Examining the Insurance Industry in Nigeria - Free Essay Example

Sample details Pages: 21 Words: 6276 Downloads: 1 Date added: 2017/06/26 Category Finance Essay Type Argumentative essay Did you like this example? Nigeria is a West African country having an area of 923,768 square kilometers. The geographical position of Nigeria is 3o and 15o east between longitudinal arena and 4o and 14o latitude in north. It has a population count near to 150 million. The growth of population is moderate and it is growing by around 2.7. The internationally country is bounded by on the West by the Republic of Benin; on the East by the Cameroon Republic; on the North by Niger and Chad Republics and on the South by a vast coastline of the Atlantic Ocean (John Harris, 1959). The Landscape Don’t waste time! Our writers will create an original "Examining the Insurance Industry in Nigeria" essay for you Create order The physical landscape of Nigeria is can be broadly classified as plains, lowlands, highlands and plateaus. The Coastal and Niger Delta area fall under low lands. Undulating plains which covered most part of the western region and the sokoto plains which are by characteristics plain are fall under plain land. The Chad basin can also be categorized under this forum these are located on the extreme northeast of Nigeria. The highlands are consisting of the Jos plateau, Mandara Mountains, Adamawa highlands and Obudu plateau. River System Niger and its tributary is the largest river in Nigeria. It flows from the North to west and joined by its major tributary. Another river named Benue flows from northeast which makes a confluence at Lokoja. The river Niger meet into the Atlantic Ocean in the end while before that it forms a network of tributaries which are known as Niger Delta. Other major rivers include the Ogun, Benin, Imo , Cross River, Kaduna, Shansha, Yobe, Komadugu, Hadijia, Shari and Sokoto. Nigeria is very rich in natural resources it has diversified climatic conditions and diversified natural resources too. Its agriculture, industries and mineral resources are very rich and diverse which also include oil and gas (William Arnett, 1979). Weather Season The climatic condition of Nigeria is varied in two major seasons. It has the wet season or rainy season after that the dry season fall. The south Nigeria is hot in comparison to the Northern part. The temperature varies from 35 0C in summers to 230C in Southern part of Nigeria while in Northern region the temperature various from 310C to 180C in the north. Though due to Global warming the average temperature has gone up in the last decade. The total annual rain fall varies from 3800 mm at Facades to below 650 mm at Maiduguri which is located in the north east of the country. Political Structure Nigeria is a democratic country which follows the federal structure of the government. It has three arms model with the executive, legislative and judicial systems are in place. In 1999 the Federal government decentralize and distributed the power in 36 small states and 774 local governments so that the development activities and their execution can be further enhanced. ICT Impact: Its Advancement Development Introduction In the past few decade information technology has attained a great deal of attention from all over the world across all the streams. It is most sought field of study not only from academia but also from business prospective because of its application in daily routine work into many corporations. In present Scenario the business environment is very dynamic and changing very rapidly. Customers are more knowledgeable, aware and ever demanding due the advancement in information technology. They can access any information about any product, service, and query, anything within a second or with a click of mouse. Business organization especially Insurance industry in the 21st century operates in such a fierce competitive and dynamic world. The word dynamic is used to explain the present climate of economic uncertainty and the advancement in information and communication technology. The management cannot ignore the information system and its advancement as they are working in contemporary environment. It has been found in their study that all the fortune 500 companies cash flow is linked to the information and communication system (Laudan Laudan, 1991). It has become imperative for insurance industry to critically analyse the fundamental importance of applicability of information and communication technological concept. It has become a regular practice for insurance companies to be local and internationally competitive. ICT directly affect the decision making ability of management and their offering. It plays a vital role in planning and offering to a particular product and services. It is continuously changing the way how insurance organization maintains their corporate and customer relationship. ICT has also enhanced the quality and speed of services offered by the insurance service provider. Literature Review of ICT in Insurance Industry Insurance service providers are requiring modifying and improving their traditional operational practices to make their business viable in the 21st century (Harlod and Jeff, 1995). They found that the one of the most significant shortcoming of insurance industry is negligence of information and communication technology advancement. The senior management need to understand the grasp of importance of ICT technologies in formulation of strategic decision accordingly. Woherem (2000) claimed that the financial organizations which will modernize their payment and other delivery operational activities and apply new ICT technologies are likely to survive and prosper in the new millennium. He advice the banks and other financial institutions to re-examine their service offering and delivery systems in order to re-frame them as per latest framework of information and communication technology. The insurance industry in Nigeria has been passed through various advancement in ICT in through the past few years. In the pursuance of survival, global relevance, maintenance of existing market share and to sustain development many organization had already exploited the advantages ICT by applying some automated devices which imperative for industry. The study evaluates the impact of ICT on insurance sector in Nigeria, how they have impacted the insurance market in Nigeria and their direction of future. Information and Communication Technology Advancement As per Khalifa (2000) Information Technology (IT) is the automation of processes, controls, and information production using computers, telecommunications, software and ancillary equipment such as automated teller machine and debit card. It is a term which is usually covers the usage of electronic technology for communication, collection, storage, dissemination and presentation of information. Some of the financial services are revolutionized by the use of ICT technologies for example to purchase a insurance now customer can avail all the related information online, they do not require to consult an agent and to stand in a queue to meet the insurance personal, and waste a substantial amount of time, money and energy. They can easily open their policies online submit online document, transacts online and other queries can be solved easily (Irechukwu, 2000). Now the consumer get premium alert via e-mail, phone, messages etc which reduces the chances of any mistake. Communication techn ology also dealt with the physical devices such as hardware as well as software devices which connect or work as a interface between hardware devices. Software link also connect some of the hardware devices to transfer data from one location to another location (Laudon and Laudon; 2001). ICT product used in insurance industry includes smart card, Telephonic services, Online services, MICR, Electronic Data interchange, Electronic fund transfer, electronic access to the account and policies documents. Several researches has been done to identify the impact of ICT in insurance sector within the Nigeria country. Agboola et al (2002) discussed the basic attributes in which the ICT has played a crucial role within the economy of Nigeria. They include the use of Magnetic ink character reader (MICR) for various document verification processes. It makes the procedure of encoding, reading and sorting of document more convenient. Plastic card and electronic fund transfer system is the second attribute which make the money settlement at the same time and more safe and convenient to use. The automated delivery channel which makes it easier for service provider to convey their message to the consumer. Use of interactive TV channels and internet made revolution in insurance industry. Agboola (2001) studied the impingement of ICT on the financial services in Lagos and found that with the advancement in information and communication technology the financial services offered by the institutions have been significantly improved in Lagos. The study was limited to the financial nerve of the Nigeria, Lagos and concentrated on only six major financial institutions. Woherem (1997) discovered that Nigerian financial institutions have significantly performed better since 1980 in the prospective investment in information and communication technology than the other industrial sector of Nigeria. An analysis of the study carried out by African Development Consulting Group Ltd. (ADCG) on IT diffusion in Nigeria shows that financial institutions have invested more on IT, have more IT personnel, more installed base for PCs, LANs, and WANs and 6 a better linkage to the Internet than other sectors of the Nigerian economy. The study, however pointed out that whilst most of the financial institutions in the west and other parts of the world have at least one PC per staff, Nigerian banks are lagging seriously behind, with only a PC per capital ratio of 0.18 (Woherem, 2000) More or less the offering from insurance organization is standardised. They are offering same set of product and services. The banking and insurance industry increasingly utilises computers and telecommunication equipment connected via the Internet as the ordinary distribution channel of their services. Ranging from Online brokerage and Home