The Importance of Corporate Social Responsibility Essay Example for Free

The Importance of Corporate Social Responsibility Essay Abstract The purpose of this paper is to investigate the relationship of the consumer perceptions about the branding of organizations that invest in social responsibility and the consumer behaviour regarding loyalty and willingness in paying a premium price. Reviewing the literature about Corporate Social Responsibility (CSR), Corporate Social Performance and Corporate Financial Performance, some questions arise: do consumers understand the efforts made by businesses regarding their social and ethical campaigns? And if so, are consumers willing to pay a higher price for the products and services resulting from these social and ethical campaigns? Are consumers loyal to these businesses? In order to analyse the links between CSR and consumer behaviour, the authors use a structural equations model and a Focus Group. The â€Å"Nespresso† Case is analysed and included in the survey questions, since it is a very well known brand amongst Portuguese consumers. The main conclusions of the paper are that although some of the indicators do not present excellent results, the hypotheses tested, in the structural equation model, were verified. As such, we can conclude that social responsibility policies are important in building a strong brand image and in turn lead to consumer loyalty and consequent availability to pay a higher price for the products or services provided. Within the focus group some interesting findings arise regarding the links between CSR, brand image, loyalty and willingness in paying a premium price. There are indicators that although, CSR is considered important for building loyalty, the links regarding the willingness in paying a premium price are thin. Another finding is that communication policies don’t address the consumer concerns regarding CSR. Keywords:Corporate Social Responsibility, Brand Image, Brand Loyalty, Premium Price Introduction For some decades now research on the role and responsibilities of business in society has been searching for the business case for corporate social responsibility (CSR). The proliferation of studies on the relationship  between corporate social performance and economic bottom line is the result of different shifts in the academic debate. On the one side, in terms of the level of analysis, research has gradually moved from a focus on the macro-social effects of CSR to organizational-level analysis of CSR effects on firm behaviour and performance. On the other, in terms of theoretical orientation, researchers have moved from explicitly normative and ethics-oriented studies to implicitly normative and performance-oriented analysis. (Castaldo et al, 2009) Looking backward at the empirical research undertaken in the last few years, the business case for social responsibility and the related link between Corporate Social Performance (CSP) and Corporate Financial Performance (CFP) remain the most controversial areas in the business-in-society field (Barnett, 2007). Though different in their approaches to CSP definition and measurement, existing studies tend to share an often unstated assumption: the stronger the firm’s involvement in CSR programs and activities, the higher the economic and financial value firms will be able to obtain. However, a substantial inconsistency in the results obtained emerges, in terms of both existence and direction of the correlation between the constructs (Margolis Walsh, 2003; Orlitzky et al, 2003; Salzmann, Ionescu-Somers, Steger, 2005). Brand Image, Brand Loyalty and Premium Price Businesses use the brand to create and communicate their identity and building their image in the consumers’ perspective. The brand image of a successful brand is a valuable business asset because consumers identify more easily, products and services through the respective brands, than otherwise. Another important aspect of branding is that, they provide the basis to positioning and differentiation strategies. There are different points of view and different definitions of brand image. These differences reside at the abstract level in which the image is created in the consumer mind. Furthermore, there are also different theories for the construction of the brand image. Some of these theories include associations with the product (Keller, 1998), while others take in consideration associations related to the business (Biel, 1993), or the country of origin, or the user image (Aaker, 1996). Initially it was Levy (1959) who conceptualised the  concept of brand image. He suggests that products have social and psychological attributes and, as such, consumers develop emotional connections with the brands. For Plummer (1985), the image process formation initiates through the gathering of intrinsic and extrinsic attributes, benefits and consequences that are associated with the brand. According to Faircloth et al (2001), the brand image is a holistic perspective built by all the associations made with the brand. Following this perspective, Ballantyne et al (2006), define brand image as the consumers’ perception about the brand. As such, it will guide a future development of a possible bound between consumers and organisations that have its highest expression through consumer loyalty, and the willingness of the consumer in paying a premium price. The most complete definition of consumer loyalty is given by Jacoby e Chestnut (1978) that sustain that brand loyalty represents the non random repetition of the buying behaviour of the same brand or group of brands, from an individual with buying decision. Price premium has been studied by several authors, namely, Holbrook (1992), Kamakura and Russell (1993), Park and Srinivasan (1994), Netemeyer et al (2004). One may consider that the availability of a consumer to pay a price premium is defined by the amount that he is willing to pay for his favourite brand when compared with a brandless similar product. For Aaker (1996), premium price is a strong indicator of brand loyalty. For Louro (2000), price premium is a basic criterion of brand loyalty and indicates how much the buyer is willing to pay for the brand, when compared with other similar brands. The Nespresso Case Study â€Å"We believe that the true test of a business is whether it creates value for society over the long term† (Peter Brabeck-Letmathe, Chairman and CEO, Nestlà ©) Nespresso is a very well known brand in Portugal. Nespresso’s products are positioned on the high-end of the coffee market, with a patented coffee-capsule technology, associated machinery and coffee capsules. Ecolaborationâ„ ¢, launched in June 2009, is the Nespresso platform for sustainable innovation, and represents their effort for creating value throughout