensitive because they do not actually pay the prescription costs. However, the Carpenter and Nakamoto (1986) experiments found that more typical consumers are also unwilling to switch to objectively similar â€Å"me-too† brands, even at substantially lower prices. 11 Moreover, switching costs in industrial markets often dissipate over time as the buy~r becomes more knowledgeable about competing products (Cady, 1985). 10 9 PIMS data base, Robinson (1988) and Robinson and Fornell (1985) found that pioneers had larger market shares than followers in both consumer and industrial markets, but the effect was much greater for consumer goods: order of entry explained 18% of the variance in market share in consumer goods markets, but only 8% in industrial markets. For a sample of 129 consumer packaged goods, Urban et al. (1986) found a strong inverse relation between order-of-entry and market share. Brand positions remain remarkably durable in many consumer markets. Ries and Trout (1986) noted that of twenty-five leading brands in 1923, twenty were still in first place some sixty years later. Davidson (1976) found that two-thirds of the pioneers in eighteen United Kingdom grocery product categories developed since 1945 retained their market leadership through the mid- 1970s. FIRST-MOVER DISADVANTAGES The above-mentioned mechanisms that benefit the first-mover may be counterbalanced by various disadvantages. These first-mover disadvantages are, in effect, advantages enjoyed by late mover firms. Late movers may benefit from: (1) the ability to â€Å"free ride† on first-mover investments, (2) resolution of technological and market uncertainty, (3) technological discontinuities that provide â€Å"gateways† for new entry, and (4) various types of â€Å"incumbent inertia† that make it difficult for the incumbent to adapt to environmental change. These phenomena can reduce, or even completely negate, the net advantage of the incumbent derived from the mechanisms considered previously. Free-Rider Effects Late movers may be able to â€Å"free ride† on a pioneering firm’s investments in a number of areas including RD, buyer education, and infrastructure development. As mentioned previously, imitation costs are lower than innovation costs in most industries. However, innovators enjoy an initial period of monopoly that is not available to imitator firms. Nevertheless, the ability of follower firms to free ride reduces the magnitude and durability of the pioneer’s profits, and hence its incentive to make early investments. The theoretical literature has focused largely on the implications of freerider effects in the form of information spillovers in RD (Spence, 1984; Baldwin Childs, 1969), and learning-based productivity improvement 10 (Ghemawat and Spence, 1985; Lieberman, 1987c). As mentioned previously, empirical studies document a high rate of inter-firm diffusion of technology in most industries. Guasch and Weiss (1980) assess free-rider effects operating in the labor market. They give a theoretical argument that late-mover firms may be able to exploit employee screening performed by early entrants, and thus acquire skilled labor at lower cost. This is on top of the fact that early entrants may invest in employee training, with benefits enjoyed by later entrants who may be able to hire away the trained personnel. Teece (1986a, 1986b) argues that the magnitude of free-rider effects depends in part on the ownership of assets that are complementary or specialized† with the underlying innovation. For example, EMI developed the first CT scanner but lost in the marketplace because the firm lacked a technology infrastructure and marketing base in the medical field; Pilkington, by comparison, was able to profit handsomely from its pioneering float glass process because of the firm’s ability to draw upon relevant assets and experience in the glass industry. In other instances late-mover firms have proven successful largely because they were able to exploit existing assets in areas such as marketing, distribution, and customer reputation—e. g. , IBM in personal computers and Matsushita in VCRs (Schnaars, 1986). Resolution of Technological or Market Uncertainty Late movers can gain an edge through resolution of market or technological uncertainty. 12 Wernerfelt and Karnani (1987) consider the effects of uncertainty on the desirability of early versus late market entry. They argue that early entry is more attractive when firms can influence the way that uncertainty is resolved. Firm size may also matter—they suggest that large firms may be better equipped to wait for resolution of uncertainty, or to hedge by maintaining a more flexible portfolio of investments. In many new product markets, uncertainty is resolved over time through the emergence of a â€Å"dominant design. † The Model T Ford and the DC-3 are examples of such designs in the automotive and aircraft industries. After emergence of such a design, competition often shifts to price, thereby con12 A related point is that a late-mover may be able to take advantage of the firstmover’s mistakes. For example, when Toyota was first planning to enter the US market it interviewed owners of Volkswagons, the leading small car at that time. Information on what owners liked and disliked about the VW was incorporated in the design process for the new Toyota. 11 veyin. g greater advantage on firms possessing skills in low-cost manufacturing (Teece, 1986b). Shifts in Technology or Customer Needs. Schumpeter (1961) conceived of technological progress as a process of â€Å"creative destruction† in which existing products are superceded by the innovations of new firms. New entrants exploit technological discontinuities to displace existing incumbents. Empirical studies which consider these technological discontinuities or â€Å"gateways† for new entry include Yip (1982), and Bevan (1974). Foster (1986) gives practical advice on how such discontinuities can be exploited by entrants, who might be defined as â€Å"first-movers† into the next technological phase. Sch. erer (1980, p.438) provides a list of innovative entrants who revolutionized existing industries with new products and processes. He also cites numerous examples of dominant incumbents that proved slow innovators but aggressive followers (p. 431). Since the replacement technology often appears while the old technology is still growing, it may be difficult for an incumbent to percieve the threat and take adequate preventative steps. Cooper and Schendel (1976) provide several examples, such as the failure of steam locomotive manufacturers to respond to the invention of diesel. Foster (1986) cites American Viscose’s failure to recognize the potential of polyester as a replacement for rayon, and Transitron’s inattention to silicon as a substitute for germanium in semiconductor fabrication. This perceptual failure problem is closely related to that of â€Å"incumbent inertia† considered below. Customer needs are also dynamic, creating opportunities for later entrants unless the first mover is alert and able to respond. Docutel, as the pioneer, had virtually 100% of the automatic teller machine market up to late 1974. Over the next four years, its market share declined to less than 10% under the onslaught of Honeywell, IBM and Burroughs, all of whom offered total system solutions to customers’ emerging needs for electronic funds transfer (Abell, 1978). Incumbent Inertia Vulnerability of the first-mover is often enhanced by problems of â€Å"incumbent inertia. † Such inertia can have several root causes: (1) the firm may be locked-in to a specific set of fixed assets, (2) the firm may be reluctant to cannibalize its existing product lines, or (3) the firm may become organi-12 zationally inflexible. These factors inhibit the ability of the firm to respond to environmental change or competitive threats. Incumbent inertia is often a rational, profit-maximizing response, even though it may lead to organizational decline. For example, Tang (1988) presents a model that rationalizes the decisions of most U. S. steel producers to continue investing in open hearth furnace technology during the late 1950’s and early 1960’s even though it had become clear that basic oxygen furnaces were superior. A firm with heavy sunk costs in fixed plant or marketing channels that ultimately prove sub-optimal may find it rational to â€Å"harvest† these investments rather than attempt to transform itself radically. 13 MacMillan (1983) suggests that in the rapidly-changing environment of health care, old health care systems may currently be harvesting from their initial investments in locations and personnel. The appropriate choice between adaptation and harvesting depends on how costly it is to convert the firm’s existing assets to alternative uses. And as we consider below, there have been numerous instances where organizational inertia has led firms to continue investing in their existing asset base well beyond the point where such investments could be economically justified. Much of the literature on cannibalization-avoidance refers to the case of RD. Arrow (1962) was the first to lay out the theoretical argument that an incumbent monopolist is less likely to innovate than a new entrant, since innovation destroys rents on the firm’s existing products. More recent theoretical work along these lines include Reinganum (1983) and Ghemawat (1986a). Bresnahan (1985) argues that Xerox exhibited such behavior following the expiration ofits patent-enforced monopoly—Xerox lagged in certain types of innovations and was sluggish to cut prices, given the firm’s large fleet of rental machines in the field. Brock (1975) and Ghemawat (1986a) make similar arguments regarding the innovative responses of IBM in computers and ATT in PBX’s. However, Connor (1988) shows that under a broad range of conditions, the incumbent’s optimal strategy is to develop an improved product but delay market introduction until challenged by the appearance of a rival product. From an organizational theory perspective, Hannan and Freeman (1984) outline factors that limit adaptive response by incumbents.

