Term paper Essay Example | Topics and Well Written Essays - 1250 words - 3

Term paper - Essay Example Apparently, taxation policies as well as government spending have considerable effect on the economy and future prospects of the government as far as international relations are concerned. Taxation policy must take into account the fundamental rights of all workers in an economy (Mishkin 34). The government should particularly take into account the total population of its workforce during a given financial year even as it plans bring the fore the budgetary estimates. Since the budget of most countries is largely dependent on the local taxes as the main source of funding, the wage rate per worker will be a key factor. Taxation policy should not compromise the worker’s ability to meet their day-to-day needs to keep life moving (Mishkin 34). Hence, fiscal policy makers must take into account the wage rate, currency strength locally and internationally, and the cost of living. The government must therefore consider the current situation of its labor market before making any critic al additions regarding purchasing goods and services, distributing transfer payments, and collecting taxes. If the current trend were unfavorable to the economy and labor market, the government would then have to revisit its fiscal policy to save the situation (Mishkin 34). An increase in amount of taxes that employees pay to the government will adversely affect their disposable income. In most cases, the taxation policy that triggers increases in taxes paid to the government tends to lower the purchasing power of most households. Thus, a considerable number of people working in manufacturing and service industries among other forms of industries will have to relinquish certain commodities that were previously a necessity to them (Agell 25). The main area of concern for fiscal policy is looking into ways in which changes in the government budget affect the overall economy. The changes may not only compromise the capacity of the government to meet its policy needs but also providing essential services to the people. Heads of country’s finance or treasury department are on the verge of drafting fiscal policy that is realistic and achievable considering the strength and sustainability of the current economic state of the country (Agell 25). The flagship annual document of finance ministry essentially reviews the growth and developments of the economy. Of critical value is the capacity of the economy to withstand the constantly changing economic, social and political prospects. Fiscal policy further affects the quality of labor in the market. If the government spending surpasses its total revenues, one of the major options it employs to save the situation is raising the taxation rates. The increase shall take a toll on struggling employees, who in most cases hardly meet all their necessities. Hence, policy prospects should be workable and sustainable in the short term and long term despite the impending challenges to the economy during implementation of its programs. Under such circumstances, employees and business organizations will essentially react by initiating strategies of ensuring the government policy does not compromise their day-to-day lifestyle (Agell 25). In the wake of growing concerns about bad fiscal policy, most employees as well as prospective workers have resorted to look for employment opportunities in

The Product In Service Marketing Mix

The Product In Service Marketing Mix The service marketing mix is also known as an extended marketing mix and is an integral part of a service . The service marketing mix consists of 7 Ps as compared to the 4 Ps of a product marketing mix. Simply said, the service marketing mix assumes the service as a product itself. However it adds 3 more Ps which are required for optimum service delivery. servicemarketingmix Service Marketing Mix The product marketing mix consists of the 4 Ps which are Product, Pricing, Promotions and Placement. These are discussed in my article on product marketing mix the 4 Ps. Product The product in service marketing mix is intangible in nature. The product element of the marketing mix includes the tangible good and all of the services that accompany that good to produce the final product. A product is a package, or bundle, of goods and services that comprise the total offering. For example, the purchase of a hotel room includes the guest room, fitness center, pool, restaurants, valet service, concierge, housekeeping service, etc. A restaurant meal consists of the actual food, host/hostess, and waiters, etc. Finally, a travel experience consists of a chain of products and services starting atthe time of purchase and ending upon returning from the trip. Everything in between, such as hotel service, restaurants, and transportation (including taxis and buses), affect the overall experience. Some of the variables that are part of the product decision include variety, quality, design, features/amenities, brand name, packaging, supporting services, and warranties. As stated earlier, the decision regarding the proper mix of goods and services is based on the wants and needs of consumers (the concept of marketing. Place The place element of the marketing mix includes the distribution and logistics of producing a product or service and making it available to the final consumer. The location of a manufacturing or wholesaling facility is determined by considering the costs of resources such as labor, raw materials, and real estate. In addition, it is necessary to have access to the preferred mode(s) of transportation for delivering the products to wholesalers and retailers. The location of a retail establishment is based mainly on accessibility to the final consumers. Services have relatively short channels of distribution and focus most of their efforts on finding retail locations that are convenient for consumers. For example, restaurants tend to choose high traffic areas close to shopping and other attractions. Similarly, hotels locate their facilities in areas such as airports, urban centers, industrial centers, and tourist attractions that are accessible to their respective target markets. Some of the variables that are part of the place decision include the type of channel, location, assortments, coverage area, inventory, and transportation. Many service providers overlook the importance of this variable in the strategic planning process. The channel of distribution tends to be shorter for the marketing of services than that for goods, and most service providers act as manufacturer and retailer. Many managers in service firms assume that once the initial location is determined this variable diminishes in importance. However, hotels and restaurants do switch their operations to a more favorable location on occasion. This is a major decision involving company time and resources, but it can result in long-term growth and increased profit if handled properly. Another good example of a place decision for a hotel is the Harborside Hyatt in Boston, Massachusetts.. Promotion The promotion element of the marketing mix includes all of the communications associated with marketing a product or service. The promotion mix consists of four elements: advertising, personal selling, publicity, and sales promotion. Advertising and publicity are forms of mass communication using a variety of mediums such as television, radio, newspaper, magazines, direct mail, and the Internet. Advertising is a paid form of mass communication with an identified sponsor, while publicity is a non-paid form of mass communication without a sponsor (i.e., it is free and objective). Personal selling is a form of interpersonal communication sponsored by the firm. Sales promotion is a short-term inducement to purchase a product or service. Some examples of sales promotions are contests, sweepstakes, premiums, and product bundles. Pricing Pricing in case of services is rather more difficult than in case of products. Price. Price is the value placed on a product or service. Other terms that can be used to refer to the price component of the marketing mix are: fee, rate, tuition, premium, and toll. There are non-monetary elements to price as well as the more obvious monetary elements. Some examples of non-monetary price are the time it takes to search and evaluate alternative products or services and the convenience of location. If a consumer drives to several locations to shop for a product or service, then there are costs associated with time, gas, and depreciation on the car. Also, there could be tolls for highways, bridges, or subways. In the end, it is the perceived price or the perceived value the consumer associates with a product or service that influences the purchase and the level of customers satisfaction. Value is the trade off between price and quality the benefits the consumer receives for the pr ice paid. Here on we start towards the extended service marketing mix. People : The role of the service employee becomes much more critical since to a very real extent the employee is the service, given the absence of any tangible artifact. They carry the responsibility of projecting the image of the service firm. Because of the inseparability of production and consumption of services, service delivery is characterized by interactions between customers and service employees. Service employees who experience positive human resource practices can devote their energies and resources to effectively serving their customers. The service firms human resource management practices can create an environment that elicit more positive, courteous and helpful behavior from the employees toward customers. In turn, the behavior that employees display will positively impact on service quality. Physical Evidence : Physical evidence of service includes all the tangible representations of service such as clear signage, good ventilation, adequate space, internet presence, equipment and facility. As services are intangible, customers are searching for any tangible cues to help them understand the nature of the service experience. For example, in the hotel industry, the design, furnishing, lighting, layout and decoration of the hotel as well as the appearance of its employees will influence customer perceptions of the service quality and experiences. For theme parks, restaurants, health clubs, hospitals or schools, the physical facility is critical in communicating the service and making the entire customer experience positive. Ambient conditions include background characteristics of the environment such as temperature, air quality, lighting, noise, music, and scent affect the five senses. Spatial layout of the equipment, and furnishings arranged, the size and shape of these items, and the spatial relationships among them are also crucial to influence customers perception. Process : Process is referred to as the procedures, mechanisms and flow of activities by which the service is delivered i.e. the service delivery and operating systems. Delivering customer expectations depends on how well various steps function together. Highly bureaucratized services frequently follow complicated and extensive series of actions, and the logic of the steps involved often confuse the customer. Customers may complain that service firms are slow in response and bureaucratic with the many steps involved. They want easy access to the service process, and they want things to be handled quickly, preferably by the first service employee. Customers describe frustrating experiences when they have to run from pillar to post to complete a simple transaction, experience long waiting time, rules and regulations, and personnel who decline to serve them with the excuse Im not allowed to do this or this is against our policy. Service LIC An Ordinance was issued on 19th January, 1956 nationalizing the Life Insurance sector and Life Insurance Corporation came into existence in the same year. The LIC absorbed 154 Indian, 16 non-Indian insurers as also 75 provident societies-245 Indian and foreign insurers in all. The LIC had monopoly till the late 90s when the Insurance sector was reopened to the private sector. History Life Insurance Corporation of India (LIC) was formed in Sep 1956 after the Parliament of India passed the Life Insurance Corporation Act in Jun 1956. The company was created with the objective of spreading life insurance more widely, especially to reach all the insurable people in the rural areas and provide them with adequate financial cover at a reasonable cost. Apart from its corporate office, LIC had five zonal offices, 33 divisional offices and 212 branch offices in 1956. The nature of life insurance contracts being long-term coupled with the need to provide a variety of services during the term of the policy, LIC re-organised itself by opening a number of new branch offices. After its re-organisation, servicing functions were transferred to branches which were converted to accounting units. Operations As on Mar 2008, LIC had 2,048 fully computerised branch offices, 109 divisional offices, eight zonal offices apart from its corporate office. LICs network connects all the branches through wide area network. The company also has tie-ups with certain banks and service providers to offer on-line premium collection facility in select cities. Besides, ECS and ATM premium payment facility to its customers, the company has also commissioned IVRS and information centres at Mumbai, Ahmedabad, Bangalore, Chennai, Hyderabad, Kolkata, New Delhi, Pune, amongst other cities. LIC has also launched Satellite Sampark offices in order to provide easy access to its policy holders. The company had 340 such offices as on Mar 2008. LIC also provides housing finance through LICHFL. It has also formed an asset management company known as LICMF AMC. The corporation has also extended its operations to the international arena; through various JVs and subsidiaries it operates in as many as nine countries. Products Services LIC offers a wide array of insurance products to its customers such as insurance plans, pension plans, unit-linked plans, special plans and group scheme. During FY08, the company introduced certain new products such as Profit Plus, Fortune Plus, Jeevan Akshay, Jeevan Amrit Amulya Jeevan. As of Mar 2007, total number of agents of the company stood at 1.1 mn while the total number of policies issued was 38.2 mn. The premium earned by the company reported a growth of 41% in FY07 when compared to the previous year. During the year, the company insured 34.28 mn individuals for the first time 7 P`s of Services Marketing in LIC The marketing mix is the combination of marketing activities that an organization engages in so as to best meet the needs of its targeted market. The Insurance business deals in selling services and therefore due weight-age in the formation of marketing mix for the Insurance business is needed. The marketing mix includes sub-mixes of the 7 Ps of marketing i.e. the product, its price, place, promotion, people, process physical attraction. The above mentioned 7 Ps can be used for marketing of Insurance products, in the following manner: PRODUCT: A product means what we produce. If we produce goods, it means tangible product and when we produce or generate services, it means intangible service product. A product is both what a seller has to sell and a buyer has to buy. Thus, an Insurance company sells services and therefore services are their product. In India, the Life Insurance Corporation of India (LIC) is the leading companies offering insurance services to the users. Apart from offering life insurance policies, they also offer underwriting and consulting services. When a person or an organization buys an Insurance policy from the insurance company, he not only buys a policy, but along with it the assistance and advice of the agent, the prestige of the insurance company and the facilities of claims and compensation. . In short, the formulation of product-mix should be in the face of innovative product strategy. While initiating the innovative process it is necessary to take into consideration the strategies adopted by private and foreign insurance companies through various plans like Endowment plan, pension plan, ULIP. PRICING: In the insurance business the pricing decisions are concerned with: i) The premium charged against the policies, ii) Interest charged for defaulting the payment of premium and credit facility, and iii) Commission charged for underwriting and consultancy activities. . The pricing in insurance is in the form of premium rates. The premium rates are revised if there are any significant changes in any of the below factors. a) Mortality b) Expenses c) Interest PLACE: This component of the marketing mix is related to two important facets i) Managing the insurance personnel, and ii) Locating a branch. . While locating branches, the branch manager needs to consider a number of factors, such as smooth accessibility, availability of infrastructural facilities and the management of branch offices and premises. In addition it is also significant to provide safety measures and also factors like office furnishing, civic amenities and facilities, parking facilities and interior office decoration should be given proper attention. Thus the place management of insurance branch offices needs a new vision, distinct approach and an innovative style. This is essential to make the work place conducive, attractive and proactive for the generation of efficiency among employees. The branch managers need professional excellence to make place decisions productive. PROMOTION: Advertising and Publicity, organization of conferences and seminars, incentive to policyholders are impersonal communication. Arranging exhibitions, participation in fairs and festivals, rural wall paintings and publicity drive through the mobile publicity van units would be effective in creating the impulse buying and the rural prospects would be easily transformed into actual policyholders. PEOPLE: Understanding the customer better allows designing appropriate products. Being a service industry which involves a high level of people interaction, it is very important to use this resource efficiently in order to satisfy customers. Training, development and strong relationships with intermediaries are the key areas to be kept under consideration. Training the employees, use of IT for efficiency, both at the staff and agent level, is one of the important areas to look into. PROCESS: The process should be customer friendly in insurance industry. The speed and accuracy of payment is of great importance. IT Data Warehousing will smoothen the process flow. IT will help in servicing large no. of customers efficiently and bring down overheads. Technology can either complement or supplement the channels of distribution cost effectively. It can also help to improve customer service levels. The use of data warehousing management and mining will help to find out the profitability and potential of various customers product segments. PHYSICAL EVIDENCE: The physical evidence are includes such as policy document, statements, intimation letter, uniforms of personnel, vending machine of LIC enquiry option , LIC logo and their awards. AXIS BANK Axis Bank Limited was the first of the new private banks to have begun operations in 1994, after the Government of India allowed new private banks to be established. The Bank was promoted jointly by the Administrator of the specified undertaking of the Unit Trust of India (UTI I), Life Insurance Corporation of India (LIC) and