the value chain. Through Ecolaborationâ„ ¢, Nespresso has consolidated all its sustainability efforts in coffee sourcing, capsule recycling and energy-efficient machines into one concerted programme, and  committed itself to meet three targets by 2013: * To source 80% of its coffee from its AAA Sustainable Qualityâ„ ¢ Program and Rainforest Alliance Certifiedâ„ ¢ farms; * To put systems in place to triple its capacity to recycle used capsules to 75%; * To reduce the carbon footprint required to produce a cup of Nespresso by 20%. With an average annual growth rate of 30% since 2000 Nespresso is the fastest-growing â€Å"billionaire brand† of the Nestlà © Group. It also has an established track record of sustainability, establishing the Nespresso AAA Sustainable Qualityâ„ ¢ Program in 2003 with Rainforest Alliance, through which only the highest-quality beans are sourced and where farmers are paid a premium. In 2009, almost 50% of the total green coffee beans Nespresso purchased came from its AAA Sustainable Qualityâ„ ¢ Program, and Nespresso has committed to increase this to 80% by 2013. Model Hypotheses The structural equations model proposed establishes the relationship between Social Responsibility practices with the constructs of brand image, loyalty and consumer willingness to pay a higher price for a product or service from a social responsible organisation. The organisation selected for this study was Nespresso. Therefore, the authors raise three research hypotheses: H1: The social responsibility policies have a positive direct impact on the brand image of Nespresso (ÃŽ ³11 0). H2: A good brand image from Nespresso helps to increase consumer loyalty (ÃŽ ²11 0). H3: A good brand image from Nespresso will increase the consumer willingness to pay a price premium (ÃŽ ²21 0) Data collection for the model estimation was done through a consumer survey using the scales of social responsibility of Roberts (1996), scales of loyalty from Yoo and Donthu (2001), scales of price premium from Chauduri and Halbrook (2001) and scales of brand image from Netemeyer, et al (2004). Sample Characterization 242 valid surveys were collected. The sample comprised 46% women and 54% men, ages varied between 19 and 72 years old, the majority of people that answered the survey were single (88%), with a net income between 1001 and 2000 Euros monthly per family (47%). The number of people per family was in the majority (86%) between 2 to 5 people. Model Estimation The model was estimated using the covariance matrix. The statistical software program used was the STATISTICA 6.1. which allowed to calculate the variance and covariance (data) matrices and the estimation of the structural model. The estimation is undertaken by the method of maximum likelihood, since the objective is to develop and test the theory of brand image of social responsible organisations and behaviours of loyalty and willingness to pay a higher price. The analysis of scales reliability allowed to obtain good indicators for the Cronbach Alpha coefficient. Thus, for Social Responsibility (8 items) we obtained an alpha equal to 0,919, for brand image (5 items) we obtained an alpha of 0,864, for brand loyalty (3 itens) we obtained an alpha of 0,637 and finally for premium price (3 items) we obtained an alpha of 0,812. The chosen indicators to analyse the goodness of the adjustment are the ones suggested by Hair et al (2006) as the absolute indicators, Chi-square standardized, RMSEA (Root Mean Square Error of Approximation) e GFI (Goodness-of-Fit). The Chi-square standardized presents acceptable values when these are comprised between 1 and 3 (Hair, et al, 2006). We use RMSEA (Root Mean Square Error of Approximation) instead of RMSSR (Root Mean Square Residual) because the estimated models are based on the covariance data matrix. This indicator must be comprised between values from 0,05 (good fitness) and 0,08 (acceptable fitness). The GFI (Goodness-of-Fit) is an index of goodness of the adjustment that represents the total fitness levels, without correction in relation to degrees of freedom. High values of this indicator show good fitness, although there are not established minimum acceptable levels. Although some of the indicators do not present excellent results, the hypotheses tested were verified. As such, we can conclude that social responsibility policies are important in building a strong brand image and in turn lead to consumer loyalty and consequent availability to pay a higher price for the products or services provided. Focus Group Methodology Focus Groups are a research technique that allows for data collection through the interaction of a group of people. This technique consists in an interview conducted to a small group of people conducted by a moderator in a non structured way. The moderator role is to motivate the group discussion regarding the research hypotheses that are subject of the study under analysis (Carson et al 2001, Malhotra, 2004, Vaughn et al 1996). Group discussion is a methodology particularly suitable when the prior knowledge of the situations is small, the issues are sensitive and complex and if you want to take full advantage of the opportunity to explore and induce hypotheses, find out the views and attitudes of individuals and details of the issues that are being explored (Krueger, 1994, Harker, 2004). For Morgan (1988) this is an excellent method to establish the why behind the what from the perspectives of the participants. For the purpose of this research the authors conducted a Focus Group of 8 people selected randomly. The objective was that the group selected was a reflection of the participants of the survey used for the structural equations model. When the surveys were distributed a question as placed in order to find out the availability of the respondents to participate in the focus group. From the answers obtained the selection was made in order to be representative of the universe. The selection is presented in the following table. In the focus group the moderator organized the discussion according to the 3 research hypotheses, namely: H1: The social responsibility policies have a positive direct impact on the brand image of Nespresso| Most of the participants on the focus group considered that social responsibility policies have a positive impact on the brand image of any organization. Nevertheless, it was considered a finding of the group that not always consumers understand that an organization does CSR.There was also a discussion on what is CSR, and if organisations actually do it. Or if is only the result of marketing efforts.The main conclusion is that if consumers perceive an organization as a social responsible one, then, that fact will have a positive direct impact on its brand image.Regarding Nespresso, there was not a consensus regarding this aspect. | H2: A good brand image from Nespresso helps to increase consumer loyalty.