Discussion Essay Example | Topics and Well Written Essays - 500 words - 3

Discussion - Essay Example Actions that are evil or bad, result from ignorance. Socrates connected knowledge with virtue and linked virtue with happiness. Summing up Socrates philosophy of ethics we conclude that, the wiser man knows the right thing so he does good and thus stays happy. In contrast to Socrates, Aristotle suggested an ethical system termed "self-realizationism". Aristotle said, "Nature does nothing in vain." Hence, a person must act according to his nature and enhance his hidden talents, so to be happy and satisfied. In his view, a person will do good deeds and be content when he operates in harmony with his nature and grasps his full potential. When a baby is born, he is a â€Å"potential person†. The innate potential of that child must be realized for him to become a "real" person. He believed that discontent and aggravation are resulted when a person is unable to realize his potential. Moreover, he emphasized that for a person to become virtuous, he had to practically do virtuous activities than just simply studying what virtue is. Plato upholds a virtue-based eudemonistic ethics. This means that human well-being (eudemonia) is the chief aim of moral notion and demeanor. Platos views on an ethics of happiness seem rather passive because of his differing perception of happiness. He observes happiness as a state of precision which is very hard to realize as it is based on metaphysical conjecture which may seem both obscure and beyond ordinary understanding. As per discussing the consistencies and differences, we generally observe that Socrates and Plato believe in the moral imperative. Socrates and Plato had a higher opinion of Humanity than Aristotle. Plato was more interested in understanding the relationship between the everlasting and absolute, and in what is more concise and flows in nature. Socrates sustained that there were fixed rules for right and wrong. He believed in unending, absolute laws as

Barabas Role in the Jew of Malta Essay Example for Free

Barabas Role in the Jew of Malta Essay Christopher Marlow was born in 1564, as William Shakespeare. This play was probably written in 1589; however, it was not actually published until 1633, after Marlowes death in 1593 when he was just 29 years old. This play was performed for many years and had a great influence on Shakespeare’s The Venice Merchant. †¢1. Summary of the play The play is set on the island of Malta in the Mediterranean Sea. Calymath (the Turkish prince) arrives to exact Maltas tribute which has been accumulated to a considerable sum. Ferneze (Maltese governor) cannot pay the tribute immediately, but he promises to pay within a month. After the Turks leave, Ferneze decides to collect the needed money from the Jews of Malta: each Jew must give up half of his fortune. Barabas complains strongly, so his full fortune is confiscated. The Jew tries to keep part of his fortune which was hided in his mansion. Having confessed falsely, Abigail was admitted in the nunnery (formerly Barabas mansion) and recovered her fathers hidden fortune. Meanwhile, the Spanish Martin Del Bosco convinces Ferneze to break Maltas agreement with Turkey, promising to write the Spanish king for military help. Del Bosco also sells Ferneze his slaves, and Barabas ends up buying the Turkish slave Ithamore at the marketplace. At the marketplace, Barabas also runs into Mathias and Lodowick. Each young man desires to see Abigail, and Barabas promises his favours to each, but at the same time, Barabas is planning their death helped by Ithamore. Broken by his father’s selfishness and the death of her lover Mathias, Abigail on her own decides to enter the nunnery once again. Barabas, afraid that Abigail will betray him, poisons all the nuns included her own daughter Abigail who is the last to die. Before this, she manages to give friar Barnardino a written confession of her fathers crimes. Barnardino in companion with the friar Jacomo get to face Barabas and insinuate they know about the Jews crimes. In response, Barabas says that he would like to repent and become a Christian. Naturally, he will donate his huge fortune to whichever monastery he enters. The two friars, being from different monasteries, fight to win Barabas favour, each hoping to benefit from the Jew’s considerable fortune. Barabas once again has set a trap; he will kill both of the friars without arousing suspicion. Ithamore knows plenty of incriminating information. Once he is seduced by the courtesan Bellamira, Ithamore begins to blackmail Barabas with threats to confess if the Jew does not send him gold. In the last scene of the fourth act, Barabas arrives at Bellamiras house in the disguise of a French musician and poisons his blackmailers. Meanwhile, the Turkish Bashaws have arrived. In response to Fernezes refusal to pay, they declare war on Malta. In the final act, Ferneze prepares to defend Malta against the Turks. Ithamore, Bellamira, and her attendant Pilia Borza enter and all play their parts in revealing Barabas crimes, but the Jews poison takes effect and they all fall dead. Barabas meanwhile has been captured, but he pretends he is dead through the effect of a drug. He finds himself left outside the city walls. The Jew betrays Malta and leads the Turks into the city. He takes position as governor but he decides to return Malta to help Ferneze to massacre the Turkish forces. The Turkish troops also believed the Jews trick. But Ferneze turns the tables on Barabas at the last moment, and Barabas dies. Ferneze takes Calymath as a prisoner in order to ensure Maltas future safety. †¢2. About Barabas Barabas in the Jew of Malta is an extremely revengeful and ambitious character. He challenges the power with a great cunning. The accumulated tributes, Malta has to pay to the Turks, are more than this country can afford, that is why the governor of Malta is determined to ally to the Catholic Spain if this huge European power keep at bay to the Turks. Spain would take advantage of the sales of Turkish slaves in Malta and many other advantages in business. Malta wouldn’t have to pay the tribute to Turkey and could keep the money collected among its Jew population. This selfishness characterizes all the agreements between the Mediterranean governments. The word that designates these actions is â€Å"politics† and the Jew, Barabas, perceives this selfishness is the ruler’s main principle: â€Å"I, policie? That’s their profession, /and not simplicity as their suggest. † Besides, the rulers speak frankly about this, as we can see when Del Bosco is asked â€Å"what wind drives you in thus into Malta Rhode? And one of his Bashaws answered: â€Å"the wind that bloweth all the world besides, /desires of gold. † In this world in which each nation an d each man take care only of their own self-interest, the Jew of Malta appears at the beginning of the play as victim. Ferneze states Malta as the unique priority and states this:† to save the ruine of a multitude: /and better one want for a common good, then many perish for a private man†. But actually, their taxes on the Jews are hugely unfair. Moreover, Farneze, expect to keep the confiscated fortunes, once the alliance with Spain lets Malta to avoid the tributes that owes to the Turks. These unfair circumstances give Barabas the opportunity to create eloquent speeches against intolerance. He reproaches the Christians for using the scriptures to confirm the measures which go against the Jews: â€Å"What? Bring your scripture to confirm your wrongs? / Preach me not out of my possessions. /some Iewes are wicked, as all Christians are: / but say the tribe I descended of were all in general cast away for sinne, / shall I be tried by their transgression? / the man that dealeth righteously shall lieu: /and which of your can charge me otherwise? † The references to the bible in this extract emphasize how piteous he shows himself in this moment. Barabas is right when he calls â€Å"theft† and not â€Å"taxes† to the requisition of his wealth, and we cannot avoid feeling affected by his sad situation. The funny thing is that, as a Marlowe’s dramatic and moral strategy, in the prologue Barabas has been presented as the same Machiavelli and the Devil’s son, and Machiavelli in the prologue states this: †I count religion but a childish toy, /And hold there is no sinne but Ignorance†. At the very beginning, Barabas is shown as a unbelievable wealthy man and extremely shrewd and interested just in his own contentment. He is determined to let the Turks to invade Malta and slaughter everyone, he confesses in a soliloquy, if he would have the opportunity to get away with the situation. † I’le helpe to slay their children and their wiues, /to fire the churches, pull their houses downe. /take my goods too, and seize upon my lands. † He is completely decided to cheat on the others Jews; he also turns his back on his daughter when she abandons her loyalty to him. Later on we realize that his former speech about the sad situation of the Jews is just a theatrical trick created for the situation and refused in his soliloquies, he is a Jew because he was brought up as a Jew, but he is mainly a Maquiavelli and an immoral figure of vice. This vicious identity is clearer and clearer along the play, thus the Jew of Malta is developed more by disclosure of character than by change of personality. Barabas does not change but we progressively discover how he really is. Maybe the persecution ordered by Ferneze wakes in Barabas a desire of revenge, but he has always hated everyone and has always looked for his own benefit and survival using any means. His plan for kidnapping to her daughter and recovering his money hidden in his house, at that moment turned into a nunnery, results comprehensible and in fact Abigail shows herself decided to help him. However, when Barabas ignores Abigail happiness conspiring against her Christian lover Ludowick, just because he is the governor’s son and against Mathias, uses several strategies as the usury, extortion and persuasion which makes him an evil person even before the unfair tax of Farneze. Barabas boasts of his acts as we can read in the following line â€Å"Slew friend and enemy with my stratagems. † He considers Ithamore as one of his friends because: â€Å"why this is something: make account of me/ as of thy fellow; we are villainies both: Both circumcised, we hate Christian both† Here the dichotomy of motivation and unmotivated evil (a Samuel Tylor Coleridge’s expression) is evident in this combination of Judaism and pure evilness. Barabas’ vicious evilness is more and more present in his behaviour. Instead of sad laments, we can hear the satisfied laughter of Barabas who wants to solve skilfully all his plans. Abigail, who finds herself forgotten and rejected by her father; embraces Christian faith as she states â€Å"but I perceive there is no love on earth/ pitty in Iews, nor piety in Turkes. † As a punishment Barabas poisons every nun in the nunnery included her daughter. Barabas also cheats on the friar community taking advantage of their corruptness Barabas is a hypocrisy and disguise master, and he is surrounded by a group of thugs and courtesans that turn against him as the same time that he turns against them. His achievements in conspiracy and politics drives him to rule Malta, making agreements firstly with the Turks and then with Farneze. Brabas’ evilness is more persistent than even his own life as he lets us know: â€Å"Stand close, for here they come: why, is not this/ a kingly kinde of trade of purchase Townes/ by treachery, and sell ‘em by deceit? /Now tell me, worldlings, underneath the sunne, / If greater falsehood ever has bin doneâ€Å". Even in the moment of his death, when he is finally betrayed by Ferneze, he yearns for longing his wealth and domination and contemplating his Empire once more as we also saw in Faustus. †and had I but scap’d this stratagem, /I would have brought confusion on you all, / Damn Christians, dogges, and Turkish Infidels. † It is interesting how Marlowe gets Brabas’ huge ambition wakes in the readers a great admiration. There is no doubt that Barabas received a severe punishment when, at the end, he falls inside a caldron made by himself; he fell in his own trap and died shouting boastings and challenges. Anyway, this is an appropriate punishment for a life full of crimes. However, it is difficult to contemplate his end from an instructive and moral point of view because, Ferneze, his nemesis, is neither seen as virtuous character. Although he wants to look pious, (â€Å"No, Barabas, to staine our hands with blood / is farre from us and our profession†) he believes in his own policy, which has overcome Barabas evilness. He defeats Barabas by betraying him and then attributes his victory to God. This is an act typical of Maquiavelli’s disciple, who assigns the highest value to the State survival and uses religion as a mean for shaping the public opinion. If Farneze is an important figure in this play, is not because of his Christian virtue but because of his Maquiavellic virtue Maybe, Marlowe is inviting us to admire this shrewd governor whose policy ensures Malta’s survival and Barabas’ destruction. Marlowe destroys Barabas just for showing the strength of a really Maquiavellic strategist. Marlowe presents to his Elizabethan audiences a proposal which completely disagrees with any religious doctrine.