General Insurance Corporation of India (GIC) and other four PSU insurance companies, i.e. National Insurance Company Ltd., The New India Assurance Company Ltd., The Oriental Insurance Company Ltd. and United India Insurance Company Ltd. The Bank today is capitalized to the extent of Rs. 358.56 crores with the public holding (other than promoters) at 57.60%. The Banks Registered Office is at Ahmedabad and its Central Office is located at Mumbai. Presently, the Bank has a very wide network of more than 701 Branch offices and Extension Counters. The Bank has a network of over 2854 ATMs providing 24 hrs a day banking convenience to its customers. This is one of the largest ATM networks in the country. The Bank has strengths in both retail and corporate banking and is committed to adopting the best industry practices internationally in order to achieve excellence. Axis Bank Limited has been promoted by the largest and the best Financial Institution of the country, UTI. The Bank was set up with a capital of Rs. 115 crore, with UTI contributing Rs. 100 crore, LIC Rs. 7.5 crore and GIC and its four subsidiaries contributing Rs. 1.5 crore each. THE SERVICE MARKETING MIX OF AXIS BANK PRODUCT The main products of AXIS Bank are Saving Account, Current Account and Demat Account. The other products are Home loan, personal loan, Insurance, Credit cards, etc. For better marketing of products, the products are categorized under Axis Bank and Axis Sales. Products under Axis Bank are Saving Account Current Account Forex Department Salary Accounts Products under Axis Sales are Home loan Personal loan, Demat Account PRICE The price of the product depends upon the services provided by the Bank on the respective product to the customers. Detailed pricing changes from time to time and the same can be found on the website of Axis bank. PLACE Place plays an important role in tangibilizing service offerings. Quality of service is perceived by many customers in the form of place of delivery- locational appeal, interiors, ambience, etc. If a bank is located in a crowded market the place or location will be a negative tangibilizes. Providing excellent tangibles in the form of place or location and interiors is particularly important for appealing to the customers segment. More recently, some of the private banks in India like AXIS Bank are providing very attractive tangibles in the form of their locations, exteriors and interiors. PROMOTION Promotion can tangibilize services in different forms: Visualization Association Physical representation Documentation. Visualization tangibilizes services through hoardings, TV and print campaigns or advertisements. Physical representation in services has a good promotional appeal to customers like use of colors to symbolize wealth and status. Service providers use documentation in their promotions in support of their claims for dependability, popularity and responsiveness PEOPLE People are a common factor in every service. And people tangibilize services. Good people (means good performance) make good or successful services. Bad performers deliver bad services. PROCESS Customer defined business process- Process innovations and continuous improve- ment through people involvement. Result oriented approach- Each process has been designed by first planning the desired results. Axis Bank is constantly taking initiatives to offer the best in class service that seek to enhance customer experience. PHYSICAL EVIDENCE Reduce paper usage- Due to technological innovations such as use of Finacle software for core banking solutions. It has positioned it self as a bank which gives higher standard of services through product innovation. Satisfies the diverse need of individual and corporate clients. It is customer centric, and service oriented . Now we will compare the strategies of both axis bank and adlabs, LIC provides life insurance policy, like Endowment plan, pension plan, ULIP. Axis bank also offers variety of products like Saving Account, Current Account and Demat Account. The other products are Home loan, personal loan, Insurance, Credit cards In LIC the pricing decisions are concerned with :i) The premium charged against the policies, ii) Interest charged for defaulting the payment of premium and credit facility, and iii) Commission charged for underwriting and consultancy activities. . The pricing in insurance is in the form of premium rates. The price of the product depends upon the services provided by the Bank on the respective product to the customers. LIC consider a number of factors, such as smooth accessibility, availability of infrastructural facilities and the management of branch offices and premises Quality of service is perceived by many customers in the form of place of delivery- locational appeal, interiors, ambience, etc. If a bank is located in a crowded market the place or location will be a negative tangibilizes. AXIS Bank are providing very attractive tangibles in the form of their locations, exteriors and interiors. Advertising and Publicity, organization of conferences and seminars, incentive to policyholders are impersonal communication. Arranging exhibitions, participation in fairs and festivals, rural wall paintings and publicity drive through the mobile publicity van. Visualization tangibilizes services through hoardings, TV and print campaigns or advertisements. Physical representation in services has a good promotional appeal to customers like use of colors to symbolize wealth and status. Service providers use documentation in their promotions in support of their claims for dependability, popularity and responsiveness .LIC being a service industry which involves a high level of people interaction, it is very important to use this resource efficiently in order to satisfy customers. Training, development and strong relationships with intermediaries are the key areas to be kept under consideration. In axis bank Good people (means good performance) make good or successful services. Bad performers deliver bad services. The process should be customer friendly in insurance industry. The speed and accuracy of payment is of great importance. IT Data Warehousing will smoothen the processflow. IT will help in servicing large no. of customers efficiently and bring down overheads Customer defined business process- Process innovations and continuous improve-ment through people involvement.Result oriented approach- Each process has been designed by first planning the desired results.Axis Bank is constantly taking initiatives to offer the best in class service that seek to enhance customer experienc The physical evidence are includes such as policy document, statements, intimation letter, uniforms of personnel, vending machine of LIC enquiry option , LIC logo and their awards In Axis bank physical evidenceReduce paper usage- Due to technological innovations such as use of Finacle software for core banking solutions.It has positioned it self as a bank which gives higher standard of services through product innovation. CONCLUSION There is littile bit similarity in the service marketing mix of LIC and axis bank but there is difference in the marketing strategy of the both companies

Essay --

Nuclear Weapons and Foreign Policy is a good example of the general mindset during the Cold War. Kissinger explains the nuclear dilemma and how much the nuclear age differs from past war problems. He also goes into depths about the problems with American foreign policy and offers several opinions on how it can be changed. At certain times, the book begins to read more as a Kissinger manual on how to fix foreign policy and becomes less of an analysis of nuclear weapons and foreign policy. This is most likely attributed to his positions as National Security Advisor and Secretary of State. His central thesis was that the threat of nuclear annihilation was nearly useless as an instrument of foreign policy because it lacked credibility. Instead, he offers that the United States focuses on improving its ability to fight limited wars, and accept that total victory in said wars were not crucial. He spends a great deal of time arguing the benefits of limited warfare, the problems nuclear weap ons bring into military operations, and the politics surrounding both. All said points were analyzed by Kissinger very well; however he fails to address the problem of arms control and the arms race in general. The main argument Kissinger addresses is that limited war was the only avenue of escape from nuclear stalemate with the Soviet Union. He argues that the United States tradition of absolute victory in war had led them into a dead end of massive retaliation and the threat of all out nuclear war was used to block every move by the Soviets. According to Kissinger, nuclear weapons coincided with the concept of total war. This leads to situations where the will to fight is crippled. He advocates a return to limited warfare similar to that of the Nap... ...ome above the military’s quickness to respond. During war militaries do not have the ability to define the difference between tactical victories and political goals. In a limited nuclear war, it is the political element which decides the length and breath of the military effort. Such was the nature of the task Henry Kissinger undertook during the heyday of the Cold War. Overall Henry Kissinger offered explanation to the problems foreign policy faced because of nuclear weapons during the Cold War. He believed that deterrence and limited warfare was the best solution to these problems. Today it would not seem like as big of deal, but at the time this was a very controversial viewpoint. I argue that Kissinger could have touched more on the arms race and other threatening regions, such as China. All in all, I enjoyed his viewpoint on a very conflicted time in history.

