Whole Foods Market ( Wfm ) Essay - 1191 Words

Whole Foods Market (WFM) is a leading natural and organic food supermarket founded in Austin, Texas by four local business people: John Mackey and Renee Lawson Hardy, owners of Safer Way Natural Foods, and Craig Weller and Mark Skiles, owners of Clarksville Natural Grocery. WFM opened its first store in 1980, they staffed their first store with only 19 workers, the store was an immediate success partly because at the time there were less than half a dozen organic stores in the entire country. The original WFM store opened on September in 1980 after Safer Way and Clarksville Natural Foods partnered, the 10,500 square feet location was quite larger than the standard health food store of the 80’s. The business had its first hiccup a year after they opened their doors, their entire inventory was lost and most of the equipment was damaged by a historic flood that devastated the city of Austin. The owners did not have insurance but they were able to quickly get back on their feet d ue to the volunteered help of neighbors and customers as well as the help of creditors, vendors, and investors who provided breathing room for them. The store reopened just after 28 days of the flood. The expansion of the business happened quickly in the late 80’s. New locations appeared in Houston and Dallas, then New Orleans. In 1989, WFM expanded to the West Coast and opened a store in Palo Alto, CA. WFM started acquiring several different natural foods chains such as Wellspring Grocery ofShow MoreRelatedHow The Whole Foods Market ( Wfm ) Is A Model Company For Corporate Social Responsibility Essay1628 Words   |  7 PagesBefore viewing the videos, I thought of how Whole Foods Market (WFM) is a model company for corporate social responsibility. I am therefore not surprised that the company was the first to endorse Honest Tea. Seth Goldman, CEO of Honest Tea, echoes some of the very same sentiments that John Mackey, founder of WFM does with regards to the purpose and mis sion of his company. Per Goldman CRS is the focal point of how Honest Tea is managed and the motivation behind the business is not to see, â€Å"how manyRead MoreThe Fresh Market652 Words   |  3 PagesFor â€Å"The Business Model† Slide:  · The Fresh Markets financial results show a tangible manifestation (outward or perceptible indication) of a retail strategy that has worked over the past several years to appeal to a shopper looking for a specialty experience and specialty products.  · Although The Fresh Market is often compared to Whole Foods, this comparison is only valid based upon the customer demographic shopping within the store. o Whole Foods is a more mature retailer that has achievedRead MoreWhole Foods Mission Statement Essays1332 Words   |  6 Pagesbusiness is to make a profit and in order to do this; the business must find a way for their customers to spend money in their firm. Whole Foods Market  ® incorporates many of the guide lines discussed in the readings; however, their mission statement exceeds the two page recommended length. II. BODY OF WORK (a) The importance of a mission statement. Whole Foods Market  ® follows the basic guidelines for a mission statement with the most important aspect, motivation. This motivation was not only justRead MoreThe Organic Foods Segment Of The Retail Grocery Industry1446 Words   |  6 Pages(Morecroft, 2007). The organic foods segment of the retail grocery industry conforms to this idea in a significant way. The factors that influence production, sales, and profitability in this segment are closely interlinked. Consequently, changes in just one of the critical factors can trigger changes in other factors, affecting the systems overall performance. This paper will identify and analyze one balancing loop, and one reinforcing loop for Whole Foods Market (WFM) systems that are critical toRead MoreWhole Foods Market: It’s Organic Essay1365 Words   |  6 Pagesthe co-founders of the current Whole Foods Market, simply wanted to provide quality healthy food to the American consumer. This was about three decades ago when the first store opened. According to Mackey, making money was not the first priory, but helping people to eat better was. Happily for Mackey and Lawson, the residents of Austin Texas were hungry, no pun intended, for just this type of product. At the time, though there were several small independent healthy food stores, there was not a fullRead MoreWhole Foods Market, Inc.1304 Words   |  6 Pages Whole Foods Market, Inc. (WFM) was founded in Austin, Texas and is a supermarket chain concentrating in organic and natural foods. John Mackey, Rene Lawson Hardy, Craig Weller. The first store opened on September 20, 1980. Whole Foods Markets are located in the United States, Canada and the United Kingdom. Since 1980, Whole Foods Market has remained committed to upholding their missions and values within their company. Whole Foods Market’s motto—â€Å"Whole Foods, Whole People, Whole Planet—emphasizesRead MoreThe Company Whole Foods Market1560 Words   |  7 Pagesassignment, I chose the company Whole Foods Market (WFM) which deals in selling products that are organic and fresh to its customers. WFM was founded by John Mackey and Renee Lawson Hardy, owners of Safer Way Natural Foods, and Craig Weller and Mark Skiles, owners of Clarksville Natural Grocery in Austin, Texas where the original store opened in 1980 and consisted of a staff of only 19 people. WFM was founded