Financial and Business Model: Case of Beef Global Company

Introduction

Beef Global Company is set to be an animal product value addition company. Its main activities include the addition of value to meat from authorized slaughterhouses. The company is set to open up a processing plant in a suitable selected place. Considering four places in the United States of America has previously produced the highest quantity of meat for consumption.

Location analysis

The four chosen areas are Lowa, Kansas, Nebraska, and Texas. The most available and most in-demand type of meat is red meat. The four selected areas account for almost 40% of the beef produced in the United States. All these areas also have many slaughterhouses. There is an essential factor to consider since the availability of raw materials is crucial to the determination of the location of the plant (Lipsey et al., 2007).

The cost of meat per kilo in Lowa is $4.50, $4.80 in Kansas, $4.75 in Nebraska, and $4.20 in Texas. The cost of labor in Lowa per unit is $6.70, $4.50 in Kansas, $5.90 in Nebraska, and $6.20 in Texas. The license fees are $2,500, $1,800, $2,200, $2,430 in Lowa, Kansas, Nebraska and Texas respectively. The company is set to process about 50000 kilograms of meat products and then proceed to market the products to the customers.

The total cost of operating the meat processing plant in Lowa is $752,500, $641,800 in Kansas, $709700 in Nebraska, and $702430 in Texas. The least-cost location is determined to be Kansas when all factors are put into consideration. Kansas is also a suitable location for the meat processing plant as it has a high population, which not only acts as the labor but also can be a potential market (Kates, 2011). After value addition to the meat, different products will be produced for sale to the market.

Products that the company aims to produce include beef sausages minces packed meat, canned meat, dog meals, and other products. BGC aims to supply its products to retailers while also doing marketing activities.

Costs and Benefits

BGC will require to lease some land in Kansas City to set up the plant. The plant will also host BG main offices. The cost of leasing land in Kansas City is $120000. On the leased land, BGC intends to build a modern processing firm that will cost around $175,000. BGC will also require licenses. Food product processing is a very restricted area and requires licensing. It is so because the food produced if for direct human consumption. The license costs for a meat processing and packaging plant is $1,800. These licenses also include the licenses for the opening up of the offices.

The rate at which technology is changing describes as the escalation rate is at 3%. The number of processing equipment suitable for processing the 50,000 kilograms is six. For delivery purposes, the company will also require to purchase delivery vans. These vans also require fittings. These fittings are special as they should also include coolers for the meat. The vans also incur fuel and maintenance costs. The fuel and maintenance costs of a single van in Kansas City is $10,000. The vans also require to be installed with modern technology, which is to be leased. This technology may include Geographical Location Services and radio services. Technology leasing per van is $8,000.

The company also require to be insured. Insurance helps a company spread risk. Insurance for the company’s vans, the premises and the equipment per year is $25,000. The drivers also require to be compensated. The total amount to be spent on driver compensation and motivation is $55,000. For the company to run, it requires human resources. Some of the professionals needed include a placement specialist for the recruitment of the workers. BGC will also require a director who will be compensated $90,000. An assistant who is compensated $50,000 is employed. The director and assistant director will be responsible for running the company on an official level. The plant will also require a supervisor and an assistant supervisor. A supervisor is compensated for at$75,000 and $45,000. The supervisor and assistant supervisor run the technical aspect of the company. For the finances of the company, BGC requires a budget analyst. The budget analyst is paid $70,000. The budget analyst is contacted per year since funds require to be analyzed to determine the progress of the company.

 The company also requires manual laborers to work in the plant. The welfare of these workers is important, and they have to be compensated and awarded bonuses (PICIU, 2016). They also require planning into their retirement package as provided by federal law. A laborer’s minimal salary per year is $100,000 coupled with bonuses of $30,000 and a retirement scheme costing $25,000. These costs are incurred for the purpose of worker motivation.

The costs above are divided into one-time costs and recurring costs. The one-time costs are costs that are incurred only once in a company cycle (Kates, 2011).  Recurring costs are incurred in the company from the beginning to the end, although not at a constant rate. One-time costs for the company include land lease and construction costs. Recurring costs include interests on loans, salaries, and license fees. Other one-time costs that are incurred in the business include the cash required for acquiring items for the functioning and running of the business. These costs include money for office furniture, computers, office decorations, stationery, computers, and computer software. Two sets of office furniture are to be purchased in order to better the working conditions of the employees. Furniture is to be purchased at a total cost of $2,500. Computers and computer software are also expected to be purchased. The total cost of purchasing computers is $3,000, and the total software costs are $5,000. Computer software to be purchased include windows operating system, Microsoft products, ERP software, and accounting software. Stationery such as pens, is also to be purchased at a total cost of $400.

For the company to begin, there requires to be capital invested. The company should get a bank loan for the purposes of covering costs in the first year (Kohler, 2017). The first year is the transition year. This year, the company is not fully operational and hence cannot sustain itself. The loan will cover the purchase of fixed assets i.e., land, delivery vans, and providing liquid money for the day to day operation of the company. The bank loan has a fixed interest rate of 5%. A bank loan is the most suitable for this kind of startup, as it promises to be a high return investment. Other options for financing included outsourcing for a partner who is willing to fund the startup (Magretta, 2012). Trying to get a partner is disadvantageous. It is difficult to convince investors to fund a startup, and it may also be tough to get an investor who is willing to provide the whole loan. The loan also has an annual repayment amount. The amount is set at $200,000. The land that is leased will be used as security for the loan. The company will also require additional funds that are expected to be covered by capital from the company accounts and owners’ savings.

The total cost of operation in the transition year is $2,577,800. In the first year, the company has running costs of $3,103,930, $3,188,009 in the second year, $3,274,610 in the third year, $3,363,809 in the fourth year and $3,255,685 in the fifth year. By the fifth year, with a repayment of $200,000 annually, the repayment of the loan will be complete.

The company is also set to enjoy a discount rate of 5%. The company also received a seed grant of $400,000 in the transition year, $206,000 in operational year one, $212,000 in operational year two,$218,545 in operational year three, $225,102 in operational year four and $231,000 in operational year five. The company set to earn mainly through sales activities. The sales are to be done through retailer units such as supermarkets and malls.  Sales in the transition year are projected to be at $900,000, $1,500,000 in operational year one $3,900,000 in operational year two, $4,500,000 in operational year three, $4,700,00 in operational year four and $4,600,000 in operational year five. The sales are very low in the transition year since the company is still in its initial phases. After the first year sales pick up and increase gradually up to a point where they become constant. Unlike other startups that do not make sales in the transition year, BGC does earn from sales. The sales are for the products that are made in the initial phases.

The company is also set to earn from employee benefits. These earnings will be secondary income to the company. The company receives six employment benefits. Employment benefits are set at $21,840 in the transitional year or years and $87,360 in the operation years. In the transition, year employment benefits are $131,040, $539,885 in the first operational year, $556,081 in the second operational year, $572,764 in the second operational year, $589,947 in the third operational year, $607,645 in the fourth year and $607,645 in the fifth year. All these benefits take into account the escalation factor.

BGC will also earn from residual laborer employment benefits. Residual benefits are benefits from retaining a certain number of workers from previous operational years (Magretta, 2012). The benefit per year for residual employment is $1,638 annually for every transactional year. The residual employee benefit for the first transactional year is $539,885, $874,861 in the second operation year, $1,002,337 in the third operational year, $1,106,150 in the fourth operation year and $1,177,312 in the fifth year. The residual benefits are not available in the first year, which is the transition year. The missing benefits are due to the fact that the company is just starting; therefore, all employees are new, and none are retained (Collins, 2016).

BGC will also have an outlet in its premises in Kansa city. The outlet will mainly serve the local people of Kansas. In the transition year, the sales made from the outlet are accounted for at $2,000, $10,500 in the first operational year, $13,000 in the second operational year, $12,000 in the third operational year, $10,000 in the fourth operation year and $15,000 in the fifth operation year.

The total benefits that are expected to be received in the transition year account to $1,433,040, $2,663,114 in the first operational year, $5,002,615 in the second operational year, $5,447,084 in the third year, $5,455,548 in the fourth transactional year and $5,196,249 in the fifth transactional years.

Present value and break-even point analysis

It is important to get the present value of the company. The present value shows the general progression of the company i.e., is it able to reach its objectives and how profitable it is (Bowles, 2009). The present value is also important for the calculation of net present value and, in turn, the breakeven point of the company. The breakeven point in a company is the point where the business is able to take care of its running costs through the current assets. Taking care of itself means that it can sustain itself without the injection of external funds or acquiring a loan. The present value in the transition year is ($1,144,760), (293,010) in transactional year one, $2,110,997 in transactional year two, 2,618,353 in transactional year three, $2,688,134 in transactional year four and 2,645,335 in the fifth transactional year. This present value is calculated without the inclusion of taxes; hence it is not the comprehensive net present value but a rough estimation.

In the beginning, the present value is negative. The negativity means that in its initial phases, the company will need external funds to run its day to day activities. In the first years, the main source of income, which is sales has not picked up. The not picking up may be due to various reasons such as small market share when the company is relatively new. However, by the second operational year, the deficits are cleared, and the business can sustain itself. The point where the deficits from the transition year are covered, and the present value is no longer negative, and then the company will be said to have reached its breakeven point.

Net Present Value

The company is expected to reach its breakeven point in the middle of the second operational year. Three years is a relatively short period. The short period is indicative of how profitable the company is set to be. Funding for this kind of startups from financial institutions such as banks is an easy process (Bowles, 2009). This is because this project requires a huge investment. The project also takes a short time to be able to sustain itself. It is also a company with a clear outline of the staffing required i.e., laborers and office employees.  In the years after the breakeven point, where the net present value is positive, the company is making large profits.

Beef Global Company is also expected to be paying taxes to the government. The tax rate by the government is 10% on the annual net present value of the company. IN the first year the transitional year the company is expected to pay taxes amounting to $114,476, in the first year the company is expected to pay $29,301, $211,100 in the second transactional year, $261,835 in the third transactional year, $268,813 in the fourth transactional year and $264,534 in the fifth transactional year.

After taxes, then we find the genuine net present value of the company. This is the cumulative net present value for the company. In the transition year the cumulative net present value after tax is $1,259,236 in the transactional year, $1,467,071 in the first operational year, $462,128 in the second operational year, $3,029,745 in the third operational year, $5,710,900 in operation year four and $8,360,515.

Return on investment (ROI)

The total cost of this investment is about $3,000,000. $1,000,000 is outsourced from the bank, and the rest is already catered for. The return on investment ratio at the end of the five years is 2.7868 or 278.68%. The ratio is very high. This implies that this is a high potential venture, and the return on capital is high (Soros, 2015). This implies that total benefits over the course of the six five transactional years and one transitional year will be greater than the total costs incurred for running the company.

The company incomes increase terrifically in the third year. This is after deficits from the first year are repaid.

Sensitivity analysis

The projections for Global Beef Company are estimations and may require sensitivity analysis since not all the factors can be held constant over time. The sensitivity analysis allows us to cater for unseen future events that may affect the company. Such factors include the increase in license fees for the company, an increase in worker wage rates in the region, diseases to cattle, which are the main source of meat for the company (Press, 2015).

If the land rates for the company went up to $300,000, this increases the value of one-time costs to be incurred up to 382,900, causing a significant change in the net present value. This change is too small to impact the breakeven point. The change in the breakeven point cannot be seen as it is still reached in the middle of the second operational year.

Conclusion

The company promises to be a very profitable franchise in the short term. The food processing industry is very competitive. To increase profit margins, the company should open up branches for sales (Soros, 2015). The company should also consider the expansion of its plants to other areas. The four different areas used during the location analysis is also a viable area for the opening up of more meat processing plants. These will increase the profit margins significantly (Bernstein, 2002). The company should also keep updating the technology and machinery after the projected period of five years. If technology is not updated, then the firm will be placed at a disadvantage. Expanding the company and other features are meant to ensure that the company is thriving even in the future. Updating technology will ensure that the company has an advantage over its competitors. In the future, due to growth in sales, the company will also need to broaden its transport network. Adapting may involve the purchase of customized trucks and the purchase of larger meat freezers.

References

Bowles, S. (2009). Microeconomics: Behavior, Institutions, and Evolution. Princeton, NJ:             Princeton University Press.

Lipsey, R. G., Lipsey, R. G., & Chrystal, K. A. (2007). Economics. New York, NY: Oxford         University Press, USA.

Bernstein, W. J. (2002). The Four Pillars of Investing. New York, NY: McGraw Hill         Professional.

Kohler, M. J. (2017). The Business Owner’s Guide to Financial Freedom: What Wall Street Isn’t   Telling You. Irvine, CA: Entrepreneur Press.

Kates, S. (2011). Free Market Economics: An Introduction for the General Reader.           Gloucestershire, NY: Edward Elgar Publishing.

PICIU, S. R. P. G. C. (2016). Bussiness Models Of Circular Economy. THE JOURNAL   CONTEMPORARY ECONOMY73.

Soros, G. (2015). The Alchemy of Finance. Hoboken, NJ: John Wiley & Sons.

Magretta, J. (2012). Understanding Michael Porter: The Essential Guide to Competition and         Strategy. Brighton, MA: Harvard Business Press.

