Thursday, February 28, 2019

Sino-African win-win Policy under the One Belt One Road

Literature reviewSino-African win-win Policy under the integrity Belt matchless Road initiativeWho invests more wins more? goldbrickPurpose The main objective of this review is to assess thoroughly the Sino-African dealing across time and now the modernisticly introduced One Belt One Road (OBOR) initiative especially the contribution to academic literature. The focus is on the major events that marked the story of Africa since China developed an interest until the new OBOR initiative and the conclusion highlights the importance on the study by examine and contrasting the different perspectives in previous literature.Approach We considered an integrated and panoptic literature based on a qualitative approach, we performed a gist analysis of highly relevant and impactful papers.Findings In this paper, we analyze usually arguable issues and express our viewpoints to conclude. However, the controversies remain a hot topic for further look fakes to be handled with different m ethodologies and new theoretical approach. Implicit assumptions may always exist in terms of a quantitative judging of the benefits from the China-Africa dealings. Major differences in narratives exist between Western and Southern stakeholders.Limitations and Implications The conclusions from the work could be supported by additional research by considering a wider scope of the analysis. To give more clarifications to the empirical findings, more works unavoidable to be done using quantitative data and qualitative distinguish that extend beyond the usual economic and geographical limits as easy as the socio-political limits.Value This paper reviews decades of research on China in Africa and presents a snapshot of the recent OBOR initiative. It further draws attention to the necessity for later(prenominal) literature to explore new methods of analysis for better understanding of the China-Africa relations and the role each part plays to the sustainability of this cooperation .Keywords Africa, China, relationship, One Belt One Road.

What does it all mean By Nagel

What does it all mean by Nagel is a lot referred to as the little book of philosophy amongst critics. This is because the book gives the indorser a compact overview of all the fundamental constituents of philosophy such as the dualism of the estimate and the body and more complex topics such as the meaning of the earth of man and his consciousness. The attribute that differentiates Nagels work from other works on introductions to philosophy and its content is that Nagel uses language that wel advances the new student of philosophy in to the subject.We see this book as one that allows the layman to acquire a basic knowledge of what to expect in further studies into philosophy (Nagel, 1987). The prefatory chapter allows for a gentle entrance into the innovation of philosophy and welcomes the ref to the temperament of questions that are to follow in the get wind of philosophy. In How Do We neck Anything? the second chapter, Nagel states that the world around us is the reality because we can study it and substantiate it, and similarly all the constituents of the world and all the theories are neat only if they can be studied and substantiated for their content.In the third chapter new(prenominal) Minds, Nagel is of the opinion that if one person finds a particular external comment pleasant, it is not reasonable to conclude that the next person receives the stimulus with the said(prenominal) interest since the only way for the first person to have come to a conclusion regarding the stimulus is through experiencing it In Chapter 4, The Mind-Body Problem, Nagel presents to the reader the direct union between the mind and the human consciousness and concludes that in order for consciousness to experience an event, the brain has to receive a stimulus.In Chapter 5, Nagel talks about the perceptions of the words we use and the names we give to the elements of the world around us and if the words we use are truly of every significance or not. In Chapter 6, Na gel argues upon the free will that we exercise and whether or not our will actually is independent and if it is of any actual significance. In Chapter 7, Right and Wrong, Nagel criticizes the definitions of right and wrong that man uses to manage the daytime to day activities of his life and questions the legitimacy of those definitions.In Chapter 8, Justice, Nagel argues upon the justice and dissimilarity of the universe that man dwells in that is beyond the control of man himself. He argues whether it is correct to oppose the occurrence of events of such uncontrollable nature. Chapter 9 discusses the starkness of Death and the perception that we have for it and the question of it really being that we intrust it to be.In Chapter 10, The Meaning of Life, Nagel hits on a chord that is the most sought-after(a) after in all segments of society. Nagel argues over the reality of the meaning, existence and apprehension of life. Nagel uses his trademark method of writing that inspires inquisition in the minds of the reader and allows the reader an opportunity to get a taste of the levels of realization that the subject has to plead and does so without confusing the reader through jargon.

Wednesday, February 27, 2019

Personal life Essay

financial support a Good Life. This is something most people strive for, still what we wholly question is, what is it that malarkys to a good brio, or what does it really mean to pay back a good life. Most people would agree that whatever makes a person blissful allow for lead to a good life, but rejoicing with each individual differs. Whether it be pleasure, riches, or health more can disregard the virtue of true contentment, and their clobber desires leads to ignorance.Aristotles reaction to this is that we must enjoy the proper things in life in clubhouse to be happy and it is through proper activities that we argon able to conk out the Good Life. I would have to agree with Aristotles beliefs, because of my upbringing, simple material things will not make me fully happy one must defy a but life filled with happiness. There is this womanhood named Janice, she s a manager for a major corporate office. Janice look ats her happiness and the happiness of her chil dren relies on her success in her career, and how much money she makes.She will do whatever it takes in order to rise up in the company to get any extra bonus or chivyeven if it means stepping on other people to get there. Aristotle would claim Janice is not living the Good Life by concentrating on the wealth and mistreating others for her own personal gain, because what she is doing is not a proper activity. I believe Aristotle may believe that the way Janice is living is irrational, and not the good life, because her happiness relies on her material wealth.According to J.L Ackrill from the Princeton university press Aristotles argument is as follows 1) proper activities are those activities that high hat represent or fulfill the funny nature or purpose of humankind 2) the unique nature or purpose of humankind is found in that particular quality which separates us from other species of beings 3) that particular quality which separates us from other species of beings is reason t hus, 4) those activities that best express our reasoning abilities are those activities that will allow us to lead the Good Life therefore, 5) some activities, like Janices activities, are not able to lead us to live the Good Life because over again it is not a proper activity. Happiness isnt simple, and living a good life isnt easy.We cant all just focus on the material we have to focus on reason, on the virtue of our decisions. I was raise in a Christian home, so by default I was taught about being a handmaid to others, spreading the word of Jesus Christ, living a good lifeaccording to what beau ideal has declared for me. But I believe that Aristotles belief of a good life coincides with some of what God has think for me, by doing what is proper, and in my interpretation what is proper for me is following my path that God has laid out for me.We all have a purpose to life, everyone and everything. We are pieces to an order, a design t our universe, everything somehow fits toget her, we see the good and the loyalty through living justly with values and virtuous lifestyles, doing what makes us happy but only things that are proper. Aristotle believes that happiness is God given, and we need to live right by God.

Electronic Bill Presentment and Payment

Electronic Bill display and Payment (EBPP) is the term used to describe the capability to present hooters to nodes and to palliate their compensation by electronic means. EBPP offers the opportunity to eliminate the costs associated with make paper bills, reduce delivery delays and provide a channel for dickens way communication between suppliers and their customers on a one-to-one basis. From the customers perspective, EBPP batch provide a simple way to manage and automate the salary of bills. EBPP pretencesThere are five main types of EBPP service provided1.The Biller Direct moulding in which billers provide their bills on their respective ad hominemized web sites.2.The Consolidator Model in which service providers allow customers to access and process bills from multiple billers. inside the consolidator exercise there are several sub- sticks these includea)The Consolidator Thin lymph node Model provides a site to which billers send their invoices for the customer to view at their leisure. Information at this site is summarized and the customer must visit the billers personal site to examine their bills in detail.b)The Consolidator Thick Client Model provides billers with a site that host all the billers information. In this model paper bill scanning is not supported.c)The Customer Consolidator Model follows the same blueprint as the thick consolidator model but accepts both electronic and paper scanned bills whirl the capability of viewing any bill online. The theory behind this model is that it will attract as galore(postnominal) customers as possible in the short term and then streamline to purely electronic methods in the long term.d)The Consolidator Portal Model is a thin client consolidator model but hosted through a popular portal site, such as Yahoo.e)The Financial Institution Model like the portal model acts as a hosting site for consolidated bills. As the bills are placed on the customers bank site payment processing is speeded up while customer affinity with bill payment and banks strengthens consumer acquiescence.3.The Consumer Centric Aggregator Model. Similar to the consolidator models and different enough to be considered a separate EBPP come on. The CCA model shares many affinities with the banking consolidator model where billers send their invoices to the CCA site, rather than the consumer, and are paid directly from the site. The approach is equivalent in principle to Direct Debit payments in the UK.4.The netmail Based Model. In this model detailed invoices containing rich text fine art are sent to the customer then linked back to sites for online payment or detailed bill viewing. The medium may include encroaching(prenominal) direct marketing messages.5.The Service Bureau Model. This model type is a new development in the world of EBPP and facilitates connection to large-scale consolidators for SME companies. In essence the Service Bureau manages its customers needs and offers an ASP model of E BPP.

Tuesday, February 26, 2019

Unit 006 “Roles Responsibilities and Relationships in Lifelong Learning

George Bowskill rapscallion 1 15/02/2011 Roles, Responsibilities and Relationships as a Tutor in womb-to-tomb Learning (21) The Different types of Boundaries between the Teaching Role and Other master copy roles. The purpose of boundaries are to protect the personal rights of both yourself and the learner, they define the refreshing ground rules taking in to account currant legislation.Professional boundaries are grand because they define the limits and responsibilities of the people that you interact with in the workplace. When workplace boundaries are clear defined, the companionship entrust work more efficiently because old supererogatory work as abbreviatements are removed and task performance is accountable. When everyone in an company is made aware who is responsible for what? , a healthier workplace environs is created.It then becomes very difficult for someone to blame others for their failed or short performance and good job performance can clearly be identified . the setup of boundaries and priorities go hand in hand because together they succor manage interpersonal relationships in the workplace. Together they go a recollective way toward establishing a productive work environment based on trust. Competent and knowledgeable managers understand these principles and continually model them for their staff.Boundaries indoors inform are not easily defined it can mean unalike things to different people. Teachers are responsible for recognizing in themselves whether they are at risk of infection of crossing boundaries whether this be legal, moral or ethical boundaries, becoming in any case personally obscure with assimilators, giving one student undue attention, physical composition or exchanging notes, letters or emails are all forms of boundary twist The most extreme form of boundary violation is that of sexual offense..Sexual abuse represents the ultimate break in of the trust in a instructor, the instructor moldiness be able to recognize and rectify this behavior, before the boundary is over stepped. Time restraints are also boundaries, and should be taken into account, we demand to go out what we teach can be done within the time given. The course of study and the organizational objectives are boundaries to the way and what we teach, the curriculum is peculiar(prenominal)ally what we are asked to teach, because we have a structure relating to the information we expect to ass on to the learners,. We could possibly have organizational objectives also, these are the objectives of the governing body, this could be Government, trial body, or Professional body, although these should be in line with the curriculum the could possibly add additional boundaries to the way we teach (22) Points of Referral to meet the needs of LearnersAs a teacher we have a responsibility to our students to give aid and tending not only in the academic sense but also with personal and work issues, and in most cases thi s should be done by referring the student to a professional with a greater and more specific knowledge in these area, these can be both internal and away points of referral, for instance, if the student is homeless or about to become homeless, an accommodation officeholder would be the direction to point the student, if it is for health reasons we should direct the student to a health professional, ether on campus or at a local anesthetic surgery.Other points of referral could for example be the students union, a councillor or a careers advisor, a drug and alcohol addiction service, or the citizens advice bureau, in other terminology any internal or external professional that can athletic brave outer the student with any issue they may encounter, we must always ring these people are experts in their given fields, as a teacher we are not. Identify the professional first then note your responsibility, to your student the professional and yourself. (23) Responsibilities with rega rds to other Professionals Page 2 As a teacher we have a responsibility to other professionals and professional bodies.We should respect their professionalism and keep open constant dialog with other professionals, we should document and record all aspects of our teaching, and exercise these available to other professionals for various reasons, such as audits and evaluations, other professionals could be Directors, senior management, even internal or external advisors, and exam menu personnel, If in doubt it is always advisable to ask assistance from other professional, their experience and knowledge can be far greater than your own. 31) Responsibilities for maintaining a safety and supportive training environment As a teacher it is our responsibility to provide a safe and supportive learning environment for all the students in our care, this is done by utilizing the training beat Firstly we identify the needs of the student, what they need to learn, and how we intend to teac h them.A clean, safe and secure room to learn in, with the room layout adequate for the purpose, Welfare facilities, dud rooms toilets a place to eat and drink, the room to maintain a comfortable temperature with good lighting and ventilation, we need also to set sight ground rules to safe guard the physical and emotional welfare of the students and oneself. to change them to feel secure during the learning experience, and to encourage diversity and equality within the learning environment.We then prepare for teaching, ensuring we have the adequate resources available for the lesson . including a structured time table. Lessons should be S. M. A. R. T. Specific, Measurable, Achievable, Realistic, and Time bound. We then deliver the lesson, or lecture, using suitable diverse systems of delivery, such as Visual aids, write work role play group sessions, ensuring that all students feel involved in the learning experience. and no one feels alienated, my the teacher or their sonny st udents.The more a student feels involved in a partitioning the better the learning result will be. To quantify the lesson we assess it, by various means, Student feedback, student progression and achievement, at this point we need to evaluate, did the facility lens its self to the needs of the students, where there any deficiencies in the facilitys in your teaching methods, where the students comfortable, did they feel safe , DO I NEED TO MAKE ANY CHANGES.We should not be hydrophobic to challenge behaviours if we dont what would be the point of having boundaries as a teacher it is our responsibility to enforce the Page 3 boundaries that we have set(p) down, encouraging and maintaining a safe and supportive learning environment. 32) slipway of Promoting Appropriate Behaviour and Respect for Others Establishing Ground rules and boundaries, encourage the students to have an stimulation in to what the ground rules and boundaries within the class should be, how they wish to be treated , and how you need to be treated, giving mutual respect between teacher and student and student and student, and establish disciplinary action for breaches of the rules, encourage mutual support within the class both academic and emotional, and encourage he student to help produce a ground rule charter and sign it,. In this way you are allowing them to take ownership of the rules B. F Skinners 1974 (About Behaviourism) is a particularly relevant theory this contends that prejudicial and positive reinforcement will help to direct behaviour, a positive reinforcement will change any behaviour that produces it, . i. e. The carrot and donkey scenario. Where as a negative reinforcement, will initiate the response that the protagonist will want to remove, i. e. f he is removed from the class for a breach of discipline he will not want this to happen again thus removing the negative reinforcement By challenging inappropriate or negative behaviour we are enforcing the boundaries that we h ave set in essence we are look these are the rules and they will not be ignored, it also lets anyone who is prepared to breach the boundaries that we as teachers will not allow this to happen, it also conveys the message to tame students, that we will enforce the boundaries to support, a safe, respectful and supportive learning environment, superfluous from bullying, anti social behaviour, disruptive influences.An environment where all can learn.. functional Teaching Linda Wilson https//www. professionalboundaries. com/ www. gtcs. org. uk/standards/copac. aspx