because those four local businesspeople decided the natural foods industry was ready for a supermarketRead MoreWhole Foods Market Corporate Social Respinsiblity(CSR) Essay1724 Words   |  7 Pagescause. The Whole Foods Market (WFM) is the perfect example of how the use of the CSR works for a company. To understand how stores like the WFM influence society’s move towards sustainability and healthy living, it is important to look at the stores CSR strategy portrayed through their advertising, such as their website. In my paper I hope to further the conversation about the use of the corporate responsibility strategy for businesses to help themselves and society. When stores market a societalRead MoreWhole Foods Market : Whole Food Market2993 Words   |  12 Pages Comparing Two Retail Companies Company A: Whole Food Market Whole Foods Market (WFM) is leading natural and organic food supermarket in the world. It started as one-store entrepreneur shop and has since grown into an $8 billion a year. By 2008, Whole Food Market had 264 stores in the United States that host its headquarters. It had six stores in Canada and five stores in the United Kingdom (Harbin, 2000). It is located in an area of 80000 square foot flagship store in Austin. The CEO and founderRead MoreMarketing Plan For Whole Foods1441 Words   |  6 PagesWhole Foods Name: Course: Tutor: Date: â€Æ' Whole Foods Introduction In United States, study shows that Whole Foods Market (WFM), Inc is one of the largest natural foods supermarkets chains that offer citizens various services. The firm enjoys strong brand name recognition in the natural foods niche market that is growing significantly. The company uses SIC Code 5411 in the grocery stores. According to Whole Foods Company, natural foods are those foods that are processed at a tiny extent or foods that

Online Shopping And The Future Of All Business - 1936 Words

Popularized by websites like Amazon and eBay. Online shopping and the virtual store may be the future of all business. Online shoppers spent an estimated 126 billion in the U.S. alone in 2013. Seeing exponential growth in coming years, Many major retailers have already made efforts to set up online shops. Retail juggernauts like Walmart and Target have thrown their hats into the online arena with websites of their own. Many more entrepreneurs have begun creating entire businesses online. The reasons to take your company digital may be plentiful. As more of the world gains access to the internet even more markets become accessible. With the advent of drone technology and better delivery methods online sales and logistics are becoming easier and more cost efficient. Also online stores and warehouses require less manpower making them cheaper. But a major impact of this growth is the decline in recent years of big box retailers and subsequently the fall of The Mall. As more consumers choose to do their shopping online many retailers and shopping centers are being left behind. As the number of failing malls begin to rise and consumers choose in larger numbers to forgo the lines and do their shopping online, it is a trend that we predict will grow in importance and impact in the coming years. So in this paper, we will discuss online retail and e-commerce as a whole. We will look at it’s history and current impact. Then we will make someShow MoreRelatedOnline Shopping And The Future Of All Business1867 Words   |  8 Pageswebsites like Amazon and eBay. Online shopping and the virtual store may be the future of all business. Online shoppers spent an estimated 126 billion in the U.S. alone in 2013. Seeing exponential growth in coming years, Many major retailers have already made efforts to set up online shops. Retail juggernauts like Walmart and Target have thrown their hats into the online arena with websites of their own. Many more entrepreneurs have beg un creating entire businesses online. The reasons to takeRead MoreEffects Of Online Shopping For Brick And Mortar Stores906 Words   |  4 Pages The Effects of Online Shopping for Brick-and-Mortar Stores Retail businesses and other small businesses have seen a huge drop in sales due to the convenience and simplicity of shopping online when and where the customer wants too. According to Market Line’s 2015 Industry Profile, Table 4 and Figure 4 show the expected percent of the retail sector value to grow 10.5% by the year 2019 and to reach a projection of 574.5 million dollars. (Market Line) The retail businesses and other small businessesRead MoreThe Future of Online Shopping1047 Words   |  4 PagesThe future of online shopping: Welcome to the matrix? Shopping online is about to blow up. Retailers of all types are increasing product offerings, adding in-store pickup, free shipping and testing social media. Its getting harder to tell pure play Internet retailers from the bricks and mortar shops with online portals, and all of them are reinventing how well shop online in the future (Heller, 2011). Whether it is by way of a mobile device, tablet computer, in-store kiosk or computer, theRead MoreDiffernce Between Online and Physical Shopping1194 Words   |  5 PagesIntroduction Online shopping or online retailing is a form of electronic commerce whereby consumers directly buy goods or services from a seller over the Internet without an intermediary service. An online shop, eshop, e-store, Internet shop, webshop, webstore, online store, or virtual store evokes the physical analogy of buying products or services