All characters in the novel ‘Of Mice and Men’ are lonely Essay

All characters in the novel ‘Of Mice and Men’ are either lonely, bored or in need of escaping from the soulless existence of the itinerant labour. It is based on a society of men leading empty lives, trapped in a lonely life, consisting mainly of hard physical work. There was not enough happiness, love and affection in their lives. The novel is set in California, the Southern states of America, in the 1930’s around the time of the ‘Great Depression’. The ranch is based in ‘Soledad’; which is the Spanish word for ‘Loneliness’. The bunkhouse that the men sleep and live in is a long and rectangular building. The walls are white washed and the floor unpainted. In three of the four walls are small, square windows. In the fourth one was a solid door with a wooden latch. There are eight bunks, all with a nailed apple box over them with the opening forward. This made two small shelves for the personal belongings of each ranch hand occupying the certain bunk. On these shelves were little articles, soap, razors, talcum powder, Western magazines, medicines, little vials, combs and a few neckties. There was also a black cast iron stove, and a big square table in the centre of the room, with scattered playing cards across it, and surrounding the table were boxes for the men to sit on. The bunkhouse also had lice and roaches in it! Carlson and the other ranch hands all dream of owning their own land and living and working from this, resulting in wealth and happiness. This was known as the ‘American Dream’, this is shown as an opportunity to all people no matter how rich or poor they are. There is a lot of government propaganda, informing people that if they work hard and push their ambitions to the limit, they can make this dream reality. However they all knew, no matter how hard they worked or how successful they were, it was very unlikely of this dream ever becoming reality. Their way of escaping this disappointment was to collect their fifty bucks at the end of the month and of a weekend spend all of it on women and alcohol, usually at the nearest ‘cat-house’. During the week they play cards games or horseshoes. Crooks is very lonely, this is due to the fact that he is coloured and everyone knows him as a nigger! He is treated completely differently to all the others, an outsider. He is also crippled, after a horse kicked him and severely damaged his back. In the 1930’s it was very racist in America and the coloured people weren’t allowed to speak up or were too scared to defend themselves in fear of what the white people would do to them. This is the situation Crooks is in. However he is the only coloured person at the ranch, so he has to accept all racial comments on his own. He has his own separate room, which isn’t even a room it is a shed that leans off the side of the barn wall. He is isolated from everyone else, therefore unable to socialise. On one occasion Lennie entered the barn to see his pup. He saw Crooks’ light shining and stood in the doorway of Crooks’ room. Crooks saw him and said sharply ‘†you got no right to come in my room. This here’s my room. Nobody got any right in here, but me.† He then followed with â€Å"I ain’t wanted in the bunkhouse and you ain’t wanted in my room†, â€Å"they play cards in there, but I can’t play because I’m black. They say I stink. Well, I tell you all of you stink to me.† Crooks reads to amuse himself when he has nothing better to do. This keeps his mind off of the atmosphere and situation he is surrounded by in his everyday life. Curley’s wife is perhaps one of the loneliest characters, trapped in her strict and original woman’s/wife’s role. Her daily routine only ever consists of her doing housework, such as cooking Curley’s dinner, washing Curley’s clothes, making Curley’s bed, cleaning Curley’s house, etc. If Curley catches her talking to the ranch hands he is always very annoyed by it, she is to stay in the house. She is known as ‘Curley’s wife’, no one knows her name so they cannot call her by it. One time when she enters the bunkhouse and begins to talk to the ranch hands, Crooks suggests † Maybe you better go along to your own house now. We don’t want no trouble.† It is this idea that she is ‘trouble’ that makes Curley’s wife so upset and angry. † Well, I ain’t giving you no trouble. Think I don’t like to talk to somebody ever’ once in a while? Think I like to stick in that house alla time?† Having a husband even makes her loneliness worse, because Curley is so strict about whom she socialises with and what she does. She calls him sarcastically a â€Å"Swell guy†, who † Spends all his time sayin’ what he’s gonna do to guy’s he don’t like, and he don’t like nobody.† Curley’s wife tries to escape her loneliness and sadness by dreaming of being an actress or a model. She had been offered the chance before â€Å"I tell you I could of went with shows† † An’ a guy tol’ me he could put me in pitchers†. Curley’s wife is also very good at flirting, this attracts male attention. Therefore just for a moment she is listened to and is the centre of attention, this moment matters so much to her because she is being paid attention to for once, that she makes a very bad habit of it. However the ranch hands have got used to her scheming ways and do not want to risk getting â€Å"canned† because of a â€Å"tart†. However Lennie and George are different to the other ranch hands, they may live a lonely existence, but they have each other. Other than the other ranch hands expressing their feelings about their hopes, dreams, lonely lives etc, George and Lennie are the only characters we really get to know. All other ranch hands haven’t got a family or anything to look forward to, but it is different with George and Lennie; they believe they have a future and as long as they have got each other, it doesn’t matter whether they have a family or not. These men love each other. They talk to each other and know that the other cares for them, because George looks after Lennie, and Lennie looks after George. However, George has a much greater job in looking after Lennie, than Lennie has in looking after George. Lennie is a bit of a dunce and is always forgetting things, but George has the brains. They both are physically well built, but Lennie does not realise his own strength sometimes, he is dangerously strong. Lennie is the physical side of the pair, whereas George is the mental. The fact that they have each other gives them more of a chance of success, than the other ranch hands. Lennie loves George to tell him what; one-day things will be like. Their dream is to one day buy a little house, with a ten acres, a â€Å"win’mill†, a kitchen, an orchard to grow â€Å"cherries, apples, peaches, ‘cots, nuts, and a few berries†, a section on the land to grow alfalfa that Lennie will use to feed the rabbits with, hutches and pens full with pigs, chickens, cows, goats, cats, pigeons, a dog and rabbits that Lennie could pet, a smoke house so they could kill the pigs and then smoke it, for smoked ham and bacon etc, and for them to literally â€Å"live off the fatta the lan'†. They would only work six or seven hours a day. Lennie likes to pet, smooth, soft, furry things, as a kind of comfort. Other than for George and animals, love and affection are withheld, not only from Lennie, but also for all the ranch hands. This is why they have their own individual comfort or way of escaping from the repetitive daily routine and loneliness. Candy is a dissimilar character from the other ranch hands. He is very lonely and sad. He has no hand, but a very old dog that he cares for very much. This dog is similar to Candy. They are both very old and when Carlson shoots the dog, because it smells, has no teeth, he cannot eat, is stiff with rheumatism, is nearly blind and Carlson thinks it will be better to put the dog out of his ageing misery. Candy wants people to treat him once he is canned like this. This is because he â€Å"won’t have no place to go, an’ he can’t get no more jobs†. The other ranch hands say that he can replace the dog with one of Lulu’s pups, but of course that wouldn’t be the same, never is anyone or anything the equivalent, everyone and everything is unique. Candy seems to think that when he is dead, people will say the same thing about him. When a new ranch hand comes and replaces him, he’ll be forgotten. For obvious reasons Candy is upset and hurt by this. It is as if the characteristics of his dog and the way the other men treat the dog, symbolises Candy. Candy wants to join George and Lennie in their ‘dream’. Candy has already got three hundred bucks and another fifty coming at the end of the month, when the men get paid. He explains that he â€Å"ain’t much good, but I could cook, tend the chickens, and hoe the garden some†. Then when George and Lennie get their fifty bucks each at the end of the month, they will have four hundred and fifty bucks, and although the woman wants six hundred bucks, George thinks she will accept their offer as a deposit and then George will get a job and start to collect the rest, while Candy and Lennie could work on the land as well as sell eggs etc, making more money. This is Candy’s route of escaping. Everything seems to be falling into place and their dream looks like it could become reality. This is everything a man wants and Candy is thrilled he is part of it. However much their dream looks real, it all ends when Curley’s wife tries her old tricks with Lennie. Curley’s wife enters the barn, as Lennie sits there mourning over his pup, he has just accidentally killed! George has already warned Lennie about Curley’s wife, says she is trouble, so Lennie refuses to talk to her, â€Å"George says I ain’t to have nothing to do with you- talk to you or nothing†. Curley’s wife says in a innocent voice, â€Å"All the guys got a horse-shoe tenement goin’ on†, so â€Å"Why can’t you talk to me?† She eventually persuades Lennie that it is safe to talk to her. They talk for ages and Lennie tells her how he â€Å"likes to pet nice things with my fingers, sof’ things†. She tells Lennie to â€Å"feel right here†, on her hair. Lennie was enjoying stroking her hair until she warned him not to â€Å"muss it up†. She then got angry because Lennie wasn’t listening to her. She went to pull away and Lennie clasped his fingers tightly in her hair and wouldn’t let go. She began to shout, â€Å"you let go†. Lennie began to get scared because he thought George would hear and go mad. He covered her mouth and nose to prevent her screaming, and continued to beg her to be quiet. She continued to struggle and he shook her. Suddenly â€Å"her body flopped like a fish†. She was dead! Lennie ran to the brush that George had told him to hide in when they first arrived in Soledad if he ever got into trouble. When Candy found Curley’s wife dead and told all the ranch hands, they all knew it was Lennie! Most of the men wanted to kill Lennie, but George got there first. George knew that Lennie would be scared if half a dozen men ran towards him shooting, but if George was to do it at the back of his head, just like Candy’s old dog it would be pain free. When George found him, Lennie asked for the story of their dream to be told to him and questioned George why he wasn’t mad at him, but obviously if this was George’s last moments with Lennie he didn’t want to be mad at him. As George told the story and paused every so often, Lennie would say â€Å"go on† or â€Å"Gonna do it soon† as if he knew what George was about to do and was encouraging George to get it over and done with. George finally shot Lennie. Lennie jarred forward and the settled peacefully as he lay on the sand. George just sat stiffly and silently n the bank, looking at his hand that had just pulled the trigger disgustedly. George knew it was for the best, where ever they were to go Lennie’s unrecognised strength would lead to trouble; it had already, both in Weed and Soledad. Lennie was trapped by his strength. Although, Lennie has now been released from pain by no longer being able to kill others and from not getting shot by half a dozen men cruelly, but peacefully by George. The upsetting thing is, that Lennie was so afraid of being alone and away from George, and now he was just that. It was all over!!! George is now free; he is no longer trapped by his want of freedom, of constantly looking after Lennie. I think the novel tries to give us the message that people try to lead their lives as successfully as possible, in order to result in the best possible outcome. However this is very hard to succeed. The ranch hands wanted the ‘American Dream’ to become reality, but is very unlikely and as shown does not happen. The novel gave a very positive view of the ‘American dream’, but this is erroneous and does not come true. The chances of finding true, lasting friendship and happiness are also very unlikely as it is always spoilt by misfortune, arguments, inconveniences and sometimes death, as in this case.