Melvilles White Jacket as Public Forum on Corporal Punishment :: Melville White Jacket Essays

Melville's White Jacket as Public Forum on Corporal Punishment Author, Herman Melville utilized many of his literary works as a public forum for politics. Subsequently, the nineteenth century became a time period of great outspokenness among authors who condemned many of societies woes. Authors such as: Thoreau, Longfellow and Emerson all voiced their opposition to these tragedies. Melville wrote openly about slavery, abuse, and many other social injustices. In his novel, White Jacket, Melville wrote against corporal punishment aboard United States Naval Frigates. He cited many instances of flogging, imprisoning sailors, and other humiliating procedures endured by navy men at the hands of commanding officers. Unfortunately, corporal punishment was a legal means of punishment as governed by the Articles of War. Melville interjected a positive feeling into the narrative, White Jacket, by introducing three humanitarians. These included: Mad Jack, Colbrook, and Jack Chase. Each of these characters spoke out against corporal punishment in the narrative; however, the ultimate decision to punish the men remained in the hands of the unforgiving captains at sea. The main character of the novel occurred as White Jacket. Unfortunately, he committed an unwitting offense and was to be subjected to flogging. In his frantic last moments prior to flogging, White Jacket envisioned himself grabbing Captain Claret and flinging them both over the side to the more forgiving sea. Fortunately, humanitarians, Colbrook and Chase, both stepped forward at great risk to themselves and saved White Jacket from humiliation and abuse. White Jacket's desperate attempt to elude punishment conveyed to society the drastic measures needed to induce change. In the end, it remained obvious that Melville likened the ship to a wo rking model of society. He observed that naval discipline was not compatible with democratic ideology. Author Eleanor Simpson stated in her essay, "Melville and the Negro," that Melville attacks all forms of arbitrary government and legalized brutality. Though his immediate target is the military machine as codified in the Articles of War, his whole stance is one of democratic rebellion against the law or act of government, which undermines or simply ignores the dignity and rights of men. Melville stated, "He knows the same law which impels it-the same law by which the culprits of the day must suffer; that by that very law he also is liable at any time to be judged and condemned.

American Indians Essay -- essays research papers

“’Indians’: Textualism, Morality, and the Problem of History';, an essay written by Jane Tompkins, a professor of English at Duke University, outlines Tompkins dissatisfaction on how American Indians are portrayed throughout history. As children, we are taught that in “1492 Columbus sailed the ocean blue';, and that Peter Minuet bought all of Manhattan Island from the Indians for only twenty-four dollars worth of trinkets. In high school, we were taught that in World War II, the Germans were all heartless savages, and that the best course of action to end the war was to use the atomic bomb on Japan. It is seen that “the victor writes the history books.'; In other words, the dominant cultures and societies that conquer and overshadow lesser societies have the privilege of writing history. For example, if Germany won World War II, would the history books have mentioned the holocaust of the Jews? The problem with history is that history is defined in terms of the author’s point of view. There is no scientific process by which history is written; therefore we must discern what is the real truth versus someone’s biases and point of view. “The problem is that if all accounts of events are determined through and through by the observer’s frame of reference, then one will never know, in any given case, what really happened,'; (Tompkins, 410).   Ã‚  Ã‚  Ã‚  Ã‚  Tompkins researched s...

