14th Amendment

As a general rule, most Americans view the constitution as the directing light of our nation. Ongoing occasions happening in our national political decision no uncertainty demonstrate that. There are numerous significant changes to our Constitution viewing our privileges as residents and the appointment of forces to branches and states. In any case, I accept that the fourteenth amendment is the most imperative to our constitution. At the point when the fourteenth Amendment was endorsed in 1868, it recast our Constitution, far outperforming the significance of any alteration before it or sense. There are a few essential unlimited rights that are allowed to everybody in the prelude of the Constitution. They are the rights to life, freedom, and property. We are likewise ensured a reasonable and fair treatment of the law as expressed by the fifth alteration. This carries our country more closer to add up to correspondence than any other time in recent memory. Despite the fact that there will consistently be segregation, this revision will permit us to be ensured under the law, so that any place we are in our nation, we will be secured and have similar guidelines concerned us that will impact our protected rights. These unequivocal rights, reaffirmed by the fourteenth amendment, are the center structure behind our Constitution. The fourteenth Amendment likewise advances solid brought together government. By restricting the states power, this correction gives more capacity to the administrative part of government. This thusly fortifies the intensity of congress also. Reinforcing America with a superior range in which it can influence its residents is invaluable to our nation. By rewarding all the states similarly, this revision brings the conditions of this country together. One of the incredible characteristics about this revision is that it awards numerous opportunities to the states and as the nation overall. Without the fourteenth Amendment, none of us would be ensured the rights expressed in different Amendments. Segment 1 of the fourteenth amendment expresses that No state will make or uphold any law, which will condense the benefits or insusceptibilities of residents of the United States. This guarantees all residents are liberated from illegal state or nearby activities. It is difficult to acknowledge how life would be if the states could remove opportunities and essential rights as they wished. The entirety of our privileges expressed in the Constitution would then get negligible, in light of the fact that the states would then essentially direct or adjust our supposed rights. The fourteenth Amendment perceives and talks about the most significant right among our kin in this nation: who has the privilege to be a resident. Area 1 of the fourteenth Amendment allows all individuals conceived or naturalized in the United States citizenship. In spite of the fact that the Constitution expresses that all men are made equivalent, before this changes section, just white landowners were viewed as residents. Numerous minorities and individuals without a land title were not secured under the Constitution. The United States puts the estimations of balance and equivalent security high on the social stepping stool. The endorsement of the fourteenth Amendment ensured equivalent assurance under the law all things considered. Albeit some contend that the first Amendment is progressively crucial in giving benefits, without the fourteenth Amendment, a significant number of the inhabitants of the United States would not be conceded the advantages of the first Amendment. In view of the proof introduced, the fourteenth Amendment is, no ifs, ands or buts, the most significant revision to our Constitution. Without this Amendment, the entirety of different changes would in all likelihood be tainted by the states we live in. The fourteenth Amendment is an image of opportunity that America has given us as residents. It was given to us help secure ourselves, yet additionally to help manufacture and unite the entirety of our Constitutional rights, and without this revision, those opportunities as we probably am aware today probably won't have existed. That is the reason I accept that the fourteenth amendment is the most significant and crucial revision to our incredible Constitution.

An Environmental Analysis Of eBay

An Environmental Analysis Of eBay The eBay is associated with web barters; it has been the best organization in electronic closeout that has in excess of 25 million dealers everywhere throughout the world. Because of its notoriety for being a main internet business organization, it is the most serious organization. This organization has made some amazing progress since its beginning by Pierre Omidyar in 1995, it was initially known as Auction Web, it confronted a major test from its first offer of a messed up laser pointer yet now its website page leads in ads of different cluster of products. This is an extensive business technique for eBays e-business activity in a nitty gritty report structure for the eBays CEO. It clarifies the incentive and investigation of the organization, on center skills that the organization gangs. The report keeps clarifying about the investigation of business sectors and assessment patterns of business as far as serious powers of potters five powers. The investigation clarifies the difficulties that are looked inside data and correspondence all inclusive, as eBay business gets worldwide with specific weights on the fundamental procedures of business, and frameworks like client relationship clients, affirmation that is as of now in frameworks of heritage. By and by, ICT framework, productive use combination of B2B, on security and measures. The dangers that are included during advancement stage, for the most part focuses on specialized improvement of item necessities, just as issues managing funds. The odds of market imposing business model because of variables like client test change among others. The significant target that the business may have included; keeping proprietors open to, raising the business development for the business endurance; empowering the endurance of the market toward the start of and during the hard minutes. Another goal may be boosting the benefits, to guarantee that the business is upheld. The basic achievement factors that the investigation discovered were: raising nature of items and creation rates; advancing items and proficient help conveyance and structuring propelled methodologies of publicizing for income support by means of expanding the deals. The investigation found that, the expenses caused by the business toward the beginning of the business incorporates; cost for innovation, mechanical improvement costs, conference charge costs, steering preparing costs, running costs self headway cost, among different expenses. The advantages delighted in incorporate; improved incomes, income increment, correspondence among different points of interest referenced in the report. The present circumstance has presented the business to a particularly serious market with other online business organizations like the Amazon, trailed by a reduction in the client inclinations with most clients leaning toward at merchandise with fixed costs as opposed to unloaded products. The eBay sell off organization has accordingly to put forth attempts to keep up its underlying situation in the market. The eBay organization has significant accomplishments that when rebuilt will assist it with propelling further and accomplish its previous wonder. In 2008 its commercial center section figured out how to produce over $ 5.5 billion when contrasted with 4.8 million which was created 10 years in 1998. It has a large number of individuals that rely upon it for their product. The multi year restoration plan that was planned for making a variety of completely organized commercial centers to viably catch the client request by finding them at one online spot. The alteration of the expense structure to oblige those venders with fixed costs. The alteration of the hunt requesting framework to empower first appearance of the exceptionally appraised traders. Grasping of new innovations, for example, Skype to build correspondence over the web. The endeavors towards extension of the administrations through the securing of sites, for