In The Adventures of Huckleberry Finn Essay

In The Adventures of Huckleberry Finn, Mark Twain juxtaposes Huck’s adventurous and liberating journey along with Jim on the raft down the river Mississippi with the corrupt life that allows unconscious acceptance to the values of society on the shore. The novel unfolds Huck’s inner mind and records his learning and moral development as he encounters morally corrupt and crooked people on his journey to freedom. The novel contrasts between the constricting life on the shore and the freedom offered by the journey on the river.   Though Huck’s raft follows the river towards its downward journey, he goes against the stream in his life learning on his own the hard realities of life. Huck finds the two wealthy sisters Widow Douglas and Miss Watson, who adopt him, as the true representatives of the society that is based on hypocritical religious and ethical values. Though Widow Douglas is more patient and gentle towards Huck, he finds her care and concern quite restrictive. When she puts him in new clothes he could do nothing but feel cramped sweating a lot. He does not find any meaning in prayer before the dinner and in the stories of Moses and the Bulrushers who were dead long time ago. Though the life in the care of Widow Douglas is decent and dignified, cozy and comfortable, Huck does not like it much. He feels his old ways of living are the best. Living in a house and sleeping in a bed pulled on me pretty tight mostly, but before the cold weather I used to slide out and sleep in the woods sometimes, and so that was a rest to me. I liked the old ways Best. (Twain 13) He finds Miss Watson’s attempts to ‘sivilize’ him most annoying. For him, she is the best example of severe and unforgiving laws of Christian life which are against his individual freedom. He feels â€Å"Miss Watson she kept pecking at me, and it got tiresome and lonesome†.   He is so vexed with the ways of living under the care of Miss Watson that he feels one night quite depressed and feels â€Å"I felt so lonesome I most wished I was dead.†   (Twain 5) When Miss Watson insists that he should pray he can not find any reason to pray when his prayers are not answered by God. When he asks her to try for him she calls him a fool. Huck tries several times in his own way asking God for the things he wanted, but he could not find any response from God. He finds it quite impractical. He does not find any advantage for him in praying for others as told by Widow. He finds a lot of difference between Widow and Miss Watson who both pray and teach the same things to him about Providence. The following lines best illustrate his understanding of his two guardians who differ a lot in their attitude. I judged I could see that there was two Providences, and a poor chap would stand considerable show with the widow’s Providence, but if Miss Watson’s got him there warn’t no help for him any more. (Twain 11) Huck’s father, Pap, an incorrigible wreck with his disgusting and ghostlike appearance in tattered clothes, represents the generally debased white society and the failed family. Pap, who is always after the money earned by Huck, feels jealous of his son’s education when his son is living with Widow Douglas and going to school. He not only kidnaps his son but also virtually imprisons him in a cabin in the woods and beats him completely drunk. In fact, he proves dangerous and provides the immediate and most potent cause for Huck’s escape from the society on the shore. On the contrary, he finds a trusting and caring surrogate father in Jim who accompanies him in his escape from the shore. Jim, a runaway slave from the house of Miss Watson, stands for strong family relationship, nobility and loyalty. He takes the extreme step of running away from Miss Watson’s house as he suspects he would be sold for another master which will eventually separate him from his family. Though he seems superstitious and ignorant, he is an intelligent man with a deep understanding of human life. Jim he was right; he was most always right; he had an uncommon level head for a nigger. (Twain 55). There is a strong bond of friendship and understanding between Huck and Jim on the raft. Both are desperately in need of protecting themselves from the selfish people in the society. The raft on the river Mississippi provides them an opportunity to save their lives. It offers them the much needed freedom. The following passage aptly conveys their dire need to run away from society. I was powerful glad to get away from the feuds, and so was Jim to get away from the swamp. We said there warn’t no home like a raft, after all. Other places do seem so cramped up and smothery, but a raft don’t. You feel mighty free and easy and comfortable on a raft. (Twain 83) The life on the raft is different in many ways from the life that is found on the shore. The raft provides them not only as escape from the corrupt and selfish people, but also an opportunity to be what they are and to do what they like. It gives them a unique opportunity to explore their true identity and their stand in relation to many things in life. They are closest to their true nature on the raft in the lovely and mighty presence of the river and the woods. It offers them unrestricted and uninhibited freedom. Huck feels happy and liberated on the raft and expresses the same in the following words: It’s lovely to live on a raft. We had the sky up there, all speckled with stars, and we used to lay on our backs and look up at them, and discuss about whether they was made or only just happened. (Twain 84) Twain has brilliantly contrasted the plight of a white boy with that of a slave Jim. The story of the novel revolves around these two characters that are almost in the same boat with similar problems. As luck would have it, they share the same raft in their escape for freedom. Huck finds Jim’s presence on the raft comforting and supportive as Jim is practical, intelligent and trustworthy though, at times, he seems sentimental. Jim not only cooks food for Huck but also protects him from dangers. Jim’s acts of selflessness and his longing to meet his family have left an indelible impression on Huck. Huck is very determined till the end to save Jim and to get him free. However, the life on the raft is not without its share of dangers and threats. Huck and Jim get separated when their raft is hit by a steamer in the river. Huck’s encounter with the family of Grangerfords exposes him to pretentious importance that people attach to their family’s honor or prestige. Huck suspects behind the kindhearted and gentle people in the family, there is an unreasonable feud between them and the Shepherdsons. It makes no sense to Huck. Many of the people belonging to these families die in a bitter gun fight from which Huck luckily escapes. After facing many challenging situations Huck and Jim once again continue their journey on the raft further towards the south. The two con artists who ask for help and seek refuge on the raft prove dangerous to Huck in the end. The two con artists involve in various crimes at times claiming to be the descendants of royal family and sometimes, pretending to be great actors and evangelists. They once again remind the crookedness of the people in the society on the shore. The raft has proved an excellent place to enjoy the perfect freedom and bliss without any interference. Though Jim is there with him all the time, he is silent and provided a good company with his accommodating nature. Huck enjoys Jim’s company and the journey most. He expresses his happiness saying, It was kind of solemn, drifting down the big, still river, laying on our backs looking up at the stars, and we didn’t ever feel like talking loud, and it warn’t often that we laughed — only a little kind of a low chuckle. (Twain 47) The long journey on the raft has provided Huck with many opportunities to learn new things and develop his own logic. Every challenge he faces presents him with an opportunity to think about it deeply and to come to a conclusion which he feels right. His association with Jim on the raft has given him opportunity to think clearly and form his own opinion without any interference. He prefers to follow his own instinct and logic than to accept the unquestioned conventions of the society.   Huck’s determination to save Jim when he is caught demonstrates his maturity and broadness of understanding. Huck has to undergo an internal struggle to overcome some of the notions that have been ingrained in him by the society. Every time Huck faces a problem he applies his mind and comes out with a decision what he feels right, though it might look wrong and offending to the white community. He takes help from Tom Sawyer in rescuing Jim finally. Huck loses his faith in the society that has failed to protect him. Though the Widow tried her best to give him what he has missed, it has proved imperfect to mould him. His growing distance from the society makes him skeptical about it. His natural intelligence and his ability to think through a situation have enabled him to form his own right conclusions. Thus, he creates his own rules and develops his character throughout the journey. Twain depicts the society around Huck with people who are degraded in their values. The actions of these people defy logic and commonsense. For example, when the judge allows Pap, the wreck and disgusting drunkard, to keep custody of Huck, he gives more importance to the right of ownership than to the welfare of the innocent boy. It clearly depicts the social system that has fallen in its moral standing. It highlights the white man’s rights over his property whether it is a slave or a son. The Mississippi River plays the most important role in the novel providing freedom and refreshing experience to Huck and Jim who are in their quest for freedom. They travel from their home town St. Petersburg, Missouri, north of St. Louis, hundreds of miles into the Deep South.   The odyssey down the river lends the story a mystic element offering contentment to the people who come in search of freedom. The river with its power and grandeur sets a meaningful background to the story that contrasts life on the river with the life on the shore. The river plays the role of liberating influence on the two characters Huck and Jim. It is the only place where they can feel at home though they are on a raft. Huck arrives at the conclusion that the idyllic life, peace and brotherhood of himself and Jim have given him more satisfaction and a sense of freedom and understanding as opposed to the inhumanity, the feud and the degenerated values of society. Thus, it is a journey in search of understanding and freedom leaving behind the so called ‘sivilization’ that destroys innocence and enslaves human beings. In short, Huck’s journey is from unthinking acceptance of received values and knowledge to an independently achieved understanding of what is right. It is journey from boyhood to manhood, from servitude to freedom. T. S. Eliot, the great English poet and critic of the twentieth century who also grew up on the banks of the same river says, â€Å"the river makes the book a great book† It has fired the imagination of the boy Huck and became the only real home for him. Reference Twain, Mark. The Adventures of Huckleberry Finn < http://www2.hn.psu.edu/faculty/jmanis/twain/huckfinn.pdf   >

