Comm101 Paul

In response to the question “If the United Nations was fully funded why would we need the Arc Initiative or Social Enterprise?”, the world would not be able to function without the small organizations that provide aid to poverty stricken areas even if the United Nations had all the available money they need. If the United Nations was fully funded, they would be able to help in a bigger perspective, such as building hospitals or shelters for those in need or delivering food and water to large areas. The problem is that projects like this that the United Nations provides takes very long, as they must follow guidelines and policies that must be agreed upon by those involved in decision making in order for the proposal to begin. During this time period, the area that needs help may be stricken with more hardship, causing other organizations who can act fast to step in.

Groups like the Arc at Sauder don’t have to go through all the legal process as they are an independent group, allowing their ideas to be put into action much quicker and efficiently. These small groups provide the aid that is not able to be given by the United Nations, so without groups like the Arc, people who need help must wait and hope that the United Nations is able to take initiative and provide aid fast. Also, smaller groups tend to focus on concentrated areas, making sure that all they need is provided, rather than sending a larger area food and leaving out other problems like shelter and health. The focused initiatives that groups like Arc provide are always needed, so even if the United Nations had all the money in the world, the smaller groups wold still play a large role in providing aid to those in need.

http://www.un.org/en/

http://www.sauder.ubc.ca/Global_Reach/ARC_Initiative

Photo: http://www.sauder.ubc.ca/Global_Reach/ARC_Initiative/Locations/Ethiopia

Lebron James is a sports icon that has influenced the world of basketball in a way that has boosted its popularity and enjoyment. Watching him is a hobby and interest for many people in the world, especially with the return to his hometown Cleveland, where his career started. There has been a lot of controversy suggesting that his return will provide a 500 million dollar increase for the Cleveland economy, which seems farfetched. In the blog post “LeBron James’ return is bigger for Cleveland than it is for the Cleveland Cavaliers”, it talks about how Cleveland businesses will have an increase in sales due to his return. People will go to the local bars and watch the games, or buy his memorabilia, which will provide increased sales, but these sales will take away from other sales in other businesses. I disagree with the idea that the economy will increase from his return, as the people in Cleveland will spend more money on things surrounding Lebron and less on other things.

The people of Cleveland did not stop spending money after he left four years ago; instead they found alternatives such as Cleveland Indians or Browns games, which balanced out in ticket sales. In the blog post “An Economy Based on LeBron James?” the idea that people will spend more on things regarding Lebron and less on the activities they did when he was gone. People would have continued to go out for dinner or enjoy other things while he was in Miami, which kept the economy stable, just like when he was in Cleveland. Now, people will spend that time watching him play, equalizing the increase for events with him and a decrease in other things, affecting some businesses positively and some negatively. His impact on Cleveland’s economy will not be noticeable, and will not lead to any large 500 million dollar increase that is predicted by some people.

http://www.bloomberg.com/news/2014-07-14/lebron-james-s-return-to-bring-500-million-a-year-to-cleveland.html

http://www.usnews.com/opinion/blogs/pat-garofalo/2014/07/15/lebron-james-return-to-cleveland-will-not-boost-economy-by-500-million

Photo: https://theoverunderblog.wordpress.com/2014/07/11/lebron-james-is-officially-going-back-to-cleveland-the-king-returns-home/

In relation to Xinqiao Dong’s post on underwater wedding photography, I disagree with her agreement on the demand and success of this type of photography. Even though there is an increase in weddings in China, many people usually aim toward normal and professional ideas, which include the generic wedding photos. If people want creativity, there are wide arrays of options that they can choose from, ranging anywhere from normal photos in grassy fields to music videos. With these options being available, it allows for many other alternatives that don’t include getting soaking wet and ruining a wedding dress to get pictures.   Also, getting ready for these photos and spending all that time underwater is very time consuming, which draws people away. In terms of value proposition, photos such as the examples below allow for timeless memories that look professional and joyful, which is more valuable in the long run.

For example, my cousin got married this past summer in Whistler, and we were all involved in the wedding photos. What we did was take photos on the grassy land at the top of Blackcomb, which was a blast. It was very fun as we all enjoy the outdoors, and we were able to capture some great photos which were creative and professional. The pricing for these photos was also inexpensive, making it worthwhile as the whole family was included in the photos, which adds to the value proposition. In order for underwater photos to compete with other companies, they need to add more options that will increase their value and demand. Options such as doing it in different areas like beaches, or in areas like aquariums would add to the wow factor, and draw people in as they can further customize their abilities to suit their needs.

http://www.bbc.com/news/business-28957305

Photos: http://www.buzzfeed.com/peggy/impossibly-fun-wedding-photo-ideas-youll-want-to-steal

