He also intended to get operating data and board representation in order to access to the management level and have the right to the dividend allocation. Mr. Pickens bought the stock hoping that Koito would pay him ''greenmail,'' buying the stock back from him at a higher price than is available to other shareholders. As the largest shareholder of Koito Manufacturing, is he entitled to representation on the board, does Japanese law allow for that? No, he is not entitled to representation on the board unless he is approved by the board of the directors. Regarding Mr. Pickens`s request for board representation, Mr. Matsuura told the press, “ We gave no specific answer but explained generally that it is not a custom in Japan to just say, ` I`ve become a major shareholder so I should become a director.`” By a voice vote at 1989 annual meeting, Mr. Pickens was overwhelmingly denied board representation.
Consequently, when doing business, the Japanese stress compromise and self-discipline. Hierarchy With its roots in Confucianism, hierarchical structures classify an individual's position within a group and in society. Status is determined by factors such as age, employment, company and family background. The hierarchical system dictates that due respect be afforded to those of higher status. When doing business in Japan be aware of hierarchy and adapt your behaviour accordingly.
Wolfgang should consider the localization which may allow higher fixed pay level in Japan and higher variable pay in US. Should he add or delete some existing practices from the T account? I recommend delete the Currency bases calculation. Because the exchange rate for currency is a potential risk or cost for the company. They could follow the local benchmark pay level for short-term incentives.
The entire Asian Investment Banking division was laid off and given severance packages. This is an evident example of utilitarianism on behalf of Global Investment Banking. The company made the ethical decision to downsize because it would be beneficial to the majority of people who worked at the company. In addition there is a concrete distinction between being fired and being laid off. In this case the individual was laid off and given a severance package because Global Investment Banking was down sizing and as a result they no longer required the positions.
a) What are the consequences of telling the president of your gross miscalculation? In order to determine the sales and income projection, it is useful to forecast the budget based on prior performance of the company. The business performance of the current year will shows how the company is actually performed and this is a good indication to expect the company will perform better in future. As to obtain an accurate sales projection, we collected all the information from the company because each area of business operation might have a separate budget. For example, Fernetti Conductor has a specific budget for advertising, purchasing, sales production and cash budget.
Productivity, as measured by the output per hour by the business sector, grew at a lower rate during the Reagan years than the 7 years prior. The growth rate of 1.3% during Reagan’s tenure was .2% higher than the 6 years afterwards, but .3% lower than the years preceding (Niskanen & Moore 1996). Inflation is an increase in the average price level and is not a positive occurrence. When Reagan took office, the REAGAN-SIDE ECONOMICS consumer price index (CPI) was at a high 13.5%, by the end of his terms, the CPI had been decreased to 4.1% (Niskanen & Moore 1996). Those who are critical of Reagan’s policy speak of the explosion of the United States’ budget deficit during the 1980s.
The total assets of Coke have risen over the years but the percent of current assets has reduced. The reduction in productive assets is a positive indication that fewer assets are required to generate increased revenues. The assets that have increased are related to other long term assets. These long term assets are possibly from acquisitions for intangible assets. There is a noticeable reduction in the receivables line and increase in cash.
They needed the support of the manufacturing company to have the town survive. Our Government needs to be more involved with helping the American businesses by using trade agreements and import quotas similar to the ones that Ronald Regan imposed. Regan imposed temporary quotas on some Japanese goods, trying to give American manufactures the time to compete with the reliability and efficiency of the cars arriving from Japan. However, the plan did not work as Regan had hoped it would. The Japanese opened factories in the United States.
Today, and for the past few decades, Wal-Mart and Proctor and Gamble (P&G) have had a successful and healthy relationship. However, value pricing as it is today, had not yet taken into effect until the early 1990s that which Wal-Mart and P&G achieved together. Following a sharp drop in earning in 1985, P&G executives made an effort to reinvigorate their company and increase sales. In 1987, through relations with Wal-Mart, the company gained a preferred supplier by reducing stock-outs and inventory levels. This was a strategic in cost reduction and increased profit, in response to recession driven growth of private label brands (Figure 1).
Due to foreign competition, especially Asian manufacturers, the companies rate of growth has been reduced. Mr Klauser is concerned about the competitor low price and is looking forward to analyze if it is convenient for the company to establish a foreign production plant in Asia. Due to the nature of the companies products (commodities) the possibility of buying from low cost countries is also available. ANALYSIS In order to conclude what should be EXIM´s trade mix we focused in analyzing the cost competitive advantage of producing the computers commodities in USA, Japan and Korea. We focused on getting a relationship between production cost in each of the 3 countries to conclude where it is cheaper to produce and where should the company focus its procurement and production activities.