Telstra and Mcdonalds

Exam cases: †¢ McDonald’s †¢ Telstra Pre-seen exam information Semester 1 2013 CPA Program professional level Global Strategy and Leadership  © CPA Australia Ltd 2013 Case Study 1 McDonald’s case facts McDonald’s Corporation: A strategic approach to global growth McDonald’s Corporation (McDonald’s) is the world’s leading global foodservice retailer with more than 33 500 restaurants serving nearly 68 million people in 119 countries each day (McDonald’s 2012a). In 2011 the company generated USD 27 billion in revenue from its global operations and USD 8. 5 billion of operating profit.Headquartered in the United States, McDonald’s Bar-B-Q restaurant was opened in California in 1940 by brothers Richard (Dick) and Maurice (Mac) McDonald as a typical drive-in featuring a large menu and car hop service (where customers stay in their car and are served their food). In 1948 the brothers closed the business for three months of renovations and reorganised the business as a hamburger restaurant, using production line principles and featuring a simple menu of nine items including the staple 15 cent hamburger, cheeseburger, soft drinks, milk, coffee, potato chips and a slice of pie.In 1954 Ray Kroc, a salesman for Prince Castle Multi-Mixer, visited the restaurant intending to sell the brothers some items. Kroc was fascinated by the operations and learned that the brothers were looking for a franchising agent to expand their restaurant chain nationally. Kroc joined the company in 1955 as National Franchising Agent, and opened his first McDonald’s in Illinois. He subsequently purchased the chain from the McDonald brothers.McDonald’s Corporation was created in 1965 when the company had its first public stock offering on the New York Stock Exchange at USD 22. 50 per share (McDonald’s 2012b). The famous ‘golden arches’ of McDonald’s were created in 1969 when the companyâ₠¬â„¢s logo underwent a major change, and remodelling of the restaurants was also undertaken to re-brand the company. The original red-and-white tiled buildings were replaced by more contemporary buildings emphasising the golden arches as the company’s branding.Under Kroc’s leadership McDonald’s expanded quickly across the United States. International expansion commenced in 1967 with restaurants opened in Canada and Puerto Rico. In the next 10 years the company would grow rapidly, such that the 1978 opening in Japan marked the 5000th restaurant. By 1983 the company had an interest in 7778 restaurants in 32 countries (McDonald’s 2012b). Although Kroc died in 1984, he left a lasting legacy with the company continuing to grow to date.In addition to outlet expansion, McDonald’s has constantly trialled and introduced new product items and categories in order to increase the company’s share of food consumption and meet changing customer tastes and needs. The company has also extended into complementary product categories, such as the launch of McCafe in 2003. More recently, the company has introduced more premium offerings such as the Angus beef burger in Australia which is made of premium Angus beef, and a higher price is charged compared to its core burger range.McDonald’s is expected to face stronger competition in the future, given the rising popularity of healthier fast-food operators such as Subway, which has a larger number of franchise stores across the world and recently eclipsed McDonald’s as the world’s largest fast-food operator in terms of establishments. This will increase pressure on McDonald’s to promote and expand its new healthier product options and to improve the nutritional content of its food if the company wants to stay the market leader. The following information is based on a number of McDonald’s corporate publications.Part A provides an overview of McDonald’s strategic direction and operating model. Part B provides a review of the 2011 Chairman and CEO reports. Part C provides a summary of the franchising model used by McDonald’s for its restaurants. Part D is a timeline of the development of McDonald’s. Part A: McDonald’s strategic direction, operating model and global priorities Strategic roadmap: The Plan to Win Jim Skinner, Vice Chairman and CEO, states in the 2011 Annual Report: ‘Our performance is driven by two key factors.The first is our ongoing commitment to [our strategic framework] the Plan to Win which was launched in 2003 and has served as our operations roadmap for nine years. The Plan focuses on the core drivers of our business—People, Products, Place, Price and Promotion †¦ It keeps us disciplined around our brand holistically and enhancing the customer experience across our entire business—from our menu and service to our value and convenience’ (McDonald’s 2011 , p. 1). Global Strategy and Leadership Page 1 of 20McDonald’s has ‘enhanced the restaurant experience for customers worldwide and grown comparable * sales and customer visits in each in each’ year to 2011 (McDonald’s 2011, p. 10). This framework has also delivered strong results for the company’s shareholders. McDonald’s has exceeded its long-term ‘financial targets of average annual †¦ sales growth of 3 to 5%; average annual operating income growth of 6 to 7%; and annual returns on incremental invested capital in the high teens every year since the Plan to Win was implemented’ (McDonald’s 2011, p. 0). Operating model: Our System partners The 2011 Annual Report goes on to describe the second factor: ‘the collaboration of Our System partners. From our worldclass franchisees, who are dedicated to running great restaurants and being leaders in their communities; to our unparalleled global suppliers, who provide us with safe and high quality products each and every day; to our talented company employees led by President and Chief Operating Officer Don Thompson and our †¦ global leadership team.And, of course, our restaurant managers and crew—the 1. 7 million men and women who work to deliver the best experience every day’ (McDonald’s 2011, p. 2). Also known as the ‘three-legged stool’ business model, the philosophy set by founder Ray Kroc, this business model balances the interests of all three key stakeholder groups, and provides a foundation only as strong and as stable as each of the three legs. Each leg represents the company, the franchises and the suppliers respectively.This model is embedded in the current operating philosophy and Jim Skinner, in his address, refers to ‘Our System partners’ with the motto of ‘Your Success is Our Success’. All three groups are strongly aligned around common goals. ‘The strength of th e alignment between the Company, its franchisees and suppliers †¦ has been key to McDonald’s success’ (McDonald’s 2011, p. 10). Three global priorities ‘We hold a strong competitive position in the market place, and we intend to further differentiate our brand by striving to become our customers’ favourite place and way to eat and drink.Growing market share will continue to be a focus as we execute our three global priorities’ (McDonald’s 2011, p. 11). 1 Optimising our menu—‘delivering even greater excitement around our food, beginning with our iconic core favorites—Big Mac, Chicken McNuggets and French Fries—and evolving our menu with new innovative local offerings. We’ll continue by growing McCafe beverages, from specialty coffees to real fruit smoothies, differentiating our brand as a beverage destination.We’ll stay focused on adding greater choice and balanced options around the world [ to enhance our food image], from wraps to oatmeal to new Happy Meal alternatives, as we stay in step with our customers’ needs’ (McDonald’s 2011, p. 2). Modernising our customer experience—‘continuing to modernize our restaurants to provide a superior experience for our customers, as well as our managers and crew. We’re adding new features and technologies that are making the drive-thru, ordering and payment processes easier.In addition, we’re moving ahead on our reimaging efforts, remodeling a growing number of restaurants with our contemporary new designs. With roughly 45% of our interiors and 25% of our exteriors reimaged around the world, we still have ample opportunity to keep reshaping our brand and delighting our guests with our updated restaurants’ (McDonald’s 2011, p. 2). ‘The customer experience efforts will include accelerating our interior and exterior reimaging efforts and providing our restaurant teams with the appropriate tools, training, technology and staffing’ (McDonald’s 2011, p. 1). 3 Broadening our accessibility—‘making the McDonald’s brand more accessible is another important priority. Continuing to deliver strong value across every price tier, extending our operating hours at more locations and strategically opening new restaurants in both emerging and mature markets will make us more available more often, when and where our customers want us’ (McDonald’s 2011, p. 3). 2 ‘As we keep elevating all of these aspects of our business, we’re strengthening our brand as well. We will continue to use our size, scope and esources to make a positive difference for children, families, and communities around the world. Giving back is a part of our heritage, so we remain committed to taking leadership action across the broad spectrum of sustainability— including nutrition and well-being, a sustainable supply chain, env ironmental responsibility, employee experience, and the community’ (McDonald’s 2011, p. 3). * ‘Comparable’ refers to same stores. That is, stores that were opened in both years, so as to remove the effect of store openings and closures. This is a common method for monitoring store performance in retail networks.Global Strategy and Leadership Page 2 of 20 Part B: McDonald’s 2011 performance Jim Skinner, Vice Chairman and CEO, states in the 2011 Annual Report: ‘2011 was another strong year for McDonald’s. Global comparable sales increased 5. 6%, our ninth consecutive year of same store sales growth. Operating income grew by 10% in constant currencies and we continued to extend our market share lead around the world. In addition †¦ we delivered a 35% total return to investors, making us the top performing company in the Dow Jones Industrial Average for 2011’ (McDonald’s 2011, p. ). ‘Specific menu pricing actions ac ross our system reflect local market conditions as well as other factors, notably the food away from home and food at home inflation indices. In our Company-operated restaurants, we manage menu board prices to ensure value at all price points, increase profitability and mitigate inflation, all while trying to maintain guest visit momentum. In order to accomplish these objectives, we utilize a strategic pricing tool that balances prices, product mix and promotion. Franchisees also have access to, and many utilize, this †¦ tool.In general, we believe many franchisees employ a similar pricing strategy. In 2011, we increased average price at Company-operated restaurants in each area of the world, although increases varied by market and region. We look to optimize product mix by utilizing a menu with entry-point value, core and premium and fourthtier (a range of tasty and appealing items in smaller portion sizes) offerings. We also introduce new products that meet customer needs, wh ich can expand average purchase and increase our visitor counts’ (McDonald’s 2011, p. 10). ‘Our success continues to be truly global, with all areas of the world contributing.Such balanced growth highlights our deepening connection with customers everywhere, as well as the underlying strength of our business in today’s ever increasing global economy’ (McDonald’s 2011, p. 1). The company is organised into three key regions being ‘the United States (U. S. ), Europe and Asia/Pacific, Middle East and Africa (APMEA)’. The company’s three global priorities ‘represent areas where we are intensifying our efforts to drive †¦ sales and customer visits despite challenging economies and a contracting Informal Eating Out (IEO) segment in many markets’ (McDonald’s 2011, pp. & 10). Tables 1 and 2 provide a summary of the performance of McDonald’s for the years 2009 to 2011. Table 1: McDonald’s finan cial performance, 2009 to 2011 (USD in millions) 2011 US Europe APMEA Other countries and corporate Total revenue US Europe APMEA Other countries and corporate Total operating income US Europe APMEA Other countries and corporate Total assets US Europe APMEA Other countries and corporate Total capital expenditure 8 528. 2 10 886. 4 6 019. 5 1 571. 9 27 006. 0 3 666. 2 3 226. 7 1 525. 8 111. 0 8 529. 7 10 865. 5 12 015. 5 824. 2 4 285. 1 32 989. 9 786. 5 1 130. 1 614. 1 199. 1 2 729. 8 2010 8 111. 6 9 569. 2 5 065. 5 1 328. 3 24 074. 6 3 446. 5 2 796. 8 1 199. 9 29. 9 7 473. 1 10 467. 7 11 360. 7 5 374. 0 4 772. 8 31 975. 2 530. 5 978. 5 493. 1 133. 4 2135. 5 2009 7 943. 8 9 273. 8 4 337. 0 1 190. 1 22 744. 7 3 231. 7 2 588. 1 989. 5 31. 7 6 841. 0 10 429. 3 11 494. 4 4 409. 0 3 892. 2 30 224. 9 659. 4 859. 3 354. 6 78. 8 1 952. 1 Source: Adapted from McDonald’s (2011), 2011 Annual Report, ‘Segment and geographic information’, p. 38. Global Strategy and LeadershipP age 3 of 20 McDonald’s ‘revenues consist of sales by Company-owned restaurants and fees from restaurants operated by its various franchisees’. Revenues from franchised, licensed and affiliate restaurants include rent and royalties based on a percentage of sales along with minimum rent payments, and initial fees. ‘Fees vary by type of site, amount of Company investment, if any, and local business conditions. These fees, along with occupancy and operating rights, are stipulated in the franchise/license agreements’ (McDonald’s 2011, p. 9).Table 2: McDonald’s revenue by store type, 2009 to 2011 (USD in millions) 2011 US Europe APMEA Other countries and corporate Company-operated revenues US Europe APMEA Other countries and corporate Franchised revenues US Europe APMEA Other countries and corporate Total revenues 4 433 7 852 5 061 947 18 293 4 096 3 034 958 625 8 713 8 529 10 886 6 019 1 572 27 006 2010 4 229 6 932 4 297 775 16 233 3 883 2 6 37 769 553 7 842 8 112 9 569 5 066 1 328 24 075 2009 4 295 6 721 3 714 729 15 459 3 649 2 553 623 461 7 286 7 944 9 274 4 337 1 190 22 745Source: Adapted from McDonald’s (2011), 2011 Annual Report, ‘Revenues’, p. 14. Regional highlights for 2011 United States †¢ †¢ †¢ Grew customer ‘counts and market share with comparable sales up for the ninth consecutive year, rising 4. 8% in 2011, while comparable customer counts rose 3. 3%, despite a slight decline in the IEO segment’. ‘Remained focused on maximizing our core business while providing customers with affordable products and value throughout our menu including options available on the Dollar Menu at breakfast and the rest of the day’. Highlighted core menu items like Chicken McNuggets that feature new sauces, breakfast products including new Fruit & Maple Oatmeal, additions to the McCafe beverage line and limited-time offerings such as the McRib Sandwich. ‘National launch of the McCafe Frozen Strawberry Lemonade and Mango Pineapple real-fruit smoothie provided †¦ extensions to the McCafe beverage line’. ‘Convenient locations also continued to provide a competitive advantage with extended hours and efficient drive-thru service’. Modernizing the customer experience †¦ with the expansion of our major remodeling program to enhance the appearance and functionality of our restaurants and make our restaurants more relevant to our customers’ daily lives. Over 900 existing restaurants were remodeled during 2011 with the majority adding drive-thru capacity to capture additional customer visits’. ‘Completed our two-year, Systemwide roll-out of a new point-of-sale system. This allows us to continue expanding our menu offerings while making it easier for our crew to fulfill every order accurately’ (McDonald’s 2011, p. 10). †¢ †¢ †¢ †¢ Global Strategy and LeadershipPage 4 of 20 Europe †¢ †¢ Comparable ‘sales rose by 5. 