Plantation Management in the Old South Essay

William Scarborough’s, The Overseer, examines the importance and the daily duties of the plantation overseer and how they influenced and contributed to the production and efficiency of slaves in the â€Å"Old South†. This position was unarguably, the most important position in the southern plantation system as they determined the success or failure of a plantation. In some small plantations, but mostly larger ones, the overseer was in charge of the supervision of enslaved Africans, care of the land, planting, farm tools, and harvesting. The overseer has been especially known in history as the handler of harsh disciplinary actions against slaves for breaking heavy or mild rules. The emergence of job advertising stormed through the south with higher number of individuals owning slaves. Over time leading up to the Civil War, the position of overseer has been professionalized with some planters even requiring letters of recommendations from their applicants. The goal of the author is to gather facts and accurate evidence that demonstrate how overseers effectively completed their task set forth by plantation owners and were less concerned about the torture and harsh beating of the enslaved Africans. The writer focuses more on the profession itself as opposed to examining the individual’s social class or morals in society. He also attempts to provide a valuable interpretation of one of many groups that made up the white middle class of the Old South. The book is divided into three sections with the first concerning the history and role of the overseer in the plantation establishment. It also gives key details on contract negotiations between the overseer and the plantation owner. Lastly, this section shows the view of the overseer by the general public. The second section examines the managerial duties and responsibilities and some of the disagreements between the plantation master and the overseer. The final section shows the occupation and the importance of the plantation supervisor during the Civil War and how the loss or reduction in available overseers affected the surviving plantations after the war ended. The overseer system was first introduced in the United States by the Virginia Company of England with the primary job function of upholding gained territory. When Africans were shipped to the Louisiana Territory as slaves, this very system was implemented. The vast majority of overseers during the colonial period were indentured servants whose terms of service had expired. One major reason for the increase in overseers in the antebellum south, during the 18th century were the cultural change that demanded plantation owners to indulge in the arts and other cultural pursuits. The profile of many of the men that went into this profession were most likely either the son of a planter, white lower class men, and men who actually saw the economic benefits of being an overseer. One distinctive feature of the overseer system during the colonial period was the practice of leasing developed plantations with slaves as stock. With this agreement the overseer was in charge for maintenance of the s lave force, and in return received one-third of the net proceeds from the selling of the crops. This profession would soon become highly profitable when cotton became the forefront of agriculture in the United States although to some had a negative view of the position. Although most of the overseers were originally poor and uneducated, they still gained enough respect by their employers to be acknowledged as a semi-elite professional with a very profitable position. Whatever may have been the view of the planter class regarding the step on the â€Å"social ladder† occupied by slave managers, the overseer himself had no feeling of class inferiority and showed little resentment toward the proprietary group. One of the major duties of the overseer was the welfare and discipline of the slaves, the care of livestock and other agriculture implements, and the production of staple and subsistence crops. The overseer assigned certain task to specific slave groups and supervised the labor of slaves in the field. The overseer was expected to have basic medical understanding to be able to examine the slaves and make note of any who actually needed professional treatment to treat certain physical hinders. The slave manager was obliged to make periodic inspections of slave cabins and was responsible for the distribution of clothing for the slaves. Lastly, and most importantly, the overseer was expected to ensure the security of the whites against uprisings of slaves, which was to some, inevitable. Depending of the plantation, there were also a second set of rules that were handed down from the planter to the overseer to instruct to the slaves. Some plantations had very harsh working conditions and required long hours, regardless of age or gender, while other were pretty mild with less work demanded from pregnant women and children under the age of seven. Some planters stated that â€Å"a happy slave is a productive slave† and the overseer had to abide by the wishes of the planter although they may have had different views on the use and managing of the slaves. The relationship between the overseer and the planter became pivotal leading up to the Civil War in 1861. As the Civil War began to run its course, the production of agriculture (with slave labor) was extremely important in the surviving and continuity of the south. The role of the overseer became even greater than ever with the departure of healthy white men leaving to join the Confederate Army. In many areas in the south, the only remaining security against insurgencies from the slaves was the overseers. It was no surprise that the drafting of plantation managers to the Confederate Army, angered many planters knowing that there would not be enough qualified managers to keep the slaves productive and fearful. There were even laws put into place in states such as Georgia, South Carolina, Mississippi, Alabama, and Louisiana that limited the number of overseers that could be drafted into the army. The south also made a rule stating that any wounded soldier who is able must return and oversee a plantation in order to contribute to the production of goods in the south. With this reduction in overseers, many slaves were able to escape and a number of large plantations fell due to the absence of the â€Å"slave Manager†. Scarborough’s The Overseer, examines the life and impact of the plantation overseer and how it shaped the working system of slavery and production in the United States. The author’s uses key facts to back his thesis on the importance and professionalism of the overseer. Scarborough did extensive research by exploring primary sources such as the memoirs of planters, public records, legal documents, and advertising posters. He incorporates a number of different employment contracts between planters and overseers and compared them based on the size of the plantation, state and region, and number of slaves. The author seemed to look at this job description from a professional standpoint as opposed to the ills and negative view that society and some historians have placed on the managers of plantations. He mentions that some overseers who were uneducated or inexperienced greatly affected the outlook for this profession and shadowed the somewhat complex job of managing an entire plantation.

Helens Trading Card Company Case Study Example | Topics and Well Written Essays - 3000 words

Helens Trading Card Company - Case Study Example We will examine the role that a Systems Development Methodology and its associated System Development Life Cycle (SDLC) will play in designing an information system for Helen's company. To have insight into the background, I will portray it briefly. Helen started off her company when an online trading card company asked her to buy and sell its cards for it. Initially, we can say that it was very small scale because before that, she would only buy trading cards for her son. Soon afterwards, she started her own company and became an authorized trader. This meant that now she now had more information to manage and use. Her company must have been small because trading cards is not a large-scale business as it is. But she still had information to manage hence she needed a system that would help her deal with all this information about her stakeholders. This, indeed, would be an Information System. Helen has a few requirements for which she needs an information system. According to these requirements, a Systems Development Methodology and its associated model, the JAD model, in our case will be used to develop this information system. Helen needs a system that will enable her to store details about the individual trading cards which she has for sale, as well as packs of structure decks, and games mats, etc. She needs a system that will store information about her received orders. ... Why are we discussing her requirements It is important to understand these requirements as the first step towards developing a system, using any model of the Systems Development Methodology. If we fail to understand the requirements, we will certainly fail to provide her what she wants and then no matter, what model or methodology is used, the system will fail (Pressman, R.S., 2005). Information System - What is it An Information System is a framework or a structure of any sort that would enable and facilitate Helen to process her data and manage her information. There are many different kinds of systems that keep changing as technology grows (Betts, G., 2007). She has so much information about the companies that she buys from, the customers that she sells to, the orders that she receives and the products that she makes. It will much simpler for us if we break down all these requirements and view them in isolation. First of all, Helen needs to deal with the information regarding her suppliers. A supplier could be any company or person which Helen purchases cards from. Helen wants to store information about what she has bought, who she bought it from and how much she paid for it. According to most analysts, her requirements fit perfectly with a Supply Chain Management System. She will be able to handle her suppliers effectively with this. But if she is handling only her suppliers, where does her customer and order management fit For this, she could invest in a Customer Relationship Management System. This way she can understand her customers, give them value and retain profitable ones. Those who are not profitable can be studied

American presidency Assignment Example | Topics and Well Written Essays - 250 words

American presidency - Assignment Example This database should be broad enough to allow for online and instantaneous retrieval of information, in order to extirpate lies from the debate. The failure to introduce a form of fact-check will leave the public vulnerable to lies despite the gravity of the debate. For instance, Romney charged wrongly that the 716 billion dollars in healthcare reductions would proceed from current beneficiaries. Romney’s charge that Obama used 716 billion dollars to facilitate the Obamacare may be at least dishonest since even Romney’s running mate, Rep. Paul Ryan introduced similar source of revenue in his annual budget plans. Likewise, House Republicans had voted in favor of similar plans in 2010. In a closely related wavelength, Romney included the excision of the Independent Payment Advisory Board as a way of eliminating excessive spending. Although the House voted against the board in March 2012, the Senate has not yet effected the decision of the House. Under the 201o Healthcare Reform Act, the board does not recommend the rationing of healthcare services, increment of premiums, or deductions for healthcare beneficiaries as Romney charged (Cohen, 1). The likeable aspect of the format that was used is its interactive aspect. The interactive aspect was not merely underscored by the facilitation of the answer-question exchange between the presidential contenders and the head of the Commission on Presidential Debates, but by allowing the contenders to ask each other questions and to query each other on policy frameworks. This is instrumental in pointing out the lacunae in policy frameworks and understanding the tenability of the same frameworks. Clearly, the three takeaway points from the debate are: the jobs that needed to be created en masse; the healthcare system which Obama felt needed to be made egalitarian and public-centered as opposed to Romney who wants its spending assuaged; and the economy which Obama wants strengthened

