Marketing Plan for Bata Essay Example for Free

Marketing Plan for Bata Essay In this total market demand, about 42% are brand-driven. And bata is covering about 12% of the organized footwear segment. Industry environment- Threat of new entrants- †¢There are many barriers to entry preventing new entrants from capturing significant market share. Large footwear producer enjoy economy of scale that create cost advantage over any new rival. †¢BIL differentiated it’s product from rivals product like Comfort (using dynamic spring pad that acted as cushion on the feet for women’s footwear), Wind (in build air technology that allowed feet to breath fresh air) etc. The capital requirements are a high entry barrier to a new firm to the industry. However, an existing shoe manufacturer may enter the athletic shoe industry simply by re-tooling their manufacturing plant. †¢Switching cost is very low for footwear industry because shoes are relatively inexpensive personal goods that are frequently replaced. †¢Access to distribution channel is barrier to entry because it is really difficult for a startup firm to get shelf space at major shoe retailer. But existing firm may use their existing connections to easily access shoe distribution channel. Bargaining power of buyer- †¢Bata is largest player in industry with 9-10%volume share and 60% market share in organized segment. It had a market share of 70% in canvas shoe segment and 60% in leather shoe segment. Their dominant market share give them power over buyer. †¢Bata is a big buyer of raw material who buys significant part of suppliers’ revenue. This in a way provides good bargaining power over suppliers. †¢As a part of its strategic decision Bata set up a rubber/canvas factory in Faridabad, Haryana in 1951. So it can threaten it’s supplier to integrate backward. Bargaining power of supplier- †¢Shoes are made of leather, rubber, nylon etc. These materials could be classified as commodities, where the manufacturing process adds the value. For this reason supplier have limited bargaining power over buyers. Threat of substitute product- †¢Consumer switched from one product to another if alternatives are available in same quality and performance range and have competing price or lesser price. BIL produces 10% of total hawai ranged from Rs. 35-110 while competing local brands were selling at Rs. 25-50. Again when global trade open then market flooded with many international brands having variety and competing price. Rivalry among existing firms- †¢Mostly numbers of competitors are stable, especially because of high entry barriers. This adds to the rivalry among existing firm. Manufacturers watch each other carefully and make appropriate countermove to match the competitors move. Leading competitor of BIL are Lakhani shoes, liberty shoes, action shoes, woodland, paragon and relaxo in organized segment. General environment- Demographic- †¢Indian market is highly fragmented between rural and urban market. Thus with the implementation of Marketing plan the company’s profit are expected to rise by 100. 30 crores compared to the actual profit that it will have without the implementation of marketing plan. Implementation controls: The progress can be measured on quarterly basis by comparing the company’s growth rate with that of the industry for that quarter The Capital Asset Pricing Model van be used where R(b) = R(i) + beta(R(i)) Here R(b) is the expected growth (here sales) for Bata India Ltd and R(i) is growth of the Industry. Beta is the equating factor that tell by how much the company has grown with respect to the industry.

spanning tree protocol :: essays research papers

Spanning Tree Protocol Spanning tree protocol is a protocol that prevents loops that are not wanted in a network. In order for a network to work properly it has to have only one active path between two network stations. If there are multiple active paths between stations loops can and will occur. When loops occur, there can sometimes be duplicate messages in the network. The loops are created by the network and if the devices that connect the network segments are all configured to forward, they will continuously forward frames into an endless network loop. If there are enough loops going then a frame will not reach its destination. The reason duplicate messages occur is because sometimes switches will see situations appear on both sides of it. When this occurs that is when spanning tree protocol comes in. In order to shut down the loops bridges and switches exchange BPDU messages with other bridges and switches to detect loops and then remove them by shutting down selected bridge interfaces. BPDU is short for bridge protocol data unit. Bridge protocol data units are part of the spanning tree protocol and they help describe and identify the parts of a switch port. The bridge protocol data unit allows switches to obtain information about each other. All the switches gather information from each other by exchanging data messages. In order for them to exchange messages they have to elect a root switch for the topology. The root switch has to be unique. The way they elect they have to have a unique switch for every local area network segment. To exchange messages they have to remove all loops by putting them in a backup state. Now to talk about states there is 5 different states. Two of the five states do not participate in frame forwarding. Frame forwarding is what the three main states do. The three main states are listening, learning, and forwarding. The other 2 are blocking state and disabled state. When you enable the spanning tree protocol the network goes through the blocking state and then the listening state and learning state are enabled after being turned on. If the protocol is properly configured the ports are stabilized to the forwarding or blocking state. The blocking state does not participate in the frame forwarding. It removes frames that are received from the attached segment. It also discards frames from another port for forwarding.

