Baumol’s “Sales Maximisation Hypothesis?” Essay

To what extent does empirical evidence on corporate objectives support the predictions of Baumol’s â€Å"Sales Maximisation Hypothesis?† In Neo-Classical Economic theory of a firm, the owners of a firm are involved in the day to day running of the firm, and therefore their main desire is profit maximisation. In reality firms are most likely run by managers and not by the owners. Because of this there is a lack of goal congruence between the two. Baumol (1959) suggests that manager controlled firms are more likely to have sales revenue maximisation as their main goals rather than profit maximisation favoured by shareholders. He shows that there are several explanations for the managerial emphasis on sales maximisation rather than maximising profits: sources of debt closely monitor sales of firms and are more willing to finance firms with growing or large sales figures; lay- off necessitated by fall in sales leads to industrial unrest and unfavourable investment climate; and with decreased sales (and consequently decreased market power) the firm enjoys lesser powers to adopt effective competitive tactics. As well as managers’ power and prestige and even salaries are more closely correlated with sales as to profits. Judged in this perspective, sales maximisation can be said to be the independent objective in managerial decision making, where ownership and management are clearly separated. This review of evidence will examine the advantages and limitations of Baumols theory on sales-maximisation. The majority of empirical evidence shows that there little correlation between the remuneration of top managers and the profit performance of their companys, instead sale revenue is seen as the major contributor to the salaries of managers. McGuire et al. (1962) tried to test Baumols contention that managers salaries are much more closely related to scale of operations of the firm than with profitability. They devised simple correlation coefficients between executive income and sales revenue and profits over the seven-year period 1953-9 for 45 of the largest 100 industrial corporations in the US. Their research showed that the correlation between salaries and sales was much greater than with profits. They recognise that there are serious limitations with using simple correlation analysis and the fact that correlation does not necessarily imply causation. Due to this the resear ch they done cannot be proved to be conclusive. D. R. Roberts found that executive earnings are correlated closely with the size of sales and not the level of profits. He used a cross section of 77 american firms for the period 1948-50. This evidence supports Baumols claim that managers have strong reason to pursue expansion of sales rather than increase profits. Conyon and Gregg (1994) produced a study of 177 firms between 1985 and 1990, it showed that pay of the top executives in large companies in the UK was most strongly related to relative sales growth (i.e. relative to competitors). They also found that it was only weakly related to a long term performance measure (total shareholder returns) and not at all to current accounting profit. Furthermore, growth in sales resulting from takeovers was more highly rewarded than internal growth. This evidence supports baumols presumption that sales maximisation is better related than profit, to executive rewards and corporate performance. Profitability and executive pay appear to be largely unrelated, suggesting that other managerial objectives might be given priority e.g. sales revenue. However total remuneration packages for top executives may be linked to profitabilit y, helping to align the interests of managers’ more closely to the interests of shareholders. Shipley (1981), in a major study concluded that only 15.9% of 728 UK firms questioned are true profit maximisers. The majority of the firms answered that the aim of their firms is for satisfactory profits. Hornby (1994) conducted a study off 77 Scottish companies and found that only 25% of the respondents are profit maximisers according to the ‘Shipley test’. And again the majority of the firms preferred satisfactory profits to profit maximisation. Although the study tells us little about sales maximisation, Shipley found that it was ranked fourth among principle pricing objectives, and nearly half the firms included sales revenue as at least part of their set of objectives. Larger companies were the ones that cited sales revenue as their principal goal. Since larger companies have a greater separation between ownership and management control, this lends support to Baumols theory. Marby and Siders (1966/7) computed correlation coefficients between sales and profits over 12 years, 1952-63, for 120 large American organisations. Zero or negative correlations between profits and sales would support Baumols hypothesis. The findings showed positive significant correlations between sales revenues and profits. This does not necessarily contradict Baumols hypothesis as sales and profits are positively correlated in Baumols model up to the point of maximising profits. Even when they concentrated on ‘reliable’ data from 25 companies which they thought had been operating at scales of output beyond the levels corresponding to maximum profit. Correlations between profits and sales were still mostly positive. This evidence is interpreted as refuting the sales-maximisation hypothesis. These studies argue the case for and