| Regarding brand image there was a consensus of the group that helps to increase consumer loyalty, and that this is clearly the case of Nespresso. Again, most of the participants did not agree if Nespresso has an image of having social responsible practices.| H3: A good brand image from Nespresso will increase the consumer willingness to pay a price premium.| This was the issue that raised the most discussion. Does a good reputation translated in the brand image regarding social responsibility practices is sufficient for increasing the consumer willingness in paying a premium price?Some of the participants argued that depending on the economic situation that could be true, but when enduring difficult economic periods most of the consumers refrain their shopping attitudes and are more price sensitive.It was also mentioned again that it is crucial that the message comes across to consumers, and that they understand very well what are the policies followed by the organizations. | Conclusions The main conclusions of the paper are that although some of the indicators do not present excellent results, the hypotheses tested, in the structural equation model, were verified. These results were then validated using a focus group methodology. Within the focus group some interesting findings arose regarding the links between CSR, brand image, loyalty and willingness in paying a premium price. There are indicators that although, CSR is considered important for building loyalty, the links regarding the willingness in paying a premium price are thin. Another finding is that communication policies don’t address the consumer concerns regarding CSR, since within the group there was no consensus regarding the organisation under analysis. As such, we can conclude that social responsibility policies are important in building a strong brand image and in turn lead to consumer loyalty and consequent availability to pay a higher price for the products or services provided, but it is crucial for organizations to have communication strategies that address these CSR policies in a way that promotes consumers’ identification. The authors found that further research should be conducted addressing the effectiveness of communication strategies of organizations that promote CSR. References Aaker, David A. (1996), Building Strong Brands, Free Press, New York. Ballantyne, Ronnie, Anne Warren e Karinna Nobbs (2006), â€Å"The Evolution of Brand Choice†. The Journal of Brand Management, Vol. 13, N º 4, pp. 339-352. Barnett, M. L. (2007), â€Å"Stakeholder Influence Capacity and the Variability of Financial Returns to Corporate Social Responsibility†, Academy of Management Review, Vol. 32, N º 3, pp. 794-816. Biel, A. L. (1993), â€Å"Converting Image into Equity†, in D. A. Aaker e A. Biel (Eds.), Brand equity and advertising: advertising’s role in building strong brands, Lawrence Erlbaum, Associates, Inc., Hilsdale, New Jersey, pp. 67-82. Carson, D., Gilmore, A., Perry, C. and Gronhaug, K., (2001), Qualitative Marketing Research, Sage Publications, London Castaldo, S. and F. Perrini (2004), â€Å"Corporate Social Responsibility, Trust Management and Value Creation†, presented at EGOS 2004 â€Å"Trust in Hybrids†, Ljubljana, Slovenia. Castaldo, Sandro, Francesco Perrini, Nicola Misani and Antonio Tencati (2009), â€Å"The Missing Link Between Corporate Social Responsibility and Consumer Trust: The Case of Fair Trade Products†, Journal of Business Ethics, Vol. 84, pp. 1-15. Chaudhuri, A. e M. B. Holbrook (2001), â€Å"The Chain of Effects from Brand trust and Brand Affect to Brand Performance: The Role of Brand Loyalty†, Journal of Marketing, Vol. 65, pp. 81-93. Faircloth, James B., Louis M. Capella e Bruce L. Alford (2001), â€Å"The Effect of Brand Attitude and Brand Image on Brand Equity†, Journal of Marketing, Theory and Practice, Vol. 9, N º 3, pp. 61- 75. Hair, J. F., R. E. Anderson, R. L. Tatham e W. C. Black (2006), Multivariate Data Analysis, 6th Ed., Pearson, Prentice-Hall, Upper Saddle River, N. J.. Harker, Michael John (2004) Lenses and mirrors: the customer perspective on part –time marketers. Marketing Intelligence and Planning. Vol. 22, No. 6, 663-672. Holbrook, Morris B. (1992), â€Å"Product Quality, Attributes and Brand Names a s Determinants of Price: the case of consumer electronics†, Marketing Letters, Vol. 3, N º 1. pp. 71-83. Jacoby, J. e R. W. Chestnut (1978), Brand Loyalty: Measurement and Management, New York: John Wiley. Kamakura, W. A. e G. J. Russell (1993), â€Å"Measuring Brand Value with Scanner Data†, International Journal Research Marketing, Vol. 10, March, pp. 9-21. Keller, Kevin Lane (1998), Strategic Brand Management: Building, Measuring and Managing Brand Equity, Upper Saddler River, NJ: Prentice Hall. Krueger, R. A. (1994). Focus groups: A practical guide for applied research. Thousand Oaks, CA: Sage. Levy, Sidney J. (1959), â€Å"Symbols for Sales†, Harvard Business Review, Vol. 37, N º 4, pp. 117-124. Louro, Maria Joà £o Sousa (2000), â€Å"Modelos de Avaliaà §Ãƒ £o da Marca†, Revista de Administraà §Ãƒ £o de Empresas, Vol. 40, N º 2, pp. 26-37. Malhotra, N. K. (2004). Marketing Research. New Jersey. Prentice Hall. Margolis, J. D. and J. P. Walsh. (2003), Misery loves companies: Rethinking social initiatives by business, Administrative Science Quarterly, 48: 268-305. Morgan, D. L. (1988). Focus groups as qualitative research. Newbury Park, CA: Sage. Netemeyer, et. al., (2004), â€Å"Developing and Validating Measures of facets of customer-based brand equity†, Journal of Business Research, Vol. 57, N º 2, pp. 209-224. Orlitzky, M., Schmidt, F. L., Rynes, S. L. (2003), Corporate Social and Financial Performance: A Meta-analysis, Organization Studies, Vol. 24, N º 3,pp. 403–441. Park, Chan Su e V. Srinivasan (1994), â€Å"A Survey-Based Method for Measuring and Understanding Brand Equity and Its Extendibility†, Journal of Marketing Research, Vol. 31, N º 2, pp. 271-288. Plummer, Joseph T. (1985), â€Å"Brand Personality: A Strategic Concept for Multinational Advertising†, in Marketing Educators’ Conference, New York: Young and Rubicam, pp. 1-31. Roberts, J. A. (1996), â€Å"Will the Real Socially Responsible Consumer Please Step Forward?†, Business Horizon, Vol. 39, pp. 79-83. Salzmann, O., Ionescu-Somers, A., Steger, U. (2005) Quantifying Effects of Corporate Sustainability Management. Working paper. Lausanne: CSM/IMD. Vaughn, S., Schumm, J. S., Sinagub, J. (1996). Focus group interviews in education and psychology. Thousand Oaks, CA: Sage. Yoo, B. and N. Donthu (2001), â€Å"Developing and Validating a Multidimensional Consumer-Based Brand Equity Scale†, Journal of Business Research, Vol. 52, pp. 1-14.