Collins, K. (2016). Nature of Investing: Resilient Investment Strategies Through Biomimicry.       London, NJ: Routledge

Press, T. (2015). Scrum Basics: A Very Quick Guide to Agile Project Management. NJ: Callisto   Media.

Financial and Business Model: Case of Beef Global Company

Introduction

Beef Global Company is set to be an animal product value addition company. Its main activities include the addition of value to meat from authorized slaughterhouses. The company is set to open up a processing plant in a suitable selected place. Considering four places in the United States of America has previously produced the highest quantity of meat for consumption.

Location analysis

The four chosen areas are Lowa, Kansas, Nebraska, and Texas. The most available and most in-demand type of meat is red meat. The four selected areas account for almost 40% of the beef produced in the United States. All these areas also have many slaughterhouses. There is an essential factor to consider since the availability of raw materials is crucial to the determination of the location of the plant (Lipsey et al., 2007).

The cost of meat per kilo in Lowa is $4.50, $4.80 in Kansas, $4.75 in Nebraska, and $4.20 in Texas. The cost of labour in Lowa per unit is $6.70, $4.50 in Kansas, $5.90 in Nebraska, and $6.20 in Texas. The license fees are $2,500, $1,800, $2,200, $2,430 in Lowa, Kansas, Nebraska and Texas respectively. The company is set to process about 50000 kilograms of meat products and then proceed to market the products to the customers.

The total cost of operating the meat processing plant in Lowa is $752,500, $641,800 in Kansas, $709700 in Nebraska, and $702430 in Texas. The least-cost location is determined to be Kansas when all factors are put into consideration. Kansas is also a suitable location for the meat processing plant as it has a high population, which not only acts as the labour but also can be a potential market (Kates, 2011). After value addition to the meat, different products will be produced for sale to the market.

Products that the company aims to produce include beef sausages minces packed meat, canned meat, dog meals, and other products. BGC aims to supply its products to retailers while also doing marketing activities.

Costs and Benefits

BGC will require to lease some land in Kansas City to set up the plant. The plant will also host BG main offices. The cost of leasing land in Kansas City is $120000. On the leased land, BGC intends to build a modern processing firm that will cost around $175,000. BGC will also require licenses. Food product processing is a very restricted area and requires licensing. It is so because the food produced if for direct human consumption. The license costs for a meat processing and packaging plant is $1,800. These licenses also include the licenses for the opening up of the offices.

The rate at which technology is changing describes as the escalation rate is at 3%. The number of processing equipment suitable for processing the 50,000 kilograms is six. For delivery purposes, the company will also require to purchase delivery vans. These vans also require fittings. These fittings are special as they should also include coolers for the meat. The vans also incur fuel and maintenance costs. The fuel and maintenance costs of a single van in Kansas City is $10,000. The vans also require to be installed with modern technology, which is to be leased. This technology may include Geographical Location Services and radio services. Technology leasing per van is $8,000.

The company also require to be insured. Insurance helps a company spread risk. Insurance for the company’s vans, the premises and the equipment per year is $25,000. The drivers also require to be compensated. The total amount to be spent on driver compensation and motivation is $55,000. For the company to run, it requires human resources. Some of the professionals needed include a placement specialist for the recruitment of the workers. BGC will also require a director who will be compensated $90,000. An assistant who is compensated $50,000 is employed. The director and assistant director will be responsible for running the company on an official level. The plant will also require a supervisor and an assistant supervisor. A supervisor is compensated for at$75,000 and $45,000. The supervisor and assistant supervisor run the technical aspect of the company. For the finances of the company, BGC requires a budget analyst. The budget analyst is paid $70,000. The budget analyst is contacted per year since funds require to be analyzed to determine the progress of the company.

 The company also requires manual labourers to work in the plant. The welfare of these workers is important, and they have to be compensated and awarded bonuses (PICIU, 2016). They also require planning into their retirement package as provided by federal law. A labourer’s minimal salary per year is $100,000 coupled with bonuses of $30,000 and a retirement scheme costing $25,000. These costs are incurred for the purpose of worker motivation.

The costs above are divided into one-time costs and recurring costs. The one-time costs are costs that are incurred only once in a company cycle (Kates, 2011).  Recurring costs are incurred in the company from the beginning to the end, although not at a constant rate. One-time costs for the company include land lease and construction costs. Recurring costs include interests on loans, salaries, and license fees. Other one-time costs that are incurred in the business include the cash required for acquiring items for the functioning and running of the business. These costs include money for office furniture, computers, office decorations, stationery, computers, and computer software. Two sets of office furniture are to be purchased in order to better the working conditions of the employees. Furniture is to be purchased at a total cost of $2,500. Computers and computer software are also expected to be purchased. The total cost of purchasing computers is $3,000, and the total software costs are $5,000. Computer software to be purchased include windows operating system, Microsoft products, ERP software, and accounting software. Stationery such as pens, is also to be purchased at a total cost of $400.

For the company to begin, there requires to be capital invested. The company should get a bank loan for the purposes of covering costs in the first year (Kohler, 2017). The first year is the transition year. This year, the company is not fully operational and hence cannot sustain itself. The loan will cover the purchase of fixed assets, i.e., land, delivery vans, and providing liquid money for the day to day operation of the company. The bank loan has a fixed interest rate of 5%. A bank loan is the most suitable for this kind of startup, as it promises to be a high return investment. Other options for financing included outsourcing for a partner who is willing to fund the startup (Magretta, 2012). Trying to get a partner is disadvantageous. It is difficult to convince investors to fund a startup, and it may also be tough to get an investor who is willing to provide the whole loan. The loan also has an annual repayment amount. The amount is set at $200,000. The land that is leased will be used as security for the loan. The company will also require additional funds that are expected to be covered by capital from the company accounts and owners’ savings.

The total cost of operation in the transition year is $2,577,800. In the first year, the company has running costs of $3,103,930, $3,188,009 in the second year, $3,274,610 in the third year, $3,363,809 in the fourth year and $3,255,685 in the fifth year. By the fifth year, with a repayment of $200,000 annually, the repayment of the loan will be complete.

The company is also set to enjoy a discount rate of 5%. The company also received a seed grant of $400,000 in the transition year, $206,000 in operational year one, $212,000 in operational year two,$218,545 in operational year three, $225,102 in operational year four and $231,000 in operational year five. The company set to earn mainly through sales activities. The sales are to be done through retailer units such as supermarkets and malls.  Sales in the transition year are projected to be at $900,000, $1,500,000 in operational year one $3,900,000 in operational year two, $4,500,000 in operational year three, $4,700,00 in operational year four and $4,600,000 in operational year five. The sales are very low in the transition year since the company is still in its initial phases. After the first year sales pick up and increase gradually up to a point where they become constant. Unlike other startups that do not make sales in the transition year, BGC does earn from sales. The sales are for the products that are made in the initial phases.

The company is also set to earn from employee benefits. These earnings will be secondary income to the company. The company receives six employment benefits. Employment benefits are set at $21,840 in the transitional year or years and $87,360 in the operation years. In the transition, year employment benefits are $131,040, $539,885 in the first operational year, $556,081 in the second operational year, $572,764 in the second operational year, $589,947 in the third operational year, $607,645 in the fourth year and $607,645 in the fifth year. All these benefits take into account the escalation factor.

BGC will also earn from residual labourer employment benefits. Residual benefits are benefits from retaining a certain number of workers from previous operational years (Magretta, 2012). The benefit per year for residual employment is $1,638 annually for every transactional year. The residual employee benefit for the first transactional year is $539,885, $874,861 in the second operation year, $1,002,337 in the third operational year, $1,106,150 in the fourth operation year and $1,177,312 in the fifth year. The residual benefits are not available in the first year, which is the transition year. The missing benefits are due to the fact that the company is just starting; therefore, all employees are new, and none are retained (Collins, 2016).

BGC will also have an outlet in its premises in Kansa city. The outlet will mainly serve the local people of Kansas. In the transition year, the sales made from the outlet are accounted for at $2,000, $10,500 in the first operational year, $13,000 in the second operational year, $12,000 in the third operational year, $10,000 in the fourth operation year and $15,000 in the fifth operation year.

The total benefits that are expected to be received in the transition year account to $1,433,040, $2,663,114 in the first operational year, $5,002,615 in the second operational year, $5,447,084 in the third year, $5,455,548 in the fourth transactional year and $5,196,249 in the fifth transactional years.

Present value and break-even point analysis

It is important to get the present value of the company. The present value shows the general progression of the company, i.e., is it able to reach its objectives and how profitable it is (Bowles, 2009). The present value is also important for the calculation of net present value and, in turn, the break-even point of the company. The break-even point in a company is the point where the business is able to take care of its running costs through the current assets. Taking care of itself means that it can sustain itself without the injection of external funds or acquiring a loan. The present value in the transition year is ($1,144,760), (293,010) in transactional year one, $2,110,997 in transactional year two, 2,618,353 in transactional year three, $2,688,134 in transactional year four and 2,645,335 in the fifth transactional year. This present value is calculated without the inclusion of taxes; hence it is not the comprehensive net present value but a rough estimation.

In the beginning, the present value is negative. The negativity means that in its initial phases, the company will need external funds to run its day to day activities. In the first years, the main source of income, which is sales has not picked up. The not picking up may be due to various reasons such as small market share when the company is relatively new. However, by the second operational year, the deficits are cleared, and the business can sustain itself. The point where the deficits from the transition year are covered, and the present value is no longer negative, and then the company will be said to have reached its break-even point.

Net Present Value

The company is expected to reach its break-even point in the middle of the second operational year. Three years is a relatively short period. The short period is indicative of how profitable the company is set to be. Funding for this kind of startups from financial institutions such as banks is an easy process (Bowles, 2009). This is because this project requires a huge investment. The project also takes a short time to be able to sustain itself. It is also a company with a clear outline of the staffing required i.e., laborers and office employees.  In the years after the break-even point, where the net present value is positive, the company is making large profits.

Beef Global Company is also expected to be paying taxes to the government. The tax rate by the government is 10% on the annual net present value of the company. IN the first year the transitional year the company is expected to pay taxes amounting to $114,476, in the first year the company is expected to pay $29,301, $211,100 in the second transactional year, $261,835 in the third transactional year, $268,813 in the fourth transactional year and $264,534 in the fifth transactional year.

After taxes, then we find the genuine net present value of the company. This is the cumulative net present value for the company. In the transition year the cumulative net present value after tax is $1,259,236 in the transactional year, $1,467,071 in the first operational year, $462,128 in the second operational year, $3,029,745 in the third operational year, $5,710,900 in operation year four and $8,360,515.

Return on investment (ROI)

The total cost of this investment is about $3,000,000. $1,000,000 is outsourced from the bank, and the rest is already catered for. The return on investment ratio at the end of the five years is 2.7868 or 278.68%. The ratio is very high. This implies that this is a high potential venture, and the return on capital is high (Soros, 2015). This implies that total benefits over the course of the six five transactional years and one transitional year will be greater than the total costs incurred for running the company.

The company incomes increase terrifically in the third year. This is after deficits from the first year are repaid.

Sensitivity analysis

The projections for Global Beef Company are estimations and may require sensitivity analysis since not all the factors can be held constant over time. The sensitivity analysis allows us to cater for unseen future events that may affect the company. Such factors include the increase in license fees for the company, an increase in worker wage rates in the region, diseases to cattle, which are the main source of meat for the company (Press, 2015).

If the land rates for the company went up to $300,000, this increases the value of one-time costs to be incurred up to 382,900, causing a significant change in the net present value. This change is too small to impact the break-even point. The change in the break-even point cannot be seen as it is still reached in the middle of the second operational year.

Conclusion

The company promises to be a very profitable franchise in the short term. The food processing industry is very competitive. To increase profit margins, the company should open up branches for sales (Soros, 2015). The company should also consider the expansion of its plants to other areas. The four different areas used during the location analysis is also a viable area for the opening up of more meat processing plants. These will increase the profit margins significantly (Bernstein, 2002). The company should also keep updating the technology and machinery after the projected period of five years. If technology is not updated, then the firm will be placed at a disadvantage. Expanding the company and other features are meant to ensure that the company is thriving even in the future. Updating technology will ensure that the company has an advantage over its competitors. In the future, due to growth in sales, the company will also need to broaden its transport network. Adapting may involve the purchase of customized trucks and the purchase of larger meat freezers.

References

Bowles, S. (2009). Microeconomics: Behavior, Institutions, and Evolution. Princeton, NJ:             Princeton University Press.

Lipsey, R. G., Lipsey, R. G., & Chrystal, K. A. (2007). Economics. New York, NY: Oxford         University Press, USA.

Bernstein, W. J. (2002). The Four Pillars of Investing. New York, NY: McGraw Hill         Professional.

Kohler, M. J. (2017). The Business Owner’s Guide to Financial Freedom: What Wall Street Isn’t   Telling You. Irvine, CA: Entrepreneur Press.

Kates, S. (2011). Free Market Economics: An Introduction for the General Reader.           Gloucestershire, NY: Edward Elgar Publishing.

PICIU, S. R. P. G. C. (2016). Business Models Of Circular Economy. THE JOURNAL     CONTEMPORARY ECONOMY73.

