E-business in UAE Challenges and Opportunities Research Paper

E-business in UAE Challenges and Opportunities - Research Paper Example This score measures the availability of online services and products in the country’s e-market. In addition, the score of effectiveness measures the level of transaction process that can be completed through the internet. An effective system will enable consumers complete the whole transaction process through the internet. This paper will therefore access the UAE e-commerce through its growth, opportunities, barriers, and the effectiveness of UAE cyber laws. Although UAE’s e-commerce has experienced considerable growth, there have been barriers of effective trading and expansions. These barriers can broadly be categorized as technical, societal, legal & ethical, organizational, cultural or perceptual barriers (Bade 106). Each of these barriers has an effect on the UAE e-commerce. UAE is an Islamic country that has strong value for religion and societal laws. The fear of exposure to western culture is the main cause of restriction on internet usage among the UAE citizens . This has greatly affected the growth of e-commerce since it depends on the internet. Organizational barriers relate to the ability of employees to handle e-commerce through the internet. The UAE culture and value of Islamic religion, makes UAE employees to develop a negative attitude towards exposure to the internet. Internet abuse among employees is also a factor that has restricted growth of e-commerce in UAE. Technical barriers have also contributed enormously to the slow growth of e-commerce in UAE. Although major towns have excellent infrastructures such as high bandwidth and secure high-speed internet, other areas lack such infrastructures. This has halted expansion of e-commerce beyond major cities such as Dubai. Similarly, the UAE has no practical legal regulations that ensure web users the security of sensitive information. This has also contributed to the slow growth of e-commerce in UAE. Despite the availability of constraints and barriers that prevent effective trade, the UAE has many unutilized potentials that can be exploited through effective application of e-commerce. Application of e-business can greatly influence how traders and customers interact with each other through the online services (Reilly 78). The real estate sector can be a major business potential for an investor of e-business. Due to the growing number of investments, the real estate industry is growing constantly. However, there is lack of connection between property developers and buyers or tenants. The e-business can greatly improve the mode of doing business in the real estate sector. E-business will enable tenants or buyers to make payments or purchase products more easily. Other than the real estate sector, the travel industry has many unexploited opportunities that can be exploited through e-commerce. Automated payment systems and booking of tours and transportation is a significant opportunity for e-commerce. The tourism sector will become a major beneficiary of e-comme rce through automated travel packages and bookings. Due to the increasing popularity of Dubai as a tourist destination, the transport sector is a major opportunity for e-business in UAE. The favourable internal and external business environment in UAE has facilitated availability of e-business opportunities. Availability of supportive infrastructures is the main factor that has contributed to the

Water for the Sake of Water Essay Example | Topics and Well Written Essays - 1000 words

Water for the Sake of Water - Essay Example As it has been explicated that technological advancements cannot be helpful for producing fresh water, and it is certainly impossible to survive without this essential natural resource, the most crucial conduct, which is the core motive of any campaign for water management, is to spread this realization in the public domain. All of the campaigns to save water on this planet are precisely focused to provide this awareness along with different methods, procedures and conducts by which the significant amount of water which is being wasted in daily life routines can be decreased (ICLEI, 2009). For instance, the California Water Awareness Campaign has a keen focus on providing awareness about the conservation of water, the quality of water, supply and distribution of water to the public of California. It also presents several methods to the public about the reducing the wastage of water. The appropriate use of technologies like automatic shut-off nozzles and automatic water taps with sens ors are being preferred to be utilized for effective water management. This campaign also helps families to understand the problem and address it effectively in a cost-efficient manner (California Water Awareness Campaign, 2013). All of these awareness programs which these campaigns conduct are mainly focused on making people acquire the information and apply it in their daily lives by which the essential resource of water is most likely to be efficiently managed and saved for the future generations.

Pre-1914 literature Arthur Conan Doyle Essay Example for Free

Pre-1914 literature Arthur Conan Doyle Essay The previous pair of quotes significantly carries the Victorian assumption of evil and mysterious foreigners. Victorians associated drugs with the Far East: As I entered, a swallow of Malay attendant, and the rascally Lascar who runs it has sworn to have vengeance upon me. Both these quotes suggest similar nature in the Victorian attitude to others of different origins. The drugs and alcohol is unfairly associated with Malaysia being a Far Eastern country, this unfairly creates unnecessary judgements about the atmosphere of the country. Lascar was a Victorian term used to label an East Indian (Pakistani) sailor army servant. The Lascar in The Man with the Twisted Lip was described as rascally Lascar, although this indicates that the den runner is Asian but also the description creates an image of a mischievous person. We have seen how Arthur Conan Doyle has used stereotypical thoughts in his work to satisfy the aristocracy. The Victorians feared that the culture and customs of non British people, they felt threatened by foreigners; Sherlock Holmes was a method of reassurance in which the Victorian culture and values were still respected. During the Victorian era there were three sets of class between people. The highest class were called the Aristocracy, the middle class were called the Merchants, and the lowest class were known as the poor. The aristocracy lived a life of luxury and had huge amounts of materialistic wealth and possessions. The aristocracy were all educated and had a high status amongst all people. The merchants could have possibly been literate, but they were not as highly renowned compared to the aristocracy, but they were better off compared to the poor. The merchant class would do a certain job for a living. Lastly, the poor were very uneducated and lived in awful conditions. They were detested by the aristocracy because of their lack of hygiene and also because of their class. The aristocracy at the time of the Victorian era were seen as the most intelligent, in The Speckled Band we are clearly shown that Holmes is of the upper class: Very soon to knock you up Watson; he uses upper class speech. Holmes in The Speckled Band also shows his intelligence No, but