Becoming a Better Negotiator

Over the past 8 weeks there has been a lot that I have learned about myself as a person with inner reflection in my negotiation style. Negotiation is a skill that I thought people have to be born with. Although people can be born better suited with negotiation skills; the skill is also a craft that can be taught and learned. People must be able to reflect on their strengths and weaknesses and build off their strengths to become a better negotiator.Lewicki, Saunders and Barry (2011) state that while some people may look like born negotiators, negotiation is fundamentally a skill involving analysis and communication that everyone can learn. I think that the questionnaires that I took really amplified what I need to work on as a negotiator. Negotiation is a part of everyday life for everyone, in home life and in personal life and becoming a better negotiator can impact our lives positively in both. This paper will reflect and summarize what I learned about myself doing both questionnair es and how I plan on improving my negotiation skills using this class going forward.QuestionnairesThe first questionnaire is called The Personal Bargaining Inventory. This questionnaire helps clarify the perceptions of one’s self on different dimensions of negotiation; from how a person should or â€Å"ought† to negotiate, power and deception, cooperation and competition, and winning and losing. The second questionnaire is called Communication Competence Scale. This scale is a diagnostic tool to help one determine their level of communication competence.Communication competence is defined as the ability  to enact both appropriate and effective messages in any communication setting. The Personal Bargaining Inventory asked twenty three questions rating my own behavior and twenty seven questions rating people’s behavior in general, on a scale of 1-7, 1 being strongly uncharacteristic and 7 being strongly characteristic (Lewicki, Saunders, & Barry, 2009). Both of these questionnaires make you look at yourself and gauge how we feel about our own behavior in negotiation and communication.It also makes us reflect on how we believe others should act and behave in negotiation. These are both great exercises for someone to use if they want to figure out exactly what they need to work on to become a better negotiator. Some of the questions asked about ethics; such as lying to get what we want, taking advantage of someone, and being accountable about the things we say in conversation and in negotiation. One must be completely honest when taking these questionnaires. Both of these questionnaires helped me reflect on myself and what I think of myself.About MeMargaret J. Wheatley said â€Å"without reflection, we go blindly on our way, creating more unintended consequences, and failing to achieve anything useful†. I think these questionnaires help with my own personal reflection. I have always been told that I am antagonistic and this is somethi ng that I need to work on. These questionnaires only backed up that assessment. A couple of the questions in particular stuck out to me. I had to be honest with myself, which helped opened up my eyes and helped me realize this truth. In the Personal Bargaining Inventory question number 21 was eye opening; â€Å"in any competitive situation, I like to win. Not just win, but win by the biggest margin possible†.I ranked myself truthfully at a 7, strongly characteristic. I hate to lose. I don’t know of anyone that does, but I really hate it. I get a sinking feeling in my stomach when I lose, or team I root for loses. It affects my attitude and really upsets me. I love to win. They say a win is a win, but in negotiation concessions must be made. Keeping this behavior could end up hurting my negotiation strategies in life. I must be willing to compromise more.The second question came in the Communication Competence Scale, â€Å"generally, I think about how others might  i nterpret what I say†. I need to choose my words more carefully when dealing with people. I don’t usually think about what I say before saying it, and sometimes people may interpret those things negatively. These questionnaires really helped me reflect on myself as a negotiator and as a person. Everyone could benefit from using them.Get BetterAs seen above there is room for me to improve and become a better negotiator. We all should try and become more well rounded people in our lives, to become morally and ethically responsible as well as better negotiators. I believe that I can become a better leader in life and at work if I am able to become a better negotiator. I can do better for my family and I can do better for myself. There are ten best practices to use for negotiators. I will use these ten practices to improve my skills and craft my negotiation style. Those ten practices are the following:1.Be prepared. 2.Diagnose the fundamental structure of the negotiation. 3. Work the BATNA (Best Alternative to a Negotiated Agreement) 4.Be willing to walk away. 5.Master the paradoxes. 6.Remember the intangibles. 7.Actively manage coalitions. 8.Savor and protect your reputation. 9.Remember that rationality and fairness are relative. 10.Continue to learn from the experience.I have a real life experience that just happened to me that these ten practices would have helped me with. I had set up a meeting with a customer and I expected just to introduce myself to these guys and let them know that I was new to the area. I wanted to show face to them and let them know that I was here to help. Well that was part of what happened. These guys took me and put me in a conference room and asked me a million questions about my company and what I would do for them. I feel I did okay in this situation, but had I been able to prepare for this negotiation I might have done a  better job.Practice 1 and 10 are what I will take away the most from this to learn from. Had I k nown that this introduction would have been more than just that, I would have prepared better for some of the questions they asked. I am new to this position and I will be able to walk away from this experience with something to work on. I tried my best to keep all questions in a positive light and try and make the meeting as personal as possible. This negotiation was not for a contract, but more or less for an opportunity that could lead to one. I laid a lot of my cards out on the table to let them know that I wanted to build trust. There were three guys in the meeting.Two of them specifically said that all they cared about was price, while the third said, â€Å"I don’t give two (curse)’s about price, all I care about is what you are going to do for me, I care about service†. This helps me in the future going forward with these guys, being able to address what is the most important thing to them when it comes to doing business with me and my company. This custo mer has all the power and they know it. All I want to go out and earn their business. I am a vendor to them and there are other vendors that can offer the same services as I can, what can I do to earn their business? I need to make my experience personal with them and try and build a personal relationship. Building trust in negotiation is one of the biggest and most important things in business.Once I get the opportunity to build this trust and earn this work I can then go into the negotiation faze of an MRO contract. MRO stands for Maintenance, Repair and Operations. We write out these contracts for loyal customers that basically take the negotiation out of our work. We set the prices and the services provided for the customer that we don’t need to earn or negotiate, we need to basically â€Å"keep them happy† until the contract runs out. They are set for 5 years and are fair and rational for both us and the customer.If I am able to get to the point of a negotiation f or a MRO contract, it would look really good to my supervisors and I could become one of the youngest managers in our company. I must take a plan of action to see things from my opponent’s perspective and keep in mind the intangibles that go into negotiation. Leaders must be credible and trustworthy (Bednarz 2011). Learning to become a better negotiator and person would definitely make me a better leader for my family and my company.In conclusion, this class has taught me a lot about negotiation and myself in the process. There are steps and processes that anyone can take that can train and help turn this into a skill. Negotiation is not the easiest thing in the world to do. No one is born with the same personality, and negotiation is a skill (like sports or music) that can be born with in certain people. But like sports and music, negotiation is a craft that can be worked, learned, exercised and honed. We must always get ready and be prepared prior to a negotiation. We must also learn from all our negotiations in life so that we can get better.