Soros, G. (2015). The Alchemy of Finance. Hoboken, NJ: John Wiley & Sons.

Magretta, J. (2012). Understanding Michael Porter: The Essential Guide to Competition and         Strategy. Brighton, MA: Harvard Business Press.

Collins, K. (2016). Nature of Investing: Resilient Investment Strategies Through Biomimicry.       London, NJ: Routledge

Press, T. (2015). Scrum Basics: A Very Quick Guide to Agile Project Management. NJ: Callisto   Media.

Influence of political development on foreign economic development in Canada and Hong Kong

Influence of political development on foreign economic development in Canada and Hong Kong

Table of Contents

Introduction. 3

Political Developments in Canada. 4

Regional Trade Agreements by Canada and their Impacts in the Region. 5

Political Developments in Hong Kong. 8

Regional Trade Agreements by Hong Kong and their Impacts in the Region. 9

Conclusion. 12

References. 14

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Introduction

 

            There are a myriad of political, economic, and social developments that have been on-going across different countries. For the purpose of this paper, the focus will be on the political developments that have taken place in Canada and Hong-Hong and how these are influencing the foreign economic developments on a national and regional basis. Canada, a country found in northern America, is parliamentary democratic and a monarchial constitutionally governed. Ranking as one of the highest nations with economic freedom and government democracy, it has the sixteenth highest nominal per capita income. It is also attributed to extensively develop international trade networks oversight by the Global Affairs Canada. Global Affairs Canada is led by the ministries of Foreign Affairs, International Trade, and International developments. This shows the thin line between political stability and economic stability within the country and international economic development. On the other hand, Hong Kong is located on the eastern side of the Pearl River estuary in Southern China. It has a separate economic and governing systems from mainland China under ‘one country, two systems’ rule. It is both the world’s ninth-largest importer and the tenth-largest exporter. The Hong Kong dollar is also the eighth most traded currency in the world. It has a reputation as the most “economically free” country. It enjoys low taxation with minimal government market intervention making it a significant trading hub for the region. Besides, it has a nominal GDP of about US$373 billion. Business freedom is well regulated and protected, and this has encouraged entrepreneurship, enabling it to enjoy good trading relations with her neighbors, it further enjoys an open global trade and investment through tourism, financial links, and business.

 

Political Developments in Canada

The current NDP leader, Jagmeet Singh, on 22/01/2020, called for an exhaustive review of Canada’s new North American trade deal before approving it with his political members (Wright, 2020). It came in response to the Prime minister’s announcement that his government will start the ratification parliament process for the bill on the NAFTA deal.  It can have an impact on the new NAFTA deal as per Canada’s constitution, and the prime minister must be supported by at least one of the opposition parties for the bill to be implemented. The new deal will be referred to as The United States Mexico Canada Agreement (USMCA). It will cater to significant policy changes on regional trade provisions, labor provisions, environmental qualities, and intellectual property securities (Wright, 2020).

            Another recent political development that can affect regional foreign trade is the 2019 elections, during the campaigning period, the Liberal party promised a more interventionist federal government concerning the infrastructure, pensions, balanced budget and the taxation rates. It can affect how the economy will progress, and there will also be changes in both internal and external trading activities as prices of various commodities being exported or imported, increasing, or decreasing. As a result, major effects on the trading done with neighboring countries. In Canada, the agricultural sector employs nearly 1.9 percent of the population and also consists of 1.6 percent of the country’s GDP; Canada is therefore among the largest exporters of agricultural products in the world (OECD/FAO, 2016). Any change resulting from John Trudeau considered changes due to the manifesto he promised during the election period. Another recent political emerging issue is the ‘Brexit,’ Companies involved in the exportation of goods into the E.U., and a no-deal will be a heavy blow. Accessing the Eurozone market will be severely limited, and the Canadian trade will be halted temporarily until the world trade organization considers new rules that govern the trade between Canada and the European nations. The lifting aluminum tariffs on Canada by the USA is another recent political issue, and this led to the USA implementing a 25% tariff on steel imports and an additional 10% on aluminum (OECD/FAO, 2016). The USA enforced the tariff as a result of security issues among the two countries. Doing away with the tariff came as a reprieve as it created an obstacle in easier trading between Canada and the USA. Agreements made included the monitoring of imports between the two countries. The escalating US-China trade conflict has seen negative economic progress within Canada and the other closely foreign trading nations. The conflict is considered as a major risk to global economic growth in a study conducted by leading economists. With the modest increase in trade barriers due to these tariffs, there would be situations of fall in the GPE and spike in prices of various products. The trade war between the USA and China has seen effects being felt by Canada as well.  The USA has placed 25% tariffs on exports by China, amounting to US$250 billion, as seen in China, stop the importation of key agricultural products as a form of hit back, resulting in a weaker global trade slowing economic development (Tankersley & Bradsher, 2018). The following are some of the regional trade agreements that Canada currently belongs to and further respective political developments in the partnering countries that can influence economic development between them.

Regional Trade Agreements by Canada and their Impacts in the Region

There is the Canada-Chile Free Trade Agreement (CCFTA), it was formed in July 1976 and has helped in establishing a triple two-way products trade between the two founding countries. Forging a way to re-establishing economic recovery, following waves of political unrest in Chile is a sure way of forging good trading relations between Canada and Chile. The waves of unrest were due to protests against metro tariff increases in Chile and the generally high cost of living. The unrest led to the reduction of trading with Canada as importation and exportation of merchandised products were limited.

            There is also the Comprehensive Economic and Trade Agreement (CETA). It enforced after it’s signing by both The Canadian Prime Minister and E.U. officials in 2016 then ratified in 2017 (Mbengue & Schacherer, 2019). It is Canada’s biggest bilateral trade initiative apart from NAFTA. EU represents the second-largest trading partner in various products, and this shows that any political change in E.U. member countries can have a great impact on trading affairs between the CETA members. Emerging issues such as trade wars and Brexit has seen a stall in global economic growth. To resolve challenges that can emerge to CETA after Brexit, the European Commission has decided for the sealing of the deal, and it can be altered before an official Brexit without any involvement of parliament voting (Mbengue & Schacherer, 2019).

Another RTA is the Canada-Peru Free Trade Agreement (CPFTA). It was born in August 2009, and it helps in facilitating the creation of economic development opportunities, eliminating trade barriers, creating free trade and initiating a fair competition (Chauffour, Maur, & World Bank, 2011). Peru being a fast-growing economic nation, CPFTA has created a competitive advantage for Canadian traders. Peru being Canada’s third-largest bilateral trading partner across both Central and South America, its political stability is thus paramount in the conduction of ease in trading between the two nations (Chauffour, Maur, & World Bank, 2011).

Additionally, there is the Canada-Panama Free Trade Agreement (CPAFTA). Both approved it of the country’s parliaments in December 2012. It has helped in the elimination of 90% of Canadian goods by Panama. Canada, on the other hand, has phased out about 99% tariffs on Panama products. In recent reforms, International Trade Canada and Foreign Affairs, Canada Commercial Corporation and The Export Development Canada, signed an MOU to improve on matters relating to utilization of bits of intelligence, based on new business chances for traders dealing with imports and exports. It has helped in maintaining close trading ties with Panama, which also has a stable political environment.

 Nonetheless, there is the Canada-European Free Trade Association (EFTA). It came into being in July 2011 and consists of Canada, Norway, Switzerland, Liechtenstein, and Iceland (Bickerton, 2014). It aims to phase out tariffs on the member countries. This agreement can be affected by the current Brexit political situation. Norway would incur losses amounting to about EUR 120 per person. Iceland will experience reduce in economic development as the U.K. is one of the essential European economic trading partners.6.Canada-Colombia Free Trade Agreement (CCOFTA) was enforced in August 2011 after being signed by Canada in the year of 2008 (Chauffour, Maur, & World Bank, 2011). Before its establishment, there were various waves of protest in Canada against it being signed.it was controversial due to critics pointed that it was a mechanism of exploitation by serving interests of the capitalists (Bickerton, 2014). In Canada, human rights activists, Labor unions and the church further decried the 38 assassinations of trade unionists in Colombia who were against it. Since the peace agreement signed in 2016 by the Colombia government and the rebelling forces, the country has had a relatively stable functioning government. However, the trade unions rallied various protests on 21st November that destabilized trading affairs in the country and also the trading partners like Canada. There has been further division after the 2016 peace signing deal. Sergio Olarte, a chief Colombia economist for Scotiabank, recently described the situation that; economic growth is undermined due to people being afraid to invest in the country’s economy due to its past violence.

In addition to the above regional trade agreements, the following are some of other trade agreements that Canada belongs to; Canada-Honduras Free Trade Agreement (CHFTA), Canada-Israel Free Trade Agreement (CIFTA), Canada-Jordan Free Trade Agreement (CJFTA), Canada-Korea Free Trade Agreement (CKFTA), Comprehensive Economic and Trade Agreement (CETA) and Canada-Costa Rica Free Trade Agreement (CCRFTA) (Mbengue & Schacherer, 2019). In conclusion, it is seen that the various regional trade agreements can prevail due to the political stabilities of the respective member states (Mbengue & Schacherer, 2019).

Political Developments in Hong Kong

From the outset, it is imperative to acknowledge the fact that the Political tensions within Hong Kong have brought a significant blow to this economic prosperity; this is mainly influenced by the protests against mainland China’s intervention in administration rule towards Hong Kong. Recent political development in Hong Kong, hindering productive trading activities, included the 2019 September elections (Micke, 2019). That saw the emergence of two localists, Yau Wai-Ching and Sixtus Baggio Leung, who advocated for the independence of Hong Kong from China after refusing to take the oath of office. Their rebellion led to extreme measures taken against them by the local central authority (Micke, 2019). A massive protest by Hong Kong’s residents came as a result of the implementation of national security legislation found in the Basic Law Article 23. The international trading community, which has always thrived on the backbone of Hong Kong’s politically stable environment, was extremely altered as a result of the political situations. Losses were seen, such as property damage, injuries to traders, and uneasy access to trading facilities. These protests led to the closure of Hong Kong’s airport, the airport contributes about 55 of the net GDP, following this disruption, and there was a continuous reduction in the region’s economic progress. Tourism, which is a significant backbone to the country’s economy, was also severely impacted as there were decreased arrivals of tourists coming to the country. There was a massive loss of jobs as most investors opted to move out of the country due to the political tensions. Iris pang, an economist, projected that by 2020, Hong Kong’s annual gross domestic product would fall to 5.8%. Hong Kong is significant as a center for global trade and finance, and this can be threatened by the rising political tensions as well as the China-US trade war effects.

Despite being a member of the World Trade Organization and promoting free trading policies within its borders, the effects of the persistent US-China trade war can be seen in Hong Kong. The tariffs can have a negative toll on the price of imported goods. Hong Kong’s China-based companies will experience a higher cost of production as a result of the increase in the price of raw materials. It can be a higher burden to the suppliers and consumers of the products, leading to fewer purchases. Tariffs can tend to low competition of products hence impacting re-export trade. In July 2019 Hong Kong’s exports fell to 5.7% due to the US-China trade war, the government projected for this to fall even further if the trade war does not come to an end (BBC News, 2019). The following are some of the Regional Trade Agreements, that Hong Kong is currently under, and the subsequent political development issues that affect the economic growth of member states (BBC News, 2019).

Regional Trade Agreements by Hong Kong and their Impacts in the Region

First, there is the World Trade Organization (WTO), the country is one of the founding members of The World Trade Organization (Thomson, 2018). It is strategically playing a role in the provision of offering various U.S. companies that need to increase their exports to China (Chow, 2012). The close trading between Hong Kong and the USA has been enhanced by the similarities in socio-cultural traditions and the type of language spoken in mainland China. This has promoted good economic relations between Hong Kong and the rest of the world states who are members of this organization, making it feel the effects of any political interference in economic growth.

Secondly, there is the Closer Economic Partnership Arrangement (CEPA) is another regional trade agreement found between Hong Kong and mainland China. It provides tariff-free exportation of products to China. However, the goods must be of Hong Kong and have preferred access for the specific service groups. It officially became effective on 1st January 2004, it allows for relatively earlier access to Hong Kong service providers to the mainland’s market before China’s World Trade Organization (Thomson, 2018). Through it, China and Hong Kong agreed to develop cooperation in the following areas; trade and investment promotion, transparency in regulations policies, electronic business, cooperation in Chinese medicine, the cooperation of small and medium-sized establishments, an inspection of goods, and quality assurance. It has been impacted by the development of tensions between mainland China and Hong Kong political need for independence. The trade war between the USA and China has also created an unfavorable environment for the economic growth of the two-member states. It is also the first bilateral trading agreement that Hong Kong signed.