I observe the second half of a return ticket; this quote shows the wise and intelligent remarks Holmes uses. The upper class were also shown to be very respective and polite, in A study in Scarlet, Holmes shows his upper class etiquettes: His eyes fairly glittered as he spoke, and he put his hand over his heart and bowed, as it to some applauding crowd conjured up by his imagination. The upper class would help and always relate to each other, in The Noble Batchelor: I presume they were hardly from the same class of society, No I am descending, My last client of the sort was a king. Holmes tells a client that he has worked for a King. In another Sherlock Holmes novel The Adventure of Black Peter: he frequently refused his help to the powerful and wealthy where the problem made no appeal to his sympathies. These quotes show how Holmes who is of the upper class helps the upper class only if the problem is actualy a valid one for him to have nay interest in. In the customs of Victorian culture Victorian gentlemen were intelligent and rational thinkers and also family leaders and role models. If a man of the upper class fails to acquire these fundamental aspects of a well character gentleman they would be known as a fallen gentleman. In The Speckled Band Dr Roylott is a perfect example of a fallen gentleman: he beat his native butler to death and narrowly escaped a capital sentence, he shut himself up in his house and seldom came out save to indulge in ferocious quarrels with whoever might cross his path. Violence of temper approaching to mania. Dr Roylott is a fallen gentleman, some aspects which make him one is that he is a murderer and has a violent nature. Another perfect example of a fallen gentleman can be found in The Man with the Twisted Lip, the character Mr St. Clair displays clear characteristics of a fallen gentleman: to my relief, that instead of being identified as Mr Neville St. Clair, I was arrested as his murderer. Mr St. Clair has been caught acting as a beggar to earn money when he seemed to be a of the higher class standards. Doing such things was an obvious big offence to the Victorian customs. The aristocracy thought of themselves as supreme and pure, they never did any physical work that could discolour their skin: a pale face (From The Man with the Twisted Lip). The aristocracy tend to have very pale skin, indicating that they do not work, because work can causes skin discolouring. Hygiene was a very important aspect of everyday aristocracy life, in The Speckled Band, it is very unusual that Holmes packs a toothbrush when he is off to investigate an incident: That and a toothbrush are, I think, all that we need. As well as hygiene, appearance was obviously a very important item addressed in everyday upper class life. From The Man with the Twisted Lip we are shown: such as he had started to town in, he has on neither collar nor necktie. This quote reveals to us how important this was to the upper class. This is demonstrating that a man of high class would never be seen without a tie around his neck. The merchant class were not as intelligent and as respected as the aristocracy. The middleclass were not better than the upper class. As justified by the following quote from The Scandal in Bohemia, it displays a very basic outline in what Holmes does: he was still, as ever, deeply attracted by the study of crime, and occupied his immense faculties and extraordinary powers of observation in following out those clues and clearing up these mysteries, which had been abandoned as hopeless by the official police. Not only does this quote demonstrate the powers and qualities of Holmes, but in meaning it also shows us that the police who are the working class are being outsmarted by Holmes who is of the upper class, which suggests that the upper class is better than the merchant or working class. The aristocracy also control the middleclass: if you leave it to a court of law to clear the matter up on the other hand, if you convince the police authorities that there is no possible case against you (From The Man with the Twisted Lip). This quote shows us the Victorian thinking that a person belonging to the aristocracy will always have power and manipulation over the lower classes. The poor were hated by the upper classes. The higher class hated them for many reasons, one being there appearance, and extract from The Man with the Twisted Lip: He was, as the inspector said extremely dirty, but the grime which covered his face could not conceal its repulsive ugliness. This reveals that the Victorian upper class thought the poor as being very ugly, disgusting and dirty, this was the stereotype that all poor people were ugly and dirty. The lower class were seen as the worst of all people; the gypsies were hated just because they lived in a different way. In The Speckled Band, the Ms Stoner states: sometimes it may have referred to some band of people, perhaps to these very gypsies in the plantation might have suggested the strange adjective she used. This demonstrated the class differences, Ms Stoner feels superior to the gypsies, also revealing that the Victorian aristocracy though themselves as being superior to all other classes. Victorian assumption to crime mysteries is that if there was a person out of the upper class or the poor they were the criminals. From The Man with the Twisted Lip, this attitude is clearly shown: wash his hands, and his face is as black as a tinkers. Well once his case is settled he will have a regular prison bath. This quotes significance is that the poor people were always the assumed of committing crimes, because that is the only way they can survive. When someone decides to change their class it is seen as the worst possible thing that could happen in the view of Victorians. The poor cannot be changed to the aristocracy because of their past and their low status. The same way a man of the aristocracy cannot become lower than his usual class, if this does happen then this is seen as the most shameful situation. Prime examples are Dr Roylott from The Speckled Band and Mr St. Clair from The Man with the Twisted Lip. From analysing mainly the two novels; The Speckled Band and The Man with the Twisted Lip that were both written by Arthur Conan Doyle, the Victorian attitudes towards gender, ethnicity and class are revealed. In terms of gender these points have been discussed and proven; Men were fare more intelligent and rational than women. Women were over emotional; they also had authority over domestic matters. However, men were in control over all aspects of Victorian life. Points concerning ethnicity were; Victorians felt threatened and also hated foreigners (Xenophobia). Victorian saw foreigners and animals as dangerous and mischievous. Victorian towards class was that the Aristocracy were very wealthy, the working class worked for their wealth and the lower class was just poor. Someone transferring classes was not acceptable in Victorian society, the Victorians held a strong belief that someone should stick to their status and class. From the previous Victorian assumption we can conclude that the Victorian morals, values and thinking were much contrasting than what the present views on society are, and things have changed in a positive way.   Show preview only The above preview is unformatted text This student written piece of work is one of many that can be found in our GCSE Arthur Conan Doyle section.