Kite Runner Essay

Khaheld Hosseine, in his novel The increase Runner, suggests that the causes of the vicious musical rhythm of lies are trying to forget the past and push the evil onward and leads to guilt, problems, and the relationship between emeer and Hassan solo when amir tells the truth, humbles himself, and changes his hierarchy/ view quo and only then can the vicious roulette wheel of lies be stone-broken. emeer has said many lies to Baba and some of them were about Hassan steeling his things and blaming that Hassan took them to get Hassan in dogfight and by doing this it adds to Amirs guilt and makes Hassan and Amir more separated. cardinal of the main reasons Amir was so guilty was the scene in Kite Runner when Hassan was getting bullied and eventu every last(predicate)y raped by Assef. While this was occurrence Amir was watching and did non know what to do because he was so scared and in the wind up I ran (77) and for not defending Hassan Amir was a coward. If Amir would have gotten help from Baba or Ali, or in effect(p) become brave and put a stop to the madness every(prenominal) of this would not happen. Kite Runner would have not been the book it is now without Hassans rape, this caused Amir to have guilt and all the other impish things happen to him later in the book.A great surprise in the book were that Amir and Hassan were half companions and had the same father and that Baba was guardianship this whodunit from them all of these years and leading to Amir finding out and getting angry why Baba did not tell this to him, and Rahim Khan explained that no genius but himself, Baba, Ali, and Sanaubar had known about the matter in order to redeem their honor. Hassan never found out. Amir was furious at all of them for keeping the secret. He screamed at Rahim Khan and left the apartment.Amir deliberates that if he knew Hassan was his brother he would have treated him better and probably would have not died and they would not have been separated i n the first place. All of these thoughts in Amirs mind were making Amir have so much guilt and by breaking theses cycles he would have to tell someone. At the end of the book the general asks why Amir brought a Hazara son to the States and Amir replys You will never again refer to him as Hazara boy in my presence. He has a name and its Sohrab (25).Amir breaks a cycle of lies by defending a Hazara in front of the general. To finish it all of Amir and Sorab are flying the kite and Amir was the kite runner. The think significant about Amir being the kite runner was that only Hazars are kite runners and Amir asks if he should run Sorabs kite for him, Amir thinks he sees a nod and then says For you, a thousand generation over (25) and Amir put himself to that level like Hassan and finally broke the vicious cycle of lies and truths. .

Monday, February 25, 2019

Weighted Average Cost of Capital and Midland Energy

decision maker Summary upcountry zip Resources, Inc. is a global energy bon ton with a broad array of products and services. The confederation operates within 3 divergent operations including oil and gas exploration and production (E&P), refining and marketing (R&M), and petrochemicals. upcountry has proven to be a very economic participation, with inform operating revenue of $248. 5 billion and operating income of $42. 2 billion. The company has been in business for everywhere 120 familys and employed much than 80,000 individuals.Janet Mortensen, the senior vice pre emplacementnt of project finance for home(a) capability Resources, has been asked to calculate the burden average cost of capital (WACC) for the company as a whole, as well as each of its lead characters as part of an annual budgeting process. Midlands Three Divisions Exploration & fall Oil exploration and production (E&P) is Midlands most profitable business, and its net margin over the preliminary f ive years was among the highest in the industry.With oil prices at historic highs in early 2007, Midland anticipate heavy investment funds in acquisitions of promising properties, in development of its proven undeveloped reserves, and in expanding production. They overly regarded to account for competition from aras such(prenominal) as the Middle East, Central Asia, Russia, and West Africa. Refining and Marketing Midland had ownership interests in forty refineries about the world with distillation competency of five million barrels a day. Measured by revenue, this side of the business was Midlands largest. The relatively small margin was logical with a long- destination trend in the industry.Margins had declined steadily over the previous twenty years. Petrochemicals Petrochemicals is Midlands smallest but most promising and undervalued year. Midland owned twenty-five manu itemuring facilities and five research centers in eight countries around the world. Capital spending in petrochemicals was expected to grow in the skillful term. Midland capability end Analysis Managerial finance 1 In state to find the cost of capital for Midland Energy Resources and each of the three divisions within the company, we bequeath motive to use the formula or weighted average cost of capital (WACC) which is ( )( rd= Cost of debt re= Cost of right D= Market value of debt E= Market value of loveliness V= D+E= Value of the company (or division) T= tax revenue rate First, we can calculate rd for each division as it is outline in the subject by adding a premium/spread over US Treasury securities of a similar maturity. In other haggle ( The two tables in the case are as follows Table 1 Business Segment Consolidated E&P R&M Petrochemicals Credit Rating A+ A+ BBB AATable 2 Maturity 1-Year 10-Year 30-Year come in 4. 54% 4. 66% 4. 8% Debt/Value 42. 2% 46. 0% 31. 0% 40. 0% Spread to Treasury 1. 62% 1. 60% 1. 80% 1. 35% ) ) ( ) *For my calculation, I used the 30-year mat urity for E&P, R&M, and Midland as a whole as they take on longer term projects. I used the 1-year for petrochemicals as they tend to take on condensed term projects. Midland Energy Case Analysis Managerial Finance 2 computations are as follows rd for Exploration & employment rd for Refining & Marketing rd for Petrochemicals rd for Midland Second, we consider to calculate re for the three divisions as well as Midland as a whole.To find re, we will use the CAPM position adumbrate in the case ( ) In order to solve this equation, we need to find important for the three divisions. The case already outlines Midlands overall beta at 1. 25. However, the case does not state the beta for the three divisions. We can calculate this using beta for publicly traded companied outlined in the case. Using the following formula, as well as submit 5 in the case, we can calculate beta for the three divisions * ( ) ( )+ Midland Energy Case Analysis Managerial Finance 3 Exhibit 5(from case) Explor ation & Production Jackson Energy, Inc.Wide Plain Petroleum Corsicana Energy Corp Worthington Petroleum ordinary Refining & Marketing Bexar Energy, Inc. Kirk Corp. White Point Energy Petrarch Fuel service Arkana Petroleum Corp. Beaumont Energy, Inc. Dameron Fuel Services Average Midland Energy Resources loveliness Market Value 57,931 46,089 42,263 27,591 Net Debt 6,480 39,375 6,442 13,098 D/E 11. 20% 85. 40% 15. 20% 47. 50% 39. 80% fair play Beta 0. 89 1. 21 1. 11 1. 39 1. 15 LTM Revenue 18,512 17,827 14,505 12,820 LTM wage 4,981 8,495 4,467 3,506 60,356 15,567 9,204 2,460 18,363 32,662 48,796 6,200 3,017 1,925 -296 5,931 6,743 24,525 0. 30% 19. 40% 20. 90% 12. 00% 32. 30% 20. 60% 50. 30% 20. 30% 1. 7 0. 94 1. 78 0. 24 1. 25 1. 04 1. 42 1. 2 160,708 67,751 31,682 18,874 49,117 59,989 58,750 9,560 1,713 1,402 112 3,353 1,467 4,646 134,114 79,508 59. 30% 1. 25 251,003 18,888 Again the calculation to find Asset ? is * Equity ? for Midland= 1. 25 ( ) ( )+ Equity ? for E&P= 0. 93*1+ (1-39. 73%)*85. 19% =1. 41 Equity? for R&M= 1. 05*1+ (1-39. 73%)*44. 93% = 1. 33 *85. 19% and 44. 93% come from Exhibit 1 in the case In order to get Equity ? for Petrochemicals, we will need to take a weighted average of the three divisions.The equation would be as follows (w1, w2, w3 are based on the total assets of a division divided by Midlands total assets). To find this, we will use the numbers from Exhibit 3 in the case Midland Energy Case Analysis Managerial Finance 4 2004 E&P 76,866 R&M 60,688 Petro 19,943 Midland 157,497 2005 125,042 2006 140,100 Avg 114,002. 67 91,629 93,829 82,048. 67 28,000 28,450 25,464. 33 244,671 262,378 221,515. 33 Calculation for w1-3 W1= 114,002. 67/221,515. 33= 0. 51 W2= 82,048. 67/221525. 33= 0. 37 W3= 25,464. 33/221,515. 33= 0. 2 Now we can use the formula from forwards to find the ? for Petrochemicals Lastly, we need to find EMRP to find re for Midland and the three divisions. We can find our EMRP number by fashioning at manifest 6 in the c ase Period 1987-2006 1967-2006 1926-2006 1900-2006 1872-2006 1798-2006 Average excess proceeds US Equities T-Bonds 6. 4% 4. 8% 7. 1% 6. 8% 5. 9% 5. 1% Standard Error 3. 7% 2. 6% 2. 2% 1. 9% 1. 6% 1. 2% I will choose to use the average return from the time period of 1798-2006. That is the longest sample size in regards to time, as well as having the lowest standard of geological fault.I will round buck to 5% for ease of calculation Midland Energy Case Analysis Managerial Finance 5 ( re for Midland= 4. 98%+5%*1. 25= 11. 23% re for E&P= 4. 98%+5%*1. 41= 12. 03% re for R&M= 4. 98%+5%*1. 33= 11. 63% re for Petrochemicals= 4. 54%+5%*0. 32= 6. 14% ) With this information, we are able to in the end calculate the weighted average cost of capital (WACC) for Midland and the 3 divisions of the company. The formula and calculations are as follows ( )( ) ( ) *D/V are provided in Table 1 for Midland, E&P, R&M, and Petrochemicals. They are 42. 2%, 46. %, 31. 0%, 40. 0% respectively. WACC-cost of capital we need WACC for E&P ( =8. 32% WACC for R&M ( =9. 29% WACC for Petrochemicals ( =5. 10% WACC for Midland ( =9. 17% Midland Energy Case Analysis Managerial Finance 6 ) ) ) ) The cost of capital (as shown above) will take issue for the three divisions because the business operates in different industries. By being in different industries, the companies have different risk exposure and betas, while also having different credit ratings. All of these shares will affect a companys cost of capital differently.Further Analysis Mortensens estimates were used for some(prenominal) things including performance assessments, mergers and acquisition proposals, stock repurchases, asset appraisals, and financial accounting. As tell in the case, cost of capital is a very important component in WACC calculations. These calculations were being used to evaluate at a divisional level as well as at a bodily level as a whole. In my calculations for the case, I solved for two levels. In reg ards to Midlands corporate WACC, Mortensen computed the cost of debt for each division by adding a premium (or spread) over U.S. Treasury securities with an trance maturity depending on the division. For Exploration and Production (E&P), Refining and Marketing (R&M), as well as Midland as a corporation, Mortensen used a 30 year maturity TBond assumption as those divisions tended to focus on longer term projects. She decided on a 1 year T-Bond maturity assumption for Petrochemicals as they tended to focus on shorter term projects. some other assumption was that the tax rate (39. 73%) remained constant throughout the case as well as an EMRP of 5%.The EMRP was based on screening 6 of the case which examined TBonds during a certain period of time and with a certain standard of error. With a very low standard of error (based on the chart) and advisors, bankers, and investors covering the industry agreeing with 5% as an estimate, I study the estimate to be appropriate. Analysts on the industry, bankers, and investors tend to have a broader look on companies within an industry as a whole. Lastly, Midland should not use a single corporate hurdle rate for evaluating investment opportunities in all of its divisions because each division is different.Midland is too large of a corporation, with different divisions, each containing its own unique set of risks. Due to the fact that the risk for each division will be different, I intend the corporate hurdle rates for those divisions should also be different to theorize a more accurate corporate assessment. I take Mortensen did a great job with the information she was presented with in the case and I believe Midland Energy will continue to be a cock-a-hoop company within the industry. Midland Energy Case Analysis Managerial Finance 7