at a bricks-and-mortar retailer or shopping centre As we know that online shopping is the easy way shopping but also there are certain advantages asRead MoreEvaluate How Future Changes in Economic, Political, Legal and Social Factors May Impact on the Strategy of a Chosen Organisation997 Words   |  4 PagesEvaluate how future changes in economic, political, legal and social factors may impact on the strategy of a chosen organisation Changes in a number of different factors can affect the way in which the business is run in the future and this could mean that the business has to look into different ways of tackling problems, which would mean they have to forecast what they believe the future is going to be like. Tesco as an organisation is constantly expanding because of the amount of people who needRead MoreOnline Shopping versus Traditional Retail Store639 Words   |  3 PagesOnline Shopping vs. Traditional Retail Store One of the most debatable decisions for most Americans during the sale event or holiday is whether to shop or not to shop. Especially, when considering that some of the online shopping websites such as Amazon and eBay are established. To shop online or to shop in the store has become a more practical question. I used to be a traditional shopper, but I changed my mind sometime over years since I found that shopping online is much cheaper and more convenientRead MoreImpact Of Online Shopping On Businesses1439 Words   |  6 Pagesthat applies in Australian workforces. The issue is the impact of online shopping and what effects it has on businesses. According to Australian Bureau of Statistics, 43% of Australians use the internet to buy products and services . This states that the internet is changing consumer shopping habits fast, and most likely, forever. As reported by the National Retail Association, 50,000 people will lose their jobs due to internet shopping . These statistics wil l significantly affect the work place withRead MoreBackground. Today, People Are Engaging In E-Commerce More1742 Words   |  7 Pagesareas of business including retail, services, wholesaling and manufacturing. The growing acceptance of the Internet and e-commerce in the early 1990’s changed the way people shopped, shifting consumer preference from traditional to online shopping. With the introduction of personal electronic devices and more readily available wireless internet, Amazon’s customer membership continues to grow. As online retailers continue to experience high demand among American consumers, small business owners areRead MoreAmazon s Major Competitors Are Divided1086 Words   |  5 Pages C. Shawn and Peilan Amazon’s major competitors are divided in two parts. The first part is physical stores such as Walmart or Target. The second area of competition is through the online market eg; EBay and BestBuy. As opposed to Amazon, customers in a physical store could have more comprehensive experience, especially for specific products like clothes and electronic devices. Some customers need to be able to see and try the product themselves before feeling comfortable enoughRead MoreE Commerce : A Market Scale1690 Words   |  7 Pagesfor other activities and it is not only tedious but time consuming to go out shopping in physical stores. In a market scale this could be an astounding figure providing enormous market space. E-business can be used interchangeably with the term E-commerce with occasional use of the term e-tail to refer to online retailing activities. In a retail interest shopping carts are normally established upon which customer shopping habits and preferences can be monitored although some entrepreneurs using the

Guilty All The Same by Linkin Park free essay sample

On March the seventh this year, Linkin Park made their long awaited comeback with their new single â€Å"Guilty All The Same† from their upcoming album â€Å"The Hunting Party†. I was sceptical about the song, since Linkin Park’s last two albums and their remix album were too close to EDM for my liking, and like many other fans, I had wanted another Hybrid Theory. So when I heard how guitar driven the song was, and the complete lack of electronics, I was blown away, since I did not think I would ever get to hear another Linkin Park song that I enjoyed. Then my excitement grew when I saw Linkin Park interviews where the band would say that the band were trying to make modern punk, and avoid the new indie-pop that is currently popular. I thought this was a brilliant idea. But then I started to judge the song on the actual quality of the song, and not the concepts behind the song. We will write a custom essay sample on Guilty All The Same by Linkin Park or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page I found that the song is rather basic instrumentally, and vocally overly repetitive. While the song is still relatively catchy, I feel like Linkin Park could have done better, and if this is the first single then I am slightly worried for the rest of the album, however a song with Daron from System of a Down might save the album Rating: 3/5

Being Professional Nurse

