Corporate governance Case Study Example | Topics and Well Written Essays - 1750 words

Corporate governance - Case Study Example The corporation holds an enhanced asset policy that helps in reducing the risk and optimizes opportunity (BHP Billiton, 2010). The corporate governance program of BHP resulted in the financial growth, with increase in sales volume. EBIT (Earnings Before Interest and Taxes) increases with higher margin with a positive increase in the cash flow, thus making the corporate more competitive along with maintaining the shareholders interest in the corporation in different ways especially through enhanced dividend policy (BHP Billiton, 2010). As stated by Timothy M. Devinney in one of his article, BHP Billiton had routinely placed itself soaring in social responsibility surveys (such as Global Reporting Initiative) for the corporations’ response to the environmental procedures and safety (Devinney, 2009). Due to the consequence of highly exposed measures such as the James Hardie asbestos scandal and the collapse of Enron in Australia, it had increased the level of corporate governance. BHP shareholders have formed ‘BHP shareholders for social responsibility’ concerning about the social, economical and environmental issues and the BHP management have actively participated in corporate governance (Thomas & Nowak, 2006). BHP Billiton have committed to the UN Universal Declaration of Human Rights and the UN Global Compact. It has committed to the Global Reporting Initiative towards the social responsibility (Jones & Et. Al., 2007). BHP Billiton has failed in their commitment towards collective bargaining for its employees which was compatible with its CSR line. During previous years the report relating to the collective bargaining and issues related to labor management was not emphasized. During the year 2005, the corporation had listed unions as the key stakeholders but still it did not align to the corporate social responsibilities. The potential for ethical business behavior is judged when the corporations reinforce

Differencies in substantive law and procedural law between common law Essay

Differencies in substantive law and procedural law between common law and civil law - Essay Example Civil Law gives its priorities to the doctrines and especially on the reports of codifiers over jurisprudence. The Common Law conversely, gives its priorities to jurisprudence over the canon. To elaborate on the difference of priorities between civil and common law, examining the different roles of legislator in the countries that practice the law (Tetley). For example, French law allows separation of powers since the courts only apply ruling while legislature work is to legislate and make laws. The other difference is that common law canon’s functions is to differentiate cases that appear unsuited to civics, and at some point may criticizes judgments that are made in court that seem to be biased according ruling. The civil law doctrines function is to avoid confusion that might cause a wrong judgment according to legal literature. Therefore, it provides the right procedure for judging difficult cases. Common law style of evaluating a case is different from the civil law style, since common law analyses cases that are similar in nature and extracts ruling from the previously set rules. The judge might add some rules and directions that do not exist to support the judgment made on the case. Civil law deals with legal principle that are firmly written to make decisions on certain cases (Tarr, 10). The judge comments on the history, the domain, and the application of the law accordingly without altering or adding some information. Therefore, the use and application of general mind is not allowed to be used in civil law to make judgments. Another difference is that civil law majors on the rights and compulsion to get the remedies of a case. It cannot make judgments without the use of legal doctrine that oversee the decision-making. On the contrary, common laws do not follow a set of guidelines or obligation to find a remedy to a case, but can add some knowledge of the

Theories Of Corporate Social Responsibility Management Essay

Theories Of Corporate Social Responsibility Management Essay Introduction The field of corporate social responsibility (CSR) shows to have become more important around the world. The role of business and the way it is perceived by society has gone through several changes throughout the history. Over time, until today, an increased awareness of the impact of business and its interaction with social and environmental issues have emerged. Companies are today obliged to some certain responsibilities in the society where they are active. The most basic responsibilities are laws and rules that they have to supply under. Organizations today are forced to show that their business stands for something more than just profits, and that their activities add some value, or at least do not negatively affect the community around them (Ledwidge, 2007). What is Corporate Social Responsibility (CSR) CSR is a concept that has many different definitions and a concept that is growing in the corporate world today. Look in most journal articles and you can find the list. But do the people really understand what exactly means by corporate social responsibility? van Marrewijk, (2003) defined CSR is regarded as the panacea which will solve the global poverty gap, social exclusion and environmental degradation. Refer to a work by Abeysuriya et al, (2007), corporate social responsibility of CAR common purpose for facilitating the move towards a socially and ecologically sustainable future through voluntary business activities. Boyd et al, (2007) defined corporate social responsibility as general sense reflects obligations to society and stakeholders within societies impacted by the firm. Beckman et al, (2009) pointed out that CSR known as the organizations status and activities with respect to its perceived community responsibility. CSR is developing in the ethics, marketing, and management fields. The ethics consists of three types of issues i.e., macro-, meso- and micro-level based. The macro- and meso- refer to stakeholder engagement and micro- is center of specific such as code of ethics. van Marrewijk, (2003) defined CSR is regarded as the panacea which will solve the global poverty gap, social exclusion and environmental degradation. Ethical challenges Robinson et al, (2006) noted that one challenge entrepreneurs face is about how to define the ethical dilemma explicitly, so as to address it within the context of the entrepreneurial purpose. The ethical issues in business has to do with making the right choices and there is often no apparent single right way and may meet optimist expectations. Entrepreneurs are therefore frequently faced with choices in business that creates tensions between their need to be ethical and their desire to optimize profits. This tension may sometimes manifest as a fundamental choice between private gain and public good, though this is perhaps to simplistic a way to view the matter Robinson et al, (2006). The author noted that any decision where moral considerations are relevant may give rise to an ethical dilemma. In general, an ethical dilemma may result from a decision that: requires a choice between rules has no rule, precedent or example to follow morally requires two or more courses of action, which are practically incompatible should be taken (in self-interest), but which appears to violate a moral principle The process of Corporate Social Responsibility Figure 1: Phases and steps within the CSR process (Extracted from ORiordan and Fairbrass, 2008) ORiordan and Fairbrass, (2008) demonstrated the potential moves (CSR processes, phases, and steps diagram) in figure 1. According to the authors, there are two distinct stages can be identified i.e. strategy development and strategy implementation of CSR. The strategy development phase includes the following factors: Values which drive the strategy; Alternatives which encompass the various range of options available to decision makers (e.g. using an analogy from chess, the pieces on the board that are available to be moved); The strategy (or action) which is the ensuing results from the decisions taken in the two earlier steps of phase 1. The implementation phase marks stage two of the CSR process. It includes the factors: Implementation and control which involve the technical aspects of implementation at a more tactical level and the crucial step of control of the entire process (i.e. the feedback loop); Finally, the output step is included based on the rationale that a results-orientated approach is beneficial to ensure an effective and efficient use of managerial resources. Theoretical foundation Refer to Clark, (2000) CSR consists of four steps process i.e., awareness or recognition of an issue, analysis and planning, response intern of policy development and implementation. The process of CSR also includes environmental assessment, stakeholder management, and issues management. Becker-Olsen et al, (2006) mentioned that CSR a link between social initiatives and improved financial performance. According Besley and Ghatak, (2007) CSR is dependable with profit-maximization in competitive markets. In equilibrium firms sell ethical brands and neutral brands, and consumers self-select according to their valuation of the public good. According to Margolis et al, (2008) the relationship between corporate social responsibility (CSR) and corporate financial performance across eight categories of CSR and found that different initiatives have significantly different impacts on financial performance. Pies et al, (2009) documented that the ordonomic approach can be used in business ethics to foster effective leadership skills and encourage CSR. The ordonomic perspective is a valuable framework for discussing the meaning and role of ethics in effective leadership and CSR in the age of globalization. The authors explained that the ordonomic approach provides a three-tiered conceptual framework for analyzing society and social interaction (refer to figure 2). Figure 2: the three-tiered conceptual framework of the ordonomic perspective (extacted from Pies et al, 2009) This framework distinguishes between the basic games of antagonistic social cooperation, the meta-games of social rule setting, and the meta-meta games of rule-finding discourse. The authors stated that the basic game of social interaction refers as cooperation is only made possible by the existence of institutions, i.e., rules. for mutual advantage. The meta game is rule-setting processes that are geared toward creating a mutually advantageous social structure. Finally, the meta-meta game serves as a rule-finding discourse. Its discursive practices aim at critically discussing semantics and with the goal of developing shared perceptions as to the social interdependence of the players (Pies et al, 2009). Levels of Corporate Social Responsibility Carroll (1991) stated that CSR consists of four level basic responsibilities to society i.e., economic, legal, ethical and discretionary. From these four level responsibilities, Carroll uses to build his CSR model (refer to figure 3). Philantropic Responsibilities Ethical Responsibilities Legal Responsibilities Economic Responsibilities Be a good corporate citizen. Contribute resources to the community; improve quality of life Be ethical. Obligation to do what is right, just and fair. Avoid harm Be profitable. The foundation upon which all others rest Obey the law. Law is societys codification of right and wrong. Play by rules of the game Figure 3: The pyramid of corporate social responsibility (Extracted from Caroll 1991) Refer to the Carrolls model, economic responsibility is the foundation of the pyramid. The next level involves legal responsibilities, which is followed by ethical responsibilities. At the top of the pyramid is philanthropic responsibilities which is to be the highest level of corporate responsibility. Economic and Legal Responsibilities Economic responsibilities mean that the core activity of a business is to provide goods and services. The legal responsibilities refer to companies cannot only focus on the profit motive; simultaneously they are expected to act in accordance with current laws and regulations transmitted by federal, state and local communities as the ground rules under which business should operate (Carroll, 1991). Table 1: Economic and Legal components of Corporate Social Responsibility (extracted from Carroll, 1991) Economic Components (Responsibilities) Legal Components (Responsibilities) 1. Perform in a manner consistent with maximizing earnings per share. 1. Perform in a manner consistent with expectations of government and law. 2. Be committed to being as profitable as possible. 2. Comply with various federal, state and local regulations. 3. Maintain a high level of operating efficiency. 3. Be a law-enduring corporate citizen. 4. Maintain a strong competitive position. 4. It is important that a successful firm is defined as one that fulfils its obligations. 5. It is important that a successful firm is defined as one that is consistently profitable. 