example, the stubHub that is engaged with ticket selling and the prostores that empowers making of the online stores. An Environmental examination of eBay Organization Analysis and Value Proposition The eBay organization has been working web closeout for quite a while. The organization has ascended to higher stature following the web activity business. It made it t mushroom to a major organization managing electronic showcasing over the world. Pierre Omidyar discovered it in 1995 and around then, it was known as Auction Web, getting its name from its capacity. It currently sells a wide scope of merchandise and it has ascended to the top clime of the business world to become on of the most unmistakable and notable sites. The organization has discovered its income grow multiple times in 10 years in the United State ascending from $4.8 million to $5.5 billion between 1998 to 2008. This was acknowledged from selling marketed products. This speaks to an extraordinary development meaning the organization has an incredible piece of the pie. The organization has made a lot of individuals to help themselves by selling through the eBay while a few them utilize the business administration to enhance their salary (Reaves, 2003). Its incentive to individuals is seen by getting the manner in which it has been visited. It rose to be the most visited website at 2008 on the web. Incentive The organization can grasp change to guarantee that it understands its objectives. For instance, the organization in 2009 first quarter income went down and required an extraordinary mediation. The clients leaning toward fixed evaluated retailers brought made the eBay organization to lose gravely. The greater part of the clients picked a progressively basic purchasing procedure that didn't include such things as offering that took the vast majority of their time. They likewise experience an extraordinary weight from their rivals, as there rose such huge numbers of online dealers making the greater part of the purchasers to consider the bartering method outdated. In this manner, in quest for restoring their business they chose to maintain change brought by the clients request. They began an online fixed value deal and began coming out of the closeout part. They likewise made this increasingly serious by bringing together the deal framework by guaranteeing extensive commercial center cluster through their frameworks (Tatnall, 2007). The organization likewise had the option to grasp change by moving its business by joining auxiliary market that offers overload technique. The Companys Core Competencies Account The organization has an extremely solid foundation. This is created from the incomes it gathers from its day by day works. The organization gathers a great deal of income from expenses and commissions related with deals made. The incomes originate from the immediate promoting site while others are from the start to finish specialist organizations. The fund e gotten is made to extend the organization internationally no sweat. This makes the organization to remain at a serious edge in conveying their day by day benefits that requires fund. Cutting edge innovation The organization has furnished the little scope retailers with start to finish administration utilizing PayPal that upgrades business exchange through the eBay. This site assists with forcing a few sorts of expenses on these merchants that incorporate posting and assortment charge of unsold things. They additionally balanced their eBay search requesting framework to guarantee that the profoundly appraised dealers were the person who shows up first to guarantee that they get more introduction. The framework utilized an extremely confused recipe that guarantees thing cost is connected with the purchaser and offered them a spot to rank the vender as indicated by the clients fulfillment. The innovation they have has seen their littler dealers of interesting products that have in the past progressive. The speculator bolstered the move especially making the organization to have an extraordinary move to the correct heading most definitely. Arrangement of Incentives The organization balanced their installments towards the arrangement of their support of their dealers. This move was made to cut in all cases with no gathering profiting than the other. The is made the organization to acquire prominence as more venders had the option to get to the market through the administration give by the organization, thus quick development. Market examination and patterns Evaluation of the business as far as Porters serious powers model. As per the organization, the market investigation can be utilized the five doormen powers. The investigation expect that there five powers that are significant in deciding the serious intensity of the business (Mindtools, 2010). The first is the provider power. The organization has slanted their administrations to the fixed value providers guaranteeing that they slender their providers to little gathering along these lines guaranteeing that they have more grounded business providers. They have utilized the innovation that they need to guarantee that they can interface the providers with the clients. The providers are made to have power as they are made to pick between the costs that have been set for the advertising purposes. The following one is the purchaser power. The organization can assist the purchasers with getting in contact with the providers and to made at that point to have a stage that guarantee them they can rate the dealers as indicated by the cost of the thing they offer. This causes the providers to bring down the costs of the items that they are selling trough the purchasers intercession. Along these lines, the organization can control a wide market run through this procedure. Serious Rivalry The eBay organization has encountered rivalry contention from various organization that offers a similar assistance along these lines making them to have a lessening in the piece of the overall industry. They have attempted to counter this by offering the types of assistance that the clients require subsequent to guaranteeing that they have understood this. They have changed their business focus by acquainting a fixed value stage with guarantee that separated from the bartering framework, they are fit for having another quicker methods for business. This has made the organization to begin being resuscitated. Danger of replacement is another power that the organization needs to manage to guarantee that the clients are not a danger to them by offering comparable support. The organizations can work with exceptionally high innovation to guarantee that the clients are most certainly not

How to Change WordPress Default Admin Username

How to Change WordPress Default Admin Username Most of the WordPress site user get default name Admin as user. Whenever site owner try to sign in to their account then s/he has to use Admin as user. But this name is less secured for the users. Because there are many hacker try to hack WordPress site as a result first they try to hack WordPress account with user name Admin. In this case if we use different user name other than Admin then our WordPress site will be more secured. In WordPress Dashboard you won't able to change Admin name but you can change Nickname and Display name. In this tutorial I will show you the way to change WordPress default Admin user name with another secured name. And the whole process you have to do through WordPress cPanel. Step 1FirstLog into yourWordPress cPanel Step 2Now scroll down and click onphpMyAdminunder Databases. Step 3 Another page will open. And from there click on Connect now! link. In some cPanel it will automatically connect and login with phpMyAdmin page. Step 4Now locate the wp_users and click on it for Browse the page. Step 5 If your site has several registered user then you will see a list of all the registered users in that page. Locate the admin username and click on the Edit link on that line. Step 6 Locate the user_login field and replace admin to your new preferred WordPress login name and hit the Go button at the bottom of the page. That's it, Now it's time to login with your new WordPress user name. So go to WordPress login page and select newly created WordPress username. This will make your WordPress site more secured.