Question: Discuss about theBeing Professional Nurse. Answer: Introduction: The unsatisfactory professional conduct definition applies to the case study since the conduct of a nurse practitioner failed to meet of the reasonable standards that is accepted by the laws. According to New South Wales consolidated Acts, unsatisfactory professional conduct of registered health practitioner refers to the conduct demonstrated in skills, care excised or knowledge ether in omission or act that is below the reasonable professional standard. In the case study, the nurse shows unsatisfactory professional conduct. Firstly, nurse in case study failed to recognize the worsening health condition of the patient, failed to document assessment and plan of action despite the critical health condition of the client (Savage, 2015). The applicable law was National Laws section 139B meaning of unsatisfied professional conduct of Registered Health Practitioner Law (NSW). Conduct pathways notifications are notifications received that relates to the conduct of professional health practitioner. Factors in the case study that make case to fit the conduct pathway criteria include the misconduct of practitioner and omissions. Case involved misconduct of nurse that failed to provide medical assistance, escalation and document assessment despite client medical condition. Furthermore, practitioner failed to escalate the declining health issue to the health service manager. The practitioner exhibited unsatisfactory professional character and numerous omissions that are not in line with their professional training leading to death (Nursing and Midwifery Board of Australia 2008). Nurse needed to have done emergent medical review, provided immediate assistance, provided faster clinical assessment of the patient for accurate diagnosis and escalates the worsening health condition Health Service Manager to obtain immediate medical intervention. Firstly, the nurse is would have done emergent medical review due to patients blood pressure and respiratory rate examination result. Secondly, nurse need to have provided immediate assistance due to continuous abdominal pain which indicate deterioration in health. Thirdly, as a professional nurse there was need for faster clinical assessment by medical doctor as the patient was in red zone which require assessment with 10 minutes to prevent worsening health condition of patient. Finally, nurse would have escalates the worsening health condition of the patient to Health Service Manager for immediate medical assistance of the patient (Pairman and Pincombe et al 2015). Medical doctor, laboratory personnel and pharmacist needed to be involved in the coordination of care. Medical doctor would be administering the necessary treatment for the patient. Medical laboratory personnel need for blood and other required medical diagnosis for the patient. Blood diagnosis would have provided the immediate conclusion on the nature and identity of the disease. Finally, pharmacist would obtain the recommended medications for emergent treatment of the patient. The three health care team officers were needed since septicemia is life threatening diseases that need emergency identification and treatment (Andre and Heartfield 2011). There are a number of mitigating factors that reduced the individuals accountability in the case. Firstly, nurse was busy the afternoon when the patients condition was worsening. Secondly, nurse was attending and administering medicine to another emergency patient. Thirdly, patient had been given antibiotics by medical doctor and therefore hoped patient will improve. Fourthly, the regular doctor was not available and was to arrive later. Fifthly, there was lack of clear policies for emergency doctor to attend other patient. Finally, nurse was not aware that at time of red zone policy a doctor should be called to provide medical assistance despite training on the Between the Flag policies (Nursing Midwifery Board of Australia 2010). According to NMBA Codes and standards, Standard 1 statement 1:1 part requires one to assess complex unstable health care need of patient. This was not the case since the practitioner shows minimal concern on the continuous unstable health condition of the patient. Furthermore, the nurse did not asses the impact of co-morbidity and interprets assessment information correctly. This would have help change the plan of action to have the patient transferred to well equipped facility on time and therefore breach the expected standard of practice of nurse (Nursing and Midwifery Board of Australia 2006). Standard 1 statement 1:2 requires timely use of diagnostic investigation for clinical decision making. In the case study, nurse did not exhibit timely response and effective communication of the patient deteriorating health. Furthermore, escalation of the issue to the health care officer in charge was not done in time. The transfer of patient to another better health facility also failed despite several attempts. Standard 2 Statement 2:1 indicates the need to translate evidences into plan of care which was not the case as the nurse ignored the medical examinations evidence of worsening patient health. The nurse did not do the medical review despite unstable blood pressure and respiratory rate and continuous diarrhea. In addition, the nurse was supposed to take personal responsibility to evaluate medical examination findings for correct decision making. Standard 4 Statement 4:1 is based on evaluating outcomes of personal practice. Nurse was required to document treatments or interventions accordingly yet the practitioner asses the patient but fail to document the result. It was also expected that the nurse on duty should apply evidence available to identify appropriate outcome measures. The declining health of patient was placed patient at