Thirdly, the Hong Kong, China-New Zealand Closer Economic Partnership Agreement, was signed on 29th March 2010 and is considered to be the first free trade agreement existing between Hong Kong and a foreign country (Chow, 2012; and Hsieh & Mercurio, 2019). It has helped in opening up new business opportunities between the two countries as New Zealand in 2018 was Hong Kong’s 37th largest trading partner. Both New Zealand and Hong Kong have prohibited the use of exportation subsidies on all commodities in carrying out bilateral trade (Thomson, 2018). The partnership has a goal that, in the future, New Zealand exports into both China and Hong Kong will have duty free taxations. The recent political rift between China and Hong Kong has provided threats to the well existing economic relations between the member states. Trade wars between the U.S. and China are also another recent political development that has put strains unto the agreement as prices of goods rise, making it harder for traders and investors to access the present limited market.  Previously described as “a model of how economies can address barriers both at and inside their borders to grow trade” by Tim Groser, New Zealand politician.

Fifthly, there is the Free Trade between Hong Kong, China, and the Member States of the European Free Trade Association. it is taken as a single entity and can be referred to as The European Free Trade Association (EFTA), The member states include Iceland, Switzerland, Liechtenstein, Norway, and Hong Kong. It was signed in Liechtenstein, 21st June 2011 (Chow, 2012).It complies with the World Trade Organization, serving as a catalyst that promotes trade trading activities and global economic growth between the member states. Besides, it is the first free trade existing between Hong Kong and the European economies, making it a huge milestone. Brexit’s current political situation among the European countries raises a potential threat that is endangering the economic trading relations between the member states. The tension between Hong Kong and mainland China furthers the realization of the organization.

Sixth, there is the Free Trade Agreement between China, Chile, and Hong Kong was signed on 7th September 2012, after the initial three rounds of negotiation between the member states (Thomson, 2018). Chile is the third-largest trading partner to Hong Kong in Latin America; found that a closer trading relationship with Hong Kong had the potential for positive economic growth. A memorandum of understanding on labor cooperation was also signed separately by Chile and Hong Kong (Thomson, 2018). It has enabled Hong Kong to get into the Chilean market, which provides unlimited marketing chances. The agreement can help Hong Kong to get into the Southern American trading region as it is also the first bilateral trading agreement existing between Hong Kong and a Latin American country. It has faced various recent political threats such as trade war between the USA and China, China’s political tension with Hong Kong, and recent waves of protests against the Chilean government by the locals.

Finally, there is the Hong Kong Special Administrative Region and Macao Special Administrative Region Closer Economic Partnership Arrangement (HK-Macao CEPA), Both Macao and Hong Kong enjoy extensive trade relations, with both having liberalized trading regimes. It was signed into being on 27th October 2017 and has aimed at the provision of legal amenities in accessing marketing opportunities existing between the two members. It aims at reducing to zero tariffs on imports and exports goods between the members (Hsieh & Mercurio, 2019, 2019). It also faces threats emerging from the recent political issues present in the member states, China USA trade wars effects, China -Hong Kong independence protests, and Mainland China -Macao tension. Some of the other regional trade agreements that Hong Kong belongs to include; Hong Kong-China-Georgia Free Trade Agreement, Hong Kong, China-ASEAN Free Trade Agreement, Hong Kong, China, and Australia agreement (Hsieh & Mercurio, 2019).

Conclusion

 In summary, as seen from the above impacts, it signifies that the nature of political stability always influences the economic progress of a regional trading bloc or a nation. Hence supports various analytical, theoretical studies based on books such as ‘The Theory of Political Economy’ by William Stanley Jevons or ‘Principles of Economics’ by Carl Menger. The political stability can be a factor for the people who would like to invest in a region, the more the part is politically stable, the more potential it has for enormous economic growth. Political developments can also provide economic growth favoring policies that can attract various types of entrepreneurs. As cited above, the regions with these favorable economic policies, such as Hong Kong, are more likely to experience an increase in global economies. The government has a role in maintaining a continuous growth pattern for its locals. Generating good policies and maintaining a stable government are major leys for the realization of various economic growth goals.

References

BBC News. (2019). China exports fall in August as US trade war bites. Retrieved 24 January 2020, from https://www.bbc.com/news/business-49625843

Bickerton, J. P. (2014). Canadian Politics. University Of Toronto Press.

Chauffour, J.-P., Maur, J.-C., & World Bank. (2011). Preferential trade agreement policies for development: A handbook. Washington, D.C: World Bank.

Chow, P. C. Y. (2012). Trade and industrial development in East Asia: Catching up or falling behind. Cheltenham [England] ; Northampton, Mass. : Edward Elgar Pub.

Hsieh, P. L & Mercurio, B. (2019). ASEAN Law in the New Regional Economic Order: Global Trends and Shifting Paradigms. Cambridge: Cambridge University Press.

Mbengue, M. M., & Schacherer, S. (2019). Foreign investment under the comprehensive economic and trade agreement (CETA).

Micke, L. (2019). CISD Yearbook of Global Studies. University of London: Center for International Studies and Diplomacy.

OECD/FAO. (2016). Agriculture in Sub-Saharan Africa:Prospects and challengesfor the next decade. OECD-FAO Agricultural Outlook 2016-2025, 59-96.

Tankersley, J., & Bradsher, K. (2018). Trump Hits China With Tariffs on $200 Billion in Goods, Escalating Trade War. Retrieved 24 January 2020, from https://www.nytimes.com/2018/09/17/us/politics/trump-china-tariffs-trade.html

Thomson, S. (2018). Administrative Law in Hong Kong. Cambridge: Cambridge University Press.

Wright, T. (2020). HuffPost is now a part of Verizon Media. Retrieved 24 January 2020, from https://www.huffingtonpost.ca/entry/jagmeet-singh-nafta-ndp_ca_5e28b87bc5b67d8874ac2c72

Influence of political development on foreign economic development in Canada and Hong Kong

Introduction

            There are a myriad of political, economic, and social developments that have been on-going across different countries. For the purpose of this paper, the focus will be on the political developments that have taken place in Canada and Hong-Hong and how these are influencing the foreign economic developments on a national and regional basis. Canada, a country found in northern America, is parliamentary democratic and a monarchial constitutionally governed. Ranking as one of the highest nations with economic freedom and government democracy, it has the sixteenth highest nominal per capita income. It is also attributed to extensively develop international trade networks oversight by the Global Affairs Canada. Global Affairs Canada is led by the ministries of Foreign Affairs, International Trade, and International developments. This shows the thin line between political stability and economic stability within the country and international economic development. On the other hand, Hong Kong is located on the eastern side of the Pearl River estuary in Southern China. It has a separate economic and governing systems from mainland China under ‘one country, two systems’ rule. It is both the world’s ninth-largest importer and the tenth-largest exporter. The Hong Kong dollar is also the eighth most traded currency in the world. It has a reputation as the most “economically free” country. It enjoys low taxation with minimal government market intervention making it a significant trading hub for the region. Besides, it has a nominal GDP of about US$373 billion. Business freedom is well regulated and protected, and this has encouraged entrepreneurship, enabling it to enjoy good trading relations with her neighbors, it further enjoys an open global trade and investment through tourism, financial links, and business.

 

Canada

The current NDP leader, Jagmeet Singh, on 22/01/2020, called for an exhaustive review of Canada’s new North American trade deal before approving it with his political members (Wright, 2020). It came in response to the Prime minister’s announcement that his government will start the ratification parliament process for the bill on the NAFTA deal.  It can have an impact on the new NAFTA deal as per Canada’s constitution, and the prime minister must be supported by at least one of the opposition parties for the bill to be implemented. The new deal will be referred to as The United States Mexico Canada Agreement (USMCA). It will cater to significant policy changes on regional trade provisions, labor provisions, environmental qualities, and intellectual property securities (Wright, 2020).

            Another recent political development that can affect regional foreign trade is the 2019 elections, during the campaigning period, the Liberal party promised a more interventionist federal government concerning the infrastructure, pensions, balanced budget and the taxation rates. It can affect how the economy will progress, and there will also be changes in both internal and external trading activities as prices of various commodities being exported or imported, increasing, or decreasing. As a result, major effects on the trading done with neighboring countries. In Canada, the agricultural sector employs nearly 1.9 percent of the population and also consists of 1.6 percent of the country’s GDP; Canada is therefore among the largest exporters of agricultural products in the world (OECD/FAO, 2016). Any change resulting from John Trudeau considered changes due to the manifesto he promised during the election period. Another recent political emerging issue is the ‘Brexit,’ Companies involved in the exportation of goods into the E.U., and a no-deal will be a heavy blow. Accessing the Eurozone market will be severely limited, and the Canadian trade will be halted temporarily until the world trade organization considers new rules that govern the trade between Canada and the European nations. The lifting aluminum tariffs on Canada by the USA is another recent political issue, and this led to the USA implementing a 25% tariff on steel imports and an additional 10% on aluminum (OECD/FAO, 2016). The USA enforced the tariff as a result of security issues among the two countries. Doing away with the tariff came as a reprieve as it created an obstacle in easier trading between Canada and the USA. Agreements made included the monitoring of imports between the two countries. The escalating US-China trade conflict has seen negative economic progress within Canada and the other closely foreign trading nations. The conflict is considered as a major risk to global economic growth in a study conducted by leading economists. With the modest increase in trade barriers due to these tariffs, there would be situations of fall in the GPE and spike in prices of various products. The trade war between the USA and China has seen effects being felt by Canada as well.  The USA has placed 25% tariffs on exports by China, amounting to US$250 billion, as seen in China, stop the importation of key agricultural products as a form of hit back, resulting in a weaker global trade slowing economic development (Tankersley & Bradsher, 2018). The following are some of the regional trade agreements that Canada currently belongs to and further respective political developments in the partnering countries that can influence economic development between them.

There is the Canada-Chile Free Trade Agreement (CCFTA), it was formed in July 1976 and has helped in establishing a triple two-way products trade between the two founding countries. Forging a way to re-establishing economic recovery, following waves of political unrest in Chile is a sure way of forging good trading relations between Canada and Chile. The waves of unrest were due to protests against metro tariff increases in Chile and the generally high cost of living. The unrest led to the reduction of trading with Canada as importation and exportation of merchandised products were limited.

            There is also the Comprehensive Economic and Trade Agreement (CETA). It enforced after it’s signing by both The Canadian Prime Minister and E.U. officials in 2016 then ratified in 2017 (Mbengue & Schacherer, 2019). It is Canada’s biggest bilateral trade initiative apart from NAFTA. EU represents the second-largest trading partner in various products, and this shows that any political change in E.U. member countries can have a great impact on trading affairs between the CETA members. Emerging issues such as trade wars and Brexit has seen a stall in global economic growth. To resolve challenges that can emerge to CETA after Brexit, the European Commission has decided for the sealing of the deal, and it can be altered before an official Brexit without any involvement of parliament voting (Mbengue & Schacherer, 2019).

Another RTA is the Canada-Peru Free Trade Agreement (CPFTA). It was born in August 2009, and it helps in facilitating the creation of economic development opportunities, eliminating trade barriers, creating free trade and initiating a fair competition (Chauffour, Maur, & World Bank, 2011). Peru being a fast-growing economic nation, CPFTA has created a competitive advantage for Canadian traders. Peru being Canada’s third-largest bilateral trading partner across both Central and South America, its political stability is thus paramount in the conduction of ease in trading between the two nations (Chauffour, Maur, & World Bank, 2011).

Additionally, there is the Canada-Panama Free Trade Agreement (CPAFTA). Both approved it of the country’s parliaments in December 2012. It has helped in the elimination of 90% of Canadian goods by Panama. Canada, on the other hand, has phased out about 99% tariffs on Panama products. In recent reforms, International Trade Canada and Foreign Affairs, Canada Commercial Corporation and The Export Development Canada, signed an MOU to improve on matters relating to utilization of bits of intelligence, based on new business chances for traders dealing with imports and exports. It has helped in maintaining close trading ties with Panama, which also has a stable political environment.

 Nonetheless, there is the Canada-European Free Trade Association (EFTA). It came into being in July 2011 and consists of Canada, Norway, Switzerland, Liechtenstein, and Iceland (Bickerton, 2014). It aims to phase out tariffs on the member countries. This agreement can be affected by the current Brexit political situation. Norway would incur losses amounting to about EUR 120 per person. Iceland will experience reduce in economic development as the U.K. is one of the essential European economic trading partners.6.Canada-Colombia Free Trade Agreement (CCOFTA) was enforced in August 2011 after being signed by Canada in the year of 2008 (Chauffour, Maur, & World Bank, 2011). Before its establishment, there were various waves of protest in Canada against it being signed.it was controversial due to critics pointed that it was a mechanism of exploitation by serving interests of the capitalists (Bickerton, 2014). In Canada, human rights activists, Labor unions and the church further decried the 38 assassinations of trade unionists in Colombia who were against it. Since the peace agreement signed in 2016 by the Colombia government and the rebelling forces, the country has had a relatively stable functioning government. However, the trade unions rallied various protests on 21st November that destabilized trading affairs in the country and also the trading partners like Canada. There has been further division after the 2016 peace signing deal. Sergio Olarte, a chief Colombia economist for Scotiabank, recently described the situation that; economic growth is undermined due to people being afraid to invest in the country’s economy due to its past violence.