9%, marking the eighth consecutive year’ of growth, with comparable customer visits increasing by 3. 4%. ‘Major contributors were the U. K. , France, Russia and Germany’. ‘Initiatives that helped drive our business included †¦ our tiered menu featuring everyday affordable prices, menu variety including new and limited-time offerings, and reimaging over 900 restaurants’. We also ‘offered new premium menu items such as the 1955 burger and expanded McWraps across several European markets’. And we ‘continued to offer a fourth-tier platform—such as Little Tasters in the U.K. ’. Expanded ‘our coffee business and have over 1500 McCafe locations, which in Europe are generally separate areas inside the restaurants that serve specialty coffees, indulgent desserts and snacks’. Increased ‘accessibility and convenience’ with the completion of ‘the rollout of the new drive-thru customer order display system in over 4500 restaurants’ and ‘extended operating hours’. Continued ‘building customer trust in our brand through communications that emphasized the quality and origin of McDonald’s food and our commitment to sustainable business practices’ (McDonald’s 2011, p. 0). †¢ †¢ †¢ APMEA †¢ †¢ ‘Our momentum continued with nearly every country delivering positive comparable sales, led by China and Australia. Comparable sales rose 4. 7% and comparable guest counts by 4. 3%’. Performance was ‘driven by strategies emphasizing value, breakfast, convenience, core menu extensions, desserts and promotional food events. Australia launched a Value Lunch program that features meals at discounted price points for certain hours while China and Japan concentrated on affordability by continuing their Value Lunch’ programs. New menu ite ms such as real-fruit smoothies and frappes in Australia and the extension of the Value Breakfast program in China were popular with customers’. ‘Japan executed another successful U. S. themed burger promotion and celebrated its 40th anniversary by offering popular core menu items at reduced prices’. ‘Desserts continue to play a meaningful role as we seek to deliver on customers’ menu expectations through products such as the McFlurry and unique storefronts like the dessert kiosks in China, where we are now one of the largest ice-cream retailers’ (McDonald’s 2011, pp. 10–11). †¢ †¢ †¢Part C: McDonald’s franchising approach McDonald’s believes ‘franchising is important to delivering great, locally-relevant customer experiences and driving profitability. However, directly operating restaurants is paramount to being a credible franchisor and is essential to providing Company personnel with restaura nt operations experience. In our Company-operated restaurants, and in collaboration with franchisees, we further develop and refine operating standards, marketing concepts and product and pricing strategies, so that only those that we believe are most beneficial are introduced’ (McDonald’s 2011, p. ). The company continually reviews, and as appropriate adjusts, the mix of company-operated and franchised (conventional franchised, developmental licensed and foreign affiliated) restaurants with the ‘goal of improving local relevance, profits and returns’, while maintaining a strong presence through company-owned restaurants seen as important to success (McDonald’s 2011, p. 16). As a franchisor McDonald’s sees its role as providing clear and positive leadership with vision, competence and integrity, to ultimately protect the strategic vision of the brand.Listening and responding to customers’ wants and needs through constant innovation has been a key driver to success. This success places pressure on all Partner System parties who have a responsibility to consistently rise to the occasion each time and deliver an exceptional customer experience. As McDonald’s must deliver this leadership as the franchisor, it needs its franchisees to do the same for the company’s continued success. The mix of McDonald’s franchises and company-operated McDonald’s restaurants is set out in Table 3.The difference between types of franchise stores is outlined in the ‘Franchise investment’ section below, and is dependent on how much capital investment McDonald’s has in the business. Global Strategy and Leadership Page 5 of 20 Table 3: Summary of McDonald’s stores in 2011 Store type Conventional franchise Company operated Licensed to foreign affiliates (primarily in Japan) Development franchise Total worldwide stores Number of stores 19 527 6 435 3 929 3 619 33 510Franchise ‘sale s are not recorded as revenues’ by McDonald’s, but ‘are the basis on which the Company calculates and records franchised revenues and are indicative of the health of the franchise base’ (McDonald’s 2011, p. 9). ‘Franchised margin dollars represent revenues from franchised restaurants less the Company’s occupancy costs (rent and depreciation) associated with those sites †¦ The franchised margin percent in APMEA and Other Countries †¦ is higher relative to the U. S. nd Europe due to a larger proportion of developmental franchises and/or affiliate restaurants where the Company receives royalty income with no corresponding occupancy costs’ (McDonald’s 2011, pp. 15–16). Table 4 presents franchised sales and margins for the years 2009 to 2011. Table 4: McDonald’s franchised store sales and margins, 2009 to 2011 (USD in millions) 2011 US Europe APMEA Other countries and corporate Total franchised sales US Europe APMEA Other countries and corporate Franchised margins Source: Adapted from McDonald’s (2011), 2011 Annual Report, p. 5. 2010 28 166 15 049 11 373 6 559 61 147 3 239 2 063 686 476 6 464 2009 26 737 14 573 9 871 5 747 56 928 3 031 1 998 559 397 5 985 29 739 17 243 13 041 7 625 67 648 3 436 2 400 858 538 7 232 Selection of franchisees for a cultural fit with McDonald’s One of the key reasons McDonald’s believes it is successful is that it maintains the highest standards of operational excellence while creating individual opportunities.Having dynamic individuals who are able to create high performance environments within their local stores is crucial for franchisee success. Franchisees must also be great brand ambassadors and run outstanding restaurants to deliver on the McDonald’s brand promise. Global Strategy and Leadership Page 6 of 20 For example, great care is taken in recruiting, screening, training, developing and retaining qualified franchise es.When considering potential franchisees, the company looks for people who †¢ †¢ †¢ †¢ †¢ †¢ †¢ are looking to make a 20-year commitment; aspire to become an integral part of the community as an employer, service provider and local business leader; are energetic and take a hands-on approach; have had a successful business or career, demonstrated significant team leadership and know how to get the most out of people; accept that McDonald’s will be the franchisee’s only business, and the franchisee must be prepared to put in hard work and long hours to make it a success; will commit themselves to being full time in the business rather than an absentee investor; and are able to make a significant financial investment. McDonald’s provides extensive training and ongoing support to franchisees. Franchisee candidates must complete the McDonald’s Applicant Training Program which goes for a minimum of nine months full time and i s unpaid. This is a comprehensive program designed to provide training in all aspects of operating a McDonald’s restaurant and to assist McDonald’s in evaluating a franchisee applicant.It also allows the applicant to evaluate McDonald’s and get a true understanding of what it takes to run a restaurant. Most of this training takes place in a restaurant, with some formal classroom sessions which include seminars, conferences and one-on-one sessions with corporate staff. It is essential that they agree to the philosophy of working within the framework of the McDonald’s system. McDonald’s is looking for people who are prepared to follow a proven system—one based on 50 years of experience. Franchisees are advised that if they are not good at taking advice, they should not become a McDonald’s franchisee. McDonald’s does not ‘expect franchisees to re-invent the wheel’, but ‘to make it turn faster’ (McDonaldâ €™s NZ 2012, p. 3).Franchisees must operate the franchise according to McDonald’s quality, service, cleanliness and value standards. In addition, franchisees must use McDonald’s †¢ †¢ †¢ †¢ †¢ formulae and specifications for menu items; methods of operation, approved suppliers, inventory control, bookkeeping, accounting and marketing; trademarks; concepts and restaurant design, signage and equipment layout; and information systems. Franchise investment Under the conventional franchise agreement, franchisees provide a portion of the capital required by initially investing in the equipment, signs, seating and decor of their restaurant business, and by reinvesting in the business over time.The company owns the land and building or secures long-term leases for both company-operated and conventional franchised restaurant sites. This maintains long-term occupancy rights, helps control related costs and assists in alignment with franchisees. In ce rtain circumstances, the company participates in reinvestment for conventional franchise restaurants. Under developmental franchise arrangements, franchisees provide capital for the entire business, including the real estate interest, and the Company has no capital invested. In addition, the company has an equity investment in a limited number of affiliates that invest in real estate and operate and/or franchise restaurants within a particular market where foreign ownership may be restricted, such as Japan and China.As a matter of policy, McDonald’s does not make direct sales of food or materials to franchisees, instead organising the supply of food and materials to restaurants through approved third-party logistics operators. For successful applicants, the franchisee must make a substantial financial contribution to the business, summarised as follows in Table 5 for an Australian franchise. Global Strategy and Leadership Page 7 of 20 Table 5: Example of McDonald’s Aus tralia franchisee investment and ongoing contribution Term of franchise Ongoing fees 20 Years A monthly service/royalty fee based on a percentage of the restaurant’s gross sales (currently 5%).A monthly rental, being a fixed base rent and a percentage of the restaurant’s gross sales. A monthly advertising contribution of not less than 4% of gross sales. All outgoings including rates and utilities. Initial costs Licence fee paid to McDonald’s on or prior to the commencement of the franchise. Stamp duty may be payable on the documentation (stamp duty laws vary from state to state so franchisees must obtain their own legal advice). Security deposit for the performance of the franchise. Documentation fee. Approximate cost of staff training, salaries, purchase of trading stock, living expenses whilst training and other start-up expenses.Approximate cost of kitchen equipment, signage, seating, decor, air conditioning and landscaping (paid to suppliers). AUD 15 000 AUD 3 000 AUD 160 000–AUD 200 000 (indicative) AUD 1. 7 million (indicative) AUD 60 000 plus GST Source: Adapted from McDonald’s Australia (2012), ‘Becoming a key ingredient in our success: McDonald’s Australia franchising overview’, p. 6. In addition, a franchisee must maintain a maximum of 75 per cent debt to assets ratio for the entire term of their franchise agreement. Hence, McDonald’s will not allow borrowings to be more than 75 per cent of the total asset value of the restaurant. If purchasing an existing restaurant, McDonald’s will not permit the purchaser to borrow more than 75 per cent of the McDonald’s agreed valuation.These stringent financial requirements are to ensure a sustainable return for the franchisee and the long-term viability of the restaurant for McDonald’s. In 2011, McDonald’s total revenue from franchisees was USD 8. 7 billion, comprised as follows in Table 6. Table 6: McDonald’s Corpo ration revenues from franchised restaurants, 2009 to 2011 2011 Rents Royalties Initial fees Total franchised sales 5 718. 5 2 929. 8 64. 9 8 713. 2 2010 5 198. 4 2 579. 2 63. 7 7 841. 3 2009 4 841. 0 2 379. 8 65. 4 7 286. 2 Source: Adapted from McDonald’s (2011), 2011 Annual Report, p. 35. Global Strategy and Leadership Page 8 of 20 Part D: A timeline of McDonald’s developmentWhen 1940 1948 1949 1955 1958 1959 1962 1963 1965 1966 1967 1968 1971 1973 1974 1975 1978 1979 1981 1983 1987 1990 1996 2000 2002 2003 2006 2008 2009 2010 2011 2012 Milestone Dick and Mac McDonald open McDonald’s Bar-B-Q restaurant in California, US, with a large menu and car hop service Restaurant closes for three months of renovations and re-opens as a self-service, drive-in restaurant French fries replace potato chips on the menu, triple-thick milkshakes make their debut Ray Kroc becomes National Franchising Agent and opens McDonald’s franchise in Illinois, US The 100 millionth ha mburger is sold The 100th restaurant is opened in Wisconsin, US McDonald’s in Denver, Colorado, US, becomes the first restaurant with inside seating The 500th McDonald’s opens in Ohio, US First public stock offering at USD 22. 