Corporate Strategy Of The Business Diversification

Business Diversification The corporate strategy of the business diversification is to create a synergy to achieve more performance under a single umbrella rather than diverse business units (SNU, 2016). A business diversification is to build the company shareholder value when the independent business units can perform under a single corporation as an umbrella organization instead of independent parents or a corporation. A diversified organization has many business units and each business units have its own business level strategy irrespective of whether they are related or not. A successful business diversification not only spreads the business risk across the diverse units but also adds a long term economic value to the company. The strategy for starting a new business is based on industry attractiveness test, the cost of entry and the better off test (Thompson, Peteraf, Gamble, and Strickland, 2016). A company with a business diversification consistently grew its profit by developing a diversified expansion plan beyond its core boundary compares to a new initiative. Repeatability allows a company to learn the mistakes made and support the systematic growth of the business a complex process. (Zook and Allen, 2003) Target Corporation diversification strategy - related businesses Target Corporation is one of the largest retail companies in the U.S that employs many diverse products and technique as part of its operations. Target Corporation s overall diversificationShow MoreRelatedEssay about Business-Level and Corporate-Level Strategy1104 Words   |  5 PagesIntroduction Knowing your business-level and corporate-level strategy can maximize the life of your organization. The business-level strategy focus on creating a value offering that is appealing to consumers while also being cost-effective. The business-level strategies determine who they will serve, what product or service will meet the needs of their targeted customers, and how they will keep their customers satisfied (Harvard, 2012). Corporate-level strategies help drive an organization andRead MoreFrom Competitive Advantage to Corporate Strategy.1303 Words   |  6 Pagesadvantage to Corporate strategy. A diversified company has 2 levels of strategy: 1. Business unit (competitive): how to create competitive advantage in each business? 2. Corporate (companywide): concerns two different questions: what businesses the corporation should be in and how the corporate office should manage the array of business units? Most corporate strategies have dissipated instead of created shareholder value. Now we have to rethink to corporate strategy according toRead MoreHow And Who Makes Strategy At The Corporate Level1631 Words   |  7 PagesQuestions on Chapter 9 1. How and who makes strategy at the corporate level? 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If diversification takes place at business level, then the business is likely to expand to a totally new industryRead MoreCorporate Strategy1565 Words   |  7 PagesCHAPTER 6 STRATEGY FORMULATION: CORPORATE STRATEGY Corporate Strategy Corporate strategy deals with three key issues facing the corporation as a whole: 1. Directional strategy- the firm’s overall orientation toward growth, stability, or retrenchment 2. Portfolio strategy- the industries or markets in which the firm competes through its products and business units 3. Parenting strategy- the manner in which management coordinates activities, transfer resources, and cultivatesRead MoreCase Study : Corporate Level Strategy1234 Words   |  5 Pages99836 Chapter 9 1) Corporate level strategy is afraid with the strategic decisions a business makes that affect the entire organization. Financial performance, unions and achievements, human resource management and the distribution of resources are considered part of corporate level strategy. Usually senior manager makes strategy decision at corporate level. Units are identified as cost centers, profit centers or investment centers. Essentially, this suggests that corporate objectives can be brokenRead MoreWhy Diversification Has A Relationship With Csp997 Words   |  4 PagesIn addition, Clarkson (1995) argues that some of corporate responsibilities to stakeholders are also related to social concern from society’s perspective. Furthermore, Brammer et al. (2006) state CSP has become principal component of business organization performance since a firm undertaking intense pressure from stakeholders, such as customers, employees, and socially responsible investors, to show their commitment a nd contribution to society in social and environmental issue. Hence, we may argueRead MoreCorporate Level Strategy1199 Words   |  5 PagesAPPLE COMPUTER INC.: - CORPORATE-LEVEL STRATEGY REVIEW - A review on the strategy adopted by Apple Inc. at corporate level to ensure that the company remains at the forefront of the electronic media industry either in terms of innovation and range of products . EXECUTIVE SUMMARY An analysis was done on Corporate-Level Strategies adopted by Apple Computer Inc. (â€Å"Apple Computer†) that has brought tremendous success to the firm since it started. Apple Computer started off in 1976 by Steve JobsRead MoreThe Walt Disney Company: the Entertainment King Essay1589 Words   |  7 Pages I. Why has Disney been successful for so long? Disney’s long-run success is mainly due to creating value through diversification. Their corporate strategies (primarily under CEO Eisner) include three dimensions: horizontal and geographic expansion as well as vertical integration. Disney is a prime example of how to achieve long-run success through the choices of business, the choice of how many activities to undertake, the choice of how many businesses to be in, the choice of how to manageRead MoreCase Study : Corporate Level Strategy1234 Words   |  5 Pages99836 Chapter 9 1) Corporate level strategy is afraid with the strategic decisions a business makes that affect the entire organization. Financial performance, unions and achievements, human resource management and the distribution of resources are considered part of corporate level strategy. Usually senior manager makes strategy decision at corporate level. Units are identified as cost centers, profit centers or investment centers. Essentially, this suggests that corporate objectives can be broken