Amazons Distribution Strategy

Amazons Distribution Strategy Introduction While taking a decision on the design of supply chain, companies should focus on its strategy, decision on operations and most importantly, proper planning. In a company, based on the needs of the customer and design of the systems, flow of supply chain management varies. While designing, reviewing constantly at different stages also helps companies differentiate various processes in their supply chain. Amazon.com is an e-commerce company with its presence worldwide and headquartered in Seattle, United States. Amazon.com, in its early days dealt only with Books but later on it diversified into a lot of other product lines like Video Games, Electronics, Toys, Jewellery, Furniture, MP#s, DVDs among other products. Today they are a huge $75 billion organization with a very diverse product portfolio and successful operations round the globe. The new Kindle Fire Tablet computer is one of their latest notable product and their Cloud Computing business is one of the industry leaders. Going by the revenue, growth and market capitalization, Amazon is the 4th most successful start-up of all times. Jeff Bezos started this amazing company in 1994 with the intention of â€Å"Get Big Fast†. This strategy was a brilliant one for the company in US as they were able to function with a competitive lead time for delivery after the orders were placed. Now this strategy was also put in place for the expansion in Europe. Not only were the European markets culturally different from US but also the market conditions and the consumer behaviour expectations different from a consumer in US. The challenges here were very dissimilar to the operational challenges in US in terms of transportation, stocking and distribution. The report will look into the challenges that Amazon faced in Europe and the operational/supply chain decisions they had make to overcome those challenges, also, â€Å"How has globalization made strategic fit even more important to company’s success†. The recommendations/ analysis are based on the concept of centralization of the distribution across a full continent and the concepts taught in the class. AMAZON US â€Å"Earth’s Biggest Bookstore† Amazon used the Internet to change the business of buying books into a very fast, easy and enjoyable shopping experience. Amazon has more than 2.5 million different book titles in its kitty and is very rightly called the â€Å"Earth’s Biggest Bookstore†. From the very beginning, Amazon always kept the wholesalers and the publishers on their side which thereby allowed them to keep a very truncated inventory and low inventory holding costs. These tie-ups with wholesalers and publishing houses not only allowed Amazon to reduce costs on warehousing but also get huge bulk discounts, for example From a publishing house Amazon used to get a discount of approximately 48% and around 41% from the wholesalers) Amazon had a general lead time for delivery of 4 to 7 business days across the whole country of United States. Amazon developed its infrastructure hugely in the late 90’s and eventually launched their Music and Video businesses also. The idea was to â€Å"Get Big Fast† through diversification and geographic expansion by having more distribution centres in their business geography. Some would say that the expansion of Amazon was the fastest expansion experienced by any company for its distribution capacity. Expanding and making distribution was the first step, next step was to figure out which distribution centre will carry which all products, given the fact that Amazon not only expanded in distribution capacity across geographies but also in terms of the product lines in its product portfolio. The 3 aspects of deciding the products to be carried by a distribution centre are: Amazon employed a lot of systems to enhance their operation efficiency. The ones which were the most impressive and successful are: Pick-To-Light System Radio Frequency Technology Voice Technology Pick Profiles Amazon Standard Identifying Number (ASIN) Performance measuring key metrics As Jeff Wilke, the Vice President of Operations at Amazon said about what Amazon had, Amazon quickly adapted to the Six Sigma DMAIC reviews as a tool to reduce variations and defects in its distribution centres. Jeff Wilke’s team followed 5 strategies to improve inventory management Better forecasting of customer demand by improving the ability of the software by refining it to the tune of better anticipation of the demands, both seasonal and regional. This made sure that risk of buying either too much or too less was reduced. Better relations with the wholesalers and direct vendors to cater to any sudden surge in demand for any particular bestselling book title. This was also used to get some needed momentum for the slow velocity titles. Available-to-Promise Functionality: Amazon integrated the supply chain management systems of its suppliers with its own thereby getting a synergy in the process. Now amazon was able to tell its customers the exact time frame in which it could deliver the products to them. For example, if a product is available with the Amazon distribution centre themselves, then the lead time for the delivery of the product was within 24 hours. But if the product was not available with the Amazon DC then the lead time for delivery increased to 2 – 3 business days. This allowed Amazon to have the information about the inventory of the suppliers at all times at the very item level. Cascading Buying Rules: These rules by Amazon determined which supplier was the best fit for which product in terms of the price and the options for delivery such that if the item is not available with the supplier giving the best price then the next supplier in cascade will be selected for the delivery. Drop Ship Orders: Amazon took some time to adopt this strategy which they should have adopted in the very beginning. According to Drop Ship strategy, whenever the customer orders an item and the distribution centre of Amazon does not have the product then Amazon places the order on its supplier. Then instead of the supplier shipping the item to Amazon DC and then the Amazon DC shipping the item to the customer, the supplier directly ships the item to the customer, thereby drastically decreasing the lead time for delivery by removing the unnecessary steps of the supply chain products. In addition to the above mentioned processes and strategies, Amazon also used method called â€Å"Postal Injection† or â€Å"Zone Skipping†. In this method, the fully loaded truck from the distribution centre directly goes to the major cities, easily bypassing the postal service’s sorting hubs where the delivery packets are sorted according to the respective cities and states. AMAZON EUROPE The initial targets for Amazon were UK and Germany, primarily because both these countries were the prime markets for book selling and online purchasing in the continent of Europe. Germany had an excess of 2000 publishing houses and UK had an excess of 3000 publishing houses. Amazon made an acquisition in Europe by acquiring Bookpages and TeleBuch in UK and Germany respectively. Again, in line with the idea followed in US, Amazon Europe wanted to â€Å"Get Big Fast†. Both the UK Amazon.co.uk and German Amazon.de increased their product portfolios by integrating the music and video businesses along with the books business at the very offset of the culmination of the respective expansions in the two countries. Even though the competition from the online bookstores of the respective countries was fierce, Amazon was successful in becoming the market leader in both the countries. The combined sales of the 2 countries crossed the 10% of the total Amazon revenue mark, signifying the epic success of the geographic expansion. The