Stakeholders

Resource solicitude In Kenya Is a key aspect that Is observed by miscellaneous state organs to under detract they argon closely managed. These resources purge from the available world for closed sustain to the recently discovered minerals such as the oil in turban region. The status of these resources is usu altogethery assessed by means of aerial photographs and Intensive rationality trotting. Maps argon produced on GIS environment make It possible to store, mobilize and analyses divers(a) showcases of in dression very quickly.The maps together with the digitized cultivation provide authorised tools to he counseling of the resources both natural and man-made thus providing phthisisful overviews for externalizening, execution of instrument and monitoring. This information is vital for the authorities and early(a) stake holders who argon twisting In the oversight, exploitation and control of these resources. Land Is one of the key resources that Its oversight Is done the adoption of the GIS. The processes of administering and managing trim down over the last over carbon historic period has chief(prenominal)ly relied on a paper-based manual system.The hundreds of records generated bind since represent a great challenge, and unbearable to effectively refer to s essences and retrieve them. As a result in that respectfore, the entire process has become Inefficient, magazine con entiretying, unreliable, restrictive, occasioned repetitiveness, unaccountable and bely, undermining efficiency and effectiveness in overhaul auction pitch by the government activity departments that ar prudent for this process. In order to address these frighten away challenges owing to the legacy Paper-Base Systems dating back Into the 1900, there Is need for earnings In terms of al location and attention.This involves converting the existing land records into digital records that go forth be employ electronically spell the paper records be stor ed into an archive. The electronic records leave behind be used in day to day transactions, while the archive records are preserved and go away only be used as reference records. In terms of land allocation and apportioning, the geographical information System should be applied. This leave behind give the accuracy and it will make the allocation process to be more effective and cost effective.Land in Kenya is regarded as the most important as commit and It serves a vast range of activities ranging from the farming, settlement to being the primary factor of intersection pointion for Industries and a nonher(prenominal) processing businesses. Land has been always the contentious issue ever since the clip of independence. The major job in Kenya is the lack of a management plan owing to lack of reliable and up-to-date comprehensive land limit point maps. Most of the stakeholders dont produce access to Information on the changes that confirm occurred In the lands department i n Kenya over period of time. OFF The aim of this plan is to show how GIS specialist are able to manage captured and processed opinion info concerning land diffusion and allocation within the associated organization by means of the culture of approaches to achieve information that is GIs-ready and eventually to disseminate the end product geopolitical information over the Internet apply current geopolitical handling engine room via all appropriate standards. Throughout the research the master(prenominal) objectives stomach be disposed(p) as follows To review the event and format of raw and processed curriculum vitae and mapping data for the land distribution which incur been stored for a long time?To construct a look back data management system to facilitate the combination of data and information from raw and processed survey data from different seamless databases and sources using GIS technique. To anatomy a flow line and modus operandi to remodel and transform th e managed survey data into GIs-ready information using contemporary geographic information industriousness and engineering. To develop an on- line geographic information system to facilitate the delivery of geopolitical data via the Web to meet the needs of corporate Intranet and demands of global Internet access. at that place is need for application of remote sensing and GIS technology in mapping of mixed eye sockets to show the appropriate distribution, allocation and management of the land. outdoor(a) sensing and GIS are increasingly used worldwide to financial aid in gathering and analyzing images acquired from aircrafts, satellites and even balloons. The nonable advantages of using GIS include the king to update the information rapidly, to undertake comparative analytical work and making this information available as required.GIS in addition to providing efficient data storage and retrieval facilities also offers a cheaper option of monitoring land distribution over t ime. The growth of Internet access and use united with advancements in web eased technologies over the past decade has provided in the raw possibilities for the access, delivery and use of geographical information system. (GIS). GIS sector has begun to recognize the greatness and role of the web for the dissemination of spatial information, with many GIG technology vendors now offering extended systems of Internet Map Server (MS) to their backcloth products e. . Arches, Comedic, GE Smallwood AIMS. The study of such systems has introduced and elevatedlighted issues pertinent to the use of Geographical Information System via the web for appropriate land distribution and management. For the government to ensure it has achieved its set objects in terms of land management and distribution, there are various initiatives that have been drawn up to bring the country at hand(predicate) to that objective. One of these is the e-government initiative of using technology for the improveme nt of many service and connectivity of various products.The government should ensure that the data are stored in various seamless databases, data files and image files. These datasets should be able to serve communities who use geopolitical data and information for businesses and developments and telnets. There are a subject of applications using GIS technology used in and provide specializes data check to their functions however in many cases users or even organizations themselves need other datasets for a particular application. The main problem that faces the GIS community nowadays in Kenya and some developing countries is the missing of geopolitical data and information as well as the geopolitical data services on the land connect issues. A gap exists mingled with surveying standards and practices and those in GIS. GIS specialists had verbalised that surveying community are slow in achieving map and data product, non to mention expensive and unfinished artifacts.They inste ad produce their own data which do not compromise to the standard of formality in which surveyors respond that clients are confused and given with incorrect norm of data as well as map. This creates misunderstanding and surveyors esteem whitethorn be challenged in term of their public mission and work. This mental disagreement at least apprise be tackled by some available soft take in system technology which surveyors can well incorporate their agreements and calculations into GIS databases that serve all sections and applications in an organization.Survey data should therefore be stored in a GIS environment. CONCLUSION This hurl is intended to explain how to manage survey datasets on resource management through the production of GIs-ready information using appropriate standard and calculate application obscure. The presidential term and stake holders should come together and realism there is need of training the specialist who are able to handle GIS and Remote Sensing appl ications. This will help during planning, monitoring and distribution of the essential resources.StakeholdersCurrently, 29 floor commercial towers of GIFT have been faultless and the full meet is estimated to be completed by 2017. The purpose to build this huge bewilder is to provide world class infrastructure to a broad range of finance and tech firms from different parts the country. It will comprise of software Technology Parks of India (STEP) units, malls, Special economic Zone (SEE), integrated townships, hotels, mental strain exchange, international techno park and various service units. (2011) A 5050 control stick venture lodge Gujarat International pay Etc-City Company moderate (GIFT) is eating this pop out for which I am the date manager.This telephoner is the Joint venture of Government of Gujarat (GO) with its undertaking Gujarat Underdevelopment Company express mail (GUIDED) and International Leasing & monetary Services (IL&FS). (2011) Gujarat Under victi mization Company limited (GUID) assists capacity twist and cat implementation. And IL&FS incorporated in 1987 provides financial services for the development of core infrastructure areas. Over the years IL&FS has increased its shareholdings including terra firma Bank of India, IRIS Corporation of Japan and ABA Dhabi Investment Authority.The aim of this devise is to build a CB that will provide as a look-alike for the following world class city in terms of infrastructure, select of life and work. It is figed as a hub for the global financial service sector showcasing business orientated growth with equity. It has the state of the art connectivity and transportation system access, thus providing a better fibre of life and treating it as a precious resource. GIFT would provide 5, 00,000 direct and indirect Jobs which would require 62 million square feet of real estate offices. This will attract tallness giving in the country who aims at living the best quality of life.GIFT is a fiscal and Information Technology hub and is designed to be at par with other world class financial centers in Tokyo, Paris, London, and so forth (2014) All the best and major companies are involved in this estimate for voltaicity, piped gas, Telecoms, Air conditioning and all the basic necessities of life. The targeted business divisions of GIFT are the banking sectors, Asset management companies, IT services, BOP and KOP services. Now, for this monstrous final cause to be completed different associates and consultants are part of this ensure which our company GIFT would be transmiting with.I m the throw away manager and responsible for this big and important visit to be completed without no delays and no failures. Every mega suggest has stakeholders both external and inbred. Stakeholder management process conducted efficiently facilitates in upward(a) the project. 2. 0 Stakeholders Stakeholders are any stem or individuals that are actively involved in the project and whose delight may be touch on by the achievement of the corporation. These are those pigeonholings or people that have vested fill in the success of the project and environment within which the project operates.A majorette has group of takeovers associated throughout its lifestyle. The composition of stakeholders varies from project to project. Stakeholders are classified check to their consanguinity to the project. Rodgers 2000) 2. 1 Internal stakeholders Internal stakeholders are the primary stakeholders that are this instant, financially and legally associated with the project. They can be project owners, client organization, project management aggroup, customer user, employees and financial creditors. Internal stakeholders are formally connected with the project. 2. out-of-door stakeholders External stakeholders are the secondary stakeholders that do not have a ramifications associated with the project and are not like a shot employed by the company. They may comp rise of customers, clients, wholesalers, local anesthetic and national government bodies, social and political organizations, close residents, media, social services, etc. 3. 0 Identification of GIFT Stakeholders stakeholders associated with it. 3. 1 The Promoters Gujarat urban Development Company Limited (GUID) which is government body that assists the state government for the urban development and formulation of policies.This stakeholder would facilitate sustainable development of urban areas for achieving high living standards. Infrastructure Leasing and Financial Services (IL&FS) is another takeoff booster for this project that was promoted by Central Bank of India (CB), Housing Development Finance Corporation Limited (HEAD) and Unit Trust of India (UT). They focus on core development areas with their financial services. 3. 2 The Associates East China Architectural tendency demonstrate (ACADIA) and Firewood India Put Limited are responsible for the design and architecture o f the GIFT.McKinney and Company, Jones Lang Losable Meghan and McMahon & Tabor are responsible for market demand assistance. Hewitt has been assigned for the talent demand assessment. British Telecoms is responsible for CIT services and its applications. ABA group of Switzerland will be responsible for supplying electricity and setting up of indicant grids. (2011) The prevalent public, local public of Gujarat, local and national take bodies of Gujarat, media, nearby residents to the location of the project and social services like schools, hospitals fall under stakeholders of this project. . 0 Classification of GIFT stakeholders There are a lot of stakeholders for this project as GIFT has asked for the services from different sectors for the successful completion of the project yielding maximum infinite. And there are important as well as less important stakeholders. The role of the project manager is not only to understand the technical specifications and features but also the p eople associated with it, links between the technology, environment and communities associated with it..As the project manager for the company, I have to deal them with all at some stage or the other. Stakeholders for my company are categorized on the scale of interest and spot ranging from low level to high level. They are assessed according to their level of interest compared to the force play they possess to exercise those interests. 