Image taken from http://www.greenbiz.com/sites/default/files/resize/inline/smith-coke-ev-550×341.jpg

An article published by BreakingEnergy illustrates action took by Coca Cola and Pepsi Co to reduce the use of high-carbon fuel in their transportation methods.

Both Coca Cola and Pepsi Co is an extremely large-scale company, therefore the action taken to reduce the use of high-carbon fuel by both the companies will surely reduce carbon emissions greatly. Carbon emissions for these 2 companies are negative externalities of production, and by reducing them, it can benefit the society and can be seen as ethical practices.

From a financial perspective, it can be seen as an effective investment to cut long-term costs. Although such a large investment can incur a great deal of risks for many companies, both Coca Cola and Pepsi Co are a large-scale company with a great deal of capital. Both these companies have security in the short-term, and therefore long-term investments can be a valid and effective action financially which can be delivered at a low risk.

In addition, this action taken can be seen as a valid market strategy. By supporting climate solutions, it can create a point of difference for the company. Coca Cola and Pepsi Co are the only two major soft drink companies which have taken actions to reduce carbon emissions and to “go green”. This creates product differentiation and can further attract customers.

These actions taken by both Coca Cola and Pepsi Co are ethical, and are a valid market and financial strategy. Both Coca Cola and Pepsi Co should further implement these measures both domestically and globally.

Taken from http://static3.gamespot.com/uploads/scale_tiny/box/2/6/7/5/337529-462675.jpg

Sword Art Online Lost Song is a video game based off the popular Sword Art Online franchise. It has been announced that not only will it be released in Japan, but globally (including Europe and Africa).

Bandai Namco has expanded its key distribution channels. Not only are the key distribution channels domestic, but now international. The expansion in the distribution channels means the product is expanding to the global market.

By expanding the product to the global market, it broadens the customer segment of the product. Previously, the customer segments were fairly wealthy teenagers to young adults in Japan, however now the customer segment has expanded to a wider demographic, globally. By having a broader customer segment, the product line can cater to a wider range of consumers and will increase sales, and thus can significantly increase the revenue streams.

In addition to revenue streams of the product, the sales of this product can increase global recognition of the Sword Art Online franchise and can act as advertisement for other products within the franchise.

The expansion in distribution channels of Sword Art Online Lost Song to cater the global market was a good business decision. This decision has expanded the customer segment and can gain consumption of both the product and other products of the Sword Art Online franchise.

Taken from http://i1.wp.com/theinfonerds.com/wp-content/uploads/2014/10/l-r-winner-of-the-2013-indomie-independence-day-award-divine-toruemi-runner-up-mohammed-kenubu-and-second-runner-up-david-adekunle.jpg?resize=350%2C200

Recently, the Indomie independence day award (total of N2.25M) has been awarded to 3 Nigerian children as a token of heroism and bravery.

The Indomie independence award is greatly recognized within Nigeria, and was “graced by government officials and captains of industries”, and therefore this event acts as an opportunity for advertisement of the business. Because the award is titled “Indomie independence day award”, and Indomie is one of the product line, this wide recognition can surely create a direct link with its product and boost the sale of Indomie products.

Taken from http://ecx.images-amazon.com/images/I/91Po1lrLG%2BL._SX425_.jpg

By honoring acts of bravery in Nigerian children, and by promoting empowerment of Nigerian child, it can create a beneficial business image as well as create a point of difference for the business. The point of difference can be that Indomie cares for Nigerian children, which can also be considered as part of the value preposition of the company. Both the point of difference and the recognition of its value preposition is significantly important because it can create a distinct brand image within consumers and potential consumers, and can create more reason to consume the product. Consumers may believe that by consuming the product, they can support heroic children while still consuming a product they may need.

The Indomie independence day award is a valid and effective business strategy to create a distinct positive brand image, and to gain recognition of the Indomie product line as well as its value preposition.

Image taken from: http://www.acfe.com/uploadedImages/ACFE_Website/Content/images/topic-landing/ethics-and-compliance.jpg

Anton Emmanuel’s blog post talks about the border between ethics and strategy. Anton talks about the importance of each value, and concludes saying that the owner’s value should be prioritized over morality.

In the blog post, Anton Emmanuel points out several reasonable points which are justified with reasoning. However, personally I would have disagree with few of them. Anton’s view that the owner’s value is absolute is understandable, as the owner may be viewed as the core of an individual business. Generally speaking, from a business standpoint, it may be obligatory to follow the procedures and values presented by them. Looking at the event from a micro-perspective, I must have to agree. However, considering the fact that each action a single business makes will cause a substantial effect to the society as a whole, I would have to disagree.

Ethics is the core in the study of business. With other values such as profit maximization, maintaining such morality may be challenging, however this value shall remain absolute. No matter what challenges the business face, they are required to follow business ethics and value the society.