red zone as described in the between flag policy yet the practitioner did not document this result (Chang and Daly, 2016). Professional behaviors such as faster response, personal concern, observational skills, medical assistance and good communication skills would made the situation different. Firstly, the worsening health of the patient required faster response in attending the patient (Nursing Midwifery Board of Australia, 2010). Secondly, continuous pain would attract the nurse to personal concern that is necessary for patient care. As professional nurse immediate plan of action was required to reduce complications of the septicemia due to delayed treatment. This professional behaviour would attract different plan of action for instance, severe septicemia require patient admission into the medical emergency facility. Thirdly, good observational skills during examination, assessment and provision emergent plan of action or medical assistance would have further change the situation. Based on nurse experience it was important to communicate deteriorating health to health service manager (Stein-Parbury, (2014). Moreover, due to the declining of patients health condition the nurse was supposed to have close interdisciplinary engagement to ensure emergent assistance. Fourthly, provision of faster medical assistance to the client due to the continuous diarrhea and back pain was critical since there was no time for delay. Septicemia required quick administration of broad spectrum antibiotics as medical assistance. I have learned to prepare to adequately to provide all the required care to patient during my professional practice. Firstly, it is my responsibility to provide medical assistance to patient depending on the urgency need of those clients (Pairman and Pincombe et al 2015). Secondly, as a professional nurse my response in time of emergency case is highly required because this is necessary for life threatening diseases. Thirdly, documentation of medical assessment and examination result of patient is importance during my professional practice. Finally, escalating patients declining improvement to the required health care officers is important. This implies that I have to learn both communication and organization polices of hospital. Communication of the patient medical progress as an aspect of care is vital for new graduate nurse. According to Chang and Daly (2016), personal communication skills for graduate nurse is important for facilitating care plan between patient and other health care team officers. Professional nurse is accountable for effective communication of patient progress, deteriorating health and any medical assistance needs to health care officer in charge or to the medical doctor. In addition, nurse is accountable for documentation of patients medical assessment or examination. New graduate nurse need to learn the necessary organization culture and for ease of communicating patient condition to other health professionals. Reference American Psychological Association (2010), Publication manual of the American Psychological Association (6th ed.). Washington, DC: American Psychological Association. Andre, K. and Heartfield, M. (2011), Nursing and midwifery portfolios: Evidence of continuing competence (2nd ed.). Chatswood, Australia: Elsevier Australia. Chang, E. and Daly, J. (2016), Transitions in Nursing: Preparing For Professional Practice (4th ed.). Chatswood, Australia: Elsevier. Dempsey, J., Hillege, S., and Hill, R. (Eds.) (2014), Fundamentals of Nursing and Midwifery: A Person-Centred Approach to Care. Sydney, Australia: Lippincott Williams Wilkins. Duchscher, J. (2008). A process of becoming: The stages of new nursing graduate professional role transition. The Journal of Continuing Education in Nursing, 39(10), 441-450. Ebert, L. and Gilligan, C. et al (2014), They have no idea what we do or what we know: Australian graduates perceptions of working in a health care team. Nurse Education in Practice, 14(5), 544-550. Fry, S. Johnstone, .J. and the International Council of Nurses. (2008). Ethics in nursing practice: A guide to ethical decision making (3rd ed.). Oxford, UK: Blackwell Publishing. Nursing Midwifery Board of Australia (2010), A nurses' Guide to Professional Boundaries. Canberra, Australia: ANMC Nursing Midwifery Board of Australia, (2010), National framework for the development of decision-making tools for Nursing and Midwifery Practice, 2007. Canberra, Australia: ANMC Nursing and Midwifery Board of Australia (2008), Code of professional conduct for nurses in Australia. Nursing and Midwifery Board of Australia (2006), National competency standards for the registered nurse (4th ed.). Nursing and Midwifery Board of Australia, Australian College of Nursing Australian Nursing Federation (2008), Code of ethics for nurses in Australia. Nursing and Midwifery Board of Australia (2010), A midwives' guide to professional boundaries. Canberra, ACT: ANMC Pairman, S. and Pincombe, J. et al (2015), Midwifery: Preparation for practice (3rd ed.). Chatswood, Australia: Churchill Livingstone. Savage, P. (2015), Legal issues for nursing students: Applied principles (3rd ed.). Frenchs Forest, Australia: Pearson Australia. Staunton, P. J., and Chiarella, M. (2013), Law for nurses and midwives (7th ed.). Chatswood, Australia: Churchill Livingstone. Stein-Parbury, J. (2014), Patient and person: Interpersonal skills in nursing (5th ed.). Chatswood, Australia: Churchill Livingstone.