Critique Of A Literature Review Essay - 807 Words

Assignment 1: Critique of a Literature Review The article, â€Å"Evaluation of the Dogs, Physical Activity, and Walking (Dogs PAW) Intervention†, by Richards, E., Ogata, N., Cheng, C. aim to conduct a longer-term evaluation of the ability of the Dogs, Physical Activity, and Walking (Dogs PAW) intervention to increase dog walking among dog owners. The research problem being addressed explores maintenance of physical activity (PA) behaviour change postintervention and whether changes in behavioral theoretical constructs mediated changes in dog walking behaviour. The literature review is appropriately positioned in the research report and provides support for same. The first few paragraphs of the article discusses the relationship between†¦show more content†¦Under theoretical framework, the literature review explains a good amount on SCT and PA, however, it is lacking in how it relates in particular to dog walking. It is not until the next paragraph that the authors me ntion the relationship between pet walking and specifically pet attachment to be relating to health outcomes that can be measureable such as blood pressure, triglyceride and cholesterol levels. Upon a review of the authors’ sources, I have identified that a majority consisted of primary sources. One of the sources cited, Albert Bandura, provides a good deal of credibility in conjunction with several medical journals such as the Journal of Physical Activity Health and Medicine and Science in Sports and Exercise. Many of the sources are extremely relevant to the topic being discussed which in turn provides the reader with pertinent information. One of the other sources which is from Centers of Disease Control and Prevention backs up this article with data pertaining to body mass index calculation and interpretation and information that defines over-weight and obesity. A brief review of the sources identifies a good mix that compliments the article as a whole. After careful con sideration, I have decided that this article is somewhat biased. The purpose is to increase dog walking among dog owners. The target audience is for those who owns dogs; however, individuals with different pets, such as exotic animals like a capybara are excluded. On theShow MoreRelatedReflection Assessment Of Final Draft Points1273 Words   |  6 Pagesreflection of your work. Please do the following: 1. Review Rubric Below 2. Highlight with color highlighter (In MS-WORD or word processor software) if in online class - or circle with color highlighter/pen (something that easy to visually assess quickly) your estimated level of work if in face-to-face class. 3. One level of criteria (either 60%, 70%, 80% or 100%) should be highlighted/circled for each evaluation criteria (Introduction, Literature Review, Theoretical Perspective, Discussion, OrganizationRead MoreThe As A Science For Emancipation871 Words   |  4 Pageswithin the Soviet bloc; it was the theoretical basis for several popular uprisings and revolutionary movements; it was the subject of several political and academic debates; and it was the basis for hundreds of books, dissertations and essays. 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This essay evaluates and critiques three major arguments for the decline in warfare since 1990, examining the human nature approach of Steven Pinker, the shorter-term factors proposed by John Mueller and the alternative â€Å"New Wars† theory championed by MaryRead MoreGender Subjectivity, By Judith Butler841 Words   |  4 PagesThis book features a collection of Judith Butler’s essays and her primary intention with this collection is to â€Å"focus on the question of what it might mean to undo restrictive normative conceptions of sexual and gendered life† (12). These essays look at the construction of gender and the way certain conceptions of it are normalized and reproduced in potentially harmful and limiting ways. Butler uses a feminist poststructural framework to critique the normalizing/marginalizing views of gender thatRead More My Development as a Writer Essays 1352 Words   |  6 Pages My English Literature major has helped me to achieve an outstanding level of appreciation, enjoyment, and knowledge of both American and British Literature. As a high school AP English student, I struggled through great works like Hamlet and To the Lighthouse. My teacher’s daily lectures (there was no such thing as class discussion) taught me merely to interpret the works as critics had in the past. I did not enjoy the reading or writing process. As a freshman at Loras, I was enrolled in theRead MoreEdgar Allan. Poe and H. L. Mencken’s Uses of Humor in Negative Reviews1120 Words   |  5 PagesBoth Edgar Allan Poe and H. L. Mencken can write reviews bursting at the seams with sarcasm and humor. These pieces of criticism speak novels about their judgment of these works that don’t â€Å"make the cut† of perceived greatness, and of the types of people who would indulge themselves with them. However, Noà «l Carrol does not speak about the use of humor in arts criticism, for good or for bad. If we are to use Carrol’s definition of arts criticism, then we can’t judge the effectiveness of Poe and Mencken’sRead MoreCritical Examination of Brooks The Formalist Critics1015 Words   |  5 PagesBrooks starts his essay by listing â€Å"articles of faith I could subscribe to† (Brooks 19) and pointing out statements about literary criticism that might go with a formalist criticism. Yet, he questions that list its end, and seems to complain that his that his writings have been largely misunderstood. What his statements have to do with faith in connection with literature is up to the reader, since in one of his articles he specifically mentions, â€Å"literature is not a surrogate for religion† (BrooksRead MoreHenry Fayol1213 Words   |  5 Pagesï » ¿ Assessment - Essay †¨Ã¢â‚¬ ¨Ã¢â‚¬ ¨Assessment (Essay, 2000 words, 30%) is an individual essay. The assignment requires you to use to build an argument that answers the question â€Å"Is Henri Fayol’s management theory relevant today?† †¨Your argument should be presented as an essay. You may however make use of headings to highlight sections of your work†¨Ã¢â‚¬ ¨Your essay should:†¨Ã¢â‚¬ ¨Define the topic: outline what the report is about and how it will be structured i.e. what aspects are you focusing on and why. a. SpecifyRead MoreCritical Criticism Of Huck Finn903 Words   |  4 Pageseducationally required novel for students to read while in school. Although it is a very renowned piece of literature. It has received its fair share of extensive and bitter criticism. Back in the nineteenth century the book was most commonly described as coarse, vulgar, irreverent, and unrefined. For every negative review there is just as many positives, and whether it’s good or bad reviews Huckleberry Finn is one of the most controversial topics between literary critics. When Twain wrote this bookRead MoreThe Article Fathers Involvement On Children s Services : Exploring Local And National Issues1421 Words   |  6 PagesThis essay will be critiquing the article ‘Fathers Involvement in Children s Services: Exploring Local and National Issues in ‘Moorlandstown’ (Gillina et al, 2012). The article uses qualitative method to establish why fathers are less likely to access children services. It will be using the critical appraisal skills programme (CASP) framework to understand qualitative research to critique this research (CASP, 2013). This framework has been chosen to aid the critical thinking in a systematic manner

Theoretical Framework And Findings From Kenya Example For Free - Free Essay Example

Sample details Pages: 16 Words: 4756 Downloads: 5 Date added: 2017/06/26 Category Finance Essay Type Narrative essay Did you like this example? The corporate governance discourse has attracted global interest. At the onset, the focus was naturally on the highly developed countries, having witnessed the collapse of giant corporations such as Enron, WorldCom Inc., Tyco, Aldephia, Global Crossing, but a few (Jones Pollitt 2003)  [i]  . More recently, due to its apparent significance to an organizations strategic strength and societys wellbeing, attention has been devoted to corporate systems in developing countries (Mueller 2006). Don’t waste time! Our writers will create an original "Theoretical Framework And Findings From Kenya Example For Free" essay for you Create order Knell (2006) and Cadbury (1992) present corporate governance as systems, structured processes, defined policies and institutions that influence the way a corporation is directed, administered or controlled. It includes relationships among principal players such as shareholders, management and the board of directors while recognizing the goals for which the corporation is governed and relationships among other stakeholders including suppliers, customers, employees, banks and other lenders, regulators the environment and community at large. CORPORATE SYSTEM: CONCEPTS, ORGANZATION OBJECTIVES AND FINDINGS FROM KENYA (1500) Corporate governance has attracted a range of definitions. The Cadbury Report (1992) defines corporate governance as the system by which companies are directed and controlled. In their treatise, Metrick and Ishii (2002) describe corporate governance from the perspective of the investor as both the promise to repay a fair return on capital invested and the commitment to operate a firm efficiency given investment Metrick and Ishii argue that firm level governance may be more important in developing markets with weaker institutions as it helps to distinguish among firms. On the other hand, Rajan and Zinagales (1998) define a governance system as the complex set of constraints that shape the ex post bargaining over the quasi rent registered by the firm. In Mayer (1997) CG is seen as concerned with ways of bringing the interest of (investors and managers) into line and ensuring that firms are run for the benefit of investors. Again, CG is concerned with the