banking to Electronic insurance contracts by companies like Cosmos Direct, information and communications technologies (ICTs) have changed the financial service industry significantly over the past decade. By looking at the expenditure in financial industry on information and technology investment is comparatively high than any other industry after 1995 (for the US see e.g. Council of Economic Advisors, 2001, for the EU see EITO, various yearbooks 1996 until 2001) The key to success for financial industry is to grow by continuous investment in technology and advancement in financial services. The online premium payment facilities, Account statement, Access their portfolio from any location in any branch are some of the little advancement which has taken place in the insurance industry in Nigeria. With the availability of internet it has given the power to user to access their investment in insurance from any corner of the world. While the revolution in mobile technology has also changed the way people do transactions. While it is not the end of innovation still a lot of transforming process has yet to be completed. Still a lot of new innovations and labour-saving process has to be implemented in near future. The Structure of the Nigerian Financial System The financial system of Nigeria which are comprmised of banking and non-banking activities.. The regulatory body of financial system in Nigeria are), Central Bank of Nigeria (CBN), Nigeria Deposit Insurance Corporation (NDIC), Federal Ministry of Finance (FMF Federal Mortgage Bank of Nigeria (FMBN), National Insurance Commission (NAICOM), National Bank of Communities Board (NBCB) and Securities and Exchange Commission (SEC). Federal Ministry of Finance (FMF) It play a vital role in the finance related strategic decision taken by the government it helps and suggest the government of Nigeria on its financial operation and other monetary counts. The Central Bank of Nigeria (CBN) The central bank of Nigeria act 1959 lead to the establishment of the Central bank of Nigeria and it started its operation soon early in July, 1959. It is the apex body in Nigerian financial system. Its same like federal bank in United State America and Reserve Bank in India. Their primary functions are to make sure the monetary stability in the state and to maintain a sound financial system. It also acts as a bank and financial adviser to the federal government. It is the bank of bank, it also provide framework and platform for other financial institution to operate effectively (Yanusa, 1998). The Nigerian Deposit Insurance Corporation (NDIC) NDIC is autonomous body and directly answerable to Federal Ministry of Finance. it complement the supervisory and controlling, and regulatory role of CBN in financial activities. NDIC is formed in 1989 to deposit insurance and other related services for banks so that the confidence in banking industry will strengthen. It has power to check the books and accouts of the insured bank and other deposit taking financial institutions. It ask only one percent of the deposit liabilities from banks as insurance premium. The maximum cap of claim exercised is limited to N50, 000 in the case of bank failure. It has planned to hike the exercised limit from N50, 000 to N200, 000. The Securities and Exchange Commissions (SEC) Under the Sec act, 1979 Securities Commission Exchange was established. Formerly it was known as Capital Issues Commission. As the name suggest it play a dynamic role in capital market and the apex body capital market regulation. Any merger and acquisition require to be get approve from SCE prior to their exercise. It establishes the unit trust. It maintain the surveillance on the capital market to enhance it efficiency and effective utilization of resources. It issues and designs the guideline for the establishment of the stock exchanges and after that the deregulation of the Nigerian capital market. It also releases the guideline related to the foreign direct investment in Nigerian capital market. Debt Management Office (DMO) Debt related affairs are left as there is was no autonomous body to regulate and direct it. Hence the Federal Government of Nigeria has taken a major step and formulated an autonomous debt management office (DMO). By the creation of DMO all the debt related affairs has been handled by it, hence a consolidated picture and proper coordination has been developed between various agencies as these are handled by a single agency. The DMO centralize and coordinates the entire debt recording and management related activities of Nigeria. It includes debt service forecast, advising of debt negotiation, debt service payment and new borrowings (Yasuna, 1998). National Insurance Commission (NAICOM) The National Insurance Commission (NAICOM) is new form of the Nigerian Insurance Supervisory Board (NISB). It is powered by more efficient and effective administration, supervision, regulation and control over the insurance business in Nigeria. It is policy making body regarding insurance activities. The specific function of the body consist of the establishment of the procedures for the conduct of insurance business, protection of insurance policy holders and the establishment of a council to which any issue, complaint can be submitted related to any insurance company and their intermediaries by the customer. NAICOM manage the adequate level of cash and reserve, management practices, the level of technical expertise and engagement of ICT. The Federal Mortgage Bank of Nigeria (FMBN) The Care of assets and liabilities of Nigerian Building Society is taken by the Federal Mortgage Bank of Nigeria (FMBN). It provides the advisory services to and executes the research related to housing and development activities. The FMBN is empowered in 1990 with the adoption the housing policies to license and regulating the institution which deal in pimary mortgage in Nigeria and act as a apex body for regulating mortgage finance industry. The Federal Mortgage Finance dealt with the financing which was earlier comes under the jurisdiction of Federal Mortgage Bank of Nigeria. While it is still having its regulatory role and it take the guidance from Central Bank of Nigeria. (Bassey Enamatte, 2001). The Money Market and Its Institutions The money markets are short-term debt instrument, it manipulate or facilitate the sector which are facing a deficit problems. It gets the funds diverted from the cash plus sector of the economy to the other sectors of the economy which are experiencing a downfall. The deficit unit can be public or private; they can access the money market to meet their short term need. They can trade in Commercial Papers (CP), call money, Certificate of Deposit (CD), Treasury Bills and Treasure Certificates. The horizon of the money market has been improved significantly with the help of the Open Market Operation (OMO) commenced by the CBN. Discount houses worked as a catalyst and it helped in the raising of participant member in the market. These institutions club the hub of a financial system. It consist of special purpose bank, commercial, rural development, merchant bank, discount houses, like Nigerian agricultural co-operative bank and community bank etc. Discount Houses The discount houses were established as an intermediary between CBN, financial institution and with the other incensed banks. It directly controls the market based financial system. A discount house is a non-bank financial institution. It helps the mobilizing in securities while keeping the view of liquidity in the market (Glaser, 1992). It does by providing some discount on the money market instrument of the government securities, which lead to the purchase of these by institutions and individual. Hence in turn it creates money liquidity in the market. Some the operating major discount houses in Nigeria are Associate Discount House Limited, Consolidated Discount house Limited, First Securities Discount House Limited, Express Discount House Limited, and Kakawa Discount House Limited. Universal Banking The Universal Banking in the Nigeria has been introduced by CBN. After the formulation of guidelines for universal banking in Nigeria till now more than 10 banks are having universal banking status. Hence these banks can operate as commercial and merchant functions. Commercial and Merchant Banks Banks and other financial institutions (BOFI) act works as legal and statutory framework for commercial and merchant banks in Nigeria. Basically three main functions are performed by commercial bank in Nigeria. These functions can be classified as granting of loans and operation of payment, acceptance of deposit and settlement mechanism. A rapid growth in commercial banking sector has been observed since September 1986 as the government commenced the active deregulation on the same year (Rotberg, 2004). The number of commercial banks has been grown significantly and their offerings become too wide and complex. Nigerian Acceptance Limited (NAL) is the first merchant bank in Nigeria which started its operation in 1960. These banks take deposit and cater the need of corporate world. These banks helps the corporate and institutional customer by providing them loan syndication financing and engaging in activities such as equipment leasing, medium and long term loans project advice, debt factoring to their client. In turn they get better return on their loan and charge for their services. Now the trends have been changed and merchant banks are also performing the general banking operations. It helps them to diversify their risk and portfolio and also leads to creation of funds. Community Banks Today more than 1366 licensed community banks exist in the Nigerian market. First community bank started its operation in 1990. The National Board for Community Banks (NBCB) is the apex body which decides the suitability and feasibility for the establishment of the community banks. Basically the purpose of a community bank is to provide financial assistance to a particular community. These are self-sustaining financial institutions owned and managed by a particular and within the community members (Patike Communication, 2002). The Capital Market It is used for generating long term fund into the market. Securities and Exchange Commission (SEC) is the apex body which serve as a regulatory authority of the market; also it is the main player in the market. The Nigerian Stock Exchange (NSE) is the issuing house of securities and stock broking firm. NSF is the main exchange for large enterprise which encourages the large as well as small and medium scale enterprise to have the benefit of the public listing. Second-Securities Market (SSM) is the market for small and medium scale enterprises where the listing requirement rules are less stringent and complex. Nigerian Capital Market has enjoyed a phenomenal growth rate in the first twenty years of its inception. It has maintained its operation in the primary and secondary markets. The market capitalization has been grown from N 1.7 billion in 1980 to N 472.9 billion in years 2000. On the other hand the listed companies have grown by 92 in 1980 to 196 at the end of year 2000. In the year 2000, 21 new listing raised N 16.71 billion from the capital market to fund their expansion and development projects (Patike Communication, 2002). Keeping in the views of financial resources of big and small player Unit trust Schemes has been started in the market for the purpose mobilization of the funds. The retail customer can achieve maximum return with minimum risk on their investment. At present there are 14 Unit Trust Operation in the Nigerian market. Major Participant in the Nigerian Capital Market (Uka Eznewe, 2003) The Securities and Exchange Commission (SEC), it is the apex body and responsible for the overall law and regulation of the entire market. The Nigerian Stock Exchange (NSE), it is a self-regulatory body in NCM that supervises and surveillances the operations of the formal quoted market. Market Operators, these consist of the Issuing Houses (Stock broking firms and Merchant Banks), Trustees, Registrars, and Stockbrokers etc. Pension Fund, Insurance Companies, Investors, Unit Trusts (Institutional Investors) and Individuals. The Central Bank of Nigeria (CBN). The Federal Ministry of Finance Development FinanceÂÂ ¿Institutions (DFIS) To contribute the development of some specific sectors of the economy some specialised banks or development finance institutions (DFIs) were established. For enhancing the operation and effectiveness of the DFI a lot of structural changes have been made and most of the DFI has been merged and restructured. The Bank of Industry (BOI) and the Nigerian Agricultural Co- operative and Rural Development Bank (NACRBD) are result of merger and restructuring of the various DFIs. These two banks are engaged in agricultural development related activities and provide soft loans to industries related to agriculture. Federal Mortgage bank (FMB), Urban Development Bank (UDB) and Education Bank (EB) are some of the other existing DFI to cater the sector specific need as specified by their name. Other Financial Institutions and Funds Apart from banking institutions there are other non-banking institutions within the financial system. These institutions play an important intermediating role. Some of these institutions are as follow: Insurance Companies Insurance companies are combination of life and non-life and of those which are engage in both types of activities. There are some reinsurance firms also. The investments made by insurance companies are basically in government organization and Mortgage funds. They play a role of financial intermediary and mobilize the fund relatively for a long term. In the past decade a significant growth in the insurance industry has been observed. The sourced fund are mainly from reduction in outgoing and other assets, if calculate their contribution stand for 80.8 % of the total fund value. The insurance cover for insurance companies is provided by the National Insurance Commission. Other function of National Insurance Commission includes helping the government in attaining its economical and social goal in the areana of insurance and re-insurance. It is mandatory for all the registered insurance companies in Nigeria to park 20 % of their annual premium collected with the National Insurance Commi ssion. Finance Companies Finance companies are private or publicly owned institutions that focus in short-term, non-banking intermediation. They collect the fund from public and mobilize it by investing it in public. They channelize it through borrowing, facilitate Local Purchase Order (LPO), debt factoring, project financing and equipment leasing etc. These finance companies are controlled and supervise by CBN. BOFI act has given the power to CBN to tackle any issue related to finance companies (Odoko, 2004). Bureaux de Change Authorised since 1989 the Bureaux de change has been in lieu of to expand the foreign exchange market and to ameliorate the process and function to access the foreign exchange especially for small enterprise and users. Today there are more than 240 licensed Bureau de changes are operating in the Nigerian economy. Exchange Control Regulations In Nigeria foreign exchange transaction are taken place at the autonomous foreign exchange market. The royalties and technical fees are payable on imported technical services while on the same time profit, unconditional repatriation of capital and dividends are allowed. The disposal of assets from a repatriation of proceeds is allowed (Issac Dada, 2003). Primary Mortgage Institutions (PMIS) All the primary mortgage institutions are requiring operating within the set guideline of act no 53 of 1989. The saving are mobilize towards the development of housing societies by PMI. The total asset/liabilities outstanding were increased to the level of N 7248.2 million in 1999. To check it and make correction and to rectify it the Federal Mortgage bank of Nigeria tightened its surveillance of PMIs by issue Clean Bill of Health to 116 institutions which deal in mortgage. As a result the new criteria for primary mortgage institutions to have a share capital of at least not less than N 20 Million. Nigerian Social Insurance Trust Fund (NSITF) Nigerian Social Insurance Trust fund (NSITF) s designed to replace the defunct National Provident Fund (NPF). NPF was a compulsory pension scheme to the non-governmental employee or non-pensionable public servants who works in private sectors. The main objective of this fund to adopt a more comprehensive social securitys of the employee who work in the private sectors organizations. The basic purpose behind the creation of this fund is to keep the interest of private employees. Organizations which having at least a staff of 25 people or more than that it is compulsory for them to register under NSTIF. Employee contribution in NSTIF is around 2.5 % of their basic salary while the employer contribution is around 5 %. When the employee gets retired they got pension and other benefit from this corpus and they got a handsome return on the same also. The financial System of Nigeria has undergone some remarkable changes in the past few time. Various developmental action has been taken place some of these developments include the promulgation of the Failed Banks (Recovery of Debt) and Financial Malpractice in Banks Decree No. 18 of 1994. Creation of Financial Services Regulatory Coordinating Committee (FSRCC) by the CBN in 1994 is another major step. The agenda behind these changes is to coordinate and standardize the regulatory practices of all financial institutions in the system with a view to evolving coherence and comprehensiveness. The forbearance is granted by CBN to finance companies operating in Nigeria whereby they were given a maximum of four years to amortize their classified assets portfolio against their current profits (Charles R Ghiest, 1988). The financial system of Nigeria has observed some significant changes in recent times. It consist the announcement of the failed banks (recovery of debt) and the malpractices which are taking place in the financial markets. The most crucial development was the establishment of the Financial Services Regulatory coordination Committee (FSRCC) by the CBN in 1994. The basic aim behind this to coordinate and restructure the all financial institutions which are available in the systems. A comprehensive picture of the financial system can be prediction could become possible with the help of FSRCC. The financial companies which are operating in Nigeria forbearance has been granted by the CBN. Their asset portfolio should only be against their current profits. Managing Insurance Business A Peep into The Future The present time phase is indeed both interesting and on the same time is challenging for Nigerias insurance industry. Till few year back its was like a Beautiful Bride and luring to both local and foreign investors. It was flourishing very high and the risk base was low. In 2008 a hike 24 % has been observed in the insurance index of FSDH. Now the sector is getting more complex and competitive as new players are coming into that and they are fighting for the same share pie. The regulatory framework became more stringent and complex. The insurance service providers are obliged to work under the given guidelines. There is no free lunch in this world (J. Onoho, 1980). Recent Past The instruction made by Central Bank of Nigeria In 2004, to the banks to re-capitalize by the end of 2005 to a minimum of N25billion (about USD20million). It leads to the emergence of 25 banks which was a tough requirement at that time. Today no less than six bank out of these bank are having paid-up capital more than N 500 Billion. It can be easily inferred from this higher level of capitalization which paced the economic activities in Nigeria. Banks have also shown their active participation in insurance sector. In 2006, new capitalisation rules were also introduced in the insurance industry N2billion for Life and N3billion for Non-Life business, this was from a base of N150million and N250million respectively. 