In addition to the above regional trade agreements, the following are some of other trade agreements that Canada belongs to; Canada-Honduras Free Trade Agreement (CHFTA), Canada-Israel Free Trade Agreement (CIFTA), Canada-Jordan Free Trade Agreement (CJFTA), Canada-Korea Free Trade Agreement (CKFTA), Comprehensive Economic and Trade Agreement (CETA) and Canada-Costa Rica Free Trade Agreement (CCRFTA) (Mbengue & Schacherer, 2019). In conclusion, it is seen that the various regional trade agreements can prevail due to the political stabilities of the respective member states (Mbengue & Schacherer, 2019).

Hong Kong

From the outset, it is imperative to acknowledge the fact that the Political tensions within Hong Kong have brought a significant blow to this economic prosperity; this is mainly influenced by the protests against mainland China’s intervention in administration rule towards Hong Kong. Recent political development in Hong Kong, hindering productive trading activities, included the 2019 September elections (Micke, 2019). That saw the emergence of two localists, Yau Wai-Ching and Sixtus Baggio Leung, who advocated for the independence of Hong Kong from China after refusing to take the oath of office. Their rebellion led to extreme measures taken against them by the local central authority (Micke, 2019). A massive protest by Hong Kong’s residents came as a result of the implementation of national security legislation found in the Basic Law Article 23. The international trading community, which has always thrived on the backbone of Hong Kong’s politically stable environment, was extremely altered as a result of the political situations. Losses were seen, such as property damage, injuries to traders, and uneasy access to trading facilities. These protests led to the closure of Hong Kong’s airport, the airport contributes about 55 of the net GDP, following this disruption, and there was a continuous reduction in the region’s economic progress. Tourism, which is a significant backbone to the country’s economy, was also severely impacted as there were decreased arrivals of tourists coming to the country. There was a massive loss of jobs as most investors opted to move out of the country due to the political tensions. Iris pang, an economist, projected that by 2020, Hong Kong’s annual gross domestic product would fall to 5.8%. Hong Kong is significant as a center for global trade and finance, and this can be threatened by the rising political tensions as well as the China-US trade war effects.

Though being a member of the World Trade Organization and promoting free trading policies within its borders, the effects of the persistent US-China trade war can be seen in Hong Kong. The tariffs can have a negative toll on the price of imported goods. Hong Kong’s China-based companies will experience a higher cost of production as a result of the increase in the price of raw materials. It can be a higher burden to the suppliers and consumers of the products, leading to fewer purchases. Tariffs can tend to low competition of products hence impacting re-export trade. In July 2019 Hong Kong’s exports fell to 5.7% due to the US-China trade war, the government projected for this to fall even further if the trade war does not come to an end (BBC News, 2019). The following are some of the Regional Trade Agreements, that Hong Kong is currently under, and the subsequent political development issues that affect the economic growth of member states (BBC News, 2019).

First, there is the World Trade Organization (WTO), the country is one of the founding members of The World Trade Organization (Thomson, 2018). It is strategically playing a role in the provision of offering various U.S. companies that need to increase their exports to China (Chow, 2012). The close trading between Hong Kong and the USA has been enhanced by the similarities in socio-cultural traditions and the type of language spoken in mainland China. This has promoted good economic relations between Hong Kong and the rest of the world states who are members of this organization, making it feel the effects of any political interference in economic growth.

Secondly, there is the Closer Economic Partnership Arrangement (CEPA) is another regional trade agreement found between Hong Kong and mainland China. It provides tariff-free exportation of products to China. However, the goods must be of Hong Kong and have preferred access for the specific service groups. It officially became effective on 1st January 2004, it allows for relatively earlier access to Hong Kong service providers to the mainland’s market before China’s World Trade Organization (Thomson, 2018). Through it, China and Hong Kong agreed to develop cooperation in the following areas; trade and investment promotion, transparency in regulations policies, electronic business, cooperation in Chinese medicine, the cooperation of small and medium-sized establishments, an inspection of goods, and quality assurance. It has been impacted by the development of tensions between mainland China and Hong Kong political need for independence. The trade war between the USA and China has also created an unfavorable environment for the economic growth of the two-member states. It is also the first bilateral trading agreement that Hong Kong signed.

Thirdly, the Hong Kong, China-New Zealand Closer Economic Partnership Agreement, was signed on 29th March 2010 and is considered to be the first free trade agreement existing between Hong Kong and a foreign country (Chow, 2012; and Hsieh & Mercurio, 2019). It has helped in opening up new business opportunities between the two countries as New Zealand in 2018 was Hong Kong’s 37th largest trading partner. Both New Zealand and Hong Kong have prohibited the use of exportation subsidies on all commodities in carrying out bilateral trade (Thomson, 2018). The partnership has a goal that, in the future, New Zealand exports into both China and Hong Kong will have duty free taxations. The recent political rift between China and Hong Kong has provided threats to the well existing economic relations between the member states. Trade wars between the U.S. and China are also another recent political development that has put strains unto the agreement as prices of goods rise, making it harder for traders and investors to access the present limited market.  Previously described as “a model of how economies can address barriers both at and inside their borders to grow trade” by Tim Groser, New Zealand politician.

Fifthly, there is the Free Trade between Hong Kong, China, and the Member States of the European Free Trade Association. it is taken as a single entity and can be referred to as The European Free Trade Association (EFTA), The member states include Iceland, Switzerland, Liechtenstein, Norway, and Hong Kong. It was signed in Liechtenstein, 21st June 2011 (Chow, 2012).It complies with the World Trade Organization, serving as a catalyst that promotes trade trading activities and global economic growth between the member states. Besides, it is the first free trade existing between Hong Kong and the European economies, making it a huge milestone. Brexit’s current political situation among the European countries raises a potential threat that is endangering the economic trading relations between the member states. The tension between Hong Kong and mainland China furthers the realization of the organization.

Sixth, there is the Free Trade Agreement between China, Chile, and Hong Kong was signed on 7th September 2012, after the initial three rounds of negotiation between the member states (Thomson, 2018). Chile is the third-largest trading partner to Hong Kong in Latin America; found that a closer trading relationship with Hong Kong had the potential for positive economic growth. A memorandum of understanding on labor cooperation was also signed separately by Chile and Hong Kong (Thomson, 2018). It has enabled Hong Kong to get into the Chilean market, which provides unlimited marketing chances. The agreement can help Hong Kong to get into the Southern American trading region as it is also the first bilateral trading agreement existing between Hong Kong and a Latin American country. It has faced various recent political threats such as trade war between the USA and China, China’s political tension with Hong Kong, and recent waves of protests against the Chilean government by the locals.

Finally, there is the Hong Kong Special Administrative Region and Macao Special Administrative Region Closer Economic Partnership Arrangement (HK-Macao CEPA), Both Macao and Hong Kong enjoy extensive trade relations, with both having liberalized trading regimes. It was signed into being on 27th October 2017 and has aimed at the provision of legal amenities in accessing marketing opportunities existing between the two members. It aims at reducing to zero tariffs on imports and exports goods between the members (Hsieh & Mercurio, 2019, 2019). It also faces threats emerging from the recent political issues present in the member states, China USA trade wars effects, China -Hong Kong independence protests, and Mainland China -Macao tension. Some of the other regional trade agreements that Hong Kong belongs to include; Hong Kong-China-Georgia Free Trade Agreement, Hong Kong, China-ASEAN Free Trade Agreement, Hong Kong, China, and Australia agreement (Hsieh & Mercurio, 2019).

Conclusion

 In summary, as seen from the above impacts, it signifies that the nature of political stability always influences the economic progress of a regional trading bloc or a nation. Hence supports various analytical, theoretical studies based on books such as ‘The Theory of Political Economy’ by William Stanley Jevons or ‘Principles of Economics’ by Carl Menger. The political stability can be a factor for the people who would like to invest in a region, the more the part is politically stable, the more potential it has for enormous economic growth. Political developments can also provide economic growth favoring policies that can attract various types of entrepreneurs. As cited above, the regions with these favorable economic policies, such as Hong Kong, are more likely to experience an increase in global economies. The government has a role in maintaining a continuous growth pattern for its locals. Generating good policies and maintaining a stable government are major leys for the realization of various economic growth goals.

References

BBC News. (2019). China exports fall in August as US trade war bites. Retrieved 24 January 2020, from https://www.bbc.com/news/business-49625843

Bickerton, J. P. (2014). Canadian Politics. University Of Toronto Press.

Chauffour, J.-P., Maur, J.-C., & World Bank. (2011). Preferential trade agreement policies for development: A handbook. Washington, D.C: World Bank.

Chow, P. C. Y. (2012). Trade and industrial development in East Asia: Catching up or falling behind. Cheltenham [England] ; Northampton, Mass. : Edward Elgar Pub.

Hsieh, P. L & Mercurio, B. (2019). ASEAN Law in the New Regional Economic Order: Global Trends and Shifting Paradigms. Cambridge: Cambridge University Press.

Mbengue, M. M., & Schacherer, S. (2019). Foreign investment under the comprehensive economic and trade agreement (CETA).

Micke, L. (2019). CISD Yearbook of Global Studies. University of London: Center for International Studies and Diplomacy.

OECD/FAO. (2016). Agriculture in Sub-Saharan Africa:Prospects and challengesfor the next decade. OECD-FAO Agricultural Outlook 2016-2025, 59-96.

Tankersley, J., & Bradsher, K. (2018). Trump Hits China With Tariffs on $200 Billion in Goods, Escalating Trade War. Retrieved 24 January 2020, from https://www.nytimes.com/2018/09/17/us/politics/trump-china-tariffs-trade.html

Thomson, S. (2018). Administrative Law in Hong Kong. Cambridge: Cambridge University Press.

Wright, T. (2020). HuffPost is now a part of Verizon Media. Retrieved 24 January 2020, from https://www.huffingtonpost.ca/entry/jagmeet-singh-nafta-ndp_ca_5e28b87bc5b67d8874ac2c72

Phase 2 Startup Analysis

 

Founders

Eco cycle is a business focused on promoting sustainable environment. The business will engage in the production hybrid bikes which are manually and electronically driven. The main drive of the Eco cycle is reducing the prolonged environmental pollution resulting from the emissions by engines propelled by fossil fuels. Notably, the success of Eco cycle largely depends on the contributions of the founders. Indeed, the initiators should be competent enough in a manner that guarantees the attainment of the set goals. The business is composed of an all-rounded team whereby the contributions of each team member counts. Basically, Eco cycle company possess the input of the following members; hacker, hipster, and hustler. Indeed, their inputs in the success of the business are paramount. To start with, the hacker is responsible for empowering scalable and sustainable growth of the business of the electronic and manual charge bikes. Indeed, Eco cycle requires the programming skills which help in ensuring that the business keeps up with the technological advancements. The gap will be filled by my friend Tim who has the requisite skills that guarantee technological competitiveness.

The ability the Eco cycle company to make sales through an efficient marketing team also guarantees success. Without any doubt, the marketing department is responsible for creating awareness about the existence of the hybrid bikes. Moreover, the marketers should explain the benefits accruing its use of manual and electronic bikes potential customers. The functions are achieved through advertising. It is the role of the hustler to provide marketing skills. My cousin Reen has pursued a marketing course in a recognized university hence placing her in a better position of filling the gap. Reen is currently, in her internship program in Macdonald company. undeniably, the internship equips her with important competencies which will be applied in the business. Unfortunately, Eco cycle company lacks the input of a hipster which is crucial for its success. However, the business intends to outsource the inputs of a hipster who plays a role in ensuring that the business keeps up with the trends in terms of fashion as well as the requirements of the customers. This aids in warranting that Eco cycle maintains a competitive advantage over the rivals in the market. Notably, there are many outsourcing sites whereby the business will seek to hire the services of the missing competencies. The hired employees are expected to deliver the skills hence assuring the business its success. The person filling the gap of ab hipster will be hired on a contractual basis. Besides, the Eco cycle intends to issue satisfactory remunerations in order to motivate the employees. Most importantly, a happy worker is always motivated due to reasonable wages as well as a conducive working environment which guarantee increased production of bikes. The composition of Eco cycle team guarantees the successful startup of the business. This means that the available capital, resources, and skills will be optimally utilized in order to meet the business goals and objectives. Notably, the input of the outsourced expertise is considered as an asset to the business.

Advisors

The roles of advisors to Eco cycle company should not be underestimated. Indeed, they play an integral role in promoting its success. They include interacting with the management during meetings and conferences in order to guide them on the faulty areas deserving to be remedied. Ideally, the advisors monitor the progress of the business in order to check whether it is in line with the plans. In the event of a deviation from the plan, they issue corrective actions. Advisors seek to understand the customers’ needs through obtaining their feedback and opinions. Indeed, they work closely with the hustler; marketing department in order to deliver the best to the clients. The argument proves the role of advisors in improving sales and profitability in the long run. Advisors also offer guidance and recommendations the business on the strategies and techniques to be adopted in order to improve efficiency in the operations Eco cycle. The role is important in ensuring that the business uses modern techniques which guarantee it a competitive advantage. The advisors should interact with the different stakeholders; workers, customers, business owners in order to understand their need and complaints. Additionally, they also advise them accordingly so that they can act in a manner that contributes to the success of the business. The advisors should clearly understand the requirements as well as the operations of the business.  Moreover, they should be competent in order to place them in a better position to offer advisory that leads to the actualization of the goals and objectives of the business. Advisors should understand the trends of the business to ensure that the advice accordingly (Gooderha 2006). Despite the fact that the services of business advisors are relatively expensive, it is worth hiring them since the benefits to the success of Eco cycle surpass the demerits.