Ipad vs. Galaxy Tablet

When you want to surf the Internet, what gadgets do you most commonly use: laptop computers, smart phones, or cell phones? Nowadays, many people have smart phones and laptops. However, we now also have access to tablets. So now we will compare two of the newest most commonly used tablets. One is the new iPad, manufactures by Apple, and the other is the Galaxy tablet note 10. 1, by Samsung. The tablets are quite expensive, the iPad is however priced at $629 and the galaxy note is $499. Both are high-resolution tablets.One can get normal usage out of the two if the batteries are fully charged. The main difference lies in the operating software and various other features, one being iOS whereas the latter is android. First of all we will examine the size. The new iPad is 9. 50 inches high and 7. 31 inches wide. On the other hand, the Galaxy note is 10. 3 inches high and 7. 1 inches wide. Hence, the Galaxy note is a bit bigger than the iPad. These sizes are almost half of a laptop. But th e depths of the tablet are very different from a laptop.Galaxy note is a little thinner than the iPad. Moreover, there are great differences in their connections; the Galaxy note has a USB port whereas the iPad does not. The iPad supports 3G Internet, 4G Internet and Wi-Fi Internet, none of which are supported by the Galaxy note. Another important aspect of the two is their respective weights. The new iPad is 1. 44 pounds whereas the Galaxy note is 1. 31 pounds. These are like 20 oz. plastic bottles of water. This makes the iPad a little heavier than the Galaxy note.It is a small difference but it plays a big role because tablets are used frequently and are very useful. They are supposed to be portable for daily use and flexible usage. Finally, we will focus on their prices and critique some reviews. Both these devices have a rating of 4. 5. However, the Galaxy note is priced at a reasonable rate and is more affordable. According to phonearena. com â€Å"From a distance, the two lo ok similar to one another, but once we’re able to grasp both in our hands, the new iPad is able to deliver the impactful wow factor thanks to its premium feel.Well, it’s not to say that the Samsung Galaxy Tab 10. 1 isn’t a bad looker, especially when it’s the lighter and slightly thinner tablet, but its all-plastic body doesn’t have the allure to match the impeccable industrial design of the iPad. † After analyzing all these facts I would say that the iPad is any day better because of its superior features and premium construction. However, it’s a person choice which one they prefer to use as the Galaxy is no far behind in the market either.It all depends on the person’s comfort level and personal choice. In conclusion, As per my personal opinion I would choose the iPad first but since it’s a little more expensive I would be inclined to choose the Galaxy note. We have to consider company value and accessories when choosin g a new gadget. We should also check out reviews on amazon. com and other ‘technology geeks’ websites to have a better understanding of what we are spending our money on.

