International Effects of Oil Prices

International Effects of Oil Prices High prices of oil and steady resource depletion have raised international concerns for energy supply security. Thriving exploration is a significant factor and activity for future oil production. The global economy is currently experiencing high level of international business forces acting upon its stableness. International oil prices relation to international crisis is an essential element in the global economy. This study reveals the insights and effects of oil and gas exploration in the international crisis. This research paper presents the effects of oil prices on the international relations. The paper presents the strategies and the requirement in filling these effects by providing empirical findings on oil price volatility in relation to international trade, international terrorism, natural disasters, wars, global economic stability, global financial crises, politically instigated crises among other international variables. The foundation for this research is the correlation between oil prices and international relation. The paper presents the preliminary results and information derived from the data currently being generated by the international economy, international trade and other global organization economic watchdogs This paper explores whether there is stable and reliable oil price shocks relationship with the U.S Dollar nominal exchange rate and other countries currency. Regardless of the state of art methodologies and precise data, I find inconsistently slight logical relation between oil prices and the exchange rate. The paper generally focuses on the international crisis conduct with the emphasis on the strategies development in the detailed results of the research. These include the conflicts resolutions on the international oil prices settlements. I reviewed several prominent hypothesis and theories, methodologies about the resolution of the crisis especially to the western and the Middle East countries which are the most oil competing countries. The paper investigates factors contributing to the increase of oil price. The crude oil demand and supply and development of a crude oil prices model to include refinery utilization rates is discussed. This brings an OPEC capacity utilization non linear effect. In developing the oil prices correlation to international crisis the project focuses on the following major areas of study: Positive and negative factors that affect the international oil prices. The effects of oil and natural gas price on the global economy especially the West (Ratner, 2011). Effects of oil price on international economic variables. Finally the project outlines the relationship between oil prices and international crises. This paper explores whether there is stable and reliable oil price shocks relationship with the U.S Dollar nominal exchange rate and other countries currency. Regardless of the state of art methodologies and precise data, I find inconsistently slight logical relation between oil prices and the exchange rate. The paper generally focuses on the international crisis conduct with the emphasis on the strategies development in the detailed results of the research. These include the conflicts resolutions on the international oil prices settlements. I reviewed several prominent hypothesis and theories, methodologies about the resolution of the crisis especially to the western and the Middle East countries which are the most oil competing countries. The paper investigates factors contributing to the increase of oil price. The crude oil demand and supply and development of a crude oil prices model to include refinery utilization rates is discussed. This brings an OPEC capacity utilization non linear effect. In developing the oil prices correlation to international crisis the project focuses on the following major areas of study: Positive and negative factors that affect the international oil prices. The effects of oil and natural gas price on the global economy especially the West (Ratner, 2011). Effects of oil price on international economic variables. Finally the project outlines the relationship between oil prices and international crises. This analysis explores and studys two oil effects of oil companies that they have branches in Saudi Arabia. One is Aramco Company and Drilling Company, as their major operation is oil and they face the financial crisis in that time. The companys among others has brought the price shocks on U.S. and international economic growth. Key Words International crisis, Budget Deficit, Consumer Price Index, OPEC, foreign policy crisis, crisis management, conflict management, decision making, Oil prices, Refinery industry, , Inflation, Real Wage, Purchasing Power Parity, GPD(Gross Domestic Product). Introduction The rapid rise in the oil price is subject to debate on which many economists expresses different views. The crude oil supply from the main oil producers and other downstream sectors are perceived to have the answer to the high rise of the oil prices. The refining capacity in many countries is falling and many existence refineries have unscheduled maintain ace leading to collapse of the oil refinery thus high prices. The major oil crude oil producers from Middle East have experienced difficulties in production sufficiency in ensuring the linear supply of the oil across the globe. Oil shortage expectations are also influential on the oil prices. Major international oil regulatory organizations such as the OPEC and OECD are playing major roles in regulating the oil prices as it greatly affects the international crises. Determination of the oil prices is affected by the existence of relationship non linearity between oil prices and market delivered quantity. Extreme events of linear rel ationship may shift the market stability between supply and demand towards different types of market. In this context, the oil prices are much more sensitive to shocks than under normal conditions. Non-linearity between oil prices and the market may be caused by lags related with development of additional extraction and refining capacity (Ratner, 2011). As the production approaches the oil prices is more sensitive to supply under the given constraint. The cost of doing business increases with increase in energy prices, which tends to erode corporate profits, thus lower stock prices in the market. Higher oil prices have usually spelled bad news for most companies, excluding the oil and energy-related firms. It seems that the recent global financial crisis