relationship between the inte rnal governance mechanisms of corporations and societys conception of the scope of corporate accountability (Deakin and Hughes 1997). It has also been defined by Keasy et al (1997) to include the structure, processes, cultures and systems that engender the successful operation of organizations. From these definitions, it may be stated more generally that different systems of corporate governance will embody what are considered to be legitimate lines of accountability by defining the nature of the relationship between the company and key stakeholders. Thus, corporate governance describes gow companies ought to be run directed and controlled (Cadbury Committee 1992). It is about supervising and holding to account those who direct and control management. Shleifer and Vishny (1997) describe corporate governance as the way in which suppliers of finance to corporations assure themselves of getting a return to their investment The elements of corporate governance vary from one countr y to the other and from company to company. Klappar and Love (2002) found that corporate governance provisions at the firm level matter more in countries with strong legal environment. The emphasis placed on various aspects of corporate governance depends on how corporate governance is defined to bring out the key salient features. According to Hendriske et al (2004) corporate governance is the system that maintains the balance of rights, relationships, roles and responsibilities of shareholders, directors and management in the direction, conduct, performance and control of sustainable performance of companys business with honesty and integrity in the best long term interests of the company, shareholders and business community stakeholders. The capital markets authority (CMA) provides a comprehensive list of recommended governance practices (CMA 1998). The recommended governance practices have three objectives which include: Economic and financial well being of shareholders, d irectors and management and employees; Social well being of employees, community and society and environmental well being for every one (Manyuru 2005). The four board attributes namely: composition, characteristics structure and process form the basis for categorizing the corporate governance practices in this study. What is the purpose of the corporation? What are its objectives? Maximisation of shareholder wealth The theory of CG stems from the thesis The Modern Corporation and Private Property by Berle and Means (1932). The thesis highlights a fundamental agency problem in modern firms where there is a separation between management and ownership. It has long been recognized that modern firms are run by professional managers (agents), who are accountable to dispersed shareholders (principals). The scenario fits into the well discussed principal-agent paradigm. The question is how to ensure that managers follow the interests of shareholders in order to reduce cost associated with principal agent theory. To do that, the principals have to deal with two problems. First they face adverse selection problem: that is they must select the most capable managers. Second they are also confronted with a moral hazard problem: that is how to adequately motivate the managers to put forth the appropriate effort and make decisions aligned with shareholder interests. Separation between ownership and cont rol of corporations characterizes the existence of a firm. The design of mechanisms for effective corporate control make managers act in the best interest of shareholders has been a major concern in the area of corporate governance and finance (Allen and Gale 2001) and continuing research in agency theory attempts to design an appropriate framework for such control. In a corporation, the shareholders are the principals and the managers are the agents working on behalf of and for the interest of the principals. In agency theory, a well developed market for corporate controls is assumed to be non-existent, thus leading to market failures, non existence of markets, moral hazards asymmetric information incomplete contracts and adverse selection among others. Various governance mechanisms have been advocated which include monitoring by financial institutions, prudent market competition, executive competition, debt, developing an effective board of directors, markets for corporate control and concentrated holdings. Developing an effective board of directors remains an important and feasible option for an optimal corporate governance mechanism. Agents or managers may not always act in the best interest of shareholders when the control of a company is separate from its ownership. In June 1959, Simon Herbert (Baysinger and Hoskisson 1990) proclaimed that managers might be satisfiers rather than maximisers that is they tend to play it safe and seek an acceptable level of growth because they are more concerned with perpetuating their own existence than with maximising the value of the firm to its shareholders. But shareholders delegate decision making authority to the agent (CEO) with the expectation that the agent shall act in their best interest. In contrast, Demesetz (1983) and Fama and Jensen (1983) suggest that the primary monitoring of managers comes not from owners but from the managerial labour market. It is argued that management control of a large corpora tion is completely separate from its security ownership. Efficient capital markets provide signals about the value of a companys securities and this about the performance of its managers. If the managerial labour market is competitive both within and outside the firm, it will tend to discipline the manager. Therefore the signals given by changes in the total market value of the firms securities become very important. Kaplan and Reishus (1990) find evidence consistent with this argument: directors of poorly performing firms, who therefore may be perceived to have done a poor job overseeing management, are less likely to become directors at other firms. On the other hand, reputation concerns do not correct all agency problems and can in fact create new ones. A comprehensive theory of the firm under agency arrangements was developed by Jensen and Meckling (1976), who show that the principals (the shareholders) can assure themselves that the agent will make the optimal decisions only if appropriate incentives are given and only if the agent is monitored. Incentives include such things as stock options, bonuses and prerequisites which are directly related to how well the results of managements decisions serve the interest of shareholders. Monitoring consists of bonding the agent, systematic reviews of management prerequisites financial audits and placing specific limits on management decisions. These involve costs which are inevitable result of the separation of corporate ownership and control. Such costs are not necessarily bad for shareholders but the monitoring activity they cover needs to be efficient. Jensen and Meckling (1976) further define agency relationship and identify agency costs. Agency relationship according to them is a contract under which one or more persons (principal) engage other person (agent) to perform some service on their behalf, which involves delegating some decision-making authority to the agent. The scenario normally generates a conflict of interest. The conflict of interest between managers or controlling shareholder, and outside or minority shareholder refers to the tendency that the former may extract perks out of a firms resources and be less interested to pursue new profitable ventures. Agency costs in this case include monitoring expenditures by the principal such as auditing, budgeting, control and compensation systems, bonding expenditures by the agent and residual loss due to divergence of interests between the principal and the agent. Usually the share price paid by the shareholders (principal) reflects such agency costs. This is one way to view the linkage between corporate governance and corporate governance. Fama (1980) aptly comments that separation of ownership and control can be explained as a result of efficient form of economic organization Previous empirical studies have provided the nexus between corporate governance and firm performance (Yermack 1996; Claessens et al 2002; Gompers et al 2003; Black et al 2003; and Sanda et al 2003). Others Bebchuk Cohen (2004) and Bebchuk et al (2004) have shown that well governed firms have higher firm performance. The main characteristic of corporate governance identified in this studies include board size, board composition and whether the CEO is also the board composition. There is a view that larger boards are better for corporate governance because they have a range of expertise to help make better decisions and are harder for a powerful CEO to dominate. In recent times on the contrary emphasis has geared towards smaller boards. Jensen (1993) and Lipton and Lorsch (1992) contend that large boards are less effective and are easier for a CEO to control. The reason is that when a board get too big it becomes difficult to co-ordinate and process problems. Klapper and Love (2002) examine corporate governance and performance in a sample of firms in 14 countries most of which are developing economies. They find that better c orporate governance is associated with better performance in the form of Tobins q and ROA. Agency theory, agency problem, agency costs and the Anglo-saxon model (market based model) Maximisation of stakeholder interest John and Senbet (1998) provide a comprehensive review of the stakeholder theory of corporate governance. The main issue raised in the theory is the presence of many parties with competing interests in the operations of a firm. They also emphasized the role of non-market mechanisms such as the size of the board, committee structure as important to firm performance; Jensen (2001) critiques the stakeholder theory for assuming a single valued objective. They thus