Brand Management

A RESEARCH PROPOSAL ON MARKETING BRAND MANAGEMENT This proposal is about one particular aspect of marketing, â€Å"Brand Management†. Marketing is a vast discipline so as a part of writing this proposal; I chose one particular aspect of it, which will provide information about several aspects of brands in global scenario. The main objectives of writing this proposal are: 1. Understanding the concept of brand and brand management 2. How brand names get evolved 3. Relationship of brand management and marketing 4. Different issues regarding brands in global scenario 5.Branding challenges This is the age of marketing. Today the success of any organization depends on the level of its marketing ability. Marketing has gained a great deal of importance in modern organizations to achieve its goals. However the concept of marketing continue to change along with the changes in nature of competition and consumer demands. According to Kotler and Armstrong –â€Å" Marketing is a pro cess by which individuals and groups obtain what they need and want by creating and exchanging products and value with each other†. Marketing is like giving medicine to a patient. You can read also Portfolio Management QuizzesPatient identifies a problem within them and then the health personnel delivers specific medicine to cure the problem. Marketing is also the same. Customer has certain problems or feels some deficiency and marketing delivers them with the right product to deal with. Marketing is the process of communicating the value of a product or service to customers. Marketing might sometimes be interpreted, as the art of selling products, but sales is only one part of marketing. Actually â€Å"selling† is traditional of marketing and â€Å"marketing† is a modern form of selling.As the term â€Å"Marketing† may replace â€Å"Advertising† it is the overall strategy and function of promoting a product or service to the customer. The concept of marketing has changed over time. Previously, people preferred only production and selling as a part of marketing. But as the competition rose, they started valuing product quality, cust omer relationship, societal responsibilities as well as other supply chain participants. From a societal point of view, marketing is the link between a society’s material requirements and its economic patterns of response.Marketing satisfies these needs and wants through exchange processes and building long-term relationships. . Marketing can be looked at as an organizational function and a set of processes for creating, delivering and communicating value to customers, and managing customer relationships in ways that benefit the organisation and its shareholders Major concepts related with marketing can be outlined as: a. Studying consumer behavior b. Brand management c. Selling and sales management d. Managing market intermediaries e. Service marketing f.Identifying customer needs, wants, market segment and product positioning g. Distribution logistics and supply chain relationships h. Responsibilities towards society and customer In this proposal, we focus on one of the maj or aspect of marketing, Brand management. Branding has been around for centuries. The word â€Å"brand† is derived from the Old Norse brandr meaning â€Å"to burn. † Initially, branding was adopted to differentiate one person's cattle from another's by means of a distinctive symbol burned into the animal's skin with a hot iron stamp, and was subsequently used in business, marketing and advertising.A brand is the most valuable fixed asset of a Corporation. For any organization to make its identity in the market requires a specific domain name. It helps to get recognized in the market. Brand name gives identity and helps it get recognized differently in the market. A modern example of a brand is Coca Cola, which belongs to the Coca-Cola Company. Similarly, Harley Davidson, Apple, Samsung, Adidas, Nike, Britannia etc. are other examples of brand. According to American Marketing Association (AMA) –â€Å" A brand is a name, term, sign, symbol, or design, or a ombina tion of them, intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of competition. † BusinessDictionary. com describes brand management as the process of maintaining, improving, and upholding a brand so that the name is associated with positive results. Brand Management is actually the process of maintaining the value of brand and revising any associated entities as per the need of situation. It plays a crucial role in the success and failure of the organization. Why is brand an important aspect of modern marketing?The reasons are: 1. Means of identification as a unique name in the market 2. Means of legally protecting the unique features 3. Signal of quality level to customers 4. Base for competitive advantage 5. Increases level of awareness of the brand 6. Customers feel safe to negotiate with registered brands 7. Gives idea about product association 8. Brand is a promise made by the company to customer 9. It serv es as a means of advertising 10. It explains what the product is associated with Several companies put their brand names based on different variables.Some name their product on the basis of their owners. Honda motors were named after Soichiro Honda, Harley Davidson motors was found by combined efforts of William S. Harley, Arthur Davidson and Walter Davidson. TATA motors was named after Jamsedji Tata(JRD Tata), Adidas sports wear was named after Adi Dasler and Bajaj auto was named after Jamnalal Bajaj. Some have named the products after the name of places like Chevrolet Tahoe SUV, British Airways, Sanmiguel beer, hamburger named after â€Å"hamburg†, a place in Germany, Hindustan petroleums named after â€Å"Hindustan† meaning India and others.Brand names named after names of animals and birds are Dove soap, Mustang automobiles, Greuhound buses, Panther condoms and others. Brand names has always been an important aspect of marketing strategy. Organizations spend millio ns searching for a valid name for the organization. They make sure that the names suit to the product or service the company is offering. They too ensure that those names do not collide with brand of other organization. Eg: World Wide Fund (WWF) filed World Wrestling Federation (WWF) a legal suit for keeping a similar name. Due to this world wrestling federation had to change its name.Therefore choosing brand name is a very sensitive decision. For choosing a brand name, an organization has to follow given procedures: 1. Define objectives 2. Generate possible names 3. Screen initial candidates 4. Study the candidate names 5. Properly research final candidate 6. Select the final name Therefore to establish a strong brand, it has to take in consideration the following blocks of brand building: Resonance Resonance Imagery Imagery Feelings Feelings Salience Salience Performance Performance Judgements Judgements Fig: Brand Building Blocks Fig: Brand Building BlocksSalience is the level of awareness regarding the brand to the customers. It checks the ability of a customer to recall and recognize a particular brand or its logo, symbol, name. After the customer’s awareness is identified, it checks the performance of the brand regarding how reliable and durable the brand is. It also checks the serviceability i. e. ease of repairing the product if needed. After the performance is identified, it views the imagery aspect i. e. who uses the brand, conditions of use of the product, brand personality, values etc. It is the way the people think about a