may have altered some fundamental rules of market behavior. Oil and stocks now make for strange bedfellows (Palash R. Ghosh, 2010). Oil prices and the U.S. stocks have moved in opposite directions. Oil prices are considered to be among the fundamental determinants of the global economic performance (Krichene, 2008). The adjustment of the oil prices leads to changes in terms of trade between oil exporting countries and importing counties. The changes are normally caused by the transfer of income and resources from the importing to the exporting countries (Richter Pahl, 2009).The degree of oil prices adjustments in global economies is based on the proportionate cost of oil to natio nal income, the extent of dependence by end-users to imported oil and their flexibility to switch to other sources of energy such as solar energy, oil sands, ethanol, biodiesel, wind energy, coal mine methane,   geothermal energy, nuclear energy,   hybrid cars, LNG, GTL, and hydrogen fuel cells  , and also dependant on the responsiveness of gas prices to the oil-prices adjustments and the level of gas intensiveness of the respective economy (Krichene 2008). This is the impact of oil prices adjustments to the other sources of energy available in a respective economy (Richter Pahl, 2009). The higher the margin of oil prices adjustments and the longer the new prices are sustained, the greater the macroeconomic impact on the global economy. Oil is the primary source of energy in almost all of the major industries in the global economy. This research seeks to analyze the correlation between oil prices and international crises Literature Review International Crisis: According to Holsti (1991), based on the systems perspective of international crisis, he defined international crisis as the circumstance or situation where normal nature of relations between countries is significantly changed. For example, the uprising in Egypt is a situation that erupted in the international system leading to conflicting interactions against domination of nations globally. Trumbore, (2000) argued that international crisis follows certain stages of progress. These stages include; the pre-crisis warning phase, the crisis phase, crisis abatement phase and finally post-crisis phase, its during a crisis that real leadership is tested. This is mainly because normally during the first stage of a crisis, no attention is normally taken. During the second phase when the crisis has taken ground, there is chain of events followed by panic, and control measures from decision makers such as the government. The crisis is normally later controlled before or after causing damage. H olsti (1980) observes that during the last phase, the post-crisis, evaluation and preventive measures are normally put in place. Factors Affecting Oil Prices and its Effects on the Global Economy especially the West. Fluctuations in oil prices have an effect on certain fundamental variants such as nominal wage, real wages, consumer price index, purchasing power parity, budget deficit inflation rate among other macroeconomic variables. (Richter Pahl, 2009). According to Krichene (2008), oil prices are primarily affected by its demand, natural disaster, and political unrests. In addition, Krichene (2008) asserts that restrictive legislation, declining oil productions and speculative buying also influence oil prices significantly. Economic empirical research shows that, when the global economy is exposed to higher oil prices, it leads to inflation, increase in input costs and decrease in investment. The West has been the major casualty of economic shocks caused by oil price fluctuations since it destabilizes their growth capacity which is largely dependent on oil (Richter Pahl, 2009). Comparative to the West, emerging economies are less hit by effects of oil prices in the short-run in form of infl ationary side effects. However, in the long-run, negative effects from the West normally trickle down to the emerging economies (Richter Pahl, 2009). Systematically, global economic effects caused and compounded by the adjustments in oil prices directly or indirectly affect international crises. For instance, the recent international crises, such as the devastating earth quake in Japan, the Arab countries in uprising, the rebels activities in Libya are speculated to dampen progress made on the global economic recession especially in the West (Ratner, 2011). Oil prices and International Crisis: Ratner (2011) an analyst in Energy Policy has observed that with the resent resignation of the long-time Egyptian President Hosni Mubarak, the aftermath to the natural gas and oil sector is uncertain. In fact, analysts globally acknowledge that the impact of a disrupted Egypts oil, natural gas, and or the closure of the Suez Mediterranean oil pipeline and the Suez Canal would be catastrophic to the world natural gas and oil market (Ratner, 2011).The uprising in Egypt has already led to adjustments in oil prices globally in anticipation of an international crisis. Even though Egypt is technically considered a small player in the international oil industry, its instability still has severe implication in the global market. This gives evidence of an existing relation between international crisis and oil prices. As the chief regional supplier, the most affected would be Lebanon, Jordan, Egypt accounts for only an average of 2.1% of global oil and natural gas supply with a proven 1.2% of worlds gas reserves (Ratner, 2011).Away from oil production, the recent devastating Japans earthquake has already send aftershocks around the global market. In addition to the loss of over 10 000 people, destruction of Japans nuclear power plants leading to radiations emissions, there is a pending economic international crisis. Due to the earth quake impact on the Japanese economy, the production to cars is expected to decline sharply leading to adjustment in prices of oil. This suggest there direct or indirect relationship between the prices of oil and international crisis. The instability in Libya has also led to the soaring of global oil prices which has had led to inflationary pressures globally. Libya holds most of the oil reserves in Africa and it is actually the 15th largest crude oil exporter accounting for 1.2 million barrels of oil daily. It is feared that production losses in this North African country are bound to be absorbed by countries such as Saudi Arabia as a mechanism of compensating for the shortage. Motivation Study of oil prices in global economic and international crisis is an important