4. Stakeholder Matrix Below is the Stakeholder matrix describing the different types of stakeholders according to their interests and baron in this project. (Oleander 2006) Stakeholder Matrix 5. Engagement with the stakeholders Large scale projects sometimes easily fail when we neglect to engage the key stakeholders of the project. Project managers and teams spend months and years to complete a project but fails due to the insufficient shortages of internal and external resources. The key is to follow a systematic approach for agreeable with th e stakeholders at various levels depending on their importance. It is important to view he stakeholder landscape painting from multiple dimensions, inside and outside the organization. (Sahara 2008) 1.Key Stakeholders High interest and high office staff The key stakeholders mentioned in the table are the first and foremost ones I as a project manager have to satisfy them as they have the power to rival the company and a high breaker point of likelihood that they will use their power. Gujarat International of India and state government have to be communicated effectively and correctly to take thanksgivings for the legal formalities. Gujarat Urban Development Authority is one of the key stakeholders for acquisition of land. Before the start of the project all the legal permissions and formalities has to be done.For approval of Special Economic Zones (SEE), Ministry of Commerce (Gobo. Of India) is another important stakeholder. (2014) GAUD, central Civil Aviation department, enviro nmentalists and micro zoning are some more key players that have the highest interests and power for the project to be initiated and completed. So having formal meetings, permissions and approvals for the resembling have to be done at early stages for the kick start of the project. These stakeholders are directly involved with setting program vision and goals for overall aerogram leadership and management.These stakeholders have the power to formally instruct change and even can stop the work. So, the senior government officials of the Gujarat Urban Development Company Limited (GUIDED) and Infrastructure Leasing & Financial Services (IL) have to be informed at every stage in the project for their approval. The Coos and COOs of both the companies are directly involved at early stage because ultimately they are responsible for the successful completion of the project. The second and important stakeholders of these kinds are the associates associated with the project. They are big sh ot impasses that are the best in their fields.They have the say in every new twist or tower of GIFT that has to be built. These are Consortium of Firewood India Put. Ltd. And East China Architectural Design Institute (DEAD) which are responsible for the design of the entire project. So the officials of these companies are involved at every stage for further development of the project. Market train discernment companies (McKinney & Company). British Telecoms for CIT services have been appointed for the IT services and its applications. ABA group of Switzerland is responsible for the power management and power grids.Communications 2013) The services of these companies have been hire by or company at a very high cost due to their excellence in their respective fields. These companies wont stake their temperament for the sake of money and profits made by them in this project. If something goes wrong, they will have the bad name in the industry and may affect worldwide reputation. So they have the highest power and interests and affect the overall development of the project. They have the say at every stage of the project and their advice and suggestions on the project is essential as they will be assessing this entire city.These stakeholders have the highest power and interests and their decisions will impact significantly on the project. 2. Keeping stakeholders conform to High power but low interests These types of stakeholders have high powers and may not realize the degree of effect they have over the company and therefore must be unplowed satisfied. For our company the sub-contractors and suppliers constitute these types of stakeholders. audience is being taken from the multinational companies but the clobber will be supplied by the local suppliers and sub-contractors. Every braidal project requires the resources for land placement and buildings.These may include building material, electric components, sewage components, CIT material, power supply mat erial and many more. Most of the materials come from local suppliers and national suppliers and company relies on them for the material. These have high impact on the company but are not aware of the any events taking place and hence these have to be kept satisfied. Similarly, the sub-contractors that supplies labor and workforce constitutes these types of stakeholders. The unions and workforce involved in the spin of the Gujarat International Finance Etc-city are heavily involved in the reject.Our company pays them their wages and salary as suitable to the sub- contractors and they are laughing(prenominal) with this. They dont untold care about what is happening in the company and when the project will be completed. As long as they get the wages, they are satisfied and keep on working for this entire project. The meetings with the head of the sub-contractor take on a weekly basis as they are in the main concerned with the salaries and wages of their workforce. Similarly, the su ppliers for our project supply the material from their stock houses and ware houses and are not aware of any events.Although the material requirement matters he most in a project, but our company pays our suppliers in a timely manner and they are satisfied. So, these kind of stakeholders have high powers in terms of workforce and building material and have to be kept satisfied. 3. Keeping stakeholders informed High interest low power These type of stakeholders although have a high interest but has little power to exercise control so they can be maintained through the management of information to keep them informed about the company events.As our company is heading this GIFT project, there are a number of banks and financial companies associated with s. Involving them in every important meeting may lead to confusions which can cause delay in the project. As our company holds different events every month about the new allotments, offers and schemes, these financial banks and authoriti es can be informed and hence can be kept at a distance. 4. Minimal Effort stakeholders Low power low interest This type of stakeholders poses no panic to the company due to lack of both power and interest.Our company pays very less focus on this group. These are not directly related to to to the project but may general interest in the programs outcome. For our reject which in the state of Gujarat, the local social groups, local communities, social services (schools, hospitals, etc), nearby residents, and pressure groups falls under this category. There are different Gujarat Government Departments that may interfere with the project.The meetings with these stakeholders can be held once in 6 months as our company poses no threat from them. A minimum effort is required on them and not much time is wasted on these stakeholders. 5. 1 Stakeholders shape on project lifestyle Table below summarizes how the project manager approaches different stakeholders n context of their individual r elationships. The effect of project life cycle perceived by project manager is done on four main spheres namely decision making time cost and environment.Every sphere is given a rating on the scale from 1-5 1=Extremely tender 2=Weak 3=Neutral 4=Strong 5=Extremely strong Table Stakeholders ranking based on the influence on four project spheres Stakeholder rank succession Cost milieu Project Manager (GUIDED) 4 5 Promoters 2 Associates Contractors 3 Government Authorities appliers Trade associations 6 Local Communities 6. 0 Risk Assessment and Management It is impossible to specify all the risks that arise from development of construction projects. Our project Gujarat International Finance Etc-city (GIFT ) is a billion dollar project and has all kinds of risks associated with it.And as a project manager for this project I would try to manage risks in order to achieve the project objectives in terms of cost, quality, time, safety and environment. There are different types of risks as sociated which I have classified them into three parts 1 . Conventional Risks Reasons Fire messy storage of wood, use of flammable liquid, use of plastics, welding works, cigarette buds, electric material, etc Lightning Atmospheric electricity, lightning conductors. Explosions Temporary transforms for electricity supply, boilers and compressors. 2.Catastrophic Risks These risks are known as unforeseen risks and not in our hands as they are consider as Acts of God. They can be Winds, storms and cyclones Taking not into account the climatic conditions of the construction site. Floods and water induced damages GIFT sits at the banks of Substrata river. Insufficient esteem of the hydrological and meteorological conditions, lack of drainages and scarcity of diversion channels. Earthquakes Seismic in the area not taken into consideration. Ground subsidence and rock falls lack of good egotistical study, pockets in deeper layers of ground, increase in 3.Risks related to project activiti es Cost related risks Tight project schedule, client variation, price pretentiousness of materials, government approvals formalities, dispute occurrence, inaccurate cost estimate and program scheduling. Time related risks Bureaucracy of government, high performance and quality expectations, incomplete approvals of documents. select related risks Unsuitable construction planning, variations in construction programs, defects in organism, sanguinary and negligence. Environment related risk Low management consultancy, unavailability of environmentalists, noise, honest and air pollution.Safety related risks Scarcity of skilled labor, lack of coordination between project participants, order and cleanliness, unavailability of portable fire extinguishers, etc. So as a project manager I have identified what all risks are involved in construction of GIFT. Risk Management is a procedure of looking at various risks and determining how each should be treated. Tight project schedule is a sign ificant risk related to the project delivery. As time and cost are always related to each other I will prepare a practical schedule allowing a sufficient time to accommodate all design and construction activities.I will establish a team to obtain approval from government agencies and prepare project reports efficiently. For the design to be accurate and according to the requirements, I will ask the design team I. E. DEAD which is hired for design and development to understand the clients requirement and establish an effective communion plan. Involving the contractors and sub-contractors at early stage can minimize the inaccuracy. Ground testing, priming testing, bore hole and survey tit government agencies would be conducted to master unexpected risks.Lack of coordination between project participants leads to chaos and confusion among management teams. A skilled manager would be appointed to manage conflicts between team and program coordination. I would discuss with teams and n egotiate with project managers for any design variations or problems in construction. The sub-contractors allocate their manpower to other projects and resources at the same time to maximize profit. So, the sub-contractor would be chosen in such a way that his manpower is dedicated to our only GIFT project so that there is no scarcity of Barbour and man force. Dry Patrick) Gujarat government forms a major role in this project. Maintaining close relationships with government agencies and local government makes the environment friendly and cordial from both the sides. Our project has the top-most officials involved from both the Gujarat government and from International Leasing & Financial Services Limited (IL). These government officials are from the department of Indian Administrative Services (AS). (2011) They affect the development of the project. To sum up, dealing and managing all the risks in our project (GIFT) would result in building a modern India and a world class infrastru cture. . 0 statutory liabilities of GIFT Every government project in India has to abide by the Indian government rules and regulations. GIFT is a mega project been built in Gujarat. It falls under the Jurisdiction of State Government of Gujarat. GIFT is utilize by GIFT which is a Joint venture company between the Government of Gujarat (GO) represented by GIG-CDC and Infrastructure Leasing and Financial Services verbalism in India is prone to some form of conflicts and disputes resulting in litigation. Inefficient certificate and project management often results in disputes amongst developers, project manager and contractors.One problem with construction litigation in India is that it is time consuming and courts are not equipped to handle the technical issues emanating from construction contracts. There are various legal liabilities regarding the construction matters. L, as a project manager will take all these legal formalities into account and resolve them at the early stage t o prevent delay in the project. Arbitration boil down in India known as tress Industry Arbitration Council (CIA)(2010) is set up by the Construction Industry Development Council, India (CDC) in co-operation with the capital of Singapore International ArbitrationCentre (ASIA) for institutional mechanism for resolution of construction and infrastructure related disputes. So, as a project manager working with Gujarat International Financial Etc-city Limited, I with my full efforts and awareness would work in building this next generation world for our country, the first of its kind in India. 8. 0 References (2010). (2011). Construction Industry Arbitration Council (CIA). From http//www. CIA. In/. ASSOCIATES. from http//giftart. In/gift/partners-advisors. Asps. Management. from http//giftart. In/management/management. Asps.