Same Sex Marriage Should Be Legal - 993 Words

Same sex marriage has been a huge topic for many years. Some states have ruled it unconstitutional, and some have disagreed, and even passed a law to allow same sex couple to legally get married. Should we punish people for wanting to show and express their love for one another? Me personally, I feel that these people should be allowed to show their love for one another the same as a man marring a woman. The only difference in their love is sexual preference and I don’t think that should be a huge deal. Here in the United States we voted on giving everyone equal rights, and that gives people the right of privacy, â€Å"freedom of speech†, and freedom and religion. Whenever there is talk about giving same sex couples the right to get married, I always hear different bible versus being thrown into the matter. We all sin in different ways, but we judge those with different sins than ours. Is this the right thing to do? The bible has no place when it comes to our laws and rights as human beings. Opposing gay marriage, in my personal opinion is another form of bias, and racism. This argument is not any different from when African Americans (â€Å"colored†) couldn’t drink from the same water fountain or even ride on a bus next to Caucasians. We as humans act as if we deny them the right to get married like a â€Å"traditional couple† they would all of a sudden change the way that they live, and stop loving the people they love. Are we that naà ¯ve? Is this even fair to those individuals. JustShow MoreRelatedSame Sex Marriage Should Be Legal1288 Words   |  6 Pages Marriage is not precisely the same as it used to be interpreted. For example, women used to be their husband’s property. Sometimes the women were forced to marry whoever their parents wanted them to marry and most of the time they couldn’t leave the marriage. Nowadays women have more freedom. They can vote, they can run their own business, and they can marry whichever man they want to. The laws change as the people’s mind change. As they get more comfortable with the idea, they become more openRead MoreSame Sex Marriage Should Be Legal Essay1475 Words   |  6 PagesSame sex relationships relate to when a man or woman are attracted to someone of the same gender of themselves. It is being rejected as same gender marriage denies the obvious purpose between a man and a women which is procreation (Richardson-Self, 2012). Denying same sex couples the legal right to get married, could mean that they are being denied their basic human rights to enjoy human benefits (Richardson-Self, 2012). However, the opposing view is that if gay marriage was granted the legal rightsRead MoreSame Sex Marriage Should Be Legal1403 Words   |  6 PagesSame-Sex Marriage â€Å"I now pronounce you†¦Ã¢â‚¬  At some point in a person’s life, they have heard or will hear those words. What follows, however, has changed somewhat over the years; although, the commitment has remained the same. Those words historically indicate that until the death of a spouse, that couple shall remain together. Who should be able to determine whom that spouse is for that person? Some people judge others for their sexuality and how it is affecting them, but they never stop andRead MoreSame Sex Marriage Should Be Legal1144 Words   |  5 PagesGay Marriage There are many issues the revolve around same-sex marriage. Many issues like: Whether same-sex should be legalized and should there be an amendment on same-sex marriage? There are multiple side to view this, but gay marriage but in my opinion gay marriage is socially accepted. it should be legal and it does affect American teens in a broad spectrum of ways. There have been a lot of issues on whether or not same-sex marriage should be legal or not. According to Burns, â€Å" The unionRead MoreSame Sex Marriage Should Be Legal998 Words   |  4 PagesSame sex marriage ought to be legalized on the grounds that it is uncivilized and unmerited. Marriage is a commitment between two people that cherish one another. In almost every country and culture, marriage is a commitment of loyalty and love. Marriage is an authority contract gathering two individuals together, furnishing them with profits of holy matrimony such as tax cuts and clinical privileges. The debate throughout most countries today is whether or not the rights of these profits and commitmentsRead MoreSame Sex Marriage Should Be Legal1659 Words   |  7 Pages Same-sex couples can hardly remember a time where they were not fighting for their right to marriage in the United States. After several court cases, California Proposition Six, and their struggle against the Defens e of Marriage Act (DOMA), same-sex couples found their way into U.S. society. Many misguided studies appealed to those opposing same-sex marriage, but after several years of integrating in society, same-sex couples found the support they were looking for. Before the Supreme CourtRead MoreSame Sex Marriage Should Be Legal899 Words   |  4 Pages In the United States, same sex marriage became legal nationwide on June 26, 2015, when the United States Supreme Court overruled the court in favor of same sex freedom and marriage. The victory of same sex marriage came to be recognized from the Obergefell