propose an extension of the theory called an enlightened stakeholder theory. However, problems relating to empirical testing of the extension have limited its relevance and applicability in a modern day corporate entity (Sanda et al 2003). In Kenya, CG is still at its infancy stage and therefore an examination of its relationship with the performance of a vital sector such as the microfinance sector is not only desirable but long overdue. Stakeholder theory How are its objectives met? Board attributes The corporate governance literature identifies four sets of board attributes; namely, composition, characteristics, structure and process (Zahra and Pearce 1989; Maassen 1999). Board composition refers to the size of the board and the mix of different directors demographics (insiders/outsiders, male/female, foreign/local) and the degree of affiliation directors have with the corporations (Zahra and Pearce 1989; Maassen 1999). Board characteristics encompass directors background, such as directors experience; tenure; functional background; independence; stock ownership and other variables that influence directors interest and their performance (Hambrick 1987; Zahra and Pearce 1989). Board structures covers board organization; the role of subsidiary boards in holding companies; board committees; the formal independence of one-tier and two-tier board; the leadership of boards and the flow of information between board structures (Maanssen 1999). Board process refers to decision making activities; styles of board; the frequency and the length of board meetings; the formality of board process and board culture on evaluation of directors performance (Vence 1983; Pettigrew 1992). Growing literature focused on some aspects of the four sets of board attributes from a variety of theoretical perspectives have produced a plethora of varying results regarding boards attributes and corporate performance (Zahra and Pearce 1989; Dalton et al 1998; Maassen 1999). A summary of the four sets of boards attributes most commonly studied as provided in Table 1 The concern of corporate governance has been with both the accountability of the directors and with the board effectiveness Cadbury (1997). To ensure the board effectiveness the Cadbury Committee (1992) recommends the inclusion of sufficient number of non-executive directors who would bring independence in the boards judgement. These non-executive directors should be in the majority. Mace (1986) and Herman (1981) argu e that outside directors were valued for their ability to advise to solidify business and personal relationships and to send a send a signal that the company is doing well rather than for their ability to monitor. Mace (1986) further argues that in selecting outside directors the title and the prestige of the candidates are the primary consideration. The agency theory, at the other end of the spectrum argues that the presence of boards of directors is to monitor management and to protect the interest of shareholders (Mallette and Fowler 1992; Fama and Jensen 1983). It is further argued that outside directors are stricter in discharging their responsibilities as they are not directly affiliated with the management (Weisbach 1988). Having outside directors who are argued to be impartial is vital as they can act as providers of relevant complementary knowledge to the management (Fama and Jensen 1983:315). Hence outside directors could bring into the board the wealth of expertise tha t is useful to the management in deciding the direction of the firm or to clarify its strategies. This could further enhance the boards role as being the ratification and the monitoring of management decisions as argued by Fama and Jensen (1983). As a result the performance of the management is expected to improve and more importantly increase the wealth of shareholders. Evidence of board independence effectiveness was also offered bu OSullivan (2000) who found that audit fees (a proxy for extensiveness of the audit works) were negatively associated with board independence. The author argued that board independence should lead to a better quality of financial reporting and thus the scope of the audit and therefore the audit fees would be reduced. The evidence found by Peasnell et al (2000) on the effects of outside directors on the financial reporting aspects further confirm that high monitoring tendency of outside directors. In addition, evidence has also showed that outside dir ectors are more likely to join and inside directors leave the boards of poor performing firms (Hermalin and Weisbach 1988). Thus it may be argued that poorly performing firms are expected to benefit from the entry of more outside directors. In a study on the extent of fraudulent reporting Beasley (1996) further documented evidence supporting the significant roles of outside directors. Evidence of outside directors effectiveness was also documented in New Zealand by Bradbury and Mak (2000). The concern has been on the issue of non-executive directors who may not be truly independent (Bhagat and Black 1997; Vicknair et al 1993). Perry (1995) argues that the inclusion of independent non-executive directors may negatively influence the board cohesiveness since they are involved in the decision-making process of the firm and at the same time act as monitors of management. This Perry (1995) argues could lead to a conflict of interest. This argument could perhaps lead to the performance of the firm not being improved even though the board is dominated by outside directors. The lack of non-executive directors incentives to remove members of the top management following the firms poor performance as a result of their insignificant shares in the firm and their compensation and the views of the CEOs could determine their re-appointment as non-executive directors (Conyon and Peck 1998). Further it was earlier found that performance review by the board in most companies was minimal and it was purported to satisfy the minimal requirement of law (Boulton 1978) and except during the period of crisi, most boards were content with a superficial review of the performance (Clendenin 1972). In an empirical study, Fosberg (1989) found that there was no significant difference in various financial ratios (indicative of the firms performance) between firms whose boards were dominated by outside directors and firms whose boards were not dominated by inside directors. The argument , that having outside directors on the board could adversely affect the board performance could largely be due to the fact that outside directors do not have access to adequate knowledge about the firm. This is due to the nature of non executive directors appointments who are not full-time employees in the company and the limited time commitment that could result in boards that are composed in the majority of weak outside directors (Koontz 1967). Moreover, these directors either hold no shares or hold insignificant shares in the firm as argued by Conyon and Peck (1998). Thus their incentives to monitor management and thus contribute significantly in the pursuit of the shareholders interests may be low. In fact Baysingers and Hoskisson (1990) argue that non executive directos have negative influences on corporate entrepreneurship. Research evidence showing a negative association between the proportion of independent non-executive directors and firm performance was documented (Klein 1 998; Agrawal and Knoeber 1996; Yermack 1996). In a survey done in Singapore, Goodwin and Seow (2000) found that the majority of company directors felt that independent directors should make up 25% to 50% of the board. The study also found that none of the directors in the survey felt that independent directors should be less that 25% of the board. These findings therefore are not different from the recommendation contained in the Report on Corporate Governance (1999) and the Malaysian Code on Corporate Governance (2001) which recommends that at least one-third of the board members be independent directors. Similar recommendation was also found in the Hampel Report (1998). However according to Goodwin and Seow (2000), the respondents in their survey which included directors, auditors and institutional investors, all felt that there was a need for a clear definition of independent directors. An absence of this definition would make it difficult to determine compliance with the reco mmendation. On the importance of non-executive directors representation on the board, Goodwin and Seow (2000) found that non-executive directors were more convinced that strong corporate governance enhances the board effectiveness more than executive directors were. Though the findings are mixed, evidence generally supports the effects of outside directors on the firms performance. This is because outside directors are expected to be independent of management and were generally ÃÆ' ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚ ¦appointed for their business acumen, wide commercial experience or contacts on the government industry (Reay 1994:74). CEO duality The board of directors argues Jensen (1993:862) is ÃÆ' ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚ ¦at the apex of internal control systems, has the final responsibility for the functioning of the firm. However, when the board chairman is also the CEO, the board intensity to monitor and oversee management is reduced as a result of lack of independence and a conflict of interest (Lorsch and Maclver 1989; Fizel and Louie 1990; Dobryzynski 1991; Millstein 1992; Daynton 1984). The issue arises when companies practice CEO duality is who monitors management? This is best expressed as custodias ipso custodiet or who will watch the watchers. Unlike in a two-tier system, the unitary system has the board at the highest internal control system, as argued by Jensen (1993). It has been argued that the firms managers influence in setting board agenda and controlling information flows could impede the boards ability to perform