5. Provide goods and services that at least meet minimal legal requirements. Ethical Responsibilities Refer to Caroll, (1991) ethical responsibilities represent standards, norms and expectations that consumers, employees, shareholders and the community look upon as fair, even though they are not transferable into laws. The ethical responsibility is the voluntarily responsibility by the company to act in a manner that is fair and justice and to avoid or at least minimize the risk that the shareholders of the company is affected in any negative manner. In the latest years the ethical responsibility has created high expectations on corporate managers and social pressure forces the companies to act in a manner that is far beyond their legal responsibilities. Philanthropic Responsibilities Philanthropic responsibility is always voluntarily and could be implemented through both devote the employees time and the companys money for the best of the society and always try to strive for improving the world around them. The societal approach indicates that companies are responsible to the society as a whole, of which they can be seen as an integral part (Carroll, 1991). Table 2 Ethical and Philanthropic components of Corporate Social Responsibility (extracted from Carroll, 1991) Ethical Components (Responsibilities) Philanthropic Components (Responsibilities) 1. Perform in a manner consistent with expectations of societal mores and ethical norms. 1. Perform in a manner consistent with the philanthropic and charitable expectations of society. 2. Recognize and respect new or evolving ethical moral norms adopted by society. 2. Assist the fine and performing arts. 3. Prevent ethical norms from being compromised in order to achieve corporate goals. 3. That managers and employees participate in voluntary and charitable activities within their local communities. 4. It is important that good corporate citizenship be defined as doing what is expected morally or ethically. 4. Provide assistance to private and public educational institutions. 5. Recognize that corporate integrity and ethical behaviour go beyond mere compliance with laws and regulations. 5. Assist voluntarily those projects that enhance a communitys quality of life. Different approached had been used by van Marrewijk, (2003) i.e, three theories about different levels of CSR (refer to figure 4). Figure 4: General model of CS/CR and its dimensions. (van Extracted from Marrewijk, 2003) According to van Marrewijk, (2003) there the ultimate objective of CSR is to obtain Social Sustainability. This cannot be achieved without the different levels of CSR, in economy, social and environmental issues. In the shareholder approach it is clear that the central aim for a company is the pursuit of profit maximization and that the social responsible activities are not concerned with the corporate body but are a major task for the government and the public sector. In this process CSR is only interesting in the way that it contributes to achieve he objectives of the company, which in the long run is profitability for the owners. Theories of Corporate Social Responsibility The implementation theories correspond to the basis to create a model that describes a CSR implementation process According to Carol, (1991) business and politics communities have been influenced by the globalisation process and the displacement of values from material to immaterial values that has taken place. Refer to a work by Garriga and Melà ©, (2004) CSR theories associated with four groups i.e., (table 3) Instrumental theories The corporation is used strategic tool for wealth creation. There are three main groups of instrumental theories which depend on the economic objectives. The three groups are; Maximizing the shareholder value According to the authors, any investment social demands that contribute to maximizing the shareholder without deception and fraud are include in this group. It has been noted that the shareholder value maximization as the supreme reference for corporate decision-making. Strategies for achieving competitive advantages Garriga and Melà ©, (2004) noted that this group of theories are concentrated on long term social objectives by knowing how to allocate resource and create a competitive advantage. There are three approaches can be included within this strategies i.e., social investments in competitive context, natural resource-based view of the firm and its dynamic capabilities and strategies for the bottom of the economic pyramid. Cause-related marketing Cause-related marketing refers as the process of formulating and implementing marketing activities and the goal is to enhance company revenues, sales or customer relationship by building the brand through the acquisition of, and association with the ethical dimension or social responsibility dimension (Garriga and Melà ©, 2004). Political theories The authors pointed out that political theories focus on interactions and connections between business and society and on the power of business and its inherent responsibility. There are two major theories can be distinguished through Corporate Constitutionalism and Corporate Citizenship Corporate Constitutionalism The authors mentioned that the firm has power to influence the equilibrium of the market. Social powers of the firm are internally and externally without destroy power. They channel organizational power in a supportive way and protect against unreasonable organizational power. Corporate Citizenship Corporate citizenship refers as responsibilities and possible partnerships of business in society. It has been reported that some theories on corporate citizenship are based on a social contract theory. Corporate citizenship theories generally have a strong sense of business responsibility towards the local community, partnerships which are the specific ways of formalizing the willingness to improve the local community and for consideration for the environment. (Garriga and Melà ©, 2004). Integrative theories According to the authors, the integrative theories depend to social demands for its existence continuity and growth. Social demands means society interacts with business and gives it a certain legitimacy and prestige. In addition, the authors noted that the theories of this group are focused on the detection and scanning of, and response to, the social demands that achieve social legitimacy, greater social acceptance and prestige. Issues management The concept of social responsiveness broadens with the concept of issue management which refers as a process for making a corporate response to social issues. Issues management is a process of the corporation can identify, evaluate and respond to those social and political issues which may impact significantly upon it. The principle of public responsibility Public policy consists of law, regulation and broad pattern of social direction reflected to public opinion, emerging issues, formal legal requirements and enforcement or implementation practices. Garriga and Melà ©, (2004) noted that if business adhered to the standards of performance in law and the existing public policy process, then it would be judged acceptably responsive in terms of social expectations. Stakeholder management Stakeholder management focuses on the public responsibility principle and combines groups with a stake in the firm into managerial decision making (Garriga and Melà ©, 2004). Corporate social performance Refer to Garriga and Melà ©, (2004) the corporate social performance theories includes social legitimacy with process for giving appropriate responses. The corporate social performance also include the principles of CSR, expressed on institutional, organizational and individual levels, processes of corporate social responsiveness, such as environmental assessment, stakeholder management and issues management, and outcomes of corporate behavior including social impacts, social programs and social policies. Ethical theories Garriga and Melà ©, (2004) documented that ethical theories focus on the ethical requirements that strengthen the relationship between business and society which is based on principles that express the right thing to do or the necessity to achieve a good society. Normative stakeholder theory The authors noted that the normative stakeholder theory is a way to integrate social demands. Normative stakeholder theory has a normative core based on two major ideas stakeholders are persons or groups with legitimate interests in procedural and/or substantive aspects of corporate activity (stakeholders are identified by their interests in the corporation, whether or not the corporation has any corresponding functional interest in them) and The interests of all stakeholders are of intrinsic value (that is, each group of stakeholders merits consideration for its own sake and not merely because of its ability to further the interests of some other group, such as the shareowners). Universal rights Universal rights (human rights) UN Global Compact includes in the area of human rights, labor rights and the environment protection as a basis for CSR. Sustainable development Sustainable development requires the integration of social, environmental, and economic considerations to make balanced judgments for the long term. In order to maintain the sustainable developmenet there is a need for the organizations aims and intentions be aligned with the organization strategy, as an appropriate response to the circumstances in which the organization operates (Garriga and Melà ©, 2004). Table 3: Corporate Social Responsibility Theories and related approaches (extracted from Garriga and Male, 2004) The common good approach Refer to the authors, this approach maintains that business, as with any other social group or individual in society, has to contribute to the common good, because it is a part of society and it shouldnt be harmful to society. Morimoto and Hope, (2005) are using Grounded Theory approach to undertake the complex issues CSR auditing. According to the authors the grounded theory is grounded in the data; developed from it by the analysis process and tested in the existing data for verification. It is systematic rigor and thoroughness from initial design, through data collection and analysis. Chih et al, (2009) institutional theory on CSR comprising a series of propositions specifying the conditions under which corporations are more (or less) likely to behave in socially responsible ways such as financial performance and economic environment, competition, legal environment, private regulation and the presence of independent organizations, business education environment, and employer-employee relations Another study by Frederiksen, (2009), the author had chosen two kinds of teleological moral theories, i.e. egoism and utilitarianism, and two kinds of deontological moral theories, i.e. libertarianism and common-sense morality and moral theory, i.e. utilitarianism and common-sense morality. From the authors finding, the companies act in CSR is not according to their CSR policies on goal-orientated teleological moral theories, such as ethical egoism or utilitarianism, but they prefer on duty based common-sense morality. In addition, managers mainly perform with goal-oriented teleological moral the ethical guidelines, utilitarianism and this theory is in disagreement with deontologically oriented theories i.e., common-sense morality. Teleological moral theories Egoism According to Frederiksen, (2009), CSR concerned with benefiting the company such as employees, the local community and companys self-interest. Ethical egoist refers to any kind of social arrangement that would be rational for their own best-interest. Therefore, egoism in a company should to do good or refrain from doing harm only if it is good for the company, normally meaning if it helps to maximize profit. Utilitarianism It has been stated that the relationship between CSR and utilitarians is companies have a moral obligation to promote the best possible outcome, i.e. maximise happiness from an impartial perspective. Impartiality refers as the one is impartial in relation to who the benefactor is and who the beneficiary is such as those who closely related to the company, employees (Frederiksen, 2009). Deontological moral theories Libertarianism The author noted that the relation of CSR and libertarianism, it is believe that companies have no moral obligation to positively help anyone; they are only morally obligated not to violate anyones negative rights. Common-sense morality The relationship between CSR and the common-sense orientation believe that companies have a moral obligation not to violate anyones rights and that they also have positive duties towards certain groups, such as employees, the local community and others closely related to the company. The author mentioned that common-sense moral principles seem to be principles concerning special obligations; for example special obligations towards shareholders or other closely related groups. Hsieh, (2009) documented that there are two prominent theories of corporate purpose i.e., stakeholder theory and corporate citizenship theory. Stakeholder theory The corporation ought to be managed for the benefit of all its stakeholders Corporate citizenship theory It emphasize business enterprises in respecting and defending human rights and in contributing to social welfare and human development within society Refer to Padgett RC, Galan