v. Hodges case which was submitted when an American Ohio man was denied and regretted to get his name on his late husband’s death certificate. Same sex marriage has been a controversial social issue in the United States for several decades. SinceRead MoreSame Sex Marriage Should Be Legal1491 Words   |  6 PagesSame sex marriage is one of the most debatable issues in the modern world. Marriage has been accepted as the social union between a man and a woman for the past thousand years. Homosexuality was viewed with scorn, and marriages among same sex couples were prohibited in most cultures across the globe. However, gay relationships are slowly obtaining acceptance, as homosexuals have come to be expressive in fighting their rights to marry in the early 90’s. As homosexuality grows in acceptance in theRead MoreSame Sex Marriage Should Be Legal892 Words   |  4 PagesLove Same sex marriage is now allowed in all states across the country. But it took years and years for this â€Å"issue† to be finally laid to rest. The first state to legalize same-sex marriage was Massachusetts in 2004. There was not a last state to legalize gay marriage. The supreme court realized how many states were now legalizing it, so they just had all of the states left legalize it as well. ProCon.org supplies information that â€Å"Twenty-six states were forced to legalize gay marriage becauseRead MoreSame Sex Marriage Should Be Legal2253 Words   |  10 Pages1776). The recognition of same-sex marriage is an issue influenced by numerous factors, and debates continue to arise over whether people in same-sex relationships have the right to marriage. Marriage provides many benefits, legally, financially, and personally. Same-sex marriage can open up those in same-sex relationships to tax benefits and financial demands comparable to those afforded to and required of peo ple in opposite-sex marriages. Same-sex marriage also gives them legal protections, such as

Factor Affecting Job Satisfaction in Banks Free Essays

A Banker on whom a cheque is drawn should pay the cheque when it is presented for payment. * This cheque paying function is a distinguished one of a banker. * This obligation has been imposed on him by sec. We will write a custom essay sample on Factor Affecting Job Satisfaction in Banks or any similar topic only for you Order Now 31 of the N. I Act, 1881. * A banker is bound to honour his customer’s cheque, to the extent of the funds available and the existence of no legal bar to payment. Again, for making payment the cheque must be in order and it must be duly presented for payment at the branch where the account is kept. * The paying banker should use reasonable care and diligence in paying a cheque, so as to abstain from any action likely to damage his customer’s credit. * If the paying banker wrongfully dishonours a cheque, he will be asked to pay heavy damages. * At the same time, if he makes payment in a hurry, even when there is sufficient balance, the banker will not be allowed to debit the customer’s account. If he does so, it will amount to sanctioning of overdraft without prior arrangement, and later on, the customer can claim it as precedent and compel the banker to pay cheque in the absence of sufficient balance. His position is very precarious and is in between the devil and the deep sea. PRECAUTIONS BEFORE HONORING A CHEQUE In order to safeguard his position, the paying banker has to observe the following precautions before honouring a cheque. Presentation of The Cheque (a) Type of the cheque: Before honouring a cheque, he must find out the type to which it belongs. Cheques may generally be of two types- open or crossed. If it is an open one, the payment may be made at the counter. If it is crossed, the payment must be made only to fellow banker. If it is specially crossed, the payment must be specifically made to that banker in whose favour it has been crossed. If there are ‘A/C Payee’ and ‘Not Negotiable’ crossings the paying banker need not worry, as they are the directions only to the collecting banker. If the paying banker pays a cheque contrary to the crossing, he is liable to the drawer. Therefore, he must pay special attention to the type of a cheque. b) Branch: The Paying banker should see whether the cheque is drawn on the branch where the account is kept. If it is drawn on another branch, without any prior arrangement, the banker can safely return the cheque. (c) Account: Even in the same branch, a customer might have opened two or more accounts. Hence, the paying banker should see that the cheque of one acco unt is not used for withdrawing money from another account. (d) Banking hours: The paying banker should also note whether the cheque is presented during the banking hours on a business day. Payment outside the banking hours does not amount to payment in due course. e) Mutilation: If a cheque is torn into pieces or cancelled or mutilated, then, the paying banker should not honour it. He should return the cheque for the drawer’s confirmation. In a case cheque is torn accidentally, the drawer must confirm it by writing such words as ‘Accidentally torn by me’ and affixing his full signature. A cheque torn into two or more pieces is generally returned with a remark ‘Mutilated’. Form of cheque: Printed form: The cheque must be in proper form. It must satisfy all the requirements of law. The customers should draw cheques only on the printed leaves supplied by the bankers. Unconditional order: The cheque should not contain any condition. If it is a conditional one, the paying banker’s position will become critical and he may not honour it. Date: Before honouring a cheque, the bank must see whether there is a date on the instrument. If it is undated, it cannot be regarded as a valid instrument. If a cheque is ante- dated, it may be paid if it has