50 per share; 700 McDonald’s restaurants throughout the US First TV commercial. Ronald McDonald appears in his first US TV commercial, appearing on a flying hamburger in one-minute colour spots on the NBC and CBS networks McDonald’s goes international—the first international restaurants open in Canada and Puerto Rico The Big Mac, developed by an owner/operator in Illinios, US, is added to the national menu Ronald McDonald gets new friends—Hamburglar, Grimace, Mayor McCheese, Captain Crook and the Big Mac join Ronald McDonald in McDonaldLand Quarter Pounder with heese is added to the menu First Ronald McDonald House opens in Philadelphia, US Breakfast at McDonald’s—the Egg McMuffin, created by owner/operat or from Santa Barbara, California, US, added to national menu The 5000th restaurant opens in Japan Happy Meals debut to coincide with the International Year of the Child First restaurants open in Spain, Denmark and the Philippines 7778 restaurants by year end in 32 countries Fresh salads added Moscow, Russia, restaurant opens McDonalds. com launched Fruit ’n Yoghurt Parfait introduced McHappy Day first held—20 November 2002 designated as World Children’s Day, with McDonald’s donating USD 1 from every Big Mac sold to children’s charities worldwide Plan to Win strategic framework launched Snack Wrap introduced—grilled and crispy chicken wraps Global packaging redesign, focused on environmentally friendly and common packaging worldwide McCafe goes national in US.McCafe coffees including lattes, cappuccinos and mochas added to menu McCafe Real Fruit Smoothies and Frappes introduced Opens restaurants in Bosnia and Herzegovina, Trinidad and Tobago —now operates in 119 countries Shamrock Shake, a mint green milkshake which was launched in 1970 and sold on St Patrick’s Day only, now added to menu and sold all year round in US Source: Adapted from McDonald’s (2012b), ‘Our company, McDonald’s history’ (accessed February 2013). End of Case Study 1 case facts. Global Strategy and Leadership Page 9 of 20 Case Study 2 Upwardly mobile: The Australian mobile telecommunications carrier industry A Introduction—Mobile telecommunications around the world The global mobile telecommunications carrier industry is one of the largest global communication sectors, with global revenue growing at around 5 per cent annually. Mobile telecommunications is now an established industry separate from the broader telecommunications industry.This industry has over six billion users worldwide and about USD 970 billion in annual revenue (Vodafone 2012). The industry comprises companies, known as carriers, who p rovide mobile telephone services to business and consumer customers. The global industry has several major segments including mobile voice, text and data services. Having experienced fast growth over the last 30 years, mobile voice and text services have reached maturity in the developed markets of Europe and the United States. This maturation is primarily due to increasing competitive and regulatory pressures 1 that have lowered prices, together with the slower pace of economic activity.Global emerging markets, such as those in Asia and Africa, are experiencing strong demand for traditional voice and text services as mobile phone penetration grows in tandem with economic growth. In contrast, the increasing demand for data services is providing strong growth in the developed markets. For example, in 2006, data services accounted for 6 per cent of mobile telecommunications carrier revenue, whereas in 2011 they accounted for 20 per cent and are expected to rise further over the medium term. Demand for data services is driven by the higher penetration of ‘smartphones’ that integrate voice, text and multimedia messages, with internet, music and social networking (e. g. iPhones), combined with significant enhancements to network data speed and coverage, and an increased range of mobile applications (Vodafone 2012).Data services are forecast to be the strongest growing segment of the global mobile telecommunications carrier industry, with estimates that, from 2011 to 2016, worldwide mobile data revenue will grow by USD 142 billion, compared to a USD 27 billion decline in voice revenue over the same period (Vodafone 2012). Another key driver of growth in developed markets globally is technological innovation in the form of upgraded networks 2 and innovative products and services. Innovations in technology are also bringing new competitors in the form of internet service providers (ISPs) and software companies who offer converged services such as Voice ov er Internet Protocol (VoIP; services (e. g. Skype) which provide internet transmission of voice communications).Japan is a global leader in many aspects of telecommunications, and the Japanese Government has played a strong role in shaping the development of the telecommunications industry. Japan has ‘one of the world’s leading mobile telecommunication markets, not only in terms of size but also in terms of innovation and its ability to be early with the introduction of advanced technologies’ (Budde 2012a). The trends in the Japanese market suggest ongoing competition on price and the importance of continual product and service innovation such as cloud-computing services and online storage, which encourage greater data usage by allowing users to store data on shared (‘cloud’) servers rather than mobile devices.Similarly, South Korea is a leader in the global mobile telecommunications industry, with strong government support to help transform that cou ntry into the knowledge era. The industry has experienced strong growth and a trend toward value-added products and services. This growth is coming at the decline of traditional fixed line services. For example, in the United States about 22 per cent of households are mobile only and do not have a fixed line, whereas in Australia about 14 per cent of households are mobile only—up 2 per cent from the previous year and suggesting an ongoing trend away from fixed line to mobile-only households (Bartholomeusz 2012). 1 2 Regulators continue to impose policies to lower the cost of access to mobile networks through setting lower mobile termination rates (the fees mobile companies charge for calls received from other companies’ networks) and to limit the amount that operators can charge for mobile roaming services’ (Vodafone 2012, p. 18). A mobile network is a number of transceivers or base stations located across an area of land that provide radio frequency coverage fo r the transmission of voice and data signals between communication devices such as smartphones. Global Strategy and Leadership Page 10 of 20 B The Australian mobile telecommunications carrier industryAustralia’s mobile telecommunications carrier (AMTC) industry is one of the most profitable industries in the broader Australian telecommunications sector, with revenue of AUD 20 billion in 2011–12. The industry is made up of carriers who supply, operate and maintain mobile telecommunication network services that deliver communications through the airwaves rather than through fixed copper or fibre cables. Consistent with the trend in the global industry, the AMTC industry is moving toward the maturity stage of its life cycle, with some segments in the industry expanding faster than the Australian economy as technology drives growth through network upgrades and innovative products.The industry currently has over 30 million mobile phone subscribers in Australia, with mobile phone penetration level at around 90 per cent (ACMA 2011a), or 130 per cent when customers with multiple SIM and mobile broadband cards 3 are included (Shulman 2012b, p. 7). 1 AMTC industry products and services Growth in the industry has shifted from mobile voice communications to data transmission services, such as multimedia messaging service (MMS), mobile TV and internet, music streaming, interactive gaming and global positioning system (GPS) mapping. Smartphones have enabled the convergence of the industry with this growing range of products and services functional on the one device. Revenue for the major segments is set out in Table 1, with key segments discussed.Table 1: AMTC industry revenue by segment (AUD in millions) Year 2005–06 (a) 2006–07 (a) 2007–08 (a) 2008–09 (a) 2009–10 (a) 2010–11 (a) 2011–12 (a) 2012–13 (f) 2013–14 (f) 2014–15 (f) 2015–16 (f) 2016–17 (f) Equipment 990 1 190 1 330 1 650 1 990 2 090 2 603 2 750 2 810 2 900 3 100 3 300 Voice 10 010 9 790 9 490 9 150 8 800 8 450 7 210 6 120 5 450 4 690 4 010 3 450 Messaging 1 090 1 450 1 862 2 060 2 450 2 940 3 405 3 450 4 040 4 600 4 900 5 450 Non-messaging data 320 650 1 290 2 100 3 020 4 050 5 608 6 420 7 300 8 200 8 990 10 032 Mobile commerce 310 390 560 760 900 1 010 1 204 2 270 2 550 3 800 4 280 5 349 Total industry 12 720 13 470 14 532 15 720 17 160 18 540 20 030 21 010 22 150 24 190 25 280 27 581 Note: (a) = actual, (f) = forecast. The figures provided in this table are simulated. aEquipment The sale of handsets and other mobile devices provides a significant and growing share of industry revenue, driven by innovations in high-value smartphones and tablets (mobile computers such as iPads and Kindles that are operated primarily by touchscreen). b Voice Voice services, made up of call charges and access fees, generated the largest source of revenue in the industry in 2011–12. This segment has benefi ted from the migration of consumers from fixed services (landlines) to mobile services as adoption of mobile technology has become widely accepted. However, the segment has become saturated and commoditised, 4 and is now in the decline stage of its product life cycle. In order to reduce customer ‘churn’ (loss of customers to rival carriers), there has been a trend to offer capped plans with free call minutes and message services.This trend has resulted in decreasing average revenue per user (ARPU) and hence voice revenue as a 3 4 SIM (subscriber identity module) and mobile broadband cards store and verify the identity of the mobile phone user. ‘Commoditised’ means the price of a product or service falls as it become widely available and standardised. Global Strategy and Leadership Page 11 of 20 proportion of total mobile revenue has fallen during the last five years. This decrease is expected to continue as competition in the voice segment continues to inte nsify, and as consumers continue to switch to mobile VoIP and the Worldwide Interoperability for Microwave Access (WiMax 5) mobile broadband system. Messaging The increasing demand for text/SMS (short message service) and MMS has provided major growth for the industry over the last five years, as consumers switch from voice calls to these types of communications. As well as individual use, businesses are increasingly using SMS as a form of customer communication. d Non-messaging data Technological innovations in the form of new generation networks and integrated handset products have driven strong growth in the demand for, and use of, non-messaging data (ACMA 2011b). Non-messaging data includes mobile internet, media updates, music streaming, mobile TV, gaming and GPS mapping (Shulman 2012b, p. 15). This growth is expected to continue through to 2016–17, boosted by the proliferation of high data usage devices such as smartphones and tablets (Shulman 2012b, p. 15).Mobile carri ers have enabled the growth of non-messaging data through the provision of mobile broadband that has enabled high-speed internet access to mobile devices, increased data usage allowances, and access to a variety of content. e Mobile commerce Mobile commerce (M-commerce) refers to commercial transactions, typically payment services, between customers and merchants that are operated on mobile devices such as smartphones or tablets. M-commerce provides customers with a convenient and accessible service for making transactions. Applications include mobile banking services, buying goods and services, and paying for car parking, flights and concert tickets (Shulman 2012b, pp. 15–16).M-commerce is predicted to provide a source of revenue growth in the AMTC industry, as consumers increasingly make these transactions using their mobile devices rather than desktop or laptop computers. 2 AMTC industry trends Australia is an advanced country in terms of mobile telecommunications. About 9 0 per cent of adults own a mobile phone, with a high level of smartphone penetration with about 37 per cent of mobile phone subscribers using a smartphone (ACMA 2011b). Following in the steps of the global industry, the AMTC industry is transforming into a digital era of new generation networks, increasing data usage, and innovative mobile devices such as smartphones and tablets.Industry growth is underpinned by the fact that mobile phones, and in particular smartphones, have become the primary means of communication in Australia. This growth has also been driven by lower prices that have commoditised voice services and tightened business margins. a Network upgrades Mobile network technologies and infrastructures provide a set of standards for mobile devices and telecommunication services that comply with international standards. Periodically these network technologies are upgraded to a new generation. Each new generation of mobile technology is typically characterised by different frequency bands, wider bandwidth and improved data transmission rates. The improving availability and coverage of upgraded carrier networks has driven increased demand in the industry.The progression from second generation (2G) to third generation (3G) networks, and the rollout of fourth generation (4G) from 2011, continues to invigorate industry growth with superior functionality and lower data transmission prices, leading to increased demand. 6 The rollout of 4G technology will enable a variety of data services, such that revenue from data is forecast to outweigh revenue from voice over the years to 2016–17 (Shulman 2012a, p. 4). 5 6 WiMax is a fourth generation mobile broadband system that provides data speeds of up to 1 gigabyte per second, and data exchanges across greater distances. WiMax applications include mobile broadband connectivity between cities and countries, and are an alternative to cable and digital subscriber line (DSL) for ‘last mile’ broadban d access to customers. G, introduced in Australia in 1987, was an analogue network that was superseded by the 2G digital network from 1993. 2G offered data services (e. g. texting), and improved network capacity and data security. 3G commenced in 2005, with enhanced speed and services, including internet connectivity, MMS and music/video downloads. (Next G is a Telstra 3G network. ) 4G commenced rollout in 2011 and is designed especially for data transmission, with faster speeds and reduced network congestion that let users access fast internet connection, high definition TV and video conferencing from their mobile devices. GSM is one of the early, very basic, networks. Global Strategy and Leadership Page 12 of 20Wireless networks now cover 99 per cent of the Australian population. Telstra was the first telecommunications company in the world to build a nationwide 3G network. More broadly, the rollout of 4G, combined with the implementation of the Australian Government’s AUD 43 billion National Broadband Network (NBN), 7 will speed the entry of the Australian economy into the digital era. This in turn will embed the importance of telecommunication services in the activities of consumers and businesses. b Data consumption Improvements in mobile and smartphone technologies have underscored a shift in demand from voice traffic to data traffic, 8 including messaging, non-messaging data and M-commerce.The development and widespread uptake of applications for mobile devices, in particular smartphones, has generated large revenue gains in non-messaging data. Australia has the third highest penetration of 3G handsets, behind only Japan and South Korea (ACMA 2011a). Online banking, internet browsing and video streaming from sites such as YouTube and live sports websites have contributed significantly. According to Shulman (2012a, p. 4), this trend will continue to 2016–17, with data becoming the primary source of industry revenue. A second key driver of t his trend to data traffic is improved network capacity and functionality and cheaper data prices, which are helping to drive strong growth in data consumption.Faster speeds and lower data prices are supporting ‘new value added features for mobile phones and will improve the functionality of Internet connectivity via a wireless data card. This will further increase bandwidth usage as internet browsing, mobile applications (apps [software that allows users direct access to content or websites such as as banking, shopping, entertainment, and social networking]), mobile TV and M-commerce are all forecast to grow concurrently with accelerating network speeds’ (Shulman 2012b, p. 9). The rollout of 4G is expected to provide a further boost to data consumption from mobile and data cards, with the advent of demand for super-fast mobile services. c Convergence Advances in technology