JI, (2009), resource-based view (RBV) theory related to CSR in the sense of they can generate competitive advantages; the firm is also affected by external factors. RBV in the study of CSR is explained by the emphasis it places on the importance of specific intangible resources, such as know-how, corporate culture and reputation for firms to obtain competitive advantages. Table 4: In summary of Corporate Social Responsibility Theories Theories Types of theories Authors CSR theories associated with four groups Instrumental theories- strategic tool for wealth creation Political theories- on interactions and connections between business and society and on the power of business and its inherent responsibility Integrative theories- social demands for its existence continuity and growth. Ethical theories- ethical requirements that strengthen the relationship between business and society Garriga and Melà ©, (2004) Undertake complex issues regarding CSR auditing Grounded theory It is systematic rigor and thoroughness from initial design, through data collection and analysis. Morimoto and Hope, (2005) Institutional theory CSR comprising a series of propositions specifying the conditions under which corporations are more (or less) likely to behave in socially responsible ways such as financial performance and economic environment, competition, legal environment, private regulation and the presence of independent organizations, business education environment, and employer-employee relations Chih et al, (2009) CSR associated with two kinds of teleological moral theories and two kinds of deontological moral theories. Teleological moral theories Egoism Any kind of social arrangement that would be rational for their own best-interest to help maximize company profits. Utilitarianism To promote the best possible outcome, i.e. maximise happiness to those who closely related to the company, employees. Deontological moral theories Libertarianism The companies have no moral obligation to positively help anyone; they are only morally obligated not to violate anyones negative rights. Common-sense morality and moral theory Principles concerning special obligations not to violate anyones rights and that they also have positive duties towards certain groups; for example special obligations towards shareholders or other closely related groups. Frederiksen, (2009) There are two prominent theories of corporate purpose Stakeholder theory the corporation ought to be managed for the benefit of all its stakeholders Corporate citizenship theory It emphasize business enterprises in respecting and defending human rights and in contributing to social welfare and human development within society. Hsieh, (2009) Resource-based view (RBV) RBV theory allows to analyse the effect of RD intensity on CSR Resource-based view (RBV) theory Importance of specific intangible resources, such as know-how, corporate culture and reputation for firms to obtain competitive advantages. Padgett and Galan, (2009) Corporate Social Responsibility Implementation Marimoto et al, (2005) there are six key elements to the achievement of successful CSR are perceived as good stakeholder management, good corporate leadership greater priority for CSR at board level, integration of CSR into corporate policy at all levels and in all divisions of business, regulation at the national and international level understood and demonstrated across all areas of business, active involvement of, and good coordination between, government business, NGOs and civil society. Raps (2005) noted that in order to achieve successful implementation of CSR, there is a need to understand a long-term process that requires creativity and careful planning. The author pointed out ten critical points to overcome and improve the difficulties in the CSR implementation context. Commitment of top management Refer to Raps, (2005), the importance of having top-managers working hard to achieve the purpose of the strategy is crucial for the implementation to succeed. Top-managers must influence middle managers in order to get their true message forward; they cannot relay on and believe that the middle-managers perception of the implementation is the same as theirs. Involve middle managers valuable knowledge The author pointed out that to make use of the knowledge that middle managers possess and make sure they are involved increases their motivation and make them feel like they are a part of the process. This motivation boost is important for everyones everyday day work since the middle managers engagement increases the awareness of the implementation throughout the organization. Communication is what implementation is all about Refer to Raps, (2005) illustrates in his communication-model how it is possible to provide appropriate information regarding implementation throughout the organization (Figure 5). Figure 5: Issues to be addresses in the communications plan (Extracted with Raps 2005). Integrate point of view It is essential to see the implementation as a method used integrated within all aspects of the company. Traditionally implementation often overemphasizes the structural aspects e.g. organizational structure and disregards other existing components such as cultural aspects and human resources perspective. All of these aspects need to be taken into consideration to create an integrated measure for implementing activities (Raps, 2005). Clear assignment of responsibilities To avoid power struggles between departments and within hierarchies, there should be a plan with clear assignments of responsibilities regarding detailed implementation activities. This is a preventive way of proceeding. Responsibilities are clear and potential problems are therefore avoided (Raps, 2005) Preventive measures against barriers Change is a common phenomenon for companies today and the companies that are capable of handling change has a great advantage. The ability to manage change has become a core competency. A great challenge within strategy implementation is to deal with potential change barriers. Therefore, it is important to prevent these barriers and by changing the way they view and practice strategy implementation, senior executives can effectively transform change barriers into gateways for a successful execution (Raps, 2005). Emphasize teamwork activities Teamwork is an important part when implementing a strategy. It is however often forgotten when it comes down to implementation process activities (Raps, 2005). Respect the individuals ´ different characteristics Human resources are valuable and intangible assets within a company. Latest studies indicate that HR is the key factor for successful implementation (Raps, 2005) Take advantage of supportive implementation instruments According to the author, there are two implementation instruments can be applied i.e., the balanced scorecard and the supportive software solution. The balanced scorecard provides a functionality to translate a companys strategic objectives into a coherent set of performance measures. In addition, it provides a framework to integrate the strategic planning and meets the requirements that the strategic planning system itself can display. The software solutions can be helpful to improve the quality of strategy implementation and provides clear assignments of responsibilities throughout the organizations implementation process. Calculate buffer time for unexpected incidents The author reported that the most important in strategy implementation is the exceeding of time restrictions. The important key is to find out the time-intense activities and harmonize with the time capac

Best Evidence :: essays research papers

There are archetypal patterns in life. They reoccur and become familiar to people through all ages and ethnicities. Throughout history, few literary works have captivated audiences by incorporating these patterns. The epic Beowulf is one literary work that effectively incorporates timeless components. The epic poem relates the tale of Beowulf, a warrior who throughout his life overcomes evils. It has strong elements of Anglo-Saxon elements of bravery, strength and of religious tenets. Beowulf enjoys universal appeal primarily because of its elements of characterization, plot and theme that prove timeless. Beowulf’s portrayal of human nature proves eternal. The protagonist Beowulf brashly lists his accomplishments before entering battle: "But the truth is simple: no man swims in the sea as I can, no strength is a match for mine†¦ other monsters crowded around me, continually attacking. I treated them politely, offering the edge of my razor-sharp sword," (265-294) . His boasts are symbolic of his personal insecurity. Beowulf seems scared of defeat and faliure. His boastful remarks are reminders to himself of his invincibility. Because he is insecure, Beowulf is an accurate representation of human nature. The poem also discloses social behaviors through Welthow, who portrays appropriate submissiveness of a wife. Women in society and position always are hot topics for discussion in any country and time period. She is subservient to her husband and " [pours] a portion from the jeweled cup for each, till [she] had carried the mead-cup among [the guests]," (354-372). Jealousy is a accurately portrayed in the poem. is a human attribute that will apply to any time period anywhere. In the incident with Unferth, for example: "angry that anyone in Denmark or anywhere on earth had ever acquired glory and fame greater than his own"(236-238) tries to belittle Beowulf’s claims to bravery, and, by doing so, adds realistic qualitie s to his character. Belief Divine or supernatural notions are also tendencies of human nature. The poem reflects this ageless concern through references to "that Shepherd of Evil" (432) and "[sacrifices] to the old stone gods" (90). These are both conflicting allusions to the two prominent religions of the time. One pertains to Christian ideology; i.e. "The Almighty God" (493), and "the Almighty making the earth" (8), and the other relates to Anglo Saxon religious beliefs; i.e., "the omens were good" (118) and "fate will unwind as it must," (189). The poem alludes to Christianity, a monotheistic religion that rejects ideas of fate.

The stages of Intervention in English Education

INTRODUCATIONReading is a necessary accomplishment for success in all societies, and the ability to read throughout assorted contexts efficaciously likely to better ego assurance and societal advancement every bit good as 1s possible bearer. However, Reading troubles is the job that faces many pupils with dyslexia across different educational system. It seems clear that there are two chief methods of gestating LD in general and the natural world construct of dyslexia. One chief definition relates to psychological/medical theoretical account and the other is societal theoretical account ( Kevin, 1999 ) . It is often point out that reading accomplishment is complicated because it is based on two chief procedures which are coding, comprehension. They require larning all alphabetical characters and the result of cognition every bit good as interaction with the reader ‘s ain experiences and entree to consequences through the text. Harmonizing to H. Lee Swanson, Karen R. Harris, Steve Graham ( 2006 ) reading troubles is shortage in larning procedures which are include ocular perceptual experience and perceptual Kinetic perceptual experience, .. etc. They established developing plans for this procedures which are prerequisite for larning to read, such as audio and ocular perceptual experience. However, this tendency has been criticized by research workers, because theoretical doctrine was weak and it was non based on scientific basic due to it was certified to see merely practical behaviour. On the other manus, in the 1960ss and 1970ss of the last century has returned to concentrate on direct instruction and structured acquisition, which focus on Code -emphasis and Whole Language ( Hoien, 2000 ) .Unfortunately, there is no known medical options to cut down the badness of cognitive processing hold in students with reading troubles. Therefore, instructors are required to work instructional accommodations as a consequence, pupils with reading troubles are to be successful in an suited an academic environment that aid to cut down reading troubles ( such as eliminate any beginning of perturbation at mainstream schoolrooms and resource room ) . One of the most of import instructional accommodations is usage of basic processs for appropriate intercession in early phase of educational ladder to avoid reading jobs in pupils through usage of assorted plans of intercession by specialised instructors and clinical psychologist to use. Furthermore, another instructional accommodation which is methods of learning pupils with dyslexia how do they read? ( Kevin L. Huitt,1999 ) . On the other manus, dyslexia friendly schools are an appropriate environment for kids with dyslexia are to supply effectual support to them and they have consciousness of the particular demands of these pupils. They are to be provided with effectual support and consciousness of their extra demands. The purpose of this brief essay is to discourse different definitions of dyslexia. Intervention to cut down reading troubles in pupils with dyslexia will be discussed with a focal