The Ancient City Of Pompeii Is Best Known For Being Covered By An Erup

The ancient city of Pompeii is best known for being covered by an erupting volcano and being almost forgotten. From the time the city was rediscovered in the 1700s scientists and archeologists have managed to piece together evidence to show not just how people died but how they lived. We now know that before the eruption of Mt Vesuvius on August 24 79 AD Pompeii was a resort town. From the remains of Pompeii scholars have deducted the socioeconomic, religious and political life of Pompeii's last inhabitants. Pompeii was a city where women declared themselves the equal of men. Women could own land, operate businesses, be priestesses and were often educated. Despite these equalities Pompeiian women were still mostly owned by men and from birth knew their position. New born boys were placed at the father's feet while newborn girls were given straight to the nurse. Most girls were bought up by their mothers at home learning weaving and other domestic skills. Upper-class girls however were taught to read and write either at school or at home by slave tutors. It was believed by some that educated women made better wives and mothers. Literacy amongst the upper class (both women and men) was a symbol of status and respect. One of the most famous Pompeiian artifacts the fresco of the merchant Terentius Neo and his wife, depicts her holding a wax tablet and a stylus. Girls were considered grown up by the age of 14 when marriages were usually arranged by their family with the objective of uniting good families. At this time a woman would leave her father's ownership and become the property of her husband. As many women as possible were kept married and bearing children. Women were expected to be married by the age of 20 and it was law to remarry after the death of ones husband. As at this time in Roman history there were fewer females than males so women could marry and remarry with ease. A woman's major role was to be a good wife and mother. Motherhood was considered the esteemed occupation. In Pompeii women often entered into a business partnership with their husbands. They were allowed to keep profits themselves. It was common for a widow to take over her husband's business. Wives of traders and craftsmen often ran the front of the shop while their husbands made the products or dealt with other aspects of the business. Women could own property and could decide how to administer it. Julia Felix is an example of an independent woman who inherited a large fortune in her own right. Tablets found at Herculaneum (a smaller city destroyed by the same eruption) show that women could buy sell and lease but were not allowed to become bankers. Women in Pompeii worked in, owned and operated many of the taverns, inns and bars, which often served as brothels a topic I will cover later. (more detail) Archeologists have uncovered written evidence recording the role of women in the medical profession. These women's status was recognised by law and their fees were regulated. Many women worked in this profession as midwives, physicians and doctors. Records have also been found mentioning husband and wife medical teams. As Pompeii had a large foreign trade it is not suprising that women from the East came to Pompeii selling luxury items such as dyes, perfumes, clothes and food stuffs. Lower class women also worked in the trades. Some worked independently sewing and mending garments, while others worked as bakery assistants or in the fulling mills. However the status of these women was low like their pay rate. Like in most places female slaves existed in Pompeii. These women performed a wide range of tasks depending on the owner's needs. Apart from household duties some of these slave women operated as nannies or wet nurses while others managed their owner's businesses or worked as labourers. Wealthy women had their own personal attendants which was another duty of these slaves. Eumachia was Pompeii's most prominent woman . She came from a wealthy and respected family and rose to hold a position of unusual importance as a priestess. She was also patroness of the fuller's guild (cleaners, dyers and clothing makers).