not become stale by that time. A cheque, which is presented after six months, from the date of its issue, is a stale one. If a cheque is post- dated, he should honour it only on its due date. Amount: The next important precaution is that the banker should see whether the amount stated in the cheque, both in words and figures, agree with each other. If the amount is stated only in figures, the banker should return it with a remark ’Amount required to be stated in words’. However if the amount stated only in words, the banker may honour it. Supposing , there is a difference in the amount stated in words and figures, then the banker can take any one of the following courses available to him: i) He can dishonour the cheque with a memorandum ‘words and figures differ’ or i)He can honour the amount stated in words According to Sec. 18 of the N. I. Act, if the amount undertaken or ordered to be paid is stated differently in figures and words, the amount stated in words shall be the amount undertaken or ordered to be paid. ’ However in practice, if the difference is insignificant, payment is sometimes made. But usually the paying banker returns t he cheque under such circumstances, since there is an audit objection to the practice of honouring such cheques. III. Sufficient balance: There must be sufficient balance to meet the cheque. If the funds available are not sufficient to honour a cheque, the paying banker is justified in returning it. So, before honouring a cheque, he must check up the present state of his customers account. IV. Signature of the drawer: The next important duty of a paying banker is to compare the signature of his customer found on the cheque with that of his specimen signature. If he fails to do so and if he pays a cheque , which contains a forged signature of the drawer, then, the payment will not amount to payment in due course. Hence, he can not claim protection under Sec. 85 of the N. I. Act. If the signature has been too skillfully forged for the banker to find it out, even then the banker is liable. However, if the customer facilitates the forgery of his signature by his conduct, then, the banker will be relieved from his liability. Legal bar: The existence of legal bar like Garnishee Order limits the duty of the banker to pay a cheque. Garnishee order refers to the order issued by a court attaching the funds of the judgment debtor (i. e. , the customer) in the hands of a third party (i. e. , the banker). The term ‘Garnishee’ refers to the person who has been served with the order. This Garnishee proceedings comprise of two steps. As a first step ‘Garnishee Order Nisi’ will be issued. ‘Nisi’ means ‘unless’. In other words, this order gives an opportunity to the banker to prove that this order could not be enforced. If the banker does not make any counterclaim, this order becomes absolute one. This ‘garnishee Order absolute’ actually attaches the account of the customer. If it attaches the whole amount of a customer’s account, then, the banker must dishonour the cheque drawn by that customer. He can honour his cheques to the extent of the amount that is not garnished. Endorsement: Before honouring a cheque, the banker must verify the regularity of endorsement, if any, that appears on the instrument. It is more so in the case of an order cheque, which requires an endorsement before its delivery. For instance, if there is per pro endorsement, the banker must find out the existence of authority. Failure to do so constitutes negligence on the part of the paying banker. Per pro endorsement is an endorsement made by an authorized agent. Prior information about the delegation of authority to the agent must have been given to the banker. Otherwise, a banker is not legally bound to accept this type of endorsement. CIRCUMSTANCES UNDER WHICH A CHEQUE CAN BE DISHONORED Countermanding: Countermanding is the instruction given by the customer of a bank requesting the bank not to honour a particular cheque issued by him. When such an order is received, the banker must refuse to pay the cheque. If a customer informs by telephone or telegram regarding the stopping payment of a cheque, the banker should diplomatically delay the payment, till written instructions are received. If the situation is very critical, he can return the cheque by giving a suitable answer like ’payment countermanded by telephone and postponed pending confirmation. Therefore, countermanding instructions, once received, must be kept as a constant record. A ‘stopped payment’ register may be maintained for ready reference. Upon the receipt of notice of death of a customer: When a banker receives written information from an authoritative source, (preferably from the nearest relatives) regarding the death of a parti cular customer, he should not honour any cheque drawn by that deceased customer. If the banker is unaware of the death of a customer, he may honour the cheque drawn by him. Death puts an automatic end to the contractual relationship between a banker and his customer. Upon the receipt of notice of insolvency: Once a banker has knowledge of the insolvency of a customer, he must refuse to pay cheques drawn by him. Upon the receipt of notice of insanity: Where a banker receives notice of a customer’s insanity, he is justified in refusing payment of the cheque drawn by him. The banker should make a careful note, when the lunacy order is received. It is advisable that the banker should act upon a definite proof of the customer’s insanity like a doctor’s certificate, a court order etc. Upon the receipt of notice of assignment: The bank balance of a customer constitutes an asset and it can be assigned to any person by giving a letter of assignment to the banker. Once an assignment has been made, the assignor has no legal rights over the bank balance and therefore, if