Tupac Shakur Essay -- Music, Rap Industry

Tupac Shakur, otherwise known as 2Pac, was well known for his accomplishments in the rap industry, as well as his career in acting. When most people look back at the life of Tupac they will remember September 7th 1996, the night Shakur was shot four times on the streets of Las Vegas. Six days later on September 13th 1996, he was pronounced dead at the University Of Nevada Medical Center (THUG, 2011). Although most individuals believed that the tension between the East Coast and the West Coast would lighten with the death of Tupac, it did just the opposite. With angry fans mourning the death of Tupac, and gang members begin promoting more violence in the streets. The feud became stronger between the East and West Coast, causing a divide throughout America. Even though Tupac wasn't alive anymore his records were still sold, and his music videos and songs were still being produced. Other rappers also used the death of Tupac to their advantage, writing songs and raps about his dea th. Moreover, the death of Tupac brought curiosity to many Americans regarding the rap industry because he was a very well-known rapper/actor, who many people still mourn today. Sectionalism in the early eighteen hundreds was much like the East Coast and West Coast feud in the 1990’s. In the 1800’s the issue over slavery was dividing America into two, the North and the South. The North did not think slavery was right, the South did, and they wanted slavery to continue. The constant fighting over the issue of slavery increased as the decade went on. The result of this feud was the Civil War, that broke out in April 1861. The war lasted four long years, with many casualties, and relationships between states that would take a great amount of time to ... ...e still released after his death (Kallen, 94). Most of the released songs became hits, but Tupac Shakur was unable to accept the praise. Some have the idea that at the time Tupac was shot, he was going to leave Death Row Records. If this were true, it would have been a reason for someone from Death Row Records to shoot him, but as of 1999, there had been no investigation into Tupac Shakur’s murder. This brought a great deal of anger among many people who were furious that he was murdered in the first place (Tupac, 2002). Furthermore, the death of Tupac Shakur has become famous throughout America, whether you were a fan of Tupac Shakur, or the story was all a shocker to you, it has caused curiosity among individuals whether or not the East Coast versus West Coast rivalry was the cause of the murder, and whether or not the rivalry was necessary in the beginning.

NY Times Paywall Essay

However the long-term prospects of paywalls remained uncertain. The subscriber growth was slowing down, and many of the paid subscribers of The Times were enticed by the introductory offer of 99 cents for a 4-week subscription. A previous experiment with a paywall, TimesSelect, was abandoned in 2007 after The Times secured 227,000 paying customers. Was the paywall a good idea for the long-term? Would it provide a foundation for a sustainable business model as The Times approached an ever-evolving technology and media landscape? Company Background The New York Times Company was a leading global multimedia news and information company with 2011 revenues of $2. 3 billion and an operating profit of $57 million, and operated The New York Times, the International Herald Tribune, The Boston Globe, and About. com. (See Exhibit 1 for company structure, Exhibit 2 for business units and their revenues, and Exhibit 3 for company financials. ) The company defined its core purpose as â€Å"enhance[ing] society by creating, collecting and distributing high quality news, information and entertainment. †7 The New York Times, the flagship daily newspaper of the company, was founded on September 18, 1851, by journalist and politician Henry Jarvis Raymond, and former banker George Jones. By 2011, the newspaper had won 106 Pulitzer Prizes, the most of any news organization. Reflecting on The Times’s importance, Michael Hirschorn, the contributing editor of the Atlantic, remarked: The Times still, I think to a remarkable degree, does set the agenda. You really can trace almost any major story these days to something that originally appeared in The Times. The problem is that once it reaches the public, they may not even know it came from The Times. 8 In spite of its prize-winning journalism, The Times was facing significant pressures. Its subscription and revenues had steadily declined over the years (see Exhibits 3 and 4). Its advertising revenues in 2011 were down by over 6% compared with 2010 ad revenues, and in spite of cost cutting, the operating profit in 2011 was 76% less than the previous year. In January 2012, the company sold its Regional Media Group consisting of 16 regional newspapers for $143 million in cash. 9 2 This document is authorized for use only by Karen Lao in Marketing Management taught by A. Prasad from August 2013 to December 2013. For the exclusive use of K. LAO The New York Times Paywall 512-077 The Newspaper Industry The New York Times was not alone in feeling this pressure—the entire newspaper industry was facing significant challenges. Overall circulation in the industry for both weekday and weekend newspapers was declining (Exhibit 5). Traditional sources of newspaper revenues—subscription, retail, and classified advertising—were also declining (Exhibit 6). In contrast, most of the costs for editorial staff, production, and distribution were fixed and had very little room for reduction. Table A shows the revenue and cost structure of a typical U. S. newspaper.

Abolish Columbus Day

Columbus Day has regarded Christopher Columbus as a hero for his â€Å"discovery† of America. In parts of America there are big Columbus Day celebrations and parades; even the schools are closed so the children may experience the festivities. The fact of the matter is that Columbus Day does not celebrate the actual â€Å"accomplishments† of Columbus, but celebrates the PG story of Columbus that school teachers would tell elementary school children in the form of a rhyme or song.The celebration of Columbus Day glorifies the colonial conquest, enslavement, and murder of indigenous people by Europeans and should be wiped off the books of American national holidays because Christopher Columbus is not a great Italian explorer who discovered America and Columbus’ exploration led the massive genocide of the indigenous people. All throughout America, Italian-American people celebrate Christopher Columbus as one of the great Italian heroes.In reality, Columbus was not eve n Italian but Genoese, which is a person born in Genoa. Italy did not become a country until 1861 which is 355 years after Columbus died. While Columbus was alive he did not go on his famous trip across the Atlantic Ocean sponsored by Genoa but instead sponsored by Spain. Christopher Columbus set out on his exploration to find a faster trade route to Asia and so traveled East thinking that would have been a faster way; obviously this is not true.In Howard Zinn’s essay, Columbus, The Indians, and Human Progress, the writer states that Columbus would have never made it to Asia and, â€Å"One-fourth of the way there he came upon an unknown, uncharted land†¦Ã¢â‚¬  (Zinn). If Columbus was the great explorer that Columbus Day portrays him as, then he would have at least realized that the land he discovered was not Asia but instead America. When Columbus died, he thought that he went to Asia even though an acquaintance of his, Amerigo Vespucci, had already realized that the l and Columbus went to was not Asia but the New World.Besides the fact that Columbus was not even close to getting to Asia, he did not â€Å"discover† America, but instead he informed Europe of the existence of the landmass. The land was already inhabited by millions of Amerindian that had been living in America for thousands of years. The Order of the Sons of Italy in America argue in their article, Columbus: Fact or Fiction, that Columbus did discover America by saying, â€Å"Even if others visited the continent sporadically before he did, their voyages had no historical ignificance. † The OSIA meant that even if anyone visited the New Land before Columbus; since their discovery did not have any grand importance or documentation that the other explorer’s discoveries do not matter. Even though Columbus never took credit for discovering America because he thought he was in Asia the whole time, Americans of today blindly give him the grand title of the â€Å"disco verer of America† when he actually just brought the land into the minds of the people of Europe.When Columbus first arrived in the New World, there were more than eight million American Indian (Taino) living in the area where Columbus landed which was the Bahamas. Columbus did not see the Taino as a civilization of people but as stated in Zinn’s article Columbus wrote in his journal that, â€Å"†¦They would make fine servants†¦Ã¢â‚¬ (Columbus quoted in Zinn). With that Columbus began his subjugation of the Taino because he wanted gold that no one else was sure existed in the abundance that Columbus believed.The Admiral’s presence and interference with the Taino’s daily lives caused disputes and separation of the Taino tribes as well as the destruction their lands which helped lead to their downfall. Juliet Ucelli argued in her article, Italian-Americans: Say Basta to Columbus, about how she did not want the Italian people to be like Columbus in the way that he would, â€Å"†¦go into other people’s lands, take them over, and exploit labor and resources. † This exploitation leads Columbus to build mines in which he forced the Taino to arduous physical labor, which killed millions.If a native man did not bring in enough gold at the end of the month, Columbus would have the laborer’s hands cut off which caused massive blood loss and ultimately death. Mothers would drown their children because they had no way of feeding them and did not want their child to grow up in such conditions. In the essay â€Å"Thief, Slave Trader, Murderer: Christopher Columbus and Caribbean Population Decline† Mark Freeland and Tink Tinker, the authors, indicate that, â€Å"†¦Colon presided over the deaths of some seven and a half million people. † By the end of Columbus’ voyage he killed almost all of the indigenous people.By the time Columbus was carried away in chains, only 500,000 of the origina l 8 million Taino’s were left, and those were wiped out by the rest of the European explorers who were inspired by Columbus. A lot of Americans celebrate Columbus Day without ever knowing the true facts of what actually went on during his exploration. Nowadays more people have learned the truth about Christopher Columbus and started to protest the day dedicated to his wrongdoings. Columbus Day should be abolished and replaced because of the acts of genocide and the overall sense that Columbus was not a great explorer.Works Cited Freeland, Mark, and Tink Tinker. â€Å"Thief, slave trader, murderer: Christopher Columbus and Caribbean population decline. † Wicazo Sa Review 23. 1 (2008): 25+. General OneFile. Web. 28 Oct. 2012. Order of the Sons of in America, Columbus: Fact vs. Fiction. (2005): n. page. Web. 28 Oct. 2012. Ucelli, Juliet. â€Å"Italian-Americans: Say Basta to Columbus. † (2012): n. page. Web. 28 Oct. 2012. Zinn, Howard. â€Å"Columbus, The Indians, and Human Progress† People’s History of the United States. (2012): n. page. Web. 28 Oct. 2012.

