The British Foreign Policy

The British Foreign Policy This essay aims to establish the role the Prime Minister plays in setting, shaping and implementing foreign policy in the UK by exploring decision-making patterns by former Prime Ministers in the related field, as well as current governments choices and aspirations on the international arena, and the contribution of Foreign and Commonwealth Office (FCO) and other bodies. As Paul Williams (2004: 911) noted that foreign policy is not made in a political vacuum it is paramount to take into consideration Britain`s national interest in international relations and the countrys position in the existing paradigm of world politics. First, it will define what foreign policy is and why it takes a special place in policy making. Foreign policy will be analysed against following factors: globalisation, public opinion and national interest. Also, it will summarize the key models of the Foreign Policy Analysis (Allison 1971) and question their effectiveness and drawbacks. Second, the essay will refer to case studies on the subject to bring empirical data into analysis. The case studies include the Europeanization of the foreign policy in the UK, the US-UK intervention in Iraq in terms of the ethical foreign policy. They will help to access the role played by foreign policy makers. Given the length of this essay it will not comment in detail on the influence of NGOs, British ambassadors abroad and the economy; however, they are undeniable parts of foreign policy-making process. Finally, the essay will discuss a possible course of action for the UK to take in order to achieve a successful foreign policy and bring back the power to British decision-makers. What could be done to overcome common thinking of foreign policy being about getting our way in an unhelpful world (Cradock 1997: 99-100). What foreign policy is? Definition, context, goals In the modern world it is impossible to imagine a country without a well-defined set of rules of behaviour towards its geopolitical neighbours and economic partners. The question remains, however, as to what extent foreign policy represents interests of leaders, political parties and general public of a particular country. Collective coping with the international environment is, indeed, a useful shorthand definition of foreign policy according to Christopher Hill (2003: 9) but this definition leaves infinite variants of interpretation of what collective is and who plays the leading role in doing so the Prime Minister, the Foreign Secretary, a collaboration of both, official agents interpreting and implementing policies or influence of powerful countries that Britain has close relationship with? In order to understand who conducts the British foreign policy it is essential to outline the policy goals first. William Hague, the current Foreign Secretary, in his speech on the 1st of July, 2010 promises to deliver a distinctive British foreign policy that extends our global reach and influence, that is agile and energetic in a networked world, that uses diplomacy to secure our prosperity, that builds up significantly strengthened bilateral relations for Britain, that harnesses the appeal of our culture and heritage to promote our values, and that sets out to make the most of the abundant opportunities of the 21st century systematically and for the long-term. So for the first time in years in my view Britain will have a foreign policy that is clear, focused and effective. His statement highlights the fact that UK foreign policy is not pursuing one goal; on the contrary, it seeks to accomplish multiple aims: to extend Britain global influence, to secure prosperity, to promote values through culture, etc. Successfully achieving them means achieving each part separately which involves resources and actors in different areas. As a result some policies might overlap and even contradict one another (Williams 2004: 913) and it is worthwhile looking at specific parts of the policy rather than a whole. Foreign policy has been characterised by being overly secretive and elitist which makes it more complicated to trace the decision-making process. Foreign policy takes a special place in the whole policy-making field as it is closely linked with politics. It should not come as a surprise since it deals with sensitive issues like intelligence services and diplomacy, which seldom become available to general public, for obvious reasons: the information might fall into the wrong hands and undermine the objectives set by the policy. Nevertheless, it is possible to comprehend in which direction foreign policy is headed based on the past decisions made by politicians and the impact they made at the time. This direction a state chooses to follow depends greatly on the personality of a leader, current administration and economic situation a state finds itself in. Foreign policy is conducted in complex internal and international environments; it results from coalitions of active actors and grou ps situated both inside and outside state boundaries; it involves bargaining and compromise affecting the interests of both domestic and international groups (Neak cited in Carlsnaes 2008). Foreign Policy Analysis To analyse foreign policy scientifically Graham Allison (1971) in his work Essence of Decision comes up with three models of decision-making related to foreign affairs (known as Foreign Policy Analysis) trying to explain the reasons and causes behind states decisions in a crisis. The first model, Rational Actor Model (RAM), assumes that a single actor (state) makes decisions upon a calculation of possible outcomes, thus decisions are rational reactions to a particular situation. It can be said that state chooses a course of action in line with its national interest trying to avoid losses and maximize benefits. The second model, Organizational Process Behaviour (OPB), is characterised by decision made by multiple organisations that look back at previous precedent and act accordingly. Thus it tries to bring down the importance of central control in decisions. The final model, Bureaucratic Politics, is summarized by Allisons own words where you sit determines where you stand, meaning t hat governmental organizations normally have a preferred way of dealing with an international crisis. These models were used by the scholar to apply different lenses to explain the origins of the Cuban Missile Crisis and establish how and why the USA and the USSR came to the choices they made during the conflict. Allison admits that these three models are not capable of encompassing all possible variants, his study became a milestone in FPA as it attempted to present social science capable of achieving clear and objective explanations of social and political actions. Stein (2008) develops the idea of rational-decision making further: in order for a policy maker to make a rational choice, he/she needs to value how reliable the information is, and whether it comes from a trustworthy source. Moreover, any new information that might turn up has to be evaluated against diagnostic evidence that takes into consideration the consequences the policy maker is considering. Who is in charge? On paper it is the Foreign Secretary who conducts foreign policy in the UK although it hasnt always been the case. The Prime Minister retains the power to declare war and deploy military troops, making the fragile equilibrium of power shift. Tony Blair has shown that depending on who is leading the country, the style of policy-making changes dramatically. During New Labour the most important decisions on foreign policy were not taken at the FCO but in the Cabinet. His leadership earned the name interventiolalist as Britain took part in several military operations: Barras in Sierra Leone, Desert Fox in Iraq amongst others. It is the Prime Ministers decision whether to send troops into combat or not and Blair chose to consult not the cabinet as a whole but rather small ad hoc committees of advisers. Anthony Sheldon (2004: 692) named these groups denocracy as their meetings took place in Blairs office, the den. Such exclusiveness promotes confusion as a small circle of trusted ministers and advisors gives an impression that the policy as a whole is reactive rather than proactive. It is worthwhile mentioning that the UK is a parliamentary monarchy and the Queen is the official ruler in the UK. Although her power is mostly of a ceremonial nature, nevertheless, she plays an important role in representing the country at various levels: the UK, the Commonwealth and internationally. In her speech to the Parliament on the 9th of May 2012 the Queen set the following agenda: to strengthen oversight of the security and intelligence agencies, to seek approval of Parliament on the anticipated accession of Croatia to the EU, to support a secure and stable Afghanistan, to reduce the threat of nuclear proliferation in Iran and to build strategic partnerships with the emerging powers. These goals show that the Queen is far from being above politics, on the contrary, she is greatly concerned with Britains position in the fast developing world and foreign policy is one of her concerns. Factors influencing the British foreign policy: American influence The UK boasts to have a special relationship with the USA in terms of foreign policy. British foreign policy has privileged the idea of working closely with the United States, particularly in the area of international security, where the UK has provided the largest and most effective non-US contingent to three American-led conflicts in recent years twice in Iraq and once in Afghanistan (Wallace and Phillips, 2009: 267). The two countries have been allies for a long period of time and acted accordingly. Britain considers its international relations with the USA to be as important as its ties with Europe, if not more. However, in the light of Britain losing its imperial power long ago and the hegemonic rise of the US, arguably, Britain plays along with the American directives. This was the case in all interventions where the USA took part in the last 60 years except the conflict in the Falklands. It appears that Britain is torn among its own interests, the EU integration and Anglo-American ties (Atlanticism). Blair decided to strengthen the countrys position by addressing these three issues at once. The USA will benefit from a special relationship with the UK when making decisions in Europe and vice versa. This special relationship (Wallace and Philips 2009: 267-274) includes defence cooperation, military nuclear cooperation, provision of bases to the United States and intelligence relationship. But does Britain get out as much as the USA in this relationship? The answer to this question remains unclear: On issues as varied as the Kyoto Treaty, the Ottawa Treaty banning landmines, the war in Kosovo, the attack on Afghanistan, the Middle East peace process, the Iraq war and subsequent occupation, or the holding of British captives at Guantà ¡namo Bay, there has been little evidence of the UKs ability to shape US policy. Indeed, British governments, in clinging to the idea of the special relationship, have generally overlooked the fact that the US has several privileged relationships, notably with Mexico, Israel, Australia, Italy and Poland. (Wallace 2009: 65) While Brits assume that Americans hold certain sentiment towards shared past and noble goals, the USA might be pursuing its own national interest instead. Riddell (2003) argues that America is not disposed to sacrifice national interest on the altar of nostalgia or sentiment and shows scant regard for those who do. It shows that no matter who the USA considers to be its allies, it is going to pursue its own national interest and foreign policy. Tony Blair was not the first Prime Minister who chose to play a bigger role in foreign-policy making. Margaret Thatcher in her role as the Prime Minister had her own very specific view on how to conduct foreign policy. Her initiative to take part in the military conflict in the Falklands wasnt supported by the USA at first which didnt stop her. She had very distinctive views about Anglo-European relationship as well and the FCO was often excluded from the decision-making process. She blamed the FCO for being pro-European and considered creating a separate body to counteract the FCOs dominance in foreign policy-making. The UK and the EU: the FCO adapting to Europeanization While Anglo-American relations occupy an important place in Britains foreign policy there is another undeniable partner that has become more and more relevant in the recent years the European Union. British policy-makers have traditionally accorded a higher priority to transatlantic security relations than to relations with their European partners. This is despite having enjoyed arguably more success in shaping the actions of the EU than in influencing key decisions in Washington. In recent years, and on crucial issues such as defence, energy and environmental policy, Tony Blair played a crucial role in shaping the EU agenda. (Wall cited in Menon, 2010) After Britain joined the EU (EEC) in 1973 it became apparent that the country needs to integrate into the EU and to do so it had to adapt and reform its foreign policy. The FCO anticipated the changes both with suspicion and high hopes for a stronger Europe. Inevitably the line between domestic and foreign has become thinner and thinner as the EU touched upon an array of issues. Since the creation of the EU has influenced its member states so greatly it is argued that they became Europeanized. Bulmer and Burch (1998: 602) define Europeanization as the extent to which EC/EU requirements and policies have affected the determination of member states policy agendas and goals. Arguably the FCO lost part of its power to the EU in terms of policy-making towards Europe. The FCO wanted to retain its power as a sole determinant of Britains national interest. David Allen (2008: 3) points out that the FCOs position within British central government has been both enhanced and challenged by European integration. At the same time David Milliband (2009) emphasizes how important albeit difficult the integration is we can lead a strong European foreign policy or lost in hubris, nostalgia or xenophobia watch our influence in the world wane. Structurally, a Permanent Under-Secretary (PUS) remains as the top role of the FCO. PUS coordinates the FCOs work overseas and its administration. Another key role is held by Political Director, who makes sure that Britains interests are represented at European Political Cooperation (EPS), which is now effectively the top policy advisory post. Allen (2008) explains how these posts work as a tandem: The specific position of Political Director can be explained in terms of Europeanization in that the FCO willingly adapted its management structure so as to effectively participate in the EPC. This adaptation has led to spillover whereby the Political Director now plays a larger role than perhaps originally intended. However, the different roles played by the PUS and Political Director are the result of both EU membership and other factors, especially the need for improved management within the FCO. Britain remains being euro-sceptic towards further integration in the EU, it repeatedly criticises the current weakness of the economy in Europe and is not satisfied with being a member of the three major states (along with Germany and France) that have to help out weaker countries sometimes at their own expense. However, in the era of globalisation further integration is inevitable and the UK is more Europeanized than it thinks is. At a general level British foreign policy has undoubtedly been affected by a process of Europeanization, although the extent to which this has impacted upon actual policy will vary from issue to issue. In particular, British policy has been Europeanized at an ideological level, in regard to foreign policy-making, and in relation to the agenda and content of policy. However, the process of Europeanization has not entirely subsumed a distinctly British foreign policy. In this sense, successive British governments have been quite successful at using the European level of foreign policy to achieve its own objectives and simultaneously prevent unnecessary levels of integration. (Williams, 2002) Paradoxically, the EU shouldnt have foreign policy in the first place as it is not a sovereign state. Because of Maastricht Treaty 1993 the EU member states are committed to a common European and Security policy (CFSP) which enables them to pursue their own national interests but at the same time to coordinate them on the European level. This can be achieved with the help of the European Community, the CFSP and Justice and Home Affairs (JHA) which are responsible for different policy issues such as external economic relations, political and security question, international crime and terrorism respectively. Sometimes events on a global scale are capable to change foreign policy almost overnight. The 