Peer Pressure on Teenagers Essay Example | Topics and Well Written Essays - 1250 words

Peer Pressure on Teenagers - Essay Example Indeed, peer pressure is closely linked to human behavior that tries to rationalize the factors that have significant impact on the human psyche which promotes the process of rational or irrational thinking. The impact of peer pressure is critical to the overall development of an adolescent and the paper would be discussing its pros and con. Peer pressure can broadly be defined as the influence of friends, acquaintances, elders and other on the behavioral pattern of the people, especially adolescent children and teenagers. Peer pressure is a specific instance of social influence, which typically produces conformity to a particular way of acting or thinking (Csikszentmihalyi & Larson, 1984). It tends to change the attitude, behavior and moral actions of the person as per the diktats of the peer group. Peer pressure is a common factor amongst the people in general and everyone, at some time or other is influenced to some extent by the people or group to which he or she may belong. Indeed, construction of social identities is often influenced by hordes of issues, which are defined by individual ideology, group representation, professional competencies, intercultural compulsions etc. They facilitate better understanding and access to networking with organizations and groups in order to avail the emerging opportunities for t heir vested interests and boosting of self esteem. Peer pressure in the recent times has catapulted into serious concern for the parents as it adversely impacts the personality traits and behavior of children. It often adversely influences the psyche of the adolescents when they fail to see the long term consequences of their actions and behavior. It may also become detrimental to the overall development of the children and make them irresponsible. Their foray into drug abuse, smoking, sex, violence etc. are few of the areas which are highly damaging and therefore, require careful guidance and intervention during growing up period of

Should investors in equity markets be worried about the timing of Essay

Should investors in equity markets be worried about the timing of their investment - Essay Example The modern thinking in Financial Management today is that financial managers do not perform the role of goal keepers of financial data and information, and arranging funds, whenever directed to do so. Rather, financial managers occupy a key role in top management areas by solving complex management problems. Today, the financial managers are responsible for shaping the fortunes of the enterprise and are involved in the most vital management decision of allocation of capital. Finance managers are responsible for the procurement of funds and effective utilization of funds to achieve the business objectives. Finance manager is required to make decision on investment, financing and dividend keeping in view the objectives of the company. While making investment, it is necessary to give stress for the time value of money. It means that the worth of money received today is different from that it should be received in future. There are number of reasons related with the time value of money, such as- "Investment Analysis generates equivalent current year values allowing comparisons between different investments and identifies investment performance spikes or dips providing a tool to maximize overall return" (Investment Analysis Software. 2007). In addition to this, time value of money is very important, because it helps in arriving the comparable value of the different amount arising at different points of time in to equivalent values of a particular point of time either in present or in future. The cash flows arising at different periods of time can be made comparable by using any of the two ways- i.e. by compounding the present money to a future date, (for finding out the value of the present money.); or by discounting the future money to present date, (for finding out the present value of future money.) Under techniques of compounding, future value of a single cash flow is- FV= PV (1+r) ; Where, FV= Future Value n years; PV= Present value of cash flow today; r = Rate of interest per year; n = Number of years for which the compounding is done; Similarly, under discounting techniques, the present value of a single cash flow is- PV = FVn (1/1+r) ; Where, FVn = Future value n years; r = Rate of interest per year; n = Number of years foe which the discounting is done; Both investment and financing of funds are two crucial functions of finance manager. The investment of funds requires a number of decisions to be taken in a situation in which funds are invested and benefits are expected over a long period. Funds procured from different sources have to be invested in various kinds of assets. Long term funds are used in a project for various fixed assets and also for current assets. Investment of funds has to be made after careful assessment of the various projects through capital budgeting. Asset management policies are also laid down regarding various items of current assets. Investment in equity shares is a complex procedure; this is because unlike debt and preference shares

Industry analysis of UK beer industry Dissertation

Industry analysis of UK beer industry - Dissertation Example Added to this is the slowly eroding public perception of beer due to rising incidents of binge drinking among the young. Above all, the industry which hitherto had been dominated by many small and medium scale breweries and family-run community pubs appears to be undergoing consolidation, with the small businesses facing closure or acquisition by larger, more efficient beer companies and multinationals. From all indications, the beer industry appears to be undergoing a paradigm shift. The problem with this scenario is that the British pub and small breweries are widely regarded as part of British cultural heritage going back by more than a millennium. While other commercial ventures may pass into oblivion because they have ceased to be relevant or useful, what appears to be the inevitable disappearance of the community pub and local brewer is lamented by many Britons as the death of a vital part of the nation’s identity, and must not be allowed to happen. ... From all indications, the beer industry appears to be undergoing a paradigm shift. The problem with this scenario is that the British pub and small breweries are widely regarded as part of British cultural heritage going back by more than a millennium. While other commercial ventures may pass into oblivion because they have ceased to be relevant or useful, what appears to be the inevitable disappearance of the community pub and local brewer is lamented by many Britons as the death of a vital part of the nation’s identity, and must not be allowed to happen. More than its sociological significance, the traditional beer industry is a valuable contributor to the country’s coffers, its gross domestic product, and is the source of livelihood of many small business owners, their employees, and their respective households. Because of its importance, a study of the industry with the use of PESTEL and Porter’s Five Forces models was conducted by this dissertation, in order to assess the external environment and internal competitive industry structure in which the traditional brewery and pub industry operates, in the aftermath of the recent economic crisis. Chapter 1: Introduction 1.1 Background of the Research Topic For over a thousand years, beer has been a staple item in British consumption pattern and an indispensable feature in this country’s social milieu (Watson, 2010). The beer industry is a very important contributor to the UK economy since the national drink of UK is beer with a market worth of 53 billion (Pavey, 2011).The beer industry has undergone a lot of changes in UK since the early 1960s when the brewing industry had a difficult time to the globalized era which saw

Regulation of Industrial Relations in the UK Essay

Regulation of Industrial Relations in the UK - Essay Example Up to the 1950s, the UK state’s role in industrial relations was characterized as involving minimum intervention (Kahn-Freund, 1969). However, since the end of the Second World War, the UK state has increasingly intervened in industrial relations. It is fair to state that given the increased intervention by the UK state in industrial relations it is reasonable to conclude that there has been a determined shift away from voluntarism relative to collective bargaining agreements toward state intervention in supporting some minimum standards within the employment contract. The government or state’s intervention has moved toward a more active role in regulating the relationship between employee and employer and working conditions in the UK. This paper demonstrates the UK state’s shift from voluntarism to actively supporting minimum standards within the employment contract by tracing state intervention and the methods by which state intervention has been utilized. In general, states intervene in industrial relations in a variety of roles and capacities. They may intervene as an employer or as a supervisor or regulatory agent for income and price setting. States may also intervene as economic management, or for the protection of standards. States intervene in industrial relations as legislators and rule-makers. States may also intervene in industrial relations in an attempt to establish and promote the parameters of social order (Hyman, 2009). Historically, the UK has operated as an employer in its own right signifying private employers should follow the state’s example in how it treats its employees. As a result of this approach to employment principles, it was expected that employees in the public sector would seek to avoid tensions and conflicts in the workplace (Rollinson & Dundon, 2007).

Exchange risk Research Paper Example | Topics and Well Written Essays - 3250 words

Exchange risk - Research Paper Example Foreign exchange rates have an impact on the economic society as discussed. Low exchange rates are a signal to the recession economic period and consequent political instability. Conversely, substantial rates of exchange are a sign of stable commercial conditions for a country. The exchange rates directly affect the international trade. For instance, low exchange rate support activities like tourism and exports in the economy (Howell & PRS Group, 2011). At this point, domestic goods become inexpensive for the foreign buyers. Additionally, foreign currency rates have an effect on investment funds that either move in or out of an economy. The countries that have fluctuating currency are less attractive to investors from overseas. This because all investors are assumed to be risk averse and, therefore, like returns and dislike losses. At this time, foreigners liquidate their real estates, stocks, and bonds just because such derivatives are losing purchasing power to rival investments in other countries. Foreign investors prefer making financial investments when they think that price in them will be conserved as international profits are ultimately converted back to their domestic currency. The foreign exchange rate leads to an economic growth: it is true that the higher the price of the net exports, the higher the nation Gross domestic product. The country’s GDP is given as C+I+G+(X-M) Where C = consumer spending, C= capital, I= investment by the businesses and households, G= government spending and (X-M) = net exports.