against Baumols theory of sales-maximisation. Although there have been many studies conducted to test Baumols hypothesis, the empirical evidence is not conclusive in favour for or against the sales-maximisation hypothesis. Many argue that Baumols theory has many flaws, such persons are M H Peston and J R Wildsmith. Behavioural theory opposes the idea of a firm seeking to maximise any objective. Management are more likely to hold a set of minimum targets to hold the various stakeholder groups in balance. In practice, profit maximisation in the long term is a major goal for firms, but sales revenue is an important short term goal, though even here a profit target may still be part of the goal set. A widely used technique in the management of larger firms, portfolio planning, would seem to support the behaviourist view that no single objective will usefully help predict firm behaviour in a given market. In Neo-Classical Economic theory of a firm it suggests, the owners of a firm are involved in the day to day running of the firm, and therefore their main desire is profit maximisation. Managers are supposed to maximise shareholders wealth by investment means such as CAPM, NPV and ARR. This is the traditional means for the modern day manager to increase shareholder wealth. Agency theory explains that shareholders and managers have a relationship which is crucial to the modern firm. Managers run the company on behalf shareholder and shareholders will reward them with high salary. However this is not always the case as human nature dictates that self-interest, wealth, and power will come into the equation. Managers may start building empire, maximise sales and take on long term and complicated projects which only they understand and this will make it difficult for shareholders to sack them. This is typical of most western economies and former chief executive officer of News international James Murdoch argues in Mctaggart lecture 2007, the only reliable perpetual guarantor of independence is profits signalling that maximising profits is the only compass to measure success. This is reflective of the neoclassical economic theory and this essay will examine the advantages and limitations of sales maximisation. . argument for the theory of sales maximisation but there is serious limitations and that is the behavioural difference between long run profit maximisation and sales maximisation that there are no conclusive econometric tests as the difference is very subtle. Therefore there has to be more future research into testing what the key differences are between sales and profits. Also there has to be one to one interviews into the psychology of Managers in the firms that they running as some argue for profits whilst some argue for sales e.g. James Murdoch speech. The use of postal questionnaires for use in studies can bring evidence that is not In summary that is conducted for Baumols hypothesis empirical evidence is not conclusive in favour for and against the sales maximisation hypothesis.

Choosing Good Annotated Bibliography Topics

Choosing Good Annotated Bibliography Topics Among the members of the church announces at the close of the service that he'd like to have the church come back to his home to eat, so many individuals visit the dinner at his residence. As a consequence the schools worry that they're hiring professors with minimal experience and spend more cash on the present faculty to keep them happy. Such statistics include murder prices, concealed-carry permit prices, and assorted others. If you're investigating a topic for the very first time, cause'' may be too hard to pursue, even when you are extremely interested in it. Where to Find Annotated Bibliography Topics Record the right information for your bibliography from every source you find. Moreover, it doesn't matter what the distinct subject area you want, but your annotated bibliography ought to be laconic and right to the point. While an abstract also summarizes a guide, book, Web site or other sort of publication, it's purely descri ptive. An annotated bibliography might be a part of a bigger project or it may also be a stand-alone assignment. The concept that you place into your paper could be paraphrasing the original info or it might be an immediate quotation. Sloane's work will act as my principal supply of information. Project topic on business management lists will allow you to choose what you would like to study. While the majority of the formatting styles are quite alike, there continue to be some differences, which ought to be taken into consideration. Studying greeting cards which are already on the market will provide you with a feel for what consumers and greeting card businesses are interested in. 1 approach to organize information from resources is to produce a notecard for each idea you wish to incorporate into your paper. Your school library website ought to have a list of databases you are able to access. Additionally, students may also obtain different version of a book on our site. The One Thing to Do for Annotated Bibliography Topics You are able to accordingly make extra research and gather knowledge that has not yet been published in the current papers. As a part of corporate social responsibility, the help of on-line bibliography are provided at zero cost to students who cannot afford to cover generating the citations. In reality, an annotated bibliography provides a student the opportunity to dig deeper into the subject of this