any cheque is drawn by him, the banker should refuse to honour it. When a breach of trust is intended: In the case of a trust account, mere knowledge of the customer’s intention to use the trust funds for his personal use, is a sufficient reason to dishonour his cheque. Defective title: If a person who brings a cheque for payment has no title or his title is defective, the banker should refuse to honour the cheque presented by him. For instance, a person who brings a cheque, which has been countermanded or which has been forged, has no title to it. Statutory Protection to a Paying Banker: Supposing, a paying banker pays a cheque, which bears a forged signature of the payee or endorsee, he is liable to the true owner of the cheque. But, it is quite unjustifiable to make the banker responsible for such errors. It is so because; he is not expected to know the signature of the payee or the endorsee. Therefore, law relieves the paying banker from his liability to the true owner in such cases. This relief is known as ‘statutory protection. ’ To claim protection under Sec. 85 of the N. I. Act, 1881, the banker should have fulfilled the following conditions: * He should have paid an order cheque. * Such a cheque should have been endorsed by the payee or his order. * It should have been paid in due course. PAYMENT IN DUE COURSE The cheque should have been paid in due course as per Sec. 0 of the N. I. Act. This concept of payment in due course has three essential features: (I) Apparent tenor of the instrument: To avail of the statutory protection, the payment should have been made according to the apparent tenor of the instrument. The apparent tenor refers to the intention of the parties, as it is evident from the face of the instrument. Example: If a drawer draws a cheque with a post –date, his intention is to make payment only after a certain date. If it is paid before the due date, this payment does not amount to payment in due course. So also, the payment of a countermanded cheque does not amount to payment in due course. (ii) Payment in good faith and without negligence: Good faith forms the basis of all banking transactions. As regards negligence, the banker may sometimes be careless in his duties, which constitutes an act of negligence. If negligence is proved, the banker will loss the statutory protection given under Sec. 85. Example: * Payment of a crossed cheque over the counter. * Payment of a post-dated cheque before maturity. * Failure to verify the regularity of an endorsement. iii)Payment to a person who is entitled to receive payment: The banker must see that the person, who presents the cheque, is in possession of the instrument and he is entitled to receive the amount of the cheque. Protection to a bearer cheque: Now this protection has been extended to bearer cheques also under sec. 85(2). If a bearer cheque is paid in due course, the banker is entitled to get protection. Statutory Protection in the case of a Materially Altered Cheque: A paying banker cannot normally claim any statutory protection for a materially altered cheque. However; Sec. 89of the Negotiable instrument Act. Gives protection in the case of a materially altered cheque provided, (1) He is liable to pay, (2)Such an alteration is not apparent and, (3) The banker has made the payment in due course. Recovery of Money Paid by Mistake: Under the following circumstances, money wrongly paid can be recovered:- (i)Money received mala fide is recoverable: When a person receives money by mistake in bad faith, knowing that he is not entitled to receive that money, then, the banker is entitled to recover the same. (ii) Money paid under a mistake of fact is recoverable: For instance, a banker pays money to X, thinking that he is Y. This is a mistake of fact regarding the identity of the parties. Y is under a legal duty to pay the money back to the banker. COLLECTING BANKER A collecting banker is one who undertakes to collect the amount of a cheque for his customer from the paying banker. In collecting a cheque, the banker can act in two capacities namely (1) as a holder for value, and (2) as an agent for collection. The banker would be as a holder for value: (a) If he allows his customers to withdraw money before cheques paid in for collection are actually collected and credited. b) If any open cheque is accepted and the value is paid before collection, and (c) If there is a reduction in the overdraft account of the customer before the cheque is collected and credited in the respective account. In all these cases, the banker acquires a personal interest. A Banker as an agent: In practice, no banker credits a customer account even before a cheque is collected. He collects a cheque on behalf of a customer. So, he cannot acquire any of the rights of a holder for value. He has to act only as an agent of the customer. Duties of A Collecting Banker: i) Exercise reasonable care and diligence in his collection work: When a banker collects a cheque for his customer, he acts only as an agent of the customer. He should exercise reasonable care, diligence and skill in collection work. (ii) Present the cheque for collection without any delay: The banker must present the cheque for payment without any delay. If there is delay in presentment, the customer may suffer losses due to the insolvency of the drawer or insufficiency of funds in the account of the drawer or insolvency of the banker himself. In all such cases, the banker should bear the loss. iii) Notice to customer in the case of dishonour of a cheque: The N. I. Act has prescribed a reasonable time for giving the notice of dishonour. If he fails to do so, and consequently, any loss arises to the customer, the banker has to bear the loss. (iv) Pr esent the bill for acceptance at an early date: As per sec. 61 of the N. I. Act, a bill of