its duties effectively (Solomon 1993; Aram and Cowan 1983). The firms managers ability to determine the board agenda and the flow of information is predicted to be much stronger when the board chairman is also CEO than when the firm adopts a non-dual structure. Daynton (1984) asserts that the board is the primary force pushing the company towards realizing the opportunities and meeting the obligations to the shareholders and other stakeholders. He argues that it is the CEO who enables the board to play the primary force. In a similar vein, dual leadership structure signals the absence of separation of the decision management and the decision controls (Fama and Jensen 1983:314; Rechner 1989) argued that the ideal corporate governance structure is one in which the board is composed of a majority of outside directors and a chairman who is an outside director. She stated that the weakest ccroporate governance is one where the board is dominated by insider directors and the CEO holds the chairmanship of the board. When one person dominates a firm, the role of independen t outside directors becomes hypothetical (Rechner 1989; Daynton1984). Rechner (1989:14) claimed, ÃÆ' ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚ ¦this structure is likely to function as a rubber stamp board given the total control of the CEO. A structure of this type is likely to lead to the board being incapable of protecting the interest of the shareholders. The board, with the high influence of the management will not be able to discipline the management appropriately as the management who controls the board will over-rule such initiatives. Miller (1997) also argues that a non-executive chairman promotes a higher level of corporate openness. The issue of separation of the top two posts has been addressed in the Cadbury Committee (1992), which recommended that the roles of the board chairman and the CEO be separated. The Malaysian Code on Corporate Governance (2001) also recommends a similar board structure. The reason for the need for separation is that when both the monitoring roles (ie the b oard chairman) and implementation roles (ie the CEO) are vested in a single person, the monitoring roles of the board will be severely impaired. The impairment in the board independence could affect the board incentives to ensure that management pursues value-increasing activities. The Hampel Report (1998) points out that, in some circumstances, the top two roles can be combined but it recommends that the reasons for combining the roles should be publicly disclosed. Though literature seems to consistently argue that separate individuals for the post of CEO and chairman leads to a better corporate governance system, the real issue is whether this leads to the board to be a better monitor and thus is capable of increasing the value of the firm. Proponents of the CEO duality structure argue that combining these two roles provide a clear focus for objectives and operations (eg. Andersen and Anthony 1986; Stoeberl and Sherony 1985). Separation of CEO and chairman posts has both costs and benefits and it was shown that for larger firms the costs are greater than the benefits (Brickley et al 1997). Evidence by Shamsul Nahar Abdullah (2002) in the Malaysian setting and Bradbury and Mak (2000) in the New Zealand setting confirmed the cost and benefit contention. In their study Berg and Smith (1978) found that there was no significant difference in various financial indicators between firms, which experienced CEO duality and firms which did not. The substantial cost of the separation could come from ÃÆ' ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚ ¦incomplete transfer of company information and confusion over who is in charge of running the company (Goodwin and Seow 200:43). This could hamper the performance of the firms financial indicators. It could also be argued that when one person is in charge of both tasks, the decisions are reached much faster. Moreover, when the board chairman and the CEO is the same person, he or she is well aware of the decisions needed to improve the perf ormance of the firm. In another study, Chaganti et al (1985) also documented evidence similar to that found in Berg and Smith (1978) involving firms that experienced bankruptcy (failure) and survival. Rechner and Dalton (1991) also showed that forms with CEO duality consistently outperformed firms with a CEO non-duality structure, which contradicts expectation. In another study, Baliga et al. (1996) investigated the announcement effect of changes in the leadership structure. Using accounting measures of operating performance and long-term measures of performance their findings however suggest that: The market was indifferent to changes in the leadership structure; There was no significant effects on the firms operating performance; and There was no significant influence on the firms long-term performance. In a survey in Singapore by Goodwin and Seow (2000), the respondents opinion regarding the need for a separation of the board chairman and the CEO was not very stron g, where the mean score was only 4.85 out of 7.00. Of the three groups in their study only auditors had a mean score of 5.08 while the directors; mean score was only 4.52 and the mean scores were not found to be statistically different. This evidence could be interpreted that the issue of separating the board chairman and CEO was not viewed as critical in the corporate governance structure. As argued the board independence is important in determining its effectiveness to discipline management. It may also be further argued that a board is more independent if the board is dominated by outside directors and the chairman is not the CEO of the firm. As argued by Daynton (1984:35), if one person is wearing two hats, it is always the governance hat that is doffed. In fact, the Malaysian Code on Corporate Governance argues that when the roles of CEO and chairman are combined, the risk of a board being ineffective in discharging its leadership and control duties is high and thus, there n eeds to be a sufficient number of independent directors on the board. Hence, it appears that the performance of the firm is improved if the board is independent and the CEO is not the chairman of the board. Community of human beings, a nexus of contracts, possession of its shareholders Describe the legal system common law Conclusion corporation purpose CORPORATE SYSTEM: IMPACT ON ECONOMIC DEVELOPMENT (1000) Several studies have been done to establish relationship between governance structure and firms performance. One argument is that a strong governance structure could lead to high performance (Sanda et al 2005). It will help promote a firms performance and protect stakeholders interests. Nam et al (2002) found that corporate governance should lead to better performance since managers are better supervised and agency costs are decreased. Poor corporate governance on the other hand is a fertile ground for corruption and poor financial performance. Brown et al (2003) found that firms with weaker corporate governance perform poorly compared to those with stronger corporate governance in terms of stock returns, profitability, riskiness and dividend payments. Building investor confidence through insuring protection of shareholder rights (property rights protection) It is believed that good governance generates investor goodwill and confidence. Again, poorly governed firms are expected to be less profitable. Claessens et al (2003) also posits that better corporate governance framework benefits forms through greater access to financing, lower cost of capital, better performance and more favourable treatment of all stakeholders. They argue that weak corporate governance does not only lead to poor firm performance and risky financing patterns, but are also conducive for macroeconomic crises like the 1997 East Asia crisis. Other researchers contend that good corporate governance is important for increasing investor confidence and market liquidity (Donaldson 2003). Capital market regulation insures transparency and accountability Mitigates corporation failures Prevention fraud and ensuring the effective allocation and usage of resources An important theme of corporate governance is accountability and fiduciary role advocating for the implementation of guidelines and mechanisms to ensure good behaviour and protect shareholders (Otero 1998). Another key focus is the economic efficiency view through which the corporate governance system should aim to optimise the economic results with a strong emphasis to shareholder welfare. There are yet other sides to the corporate governance subject such as the stakeholders view, which calls for more attention and accountability to players other than the shareholders for example employees and environment (Singh 2005). Recently there has been considerable interest in the corporate governance practices of modern corporations since the collapse of large US firms such as Enron Corporation and Worldcom (Knell 2006). Conclusion relationship between the CG and the development CONCLUSION (400) Conclusion overall conclusion about the CG Agency Problems and the Theory of the Firm The journal of political economy [0022-3808] Fama yr:1980 vol:88 iss:2 pg:288 -307 Musikali, Lois M., The Law Affecting Corporate Governance in Kenya: A Need for Review. International Company and Commercial Law Review, Vol. 19, No. 7, pp. 213-227, 2008. Available from Social Science Research Network website. Accessed on April 6, 2009. (Musikali 2008) New Partnership for Africas Development (NEPAD), African Peer Review Mechanism: Country Review Report of the Republic of Kenya, May 2006. Available from NEPAD website. Accessed on April 9, 2009. (NEPAD 2006) Nganga, S., et al., Corporate Governance in Africa A Survey of Publicly Listed Companies, December 2003. Available from London Business School website. Accessed on March 27, 2009. (Nganga et al. 2003)

The Impact of Effective Credit Risk Management on Bank...