IndiGo is a very large and successful airline company based out of India. It is known for its lower prices for tickets, which makes it the largest airline in India, and is continually growing. Because of this rapid development, they have proposed to purchase 430 jets at a hefty price of approximately 40 billion. Their reasoning behind this is because they are focused on the long term development for their company. With a growing economy in India and an expanding middle class, aviation is expected to grow over the years by 75 percent, so by purchasing these planes, IndiGo can provide flights as the demand generates. By purchasing these planes at bulk for a lesser cost, IndiGo can sell them to leasing companies and then lease them back before six years have passed which lowers depreciation costs, and keeps capital costs low.   These business strategies are the reason that IndiGo is so successful with a 32 percent expansion in market shares , allowing them to control the aviation market in India.

The visions of IndiGo relate to the expansion that Southwest Airlines wants to pursue in the future.   Their desire to expand into Canada will allow them to increase customer base as well, and control more of the aviation market as their ticket prices are also very low. By doing this they will be able to control both Canada and the U.S. in aviation, forcing other companies to either leave or compete with lower ticket costs. Both of these airlines see the need to expand business for the future, as in order to stay on the top they must grow their company to fit the demand.

http://www.msn.com/en-ca/money/topstories/the-dollar40-billion-jet-buying-spree-indigos-big-bet/ar-BB9WKEW

http://www.theglobeandmail.com/report-on-business/international-business/us-business/southwest-airlines-targets-canadian-expansion/article20493147/

Photo 1: http://uncyclopedia.wikia.com/wiki/File:Southwest_Airlines_Logo.png

Photo 2:http://www.topnews.in/companies/indigo-airlines

Hyun Ji Im’s blog post talks about his views regarding Uber, a transportation company that wants to come back into service in Vancouver to help solve transportation issues.  He thinks that they can come back and be very successful due to our constant transportation issues, but I disagree.  From my perspective, I do not see Uber being a huge competitor in the Vancouver area. They already left two years ago after numerous issues with their business ethics such as unfair business practices, which earned them a bad reputation. What makes Uber stand out in accordance to other companies is their convenience, and wide selection of car options that appeal to all the customer’s needs. Taxi services in Vancouver have also adapted online methods for cab bookings and limo services, which are relatively the same price and if not cheaper than what Uber offers. Taxis also come in different levels of luxury, dependent on what the customer is willing to pay. Also, the lower mainland has different regulations in each municipality for transportation services, which could be hard for Uber to be in coordinate with all of their regulations.

Site C is a government proposal that would allow BC Hydro to construct a hydroelectric dam that would flood 83 kilometers near Fort St. John in the Peace River Valley. Due to the growing industries in the area such as oil, gas and mining, the power generated by the dam will create sustainable power to allow these industries to properly function and work. All in all it seems like a perfect opportunity to help growth in BC industry, unless you look at the immediate factors that must be brought into account, such as the First Nations rights. The dam would flood a large amount of farmland and wildlife habitat, which is First Nations land. Also, it would destroy fishing habitats and cultural land in the area that the first nations who live there rely on for food and historical practices. The main reason for this debate is that the energy is not necessary in the area; it would just help make the industries more efficient. Because of this the argument of is preserving land for those who rely on it to live less important than destroying it to build something that is not essential. The First Nations community chiefs in the area both agreed that they will support smaller alternative power projects in areas such as wind and geothermal in order to protect their prized land. With the issue being brought to court, the decision is a matter of will the broader benefits of the proposed project outweigh the adverse effects on the Aboriginal Land. The hydroelectric dam would be a huge step in creating alternative power to increase efficiency in the businesses in the area, but destroying lands that have no alternative is the barrier that the government faces in their proposal.

http://www.vancouversun.com/news/First+Nation+chiefs+stage+Site+showdown/10215965/story.html

Costco is a membership only warehouse that is the second largest retailer in the United States. What draws the customers there is the ability to buy in bulk for cheaper, but most importantly the main reason is for the free samples. In this article, studies show that samples in stores increase business drastically, as people love the feeling of getting something for free. Costco is known for having multiple sample tables throughout its stores to persuade customers to purchase that product. In Costco’s mind, having samples in stores makes shopping more fun for customers, bringing more people to the store for a longer period of time because they enjoy it, which increases their sales. This makes customers loyal to the company, causing them come back and buy more, which is exactly what Costco wants. The psychology behind the free samples is that when people are offered something for free, they feel the need to return the favor by purchasing the product. Another aspect is that if a person tastes a sample of chocolate for example, it acts as a reminder to them of how much they like chocolate, causing them to buy it. It’s an excellent business strategy that shows across all Costco stores, as their success is well recognized through their extensive sales. Even their food court is extremely profitable while being able to offer a hot dog for a $1.50, because of the influx of people. If Costco was not a retail store, it would be the eleventh largest pizza place in the U.S. Through this you can see how many people come to Costco, proving that their business strategy of psychological persuasion is a huge success for their company.