9/11 terrorist attacks in New York transformed British, European and American foreign policy and only after three days, on the 14th of September, the EU passed a declaration on European arrest warrants and measures to combat terrorism. This brings another foreign-policy dilemma the ethical dimension. As Tone Blair declared to bring human rights at the very heart of foreign-policy it remains unclear which ethics British foreign policy should pursue. The war on terror had best intentions in its core; nevertheless, Britain has to draw a line on its use of power to do so. Blair followed the doctrine of liberal interventionism, promoting liberal beliefs and sometimes imposing it on the countries with contrasting views: Afghanistan, East Timor, Iraq, Kosovo, Sierra Leone and the Democratic Republic of Congo. If democracy and the rule of law are imposed in a non-negotiable way it becomes unethical as a result. Cases such as Iraq invasion in 2003 bring to attention this delicate matter in foreign policy. There was no direct threat to either US or UK sovereignty, the public polls disapproved of the intervention, yet both countries favoured the invasion. The workings of the EU institutional system mean that the coalition government may also struggle to exert the influence it desires. Britain already suffers from its exclusion from and lack of clear engagement with a key consultative forum the Eurogroup (comprising those member states that have adopted the euro). This structural weakness is only heightened by the absence of the Conservative Party from the European Peoples Party, whose members include the German Chancellor, the French President and the President of the European Commission. David Cameron will not be able to attend their pre-summit meetings, at which they coordinate negotiating positions. In other ways too, Conservative suspicions of European integration may limit the ability of the UK to achieve all that it could within the framework of the Union. What is more, to be reliable and effective foreign policy must attract domestic legitimacy, which means involving the public in the same kind of continuous dialogue as takes place over tax or transport policy. If we can accept the centrality of foreign policy in our political life without seeing it as a way of merely exporting our own superiority, we shall stand a better chance of, first, coping collectively with outsiders; second, making a contribution to a more stable and civilized international system; and third, avoiding the kind of catastrophic mistakes which cost hundreds of millions of individuals their lives in the last century, the century of progress. Public opinion and media shaping foreign policy Public opinion is another important lens of foreign-policy making. As we live in a world where communication has become instantaneous powered by digital media both politicians and policy-makers try to use it to their advantage. According to Robinson (2008) there exist two models capable of analyzing the impact of public opinion and media on a policy. The pluralist model suggests that the media and publics are independent of political influence and, as such, can act as a powerful constraint upon governments. The elite model, on the contrary, assumes that media act merely as mouthpieces for government officials, operating to mobilize publics in support of respective policies. The case of the polls on the Iraq War in the UK showed that although the majority disagreed with Tony Blairs decision to engage in the conflict, they did not stop the Prime Minister from changing his course of action. The consequences of this decision resulted in Blair not being re-elected, as the media coverage r evealed more details about the rising number of casualties in the war. Bias of the media should also be put under scrutiny the newspapers in the UK (as well as the rest of the world) often cater to different political parties promoting a certain agenda and delivering a policy chosen by that party to the public. Thus, it is extremely difficult to account for the influence of the media due to the fact that public opinion might not be partial having been shaped by the media. Foreign policy is always the product of a society, a polity, interpreting its situation and choosing who chooses is another matter to act or react in a particular, unpredetermined way. Conclusion In conclusion there is not a definite answer to who conducts the British foreign policy. Different Prime Ministers showed a ranging level of involvement into foreign policy-making process. Factors such as Europeanization, the US-UK alliance, public opinion and economic crisis make it more difficult to understand to what extent one person or several people (the Prime Minister and the Foreign Secretary along with advisors) can follow through with the propositions set at the beginning of a governments term. The process of foreign-policy making involves civil servants, ministers and officials of all spectrums as well as independent advisors, experts from the UK and worldwide. While most significant decisions are made by the Prime Minister, he makes his choice based on the data and evidence he has been given. Finally, it is not enough to simply formulate foreign policy, the major stages of the policy-making process fall onto the shoulders of civil servants who interprete, implement and pr esent the policy. Moreover, there are multiple foreign policies in the UK which demand different approaches. If the UK wants to remain its international power that has been in decline after the fall of the Empire and maintain the foreign policy that is coherent at all stages of the policy-making process, it needs to find balance between pursuing its national interest, skilfully presenting and implementing the policy at the domestic and the international levels and managing the members involved in the process. Britain faces not a menu of alternative routes to far-reaching international influence, but a choice between imperfect options (Cradock 1997). UK needs to go through the three-step process identified by Christopher Layne (cited in Menon, 2010) determining the countrys vital interests, identifying threats to these and deciding how best to deploy national resources in order to protect them.

Many Teenagers Run Away from Home Essay

Each year, many teenagers run away from home. Why do you think are their chief causes? There are many teenagers who run away from their home. Recently the problem of teenagers running away from home is getting more and more serious. This happens in big cities and small towns, and our country is no exception. Each year, many teenagers run away from their families. But it all depends on the person. The main reasons of teenagers’ running away are in surrounding community. The closest people in the world are our family. But if there are some problems in family, then person, especially teenager, who is formed own current psyche, escape from the hopelessness. Nowadays it is very difficult to live with the society around us. Many people try to find a benefit only for themselves, trying to deceive someone in order to satisfy their needs. They deceive each other without thinking that makes a pain and mental injury. There are several reasons why teenagers run away from home, normally these reasons are related to conditions in the families, bad influence of their friends and financial problem. The first cause of running away is conditions in the family. One of the reasons is because they come from broken homes where their parents are divorced. They do not get enough love and care from their parents. As a result, they will go and find love and care elsewhere. Some parents have the habit of quarrelling in front of their children. The children feel ashamed of their parents and cannot stand this kind of environment. In the end they run away from home. Some parents are too strict with their children. They always punished, scold and lecture their children. They also put too much pressure on their children especially in their studies. Actually they should encourage and guide them more instead of putting unrealistic goals on their lives. Most teenagers do not like to be restricted and treated like children. They want to have their own freedom. They like to be creative and learn things for themselves. To overcome the problem, parents should learn how to care and love their children. They need to be sensitive and careful not to do certain things in front of the children. For example, if they have conflicts among themselves, they need to settle it