Piggery Business Plan

piggery University of Technology, Jamaica Introduction to Entrepreneurship Course code: ENT3001 Lecturer: Dr. Horace Williams October 4, 2012 Group Members: Garyann Robertson – 1105821 Nastassia Rowe-1101791 Adrean Dawkins-1103471 Oneika Robinson-1102703 Vancine Brown-1100550 Darain Harris -1104783 Table of Contents Content| Page| Executive Summary| | Industry Analysis| | Definition of Market| | Purpose Of the Business Plan| | Business Feasibility| | Justification Of the Business| | Organization and Management| | Human Resources| | Operational Considerations| | Marketing Arrangement| |Financial Considerations| | Implementation of Schedule| | Appendices| | | | | | | | | | | | | | | | | | Executive Summary The name of the business will be Argyle Mountain Piggery. In Jamaica rearing of animals for sale is a common business practice; many people enter into such ventures when quests for finding alternate employment prove to be futile. Most of these entrepreneurs do not recognize th e immense potential such businesses have to succeed. The entrepreneurs of the proposed business realized an opportunity to build a profitable and successful pig rearing and selling business and took advantage of it.The decision taken to embark on such a business can prove to be most profitable; the entrepreneurs recognized an opportunity which is the demand for the product and will seek to supply the potential market with pigs and pork and collect the profits to be had. The business’s focus will be on the sale of live pigs and pork, it will be concerned with the breading and rearing of pigs for consumption. The product that the proposed business opts to sell will be live pigs, dressed pig carcasses and pig offal. The business established will be a partnership; the venture will have six co-owners all of which will be general partners.The finances will be shared among the partners as follows: Oneika Robinson will contribute approximately 40% of the capital needed to start the b usiness as she possesses the collateral that is required to receive loans. She will in turn be the major shareholder of the business. The other 60% of the capital needed will be shared equally among the remaining partners Darain Harris, Nastassia Rowe, Adrean Dawkins, Vancine Brown and Gary- Ann Robertson. A lawyer will prepare a partnership deed that will outline the specifics of the contract.The business is a small private venture and has unlimited liability, each partner is fully liable for the debts incurred or profits gained. The business will be based in the rural district of Argyle Mountain located in the parish of Westmorland. The land on which the business will be situated was acquired from one of the partners, who is owner of the property. The small house on the property will be converted to a storage unit for feed needed for pig rearing. The property also has a nearby water source; water will be pumped to the pens for the pigs from this stream. This location is also seclu ded with no close eighbours; public nuisance from the operation of the business will be avoided. The entrepreneurs of Argyle Mountain piggery took advantage of an opportunity that presented itself on the market; explain. this business concept was developed out of the need for pork on the market. The entrepreneurs sort to address the demands for a reliable supply of pork as the competitors fail to satisfy this demand. The business is also situated at an opportunistic location close to the target market. The business, exemplary service and products will facilitate its growth and expansion.Once a market for a product a business produces is available the business has a good chance to succeed. What will determine the faith of the business is how it is managed and operated. Definition of Business The name of the proposed business will be Argyle Mountain Piggery. The business’ focus will be on the sale of live pigs and pork. The business will be located in the community of Argyle Mo untain in the parish of Westmoreland. Argyle Mountain Piggery is proposed to start with ten pig, four pens and a small storage unit where feed and the equipment and tools will be stored.For the first six months of operation the business will have three employees where two will be working shifts on weekdays and the other on the weekend. As the business expands more man power will be employed. The venture will start as a small farm that shall expand as the pigs reproduce. Piggery will sell primarily to restaurants, local butchers and supermarkets. As the business it will seek out more lucrative clients such as hotels, or large cooperation’s such as Grace, Eve, Lasco ect. Contracts with such entities will bring additional revenue for further expansion.By the end of the second year of operation the business is expected to double its out. By the end of year six of operations the business is expected to accumulate enough wealth to facilitate growth in the form of opening a new bran ch in St. Mary Jamaica. 6. 0 Justification of the Business Entrepreneurs creates something of value by pulling together resources, and in order for the venture to be worthwhile the entrepreneur should assume the economic, social and personal satisfaction or benefits associated with venturing in the business of choice. Economic BenefitsOne of the economic benefits of operating a piggery is the opportunity to contribute to the society whilst gaining recognition for the effort. Operation of a business of this kind helps to contribute to the development and growth of the society in various ways such as: creating employment especially to those members of the community where the business is located, helping to improve the well being of such employees; the payment of taxes and contributing to the Gross Development Product (GDP), whilst helping to build the community as well. Social BenefitsThe social aspect of a business is very much important seeing it involves the relationship between pe ople. There are several social benefits to be gained from operating a business. Firstly there is a close personal contact with employees and customers, which makes good personal relationships with employees and owner creating a better understanding of customer needs. Also through the promotion and transaction of business potential clients and business partners are developed. Finally there is the opportunity to sponsor community events thus developing stronger relationships.Personal Benefits It is said that although money is not the primary force driving most entrepreneur the possible profits the business will earn is a motivating factor in the decision to start the business. Owning a business also provides entrepreneurs the independence and opportunity to achieve what is important to them, also reaping the rewards of knowing that the driving force behind the business are them. Finally any modification of the business or its products and services are easily facilitated as well as fos tering easy decision making. 8. Human Resources Human resource looks at the activities undertaken by an organisation to attract, develop and maintain an effective work force within the organisation. Some of the key factors of human resource is staffing which involves the selecting, training, developing, placing and orienting new employees, where they can be most productive. The entrepreneurs of Argyle Mountain Piggery realize how crucial it is to have an effective workforce in order to be better able to meet and even exceed the ever changing demands and needs of our target market.Therefore it is of great importance to recruit the right individuals, who are able to interact with customers, provide good customer service and are able to contribute positively to the overall growth of the business. In addition employees have to be trained in order to meet up to the standards, goal and objectives of the organisation as well as ensuring that each employee is capable of performing the assig ned tasks. The positions required are designed in the organizational chart.In recruiting members of staff a number of methods will be employed; such functions would include job advertisements through electronic or printed media especially in the Argyle District community. Persons with the required qualifications and experience will be shortlisted and screened then the most suited and fit persons will be interviewed. Those recruited will be provided with the rules and operations of the business and these principles will be outlined in a worker’s manual provided; as well as through verbal briefings with regards to their job description.A job analysis which will be performed to determine the job specifications for each assignment and subsequently the job descriptions will be developed. 8. 1 Training and Development There will be On the Job Training (OJT) as selected individuals will gain hands on and practical knowledge as they attempt to carry out their job tasks. Also there wi ll be weekly meetings in order to have an effective performance evaluation which will be done to evaluate the weekly activities and to identify how best to improve the worker’s skills and abilities.This will allow employees to gain constructive feedback with regards to deficiencies if any and assist in determining if employees are have the right behaviour and attitude to complete task towards achieving the goals of the organisation. 8. 2 Compensation In compensating employees their ability, education and skills should be considered as well as the task assigned to them. Therefore full-time employees will be remunerated based on their job functions and their responsibilities as well as the hours worked. They will also benefit from special discounts.A revision of salary will be performed based on the rate of inflation and profitability of the business and will be revised by the Human Resources Management. 9. 1 Location The Argyle Mountain Piggery prospected location is the commu nity of Argyle District in Westmoreland. Based on the feasibility study the demands is high for pork in Argyle District, as the community of Argyle Mountain and its surroundings consume about 2,053 pigs annually, which is equivalent to approximately 350,030 pounds of pork. 9. 2 Technical Requirements 9. 2. 