STARBUCKS Term Paper Example | Topics and Well Written Essays - 1500 words

STARBUCKS - Term Paper Example This will allow the licensor firm to collect a royalty fee from the licensee. This can be of great benefit to a licensor that has limited capital to enable it engage in full operations in the foreign nation. A major disadvantage though is the fact that this mode gives the firm much less tight and central control over the foreign operations. This entry mode is almost similar to licensing. The franchisee obtains the main business know-how through an agreement with the franchiser by paying a royalty fee. This know-how also includes patents and trademarks. The main difference when compared to licensing is that franchisee operates under certain rules dictated by the franchiser. This is mainly so as to maintain its reputation and standards. This is very common in the service industry. The main advantage with this is that the firm can efficiently explore this new market with minimal development costs and risks. The disadvantage is that the franchisee will have to abide by strict rules set by the franchiser. This is not always possible and the franchisor may have its reputation tarnished if the franchisee does not maintain the high standards. This is a very common entry mode that is used all over the globe. It can be explained by having two or more firms forming an alliance that will put them in a better position to penetrate the new international market. These are often based on a 50/50 type of agreement. This operation is always separate from both companies. There are situations whereby one of the firms invests more than the other leading to more shares in the Joint venture hence handing it a controlling stake. The advantages of this method of foreign market entry are;- This mode in simple terms means that the company owns all the shares in the overseas firm/entity. There are two main means of establishing such kinds of subsidiaries: Greenfield venture and

Farm Resource Appraisal Essay Example | Topics and Well Written Essays - 2000 words

Farm Resource Appraisal - Essay Example Measurement of assets and liabilities of the farm give its clear financial standing which can help identify and solve farming issues. Data for appraisals can be collected from farm records, production and market research and from other consultant agencies. This information can be collected in the form of surveys and interviews. General physical and technical information has to be collected on the farm visit such as soil characteristic, climate and weather, land characteristics, production capacity, production technology and labor inputs. Soil characteristics encompass soil type, texture and soil analysis. Climate takes into account factors such as temperature, rainfall, humidity, droughts and hurricanes. Slope, topography and land elevation fall in land characteristics while yield per acre or hectare is covered in the productions capacity. Production technology accounts for the harvest and post-harvest operations, diesel control and fertilizers. Finally details of labor such as its s ource, distribution and gender are covered in the labor inputs. To prepare a farm resource appraisal, farm visit is necessary and along with the general physical and technical information, farm records and accounts information is also necessary. It can help farmers manage the farm properly since farm records and accounts can assist in measuring economic performance, meeting legal requirements etc. Moreover, operational records serve as a key factor in managing everyday activities of the farm. Financial records on the other hand can be used to evaluate the farm and for tax purposes. Some of the operational records are the farm map, field material input record, labor records and livestock records, income records and farm expense records. Balance sheet, on the other hand is the most commonly used financial record. It states the assets and their sources of financing. It is primarily used for taxation purposes. The farm map should be relative to the scale and must highlight field and oth er major areas of the farm. Field material input record provides information on material inputs such as fertilizers and seeds. Labor records gauge the workers-days per task information. Livestock records provide the information related to keeping livestock. Lastly, revenue and cost are covered in income and farm expenditure record. Sample records (Food and Agriculture Organization of the United Nations 2006) of field material input, labor, income and expenditure have been presented below for better understanding. Field Material Input Record (figure 1) Area Planted: Date Input Quantity Price per unit Value                                              Total             Labor Record (figure 2) Area Planted: Date Task Persons/ task Hired Value (labor days)          No./ day Cost/ day Value                                                                   Total                   Income Rec ord (figure 3) Area Planted: Date Product Sold Stored       Quantity Price/unit Value $                                                       Total                Farm Expenditure Record (figure 4) Area Planted: Date Item Quantity Price / Unit Value                                                             Total             Farm Inventory The next step is the farm inventory count, recording resources and methods of valuation. The ideal time for farm inventory is a few weeks before