Calculating Osmotic Pressure With an Example Problem

Calculating Osmotic Pressure With an Example Problem The osmotic pressure of a solution is the minimum amount of pressure needed to prevent water from flowing into it across a semipermeable membrane. Osmotic pressure also reflects how readily water can enter the solution via osmosis, as across a cell membrane. For a dilute solution, osmotic pressure obeys a form of the ideal gas law and can be calculated provided  you know the concentration of the solution and the temperature. Osmotic Pressure Problem What is the osmotic pressure of a solution prepared by adding 13.65 g of sucrose (C12H22O11) to enough water to make 250 mL of solution at 25  °C?Solution:Osmosis and osmotic pressure are related. Osmosis is the flow of a solvent into a solution through a semipermeable membrane. Osmotic pressure is the pressure that stops the process of osmosis. Osmotic pressure is a colligative property of a substance since it depends on the concentration of the solute and not its chemical nature.Osmotic pressure is expressed by the formula:ÃŽ   iMRT (note how it resembles the PV nRT form of the Ideal Gas Law)whereÃŽ   is the osmotic pressure in atmi van t Hoff factor of the soluteM molar concentration in mol/LR universal gas constant 0.08206 L ·atm/mol ·KT absolute temperature in K Step 1,Find the Concentration of Sucrose To do this, look up the atomic weights of the elements in the compound:From the periodic table:C 12 g/molH 1 g/molO 16 g/mol Use the atomic weights to find the molar mass of the compound. Multiply the subscripts in the formula times the atomic weight of the element. If there is no subscript, it means one atom is present.molar mass of sucrose 12(12) 22(1) 11(16)molar mass of sucrose 144 22 176molar mass of sucrose 342nsucrose 13.65 g x 1 mol/342 gnsucrose 0.04 molMsucrose nsucrose/VolumesolutionMsucrose 0.04 mol/(250 mL x 1 L/1000 mL)Msucrose 0.04 mol/0.25 LMsucrose 0.16 mol/L Step 2,Find absolute temperature Remember, absolute temperature is always given in Kelvin. If the temperature is given in Celsius or Fahrenheit, convert it to Kelvin. T  °C 273T 25 273T 298 K Step 3,Determine the van t Hoff factor Sucrose does not dissociate in water; therefore the van t Hoff factor 1. Step 4,Find the Osmotic Pressure To find the osmotic pressure, plug the values into the equation. ÃŽ   iMRTÃŽ   1 x 0.16 mol/L x 0.08206 L ·atm/mol ·K x 298 KÃŽ   3.9 atmAnswer:The osmotic pressure of the sucrose solution is 3.9 atm. Tips for Solving Osmotic Pressure Problems The biggest issue when solving the problem is knowing the vant Hoff factor and using the correct units for terms in the equation. If a solution dissolves in water (e.g., sodium chloride), its necessary to either have the vant Hoff factor given or else look it up. Work in units of atmospheres for pressure, Kelvin for temperature, moles for mass, and liters for volume. Watch significant figures if unit conversions are required.

Transborder Data Flows essays

Transborder Data Flows essays Perhaps before we start discussing information security and transborder data flows, we need to briefly address two of the characteristics of the global society nowadays: economical and cultural interdependence and the ever-growing technological developments. Indeed, if we refer strictly to the countries in the OECD, countries that are most advanced technologically, the globalization process taking place for the last couple of years has meant that they tend to interact more often, in such a manner that we can now address the term of "Transborder Data Flows". According to one of the articles, these can be defined as "flows of data with an international dimension"[1]. The internalization of information and the increasing data flow has two major implications, in my point of view. For once, it induces the OECD states to create the appropriate regulation that will prevent such things as "the unlawful storage of personal data, the storage of inaccurate personal data, or the abuse or unauthorized disclosure of such data"[2]. This means that each country needs to create a set of laws, constituting thus the appropriate legislative base that will regulate the process. The second implication regards this legislative set in a global context. Acknowledging the fact that the countries members of the OECD are also those which will be exchanging most information and will play the most important part in the transborder data flows, it is to be assumed that a set of rules that have a common ground and are harmonized with one another will tend to facilitate the international exchange of data and information. As we can see, we have two somewhat opposite implications in what the transborder data flows are concerned. On one hand, we are referring to regulation, because we need to make sure that the international data flows do not violate essential human rights, on the other...