1 Business ProcessesArgyle Mountain Piggery is proposed to start with nine sows and one boar, four pens and a small storage unit for feed and the equipment and tools. For the first six months of operation the business will have three employees where two will be working shifts on weekdays and the other on the weekend. As the business expands more man power will be employed. Butcher shops are the main market for Argyle’s Pigs, and contracts will be made with these butchers as well to slaughter animals for the organisation in order to supply carcasses to other customers such as Restaurants, Meat shops and supermarkets. . 3 Equipment Required Argyle Mountain Piggery would be co nsidered a retail business as pigs will be reared and sold to various consumers of the product. On the farm certain equipment and supplies are needed to carry out operations including: * Pig Feeding and Watering Equipment * Waste Disposal Equipment * Pest and Disease Control Supplies * Pig house cleaning Equipment * Pig Weight and Handling Equipment 9. 4 Suppliers of Raw MaterialThe farm supplies and equipment will be purchased at AgroGrace farm and garden centre as well as Rapid True Value which are both located at the Fairview Shopping Centre, Bogue Montego Bay. The stores are located at approximately half an hour from Argyle Mountain. Supplies can also be ordered on a monthly basis. 9. 5 Utilities 9. 5. 1 Electricity Electricity for the farm will be supplied by the Jamaica Public Service Company (JPS Co. ). There might be possible considerations of alternatives if cheaper such as a generator or solar energy to be a part of the going green concept for protecting the environment. . 5. 2 Water Water will be obtained from the National Water Commission (NWC) as well a river is located in the community which water could be taken from, carried and stored in a tank that could be utilized in the carrying out of more domesticated processes such as cleaning pens, flushing toilet facilities, washing equipment etc. 9. 6 Opening Hours The piggery will be in operation for seven days of the week from Sunday to Sunday. Purpose of the Business Plan In order to emphasize the issues and expectations of the Argyle Mountain Piggery, this business plan was prepared.Blurred issues such as the target market, the aims of the business, the market segment and the proper pricing strategy will be addressed. These factors will aid the competitiveness of the proposed business and allow the future success of the venture. In doing the business plan the factors mentioned previously will be harmonized as the areas of weaknesses and strengths will be identified and also the prediction of possi ble problems before they might occur. The business plan however, will not be definite as there maybe future changes in the proposed business so the business plan will be made to accommodate these changes.The business plan will also outline the duties and responsibilities of the professionals of the business which will give them a chance to concentrate their efforts on their specific tasks. A clear method of operation will be outlined to further guild the members of the proposed venture. Also the business plan is to be used as a reference for loans and investment funds that will be borrowed for the purpose of the proposed business as lending agencies will seek proof and a properly expressed idea before they invest money.Also for the purpose of borrowing money, the business plan will outline a feasible method of obtaining capital for the repayment of the loan and also for the sustainability of the proposed venture. The business plan will also be used to attract new employees as well a s new partners for the future expansion of the proposed venture as this expansion will trigger a bigger revenue as well as profit. ? Marketing Arrangements The market targeted by the Argyle Mountain Piggery would generally be supermarkets/ mini marts, public butchers attached to an abattoir, meat shops, restaurants as well as jerk establishments.These establishments are singled out because of their basic operations would require the service the proposed business would provide. The characteristics of the pork being offered by Argyle Mountain Piggery will possess: soundness, muscling, free of excess fat, width of body, frame size, general appearance. Soundness – The pig’s soundness is determined by the amount of space the pig has to move as this will determine the amount of ‘exercise’ the pig will get. This will ultimately affect the overall muscle and fat development. This is important for the soundness as well as the appearance of the pigs.A level-topped p ig will have a more correct slope to its shoulder and legs and have an advantage in ease of movement. Muscle – Our pigs will possess two important things that contribute to the evaluating of its muscle are the amount and type of muscle as the grade of the pigs would have been carefully selected and bred to yield the best results for the quality. Freedom of excess fat – Excess fat on the finished product is not a desirable feature for customers with the exception of persons in the business of jerk as the fat is used as a part of the jerking procedure; therefore, pigs with very little fat should be ideal.This can also be linked to the grade of the pigs; however the grade that is targeted by the proposed venture will help to solve this matter. Frame Size – Frame refers to the skeletal size of the pig. Frame size is determined by the grade of pigs. The grade of pigs targeted is of the Duroc and Yorkshire breed as these pigs have the desired skeletal frame and when b readed with one another will generate good results. The prices of the produce from the piggery will vary based on the orders received from the market. The pigs will be sold as either live weight of dead weight.The offal will also be offered. With that established, a regulated pricing strategy must be employed. Pigs sold at live weight (average weight being 240 pounds) would be sold at $170. 00/lb while pigs sold at dressing/dead weight would be sold at $185. 00/lb. The offal will be sold at a price of $100. 00/lb. Specific cuts will also be priced at the dead weight price per pound. Discounted prices may be considered when over a certain amount of meat or pigs are purchased. The penetrating pricing strategy will be used to gain access to the market as well as to gain a loyal customer base.The distribution of the products (meat) will be done via a refrigerated bus and the live pigs will be delivered to the respective clients using an open back, two (2) ton truck. However, the appropr iate preparations will be made in the case of the client having an operational vehicle to do their own transport. Argyle Mountain Piggery would be advertised on a wide scale with much emphasis being placed on popularizing the business. Argyle Mountain Piggeries would take advantage of the new and innovative social networks to promote and advertise its services.The Jamaica Yellow pages will also be considered as a source of advertisement. Newspapers advertisements will also be utilized. This will be done on a continually until a customer base is formed. Flyers will be distributed to allow persons to become aware of the new and upcoming business. The final promotional strategy will be via word of mouth from our developing customer base. However, this method is not necessarily directly related to the members of the business as we would rely on the satisfied customers to relate their satisfaction to potential clientele. Mission StatementArgyle Mountain piggery aims to provide the best g rade of pork and pigs to the community and its clients we aim to raise the standard of Jamaican pork and find more innovative ways to advertise the versatility of pig meat. Corporate Goals * To operate a sustainable and profitable business * To rare and sell high quality pigs * To expand in accordance to the growth of the business to accommodate three butcher shop and four distribution centres * Competitiveness of the business will be maintained by continuous market research into competitors and consumer demands. To achieve a contract with Grace and five major hotels in Jamaica * To appeal to a wider and more diverse target market in the Caribbean * To maintain a healthy and profitable relationship with members of the clients. The organization chart for Argyle Mountain Priggery Financial Manager Financial Manager Managing Director Managing Director Human Resource Manager Human Resource Manager Marketing Manager Marketing Manager Administrative Manager Administrative Manager Producti on & Operation Manager Production & Operation Manager Auxiliary staff Auxiliary staff Oneika (Managing Director)Vancine (Financial Manager) Adrean Dawkins (Human Resource Manager) Gary-Ann Robinson (Marketing Manager) Derain Harris (Administrative Manager) Nastassia Rowe (Production & Operation Manager) The Role and Responsibility of Each Personnel Managing Director Their main responsibility is to provide strategic direction, an operating framework and an effective management unit. * Ensuring all resources are utilised * Establish objectives with employees in support of these plans in order to achieve current year profit targets whilst ensuring sustainable longer term growth and profitability. Ensure that the sales function across the business units maintains effective and profitable relationships with existing customers * Personally participating in major negotiations/discussions as required. * Ensure that the manufacturing and site management processes of the units employ best pra ctice techniques to achieve maximum operational efficiency * Establish consistency in production standards * Ensure that the businesses purchasing function maintains an effective/mutually beneficial relationships with suppliers. * Ensure that the local purchasing function maintains effective relationships with customers.Financial Manager Some of the main functions of a Finance Manager include: * Setting up financial goals and planning strategies to reach these goals, * Keeping a high check on profits and loss, * Monitoring cash flows * Developing procedures in order to minimize financial risk * decide how much of the company’s profits should be returned into investment * Paying taxes * Development and Implementation of financial policies and systems * Preparation of various financial reports * Monitor employment costs and productivity levels Develop and analyse information to assess the current and future financial status of business. * Establish procedures for the control of assets, loan collateral, and securities, in order to ensure safekeeping. * Evaluate data pertaining to costs in order to plan budgets. * Network within target area to find and attract new potential customer. * Approval and rejection of, lines of credit, personal loans. Human