point on phases of intercession in England, issues associated with intercession and besides concentrate on a major global programme: Reading Recovery. Teaching Methods for pupils with reading troubles will be examined in footings of Whole Language Instructions and Code- accent Instructions. Finally, Facilitating dyslexia friendly schools will be discussed in brief.1. Definition of DyslexiaIt seems a controversial issue comparatively in the beginning, because dyslexia has defined in many attacks, some of the definitions reflect the theories of causing, while the other definitions in an effort to depict dyslexia. It seems clear that dyslexia involves more than one status as it conveys a conceptual trouble in reading accomplishments for the kid every bit good as a figure of other grounds ( Rice, 2004 ) . There are many of dependable definitions that have been adopted from a broad scope of different direction environments, such as definition of the British Association for Dyslexia ( 2001 ) , which seems to be a descriptive definition, which indicate that dyslexia can be seen as: â€Å" A combination of abilities and troubles which affect the acquisition procedure in one or more of reading, spelling, and composing. Attach toing failing may be identified in countries of velocity of processing, short-run memory, sequencing, auditory and / or ocular perceptual experience, spoken linguistic communication and motor accomplishments. It is peculiarly related to get the hanging and utilizing written linguistic communication, which may include alphabetic, numeral and musical notation † ( Reid, 2002 ) . It is agreed widely that reading accomplishment is cardinal for all people to finish the acquisition procedure successfully and appears to be understanding that the acquisition procedure needs to be a big figure of simple accomplishments, which requires the maps are ordered from different parts of the encephalon ( both left and right from the Brocaaa‚ ¬a„?s country and Hamichaer ) , furthermore, the sequence of actions that may do it one of the most complex operations. It is clear that all instructors, practicians and parents should hold information about kids with dyslexia and the most of import jobs they face, particularly in reading to understand the definition of the educational procedure ( British Dyslexia Association, 2003 ) . On the other, the World Federation of Neurologists ( 1968 ) defined it as ; â€Å" Dyslexia is a upset manifested by trouble in larning to read despite conventional direction and socio-cultural chance. It is dependent upon cardinal cognitive disablements which are often of constitutional beginning. † ( Mortimore, 2003, by Reid, 1994, p.2 ) . If we pay adequate attending to this definition it is clear that the greatest alterations considerate on the late 1960ss that emphasis and characterized jobs to finish reading procedure to be successful, and the new millenary, that is a interested far more than three different phases of description, the first, behavioral, which is the most of import component for instructors and practicians to work daily with kids with dyslexia, peculiarly in the school, and 2nd, cognitive which is more relate to teacher larning troubles who is responsible for appraisal of any sort of larning troubles and so Preparation an single instruction program, 3rd, the degree of biological, which refers to dyslexia for sort of nervous-developmental in developmental shortage of biological beginning ( Frith, 2003 ) . However, if we compare the definition of the British Dyslexia Association in the definition of ( 2001 ) of dyslexia with the equivalent, which presented by the World Federation of Neurology ( 1968 ) , we will observe other possible struggles, harmonizing to the conceptual dimension to the definition of dyslexia. On the other manus, it is absolutely balanced in those who wish to show the strengths and failings of kids with dyslexia: â€Å" dyslexia is a combination of troubles, and capacity that may impact the acquisition procedure in one or more of the authorship, reading and spelling. It might be possible, identify failings in ocular perceptual experience, treating velocity of the short-run memory, sequencing, every bit good as sound, spoken linguistic communication and motor accomplishments. and that are relevant to get the hanging and utilizing written linguistic communication, which may incorporate the alphabet and place the digital every bit good as musical.2. Causes of Dyslexi aHarmonizing to ( Rice, 2004 ) there is still no consensus on the implicit in causes of dyslexia. It is often point out that non all the trouble in reading or composing agencies dyslexia. However, there are many scientists who believe that heritage and hearing jobs at an early age may do dyslexia. This will be discussed in more inside informations. 2.1 Inheritance May non be possible that dyslexia is non a strong feature that will be inherited, even if one or both parents have it. On the other manus, this may be possible. it clear that 40 per cent of the people and explained that dyslexia has a history of larning troubles in their household. Harmonizing to Brain scanning of kids with dyslexia by specializers in the field of medical specialty that Bunches of cells beneath the surface in the forepart left side of the encephalon are responsible for reading jobs ( ibid. ) . This group of cells traveling on the surface of encephalon cells while turning in the foetus, which does non happen with kids with dyslexia. In add-on, they have to be smaller Mangifera indica cellular system, which is apt for acknowledgment, for illustration, symbols and characters, which leads to hard to read. They normally tend to utilize the right portion for these accomplishments, which are non designed for this occupation and that six times slower. It is clear that scient ists consider these familial fluctuations and statistics that the heritage is one of causes of dyslexia. 2.2 Hearing Problems at an Early Age It is often point out that the first five old ages of a kid ‘s life are of import for the ability to read and compose in conformity with natural linguistic communications. In the event that the kid is enduring from colds or other continuously during the first old ages of his life, without medical intercession prior to the visit of the wellness centre, may be exposed to censor supplication from clip to clip and therefore may take to hearing loss. This means that there is a interruption in the learning procedure of the kid because of those jobs in the hearing. If the kid does non hold the ability to hear words right, and therefore take to holds in the phonemic consciousness of the kid that leads to larning troubles, such as dyslexia ( Bradford, 2009 ) . 3. Intervention for Dyslexia 3.1 Definition of intercession Harmonizing to Wall ( 2003 ) definition of intercession as â€Å" An intercession is an interaction between two people to convey about alteration and, hence, early old ages practicians undertake intercessions each clip they are working with kids. Interventions may be short, medium or long term and will be planned carefully to guarantee effectivity and rightness. † and He suggested thought which is what and how should practicians pull up a program or design different and utile intercession plans for each kid as a instance separately, by clear uping how it could promote instructors or staff of these kids collaborative work by each class of activity schoolroom, which can be caused by structured program which made through specializers. It can be seen that intercession has become a important key in deciding of psychological educational issues which is more effectual to clear up entree for these issues or jobs and besides it is utile in making positive consequences, particularly for kids with larning troubles who are at hazard for any peculiar type of larning troubles. It is of import to observe that it should be look at if one parent has dyslexia, which is likely to travel to one of their kids as a consequence it is of import there is focal point on the household history, which may to be assisted to alarm instructors and parents hence, it may acquire appropriate intercession plan for these kids ( Augur,1993 ) . If we pay adequate attending to Augur indicate that developmental dyslexia is justified for certain grounds, first ground, it may be really hard to clear up sort of developmental dyslexia that a kid is born thought harmonizing to the consequences of encephalon hurt as a consequence of shot or an accident, etc..Moreover, the 2nd ground which is that many specializers agree that most of these kids, who are smart in most classs with the exclusion of some basic academic accomplishments that need to develop and therefore it is likely that the instructors are supplying success and development of the natural growing of kids with dyslexia, if they were with the fact that dyslexia may non be curable but it needs to utile intercession plans.3.2 Phases of intercession in EnglandHarmonizing to DfES ( 2003 ) that phases of intercession used in schools in Britain, with about indistinguishable phases in America, called ( moving ridges ) . Wave 1, which is refer to initial instruction for literacy in schools in that there must be effectual integrating of all kids, high quality and a day-to-day reading and composing hr with appropriate distinction required. Whereas, if the kids do non react right to primary schoolroom of literacy counsel hence, intercession will be necessary. In add-on, Wave 2 shows a set of specific intercessions which are extra a specific clip, which refer to some kids who are in demand of support services to speed up development and they can work at or above age-related T the highest of outlooks. Wave 3 which is describe the administration for a little figure of kids and intercession is necessary to supply s pecifically for the processor velocity of development or let kids to accomplish their possible. It is clearly that, this could include the 01:01 or specific intercessions, so when it comes to older kids, which is normally refer to the attack set out specifically for kids that have been identified as necessitating particular instruction support by working in the school environment. The best illustration, as noted by the research worker that Wave 3 intercession which is reading recovery.3.3 A major global plan: Reading RecoveryReading Recovery has been designed by Marie Clay, who is a research worker in New Zealand ( Reading Recovery Council, 2006 ) . Mary did surveies which allowed her to develop appropriate methods for the sensing and intercession for reading troubles for kids. In add-on, this plan is surveies based intercession that is applied in more than 10000 schools in New Zealand, Canada, United Kingdom and Australia. it was a developed to offer intercession for kids who have reading troubles ( Au, Mason1990 ) . Harmonizing to Au, Mason ( 1990 ) The chief of reading recovery is to offer intensive one-on-one support kids who have reading troubles in first class and therefore supply appropriate intercession to assist them win before they improve their reading troubles ( Savage, John 1994 ) . Furthermore, it is aimed at less than twenty per centum of school categories in first class schoolroom. It is clear that it is non easy to do a determination about who kids should be given to this plan. kids are taking a trial and depending on the lowest tonss for this trial and so to keep this plan for kids got the lowest tonss by trained instructors in the application of this plan for kids who have troubles reading to cut down these troubles and to read good ( Kline, Anne 1997 ) . It is often point out reading recovery is developed to be compatible with the mainstream school system. Each school needs to corroborate that instructors should hold the ability to download the plan continuously during the twelvemonth. It is clear that it has the ability to work in a assortment of degrees for case it works in effectual manner with school, instructors, kids, and in instruction system to supply aid in cut downing reading troubles in kids ( Reading Recovery National Network,2006 ) . Savage, John ( 1994 ) pointed out that Reading Recovery which is a plan works otherwise for each kid who is in demand of this plan. Choice of kids for this plan based on the study which is submitted by the instructor, and a study about what kid has cognition of letters and constructs about print procedure, text reading. In add-on, the plan starts with what kid is to hold the ability to make, so it concentrate on what they are seeking to larn and work what child demand to larn about reading ( Reading Recovery National Network,2006 ) . Harmonizing to Chapman, Turner ( 2003 ) the plan is designed to work one-on-one direction for 30 proceedingss a twenty-four hours for a period of 12 to twenty hebdomads through trained instructors. Furthermore, it is designed to regular schoolroom reading usher. In add-on, It is set out to help based on kid ‘s strengths. The chief concentration on one-on-one lessons is concentrate on groking the assorted messages in reading and pupils have the ability to construct messages in composing accomplishment ( Reading Recovery National Network ) . Harmonizing to Savage, John ( 1994 ) reading recovery include that: First: Reading Familiar Books: pupils tend to read books that they enjoy. and instructors