have broken down industry barriers in the telecommunication sector.The bundling of products and se rvices is now an industry standard. Voice, video, transaction, media and information services are packaged together on mobile devices. Smartphones in particular have driven the convergence of communication products and services in the AMTC industry. Overseas trends suggest that industry convergence will continue as the importance of data increases and the distinction between ISPs and mobile telecommunication carriers dissolves. The global trend is for companies that previously operated in non-telecommunication industries, such as cable operators, mobile-TV technology providers, content owners and search providers, to look to move into the telecommunications sector.To gain greater control over the supply chain major market, participants will want to fully integrate and operate across key distribution channels. This will necessitate that the wired and mobile markets coexist within the media, IT and communications sectors (Shulman 2012a, p. 10). While convergence will drive growth in t he AMTC industry, it will also increase the level of competition and hence have a neutral impact on profitability. d Consumer behaviour As the segment composition of the industry has changed over time, so has customer behaviour towards carriers. Mobile communication consumers select a carrier to provide their mobile telecommunication needs.Portability of mobile phone numbers means that a consumer can take their number with them if they change from one carrier to another. Consumers can sign up with a carrier with either a prepaid or postpaid plan. 9 With the proliferation of higher functionality smartphones, there is a trend from prepaid to postpaid subscription by consumers. This shift will increase ARPU, which is currently AUD 61 for postpaid subscribers versus AUD 18 for prepaid subscribers. The Generation Y demographic (18–35 year olds) will produce increasing ARPU over the years to 2016–17 as they take up postpaid contracts for access to high cost and high value 3G - and 4G-enabled smartphones and use significant data services.Growing consumer understanding and acceptance of mobile devices, and the variety of mobile data services available, will support greater demand in the industry. Smartphone penetration and turnover is higher in the Generation X and Y demographics (people born between 1966 and 1994), as these groups look for new features and products. These trends are significant, given that the Generation X and Y demographics are the largest in Australia, making up over one-third of the population. 7 8 9 The NBN involves the rollout of fibre-to-the-home (FTTH), or high-speed fixed-wire broadband, to 93 per cent of premises in Australia. Data traffic is a term used to describe the transmission and flow of data. This includes messaging, non-messaging data and mobile commerce. Prepaid plans have a contract period (e. g. 4 months) and the consumer pays in advance per month for a set amount of value for calls, SMS and mobile internet data. Whe n the limit is reached, usage is restricted or charged at substantially higher rates. Postpaid plans are usually monthly contracts that provide a set amount of value which can be exceeded and charged at the same rate and which the customer pays in arrears. Global Strategy and Leadership Page 13 of 20 An increasing proportion of Australians now have a range of communication devices and options, with a shift from fixed to mobile voice and data. Young Australians in particular are choosing to communicate using mobile devices or social networking via their computers or laptops, smartphones and VoIP.According to ACMA, ‘gender, age and location appear to be primary drivers of the shift towards mobile phone-only living, with males, those aged 25–34 years, and people residing in metropolitan areas of Australia most likely to not have a fixed-line telephone in the home’ (ACMA 2011a, p. 17). With the growing range of voice and data communication devices comes a greater dep endency of households and businesses as they subscribe to these mobile services: ‘The all-encompassing product range is allowing a growing number of consumers, sole proprietors and small businesses to rely solely on wireless services for delivering all their communication needs. Such dependency is facilitating a boom in mobile usage’ (Shulman 2012a, p. 7). Government oversight Historically, the Australian telecommunications sector was subject to strong government controls and monopoly structures protected by legislation in the form of Telstra (formerly Telecom Australia, renamed Telstra Corporation Ltd in 1993), the previously government-controlled telecommunications company (Shulman 2012). Since 1989, the sector has been progressively deregulated and opened to competition. The Telecommunications Act 1991 (Cwlth) issued two additional mobile network licences, granted to Optus and Vodafone Hutchison Australia (VHA), which has set up a tripartite market. Legislation in 19 97 established a regulatory framework and industry codes and standards, and provided greater scope for industry self-regulation.Pricing, spectrum licensing and access are the three main areas of regulatory control, as described below. The Australian Consumer and Competition Commission (ACCC) has the power to set the pricing that carriers can charge for access to their networks. This pricing power encourages competition in the industry and acts to limit the power and profitability of the three main carriers. Telstra notes that ‘we are required to provide certain services to our competitors using our networks based on the ACCC calculation of the efficient costs of providing these services. In many cases we believe that the ACCC proposes prices that are below our efficient cost of supply †¦ There is no right to a merits review of ACCC decisions’ (Telstra 2012a, p. 16).The Australian Government controls the availability of the spectrum licences that assign the specific airspace on which mobile signals are transmitted and which operators require to provide mobile services within geographic areas and frequencies. 10 According to Shulman (2012b, p. 27), government policy decisions are required to reissue spectrum licences, and release new spectrum licences. Access to spectrum is a key factor in supporting the rollout of new mobile devices and services. The regulation of access to mobile network services is a third critical factor in the AMTC industry: ‘Under the Trade Practices Amendment (Telecommunications) Act 1997, network services can be â€Å"declared† whereupon carriers supplying network services are under an obligation to supply the services to requesting service providers.Thus, once a service has been declared, it is essentially under the control of the regulatory framework’ (Shulman 2012, p. 39). Global System for Mobile Communications (GSM) and Code Division Multiple Access (CDMA) 11 services are declared services subje ct to regulated access pricing, while the 3G network is not subject to regulation. The potential for the government to mandate the opening up of a carrier’s mobile network to rivals is likely to increase competition and reduce the profitability of one or other of the three main carriers. There is speculation, for example, that the Australian Government may make the 4G network a declared service. 3 AMTC industry competitionStrong industry growth, combined with industry deregulation, contributed to the globalisation of the AMTC industry with the entrance of competitors, most notably Optus and Vodafone Hutchison Australia (VHA). a Industry competitors As at 2012, the AMTC industry is highly concentrated with the three major competitors—Telstra, Optus and VHA— accounting for about 90 per cent of industry revenue (Shulman 2012b, p. 22). Over the last seven years the market shares of these competitors have not changed significantly, with Telstra at about 40 per cent, Optus 30 per cent, and VHA 25 per cent. Competition is intense among these carriers, each of which has its own full-coverage mobile networks.VHA and Optus introduced strong price competition to the market with capped plans (prepaid and postpaid) and handset subsidies that give consumers low-price handsets as part of their contract. Shulman (2012b, p. 24) estimates that prices have fallen by around 5 per cent per annum over the past five years. 10 11 This airspace is becoming scarce due to the boom in mobile data transmission. CDMA is a transmission method that allows multiple users to use the same channel. Global Strategy and Leadership Page 14 of 20 The level of competition in the AMTC industry is high, given the regulated access to networks and the commoditised nature of voice and messaging services in which competition based on price is very strong.The three major carriers compete against telecommunication resellers who buy capacity on their network services then resell it to con sumers, and they also compete against mobile virtual network operators (MVNOs) such as Virgin Mobile. MVNOs use an existing mobile network to sell a service linked to other branded services. For example, Woolworths, an Australian listed company with a significant presence in the retail sector, established an MVNO with Optus (Shulman 2012b, p. 26). Telstra The largest industry competitor, Telstra, is discussed in detail in Section C of this case study. Optus Optus is an integrated communications company that provides mobile, national and international services, local telephony and internet services to 9. 5 million customers in Australia. It is the second largest competitor in the AMTC industry.Optus is now a 100 per-cent-owned subsidiary of Singapore Telecommunications Ltd (SingTel), the biggest Asian-based communications group, with operations in over 20 countries and about 470 million mobile customers. SingTel is restructuring Optus following a drop in sales and revenue in 2012. â €˜SingTel †¦ reduced the workforce at Optus in Australia by about 10 per cent and is changing how it sells to consumers †¦ Customers will see more Optusbranded distribution channels †¦ Optus is cutting licensing to other retailers and adding its own stores to compete with its rival [Telstra], which has rolled out faster mobile-phone networks to expand market share’ (Chen 2012).Optus was the second carrier in Australia to commence the rollout of a 4G network in some of Australia’s metropolitan areas in September 2012: ‘Optus has revealed prices that are cheaper, with larger download limits, than Telstra’s plans †¦ [However] Optus cannot extend its 4G network into regional areas for several years because it does not yet have suitable low-frequency spectrum available’ (Battersby 2012). With the slowdown in customer growth in the Australian market, Optus is now focusing on improving the customer experience in order to achieve more profitable growth. VHA VHA is a joint venture between the Vodafone Group and Hutchison Whampoa.The Vodafone Group is one of the world’s largest mobile companies with a well-known brand, operations in over 70 countries and over 400 million customers. The large scale of the Vodafone Group provides strong economies of scale in purchasing and the rationalisation of operations, as well as off-shoring shared services to lower-cost locations such as India and Hungary. A key part of the Vodafone Group strategy is to achieve growth in mobile data services, particularly in the developed markets. The Vodafone Group aims to grow revenue from data services by upgrading and improving its networks to lead the market. This entails providing a faster and more reliable service, greater network coverage and capacity, and enhanced customer service.To enable this growth, the Vodafone Group plans to stimulate demand by informing and encouraging customers to take up the range of data services that are available now and that are being developed as networks are upgraded and new mobile devices released: ‘Vodafone, together with a number of other leading operators, has developed the next wave in personal mobile communications known as rich communication services which will enable data services such as instant messaging or live chat, live video sharing and file transfer across any device and on any network †¦ Vodafone is also developing a range of new services to generate additional revenue and enhance the customer experience such as mobile commerce, machine-to-machine and operator billing’ (Vodafone 2012, p. 19).Hutchison Whampoa, the other partner in the VHA joint venture, is also a leading global operator of mobile telecommunications and data services, with over 60 million customers and a strong focus on innovative mobile technology. VHA operates the Vodafone, 3, and Crazy John’s brands, and has nearly seven million customers. VHA provides 3G coverage to 94 per cent of Australians. VHA has performed poorly in recent times due to network coverage difficulties, delays to network upgrades, and poor customer service that has resulted in the loss of one million customers in the two years to July 2012. In the first half of 2012 Bill Morrow was appointed as the new chief executive officer (CEO), with a focus on improving network coverage, capacity, speed and reliability, and improving customer experience.VHA has invested AUD 1 billion in upgrading its network with the rollout of a new 3G network, and in 2013 plans to commence the rollout of 4G in an effort to match Telstra and Optus: ‘For Vodafone customers, this is translating into better coverage, better call quality and an improved mobile data experience on smartphones, tablets and mobile broadband devices’ (Hutchison Telecoms 2012). Global Strategy and Leadership Page 15 of 20 b Alternative products and services The relatively high pricing of 3G and 4G network use has e nabled competition from alternative services that operate on lower cost bases. This is offset by the carrier’s substantial investment to improve the availability and coverage of their networks. 1 2 Fixed telecommunications.This product has been in strong decline as consumers have terminated their fixed line phones and switched to mobiles as their first means of communication. Mobile and fixed VoIP. With the growth of the data services segment it is expected that: ‘internet service providers †¦ that offer mobile connectivity via fixed networks will become direct competitive threats †¦ For example, Skype allows users located in hotspots [sites (e. g. cafes and libraries) with wireless internet access for customers] to make free calls and send text messages via their mobile phone while completely bypassing traditional mobile networks’ (Shulman 2012b, p. 11). Wi-Fi 12 and WiMax. These fixed wireless networks provide data services at cheaper prices than the mobile networks.The use of these services is growing and they are predicted to become a profitable niche, particularly as the mobile networks are likely to struggle to cope with increased demands on their capacity. As the importance and usage of data transmission increases, ISPs offering WiMax technologies are forecast to pose a greater competitive threat to the AMTC industry. 3 c Barriers to entry There is a range of barriers to entry to the industry. The AMTC industry is capital intensive. According to Shulman (2012b, p. 27): ‘Upfront investment costs involved in the rollout of a network can be substantial; for example each GSM network station can cost up to $500 000 on top o