The business intends to hire one skilled business advisor. Jeff has been in the business field for the past nine years. The duration an involvement in the business sector owes him the continued experience hence positioning him in a better position to offer advisory to Eco cycle. Jeff has also managed to start a business consultative firm which offers business advisory at a fee. The firm has gained a lot of popularity over the recent past due to its contributions to the success of numerous businesses.

Partners

Business partnerships are common business activities that have gained a lot of popularity in the recent past. It happens when a business decides to join efforts with another one. There are numerous advantages to accruing Eco cycle partnering with other businesses. They include pulling of capital together. Partners are a better position to combine their financial resources together in order to fund the business (Warhurst, 2005). The move helps in reducing the financial burden such as insufficient funds to cater for various activities. Additionally, it guarantees continuity of the production process. another advantage of a partnership is a combination of expertise. The fact that individuals are talented and skilled differently explain why the combination of different skills through partnership places the business in a better position to perform well than a sole proprietorship (Aviv, 2007). The move helps in reducing the cost of operations of Eco cycle in that the expenses of hiring an employee who will provide the crucial skills are eliminated. Undeniably, partners help in cutting the cost significantly. Partners help in sharing ideas which aid in coming up with innovative strategies focused on improving the growth of the business. The interaction further helps in problem-solving as the partners can come up with a noble decision aimed at solving the problem at hand.

It is worth noting that, businesses should keenly choose the partners. The success and failure of a business are determined by the choice of business partners. As thus, before Eco cycle partners with another business it is important to understand its goals and objectives. Moreover, the business should consider evaluating the past of the business partner.  The analysis helps in determining the history of the partner in terms of business operations (Warhurst, 2005). Basically, potential business partners should have a good reputation as the business is guaranteed improved efficiency. It is advisable that businesses should choose partners who have engaged in business operations similar or close to the line of business to their increased familiarity with the business activities.

 

 

The major business partners targeted by Eco cycle include

  • M & T banks. It’s a financial institution offering financial support to small businesses. The banks also offer financial advisory services depending on the nature of the business. M & T banks access the credit worthiness of the business through conducting credit checks of the initiators. Besides, it also conducts a feasibility study of the business to determine whether the business idea is profitable. In the event Eco cycle is promising in terms of profits as well as diversification, it accommodates the partnerships which help in dealing with the financial issues.
  • The West Coach InfoTech is another potential partner. The firm specializes in offering marketing services to businesses. In other words, it advertises on behalf of their clients. The firm also offers partnership opportunities to viable businesses which have the opportunity of growth. Undeniably, it is a potential target of Eco cycle which offers crucial services to business. The fact that advertisements play a crucial role in improving sales explains the need for the partnership with the company. Indeed, when Eco cycle partners with the firm guarantees intensive marketing of the products to the internal and overseas markets.
  • Eco cycle is primarily concerned with the production of hybrid bikes which are environmentally friendly. Therefore, it is important to partner with a firm focused on environmental conservation. The main target, in this case, is Action Group on Erosion Technology and Concentration (ETC Group). Notably, it is a non-governmental organization which has been in the frontline in promoting the protection of the environment. Partnering with the organizations helps the Eco cycle to acquire recognition in its efforts of manufacturing hybrid bikes. Indeed, the organization is expected to offer full support to the business through promotion of sales by advertising as well as educating the public on the benefits accruing the electronic and manual. The hybrid bikes are environmentally friendly in that they reduce pollutions as well as enhancing body fitness.
  • Texas instrument is yet another potential partner in the business. The company engages in the recycle of plastics. Indeed, it reduces pollution in the environment as well as creating employment opportunities. The facts that the line of recycled plastics and metals can be used an input in the business explains the need to partner with Texas instrument. Indeed, the idea that both businesses are focused on reducing pollution on the environment further explains why it is a potential partner. Eco cycle is likely to benefit from the activities of the Texas instrument company.

 

Outsourcing

Outsourcing is another crucial aspect of a business.  The provision of the input and services in different localities is known as outsourcing. The term has gained popularity in the recent past as it is continually being embraced by organizations. Notably, numerous benefits are accruing the process of outsourcing. It entails seeking the services of a third-party to offer goods and services to the business.  The business wishes to outsource labor input from different skilled individuals in order to guarantee an efficient workforce (Kremic, Icmeli Tukel, & Rom 2006). The activity is outsourced labor. It has been a common practice over the recent past especially in the corporate world. It entails hiring other external parties to the organizations mandated to perform production functions by offering services that were initially offered by the in-house team. The move is practiced with the prime aim of cutting down the production cost. Outsourcing of labor is a common practice in cases where the existing employees are incompetent.

The business will also outsource assets whose cost of purchasing is higher than the cost of hiring. In other words, if it is relatively cheaper to outsource various services in contrast to hiring. In cases where training the existing employees is expensive as compared to outsourcing organizations, the business will opt to outsource the workforce. The practice of outsourcing accrues various benefits which include firstly, it allows the business to concentrate on the prime goals hence sparing them from the diversion of efforts and resources to the outsourced areas (Kremic, Icmeli & Rom, 2006). Focusing on the core goals of the organization. The growth of business might compromise the achievement of the organization’s objectives. As thus, engaging third parties to foresee the normal running of the activities serves better since the management can comfortably concentrate on the prime goals. In this case, the ultimate role of the business is the manufacture of bikes. As thus, other services such as security and cleaning services which do not have a direct connection with the operations of the business will be outsourced. The move enables the business to focus on its core activities. Secondly, Swiftness and expertise. In scenarios of outsourcing, the human resource department focuses on individuals with the requisite expertise to perfectly handle the tasks. The fact that outsourcing applies when the available skills are insufficient in delivering the appropriate or desired quality and quality prompts the business to hire individuals with the requisite skills to proficiently deliver the services hence improving the quality of production. Lastly, the business benefits from reduces costs and time wastage on operations such as recruiting expenses.

The business wishes to outsource the following services

  • Information and technology services from INTELLECTSOFT company that specializes in software development. (https://www.intellectsoft.net/?utm_source=TheManifest&utm_medium=referral)
  • Applied minds offer research and development services. It is an American company that has specialized in offering services to different forms at a fee. The services aid in promoting innovations in the industry leading to the production of outputs capable of competing with other brands in the industry.

(https://www.ranker.com/review/applied-minds/481515?ref=node_name&pos=2&a=0&ltype=n&l=108602&g=2)

  • The business intends to outsource business processes purposed to hire various services from other businesses in order to improve the speed of manufacturing. The services will be sourced from EXL Solutions limited. It focuses on ensuring that businesses acquire improve customers experience hence leading to improved levels of satisfaction. The company also ensures on-time delivery contributing to improved profitability due to increase customer loyalty.

(https://www.exlservice.com/)

  • The business will also benefit from contract manufacturing which entails the use of another label or and designs from another company. The move is aimed at improving sales as the use of an already established brand name attracts customers. The business will outsource the services from Talan products inc.

(https://talanproducts.com/)

  • The business will also outsource the services of security companies. The move enables the business to focus on core business activities. The services will be outsourced from G4S company which is one of the leading companies in terms of security services.

(https://www.g4s.com/)

 

 

 

References

Kremic, T., Icmeli Tukel, O., & Rom, W. O. (2006). Outsourcing decision support: a survey of benefits, risks, and decision factors. Supply Chain Management: an international journal, 11(6), 467-482.

Warhurst, A. (2005). Future roles of business in society: the expanding boundaries of corporate responsibility and a compelling case for partnership. Futures, 37(2-3), 151-168.

Gooderham, P. N., Tobiassen, A., Døving, E., & Nordhaug, O. (2004). Accountants as sources of business advice for small firms. International small business journal, 22(1), 5-22.

Aviv, Y. (2007). On the benefits of collaborative forecasting partnerships between retailers and manufacturers. Management Science, 53(5), 777-794.

 

 

 

 

 

 

 

 

Development of Interview Monologues

 

The paper below is a four-course action whose entire focus is to come up with an interview monologue following the structure of Anna Deveare Smith in Fires in the Mirror as a guide (Smith, 2015). The topic I will be handling is on the issue of racism and its association with law enforcers in America and more specifically, in New York. I intend to interview an assistant commissioner in New York City to understand his views and understanding of the same issue. This can enlighten considerably on the take the police department about the issue since his remarks are expected to be quite representative of the whole department. I contacted the assistant commissioner and explained to him about my request for an interview with him, and he gave me a date in a week. The assistant commissioner agreed to see me in his office between 9.00, and 9.30 am on a Wednesday.

I prepared some interview questions which would be appropriate in aiding a successful interview and attaining meaningful information.

I also made a brief interview plan that could enable me to get the most out of the interview within the limited time that was available. The plan consisted of three parts, like most interviews do (Rubin & Rubin,2005). First is the opening or introduction part which entailed an official introduction with the assistant commissioner and briefing him on the purpose of the interview and what we would tackle. This would take around 3 minutes. The second part entailed asking the questions that I had prepared for the interview session recording the responses that the assistant commissioner would provide scheduled to take at most twenty-five minutes. The final part involved concluding the interview and thanking the Ass. Commissioner for making time for the session and providing me with his take on the issue. This part was scheduled to take at most 3 minutes.

Me: good morning sir George Williams? I am Betty McLane, and I am grateful that you were available today for this interview.

Ass. Commissioner: Morning too, Betty. I am glad to be partaking in this session.

Me: Today, we will be looking at the issue of racism in New York as far as the law enforcers are concerned. Could you tell me your take on the continued claims of harassment by police officers based on racial grounds?

Ass. Commissioner: well. I think that there are possibilities of that issue happening but not like its being portrayed.

Me: what do you mean by that?

Ass. Commissioner: Personally, I think based on our records, there are far much fewer occurrences of harassment based on racial grounds than the media has been speculating.

Me: so you accept that there are such cases but disagree on its occurrence magnitude reported by the media is that right?

Ass. Commissioner: yes. That’s right.

Me: and what would you say about the occurrence of such cases with respect to delivering justice to all citizens.

Ass. Commissioner: as a matter of fact our department recognizes how critical such cases could be in hampering justice from being delivered to the citizens irrespective of their races

Me: so what actions have the department taken to deal with racial based harassment practiced by the law enforcers?

Ass. Commissioner: we have been keenly following cases that could have been influenced by racial prejudice by the officers and the officers who are found guilty face their punishment as required by the law. The media is quite helpful on this as they bring to light such cases, but I would ask of them to stop exaggerating the information to prevent misleading the public.

Me: are there any other measures that the police department is taking to ensure the complete ending of such scenarios?

Ass. Commissioner: yes, indeed. We have been conducting conferences teaching the officers of the meaning and need for justice for all. The training sessions also teach on the disadvantages of all injustices against the citizens, and they are informed of the punishment that awaits those that are guilty.

Me: what can you say is the impact of such training sessions?

Ass. Commissioner:  it have indeed worked, and we have noted a reduced number of such cases since the seminars began.

Me: that’s great — any last word to the officers at the senior and lower levels.

Ass. Commissioner: I would love to thank all those who have cooperated in ensuring that racial prejudice among them is ending and urge every officer to take personal responsibility to ensure justice for all.

Me: that’s good advice to the officers. And this takes us to the end of our interview. I am grateful once again for your time and cooperation, have a good day.

Ass. Commissioner: welcome Betty. Have a good day too. I am glad for being part of the interview.

It is undeniable that there exist cases of police harassment based on racial grounds. However, the media reports on its occurrence re a bit too much exaggerated when compared to the data in the police department. The department has been able to make specific measures to help curb the issue of racial based harassment. Such include punishing the officers who are found guilty and offering training sessions to preach against this form of injustice to some citizens. The measures have been effective for they have led to a reduction in cases of assaults based on racial grounds.

 

 

 

 

 

 

 

 

 

 

 

 

 

4

References

Rubin, H. J., & Rubin, I. S. (2005). Structuring the interview. Qualitative interviewing: The art    hearing data2, 129-151.

Smith, A. D. (2015). Fires in the Mirror. Anchor.

 

 

Artist Way Morning Pages

 

An artist requires portraying a creative mind at all times. The Artist Way, by Julia Cameroon, provides readers with insight regarding morning pages. Morning pages refer to notes written consciously in the morning regarding. The notes usually provoke, clarify, comfort, cajole, prioritize, and synchronize the writer’s day (Penguin Random House Network, 2016). Further, morning pages also act as a substitute for expression by members of the public (Dameron, 2018). During this week, I wrote three morning pages for four days. The experience was amazing since I viewed the world from a different perspective in each of these days. People get provoked to doing great things when provided opportunities for success (Tamir, 2016). The notes created an atmosphere that provoked my urge to achieve my daily dreams.