Learn How to Properly Apply Gel Coat

Learn How to Properly Apply Gel Coat Applying gel coat correctly is of utmost importance to making aesthetically pleasing and long-lasting end products. If gel coat is not applied properly it ultimately can increase the cost of the product made, as often is the case, cutting corners in this process will not prove to be worth it. How Do Improperly Applied Gel Coats Increase Cost? It depends on a number of parts that get rejected and the work required to fix them. The amount of work and material saved by investing in a proper gel coat application process will pay off in the end. Proper gel coat application includes: Material preparationEquipment calibrationUse of trained spray operatorsAppropriate spray methods Gel coats should be sprayed and not brushed. The equipment used for spraying must be selected carefully and maintained well. Catalyst levels are important to the curing of the gel coat and dependent upon shop conditions. Most gel coats’ ideal catalyst level is 1.8 percent at 77Â °F (25Â °C), however, specific shop conditions may require this number to vary between 1.2 and 3 percent. Environmental factors that may require an adjustment in catalyst levels are: TemperatureHumidityMaterial ageCatalyst brand or type A catalyst level below 1.2 percent or above 3 percent should not be used because the cure of the gel coated can be affected permanently. Product data sheets can give specific catalyst recommendations. There are many catalysts for use in resins and gel coats. Proper catalyst selection is vital. In gel coats, only MEKP-based catalysts should be used. The three active ingredients in a MEKP-based catalyst are: Hydrogen peroxideMEKP monomerMEKP dimmer Each component helps the curing of unsaturated polyesters. The following is each chemical’s specific role: Hydrogen peroxide: starts gelation phase, though does little for a cureMEKP monomer: plays roles in initial cure and overall cureMEKP dimer: active during file cure stage of polymerization, high MEKP dimer typically causes porosity (air entrapping) in gel coats Achieving the correct thickness of a gel coat is imperative as well. A gel coat should be sprayed in three passes for a total wet film thickness of 18 /- 2 mils thickness. Too thin a coating can result in undercure of the gel coat. Too thick a coat can crack when flexed. Spraying gel coat onto vertical surfaces will not cause sag because of its’ thixotropic characteristics. Gel coats will also not entrap air when applied according to instructions. Lamination With all other factors normal, gel coats are ready for laminating within 45 to 60 minutes after catalyzation. The time is dependent upon: TemperatureHumidityCatalyst typeCatalyst concentrationAir movement A slowing of gel and cure occurs with low temperatures, low catalyst concentrations, and high humidity. To test whether a gel coat is ready for lamination touch the film at the lowest part of the mold. It is ready if no material transfers. Always monitor equipment and application procedures to ensure proper application and cure of the gel coat. Material Preparation Gel coat materials come as complete products and not other materials other than catalysts should be added. For product consistency, gel coats should be mixed for 10 minutes before use. Agitation should be enough to allow the product to move all the way to the container walls while preventing as much turbulence as possible. It is imperative not to over-mix. This can decrease thixotropy, which increases sag. Overmixing may also result in styrene loss that can add to porosity. Air bubbling for mixing is not advised. It is ineffective and adds for potential water or oil contamination.

Design user interface of interactive systems Essay - 1

Design user interface of interactive systems - Essay Example Keeping in view the stakeholders and the requirements of the proposed system, the first idea for the dashboard design is to consolidate and arrange the required information in a way that it would be displayed on a single screen to inform the user regarding the desired weather conditions. In the first idea it is proposed that the widgets including daily and weekly temperature along with seven days of the week would be shown at the left side bar on the dashboard screen, whereas, the images (sunny, cloudy, rainy) along with location screen would be displayed at the middle and right below corner of the dashboard. And the remaining widgets including the date and location (user input) for determining the weather forecast would be placed horizontally at the top of the screen. In the second idea, it is proposed that all the information would be displayed on the weather forecast image i-e sunny, cloudy or rainy. The information includes: the minimum and maximum temperature of daily and weekly along with each of the upcoming week. Moreover, the user input would also be taken from the same screen of the dashboard. After the brainstorming session and keeping in view the stakeholders and requirements of the system, it has been decided to select the first idea of the dashboard design for developing the Wireframe. The justification for selecting the first idea over the second idea is the simplicity, easy to use (usability), all the contents are separated by sections to differentiate between the user input as well as the output. Whereas, the second idea would contain all the information on the image, therefore, it might cause to confuse the users. The conceptual design tools have helped me out to determine the contents of the design along with their placement. The brainstorming sessions, card sort, semantic networks, and cognitive walk-through tools assist me to determine new widgets for the weather forecast system

Critically Evaluating Current Neo-liberal Education Policies Essay

Critically Evaluating Current Neo-liberal Education Policies - Essay Example 280). Attempts to improve the education system have been concerned with increasing the productivity of the education system. In a bid to change the education system new policies have been designed to raise standards following market ideologies. The schools become responsible for performance while the parents are given a variety of choices to select schools. Moreover, Bartlett and Burton (2006, p. 4) added that, the curriculum has been designed and dictated across the nation and attending school became compulsory. Those who choose to go for higher education have been required to pay tuition fee. The coalition government has reviewed the curriculum and qualifications in the education system since it assumed power in the year 2010. In order to enable learners to take the most appropriate route for the aspired profession, the coalition government introduced policies that facilitate them join a school to become an academy. An academy is an arrangement where students attend without paying and the school is managed by members of the local groups in the community. The coalition government reviewed funding for the vocational education. The motive was to increase the standards for qualification of the vocational education. Additionally, the school curriculum was reviewed to allow the instructors choose the method of delivery to the students. For the students in higher education, the coalition government ensured that there was mobility and sustainable funding. Qualifications pertaining diplomas and languages were reviewed. The language skills such as grammar, punctuation and spelling were incorporated in learning. The changes in funding arrangements... This essay stresses that attempts to improve the education system have been concerned with increasing the productivity of the education system. In a bid to change the education system new policies have been designed to raise standards following market ideologies. The schools become responsible for performance while the parents are given a variety of choices to select schools. Moreover, Bartlett and Burton (2006, p. 4) added that, the curriculum has been designed and dictated across the nation and attending school became compulsory. Those who choose to go for higher education have been required to pay tuition fee. This paper declares that the coalition government reviewed funding for the vocational education. The motive was to increase the standards for qualification of the vocational education. Additionally, the school curriculum was reviewed to allow the instructors choose the method of delivery to the students. For the students in higher education, the coalition government ensured that there was mobility and sustainable funding. Qualifications pertaining diplomas and languages were reviewed. The language skills such as grammar, punctuation and spelling were incorporated in learning. The changes in funding arrangements were to ensure that students continue with learning, develop and grow academically. After the government introduced a curriculum which requires all schools to teach certain skills and subjects, a nationwide assessment curriculum was formed.

The Awareness of Mental Health among the American Public Essay

The Awareness of Mental Health among the American Public - Essay Example The total number of death cases in the Civil War is almost the same as the death cases in almost all other wars combined. Furthermore, more than one out of every five white men who participated in the war died (Vinovskis 1990, as cited in Costa n.d.). Studies about the prisoners of war (POWs) during World War II and the Korean War also suggest that they have higher risks of death from diseases involving the heart and greater prevalence rates or neurological and psychological disorders (Beebe 1980, as cited in Costa n.d.). The baby boomers, on the other hand, are so concerned with their health that herbal medicine's popularity increased significantly in the last decade. The television and magazines are full of advertisements about alternative ways to fight diseases, maintain good body resistance, and most importantly, aging. But what about mental health Is the American public so busy about hiring nurses from third world countries to attend to the health needs of the veterans of war Or are we busier in finding better ways to prevent aging How was the public's awareness of mental health different from the pre-war period "The mental health system in the United States has moved well beyond the official ignorance that prevailed in the 1970s and now recognizes PTSD as a diagnosable disorder. Armed with this diagnosis and prodded by veterans, rape victims, and survivors of genocide, we have begun to appreciate the profound and sometimes irreversible changes produced by overwhelming stress. These include fundamental alterations in perception, cognition, behavior, emotional reactivity, brain function, personal identity, worldview, and spiritual beliefs." (Freidman 2005). The previous passage may have been an answer. The world wars taught us so much about mental disorders: PTSD and other trauma, amnesia, psychosis among others. Before, psychologists who were treating veterans who were traumatized a decade or two after their war experiences did not worry that the certain mental illness the veterans may have has a stigma attached to it. Such stigma usually prevents disclosure of PTSD symptoms, thus, makes treatment and therapy difficult, or worse, impossible. Today, psychologists look at every aspect in which the environment or the society might affect a traumatized person directly, or via stigmas (Friedman 2005). From cases of mental disorders acquired by the veterans and victims of war, the awareness of mental health problems spread to the other sectors of the public. We now recognize that experiences need not be as grave as a genocide in order to worry about PTSD or other mental disorder. Other kinds of events like accidents, abuse, and disasters may also cause mental disorders. However, it seems illogical that we do not to pay as much attention to mental health as we do on beauty and anti-aging products. Yes, we may have progressed in terms of psychological treatment and research, and yes, we have increased awareness on mental health, but what is lacking is the promotion of mental health, especially to citizens of lower socio-economic status. We know very well that the elite can afford psychiatrists and psychologists, and there are many of them around. What about the common man Why isn't there a single television advertisement on mental health, or at least