on their own first instead of arguing or quarrelling in front of their children. In many families children are afraid of talking to their parents and asking them for what they want. For this reason the misunderstandings between them grow bigger and bigger. This often ends in a big quarrel. The second reason that leads to run away teenagers from their home is bad influence of their friends. They find their own way of escape by running away from home. They tend to spend their time with their friends than staying at home. That is the beginning of the problem. If they mix with the wrong group of friends, they will get involve with all kinds of wrong activities. For example, under the influence of bad friends, teenagers who escape from home may fall under alcohol dependence. Teenagers abuse alcohol. They seem to be getting a hold of alcohol at a younger and younger age. Since alcohol is used to celebrate and have fun, teens that abuse alcohol most likely has no idea of the affect alcohol and its abuse can have on their bodies. If they find bad friends that influence of them, they begin to offer drinking and in the end teens used to drink and become an alcoholics. Then finish their life in the street. Also teens may become drug addict, which in turn lead to depression and suicide. The most common reason why teenagers use drug is to relieve stress. Many of them have to suffer stress from family condition. One of the explanations is that drugs users have a poor family life. The majority of drug users have had an unhappy childhood which includes cruel punishment and parental neglect. Many teenagers become a fraudster and a thief when the run away from home. Thus the undergrowths, which are associated with bad friends, began to becoming fraudsters or steal on the street. Eventually they are arrested for petty theft and in the future they have no chance to make something oflife, because they have a criminal past. The last cause of teenagers running away is financial problem. The most teenagers run away from their house for financial problem in the family. Mendicancy is big problem nowadays, especially in our country. A lot of people standing on the street and ask money. Most of them teenagers, I am sure that they have family and house, but anyway the escape from their home. The main reason it is financial problem. They become a thief and begin to stealing bags, wallets, mobile phones and others valuable things. If someone steals so they can survive or to help other people that are in need then in most cases it’s alright. To steal just because they didn’t want to pay for something even though they’re capable then it’s wrong. These people should be punished in order to learn that they were wrong for stealing. But these teenagers who have home and family, who must study, help parents, they should not steal. But others teenagers find not good pay jobs, such as water in cheap cafes, cleaner, job in car washing, janitor and so on. They need the money, but they have not opportunity and choice and they have to work in such jobs as these. They have not education and no one can help them with good job. Every teenager who run away from home, have made a bad decision. They got themselves under the pressures that they felt the need to escape from. Instead of facing their problem and solving it, they chose to run from it. When they have the right decision to change some of the things that may be going on in their lives, the pressure lessens, and there is no more need for them to escape. If they learn to solve their problem and their parents will help them to do so,withoutcursingandimpose theirgoals and solutions,then the escape of teenagers reducedmanytimes. In conclusion, there are so many teenagers who run away from their families. There are many reasons for it, but one solution parents must be more careful, understanding and loving. If parents will pay enough attention to their children, the children answered them reciprocate and they the same as apply to their children in the future. For teenagers is very important parents’ attention, their understanding and advice. Parents should only speak with their child and all this will not happen. I think the main problem of this issue is misunderstood of our parents, because they forget that they also be teenagers, they want fence in all things. But this lead to lies quarrels and finally escapes from home.

Shorefast Case Study B March 2013

Table of Contents Introduction†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 1 Financial Analysis†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. †¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 1 Strategy Diamond Model†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦7 Internal Analysis†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 8 Value Chain Analysis†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. †¦Ã¢â‚¬ ¦.. 8 VRINE Analysis†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦12 External Analysis †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦13 Porter’s five forces†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦13 PESTEL†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦.. 14 Alternative Evaluations†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. †¦15 Fit analysis†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. †¦Ã¢â‚¬ ¦. 18 Conclusion†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 19 Re commendations†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦19Introduction Plant Nutrients Inc. (PNI) is an international company that supplied fertilizer ingredients used by its subsidiaries in 6 geographic area which are Northeastern United States, Eastern Canada, Europe, Australia, New Zealand, and South America. The general manager of PNI is Brian Dunwoodie and the marketing manager is Dave Claussen. Mr. Dunwoodie and Mr. Claussen are the main decision makers within the organization. They were meeting with each other to determine the main issues of the company, which how to improve company’s performance next year (1999).They came up with three potential alternatives, which are strengthening the existing business, adding a seed business and adding precision agricultural services to better PNI’s performance next year. For choosing the best alternatives, this paper will use d ifferent frameworks and models to analyze each alternative, for example financial analysis, strategy diamond model, internal analysis (Value Chain and VRINE), external analysis (Porter’s 5 forces and PESTEL). After analyzing all these parts, the fit between internal and external environment will be analyzed as well. Financial Analysis 1. Operating income statement (Exhibit 1)As Exihit 1 in the case shows that the main product PNI had sold was Fertilizer, the total sales of PNI in 1998 is $4,621,097, which consist of the sales of Fertilizer( $3,339,097), the sales of pesticides ($1,058,000) and the sale of services ($224,000). The sales of fertilizer accounted for 72. 3% ($3,339,097/ $4,621,097) of total sales, the sales of pesticides accounted 22. 9% in the total sales, and the service only accounted for 4. 8% in the total sales, so fertilizer product generate more sales than pesticides and services and this also means the sales of pesticide and services may have huge growth potential in the future.Hence, PNI should focus more on the sales of pesticide and service in the future. In addition, the gross margin of fertilizer was 20. 07%, and the gross margin of pesticides was 18%. Among these products, fertilizer was the major contributor of PNI’s profit. In terms of the sales of each product, the analyst will use the following tables to identify what the major markets and customers of these products. 2. Fertilizer sales No. 1 The percentage of PNI’s customers accounted in the Fertilizer Market. (Formula: Number of Customers in PNI / Number of Customers in the whole market)Market AreaPNI Farm SizeSalesCustomersSalesCustomersMarket Share Small$1,128,000527$986,00040476. 7% Medium$10,635,0001578$1,259,00017110. 8% Large$3,631,00095$319,00099. 5% Total$15,394,0002200$2,564,00058426. 5% No. 2 The percentage of the fertilizer sales for the market and for PNI over the total sales by customer segment, 1998 Market AreaPNI Farm sizeSalesSales Small7. 33%38. 5% Medium69. 1%49. 1% Large23. 6%12. 44% Total100%100% Market AreaPNI Farm sizeSalesSales Small100%87. 41% Medium100%11. 84% Large100%8. 79% Total100%16. 