Annals of the University of PetroÅŸani, Economics, 9(2), 2009, 173-184 173 THE IMPACT OF EFFECTIVE CREDIT RISK MANAGEMENT ON BANK SURVIVAL * KOSMAS NJANIKE ABSTRACT: A number of financial institutions have collapsed or experienced financial problems due to inefficient credit risk management systems. The study seeks to evaluate the extent to which failure to effectively manage credit risk led to Zimbabwe’s banks’ demise in 2003/2004 bank crisis. It also seeks to establish other factors that led to the banking crisis and to outline the components of an effective credit risk management system. The study found that the failure to effectively manage credit risk contributed to a greater extent to the banking crisis. The research also†¦show more content†¦The research data was collected over six months to June 2009. The researcher chose the survey as the appropriate research design for the study, and as such, questionnaires and interviews were used as research instruments. Some unclear or hanging issues in the questionnaires were clarified in interviews. A sample of 10 commercial banks randomly chosen was used in this an alysis. Twenty questionnaires were used to gather data with two for each commercial bank chosen. A total of 10 interviews were held with the heads of credit or senior managers from those banks. The questionnaire had 12 short questions designed for the bankers and or senior managers from those banks so that they would not have a difficulty in answering questions. The first two questions constituted the respondent profile. The two questions that followed formed the administrative section where the research was obtaining information about the financial institution. Question five up to the end of the questionnaire formed the main body from which the crucial data for the research was The Impact of Effective Credit Risk Management on Bank Survival 175 obtained. 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Investment Analysis and Portfolio Management †MyAssignmenthelp.com

Question: Discuss about the Investment Analysis and Portfolio Management. Answer: Introduction: Investment decisions are largely influenced by human psychology. Investing goes behold rationality and statistics and decisions are made based on human intuitions (Yuniningsih, Sugeng and Muh Barid, 245-263). Investments are important for enabling an individual to meet financial goals more easily. Investments generate income by putting forth an amount (something) with expectations of a higher return in a future time. Investments allow a person to create wealth and become financially independent (Nofsinger, 76). The investment decisions are characterized by uncertain stock markets, risky ventures, unpredictable environment, and changing business environment. Investors make decisions differently as they are influenced by behavior, mind, conscious, unconscious and thoughts. Investors make investments decisions with an objective of increasing their returns on investments (ROI) or getting the highest interests (Luthans, Carolyn , and Bruce, 321-340,). The stock market bull and bear impact investment decisions and it depends on human psychology to make decisions in these situations. The bull market is characterized with optimism that leads to increased market rally increasing the stock price. The bear market on the other side is characterized with pessimism leading a decreasing stock price (McPhee, 107).The bull market make average investors greedy who buy many shares leading to the stock being overpriced. The bear markets rally everyone to fear a stock and sell their share leading to a fall in the stock price. The herd mentality when investing influences investors to think the same way and act according to a group instead of making independent investment decisions. The peaks and trough situations in investment happens regularly in the stock market. Prices keep changing and range from the highest price (peak) to the lowest price (trough) and require understanding the investment psychology to make appropriate decision in different t imes of price change (Kim et al., 140-154). The following write-up contains discuss for three companies that will be analyzed for investments. These companies are Alibaba Group Holding Limited, Apple Inc, and Tesla Motors Inc. This will involve analyzing their financial history, competitors in the market, past peaks and trough and reasons for buying their stocks both emotional and logical. Alibaba Group Holding Ltd Alibaba Group is a multinational ecommerce, Internet, retail, AI and Technology Company. The company through subsidiaries operates in four segments; cloud computing, core commerce, entertainment and digital media, and innovation initiatives. Alibaba provides business-to-business, consumer-to-consumer and business-to-consumer sales services through web portal. The company also provides electronic payments services, cloud computing and shopping search engines. Alibaba operates in more than 200 countries. Alibaba Group Holding Limited trades in New York Stock Exchange as BABA. The company stock price is US$ 172.07 as at 4th April 2018. The company had a total equity of US$ 48.33 billion at the end of 2017 financial year. Alibaba 2017 revenue amounted to US$23.82billion. The company revenue in 2016 financial year was US$22.96 billion which was 56% higher from 2015 FY. The stock price was US$121.27 in 2016 FY while 2017 stock price US$142. Alibaba main competitor is Amazon. Alibaba revenue grew from $3.14Billion in 2012 FY to $22.99 Billion in 2017 FY compared to Amazon that grew from $48 Billion in 2011FY to $135.99 Billion in 2016 FY. The Amazons revenue grew with 23% while Alibaba revenue grew by 48%. The Alibaba stock price increased by 79% from 2014 compared to Amazon that increased by 192% during the same timeframe. There are several reasons to buy Alibaba. First, the company revenues are increasing at a high percentage that will increase the net income leading to a higher dividends payment. There is an increasing trend for consumers to buy products online that leads to upward sales revenues. The revenue increased to $23 in 2017 from less than $11 billion in 2014. The company has a large scale of operation where the company managed $547 billion online shopping portals of retail transactions in 2017 and they are expected to increase by $1 trillion by 2019. Secondly, the exploding Chinese economy will favor the performance of Alibaba. The Chinese economy accounts for 86% of the Alibaba retail sales. The Chinese economy has a gross domestic per capita income of $3000 which is expected to grow to $13300 within 20 year. This is different to US which will increase by 28% at the same time. Third, Alibaba has diversified operations. The company is not all about retail but is also involved in other services such as digital media and computing tools. Fourth, the Jack Mas vision for Alibaba will drive sales up leading to increased dividends payment. The Jack Ma wants the business to serve more than 10 million small business and 2 billion consumers (Chandra, 203). Lastly, the company insider ownership will also drive it performance Jack Ma owns 6.3% of th e company shares that amount to $27 billion. Jack Ma personal fortune is tied to the company success and will act as an incentive to the company performance to increase its value. The Alibaba past peak for the past 52 days is $206.20 while the trough is $106.78. There is variance is $99.42. This shows that the Alibaba shares have a high potential of rising up to $206 which represent 23% from the current share price of $173. On the other