Porter generic strategies Michael Porter described three types of strategy to achieve/maintain competitive advantage in his 1980 work Competitive strategy: techniques for analysing industries and competitors. (CS:TAIC) These generic strategies are based on two dimensions: market scope + core competency with two competencies being the most important: product differentiation/product cost. [pic] Porter (1980) stressed that failure to adopt single strategy of differentiation or low cost results in
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Case Study 1 – Ocean Carriers 1. The Capital Budgeting Decision Should Ms. Linn purchase the Capesize vessel? Assume that Ocean Carriers is a U.S. firm and is subject to 35% taxation. (Please see excel sheets) From our analysis it appears that Ms. Linn should not buy the Capesize vessel. The Net Present Value on the Ocean Carrier is not a positive number‚ a clear indicator that buying the vessels is not a good idea. The tax rate of 35% makes a lot of difference in determining this NPV
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Michael Machuca Mr. Pitz AP World History 4/22/2013 Changes and Continuities in the Commerce of the Indian Ocean From the time of 650 C.E. to 1750 C.E. the commerce in the Indian Ocean had many changes and continuities. During the great trading routes long lifetime‚ it had powerful effects on the religion‚ people‚ and most importantly‚ the goods; these included spices‚ silks‚ perfumes‚ oils‚ and textiles. Many different peoples including the Indians‚ Arabs‚ and Chinese dominated the vast
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that Ocean Carriers is a U.S. firm subject to a 35% statutory (and effective) marginal tax rate. Second‚ assume that Ocean Carriers is domiciled in Hong Kong for tax purposes‚ where ship owners are not required to pay any tax on profits made overseas and are also exempted from paying any tax on profit made on cargo uplifted from Hong Kong‚ i.e.‚ assume a zero tax rate. Answer With 35% tax in the US we have a negative NPV of 35% hence recommended not to proceed with the project. If Ocean carriers
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ACCT 805AE Case 4 Ocean Manufacturing‚ Inc The Osprey Group Feb 21‚ 2011 Q1. The client acceptance process can be quite complex. Identify five procedures an auditor should perform in determining whether to accept a client. Which of these five are required by auditing standards? First they should gather and examine all available financial information‚ such as tax returns‚ annual reports‚ the balance sheet‚ and income statement. This should be done so that the audit firm can do a quick initial
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Background Ocean Carriers Inc. is a shipping company specializing in the operation of capsizes bulk dry carriers. In January 2001‚ Mary Linn‚ the vice President of Finance for Ocean Carriers was evaluating the purchase of a new capsize carrier for a three years lease proposed by a motivated customer. The leasing contract offers very attractive terms‚ but no ship in Ocean Carrier’s current fleet met the customer’s requirements. In addition‚ this proposed contract is only for three years. Therefore
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Michael Porter published the Value Chain Analysis in 1985 as a response to criticism that his Five Forces framework lacked an implementation methodology that bridged the gap between internal capabilities and opportunities in the competitive landscape. This framework focused on industry attractiveness as a determinant of the profit potential of all companies within that particular industry. However‚ significant differences in performance exist between companies operating within the same industry that
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Acidification in our Oceans Oceanography April 2‚ 2013 What is Ocean Acidification? “Ocean Acidification‚ is the worldwide reduction in the pH of seawater as a consequence of the absorption of large amounts of carbon dioxide (CO2) by the oceans.” (Britannica). Ocean acidification is largely the result of loading Earth’s atmosphere with large quantities of CO2‚ produced by vehicles and industrial and agricultural processes. Since the beginning of the Industrial Revolution about
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Did you know that most of the ocean pollution comes from us? This pollution can hurt the ocean animals and it will affect the food that we eat. Some of the most worst ocean pollution is untreated sewage dumped into the ocean‚ toxic chemical‚ and oil spills. The sewage gets into the ocean because of sewage pipes that break or leak. This is a problem because the sewage makes to much algae‚ and it will remove the oxygen. Around 80% of the sewage that is in the ocean is untreated. To help stop sewage
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US Airline Industry – Porter’s Five Forces The year 2011 was another dismal one for US airlines in terms of financial performance. Despite an increase in both passenger numbers and revenues for the year‚ profits were down on 2010. In total‚ US airlines earned net profits of about $0.4 billion‚ representing a net margin of less than 1%. The dire financial state of the industry was underlined by AMR (the parent of American Airlines) entering Chapter 11 bankruptcy in November 2011. This ended AMR’s
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