7% No. The percentage of PNI’s fertilizer sales contribute to the market sales by customer segment, 1998 3. Pesticide Sales No. 4 The percentage of PNI’s customers accounted in the Market. Market AreaPNI Farm SizeSalesCustomersSalesCustomersMarket Share Small$797000527$35600020939. 6% Medium$63120001578$4580001066. 7% Large$3,300,00095$244,00077. 4% Total$10,409,0002200$2,564,00032214. 6% No. 5 The percentage of pesticide sales for the market and for PNI over the total sale by customer segment, 1998 Market AreaPNI Farm sizeSalesSales Small7. 66%33. 6% Medium60. 64%43. 3% Large31. %21. 2% Total100%100% No. 6 The percentage of PNI’s pesticide sales contribute to the market sales by customer segment, 1998 Market AreaPNI Farm sizeSalesSales Small100%44. 67% Medium100%7. 26% Large100%6. 79% Total100%10. 16% I nterpretation of tables 1. Table No. 1 and No. 4 For both fertilizer products and pesticide Products, PNI’s major customers are the small farm owner (Fertilizer: 76. 7%, Pesticide: 39. 6%), so the future trend for PNI is to take more medium and large farm size customers (Medium: Fertilizer: 10. 8%, Pesticide: 6. 7%; Large: Fertilizer: 9. 5%, Pesticide: 7. %). 2. Table No. 2 and No. 5 in the market area, the sales of fertilizers, the medium farm account the largest portion of sales (69. 1%). For the sales of pesticides, the medium farm still accounts the largest portion of sales (60. 64%). In the PNI’s area, both the sales of fertilizers and pesticides to the medium farm customers have the highest percentage (Fertilizer: 49. 1%, Pesticide 43. 3%); therefore, PNI should focus on the sales of fertilizer and pesticide to the medium farms’ customers because it accounts the largest part of PNI’s total sales. 3. Table No. 3 and No. The sales of PNI’s fert ilizers and pesticides to the small farms’ customers have already gained the largest sales in the whole market (Fertilizer: 87. 41%, Pesticide: 44. 67%). However, for the sales of PNI’s fertilizers and pesticides to the medium and large farms customers account a very small portion of the total sales in the whole market (Medium: Fertilizer: 11. 84%, Pesticide: 7. 26%; Large: Fertilizer: 8. 79%, Pesticide: 6. 79%). Hence, PNI should also pay more attention to increase the sales to the medium and large farms’ customers due to its huge growth potential. . According to the Exhibit 5 in the case, the large farm size prefer Materials and Regular fertilizers and it contributes almost 54. 3% of the material sales to total sales. Therefore, PNI should focus on selling Materials to large farm size customers. However, the sales percentage of the premium and regular fertilizers, which in the medium farm size contributes the most to the total sales of the market, and the sale percentages are 53. 1% and 59. 7% respectively, and the Exhibit 4 showed that the Premium fertilizers and Regular fertilizers of PNI have the highest ($89. 5) and second highest gross margin ($66. 11); hence, PNI should focus on selling premium and regular fertilizers to small and medium farm size customers. In addition, it is unnecessary for PNI to focus on the sales to dealers because PNI cannot stop the trend that the sales volume to dealers is decreasing year after year. Observation: 1. Medium and large farmers have great grow potential. 2. Small and Medium farms prefer Premium blends fertilizers, which is the most profitable fertilizer product in PNI (gross margin: $ 89. 95/ ton) Strategy Diamond ModelThe strategy diamond, which includes arenas, vehicles, differentiators, staging and pacing, and economic logic, shows how well a company do its business in a strategic level. Arenas: PNI’s current product and service lines consisted of fertilizers, pesticides, custom appli cation services and oil testing. The PNI in Lancaster is one of the subsidiaries in the 6 geographical regions, which are Northeastern United States, Eastern Canada, Europe, Australia, New Zealand, and South America. In terms of distribution channel, the company outsource a trucking company to cut down on their distribution costs.Moreover, the company have modern equipment to produce products and have the best trained operators to provide services in the region. Vehicles: There is no information about vehicle in the current situation. However, if PNI select the second alternative, which is adding a seed business in the near future, the company may alliance with Larson Seed, a regional seed producer, to provide expertise and sales training for PNI sales consultants. Differentiators: PNI bundles their prices so that when a farmer buys their product the services are also included in the price.The services provided are also customizable to the farmer’s needs. They have the most q ualified operators in the region, and because of this, they are able to provide the highest quality services. They have a strong long lasting relationship with their customers as they have been in the business for 20 years. Furthermore, PNI is the only fertilizer supplier in the area with proprietary, premium fertilizers, had invested heavily over the years to develop and test their products. Each customer needs different services that depend on that customer's situation by creating value bundle.Staging and Pacing: There is urgency for PNI to do internal development because the company wanted to perform better in the next year (1999). So, the top management had come up with three alternatives to either adding new businesses or strengthening the current business. Economic logic: There is a great potential for PNI to generate more profits when the company minimize its cost. The case mentioned that PNI didn’t achieve its maximum capacity. For example, the capacity of PNI blendin g plant is 14,000 tons/ year; however, it just blended approximately 10,000 tons in 1998.By achieving the maximum capacity, the company can utilize the economies of scale to assign the fixed costs of the production into each process, so that the company can make more profit. Observations: Overall, PNI didn’t perform very well in 1998 because the operations within the organization don’t function well. The major reason of it is that the production level didn’t meet the maximum capacity, which increases the cost of each product. When costs go up, the revenue will decrease (assume the volume sold is the same).Internal Analysis-Value Chain analysis The Value Chain is a tool to analyze the internal environment of a company and determine where the business concentrates their efforts. Inbound logistics: PNI’s warehouse met the latest U. S. environment standards for fertilizer and pesticide storage; however, its storage is able to handle a substantially larger vol ume than currently required. This means the company have high variable cost per item because it didn’t fully utilize its storage. Operations: The capacity of PNI blending plant is 14,000 tons/ year; however, it just blended approximately 10,000 tons in 1998.This means PNI were not achieving the maximum capacity. The company has two types of application equipment, which are modern and in good working order. The first type is fertilizer equipment, which consist 25 bulk, full-typed spreaders. The cost of the equipment is incorporated in the price of fertilizer, so it is free for customers. However, customers just used bulk spreaders on about 80, 000 acres in 1998, which is about 32000 acres per spreaders, which is less than a spreader’s capacity of about 4000 acres. So, the company can reduce the number of spreader it gave to customers to reduce costs.Air spreader is more attractive to large and medium farmers. The capacity is 8000 acres per year under ideal condition, ho wever, only 4000 acres in 1998, which is only half of the actual capacity. Consumers can choose to pay for it by bundling price of equipment to fertilizers or separate the price for spray equipment and fertilizers. The other type of application equipment is pesticide application equipment. There are two self-propelled applicators under pesticide application equipment, which are small unit applicator and larger unit applicator.The capacity is 8,000 acres per year for smaller unit and 10,000 acres per year for larger unit. In the last two years, these two units are fully utilized, which sprays a total of 18, 000 acres of land each year. The problem is two application units were fully booked, whether lack of application capacity might be constraining pesticide sales. The soil testing lab can handle 14000 samples per year; however, it only handled 6000 samples in 1998. Outbound logistics: PNI deliver raw materials by using an excellent rail service and a local trucking firm handled all shipment to customers.Dunwoodie said