49 companies met this requirement through business consolidations and a much wider equity ownership. GDP per capital in Nigeria increased from USD 800 (2006) to USD1,300 (2007). The increase in the All Share Index was 38% in 2006 and 75% in 2007. However, Life, Health and Household insurance premiums accounted for less than 0.3% of our GDP in 2006/7. It thus seems that there are significant opportunities to deepen insurance penetration if acceptable products can be designed and appropriate marketing programmes embarked upon new capital will help finance these development needs. A peep into the future Business growth and wider ownership structures will likely lead to (management) reporting challenges in the future. Quality people and adequate information systems need to be acquired to administer, manage and report on the increased business volumes. Shareholders will require more frequent and accurate information on the business trend and their worth. Hence operating ratios, the calculation of technical reserves and declared underwriting profits will be under more scrutiny than hitherto (Cottarelli, 1997). We illustrate below issues we believe management will in future, need to communicate in details to stakeholders shareholders, investment analysts, rating agencies, and the regulator. We believe potential and current shareholders will wish to be appraised as in other industries of how the business `adds up and what efforts are being put in place to ensure value/worth is not eroded. Put another way, insurers will have to demonstrate how they manage risk! Risk Management In our view, risk management will be a major contributor to the successful future of the insurance sector. Management will need to constantly review the adequacy of the premium rates, underwriting policies and (Know Your Client) KYC enquiries, reassurance programmes, investment policy, operating systems, processes, people etc. We believe stakeholders will require companies to establish risk management principles to identify the sources of business risk and install processes that will mitigate the risks jeopardising business objectives and Shareholders worth. We give below some examples of risk and mitigating actions (Schroeck, 2002). Type of Risk Example Some Mitigating Actions Market Risk An adverse change in asset market values without a corresponding change in liability values. Have a formal asset distribution policy, define sartorial distribution, and stock selection criteria. Match assets to liability profile. Interest Risk A change in the discount rate adopted in calculating liability values without matching changes in asset values. Prudential Reserving Approaches Insurance Risk An increase in mortality experience (e.g. group life). An increase in life expectancy (annuity business). Increase/decrease policy lapses etc. Anticipate potential changes through prudential reserving Operational Risk Inadequate premiums ICT failures Failure to reassure Inadequate staff Review Rates Document ICT processes, external backup sites, maintenance etc Review administrative processes Train staff, review recruiting and remuneration policies Credit Risk Failure of reassure Failure of debtors (debt security/large broker/agent) Have operational and financial criteria for choosing reassures and debt securities Liquidity Risk Failure to meet obligations due to cash flow strains or having illiquid assets. Asset liability matching Secure adequate banking arrangements etc. Embedded Value The change in end year reserves directly impacts the declared underwriting profits and by implication the overall business profits, dividends and shareholders worth. We anticipate that reserve calculation methods and their adequacy will in future need to be justified to stakeholders. The calculation methods will have to be scientific, independent of management and be in line with best global practice (Carey, 2006). As in other territories we perceive stakeholders will require Shareholders Worth to be expressed as the Embedded Value (EV), which essentially is The Adjusted Net Asset Value (NAV) balance sheet NAV if assets and liabilities are expressed at their fair values The estimated future profits to shareholders from the business currently in force. Typically, the EV will exceed the normally reported NAV. Companies are beginning to privately calculate their EVs in Nigeria and we expect that as insurance market analysts and financial consultants get increasingly involved in the insurance sector, demands for companies published EVs will increase as is happening in Asia, Australia, Europe and the Americas. Economic Capital We foresee businesses/managers in the near future enquiring of the amount of Capital actually needed to be dedicated to insurance business to reflect the projected business mix and growth over a review period (typically 1 year). This capital, called the Economic Capital, will reflect the entitys risk appetite and will, for instance, differ for identical companies with different reassurance programs (Schztz, 1997). In Nigeria, where capital requirements are presently high in comparison to technical liabilities the concept of economic capital will immediately be useful for the investment management of the Shareholders Funds. A relatively risk free approach could be adopted for the investment of the economic capital whilst a more risky approach may be adopted for the balance of funds, reflecting the degree of the enterprises risk adverseness. We anticipate the latter half of 2008 and, particularly 2009 to herald significant changes in the insurance sector (Onosode, 1993). Management making significant investments in operating systems and people Active new Product development efforts More educative and aggressive marketing efforts Significant business expansions occurring in 2009 A relative influx of foreign potential core investors Improved financial reporting, especially a shift to EV reporting Increased regulatory alertness/requirements. The current rules based approach to capitalisation and reserves may yield to a principles based approach. It has been estimate that 2010 will be the year of the `big bang with Life, health and household insurance premium incomes exceeding 1% GDP and at least three (3) insurance companies recognised as being leaders in Nigerias financial services sector. Reforms in the Insurance Industry The Government of Nigeria in view of keeping the confidence of common man and organization in the market and to enhance the insurance industry has taken some reformative action . it include the process of recapitalisation and consolidation. As to remain competitive in the global world these are desperately required. After the reform new bigger and stronger player come into the existence which can fight in a global environment with the other foreign companies. Post reform the Nigeria insurance industry works on a small marginal scale. Which restricted the growth of the market and the organization as the profitability is low and premiums are high. It can specially be referred in the context of oil and energy business. The government feel there is immense potential in the field of insurance industry if some corrective measure to be taken. The absence of private and public developmental infrastructure also hindered the growth of insurance industry in Nigeria. There is a vision 2020 determined by the Nigerian government for insurance sector which shows the future of the market and some prediction has been made about the industry. The vision was focused towards the choices available among the emerging market. To be count in the top 20 insurance market in the world Nigerian insurance market is require to be attain more efficiency and safety measure, more transparent and a higher market penetration and capacity. Keeping the view of vision 2020 the reforms in the insurance industry being developed so that the bigger and stronger player can emerge which can in turn fight with the global competition and trends. While there scale of operation will be large and can bear the any uncertainty in more professional way (Mehta, 1990). Okechukwu Chukwulozie, talked on the reforms in insurance industry that One of the major task faced by the NAICOM is to the increase the market charming of the share of insurance companies. So that the individual and corporate house can feel the insurance companies share more attractive than others. According to him it is prerequisite for NAICOM to increase the awareness in the public about the insurance companies, to publish the great financial performance attained by the insurance companies. It will lead to the confidence building in the public hence will lead to the purchase of insurance and their companies shares. Later on it will have ripple effect. He emphasized on the reformative active action has to settled as soon as possible as companies have to accept the reality and look for a bigger picture by compromising on their personal objectives for short term. According to him Oil and Gas insurance business is the most important for Nigerian Insurance Industry. Though the industry has made a remarkable progress in this regard but it still require the co-operation from the NNPC. According to Okechukwu Chukwulozie the future of insurance industry in Nigeria is very bright and it looks more promising as the government enforce 45 % local content policy in Oil and Gas industry. Also the insurance companies are having their own committee which are run by the representative of the relevant stakeholders which look after the interest of all working projects. With the government enforcement of 45 % local content policy the insurance industry is expected to boost up by over USD 400 million in the coming two year. This phenomenon wills not just only the profit for the coming years but also throw up new challenges and opportunities. Some more researched and calculative action has to be taken in lieu of strengthening of insurance industry of Nigeria. (Edwin, 2005). The task in front of insurance industry is to build up a Sovereign Trust franchise at local and international level. A more strategic partnership is requiring with the West African Sub-region. The privatization or partial privatization is welcomed for ill unites and non-performing erstwhile public companies. Nigeria is a rapidly developing economy is experiencing the entry of foreign companies in the domestic market in telecommunication, banking, energy and petroleum which will further fuel the competition. Economic Capital Shareholders Real Worth Reported Profits + Dividend Policy True Underwriting Profits Technical Reserves (Calculation Method) Risk Management Policies

Similarities Between Confucius And The Great Scholar...