Critically evaluate feminist arguments against the present system of Essay

Critically evaluate feminist arguments against the present system of science - Essay Example The movement also argued that science, besides perpetuating inequalities between sexes, is excessively focused on rational positivism, specifically on matters of objectivity, exactness, and certainty that seemed in conflict with feminism’s political ideals (Potter, 2006), and specifically with the development of a feminist science that focuses on women’s interests. Feminist Critiques of Science Feminist discourses are stuffed with cases of gender inequalities, especially in the field of science. Since the 1960s, feminist critique of science have shifted from discourses that explained the likelihood of reforming the existing system of science to demands for a total reconstruction of the core bedrock of culture and science (Wyer, 2009). Radical feminism argues that the politics, ethics, metaphysics, and epistemologies of the prevailing system of science are male-biased and interdependent; that in spite of the profoundly embedded Western cultural faith in the inherent obje ctivity or liberalism of science, science nowadays caters mostly to reactionary or backward social inclinations; and that science’s methods of creating and explaining meanings, its approaches to the process of research problem identification and experimental designs, its instruments and applications, and its social structure are not just androcentric but also culturally intimidating, rigidly hierarchical, and racially prejudiced (Outhwaite & Turner, 2007). As explained by Mayberry (2001), in their explorations of how the formation of gender identity, the gender-based differentiation of labour, and gender representation have shaped the historical development and principles of science, feminist scholars have questioned and debunked the social and intellectual system at their core. Feminists have commonly viewed practitioners of science as conspiring, unknowingly or intentionally, in the creation and perpetuation of cultural and social stereotypes about the two sexes. A good exa mple is sociobiology, the field that associated animal behaviour with human behavioural patterns. Sociobiologists generally believe that the environment has a negligible contribution to human development. They have attributed the greatest role to the genes. A well-known sociobiologist, E.O. Wilson argued that, â€Å"It pays males to be aggressive, hasty, fickle, and undiscriminating. In theory it is more profitable for females to be coy, to hold back until they can identify males with the best genes... Human beings obey this biological principle faithfully† (Wyer, 2008, 188). Because of such male-biased statements, feminists have fervently condemned the efforts of sociobiologists to validate and reinforce inequalities between the human sexes. Sociobiology promotes the idea that females are selective and favour monogamous relationships because these traits guarantee the reproduction of their genes. On the other hand, males are naturally promiscuous and prefer polygamous relati onships to guarantee the transmission of their genes (Wyer, 2008, 188). Hilary Rose and Nancy Hartsock support and explained the value of a feminist standpoint perspective, and the importance of developing a form of science that gives consideration to women and women’s worldview and knowledge. These feminist arguments against science blended with an array of other perspectives against positivism, or rigid objectivity and certainty, as the epistemological

Deepwater Horizon Oil Spill Essay Example for Free

Deepwater Horizon Oil Spill Essay On April 20, 2010 a catastrophic explosion on the Deepwater Horizon off shore drilling platform caused the largest single release to the environment due to oil drilling. This explosion killed 11 workers and injured 17. This oil spill is very controversial because it can be questioned if this spill could have been prevented and what exactly went wrong. There is much debate on who is to blame, what could have been done to prevent it and who is going to pay for all the damage. Many are not happy with the settlement BP is signing that will keep them from further criminal prosecution if they agree to pay the settlement amount. Paying retribution is fine, but what about the future damaging effects that we have no way of even knowing about now. Who will take care of that? These are some of the basic questions people are asking about this case and my responses. What can this accident teach us? This accident should teach us all that there is a great responsibility taken on when you go into the earth and try to harvest chemical products that have potential for negative effects on human welfare and health. The government needs to be in charge of regulating these activities to preserve the future of our environment. Had you been in charge of granting permit for this, what measures would you have prescribed to prevent or mitigate the impacts of such an accident? Policies need to be in place that ensures that properly trained personnel are on site at all times to ensure the safety of the drilling process. Only experienced personnel could properly react to an emergency and possibly be able to mitigate further damage. Knowledge and experience are required to recognize potential hazards in time and prevent even bigger negative effects. BP engineers were supposedly aware of variations in the pressure prior to the explosion. These engineers probably did not have the authority to request work be stopped so further inspections could be made. Politics involved with the money at stake sometimes lead to dangerous decisions. If someone with the knowledge and authority to make an executive decision was there, this tragedy could possibly have been avoided. If you were in a policy making forum, what national or international policy measures would you recommend for reducing long term risk from off-shore drilling. I think the policies on long term risk from off-shore drilling accidents could be addressed by building some kind of boundary wall to contain the drill site, even if there was not a spill. Just the act of drilling is releasing some form of contamination and if that contamination could be contained before it gets incorporated into the entire different city/ country’s water supply it would be a great benefit to prevent long term effects of oil contamination. International policies need to be in effect that maintain the same standards across the board. If one country has low standards and takes in the contaminated water†¦ they will then be releasing it into the environment and the contamination will still affect neighboring countries/cities that may have stricter standards. If I was involved in any type of policymaking forum, I would try to get policy passed that had strict policies regarding quality control practices regarding the technology being used to drill for the oil and the equipment maintenance. Increased testing of drilling equipment during and between drilling process, not just at the start stage. Sometimes equipment fails during use and quality measures need to be in place to make frequent inspections. What changes would you require in terms of ethical conduct by regulators? Regulators need to not be financially involved with projects the are legislating. This is a huge ethical problem because kickbacks and donations often lead to favorable legislations in favor of the party standing to gain and not for the best interest of the public. To what degree may politics have clouded judgment and influenced decisions that where made? Relaxed government regulation was probably made because the government in efforts to promote business, made acquisitions that were dangerous and costly to the environment in the long run.