Further, I did my artist date on Friday, which happened to be the final day of my morning notes for the week. Julia Cameroon describes the artist day as the idea of engaging in activities that nourishes someone, once every week (Bard, 2013). During the artist day, I evaluated the notes and found that creativity was high and that the notes provoked me to achieve my daily goals. I sat down and evaluated whether my weekly goals were achieved despite the daily challenges. To make the activity more interesting, I involved my best friend, who happened to spend most of the time together throughout the week. The feeling was good and exciting since I found that most of my plans were accomplished. People feel happy after achieving their goals since they get satisfied with themselves (McGonigal, 2016). Among the tasks assigned, I walked with my friend to a sight-seeing expedition. In the process, I found that exploring nature was awesome, more than I expected. Interestingly, understanding nature was one of my goals for the week, as indicated in the morning notes.

References

Bard, E. (2013). 99 IDEAS TO BRING “PLAY” INTO YOUR LIFE: THE MAGIC OF “THE ARTIST DATE.” Retrieved from http://whereverthewindtakesme.com/2013/03/20/99-ideas-to-bring-play-into-your-life-via-the-artist-date/

Dameron, E. (2018). The Case Against Morning Pages. Retrieved from https://writingcooperative.com/the-case-against-morning-pages-84782e759cd2

McGonigal, K. (2016). The upside of stress: Why stress is good for you, and how to get good at it. Penguin.

Penguin Random House Network. (2016). The Artist’s Way Morning Pages Journal. Retrieved from https://www.penguinrandomhouse.com/books/349706/the-artists-way-morning-pages-journal-by-julia-cameron/9780143129417/

Tamir, M. (2016). Why do people regulate their emotions? A taxonomy of motives in emotion regulation. Personality and Social Psychology Review20(3), 199-222.

 

 

Kay Ryan

Kay Ryan, the sixteenth poet laureate of the United States of America, boasts to being a dynamic individual that incorporates a unique style of poetry writing that has captivated the interest of the reader worldwide.  The visually noticeable trait in most of her poetry is the shortness in length of the lines in her poems, which average between four to six syllables, and the overall shortness of her poems, which are not more than two pages. Spiegelman describes her work as “condense and expansive, razor-sharp and richly suggestive” (160), which indicates that despite the brevity in word use, the meaning is usually profound and rich in meaning. Fagan insists that her carefully calibrated words “create a heightened intimacy that encroaches stealthily on what is perhaps the most private of our own thoughts” (268).  Davis adds that her style of writing includes compressed syntax, hidden or internal rhymes and assonance which allows the reader to savor the beauty of the poem (278).  Ryan’s work is contemporary with a twist of medieval style writing as it is laced with bestiary which is an ancient form of poetry writing style (Davis, 279). In this essay Kay Ryan’s style of writing will be critically discussed through the analysis of her poems and the manifestation of her thematic focus prevalent throughout her writing.

Ryan’s poems are “lyrical and set up to solve problems or to consider ideas and often seem to follow Frost’s famous dictate to begin in delight and end in wisdom” (278).  When observing the poem “Tree Heart/True Heart”, one can identify the change in tone from the first few lines to the last few. In the first few lines the tone is almost neutral, without real indication of what the poem is about, but towards the end the wisdom of the poem is established when the subject of love is put into perspective when she mentions “… a real heart does not give way to spring” (Ryan, 12-14). Similarly in the poem “A Cat/A Future”, Ryan start the poem on a light note with the cat that “… can draw the blinds behind her eyes whenever she decides” (1-5). However, towards the end of the poem, the wisdom is shared when the cat and the future are likened to both be unobtrusively disconnected and yet present while “… still sitting there/doing nothing rude.” (10-11).  The poems are simple in text and a short read, however with the few words she manages to convey a thought provoking connotation that transcends the simplicity of the words positioned together.

A common theme amongst Ryan’s poems is the theme of nature marrying with human qualities or morality in the form of a figure of speech. She has a tendency to construct her poems with the figurative comparison of a natural component, whether animals, landscapes or plant, with abstract components of morality like thinking, grief, love and so forth. This is evident in the poem “Tree Heart/True Heart”, where trees and the season of spring are associated with the human quality of love, personifying the rings of a tree to the cycle of love and how every love-relationship cycle leaves a mark in you just like the rings in the bark of a tree. In “A Cat/A Future”, there is a simile between the cat and the concept of a future, which is an abstract phenomenon only acknowledged by humans. In Doubt, she uses the analogy of a hatching chick to metaphorically display the inadequacy of thinking negatively, once again using nature to convey a commonly human emotion. The link between nature and logic or human reasoning is a common theme used, which ultimately gives the reader a better perspective and understanding of the overall message she is transmitting in her poems.

“As a compendium of beasts, the medieval bestiary offered a natural history of animals usually accompanied by moral lesson, which in part addresses the animals characteristics” ( Davis 279). Ryan uses the ancient technique of bestiary in her writing to extract moral lessons from natural characteristics of animals and nature. She doesn’t only use the collaboration of nature and morals as a figure of speech but also to bring the reader to an understanding of a particular lesson. In the poem “A Cat/A Future”, she uses the cat’s unaltered eyes, even after putting the blinds behind her, as comparison to an imminent future, patiently waiting in the distance, inattentive, but present. It leaves room for the reader to contemplate her words in a personal way, bringing the reader to understand that the future is there, it is very much a reality but it is, for the time being, inactive. Ryan uses the same style in “Doubt” when she uses the hatching of an egg to put into perspective how doubt or pessimism can have negative outcomes on one with dreams. In the line “… doubt uses albumen at twice the rate of work…” (6-7), she indicates that the albumen is used by doubt to stop the egg from ever breaking through the shell of the egg, which in a moral lesson suggests that hardship acts as resistance to success and is fuelled by doubt if we let it gain power. The collaboration of nature and morals contribute to the unique contemporary style of writing, as it is a mixture of medieval style writing and unconventional brevity and simplistic wording that result in her interesting poems.

Figures of speech are very present in Ryan’s poems even with the brevity in words. She uses compressed syntax coupled with alliteration and assonance to further emphasize the poems. In “Tree Heart/True Heart” she uses assonance in the words “serially, annually, really, easily and willing”. The words placed in the middle of the sentences link the poem together and give the poem the illusion that the leaves of a tree are caught in a gentle breeze. “Doubt” re-creates the sound a chick makes with the constant repetition of the “ch” sound in the first three lines of the poem and similarly in “A Cat/A Future”, assonance is used with the words “behind, blinds, decides, eyes”.

Kay Ryan has translated her uniqueness in the form of literary art. She is unconventional and what seems to be a simple uncomplicated poem at face-value usually has a profound meaning that often leads to moral lessons masked by the simple wonders of nature.

Works Cited

Davis, Doris. “The Imaginative Nature of Kay Ryan’s Poetic Bestiary.” CEA Critic, vol. 77 no. 3, 2015, p. 278-283. Project MUSE,

Fagan, Deirdre. “Kay Ryan and Poetic Play.” CEA Critic, vol. 79 no. 3, 2017, p. 267-274. Project MUSEdoi:10.1353/cea.2017.0023.

Ryan, Kay. “Doubt”. Elephant Rocks. Grove Press, 1996, p2

Ryan, Kay. “A Cat/A Future”. Elephant Rocks. Grove Press, 1996, p56

Ryan, Kay. “ Tree Heart/True Heart”. The New Yorker. Available From: https://www.newyorker.com/magazine/2011/09/26/tree-hearttrue-heart, Accessed on: 21 November 2019

Spiegelman, Willard. “Kay Ryan’s Delicate Strength.” The Virginia Quarterly Review, vol. 88, no. 3, 2012, pp. 159–167. JSTOR, http://www.jstor.org/stable/26446847.

Drama Analysis

Introduction

            Drama is more like an extended version of epics and long poems. It is the preferred form where the stories are told through characters and stages. In fact, what makes drama as a form of literature is the liberty that it gives to the dramatist; the ideas can be presented over a vast horizon with endless possibilities to showcase the intuitions of human beings. These intuitions may be positive or negative but overall, they are entertaining enough to provide durable impact over the audience. In the context of dramatic art, William Shakespeare is the master playwright of all times. He has created some of the finest personalities that are certainly one of their own kinds. Known for his tragedies, Shakespeare has produced the complex psychologies of human beings through his tragic heroes like Hamlet and Macbeth.

If the above theory of complex psychology is applied to Hamlet, he tends to show how impacts of internal and external conflicts may result in the ultimate downfall of human beings. In spite of his belonging to the highest class of society, the tragic end to which, the hero advances in the play is quite a subject of analysis. Hamlet’s tragedy is ideal in the sense that his psychology is the outcome of the effects that he receives from the outer world in the form of external forces affecting his mentality. However, he is also internally responsible for the catastrophe that he meets with because he generalizes the events of the world without looking at the specific nature of the event i.e. he indulges in idealizing the happenings of the world instead of practically examining the gravity of situation.

Hamlet and his Grief: An Opening Account of Internal Conflicts

            At first, it is noteworthy in the context of Hamlet that Shakespeare has used the technique of human intuition to derive that desired tragic effect in the play. From the very first appearance of the protagonist in the play, the mood of the audience is set towards something ‘big to happen’ later. The audience is introduced to Hamlet in the Royal Court of Denmark, wearing the black, the dress of mourning. The context of his mourning and grief is given by Claudius, the new king of Denmark who has now taken over the throne after the so called ‘unnatural death’ of Hamlet’s father, the Sr. Hamlet. Claudius, Hamlet’s uncle has also married to Hamlet’s mother, Gertrude which he tells the courtiers in the opening speech.

However, a precise overview of Hamlet’s mentality shows that the source of his grief is not limited to his father’s untimely death only. Claudius suggests to him that he should leave his concerns behind and move on in life as he cannot remain in grief throughout his life. He questions Hamlet why ‘the clouds are still hanging on him’ (1.2.67). Hamlet’s reply shows that he is ‘quite under the sun’ (1.2.69). These two initial expressions show some sort of revelation that is upon Hamlet. The suggestions given by his uncle and by his mother work no further—they do not provide any positive effect on him. Instead, he is happy under his grief because his grievances for the world stem from the actions of his mother.

Moreover, he is not only puzzled by the death of his father, but also he is extremely disappointed by the sudden marriage of Claudius and Gertrude. The starting point, the opening appearance of Hamlet in the play, therefore, makes him someone emotionally vulnerable. In the same scene, his psychology is revealed when his mother questions that if his black dress is a common wear, why it ‘seems’ so particular with him. Hamlet’s vehement response to this concludes in the words, But I have that within which passes show, These but the trappings and the suits of woe” (1.2.88-89). Therefore, it is not merely a passing show for Hamlet to wear black dress; his mornings and inner frustration—which he cannot mention in court—is way bigger than the people in court think.

The same expressions from Hamlet are seen in his first soliloquy when he opens up his mind to the audience. His very existence in the world is not so valuable for him and he wishes if he could end his life before seeing the marriage of his uncle and his mother. His extremely negative psychology, a sort of permanent hatred, is seen in his generalized expression “frailty, thy name is woman” (1.2.150). It is definitely his anger and frustration towards the marriage of the two but he holds a generalized opinion towards entire female gender that they are weak and emotionally vulnerable. He criticizes the act of marriage of his mother by recalling the manner in which, she mourned the death of her husband. It is merely two months and she has forgotten everything, even the personality comparison (1.2.144). The disappointment and anger are the two most prominent emotions that audience views in the protagonist in the opening part of the play. The same feeling is responsible for the desired impact that ghost of Hamlet’s father produces to set the course of further tragedy in the play. The expression which Hamlet gives after discovering that his father’s ghost is wandering in the outskirts of the castle structures his possible alternative at psychological level, “My father’s spirit—in arms! All is not well. I doubt some foul play” (1.2.277-278)

The Appearance of Ghost and Antic Disposition: Formulation of Complex Psychology

            Later, the encounter of Hamlet with his father’s ghost serves the purpose of structuring the psychological tragedy of the protagonist. Hamlet is shocked to hear about his father’s ghost and decides to meet him. In this encounter, some shocking truths are revealed including the manner in which, Sr. Hamlet died. Because of his closeness to his father, Hamlet finds it very embarrassing that his uncle is not a worthy king. Instead, he is a killer and must be punished for killing his brother so unnaturally. The state of curiosity is too high to resist for him, Haste me to know’t, that I, with wings as swift, as meditation or the thoughts of love, May sweep to my revenge” (1.5. 35-37). The audience feels that the revenge will be done quickly because of the love that Hamlet holds to his father. But reality is quite different and interesting one (Firouzjaee & Pourkalhor, 2014).

Moreover, the encounter shows how Sr. Hamlet was killed and what he wishes from his son now. It is just the revenge that can satisfy the spirit now and Hamlet promises him the same but, however, the way he decides to avenge upon his father’s murder is peculiar. He decides to have antic disposition, a madness driven from emotions which would lead him to his revenge, How strange or odd some’er I bear myself (As I perchance hereafter shall think meet to put an antic disposition on)” (1.5.190-193). Now, there are different dimensions that lead to this critical thinking of Hamlet to be mad and behave strangely to take revenge. It simply delays the action but at the same time, it explains the psychology of Hamlet as a noble scholar who decides to verify the information that Ghost has provided (Sharma, 2017).