next venture was in France. When Amazon entered UK and Germany they did it through acquisitions, however when they entered France they did not acquire any established company, instead they got the business up and running from the scratch. The formula was simple here too, â€Å"Get Big Fast†, which is why the business started with the complete portfolio of books, music, video, toys, et al. Growth in International sales for Amazon grew by 74%, which in turn helped the European business to cross the 13.4% of the total Amazon revenue mark. Challenges in replicating amazon’s US model in EUROPE Although Amazon was doing well in Europe but the ambition was high as they had the intention to repeat the success of Amazon US in Europe too. However they were confronted with some heavy challenges from the European markets. These challenges could be tackled but to do that they required some radical change in the strategies that Amazon applied and adopted in US. The 4 main challenges were: Selling regulations in Germany France The prices of the books being sold in Germany France were fixed. No discounts could be offered on those prices. The selling model for Amazon in US was to offer discounts on the prices of the books, which they got from the wholesalers and publishing houses. Over here they could not provide those discounts that they got on the bulk purchases from the wholesalers and publishing houses. Payment options In Europe, more than 62% of the customers used cheques to make the purchases. The core competency of Amazon was online retail which meant online purchasing via credit cards. This came as a major challenge to Amazon as they did not have any brick or mortar store where the concept of payment through cheques can happen. Different supply market factors In US, Amazon relied heavily on the suppliers for the books. However in Europe they suffered a setback because of the dearth of wholesalers and big suppliers. In UK although they were able to manage the supply with a handful of suppliers, but in France there were none. This forced Amazon to have tie ups with umpteen number of publishers for the supply of books. Low penetration of EDI in European countries Amazon used EDI (Electronic Data Interchange) to have a communication with the supply chain management of the suppliers in US. This increased the efficiency of their own supply chain tremendously. In case a supplier was having a stock out of a particular item in his inventory, he could respond back in real time to Amazon with a rejection to take the order from customer. This enabled Amazon to immediately send the information back to the customer about the unavailability of the item. This, however, was not much in use in Europe as they still used the concept of emailing and Fax but not any sort of real time data sharing. In addition to the challenges mentioned above there were other challenges too. Amazon relied comprehensively on the national postal services in the respective countries of Europe where they were operating. But they were competitive only in their own countries and not in other countries. This created a challenge for Amazon because they had a lot of shipments which were cross country shipments. Problems Identified Recommendations With the challenges in mind there were a certain number of options for Amazon, which could solve these challenges for Amazon as they go forward and expand more and more into the European market. These recommendations require radical change in the strategy from the one which was followed in United States. Should Amazon Europe build an EDN? Europe as whole is treated as a single entity by amazon. Although they have separate units for separate countries, the parent company, Amazon, thinks of it as a single market. Therefore they intend to have a EDN (European Distribution Network). As per this concept, the entire Europe will have a single distribution network not separate distribution networks of individual countries. This is a massive step because Europe as a market is huge in size and very fragmented. But we suggest that a single EDN will be much more beneficial and the reason for that are mentioned in the bullet points below: Operating independent units is much more expensive than a single unit EDN implementation ensures uniform product offerings in each country which in turn will help in the consolidation of the business across the entire continent EDN implementation ensures procurement department centralizes purchases, and avails higher volume discounts as this is the prime strategy on which Amazon grows and thrives In case of system failures, EDN implementation reduces risk of relying on single DCs, making sure that the plan B for every failure is in place Hence implementation of EDN is a logical choice. Should Amazon use a single centralized DC or keep the existing 3 DCs and let them share orders? Another major problem for Amazon is to figure out whether or not to have multiple individual DCs or have just a single unified Distribution Centre at a strategic location. This problem is in line with the strategy for the implementation of EDN in Europe. We suggest that they should integrate Amazon’s European operations as a whole and accept it as a single market. With that in mind they should follow the following steps to achieve this target, How to sustain customer satisfaction after implementation of EDN? A major drawback for EDN is that this will cause a serious impact on the customer satisfaction levels. This is primarily because the customers who are used to getting their items delivered free of cost in very less time due to the distribution centre being in that country itself will have to either pay to get the item delivered in less time or get the item delivered in a longer time. All in all the lead time for delivery will increase and only additional cost for the customer can decrease that. To improve customer service Amazon must follow the following steps, Should the French Distribution Centre be left operational? This problem is a slightly tricky one as this requires Amazon to decide on whether or not to cut off an important limb from their body. Since the operational usage of French Distribution Centre will be redundant, is it viable to keep it running or remove it from the unified distribution network of Europe? This question can have multiple answers and no answer is possibly entirely correct. However we suggest that Amazon should not immediately close the French DC but gradually phase it out of the distribution network. During the expansion phase of Amazon into the rest of the Europe this DC can act as a support for the newer countries where Amazon wishes to venture in the European Distribution Network. Immediate disposition of this DC is not a viable option as this will cause a lot of complexities for the entire EDN. Since this DC will have some competencies and must be having some items which are solely kept in the inventory at this DC itself, this Dc will serve its purpose for some more time. The best option is to decommission the French DC in a phased manner over a period of time. How to detect demand trends, especially for fast moving items, if European level buying is consolidated? The only way to make sure that the inventory levels in a distribution centre is at an optimum level is through better forecasting. Making sure that the replenishment in a warehouse is done at proper interval in adequate quantities is by having an accurate information about the demand in future. Demand estimation is the backbone for any supply chain management system. Proper implementation and information processing through ERP is the method used by the most successful companies in the world. ERP helps improve the planning for the supply chain, both inbound and outbound aspect of it. Besides that money saved through the cost cutting