will detect how child read this book so they will help the kid while kids are reading this book. Second: Appraisal of reading schemes: the pupils will hold a book that have ne'er read it, in the old lesson, the kid will read that book for the instructor, so the instructor will utilize recording equipment while the kid is read. Third: Working on Letter acknowledgment: The pupil will be trained to look at the different letters, and begins to be familiar with them. Fourthly: Introducing new books: The instructor will take a figure of different books that are suited for pupil ‘s reading degree. Finally: Reading new books: The instructor will demo a new book for the pupil, and so the pupil will be supposed to read it in the following lesson. In add-on, the instructor and pupil will discourse the book and supply aid to fix for the apprehension of the narrative in that book before read it. It is clear that Reading plan was designed to run into the particular the single demands of reader who has troubles in reading, which seems different from kid to child. Working Individually with pupils, fixing lessons depend on the single demands of the kid, will assist to develop kids ‘s reading ( hapman, Iversen, & A ; Tunmer 2005 ) . It is clear that the reading recovery has extended one-on-one direction. Not surprising to anyone that Intensification of the plan and work separately with pupils which is influential to present of intercession for those pupils who have reading troubles. Recent research indicates that the method of one-on-one is more effectual in learning in regular categories that lead to accomplishing the single demands for each pupil ( Chapman, Tunmer 2003 ) . Reading Recovery Council ( 2006 ) pointed out that many of the kids are in different degrees reading accomplishment, constitution of lesson for all pupil is non ever effectual to that a pupil who does non understand what may be understood by other kid and therefore instructors can make a lesson that will incorporate five elements: working with letters, reading books which are familiar to pupil, observe and record what is read by the pupil and reading new course of study ( Barnes, Bonnie 1996 ) . it is possible to help pupils achieve effectual reading public presentation by the single demands of them early. In add-on, working separately with pupils to steer them educating reading schemes every bit good as to supply some clip for the application so that they will be capable to accomplish in grade phase ( Educational Commissions System of the States 2000 ) . It seems clear that the scheme of one-on-one which allows instructors to supply pupils all remarks, regards and inquiries that the instructor knows a pupil who has the ability to reply those inquiries. In add-on to, the reading recovery instructors have the ability to assist the pupil and give feedback for the work he is making ( Barnes, Bonnie 1996 ) . On the other manus, Reading recovery will take 30 proceedingss for each pupil.It must take into history that there are some things that may be impact the pupils when they are in the schoolroom, for illustration: yearss of unwellness, field trips and workshops ( Barnes, Bonnie 1996 ) . Barnes, Bonnie ( 1996 ) indicate that clip consuming is one of the jobs related to educating Reading Recovery through the sum of paperwork which are side by side with the instruction of reading recovery to single pupils. For illustration, a written analysis of the strengths and failings of the kid, the study of the outlooks of advancement through the designation of long-run and short-run ends to child day-to-day lesson programme. Another drawback of reading recovery is instructors. Many instructors do non normally have support from their co-workers in the school every bit good as they have trouble in entree to feedback on their lessons. Furthermore, there are many instructors in the schoolroom do non hold a sense of the impact of reading recovery plan on the kids because it is presented merely one or two pupils in their schoolrooms ( Baronial, Jo Anne 1995 ) . In add-on, There are many instructors who are working merely has the half-time reading recovery instructor. Therefore, they have the ability to service merely approximately eight kids each academic twelvemonth. In add-on, many schools have about a 100 and 50 first class pupils f, this is grounds that merely about sex or seven per centum of kids have the ability to have reading recovery programme ( Barnes, Bonnie 1996 ) . As has been mentioned before the end of reading recovery is to steer kids in larning techniques and aid to pattern clip, kids have the ability to present on class degree ( Frankas, George 2000 ) .However, reading recovery is working, irrespective of economic position, gender and societal position of the group of kids that led to the acceleration of the effectual advancement this programme ( Educational Leadership 1990 ) . Centre, Wheldall ( 1992 ) pointed out that to do reading recovery programme more effectual must alter three elements: Behavioural alteration in instructors. The child behavior alteration acquired through instructors. There is a demand for the school to alter the regulative demands for decision makers and instructors. It is clear that the consequences of reading recovery plan is that it offers effectual intercession for pupils in grade school and so intervention, alternatively of falling into the failure in reading troubles for these kids. In add-on, it is supplying strong support for instructors and enable them to go more effectual in reading recovery programme. Furthermore, the most of import result of the plan is to be has figure of kids in classs 2-6 to hold a few jobs in reading troubles one time and so the plan is implemented efficaciously and right ( Baronial, Jo Anne 1995 ) . 3.4 Issues associated with intercession It is often point out that there is contention about how to construct effectively intercession plan. Researcher will show the most of import factors agreed for possible success in the planning and production of the right intercession plan. First, it taking into history the appraisal processs and scrutiny in psychological science that can explicate precisely what are the accomplishments which need to develop in kids. Harmonizing to Fawcett and Lynch ( 2000 ) to analyze dyslexia trial ( designed by Nicolson and Fawcett, 1996 ) will be the most successful for all the instructors to their schools. In add-on, this trial has become extremely efficient because it is interested in semantic and verbal eloquence every bit good as cognition of Numberss. Another ground which is how rapidly the application of this trial. For illustration, it is take one minute to the undertaking of authorship and one minute in the accomplishment of reading, furthermore, spelling and other accomplishments that cou ld take two proceedingss. Harmonizing to Pumfrey and Reason ( 2001 ) heighten the measure and quality of cognitive development of kids is important factor to make the appropriate intercession for them, it is of import to take into history to verification that intercession at the earliest clip that in order to that this process may non take to a hold which is unwanted for kids who have reading troubles. In the same context, we may stress that the appraisal processs and scrutiny demand to be more focal point by that phase, even before the application to avoid any future jobs ( Talcott, , 1997 ) . However, the research worker as a instructor for particular instruction every bit good as lector at the Department of Special Education recognizes that there are no trials in a unvarying and there is a clear deficiency of rating of classs in schools in Saudi Arabia. It is clear that this is an chance for the research worker to obtain the right method of measuring and testing for kids who have troubles reading in schools and the transportation of these steps and the right schemes for the development of the educational procedure in the Kingdom of Saudi Arabia. Talcott, ( 1997 ) indicate that there is an Other factor which is related to people who may play an active function of sensing of kids who have dyslexia. Therefore, there are some people around the kids who have larning troubles and they who provide full attention to relieve the troubles that may be in these kids every bit good as they are seeking to happen the appropriate methods in educational procedure such as, parents, professionals every bit good as specializers in wellness attention4. Teaching Methods of Reading Skills for Children with DyslexiaAs has been mentioned before is that in fact the intercession to turn to reading troubles in kids with dyslexia is a successful scheme to supply support appropriate for them. But it is often point out that, it is to look for on the strengths and failings of the scholar and acquisition manners appropriate through the school by the instructor, which is suited to the demands of each person. Because it is known to us that each and every kid with dyslexia is different harmonizing to the file and map of cognitive and learning manners appropriate to him ( Reid,1997 ) .4.1 Whole Language DirectionHarmonizing to the survey carried out by Frank, 1978, it was holding an impact in back uping the Whole Language Instruction, learning reading is a natural opposite number to larn to talk the sense of larning to read natural. In add-on, Whole Language Instruction may concentrate on instruction to be of entire to the portion and non frailty versa ( e.g. larning the accomplishments non included in the Whole linguistic communication direction ) , and larning to compose must happen through merriment activities functional significance, and the focal point on instruction precedence, alternatively of maintaining the roots. Furthermore, it consenter on the scholar who is the centre of instruction instead than the course of study and instruction should be based on single interaction. It is clear that it may back up instruction in a societal environment. Furthermore, the instructor is the 1 who set the course of study to be constructs are interrelated instead than spliting them up into multiple accomplishments or subsets of content and rating focal points on the strengths of the scholar. It seems that Whole Language Instruction is a tool to cover with the category and adjust and it may provides deprived pupils to be able to get the better of reading jobs ( Pressely, 1994 ) . However, harmonizing to Mather ( 1992 ) Whole Language Instruction squad believe that retail could interrupt larning procedure, so they are opposed to direct instruction of encryption, because it split the linguistic communication into separate cartridge holders and accomplishments, which may take to the linguistic communication is non used, every bit good as a waste of clip. The Whole Language Instruction may supply intending to the texts and it is concentrating on both reading and authorship , as learn the regulations of linguistic communication may be done without the demand to learn voice. It is clear that Educators and research workers stress fact that acquisition may be the best when there is gratifying environment for larning and scholar will be active participant in larning procedure every bit good as the instructor must take into history single differences between kids. These rules focus upon the manner of Whole Language Instruction in larning to read, the kid will read full text and so he begins to acknowledge words and letters with assisting by instructor and the kid will experience motive when he is reading and that is the most of import demands, which increases the capacity of the kid with dyslexia to larn to read right ( Fuhler,1993 ) Learner ( 2000 ) pointed out that there are rudimentss of learning reading troubles by utilizing method of Whole Language Instruction as followers: First: Reading is one of the elements of internal linguistic communication which is really close to unwritten linguistic communication and written linguistic communication, so instructors who use this method confirm the linguistic communication written and unwritten reading lead to the kid will be improved, when he learn to read and there is a relationship between lingual exposure in kids and reading troubles, kids who have linguistic communication jobs or mobility are likely to develop jobs in composing in the early phases. Second: The method of verbal linguistic communication may be acquired by the natural usage, harmonizing to the instructors who use Whole Language Direction that kids may larn to talk without the demand for particular preparation and this means that kids will larn to read of course through exposure to larn to read by concentrating on linguistic communication and books which related to eloquence of linguistic communication. Finally: Teachers who use the method of Whole Language Instruction avoid usage of separate instruction which does non concentrate on the nexus between parts of the significance of linguistic communication, every bit good as the manner of learning that focuses on usage of separate exercisings, and they believe that books that divide natural linguistic communication into little pieces and cryptic that could do instruction is hard. In add-on, Whole Language Instruction users think that acquisition of characters is usually by manner of instruction, it is clear that larning of letters should non be