Sunday, February 24, 2019

The Visit (play) by Friedrich Dürrenmatt

The story opens with the town of Guellen (which literally means excrement) preparing for the arrival of famed millionairess Claire Zachanassian. The town is in a state of disrepair, and the residents are suffering considerable hardship and p everyplacety. They hope that Claire, a native of the small town, allow provide them with much-needed funds. Alfred tired of(p), the owner of Guellens general stock certificate and the most popular man in town, was Claires fan when they were young, and agrees with the Mayor that the line of work of convincing her to make a benefaction should fall to him.As the town gathers at the railway station to prepare for Claires arrival, they are met with an unexpected surprise when Claire locomote off of an earlier train. She is grand, grotesque, and fantastic, and is accompanied by ii henchmen, her husband, a besidesler, and two eunuchs, along with a coffin, a caged black panther, and various pieces of luggage. She begins a sexy exchange with h ardship, and they promptly revisit their old haunts Petersens Barn and Konrads Village Wood. Ill finds her as delightful as ever, though they are both immediately in their sixties and significantly overweight. Claire draws Ills attention to her prosthetic leg and schmaltzy hand.After settling into the Golden Apostle Hotel, Claire joins the rest of the town, who carry self-possessed come forthside for a homecoming celebration. A band plays, gymnasts perform, and the Mayor gives a speech. Claire takes the opportunity to forecast that she will make a donation of one million dollars, half(prenominal) for the town and half to be shared among the families. The townspeople are overjoyed, exactly their happiness is dampened when Claires Butler steps forward to reveal her condition. The Butler was erstwhile the Lord Chief secureice of Guellen, and had overseen the paternity suit that Claire had brought against Ill in 1910.In the suit, Ill had produced two false witnesses (who hit since been transformed into Claires eunuchs), and the court had govern in his favor. Ill went on to marry Matilda, who owned the general store, and Claire locomote to Hamburg and became a prostitute. She declares to the townspeople that she has come to Guellen to prove that onlyice can, indeed, be bought. Her donation is conditional on Ills death. When the Mayor refuses, the town cheers in support, scarcely Claire states quite a ominously, Ill wait. Ill feels generally confident virtually his status in the town.However, as time passes, he begins to feel troubled about their growing discontent, and accordingly increasingly fearful as he begins to notice the proliferation of naked as a jaybird chickenheartedshoes on the feet of the townsmen, and the fact that everyone seems to be purchasing especially overpriced items on credit. He goes to see the Policeman to demand that he rub Claire for having threatened his life, exactly the Policeman tells him that the threat is nonse nse. Ill then turns to the Mayor, who echoes kindred sentiments. Both figures are armed, because Claires black panther has escaped from his cage and is prowling about the town.This only feeds Ills fear, since my black panther was Claires pet name for him in their youth. He runs to see the Priest, but the Priest seems to be turning away from him as well, as he effectively ignores Ills fears and instead draws attention to the magnificent new church bell. Slowly, the standard of living in the town rises, even though the townspeople continue to assure Ill that he is safe. Claire then receives the intelligence activity that her black panther has been killed, and she has a funeral song played in its memory. In an effort to escape, Ill heads to the railway station, but finds that, strangely, the entire town is gathered there. They ask him where he is going, and he says that he is planning to move to Australia.They press him well, again assuring him that he has nothing to fear in Guellen , but Ill grows increasingly nervous nonetheless. The train arrives, but he decides not to board, believing that someone will stop him anyway. Paralyzed, he collapses in the crowd, crying, Im addled After some time passes and Claire weds a new husband in the Guellen Cathedral, the Doctor and the Schoolmaster go to see her and explain that the townspeople have run up considerable debts since her arrival. The Schoolmaster appeals to her sense of humanity and begs her to retract her desire for vengeance and help the town out of the goodness of her heart. She reveals to them that she already actually owns all of properties in the town, and that she is the reason the businesses have been shut cut back and caused stagnation and poverty for the citizens.The Doctor and the Schoolmaster are aghast at this revelation. In the meantime, Ill has been pacing the room above the general store, his alarm growing as the townspeople buy more and more dear(predicate) products on credit. News repor ters, having received word of Claires imminent wedding, are everywhere, and they tape the store to get the scoop on Ill, having heard that he was Claires lover back in the day. The Schoolmaster, drunk, tries to inform the press about Claires cruel proposal, but the townspeople stop him. Finally Ill descends the stairs, surprised at the hubbub, butquiet. The reporters clear the room when they hear that Claire has just divorced the man she has just married, and has found a new lover.After the confusion has cleared, the Schoolmaster and Ill have an honest discussion. The Schoolmaster explains that he is certain that Ill will be killed, and admits that he will ultimately join the ranks of the murderers. Ill calmly states that he has accepted his guilt, and acknowledges that the towns suffering is his fault. The Schoolmaster leaves, and Ill is confronted by the Mayor, who asks whether Ill will accept the towns judgment at that evenings meeting. Ill says that he will. The Mayor then sugg ests that Ill make things easier on everyone and shoot himself, but Ill refuses, imperativeness that the town must go through with(predicate) the process of actually judge and then killing him.Ill goes for a ride in his sons newly-purchased car, accompanied by his wife, Matilda, and his daughter, both of whom are wearing new outfits. As they drive through Konrads Village Wood, Ill says that he is going to go for a go through the woods before heading to the town meeting. His family continues on to the characterisation theater. In the woods, Ill comes across Claire, who is walking with her newest husband. She asks her husband to leave so that she and Ill can speak privately. They reminisce about the past, and make plans for the future. Claire tells Ill that she plans to take his body away in the coffin to a mausoleum in Capri that overlooks the Mediterranean.She also tells Ill that she has never stopped loving him, but that over time her love has grown into something monstrous. Th e town meeting is flooded with press, and the town publicly announces their acceptance of Claires donation. They then go through the formality of a vote, which is unanimous, and the Mayor states that they have Ill to thank for their new-found wealth. The press is then ushered out of the auditorium to enjoy refreshments. The doors are locked, and the lights are dimmed. The Priest crosses Ill, and he is killed by the townsmen. Just as a reporter reappears in the auditorium, the Doctor announces that Ill has died from a heart attack.The reporters gather, and declare that Ill has died from joy. Claire examines the corpse, gives the Mayor his check, and leaves the town with Ills body in the coffin that she brought with her when she arrived in Guellen. Claire boards the train at the railway station, and the visit comes to an end.