brand and is more concerned with intangible aspect.Brand judgments are customer’s personal opinions about the evaluations about the brand that consumers form by combining brand performance and imagery blocks. Customers judge the brand on the basis of quality, credibility and superiority. Another building block is feelings with the brand. They are customer’s emotional responses and reactions towards the brand . It checks what type of feeling they get by the use of the brand like feeling of warmth, fun, security, self respect, excitement status etc. Final brand building is resonance. It is the ultimate relationship with the brand.Resonance is measured in terms of intensity of psychological bond with the brand and the degree of loyalty towards the brand. Positioning aspect of brand In marketing, positioning is the process by which marketers try to create an image or identity in the minds of their target market for its product, brand, or organization. Brand positioning is at the heart of marketing strategy. It is the act of designing the company’s offers and image so that it occupies a distinct and valued place in the minds of target customers. As the name implies, positioning means finding proper location in the minds of customer.Any company cannot formulate its marketing strategy without positioning its brand in certain aspects. Positioning explains what the brand intends to provid e to the customer. It reveals what the product is related to. Brand positioning describes how a brand is different from its competitors and where, or how, it sits in a particular market. The company has to keep in mind that positioning should be clear, distinct and relevant. For example, Apple and Windows both are well known brand. Consumers are aware that they both are computer brands dealing in entertainment, but Apple stands for style, cool quotient, iPod etc. here as Windows stands for world class operating system, quality etc. Consumer can easily identify point of similarities and points of difference between the two brands. This process of creating point of similarities and points of difference in consumer’s mind is called Brand Positioning. Companies position their brands in different ways so as to create a distinct image in the market. They may position it on different bases like low price, high price, size, package, quality, gender, endurance, substitution and many o thers. Positioning of different brands: 1. Low price brand: Wal-Mart retail store . High price brand: Rolex, Mercedes Benz 3. Quality brand: IBM, Toyota, Motorola 4. Endurance: CEAT tyres, Land rover, Honda 5. Size: Nano car, Slim Motorola mobile 6. Gender: Gillette Razor, Axe perfumes, Fair ; Handsome for men Femine magazine, Avon cosmetics, Fair ; Lovely for women 7. Substitution: Sugar free Natura has placed itself as substitution for sugar and Eveready milk powder for liquid milk Similarly Coca-Cola has positioned as a cold drink useful in summer and there are many feelings associated with it and not only as a mere drink.On the other hand Pepsi has positioned as a cold drink for the young generations and Mountain Dew has presented its image as a drink for adventure loving customers. Sometimes, same positioning does not work out for the company in long run. It has to reposition and revitalize its brand over times either to revive or strengthen its brand. Different marketing strat egies, several research plans has to be worked out and sometimes-even management structure has to be changed in order to revalue the brand. There are several Brand reinforcement strategies that the organization can adopt overtime to cope with the changing situations.Some of them are: 1. Maintaining brand consistency: Brands should be able to provide a consistent image to occupy a shelf in the mind of customers. If not, it may fail in the market situation. For example Gateway computers applied various strategies and themes to extend the brand with mergers and portfolios. Due to this, customers confused with its positioning and its stock price reduced from USD100 to USD 3 in 2005. 2. Protecting sources of brand equity: Any organization should know its strength factor. It should identify its major source of brand equity to sustain in the market.At certain times, brand have to revitalize itself since there many forces acting in the market to rule out other brands. Companies might have t o adapt to following Brand Revitalization strategies to resurrect itself: 1. Expanding brand awareness: Brand awareness can be expanded through: a) Identify new usage opportunities Charles Revlon introduced nail polish not only as a matter of covering nails but as a match for dress, style sense and beauty. b) Identify completely new ways to use the brand Wrigley’s chewing gum introduced itself as not only a gum but as an alternative for smoking. 2. Improving brand image:Different ways of improving brand images are: a) Repositioning the brand Harley Davidson’s motorbikes were previously believed to be used by rowdies. The riders who rode Harley had some rough like character like long hairs, big muscular arms, and tattoos painted on their bodies and moustache and beards. Those made people perceive that only rowdies rode those motors. Later Harley Davidson relaunched itself as a bike for gentlemen leaving apart its previous image. Similarly Harley encouraged lady riders t o take the riders edge by introducing a poster of a lady rider with a tagline –â€Å"I am not a back rest†. b) Changing brand elementsKentucky Fried Chicken changed its name (brand element) to KFC (although, it is only short version of the full name) to perceive a healthier image. Also, Federal Express (a courier company) changed its name to FedEx to sound more professional. c) Entering new markets Brunswick Billiards introduced new strategy to pool market to enforce its sales targeting female customers. Initially wives would not approve the purchase of billiard board in their home as it was called a male type of game. Later it introduced elegant designs targeting design conscious women who would now purchase a pool table on aesthetics ground and a showpiece to room.Lets take an example of a company who adopted Brand revitalization strategy to resurrect its brand position after being at height at its low: Lacoste sportswear, founded in France, 1933 became a style icon by selling polo shirt featuring a crocodile logo in it. In 1980, when it was owned by General Mills (cereal makers), it failed to keep up with fashion trends and sales began to drop. Company cut prices and started to sell it to discounter’s like Kmart and Wal-Mart that further damaged brands image. Then in 2002, Robert Siegel, former Levi’s executive was appointed to oversee the brand in United States.He withdrew Lacoste products from all non-luxury stores and discounters. It regenerated its fashion trends by introducing tight fitting shirts for women that raised revenues of women wear from 7% to 33%. It opened own brand boutiques in fashionable shopping areas. Due to this, Lacoste’s US revenues rose more than 280% between 2003 and 2005. There are several challenges to products today sometimes because of the competition and sometimes due to the implementation of wrong product strategy. An organization has to keep in mind the nature of product and suitable market ing strategy.Marketing campaigns has to be launched depending upon what class of customer it is intending to serve, gender of customer, objectives of campaign whether it is market penetration or improving market share or survival mode. Appropriate strategy at the right time invites fortunes and mistimed marketing strategy might backfire the organization. Therefore right plan for the right brand is always critical. Marketing strategies for effective brand building 1. Selecting brand elements like name, logo, symbols, slogans, and packaging. 