exchange must be accepted. If a banker undertakes to collect bills, it is his duty to present them for acceptance at an early date. (v) Present the bill for payment: The banker should present the bills for payment in proper time and at proper place. If he fails to do so and if any loss occurs to the customer, then, the banker will be liable. According to Sec. 66 of N. I. Act a bill must be presented for payment on maturity. (vi) Protest and note a foreign bill for non-acceptance: In case of dishonour of a bill by non-acceptance or non-payment, it is the duty of the collecting banker to inform the customer immediately. Generally he returns the bill to the customer. In the absence of specific instructions, collecting bankers do not get the inland bills noted and protested for dishonour. If the bill in question happens to be a foreign bill, the banker should have it protested and noted by a notary public and then forwarded it to the customer. Statutory Protection to the collecting Banker: According to sec. 131 of the N. I. Act, statutory protection is available to the collecting Banker in the following cases: (i)Crossed cheques only: a collecting banker only for crossed cheques can claim statutory protection. It is so because, in the case of an open cheque, it is not absolutely necessary for a person to seek the service of a bank. ii) Collections on behalf of customers as an agent: a banker only can claim the above protection for those cheques collected by him as agent of his customers. iii) In good faith and without negligence: In order to get the protection under this section, a collecting banker must act in good faith and without negligence. Matter of negligence is of great importance. Basis of negligence: When a collecting banker wants to claim protection under S ec. 131, he has the burden of proving that he has acted without negligence. Gross negligence: If a banker is completely careless in collecting a cheque, then, he will be held liable under the ground of ‘gross negligence. ’ Examples: Collecting a cheque crossed ‘A/C payee’ for other than the payee’s account: Account payee crossing is a direction to the collecting banker. If he collects a cheque crossed ’A/C payee’ for any person other than the payee, then, this fact will be proved as an evidence of gross negligence. FAILURE TO VERIFY THE CORRECTNESS OF ENDORSEMENT If a banker omits to verify the correctness of endorsements on cheques payable to order, he will be deprived of the statutory protection. i)Failure to verify the existence of authority in the case of per pro signatures: If a collecting banker fails to verify the existence of authority in the case of per pro signatures, if any, will be proved as an evidence of gross negligence. (ii) Negligence connected with the immediate collection: If, on the face of a cheque, there is a warning that there is misappropriation of money, the collecting banker should make some reasonable enquiry and only after getting some satisfactory explanations, he can proceed to collect cheques. Examples: * Collecting a cheque drawn against the principal’s A/c, to the private A/c of the agent without enquiry. * Collecting a cheque payable to the firm to the private A/c of a partner without enquiry. * Collecting a cheque payable to the company to the private account of a director or any other officer without enquiry. * Collecting a cheque payable to the employer to the private account of the employee would constitute negligence under sec. 131 of the N. I. Act. * Collecting a cheque payable to the trustee, to the private account of the person operating the trust account is another instance of negligence of a banker. iii) Negligence under Remote Grounds: Normally, we cannot expect a banker to be liable under certain circumstances. But, the bankers have been held negligent under those situations, which are branded as ‘remote grounds. ’ Examples: * Omission to obtain a letter of introduction from a new customer causes negligence. * Failure to enquire into the source of supply of large funds into an account, which has been kept in a poor condition for a long time, constitutes negligence. How to cite Factor Affecting Job Satisfaction in Banks, Essay examples

Managing Across Global Cultures

Question: Write an essay on international business analysis. Answer: Introduction China is a developed economy with a string economic growth witnessed in the last decade. The economic growth has accelerated its GDP growth and he overall economic growth of the country. China has witnessed a 1.1 % increase in the GDP growth rate in the first quarter of 2016, which has surpassed the forecasts and estimation made for the Chinese economy. The annual growth rate in China in the last year was 7.3 % with the highest being 9% in the last decade (Ang and Van Dyne 2015). The strong economic growth has attracted foreign companies across the globe. The foreign investment in China generally tends to lend important benefits to the company. The increasing foreign markets in China and the ever increasing economic growth of China attract foreign companies in China. However, this was not the case with McDonalds in their business endeavors in China (Erickson 2016). The research paper focuses its study on the business endeavors of McDonalds in China and the outlines the causes for the failure of it in China. The research paper critically analyses the business model of the company and shed critical light into the cultural differences between the two countries. The underlying issue of cross cultural management issue is critically handled and addressed and necessary recommendations are also provided. Discussion The case study of McDonalds business endeavors in China is taken and the research paper gives an overview of the case study. McDonalds is worlds largest chain of fast food restaurants