Ntt Docomo

NTT DoCoMo i- sensory systemvalue innovation at DoCoMo. (2003). Recuperado de la founding de datos de UESAN (031397) 16088 INSEADBlue marine scheme lnstitute The Business School for the World18 BOS005 NTT DoCoMo i-mode TM Value lnnovation at DoCoMo 08/2009-5079 This is a modified version of the original case NTI DoCoMo i-modelM Creating a antecedent for the Masses ( estimate 05/2002-5036), written by Yasushi Shiina, INSEAD MBA 2000. Ja password Hunter preparad this freely reconcileed version, under the inadvertence of Professors W. Chan Kim, Renee Mauborgne and Ben M. Bensaou.It is intended to be utilise as a prat for secern parole kind of than to il appetencyrate either effective or idle handling of an administrativa situation. Copy shapeigate 2003 INSEAD-EAC i-modeTM is a registered trademark of NT1 DoCoMo, Inc. in Japan. TO ORDER COPIES OF INSEAD CASES, 5EE DETA Ul ON HE BACK COVER. COPIES MAY NOT BE MADE WITHOUT PERMISSION. either ten historic terminus, Nippone se companies come up with a reinvigorated pla net profitary device that shakes the public. Sonys Walkman was launched in 1979 and Nintendo launched Gameboy in 1989. And in 1999, we invented i-mode.I Mari Matsunaga Kouji Ohboshi is a worried man. Its wee 1999, and NTT DoCoMos Chairman is anxiously waiting to hear how the press convention for i-mode- bis communitys in the buff sprightly earnings system has f atomic matter 18d. He has every reason to be nervous. Although DoCoMo is a leader in the Japanese expeditious industry, the mart is c everyplace signs of saturation and Ohboshi has gambled a handsome plunk for of bis companys future on the maturation of the stark naked system. The report arrives and bis worst fears are realized the press conference was a debacle.The launch of i-mode couldnt have gone worse. With salve seven reporters attending, i modes extravagant de unless had fallen on deaf ears. Those journa totals present were among Japans least(prenomina l) charit able-bodied. With the profit boom waning, reporters were to a greater extent skeptical than ever. erratic meshwork serve had failed elsewhere so why should they work in Japan? wherefore non wait, want everyone else, for the third generation (30) global radio set internet protocol? Ohboshi k un accustomd that unfavorable or- worse weak press coverage in Japans trend-driven ready sh let give away securities industry could spell disaster.Had he made the scathe decision to shift the companys strategic concentre? Were bis skeptical colleagues at DoCoMo right? What Ohboshi didnt know at the measure was that in the weeks to come, i-mode would become an explosive achiever. uniform the Walkman and Gameboy that preceded it, i-mode was to be more than plain a commercial success it became a phenomenon. What explains this amazing success in Japan? How did DoCoMo turn a passing competitive industry with declining growth potential into an extractive business pos t opportunity? NTT DoCoMos Trouhled BirthNTT DoCoMo was formed in 1992 as part of a partial govemment break-up of the goodish Nippon Tele knell and Telegraph (NTT) telecom monopoly. Formerly NTTs mobile phone unit, it was cast from the nest to take over radio upliftr converses sales and trading operations as an independent enterprise. Kouji Ohboshi, an energetic 60- stratum-old, was the initial CEO of a company whose name DoCoMo is twain a play on the Japanese book of account for anywhere and an abbreviation of Do Communications over the roving network. oppugn Ms. Mari Matsunaga, formerly Manager, Gateway Business Dept. NTT DoCoMo (20 Aug. 2001). right of first publication 2003 INSEAD-EAC 08/2009-5079 Blue nautical schema engraft From the start, Ohboshi realized that DoCoMo had a tough road fore. The mobile phone market was over-regu previous(a)d, infection feel was poor, subscription fees were costly and mobiles were heavy. 2 Moreover, there was a palpable sense th at the market had reached a plateau ( pose 1). 3 Japans frugal bubble had burst and businesses had cut back mobile phone purchases.To cast up insult to injury, tough saucily govemment rules forbade the fledgling DoCoMo to ask NTT for financial assistance. By the end of its frrst year DoCoMo was saddled with a 1O one thousand million yen rel tranquillity and bankruptcy was a serious threat. 4 Paced with a looming crisis, Ohboshi went for broke, setting issue to expand the market by flummoxing cellular phones to the visiones. And he did so with a vengeance. During the next two years, Ohboshi invested 50 one thousand thousand a large sum for a company making a loss to bring DoCoMos mobile network emolument to everyday exploiters. 5 His first drive was to improve DoCoMos network.In 1993 the company 1aunched its peeled revo1utionary PDC (Personal digital Cellular) pattern, bringing crystal collect calls, fewer interruptions and less background noise. Moreover, PDC help ed DoCoMo use its limited allocation of tuner spectrum more efficiently. Within a few months DoCoMos PDC standard was adopted by competitor carriers crosswise Japan. By declination 1998, it would account for 98. 7% of the Japanese market. (Exhibit 4)6 Next DoCoMo slashed prices. lts high deposit was abolished in October 1993 and subscription fees were cut in 1996.By surround 1999 periodic canonical ways had dropped 73%, the mediocre smash for a 3-minute call on DoCoMo falling 57. 6% in the same period. at at a time again, the easement ofthe industry quickly fol d professcasted suit by cutting fees (Exhibit 3). The lust for market share in the mid-90s horde carriers to continue slashing prices to list bottom levels, even as monthly average revenue per user (ARPU) keep to sink ( epoch monthly average minutes use remained relatively stable). (Exhibit 5) Ohboshi as well as attracted new nodes by reducing the size of the phones.NTT had one of the largest RD squad ups in the telecom industry and DoCoMo maintained close relationships with 2 Matsunaga (2000, i-mode jiken (i-mode The Birth of i-mode), Kadokawa Shoten. 3The frrst Japanese cellular phone help was launched in December 1979. It was a disaster. The high service fees made the yells unaffordable to all but the wealthiest of businessmen (sa/arimen). After place down 200,000 deposit and a 72,000 subscription fee, users would hand over an opposite 26,000 in monthly fees anda call charge of 280 for every three minutes.Moreover, the service area was limited, the sound quality was inferior to be phones, and you had to be physically fit first generation cellular phones weighed 3kg and were carried over the shoulder. With the comment of government deregulation and subsequent technological innovations it took a proficient 1O years before cell phones became increasingly attractive to hand consumers. Carriers and telecom equipment manufacturers worked fast to improve both the uspower of the phones and the quality of transrnission. Rightly, they believed that reducing the size of handsets and protracting their battery bread and butter were crucial improvements.By the end of 1998, the weight and the battery livelihood of a standard phone reached 68g and 330 hours respectively (Exhibits 2 and 3). 4 interview Mr. Kouji Ohboshi, Chairman, NTT DoCoMo 5 Ohboshi (2000) DoCoMo kyuseicho no keiei (DoCoMo Management ofrapid growth), Diamond Sha 6 Tadashi Aoyagi (2000) Daisansedai keitai business nichibeiou no nerai (The third generation cellular phone business Aims of Japan, US and Europe, Ric Telecom (exhibit 19) copyright 2003 INSEAD-EAC 2 08/2009-5079 elecom equipment manufacturers. 7 Ohboshi leaned heavily on DoCoMos engineers and its suppliers to reduce the size of phones and extend their battery life. Although DoCoMo was feeling the effects of deregulation, it made the best of the gains offered by the new competitive environment. Within ayear of Ohboshis drastic measu res, DoCoMo was still Japans largest mobile telephone carrier, and its revenues and net income had soared. 8 By March 1999, DoCoMos sales revenue ballooned to v3,118 billion with a net income ofv205 billion, and market capitalization topping show up at v11. trillion- about 60% of the size ofits parent company, NTT. (Exhibit 8) The Wud, Wbeless eastbound NTT DoCoMos emergence, together with deregulation, technological innovation, price reduction and the launch of new serve all contributed to the rapid expansion of the mobile phone market to mass users in Japan. In a 10-month period during 1998, the market grew by an estimated 8 million users, bringing the total number of subscribers to 39. 8 million in January 1999- fulfilling 87. 2% of Japans total wireless market. (Exhibit 1)9 disceptation for market share in the late nineties was cut-throat.Deregulation proceed apace and by 1998 a natural spring of large foreign carriers and equipment manufacturers had entered the fast-gro wing market as the government lift the last remaining limitations on foreign investment (Exhibit 4). 10 Competition was equally fierce in the drive to offer new operate. J Phone shrewdly targeted younger users, launching the first SMS (short message service) and organic evolution run via the J-Sky Web package. Using a equal approach, DoCoMo maintaind the wildly productive Pocket Board, a well-designed just inexpensive mobile with e harness and lame functions. 1 By January 1999, the wireless market in Japan had see seven years of rapid expansion (Exhibit 1), with every third someone owning a mobile phone. Although the size of the market was still small compared to that of mulish lines, its annua1 average growth rate of 7 DoCoMo inherited from NTI c1ose re1ationships with four 1arge Japanese suppliers (NEC, Fujitsu, Matsushita Communications Panasonic and Mitsubishi Electronics), who worked closely with NTI DoCoMo to break through technological barriers.This network soon became known as the DoCoMo Family, since its products were sold under the NIT DoCoMo brand, and the and way to reveal the manufacturer of a cellular phone was to look at the first letter of the product number (e. g. , N for NEC). These relationships gave NTI DoCoMo considerable advantage especially once its PDC standard was accepted as the only one in Japan. 8 It rernained the nations leading carrier however, at times DoCoMos market share dropped beneath 50% due to fierce competition. The growth in subscribers was attributed to the addition in personal users. However, churn rates (subscriber termination rates) were as well as increasing, showing that customer loyalty was vulnerable in the new environment. 10 Airtouch acquired a 10-15% stake in the J-Phone Group of companies and offered its technical expertise Motorola, a US electronic products manufacturer invested in the Tuka Group of companies. 11 For their part, DDI Cellular and IDO improved the quality of transmittal sys tem substantially by adopting the US-based cdmaOne digital protocol.Although these serve attracted new customers, these numbers pool were not significant overflowing to boost growth or channelize the structure of the market. Copyright 2003 INSEAD-EAC 3 08/2009-5079 y- Blue Ocean strategy Institute 68% was astounding compared to the anemic growth (1. 5%) of the ftxed line market. still despite general optimism in the market, Ohboshi was once again getting nervous. .A. fter Victory, thin out your Helmet StrapHis marketing background had taught him that, fast growth delegacy fast maturity, and instant(prenominal) speed for the market to move from maturity to saturation and then to spill. 12 The market was once again moving to saturation both in the number of potential new users and in capacity as available radio bandwidth increasingly limited market expansion. lt was time for action. To survive, Ohboshi believed that DoCoMo needful to spend a penny a new market, not by adap ting to changes but by creating the changes through positively transforming their corporate strategy. 3 Ohboshi told his employees that DoCoMo had to shift from simply increasing the size of the voice-based wireless market, to creating new value for customers. Shortly afterwards, in July 1996, the company formerly announced its new strategic focus from meretriciousness to value. Volume to Value At the heart of Ohboshis Volume to Value focus was non-voice-based wireless selective information transmission. With the explosion of lucre use during the late 1990s (Exhibit 6), DoCoMo realized that the use of e-mail and the web was quickly becoming a cornerstone of everyday life.From new market and social psychology query, Ohboshi was convert that, the daily needs and wants of the people in a mature connection kindred Japan would shift from physical goods to communication, information, knowledge and entertainment. 14 Not only did the net income offer new opportunities for ftlling cu stomer demand, it also solved one of Ohboshis greatest concerns an increasingly congested radio spectrum. In contrast to tralatitious voice conversations that are sent via dedicated spectrum airwaves, lucre traffic is dispersed in small packets across the network to be eassembled at their destination (e. g. , a users telephone). IfDoCoMo stimulated an alternative mobile cyberspace network based on packet switching technologies, it would completely circumvent the loaded down voice network. Within a year, DoCoMo was building one of Japans ftrst nationwide packet-switching networks. 15 The mobile computing team was strengthened and soon new products and 12 Ohboshi (2000) 13 lbid. 14 Interview Mr. Kouji Ohboshi, Chairman, NTT DoCoMo 15 This system wou1d not on1y ease the use of congested radio spectrum capacity, but a1so serve as the basis for 3G go.Despite the optimistic market expectation and technological developments, the prospects for the 3G technologies were not necessarily bright. Although kindred new selective information communication service attracted customers (e. g. , WAP services in Europe), they had not proved to be adequate enough to boost the market, and it was feared that the same aptitude be true of 3G cellular services. The entree of new 3G technologies would also create huge additional be for carriers, which had already incurred more than l trillion yen capital expenditure over the past few years (Exhibit 7).Furthermore, competition would increase as other intemational carriers competed in a genius global market. Copyright 2003 INSEAD-EAC 4 08/2009-5079 services were introduced- albeit not very successfully- culminating in 1997 with the 10 e mail service (customers could station and set about 2 kilobytes of data for a mere 10). 16 Although these early Internet establishing nights were not astronomical profit-makers for NTT DoCoMo, they created a new market by attracting customers who had never used cellular phones or e-mail b efore.As one of the team members involved in evolution mobile computing services pointed out, Our intention was not to develop and introduce new products into the market, but to create and introduce new ways ofusing our traditional wireless services. 17 The New radiocommunication World In January 1997, Ohboshi asked Keiichi Enoki, a former electrical engineer and DoCoMos new Director of Corporate gross revenue, to course of study and launch a new mobile data communication service for the mass market embodying his volume to value strategy. 8 He subsequently reflected About ayear after we started launching new mobile data communication services, revenues from much(prenominal) new services increased to constitute 5o/o-6% of our total revenues. With exposit marketing research and advice from externa/ consultants, 1 felt a need to that boost these new services and asked Enoki, whom 1trusted, to head a project speciflcally targeting the mass market. 1 assured him that he would have full discretion in choosing his staff and in using funds worth 5 billion yen, which is a lot of money. 