Imagine yourself in Ancient China where you are told you can only do things a certain way. One must look very deeply into the Ancient Chinese governments to see that it is influenced greatly by the great scholar Confucius. Do we see these influences in today’s systems of governments? Confucius had many different areas of focus but we can whittle that down to three areas. The three main areas of Confucius are all seen in some way in the Ancient Chinese governments. The first point in Confucius s three main points is the importance of family. Confucius stressed that family is composed of many types of relationships within the family. These relationships are: parent and child, husband and wife, and elder brother and younger brother. The relationship between the elder brother and younger brother is a simple one, but it can easily be overlooked. The relationship between parent and child is one of the ones most emphasized by Confucius. Confucius uses the idea of Filial Piety, the re spect of a child for his or her parents, to stress the importance of this relationship. Confucius is also known for the idea that â€Å"if the interests of one’s ruler and one’s parents conflicted, one’s support of the parent came first† this is according to the book, page 48. Confucius also has the belief that everyone is born into the world as good. Last but not least, is the relationship between husband and wife. In Lessons for Women by Ban Zhao, Ban Zhao lists many different maxims that led to aShow MoreRelatedConfucianism vs Taoism Essay953 Words   |  4 PagesThe Teachings of Confucius versus the Tao Te Ching The teachings of Confucius and the Tao Te Ching are two important schools of thought in China. In Confucius’s Analects, he talks mostly of political and social issues and also speaks about how people must govern by following rules and displaying virtuous qualities such as honesty and integrity. Lao Zi on the other hand talks of how the world has a propensity towards balancing itself and that people should govern by â€Å"going with the flow† while theRead MoreConfucius Vs. Laozi On The State Of Nonaction1679 Words   |  7 Pages Confucius vs, Laozi on the State of Nonaction Confucius (551–479 B.C.E.) and Laozi are some of the most renowned Chinese philosophers of all times. Laozi is considered by many scholars as a contemporary of Confucius. Indeed, the philosophies of the two scholars share a lot in common one of them being that they are critical of the world they live in because of disorder, which they attribute to deviation from the â€Å"way† of the golden period. Also, both their philosophies see the state of â€Å"nonaction†Read MoreConfucianism and Taoism Essay982 Words   |  4 Pages Confucianism and Daoism are two influential schools of thoughts that have existed in ancient China around the 6th century BCE. The former, led by the politician and philosopher Confucius, proposed that humans live in society according to a set of predefined rules and that they transform society through political action. Whereas the latter, led by the philosopher Lao-Tzu, promoted the idea of inaction; people should go with the flow instead of taking action to control their lives and dominate theirRead MoreEssay on Ap World Similarities and Differences China and Rome1144 Words   |  5 PagesHan China and Rome The Han Dynasty and the Roman Empire both had a great influence not only on its people but the world as a whole. The two had similar and different methods of political control. Both ruled their people under a bureaucracy, they had civil servants to maintain their large empires, and their foundations were made of great and strong rulers. Aside from the similarities they also had several differences. Take China for example, they focused more on Confucianism and they had a MandateRead MoreSocrates And Confucius As Teachers3484 Words   |  14 PagesSocrates and Confucius as Educators Neither Confucius nor Socrates were regarded widely in their lifetimes as highly valuable and distinguished men. Their fates were colored with tragic hues, but their ethics have survived them and become immortalized as treasures of world culture. Socrates had a formative influence on Western philosophy, and he emphasized logical method, the meaning of human experience, and the quest for eudaimonia through moral excellence. His famous paradox, that no one does wrongRead MoreMencius vs. Confucius2600 Words   |  11 PagesI think that Confucius was more correct in his views than Mencius, not because of differing views (although they did differ at certain points), but because of the way these ideas were carried out throughout his career, and ultimately, his life. Confucius was a Chinese thinker and philosopher. His philosophy emphasized personal and governmental morality, correctness of social relationships, and justice and sincerity. These values gained prominence in China over other doctrines, such as Taoism duringRead MoreReaction Paper on the Filipino Is Worth Dying for1887 Words   |  8 Pagesâ€Å"The Filipino is worth dying for† This simple yet powerful statement, attributed to Benigno â€Å"Ninoy† S. Aquino, Jr., is one of the most popular quotes in Philippine society. It is quoted by great statesmen in their speeches, it is reprinted on thousands of t-shirts – but in truth, Ninoy never said this, at least not verbatim. The full text of this statement, which Ninoy delivered before the Asia Society on August 4, 1980 in New York City, goes deeper than the oft-quoted truncated version implies.Read MoreThe Two Chinese Philosophies Of Confucianism1816 Words   |  8 PagesThe two Chinese philosophies of Legalism and Confucianism could not be more opposite. Even though two of the writers of Legalism were students of Xinzu, a philosopher of Confucianism, there are more of differences than similarities between the two. Because of this, legalism, which preceded the concept of Confucianism, had a lot of reasons why Confucianism was considered wrong. While towards the fall of the Qin Dynasty, Confucian beliefs started to revamp and become more widely accepted and thus theyRead MoreThe Epic Of Gilgamesh, Religion Of Islam2024 Words   |  9 Pagesauthorities have influenced the world to lead our lives with morals and ethics. But how did we come about to wonder whether how we live our life is just or not? The epic of Gilgamesh, religion of Buddhism, the religion of Islam, and the teachings of Confucius are some different ways that individuals are taught to lead moral and ethical lives. Through the moral messages of epics, the guidance of both the Buddhist Eightfold Path and Islam’s Five Pillars, and Kongzi’s Analects’ teachings for attaining WaweiRead MoreChinese and Indian Culture Essay857 Words   |  4 Pagesï » ¿Chinese and Indian Cultures China and India have had close connections for many centuries. Similarities and differences can be found in many of their cultural aspects. Both India and China flourished as river cultures in regions surrounded by mountains. They relied heavily on agriculture which was supported by the rich soils of the river basins. (Witt, et al., 2001, p.443) Looking at the areas of religion and philosophy, architecture, and music, will bring to light some of those aspects and the

The Rebirth Of The Renaissance - 999 Words

This world has become a realm full of astonishing art ranging from the Stone Age, Mesopotamian, Egyptian, Greek and Hellenistic, Roman, Byzantine and Islamic, Middle Ages, Early and High Renaissance, Venetian and Northern Renaissance, Baroque, Neoclassical†¦ to our modern art. Each age is either influenced by the previous one or artists explore whole new concepts and innovations to complete something that has never been done before. As new civilizations rise new concepts and techniques for art are formed with them, such as the iconography, compositions, and media used. Throughout all these ages art has been a huge part but none have prioritized art as much as the Renaissance, also known as the rebirth. The Renaissance was the time of the great revival of art, literature, and learning in Europe (started in Florence). The rebirth began in the 14th century and extended to the 17th century, some say that it was marking the transition from the medieval to the modern world. Artists d eveloped their own new innovations that are still used in contemporary art. The development of linear perspective and other techniques of achieving a natural and realistic painting were greatly used. Many great artworks where created throughout the Renaissance. Two great masterpieces done in this time period were Leonardo Da Vinci’s Last Supper, and Raphael’s The School of Athens. These two pieces show the complexity of beliefs that were going on during the rebirth. Leonardo’s Last Supper, is one ofShow MoreRelatedRebirth Of The Renaissance1030 Words   |  5 Pagesfall of Constantinople. During this time, there were wars, famines, and diseases. The Renaissance was a time of rebirth of Greek and Roman classics and prosperity. The Renaissance people knew they were different, they learned new things, and succeeded in many different forms of art and science. The many unique advances made the Renaissance a distinct period from the Middle Ages. People living during the Renaissance rediscovered themselves and the Greek and Roman classics. They knew they were in aRead MoreThe Renaissance : The Age Of Rebirth1426 Words   |  6 PagesThe Renaissance was from the 1300’s to the 1500’s. It started towards the end of the middle ages and the dark ages. It began after the Crusades when the Crusaders came back. The Renaissance was the age of rebirth. The age that consisted of many wonderful things including trade, art, science, architecture, religion, learning, and inventions. The biggest thing though was the trade. Trade began after the crusaders came back from there journey for god bearing many new things from all over Europe. TheyRead MoreThe Renaissance: The Rebirth of Europe1245 Words   |  5 Pages â€Å"The Renaissance represented a rebirth of the Aristotelian spirit. The results of that spirit are written across the next two centuries, which men describe, properly, as the Age of Reason and the Age of Enlightenment. The results include the rise of modern science; the rise of an individualist political philosophy (the work of John Locke and others); the consequent spread of freedom across the civilized world; and the birth of the freest country in history, the United States of America. TheRead MoreRecovery And Rebirth : The Age Of The Renaissance1414 Words   |  6 PagesChapter 12 Outline Recovery and Rebirth: The Age of the Renaissance Meaning and Characteristics of the Renaissance **Italian Renaissance primarily of the wealthy upper class of elite rather than mass movement** Urban Society Renaissance Italy a result of its commercial preeminence and political evolution, northern Italy (mid-14th century) was mostly a land of independent cities that dominated the country districts surrounding. the city-states were the centers of Italian political, economic, andRead MoreThe Renaissance : An Era Of Rebirth And Reformation1171 Words   |  5 PagesThe Renaissance was an era of rebirth and reformation, which brought about awareness of various cultures. It was a period of intellectual improvement because there was a new enthusiasm for learning. Also, there was an increasing focus in humanism, which emphasized the importance of individualization. Numerous improvements in literature, art, music, and philosophy led to developments that still influence today’s way of living. The exploration of the new world allowed the natural beauty of the worldRead MoreThe Renaissance And A Literal Translation Means Rebirth Essay1521 Words   |  7 PagesThe term Renaissance in a literal translation means rebirth. Fitting as the Renaissance was a cultural and academic movement emphasizing the rediscover of texts and philosophy from the ancient Greek and Roman empires. While no one date m arks the absolute beginning or end of the Renaissance, it is generally agreed to have been birthed by a gradual influx of ideas, pushed along with Johannes Guttenberg’s invention of the printing press in 1436. The 1400’s is characterized by a resurgence of knowledgeRead MoreThe Harlem Renaissance : A Period Of Ethnic Rebirth1664 Words   |  7 PagesThe Harlem Renaissance was a period of ethnic rebirth in the streets of Harlem, New York that changed the way people viewed black culture and their art. During the Great Migration, hundreds of African Americans packed their bags and moved north in search of a better life. There, they were given the chance to express themselves through their music and literature. New artists, musicians, and writers emerged from the city. Musicians like Duke Ellington and Billie Holiday performed in clubs, showcasingRead MoreThe Renaissance : A Rebirth Of The Ideas Of Ancient Greece923 Words   |  4 PagesThe Renaissance was a rebirth of t he ideas of ancient Greece and Rome that began in the City States of Italy during the 14th century. The cultural resurgence began a new style of living in Europe after the horrors of the black death, and is seen as the beginning of the culture of the modern world. As Wassace K. Ferguson put in his book The Renaissance, the Italian artists grew tired of the darkness of Medieval Times and began to turn to the brighter times found in the classical ages (Doc 7). TheRead MoreThe Historical Development That Truly Define The Renaissance As Rebirth1441 Words   |  6 Pagesthree historical development that truly define the renaissance as rebirth . In Renaissance History and Religion, Renaissance rebirth. It assigns especially to the rebirth of learning that began in Italy in the fourteenth century, spread to the north, counting England, by the sixteenth century, and ended in the mid-seventeenth century. the Renaissance were more than a rebirth. First historical development that truly defin e the renaissance as rebirth is The compass. It’s important for navigation. PrintingRead MoreThe Renaissance Was A Time Of `` Rebirth `` And Changing Thoughts1226 Words   |  5 Pages The renaissance was a time of â€Å"rebirth† and changing thoughts. The time of the renaissance was between the 14th century and went to the 17th century.Prior to the renaissance, people of the dark age devoted their life towards god, the changing thoughts of the renaissance lead people to devote their life to learning. The people’s top priority was no longer pleasing God and doing good for God, instead they began to change their priorities. God was still a big part of people’s lives but there was

Censorship Is A Controversial Topic Essay - 1399 Words

Censorship in the media that is a very common yet, controversial topic due to the subject matter being around children and the youth. It has sparked attention from many government and public individuals that have demanded a probation on certain age groups. The official start on the entire blockade of certain age groups has started with the MPAA† Motion Picture Association of America† in wanting to prohibit certain age groups from viewing certain movies, yet there has always been ways around the rating system for the youths. Today, Censorship is a controversial topic that has many different outlooks on the topic in general for those who may support or oppose the practice in use. Censorship is a major topic that has taken many activists on top of the issue entirely and on every aspect regarding the issue. Such activist groups proclaim to want rules to be enforced that would prevent explicit content to be blocked or banned within the public. Which if not in a way would be e nforced it would cause the world would be crazy without it. While there are individuals that support the topic, which support such claims that the bad content is bad for the minds of the young, and there are those who oppose such practices in a different way. While those who argue that censorship should disappear they come across arguments that basically suggest that censorship denies access to vital information and fights against the first amendment freedom of speech which applies to all individualShow MoreRelatedEssay on Censorship in Schools is not Justifiable959 Words   |  4 PagesCensorship in School is Not Justifiable Walt Whitman once said, â€Å"The dirtiest book of all is the expurgated book.† Between the years 2000 and 2009 a total of 3200 books were challenged in school libraries in an attempt to expurgate, or censor, the content in books provided to students. Today the trend of censorship continues as popular novels such as The Hunger Games, The Fault in Our Stars, and Captain Underpants are censored from schools across the nation (Challenges by Reason).Censorship in regardsRead MoreIts Time to STOP Banning Books Essay1383 Words   |  6 Pagesbooks that contain sexual content, vulgarity, and violence give children and young adults a reason to snicker about these topics when discussed in class because we are taught that these topics are not appropriate to talk about publicly. There are many factors that play a major role in how an individual perceives certain topics in books. If taught at an earlier age that these topics are suitable for mature discussion, a child is less likely t o find it funny or become offended. How a parent reacts toRead MoreCensorship And Its Effect On The Creativity And Enjoyment Of What We Indulge Ourselves1647 Words   |  7 Pages How does censorship in media undermine the creativity and enjoyment of what we indulge ourselves in? The existence of censorship itself can take many forms in media. Sometimes it can exist for reasonable reasons to the most absurd. This filter has existed as long as public demonstration has existed; there was always information that has not has not been shown or spreadto the public. Now in modern times, it has been used and implemented in across several formats in media and entertainment. Is itRead MoreCensorship Critique Essay1074 Words   |  5 PagesJulia Else-Green Eng 103 DE2 October 11, 2008 Critique of â€Å"Censorship: A Personal View† In her essay, â€Å"Censorship: A Personal View† Judy Blume gives readers insight on the impact of censorship based on her personal experiences as a young reader and then later in life as a censored writer. She provides numerous examples of educators who were affected by censorship and chose to take a stand against it (345). Although the piece lacks evidentiary support for these accounts, and draws on sarcasmRead MoreCensorship Essay1233 Words   |  5 Pagesï » ¿Censorship Censorship is a highly controversial topic regarding the arts, controlling the freedom of expression of artists to convey what is deemed acceptable within society. Ai Weiwei falls victim under the power of the regime and the influence of censorship guidelines within China, limiting the display of his art due to the important messages he raises. Andres Serrano has experienced attempted censorship on his provocative image, Piss Christ, and has been attacked for producing offensive artRead MoreEssay about Banning Books in Schools1066 Words   |  5 Pageshis/her classroom. By banning books from the classroom, we prevent our students from learning about controversial topics in a safe environment, and we also encroach upon the student’s freedom of reading what they want in school. Literature often covers real-world controversial topics such as â€Å"multiculturalism, sex-role stereotyping, religious tolerance, and racism† (Blair 1998, pg. 57). While these topics may not want to be approached by certain teachers, the students are still confronted with themRead MoreThe Internet and Censorship940 Words   |  4 Pagesthe more controversial topics that involves the internet, is the censorship of the internet. Internet censorship can be defined as the control or suppression of what can be accessed, published or viewed on the internet. It’s been hot topic in recent years