Precede vs. Proceed

Precede vs. Proceed Precede vs. Proceed Precede vs. Proceed By Mark Nichol Lazy pronunciation can wreak havoc on the language as word pairs like precede and proceed become confused. These similar-looking and similar-sounding terms, however, though not antonyms, face in opposite directions. The origin of the former word is the Latin term praecedere (â€Å"go before†), while the latter stems from the Latin word procedere (â€Å"go forward, advance†). Interestingly, however, the prefixes share a sense: Pre- and pro- can both mean â€Å"before,† though pro- usually signals â€Å"in favor of.† Each word is part of a family of inflections and terms based on it: One writes, for example, that a rainstorm preceded snowfall later that night, or that the preceding chapter of a book is longer than the one that follows it. Precedent refers to a situation that serves as an exemplar for others that follow. It’s employed formally in law to refer to a rule or principle that serves as a reference for judgments in cases similar to those in which the rule or principle was first set forth. Informally, laypeople refer to â€Å"establishing a precedent† for anything from a habit to a protocol. Meanwhile, a precession is a â€Å"coming before.† (In physics and astronomy, this term refers to the alteration in the orientation of a rotating body’s axis.) Inflectional forms of proceed are used to state that someone proceeded to act in some way or do something that they had not been doing previously, or that they are proceeding to do so now. The plural of the latter form is also a noun referring to the published minutes or records of an organization’s meeting. Procedure, taken directly from French and referring to a sequence for accomplishing a task, is also based on proceed. Procedural can be applied as an adjective (while procedurally is an adverb), and it stands on its own (or modified as â€Å"police procedural†) as a noun referring to genre fiction that realistically portrays how an investigation or a similar process is conducted. Want to improve your English in five minutes a day? Get a subscription and start receiving our writing tips and exercises daily! Keep learning! Browse the Misused Words category, check our popular posts, or choose a related post below:30 Synonyms for â€Å"Meeting†Round vs. AroundPrepositions to Die With

Context Clues and Literacy ESL Reading Lesson

Context Clues and Literacy ESL Reading Lesson One of the main challenges of any English reading skills class is that students tend to look up, or even insist on looking up, each word they do not understand. While this desire to understand everything is certainly laudable, it can be damaging in the long run. This is because students will begin to tire of reading if they are constantly interrupting the process to find another word in the dictionary. Of course, the use of e-readers might make this a little less bothersome. However, students need to realize that reading in English should be like reading in their own language. The use of contextual clues can be one of the best ways to improve students reading skills. Realizing that a text can be understood in a general sense by using contextual clues can go a long way towards helping students cope with increasingly difficult texts. At the same time, the use of contextual clues can also provide a means by which students can rapidly increase their existing vocabulary base. This lesson provides a number of pointers helping students identify and use context to their advantage. A worksheet is also included which helps students recognize and develop the skill of contextual understanding. Context Clues Reading Lesson Aim: Increased awareness and usage of contextual reading clues Activity: Awareness raising concerning the use of contextual clues, followed by worksheet practicing contextual reading Level: Intermediate - upper intermediate Outline Write this example sentence on the board: Tom decided that he desperately needed the glockum if he were to solve the problemAsk students what they do if they are reading an English text and do not understand a specific word.Ask students what they do if they are reading a text in their native language and do not understand a specific word.Ask students what glockum means.Once students have established that they dont know what a glockum is, ask them to guess at what it might be.Ask students what part of speech a glockum is (i.e. verb, noun, preposition etc.)Have students explain how they arrived at their guesses, which clues did they use?Explain the concept of reading in chunks i.e. looking at the text surrounding the unknown word for clues.Show them an article from an advanced level magazine (Wired, National Geographic, The Economist etc.)Ask students to identify the probable vocabulary areas that may be used in the example article.Explain the importance of activating vocabulary by fir st quickly glancing at the text to be read. This idea is very important as the brain will begin to focus on related concepts thus preparing the student for what is to be read. Point out that by using all of these clues (i.e. chunking, part of speech, logical deduction, vocabulary activation), students can arrive at a much fuller understanding of difficult texts - even if they do not understand each wordHave students divide into small groups and complete worksheet. Reading Clues Deduction - What does the sentence concern? Which words does the unknown word seem to relate to?   Part of Speech - Which part of speech is the unknown word? Is it a verb, noun, preposition, adjective, time expression or something else? Chunking - What do the words around the unknown word(s) mean? How could the unknown word(s) relate to those words? - This is basically deduction on a more local level. Vocabulary Activation - When quickly skimming through the text, what does the text seem to concern? Does the layout (design) of the text give any clues? Does the publication or type of book give any clues to what the text might be about? Which words can you think of that belong to this vocabulary category? Make logical guesses about the meaning of the unknown words in the following paragraph. Jack quickly entered the didot and cleaned the various misturaes he had been using to repair the wuipit. He had often thought that this job was extremely yullning. However, he had to admit that this time things seemed to be a bit easier. When he finished, he put on his redick and went back to the study to relax. He took out his favourite pipe and settled into the beautiful new pogtry. What a fantastic schnappy he had made when he had bought the pogtry. Only 300 yagmas! What could a didot be? What part of speech is misturaes? If Jack used the misturaes to repair the wuipit what do you think the mistraes must be? What could yulling mean? - What part of speech is often used with an ending -ing ? Which synonym could be used for yulling ? fundifficultexpensive What type of things do you put on? Based on the above question, what kind of thing must a redick be? Is a pogtry used inside or outside? Which words let you know that the pogtry was cheap? What must yagmas be? ClothesCigarette typeType of money