The Thesis And Statement Of The Problem Finance Essay

The Thesis And Statement Of The Problem Finance Essay INTRODUCTION OF THE THESIS STATEMENT OF THE PROBLEM Introduction: This thesis consists of a collection of self-contained research papers within the part of credit risk and securitization. Still if they differ in focus and faculty, they have in universal that I have designed at writing thesis which has important in real-world with a helpful and relevant participation in my thesis of credit risk and securitization. These contributions are either participation to strategy discussions, new opinions and new angles to a continuing debate, accepted practices with the help of study or cleanly development of fresh models. My thesis will be helpful for those companies which really face credit risk and do not have any model to control it. In the beginning of the writing thesis I faced a lot of problems in managing of data, but with the passage of time activities of research provided great knowledge about credit risk and securitization. This thesis will be helpful for me in future time, and it has a great importance for financial organizations. I was thinking, on basis of research on this topic, it is helpful for my job in these good organizations. I can give better performance on this job because it is my favorite area and I am specialist in it. A brief zoology of risks I view the risks faced by financial organizations as falling mainly into the following maximum collections: Market risk-the risk of sudden changes in prices or rates. Credit risk-the risk of changes in value related with sudden changes in credit quality. Liquidity risk-the risk that the costs of adjusting financial positions will boost significantly or that a firm will lose access to financing. Operational risk-the risk of fraud, systems failures, trading errors, and many other inside managerial risks. Systemic risk-the risk of stop working in open market or series of result default. Definitions of Credit risk Credit risk is a possibility that counterparty cannot perform the fixed obligation, including a possibility that the counterpartys credit risk will be reduced, which affect earnings and capital may support of financial organizations. Credit risk is very important as it involve credit department, which is a most important operation of financial organizations, both credits that are assets and contingent liabilities of the financial organizations. Credit risk is the risk of loss due to a counterparty defaulting on contract, or furthers normally the risk of loss suitable to some credit event. By tradition this applied to bonds where debt holders were worried that the counterparty to whom theyve made a loan might fail to pay on a payment (interest or original amount). Credit risk start from the possible that an obligor is either unwilling to achieve on a commitment or its capability to achieve such obligation is damaged resulting in financial loss to the bank. Credit risk is the up to date or future risk to earnings and capital happening from an obligors breakdown to meet up the conditions of any deal with the organizations or if an obligor otherwise not succeed to perform as contracted. The biggest source of credit risk is loans. However, credit risk exists all over the additional activities of the organizations equally on and off the balance sheet. In short, all the credit risks definitions provide same level of conclusion that if credit risk is greater than inspective so organizations will be suffering financial loss in balance sheet. Credit Risk: Financial organizations and financiers face several types of risk. One of the major risks is credit risk. Over the past decade, credit risk was a most important problem existing in the financial organizations. Credit risk has been one of the most active areas of recent financial research. Credit risk consists of two components: default risk and spread risk. Default risk defines as any non-compliance with the exact arrangement of a deal and spread risk defines as decline in market value of the deal/ tool due to change in the credit quality of the debtor/ counterparty. Credit Risk Models have assumed valuable because they give the judgment creator with on the way or awareness that would not otherwise be with pleasure available or that could be marshaled at too expensive cost. In business, almost all organizations carry some credit risk, because most organizations do not demand up-front cash payment for all products delivered and services rendered. Instead, most organizations distribute the product or service, and then bill the customer, often specifying net 30 days payment, in which payment is supposed to be complete on the 30th day after distribute. Credit risk is carried for the period of that time. In a market where margins are fast failing and the demands to lower pricing are implacable, models give their clients a competitive edge. The credit risk models are planned to aid banks in measuring, aggregating and managing risk across environmental and product lines. The results of these models also play more and more significant roles in banks risk administration and outcome measurement methods, client profitability analysis, risk-based pricing, active collection management and capital makeup decisions. Credit risk modeling may outcome in improved internal risk management and may have the possible to be used in the decision-making oversight of financial organizations. Credit risk analysis (finance risk analysis, loan default risk analysis) and credit risk management is essential to financial organizations which give credit to businesses and individuals. Credit can arise for different reasons: motor vehicle purchase finances bank mortgages (or home loans), credit card purchases, installment purchases, and so on. Credit loans and finances have risk of being defaulted. To understand risk levels of credit users, credit contributors normally collect huge amount of information on borrowers. Statistical predictive analytic techniques can be used to analyze or to determine risk levels involved in credits, finances, and loans, i.e., default risk levels. (Internal) credit score is a numerical rating of credit loans. It measures the level of risk of being defaulted. The level of default risk can be best predicted with analytical modeling. Credit scores can be measured in term of default probability or comparative geometric ratings. Managing credit risk is valuable for any organizations, and important resources are faithful to the task by large financial organizations with many customers. For large financial organizations, there may even be a credit risk department whose job it is to assess the financial health of their customers, and expand credit (or not) accordingly. For example, a distributor selling its products to a concerned vendor may challenge to minimize credit risk by reduction payment terms to net 15 days, or by actually selling less product on credit to the vendor, or even cutting off credit totally, and difficult payment in advance. These policies will possibly impact the distributors would-be sales, and basis smooth relationship with the vendor, but the distributor will end up better off if the vendor is delayed paying its bills, or, especially, if it failure to pay and say publicly bankruptcy. Definitions of Securitization Securitization a process whereby any Special Purpose Vehicle raises finances by issue of Term Finance Certificates or any other tools with the authorization of the relative authority of the country, for example, Pakistan commission (SECP) is authorization of the process for such purpose and uses such finances by making payment to the Originator and through such process obtains the title, property or right in the receivables or other assets in the form of actionable claims. There are lots of ways to explain securitization but in core, it is the financing or re-financing of earnings yielding assets by packaging them into a trade able form through an issue of government securities or further securities. There are three major kinds of securitization: true sale, synthetic and whole business (the final largely used in the England and, to a smaller size, continental Europe). In a true sale securitization, a organization sells assets to a special purpose vehicle which finances the purchase by issuing government securities to the capital markets. In a synthetic securitization, the organization does not sell any assets, but removes the risk of loss linked with certain of its assets to a Special purpose vehicle or a bank organization against payment by such of a premium or fee to the Special purpose vehicle. Whole business securitization is basically a secured loan granted by a Special purpose vehicle to the relevant organization. To contribution the loan, the Special purpose vehicle uses profits of government securities issued into the capital markets whereby the organization grants security over most of its assets in favor of the government securities holders. Since it is important for the whole work out to be a case of transfer of receivables by the originator, not a borrowing on the security of the receivables, there is a legal transfer of the receivables to a separate entity. In legal parlance, transfer of receivables is called assignment of receivables. It is also necessary to ensure that the transfer of receivables