entity. There is need for study of the relation with international crises .Research on the correlation between oil prices and international crises is important because the findings from this study will address most of the international crises in the world. In the recent global financial crisis, the findings from this research will be essential to control, mitigate effects on the global economy and forestall reoccurrence of the negative impacts in the future. Understanding the correlation of oil prices with international crises such as wars, poverty, the Arab uprisings, situation in Afghanistan, the struggles in Iraq among others would be influential to policy makers in coming up with conclusive political and macroeconomic policies. The research inclusively enhances the global trade market in understanding the root cause of the products price increase. It opens fresh ground and enhances the studies of oil alternative source of energy to reduce overdependence on oil as the primary source of energy. Furthermore, the results from this research will also enhance international relations among nations. Also it will add empirical findings to the existing body of knowledge to the nature of oil and now its relation with international crises. The sustained growth of international business over the past two decades is one of the most significant and dramatic trends across the globe in reducing the international crisis. Business market and trade of most goods and services have significantly expanded with the development in the effective financial implementations in the world (Holsti, 1991). The effect of the oil prices is widely felt in many products but the international business is working towards reducing the oil prices effects. The integration of technology, investments, communication has enhanced the todays global trade and business connecting the world economies together. Corporate empires emergence in the global economy has changed the business platform which has enhanced the globalization of production (Trumbore, 2000). Problem Statement Todays foreign policy devise policies without understanding fundamental variables influencing international crisis in regard to oil prices and vice versa. The crude oil supply from the main oil producers and other downstream sectors are perceived to have the answer to the high rise of the oil prices. The refining capacity in many countries is falling and many existence refineries have unscheduled maintenance leading to collapse of the oil refinery thus high prices. The major oil crude oil producers from Middle East have experienced difficulties in production sufficiency in ensuring the linear supply of the oil across the globe. The empirical study at the two Saudi Arabian oil companies reveals that, the international crisis has an influential factor from these particular companies. Aramco Company and Drilling Company are oil production companies in Saud Arabian region on which they are currently facing the financial crisis. Their conditions on the futures markets have an effect on stock behaviors thus the oil price setting. Their crude oil prices model is increasingly rising affecting the international oil prices. This includes the refinery utilization rates, OPEC capacity utilization non linear effect and deteriorating of futures markets conditions. These are the explanatory variables that exist between the international crisis and the crude oil production. The drilling company is generally on critical conditions as the finding shows the employees satisfaction thus unstable expertise in the company. This further contributes to low level of productions. There is also incapacity of the crude oil storage thus the production level is dependent on the capacity storage. The adjustment of the oil prices in the companies shows a rapid rise anticipated by high level of production cost. According to the companys work force, the oil exploitation processes which involves the ground drilling is gradually becoming complex. This has led to an increase in exploitation costs as more resources are required thus affecting the oil prices. The low level of production has led to international crisis as the companys are struggling to sustain the global oil market. There is resistance by some of the companys workforce to the declines in wages as the oil price increase and the international crisis typically causes an upward pressure on nominal wage levels. External forces such as the Oil regulating organization which includes OPEC is also affecting the companys marketing position due to the unfavorable policies (Holsti, 1991). According to the companys expertise the there has been maintenance of a low stock in provision of efficient oil. They urge that sufficient stock ensures the supply sustainability thus avoiding the oversupply or under supply of the oil. The methodology used to explore the companys conditions on the oil prices involves the updated quarterly data set. The data set is used in estimating the price equation which involves an expansion to accommodate other market conditions across the globe. The wide range of variables enables the estimation of the oil prices co integrating relationship in the companys. Quarterly data set used in evaluating OPEC effect on the oil prices in the company includes observation of the average imported oil from the company. The data showed a decrease in the average as the price rises up. The oil production and the rate of refinery utilization in the company affect the global oil prices thus international crisis. Essentially, co integration between the international oil prices entails that the exploitation rates across the world share the same stochastic trend. Different stochastic trends in oil production and refining rates prevent co-integration among different types of oil prices when the expl oitation rates do not share the same stochastic trend. Refinery utilization rates and the exploitation affect crude oil prices based on the companys refineries ability of crude oil conversion to final products. Essentially there are different qualities of crude oil which includes the sweet and sour as well as the heavy and light. The companies oil exploitation and refineries are designed to specifically operate in specific crudes. Therefore there is rise and fall of crude values based on the availability of specific types of crude relative to existing refining capacity. Lack of efficient refining capacity has contributed to the rise of the oil prices and international crisis in the company Trumbore, (2000). The companys also lacks the sufficient oil