because many government organizations have been trying to pass many reforms to help push the censorship of the internet, either directly or indirectly. Things like Net neutrality and SOPA/PIPA have been playing major roles in censorship of the internetRead MoreCensorship And Its Impact On Society Essay1658 Words   |  7 Pagesworld shut to the truth and blinded to mankind’s p ast and present mistakes. Censorship has always been prevalent, it has let a small crowd of people dictate what the masses can or can’t see as well as what they can and can’t read in schools. It is the suppression of speech: the careful evaluation of each and every book and the censoring of unacceptable parts. Censorship has been one of the world’s most controversial topics. It has been around since before 399 BCE and has affected societies in oneRead MoreCensorship Cases in America1404 Words   |  6 PagesCensorship is the process of suppressing something that is considered objectionable or offensive† (Truly 1). It is also the obstruction of Freedom of Expression. The process starts when a work is found offensive because its contents are considered vulgar, contradicting to beliefs and values, or violent. Concerned citizens form groups and create a strong social pressure to force the government or schools to remove the content. The information introduced in schools can contradict the ideas and valuesRead MoreFahrenheit 451 Analysis798 Words   |  4 Pagesstand out dystopian hit that makes controversial social commentaries. Some of the commentaries he touches upon the topics of censorship and social conformity. All of which are demonstrated through the strategic use of de manded conformities and the dystopian setting. Overall, In Fahrenheit 451, Bradbury comments on the censorship and ideological limitations in today’s society by emphasizing political and social control in his novel. Ray Bradbury criticizes on censorship in the present day society through

Microsoft Surface Tablet

Question: Discuss about Microsoft Surface Tablet and its pricing policy, main competition, recent business strategy and any other factors that you think are relevant? Answer: Microsoft Surface Tablet is the ultimate replacement for desktop. It is designed and built specially for Surface Pro 3 (dpa, 2012). The docking station instantaneously connects to an individual with its favorite accessories at home and work. The surface blog is the specific source for the all things in Surface. It is a tablet that can replace your laptop. It is developed to handle even the majority of intensive tasks, the tablet has functional keyboard with multi-position kickstand. The kickstand has several positions which allow one to work comfortably whether he or she is on plane or in front of the television or at the desk. It has an alert, touch screen, stereo speakers with the sound of Dolby audio and the camera is of 1080p. It makes watching movies or video conferencing better. It can be taken anywhere one wants as it is 1.76 pounds weight and 0.36 inches thin. One can focus on being beneficial for longer because it gives a battery life of 9 hours for web browsing. The multi u ser accounts in the tablet let each of the members in the family personalize their space in the same device. It also protects the children when they are online. It gives a great pen experience with which the user can mark his documents and also take notes. It is known to be the best invention of the year (Hanke and Toussaint, 2010). Pricing polocy The pricing policy that Microsoft follows is a bit different. The tablet is designed exceptionally and is well-engineered hardware. The tablet is lives up to its tagline of replacing the laptop but it is still struggling in Australia (Schindler, 2012). The reason is Price. As we know that price is one of the determinants of demand so it is very vital because it influences the demand for a product. A survey says that the price of the tablet is a hurdle in the way to its success. The price of the device starts from AUD$800 which is comparatively slated high if compared to the best model which is Surface Pro 3 priced at $1300. It also enough power storage without being so expensive which is totally impractical. Microsoft advertised the tablet as the replacement of the laptop and has set in opposition with the MacBook. The comparison is valid on a technical level but when we talk about the price, the tablet becomes difficult to sell (Schindler, 2012). Microsoft may follow the price skimming strategy of the pricing strategies in which it has set a moderately high price for the pro initially and according to the demand of the product will shift the price. It is approved that for 20% an individual gets a tablet which has the ability to be both a laptop and a tablet (Sheehan, 2011). But on the absolute value terms, what an individual gets for $1430 with the Surface Pro is a reasonable exchange if compared to the MacBook Air which is priced at $1200. The trouble is that we are talking about Apple which falls in the exclusive quality. It cannot be justified because Apple prices its products to both higher price and higher quality i.e., it falls under the premium section of the pricing strategy which is not in the case of Microsoft. Another setback is that Surface tablet is competitively priced against the equivalent laptops or ultrabooks but people perceive it as tablet only (Sicheres SINA Tablet auf Surface Pro 2 Basis, 2014). So the c ustomers dont compare it with MacBook they compare it with the iPad (Dempsey, 2014). While we think over this aspect the price of the Surface tablet seems insane. Microsoft can solve this problem by shifting the perception about the brand itself and also about the operating system Windows 8. Microsoft now has to immediately cut down the price of Surface tablet to make it more appealing. It does not have to undercut the price of MacBook. The type keyboard cover ought to be included by default and punched in the base price. Microsoft is turning the potential customers off by charging an extra of $130 for the nickel and diming approach. Main competition Microsoft Surface will be changing the expectations of the customers of what one can do with his or her tablet. Now consumers do not have to but a mobile operating system and also the corresponding application network (Sicheres SINA Tablet auf Surface Pro 2 Basis, 2014). They can now buy a tablet which will help the customers use it as both a laptop and a tablet. While the features of the two Surfaces will be same the hardware functions are basically different. Surface RT competing directly with Apple iPad and the current production of Android tablets, the ones which operate on power-efficient ARM based processors. The Surface Pro, being a tablet is targeting the Ultrabooks and other ultra portable laptops. Recently it has been seen that when customers in Australia logged into Microsofts website they were greeted with a surprise. Microsoft has quietly slashed $100 from the original Surface Pros cost, bringing in the 64-GB base model down to $699. Originally the surface pro was discou nted in the month of August when Microsoft has slashed down the cost to $700 from $899 (Chaparro, Phan and Jardina, 2013). In many ways it is impractical to compare iPad Air to the Surface tablet. Apple has kept its iPads independent from its MacBooks (The Teardown: Microsoft Surface, 2013). Surface Pro is preferably called Ultrabook by Microsoft and not tablet. This differentiation in branding proposes whether the customers want a Surface Pro or an iPad. The deal is whether anybody prefers an excellent tablet with limited functions of a laptop or a exceedingly portable laptop with the modest functions of a tablet (Baseman, Warren-Boulton and Woroch, n.d.). Business strategy Microsoft still did not clear its strategy for tablet, as it announced it largest layoff in its history. The company has cut up to 18000 jobs, or 13.5% of its work force, with the volume of those layoffs which comes from a streamlining effort after the acquisition of the phone-maker Nokia. Microsoft tried ineffectively to make a venture into tablet market which is dominated by Apple. The Windows based tablets share in market have risen from less than 0.5% in 2012 to 3.2% in 2013 and are predicted to reach 11% in 2007. Microsoft did something right which made the presence of tablet. There strategy was to develop Surf ace 2 which has the software-hardware bundle at competitive price. And the second strategy is to go in partnership with Best Buy which began to pay off. The company is getting their business strategy right by tackling its customers needs genuinely and letting them experience the commodity in the retail stores (Banes, 2009). References Banes, D. (2009). Microsoft Surface   a new approach to access and technology. Jnl of Assistive Technologies, 3(1), pp.29-31. Baseman, K., Warren-Boulton, F. and Woroch, G. (n.d.). Microsoft Plays Hardball: The Use of Exclusionary Pricing and Technical Incompatibility to Maintain Monopoly Power in Markets for Operating System Software. SSRN Journal. Chaparro, B., Phan, M. and Jardina, J. (2013). Usability and Performance of Tablet Keyboards: Microsoft Surface vs. Apple iPad. Proceedings of the Human Factors and Ergonomics Society Annual Meeting, 57(1), pp.1328-1332. Dempsey, P. (2014). The Teardown: Microsoft Surface Pro 3. Engineering Technology, 9(8), pp.90-91. dpa, (2012). Microsoft bringt eigene Tablet-Computer heraus. pdiatr. hautnah, 24(5), pp.365-365. Hanke, M. and Toussaint, C. (2010). DATEV-INTERACT - eine Businessapplikation fr Microsoft Surface. i-com, 9(1). Schindler, R. (2012). Pricing strategies. Thousand Oaks, Calif.: Sage Publications, Inc. Sheehan, B. (2011). Marketing management. Lausanne, Switzerland: AVA Pub. Sicheres SINA Tablet auf Surface Pro 2 Basis. (2014). Datenschutz Datensich, 38(5), pp.353-354. The Teardown: Microsoft Surface. (2013). Engineering Technology, 8(1), pp.88-89.