is respected by the legal system as a genuine transfer, and not as mere eyewash where the reality is only a mode of borrowing. In other words, the transfer of receivables has to be a true sale of the receivables, and not merely a financing against the security of the receivables. Securitization: Securitization is the procedure of financing the cost of originating or carrying economic assets. Those economic assets include responsibilities of clients originated by financial organizations or such as mortgage loans credit card receivables, student loans and student loans, trade receivables, and corporate bonds and loans. Financing arises during the issuance of asset-backed securities. In an asset-backed securities securitization, financial assets which are naturally illiquid, but exchange into cash in accordance with their conditions within a definite time. Financial assets are pooled and converted into asset-backed securities (which are then typically offered and sold in the capital markets). Mortgage backed securitizations and asset backed securitizations, or more usually, the securitization of economic assets, securitization is a form of structured finance firstly developed in the early 1970s in mortgage backed securitization format. It full-grown in the late 1970s in both mo rtgage backed securitizations and asset-backed securitizations formats. In current years, it has reach to Europe, Latin America and Southeast Asia (mainly Japan, India). In Pakistan market of securitization growing in recent year because international body of securitization improved the regulations according to Islamic structure for Muslim countries and these regulations match with international securitization transaction. Pakistan play lead role in Islamic securitization all over the Muslim countries. The local controllers have usually encouraged searching and introducing multiple asset-backed financing formations at large. While the whole banking and non-banking financial areas are now facing troubling due to worldwide financial disorder, pointed increase can be seen on the heel of Islamic securitization during contribution by private and commercial sectors. In its simplest form a Securitization require (1) the sale of a huge pool of Receivables by an person (Originator) that makes such Receivable in the line of its business to a bankruptcy-remote, special purpose entity in a way that meet the requirements as a true sale and is planned to reach definite results for accounting purposes, as well as caring the Receivables from the claims of creditors of the person (Originator), and (2) the issuance and sale by the special purpose entity, in either a private assignment or public offering, of obligation securities that are afterward fulfilled from the proceeds of and protected by the Receivables. When the Securitization is stopped up, finances run from the buyers of the Securities to the Issuer and from the Issuer to the inventor (Originator). Statement of the problem This research aim is to take action and analyze the following questions and interviews have been performing from the companies officer to receive information accordingly. What is method for control the credit risk in organizations? The purpose of Securitization in the Corporate Sector? The features of Securities to make its attractiveness? Why the investors are interested to invest in Asset-Backed Securities? Why Islamic securitization important in Muslim world? Does securitization reduce credit risk for the financial organizations? How the Asset-backed Securities have minimized credit risk for the financial organizations? To understand the role of banks and credit rating agencies in the Securitization. Determine the working of factoring for reduce the credit risk and define the benefit of factoring? What are the future prospects of Asset Backed Securitization in Pakistan and all over world? Define securitization costs and expense? How credit  scoring individual customer? How can minimize credit risk through securitization? What is the method of managing the credit risk and how to improve credit risk management? importance of the study The information technology and artificial results have been powerful the businesses of the worldwide economies. To deal with the different risks linked with the businesses, the businessmen have to come up with modern solutions and separate credit risk department and securitizations are one of them. All over the world companies face different type of risk in businesses including marketing risk, operational risk and credit risk. To deal with these risks and improved the financial position of the organization and increase the annual profit of the share holders (owners), they have to pick the positive modern solutions. If mangers of the organizations want to minimize the credit risk so securitization is one of the techniques picked by the organization. In the way, organizations achieved target profits and financial position without any loss of the operating, financial and market of the organization. Study of the credit risk and securitization is allows development new models and techniqu es in the capital market which ultimately create new and more investment chance in the capital market which provide large number of profit to the financial organizations. Study of the credit risk shows, at liberty Asia appeasing Credit Risk Management: 2006-2011 spend estimate and Analysis, local investments in credit risk functions for three purposeful systems, defaults chance judgment, credit collection management systems, and worldwide limits management systems are estimated to compound at a collection percentage of 16.6 per cent annually to US$1.74 billion by 2011. If organizations want to reduce credit risk so growth for successful performance of credit risk, financial organizations need to improve their IT functions for information collection and the interior rating process, categorize proper greatest practices and building ability. Study of credit risk and securitization have very important for any organizations because credit risk accounting for at least two-thirds of their on the whole risk, the financial organizations have the leading holder for credit risk functions. According to research of credit risk controller that if organizations want to reduce credit risk so buildup credit risk departments in the organizations for control the credit risk independence and working of credit risk department that manage the securitization procedures and improved the internal rating process and fairing collection the data about customer and country political issue. Political issue plays a lead role for unsystematic credit risk. In addition, these studies evaluate the opportunity where this idea of securitization can be effectively applied. The study not only points the current companies who have already accepted the securitization but also useful for the potential companies. Delimitation of the study This research was performed within the following limitations: Only financial organizations in the first market level of the Lahore and Karachi Stock Exchange was included in this research. Joint finances were also excluded. All the steps involved in this research process were completed within a two month period (December to February 2010-2011). This place a limit on the overall level of the study. The Lahore and Karachi Stock Exchange is relatively new in the field of credit risk and securitization. This impacts the amount of information available for me. CHAPTER TWO REVIEW OF LITERATURE AND STUDIES Background Credit risk and securitization is not new team for any businessman in the capital market. A lot of the articles, books, research papers and regulations are available in internet and library. I get help from a lot of articles and books for writing a thesis of credit risk and securitization. My work is distribution into two elements: selecting articles and summarizing results. I have read 135 plus articles, books, and research papers of different authors of all over the world for clear understanding of credit risk and securitizations. My literature search starts with electronic full-text databases and Economic Papers, using searching term credit risk and securitization in the title or keywords. Literature Credit risk occurs from the option that the issuer of an asset back securitization, generally a special purpose vehicle, may default on its liabilities. Since the special purpose vehicle is usually controlled to have no assets or business other than holding the securitized assets, the main focal point is on the cash flow from the assets themselves. The most significant option to be considered is default by the underlying borrowers, such as the car owners in the case of automobile loan securitization. While a small but expected loan loss ratio is controllable, the rating agencies must deeply analyze the difference in default and crimes rates and calculates any factors that might activate a growth in defaults. The growth of a possible control of credit risk and securitization market is very dependent upon the authorized and regulatory framework that is position provides sufficient security for investors. The financial organizations, investors, banks and development companies were attractive to perform the securitization for control credit risk. It is therefore, different agreement concerning the current