The advantages of online shopping Essay Example | Topics and Well Written Essays - 500 words

The advantages of online shopping - Essay Example With the growth of online shopping, emerge several market footprint coverage opportunities for stores that can cater for offshore demand and services requirements appropriately. That point illustrates one of the benefits of online shopping that is; it saves time. With online shopping the buyer doesn’t need to physically go to the store to buy the product. He simply loggin or go to the website of the company whose product/service he wishes to buy, make an order, pay and the service will be acquired or delivered in case of a product. This saves time that the buyer might have used to go to the store. Another advantage of online shopping is that it very convenient. That is, who does not want to go to the store, make that long queue before being served? Most consumers prefer buying at their convenient time and place. In fact, many consumers would rather pay more but get a convenient service provided the service meets their demands. Online shopping is a global concept that is taking over the contemporary business environment. Online retailing corporations such as Amazon.com, Alibaba, eBay and many more are clear demonstrations of how online shopping is taking over the global business environment. Most consumers prefer online shopping to physical shopping because it gives them the opportunity to access varied varieties of products. At his convenient time or schedule, a consumer is able to access various sites that have the product he is looking for, compare prices and quality, comparing terms and conditions before making the decision on which one to buy. In fact most online stores emphasizes on convenience. It is only online shopping that gives the consumer the advantage of comparison shopping with just a click on the internet. Online shopping is comparatively cheap. That is, instead of fuelling his/her car or taking a walk to the store, a consumer simply needs some internet bundles to access the product he/she is looking.

Human capital is increasingly considered a source of competitive Essay

Human capital is increasingly considered a source of competitive advantage for organizations - Essay Example First, the statement will be examined and then the role of human resource managers will be discussed within this context. The competition amongst the businesses around the globe is getting tougher and tougher (Dyer, 1993). Businesses are employing new techniques and adopting new strategies to reach the customer through developing a competitive edge over their customers. The reasons for this increased competition are global competition, knowledgeable customers, demanding stockholders and constant changes in technology (Dyer, 1993). The businesses which reach the top have always been successful in finding the competitive advantage that proves to be sustainable over the time (Dyer, 1993). Financial resource of an organization or the use of technology has been the main source of competitive advantage of the organization in the past. These resources are essential for the success of the organization, but not sufficient. For this reason, the companies with large employee base have started viewing their human resource as the source of creating customer delight and rapid innovation which places the organization ahead of its competitors. The performance of the organization will suffer if the human resource processes and policies are misaligned, failing to reinforce the business strategy. Since many years, many organizations have tried to shift their competitive advantage to the human resource by managing it more effectively (Dyer, 1993). At the end of the day, it is the human capital of the organization which formulates strategies, identify business opportunities, innovate new products and target the right market segments (Dyer, 1993). The uniqueness in services and products is created and maintained by the human resource of an organization (Pilenzo, 2009). Therefore, if the human resource is managed well, the organization can develop a competitive advantage which cannot be duplicated over time (Pilenzo, 2009). Knowledge and

Analyze effective communication practices within diverse contemporary Essay

Analyze effective communication practices within diverse contemporary families - Essay Example People are not as close to each other as they once were. The much older folks prefer their people close to them. This is unlike the younger ones who prefer the distance between family members to be relatively large. Mobile phones are the only connection that enables people to communicate. This paper will review some stages present in the family life cycle. Also, it will look into the effects that effective communication plays in the different family settings that exist today. There are different stages that are present in the family life cycle. This is the transition that different families undergo during certain phases in their lives. This means that a family can undergo changes in their lives as times change, and the need to adapt to their immediate environment arises (Tutwiler, 2005). The first stage in the family cycle is the where young adults leave their homes. This is maybe in search of emotional and financial stability. This they may achieve on their own or maybe through help. At this stage, they struggle to create their own identities by becoming self-reliant. The comfort that comes with achieving independence is what drives them. The second stage that comes in the family life cycle is the joining of a couple. This is either through marriage, or living together. Here, a couple gets to adapt to the changes by learning to live with their spouse, and all the people in the other person’s life. Commitment is the fundamental foundation on which this stage is based on (Gonzalez, 2005). Without commitment, the people in this arrangement may not have the ability to stand the test of time let alone have the time to create a family of their own. The third stage is the introduction of children into the family. Children bring a whole new dimension to the family structure. Room and time have to be created so as to accommodate them. They bring the family structure closer. This is sometimes

Human capital is increasingly considered a source of competitive Essay

Human capital is increasingly considered a source of competitive advantage for organizations - Essay Example First, the statement will be examined and then the role of human resource managers will be discussed within this context. The competition amongst the businesses around the globe is getting tougher and tougher (Dyer, 1993). Businesses are employing new techniques and adopting new strategies to reach the customer through developing a competitive edge over their customers. The reasons for this increased competition are global competition, knowledgeable customers, demanding stockholders and constant changes in technology (Dyer, 1993). The businesses which reach the top have always been successful in finding the competitive advantage that proves to be sustainable over the time (Dyer, 1993). Financial resource of an organization or the use of technology has been the main source of competitive advantage of the organization in the past. These resources are essential for the success of the organization, but not sufficient. For this reason, the companies with large employee base have started viewing their human resource as the source of creating customer delight and rapid innovation which places the organization ahead of its competitors. The performance of the organization will suffer if the human resource processes and policies are misaligned, failing to reinforce the business strategy. Since many years, many organizations have tried to shift their competitive advantage to the human resource by managing it more effectively (Dyer, 1993). At the end of the day, it is the human capital of the organization which formulates strategies, identify business opportunities, innovate new products and target the right market segments (Dyer, 1993). The uniqueness in services and products is created and maintained by the human resource of an organization (Pilenzo, 2009). Therefore, if the human resource is managed well, the organization can develop a competitive advantage which cannot be duplicated over time (Pilenzo, 2009). Knowledge and

Public Schools Sex Ed Teach Abstinence Only Research Paper

Public Schools Sex Ed Teach Abstinence Only - Research Paper Example Sex education got introduced into the American public school curriculum in the late 19th century, and continues to be a prime policy issue for the federal and state governments. The aim of this move by the government is to combat Sexually Transmitted Infections (STIs) and inculcate sexual morality by promoting abstinence. Over time, there has been further formalization of the abstinence agenda in public schools. In fact, only sex education programs that accentuated abstinence used to receive funding from the government, while the comprehensive programs that allowed safe sex with pregnancy prevention methods such as contraception were not funded by the government (Chisara, 2011, p. 23). In the present time, the government funds comprehensive sex education programs that promote safe sex and contraception among school-going children. This essay discusses the reasons why abstinence needs to be taught in public schools. One of the reasons why public schools should teach abstinence to their children is that it the surest way of protecting this future generation from acquiring diseases that would make them unproductive in the future. Avoidance of all forms of sex is the appropriate and effective method of reducing the rates new HIV/AIDS infections among the school going children. In this regard, Knox & Schacht (2010, p. 146) observe that abstinence sex education policies need to be strengthened to reduce the prevalence of STIs in the school-going age population because while the children make up only about 25 per cent of the sexually active people, they acquire approximately half of all new STIs every year (Knox & Schacht, 2010, p. 161). As a consequence, the school goers become less productive as some of them miss classes to seek treatment for STIs in the short-term, while a considerable number of them become unproductive members of