serving 68 million of people and operating in 119 countries. The growing business scale of McDonalds made it enter the Chinese market and decided to expand its market in China (Erickson 2016). However, an 8.3 % slump in the profitability and growth of McDonalds in Chinese markets made the company to shutter 220 stores in China. The company has been planning to shut down the stores in China due to low profitability of the company in the country and the lack of demand from the customers in China. The latest 8.3 slump in the growth and profitability of the company has led the company into shutting down stores in China and facing huge loss liability in the country (Moore 2015). It has been noticed that the cultural gap and cross cultural management issues were a contributing factor to the loss faced by the company in China. The two contributing factors of the companys failure in the country has been the controversy relating to the supply of meat to the company, which involved the mixing of meat of chicken and beef that were beyond the expiring date. This created a stir in the public and the episode created a major blot on the image of the country. The public however, took the incident seriously and maintained a hesitant attitude towards procurements and purchase from the restaurant. McDonalds failed to address and meet the daily requirements of the customers in China and the changing demands and requirements culminated into the decline of the operations and profitability of the company in China. Also, the changing lifestyles and habits of the public were a major cause for the changing demand to the products of the company (Spencer Oatey and Franklin 2014 ).The case study of McDonalds failure in China needs to be analyzed and studied from a cultural point of view. The case study stresses on the cultural differences between the two countries for the cause of the decline of the companys business in China. The cultural gulf between the eastern and western countries has been a major cause for the decline of the company in China. The inability of the company to bridge the gulf between cultural perspectives of the countries is another reason and cause for the failure of McDonaldss China. The evaluation and the assessment of business model of the company highlights the areas where the company fails in meeting the requirements and demands of the consumers (Spencer Oatey and Franklin 2014). The scandal relating to the supply of meat by a supplier in McDonalds was one of the biggest causes of its downfall. The meat, which was a mixture of chicken and beef were way past the expiry date. This caused a great alarm among the Chinese customers. The concerns regarding health and safety issues turned out to be the biggest cause of concern and downfall for the company. It is inferred that the Chinese customers are very susceptible to scandals and controversies and the impact of such scandals and controversies have a lasting impression on their mind. In such scenario, McDonalds suffered a major setback in terms of this controversy. More and more consumers started protesting against meat laced with antibiotics. The questions over the quality and assurance about quality of substance were highly raised and the controversy dragged the company to the court regarding the fact that the move had jeopardized the health of the people and the company had compromised the health and safety of the consumers for profit motive (Chaney and Martin 2013). The notion of Chinese customers against fast food is that quality is not the primary motive. Despite the fact that McDonalds ensures quality of the food, the conceived notion of the people is that it only gives back reasonable return on the price of the food that is provided since McDonalds items are cheap as a part of their expansion policy. The people of China would raise similar concern and worry about the consistency of quality and conformity to health and safety issues regarding food in fast food chain of restaurants. It is a part of their cultural views. The globalization strategy of McDonalds could not compete or understand the localization factor in terms of food among the Chinese people. This inability of McDonalds turned out to be the undoing of the company in China (Ang and Van Dyne 2015). The taste and preference of the customers is an element of the culture and views of a people. It affects the demand pattern and is one of the major causes that affect the demand and the purchasing trend of the people. It was seen that urbanization had affected the lifestyle and the income spending ability of the people. This had paved the way for the scope of growth and rich prospect for foreign markets. This was however not the case with McDonalds. Brand loyalty and brand awareness is a part of a cultural view of people. The Chinese were conscious and did tend to show loyalty to Chinese brands and they preferred local food and the Chinese cuisine over the fast food restaurant McDonalds. The taste and preferences of the Chinese did not match with the cuisine of McDonalds. The company was unable to fulfill the daily requirements and the major needs of the people. The people were of the view that the cuisine of McDonalds did not suit their palate and the preferred choice was Chinese cu isine and brands. The traditional culture of the Chinese in terms of food was revolving around color, flavor, fragrance and variety. Thus, McDonalds was unable to expand in the Chinese market and develop significant customer due to taste and preferences if the people. The company failed to establish a brand loyalty and brand awareness among the people since the local people did tend to shift mainly towards the local brands and the local food (Hashmi et al. 2014). One of the reasons that the company could achieve much success in its business endeavors in China