separate, but it is usually acquired through reading.4.2 Code- accent DirectionIt is clear that we should understand the schemes of coding in Whole Language Instruction or amusing reading ( Orthographic ) , which are one of the schemes that provide the chance to kids to read the words by this method because they saw these words for many times. Therefore, they have image of the words in the long -run memory, the image of words are non required to be stored in the same format and fount but it will be simply images. To utilize this scheme, the reader should has cognition of the alphabet and how to treat nexus this letters together. Furthermore, there are many of readers who tend to utilize this scheme because they have the satisfaction for the words through usage of a figure of back-to-back times as a consequence, they are willing to retrieve these words at any clip. However, when they are exposed to new words so they tend to utilize method of Code- accent Instruction so they used the analysis of these words and read them ( Hoien,2000 ) . Harmonizing to Learner ( 2000 ) kids with dyslexia frequently need to direct acquisition and systematic preparation on reading because the direct preparation on the accomplishments of voice reading is important due to the primary undertaking which is a specific portion which is used subsequently for reading comprehension. However, kids who start to larn to read easy, they will go readers are strong subsequently. It is clear that Code- accent Instruction is effectual in that the reader have a wide reading accomplishments in school and In the external environment, he will be able to read any text editions or other books. In add-on, Intensive reading may supply the chance for the growing of constructs and verbal cognition for how to compose and read the text. Therefore, kids who do non larn by this method they will be deprived for this chance to develop their accomplishments, because they began by a weak method as a consequence, they did non enable them to Intensive reading so, their re ading accomplishments will be less that lead to they had negative experiences of literacy. However, surveies and research indicated that the usage of method Code- accent Instruction which lead to high tonss for trials of reading accomplishment. Furthermore, it may take to fluency in reading the words, because spelling procedure for the words will go automatic when the kid have a good ability to analysis and synthesis. In add-on, it has maps system or consideration of footings between letters and sounds, and when the kid learns by maps that will be able to analyse the word and use these information to bring forth the right pronunciation for written words. Furthermore, there is another method called ( Analogy ) which is used by many instructors to educate kids with reading troubles. In this method, the kid may utilize his old cognition to reading the new words, for illustration, if he reads the word ( Hand ) as a consequence, he will has the ability to read the word ( sand ) by benefit of his old cognition for the similar letters in the first word. Therefore, he can utilize lingual cognition such as lingual and grammatical regulations in easing the procedure of reading ( Hoien, 2000 ) . It is often point out that different theoretical accounts of pupils require different theoretical accounts of learning methods. It is clear that both Whole Language Instruction and Code- accent Instruction are effectual in learning reading to pupils with dyslexia. However, a group of specializers in the field of larning troubles ( GoswamI, Torgesen, Wayekp and Bryant ) pointed out that there is a inclination to prefer Code- accent Instruction to learn pupils with reading troubles ( Beech,1994 ) .5. Facilitating dyslexia friendly schoolsHarmonizing to Nicolson ( 2001 ) â€Å" The phase is set for set abouting ambitious, multi-disciplinary, multi-perspective undertakings aimed at redefining the field of dyslexia and larning troubles as the field of larning abilities † . It is clear from this position we should understand the complexness of how to clearly specify which school scenes are more appropriate for Learning Difficulties students. That is to state it that it is the instan ce of supplying the dyslexia-friendly school demand to turn to some issues that would do a batch of difference such as distinguishing larning methods to fit assorted larning methods. Additionally, it is necessary raise the issue of happening community financess for developing instructors who wish to work with LD students and preparing of human resources and leading within the educational establishments in developing states to do dyslexia-friendly school certainly successful. Furthermore, the issue of learning schemes should be dealt with greater attending, that is to state one successful learning method is non needfully suitable for all LD students which are the most of import. demand to advance the best apprehension for experiencing frustrated that the pupils have larning troubles. To supportive of all students is unimpeachably the nucleus kernel of inclusive doctrine which might intend besides distinction of their trouble or ability. In add-on, it can be practical theory to bespeak the possibility of using the construct of ‘equal chances ‘ . it seems that there are about 10 per centum of the population is to hold dyslexia, it means that there may be benefit greatly from learning methods for all dyslexia through the acquisition of cognition, every bit good as that of ordinary kids to rush up reading, composing and mathematical accomplishments ( BDA, 2003 ) . MacKay ( 2003 ) showed an account of effectual achieve success of dyslexia friendly school â€Å" In a dyslexia friendly school, weak basic accomplishments are non a barrier to accomplishment † . If we pay more attending to this simple statement, it seems that all kids with dyslexia have failing in the chief acquisition countries, nevertheless, it should run into these countries, which do non forestall the committedness by seting instructors accomplishments and they develop all the failings they have. British Dyslexia Association references to an effectual scheme for friendly schools for dyslexia through seven elements of effectual support it. Decision It has been discussed that each kid has a alone single profile, character, penchants, abilities and troubles. This, dyslexic students are more varied personally and against their opposite numbers in their acquisition processing and techniques seemingly in all phases of school scenes. Undoubtedly, they have their ain potencies and strengths which must be broaden and improved expeditiously. However, they have failings in academic accomplishments sometimes presented in reading or/and composing which are to be exhaustively developed via brand usage of assorted types of individualised intercession every bit good as proviso of an effectual instruction methods. These methods should be provided merely through good trained/certified instructors. If these schemes is applied and demonstrated efficaciously, at that clip merely, we could imagine great trade of alteration and believe that reading troubles of dyslexic students reduced well. It is rather clear that there must be a strategic end for all of us as parents, faculty members, educational research workers and instructors to ease dyslexic friendly schools. This end should be consistent in advancing positive policies towards dyslexic students peculiarly in LEA ‘s every bit good as profiting other students who have the ability to acquire advantage from inclusive instruction scenes. This inclusive instruction has been implemented in Saudi since 1997. Hundreds of certified instructors graduated from assorted universities to learn LD students. However, importance should be emphasized upon LEA ‘s in Saudi Arabia where is more advancement and betterment needed to take topographic point.

Chocolate business plan Essay

Introduction The market leader of the chocolate industry in India, Cadbury, is a British subsidiary of the American multinational confectionary, food and beverages conglomerate â€Å"Mondelez International†. Cadbury, is the second largest confectionary company in the world, close on the heels of Mars, Inc. In India, Cadbury owns a market share of 66 %, significantly ahead of the other multinational company operating the same space for many years, Nestle India, as well as other national, international and regional brands like Amul and Ferrero. Cadbury India began its operations in India in 1948, and has been a trusted and favored brand for decades in India. The market share has decreased from 70-80% in view of entry of other international chocolate companies in the Indian market, however it is still significantly large. Cadbury figures in the Brand Trust Report, 2011 in the Top 100 Most Trusted Brands in India. While Cadbury sells products in several categories such as candy, gum, beverages and chocolate confectionary, this report is aimed at studying the marketing strategy employed by Cadbury India in view of its chocolate confectionary business. Some of the products in this category include the highly popular Dairy Milk, Dairy Milk Silk, Bournville, Temptations, 5 Star, Dairy Milk Shots, Celebrations, Perk and Toblerone. In order to analyze the marketing strategy for Cadbury, this report begins with a SWOT analysis of the company. Environmental Analysis Political Food Safety Act 2006: Detailed and exacting regulations, for standards of production as well as imported chocolates, exist in India. Opportunity. Cadbury is better equipped to follow standards in production than smaller regional or local brands. Strength. Expand into the rural areas before local or regional companies focus on the rural market. Import Tax Rates on Chocolates: A tariff rate of 30% is levied on chocolates. Opportunity. Strength. Demand for premium chocolates at affordable prices can be encashed before foreign entrants can grow their roots within the Indian industry by introducing and aggressively marketing domestically manufactured premium chocolates. Economic Per Capita Spending Patterns: The biggest consumption category in India is Food. Spending in this amounts to almost 21% of the Gross Domestic Production. People, on average, spend 31% of their budget monthly, on food. 70% of the food spending is on agri-products, which incorporates candies and confectionary including chocolates. Two-thirds of this spending is on processed products. Domestic spending on food is expected to grow at a compounded 3 annual growth rate of 4% and billed to reach approximately 320 billion US dollars in value within the next 7 years. USD 841 million is spent on chocolates and confectionary in India. Opportunity. In households across income groups, a large share of money spent goes towards processed agricultural products including chocolates and other confectionary items. This can be encashed by developing effective channels to reach out and sell to lower and lower middle income groups. Strength. Socio-Cultural Social and cultural acceptability of products: There is an increasing acceptance of chocolates as an equivalent of traditional sweets in urban areas. Chocolates are, however, still seen as a luxury food item in rural areas. Opportunity. Chocolates are increasingly being seen as an equivalent or substitute for traditional sweets in terms of the convenience it offers when used for gifting on occasions. Strength. Cadbury is already working on this approach to sell to urban consumers. Rural consumers can also be reached out to and offered chocolates as a new gift item replacing sweets leading to increased sales. Technological Constantly improving technology in chocolate making leads to better tasting products as well as more convenient storage. Opportunity. Strength. Cadbury has the financial capability to invest in R&D and has already produced products that are better suited to Indian tastes and storage conditions that other foreign entrants into the industry are not yet as well adapted to. Natural factors. Climate for Cocoa Production: Cocoa, used to produce chocolates can only be grown in regions 15 degrees to the north or south of the equator. Cocoa, originally a crop native to the Amazon basin, can only be grown in the southern states of Kerala, Tamil Nadu, Andhra Pradesh and Karnataka. It is not a commonly grown crop. Threat. Lack or scarcity of domestic cocoa producers can affect production costs of chocolates within the country. Strength. Cadbury has encouraged farmers in Kerala to produce cocoa since the 1970s and is now in the process of promoting Cocoa as an inter-crop plant for coconut growing farmers. Successful pursuance of this connect with the farmers would help Cadbury procure raw material at lower prices within the country. Consumer behavior Age composition: 66% of the population is below the age of 35. Opportunity. It implies that a huge part of the population can be encouraged to take up consumption of chocolates more frequently and will be met with less resistance than that put up by older consumers with already set eating habits. Strength. 