initiatives should be invested to develop the supply chain, logistics and distribution characteristics of the EDN. In addition to that, it is very important to capture the easy wins first and get a hold of the market. It is very critical for Amazon to have standardization and build synergies across the divisions in Europe. To do that it is important that Amazon defines and implements comparable metrics (for example vendor lead time) across the European countries to develop enhanced understandings of their operational activities References Childerhouse, P, Towill, D 2011, Arcs of supply chain integration, International Journal Of Production Research, 49, 24, pp. 7441-7468 Forbes.com 2011. Why Amazon Is The Best Strategic Player In Tech. Retrieved February 27, 2014 from http://www.forbes.com/sites/venkateshrao/2011/12/14/the-amazon-playbook/2/ Joseph Bonney 2012. Amazons Supply Chain: Delivering Clicks and Bricks. Journal of Commerce. Retrieved February 28, 2014 from https://www.joc.com/economy-watch/amazons-supply-chain-delivering-clicks-and-bricks_20120130.html?qt-webcasts_podcasts_whitepapers=0 Knowledge @ Wharton 2009, November. Fit for the Holidays: Amazon Is Shaping Up and Shipping Out. Retrieved February 27, 2014 from http://knowledge.wharton.upenn.edu/article/fit-for-the-holidays-amazon-is-shaping-up-and-shipping-out/ Lichocik, G, Sadowski, A 2013, EFFICIENCY OF SUPPLY CHAIN MANAGEMENT. STRATEGIC AND OPERATIONAL APPROACH, Logforum, 9, 2, pp. 119-125 Mark Brohan. InternetRetailer.com 2010. Amazon’s secret European weapon: Square footage. Retrieved February 28, 2014 from http://www.internetretailer.com/2010/08/31/amazons-secret-european-weapon-square-footage Modern Materials Handling 2012, December 14. Supply chain: Amazon is changing the rules of the game. Retrieved February 27, 2014 from http://www.mmh.com/article/supply_chain_amazon_is_changing_the_rules_of_the_game MWPL. Amazon Global Fulfilment Center Network. Retrieved February 28, 2014 from http://www.mwpvl.com/html/amazon_com.html Roh, J, Hong, P, Min, H 2014, Implementation of a responsive supply chain strategy in global complexity: The case of manufacturing firms, International Journal Of Production Economics, 147, Part B, pp. 198-210 Viswanadham, N, Samvedi, A 2013, Supplier selection based on supply chain ecosystem, performance and risk criteria, International Journal Of Production Research, 51, 21, pp. 6484-6498

Gene Therapy and Its Effect on Cancer Essay -- Science Genetics Techno

Gene Therapy and Its Effect on Cancer The era of scientific advancement in the twentieth century has encouraged several scientific fields to merge into a new, futuristic science called Biotechnology. One idea behind Biotechnical science is taking advantage of molecular biology. At the forefront of this advancement is gene therapy which " attempts to treat disease at its origin on the molecular level"(Kreeger,1996). "Essentially, this therapy deliberately introduces genes into the human cells to compensate for aberrant genes that cause genetic disease" (Beese, 1996). This therapy can be administered in two ways. One is germ-line therapy which not only treats the cells of that individual but these treated cells could be passed onto the individual's offspring. This type is the focus of much of the opposition of gene therapy itself because trials take many years and few results have proved conclusively safe for those treated and their children. The other type of therapy less opposed is the somatic cell approach that only aff ects the cells of the individual being treated. Cancer has recently been the target for several different types of somatic cell therapy and along with them come a set of controversial aspects that question its role in society. Cancer is an ever- increasing disease that affects all ages, sex and race. It has no preference for where it resides as it can be found in several organs and on several different tissues. However, one special similarity appears whether the cancer is found on the breast or in the colon; it is an over growth of cells in the area infected. The cancer seem to arise from abnormalities in genes involved in growth and differentiation of cells. Certainly, environmental factors can indeed c... ....jp/~macer/Papers/PLSUBG.html March of Dimes. Genetic Testing and Gene Therapy. Obtained from WWW 9/9/96: http://noah.cuny.edu/pregnancy/march_of_dimes/genetics/genetest.html National Cancer Institute. Immunotherapy and Gene Therapy. Obtained from WWW 9/9/96: gopher://gopher.nih.gov:70/00/clin/cancernet/facts/therapy/Immunotherapy%20and%20Gene%20Therapy%20of%20Cancer National Medical Center. Gene Therapy. Obtained from WWW 10/4/96: http://www.cityofhope.org/frames/genetr.htm Scientist,the. Pioneer James Wilson Reflects. Obtained from WWW 9/9/96: http://www.the-scientist.library.upenn.edu/yr1996/jan/gene_960122.html Singer, M. The RAS Gene and Cancer. Obatained from WWW 10/14/96: http://www.gene.com/ae/AB/IWT/Ras_Gene_and_Cancer.html Wanke, I. Gene Therapy for Diabetes. Obtained from WWW 9/9/96: http://www.worldweb.com/ahfmr/may/diabetes.html

Stephen Cranes The Monster as the Most Important work of short fiction

â€Å"At once a children’s tale, a grim social satire, an ambitious study of ethical responsibility, a painful examination of race in America, a devastating account of the village virus†¦Ã¢â‚¬  â€Å"The Monster† by Stephen Crane, has been interpreted as the most significant work of short fiction written before 1900. It is a compilation of different issues used to highlight the racist attitudes and xenophobia evident in the USA after slavery was abolished in 1863. Despite the fictional plot, the views of the white population of Whilomville are based on fact, as the racist feelings were still palpable evinced by derogatory terms such as â€Å"Negro†. Along with the race struggle, social satire is apparent, as evidently the story is classified as Southern Gothic. With a Gothic overtone Crane is able to explore the satirical society in which the story is set, to delve into concerns of social satire, ethical responsibility, race struggles and the â€Å"village virus†. Throughout â€Å"The Monster†, Crane exemplifies the social hypocrisy and identifies this as an issue in contemporary society. Before Henry became â€Å"frightfully seared†, he was high in social status. This is portrayed through descriptions of the towns-people of Whilomville, which is place loosely based on Crane’s childhood hometown of Port Jervis, New Jersey. He was a â€Å"well-bred gentleman†, who was constantly given â€Å"quiet admonitions and compliments†. Miss Bella Farragut exclaimed that â€Å"Misteh Johnsing† was simply â€Å"divine†, as they were soon to be engaged. Their opinions though, were greatly reversed after the fire incident, when â€Å"his face had simply been burned away†. When Alek, his â€Å"ol’ frien’†, first saw Henry after the accident, he â€Å"gasped for a second, and then â€Å"yelled the yell of... ...o mock and ridicule Henry, by chasing him, â€Å"firing rocks†. Similarly, hierarchy is central to society. There is a reversal in the social ladder, as Henry was a dominant figure, but after the incident this was overturned due to his appearance. However, it is ironic as Henry’s deed is the indisputable act, as he does not criticise others, and he performs the act of ultimate kindness – jeopardising his own life to rescue Jimmie from the fire. â€Å"The Monster† is depicted as the most significant work of short fiction written before 1900, primarily because Crane has used the Southern Gothic subgenre, in order to accumulate an abundance of issues such as racism and the â€Å"village virus†. Crane exploited small-town experiences to illustrate the flaws in the community, to present a microcosm and a warning for the readers, to deter them from becoming the ostensible monsters.