that the outsourcing of PNI’s trucking had reduced costs and investments substantially. Marketing and sales: PNI is the only fertilizer supplier in the area with proprietary, premium fertilizers, had invested heavily over the years to develop and test their products, which are urea and ammonium, regular N-P-K, and premium N-P-K. The last product was a proprietary product that carried the Nutri-Plus brand, which provides significant economic benefits to farmers and the sales of it accounted for half of sales in 1988 and an increasing percent percentage of PNI's total sales over time.Most of customers didn’t ask about price, so they are less price sensitive. Dunwoodie estimated that to be about 40% of the total acres treated with chemicals sold by PNI. The market segments are depending on the size of farm, which are sorted by small, medium and large. There are up to 100 acres of crops in small farms, 100-500 acres of crops in medium f arms and over 500 acres of crops in large farms. PNI charge on the basis of the customer's ability and willingness to pay and are sharing in the benefits it create for the customers, which result in higher margin, premium products.However, PNI lost profit on the higher prices of these products due to high cost of service. The company had about $25,000 in its budget for marketing. PNI spent most of them on PNI-sponsored events where 25-50 local farmers were treated to a meal, some entertainment, and an information program. PNI also advertised in local newspaper and gave away hats, pens, and other premiums to customers and prospects. Moreover, $5000 was spent on a corporate brochure in 1998. Service: extensive agronomic services: soil analysis, crop scouting, nutrient consulting, micronutrients analysis, and pesticide and fertilizer application.Sales representative do delivery, application, consultation, consultation, and billing to customers. Also, they kept latest product knowledge and attempted to build strong personal relationships with each customer result in low customer turnover rate. Procurement: Supplied by its mother company. Technology development: PNI use modern equipment to produce products and advanced information system to provide more accurate data and feedbacks to the company. Also, if it decides to enter into the precision agricultural business, it needs to use GPS system and other AgriTechs, such as Yield Mapping and Remote Sensing Mapping.Human resources management: Brian Dunwoodie has 11 staffs reporting to him that includes sales, marketing, accounting, production, administrative functions. Staffs are flexible and empowered, so that they could do what needed to be done. Dave Claussen is responsible for developing PNI's marketing program. There are two services managers who work with sales consultant to determine the types of products and application rates for individual farmer clients. PNI is possible to use high-level technical support bec ause it use full time and better trained employees than competitors.Other company use part-time employees with little expertise with the equipment or procedures involved for applying fertilizers and pesticides. There are 4 sales consultants who is selling PNI products and services, working with existing customers, explaining soil test results, helping develop an annual fertilizer and pesticide program, providing general technical advice and attracting new customers. Average 30 days each year to sales and product training, compared to other competitors less than 15 days on training. Each consultant had a designated sales territory, which has approximately 140 customers. Observations: 1.PNI have extra capacity of warehouse and machinery. 2. Outsourcing trucking service reduce the company’s cost. 3. Staffs are well-trained and be able to provide superior services to customers. VRINE analysis VRINE is a tool to analyze the internal resources and capabilities to determine if a com pany has a competitive advantage over competitors. Value: There is no unique resource within the organization because the technology and resources the company use to produce the products is easy to access by other competitors. However, the company provide customized services and products to customers, which provide benefits to farmers.Also, PNI has the best operators within the organization to serve its customers, which helps the company to build a good relationship with customers. It also used the â€Å"win-win† philosophy and dispatched sales representatives to keep a good long-term relationship with its customers Rarity: The resources the company use are not rare, because it can be access by competitors too. Inimitability: The technology the company use to produce products is easy to imitate by competitors. Non-substitutability: The chemical fertilizer product can be substituted by Biofertilizers, which is made from microorganisms.Pesticide can be substituted if farmers bu y pest-resistant seed to remove the need to by pesticides. Exploitability: PNI didn’t manage its resources well because they have wasted a lot of resources in the process of operations. For example, the capacity of PNI blending plant is 14,000 tons/ year; however, it just blended approximately 10,000 tons in 1998. Air spreader is more attractive to large and medium farmers. The capacity is 8000 acres per year under ideal condition, however, only 4000 acres in 1998, which is only half of the actual capacity. Observation: 1.PNI has a non-sustainable competitive advantage. 2. The exploit of resource within the organization is poor. External analysis -Porter’s five forces Michael Porter's five forces model, which determined industry profitability, included degree of rivalry, threat of new entrants, supplier power, buyer power and threat of substitutes. Rivalry (High) There were five companies sell fertilizers and chemicals to farmers around Lancaster. PNI's largest competi tor is Lancaster County Co-op. It supplied both crop and livestock inputs and purchased grain through a separate division.It also offered application services-farmers were dissatisfied with the quality of these services and co-op didn't provide many value-added services, such as precision agriculture. Another competitor is Smith Farm Supply, which is an independent dealer. It only sold chemicals and fertilizers and provide custom application services using less expensive, poorly trained, part-time operators. Smith Farm Supply offered the best prices in the area. The other three competitors are Archibald Farm Supply, Henderson Farm Supply, Wilmington Crop Services; they all focus on supplying chemicals rather than fertilizer.Threat of new entrant (Low) Since the competition is so fierce, there is less chance that new entrant want to enter into the market. Supplier power (Low) PNI can directly get supplied from its mother company. Plant Nutrients International supplied fertilizer ingr edients to its subsidiaries. And their sales would not be influenced by the suppliers. Buyer power (High) The switching cost for customers is very low, so no matter which company offer good service and lower price customers could switch forth and back. Threat of Substitutes (medium-high)Fertilizer’s potential substitute: Customers may switch to biofertilizer, which is made from organism is applied either by coating seeds with the fungus, because people’s awareness of body health. Pesticide’s potential substitute: farmers may buy pest-resistant seed to remove the need to by pesticides Observation: Overall, the profitability of the market is not attractive because the competition is fierce, buyer power is high and there is some product can substitute the products the company currently sell. PESTEL AnalysisPESTEL analysis is used to analyze the external environment of a company; it stands for Political, Sociocultural, Environmental, Economic, Technological and Lega l. Political: PNI’s warehouse met the latest U. S. environment standards for fertilizer and pesticide storage. Sociocultural: Many of the small and some of the medium farms in Lancaster were owned by Amish farmers, they were hard-working farmers whose religious beliefs called stewardship of the land. Most of them are willing to adopt technology that supported stewardship of the land.Environmental: The chemical fertilizers and pesticides PNI sell have a potential to pollute land, so the company should be careful about the environmental costs regarding ecological or environmental issues. Economic: Asian financial crisis happened in 1997-1998, so it is not a timing to enter market into Asia. However, the