Resource Manager Human resource managers may perform the following tasks: * determine Monetary payments or wages and/or salaries determining a cost-effective pay structure that will attract and retain competent employees * Determining the proper incentive for employees to work hard * Oversee the maintenance of personnel records * Coordinate occupational health and safety programs * make sure of compliance with law * Responsible for the hiring of employees and the dismissal employees * ensure each person is qualified to perform hisher responsibility * Provide information about policies, job duties, working conditions, wages, and employee benefits * resolve disputes administering disciplinary procedures * ensure that pay levels of all employees are perceived as fair * responsible for the evaluation of employees performance Marketing Manager * Is responsible to promoting the product to the public * Establish advertising accounts for the business with clients and advertising agencies * Develop efficient ways of advertising the company * Developing and maintaining effective continuous marketing strategies Production & Operation ManagerIt is concerned with managing the process that converts inputs (in the forms of materials, labour, and energy) * Review financial statements, sales and activity reports, and other performance data to measure productivity and goal achievement and to determine areas needing cost reduction and program improvement. * Ensuring that business is operating as efficiently as possible in terms of using as few resources as needed while maintaining the products quality * Concerned with overseeing, designing, controlling the process of production * To check that the machines and equipment’s are n good working condition. * Manage staff, preparing work schedules and assigning specific duties * To maintains the machinery and plant so that it produce quality work * Provide and implement strategies for a safe working environment * Monitor the businesses so that it stays within budgetary limits * Responsible for meeting customer request * Oversee hired personnel Administrative Manager He will supervise the day-to-day operation of the farm to see to it that: * The assets are in good condition The equipment for the farm is present and accounted for * To communicated with other partners in getting work done accordingly * Approving invoices. * Maintains professional and technical knowledge by attending educational workshops * This person is responsible for all the documentation of the company. He will organised and supervisor all the work to be done by the Administrative. Appendices Tools used in the feasibility study. Questionnaire Good day. The aim of th is questionnaire is to determine the market for pork in the Argyle Mountain district and surrounding area.Your honesty is greatly appreciated as it will help in establishing the feasibility of the proposed piggery. All information you provide will be held confidential. 1. What is the nature of the business you operate? a. Restaurant b. Supermarket c. Slaughter House d. Other__________________________ 2. How long have this business been operational? e. 1-3 years f. 4-6 years g. 7-9 years h. 10 years and over 3. How frequently do you buy pork/pigs? i. Weekly j. Biweekly k. Monthly l. Quarterly 4. What quantity of meat (dead/live) would you normally require per purchase? . Between 50-100lbs n. Betweent0100-500lbs o. Between500-1000lbs p. Other__________________ 5. In what manner would you prefer the pork products to be weighed? q. Live weight only r. Dead weight only s. Dead weight with offal t. Offal only 6. Indicate by ticking in the box provided what cuts of the pork you prefer? * S houlder square cut * Loin, back and ribs * Leg and ham trim * Middle and rack * Rump and shoulder picnic * Whole pig/carcase 7. State the price per pound that you are prepared to pay for live meat? A. 100-130 B. 130-160 C. 60-200 8. State the price per pound that you are prepared to pay for carcase? A. less than $150 B. $150-$170 C. $170-$200 9. State the price per pound that you are prepared to pay for offal? _____________________ 10. Would you buy pork from a piggery based in your community? Yes No 11. If possible what duration of contract would you be prepared to enter into with the proposed business? u. 1-2 year v. 3-4 years w. 5 years and over x. Not interested 12. Who is your current supplier of pork/live pigs? ___________________________________ 13.Do you currently have any problems with this supplier? Yes No If yes state the problem ________________________________________________________________________________________________________________________________________________ ________________________________________________________________________ 14. Would you prefer the pork you order to be delivered? YesNo Profile of Management Team Name: Adrean Dawkins Age: 19 Position: Human Resource Manager Qualification/s: BSc. Environmental Health Name: Oneika Robinson Age: 20 Position: Managing DirectorQualification: BSc. Environmental Health Name: Vancine Brown Age: 20 Position: Finance manager Qualification: BSc. Environmental Health Name: Nastassia Rowe Age: 21 Position: Production & Operation Manager Qualification/s: BSc. Environmental Health Name: Derain Harris Age: 20 Position: Administrative Manager Qualification: BSc. Environmental Health Name: Gary-Ann Robinson Age: 19 Position: Marketing Manager Qualification: BSc. Environmental Health Letter of Commitment form costumer DATE: __/__/__ BUSINESS NAME: I†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. (Name) the current †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Position in business), her eby commit to a contract with Argyle mountain piggery, to receive a monthly supply of live pig/pork from the company for a period †¦Ã¢â‚¬ ¦. year. I therefore acknowledge that argyle Mountain piggery is my one and only supplier of pig related meat. My company will be responsible for the pick-up and delivery of the product, that will be picked up at every†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. days. The business will pay Argyle Mountain Piggery for it product at the start of every month. Signature of business manager†¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Signature of representative of Argyle Mountain Piggery†¦Ã¢â‚¬ ¦. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Signature of Argyle Mountain Piggery manager†¦Ã¢â‚¬ ¦. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Witness signature†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Letter of Commitment to Supplier DATE: __/__/__ BUSINESS NAME: We the partners o f Argyle Mountain Piggery, hereby commit to a contract with HI-PO, to receive a monthly supply of pig feeding from the company for a period five year. I therefore acknowledge that HI-PO pig feeding will be our one and only supplier of pig feeding for the stated time period. My company will be responsible for the pick-up of the product that will be picked up at every weekend.The business will pay HI-PO for it product at the start of every month. Signature of sales manager†¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Signature of Administrative Manager of Argyle Mountain Piggery†¦Ã¢â‚¬ ¦. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Signature of Argyle Mountain Piggery manager†¦Ã¢â‚¬ ¦. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Witness signature†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Meat Cuts that will be provided by Argyle Mountain Piggeries Label of Identification For Argyle Mountain pi ggery Promotional campaign As a new business vigorous and aggressive promotional and advertising strategy will be employed.The proposed business will need to build up a reliable customer base before its official opening which will be ten months after operations begin. At this point in time the business will have a constant monthly supply of pigs. The most effective ways of informing the public and prospective customers of the proposed business is via popular radio programs on various radio stations such as mellow, love 101, ZIP etc; radio is the best means to advertise the proposed business because it has a vast audience, capable of reaching the target market as well as more potential customers.It is also more affordable and practical than television. The internet is also a good avenue for advertising, popular websites and social networks such as Facebook and twitter will also be targeted for adverts since a substantial number of potential customers frequently visit these sites; it is also a means of free advertising and promoting. Ads will be placed in the Jamaica Yellow Pages, the national directory of the island. Advertisements will be placed in the WesternMirror, Observer and Jamaica Gleaner; these media also have a large audience and will successfully reach prospective customers. Flyers will be designed and placed at strategic central point’s such as community notice boards and Bus Parks in order to promote the business. Within Month ten of operation the business will have its official opening. This mile stone will be marked by a cook out; this cook out will be arranged with the primary intention of swaying potential customers to be official clients of the proposed business; A cook out is an ideal promotional and advertising strategy.Prospective customers will be given the opportunity sample the product; Pigs will be prepared whether jerked, stewed-, curry pork etc. they will be able to draw their own conclusion about the quality of the product and should most likely be impressed. Live pigs will also be on show to exhibit their superior qualities. Flyers and brochures will be distributed prior to this even to enable maximum turn out. Floor plan Feeding hole Feeding hole Feeding hole Feeding hole Feeding hole Feeding hole Feeding hole Feeding holeIndustry analysis It is estimated that pig production in Jamaica accounts for less than 2. 0% to the country’s gross domestic product. The industry provides direct employment of some 5900 persons, representing 3. 