Moreover, there are possibilities that the ghost may be the outcome of his own emotional follies driven from the death of his father’s grief. So, it is advisable—as he thinks it—for him to be in the perfect frame of mind before moving on the path of revenge. At this point he mentions putting on “an antic disposition” (I.5 175), which signals he is only playing to be mad; therefore explaining his behaviour only by means of his lunacy seems insufficient. What is clear about this scene is that Hamlet wants to keep the secret of the Ghost to himself. He tells Horatio to mind his own business (though he is aware it offends him), for now he trusts the Ghost: “It is an honest [genuine] ghost, that let me tell you” (I.5 138), “There are more things in heaven and earth, Horatio, / Than are dreamt of in your [Protestant] philosophy” (I.5 169), “Yes, by Saint Patrick, but there is, Horatio” (I.5 136) – even if the cellarage scene was designed to convince Marcellus that the Ghost came from Hell, Hamlet does not believe that: the only place in Shakespeare’s England from which Hamlet’s departed father could have returned is Catholic Purgatory (anglistiku, fakultet & Zagrebu, 2015).

The overall first half of the play showcases Hamlet as a man of pure psychological instincts. He is like his father; he is dutiful, religious and belongs to the sexual purity species of human beings. He tries to carry forward the fate of his father and ensures that the same ideology of pure culture is adopted in his personality. However, this adoption of purity simply leads to his dejection and disappointment. He is unable to cope up with the practical living standards of the rest of the world, which makes him somewhat a person of his own kind. It is also the source of his grief and possibly, he applies madness to his behavior because he would not act of say things in sanity that he does in madness. In fact, Hamlet suffers from a mental paralysis after his encounter with ghost. He is in between the crossfire of conflicts, internal and external ones. The internal conflict emerges when he views the injustice done to his father (Bryan, 2015).

Additionally, the external conflict is driven on behalf of his mother, uncle, his beloved and on behalf of the madness that he owns willingly. The transformation of Hamlet from a great and noble scholar to a violent madman is simply the result of these conflicts. He is unable to manage the thought that the world around him is filled with wrongdoers and he has to adjust his character in between them. The approach that he takes to deal with the characters around him may sound wrong to some scholars but it is a part of his personality that he cannot resist. He would like to escape his inner conflicts by dying, but suicide is a sin and his disillusionment with Ophelia and the Mousetrap scene releases his anger, and he becomes capable of violence (Sharma, 2017).

 

The Aspect of Purity: Delay in Action of Revenge

            Further in the same context, Hamlet becomes able to show violence but there is purity involved in his violent acts. He is driven from self motifs to kill Claudius but he grants him life when Claudius is praying (3.3.40-44). It is right time, as per the neutral perspective, to take revenge of his father’s murder. But the glitch takes place at the time of Hamlet’s encounter with Claudius in this scene. Owing to his purity of soul, Hamlet does not find it apt to kill Claudius here. After the mousetrap incident, Hamlet has the entire motif and evidences against Claudius. However, he cannot permit his uncle to go to heaven because he is praying. His sins will be forgiven, if he dies while praying therefore; it is not the right time, as per Hamlet’s assumption, to kill his uncle, “And so he goes to heaven, and so am I revenged. That would be scanned: A villain kills my father, and for that, I, his sole son, do this same villain send to heaven. Why, this is hire and salary, not revenge” (3.3.79-84). There is a feeling in Hamlet’s perception, the feeling that leads him to ‘scan’ the process of revenge.

This scanning further results in the morality and ethics in his revenge. He is not the kind of person who believes in revenge by any means but by the means that make revenge ideally perfect to Claudius. It is nothing but the ethical purity of his personality that leads to delay in act of revenge. Hamlet is no longer interested in taking revenge in this scene, once he realizes that the act of killing here would make his uncle a saint. Therefore, he decides to kill him at the time when he is involved in some foul activities like incest or drinking. Hamlet is held responsible for all the delays that he causes in the act of revenge whether it is the adoption of antic disposition, mousetrap scene organization or leaving Claudius alone in the praying scene. He makes conditions too tough to handle towards the end of the play, resulting in his own death along with the accomplishment of revenge (Bryan, 2015).

Conclusion

            To conclude, Hamlet is one of the finest psychological tragedies that have been ever produced. Shakespeare makes Hamlet’s character as an ideal tragic hero on the grounds of his birth, noble thinking and having nature to generalize things as tragic flaw. His psychology is driven from perfected lens from which, he sees the follies of the world. This thinking leads him into various troubles and ends in tragedy. He is trapped in internal and external state of conflicts which are unavoidable and quite hard to manage at the same time, making him similar to a fine man victimized by his own thoughts.

 

 

 

 

 

 

 

 

 

 

 

Works Cited

Shakespeare, William. Hamlet: Prince of Denmark (Ed. Mowat & Werstine). N.d. Folger Shakespeare Library. https://www.folgerdigitaltexts.org/download/pdf/Ham.pdf

Dr. Sharma S. A Psychological Analysis of Major Shakespearean Tragedies. Pune Research: An International journal of English. 2017. http://puneresearch.com/media/data/issues/5a11b42c1a876.pdf

Apt, Bryan. A Wave of Destruction: Time’s Inexorable Effects in Hamlet and Macbeth. Master’s thesis, Harvard Extension School. 2015. https://dash.harvard.edu/bitstream/handle/1/24078347/APT-THESIS-2015.pdf?sequence=1&isAllowed=y

Odsjek za anglistiku, Filozofski fakultet & Sveučilište u Zagrebu. The Fantastic in Shakespeare: Hamlet and Macbeth. Listopad.  2015. http://darhiv.ffzg.unizg.hr/id/eprint/5728/1/The%20Fantastic%20in%20Shakespeare%20Hamlet%20and%20Macbeth.pdf

Hassan Abedi Firouzjaee & Dr.Omid Pourkalhor. Revisiting Shakespeare: A Study of Human Nature in Hamlet and Macbeth. International Journal of English Literature and Culture. 2014. https://www.academicresearchjournals.org/IJELC/PDF/2014/September/Firouzjaee%20and%20Pourkalhor.pdf

 

Case Brief – United States v. Bonds

Case Title: UNITED STATES v. BONDS

United States v. Bonds. United States Court of Appeals, Ninth Circuit. UNITED STATES of America, Plaintiff–Appellee, v. Barry Lamar BONDS, Defendant–Appellant. No. 11–10669. Decided: September 13, 2013.

Facts

Bonds, who was a son of a celebrity, was a famous basket-ball player. His father Bobby Bonds and his sponsor Willie Mays had always offered their incessant support towards Barry Bonds’ career. This support saw him compete successfully in major basketball leagues. However, towards the end of Bonds’ career, there was strong evidence of steroids usage in his physical form. This came at a time during which there was rampant distribution of performance enhancement drugs (PEDs) in the United States. As such, the US government launched an investigation into the possible supply of PEDs in order to bring the culprits and abusers to account. The main organization of focus during the investigations was the Bay Area Laboratory Cooperative (BALCO). In the course of the investigations, the federal government found some evidence linking Barry Bond’s coach, Mr. Greg Anderson, to the distribution of PEDs. In the evidence found, it was alleged that Mr. Greg Anderson mainly distributed the drugs to professional athletes, including Barry Bonds. In order to dig deeper into the circus, the alleged professional athletes, including Barry Bonds, were called upon to testify before a jury. When it was Bonds’ turn, he denied using or knowing anyone who used, or attempted to offer him, any PEDs. Based on the statements that Barry Bonds provided, he was convicted for having obstructed the factfinder’s effort to obtaining facts about the issue. Obstruction of justice is a legal offence punishable under the 18 U.S.C $ 1503 law.

In particular, Barry Bonds was convicted on the grounds of providing evasive statements. When Bonds was questioned on whether Mr. Greg had ever issued him with anything that required injection such as a syringe. However, in his response, Bonds made a statement that would later form the basis of his conviction. The statement proceeded as follows;

“You know, I am sorry, but that—you know, that—I was a celebrity child, not just in baseball by my own instincts. I became a celebrity child with a famous father. I just don’t get into other people’s business because of my father’s situation, you see.”

According to the jury, the question asked had nothing to do with Bonds’ background and upbringing. As such, it was concluded that he had introduced such information in order to divert the attention of the jury hence obstruct successful collection of information about the distribution and usage of PEDs.

Procedural History

Based on the evasive statement Bonds offered, the jury charged him for issuing false statements before a jury, which was a desecration of the 18 U.S.C. $ 1623 law. This law requires that a person should not issue any false statements knowingly before a grand jury. The grand jury also charged Bonds with one count of obstructing justice by issuing evasive statement, which is a violation of 18 U.S.C. $ 1503. The jury issued a statement that indicated that Bonds had corruptly attempted to influence, impede, and obstruct justice by intentionally providing false and evasive statements. Bonds appealed the case in which the courts dismissed the prior jury’s ruling on the grounds that the ruling was not based on strong evidence linking Mr. Anderson and Bonds to steroids usage and distribution. According to the courts, Mr. Bonds statements would only be considered ‘false and misleading’ if strong evidence had been found linking Mr. Anderson to the distribution of steroids distribution, and also linking Bonds to steroids usage. The Courts also indicated that the statement issued by Bonds was aimed at denying any association with the PEDs hence he (Bonds) did not deserve any conviction.

The plaintiff, United States, appealed the case in 2011. In this appeal, the jury found that Bonds Statement C was evasive and misleading. This was after the government dropped an allegation claiming that the statements were false. As such, the jury found Bonds guilty of obstructing justice under 18 U.S.C. $ 1503. Having been found guilty, Bonds was later sentenced to a 30-day home confinement with a two-year probation period. However, Bonds has appealed against the District Court’s ruling claiming several misinterpretations by courts. First, Bonds asserts that statement C could only be misleading if it contained false information. Additionally, the courts did not present strong evidence to link Bonds or Anderson to steroids use or distribution. Furthermore, he was not initially briefed on the law prohibiting obstruction of justice.

Issue

Should a person be convicted under clause 18 U.S.C. $ 1503 on the obstruction of justice if they issue indirect statements before a jury in response to the jury’s questions?

Analysis

First, Bond claims innocence by claiming that the courts should not have convicted him for providing an answer that diverged from the jury’s question. According to Bonds, provided the statement he issued was not false, the courts did not execute justice by executing him. Indeed, the statement that Bonds issued, that he was a celebrity’s child, was not false. However, the answer he was giving was not related to the question that he had been asked. Within jurisdictional terms, considering the sensitivity of the issue under investigation, the defendant may have deliberately made the statement in order to divert the attention of the jury and prevent it from collecting factual information relevant to the PED issue under investigation. As a consequence of Bonds’ statements, the jury would then have ended up making a wrong judgment about PEDs, Mr. Anderson, and professional athletes, including Bonds.

Additionally, evidence had sufficed directly linking Bonds to PEDs. According to a witness who had been a former trainer at Bonds club, there had been a conversation between himself and Bonds just before the commencement of the hearing. According to the witness, in their conversation, Bonds had clearly affirmed that he knew that Mr. Anderson was deeply involved in the distribution of steroids and other performance enhancement drugs. The witness further stated that Bonds had acknowledged knowing the exact tactics that Mr. Anderson used in order to prevent athletes who used steroids from being discovered. In an earlier statement before the jury, Bonds had however indicated that he had no knowledge of whether Anderson was involved in any PED business. Considering the evidence issued by the witness as well as evidence provided by other athletes linking Mr. Anderson and Bonds to PEDs usage and distribution, Bonds had issued a false statement. Additionally, Bonds and Anderson had a close professional relationship in such that if Anderson had been found guilty of engaging in PED business, then Bonds must have also taken part in the same business, either as a consumer or peddler, or both.

However, there are some statements that are non-evasive but obstructive. Such statements indirectly answer a question asked by the jury. Even though they provide an answer, such statements are obstructive in the sense that they tend to divert the attention of the jury from the main focus of investigation. For instance, a person is asked whether they drove past a certain gate at a particular time. They may decide to respond that they do not have any driving license, neither do they know how to drive. This statement indirectly implies that the person did not drive past the point of interest. However, the since the respondent did not offer a direct answer, they will have violated the 18 U.S.C. $ 1503 clause by diverting the attention of the jury towards driving licenses. Even though Bonds’ statement implied that he had never been given any form of injection by Anderson, was considered obstructive under the 18 U.S.C. $ 1503 clause.

However, Bonds argued that the plaintiff did not provide sufficient evidence proving that indeed the statement issued was obstructive. According to Bonds, the plaintiff did not provide any sufficient proof that he, the defendant, had intentionally crafted the statement in order to obstruct justice. However, according to the instructions issued by the Jury, it was necessary that United States prove that Bonds purposefully made the statement in order to divert the jury’s attention hence impede justice. United States had argued that Bonds had knowingly given a statement that was evasive and misleading. By providing information about his background, Bonds had the intention of preventing any further interrogation within the context of PEDs and Mr. Anderson. Additionally, in his appeal, Bonds did not directly challenge the provisions set by the jury.

Conclusion

Based on the case analysis conducted, it has been confirmed that the jury’s ruling was correct. This is because, Bonds statement was not only false but clearly violated the 18 U.S.C. $ 1503 clause. On the contrary, Bonds’ appeal is clearly unwarranted as his claims are not in direct alignment with the 18 U.S.C. $ 1503 clause.