The role of the US dollar as the worlds reserve currency

The role of the US dollar as the worlds reserve currency The United States dollar has acted as the world’s reserve currency for more than sixty years. According to Carbaugh (2009, p. 519), the US dollar emerged as the world reserve currency after World War II. The United States was not adversely affected by war. In addition, the US experienced an increment in the inflow of gold and during 1930s and 1940s. The resultant effect is that the dollar became the reserve currency.Advertising We will write a custom essay sample on The role of the US dollar as the world’s reserve currency specifically for you for only $16.05 $11/page Learn More Over the past decades, the dollar has been considered to be the ‘almighty’ (Robinson, 2009, p.148). Most governments have over the years considered the US dollar to be an efficient mode of holding currency as illustrated in figure 1. One of the reasons which explain why the dollar has continued to be the world’s reserve currency relates to trade. Tod ay, most governments reserve the dollar in their central banks so as to purchase goods in the foreign market. The US dollar was generally accepted as the reserve currency because the US firms produced high quality goods at low cost. As a world reserve currency, the US dollar’s role was to enhance the level of confidence in trade and investment. In addition, the US dollar has over the years been used by most countries which do not have a gold standard to back their currencies. As a result, the dollar enhances the level of confidence in investors. In most cases, emerging economies have discretion with regard to the reserves they wish to hold. However, they have to hold a currency which instills a high level of confidence on their local currency. This explains why China has liked its Yuan on the dollar. Figure 1 Advertising Looking for essay on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Source: The US T reasury Secondly, the US dollar cautioned countries against balance of payment deficits. Over the past few decades, the US dollar has been relatively stable compared to other currencies. According to Epstein and Graham (1993, p.74), a reserve currency must have a relatively high and stable value. These characteristics make the reserve currency to be an attractive asset and also instill confidence amongst investors. As a world reserve currency, the dollar ensured that countries do not experience balance of payment deficits. From figure 1, it is evident that there was an increment in the volume of dollars accumulated by governments from 1997. One of the reasons for this relates to the occurrence of the 1997 Asian financial crisis. The crisis led to countries such as Indonesia, Thailand and South Korea experiencing balance of payment deficits. As a result, there was an increment in demand for dollars. The first reason for the increased calls for a new reserve currency is the existence of increased global financial instability. For a period of 13 years, the US dollar was considered as the world reserve currency. However, there was a decline in the degree at which the dollar is considered as the reserve currency from 2000 onwards. A report by Peterson Institute for International Economics (PIIE) revealed a decline in the dollar’s share with regard to foreign exchange reserve with a margin of 4.3%. By 2009, the US dollar comprised approximately 60% of the total world reserves. The euro, the yen and pound followed as accounting for less than 30% as illustrated by the graph (Chu, 2010, para. 2). One of the reasons which explain the decline in the prominence of the dollar is the fact that the US is experiencing a budget deficit. The resultant effect is that US has increased its dependence on borrowing to finance its economic. The occurrence of the 2008/2009 global financial crisis illustrates the weakness inherent in the existing international monetary system.Ad vertising We will write a custom essay sample on The role of the US dollar as the world’s reserve currency specifically for you for only $16.05 $11/page Learn More Those arguing for introduction of a new reserve currency system cite the need to develop financial stability. The instability of the dollar has led to increased calls for a new international monetary system to be introduced especially by emerging economies such as China and Brazil. According to Hill (2009, p.54), emerging economies mainly depend on the international trade in order to stimulate their economic growth and development. However, the current reserve system does not offer efficient international liquidity. The resultant effect is that most of these economies were affected by spillovers of global shocks. The emerging economies were adversely affected by the intensity and severity of the resulting financial shock spillovers. Despite the fact that these economies had accumulated a s ubstantial amount of foreign reserves, the shortage of the dollar was a test on the effectiveness of the financial system. The crisis also limited these countries from accessing the international interbank markets in addition to increasing the cost of borrowing foreign currency (dollar). This culminated into a significant decline in these countries rate of economic growth. The second main reason for calls of a new reserve system relates to the Triffin dilemma. Most of the proponents for a new reserve system argue that dependence of a currency of a dominant country as the world’s reserve currency can lead to emergence of the Triffin dilemma (Lee, 2010, p.1). According to Reinert, Rajan, Glass and Davis (2008, p.1143), the most successful developing countries are achieving their success by borrowing financial capital from the international market. The resultant effect is that the lending country experiences a balance of payment deficit. The debt may rise to high levels. This ma y culminate into a decline in the level of confidence on the value of their reserved assets. Katz and Holmes (2008, p.69), are of the opinion that decline in level of confidence means that individuals would not consider the dollar the world’s reserve currency.Advertising Looking for essay on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More