First Responders During Natural Disasters - 2036 Words

Major Hurricane disasters along the coastlines have affected many cities and communities which have forced them to take into action and adopt the conception of emergency management, disaster preparedness, first responders and recovery planning. First responders play an intricate role during natural disaster; the first people to report on the scene are firefighters, police officers, paramedics and emergency medical technicians (EMT). These individuals risk their lives every day to make sure civilians are safe and evacuating distress communities is done in smooth and seamless fashion. Many cities and communities depend on first responders during natural disasters, especially when providing safety, search and rescue and evacuating procedures. First responders have a unique perspective because they know their localities well; they are familiar with street plans and landmarks, and they also understand the local municipal structure. They have the advantage if a disaster strikes such as Hur ricane Sandy to help minimize the community’s infrastructure. First responders form an integral component to the nation’s critical infrastructure. While it is important to compare past super storms to identify the improvement of first responders effectiveness and efficiencies of during Hurricane Sandy, we must also examine lessons learned to prepare the nation for the next super storm. This research paper will examine lessons learned from Hurricane Sandy and from those lessons the preparationShow MoreRelatedResponding To A Man-Made Or A Natural Disaster Presents1443 Words   |  6 PagesResponding to a man-made or a natural disaster presents dangers and difficulties to first responders, and involved agencies, whether they are local, state or federal agencies. The difficulties in responding to these critical incidents make having a plan essential to successfully respond to, and manage the outcome of a critical incident. The United States government has established a national plan called the National Incident Management System (NIMS). NIMS is comprised of 6 components which helpRead MoreThe Effects Of Trauma On Clients And Mental Health Counselors1467 Words   |  6 PagesUniversity The Effects of Trauma on Clients and Mental Health Counselors This paper will define The Effects of Trauma and Crisis on Clients and Mental Health Counselors and give a brief overview on how these Natural and man-made disasters, crises, and other trauma-causing events have become a focus of the clinical mental health counseling profession. Due to the extreme trauma that children, adolescents and adult experience after a traumatic event it, is noted that mostRead MoreDisaster Characteristics And Management Stages Essay1198 Words   |  5 PagesDisaster Characteristics and Management Stages A disaster is defined as a natural or man-made incident in which the degree of destruction, death or injury overwhelms the community, exhausts the available resources and decreases the community’s ability to respond (Nies McEwen, 2015). The frequency of natural disasters in on the rise. Studies show that since the 1970’s, floods, storms, droughts and heatwaves have increased five-fold (Unesco, 2011). Many experts point to climate change as the causeRead MoreChallenges Faced By Fire Service During Disasters1441 Words   |  6 PagesFire departments are not only known for putting out fires, they are also known for being a handyman and jack of all trades. Called to respond to various types of emergency incidents, disasters, and a variety of other non-emergent situations. On duty 24 hours a day, every day of the year, they respond to calls day or night, in all types of weather. These highly trained professionals not only put out fires, respond to medical calls, and moto r vehicle accidents, they also respond to the little boy whoRead MoreNatural Disasters And Attacks By Individuals Or Groups1710 Words   |  7 Pagesworlds history, there have been many natural disasters and attacks by individuals or groups, which have done extensive damage to cities, forests, and families within societies communities. The question that remains is, are there systems in place to effectively handle situations accordingly? In Canada, there is a model in place called the Incident Command System, (ICS). According to I.C., (2012), â€Å"An incident is an occurrence, either caused by humans or natural phenomena that requires a response toRead MoreThe Importance Of Communication1311 Words   |  6 Pagesadvancing communication between organizations and the communication for first responders. In the realm of first responder communication and terrorism, there is always room for improvement. This is especially true in regards to first responder communication. There is also much improvement to be made to the information sharing aspect between different organizations. The improvements in communication need to be applied before, during, and after a terrorist event. This will help reduce the likelihoodRead MoreEmergency And Disaster Response Of Emergency Management Essay1353 Words   |  6 PagesEMERGENCY AND DISASTER RESPONSE The cycle of emergency management continues with response to an emergency or disaster. The goal in this stage is to bring order to chaos. By alleviating confusion it allows an organized response. (Faggiano McNall, 2012) An organized response to disasters is vital to mitigating the loss of lives and property. To properly respond during a disaster there must be a coordinated response, complete with information sharing and exceptional communication. Communication mustRead MoreThe World Health Organization Defines An Event As A Disaster1424 Words   |  6 Pageschaos. Such effects of these types of disasters; naturally occurring, technological and human-caused, make it difficult to render aid and evacuate people who are traumatized physically and or psychologically. The World Health Organization defines an event as a disaster when, â€Å"normal conditions of existence are disrupted, and the level of suffering exceeds the capacity of the hazard affected community to respond to itâ⠂¬  (Lee, 2010, para. 1). While a disaster by definition overwhelms the response capabilitiesRead MoreEssay on Coping with Disaster1651 Words   |  7 PagesCoping with Disaster This paper will discuss Emergency Preparedness and Disaster Management that are city wide or larger in scope. It will first define disaster, then examine the typical stages in preparing for and coping with a disaster. Selected types of disasters will be considered, and examples reviewed, namely biological, chemical, and radiation related disasters. What is a disaster? A disaster is an unexpected calamity that is of sufficient magnitude that the normal societal coping mechanismsRead MoreNatural And Man Made Disasters1730 Words   |  7 Pagesdifferences between two different natural and man-made disasters. The disasters that will be discussed are Hurricane Katrina and the Deepwater Horizon oil spill. Additionally, this paper will look into the specifics of what constitutes a natural and man-made disaster. Specifically, this paper will look into each disaster to include the events surrounding them; the risks; and the assessments. Furthermore, this paper will look at some of the details of each disaster and why there was so much devastation