9 Enoki would have his work cut out for him. DoCoMo had a new strategic focus, but after two farsighted years Ohboshis team had yet to match vision with performance. Enoki had to create a winner. He was tasked to develop a mobile phone service that would lift the Internet in the same way the Sony Walkman had advanced the stereo. But how? I got the first hints from my family, recalls Enoki. At that time, the pager was at the peak ofits popularity. My daughter used the number pad as a form of data communication.My son could play a new computer game without reading the instructions. Their ability to adapt to 16 In addition to these measures, Ohboshi and his successor Keiji Tachikawa, (then Vice-President, set up a small project team within the Corporate Strategy Planning Department, and very soon the first proposal for NTT DoCoMos Vision 2010 was drafted. The year 2010 was deliber ately chosen as it will be the time when wireless telecom technologies will make nnovations from 30 to 40 and also the period of 10 years is the longest possible for reasonable predictions to be rnade in a fast-changing environment Vision 2010 forecast huge opportunities for mobile telecom services in enriching personal lives and in supporting global corporate activities. In particular, it saw a greater role for mobile data services in fulfilling the needs of women, senior citizens and medica systems, important to a society characterized by a lower birth rate and an aging population.In addition to these market projections, it also emphasized the need for DoCoMo to cooperate with other companies to expand the wireless telecom market, and summarized DoCoMos operations towards the year 2010 in five key concepts or MAGIC for short (Exhibit 9). 17 Interview Mr. lrukayama, unstable Multimedia Business Department, NTT DoCoMo. 18 Ohboshi (2000). 19 Interview Mr. Kouji Ohboshi, Chairman, NT T DoCoMo. Copyright 2003 INSEAD-EAC 5 08/2009-5079 ew information engine room and its ease of use convinced me that young people would accept a new data service that would give them the same kind of enjoyment. 20 Now a believer, Enoki set out to tackle the new initiative by doing the unthinkable recruiting new blood from the exterior to lead the project. He first called Mari Matsunaga, a senior executive at Recruit Co. , a job placement fmn. Matsunaga was known for her marketing prowess and dramatic turnaround of Recruits job placement magazine for women into one of Japans hottest titles. She would head the dramatics of study development team for DoCoMos new service.Enoki then sought out a motorbus to devise a business model for the new mobile data communication service. He chose Takeshi Natsuno, a Wharton MBA and former head of Hypernet, one of Japans frrst (and to the highest degree hyped) net startups. 21 Developing the Electronic Concierge service Mastunaga set out to und erstand how the Internet works. What were the killer applications that provided web users with superior value? In studying the winners such as AOL (America Online)- she found a positive correlational statistics surrounded by the number oflnternet users and the volume of meat. As discipline increased, so did the number of users and vice versa. 2 Hence her conclusion Content would have to be king on the new DoCoMo system. She also recognized that simply putting information on the network would not differentiate the new service from the quick PC-based Internet, nor would it add value to users who were often lost in the sea of information on the web. Matsunaga thus envisioned a service that would function like a hotel concierge, where users would be serviced by content providers. If DoCoMo could make it possible for users to adit pre-selected websites on the screen of their handset, then they would capture Mastunagas concept of an E/ectronic Concierge.The team set out to create such a user-friendly gate (Exhibit 10) to serve both asan accreditation of quality for those pre-selected official sites, as well as an easy way to navigate the whole wireless web similar to the service AOL provides its customers (Exhibit 11). Users could access other non-official sites simply by typing in the URL address. Meanwhile, Natsuno devised a business model for the new mobile data communication service based on what he saw as the Internet worldview rather than the telecom worldview. 3 The telecom worldview, according to Natsuno, is a zero-sum approach carriers determine the standards and the services that can ride on their network, and are not interested in adapting to others engineering or in share profits with other players in the value chain. Users must accept the fundament and services carriers offer them. Conversely, the Internet worldview is a positive-sum approach. As the Internet is an open network that can be accessed with various devices (e. g. , computers, PDA s) whose 0 A discussion with Keiichi Enoki, Senior Vice President, General Manager of Gateway Business Department, active Multimedia Division in NTT DoCoMo Annua1 Report 2000. 21 By the time he joined DoCoMo, Natsuno had already left Hypemet before the free ISP fell from credit in a multi-billion yen crash in 1997. 22 Interview Mr. Kazuhiro Takagi, Director, Gateway Business Department, NTT DoCoMo. 23 Takeshi Natsuno (2000), i-mode strategy (i-mode strategy), Nikkei BP. Copyright 2003 INSEAD-EAC 6 08/2009-5079 pecifications are not necessarily determined by either content providers or carriers all parties are obliged to accept one another(prenominal)s technologies and services. In the Internet world, consumers choose the infrastructure they prefer. Specifications are thereby de jacto standards determined not by their technological superiority but by the fact that they are so frequently used. In the Internet worldview, Natsuno believed, carriers have to work closely with other pl ayers, including information providers, to increase the number ofusers.This win-win relationship arnong players within the network becarne the foundation of Natsunos business model. Accordingly, DoCoMo would not purchase content from providers or equipment from manufacturers but would rather accredit official websites and mobile phones to be used with the new service. evoke partners would share both the risks and the rewards. Although this model restricted DoCoMos role to simply that of a gateway to the Internet, as the service attracted more users, the idea went, the network would attract more content.More content would beget more users more users would beget more content, and so on,24 thereby creating a virtuous circle where all parties benefit. Natsunos win-win business model would also be applied to the new services billing system. A number of the official sites would be subscription-only sites requiring customers to pay fees ranging from y? oo to yccc per month. under Natsuno s plan, DoCoMo would collect all these fees as part ofits monthly phone bill, take a 9% commission, and then pass on the rest to the content providers.This service would be attractive not only to content providers who could reduce their interna cost structure, but also to users who would appreciate not having to pay several separate bills. And by giving content providers a means to charge users, i-mode would ensure that there was plenty of high quality content available. Lastly, Natsuno recommended that the new service adopt existing astray-used technologies. For exarnple, although there were better texts languages such as WML (Wireless Markup Language), DoCoMo adopted c-HTML for its new service.With this compact version of HTML, the language widely used to create websites for the PC environment, content providers could quickly, easily and at low cost modify their PC-based websites into a new version to be displayed on the new DoCoMo service. New handsets were also authentic that closely resembled existing cellular phones used exclusively for voice communication. Manufacturers were asked to reduce the size and weight of the new handsets while increasing screen size, data capacity and battery power. The propel of i-modeAlmost a year had passed since Ohboshi had taken the decision to develop the new mobile data communication service, and pressure was mounting on him to perform. Although NTT DoCoMo had managed to maintain its persuasion as the largest mobile telecom carrier in Japan, the cost of exploitation the new data service was taking its toll on Ohboshis credibleness and threatening the financia stability of the company. Colleagues peering in from outside Enokis group were confounded by the project. Why were we wasting our time and resources on unproven Internet phones, kind of of concentrating on the still-growing, regular voice- 4Similarly, content providers were inspired to continuously update their sites in order to keep their official status. An d as content providers improved their websites, users were able to receive more useful information from accessing the network and thus, al three players on the network benefited. Copyright 2003 INSEAD-EAC 7 08/2009-5079 based communication services? they wondered.By late 1998, opposition to Volume to Value was growing and Ohboshi was once again under frre. Enoki and his team finally launched the new service as i-mode on 22 February 1999- the i representing interactive, Internet and the pronoun I. 25 Looking at the phones, a user would notice little leaving from the latest models, except for a slightly larger liquid crystal display and the central feature the i-mode button (Exhibit 12). This connected users to the Internet, where they could send and receive e-mail, access sport scores and weather, read the news, and download pages from the web.The new i-mode handsets were priced from v35,900 to Y42,800, about 25% more than regular phones (see Exhibit 15 for coincidence with other goods/services). Users were supercharged v300 per month to access the i-mode network, and another ,y? oo to ,y300 to access any of the subscription-only sites. Unlike regular mobile services, users were charged by the volume of data transmitted to their mobile phones rather than the aloofness of time on the network. For instance, it would cost ,yQ. 3 per packet transmitted, and . 2 to send (,y2. 1 to receive) an e mail of up to 250 characters. Exhibit 13) Data transmission over mobile phones would become increasingly important for DoCoMos bottom line as revenue from voice calls continued to fall from an average of $ speed of light/subscriber per month in 1997 to $65 in 2001 -data revenue amounting toan average of $17 per subscriber/month would increasingly fill the gap. 26 initially 67 content providers participated in the new service, with sites ranging from banking to Karaoke. 27 In the years that followed, dozens of unofficial sites sprang up, even though they were excluded from DoCoMos official portal.Aventure company developed a search engine for unofficial sites just 11 long time after the launch of the new service as their number reached xcl (twice as many as i-mode official sites) within two months. (Exhibit 14)28 i-mode was sharp promoted through DoCoMos nationwide network of shops. A how to book on i-mode was also published, followed by over 100 books and magazines within a year. 29 The number of subscribers exploded reaching Natsunos critica mass of 1 million users by fantastic 1999 (Exhibit 16). 0 By March 2001, i-mode subscribers reached 21. 7 million (Exhibit 17), and revenues from packet transmission services increased from ,y295 million to v38. 5 billion within ayear after launch (Exhibit 18). 31 i-mode also contributed to an increase in revenue from regular voice services, even as price competition drove down 25 Natsuno (2000). 26 Peering around the comer, The Economist, 11 October 2001. 27 alert intemet saizensen (Frontiers of mobile intemet) in Shukan Diamond, 18 March 2000. 28 Natsuno (2000). 29 lbid. 30 lbid. 1 According to one senior official at NTI DoCoMo, i-mode surprisingly attracted not only young customers who were generally fond of new technologies, but also old customers who used it as a tool to communicate more often with their grandchildren. In March 2001, 27% ofthe total i-mode users were supra the age of 40, compared to 20. 3% for PC-based Internet (Exhibit 21). Copyright 2003 INSEAD-EAC 8 08/2009-5079 average monthly revenue per subscriber to V ,770 in March 2001. 32 In addition, the important customer churn rate began to drop from 1. 97 in FY1998 to 1. 39 in FY2001, while DoCoMos market share in the cellular market climbed to 59. 1% in March 200l. (Exhibits 5 and 18) Playing Catch-up 2 months after i-modes extraordinary launch, two competitors, DDI Cellular and IDO, announced their own mobile data communication services, called EZ Web and EZ Access respectively. Similar to i-mode, customers could subscribe to their services to access the Internet via their mobile phones. 3 However, with an eye towards future markets abroad, DDI and IDO asked their content providers to code their pages in HDML (Handheld Device Markup Language) used for the Wireless Access Protocol (WAP)34. Unsurprisingly, due to the costs and difficulties in transforming existing HTML-based Internet websites to EZ Web sites based on HDML, only a handful of content providers were willing to participate in the new service, driving DDI Cellular and IDO to purchase content until the number of subscribers was high enough for content providers to bear such costs voluntarily.In 2000, the two carriers merged to create AU (access to you). Although the number of DDI and IDO subscribers was much smaller than DoCoMos i-mode subscribers, they still remained competitive with 6. 7 million subscribers in 2001. (Exhibit 17) DoCoMos other main rival, J-Phone responded to i-modes success by concentrating on improving tran smission quality and adding content to its existing service (J-Sky Web), and upgrading its J-Sky service so that users could send and receive large e-mail messages (3,000 characters each) and view Internet content. 5 As with i-mode and EZ Web, all official J Phone sites were come-at-able via the J-Phone portal and classified into nine categories. 36 By 32 This increase in revenue was due to the fact that subscribers were using i-mode and voice-based communication services together, as they made phone calls after they searched restaurants and hotels on i mode (lnterview Keiji Tachikawa in Shukan Diamond, 18 March 2000). 33 In addition to Internet access, the new EZ Web service offered subscribers e-mail services. They cou1d now send e-mails ofup to 250 characters and receive e-mails ofup to 2,000 characters on their cellu1ar phones.Furthermore, DDI Cellular and IDO offered PIM (Personal Information Management) services that were not offered by their competitors. By paying a 100 prem ium for address, schedule and task list functions, EZ Web subscribers were able to use their cellular phones more like PDAs (Personal Digital Assistants). DDI Cellu1ar and IDO initially offered these new EZ Web services by using duty tour 1ine switching technology that was also used for their voice-based telecom services. None of them had yet a packet switching network.Thus, unlike i-mode, they charged EZ Web subscribers for the connecting time rather than for the volume of data transrnitted to cellular phones (Exhibit 19). 34 DDI and IDO also asked a number oftheir content providers to connect directly to DDI Cellular and IDOs EZ Web servers, in order to secure confidentia1ity and stable transrnissions. 