production capacity and existence of a non-linear relationship between supply and the oil prices. Results The results acquired from the data collected are generally categorized into the three hypotheses which were the guidelines of the empirical testing. The companys oil prices have a considerable level of impact on the international oil market. Empirical investigation on the companys oil production activities presented their effect on the international crisis. The analyzed data collected from the companies showed diverse reactions from different collected materials. The increase on the oil exploration costs in the companys has been a major cause of their low level crude oil production. This has an impact of international financial crises on the oil price as they adjust the prices now and then for profitable returns. The correlation relationships between the oil price and the financial crisis of the company have been a major hindrance of the companys growth. Results indicated that the oil refining sector plays a vital role in the recent oil price increase. This effect is related with shifts in the heavy and light grades production of crude oil as well as the price stretch between them. Existence of non linear relationships between OPEC spare capacity and oil prices account for real oil prices changes. The conditions on the futures markets also affect the non linear relationship. Many experts urge that the high oil prices on the global economy are contributed by a number of factors which with the change in oil prices. The changes in GDP were small as compared with past economic recession. The period of oil price shocks experienced drops on GDP growth. The increase in oil prices has affected most of the oil importing countries and the OECD countries. Oil prices and the global economy There exists a paradox and complicated relationship between oil prices and the economics. Production functions used by many economists are basically net of the purchased input. Saudi Arabia production is anticipated to rise within few years due to the experienced bubble in 2008. The oil prices fluctuations effects experienced on 1973 cannot be ignored. It left a great damage to global economy. The debate on the relationship and the effect of the oil prices on the economic activity is complicated by methodology issues. The substance also raises argument on the oil price in relation to economic activity (Trumbore, 2000). The current prices uses the consumer price indexes in economic data deflation recorded in current oil prices. Many of the oil consumers are industrial and commercial enterprises with a distance from the ultimate consumers. Frequently a rise on the oil price can bring the recession although extended economic growth period can provoke an oil prices increase. The principle drivers on the prolonged economic growth seem to have a history of great recession on the nations economy. Failure of the country in financial crisis anticipation brings about the great recession. The impact of the oil prices rise is normally nonlinear and asymmetrical as the dollar per barrel increase has different impact on a dollar per barrel decrease at another. Symbolically what rises does not necessary falls the same way. In essence it is difficult to forecast the oil prices demand, and supply for the oil production than it is for the other industries. Oil production industry is relatively different from many other industries. From my preliminary research there is a declining of pressure in majority of reservoirs across the globe. The declining level is sustained by the injection of natural gas, CO2, water or any other energy source. The prompted injection and the consequent cleaning of the crude in the surface consume energy. The processes of extracting the oil from underground are even more energy exhaustive. The energy consumed further increase the oil prices in the market contributing to the international crisis. The high level of technologically complex oil industry complicates the whole economical process which often takes long period of time to commercial fruition. Fluctuation of the oil prices is great than many industrial prices. Many producers especially the Middle East producers have taken long full production periods after the completion of the initial geological work. Thus oil drillers easily fear the risks in prices and other economic activity. The Middle East countries which are the major oil producers have been vulnerable to wars and attacks from terrorism. The terrorism activities have made the oil production unstable due to vulnerability of attacks in the regions. According to studies the Saudi Arabia region is vulnerable to criminal activities thus the oil producing companies fears the attacks. There marine oil transportation has been also faced threats from the pirates a nd other encountered problem in the transportation process. Large amount of European oil is imported through the Red sea between the Yemen and Somali(Richter, Pahl, 2009). There have been many cases of tankers hijacking in seas leading to loss of large amount of capital. This increase the international crisis as the producers is unable to fully exploit oil or transport it due to fear of losses. Heterogeneous nature of the oil market contributes to slow growth of the economy. Many operates in a decentralized and competitive market thus a forms a postulated mainstream. There is an excessive gross margin since the World War II. The international oil prices have intensified the international crisis on which it had defied a competitive market equilibriums basic rule. The margins have currently exceeded the addition cost of oil barrel production. Saudi Arabia region was the supplier of last resort in the period of $2 oil price but its oil costs has incrementally risen to 13% per oil barrel. Today there is no clear indication of the last resort supplier nor the incremental cost due to international crisis experienced. Most of the estimates on the gross margin are apparently below the recent years, market prices of the fuel. Consequently, the incremental gross margins comprehended by oil producing nations are positive. Most of them have a large average gross margins based on the variation between market average prices and out-of-pocket average costs. This provides the correlation between the oil crisis and the international crisis. The oil prices are non equilibrium but there is existence of equilibrium ranges of the oil prices. This leads to an elusive and fragile economic growth in the world. The equilibrium ranges are generated from the