Illlegal Street Racing Essays

Illlegal Street Racing Essays Illlegal Street Racing Paper Illlegal Street Racing Paper Race the Strip, Not the Street. One of the fastest growing worldwide sports right now is racing. There are numerous forms of racing but Street Racing is one that is mainly performed by teenagers. Street racing originated from Drag Racing, on a quarter-mile strip. As the sport of street racing began to spread around the early ‘90s, people couldn’t really afford to go to a legal track and race, and soon enough teens began racing on public streets and highways. Street racing is an adrenaline rush to teens but most do not realize the hazards and consequences they have to face if something goes wrong. Many teenagers think it is fine to race or speed on public streets because that’s what they see in video games. Its either racing on the street and you get no damage to your car or you are running away from police. All these games greatly impact those who race the streets because they think they are invincible just like in the games where if they total their car, it restarts, or if they get stopped by police, cash or points are being taken away. Some don’t realize that street racing is a serious issue not to be thought of as a game. According to the National Highway Traffic Safety Administration motor vehicle accidents are the leading cause of death for people between the ages of 16 and 20. (NHRA Illegal Racing Stats) Teenagers have a higher probability of death from an automobile accident, due to irresponsibility and deficiency of driving experience. Most teenage fatal accidents are a cause of teenagers under the influence of a substances or just simple reckless driving to make an impression towards their peers. â€Å"Street racing is just plain ignorant. Why would you want to put anyone elses life in danger? Its just ridiculous. (Gary Scelzi, NHRA Driver) Indeed, it is ridiculous, street racing not only puts their life in danger but as well as pedestrians, and other drivers. Before they choose to race someone on public roads they should ask themselves this, â€Å"Would I like the guilt and consequences for the death of a family I killed in an accident because I lost of control, just for the fact that that I wanted to race a friend on the freeway? † In Arizona, the law for street racing is harsh and has serious life changing consequences. Arizona’s Racing Statue 28-708) states that: A person shall not drive a vehicle or participate in any manner in a race, speed competition or contest, drag race or acceleration contest, test of physical endurance or exhibition of speed or acceleration or for the purpose of making a speed record on a street or highway. Penalties for conviction of street racing (first offense) include: Possible jail time and/or probation, a fine of around $250 or more, suspension of your license for a period of time determined by the judge, up to 90 days, and community service. A second offense within 24 months can result in a Class 6 felony: jail time-no probation, a fine around $350 or more, and revocation of your license. Racing counts as 8 points against your license. Accumulation of 8 points in one year results in Traffic Survival School, and 13 or more points can result in additional license suspension. If drag racing leads to catastrophic auto accident or fatal accident, you will be charged with a felony crime and open yourself to liability in a personal injury or wrongful death lawsuit. Cheryl A Brown, Phoenix Street Drag Racing Attorney) Nationwide statistics show that 49 people are injured for every 1,000 who participate in illegal street racing. (Illegal Racing Stats, NHRA) When racing on public streets a lot of hazards are present. These hazards consist of traffic, pedestrians and objects such as trees, numerous types of poles, walls, and signs. An accident at high speeds in this kind of environment is extremely dangerous. A Street racing accide nt causes catastrophic damage to themselves and others due to loss of control at high speeds. If a collision with an object or loss of control were to happen at high speeds there is nothing to stop them except for what is around them which generally is something harmful, such as trees, buildings and other another vehicle. A collision with another object in a public area is almost certainly fatal. The majority of outcomes of racing accidents are disastrous on both sides, drivers and victims. Illegal street racing not only takes its toll in innocent lives, but affects families for years after. Their grief is compounded by knowing that their loved one died without reason; that their death could have been prevented. (Families Against Speeding Drivers-FASD) Success of racing without losing control or colliding without some object is not always triumphant there can still be legal consequences that can affect their daily life. These legal penalties could put them in a financial loss. This financial loss can come from fines and citations they receive. Jail time is going to greatly put them in a financial loss, from paying attorneys to being able to afford to bail them out. Meanwhile in jail their employment can also be tarnished, they will lose wages from their job. In Arizona there have been numerous tragedies with teenagers street racing, one which went to local high schools. Phillip Vogel, a student from Chaparral High School passed away on May 16, 2006 from a fatal car accident. The night before he was racing a fellow student when he lost control, hit a tree and a concrete entrance of a neighborhood subdivision. Phillip was a senior and because of what he decided to do that night he never lived to see the day of his graduation. Mike Sakal, East Valley Tribune) It is very unfortunate these tragic accidents happen, but sometimes teenagers do not stop to think of the possible outcomes and risks involved in street racing. Most don’t realize the tremendous consequences and risk of death; they don’t stop to think that those could be their last moments. Yes, sometimes there are substances involved, and driving under the influence is another factor that comes into play into street racing. When driving under the influence of a substance, teenagers feel invincible, they start playing around and that is when accidents start happening. Teenagers feel that they need to prove themselves by racing some one else, but they do not realize in how much danger they are putting themselves in. They feel the need for speed and don’t stop to think. â€Å"Street Racing is always too intense to have any fun. You have to run away from the police, make sure no one cuts in front of you, that you’re not going to crash. It’s crazy. You can’t have fun worrying about so many things. At the track, these things don’t exist and you can just go fast! (ABEL IBARRA, NHRA driver of the KN Filters/Toyo Tires Mazda RX7) There are many alternatives to street racing, teenagers just have to realize how dangerous it is to race on the streets and look for a local track where they can race on the weekends for an affordable price and a safe and controlled environment. In the early 1950s, NHRA founder Wally Parks began working with law-enforcement agencies around the country to entice illegal street racers onto dry la kes and abandoned runways where more organized competition could be staged. Today, that basic initiative remains NHRAs primary mission. Given the scope of todays street racing epidemic, NHRA is even more committed to providing safer racing alternatives through thousands of legal, sanctioned events that take place on hundreds of drag strips across the United States each weekend through its Street Legal program. (NHRA STREET LEGAL DRAGS) This alternative to racing the streets because there are no worries. They don’t have to worry about police or having to worry about the dangers, such as colliding with other traffic or harmful structures. They just get inspected to insure the car is safe to race, pay a small fee and just have fun, in a safe controlled environment. At the urging of Southern California law-enforcement agencies, NHRA in 1994 began a high-profile and closely scrutinized program of events for street-legal cars and motorcycles in Southern California. Since then, thousands of potential illegal street racers throughout the country have turned to Street Legal programs at NHRA member tracks, where as many as 700 racers may attend an event. (NHRA STREET LEGAL DRAGS) Many racers have chosen to go the safe way and race the strip for a small fee. Others choose to race their streets and take a chance they say that the adrenaline rush is not the same at the track. Looking back, I know I could have benefited from a Street Legal program from the standpoint of safety for myself and others around me. You always hear about people doing dumb things on the streets at three oclock in the morning; these kinds of things just dont happen at the racetrack. (NHRA, LARRY DIXON, driver of the Miller Lite Top Fuel dragster) At the track there’s a les s significant chance that something is going to go wrong. It is so controlled and precise that the only thing that could go wrong is technical problems with the vehicle. Compared to the streets they don’t have to worry about all the dangerous factors hey just concentrate on pure racing, and have their mind set on what they have to do to win their race. Many street racing accidents can be prevented by the teenage racing community it is just a matter of them getting educated about the consequences and hardships you can suffer from an accident involved in street racing. There are also many that don’t know that possibly their local track offers events where they can race and prove themselves in a controlled and precise environment for a small fee and an inspection of their vehicle to make sure it is safe for the track. If they truly love the sport of racing they should race at the track. Not only is it going to keep them out of trouble but it is going to keep them safe and having fun racing in a carefree environment. Brown, Cheryl A. Drag Racing. Cheryl A. Brown, LLC. Attorney at Law. 2007. Cheryl A. Brown, L. L. C. 21 Dec 2007 duiaz. com/PracticeAreas/Drag-Racing. asp. Dixon, Larry. Take it from the Drivers. NHRA Street Legal Drags. 2003. National Hot Rod Association. 21 Dec 2007 nhra. com/streetlegal/drivers. html. NHRA, Illegal Racing Stats. NHRA Street Legal Drags. National Hot Rod Association. 21 Dec 2007 nhra. com/streetlegal/stats. html. NHRA, NHRA Street Legal. NHRA Street legal Drags. 2003. National Hot Rod Association. 21 Dec 2007 nhra. com/streetlegal/index. html. Ibarra, Adel. Take it from the Drivers. NHRA Street Legal Drags. 2003. National Hot Rod Association. 21 Dec 2007 nhra. com/streetlegal/drivers. html. Sakal, Mike. Street Racing Accidents. Evo Street Racers. 2006. Eas t Valley Tribune. 21 Dec 2007 http://evostreetracers. com/streetracingaccidents190. tml. Scelzi, Gary. Take it from the Drivers. NHRA Street Legal Drags. 2003. National Hot Rod Association. 21 Dec 2007 nhra. com/streetlegal/drivers. html. Unknown The Effects of Illegal Street racing on Families. Families Against Speeding Drivers. 2005. FASD (families against speeding drivers). 21 Dec 2007 fasd. info/home. cfm? dir_cat=38151. Image of Chart: NHTSA Fatal Car Accident Statistics. Fatal Car Accidents Pictures Stories. www. car-accidents. com. 21 Dec 2007 car-accidents. com/pages/fatal-accident-statistics. html.