financial crisis has limited influence to the United States’ economic environment. Technological: The company use advanced Information System to provide more accurate and detailed data on customers.Moreover, PNI is possible to use high-level technical support because it u se full time and better trained employees than competitors. Legal: Several federal regulations cover fertilizer manufacturing and transportation safety and limit their potential impact on the environment and security. Observation: Overall, there are many factors outside of the company have the power to influence a company’s decision and strategic plan. Alternatives Evaluation 1. Working the existing business harder Dunwoodie says that if they were to make no changes and just work their existing business harder they would be able to meet their objectives.They are lagging in the large farm segment and if they were to add 20 farms from that segment they would be able to meet their objectives. They could use their excess capacity to spread out their fixed costs. Advantages: a. It has a great potential to increase the number of customers from medium and large farmers. b. It can help the company to achieve its maximum capacity, which will reduce the cost of each product because it assigns the total fixed cost into more numbers of products. (Economies of Scale) c.Could meet the financial obligation within one year by attracting more medium farmers (the most profitable market segment) Disadvantages: a. It is hard to attract larger farmers because they prefer low-priced products. If PNI wants to attract larger customers, it should reduce product price, which means the profit will decrease as well. b. They should hire and train more sales consultant to meet the increasing number of customers, which increase PNI’s cost too. 2. Adding Seed Business Dunwoodie thought that adding a seed business to PNI would add value to the company.With the new genetic seed technology chemical sales would decline in the future thus creating more opportunities for seeds. Companies like Larson Seeds were already successful seed suppliers. Larson was looking for a distributer in Lancaster, but Dunwoodie was worried about the already existing competition in the seed market, the n ew staff they would need to hire, and the training for the employees and the company alike to get into this business. Advantages: a. Its new genetic technology might increase seed sales. b. It can help PNI complete the product line. Disadvantages: a. he new genetic technology can also decrease chemical sales in future, which conflict with PNI’s current product line. b. Another challenge for PNI to access to the seed business was that it needed to partner with a good seed producer, so whether PNI can cooperating with a regional producer would became an important question for Dunwoodie to consider if he wanted to enter the seed business. c. This alternative is hard to meet the company’s one year financial obligation because it is a new business to add a seed business, PNI should take times to discover the right strategy to sell seeds. . the competitive market is fierce, for example, Monsanto is a giant in the seed business. It is hard to steal market share from it. 3. Ad ding a Precision Agriculture Services If PNI was to adapt the precision agriculture they would be the first ones to market with this service, thus creating a huge competitive advantage. There would be a huge start-up cost to start such a venture, expenses like; new staff, equipment, trucks, and training. With is new technology they would be able to better serve their customers allowing them to put together superior agronomic packages.A lot of farmers were skeptical of the new technology but after reading the survey, I find that not many of the farmers are educated in the benefits of the new technology. It would be the sales force’s job to educate the customer on the benefits to be able to make the sale. Advantages: a. Many farmers were aware of precision agriculture and precision agriculture was a coming trend, so adding precision agriculture would improve the customer service and increase total sales. b. It can complete the company’s services by providing more precise and accurate method to application service. . It will be a competitive advantage for the company, because no competitor enters into this service. Disadvantages: a. High cost: it would cost $10,000 to set up one pull-type spreader and $225,000 to purchase the truck with six separate tanks. Moreover, PNI still needed people, computers, software, and monitors and so on; the investment would be extremely large. b. The survey found that many farmers had skepticism regarding the real benefits of the precision agriculture. c. It cannot meet the company’s financial obligation in one year. FIT AnalysisInternal: Internally PNI hires the best operators and most experienced sales consultants so that they are able to provide the best services and knowledgeable employees. By meet the company’s goal, which is better financial performance in the next year, PNI should hire more sales consultant to meet the increasing number of customers. Moreover, the company should try to achieve its maximum capacity in the next year, because it will significantly reduce the COGS. External: PNI has 5 competitors in Lancaster, which created a fierce competitive environment.However, PNI has its competitive advantage over other competitors, which is the customized and superior service it provided and also the relationship it built with customers are both the assets of the company Moreover, there are many factors externally have the power to influence a company’s decision and strategic plan. Observation: Overall there is a good fit between PNI’s internal and external environment. It recruited full-time and well trained staff to provide superior services to customers, which is a competitive advantage of the company.Externally, customers and even competitors perceived PNI as superior services providers with knowledgeable sales reps in the region. Conclusion In conclusion we think that PNI has the resource and capability to either entering new business or strengthening t he current business, because they haven’t achieve the maximum capacity of machinery and warehouse. Moreover, medium and large farmers have great growth potential and they prefer premium blends fertilizers, which is the most profitable fertilizer product in PNI.In addition, outsourcing trucking service reduces the company’s cost. Furthermore, PNI staffs are well-trained and be able to provide superior services to customers. PNI has a non-sustainable competitive advantage, which means its competitive advantage can be imitate by competitors. In addition, there are many factors outside of the company have the power to influence a company’s decision and strategic plan, such as government’s regulation and sociocultural factors. RecommendationAfter analyzing the organization’s internal and external environment, and all three alternatives, we recommend PNI choose the first alternative, which is working on the existing business harder. We also suggest that PNI focus on targeting medium farmer because of the following reasons: 1. PNI have a competitive advantage over their competitors because of their superior quality and customer relations. At the same time, medium farmers value good services when buying products, which is what PNI good at to do. 2.They are less price sensitive than larger customers, which can help PNI increase sales. 3. Medium farmers prefer premium blending fertilizer, which is the most profitable products in PNI. 4. There are only 6. 7% of medium farmers buy fertilizers of PNI and 10. 6% medium farmers purchase PNI pesticides. This means there is a great potential for PNI to get more customers from medium farmer segment because the customer base is big. 5. It has a greater potential than other alternatives to help PNI achieve its one year financial goal.Other two alternatives need longer term than the alternative 1 to breakeven, because PNI needs cost more money to implementing the seed business and precision busin ess. However, it costs the company less to implement the first strategy, because the company already have all capabilities and resources to implement the first alternative. However, it is not to say PNI should only target on medium customers. Instead, PNI should keep targeting small and large customers, because it is good to diversify the risk of targeting only one market segment. However, the medium farmers should be the priority of PNI.