Jinnahs Vision of Pakistan and our Success to realize it Essay Example for Free

Jinnahs Vision of Pakistan and our Success to realize it Essay There is not much debate or even concern about what was the vision of the founders of Pakistan. What type of state they had in mind when they struggled of an independent country that we call our homeland, Pakistan? In answering this question, we will assess whether or not we have been driven by that vision and how we have shaped our system of governance. The Muslim intellectuals, thinkers and social reformers that contributed to the idea of Muslims being a separate political category in India were essentially modernist, rationalist Muslims. They wanted the Muslims to acquire knowledge of new sciences and empower themselves economically and politically. Their central objective was rights of the Muslims and their share in power under the British colonial system. They understood how the world had changed, and accordingly they thought the best tools for Muslim empowerment were modernity, education, politics of rights and peaceful struggle for accommodation of their interests. Jinnah and many other leaders of the Muslim communities in the subcontinent were products of post-reissuance modern world. Unlike European modernists all varieties of nationalists in the colonial world had more difficult task of building a modern nation in a traditional, Islamic cultural climate. The question then and now for modernists is how to reconcile modernity with religion and social structures. Muslim modernists from Sir Syed Ahmad Khan to Jinnah wanted modem education, science and technology and political forms and institutions without offending religion. Jinnahs vision of Pakistan in this respect has four salient points. We can judge where does Pakistan stand today in the light of these four ideas. 1: Constitutionalism First and foremost, Jinnah was quintessential a constitutionalist. The term and its underlying philosophy is so foreign to our rulers that they have really disabled themselves intellectually to seek guidance from him. What it really means in modern political theory is that a civilized system of governance must function within the boundaries of laws. There must be limits on the exercise of power which is primarily meant to serve national and public interest. This is one of the central themes of philosophical debates that have defined the system of state and the relations between political authority and the society during the past three hundred years or so. Jinnah had thoroughly and profoundly internalized constitutionalism at a very young age and this defined all his politics in his long career. Actually constitutionalism is what separates the pre-modern and the modern world system. It gives dignity to human beings in rooting the ideas of freedom, civil rights and social capacity to force the government to stay within the limits of laws. 2: Supremacy of law and independence of judiciary. Philosophically as well as in practical politics these are basic norms of good society and good politics. Jinnahs political orientation and practical life were perfect reflection of these two ideas of the modern world. Let us not forget that Jinnah was one the most distinguished, outstanding and powerful defender of rule of law and independence of judiciary. These two institutions are intertwined. It would be absurd to think of rule of law without the independence of judiciary, Building one of these institutions independently is not possible. They grow together; the development of one strengthens the other. 3: Personal liberties and freedoms These constitute third important flank of Jinnahs political ideology. His political struggle first at the platform of the Indian National Congress for home rule, independence and rights of minorities, and later on throughout the Pakistan movement was based on universal human instincts of freedoms and civil rights. It would be unconceivable in any situation that the battle for national independence could be fought without the recognizing individuals right to make their own choices. This is an important notion that transforms them from subjects of a colonial administration to a citizen of a modern nation state. 4: Representative Democratic Government. The ideas we have briefly mentioned above give rise to the representative government, another facet of Jinnahs political philosophy. Such a government is in our view a defining characteristic of the modem form of authority. It answers some fundamental questions about how political power in a society like Pakistan is to be organized, and for what purposes to be exercised in modern times. Jinnah couldnt think of any other system for Pakistan except a constitutional, democratic government. Have we succeeded in realization of Jinnah’s Vision? How do we measure up to some of these basic political principles of Jinnah today? We have mixed record at best on shaping Pakistan according to Jinnahs ideas. We have elected governments at the moment and we had had them before. But many a times we disrupted growth of democracy. For that reason, the checks and balance system among the institutions of the state remains troubled and respect for constitutionalism weak. We have not sufficiently debated the reasons for repeated deviation from the constitutionalist principles and rule of law tradition of our founders. We know they are too many, as no single factor can explain it sufficiently. They are essentially rooted in stubborn feudalistic culture, class character of the ruling classes and an alliance between the electoral elites and the rulers in the past. Contrarily, people at large and the rising middle classes of Pakistan and even a large section of political groups have struggled for democracy, which as a political system is manifestation of the political vision of Jinnah. Against all the problems we have today, they want democracy in substantive terms because the procedural or electoral democracy has turned the system into personalized, autocratic form. It is why it is not fully alive to the problems of the people or responsive enough to the needs of the society. In my view, we face multiple challenges of bad governance, political confrontations and terrorism because we have not shaped our state and political institutions, including the political parties, according to the modernist, liberal vision of Jinnah. In these times of rising despair and despondency, we can set Pakistan on the course of stability and development by embracing ideas and vision of Jinnah, which in nutshell are; liberal democratic state of Pakistan.