The Need For Depository Systems In India

The Need For Depository Systems In India With the existence of 23 recognized stock exchanges, Indian capital market has been witnessing rapid growth in recent past. However, this growth has not matched with supporting infrastructure to handle the growing volume of paper that has flooded the market choking and existing system. This has caused problems like delay in transfer, long settlement periods, bad deliveries etc. With the view to globalize Indian capital market in a real sense, the government of India has initiated a number of financial reforms that were initiated in 1991 as part of the structured reforms comprising industrial de-regulation, privatization and globalization. A thigh committee on financial system with Sh. Narsihma Rao as the chairman has set up in 1991, which made for reaching recommendations for banking sector and non-banking financial sector to improve the flexibility and operational efficiency of the markets. Securities Exchange Board of India, Reserve Bank of India, Department of Company Affairs and Ministry of Finance are the important regulatory bodies of the capital market measuring the effective and efficient functioning of the market. SEBI also constituted a number of committees such as G.S. Patel Committee to review the system of carry forward transactions in the stock exchanges, Malegram Committee to review the disclosure practices of companies in primary market, Bhave committee to examine problems pertaining to transport shares. The earlier system, a paper based mode, entails cumbersome legal formalities for the purpose of transfer of securities and settlement of transaction theorem. The earlier system suffered from the following shortcomings, thereby arising the need for depository system, these are Lack of supporting infrastructure, Problems in transactions, Delayed settlements, Soaring costs of transaction, Transactions end up as bad deliveries due to faulty compliance of paper work, mismatch of signatures on transfer deeds with specimen record of the issuer, Theft, mutilation of certificates and other irregularities. The modern system i.e. depository system is the system whereby the transfer and settlement of scrips take place not through transfer deeds and physical delivery of scrips which are traditional but through the modern system of effecting transfer of ownership of securities by means of book entry on the ledgers of the depository without physical movement of scrips. History of stock exchanges The Indian stock markets are nearly 128 years old, with the Bombay stock exchange, the oldest of them functioning since 1875. At present there are 23 recognized stock exchanges. Stock exchanges are the most perfect type of market for securities whether of government and semi-government bodies or other public bodies as also for shares purchases and sales of shares are made in the conditions of the competitions. The bargains that are struck in the trading ring by the members of the stock exchanges are at the fairest prices determined by the basic laws of supply and demand. Development in the capital market The reforms for Indian capital market is mainly focused on market regulation, primary market functioning, secondary markets trading, development of a proper debt securities trading market, development of a derivatives market (futures and options), development of an integrated national market system, technological investment in exchanges, investor protection and more foreign portfolio investment in exchanges. SEBI, the regulatory body of the capital market, has been taking various steps and has introduced various guidelines for the efficient functioning of the market and has also constituted various committees to review the existing system and suggestions for further reforms. Deficiencies in the existing system of Scrips Transfer The existing system, a paper based mode, entails cumbersome legal formalities as per section 108 of Indian Companies Act, 1956, for the purpose for transfer of securities and settlement of transaction there on. The present system suffers from the following shortcomings, thereby arising the need for depository system, these are: Lack of supporting Infrastructure Problem in transactions Global Imperatives Problems in dealing with Securities Greater mobility of Securities Cumbersome legal system Need for depository system Indian capital market has been witnessing rapid growth in recent past. However, this growth has not watched with supporting infrastructure to handle the growing volume of paper that has flooded the market, choking our existing system. This has caused problems like delay in transfers, long settlement period, high levels of failed trade and bad deliveries, high-risk exposure etc. These characteristics were normally the attributes of an under developed market. As the market grows, there is need for better system to ensure that such impediment to growth is removed. The foreign investors seeking to invest in India are also apprehensive about the reliability of the post trade settlement mechanism used in India. The biggest deterrent or bottleneck in Indian capital market was largely manual and paper based settlement system that was obsolete for a rapidly growing market. Since 1992, old trading system in Indian stock exchanges has been under constant review. The main deficiencies have been identified in 2 broad areas: The clearing and settlement system in stock exchanges whereby delivery of shares by the seller and payment by the purchaser is made and Procedure for transfer of shares in the name of the purchaser by the company. The new system has eliminated paper work, facilitated electronic book entry of the transfer of securities, permitted automatic and transparent screen based trading in securities, shorter settlement periods and improved liquidity in investment in securities. All this has given impetus to the growth of the capital market in India. The transactions in a stock exchange, earlier involved physical movement of paper (the share certificate) which first changed hand from the seller to buyer on payment of price and subsequently was sent to the company (issuer of the share) for the change of the ownership of the shares to be incorporated in the books of the company. The process of verification of the ownership of the seller and hence validity of the sale took a long time, disabling the purchaser from the selling the shares further while the shares were being transferred in his or her name. Though section 113 of the Companies Act, 1956, stipulates that the company effects the transfer within 2 m onths. In reality transferring shares in ones name took longer. This delay reduced the liquidity of the investor, as during these times, he/she cannot sell the shares. This has proved particularly inconvenient for large investors for whom fast transfers were essential to maintain the liquidity. Apart from this, physical movement of shares also meant the possibility of theft and loss of shares in transit. The magnitude of the problem has increased manifold as the daily turnover in stock exchange has increased considerably. The average daily turnover of BSE itself amounts to Rs. 500 crores with shares of more than 7500 companies, being traded by more than 650 brokers for more than 30 million investors in the country. This has necessitated the use of better and faster transfer system like computerized records as compared to the physical paper (security) Emergence of Depositories There are two depositories that have emerged in India: National Securities Depositories Limited The Honourable Union Finance Minister, Shri. P. Chidambram inaugurated NSDL as the first depository in the country on Nov 8, 1996. It has been promoted by three premier institutions in India the largest mutual fund UTI, the largest stock exchange NSE of India Ltd. Subsequently, the State Bank of India, the largest commercial bank in India has also taken up a stake in NSDL. NSDL provides for electronic ownership, holding and transfer of securities trading in electronic securities on the NSE commenced in Dec, 96 and the first settlement of transactions in electronic securities was successfully completed at NSDL on Jan 7, 1997. The stock exchange Mumbai BSE also extended the facility of trading in electronic securities from December 27, 1997. NSDL is responsible to every individual to every individual investor who holds electronic balances with the depository. The depository participant acts as an agent of NSDL for providing its services to the investors. NSDL has designed the software for the operating systems in such a way that the software systems at the depository participant office are connected. Thus, a highly integrated set up for maintenance of investor accounts through the DPs has been developed and implemented. NSDL has access to all the accounts of individual maintained by the DPs to ensure adequate control. The operating system of NSDL also maintains continuous electronic connectivity with the registrar and transfer departments/agents of the companies whose securities can be dematerialized in NSDL. To all the investors both retail and institutional, NSDL offers the following services: Maintain beneficial holdings through depository participants. Provide for dematerialization and Rematerialisation of securities Dematerialization Rematerialisation Effect account transfers for settlement of trades Allow for receipt of allotment in the electric form Providing pledging, hypothecation facilities for stocks held with it. Receive and disburse corporate actions (only securities) Central Depositories Services Limited This is the second depository after NSDL. This inter connectivity will be established prior to the commencement of business by CDSL. This will facilitate settlement and movement of assets and custody from one depository to another. CDSL has been promoted by the Stock Exchange, Mumbai (BSE), in association with Bank of India, Bank of Baroda, HDFC Bank and Stare Bank of India. It has been able to tie up with as many as 35 brokers till now. CDSL and NSDL both have signed a MoU for inter-depository connectivity on 23rd April 1999. The MoU covers the understanding between the depositories for inter-depository transfers arising out of transactions not settled through the CH/CC (off market). The procedure for inter-depository transfers between CDSL and NSDL arising out of transactions settled through a CH/CH (on market) are expected to be finalized separately. The Depositories Act, 1996 The Depositories Act makes a provision for the setting up of multiple depositories in India. The investor has been granted the option of holding securities in a physical or dematerialized from. Thus it is a matter of choice for the investor as to whether he wants to avail of depository services. The depository has been entrusted with the responsibility of indemnifying beneficial owners for any loss caused due to negligence of the depository or its participants. For holding securities in the depository, the two routes that are adopted by depositories world over as: Immobilization In this the depository holds the securities in the physical form in its own vaults, but transfer of securities takes place through book entries. Dematerialization In this the securities in physical form are shredded and corresponding credit is made in the form of electronic balances that are maintained in the depository account. The concept of a depository has made a late entry into our country so we are fortunate to have the advantage o hindsight gained from the experience of other depositories the world over as well as adopting the latest technology. Thus, the law in our country has preferred the demat route. The demat securities will be identical and interchangeable as they will not have any unique characteristics such as distinctive number of folio. The depository will facilitate dematerialization of securities. The investor has the option of holding securities in the physical form or in the depository form. He can choose not to opt for depository system by requesting issue of physical certificates. The depository will, thus provide for Rematerialisation. All rights with respect to the securities held in the depository will be with the beneficial owner (investor) and not with the depository, the depository acting as the registered owner only. When transacting through a depository, the investor will not be required to pay stamp duty on transfer of shares within the depository. The depository will interface with the investors through market intermediaries called DPs. The depository will hold beneficial owner the level in formation through its network of DPs. The depository is obliged to provide this information to the issuer company or its registrar and transfer agent at regular intervals. This will facilitate proper distribution of benefits arising out of the investors holdings such as dividend, interest, bonus and rights as on a given record date by the issuer company or its registrar and transfer agent. The SEBI Regulations, 1996 Based on the depositories ordinance, SEBI has notified regulations on 16th May 1996, which specify the norms for functioning and operations of depositories. The depository system is very similar to banking environment. Thus, while a bank performs the function of holding, transferring and allowing withdrawal of funds, a depository performs the function of holding, transferring and allowing withdrawal of securities. A bank reaches out to the masses by setting up its branches. Similarly, a depository reaches out to the general investor through its agents that are the DPs. The regulations have selected various categories of market participants, who are eligible to become DPs and have a well-established customer interface network and are therefore the ideal choice to become the agents of a depository. The categories are: Public Financial Institutions Scheduled Banks RBI approved Foreign Banks operating in India. State Financial Corporations Certified custodians of securities Clearing corporations of stock exchanges Registered stock brokers Non-Banking Financial Companies. Entities desiring to become DPs must apply to the depository and are required to be recommended to SEBI by the depository. If approved and registered by the SEBI, the DP can be admitted on to the depository. The depository has to formulate its own set of criteria for selection of participants. The regulations require the