Why Is Genetic Variation Occurs - 1318 Words

The first person to coin the term epigenetics was Conrad Waddington in the early 1940s (1). He defined the study of epigenetics as â€Å"the branch of biology which studies the causal interactions between genes and their products which bring the phenotype into being† (2). Although scientists have long known that an offspring’s traits are passed down from its parents, the findings of Darwin and Gregor Mendel have really opened the doors for scientific researchers to begin to understand how and why genetic variation occurs. Now with advances in scientific research and bioinformatics, genetics has become increasingly important in revealing the root causes of diseases and the differences among individuals and species. Western religion has contributed to the extensive acceptance of the theory of â€Å"creationism† for hundreds of years. The term creationism according to the National Center for Science Education is: The religious belief in a supernatural deity or force that intervenes, or has intervened, directly in the physical world. Within that broad scope, there are many varieties of creationist belief. Some forms of creationism hold that natural biological processes cannot account for the history, diversity, and complexity of life on earth. Now with observations of gradual changes of species in the fossil record over time and advances in geology led to skepticism that eventually gave birth to the spread and development of the theories that make up the foundation of scientific theoryShow MoreRelatedLab 15 Essay697 Words   |  3 Pagesyou say about the genetic variation between these populations? That the genetic variation between these populations, are almost a complete 1:1 variation. Experiment 2: Questions 1. What observations can you make regarding the gene pool and gene frequency of the surviving individuals? That when you have a 50/50 chance of getting something it is just that a 50% chance you will get it. 2. What determines how often a phenotype occurs in a population? The variation in it if a person hasRead MoreThe Advantages and Disadvantages of Sexual and Asexual Reproduction1024 Words   |  5 PagesThe Advantages and Disadvantages of Sexual and Asexual Reproduction In order to avoid extinction species must reproduce and pass their genes on to the next generation, thus ensuring the survival of the population. For reproduction to occur cell division is necessary and this can be divided into two categories according to the behaviour of the chromosomes, they are known as mitosis and meiosis. Mitosis is when the daughter cells finish up containing exactly the same number Read MoreAp Bio Chapter 231661 Words   |  7 Pages\ Chapter 23 Reading guide 1. what is the smallest unit of evolution and why is this important to understand? The population is the smallest unit of evolution . This is important to understand because it keeps clear what is evolving. 2. Define the following terms: a. Microevolution: evolutionary change below the species level; change in the genetic makeup of a population from generation to generation. It is evolutionary change on its smallest scale b. Population: a localized groupRead MoreNatural Selection Paper1502 Words   |  7 Pagesable to pass their genes through reproduction. Within the process of natural selection, it is possible for the original genetic make-up of a species to become altered. The team will report on the different processes of basic mechanisms of evolution, how natural selection results in biodiversity and why biodiversity is important to continued evolution. The sources of