A Literature Review Of Travel Behavior Tourism Essay

A Literature Review Of Travel Behavior Tourism Essay Krobeber 1996, cited from Zhong, Zhang, Yang and Guo 2007 develops a related decision making model. Within this model, he claims that the tourist behaviour is determined by three elements: travel perception, travel attitude and travel motivation. He further suggests that there are two level influences. The first level influence of Krobeber (1996, cited from Zhong, Zhang, Yang and Guo 2007) can be affected from internal factors such as personal psychological factor and the second level influence comes from external social factors such as family background or group influence. The main contributions regarding motivation is the Maslows hierarchy of needs model (Maslow 1970), the escape or seek model (Iso-Ahola 1982; Ross and Iso-Ahola 1991) and the push and pull method (Crompton 1979). Mill and Morrison (1985) argues that travel motivations fit into Maslows hierarchical needs namely, physiological, safety, belonging, self-esteem and self-actualization. Also they identified two other needs: aesthetics and knowledge. The human needs physiological, safety/security and belonging/love were categorized as tension-reducing, while the self-esteem, self-actualization, acquiring knowledge and aesthetic as inductive arousal-seeking motives (Figure 2.1) Motivation is one of variables that can explain tourist behavior; it is regarded as one of the most important variables (Baloglu and Uysal 1996). There are many of researches assure that travel decision making is best explained and predicted by the push and pull approach include Backman, Backman, Uysal and Sunshine 1995; Baloglu and Uysal 1996; Ercan, Uysal and Yoshioka 2003. Crompton (1979) explains that motivation is a necessary and important force behind all behavior. People travel because they are pushed and pulled to do so by motivational factors (Baloglu and Uysal 1996). Push motivation is related to the decision, whether to go, and pull motivation addresses the question of where to go (Klenosky 2002). Crompton (1979) used unstructured in-depth interviews and explored push motivation and pull motivation, he summarizes that push is socio-psychological motives that activate people to travel and pull is cultural motives that attract people to a particular destination. Traditionally, the push motivations have been thought useful for explaining the desire for travel while the pull motivations have been thought useful for explaining the actual destination choice (Crompton 1979). According to Ross and Iso-Ahola (1991), push motivation can be considered as psychological factor and pull motivation is physical factor. These two factors can influence travel decisions and leisure engagements. Jang and Cai (2002) point that push refers to the internal facto rs that drive individuals to travel and pull is concerned about the external factors that determine where, when, and how they travel. Kim (2008) addresses that the push factor can be considered as to travel by intangible factors such as escape, relax, exploration) and pull factor is to decide destinations by tangible factors such as attractions, facilities. Motivation as one of the most important theories, it is recognized the key of the success of travel market. Iso-Ahola (1982) observes that people take part in various leisure and travel activities due to their own need. Tourist motivation is associated with individuals desires for achieving various purposes through travel (Kim and Beck 2009). Furthermore, studies of tourist motivation can assist destination managers to understand how well the destination characteristics fit the needs of the travelers (Goeldner Ritchie, 2006) and design tourism products and services containing tourist needs. Destination choice and selection 2.3.1 Influential factors to make tourism decision Once the decision made to start tourism, the decision maker is in front of many questions, such like where to travel, whom to travel with and how to travel. In general, this is a process to collect, organize and assess the information (Liu, 2008). 2.3.1.1 Environmental perception Environment perception refers to the tourism information rooted in mind, the old information and collected information. In general, this is the whole impression for the travelling. The potential tourists would be influenced by the environment perception. Though there might be some very significant tourist destinations, the tourists will not go the famous places that have no impression in their mind and perception. That is what we called environmental perception. Environmental perception mainly include first, the popularity of tourist, which is the first impression of the tourism destination, the tourist will neglect other same destinations; second is tourism distance, the influential factor to the decision is the imaginary distance, not the real distance of the destination. The imaginary distance is made of unreal distance, and time cost, money cost, and energy. 2.3.1.2 Principle of maximum benefit Principle of maximum benefit refers to the tourists will get the best enjoyment within certain budget during the tourism. Tourists will think it over before making a decision to travel. The main principles of maximum benefit are: The minimum time on tourism, it means that the decision to travel will be made according to time spending on it, if the time spending is less than a level, then the decision will be made. Tourists are in favor of less time spending on the travelling. Second is the popularity of tourism destination. The tourism destinations with higher popularity are more attractive, and tourists have gained more information though tourism. Meanwhile, the tourism destination, which has different culture, will arouse the interest for tourism. Beside the two factors, there are other influential factors: best tourism destination, proper price and comfortable accommodation. 2.3.1.3 Tourism preference Tourism preference refers to the humans impression based on their characters over the reality. The tourism preference of tourists is influenced by humans personal impression. The tourism preference is decided by personal impression of tourists. Regarding tourism preference, there are three factors to research, including age, occupation and education. 2.3.2 Content of tourism decision Before starting the tourism, the tourists are supposed to make a lot of decisions; any of them will take personal factors and will into consideration besides external factors. For example, they will ask for some suggestions and think about the tourism route and travelling partner. These questions mainly include information channel, decision maker, travelling partners and tourism pattern. 2.3.2.1 Information channel Information channel is the way to obtain and collect the information. With various channel, it is able to obtain the product information, or other users experience of using the products. As the society turns into a information-based ear, the information channel is various, which including networking channel, newspaper, books and magazine, television, internet and tourism institutions and so on. 2.3.2.2 Decision consultant Decision consultant is someone who the tourist will ask for suggestions before starting tourism. Potential tourists will take suggestions into consideration, and then is more likely to ask for others consultation about where to go and how to go. 2.3.2.3 Tourism partners People would like to find partners when go shopping, the same like tourists, many people like to start tourism with partners. According to experts of consumer behavior, they have made further analysis on the relationship between person and his partners in shopping. According to analysis, the shopping partners are intended to provide the suggestions based on their experience on the products and marketing, while the relationship between them is not intimate, such like neighbor, colleague and schoolmates. However, the suggestions might be focusing on the persons characters and personal demand, while relationship between them is intimate, such like family members. Choices from tourism partners are not only a reliable resource, but also the suggestions and advices. 2.3.2.4 Ways of tourism Ways of tourism is focusing on how to reach the destination. In general, there are two ways to travel, first is joining the travelling agency, and another is individual tourism. In this context, it will specify ways of tourism into several aspects, including joining travelling agency, individual tourism depending on maps, companys tourism, communitys tourism, institutions tourism and others. 2.4 The senior travel market 2.4.1 The seniors travel market in oversea For overseas countries, as they started the tourism analysis in an early time, traced from 1980, the understanding towards tourism of the old people is very fruitful (Liu, 2008). It reflects in these aspects: Research on tourism motivation Regarding the research of tourism for the old people, it mainly focuses on tourism motivation and perception. The research has applied many methods, including questionnaire, on-spot survey. The method mainly focuses on the incentive and influential factors. Besides these methods, many other scientific measures have been applied. For example, a survey on the old people in Israel has been made by Aliza Fleischer in 2002. According to the survey, it found that the main influential factors are income and health, also the tourism time is also changing according to age. For the people aged from 55 to 65, they have rising free time and income, which is decisive to the increasing tourism times. For the people aged above 65, as their income and health going down, the tourism time is reducing (Aliza, 2002). Jaesoo et al. (2003) have applied neural network of describing method to estimate the weight of influential factors towards the old peoples tourism. Meanwhile, it applied the non-neural network model to describe the relationship between tourists and tourism products. Anderson and Langmeyer(1982) analyzed the relationship between the old people and tourism. According to survey, tourists aged above 50 prefer tourism or visiting relatives to enjoy themselves. However, tourist aged below 50 prefer out-door activities or other entertainment facility to enjoy themselves Goossens (2000) proposed the model called enjoyment incentive, which is also called model of intention, stimulation and reaction. The model includes the factor of pulling and pushing. Regarding the factor of pushing, it refers to environment, social status, relax and friendship; in respect of the factor of pulling, it refers to the situation of tourism. It emphasized the relationship between pulling and pushing, it considered that these two factors are two sides of a coin, which is closely tied in tourists mind. Crompton and Mckay (1997) pointed out that there are 6 incentives to attend the activities, including experiencing culture, curiosity, return, and balance, social activity with friends, official activity and family activity (Crompton and Mckay, 1997). Research on tourism behavior of the old people Regarding the old people, the research on detailed behavior of tourism is comparatively fewer, mainly focusing on the difference of behavior compared with others. Blazey (1992) has made a research on the relationship of tourism before and after retired, plus the usage of tourism information of the old people. Lewiser Aiken (2001) has pointed out that friendship is a networking, a mental support and a resource of information and entertainment for the old people. Meanwhile, he pointed out that the old people are more reliable to get information from prints, such like newspaper and other magazines. Romsa and Blenman (1989) compared the difference of tourists aged below 50 and above 60 in German; the result is that the tourism time is more flexible for the people aged above 60. Research on tourism market of the old people The research market of the old people played a part in the whole research, mainly focusing on how to attract the old people in tourism market. Charles D ¼Ã… ½Schewe (1985) indicated that the reason to target the old people in tourism market, as they have large potential and sustainable purchasing power. Francis et al. (1988) regarding the rising number of the old people in USA, it trying to find a way to attract them for the tourism industry, and an information channel to help them set up the vacation plan. In general, regarding the tourism behavior of the old people, the features are: the main influential factors are income and health; also time, income, health age will influence the length and time of tourism; the tourism time will be reduce in accordance with the rising age; friendship is an important information resource for tourism; tourism time is flexible; purpose of tourism is for self-enjoyment. 