Teenagers Need Safe Sex Education Essay -- Argumentative Persuasive Es

Three million teenagers will contract a sexually transmitted disease and one in three women will become pregnant before they are twenty years old. Teens are contracting sexually transmitted diseases and getting pregnant at an alarming rate causing the government, schools, and parents to scratch their heads. America is the country with the highest teen pregnancy rate in the world. Many are wondering what can be done to stop this. A debate has been going on about whether abstinence only education is doing any good for high school students in America. Abstinence only education teaches teenagers to abstain from all sexual acts until they are married. It does not teach about pregnancy or the different types of contraceptives that are available to prevent pregnancy. On the other hand, there is safe sex education. Safe sex education teaches teenagers facts about intercourse they need to know, acknowledges the potential consequences or risks of sexual behavior, and helps them make better decisions to protect themselves and their bodies. Background There are a few major differences between safe sex education and abstinence only. Abstinence only education is all about, â€Å"just saying no.† They teach to abstain from all sexual acts until marriage. Safe sex education takes a very different approach. It teaches all about sex, the consequences of sex, contraceptives, different STDs, ways to protect yourself from STDs, pregnancy, and other issues regarding teen bodies. There is a debate against these different sex education programs because some think abstinence only education does not have any effect on teenagers while some believe that safe sex education encourages teenagers to engage in sexual behavior. Over 750,000 girls became pregn... ...ted Diseases - STDs. Web. 31 Mar. 2015. . "Facts on American Teens' Sexual and Reproductive Health." Guttmacher Institute: Home Page. 2009. Web. 31 Mar. 2015. . "The History of Federal Abstinence-Only Funding." Advocates for Youth. July 2008. Web. 9 Mar. 2015. . Michaels, Samantha. "Clarification: Abstinence-only Programs Might Work—for Some." Medill Reports. 3 Feb. 2010. Web. 6 Mar. 2015. . Roleff, Tamara L. Sex. San Diego, CA: Greenhaven, 2002. Print. "SADD Statistics." Welcome to SADD. Jan. 2014. Web. 8 Mar. 2015. . Watkins, Christine. Teen Sex. San Diego, CA: Greenhaven, 2005. Print.

How to Make a German Chocolate Cake

How to Make a German Chocolate Cake So what is the history of the German Chocolate Cake? The truth is that the cake itself did not come from Germany it is actually originated from America. The name â€Å"German† refers to the type of chocolate used in the cakes. And the chocolate itself is named after a Walter Baker& Company employee, Samuel German, who developed the chocolate in 1852. The chocolate was named German’s Sweet Chocolate and eventually became known as German Sweet Chocolate.It is a semi sweet baking chocolate that has a mild flavor and is much sweeter that other semi sweet chocolates most people but at the local grocery store. A German Chocolate Cake is an impressive looking cake. It is a regular chocolate cake with a sweet and gooey coconut and pecan frosting. A traditional German Chocolate Cake is not a typical layer cake that is covered entirely in frosting. This specific cake leaves its sides bare so you can see both the frosting inside and the three la yers of cake.One could argue that the best German Chocolate Cakes are made from scratch instead of store bought, box cakes, or just plain old messed up. Although there are many different variations of German Chocolate Cake recipes the one mentioned in this essay has been passed down from generation to generation. This particular recipe takes between one and a half to two hours to make. This recipe makes ten to twelve servings of cake depending on one’s reason behind making this cake. The ingredients used in this specific recipe are quite simple and very accessible.Many people already have most of these items already at hand. The ingredients for the cake itself are as followed: †¢Baker’s German Sweet Chocolate †¢Water †¢Cake Flour †¢Baking Soda †¢Salt †¢Softened Butter †¢Sugar †¢Separated Eggs †¢Vanilla †¢Buttermilk When making the cake batter with a mixer or without a mixer it will end up being light and fluffy. Along w ith the cake ingredients, there are also items needed for the coconut pecan icing for decorating the cake. Making the icing for the cake requires these items: †¢Egg Yolks †¢Evaporated Milk †¢Vanilla †¢Sugar Butter †¢Bakers’ Angel Flake Coconut †¢Chopped Pecans The cake making process is very detailed in every step. The first step is to preheat the oven to three hundred and fifty degrees. While the oven is preheating, take a bowl filled with half a cup of water and add a whole package or bar of Baker’s German Sweet Chocolate. Once the chocolate is in the water place it in the microwave on high for one and a half or two minutes or until the chocolate is almost melted. Once the chocolate is completely melted set it aside until later on when it is needed.In another bowl mix all of the dry ingredients together, those ingredients include two cups of cake flour, one teaspoon of baking soda, and one fourth of a teaspoon of salt. Once mixed set asi de until it is needed. Next take an even bigger bowl and a stand or hand mixer, and add one cup or two sticks or softened butter and two cups of sugar. Once these ingredients are added in; mix on medium speed until the mixture is light and fluffy. Next add the four egg yolks, one at a time, beating well after each addition. After this step is successfully complete, take the melted chocolate and blend it into the big bowl.Once blended in add one and a half teaspoons of vanilla. The next step would be to add the dry ingredients that were mixed together earlier and mix in one cup of buttermilk back to back. So add a little flour mix then add a little buttermilk until all of the items are in the bowl. After mixing the batter should be nice and fluffy now. The next step is adding in the egg yolks, one at a time, again beating well after each addition. All of the previous steps are to be mixed on a medium speed. In a separate bowl, mix the egg whites, which were separated previously, on h igh speed until soft peaks form.Using a spoon, gently fold the egg whites into the cake mixture. Once doing this the texture of the batter will be similar to that of a chocolate mousse. The last two steps of this cake making process include one preparing three eight or nine inch cake pans by greasing the sides of the pans and pouring the batter evenly. The second includes baking the cake at three hundred and fifty degrees for thirty minutes or until completely done. While the cake is inside the oven cooking, it is time now to make the coconut pecan frosting.Remember to check on the cake while making the frosting and take it out for it to cool down. The frosting process, like the cake process, is very detailed. But the only difference in the two processes would be that the frosting takes much less time to make unlike the cake. So the steps for making the frosting are as followed: †¢In a medium saucepan, heat off, add in four egg yolks, a can of evaporated milk, one and a half te aspoon of vanilla, and wisk it together until it is well blended †¢Add one and a half cups of sugar and three fourths of a cup or one and a half sticks of butter and put it over medium heat.Make sure to stir the mixture constantly for about twelve minutes or until the mix has thickened †¢While stirring the mix playing a couple of songs can make the time fly by much faster †¢After the previous step add one package of Baker’s Angel Flake Coconut and one and a half cups of chopped pecans. †¢Now that everything is mixed in you can turn everything off and let it cool down. To conclude this how to make a German Chocolate Cake essay, it is finally times to put the cake together. After everything has cooled down, it is now time to put the whole cake together.Once all of the cakes have cooled down, run a spatula around the edges to make sure that it will come out easily. Place the bottom layer cake on the cake stand and take the frosting and frost only the top of t he cake. The next steps are just like the previous step, add a layer, then frost the top, then add the last layer and frost the top. Only frosting the tops of the individual cakes gives the cake that signature â€Å"German Chocolate Cake† look. Now that all of that is done it is time to enjoy this moist, light, and fluffy cake. To make the whole cake experience even more exciting would be to have a cup of milk of coffee to go along with it.