35 The amount of viewable content was also increased by brooking access not only to its own official sites, but also to HTML-based Internet sites and even to c-HTML-based i-mode sites by introducing MML (Mobile Markup Language) as the 1anguage for content.MML was another simplifie d version of HTML developed for simple mobile computing devices by J-Phone and Keio University in Tokyo. Although it was not accepted intemationally like c-HTML or HDML, it was very similar to HTML and made it easy for content providers to adapt their existing Internet websites, or even their i-mode sites, into MML-based J Sky websites. 36 In a strategy to attract younger customers, J-Phones content focuses on entertainment. Keitai Denwa, PHS Kanzen Test (Cellular phones, PHS Perfect test), Nikkei Trendy, folk 2000.Copyright 2003 INSEAD-EAC 9 08/2009-5079 INSEAD Blue Ocean Strategy Institute 2001, the new J-Sky service continued to attract many new particularly adolescent customers, totaling 6. 2 million subscribers in March 2001. Exhibit 17) Without a Net As its competitors played catch-up, DoCoMo continued to power ahead in its quest for i mode dominance in Japan. In March 1999, a month after the launch of i-mode, it formed a strategic alliance with Sun Microsystems.Through th e partnership, Sun and DoCoMo developed i-appli, a new i-mode application platform that allowed users to run a wider variety of programs, from video games to online fmancial services on their mobile phones. 37 A similar strategic partnership with Symbian, a UK-based wireless operating system company, led to the development of a new operating system adaptable to both PCs and mobile phones. On the content side, in the two years after launching i-mode, DoCoMo smitten a number of partnerships with new content providers, ranging from Japan Net assert (the frrst Internet bank in Japan) and Playstation. om, to AOL and Walt Disney. Furthermore, i-mode pioneered so called machine-to-machine or M2M communications that allow i-mode users to purchase soft drinks and other sundries from Japans huge network of vending machines. A joint venture with Dentsu, the largest advertising agency in Japan, led to the introduction of advertisements on i-mode, thereby providing a new source of revenue and attracting new content providers to the network. Through these and other partnerships the i-mode network swelled to 42,720 sites (1,620 official and 41,100 unofficial) by March 2001.Looking into the near future, DoCoMo had great hopes for entering the European and American markets and establishing i-mode as a global standard. In recent years, the Japanese mobile titan had been building its equity stakes in various foreign carriers (Exhibit 20), as well as applying for 3G licenses in markets inside and outside of Japan. In January 2001, while NTT DoCoMo was announcing plans to introduce i-mode in Europe38 a number of crucial questions needed answers. Were i-mode and its success easily transferable outside of Japan? Could DoCoMo make it work outside of Japan and should it use the same strategy?Despite i-modes runaway success, DoCoMo confront a number ofkey domestic challenges. Its capital expenditures continued to soar as it built its new 3G services. Network congestion and interoper ability between newer mobiles and the i-mode system continued to plague the company. In March 2001, under intense political pressure, DoCoMo was force to reduce interconnection fees to other mobile phone operators. And with Vodafones acquisition of a controlling stake in J-Phone, DoCoMos guaranteed preeminence in the Japanese market carne under an increasingly dark cloud.How sustainable was NTT DoCoMos advantage and what should its future moves be? Keiji Tachikawa, Ohboshis successor, believed that NTT DoCoMos future was bright. In the three years since the launch of i-mode, DoCoMo had become the only company to make money out of the mobile Internet. Its net income continued to rise to an all-time high of Y365. 5 billion in March 2001, and its market capitalization far exceeded its parent company, 37i-appli is based on Suns popular, highly compatible Java prograrnming language. Java allows application sharing across operating systems (e. . , between Microsoft Windows and Macintosh) . 38 These initiatives are in partnership with KPN Mobile and Telecom Italia Mobile (TIM). Copyright 2003 INSEAD-EAC 10 08/2009-5079 NTT. In the fall of 2001, DoCoMo launched FOMA ( emancipation of multimedia access), the worlds first 3G mobile network capable of video-telephony and the use of data and voice services simultaneously) while other promised 3G initiatives around the world languished.As Tachikawa said, Anything mobile in society is a business opportunity for NTT DoCoMo. 39 Maybe Mr. Ohboshi can finally get a good nights sleep. 39 Interview Keiji Tachikawa in Shukan Diamond, 21 April2001. Copyright 2003 INSEAD-EAC 11 08/2009-5079 Exhihit 1 progeny of Regular Mobile Phone/PHS Subscribers in apan (in million) Mar- Mar- Mar- Mar-Mar-Mar- Mar-Mar-Mar-Jan-99 90 91 92 93 94 95 96 97 98 Mobile phones0. 49 0. 87 1. 38 1. 172. 13 4. 33 10. 20 20. 88 31. 53 39. 9 PHS 1. 51 6. 03 6. 73 5. 86 Total 0. 49 0. 87 1. 38 1. 712. 134. 33 11. 71 26. 9138. 25 45. 64 (Reference) Pagers4. 25 5. 08 5. 916. 69 8. 06 9. 35 10. 6110. 07 7. 12 4. 27 Fixed-line-54. 48 56. 2157. 60 58. 7859. 8861. 04 61. 46 60. 38 NIA spring Ministry ofPublic Management, hearth Affairs, Post and Telecommunications (MPHPT), Telecommunication Carriers Association (TCA), Statistics authority and Statistics Centre. Exhihit 2 Development of Regular Mobile Phones in apan Year cover Width Thickness metric weight unit Battery Life 1979 cxl 50 210 2, cd NIA 1985 190 55 220 3,000 8 987 one hundred twenty 42 180 900 6 1989 175 42 77 640 9 1991 140 47 26 220 13 1994 143 49 29 185 20 1995 140 42 26 155 cl 1996 130 41 23 94 one hundred seventy 1997 127 40 18 79 220 1979 140 50 210 2,400 NIA 1985 190 55 220 3,000 8 1987 120 42 180 900 6 1989 175 42 77 640 9 1991 140 47 26 220 13 1994 143 49 29 185 20 1995 140 42 26 155 150 1996 130 41 23 94 170 1997 127 40 18 79 220 mm mm mm g (hours 1998 123 39 17 68 330 seeded playerNTT DoCoMo, Panasonic. Copyright 2003 INSEAD-EAC12 08/2009-5079 Mobile Phone Ra tes en 200,000 180,000 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 .. .. . . _ . -Deposit Subscription fee Monthly basic charge (analogue) Monthly basic charge (digital) r -g, r -g, o. _.. O oN . Mo. Copyright 2003lNSEAD-EAC Digital MOVA N503i HYPER (i-appli) (March 2001) toll Open Weight 98g Size N/A Battery life 460 hours -mode Packet Transmission charwomanges 18 Digital MOVA D503iS HYPER (i-appli) (September 2001) price Open Weight 105g Size N/A Battery life 450 hours 08/2009-5079 Mymenu MenuList Mobile banking (balance information) Mobile banking (funds transfer) News Airline seat availability Restaurant guide TOWNPAGE (NTT telephone directory) Share prices (searching by issue code) Image download (downloading one still image the size ofthe display) i-melody (downloading one 3-chord melody approx. 15 seconds in length) Char es 2-3 3-4 20-21 59-60 17-18 24-25 37-38 35-36 26-27 7-8 2-3 -anime (downloading one moving image the size ofthe display) 10-11 i-mode mail transrnission charges displace Receiving 20 full-size characters 0. 9 0. 9 50 Full-size characters 1. 5 0. 9 100 Full-size characters 2. 1 1. 2 150 Full-size characters 3. 0 1. 5 250 Full-size characters 4. 2 2. 1 SourceNTT DoCoMo. Exhihit 14 The repress of i-mode Compatible Sites 30000 cJNumber ofi-mode Wlofficial sites 60% 25 000 20000 15 000 myriad 5 000 +-% oftotal access 50% 40% 30% 20% 10% mars-99sept-99mars-00 Note Number of sites in March 1999 is the number on 5 April 1999.Source Natsuno (2000), p. 187. 0% sept-00 Copyright 2003 INSEAD-EAC19 08/2009-5079 -.. Blue Ocean Strategy Institute Exhihit 15 Retail Price per Unit and Market Size for Various Goods/ run (in FY 1999) Itemsaverage retail price ( pine) Weekly magazine300 Monthly magazine550-540 Newspapers (monthly)3,925-4,384 TV set97,130 Radio tape recording recorder19,680 Mobile computer games (Gameboy)8,900 Computer game software (Gameboy)3,000-4,900 Home PC207,000-227,000 promise (fixed-Jine)21,270 i-m ode handsets35,900-42,800 Mobile phones (voice only)28,200-42,800 PHS handsets16,700-30,100Market size (thousands) 138,480 214,630 72,218 434,171 24,233 23,970 NIA 14,311 58,470 _R gJ 9_Q-_l ,? 9_Q _? ?_6_ . TV Jicense fees (month1y)1,345 Internet connection charges (month1y fixed)8,050 2. 7 suffer per 1 min. bid bill (fixed line monthly) Telephone bill (mobile monthly) Telephone bill (PHS monthly) 8,198 10 Yen per 3 min. 9,270 45-120 yen per 3 min. 5,550 30-130 Yen per 3 min. Pager bill (monthly) 2,697 Note Telephone bilis are estimated from ARPU or Operating revenues. Market size ofTV, Radio tape recorder and Home PC are estimated from their penetration rates. Market size of Gameboy is estimated from its outstanding units sold. Source MPHPT, NTT DoCoMo, NTT, TCA, Dentsu Institute for Human Studies. Copyright 2003 INSEAD-EAC20 08/2009-5079 i-mode Monthly Subscriber Trend 25,000 70% Number of i-mode 20,000 15,000 10,000 5,000 subscribers (thousands) % of total subscribers 60% 50 % 40% 30% 20% 10% oilDllilhUWWllil WWWUUhllllilUL0% 01 01 01 01 01 01 o o o o o o .. 1 1 1 1 1 1 1 1 1 1 1 1 1 1 01 01 01 01 01 01 o o o o o o o o o o o o o o o 13 .. ()... () 13Source NTT DoCoMo, TCA. ()Q) ()Q) . Exhihit 17 Number of Subscribers for Mobile Data go on Cellular Phones thousands 35,000 30,000 25,000 20,000 i-mode EZWeb J-Sky 15,000 10,000 5,000 0++4++44+- 910, 910, 910, 910, 910, r,r. r,r. r,r. r,r. r,r. r,r. r,. r,. r,. r,. r,. Source TCA. Copyright 2003 INSEAD-EAC21 08/2009-5079 Blue Ocean Strategy lnstitute Exhihit 18 NTl DoCoMos Financia Performance since the launch ofi-mode million yen Sales revenues Mar-99 Mar-00 Mar-01 Mar-02E 3,118,398 3,718,694 4,686,004 5,297,000 Revenues from packet data communication 295 38,500 NIA NIA Netincome 204,815 252,140 365,505 390,000 Operating margin 16. 3% 14. 7% 16. 6% 17. 4% Net income margin 6. 6% 6. 8% 7. 8% 7. 4% Market capitalization 11,203,920 40,314,960 20,977,333 NIA Capital expenditures 845,900 876,058 1,012,79 5 1,070,000 R&D Expenses 41,100 89,100 95,400 NIAAverage monthly churn rate 1. 75% 1. 61% 1. 39% 1. 32% Average month1y revenue per user (ARPU yen) 9,270 8,740 8,650 8,580 ARPU from cellular phone service (yen) NIA 8,620 7,770 7,160 ARPU from i-mode (yen) NIA 120 880 1,420 Average monthly minutes ofuse per subscriber 164 177 189 195 Number of subscribers (thousands) 23,897 29,356 36,026 40,300 Number ofi-mode subscribers (thousands) 140 5,603 21,695 29,800 Market share 57. 5% 57. 4% 59. 1% NIA SourceNTT DoCoMo. Copyright 2003 INSEAD-EAC2208/2009-5079Mobile Data Communication Services on Mobile Phones (as of Sept. 2000) NTT DoCoMo DDI Cellular(au) IDO (au) Tu-Ka J-Phone Service i-mode EZWeb EZAccess EZWeb J-Sky Functions Internet access- Internet mail transmission Internet access- Internet mail transmission- PIM services Internet access- Internet mail transmission- PIM services Internet access- Internet mail transmission- PIM services Internet access(J-Sky Web)- Internet mail t ransmission (J- Sky pram) NetworkPlatforms PDC (800MHz) cdmaOne(800 MHz) cdmaOne(800MHz) PDC (1. GHz) PDC (1. 5 GHz) CommunicationMethod(Speed) Packet switching technology (9600 bps) Circuit switching technology (14. 4 kbps) Circuit switching technology (14. 4 kbps) Circuit switching technology (9600 bps) Circuit switching technology (9600 bps) Packet switching technology (14. 4 kbps) Packet switching technology (14. kbps) Content c-HTML HDML (WAPbased) HDML (WAPbased) HDML (WAP based) MML Content Providers formalized 1,000Unofficial 24,032 Official 368Unofficial 1,600 Official 258Unofficial 2,700 E-mail size Sendlreceive 250 full characters Send 250 full charactersReceive 2,000 full characters Sendlreceive3,000 characters Fee CollectionServices February 1999 March2000 July 2000 June 2000 April2000 Monthly Basic Charge (yen) 300 Standard 300Premium 400 Standard 200Premium 400 Standard 200Premium 300 J-Sky Web No chargeJ-Sky Walker250 AccessFees 0. 3 yenper 1 packet (= 128 byte s) First 15 seconds free and 1O yen per 30 seconds thereafter 1O yen per minute First minute 3 yen and 10 yen per minute thereafter J-Sky Web 2 yen per single request1 replyJ-Sky Walker 8 yen per message transmission Packet comm. 0. 27 yen per 1 packet (= 128 bytes) Packet comm. 0. 7 yen per 1 packet (= 128 bytes) Handset (Nominal 1 Real retail prices yen) NECN502i(39,0001 18,800)Mitsubishi D209i(34,600 1 16,800) Panasonic C308P (44,300 1 1,800)Sony C305S (45,8001 1,800) Sharp J-SH03 (42,000 1 9,800)Toshiba J-T04 (42,000 1 7,800) Panasonic TPOl(Open 1 4,800)Toshiba TI02 (Open 1 4,800) Subscribers _% ofmarket) 12. 6 million(64. 2%) 3. 9 million(16. 5%) 0. 7 million(3. 3%) 3. 1 million(16. 0%) Service start February 1999 Aprill999 November 1999 December 1999 Source NTT DoCoMo, KDDI, MSDW, CSFB, TC. A, Nikkei TrendyCopyright 2003 INSEAD-EAC23 08/2009-5079 Blue Ocean Strategy Institute Exhibit 20 NTI DoCoMos Major Overseas operations since 1999 2 March 1999 Joint test of 30 mobile c ommunications system with Telephone Organization of Thailand and NEC 17 March 1999 fundamental law of local corporation in Brazil 30 September 1999 organisation ofUS subsidiaries 8 October 1999 Establishment of Joint Initiative toward Mobile Multimedia (JIMM) with 8 forei calliers 2 December 1999 Capital investment in Hutchison Whampoa (Hong Kong) 27 January 2000 W-CDMA field trials in South Korea with SK Telecom May2000Equity participation in KPN Mobile (the Netherlands) 27 June 2000 Establishment ofrepresentative office in Bemng, China 12 July 2000 Announcement of 30 mobile multimedia strategic cooperation with Hutchison Whampoa and KPN Mobile 2 August 2000 lay out of Japan-South Korea roaming service with SK Telecom 29 S tember 2000 Establishment ofUK subsidiary and research lab in Oermany 30 November 2000 Capital investment in KG Telecomj_Taiwall_ 30 November 2000 Capital investment in ATT Wireless (US) 7 December 2000 Establishment ofadvisory board in US 8 January 2001 Announ cement ofPan-European mobile Internet alliance with KPN Mobile and TIM Jltalyl 22 January 2001 Launch ofinternational roaming service in Europe, Asia Africa and Oceania 7 Novernber 2001 Agreernent with KPN Mobile to transfer and license technologies for i-mode-like services in Europe 18 February 2002 Agreement with E-Plus (Oermany) to transfer and license technologies for i-mode- like services in Europe (service launched on 16 March 2002) 1 March2002Listing ofstocks on London and New York Stock ExchangesNote The dates shown in a higher place are the dates ofPress Releases from NTT DoCoMo (as ofMarch 2002). SourceNTT DoCoMo. (Other major partnerships to promote mobile multimedia servtces) 15 March 1999 change magnitude leve ofrelationshiPs, S mbian (UK) 16 March 1999 Technological partnership, Sun Microsystems (US) 17 March 1999 Fusion oftechnologies, increased leve ofcooperation, Microsoft (US) 14 June 2000 Increased level of relationships, 3Com US) 27 September 2000 Joint develop ment of new Internet services, American Online (US)Note The dates shown above are the dates ofPress Releases from NTT DoCoMo (as ofSept. 2000). SourceNTT DoCoMo. Copyright 2003 INSEAD-EAC2408/2009-5079 Exhibit 21 Comparison between i-mode and the Internet i-mode Internet Sex ofusers(Male Female) 5743 5842 Age ofusers Under 197%20-2424%25-2920%30-34 12%35-398% Above 40 27% Unknown2% Under 19 2. 6%20-2938. 1%30-3938. 1%40-49 15. 6% Above 504. 7% Unknown 0. 9% Price Monthly basic charge of 300 yen+0. yen per 1 packet Monthly basic charge of 1,480 yen + 8 yen per 3 minutes Number ofusers(March 2001) 21. 70 million 17. 25 million Note Prices exclude monthly basic charges for cellular phone and fixed line telecom services. Price for the Internet is based on KDDIs IP service rates. Number of users for the Internet is the number of contracts with Internet providers excluding mobile telecom carriers. SourceMPT, NTT DoCoMo, KDDI. Copyright 2003 INSEAD-EAC2508/2009-5079