genetic variation such as mutations and sexual recombination will also be reviewed. Mechanisms of Evolution It is said that biology â€Å"cameRead MoreEvolutionary Concepts Activity 6 Essay1337 Words   |  6 Pageschanges in the gene pool. There are several mechanisms that can change a gene pool and allow evolution to occur. Natural selection, mutation, gene flow and genetic drift are some of the driving forces behind evolutionary change. Natural selection and genetic drift are the mechanisms that decrease genetic variation, whereas gene flow and mutation are the driving mechanism to increase genetic variation. Natural selection is basically the understanding that the environment can not support unlimited populationRead MoreMental Health Illnesses Have A Genetic Contribution1534 Words   |  7 Pagesproving to show that mental health illnesses have a genetic contribution. Mental health professionals have long known that certain mental illnesses can run in families, due to the fact that most, the chance of obtaining schizophrenia or bipolar disorder with no genetic factor is around one perfect, as to where if someone has a close relative with a certain disorder, such as a parent or sibling, the risk factor jumps to around ten percent. The genetic force behind the abundance of mental illnesses isRead MoreThe Devil Lake Trout Population Study872 Words   |  4 PagesGenetic diversity is a measurement of the variation in the nucleotides, genes, chromosomes, whole genome or phenotype of an organism. An understanding of the genetic diversity of lake trout populations is required for effective conservation and management. The Devil Lake trout population has a higher mean heterozygosity than Loughborough Lake’s. Lake trout, Salvelinus namaycush, is the keystone species in most northern temperate lakes in North America. They are the top carnivorous species in theRead MoreIt Is Efficient When Copying Information992 Words   |  4 Pagescrossing over occurs. 9. 2 possible genetic variations produced in meiosis; Crossing over: The chromosomes will start to cross over, through exchanging segments of DNA molecules. This happens in the course of prophase 1. The double chromatid pairs which are condensed are the ones that cross over. The new structure offers genetic variation, as they allow the parent genes to intermix. This crossing over process takes place at non-sister chromatids, leaves them with a different genetic complement. ThisRead MoreThe Human Genome And The Building Blocks Of Life1359 Words   |  6 PagesRaul Santos 7-8 Period 4/9/2015 Genetics Much research has gone into learning about the human genome and the building blocks of life. Thanks to genetic research we have learned about mutations and what medical effects they can have on a person. Genetic research allows us to better understand and genetic variation. It has made easier the process of mass producing crops. Because of how useful genetic research is, billions of dollars have been invested in it by companies around the world. But what exactlyRead MoreCharles Darwin s Theory Of Biblical Creation1028 Words   |  5 Pageswere related to the variations of the birds living among different environments. With the presumption that only one species of finches exists in South America, Darwin discovered thirteen dissimilar finches on the Galapagos Islands, six-hundred miles east of where they originated. These birds all had different sizes and shapes of their beaks. Additionally, the variations were contributed to the diets, which was different food ranging from insects, f ruits and seeds. The variations in the beaks gave the