2.Adopting proper product strategy like achieving a satisfactory level of customers perception towards the quality of the product and relationship marketing 3. Adopting pricing strategy like improving consumers price perception towards the brand and relevant price setting 4. Promotion through marketing communication options and integrating marketing communication programs like advertising, direct selling, public relation, and trade promotion etc. 5. Leveraging secondary associations: brands may be linked to other entities that have their own knowledge structures in the mind of customers.When brands are linked to these entities customers assume that those characteristics that they hold about those entities also may be true with the brand. For example when Adidas brand was endorsed by tennis star Roger Federer (then No. 1 rank), then people who knew Federer as best tennis player also developed similar attitude towards the features of Adidas brand. There are certain strategies for building a strong brand. Some of them are: Licensing: Licensing creates contractual arrangements whereby firms can use names, logos, and characters of other brands to market their brands for some fixed fee.People pay fees to use popular names such as Harry potter, Spider-Man, SpongeBob, Angry Birds or any famous celebrity in their products so that they too gain popularity easily. For example, when you buy a copy of Microsoft Office you are not actuall y purchasing Office–you are entering into a license agreement that allows you to use the product under the specified terms and conditions they have outlined in the license agreement. Similarly designer such as Calvin Klein command large royalties for the right to use his name in variety of merchandise. Franchising:A franchise is a license issued to someone to operate a business using a common brand name, a common operating support system and involving the payment of initial and/or ongoing fees. A franchise also offers the franchisee with the ability to capitalize on the know-how and systems that have been proven to be successful. . Small-business owners pay companies for the rights to use their trademarks, services and products in return for support and company guidelines on how to run their particular businesses. Many industries have companies using the franchise model, including food, lodging and business services.For example McDonalds has over 75 percent of its worldwide r estaurants independently owned. Business owners can purchase a new or existing restaurant. An initial down payment is required, and the rest of the cost can be financed for up to seven years. During the terms of the franchise agreement, ongoing fees include rent and service fees. It is one of the world’s famous franchises. Some challenges in Brand Management: 1. Brand switching customers 2. Media fragmentation i. e. introduction of several medias for promotion that may lead to increase cost and cluttering of information 3. Increased competition 4. Growing need for customer concern . Sometimes socio-cultural issues also leads to create problems in brand management. For example nudity in advertising are strictly banned in South Asia. Due to this, advertisements of brands of apparels, innerwear, and lingerie may not produce the desired response. 6. Sometimes the brand name themselves may imply different meanings in several countries. Some of the global branding Mishaps are prese nted below: a. When Braniff translated a slogan touting its upholstery, â€Å"Fly Leather†, it came out in Spanish as â€Å"Fly Naked†. b. Coors put its slogan, â€Å"Turn it Loose†, into Spanish, where it was read as â€Å"Suffer from Diarrhea†. c.Chicken magnate Frank Perdue’s line, â€Å"It takes a tough man to make a tender chicken†, sounds much more interesting in Spanish: â€Å"It takes a sexually stimulated man to make a chicken affectionate†. d. Why Chevy Nova never sold well in Spanish-speaking countries: No Va means â€Å"It doesn’t go† in Spanish. e. When Pepsi started marketing its product in China, they translated their slogan, â€Å"Pepsi brings you back to life†, pretty literally. The slogan in Chinese meant â€Å"Pepsi Brings Your Ancestors Back From The Grave†. f. When Coca-Cola first shipped to China, they named the product something that when pronounced sounded like, â€Å"Coca-Cola†.The only problem was that the characters used meant, â€Å"Bite the wax tadpole†. They later changed to set of characters that mean â€Å"Happiness in the mouth†. g. A hair products company, Clairol introduced the â€Å"Mist Stick†, a curling iron, into Germany only to find out that Mist is slang for manure in German. h. When Gerber first started selling baby food in Africa, they used the same packaging as in the United States, with the cute baby on the label. Later they found out that in Africa, companies routinely put pictures on the label of what is inside because most people cant read. i.Japan’s Mitsubishi Motors had to rename its Pajero in Spanish-speaking countries because the term related to masturbation. j. Toyota Motor’s MR2 model dropped the number in France because the combination sounded like a French swearword. Here is a list of Top ten Brands in year 2012 1. Coca-Cola : It’s brand value raised by 9% than last year. Last year too it was Ranked as number one. 2. Apple : Despite Steve Jobs passed by, its brand value rose by 129% from last year. Last year it was at number eight. 3. IBM : It’s brand value rose by 8%. Last year it was at number two. 4.Google : It’s brand value rose by 26%. 5. Microsoft : It’s market value went down by 2%. Last year it was No. 3. 6. GE : General Electric’s brand value rose by 2%. last year, it was No. 5. 7. McDonald : It’s brand value rose by 13% than last year. 8. Intel : It’s brand value increased by 12%. 9. Samsung : It’s brand value rose to 40% from last year. 10. Toyota : It’s brand value rose to 9% from last year. Source: International Business Times. Conclusion In the above-mentioned information, we have seen that brand management is really an essential element in marketing.No company can thrive towards success if it is not able to choose the right branding strategy according to the market situation. Global compet ition has made it even more complex. Brand name is the one that identifies the company in the market and if not careful, brand name may be solely responsible for causing downfall of the company. I chose this topic, â€Å"Brand Management†, because in my Bachelors Degree, I studied Marketing as my course of specialization in last two semesters. I am very interested in studying marketing because it a dynamic subject and I like studying more about Companies, their Branding Strategies and the easons why they succeded or failed. I am very much interested to do the marketing course in my Masters Degree. This will give me more exposure to the complex business structure and as well as help me guide my career in this field. References Websites www. wikipedia. com www. google. com www. BusinessDictionary. com www. managementstudyguide. com www. whatis. com www. slideshare. com www. entreprenuer. com www. bigkerbang. com www. internationalbusinesstimes. com Books Strategic Brand Managem ent, Keller, Kevin Lane Fundamentals of Marketing, Agrawal, Dr. Govind Ram