time lags of oil processing and transportation. To avoid the time lag oil producers uses the future and forward markets for speculative and hedging purposes. These markets have a major effect on the international crisis on which they become vulnerable to other markets players. These players lay off the bets from other markets and all of a sudden enter the futures markets triggering crisis. The players who are initially the speculators brings about the conflicts in the oil market increasing the international crisis. In the recent oil run up of 147 dollar per barrel, the futures market speculators are estimated to have increased the oil prices from 10 dollar to 20 dollar thus risking the international price of oil. Oil Prices and the Currency Market Oil plays an important role in the global currency market. The price of oil increased dramatically in 2008 when the US dollar value fall as compared to the other currencies. The relationship is that, when the dollar gets weak in its value leads to increase in oil prices thus international crisis. Oil is a very important resource as it is the main source of energy in many production industries. The rising prices have big impact on the inflation of the international economy as it creates added fuel surcharges. The surcharges therefore trigger the core inflation of the world economy as central banks maintain high interest rates. Deficits in nations have increasingly grown with the occurrence of the global economic crisis that started in 2008 due to high oil prices. This has led to global economic effect and the international crisis across the globe on which many economists urges that country should run deficits during periods of recession and those of high unemployment. Financial markets across the globe expresses have expresses fears due to increased in oil prices. They have expressed some behavioral characteristics and explanations of the largely market outcomes particularly of financial flows of both policymakers and investors significant practical consequences of the international crisis. Correlation Oil prices can be correlated positively to international financial markets as seen from the companys empirical study. The world basic products rise as the prices as the price of oil continued to rise, thus this is far much correlated. The period between 2003 and 2006, the world experienced an economic growth. It is easy to make a correlation at this time period as the period experienced the businesses success in many major industries that led to the market rise. At this period the oil price rose as well, though the two were not really it correlated. Financial analysts argue that oil doesnt necessarily bring a positive correlation to the financial markets. Alternatively financial markets perform well while the price of oil is rising. Negative correlation commonly accepted relationship between financial markets and oil prices. Many companies spend more when the oil prices are high to run their business. The logical explanation to this is that most companies ship their products. Compani es also use oil as the source of the energy for the production machinery. Therefore oil is a prime factor in the international crisis. The price of oil and inflation The oil price and inflation are more connected in grounds and effect relationship.   Inflation follows the oil price movement; as the prices of oil moves  down or up, it is accompanied by inflation in the same direction. This is because, oil is plays a major role in economic input. It is widely used vital activities thus the rise of input costs leads to increase of cost of end products. The raise of pricing increases the inflation level. The inflation led to the development of the consumer price index (CPI) which measures the inflation. The deterioration of the relationship between inflation and oil started after the 1980s. Generally the wars of the 1990s at Gulf  War  oil crisis led to doubling of oil prices. The expansion of the foreign exchange to incorporate the oil stocks has affected both the domestic financial accounts and international clients hedging activities. This has been reflected in international crisis as many corporations struggles to sustain their dominance in the market. The foreign exchange is much dominated by the U.S dollar which is followed by the euro and sterling. Emerging oil markets and the international business exposure of many oil producing countries has increased the hedging activities in the foreign exchange. The degree of exchange rate flexibility and the movement of capital across the globe have increased high level of inflation risks. Oil export strategies are underpinned by valued exchange rates generating precedential reserve accumulation in the exchange rate adjustment. Capitals exporting in oil finance investment have been considerable drivers of lower global long-term interest rates in the international business (Richter, Pahl, 2009). The oil shocks have affected the world trade structure. Macroeconomic Impacts of High Oil Prices A high oil demand arises from the products demand that uses oil in their production. Changes in oil prices are shared by the consumers in the prices of the final oil products. The foreign producers are spending more on importing their goods to their respective countries due to high level of fuel prices. Many countries economic purchasing powers are depleted and instead there has been a high level of deficit on many economies(Richter, Pahl, 2009). This is due to high level of borrowing due to budget overruns of many countries. This has further contributed to international crisis across the globe. The increased price of the oil forces many countrys businesses to invest heavily on the exports production, as opposed to available domestic demand for goods and ser

Marketing Plan of Mother Energy Drink Essay