4 Competition Traditional Sweets: Very widely available and traditional choice, but inconsistent in hygiene levels and taste. Threat. Build on image of chocolates being a better and more hygienic choice, which adheres to food safety standards set out by the Govt. Build on image that chocolates are a more sophisticated choice for gifting carrying greater meaning than ‘mithai’ from neighbourhood sweet shops. Strength. Confectionary items like candies, cakes and icecream: Candies are easily available and appeal to children who have traditionally been the target consumers for chocolates. Threat. Cadbury can emphasize more strongly that chocolates are not meant only for children but for adults as well who may not prefer to eat candies. Cadbury chocolate can be offered as an experience, that is not replicated by eating candies and conectionary items. Strength. Entry of several foreign players: As India is seen to have a rapidly growing chocolate consuming country, with people willing to spend not only on inexpensive smaller packs of chocolates, but also premium chocolates as well, foreign players have started foraying into the market with the hope of establishing a presence in the premium sector at least. Threat. Cadbury can increase its foothold in the premium sector of chocolate industry by launching and promoting premium chocolate brands with higher cocoa content which could be priced a bit lower than the foreign brands. In fact, Cadbury is already in the process of implementing such a strategy through the introduction of Bournville and Toblerone. Strength. Suppliers Global network: Half of the cocoa sourced for chocolate making by Cadbury is from sources around the globe, including countries like Ghana, for its famous brand Bournville. Opportunity. Cadbury can source the majority of its cocoa from farmers in India through contract farming, while importing from foreign countries specifically for certain brands only. This will help reduce loss due to global fluctuations in cocoa bean prices and also reduce transport or shipment costs. It will also help create an even more positive image in the eyes of the Indian population. Strength. Dealer network: Cadbury has CSR activities directed at the farmers who are producing cocoa on contract for Cadbury in the state of Kerala. Opportunity. Cadbury is now in the process of extending these activities to farmers in 3 more southern Indian states. This will help cement positive relations between the cocoa growers and the brand, which may put it at an advantage when compared to new foreign entrants in the country like Ferrero or Mars, Inc. Strength. 5 Advertising environment Use of role models: Trustworthy role models in the media, when used as Brand Ambassadors, give a much needed push to the further acceptance of a product. Opportunity. Cadbury has been able to utilize this by roping in celebrities like Amitabh Bachchan, thus emphasizing the idea that even adults can have chocolates, since even a person of Amitabh Bachchan’s stature has not shied away from having them. Cadbury also has the financial power to rope in more high profile celebrities for the same. Strength. Availability of media and ad agencies: Several media channels like TV, Radio, newspapers are available for Cadbury to advertise on. Opportunity. Cadbury has been advertising its chocolates heavily throughout, to keep the brand on top of the mind recall. There have been innumerable ads by Cadbury that have long stayed on people’s minds and even evoked nostalgia, indicating a deep connect of the brand with the audience. Strength. Segmentation Cadbury segmented the consumer based on age. Till the 1980s, chocolates were seen as a luxury item which were eaten only on special occasions or used to reward children with. Despite being the market leader already at this time, Cadbury decided to reshuffle their marketing strategy and position chocolates as a snack and an everyday item of consumption rather than a special treat. In order to do this, the first step was to segment the consumers. Geographic or occupation based segmentation would have proven less relevant in helping raise revenues generated from chocolate sales. The segmentation was done on the basis of age. The existing segment of choice for Cadbury had been children up to the age of 14 who had been driving the consumption of chocolates until the 90s. The other segment that the consumers could be grouped into was the adult population. Targeting The decision made to target a segment is based on gauging the segment attractiveness of the segment. During the 90s, with a rise in the population of the 15-35 year olds, combined with a surge in income and spending power due to the simultaneous opening up of the economy, made the adult segment an attractive one and since then, it has been targeted by Cadbury. Being the market leader already, switching to this target consumer group was not a difficult move for them, in terms of channel attractiveness of the segment. The existing channels which served the consumers until the 90s, such as kirana stores, need no resource intensive special adaptations to serve the youth consumer group as well. Alongside this, competitive attractiveness of the youth segment was also high since no other chocolate company had targeted this consumer group so far. Although this meant 6 Cadbury needed to put in extra marketing effort to change the social acceptance of chocolates in this group, it also translated into a first mover advantage for them. Positioning Positioning is the decision of how the brand wants to be perceived as by the target consumer group vis-a-vis competitors. Cadbury has positioned itself to cater to specific needs and attributes that the target consumer group looks for. Cadbury’s objective was to engage the customers of the adult age group. In the early 90s, Cadbury had the leading share in the market but the volume of sales in terms of per capita consumption was very low compared to western countries. This was also because consumption of chocolate by children was strictly governed by adults and hence increasing per capita consumption within the children consumer group was not a feasible option. In order to widen the net of consumers, Cadbury had to increase the social acceptance of chocolates in the adults age group. This was done through the means of extensive and successively huge ad campaigns which eventually lowered the attitudinal barrier that existed. Cadbury had wanted to and has successfully moved from the perception of chocolate being a children’s product to a celebratory/gifting product, and more recently an indulgence product (For instance Cadbury Silk). In 1992, Cadbury launched a series of aggressive ad campaigns starting with ‘Real Taste of Life† which showcased adults eating the chocolates on their own and not in a parent role or buying it as a reward or a way to say sorry to loved ones. This included the famous ad â€Å"Kuch khaas hai zindagi mein† which showed adults enjoying the taste of chocolates on their own. Later on, Cadbury launched a campaign for Perk which said â€Å"Thodi si pet pooja† which emphasized the use of the chocolate as an any time snack to satisfy hunger, which was a marked shift from the earlier perception of chocolates. Later, to promote Cadbury chocolates as an alternative to traditional desserts, the â€Å"kuch meetha ho jaaye† campaign sought to change perceptions once again, this time including the entire family consisting of elderly grandparents also in the ad to show acceptance of the Cadbury chocolates as dessert. By tying chocolates to Indian customs, and festivals, like Celebrations especially for Raksha Bandhan and Diwali, Cadbury has come a long way from the â€Å"Real Taste of Life† campaign, and â€Å"Indianized† itself in order to entrench itself within the minds of the adult population in India. Marketing Mix – 4 Ps Product/Service Product There are four types of products by Cadbury India, and this report is focused on the Chocolates category. These aim to satisfy the hunger need as well as relaxation and convenience need (easily available snacking option). In order to satisfy these needs, the 7 product is available very easily, at least in the urban markets and in various sizes. Cadbury chocolates are branded so as to represent some emotional core values like family values, and togetherness, but at the same time, they are also branded as a fresh, satisfying, convenient product. Place Cadbury has 6 company-owned manufacturing facilities: 1. 2. 3. 4. 5. 6. Thane Induri (Pune) Malanpur (Gwalior) Bangalore Baddi (Himachal Pradesh) Hyderabad There are 4 sales offices, one each in New Delhi, Mumbai, Kolkata and Chennai. The corporate office is in Mumbai. In terms of distribution, Cadbury chocolate products are sold directly to wholesalers and retailers. The network comprises roughly 2100 distributors and 4,50,000 retailers. The chocolates are sold through Kirana stores, gift stores, medical stores, canteens, paan shops, bakeries and so on. Price The generally established price point for chocolates in India is Rs 5 and Cadbury has 4 products at this point including Dairy milk, 5 star, gems and perk. This price point accounts for half of chocolate sales in India. At the same time, Cadbury sells multiple differently sized packs on a range of prices, going up to higher, premium priced products as well such as Bournville. In this way, Cadbury has a hold on various price points available to various groups of consumers based on their appetite for spending. Promotion Cadbury promotes its products through various media channels. It uses mainly television ads with strongly featured taglines that get associated with the products easily. There is some amount of seasonality in the market in the way that demand ideally goes up during festive season due to gifting needs and Cadbury launches special ad campaigns around those times to encash on this increased demand. National level competitors like Amul have been unable to match up to the scale of promotions undertaken by Cadbury. Regional players hardly advertise on a big scale through campaigns. However, its MNC competitor Nestle has its own promotional ads and campaigns that seek to rival Cadbury’s and sometimes directly challenge the Cadbury ads. 8 Recommendations 1. In view of the recent entry of foreign players in the market, though Cadbury does not face the threat of losing a significant amount of its existing customers, for instance, those who buy Dairy Milk or Perk, there is a possibility of losing out on potential customers who are interested in premium chocolates. Since this is a rapidly growing industry, and being the established market leader, Cadbury should focus on its premium chocolate brands in a big way through more visible ad campaigns and promote their products based on the brand equity they have built through the years. 2. While leveraging the lower cost of Cadbury premium chocolates vis-a-vis foreign chocolates, Cadbury must take care to ensure it does not go the Tata Nano way, as lower prices in the premium segment may be perceived as lower quality in the product delivered as well. 3. As it has already managed to successfully position chocolates as a snack for children’s as well as adults’ consumption, it can now focus on activating the elderly consumer segment which is typically more resistant to chocolates compared to traditional sweets and feel guilty on indulging in chocolates even if not restricted by health reasons. 4. Cadbury can now change the positioning of certain specific products or introduce new products to cater to â€Å"instant energy† giving needs similar to Mars bars abroad. 5. Recently, a 20-calorie chocolate has been developed in the UK which is now being sold at Michelin starred restaurants. Cadbury can also direct some of its R&D endeavors towards developing a similar product which would give the company a distinct edge over competitors and help tap into a new markets and increase their consumer width. 9 NATIONAL BRAND 10 Introduction Amul is an Indian dairy Co-operative based out of Anand in Gujarat. The co-operative started off as the Kaira District Co-operative Milk Producers Union in December 1946. The Co-operative was set up by the milk producers of the Kaira district of Gujarat who felt cheated by the unfair trade practices. The co-operative collected processed and marketed milk and was co-owned by the milk producing farmers of the district. The brand Amul was used by the Kaira District Co-operative to market its brand of milk products. By the 1970s the Co-operative model had become highly successful and spawned similar Co-operative in other district s of Gujarat. In order to combine together and expand their market while not competing with each other, the Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF), an apex marketing body of these district co-operatives was set-up in 1973. The brand name of Amul which was held by the Kaira Union was transferred to GCCF. Today, the GCCF is the largest food product marketing organisation of India. The co-operatives collect around 10 million litres of milk per day from around 3 million milk producer members of the Co-operative. Its current turnover is around Rs. 140. 