and future receivables of the development companies have been performed through asset backed securitization in different business sectors of the country i.e. leasing sector, oil sector, construction areas, telecom sector, and public sector. Credit risk identification Valuable credit risk identification starts with individual credit measurement. Financial organizations should rate credit value of individual customer commonly. Some financial organizations may concern relative rating. Some rate by kind of credits or transactions. Some apply both relative rating and rating by kind of credits or transactions. Risk rating should also be practical to off-balance sheet transactions. The rating process should be transmission commonly so that adjusts in credit quality will be agreed in time. Such will help the management in revising the policy as well as closely monitor the non-performing loans within a suitable time period. In addition to risk rating, there should be a assessment and analysis of every section and the overall selection to ensure the accepted risk rating. Development analysis, change in risk level and weighted average risk level should be incorporated with other information such as past due trend, credit growth, and the extent of policy exception to help in the analysis of asset quality and credit risk. The principle of valuable risk management is identifying all possible credit risks in the products and transactions through a detailed review of credit risk element in the products and transactions. New products that can incur risk should be given much interest in the new product planning process. Close and careful monitoring should be carried out to ensure that the risks are identified and appropriately managed. Adequate guidelines and control procedures should be specified before the new products and transactions are projected or introduced. Moreover, the new products and transactions should be approved by the board of directors or other suitable committee. Credit risk measurement Financial organizations should have a correct and dependable system to measure credit risk of individual customer in accord with the quality, refund ability and kind of credits or businesses, equally on- and off-balance sheet credit transactions and bank account transactions. This is so that level of risk can be correctly measured, monitored and controlled. To have valuable risk measurement, financial organization should carry on as follows: Formulate a policy and strategy in risk measurement and the impact on financial organizations. Formulate risk measurement processess which is working in high level management which is relative to measuring credit risk. Clear customer segmentation and regular assessment of credit application. Assess the current level of loan loss provisioning against credit risk. That is, even when financial organizations have high level of risk; sufficient amount of provisioning can help reduce against the overall credit risk. Financial organizations should use suitable ratios to test whether the level of loan loss provisioning is practical. Ratio analysis will make known the trend of relationship between loan loss provision with different factors such as non-performing assets and normal loans pass due loans, and stop increased debts, credits and contingent liabilities. Credit risk Monitoring and controlling For reducing credit risk on account of such off balance sheet contacts, financial organizations may accept a multiplicity of measures some of which are showed below: Financial organization must make sure that the security, which is obtainable to the funded lines, also covers the latter of credit lines and the guarantee facilities. On some events, it will be suitable to take a charge over the fixed assets as well, particularly in the case of long-term guarantees. In the case of guarantees covering agreement, financial organization must make sure that the regulars have the necessary technical skills and experience to perform the agreements. The value of the agreements must be definite on a case-by-case basis, and break up limits should be set up for every one agreement. The growth about physical and economic displays should be monitored on a regular basis, and any slippages should be highlighted in the credit review. The policy to authorize non-finance facilities with an observation to increase earnings should be suitably balanced about the risk concerned and comprehensive only after a careful assessment of credit risk is undertaken. Feature of Securitization A securitized tool, as compared to a direct maintain on the issuer, will normally have the following features: Marketability The very important principle of securitization is to make sure marketability to economic claims. Hence, the tool is prepared so as to be marketable. This is one of the most important features of a securitized device, and the others that follow are mostly significant only to make sure this one. The conception of marketability involves two hypothesizes: (a) The authorized and general option of marketing the instrument; (b) The reality of a market for the instrument. Securitization is a misleading notion unless the securitized product is marketable. The very reason of securitization will be defeated if the device is full on to a few expert investors without any chance of having a liquid market therein. Liquidity to a securitized device is given either by launching it into an organized market or by one or more agencies acting as market makers in it, that is, approving to buy and sell the tool at either fixed or market-determined prices. Merchantable Quality To be market-tolerable, a securitized product has to have a merchantable quality in capital market. The idea of merchantable quality in case of physical produce is something which is suitable to merchants in regular trade. When applied to economic products, it would mean the economic obligations embodied in the tools are secured to the investors approval. To the investors approval is a qualified term, and therefore, the originator of the securitized device secures the device based on the needs of the investors. The universal rule is: the broader the base of the investors, the less is the investors ability to attract the risk, and hence, the more the need to securities. For generally distributed securitized tools, estimation of the quality, and its qualifications by an independent expert. The rating provides for the advantage of the position investor, who is otherwise not projected to be in a position to review the degree of risk involved. In securitization of receivables, the idea of quality experience drastic change making rating is a general requirement for securitizations. Hence, the quality of the maintain of the debtors believes significance, which at times enables to investors to rely simply on the credit-rating of debtors and so, create the device totally independent of the originators personal rating. Wide distribution The necessary principle of securitization is to distribute the product. The level of distribution which the originator would like to realize is based on a relative analysis of the costs and the benefits achieved thereby. Wider distribution guides to a cost-benefit in the common sense that the issuer is able to market the product with minor return, and hence, minor financial cost to him. But wide investor base involves costs of distribution and servicing. In observe, securitization issues are still hard for retail investors to recognize. Hence, most securitizations have been secretly placed with expert investors. However, it is possible that in to come, retail investors could be involved into securitized products. Special purpose vehicle In case the securitization needs any asset or claim which needs to be included and separate, that is, unless it is a shortest and unsecured claim on the issuer, the issuer will want an agent agency to act as a storage area of the asset or claim which is being securitized. Let us take the easiest example of a secured debenture, in concentrate, a secured loan from some investors. Here, security charge over the issuers some assets needs to be incorporated, and later broken down into marketable lots. For this purpose, the issuer will bring in an agent agency whose necessary job is to hold the security charge on behalf of the investors, and then issue documentations to the investors of valuable interest in the charge held by the intermediary. So, whereas the charge continues to be held by the intermediary, valuable interest therein becomes a marketable security. The same process is concerned in securitization of receivables, where the special purpose agent holds the receivables with it, and issues valuable interest documentation to the investors. Assets that can be securitized In essence, all assets which produce a cash flow can be securitized e.g. housing loans mortgage loans, credit card receivables, automobile loans, consumer loans, trade receivables, lease finance, etc. a perfectly and usual financial asset is usually securitized. A difference is generally made between asset securitization and mortgage securitization. Asset securitization is sheltered from a pool of loans and receivables though the mortgage backed securities are sheltered by residential or commercial mortgage loans however mortgage backed securities is a particular kind of asset backed