issue and locate an informational foundation for the research undertaking. It is u sually assigned to students who are conducting a particular type of research, or are searching for a better understanding of a particular topic. To let readers know when you achieve the close of the summary, place a parenthetical citation at the end of the material. Gather the exact same amount of evidence for each side of the argument in order for your article is not going to appear biased. As soon as you enter a specific topic on the site, it will become possible to understand regarding several factors, which can be helpful for the research. It's mandatory on the portion of the student to compose the assignment free from any plagiarism, meaning the material or content shouldn't be copied from any other sources. Annotated Bibliography Topics: the Ultimate Convenience! Being a complete variant of the references page, the Annotated Bibliography is an all-inclusive collection of literature employed in the essay or research paper intended to show the author's point. In the event you're not confident about the several formats like APA, MLA Chicago etc. use a web-based annotated bibliography generator to simplify the approac h. There are lots of standardized formats of APA bibliography which can be found the internet but it's still recommended to check for the precise style and format with professors. The summary is likewise very great. Tape record and take notes to make certain you get every detail down. If you're writing an annotated bibliography with several sources, it might be beneficial to divide the sources into categories. Locate the documents and articles linked to the chosen city and produce a brief annotated bibliography. Both are necessary to compose a well-rounded discursive article. As you probably are aware that it is crucial to incorporate a citation whenever you're quoting from a research supply, it's just as important to incorporate a citation when paraphrasing or summarizing. Proper citations help defend you from committing plagiarism when you compose a paper and apply the ideas from another source you have researched.

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â€Å"Honestly is the best policy† is the best way to live life. This aphorism is something that my parents were constantly telling me when I was younger. All throughout life you are told to tell the truth and not lie. We will write a custom essay sample on Honestly is the Best Policy or any similar topic only for you Order Now Lying about something will only make the problem worse. In my experience prolonging the truth from your parents just creates a bigger problem then you were trying to keep covered in the beginning. Once you start lying you then need to keep up with all the lies you told and make sure you remember them so you don’t get caught. Sometimes depending on the gravity of what type of situation you lied in you can cause yourself a lot of stress trying to cover up the truth. When the truth comes which it almost always does you will disappoint the people around you. Most parents mine especially don’t get mad at me rather they just tell me how disappointed they are. Sometimes hearing your parents say they are disappointed in you hurts more then them screaming at you. When you lie to your parents and they find out, they may feel like you are breaking their trust. Once you have broken that trust it will take a long time for you to rebuild it. You can also feel very guilty after you have lied to someone that holds an important place in your life. No matter how many times you tell them how sorry you are it won’t change what you did. If you choose to live by â€Å"honesty is the best policy† and not lie you will feel no guilt or disappointment. Without all of the guilt and disappointment that lying brings you can live a happier and less stressful life. You also will not sever the sometimes very little trust that your parents have put in you. This will allow you have strong relationships with your parents and even give you the opportunity to strengthen them. Family is super important to me, so having a healthy and genuine relationship with my parents is what I would like. You won’t have to deal with all of the stress that keeping up with your lies requires. Instead of causing yourself so much heartbreak just remember honesty is the best policy. How to cite Honestly is the Best Policy, Papers

Symbolic interpretation of traditional marriage rites, and its evolution case of kom north west of cameroonn Example For Students

Symbolic interpretation of traditional marriage rites, and its evolution: case of kom north west of cameroonn Outline1 Abstraction2 Introduction3 PROBLEM STATEMENT4 RESEARCH QUESTION5 Aim6 Specific aims7 Methodology7.1 Data and Information Collection7.2 Acquisition of Secondary informations7.3 Acquisition of Primary Data8 Data Analysiss9 DELINEATION RESEARCH DOMAIN10 Thematic Delineation of Research Domain11 Geographic and Socio-Cultural Delineation of Study Area12 LITERATURE REVIEW13 Decision14 REFRENCES Abstraction This paper will take a expression at kom traditional matrimony rites and the four stages the constitute the existent matrimony in Kom. It will get down by mentioning where Kom is situated, the assorted 8 orbiter small towns that made up the Kom folk, which are Achain, Akei, Baiso, Baicham, Bueni, Mbesinaku, Mbenkas and Mejang. How they perceived matrimony, how matrimony is practiced in this society. This ethnographic work