Mother is an energy drink marketed to Australians and New Zealanders by Coca-Cola. Mother was introduced in late 2006 to compete with the two leading energy drinks on the market, V and Red Bull, which then dominated the $151 million industry and accounted for 94% of sales. Mother remained unaltered on the market for 18 months. Reports emerged in mid-2008 that Coca-Cola had undertaken extensive market research to re-evaluate Mother after it failed to equal or exceed the popularity of V or Red Bull due to most consumers reporting the original formulation to be distasteful. Coca-Cola altered the formulation with respect to taste and addressed consumer dissatisfaction in regards to the ungenerous standard 250 mL can by doubling the size to 500 mL without effect on cost, thus exceeding V and Red Bull which remained 250 ml. Mission statement The mission of Coca-Cola Company is very simple and clear which is to provide products and services that meet the beverage and business needs of customers and consumers. In doing so, they will provide sound and rewarding business opportunities and benefits for customers, suppliers, distributors and communities. Vision statement In the short-term, Coca-Cola will provide the highest quality to their consumers and business partnerships and value the work satisfaction and lifestyle of each associate. In the long-term, Coca-Cola will meet shareholder needs by achieving sustainable growth, and moreover, they want to strengthen relationships with the community and their responsibility to the environment Goals In term of products, Coca-Cola Company is trying to innovate with natural sweeteners, which have the potential to lower calories per serving, and they will also continue developing products fortified with additional nutrients to meet global consumer needs. Marketing overview Market category The launch of Mother Green Storm will be accompanied by an integrated marketing communications campaign, including sampling and social media. Mother Green Storm will be available in three pack sizes: 250mL, 500mL and 4 x 250mL. The new flavor will be available at supermarkets, grocery stores, corner stores and petrol stations Australia-wide. Market size The size of energy drinks market: According to this Statistics, energy drinks only hold 1% of shares in the drinks market. Market potential Mother energy drink will reach 20 percent market share of the total energy marketing share. Marketing structure Because there are lot of energy drink in the marketing such as red bull, monster, rock star, and amp and so on so this marketing is competitive. Trend 1. 1. Economic With the development of worldwide economy, more young people can afford to drink energy. More and more care about their heather, so they will pay more money for their drinking. 5. 2 Technology Energy drink is not like normal drink, it have many trace elements to replenish people which they loss. That need high technology to make it, the higher technology the better effect. Competitor analysis. As a famous energy drink company, Mother is a drink company marketed to Australia and New Zealand by Coca-Cola. Mother has several considerable competitors. The competitors could be classified as direct and indirect competitor. The direct competitor is like the monster, red bull, rock star and amp. The indirect competitors are like some vitamin water, sports water and coffee, which are has the similar effect as energy drink. For comparison, red bull is considered to be the most competitive energy drink. It is one of the most popular energy drink brand in the world and it is effective work. The other competitor is amp energy, which is belongs to Pepsi company. Strengths and weaknesses The form below is the Strengths and Weaknesses analysis on Mother’s significant competitors. | Red Bull Energy drink| AMP Energy drink| Strengths| 1. Many famous cooperative partner. 2. the ingredient is healthy reasonable 3. Long history. Selling well all over the world. 4. Effective work in anti-fatigue| 1. Owned by PepsiCo, has grantee of quality. 2. Many kinds of sort, multiple selection 3. good taste 4. cheaper than | Weaknesses| 1. side effect if drink too much 2. expensive 3. crisis of confidence 4. Not suit for teenager. | 1. High caffeine than most energy drink. No convenient transportation around. 2. intestines and stomach belly will disorder if drink too much 3. The durability is shorter than others| Performance The performance could be classified as the function and the quality. Mother is an energy drink marked to Australia and New Zealand. As for the function, the effect of this drink is let people feel energetic, has the energy to sports. Mother energy has the feature of durability. The quality of mother energy is also could be trustworthy. Mother is the one of the most popular local energy drink in Australia for many years. Positioning To position the market, it should be depended on the circumstance that what are the competitors doing, what are their recent imaginable actions. Energy Drink| Positioning| Red bull| 1. Red bull is doing economic sponsor for many competition for the stake of make brand more popularity2. The ingredient in red bull has been improved, in order to more suit for human body, more healthy3. They also changed the packaging to be more fashion, and let some sports star to be spokesperson. | AMP Energy drink| 1. AMP is positioning to more flavors of energy drink. Let people has more selection 2. Science 2008, AMP has sponsored NASCAR driver to spread the brand. Let more younger people drink it| Mother Energy drink| 1. Mother is the local brand in Australia, it can has more marketplace. 2. Recently, mother launched a new Energy drink variant to the market, featuring â€Å"Fuel Cap Bottle†. This drink is similar to the new mother taste and boasts mothers â€Å"8 energy ingredients† as the main push. | Buyer behavior Buying roles There are 5 roles in buying behavior, which are initiator, influencer, decider, buyer and user. * Initiator is the first person who points out the needs and wants. * Influencer is the person who influences the purchase decision. * Decider is who made final decision. * Buyer is the person who actual paid. * User is the person who used the product and the beneficiary. In this case customers who want Mother, could be these 5 roles. The buyer decision process There are 5 steps in buying process: * needs recognition * information searching * alternative evaluation * purchase decision * after purchase When people first time realize they need energy drink to provide energy, they will go to supermarket and looking for marketing information, see what market can offer them. After that, customers will compare the brands and flavor or even other criteria. In this case, people will find that Mother has lot different flavor, such as Mother Surge, Mother Lemon Bite. After they drinking, if the product performance over customer expectation, customer will be satisfied. However, if the product performance less than customer expectation, customer will be unsatisfied. People can buy Mother anywhere from the shop, supermarket or bodega Market Segmentation Market segmentation is portions of the overall market that are different from one another and it consists of consumers with similar characteristics and needs. A successful organization will