0 billion. Amul started producing and marketing chocolates in 1970. It currently markets 6 different chocolate brands namely Congtas, Fundoo, Chocozo, Bindaaz, Rejoice, Almond Bar, Fruits and Nut and Amul Cooking Chocolate. Current market share of Amul chocolates is just 4% as compared to market leader that is 66%. The main reason behind such low market share is lack of promotion and more focus on dairy products. Environmental Analysis Strengths ? ? ? Raw material (milk) security: Major raw materials for the production of chocolates are Cocoa, milk and sugar. Milk supply is secured for the company which protects it from any volatility in prices. High brand awareness: Amul through its concerted marketing over the last 5 decades has created a brand that is synonymous with good quality. The brand has also become a symbol of successful Indian entrepreneurship that has positively impacted the lives of millions of small farmers, hence there is a sense of patriotism and pride associated with the brand as well. Strong distribution network: Amul has been marketing and supplying milk through a pan India distribution network which supplies milk and milk products to independent retailers but also to its own milk parlours. 11 Weakness: ? ? ? Low market share: Amul chocolates have a low market share in the Indian chocolate industry. The brand, though having a strong recall value, is not primarily associated with chocolates. The market leader in the chocolate industry in India is Cadbury with 70% market share followed by Nestle at 20% market share. Co-operative structure of Amul: Due to the Co-operative nature of GCMMF, there is limited capital infusion in the company. As a result there is a limited scope for aggressive product launches or diversification. Volatility in Cocoa prices: Unlike the major chocolate producing companies in the world, Amul does not own a cocoa plantation. The prices of cocoa are volatile in nature as they are dependent on the international demand supply dynamics. Not having a cocoa plantation of its own exposed the company to volatility in prices of this raw material. Opportunities: ? Huge untapped market: The per capita consumption of chocolate in India has increase from 40 gm per person in 2005 to around 110 gm per person currently. Though this is impressive growth in itself it is still much lower than the per capita chocolate consumption, in countries like Ireland or Belgium which have a chocolate consumption per person of more than 11 kilograms or even USA or Australia which have chocolate consumption per person of around 5 kilograms. There is thus a huge untapped market for growth in the chocolate industry in India. Corresponding Strength: Since Amul has a strong â€Å"Brand awareness†, people would be willing to buy new products launched under its brand name. Amul can launcha variety of new chocolate products for youth and kids. ? Gifting: Gift hampers consisting of chocolates has been a successful marketing strategy by companies like Cadbury. Amul too has the ‘Rejoice’ brand especially for this purpose however there is scope to launch or aggressively advertise this. Corresponding Strength: Since, Amul is a strong brand name and has a strong distribution network, It can very well advertise the gift packs like rejoice and can introduce new brands catering to the same need. ? Advertising: Amul need to advertise and carry out lot of promotional activities to inform the consumers that still exist and can provide them with what they want. It’s been years that Amul’s chocolate advertisement has been telecasted on India’s major television channels. Sales promotions like discounts and free samples can also help them to increase the Brand awareness and attract customers to switch brand from competitors. Big brands use a celebrity as a Brand Ambassador for its product. 12 For example Amitabh Bachchan for Cadbury & Rani Mukherjee for Nestle, Amul can also use a brand ambassador for the promotion of its chocolates. Corresponding Strength: Amul has a huge turnover of around Rs 140 billion and is a financially strong company and has enough funds to carry out the needed advertising campaign and promotions. By spending a small percentage of revenue on advertising campaigns Amul can increase its market share to a large extent. ? Low rural penetration of chocolates: There is significant awareness of the Amul brand even in rural India. The company can leverage these launch cheaper brands targeted at the rural segment which has till now stayed away from chocolate consumption. Corresponding Strength: Amul has been marketing and supplying milk through a pan India distribution network. It has a strong distribution network in rural areas. Amul can leverage this strength and can launch cheaper products in rural market. Threats: ? Strong competition from foreign multi nationals: There is significant potential in the Indian chocolate industry which has been attracting international competition. Companies like Cadbury have been launching premium swiss chocolate brands. Also other premium chocolate brands like Ferrero Rocher are making their presence felt in India. Corresponding Weakness: Since â€Å"Amul† is mostly related to its milk products and has not made its presence felt strongly in the chocolate industry, its still far behind its competitors like Cadburys which is a very aggressive player in the chocolate industry. Amul faces tough competition and to handle the same it needs enormous marketing and advertising campaign and introduction of new chocolate products under its brand name. ? Low brand loyalty in chocolate industry: Chocolates are impulse purchases and compete with categories of soft drinks, snacks and other beverages. Although people may like a particular type of chocolate (dark, milk, white, etc. ) there is not a significant brand loyalty. Hence this presents a threat to established players in the market. Corresponding Weakness: Since Amul has significantly low popularity in chocolate industry and also people are picky while selecting a chocolate, there is not a single chocolate brand product under its brand which enjoys strong loyalty from consumer side. Also, people like to try different kinds of chocolates and are not necessarily inclined towards a single chocolate product. Since, Amul does not offer a large variety of chocolates; therefore it is at a weaker position in the chocolate industry. 13 Segmentation Geographic segmentation: Chocolate consumption is concentrated in urban areas of the country. Chocolate consumption in rural areas of the country may be considered negligible. Chocolates are still considered as a luxury product by the population and are hence consumed by the middle and the upper classes of society which reside in the towns, cities and metropolitan centres of the country. Amul chocolates are thus marketed in these areas of the country. Demographic segmentation: Amul chocolates are mostly segmented its consumers into various age groups like the children, adolescent and youth segments of the society. Since, chocolates are particularly liked by children and middle aged and older generations refrain from eating it citing health concerns due to high sugar content of chocolates. Targeting The brands of Amul chocolates like Fundooz, Bindaaz, Congrats etc. have been named to be attractive to the younger generation who use these words in their daily lexicon. There has been a strategy by the company to provide a young, dynamic and fun loving character to its chocolate through such branding. Amul chocolates also markets two brand namely Amul Cooking Chocolate which is targeted towards the homemakers and professional cooks and chefs. Positioning Positioning is the decision of how the brand wants to be perceived as by the target consumer group vis-a-vis competitors. Amul has positioned itself as an affordable, â€Å"value for money† chocolate. Since, it has mostly targeted kids and youth, it is still considered as a snack unlike cadbury’s product like Celebrations which is considered as gifting option. Amul has not positioned itself as an alternative to sweets or has not developed its product to actually cater to an emotional need. It is simply a chocolate available at a lower price. Marketing Mix. Product Amul has a very low range of products in its chocolate business. There are only 8 chocolate brands that Amul offers as of now in the market and these are Congrats, Fundoo, Chocozo, 14 Bindaaz, Rejoice, Almond Bar, Fruits and Nut and Amul Cooking Chocolate. The problem is that there is no clear differentiation between the products that it offers. For example Cadburys is catering to a different need corresponding to its individual Chocolate product. ? ? ? ? ? Product Dairy Milk Dairy Milk Shots Bournville 5 Star Perk Need Milk Chocolate (Basic taste and style). Small balls of chocolate (Circular unlike chocolate bars) Dark Chocolate Sweeter in taste with honey as an ingredient Crispier with wafer inside However, Amul completely ignores such kind of differentiation between its products and hence their product can be easily substituted by their own products apart from the competitor’s product. Another important factor is packaging because majority of the consumers is kids and youngsters who like attractive packaging. Most kids buy chocolates not just because they like chocolates but also because of the attractive wrappers. Packaging used by Amul stands low on appearance parameter. Also, it lacks a common theme or â€Å"top of the mind† recall point. For example, Cadburys is strongly associated with blue wrapper and more than brown it’s the colour blue that we associate with a chocolate. As compared to this, Amul’s packaging is weak and lacks lustre. Amul needs to make changes to its product (chocolates) like introduction of more flavours and attractive packaging because the wrappers Amul uses is not at all attractive compared to those used by Cadbury and Nestle. This would keep them in competition with competitors like Cadbury and Nestle. 15 Pricing Second P of marketing that is Price is often confused with blindly lowering the prices of different products and completely relying on this strategy to increase sales. However it is of extreme importance to divide the target group on the basis of their price sensitivity and purchase power. Every customer segment has different price expectation from the product. To maximize the returns, it is important to identify the right price level for each segment and then progressively moving through them. Amul has launched various chocolate products to cater to different segments of population. Pricing must take into account the competitive and legal environment of the industry. Majority of people in India live in villages and have low disposable income. With such a heavy competition in the chocolate market, Price plays a very important role. Amul pricing strategy has been â€Å"Value for Money†. Amul’s believes in giving value for money to its customers and it has always followed that principle. Its products are of high quality and available at affordable prices. For example, Cadbury’s â€Å"Fruit n Nut† is priced at Rs 35 per 42 gm pouch whereas Amul’s Fruit and Nut is sold at just Rs 25 per 40 gm. Amul offers same quality at a price 30% lower than its competitor. Amul has not launched any premium (high price) product in its chocolate business. Place Place in marketing is considered as the channels of distribution through which products move from the manufacturer to the consumers. The channels of distribution mean intermediaries or middlemen who act as a link between the manufacturer and the consumers. Factors that need to be considered when choosing the place are the characteristics of the product, characteristics of the buyers, control and competitors channels. Since chocolate is an edible product, Amul should adopt an intensive distribution strategy wherein they will manufacture products and make it available at various shopping malls, food joints, local stores, Chocolate parlours etc. Corresponding to its strong distribution channels, Amul currently has very low visibility. It needs to increase the visibility through offering discount to retailers along with buybacks to convince them to store the Amul Chocolates. Since Amul is a â€Å"value for money† brand it can be placed anywhere from small kirana shops to big malls. Amul has a big brand name because of its dairy products. They can easily use it to increase the awareness of its chocolates using various distribution channels. 16 Promotion Promotion refers to exchange of information between an organization and the consumer of its products. Consumers here include Customers, shareholders, employees, government and other parties related to the products like trade union and media. The aim of promotion is to inform the consumers, differentiate from other products and to persuade them to buy. There are many techniques of promotion like Advertising, Sales promotions, Direct Marketing & Personal selling. Amul has been criticised for lack of promotion. Amul has a strong brand name because of its dairy product leadership. Amul must advertise its chocolates using media like newspaper, television and internet to inform the public about the quality & the price of its product. Amul has totally shifted its focus from chocolates towards milk and other milk products and have totally ignored chocolates. Using the mediums like Television and newspaper the company needs to remind the public that they are back with improved products at an affordable price. 17 Recommendations 1. Amul needs to introduce new varieties of chocolates and improve its existing ones. 2. They should introduce milk chocolates like Nestle’s Milky Bar, Chocolates with fruits and nuts like Cadbury has its Fruit and Nuts, Mint chocolates like Nestle’s After Eight etc.