securities. Process of securitization The process of creating asset backed securities is talk about in the following points: The Company sells its products and services on credit and this becomes the trade receivables or account receivables in the balance sheet of the company. Out of these receivables, the originator pools definite receivables jointly on the base of maturity and risk structures and sells these to a securitization company identified as Special Purpose Vehicle or Special Purpose Entity. The securitization company makes payment to the originator for the receivables purchased. These receivables are improved into a pool of securities by the securitization company for the reason of issuing Pass Through or Pay through Certificates. These Pay Through or Pass through Certificates are then charged by Credit Rating Agencies e.g. Pakistan Credit Rating Agencies (PACRA). The Pay Through or Pass through Certificates are sold to individual investors or Qualified Institutional Buyers. The gathering of receivables from debtors is obtained by Company itself in case of Pass through Certificates and by Securitization Company in case of Pay through Certificates. If gathering is made by the Company then it is under commitment to pass on the money to the securitization company. The securitization company after that makes payment to the investors. Why do issuers need securitization? These explanations the investors favor to invest in asset-backed securities: Securitization makes tools with reverse maturities, risks, vouchers, which is attractive to investors. Securitization is a prepared financial device i.e. customized to the risk-return and maturity needs of investors, rather than a trouble-free claim against an entity or asset. Asset-Backed Securitization offers and defer higher than devices with similar risk. This is appropriate to the credit value of the tools (generally AAA rated) and the credit development features. Asset-Backed Securitization offers a expected cash-flow. Investors purchase Asset-Backed Securities with self-belief that payments will take place at particular dates in the future. Asset-Backed Securities are protected by the fundamental assets; therefore they offer important security against lower by rating agencies to the issuer. It gives a chance to the investors to spread their investment collection by investing in these asset backed securities. Impact of securitization on the capital market The impact of securitization on capital market can be analyzed in the following points: Securitization decreases transaction costs in the capital market by generating a market for financial claims, which otherwise, would have continued illiquid, i.e. limited trading. Securitization saves intermediation costs, since the particular intermediary costs are service associated and usually lower. Securitization supports saving since it offers a security to investors with guaranteed interest or payments and an assertion of credit quality and security nets in the variety of trustee

Abortion is Immature :: abortion argumentative persuasive argument

Abortion is Immature What would it be like to die so young and so fragile? What would it be like to kill something so young and so fragile? Abortion, in my definition, is the taking of a life. Now it is hard for me to sit here and type this paper when I know good and well that if my daughter or wife were ever raped I would want whatever was inside of them out -- immediately. I think that to take the life of an unborn just because the couple involved were too lazy to use contraceptives, is immature and quite horrid. In this informative paper, you as a reader will come to understand the facts on abortion and then understand where I stand. Let us begin. According to US Abortion data provided in 1995 by Planned Parenthood, there were 1.8 million first trimester abortions, 180 thousand second trimester abortions, and about four thousand required Hysterotomies. Now according to these figures we, as the United States, killed/aborted 1,984,000 fetus'. Sure we could keep down the increase in our population at this rate, but where would we be emotionally? Speaking from a "my" point of view, I wouldn't get to far. I enjoy children profusely and thinking that there are 1.9 million children less in the world every year sends shivers down my spine. But I guess you may say that it is not my place to speak. There are fewer deaths per million abortions than per million births according to the Planned Parenthood survey of 1995. There are nine deaths per million abortion procedures and sixty-three deaths per million births. Both complications and the death rate rise with the age of the fetus. I can understand that these facts portray a much better picture for abortion than carrying to term, but what about the pain that the fetus will feel? According to pro-choice physicians they believe that a certain connection, synaptic, necessary to perceive pain, for the fetus, is not formed until the twenty-eighth week of pregnancy. Others who are pro-life believe that the fetus can feel pain as early as the seventh week. But even though these facts by Planned Parenthood show a better side to abortion as well, nothing can compare to the guilt of the "

England vs. Spain vs. France for Control of New World Essay -- essays

â€Å"The early bird gets the worm, but the second mouse gets the cheese.† Of the three major colonizers who vied for control of North America from the 15th to 17th centuries, it was the early-bird Spanish who got the worm, but after all was said and done, it was England who got the more desirable cheese. After 1763, the English had control of all land east of the Mississippi river and virtually all of present-day Canada. The English were able to gain the upper hand in the conflict for control of North America not only because of military victories, but also because of good timing. The English victory over the Spanish Armada marked the beginning of the British naval dominance in the Atlantic. England and Spain had been enjoying a peaceful relationship throughout the early 15th century. However, the relations turned sour after the Spanish backstabbed an English fleet, led by a British sailor named Francis Drake at the Spanish port of San Juan de Ulua in 1568. Drake, privately encouraged by Queen Elizabeth of England, began pirating the Spanish riches for England from the Caribbean and all along the Spanish held coasts of Latin America. King Philip of Spain, already disgusted by the religious practices of England’s royalty, began scheming for a plan to invade Britain. He sent 130 large vessels, meant to carry soldiers, to the English Channel. The once thought â€Å"Invincible Armada† was annihilated by England’s smaller, more maneuverable and better armed crafts. While the surviving Spanish ships were retreating back home, a rare Sept ember storm devastated the already diminished fleet. With a large chunk of their navy destroyed, Spain did not have enough ships or manpower to control their vast empire. Slowly, their once might... ...rth American domination, now held the entire continent, with the exceptions of Florida, Mexico, and the Californian coast, which still were the possessions of Spain. England had won the struggle for North American dominance. England won the European struggle for control of America because of their timely military victories along with a people who, at that time, were ready to expand their horizons. They defeated the Spanish Armada when and where Spain was most vulnerable. This coincided with the fact that the English people, of high and low stature, needed a new place to go while recent technological advancements made it possible for them to get there. Once there, the British were able to protect their own colony while also securing more land for the English Crown. Spain definitely got the worm, France sprung the mousetrap, and England got the cheese.

JetBlue Case Analysis Essay

External Environment To evaluate the external environment of JetBlue airways we will use the PESTEL analysis. PESTEL analysis stands for â€Å"Political, Economic, Social, Technological, Environment and Legal analysis†. Political Factors How and to what extent the government does intervenes in the economy. Political factors can be tax policy, labor law, environmental law, trade restrictions, tariffs, and political stability. Political factors that are found in the JetBlue case are: Government monitors the airline industry more scrupulously as a result 60% of airline industry is unionized Heightened sense of consumer information privacy Airport slot/gate allocations Security considerations since 2001 attacks Bankruptcy Economic Factors These factors have major impact on how businesses operate and make decisions. They include economic growth, interest rate, exchange rates, and inflation rates. Economic factors that are found in the case are: 1978 Airline Deregulation Act created intense rivalry between airlines Downturn in airline travel after 9/11 2001 affected most airlines – JetBlue reported 18 consecutive quarterly profits IT Spending continued post 9/11 Fuel costs spiraled, aggressive competition and increased operating costs Availability of venture capital Interest Rates Legacy Airlines exiting bankruptcy and streamlining operations Strategic Alliances Fair Pricing is an important competitive factor JFK Expansion