Popeyes vs Kentucky Fried Chicken Essay

Popeyes: To be the world’s best quick service restaurant. Being the best means providing outstanding quality service, cleanliness, and value, so that makes every customer in every restaurant smile. SWOT Analysis: Strengths: The strength of Popeyes is based on its distinctive brand and style of Louisiana spicy chickens that it provides on its menu along with its chicken sandwiches, chicken tenders, fried shrimps and other seafood, jambalaya, red beans and rice and other regional items. Popeyes is a highly differentiated brand with passion for its New Orleans heritage n flavorful authentic foods. Weakness: Popeyes is second to its sister company KFC. About 90% of their domestic restaurants are concentrated in Tennessee and Louisiana. Most of their restaurants are located in heavily populated African-American neighborhoods; giving them higher chances of being robbed and giving them a higher close-out outlook. Opportunities: Popeyes serves the food that the world craves and is continuing to expand its global reach. Popeyes operates and franchises 1,977 restaurants in 45 states and 26 foreign countries and out of the 1,977 restaurants 1,542 of them are domestic franchise restaurants and 397 of them are international franchises. Approximately 55% of the international franchises are located in South Korea, Canada and Turkey. Threats: Most of Popeyes’ locations can be founded in urban neighborhoods. The local competition on neighborhood fried chicken restaurant offer lower price to Popeyes’ corporate pricing. There are poor customer base in certain areas and natural disasters. The SWOT analysis for the future of Popeyes looks to be great. Due to more consumer wanting the taste and feel of â€Å"southern hospitality† style food, many franchises are starting to pop up in many neighborhoods across America and internationally. When it comes to the marketing aspect of Popeyes, the company markets itself to a non-southern resident base that has always wanted to experience the idea of â€Å"southern hospitality†. Popeyes goes with the idea of being â€Å"Louisiana Fresh and Bonafide Fried Chicken†. With its combination of southern spices, herbs and regional foods on its menu; Popeyes brings the flavors of Louisiana to your taste buds. The advantage that Popeyes have over their competition is that they cater to a more diverse and international customer base. They offer and have both domestic and international franchising if an individual domestic or foreign wanted to franchise a Popeyes location. Their international franchising extends as far as South Korea. It is owned and operated by Yum Brands; the same company that owns and operate KFC, Taco Bell and Pizza Hut. One distinct advantage is that all Popeyes franchises do not share the same building as you see a Pizza Hut and a Taco Bell or a KFC and a Taco Bell. One major improvement that I feel Popeyes should improve upon is its domestic in minority based neighborhood for the safety of its employees and monetary losses and its minority base advertisement concept. They should appeal to all neighborhoods and advertise to the appeasement of all. Popeyes sells chicken so their â€Å"target market† is anybody who likes chicken. So to make it more sensible, their target markets are young, single individuals, married couples and families and older citizens who do not time at home to be in the kitchen at all times. Their age group goes as low as five and as high as 65. You can now see Popeyes in all sort of neighborhoods: Black, White, Hispanic and Asians just to name a few. If you ever work in a Popeyes, you will see the diversity of the people who like fried chicken. The opportunity for growth in this target market is great. Because as the current market ages, they are still going to be consumers of the same products as they have been and will encourage those that they bring along to be consumer of the same products as well. One obstacle they should be concerned about as a company on the rise is â€Å"disinterest† due to the lack of creativity if they do not become more imaginative and creative. As a human, the mind gets boring after doing and having the same thing over and over. They should also be concerned of a stiffer competition market from their competitors. Everybody wants to be the number one brand that is preferred but it is the company who is always thinking ahead and calculating risk and rewards to be the preferred brand that stays the preferred brand. Kentucky Fried Chicken (KFC): The Kentucky Fred Chicken mission statement is â€Å"To sell fast food in a fast, friendly environment that appeal to pride conscious, health minded consumers†. Vision Statement: Food, Fun & Festival, this is what KFC is all about. Leading the market since its inception, KFC provides the ultimate chicken meals for a Chicken Loving Nation. Be it Colonel Sanders secret original Recipe Chicken or Hot & Spicy Version, every bite brings YUM on our face. At KFC we can proudly say, â€Å"We Do Chicken right†. SWOT Analysis:  Strengths: Kentucky Fried Chicken is a very famous chain of