On the other hand, the borrowing country continues to accumulate foreign reserves. Currently, there is no system to force the reserve-issuer or the supply country to undertake adjustments so as to fix the imbalance. In turn, this would negatively affect the fixed exchange system culminating into global economic instability (Lee, 2010, p.1). In order to deal with these issues, the International Monetary Fund resolved to introduce a new reserve asset referred to as the Special Drawing Rights (SDRs) in 1969. The main objective was to enhance the fixed exchange regime. ActionAid (2009, p.4), defines SDR to include a form of money which the IMF can develop by crediting accounts of the members. This is done at an exchange rate which is determined by a number of major currencies. The main currencies considered in the SDR include the US dollar, Japanese yen, the euro and the pound sterling. SDR is determined b y calculating the average of the four major currencies using a weighted formula w hich is re-evaluated after 5 years to ensure relevance of the currencies (ActionAid, 2009, p.4). The aim of the SDRs is to improve international liquidity. In November 2010, the IMF decided to review the SDR by adjusting the weights of the respective currencies on the bases f the volume of exports and amount of reserves which are denominated by the currency held by member countries (International Monetary Fund, 2011, para. 7). According to Reinert Rajan, Glass and Davis (2008, p.1020), this new international currency system will enable countries to attain diversification in their reserve holdings. In addition, it is possible to hold SDR at a relatively low cost compared to holding major currencies. Reference List ActionAid. 2009. Special Drawing Rights (SDRs) and the global reserve system. Web. Carbaugh, R., 2009. International economics. Mason, Ohio: South-Western Cengage Learning. Chu, D., 2010. Chinese Yuan versus the US dollar : in the case of global reserve  currency. Web. Ep stein, G., 1993. Creating a new world economy: forces of change and plans for  action. Philadelphia: Temple University. Hill, C., 2009. Global business today. New York: McGraw-Hill. International Monetary Fund. 1996. Annual report. New York: International Monetary Fund. International Monetary Fund. 2011. Poverty reduction and growth facility. Web. Katz, J. Holmes, F., 2008. The goldwatcher: demystifying gold investing. Hoboken, NJ: John Wiley. Lee, J.W., 2010. Will the renminbi emerge as an international reserve currency? Web. Reinert, K., Rajan, R., Glass, A. Davis, L., 2008. The Princeton encyclopedia of the  world economy. New York: Princeton. Robinson, J., 2009. Bankruptcy of our nation: 12 key strategies for protecting your  finances in these uncertain times. Green Forest, AR: New Leaf Press.

British Politics and the European Union Essay Example | Topics and Well Written Essays - 1750 words

British Politics and the European Union - Essay Example As observed by Scheffler (2008: 37), the media has been given whole opportunity to highlight the weaknesses of European Union and as a result, the sense of skepticism has continued to deepen. This has also resulted into the deepening of the differences between the parties in the integration and hence resulting into a more sophisticated debate on the merits of the integration. This is believed to be one of the reasons that have shaped the British approach to Europe which is important as well before one can describe British as an awkward partner in the union (Bache & Jordan, 2006:4). However, these are failures of the government and do not justify the British awkwardness with respect to the affairs of the integration. As stated by Booker & Richard (2003:174), however, all independent nations would want to benefit from all the economic integrations tat they are engaged in and hence would participate in the affairs of such integrations if they benefit. Lack of favoritism policies of the European Union is therefore perceived as a reason for awkwardness.However, as stated by Bache & Jordan (2006:5), the late membership of Britain to the European Union must have cost the nation greatly. Since Britain joined the European Union late after other members states had joined and set rules and regulations, some politicians have argued that the rules were set in favor of the existing members. As a result, Britain has not benefited much from the joining of the integration (2006:5).... dent nations would want to benefit from all the economic integrations tat they are engaged in and hence would participate in the affairs of such integrations if they benefit. Lack of favoritism policies of the European Union is therefore perceived as a reason for awkwardness. However, as stated by Bache & Jordan (2006:5), the late membership of Britain to the European Union must have cost the nation greatly. Since Britain joined the European Union late after other members states had joined and set rules and regulations, some politicians have argued that the rules were set in favor of the existing members. As a result, Britain has not benefited much from the joining of the integration. This means that the policies and regulations of the integration do not benefit the nation. The rules that were set in favor of the founding members states therefore presents a technical constraint to Britain and hence presents it as an awkward member. This reflects the fact that the political practices as well as the constitutional attitudes of the founders of the European Union are different from those that the United Kingdom was accustomed. The relationship between the integration and the United Kingdom is therefore very difficult as the nations and the Union’s policies and constitutions are not homogenous. The differences in the constitution have therefore presented difficulties with regard to the United Kingdom’s relation to the integration. For example, the basis of the European Union is the separation of the powers of institutions as well as political coalitions unlike the British’s emphasis on centralized state, an adversarial â€Å"winner take all† as a style of party politics and the informal constitution. In this context, it is difficult for the nation to benefit adequately