Is Technology Good or Bad for Today´s Youth - 931 Words

Technology is a good or a bad for today’s youth? . . Today is the world of technology and man being a social animal is nothing without this technology. Or in other words can be said that survival along with progression is not possible without the interference of technology in our lives in each and every matter. Technology has many pros and cons. where it has proved to be good and helpful for us, other other hand it has shown disastrous effects and threatening circumstances for the world. There was a stone age when the people used to rub stones to make fire and send messages through smoke clouds and they had to do lot of effort for that. Unlike that time, todays life is far more effortless and easy. All you need to do is turn on the stove/heater with a switch or send a text message /give a call. This is all because of technology making our lives effortless. But observing the effects of technology on our lives, this has shown dreadful effects on out lifestyles, majorly healths. The graph of health ratio has fallen down drastically because there is less or merely no physical effort made by the body. People in the stone age were far healthy and lived for longer years reaching the age of 100 plus at times because they were doing every physical exertion for their living. But nowShow MoreRelatedThe Circle By Dave Eggers1310 Words   |  6 PagesIn today’s society, our present-time youth culture has many different trends that can be used for entertainment, sending out a message, religious views, clothing, technology, etc. There are a lot of good trends that can benefit society, but there are also bad ones too. In the novel, â€Å"The Circle† by Dave Eggers, the author explains how different kind of things can change our society. For example, new innovative technology, social media, privacy, interaction with other people, and how this can affectRead MoreSocial Networking Good or Bad?964 Words   |  4 PagesEnglish 1023 5 February 2012 Social Networking: Good or bad? In a recent poll of 1,200 registered voters on Poll Position regarding their view on social media, 53% voted harmful. (McNamara 1) Today’s world has incredibly evolved around technology, especially with the emergence of social networking. Through the sudden rise in social networking, the question that has been called recently in concern is whether social media/networking is bad or good? The Bad: the increase in online predators over the lastRead MoreTechnology And Its Effect On Society Essay1239 Words   |  5 Pagesare coming along each and everyday. Technology is the application of scientific knowledge for practical purposes, especially in industry (Oxford). There is no denying that the impact of technology in the world today is huge, now technology has made it to the palm of our hands with the iPhone and continuing to expand. My generation has grown up on technology so I can’t imagine how my life would be with out it, older people may say it has ruined the lives o f youth. In my opinion it has made us smarterRead MoreTechnology And Its Effect On Society Essay1204 Words   |  5 Pagesinnovations are coming along each and everyday. Technology is the application of scientific knowledge for practical purposes, especially in industry. There is no denying that the impact of technology in the world today is huge, now technology has made it to the palm of our hands with the iPhone and continuing to expand. My generation has grown up on technology so I can’t imagine how my life would be with out it, older people may say it has ruined the lives of youth. In my opinion it has made us smarter butRead MoreShould Parents Enforce The Usage Of Social Networking From Youth? Essay1518 Words   |  7 PagesShould parents enforce the usage of social networking from youth? For some youth and parents, the answer is clear - social networking does more harm than good. Not everyone thinks the same, however. For example, many people believe that allowing kid s to utilize technology into kids’ or teens’ lives allows positive outcomes and new opportunities. Yet, what people have not realize is that some people are so busy on social networking that they do not comprehend the damage that it is doing to you children’sRead MoreFamily Moral Values Essay780 Words   |  4 Pagesafford fancy cars or nice clothes, they continued to make the best of everything. The most important value learned back then was respect and self-respect. Parents taught their children to respect them and other adults and respect themselves. Teens of today lacked the simple values of yesterday because of the exposure to negative things in the world. â€Å"But the most significant aspects of any cultural cod may be conveyed implicitly, not by rule or lesson but through modeling behavior† (Barnlund, 2000, p56)Read MoreThe Problem Of Mental Health1558 Words   |  7 Pagesissue in today s society, and there are many issues surrounding it in children and young adults. Many times people assume that a child or young adult has the perfect life, but tis is not always true. Some assume just because you re the best athlete or you won a state championship that all is well in your life. This is also not true. Many things revolve around a kids world, where these things can become very overwhelming at times. It can become extremely stressful and a young person s life. WeatherRead MoreThe Current Epidemic Facing Society Essay963 Words   |  4 Pageswhile they drank their morning coffee. Now, flash forward to today. We have e verything we had twenty years ago and more, but it is all faster, easier to access, global, and is in most of our hands within one device. Is this better or worse? Well, let me ask you this, How do you feel, and what was the last thing you read or saw on your phone, tablet, or computer? It was not something positive was it? Our current advances in technology have resulted with a boom of popularity of social media and accessRead MoreThe Effects Of Online Social Media On Young People s Lives1203 Words   |  5 Pagesmany researchers’ interests. Numerous studies online social media have showed that such sites are impacting and affecting young people’s lives significantly. Being on Tumblr, Snapchat, and Tinder have had both negative and positive effects on the youth of today and how we interact with the world. The Positive It is evident that in today’s world social networks act as an essential part of teenagers’ and young adults’ lives. According to a study done by researchers at the Pew Research Center on teensRead MoreIs Celebrity Worshipping Destroying Our Society?961 Words   |  4 Pagesdelusional disorder, where the individual ends up believing they have a relationship with a celebrity. Why do some people worship celebrities, and what are the consequences of doing so? Also, what kind of effects does celebrity worshipping have on today’s youth? Is celebrity worshiping destroying our society? More so now than ever, we have become dangerously obsessed with celebrities, not only with celebrities, but with fame in it of itself. It has become easier to be allured by what is portrayed on television