2.4.2 The seniors travel market in China Since 1999, our society became an aged society, the old people was the main part of society, which is also played an important part in the tourism industry. The research of tourism behavior for the old people started from 1990, in this case, the research has been only in the primary step so far. The core of research was the tourism industry of the old people with many results. However, the research of tourism behaviors feature of the old people is very few (Liu, 2008). Research on the old peoples tourism Though the experts have involved in this issue for not a long time, there has some results. Wei (2001) thinks that the tourism incentive of the old people include health, culture, history and recollecting memory. The old people prefer cultural and historical cities, and would like to go travelling with families, friends or fellows. Liu (2005) thinks that the influential factors on the old peoples shopping include friend, culture, economy, mind and heart and commercial environment. According to a research made by Yu (2003), regarding the old people in Jiangxi, they have large demand on health recovery tourism due to the problems in health condition. Their information channel is mainly the traditional advertisement. Their way to go travelling is mainly following the travel agency. They prefer cultural and historical cities and spend less than average level. Wang (1999) argues that the old people are in a pure shopping stage which is very rational and have high requirement on quality of the products than others. Casual consumption and service consumption takes big proportion. According to an analysis regarding the old peoples tourism industry in Taiyuan made by Zhang (2006), the travelling rate is higher for male than female, especially among the people aged from 60-65. The tourism purposes are mainly for sightseeing, self-enjoyment and recollecting memories; the shopping level are middle level, and the tourism time are seldom in peak season. A survey regarding the tourisms of the old people in Shanghai, the rate of tourism is high with moderate time. The purposes of tourism are mainly sightseeing and for health recovery which is very traditional. They spend money very carefully and will choose to follow the travel agency. They prefer transportation of bus and train. The distance of tourism mainly focuses on short or medium long. They prefer natural environment (Hou, Yin and Chen, 2005). Also a survey regarding the old people in Fuzhou, the rate of tourism is divided into two extreme levels, high and low; the spending time of tourism is estimated to reach one week. The purposes of tourism are for sightseeing, health recovery or visiting relatives. They paid much attention on comfort, security and seldom ask for luxury accommodations. The transportation is mainly bus or train. They prefer travelling with partners and fewer will follow the travel agency. Security concern is the main obstacle for tourism (Tang, 2001). According to an analysis regarding the old people of Chongqing in tourism industry, sports tourism has the same purposes with common tourism; the purposes are for health condition, entertainment and health recovery. The information channel is mainly from company and relatives. They prefer individual travelling. The old people held a prudential attitude towards shopping. Male is the majority to attend sports tourism. The rate of tourism is low for people aged above 65 (Yang, 2003). The main research methods are questionnaire and interview. The research of the old peoples tourism behavior focuses on the incentive and preference, travelling method, transportation, information channel and spending cost. The features of the old peoples behavior are based on demography and influential factors of tourism behavior. Research on tourism industry of the old people In the domestic research, the feature of the old peoples tourism market, feasibility and expansion strategy plays a big part. According to Li (2005), regarding the old people, there are 6 features in tourism industry, such like enjoyment and prefer travelling at off-season. Li (2001) has made an analysis on the old peoples feasibility in tourism industry, which including factors of purchasing power, incentive, purpose, time and health condition. Xu and Chen (2001) proposed that it needs to focus on these factors to explore the tourism market of the old people, including research, products strategy, channel strategy and other promotions. The research on the old people in tourism industry is mature, which has reached an agreement on features on the old people in tourism industry, feasibility, and development research and mature strategy. These results are significant to the following research. However, these researches are limited due to lack of on-spot examination (Liu, 2008). In summary, features of the old people in tourism industry are as follows: the purposes are for self-enjoyment, sightseeing and health recovery; natural scenery and historical sites are attractive; travel time is seldom in peak season; health condition is better than before, and is able to attend some not-so-tough tourism; relatives and friends are the main information channel; joining travelling agency is the main way to tourism; prefer the tourism with family, friends and fellows; holding a prudential attitude towards travelling; taking bus and train as the main transportation with high requirements on travelling safety. 2.4.3 Researched the Nanjing seniors travel market Consumers demand will trigger him to shopping and decide his shoppings way. After entering into the old age, a person has changed psychically with rich experiences in life and consumption. Their consumption behavior is different with other ages, which is very specific and characteristic. This special consumption characteristic could be found in tourism motivation, time, manner and destination preference and other relative aspects. Research on behavior of the aged in tourism will contribute to better understanding to their demand and will help the expansion of tourism industry for the aged (Wei, no date supplied). Wei (no date supplied) has researched the Nanjing seniors travel market and analysis several behaviors below: 2.4.3.1 Tourism motivation Nostalgia For the aged, they have a very memorable time in the past. Though after years, they are willing to go back to the place where they have lived, or talk with the old friends to remind the old time. Loneliness Generally the aged have more free time, and most of their sons and daughters live without them. Their sons and daughters are busy at work, has little time to take care parents. What they can do is to visit parents home on weekend and have some small talk. However, for those who work in other cities, they cannot be with their parents. In this case, many old people feel lost and lonely. Therefore, tourism is able to satisfy their life and attract their attention. Increasing knowledge For many old people, they only heard the names of some famous tourism destination, but due to various reasons, there is no chance to go there. Many old people want to go travelling while the health condition and economy allow, they want to feel and know the prospect of the outside world. Health and entertainment The life of old people is focusing on family and health from previous work. They choose to work out through tourism and entertainment, to go to the natures, for more fresh air, or to live in suburb place. Many obedient children will arrange family tourism; some will drive their car and bring parents together to go on a short tourism to peripheral area. In the tourism, the old people will have a lot of fun. Tourism time Due to health limitation, the old people are not willing to go travelling in winter or summer. They prefer spring or autumn, mainly in May, June, September, November (Wang, 2003). Because this period has proper temperature and humidity, it is good for travel, especially for the aged. Due to limited budget and other reasons, generally the old people are not willing to take a long trip, they prefer short or not-long trip. They want to spend a certain time, such like one week. Tourism manner In general, the old people need stability and security in the tourism, and ask for relax, freedom, comfort, and leisure. Most old people will choose to follow travelling agency. For the old people ¼Ã…’their energy is weaker than other young tourists. Also, they want to enjoy their no matter vacation or rest, they want to fully satisfy their demand for fun, and do not want to pay much attention for accommodations. They prefer joining travel agency for the convenience. Tourism destination According to survey, the purpose of tourism of the old people is mainly for the natural prospect. The tourism with purpose of health is more than pure tourism. It signified that due to the health condition, the old people have more demand in healthy tourism. The tourism destination is closely tied with the age of tourism. The elder tourists prefer cultural destination. For the old tourist, they prefer famous mountain scenery and places of interest, especially natural scenery and revolution scenic spot (Qiu, 2006). As people have different taste to their choice, the old people have their own choice in tourism. However, no matter where to go, they will take security and convenience into consideration. In general, they prefer some places with good environment, or famous cultural cities, religion places, and places with folk custom. Also they like the destinations with slow living rhythm, longstanding culture and high status in history. Tourism expense The old tourists are mainly frugal and holding an economical attitude, requiring comfort and security. They ask little about luxury life. Their consumption awareness mainly is practical and economical. Though the consumption price is rising, too higher price will stop their consumption. Meanwhile, the fee is mostly paid by the old peoples children; and they do not want their children to pay a big bill. They prefer economical tourism. According to survey, there are 17% old people are in well-off economy condition with rising demand for tourism, however, another 70% old people who has requirement for tourism but they need the economical one (Liu, 2007). As the old people get retired, they have plenty of time. Generally speaking, the old people are a group who spend longest time in tourism, with an average day of 10.3, which keeps rising (Hu, 2002). As the old people have more time to travel, they will spend more in entertainment and accommodation. Especially they have significant potential in shopping. 2.5 Hypotheses According to Valerie (1997), setting up and testing a hypothesis is an essential part of statistical inference. In order to create a test of a hypothesis, the starting point is to present a theory that is either believed to be true or is intended to be used as the basis for an argument. The aim of using a hypothesis here is to investigate the real perceived impact of the tourism industry in Huairou. Generally speaking, a hypothesis is a type of prediction which will not always turn out to be accurate, depending on the facts of the particular case. So, all of the predictions must be tested and proven (or disproved) using data analysis and/or further investigation. The hypotheses are based on a review of the prior literature, and the hypotheses have two parts.