understand that they cannot sell everything to everybody therefore marketing segmentation implies on the understanding of consumers and satisfy their needs better than the competition. The segmentation profile of Mother energy drink will be based on Australia such as geographical segmentation, demographic segmentation, psychographic segmentation as well as behavioral segmentation. Geographical| Australia is the sixth biggest territorial area in the world. It has a dispersed population where people from different places came to live in together as a nation. Its population is 23,155,161(August 2013). Moreover, the climate of Australia is tropical, being hot and humid all year, especially the middle of Australia. Thus, having the energy drink around, it cools their throat as well as providing the people with energy that is needed for some parts of the state, which requires them to work late| Demographical | The specific age group that would be interested in the drink Mother would be those from the age of 18 years old to the age of 25 years old. Due to the range of age factor, most of the target youth’s occupation is more likely to be students and working adults as well. There are still some students who take up part time jobs in order to earn more money while studying. They have got disposable income, which is used to spend on Mother, a convenience product. Mother may focuses on young men who are always in need of an energy booster in order to do bigger things. These young men would require an energy drink to stay up late at night, due to gaming, or for exercising purposes. | Psychographic| At the psychological traits, these consumers who purchases Mother, are those who belongs to the lower social class groups. These young adults ranging from the age of 18 years to 25 years old. They are young, enthusiastic, impulsive consumers, who seek to savor the new and offbeat product. They have less responsible so they can spend much of their income on trendy consumer goods and entertain themselves. Furthermore, they are active in both physical and social activities. For instance, consumers who do activities such as going to the gym, or doing sports regularly. Mother is also a form of sports drink for the sports people. As Mother portrays itself as an energy drink that could generate bigger ideas and doing bigger things as shown in the Motherland Advertisement marketed by Coca Cola, this results in consumers wanting to correlate themselves with the drink as they want to be portrayed as a capable person or a person with an energetic personality. Mother energy drink looks spanking new to young men as an all-natural drink with attitude since the branding on the cans is gothic and reminiscent of a tattoo. | Behavioural| The target market is using Mother Energy Drink as rejuvenated drink. Therefore, Mother can be aimed to offer the promotional package, which sells two 500ml cans of Mother for Woolworths and Coles. The usage rate will be leading to moderate to high user depends on their consumptions. This is because sportsmen who are constantly working out, they would be consuming more of these energy drinks to give them the energy they need while exercising. On the other hand, students who are constantly up late at night, studying, or doing leisure activities that requires them to stay up, would also consume the energy drinks in order to feel perked even in the early hours. Mother will be consumed mostly in the day and night compared to the afternoons. This is because these are the two crucial times in which these energy drinkers would need the energy to do their activities at home, a friend’s place or at the club or bar| Internal Analysis SWOT analysis is an analysis of company’s strength and weakness, also measures the opportunity within the market environment and investigates the threat that might affect their achievements. Strength 1. What does Mother do better than its competitors? And what is the advantages does Mother have over competitors?(http://www. youtube. com/watch? v=PSgusGf9OTk) Mother has opened market towards teens 2. It is clearly that this kind of videos uploaded on the internet for people who loves crazy staffs or who likes to enjoy their lives within limit life while they are young. 3. Hence, the advertisements told their audiences Mother can give your energy hit and the message sent to teens are whether you did any crazy things ‘Mother Made Me Do It’ which is interesting enough to become their advantages: grabbing Australia teens attention. Weakness 1. As long as they focus on the teens, other age group might be left out, such as housewife or ppl who already got a job, etc. 2. The limitation of targeted ppl is their weakness. other weakness such as unhealthy , as we looked up online the first news of Mother popped up as some teens got harm with drinking Mother or Mother contains more caffeine than other energy drink may cause death. Those kind of negative reports are super weakness for its sales. Opportunities 1. As we all know that Mother has developed 500ml bottle with new packaging appeared in the market. 2. This comparing with V and Red Bull’s 250ml bottle can be more cheap and enjoyable. I believe that this is capable enough to cater to public needs which then be seem as an opportunity. Treats 1. According to our previous interpret, Mother occupied 14% of the energy drinks market within Australia, which means as the market limitation mother faces more pressure and diluting of the current market. 2. Once new drinks come into the market, they will be the potential threats of diluting the drinks market. 7P’S * Product: from 2006 till now, Mother developed 7 different favours: Mother Surge, Mother Big Shot, Mother Lemon Bite, Mother Low Carb, Mother V8 Powered, Mother Frosty Berry, Mother Green Storm. All those developments can create values. * Promotion: Mother and Call-of-Duty recently joint together operating a new packing energy drink for the promotion of them both. * Place: we can see Mother energy drink in everywhere, vending machine, supermarket, local milk bar, etc. * Price: 500ml for one can is $3. 5 in the market. Comparing with 250ml V and red bull, this price is better. * Physical environment: for the product Mother, the tangible aspects are the big manufacturing companies V and Red bull. They hold most of the market shares. * Process: Mother has its Facebook, putting all activities on it for its fans to follow. * People: they have many strategic marketing methods like giving free samples in the stations, leaflets for its activities, and sponsor for music concerts.