Social Factors Trends in social factors affect the demand for a company’s products and how  the company operates. They include the cultural aspects and include health consciousness, population growth rate, age distribution, career attitudes and emphasis on safety. Social factors that are found in the case are: 2001 Terrorist attacks in US negatively affected airline industry Anxiety about safety at airports Travel has become inconvenient due to safety precautions Internal Culture at JetBlue – Management is hands on – a great place to work Technological Factors The technological factors determine barriers to entry, minimum efficient production level and influence outsourcing decisions. They include ecological and environmental aspects, such as R&D activity, automation, technology incentives and the rate of technological change. Technological factors found in the case are: Aging fleet Diffusion of Technology Digital Revolution – internet does away with ticket agents but allows price comparison Customer service working from home reduces operations costs Environmental Factors These factors include weather, climate, and climate change. Environmental factors that are found in the case are: War, Political Turmoil and Natural Disasters drive fuel prices from $30/bbl. in ‘03 to $60/bbl. in ‘05 Airport slot/gate allocations Security conditions build barriers to ease of travel Legal Factors These factors can affect how a company operates, its costs, and the demand for its products. They include discrimination law, consumer law, antitrust law, employment law and health and safety law. Legal factors that are found in the case are: 1978 Airline Deregulation Act eliminated government control over fares and routes Airport and FAA density regulations Security laws since 9/11 Porter’s Five Forces In order to understand Jet Blue’s external environment, Porter’s 5 forces are a helpful tool in order to evaluation the company’s competitive environment and the degree of rivalry amongst competitors within the aviation industry. The competitive environment will be evaluated in terms of 4 different aspects, namely the bargaining Power of customers and suppliers, the threat of new entrants and new substitutes. The bargaining power of customers within the aviation industry is rather high as there are standard products and services that are less unique and can be easily imitated by competitors. Furthermore, there are only low switching costs incurred for the buyer in general, meaning that there is usually a lower degree of customer loyalty towards one single company and that customers can compare offers easily especially due to the option to purchase tickets online. Suppliers generally have a moderate to high bargaining power within the industry due to the limited number of suppliers which forces aviation companies to choose from the number available and accordingly to accept their prices. In fact, fuel is the second highest cost for aviation companies. There are highly depended on supplier’s prices and the availability which indicates on a relatively high bargaining power of suppliers. In addition, there are high switching costs which are strongly in favor of the suppliers and means that the company experiences an increase in operating costs when switching to another supplier as flying another type of aircraft leads to additional costs (maintenance, training etc.).Aircrafts are vulnerable to delays due to the location of gate locations which leads to a decrease in utilization and therefore to an increase in costs. In terms of the threat of substitutes there are not a lot serious threats and alternatives to products within the aviation in dustry, therefore the threat can be rated as medium. However, private aircrafts can be seen as a substitutes within the industry. Within the transportation industry there are more alternatives for substitutes such as trains, buses, cars and boats. The threats of new entrants is very low as there are certain barriers to entry such as a high amount of investments that are required and it is rather difficult to build up a reliable and trustworthy from scratch as the industry is already dominated by several  competitors. In conclusion it can be said that there is a medium degree of rivalry within the aviation industry due to a rather high degree of bargaining power of customers and suppliers and a rather low threats of new entrants and substitutes within the industry. One of the remedies to avoid high bargaining power of customers would be to try to differentiate from competitors by building a unique and favorable image on the market. On the other hand companies could use the strategy of backwards integration and acquire their suppliers in order to avoid the bargaining power of suppliers. However, those investment decision are always highly dependable on the company’s financial budget, priorities and goals in general. Financial Analysis The following graph is an evaluation of JetBlue Airways and Southwest Airlines based on financial information found on the companies’ income statements, balance sheets, and cash flow statements: Jet Blue As you can see, JetBlue is consistently below Southwest on the ratios. JetBlue’s liquidity ratios have decreased over the last three years and could be considered worrisome. However, we know that the fleet is aging and the company is making investments to replace the old fleet and expand the fleet. This is a very reasonable cause for the decrease in these ratios. JetBlue’s equity multiplier is higher than Southwest. At first, you might think this is better. However, a higher equity multiplier is not a good thing. A high equity multiplier means that a company finances a larger portion of its assets through its debt. Therefore, southwest has a better equity multiplier. While JetBlue’s net profit margin is slightly lower than Southwest’s, it is in line with the industry average of 3.2%. JetBlue’s return on equity is also in line with the industry average of 8%. JetBlue has a high capital intensity ratio which is okay because, as an airline, they require a large amount of capital to operate. Overall, the financial ratios are lower than Southwest’s but they don’t show any problems that don’t make sense. The net profit margin, return on assets, and return on equity have all improved over the last three years. The cash coverage ratio is also improving. The finances seem to show that the company is improving and is stable. Strengths When we look at the case JetBlue shows several strengths. One of the most important is customer satisfaction; they satisfy their customers by being a low-cost airline but at the same time offer excellent experience (the  JetBlue Experience). They have new airplanes (that keep the operational costs low) with inflight entertainment systems, their customers get a drink and a snack and their employers are involved and motivated. JetBlue is an innovative company, for example they were the first North-American airline company that used electronic ticketing and they introduced the first paperless cockpits. Weaknesses When analyzing the company internally we also see several weaknesses. From the case it became clear that the company had problems with facing mass cancellation; a weak reservation system and also no baggage handling systems. The company got high debts because of the rising fuel prices, and also because of the compensations that they gave their customers after making mistakes. Currently the baggage handling system works properly and their online reservation systems are also improved. Another weakness of JetBlue is that is focusses on the middle class of society, therefore they do not have many high class people that are willing to spend more. Opportunities The company is also influenced by external factors, and we will first discuss the opportunities for JetBlue. The case made clear that JetBlue is getting more and more interline agreements with other airline companies. Due to this fact JetBlue will have more destinations to fly to and they can also make reservations under each other’s names. It is therefore wise that JetBlue keeps making new interline agreements with the bigger airline companies. Another opportunity for JetBlue is technological improvements, since JetBlue is an innovative company they like to try new things out such as they did with the paperless cockpit. Also the deregulation of international air travel and loosening laws and regulations are opportunities for JetBlue. There are a lot of regulations around air travel, especially after the terroristic attacks on 9/11 and also the tax laws influence the company. Whenever these will become looser the company will have less expenditures. Threats When we evaluate the external factors that are influencing the company we also find several threats. One of the biggest threats for the airline  industry are fuel prices, since they are the biggest costs for an airline company. Another threat for the airline industry are terroristic attacks, after 9/11 the customers got afraid of travelling by plane. Also all the safety procedures make travelers rather want to use another way of transportation, such as the car or train. Financially the high user taxes and currency changes also influence the airline industry. TOWS Analysis After evaluating the SWOT analysis we can now look at the externally-focused TOWS analysis. The TOWS analysis