quick-service chicken restaurant that started from Louisville, Kentucky. The company is became a sub-brand of Yum Brands in the year 2002 and benefitted greatly from the position and brand value of Yum foods. In the past, KFC chain of restaurants grew at a very fast pace and has become today one of the largest chicken restaurants chain in the world. KFC has been known to be an innovator in the chicken restaurant segment with an annual sale of more than a billion dollars. The KFC as a brand is well established in the dining out as well as delivery service provider in the fast food industry. Despite the entrance and presence of many competitors in the fast food industry the company was able to retain its large loyal customer base because of its unique offering. Due to this reason the KFC ranks highest when it comes to chicken restaurant chains, convenience restaurants and variety food provider. KFC currently has more than fifty percent of the market share in fast food industry and the new competitions are finding it very difficult to capture any of its share. Over the years KFC has gained great recognition as a reputable brand for fast food even after the death of Col. Sanders and has globally positioned itself well in the industry. Weaknesses: When other companies in the chicken industry were trying to increase its market share; KFC were not able to compete well in the market or retain its customers. Also the special paper buckets that is now used by the KFC for delivering large sized orders was originally introduced by Wendy’s restaurant. The company has entered so many markets in the past in the United States that its growth rate was about only one percent a year. KFC has said not to pay attention to its resource and development. Opportunities: KFC has been trying to enter new markets and position itself in some of the hard to enter markets like South America. With more investments; the company can definitely make its position stronger in the food industry. More spending on the resources and development as well as introducing new food items and products KFC can increase its market share and profits. Threats: The competitors of KFC have successfully captured a large market share. According to findings McDonalds has about 35 percent of the share in Sandwich Segment whereas the Burger King owns about sixteen percent of the market share in fast food industry. The local restaurants in different countries where KFC has presence pose a threat to the company. The baby boomers formed the major part of the loyal customers of the company that now have ages between 35 to 50 years and are likely to move towards healthier foods. The other competitors in the industry are continuously improving and trying to enter new markets and increase their market share and sales. With the lifestyle of people changing due to growing awareness about healthier food people now look for something healthy, low calories and delicious at the same time. KFC as a company is doing well in its global positions and how it is the number one preferred brand in the â€Å"quick-service chicken† restaurant industry. KFC and more accurately, owners of KFC, Yum! Brands Inc. is the foreign company with the largest presence in China. KFC dominates the fast food market in China and is well over twice as large as McDonald’s there. KFC implemented a better strategy than McDonald’s in China. While McDonald’s tried to stay true to their menu and kept their product offering in China somewhat similar to what the rest of the world knows (burgers and fries); KFC incorporated local dishes with their famous fried chicken. They also looked more to local employees to make big decisions instead of just taking their instructions from the U. S. headquarters. This allowed KFC to enter the hearts, minds and stomachs of more Chinese people. KFC have many advantages over their competitors in terms of production, innovation, and ways of appealing to the satisfaction of their target market. Since its introduction into the American way of life, KFC has managed to always keep its original startups but yet adding new favorable additions to suit the needs of each generation. KFC provides a quick and easy meal. It can also be bought in large amounts. KFC can improve on its customer service at certain locations. Even though its mostly a franchising based company but yet the franchisee should take it upon themselves to train better and better equip their franchises to hand the demands of their negative aspects of their stores. The interesting area for growth with KFC is in its international markets. If KFC can take the same approach that it took when it franchised in China, the results will be more international investments from different individuals who see the opportunity as a way to invest in something new. With being the number one international â€Å"quick-service chicken† restaurant, there can instances where language barrier can play a factor in transitioning into the newer markets. And also they should be concerned with the pricing they implement in those new markets that they explore as well.