will besides look at the four phases of matrimony in this community which comprises of wooing, Si Lun Ibi ( to inquire for Kola- which means ask the miss s manus for matrimony ) , Ndo Wi ( the house of the married woman ) and eventually the existent traditional matrimony which is the Ncha Wi ( the ironss of the married woman ) . During the class of roll uping informations I will take in to consideration the symbolic reading of matrimony rites during the four phases of matrimony peculiarly the usage of imagination. The paper will besides concentrate on the importance of matrimony and the factors that prohibits matrimony in this society. Last, the paper will look at the socio cultural development of matrimony in kom, seeking to compare the past and present matrimony, the consequence on the Kom tradition and its persons. Besides the ways of over approaching transgressors involved in this matrimony To efficaciously transport out and pass on this ethnographic work, different beginnings and techniques will be used to roll up and analyse the information severally. Different secondary beginning will be expeditiously utilised. As respects primary beginnings, field trips, interviews, direct observations, questionnaires and other methods used to transport out ethnographic research will be exploited, the usage of native narrative. Finally, informations will be analysed with the usage of both qualitative and quantitative techniques. Tables, per centums, charts and graphs will be used after screening, sort analysing and construing the information. Introduction Marriage in Kom is believed to be the oldest societal organic structure that has of all time existed invented by adult male. Marriage ceremonial in Kom consuetude four phases and a series of rites, these rites are really symbolic in traditional matrimony process.Marriage in kom Begins with secret seeing between the male child and the miss until they have decided to do it official for their households. The brotherhood of adult male and adult female in Kom obligatorily begins with debut which is non a signifier of matrimony but the way to matrimony ; this is the really first measure which makes matrimony as establishment. A adult male or adult female can obtain a esteemed traditional rubric when he/she is married. This goes aboard with three of import facets that accompanied matrimony. Wain ( a kid ) , ifuonjini ( nutrient ) iyamngvin ( the jungle animate being ) . These three Kom three fingers are really of import any married twosomes lives in that a successful household must hold k ids nutrient and the caput of the household must be strong to support and protect and fend for the household. While the adult female must supply nutrient take attention of the kids and be strong as the jungle animate being to carryout her marital responsibilities. Marriage in Kom can either be polygamous or monogamous it depends on the person concerned. Apart from the traditional matrimony which comprises of three chief phrases of which households choose either to make all or merely one, there are besides some other signifiers of matrimonies the civil matrimony, and the spiritual matrimonies. These two other matrimonies are picks of households therefore ; they are non of traditional importance to the Kom society. What can be defined as a matrimony process is the matrimony rite which plays an of import function in matrimony ceremonial. With the absence of these rites the matrimony process is considered fruitless. As clip is go throughing by the Kom people have experienced development in matrimony process and rites, that is why this paper will seek to happen out while matrimony have evolved? What have caused the development? and the consequence of it on traditional matrimony rites and Kom tradition as a whole which the people see it as debatable to their civilization. PROBLEM STATEMENT In matrilinear societies like kom bride-wealth is non transferred because the kids belong to the married woman s kin or line of descent and will inherit from their female parent s group the hubby s inheritors are his sisters kids, and non his ain kids who alternatively inherit from his married woman s brothers, their maternal uncles. In Kom tradition, the groom is asked to pay bride monetary value in hard currency and in material signifier like the assorted membranophones of oil, meat fire wood and host of other subordinates. This immense demands scared many immature work forces from get marrieding. Some migrate and work in the plantations for twelvemonth to acquire the necessary points for matrimony, this make most of them to get married tardily since they have to work for old ages to obtain what will be demanded from them by their comfortable in Torahs. Another factor that hinders matrimony is the cultural impression of witchery, the period given to the groom s household to wait, is normally the clip the bride s household consults a diviner to cognize the societal background of the groom. The things they ever look for are witchcraft, liquidator, unwellness like lunacy, and cryptic decease. When any of these ailments are found they proposal will be turned down. The fact that matrimony at times is strategic it is a job to these people because background study must be done to harmonize matrimony which means it is non based on love. A Fatal Utopia EssayLITERATURE REVIEW Traditional matrimony is a really interesting subject and has been of great concern to research workers and authors. They have tried to cognize what married