matches external opportunities and threats with internal strengths and weaknesses. Maxi-Maxi Strategy How can you use your strengths to take advantage of the opportunities? If we compare the strengths and opportunities of JetBlue, some of the strategies they could implement are: Focus on the technology improvements; JetBlue is an innovative company and they like to try out new technologies. They can make the JetBlue experience even better than it already is. Focus on the interline agreements; when JetBlue has more interline agreements with other airline companies their customers will have more choice of countries where they want to go, it will also be easier for them to make a reservation. Lower the operating costs; whenever the law and regulations will be in favor of the airline industry the company can lower its operating costs and therefore also lower their prices. Maxi-Mini Strategy How can you take advantage of your strengths to avoid real and potential threats? The strengths that JetBlue could use to avoid real and potential threats are: Focus on technological developments; again they should focus on this for example they could maybe develop new security check machines that are easier to use and also safer to avoid terroristic attacks Develop the JetBlue experience; there is intense competition in the airline industry, however JetBlue should differentiate itself by improving the JetBlue experience which is already known for excellent customer service, friendly personnel, new planes, entertainment systems etc. If they improve this experience and keep focusing on being a low-budget company they will win  more customers. Mini-Maxi Strategy How can you use your opportunities to overcome the weaknesses you are experiencing? There are several opportunities that JetBlue could use to overcome the weaknesses that they are experiencing, such as: Loosening laws and regulations; whenever the regulations will be looser the turnaround process of the airplanes will be easier and faster. New technology; the new technology could help the company to improve the online presence. The online presence was in the case really bad but currently they already improved this. However E-business and M-business is getting more and more popular so it is always wise for a company to keep on track with this by improving their online systems. Mini-Mini Strategy How can you minimize your weaknesses and avoid threats? The strategies that JetBlue should use to minimize its weaknesses and threats are: Improve the systems; some of the weaknesses are weak baggage handling systems and online presence. Also in the case it became clear that JetBlue faced problems with mass cancellation. This could all be improved by implementing ERP systems so that it is clear what is exactly going on in the company. For online presence they should have an IT department that focusses on that. Improve safety systems: there are a lot of safety procedures because of the fear of terroristic attacks. The airplane industry should invest in have safer and easier systems to improve the safety of its travelers. Differentiate itself from other airline companies; there are a lot of airline companies and this causes intense competition. However if JetBlue makes sure that they offer their product in an exclusive way the company will win customers. Balanced Scorecard In the following we will establish a balanced score card for Jet Blue by collecting and analyzing data on the company’s current performance. The overall goal of the balance scorecard is to analyze the gathered data and compare it to the desired performance and strategic goals. Furthermore it is a helpful tool to align business activities to the company’s current mission and vision. At large, there are 4 major perspectives that are analyzed during the balanced scorecard which are the customer, internal business,  innovation& learning, and financial perspective. In terms of the internal Business Perspective it becomes clear that Jet Blue has one of its major core competencies in quick turnarounds. One of the main reasons for this is the â€Å"paperless cockpit† innovated and introduced by Jet Blue itself. In fact, the paperless cockpit ensures faster takeoffs by reducing paperwork which eventually leads to quicker turnaround rates, as well as higher aircraft util ization. Jet Blue’s high completion rate is another significant competence of the company’s business operation (rate of 99.6 % compared to 98.3% at major airlines). Furthermore, the Jet Blue would keep operating costs low by integrating a less costly plane, the A 320, which is significantly less costly than the Boeing 737. In addition, the A 320 is more fuel-efficient, requires less maintenance costs, and training costs are kept at a lower level which leads to an overall decrease in operating costs and enables the company to offer less costly tickets to the end-customer. However, Jet Blue aims at renewing its fleet expansion in 2012. The airline planes to purchase the A321s and A320neo. Besides, the company had to deal with major system issues in regards to the baggage-handling system, online rebooking system, the sabre airline solution applications which caused significant delays in daily operations and lead to dissatisfaction among customers. Another perspective of the balanced scorecard that needs to be analyzed is the customer perspective. The company markets its service package as the â€Å"Jet Blue experience† which includes the new aircraft, variety of TV channels& movies, leather seats and more leg room. Furthermore, Jet Blue adds value to its customers by offering services such as priority boarding. The company, in fact positions itself as a low-price company, but focuses strongly on customers services (the ‘Jet Blue experience’) as well. This strategy enables the company to differentiate themselves from their competitors and adds unique value to their products. However, after the operations meltdown of 2007, customers lost trust in the company. For the future, significant changes are needed to restore customer’s trust. In terms of the company’s financial perspective it can be said that company’s liquidity ratios have been decreased over the past 3 years and could be considered worrisome, however, as Jet Blue plans to replace its fleet there is a reasonable cause for the decrease. Furthermore, Jet Blue’s equity to debt ratio is still below the average which indicates  on a lower amount of equity financed by banks and is therefore favorable. Jet Blue’s return on equity and net profit margin are in line with the industry average and therefore refer to stability. The net profit margin, and return on equity have all improved over the last three years which indicates on the profitability of the company. The cash coverage ratio has improved as well which refers to Jet Blue’s liquidity. Also the return on assets ratio has been improving and is above the industry’s average (3% compared to 2.46 % in 2013) which refers to a preferable efficiency of the company. The finances seem to show that the company is improving and is stable. Regarding the innovation& learning Perspective it becomes obvious that Jet Blue launched several solutions and systems. The paperless cockpit, for instance, that has been explained in a paragraph above is one of the innovations that Jet Blue launched on the market. In addition, less-congested airports reduced the airline’s turnaround time. Other innovations that facilitated operations and made services more customer-friendly are the tickets and mileage statements that do not require paper anymore. According to the article ‘Jet Blue airlines: getting over the blues ‘, ‘†¦innovation has been everywhere.’ Subsequent to the operations meltdown and the financial breakdown of the company in 2007, Jet Blue attempted to initiated strategic changes within the company by significant capital reduction from 2010 to 2011, a change of the CEO, a renew in flight expansions, partnering up with former competitors, and selling $42.6 of common stock to the German carrier (Lufthansa). Generally, measurable key performance indicators need to be established in order to evaluate the company’s performance. The financial ratios are the means within the balanced scorecard to evaluate the company’s perspective. The customer perspective could be evaluated in terms of market share, customer satisfaction scores, and customer loyalty scores. The internal business perspective can be measured in turnaround rates and completion rates for instance. Number of innovations, an improvement index, or number of employee suggestions can be used to put the innovative& learning perspective into tangible terms. As a result, the company needs to restore customers trust and loyalty, improve on internal operating systems in order to regain former financial strength in the future. Especially, the reliability of the company’s operating system needs to be secured in order to avoid another  major meltdown in the future. Furthermore, the company needs to find adequate strategic changes in order to ensure compliance with Jet Blues current mission, â€Å"Bring humanity back to air travel† which is currently pursued by a low-cost strategy in combination with a strong focus on customer-services and compare current performance to desired performance, however the company’s goals and targets do not become clear from the case.