Justice in Shakespeares Hamlet Essay Example For Students

Justice in Shakespeares Hamlet Essay In todays society, those who have done wrong are taken to court where they go through a long trial before justice can be served that is if it is served at all. That is not to say that there were no courts or civilized means of punishing wrongdoers in the past, though many people tended to take justice into their own hands. Those who do wrong should be punished and their victims should have some sort of relief. At some times, the villain gets away with his crime, although at other times he makes mistakes which can come back to haunt him. This is the case in Shakespeares Hamlet. Many of the characters have done wrong to another, the biggest victim being Hamlet. The quest for revenge and justice is very overwhelming for him. As Laertes dies, he says that he is justly killed. Polonius, Rosencrantz and Guildenstern, and Claudius all have nemesis visited upon them. Their own wrongdoing backfires, bringing the downfall of each and justice for Hamlet. Polonius, the father of Laertes and Ophelia, has a large tendency to spy. He sticks his nose where it does not belong and he cannot seem to mind his own business. Although his intentions seem fair, Polonius spies on his children quite a bit. With his son Laertes away in France, he sends his servant Reynaldo to see if everything is all right. Before the visit, Polonius wants his man to make inquire of his behavior (II. i. 4-5). It appears as though Polonius does not have very much trust in his son; so spying is his way to make sure that his and Laertes reputation remains intact. Polonius not only spies on his children, but also on Hamlet. With the king, he plans to use Ophelia to understand why Hamlet acts so strangely. To the king, he says, At such a time Ill loose my daughter to him. Be you and I behind an arras then (II. ii. 161-162). This is not the only time where Polonius spies on Hamlet. He does so again when Hamlet is speaking to Gertrude in her chambers. He decides to convey to hear the process (III. iii. 28-29). Hamlet, not knowing that Polonius is behind the curtain, strikes with his sword killing the spy. At one point, Claudius says that together, he and Polonius are lawful espials (III. i. 32). Though in reality, if his spying was lawful, he wouldnt have died. Therefore, Polonius tendency to spy is what kills him and puts him to justice. Two of Hamlets dear friends from university, Rosencrantz and Guildenstern, also have nemesis visited upon them. They are sent for by Claudius who tells them, The need we have to use you did provoke our hasty sending (II. ii. 3-4). This great need is for them to find out exactly what is wrong with Hamlet. It is known that Hamlet is such good friends with them because Gertrude says, He hath much talked of you, and sure I am two men there is not living to whom he more adheres (II.ii. 19-21). Even though Rosencrantz and Guildenstern are supposed to be Hamlets good friends, they follow Claudius orders like a sponge, as Hamlet says, that soaks up the kings countenance, his rewards, his authorities (IV. ii. 13-14). This is especially true when they take Claudius orders to follow him at foot; tempt him with speed aboard when escorting Hamlet to England (IV. iii. 51). Hamlet unfolds the grand scheme when he finds the letter that Rosencrantz and Guildenstern are carrying with them to England. .uf59c2b12b19c06abff8be25c585f7583 , .uf59c2b12b19c06abff8be25c585f7583 .postImageUrl , .uf59c2b12b19c06abff8be25c585f7583 .centered-text-area { min-height: 80px; position: relative; } .uf59c2b12b19c06abff8be25c585f7583 , .uf59c2b12b19c06abff8be25c585f7583:hover , .uf59c2b12b19c06abff8be25c585f7583:visited , .uf59c2b12b19c06abff8be25c585f7583:active { border:0!important; } .uf59c2b12b19c06abff8be25c585f7583 .clearfix:after { content: ""; display: table; clear: both; } .uf59c2b12b19c06abff8be25c585f7583 { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .uf59c2b12b19c06abff8be25c585f7583:active , .uf59c2b12b19c06abff8be25c585f7583:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .uf59c2b12b19c06abff8be25c585f7583 .centered-text-area { width: 100%; position: relative ; } .uf59c2b12b19c06abff8be25c585f7583 .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .uf59c2b12b19c06abff8be25c585f7583 .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .uf59c2b12b19c06abff8be25c585f7583 .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .uf59c2b12b19c06abff8be25c585f7583:hover .ctaButton { background-color: #34495E!important; } .uf59c2b12b19c06abff8be25c585f7583 .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .uf59c2b12b19c06abff8be25c585f7583 .uf59c2b12b19c06abff8be25c585f7583-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .uf59c2b12b19c06abff8be25c585f7583:after { content: ""; display: block; clear: both; } READ: Twelfth Night, What Was Shakespeare Thinking EssayIn the letter, Hamlet finds an exact command where head should be struck off (V. ii. 19-25). Hamlet receives justice for his friends betrayal when he devised a new commission an earnest conjuration from the king he should those bearers put to sudden death (V. ii. 31-47). The plan is completely turned around, and the letter they are now carrying is basically one leading to their own downfall. The downfall of Claudius is very important and very justified. He can be considered a terrible villain when one thinks of all of the terrible things he does. Killing his own brother to take the throne and Gertrude is pure evil. The ghost of Old King Hamlet reveals the truth of his death to his son saying, The serpent that did sting thy fathers life now wears his crown (I. v. 39-40). Since biblical times, the serpent has been associated with evil and it is seen in statues how the Virgin Mary crushes the serpents head with her foot, which in a way brings justice for all of its evildoing. Claudius, like a serpent, uses poisonous venom to destroy anything in his way. He kills his brother with the juice of cursed hebona in a vial (I. v. 62). It is not only he who uses poison to get rid of others, he also feels as though Hamlet has a poisonous effect on him, which can be seen in the letter he writes to England requesting that Hamlet be put to death. He writes, Do it, England, for like that hectic in my blood he rages, and thou must cure me (IV. iii. 62-64). Like an illness, Claudius feels that the only way to live his life well is to get rid of Hamlet for good. When that plan fails, he decides to get rid of Hamlet himself through a fencing match between Hamlet and Laertes. Once again, Claudius wants to use poison. The original plan is to poison the tip of Laertes sword so that with a slight wound, the poison would get into Hamlets blood. Claudius is smart enough to make a Plan B saying, Ill have preferred him a chalice whereon but sipping, if he by chance escape your venomed stuck, our purpose may hold there (IV. vii. 157-160). The original plan works and Hamlet is poisoned by a wound from Laertes. The problem is that Claudius plan works too well because Gertrude drinks from the poisoned cup and Claudius exclaims, it is too late (V. ii. 274). In all of the confusion and chaos Laertes is also struck by his own sword, which is when he knows that he is justly killed. Hamlet realizes what has happened questioning, The point envenomed too? Then, venom, to thy work (V. ii. 306-307). He wounds Claudius and also makes him drink from the poisoned cup. Before Laertes dies, he says about the king, He is justly served. It is a poison tempered by himself (V. ii. 312-313). So in the end, Claudius gets a taste of his own medicine and after poisoning so many others, the snake dies from his own venom. In Shakespeares Hamlet, nemesis is visited upon Polonius, Rosencrantz and Guildenstern, and Claudius. Their downfall comes from their own cruelty and their plans explode ruining the lives of the innocent, and even their own. Although Hamlet also lost his life in the end, he avenged his fathers death and brought justice upon those who had done him wrong. In a way, it appears as though fate and karma come into play as well, which can be seen in the turning around of each of the offenders plans. Polonius was killed because of his spying. Rosencrantz and Guildenstern who carried the letter asking for Hamlets death ended up asking for their own. And finally Claudius whose use of poison killed the woman that he loved and himself. In closing, it has been shown that one must not play with death so closely, because eventually it will come back for more games, only then it will be fatal for the original player.