depository to list out through its byelaws the securities, which are eligible to be admitted to depository for dematerialization. Equity shares, debentures, warrant, bonds, units of mutual funds etc. are part of list of eligible securities. The depository is empowered to set its own criteria for selection of securities and make securities eligible to be maintained in the form of electronic holdings on the holdings of the depository. Agreements should be entered into by the following entities: Depository and every participant Participant and every client Depository, issuer company and the registrar The drafts of these agreements are to be included in the byelaws and to be approved by SEBI. It is important that participants are connected to the depository through a continuous electronic communication system. The same is true for registrars or corporates communicating with the depository. In addition, for enabling settlements of securities, the depository is also to be connected electronically to clearing entities. This imposes the need for automatic data processing systems with necessary security features and forms one of the criteria for selecting securities for dematerialization. The depository required to ensure that sufficient safeguards are there to protect the data available with it and with the participants. To reduce risk in operations, the regulations stipulate that the depository and DPs must provide for, adequate insurance cover as well. Since the depository acts as the source of information for the registrar in terms of providing beneficial ownership details, the depository has to reconcile data internally with the participants to ensure validity of data. The regulations require this reconciliation to be carried out on a daily basis. Further the depositories and the registrar will also reconcile balances on a daily basis and periodic basis. SHOWING THE DEPOSITORY INTERFACE WITH THE INVESTOR AND THEIR BUSINESS PARTNERS NSDL ISSUER RT AGENT CLEARING HOUSE CLEARING MEMBER DEPOSITORY PARTICIPANT STOCK EXCHANGE TRADING MEMBER INVESTOR NSDL is electronically linked to its DPs, the RT department of the issuer co. and the clearing corporation/ clearing house of the stock exchange. This is done in order to facilitate the settlement of trades and to perform a dealing reconciliation of all the accounts balances with NSDL. The entire system is called the NEST (National Electronic Settlement Transfer) system. Thus a higher integrated set up for maintenance of investor accounts has been developed and implemented. Constituents of Depository System Depository Depository Participant Beneficial Owner Issuer Benefits/Advantages of Depository System Benefits of depository system are: To the Nation Growing and more liquid capital markets to provide financing and development stemming from more efficient post trade systems with reduced transactions costs. Increase in competitiveness in the International market place and attracting investors and fund managers by complying with stipulated international standard for and efficient and risk free trading environment. Improved prospects for privatization of public sector units by creating a conducting environment. Restoration of faith in the capital market on the participants with system to minimize settlement risk and frauds. Considerable reduction in the delay in registration which can currently impact trading. To the Investing Public Reduction of risks associated with loss, mutilations, theft and forgery or physical scrips. Elimination of financial loss owing to loss of physical scrips. Greater liquidity from speedier settlements and reduction in delays in registration. Faster receipt benefit and rights resulting from corporate action. Improved production of shareholder rights resulting from more timely communication from the issuers. Reduced transactions costs through greater efficiency. To issuer Upto date knowledge of shareholders names and addresses. Savings in costs of new issuers from reduction in printing and distribution costs. Increase in efficiency of registrars and transfer agent functions Better facilities for communication with shareholders conveying benefits of corporate actions and information notices. Improved ability to attract international investors without having to incur the expenditure of issuance in overseas market. Objectives of the study To know the perception and viewpoint of the investors regarding depository system. To know the satisfaction level of investors regarding depository services. Related Researches Alton (1994) found the principles of converting shares into dematerialized form. He also commented that with a grand start the concept of demat of shares in Indian Market is all pervasive and set to conquer the stock market. George (1996) studied the growth and the dematerialization of products and found that the concept of dematerialization is coming at a very fast pace. Kumar (1998) studied the advantages of dematerialization and opening of Demat account. He also compared the effect on trading of shares of the companies have dematerialized their shares and who have not dematerialized their shares. Mittal (1998) presented an extensive information on dematerialization of shares, their advantages, investor grievances and insurance aspect related to dematerialized shares and found that a very large potential of dematerialization of shares exists in the Indian Market. Cholamandalam (1998) conducted research on requirements to be fulfilled by a company to get its shares listed at a depository so that they can be easily dealt in dematerialized form. Hughes India Limited (1999) conducted a research to study the benefits and drawbacks, which are to be borne in mind by company that is planning to dematerialize its shares and get them registered with NSDL. Law (1999) in his article Depository Revolution has discussed that depository is not just removing fake shares and bad deliveries from the capital market but to prove a great catalyst for reform. The depository is a reality today. The concept of depository is set to revolutionize trading practices, reduce transaction costs and increase investor safety. Kumar (1998) in his Article Demat trading simpler the better has shed light on the different fees structure charged by NSDL from depository participants and by depository participants from the investors. NSDL charges nominal fees under three heads i.e. transaction fees in case of purchases, custody fees and rematerialisation fees. Gajra (1999) in his article Claim your rights has provided us the useful information that the investors get the compensation or the loss due to the depository participants mistake. The investors for protecting their return should give debit instruction to their DPs for sale at least a day or two before settlement day. Then the investor has to look for an instruction carried out properly. If he failed to get it, then he should approach NSDL, for arbitration. DPs are personally liable for their losses. This article was given in regard when SCHIL, one of the largest DPs failed to transmit instructions of its investor-clients to NSDL on time before settlement pay in. Saikia (1999) in his article Compulsory demat within a year has shed light on the views expressed by Ministry of Finance that one year has been set in adopting the full demat route for primary and secondary market shares. Research Methodology The study is based on descriptive research design. The primary data was collected and used for the research purpose. Primary data was collected by survey with the help of a questionnaire. The questionnaire was administered by the personal interview i.e. questions were asked from the respondents in a face-to-face meeting and the study was conducted with the help of pre-structured non-disguised questionnaire. Respondents were interviewed with the help of structured questionnaire. An investor residing and availing Depository Services in Ludhiana was taken as a sample. In the present study, non-probability sampling technique i.e. convenience sampling is used to collect the sample. Here in the study, population consists of all the investors of Ludhiana and a sample of investors have been taken from it. It is a convenience sampling because the respondent investors are chosen from those who happened to visit the office of a particular broker and the brokers themselves. The respondents were interviewed with a structural questionnaire by the researcher. A smaller sample but well selected sample may be superior to a larger but badly selected sample. A total of 100 respondents were selected from the city for the study. Investors ranked various advantages of depository. Rank was determined by computing the weighted average i.e. 4 points were attached to rank first, 3 points to rank second, 2 points to rank third and 1 point to rank fourth. Then for calculating ranks for various advantages, points allotted by investors were added and divided by 100 i.e. sample size. The advantage with the highest weighted average was ranked first and the advantage with the lowest weighted average was ranked fourth i.e. last. Similarly, the investors ranked problems faced by investors in depository system. Weighted average method was used. For rating the satisfaction level regarding depository services and the investors view point regarding depository system, weighted average method as well as factor analysis were used. The points were given as such. For highly satisfied +2, for satisfied +1, for indifferent 0, for dissatisfied -1 and for highly dissatisfied -2. Results of the Study Respondents Profile As per the study, majority respondents were professional i.e. 33% such as C.As, MBAs and C.S., where as 22% were post-graduates and the remaining 45% were graduates. The study found that majority of the investors i.e. 46% belonged to age group 30 or less than 40. 18% of the investors were belonging to age group 20 or less than 30, 26% of the investors were belonging to the age group 40 or less than 50 and 10% of the investors belong to the age group 50 or more. As per the study majority of the respondents i.e. 44% of the investors were found operating in the capital markets for 6 years or more. Whereas 29% of the investors have been operating for 4 years of less than 6 years, 18% have been operating for 2 years or less than 4 years and the remaining 9% have been operating for less than 2 years. As per the study, majority of the respondents had opened their demat accounts in year 2000 and 1999. The Different Sources Of Information From Where The Investors Came To Know About The Depository System. Sources of Information No. Of Investors Percentage Brokers 42 42 Friends 6 6 Newspapers Magazines 36 36 T.V. Programmes 2 2 Others 14 14 Total 100 100 As per the study, majority respondents had brokers, newspapers and magazines as the best source of information regarding depository system. The Depository Participants With Whom The Investors Had Opened Up Their Demat Account Depository Participants No. Of Investors Percentage SHCIL 30 30 Master Capital 22 22 LSE Securities 16 16 Karvy Consultants 18 18 Others 14 14 Total 100 100 The study revealed that Majority participants had opened their accounts with Stock Holding Corporation of India Limited followed by Master Capital, Karvy Consultants, LSE Securities and other depositary participants. The Reasons For Opening Demat Account With Particular DP By The Investor The respondents were asked to tick the various factors being considered for opening demat account with a particular DP. Reasons Percentage Nearness to location 15 Fast transaction 30 Infrastructure Facility 25 Good client dealing 15 Goodwill of the Organization 10 Others 05 Total 100 As per the study, the major factor contributing in selecting the depository was Fast Transaction followed by other factors such as Availability of Proper Infrastructure, Client Dealing, Goodwill of the organization, approachability etc. The Ranking Given By The Investors To Various Advantages Of Depository System Advantages Mean Scores Ranking No scope for any risk of loss, theft or fraud regarding share certificates 1.32 1 Investment is highly liquid 1.96 2 No stamp duty 3.9 4 Bad deliveries are almost eliminated 2.82 3 The study found that majority of the investors were of the view that the depository system would overcome the chances of loss, theft or fraud as a first advantage followed by other such as liquid investments, elimination of bad deliveries and absence of stamp duties. The Ranks Being Given By Investors To Different Problems Of Depository Services. Problems Mean Scores Ranking Not fully aware of the mechanism 3.64 4 Fear of enquiries from Income Tax Department 2.45 3 Increase in transactions costs 2.27 2 Difficulty in maintaining accounts 2.25 1 Increased paper work 4.39 5 As per the study the investors thought maintenance of accounts as a major problem of Depository System and ranked it at first place. The study highlighted the other problems such as increase in the cost of transaction, fear of enquiries from Income Tax Department, not full awareness about the system and increased paper work. Satisfaction Level Of The Investors Regarding Depository Services Attributes Mean Scores Satisfaction Level Dealing of DPs 1.6 Highly Satisfied Fees structure of DPs 0.94 Satisfied Service time of DPs 0.32 Indifferent Infrastructure Facilities of DPs 0.97 Satisfied Dematerialization/Rematerialisation procedure 1.14 Satisfied The study found that the investors were highly satisfied with dealing of Depository participants and satisfied from other services such as fee structure, infrastructure facilties and demateralisation/rematerialisation procedures. However, many of the respondents were found indifferent from service timings of DPs. The Investors View Regarding The Different Factors Of Depository Services Sr. No. Factors Mean Scores View Point 1 More transparency in depository system 2 Strongly Agree 2 Fear of losing physical possession of share certificates -1.36 Disagree 3 More cost involved in opening, maintaining and closing of demat account 1.05 Agree 4 Manipulation done by DPs and Brokers -0.02 Indifferent 5 Burden on small investor has been increased 0.21 Indifferent 6 Cost of Depository System matches with the revenues from it 1.22 Agree 7 Demat process is a lengthy one 1.14 Agree 8 Business for brokers has been increased 1.58 Strongly Agree 9 Need of single Depository 0.02 Indifferent 10 Demat has a bright future