Week Two Learning Team Reflection on Personal Liability Free Essays

Week Two Learning Team Reflection on Personal Liability Law/531 October 2, 2012 ? Week Two Learning Team Reflection on Personal Liability Benefits to Commerce Team C colleagues decided on the following opinions in respect to the advantages of commerce using shareholders and other entities for protection against personal liability losses. Commerce is the buying and selling of goods or services within cities, states, and globally. The legal structure of a business will establish the liable responsibilities of the business owner. We will write a custom essay sample on Week Two Learning Team Reflection on Personal Liability or any similar topic only for you Order Now When a business is established as a Corporation or an LLC this structure separates business owner’s personal assets from the business debit and liability. The benefits of commerce acquiring shareholders or other entities to protect and shield their members from personal liabilities are a consideration that every entrepreneur should seek professional advice before starting a business. â€Å"As a separate legal entities, corporations are liable for their own debts and obligations† (Cheeseman, p. 558, 2010). By the corporation having shareholders it is limiting their loss if a potential suit arises. If they were to be sued they would be limited to the extent of their financial investment in the corporation. The officers of the corporation create a shield that protects them from liability, and from having their personal assets at risk. The benefit of having a corporation is that corporations itself becomes a legal entity; therefore the liability is taken away from an owner. If lawsuits arise the assets of the corporation will be at risk; however, the shareholders will not bear any personal liability. Therefore, potential investors in a corporation seek to have professional executives who use good judgment in running a business. The net worth of the corporation is also determined by the shareholders investment in the business and should there be a suit the corporation stands to be financially stronger than a business owned by a sole proprietor. If protecting investors was not available through legal methods most investors would not take the risk of losing their personal assets along with their investment. Personal Liability of Shareholders Team C colleagues decided on the following opinions in respect to the advantages of needing personal liability attached to individuals in violation and performing misdeeds. The United States is a country of laws. Believing that individuals and businesses are responsible for the actions and decision they make while in a position of authority. Personal liability is sometimes imposed the shareholders are normally not liable for the corporate debts incurred. (Cheeseman, 2010) Beginning around 1940, the government started enacting laws that attempted to protect society from unscrupulous businesses. History has shown that these laws alone cannot protect society from the misdeeds of individuals. Businesses always have relied on the consumer for continued existence. Therefore, a mutual trust must occur to maintain the balance of commerce. People run businesses; therefore it is reasonable to consider that those that have a fiduciary responsibility should be held accountable for the misdeeds or torts that occur because of their negligence. Current laws consider a corporation as a legal entity accountable for any torts the members of that company may commit. Members of management under the same laws are afforded protection against claims on personal assets. If this protection did not exist individual’s assets could be attached to any litigation against the company regardless of which members were at fault. One may think attaching personal liability to managing members would be a reasonable solution. After all, they are the individuals who have stewardship over the company. In fact, this action would be counterproductive harming society and commerce alike. Corporate officers and business leaders would not want to take on the risk and would refrain from seeking a managing role within a corporation. The immediate effect on commerce would be devastating. Those with experience and know-how would simply remove themselves from management responsibilities, creating a vacuum for less qualified individuals, increasing the potential for torts to occur. Shareholders confidence would wane, stock markets would falter, and the economy would suffer a financial meltdown. Team C members also concur that corporations have protection for their shareholders regarding their personal information, but they do not hold the shareholders responsible if the corporation goes bankrupt or shuts down. Shareholders are only responsible for the amount of money they have invested in the company. Piercing the corporate veil is the doctrine stating that if the shareholder uses the corporation improperly, the court of equity disregards the corporate entity. The shareholder is personally liable for the corporation’s debts and obligations (Cheeseman, 2010). This is also known as the alter ego doctrine because the corporation becomes the alter ego of the shareholder. Still today sole proprietorships are the most popular form of starting a business and having ownership. The definition is a business owned by one person and not incorporated with any others. In the business world sole ownership is not separate and cannot be split apart from the owners personal assets (Fairfax, 2011). The unincorporated business is exposed to unlimited liabilities and loss of personal asset protection. In today’s commerce environment having unlimited liability is the single most substantial difference between having shareholders and other entities shielding the business and sole ownership. Concluding, it is imperative that individuals interested in starting a business take the appropriate measures to decide how they simply will protect the business from potential liability, or loss. Seeking the advice of professionals can facilitate making the proper decisions. ? Reference Cheeseman, H. (2010). Corporate Formation and Financing, Business Law (7th ed. )(pp. 556- 576). Upper Saddle River, New Jersey: Prentice Errors And Omissions Insurance – E. (2012, September 28). Retrieved from (I) INVESTOPEDIA: http://www. investopedia. com/terms/e/errors-omissions-insurance. asp#axzz27oyyIDBO Fairfax, L. M. (2011, July). The Model Business Corporation act at Sixty. Law Contemporary Problems, 74(1), 19-30. How to cite Week Two Learning Team Reflection on Personal Liability, Essay examples