is all about, those involved in married, the rites performed during traditional matrimony that identify as members of that community, and the jobs they face in married. They are besides seeking to place some proposed solutions to these jobs. The plants of these research workers or authors will be analyzed in respect to this ethnographic research work in the subsequent paragraph. Harmonizing by the ( Journal of Religion and Science Published 15 2005 @ 2010 by the joint publication Board of Zygon, rituals serves to show those cosmic beliefs non for the scientific intent of explicating or commanding the universe but for the experiential intent of giving human existences a placein it. This diary points out that it expresses beliefs about society non merely by maintaining human existences in their societal topographic point but giving them a societal topographic point. The traditional rite perform during traditional matrimony in Kom gives the twosome concern a topographic point in the society of Kom. It gives them the base to perfom other rites within their matrimony and out of the matrimony unit besides therefore it gives them a wider topographic point in the societal unit in the society. ( Jayaram V @ 2000-2010 Hinduwebsite.com ) . He potrays the matrimony rite perfom by the Hindu society during traditional nuptials, the fire ceremonial ( homam ) . The sacred fire is illuminated and the priests chant sacred mantras offering duties to assorted Gods to do matrimony a succes and bless the twosome. This is in line with the Komtraditional matrimony rite where fire is the lone objectthat lits the house when the payoff is being bnrought frontward to the would be household. This rite symbilse integrity and love between the two households, to the Kom people is the beginning of nutrient and nutrient brings love and integrity to households andthe society at big. ( John Wall 2000 ) in his composing provinces that matrimony is a sacrament of matrimonial love which finds its farther look in parent s love for fruit of their gender. This was the instance in Kom in the yesteryear, matrimony was considered to be fruitful if their brotherhood was blessed with kids. Today, this statement is far fetch people get married non because the privation to acquire kids but because they have some other peculiar strings attached to it for wealth and escapade. Thus kids are non truly of import in matrimony in kom as comparison to the yesteryear. You can happen a household without kids, hence matrimony as a sacrament of matrimonial love which finds its farther look in parents love for their gender is hardly exist. ( Kramers K Gthinji 2008 ) position point about traditional matrimony, is a matrimony between between a adult male and adult female which is the most acceptable signifier of matrimony in the society. To him traditional matrimony conforms to the traditional civilization and faith and this can be polygamy or monogamy. These matrimony classs is cultural accepted by it depends on single to take which type of matrimony to travel in to. In Kom polygamy was the extremely adept matrimony this was because a big household means wealth. Those who could non afford plenty to travel for many married womans practiced monogamousnesss. With the development of clip and modernness, matrimony in this society is monogamy people barely do travel for polygamous matrimonies once more. Decision Marriage is a brotherhood between people and it is the oldest establishment that has of all time existed since from creative activity when God created adult male adult female as hubby and married woman. Marriage should be based on love it should non be a trade where human existences are sold every bit trade goods as the instance of bride monetary value, where work forces are tasked to pay higher bride monetary value if the bride is educated. Some traditional rites should be modernised, traditional leaders should set a moderate monetary value for bride monetary value and a fixed sum of stuff goods for this intent if merely if the goods are of of import to the matrimony. Some rite should be kept out of the scene of matrimony. In a nut shell matrimony rites are good because they attaches a batch of import to marriage, some of them are supplications for a fruitful matrimony. The development of matrimony its rite has played a really enormous function in the Kom society both positively and negatively. REFRENCES Carol Ann Muller 1999: Rituals of Fertility and the Sacrifice of Desire. Nazarite Women s Performance in South Africa. Publishing House.the University of Chicago Press Chicago and London. J.L Comaroff 1980: The Meaning Of Marriage Payment. Linda.S Cordell, Stephen J. Beckerman 1980: The Versality of Kinship Roy Willis 1975: The Interpretation of Symbolism. S.E Smith 2006: Marriage Past and Present, Future? Pro Devisch Rennat 2008/2009 Course Document. Wayne Jackson July 28, 2004: As Designed by God. Dainty, Jack, and S. J. Tambiah. 1973. Bride wealth and Dowry. Cambridge, U.K. : Cambridge University Press. J. L. Cmaroff 1980: The Meaning of Marriage Payment. Kuper, Adam. 1982. Wifes for Cattle: Bride wealth and Marriage in Southern Africa. Meyer Fortes 1972: Marriage in the Tribal Societies Sheila Ellison 2000: The bravery to Be a Single Mother: Becoming Whole Again after Divorce. S E Smith 2006: Marriage yesteryear, and present, future. Wayne Jackson, July 28 2004: Marriage As Designed by God Maggie Gallagher, 2001: What is matrimony for? Public intents or Marriage Law.