The impact of multinational corporations on an economy

The impact of multinational corporations on an economy Multinational Corporation also knows as Transnational Corporation or multinational enterprise. These three things have same definition and function. Multinational company is a company that have manage the business in one country or they called it headquarters and also have their branches of business in others country. Multinational company have brought the advantages and disadvantages in the host country. 2.0 FINDINGS 2.1 Definition of MNC According to the business dictionary MNC means the enterprise that operating in several countries but managed from one (home) country .While according to the International Economics books they divided it into three sections. First by the size, means MNC is the extent of internationalization need. Then by the structure the MNC include the number of countries in which the firm does business and the citizenship of corporate owners and the top managers. Lastly by the performance, depends on the characteristics as earnings, sales and assets. Others meaning of MNC is a network of capital, product, and knowledge flow between organisational units. 2.2 Characteristics of MNC The characteristics of MNC are a company must have and own or control value adding activities in more than one country. And they also have involving in strategic alliances with others company.MNC also bring the new technology with the new capital and access to the local market knowledge and distribution in the host country. Furthermore, the characteristic of MNC is to view the worldwide presence in one or more of businesses. 3.0 STATISTIC 3.1 Foreign Direct Investment Foreign direct investment means the other company from outside which is other country invest in one company of other country. Many of country include in foreign direct investment. Malaysia also takes a part in this business because many advantages Malaysia can get from foreign direct investment from other countries. Malaysia can get many profits and develop the country from it. Malaysia ranks among the world is a top 20th attractive country to foreign direct investment (FDI) according to the World Investment Prospects Survey 2007-2009 FDI  by the  United Nations Conference on Trade and Development (UNCTAD). Malaysia have a good strategy in map which means that the location of Malaysia in the heart of Southeast Asia and offer a cost competitive position for whom thats want invest in that country especially in manufacturing of technology product for regional place and global markets. The factors that Malaysia become a top 20th choice of foreign direct investment is firstly is a hum an resources that Malaysia have is from a younger categorize that is strong and intelligent enough. Malaysia also try to develop the country to become modern and technology so its need the foreign direct investment come invest to Malaysia .When this happen its will be the exchange of technology and increase the knowledge of Malaysia about the technology. Government also provide the good services and tax for foreign invest in Malaysia. This is to make sure the continuous supply of manpower to meet the needs of the growing manufacturing and technology sector of Malaysia. 3.2 The Gross Domestic Product The gross domestic product (GDP) is a basic measure of a country economics performance.GDP is a purchases prices that sum of gross value added by all resident producers in the economy plus any product taxes and minus any subsidies not included in the value of the products. The most common approach to measuring and quantifying GDP is the expenditure method. The figure above shown the graph of Gross Domestic Product from 2005 to 2009 Figure 1.1 Bar chart of Gross Domestic Product (in 2000 constant prices) Ringgit Malaysia in Million 2005 2006 2007 2008 2009 Gross Domestic Product  Ã‚   (in 2000 constant prices) Ringgit Malaysia in Million  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   449,250 475,192 505,353  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   528,804  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   528,860 The bar chart above shows that the Gross Domestic Product from 2005 to 2009 in increase. Start from 2005 the Gross Domestic Product in Ringgit Malaysia shows the total is 449,250 million. Then follow by year 2006 the total amount is 475,192 million ,it have an increasing in number. While on 2007 the amount is 505,353 million. For 2008 and 2009 is 528,804 million and 528,860 million. This shows that the effect of MNC that invest in Malaysia have been increase the Gross Domestic Product in every year. The figure above show the pie chart of sector of MNC in Malaysia. Figure 1.2 A pie chart of sector of MNC in Malaysia 2005 2006 2007 2008 2009 Agriculture, forestry fishing  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   35,835  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   37,769  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   38,593  Ã‚     Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   40,073  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   39,260 Mining 42,472  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   41,315  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   42,663  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   42,337  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   42,176 Manufacturing 137,940  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   147,672  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   152,262  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   154,195  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   141,934 Construction 14,685  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   14,604  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   15,279  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   15,604  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   16,071 Services 230,043  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   246,895  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   270,762  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   290,588  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   303,695 Many of MNC from other country invest in Malaysia. There have a specific into a few sector of MNC. There are agriculture, forestry fishing sector, the mining sector, manufacturing sector, construction sector and the lastly is services sector. The pie chart shows the total amount of Gross Domestic Product (GDP) in each sector start from 2005 to 2009.All the sector have the incensement in the GDP according the increasing of the year. Start from agriculture, forestry fishing sector the total of GDP is 39,260 million for 5 years. While in mining sector and manufacturing sector the amount is 42,176 million and 141,934 million. The construction sectors have 16,071 million in the GDP.The largest amount sector that influence the GDP of MNC is a services sector. This can be prove by the total amount is 303,695 million. For the smallest amount is in agriculture, foresting fishing sector. The reason why the agriculture, foresting and fishing is the smallest influence is because Malaysia has their own product that can be produce by the country itself. Its not too necessary to receive the FDI from outside. Furthermore Malaysia has a larger area of forest and sea. Diverse from agriculture sector, is services sector that give a large amount in GDP. Malaysia is a one country that in progress to develop, so its need many of technology to be use especially on a services sector. Example the public transportation service, they need to be improve on the speed and safety for the passangers.Nowdays many of public transportation have been improve such as LRT and KOMUTER.This transportation have a high speed and big space to take a many passengers and they can arrive the destination at the short time. 4.0 EVALUATION 4.1 The contribution of MNC in Malaysia Malaysia is one of the most talented manufacturing and exports that base in the area. Malaysia ranks as among the worlds top 20 attractive countries foreign direct investment (FDI), according to the World Investment Prospect Survey 2007-2009 FDI by the United Nations Conference on Trade and Development (UNCTAD). (www.tradechakra.com). There are more than 60 countries have invested in over 3000 companies in Malaysias manufacturing segment. The countries that have invested in Malaysia is Japan, Singapore, Thailand, United State and more else. Furthermore, Toyota, Hitachi, Ford and IBM are the examples of Multinational companies that contributed in Malaysia country. The main factor that are attracted foreign company to open up their business in Malaysia is the assurance of governments that retain the trade environment that are provides the foreign investors with the profits and opportunity for development. In general, foreign company in Malaysias manufacturing sector can hold 100% equit y in project which export 80% of their production and attractive tax rate incentives in 2008 is 26% and it will cut to 25% appropriate to mutually no-resident and resident companies. Malaysia proposes a broad range of tax encouragement for manufacturing scheme under the Income Tax Act 1967 and Promotion of Investment Act 1986. There are many types or sector of multinational company in Malaysia. The sectors are including the manufacturing, agricultural, mining, construction, forestry and services. For examples, the foreign country that contributes to manufacturing sector likes Japan automotive industry. Nowadays, Japan have contributes their automotive industry like Honda, Mitsubishi, Daihatsu and Toyota in Malaysia economies. 4.2 The advantages of MNC in Malaysia The advantages of multinational company in Malaysia are it will increase the economic resources. This is happen when other multinational companies from outside open their business in Malaysia and the foreign currency exchange rate in Malaysia will be increase the economies indirectly. When transnational company opens their industries in Malaysia, they need to hired people to work with them and it will provide job opportunities for unemployed graduates in Malaysia. Moreover, it will also transfer the management skills and technology to Malaysia. So, they can learn and used the technology for the development of the country. Other than that, Malaysia has its own natural resources like petroleum, oil, gas and others. It attracts the foreign country to open up their business in Malaysia. Moreover, it also will increase the development rate of host nation by introducing new investment, management skills and new technology. For example Perodua Myvi the 6th model of Perodua Malaysia is based on Daihatsu Boon and Toyota Passo from Japan automotive industry. Malaysia automotive and Japan automotive industry are joint venture to produce the new product and new technology. Furthermore, services transfer is also one of the positive impacts of multinational company in Malaysia. It means that, government will transfer the local workers to the foreign country to learn about their management and technology skills. So, they do not need to hired foreign employee to works in Malaysia 4.3 The disadvantages of MNC in Malaysia The negative impact of multinational companies that affected Malaysia is it will change the culture. Malaysia is based on different race and religion and they focuses about their culture and religion. The present of multinational companies from other country especially from West Country indirectly change and spoiling the local culture in the mentality, philosophy and more else. Other than that, they may not promote any development for the nations economic activities by basically source their components from out of the country. Its means, they will make local producers out of business. Multinational companies could take pleasure in high competitive advantages over local firms that can damaged local competition rather than promote it. Other than that too dependence of the foreign technology will make them take the advantages of Malaysias weakness and they will dominance the local industries. In addition, foreign country will interrupt of Malaysias economic plans and they will become ri cher better than local country. This is because they can get worker with low labour cost in Malaysia and cheap of raw materials. Other than that, the tax of Malaysia is low then their country so it makes them attract to open up their business in Malaysia. 5.0 CONCLUSION Multinational Company (MNC) gives a big impact in a country. It has the advantages and disadvantages impact. According to the Foreign Direct Investment the number of Gross Domestic Product (GDP) increasing follow by the years. Start from the early 1960s century the enter of MNC in Malaysia give a big impact, mainly in economy and social development of the country .There also have an transfer of technology in the country. Many of the things now is based on the technology. This is the advantages for the country to attract the foreign to invest in Malaysia because Malaysia is the one of the country that in process to develop the country into the developed country. Furthermore many of knowledgement can get from them to produce the intelligent and educated people in the country. The MNC also give the big profit to Malaysia . Although they give many impacts on the advantages in the country, they also give the disadvantages one. When the transfer of social is occurred, they give a some of t he bad social impact for the country. For example, when they have too many MNC from outside invest in Malaysia automatically they dominant the industry and this give the small chance for the local to invest in their own country industry. Other than that the technology of the country just depend on the foreign country. It just gives the foreign company to take advantages toward the host country to produce their technology. 6.0 REFFERENCE Economy Watch, Malaysia Industry Sector [online] Available at: [Accessed on 18 November 2010] Natarajan M. Tan J.M, 1992, The Impact of MNC in Malaysia, Singapore Thailand [ e-book], Institute of southeast Asian ,Available at: [ Accessed on 21 November 2010] Trade Chakra, 2008. Foreign Investment in Malaysia [online] (Updated 7 Dec 2009) Available at: [Accessed on 19 November 2010]