Experiment on Animal Should Be Stopped

The issue on whether we should allow or not in Experimenting animals has been widely debated in our community recently. It is an important issue because it concerns misunderstanding and misleading data. Varity of different argument have been put forward about this issue but it is strongly agreed by most of the community that experiment on animals should be stopped.Scientist researches say that animal testing is the future to finding cures and helps them figure out what will work and not work on humans. Hence, it can help find cures faster and prevent more human death. Although some people believe that is true; I, therefore have different opinion. Reading through articles from different doctors made me realize that using animals in medical area hasn’t helped humans as what people think it has. In fact, their systems are not anything like ours.First and simplest statement is that animal experiments provide misleading data. At best, they tell us a good deal about how animals expe rience disease, but they rarely tell us something of value that can be applied to humans and it provides additional data, but not a higher level of accuracy. Another statement is that animal tests do not accurately predict how dangerous a drug will be in humans. In other words, drug tests on animals do not protect humans from harmful medications.It is hard to believe that after the horrible instances which have occurred, that they would continually use this procedure. Especially where it does no good, and harms defenseless animals as well. In addition to that, an animal virus can be 99. 9% similar to its analog in humans and still be completely different. To sum up, animal testing isn't helping us progress and if anything it is slowing us down. This, it is not necessary, nor helpful to continue to practice our medicines ; questions on helpless animals.

Business report Essay Example | Topics and Well Written Essays - 500 words

Business report - Essay Example As for printing, the companys range of activities range from printing of flyers and insert; catalogues, books, financials; its printing plant in North America, as well as key accounts such as SFC, the New York Times, G&M, Metro and others (Transcontinental, Inc 2008). Transcontinental, Inc. offers marketing products and services that range from direct marketing, website development, database analytics, and fulfillment mailing (Transcontinental, Inc 2008). II. Describe its domestic and global operations, including sales or revenue generated in each geographic area and the corresponding percentage generated in each geographic area (e.g., by country, region, economic community, etc.) In 2008, Transcontinental, Inc. has a reported revenues amounting to $2,429.3 million (Transcontinental, Inc 2008). Of this, $2051.8 million or 84.86% represents the companys operations in Canada. 75.61% of this sales, or $1,836.8 million are sales within Canada, while 8.85% represents exports. The remaining 15.54% represents sales in the United States and Mexico (Transcontinental, Inc 2008). Transcontinental, Inc. has three strategic business units—marketing services, publishing and printing. According to the companys annual report, in 2008, the companys marketing services has reaped an amount of $1,252.2 million in sales; the publishing has $647.5 million ; and $624 million for printing (Transcontinental, Inc 2008). In 2007, the companys sales from its marketing services strategic business unit amounts to $1150.1 million, with $634.7 million in printing and $633.5 million in publishing (Transcontinental, Inc 2008). Transcontinental, Inc. has posted $2,282.3 million in its revenues in 2006; where its marketing services amount to $1082.2 million, its printing has earned $714.7 million, and its publishing business unit has reaped $579.8 million. In 2006, the company has earned a net

Prominent economist Essay Example | Topics and Well Written Essays - 250 words

Prominent economist - Essay Example Ken went ahead to prove the existence of the theory in a practical aspect coming up with critical theorems. He did proof the existence of the theorem. Most significantly, he came up with the social choice theory, while in his PHD research he came up with the Arrow impossibility theorem. In essence, his research in health care economics revealed startling results, with close relation to insurance, its market value, and marginal share costs (Pauly, 2001). Most significantly, his distinguished position as a professor in Stanford Operations Research Department gave him more energy to provision of solutions to linear programming. As a mathematical economist, he came up with diverse policies with different implications in the economic field. He did oppose the governmental urge to support the ushering in the supersonic passenger plane. He has been the chairperson of national Institute of Medicine committees, whose core aim is to advocate for affordable malarial treatments in Asian and African countries. Essentially, his articles and published works are reckoned all over. He has over a hundred articles, twenty-two books as an author or co-author, an editor to 24 books, done forty-one non-technical articles and overwhelming 226 research publications. With the summed up achievements, it is no doubt that Kenneth remains an icon and a hero in the economics

Current Event-Licensing Agreement Essay Example | Topics and Well Written Essays - 250 words

Current Event-Licensing Agreement - Essay Example The deal fits well into the objectives of each of the parties involved, and this may mean that the parties carefully looked into what benefits they will accrue from such an agreement before signing. Kate Spade & Co is seeking to use Fossil’s extensive networks to expand its operations to a global scale, meet growing demands and increase its profit margins. On the other hand, Fossil Global Inc is excited to add and represent Kate Spade & Co to its already envious portfolio. Looking back, Fossil Global has successfully entered into huge deals before. They have signed agreements with popular, successful brands such as Giorgio Armani and Michael Kors, both of which recently renewed their agreements for another ten year period. Fossil Global also handles the design, production and distribution of accessories for its portfolio of clients and takes off this load from the clients. Also with Fossil Global’s large distribution channel spanning competitively over 150 countries, Kate Spade & Co headache of creating their distribution points across the globe will reduce. I strongly believe that this partnership is worth undertaking despite the currency dip challenges that faced Fossil Global in the last quarter of their financial year. This type of partnership is a perfect example of a huge risk huge returns opportunity. The deal involves known and unknown risks as well as assumptions and uncertainties, some of which are outside the parties’ control. Using past experiences, Fossil Global Inc has signed other such agreements with huge and reputable brands including the American sportswear brand, Tory Burch and have come out successful in the end. When I look at the agreement, the ten-year period provides the parties involved with sufficient time to gather enough information to make informed decisions on whether the partnership is worthwhile or