The Crucible An Allegory for the McCarthy Era Essay

The Crucible was written as an allegory for the McCarthy era in 1953 by Arthur Miller; an American playwright. The McCarthy era was epitomized by the fear of Communism that Senator McCarthy whipped up. He fostered a witch hunt against anyone who disagreed with his views. Miller’s intention was that the play would be a parody of his own context (himself) with John Proctor quite evidently being a reflection of Miller. The witches in the play symbolized communism. A ‘Crucible’ can mean both; a container for melting or purifying metals by heat and a severe test. Miller describes the village of Salem as ‘the container’ and its contents; the God-fearing residents of Salem along with their emotions. This ‘purification process’ is exactly what†¦show more content†¦John Proctor’s affair affects his conscience and therefore influences his character. â€Å"He blushes for his sin†. Arthur Miller is concerned with the question o f conscience being an organic part of an individual or a collective conscience of a community. The conscience of the court is repressive and hypocritical and John Proctor rejects it in favour if his own vision of a decent personal conduct. Playing a major part in the play, fear is the main reason why the village of Salem dealt with the witchcraft accusations so badly. During the ‘trials’ in Salem no evidence was actually found to convict anyone of committing witchcraft. Alternatively, the word of a group of young girls was taken as the truth because people did not dare to question those who had ‘encountered the devil’. It was their fear that prevented them from doing so. Furthermore, John Proctor lives in fear; of Abigail Williams. His is forever under apprehension that she could taint his good name after his affair with her. In the Crucible, the centre of evil is Abigail Williams the niece of Parris. She has an affair with John Proctor while working for the Proctors, lies many times and seems to take pleasure in people being sent to hang. All those Abigail accuses are innocent, yet she manipulates many into believing her actions are good. The Crucible was set in Salem, Massachusetts in the United States of America. The play is based upon the Salem with trials of the lateShow MoreRelatedEssay On The Red Scare Allegory For The Crucible878 Words   |  4 PagesRed scare allegory for the crucible The salem witch hunts and the Red Scare caused big problems and death in the U.S. In 1950 everyone was scared that communism would spread to the united states and McCarthy wanted to get rid of all communist in the united states but instead accused innocent citizens. In salem 1692 multiple girls were out in the woods dancing and were thought to be possessed and working with the devil. Girls accused many citizens in salem claiming they were witches and causingRead MoreArthur Millers The Crucible : An Allegory For Mccarthyism750 Words   |  3 Pagesand needs.† Arthur Miller’s â€Å"The Crucible† is an allegory for McCarthyism during the red scare due to the identical proceeds that divulge within not only The Crucible’s plot but also history, such as the accused confessing to a crime they did not commit to save their life, people rising to power by taking advantage of others, and accusations having credibility with no affirmation. â€Å"The Crucible† was published in 1952 just two years after the start of the McCarthy era. Faultless civilian and politiciansRead MoreAllegory For Mccarthyism In Arthur Millers The Crucible767 Words   |  4 PagesJoseph McCarthy was a corrupt politician in the 1950s who was credited with starting the red scare. His rise to power solely involved ruining others reputation and career by accusing them to have communist ideals, all of his accusations had little to no evidence, but people were forced to confess or they would be prosecuted. Arthur Miller’s â€Å"The Crucible† is an allegory for McCarthyism during the red scare due to the near parallel events that confide in the plot and history such the accused confessingRead MoreAnarthyism And Mccarthyism In Arthur Millers The Crucible774 Words   |  4 PagesAs America entered the post-war era after World War II, there was still an ongoing sense of paranoia throughout the country. In the mid-nineteen hundreds, McCarthyism, initiated by Joseph McCarthy’s accusation of 205 Communists and the use of unjust methods to hunt Communists, arose. As this era emerged, Arthur Miller’s play The Crucible, which highlighted and dramaticized the scandal of the 1692 Salem witch trials, gained popularity and opened on Broadway. Though the two events in American historyRead MoreMccarthyism In The Crucible1743 Words   |  7 PagesIn Arthur Miller s powerful play The Crucible, written in 1953 as a allegory and metaphor for the McCarthy hearings on communism in America, the idea of conscience is greatly emphasized in many of the main characters. Arthur Miller wrote the play The Crucible in response to the red scare of the 1950’s, in which he was was condemned for disrespect disapproval of the United States Congress for being unsuccessful in naming numerous individuals who had attended meetings with him. In a bid to notRead MoreThe Crucible By Comparing The Salem Witch Trials1431 Words   |  6 Pagesnation unless we are all his accomplices.† During the Red Scare, Senator McCarthy did terrorize a whole nation, and Arthur Miller became a victim of McCarthyism. Miller suffered through accusations of possibly believing in communism; as a result, he wrote a play called The Crucible, in which he used the Salem Witch Trials of 1692 to explain the communist hysteria during the 1950s. Arthur Miller develops an allegory in The Crucible by comparing the Salem Witch Trials to McCarthyism by using ringleadersRead MoreExamples Of Mccarthyism And The Crucible1216 Words   |  5 Pageslife was like during the McCarthy Era? A s many generations passes by, a lot tend to look back reminisce on those who had lost their lives. Innocents were accused without any evidence, suffered, tortured, and killed. People were arrested with no doubt just because of accusations that were made. In the story, The Crucible which takes place in Salem is about innocent people getting accuse with false accusations because of witchcraft. However, McCarthyism is similar to The Crucible because of those who wereRead MoreThe Crucible By Arthur Miller Essay1552 Words   |  7 PagesTrust, Honor and Faith is what is questioned in Arthur Miller â€Å"The Crucible†. The Crucible is about the Salem witch trials. Several young girls claim to be afflicted by witchcraft. The afflicted girls accuse people in the town of witchcraft, often choosing victims who they or their families dislike. The main antagonist Abigail Williams with the other girl’s accusations resulted in the arrests and death of many people in the community of Salem. Arthur Miller wrote this play during the time of theRead More The Importance of Context in The Crucible by Aurthur Miller Essay1336 Words   |  6 Pagestext, which allows enrichment of reading and understanding that can be gained from a text. The Crucible by Arthur Miller is a play which is a fitting example of this statement. This is due to the multiple references Miller has made to both the Salem Witch Trials of 1692 and to the McCarthy era, the period in which the play was written. Although Miller states â€Å"this play is not history†, it serves as an allegory for both time periods and it was the app reciation I had for the historical and cultural contextRead MoreSimilarities Between Apology Speech And The Crucible793 Words   |  4 Pagesmotivations. Composers’ representations of the complex relationship between people and politics are influenced by various moral and social agendas, whereby a portrayal of reality and meaning is inherently subjective. Arthur Miller’s dramatic allegory â€Å"The Crucible† explores the political and social ramifications of the contentious ‘Cold War’ period in American history when the widespread fear of communism arose. Kevin Rudd’s political speech, â€Å"Apology Speech† delivered on the 13th of February 2008,