side, the company shares can drop down by 40% to 106 from the current $173. Therefore investing in Alibaba shares has both possibility where the investor can lose by 40% or gain by 23%. Tesla Motors is company that specializes in energy storage, electric vehicles, solar panel manufacturing. The company was founded in 2003 and is based in California. The company products include lithium-ion battery, electric cars, photovoltain panels, Telsa Powerwall batteries, solar panel, sonar roof tiles, and Powerpack batteries. The company is led by Enlon Musk who envisions that the company will be a leading technology company and automaker that will offer affordable electric cars at competitive prices to average income consumers. The company subsidiaries are SolarCity, and Telsa Grohmann Automation. Tesla Motors has a total equity of US$4.24 billion at the end of 2017 financial year. The company recorded revenue amounting to US$11.76 billion during 2017FY. The Company is listed as TSLA in the NASDAQ. The Tesla common stock price is $299.67 as at 4 April 2018. Tesla Revenue increased from $3.2 billion in 2014 to $1.76 billion in 2017. The main Competitor for Tesla Motors is Ford Motors. Ford is a multinational automobile company with headquarters in Michigan. Ford is listed in NYSE and it trading name is F. It stock value is $11.5 as at 4 April 2018. Ford Motors earned $156.8 billion in 2017 from $147 billion in 2013. There are several reasons to buy Tesla Motor share. First, the company has a beloved brand. Consumers are increasingly shifting to products that conserve the environment. The Company Roadster brand is not one decade old but has managed to get top 100 global brands in interbrands List. The Tesla brand is estimated to be worth $4 billion. Secondly, the company enjoys low cost marketing. Tesla Motors innovations make headlines that attract media attention. Most of Tesla moves are covered in details by media that provide unbelievable free amount of advertising. The company is therefore able to lower its operations costs that are then channeled to other projects or minimize the operations costs optimizing returns. Thirdly, Tesla enjoys ridiculous loyal customer base. The company has loyal customers who are willing to buy the same brand given another chance. The customers are highly satisfied and Tesla is ranked first among automakers in the industry in terms of consumer satisfaction. Four th, Tesla is located in Silicon Valley at the hotbed of engineering and technology. The company is therefore able to attract talents that will lead innovation that will increase the company value. Lastly, Tesla Motors has access to SpaceX engineers. Tesla CEO Elon Musk is also the head of SpaceX Company. SpaceX is a valuable and remarkable company makes rockets and leads innovation on engineering, material science, and manufacturing. The automaker therefore has access to SpaceX engineers who are likely to lead innovation to the company and make it to be a market leader in the automobile industry. Therefore Tesla Motor is a promising share to buy and there are likelihood of high returns. The peak of Tesla Motors for the past 52 weeks was $389.61 while the trough was $244.59. The variance between pas6t peak and trough is $145.61. The peak and trough show that the share price can increase by 27.7% or decrease by 20%. Therefore the investor is likely not to lose by a big margin. Apple Inc is a multinational technology company. The company is headquartered in California and is involved in designing, developing, and selling computer software, consumer electronics, and online services. The company products include iPhone Smartphone, Mac computers, IPad tablets, iPod media player, Apple Watch, Apple TV, and HomePod Smart speaker. Apple software includes IOS operating system, iTune Media Player, macOS, Iwork, and safari web browser. The company online services include iTunes Store, Mac App Store, iOS App Store and Apple Music. The company was started in 1976 and is led by Tim Cook as the CEO and Arthur Levinson as the chairman ("Apple"). Apple Inc is a public company and is traded in Nasdaq as AAPL. The company stock price is $172.8 as at 4th April 2018. The company recorded revenue that amounted to US$229.234 billion in 2017 financial year. The company total equity was US$ 134.047 billion in 2017 FY. The company revenue increased from $170.87billion in 2013 FY to $228.57 billion in 2017 FY. The net income increased from $37.04 billion in 2013 FY to $48.35 billion in 2017 FY. Apple Inc main competitor is Hewlette Packard Company (HP Ltd). HP Ltd is a multinational company that specializes in developing hardware components, software, and related consumer services related to technology. Their products include personal computers, tablets, and printers, networking hardware, data storage devices and designing software. The company trades as HPE in the NYSE. The company stock price is $17.20 as at 4th April 2018. HP Ltd recorded a decrease in revenue from $57.33 billion in 2013FY to $28.94 billion ("Hewlett Packard Enterprise Co."). The past peak and trough for 52 weeks were $19.48 and $12.70 respectively. The company also recorded a decrease in income from $2.05billion in 2013FY to $436 in 2017 FY ("Hewlett Packard Enterprise's Net Revenue 2011-2017 | Statistic"). There are many reasons to buy Apple stock shares. First, Apple Inc is earning high revenues that equivalent to a country GDP of US$ 229 billion. Consumers perception to Apple Products as of high quality, latest technology, and unique features drive the companys revenue high. The revenues are also in an upward graph. The company also earned $48 billion profits for 2017 FY. This shows that the company shares will earn high dividends. Secondly, Apple is a market leader in technology hardware devices and software. The company enjoys a powerful competitive advantage that will enable the company to increase its profit margins above it competitors. This will increase the capital returns on investments. Lastly, Apple is an attractive valuation. The company is likely to remain as the top trading technological company. The company has a wide customer base and is perceived to have best products in terms of quality and technology advancement. This shows that the company will continue to attract new customers that will increase it sales. In addition, the company share price is affordable (not overpriced) and its expected to boom in the near future. The past peak for Apple in 52 weeks is $183.50 while the trough has been $140.06. The variance between peak and trough is $43.44. The stock prices are likely to increase value by 6% or lose value by 19%. Conclusion From the write- up, different companies have different trends in terms of performance that can be used to make investment decisions. It is also evident that financial performance is not the only determinant of making decision to buy share because of other factors that impact companys ability to make financial gains. Tesla Motors has the highest placed stock price of $299 while Alibaba the least with $172.07. Tesla Company stock prices are facing bull market situation. According to past peak and trough, Apple Inc stock price are the most stable, followed by Tesla Motors and then Alibaba. It is therefore recommendable to invest at Apple Inc as the first priority then Alibaba Group Holdings. References "Apple".Apple, 2018, https://www.apple.com/. Accessed 6 Apr 2018. Online Chandra, Prasanna.Investment analysis and portfolio management. McGraw-Hill Education, 2017. 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