Indian Cuisine Research Paper Example | Topics and Well Written Essays - 1750 words

Indian Cuisine - Research Paper Example Although India is famous for its spices, some of its most important spices, including a few that are fundamental not only to cuisine but also to local healing traditions, are exotic. They include turmeric, garlic, ginger, fenugreek, asafetida, and cinnamon. Certain cultural perspectives contribute to India’s diversity and uniqueness in the matter of food (Nandy, 11). Contemporary forces of international business integration have picked up the themes of food as a social rite and food as health. This is to reorganize and formalize the cuisines of all nations in relation to the global needs (9). These advances have stimulated subtle transformations in the cultural features and significance of Indian cuisines. These changes take place regularly outside the array of vision of ethnographers, journalists and nutritionists writing on food or restaurants. Moreover, the conventional ethnographic concerns of food have fused now with a modern, more fluid politics of food in India. These ethnographic concerns of food include the uncontaminated and the impure, commensality and its absence, the cooked and the raw as well as the sanctified and the sacrilegious (Nandy, 10). Unique aspects of the Indian cuisine There are strict rules governing good eating habits in India. One is only allowed to use the right hand during eating. In addition, the palm of the hand should remain dry and clean as only the fingers are used. It considered a poor form of eating to let curry to dribble down the arm. It is right to use the right hand to tear off the pieces of chapatti and wrap them around vegetables and pickles, or use them to scoop curry into one's mouth. Mostly, when one mixes rice with other food, he uses the fingers to eat. Although some people will use a spoon for the accompanying curry, it is not the norm since service of most meals does not include any cutlery. The main use of the left hand is to drink water, to wave away the flies or to help oneself to more food. There is no more use of the right hand after one has started eating because that would be polluting the food everyone will serve from the common pot (Dandekar, 41). India is popular for spices an d herbs, and this greatly contributes to the choice of spices to use during cooking. Most of these spices are chosen mainly because of their medicinal values rather than for flavor. Many of them aid in digestion while others are antiseptic. In addition, most of these spices used in Indian food do not make the food too bland (3). On the other hand, these spices give trace amounts of antioxidants or other chemicals that help in digestion. Others act as effective mouth fresheners that prevent heartburn, curb nausea and help in digestion (Dubey, 4). The most common spice in India especially the southern region is Cumin. In addition, there is use of fruits, which are fried or dry-roasted before usage. Cumin fried in ghee usually flavor the seeds form a crucial part of curry powder and legumes particularly lentils by. The mixture of cumin is set up to savor its sweet and aromatic flavor (Kumar, 49). In recent decades, the South Indian food creations like vada, uthappam, dosai and idli hav e partially outdone the colonial fast food preparations in popularity. In fact, when one talks about Indian fast food, these are the food items that first come to one’

The history and perceptions of the secession crisis Research Paper

The history and perceptions of the secession crisis - Research Paper Example The conflict between Northern and Southern politicians was brought about by the massive western territories acquired by the United States in 1848 through the peace agreement with Mexico (Bartkus 1999).Southerners petitioned for the freedom to bring slavery into the newly acquired territories if the circumstances allowed lucrative ventures; Northerners demanded slavery clearly and completely abolished (Reynolds 1970). As stated by Huston (2000), the dispute had been raised by David Wilmot in 1846, yet it only reached an agreement in 1850 when the different sections of the Compromise of 1850 were ratified in Congress. Following the congressional resolution is the electoral affirmation that this agreement was definitely amenable (Crofts 1989). The congressional elections in the 1850 spurred Democratic wins of the compromise procedures in the North, which were eventually clearly reconfirmed in the 1852 presidential election (Wakelyn 1996). The reaction of the South to the Compromise was dissimilar. States in the upper South, namely, Delaware, Missouri, Maryland, Arkansas, Tennessee, Virginia, Kentucky, and North Carolina, willingly agreed to the actions taken by Congress; however, states in the lower South, namely, Mississippi, Alabama, Georgia, and South Carolina initiated a large-scale controversy about secession (Barnwell 1982). In 1850, particularly in the gubernatorial and congressional elections as well as in state conventions, the Southern states that agreed to the Compromise of 1850 largely succeed ... rther, according to Huston (2000), for a number of historians, the major concern, and hence the core of their interest, was the secession debate, not the debate over union, and the common assumption has been that the cotton-dependent Southerners refuted secession as a remedy to the suspected Northern incursions on the constitutional rights of the South. Few recognize the attempt of Southern unionists to mitigate the secession conflict in 1850 (Wakelyn 1996). The Southern States Rights, those supporting either provisional or immediate secession, have gained most of the attention. The victors of the elections in the state of the Deep South, the Constitutional Unionists or the unionists, have been given very little emphasis (Wakelyn 1996). It is not occasionally claimed, specifically by scholars of the nineteenth century, that the winners did not only enjoy the rewards, they also gained much of the historians’ interest (Barnwell 1982), and history is thus presented from the stand point of the victors. Basically, fury over the compromise stemmed mostly from Mississippi, Alabama, Georgia, and South Carolina. South Carolina, in particular, was willing to secede but demanded for the secession of the other states as well (Coppieters & Sakwa 2003). Governor Whitemarsh Seabrook had been given advise that other states harbor low judgments of the emotional security and intentions of South Carolina policymakers that if the state decided to act prematurely, other states would refuse to follow (Wakelyn 1996). George W. Towns, the governor of Georgia, requested to the state legislature in September 1850 the permission for a special election to commission representatives to a state conference to give opinion on the Compromise procedures (Huston 2000). John A. Quitman, the expansionist