The Holocausts Effects On Wiesel Essays - Satmar,

The Holocaust's Effects On Wiesel The Effects of the Holocaust On Wiesel's Faith In early 1944 the town of Sighet, Transylvania was overran by the Nazi war regime as it rapidly expanded across Europe and parts of Asia. In this town a young religious man named Elie Wiesel was questioning the intent of the German army and the rumors that were circling about them. Although he had heard that the Germans were planning mass genocide of the Jewish race, the common feeling throughout the town was that Hitler could never exterminate every Jew. Early in Wiesel's Night, he recounts his experiences in the Holocaust and he expresses his undying faith and belief that god would never allow Hitler's regime to run its course. When the Nazi army finally reached the town of Signet, the Jews were forced from their homes and relocated into the town's gettos. It was the seventh day of Passover, and according to Wiesel, ?the race towards death had begun.?1 The Jews were slowly removed from the large getto of Sighet and shipped to the smaller, ?holding? getto where they were separated a ccording to sex, age, and physical ability, and prepared for shipment to Auschwitz. The day that Wiesel and his family were to be moved to the smaller getto of Signet, Wiesel demonstrates his faith in God by awaking early to perform his daily prayers. As he prepared to leave his home he said, ?I looked at our house, where I had spent so many years in my search for God; in fasting in order to hasten the coming of the Messiah; in imagining what my life would be like. Yet I felt little sorrow.?2 This passage is symbolic of his first parting with his faith in God. Yet he still believed in God, he was beginning to understand that a God should not let mass extermination happen to his people. While he was sub-consciencly loosing his faith in God, he still felt that there was strength in humanity and that human morals would never allow the burning of Jews. Upon Wiesel's arrival at Auschwitz he caught his first glimpse of the crematories he exclaimed to his father, ?I [do] not believe that t hey can burn people in our age?humanity would never tolerate it.?3 Yet after his father convinced him of the horrible truth his faith in god could never be restored. Wiesel's father, after fully realizing the full horror of the concentration camps, said a small prayer to God, and to this Elie reacted with utter defiance. ?For the first time, I felt revolt rise up in me. Why should I bless His name? The Eternal, Lord of the Universe, the All-Powerful and Terrible, was silent. What had I to thank Him for4 Although Wiesel still believed in the presence of God, he felt that in God's silence he was defying the Jews and their faith in him. How could someone you are so devoted to be absent in your greatest time of need? Wiesel said that he sympathized with Job, and I feel that the similarities between Wiesel and Job are numerous. Both were very religious men who put their faith before all other, and yet both found that their faith brought them nothing but suffering. Both felt that they deserved a more peaceful and humane existence because of their undying devotion, yet both lived in the cruelest situations for some time. Wiesel felt that man was stronge r that god because throughout the Holocaust his fellow prisoners continued to praise God and believed that God allowed the Holocaust in order to benefit the Jews in some strange way. Wiesel felt that because of all the torture that the Jews were subjected to their continued praise proved that they were ignorant to the fact that God was not a source of supreme justice. Wiesel continued to despise God for the remainder of the Holocaust, yet from this new independence he found power. ?I felt very strong. I was the accuser, God the accused?I was terribly alone in a world without god and without man.?5 Religion Essays