Using 11 plus Essay Samples

Using 11 plus Essay Samples How to Find 11 plus Essay Samples Online Essay writing can be rather a challenge. Essay writing skills is a tough and time-consuming undertaking. My essay is separated into three basic components, the introduction, the human body and the conclusion. Writing an argumentative essay is a skill that anyone in school should know, although it can be useful outside the classroom, also. Writing an essay can be challenging, but doing a lot of planning can make the work a lot simpler. Essay writing help on the internet is another manner of students obtaining direct help. So practice is important. The actual custom of essay writing is a slow iterative approach. Write a description of someone who you admire. The first thing you're likely to have to do is to pick a topic that has more than one clear side. If your child doesn't excel at fiction writing and you know for sure they will have a selection of factual or fiction topics, you could concentrate on developing their capacity to compose a persuasive factual essay as opposed to battling uphill with creative writing. For instance, you can write about something that personally affects you or somebody you know. 11 plus Essay Samples Once you have the outcome, you'll usually have until the conclusion of October to make an application for secondary school places. It is possible to also secure a variety of discount s on our site which will help you to save some more money for future orders or anything you want to spend them on. Please do browse the regions you're interested in to find out what the 11 Plus might mean for your son or daughter. Should you need more assistance with editing and revising, there are a couple free tools readily available online. There have been lots of arguments over what is right about abortion and what's not. Arguments always occur in a particular context. Winning an argument isn't simple. Finding the most suitable arguments can help you prove your point and win. Many people are inclined to compose weak arguments since they don't know how to compose a compelling argument. You're going to need to choose a topic first, but your topic needs to be something that has two conflicting points or distinct conclusions. Look through the list of topics with care and get started making a mental collection of the evidence it's possible to use on topics you prefer. When you are requested to opt for a great topic for your argument, start with something you're acquainted with. The Advantages of 11 plus Essay Samples Care ought to be taken that the data utilised in the essay is related to the topic. Life has come to be significantly simpler and it has been quite valuable. November 11 is a vibrationally strong day because of the simple fact that it's the 11th day of the 11 month. Picking an emotional topic is also a superb idea. Who Else Wants to Learn About 11 plus Essay Samples? At our essay assistance, essays are always delivered in a brief moment. An essay has to be composed of an introduction, a body, and a conclusion. It needs to have a bit of structure, unlike a regular essay. You could also see descriptive essay. You could also see literacy essay. You can also see scholarship essay. You could also see essay examples. Essay examples would vary in line with the kind of essay you would like to write. An argumentative essay requires you to choose a topic and have a position on it. It is a writing piece meant to persuade someone to think the way you do. It is a particular type of academic writing. Every argumentative essay ought to depend on a topic that may be debated. Therefore, there are numerous added benefits of being a true twin. Furthermore, in the instance of rape, abortion is among the options a woman can employ to ensure she doesn't get an unplanned child. Some believe abortion is quite bad and that it should not be permitted in any way. Many people are continuously debating whether abortion ought to be allowed or not.

Brave New World Government - 1086 Words

Government: this word is used to define the system that maintains the state and her people. This system is run by officials who, hopefully, have the nation s best interest at heart; but these best interests for a country often find themselves conflicting in their particular perspectives. In the novel Brave New World by Aldous Huxley, the government has chosen to preserve the interest of state and this dystopia is the result of mankind choosing the wrong faction in the conflict of interest. To clarify, the principles, theories and arguments presented here in are democratic in orientation and not communistic, because the arguments aim toward freedom and rights. Those in control in Brave New World have misguided the nation’s populace into†¦show more content†¦This is quite possibly the biggest flaw in Huxley s Brave New World: mankind now controls and predestines the people that inhabit their world, and the price for this control has become progress. A society built on the basis of Community, Identity, Stability’ will never be able to face the ever changing, fickle nature of humanity. In order to preserve control they must therefore eliminate evolution. They have stolen evolution’s format: the world and mankind will forever be stuck in the small cage of Brave New World, and in essence this eliminates anything that is truly either brave or new. In conclusion, it is safe to say that Huxley s utopia went about achieving its status in the wrong way. Mankind has lost its free will to the controlling powers of a system. This system cannot be called government, as it is more akin in characteristics to slavery. Man no longer has freewill and order is kept not through respect and intellect, but via degeneration and conduct. The former sections of this essay present strategies and techniques used to maintain order in a society of individuals. Finally, it may be argued that the Brave New World protects society by locking them in a cage of ignorance; however, this is at the cost of freedom, and this is unacceptable. Mankind needs be free in order to progress as has been explained. Protection is all well and good but not at the cost ofShow MoreRelatedGovernment Censorship and Control in Brave New World1747 Words   |  7 Pagescitizens have forfeited all personal liberties for government protection and stability; Aldous Huxleyâ€℠¢s Brave New World, explores a civilization in which this hypothetical has become reality. The inevitable trade-off of citizens’ freedoms for government protection traditionally follows periods of war and terror. The voluntary degradation of the citizens’ rights begins with small, benign steps to full, totalitarian control. 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