“Life’s Short. Have an Affair” [Profitability vs Morality in a Unique Market Segment]

Taken from http://www.blogcdn.com/blog.games.com/media/2010/02/male-vs-female.jpg

“Gender inequality is a genuine business risk” stated Helen Brand, chief executive of ACCA. In general male workers overpopulate female workers.  ACCA states this can be a substantial risk for individual businesses and the market as a whole.

According to the article, “diversity can provide various insights, create initiatives, provide good governance, and enhance business performance”. These are valid points that favors the importance of diversity. However, there are flaws that fails to be considered in this article. Although it is true that male workers overpopulate the female workers (as seen by a BLS report), part of this fact is lies in the supply for female workers. As also seen from the BLS report, there is a greater amount of female who are not in the labor force, which signifies that they are unwilling to work, rather than being unemployed.

In the article, there is particular focus on accountants, and stating there is gender inequality against female for accountants as well. However, statistics shows otherwise. Although I must agree regarding the importance of diversity in business, there are some flawed arguments made within this article.

http://www.accaglobal.com/ca/en/discover/news/2015/08/diversity-kampala.html?from=XX

http://www.bls.gov/cps/wlf-databook-2013.pdf

http://www.catalyst.org/knowledge/women-accounting

http://www.accaglobal.com/ca/en/discover/news/2015/08/diversity-kampala.html?from=XX

Image taken from http://d.ibtimes.co.uk/en/full/348382/nestle.jpg

“Nestle expands into the luxury chocolate market” as a business strategy.

This market strategy attempts to appeal to a wider range of target consumers. Although the factor of disengaging is not clear, this strategy seems to hold aspects of McGrath’s transient strategy rather than Porter’s Sustainable competitive strategy. Although the Callier chocolate brand was owned by Nestle for centuries, looking at the business decision from the point of view of the UK or the US, this decision goes under the “launch” section of the transient strategy.

Image taken from http://www.theswissbakeryonline.com/resize/Shared/ProductImages/Chocolate-Villars/cailler-rayon-blanc.jpg?lr=t&bw=400&bh=400

The effectiveness of this strategy can be better understood when viewing from the scope of the business model canvas discussed in our lectures. The key value proposition associated with the change, is to cater luxury chocolates high in quality and unique in flavor. Previously, the customer segment for most of Nestle’s snacks were the general public who sought for low-cost snacks without a substantial focus on quality. However, this product appeals to a new target sector who seeks for luxury and high quality chocolates. This expands the general consumer target of Nestle-based products and can potentially bring new consumers into the market of other Nestle-based products.

As seen from the article, the key channels of this product is the online platform. “Amazon will be the primary method of delivering this product to consumers”, although they will be “also sold in major airports”. Because of this, Amazon and stores in major airports shall be a key partner as it helps deliver the product. In the scope of amazon, because of the high quality customer support on Amazon, using it as a key method of delivery can maintain customer relationships. In addition, amazon can act as an advertisement factor as the amazon platform recommends items to people who are seemingly interested in such markets. Amazon would potentially provide a great deal of benefits for the marketing of Callier, and when partnered with their Prime service, can also deliver the product effectively.

Nestle’s move follows the modern idea of McGrath’s transient strategy. In addition, it has a strong business model with a particularly clear focus on its value proposition, distribution channels, and key partnerships. This change for Nestle can be seen effective as it has clear positive effects, yet minimum negative consequences associated.

Dunn, Katherine. “Nestle Expands into Luxury Chocolate Market.” MarketWatch. MarketWatch, 1 Oct. 2015. Web. 03 Oct. 2015.

Image taken from http://www.canadianrealestatemagazine.ca/files/image/CRE/Energy%20efficiency.jpg

This article talks about the how energy savings can benefit a business in different ways.

Every business model consists of energy costs in one form or another. And in many cases, the energy costs can cover a substantial portion of the cost structure. Because of this, reducing the energy cost can be an effective and viable method to improve the business model as a whole, and help achieve the goal of profit maximization.

There are various methods to reduce the energy costs in a business. A simple yet effective way is to simply reduce the usage of lights and other devices which uses electricity. However, this is not the primary focus of the article nor this blog post. What is more significant is the investment in devices that has higher energy efficiency, or investment in renewable energy.

In the micro-perspective, investment in such methods may increase the short-term liabilities for the business. However, it would be an effective investment when viewing the long-term effect as it can reduce future energy costs greatly. In addition, as reduction in energy will better the environment, it can create a positive public image, and therefore may receive more investment and revenue in general. This can be seen as a differentiation strategy as seen from Porter’s generic four strategy model, and having a strong point of difference is pivotal for a business’ success.

From a macro-perspective, reducing energy cost, thus energy use will create a positive change for the environment and society as a whole. As it benefits the society, it is an ethical decision to invest in reducing energy costs.

In both a micro and macro perspective, investment in energy-savings is a good decision as it follows the general idea of profit maximization in the long-term, and also benefit the environment as a whole.

Sanchez, Antonio. “Energy Savings Boost Businesses.” ABQJournal Online. ABQ Journal, 3 Oct. 2015. Web. 03 Oct. 2015.