http://www.msn.com/en-ca/money/companies/the-psychology-behind-costcos-free-samples/ar-BB6O0Yu

Yahoo is a worldwide renown internet company that competes with google as a search engine and news feed for many people across the world. Its success has been based upon its news and communication usage by a wide variety of age groups, but has struggled to appeal to the young teenage age group as well as other sites. Due to their recent selling of a portion of their stake in the Alibaba Group, an internet e-commerce corporation, they have a large amount of available money to invest in other companies. To start attracting the younger audience, they have been talking about trying to negotiate a deal with Snapchat, an app that is used to send photos that disappear after time as a way of communication. Being a teenager myself, I use Snapchat on a daily basis to communicate with friends, as it is a fun way to interact with them when im on to go. By settling a deal to invest in the company, Yahoo will have the ability to compete in the online messaging sector making their company more relevant to young consumers. Yahoo has lacked to compete with companies like Facebook in this particular sector, so this investment will help their company rebound and become a large competitor in this area. They have already purchased a company called MessageMe to help in their strategic process to increase its contents offerings. As Snapchat continues to grow by working with musicians by allowing people at a concert to post “snaps” that can be seen by anyone who has the app, Yahoo sees their visions and believes by investing they can help the company generate more revenue. This will boost their growth, and bring them closer to closing the gaps with other online communication companies.

The Apple iWatch is yet another drastic step in growth and innovation for Apple, as it enables the user to connect their devices through something worn on their wrist. Wearing the watch allows for seamless connection with the owners phone, which is paired through Bluetooth allowing quick and easy response to messages and fast access to the web without having to touch the phone. For notifications, the iWatch transmits a soft tap on the wrist to notify a new alert, without annoying beeps or vibrations. The customization aspect allows for the user to choose exactly what they want to see in an instant, simply by swiping the watch face to apps like weather, calendar, and news. The iWatch is a prime example of how Apple is able to make a need out of something that people don’t necessarily must have. People become star struck in the technological advancements Apple continues to offer, and feel the need to have it. This outlines their powerful marketing and innovative abilities through simplistic design and beauty in every product they offer.  This feat of technology for Apple was inspired by the determination to compete with other large electronic companies like Samsung, which has the Gear, which was introduced last September. The gear offers similar technology to the iWatch, along with multiple designs to fit the customers desires like Apple has done. With the release of the iPhone 6 being so successful, the release of their watch will be another huge profitable success throughout the world, as people go crazy for Apple products. With the release date coming within the next six months, Apple has a lot to look forward to in rewarding themselves with yet another step in technological advancement.

http://www.techradar.com/news/portable-devices/apple-iwatch-release-date-news-and-rumours-1131043

http://www.samsung.com/us/mobile/wearable-tech

http://www.apple.com/watch/overview/

Business Ethics                                                                                                      Paul Smith

In order to run a successful business, all aspects of the company must work in harmony and focus on their tasks at hand without leaning over the edge and breaking the rules known as business ethics. Ethics are the guidelines and responsibilities businesses have that can help them succeed. In Freeman’s video about stakeholder theory, he explains what mistakes companies can make which cause them to fail, such as becoming too greedy and not following corporate responsibility guidelines. This relates to the article “The slippery slope of getting away with small stuff”, as Bernard Madoff became solely interested in the idea of turning as much profit as he could by illegally running a Ponzi scheme that later led his business to a rapid decline. Madoff started out with small transactions he thought were only small indiscretions, but his illegal behaviour quickly morphed into what became a multi-billion dollar scheme. The eventual collapse of the scheme not only destroyed the business; it ruined the finances of its investors which included individuals, charities, labour union pension funds and universities. Freeman explains that without all parts of a company working together following proper ethics, the company will not be successful. Corporate executives have social responsibilities” to follow, as explained in “The Social Responsibility of Business is to Increase Profits”. In Madoff’s case, he disregarded business ethics and his responsibilities to his investors, and looked for short-term profit which ultimately led his business into ruin.  These ethics are what make companies stay on track for success, and disregarding them can have severe consequences.

http://businesscasestudies.co.uk/cadbury-schweppes/ethical-business-practices/the-importance-of-ethics-in-business.html#axzz3CsXikzf3

This article provided ample amounts of information about how breaching the code of ethics can destroy a company. I found it useful as it explained Madoff’s motives as to exactly why he did it without thinking of the negatives.