1% of the total agricultural labor force. However, only eleven per cent (13%) of pig farmers depends fully on pig production as a means of subsistence and finance. Pig production and marketing contribute to indirect employment and income through linkages with the food service industries and other services.Argyle Mountain Piggery is a potential establishment which will be dealing with the rearing and catering of pigs. It will be located in the argyle mountain area where land is owned by one of the partners, and it will be catering for the people of Jamaica especially in the parish of Westmoreland. The base for choosing this site is that it is deemed accessible to all potential consumers and will boost marketing. The business will be equip will the required equipment in order to run such an establishment.A pen will be build which will house the pigs until they are ready to be slaughtered or sold to the public, there will also be a storage unit which the feed and other material for the lifespan of the pig will be stored and kept clear from contaminates, a shed will also be built in order to keep grounds equipment safe from looting. A slaughter house will also be built and measures put in place to keep it sanitary since the pigs will be killed in this designated place.The major competitors to the proposed business includes Butcher Livingston and Green Grosser’s Meats and also other small scale pig farmers, however this would pose a challenge i n finding consumers as these other competitors would have already been familiar and have loyalty with the consumers. The advantage which the proposed business would have is being close to the region to which most of the customers are located; this would almost guarantee our share of the market, due to ease of travel, accessibility, convenience.Even though the amount of competitors are in the area are in a mid region most of them are on small scale, therefore they are likely to have a negative respond to this business venture. Given the fact that most of the competitors are on small scale, there is inconsistence in the service and product provision also poor customer services, unreasonably high prices and weak promotional strategies, so I strongly believe that the business can complete with the competitors. The Companies Act (Act of 2004) is the major regulatory laws that stipulate the proceedings of any organization within Jamaica.There are subsidiary regulations that guide the proc ess of registration of a business and the consequences that are attached to any offences that may be committed. It rules for the membership proceedings of the country and all that is attached to business laws. The Public Health Act also serves as a regulatory body as it relates to food handling and meat inspection. It states that each members of the business be administered with a food handler’s permit, and also the regulation to which slaughtering of swine and also the sanitary conditions of the business should be in.Implementation Schedule. 1st 30 days before start of the business The 1st month before for the start up of the business would see to include the conception of the idea of starting the argyle mountain piggery and also look at the partners to which would be involved in the creation the business, after the visualization of this idea is complete the commencing of a feasibility study would be done in order to gain specific information to a conclusion would be drawn i f the business is feasible or if it is not .Next 20 days before start of the business After a feasibility study is done time will be spent in order to create a business plan which will be most suitable for the proposed business to be most effective, it will include information which will discuss topics such as marketing strategies/arrangement, industrial analysis, and also the purpose of the business . Next 29 days before start of the businessThis period would be used to gain funds for the start up cost of the proposed business and the main source of these funds would be in acquiring a bank loan which would be repayable over a period of time, other funds would be gain via different mediums in order to successfully have enough capital to launch the proposed business. Next 50 days before start of the businessAfter the granting of a loan and accumulation of other funds from different sources, construction would begin, and these constructions would include; pig pen, 2 sheds, slaughter h ouse, any other building that will be needed will be provided by a structure which is already on the premises. All of the construction that would be taken place would be on the land which is owned by one of the partners within in the business so no time would be wasted in search and buying/leasing land for use of the piggery.Next 53 days before start of the business The livestock (pigs) which will be grown on the farm would have to be sourced before the opening of the proposed business so this would take some time as the best quality would need to be sought after before being bought. Time would also be needed to source equipment, material, feed and other farm supplies that will be used by the business as the most economical prices would be sought after. Also the hiring of staff would also be done to facilitate the business operations.Next 2 days before start of the business These days would be needed to sort out and set up the equipment that would be used by the business, and also t o make sure that all the necessary document are in place and up to date. Next 1 day before start of the business This would be the official launch of the business, meaning the doors would be open to customers and also sales would commence on this day Next 60 days after start of the businessThis would be the period in which advertisements would be sent out seeking persons to work with the proposed business doing duties assigned to them, interviews are don’t in order to select the rite persons for the job. In this same period there would be a training period for the new and existing employees to ensure productivity is at a high. Next 21 days after start of the business These next days would be for normal operations but at the same time new partners or new investors would be sought; also strategies to attract new customers would be implemented and put into place in this time period.Next 10 days after start of the business In this period the purchasing of supplies in order to con tinue running the business efficiently would be done in or to replenish what was used in the 1st place, depending of well the previous product was these days would be needed to get better products to be used by the business. Next 25 days after start of the business In these next up coming days, the business will try to source and buy equipment or jus try to make the business more efficient in its operations e. . implementing the nipple system for pigs which limits to loss of water. Next 17 days after start of the business These days will be used to fine tune who does what and when who does what, this will be done in order to build efficiency and also build a stronger working relationship as people would have jus began to settle down and get comfortable with each other. Gant Chart Business FeasibilityThe findings of the feasibility study showed that there is a high demand for the Argyle Mountain Piggery, so when the proposed business is actually started, it is going to be very succes sful. This statement is based on the fact that eighty eight percent of the respondent said they were willing to support the proposed business. Also, Another reason for the expected success of Argyle Mountain is the fact that the demand for all parts of the pig are high, with dead weight at sixty percent, live weight at thirty three percent and dead weight with offal at seven percent.The feasibility study that was carried out also equipped the operators with the knowledge that a large number of the prospective customers would want a reasonable amount of pork on a regular basis; so the demand will be great. The study also revealed the different part of the pig that the proposed buyers would like, so in this case the operators know the specific parts that the different customers want and would be able to satisfy their needs; thus adding to the success of the business.When entering a business, there are some risks that come along with it. The business risks of proposed Argyle Mountain P iggery are the possibility of a recession, when there is a recession most of the potential clients are likely to spend less in purchasing from the Argyle Mountain Piggery; so there is a high possibility of failure. Other market risks that the piggery might experience include sales variation, which cannot be avoided. These may occur as a result of financial situations of the prospective customer. Therefore sales may fluctuate.A decrease in sales means difficulties in financing fixed costs such as wages, rent and other overheads. A difficulty will also be faced in maintaining the business, as the cost of the raw materials is very high. Another business risk is that of the fluctuation of currency, the Jamaican dollar is losing value on a daily basis therefore the cost to purchase most foreign currency is very high. A constraint will also be placed on the profitability of the business due to the high interest rates at which most banks in Jamaica lend money.So borrowing money at those hi gh interest rates will cause more strain on the business in terms of making a profit. Business risks such as technology and regulatory aspect are also present. Technology might cause changes and in this case employees will have to be retrained to the more advanced technology and this will in turn cause the business more expense. Political/regulatory aspects may also be a risk to the Argyle Mountain Piggery, since licenses and approval are necessary for the business to be legal and it is not a guarantee that these will be approved by the government.Even though the competitors were indentified in the feasibility study, it is highly likely that a new competitor can enter the market and be stronger than Argyle Mountain Piggery. The business will then be forced to change its marketing strategy by lowering the cost and in this case the quality will definitely have to be improved. It is very important for the environment to be protected and the operators of the Argyle Mountain Piggery are aware of this so the necessary precautions will be taken to keep it safe.So the waste materials that are generated will be treated and sold to farmers as manure/ fertilizer, as it contains nutrients that will increase crop yield and during this process appropriate storage will be done in order to minimize the amount of greenhouses gases been emitted. In the case where it is not treated a private contractor will be hired to dispose of the waste. The materials and equipment used in the production of the product, will be environmentally friendly as operators are going green in order to sustain the environment.