was mainly because of the failure of the company to recognize the habit of the thrift and saving among the people. It was inferred that the Chinese people preferred local brand local cuisines because they would expect greater bargain with a local brands as they could get products at a cheaper rate and would also be assured of the quality. The recent scandal circulating McDonalds would backfire against the company (Erickson 2016). Another r response from a Chinese customer was that dealing with a Chinese brand would ensure fair quality and price and would also ensure better services since there would no cultural gaps between local brands. the significance and importance of relationships between the company and the customers is a very important aspect and cultural gaps can be one of the biggest cause of the companys stagnant growth and failure in a business endeavors (Hashmi et al. 2014). Language is a major part of a culture of a country. Language barrier could one of the biggest hindrances in a business undertaking. Inability to communicate is one of the major snags in a business strategy. Language is a manifestation of culture. Chinese is the mother tongue of China and is spoken by more than three times than the English speaking population. However, English is the official language of the world. The official language is an important tool in terms of business endeavors involving different cultures. The silent language, which is the mother tongue of the Chinese people is a powerful language and the inability to adjust or induce this language in the business strategy might lead to adverse conditions and consequences for the business due to lack of communication, which is a critical factor in business (Rothlauf 2015). McDonalds tried to incorporate the same business strategy throughout China. They failed to realize that China comprises of sub-cultures with difference in style in in-land and coastal regions. The industrial revolution has changed lifestyles of people but it led to indifferent development of style and culture in different parts of China, which culminated into sub-cultures in different parts of China. The incapability of the company to adjust to different sub-cultures within China led to the downfall of the company (Ang and Van Dyne 2015). The application of the Hofstedes four dimension towards culture helps in further understanding the cultural gap between these countries. The four dimensions that are used in the study are masculinity vs femininity, Individualism vs collectivism, uncertainty avoidance and power distance. These cultural gaps depict the distinction in the culture between eastern and western countries. American and western countries are strongly dominated by individualism concept where individuals are strong dominated by individual concept. They are mainly concerned about themselves and the people that are close to them. In such a case they are not majorly influenced with what the different individuals in a society feel. On the other hand, the Chinese people are strongly dominated by collectivism concept, where they are strongly affected by how people react to changes and the elements in the external environment. The fact can be traced from the scandal that embodied McDonalds (Moore 2015). Both the countries are dominated by masculine quotient. The countries are equal in this regard. The people are prefer material goods and do not favor leisure over work. The uncertainty avoidance indicates the tolerance level of a culture toward uncertainty. The Chinese culture show level of tolerance towards uncertainty but observe rules and universal truths. The laws are amendable and flexible according to the requirement of the situations in the Chinese culture. The Chinese culture favor ambiguity as the Chinese culture comprises ambiguous elements just like the Chinese language. The Americans are completely reversed in this regard (Chaney and Martin 2013). The power distance of China is measured with a higher rating than America in this regard. The Chinese people have a strong power to question and challenge authorities and class division is assumed to be logical and fair (Rothlauf 2015). The difference in culture between eastern and western countries is also a contributing factor towards the decline of McDonalds in China. The Eastern people live in a complex and interdependent society with complex social practices. They value relationships and the contexts associated with it. The Western people tend to live in a more independent and individualistic social setting with uncomplicated social practice. They tend to value material objects than relationships and contexts (Chaney and Martin 2013). Conclusion On concluding the essay, one can see the importance and the value of culture in a social setting and in business endeavors. Culture is a driving force among people in their social practice and social behavior. McDonalds could not efficiently employ and use the business models due to cultural reasons. The scandal surrounding McDonalds turned out to be the major cause and the downfall of the company in China. The definite and unique Chinese culture had different taste and preference, which McDonalds could not achieve and the tendency of the Chinese people to favor local cuisine and Chinese food culminated into the factors, which led to McDonalds closing around 220 shops in China. Reference List Ang, S. and Van Dyne, L., 2015.Handbook of cultural intelligence. Routledge. Caganova, D., Cambal, M. and Weidlichova Luptakova, S., 2015. Intercultural managementtrend of contemporary globalized world.Elektronika ir Elektrotechnika,102(6), pp.51-54. Chaney, L. and Martin, J., 2013.Intercultural business communication. Pearson Higher Ed. Eisenberg, J., Hrtel, C.E. and Stahl, G.K., 2013. 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