Food Intake

| 3 Day Food Intake| Nutrition| | Moneka Goff| 3/4/2013| Jessica Marshal SCI/220 | Food IntakeA well balanced diet plays a major role in attaining a long healthy life the major nutrients for the body are protein, carbohydrate, and fats these nutrients provide the body with energy for various functions such as heart, health, and activity of the brain , and muscle health one must choose foods from each foods groups to achieve a balanced diet everyday eating the right amount of fruits and vegetables will ensure that the right amount of nutrients all healthy diets should have a few things in common such as vitamins, minerals, and fiber and protein intake.Over the past 3 days I recorded my intake of protein, carbohydrates, and lipids. I think I ate a balanced diet for these 3 days. Most of the foods I ate provided protein each day such as the black eyed peas, shrimp gumbo, fried chicken, beef steak, and eggs. I received carbohydrate from rice, grits, potatoes, and bread. I received lipids from black eyed peas, shrimp gumbo, Reese peanut butter cups, and ham steaks. Most of the food I ate these 3 days contained the recommended amounts of protein. My daily recommended daily intake was below the recommended range for two of the 3 days I recorded my meals for these days.For example, on day 2 I achieved the recommended protein but on Friday and Sunday I didn’t achieve what I needed. That is because I either did not finish the meal or it took me longer than usual to eat the meal. My recommended protein intake should be between 62-218 gram, achieved 73 grams on each day. I did not receive the recommended daily intake of carbohydrate for these 3 days. My recommended carbohydrate intake should be 281-405 grams but I received 242grams on each day. My lipid in take varied from day to day. Some days I did not finish the whole meal.I was surprised to find out that I was getting the recommended amount of nutrients for these days because I normally eat once a day. Are the t hree main nutrients that one’s body need to strive. Macro nutrient is important for the growth and development of the body. Macro nutrient needs to be consumed at each meal. My macro nutrient intake was within normal recommended range for these 3 days. Macronutrients included carbohydrate, dietary fats, and protein. One must consume the right amount of all the nutrients. It is harmful, to consume too little for these nutrients.Protein is important to have in any diet because it helps to maintain energy levels. Proteins assist in the production of antibodies, enzymes, and hormones. Eating too little protein can lead to dehydration, increased fat storage, and kidney stories. Carbohydrate is important for my energy level. Carbohydrates are important for its glucose properties. Glucose is important to help build muscles in the body. Without carbohydrates the body will have muscle tissue depletion because the body cannot regain glucose that is used for energy. Lipids or dietary fa ts are also important for the body.According to the US government guidelines, fats should constitute 30% of a person’s daily calorie intake. Lipids are important for energy levels, metabolism, and glycemic system. Fiber is important to the digestive system and can help an individual to fell full longer or curb one’s appetite. Fiber can also be associated with lowering the risk of certain cancers such as colorectal cancer and other gastrointestinal cancers. My fiber in take did not meet the recommended range that I need daily. According to WebMD, women need 25 grams of fiber daily, my intake varied day to day but it was still below recommended range.On Friday, I only received 7 grams of fiber for the whole day. It is recommended that since I have not received the recommended daily fiber in take t should gradually increase my fiber intake to avoid diarrhea. My food intake did not meet the minimum number of servings of food that contain fiber. According to the CDC, fruits and vegetables are on excellent source of fiber. Fruits and vegetables are critical to good health and should be consumed at each meal. Most of the food I for these 3 days provided me with some type of fiber. My diet is not the best diet for losing weight or maintaining a healthy lifestyle.Some days I tend to miss meals or not eat anything at all. When I finally do eat I omit certain foods because I am always on the go. I understand that I need to consume all five food groups daily but I may only consume two of the recommended food groups a day. I need to change my diet to include every food group and meet my recommended daily calorie intake. Most days I only consume less than 1300 calories for a day. I will try to eat more leafy greens vegetables and fresh fruits to boost my fiber intake. My meals do not include beans or peas daily but I do try to eat them at least twice a week.If I switch from fruit juice to fresh fruit I will intake a better quality of vitamins and minerals. Fru it juice contains more sugars than fresh fruit. By consuming insufficient or excessive amounts of proteins, carbohydrate, fats, or fiber can limit the body’s immunity and body’s ability to rebuild itself. It can cause one to have bowel problems, infections, and decreases one’s ability to think and remember things. References: Nutrition for Everyone retrieved from https//:www. cdc. gov/nutrition Why Count Your Macronutrient retrieved from http//:www. ezinearticles. com