Create advertising development Essay Example | Topics and Well Written Essays - 4250 words

Create advertising development - Essay Example Again, millions of people in the world today are enjoying an exceptionally wide range of products offered by Unilever in all segments of retail from food to cleaning materials. The final executing materials form the online advertisements shows that Lipton is one of the largest refreshments brands in the world. It delivers the best in the sell of tea brands and currently is available in more than hundred countries (Blanchard and Ben 2012). This shows that it is one of the leading companies in the world. Lipton offers an array of tea based drinks from tealeaf bags and Lipton ice tea soft drinks. Critical evaluation of the rain forest alliance certified tea farms shows that there is a commitment of sustainability where by Lipton tea bags come from rainforest alliance certified farms by the year 2015. This means that there is an assurance of tea which is sourced from farms which respect good conservation practices and payments on fair wages to the labor as far as harvesting is concerned. Consideration to this information is that it offers a wide range of tea products with different tastes, options and preference and still on the same; the product focuses on innovation on strong brands. Lipton aims to have all the tea sold in turkey by 2018 which is fifth largest producer of tea in the world, and it will be sourced from accredited farms. The above information is gotten from online because I wanted to know the current and clear information about Unilever brand. Presently, the target products on mass markets are generally positioned in the middle of the tea price. Most of branded teas of Lipton’s are bled and selected from many different plantations around the world like Kenya and china which are well known countries producers. Critical evaluation of initial searches for information shows that Lipton global market shares outstanding brand available in 110 countries (Porters et al 2004.

Anne Ingram, Viscountess Ingram's Ideas about women in An Epistle to Essay

Anne Ingram, Viscountess Ingram's Ideas about women in An Epistle to Mr. Pope - Essay Example Pope, at the time of Anne Ingram, was thought to hold these misogynistic views. He happened to have written many poems which depicted a woman in quite an inferior position and at times exalting the pope’s stature in relation to women. In her illustration, she turns the tables for the pope and ends up using his own verse technique and other principles that he held against him. As we can see in numerous couplets written by Pope, there are very sharp contrasts between the characters of men and those of women. However, in her writing, Ingram uses the form of couplet in placing huge emphasis on what the female and male gender do possess in common. In her argument, Ingram states clearly that there is not much difference, if any, since both man and woman desire to have one thing, which is common: love of power, and that this motivates both male and female sexes. Interestingly, Ingram chooses to use a positivist kind of model, in which she blatantly addresses Mr. Pope as an equal with little regard to his own perceived stature, in a verse similar to the ones he uses. The most exhilarating thing that comes out clearly in her poem is the fact that she proves similar modes of thinking inherent in both man and woman. They bo th simply think alike (Ingram 2604 -2607). She introduces her poem with a very harsh snarl†¦Ã¢â‚¬ Pernicious dwarf! The malice of thy tongue†Ã¢â‚¬ ¦.. This is truly a serious dent on the pope’s character. It shows the kind of hard feelings Ingram had for the pope following his character and writings against women. It demeans his thoughts and talk. When we look at the second line of her poem, we find an insight into the future. In her thinking, she argues that if the pope were to live in a different era, such a demeaning character would definitely see him executed. This she attributes to the ill rhymes the pope writes with what she considers as his ‘poison pen’! Ingram reads nothing from this more than the pope revealing himself as the very most miserable person among all men (Ingram 2604 -2607). Feminism and enlightenment ideas about women are fully expressed by Ingram. She spoke her mind with full authority and wit, something not characteristic of wo men at her time. She does foreshadow Wollstonecraft’s concept of having a complete education and she further asserts that when it comes to intellect, men and women have no difference. Thus, in â€Å"An Epistle to Mr. Pope† she says: †¦Ã¢â‚¬â„¢tis the same principle impels them both†¦. †¦what makes the difference then you may inquire†¦ †¦in education all the difference lies†¦ †¦.women, if taught, would be as bold and wise†¦Ã¢â‚¬  She challenges the patriarchal authority and Ingram asserts herself with expression of certain opinions she has over women in society. She thinks that women need to be treated with dignity and appreciated just like men. Her despise for poor treatment of ladies is seen when she says that pope admired Lady Mary yet when she returned, he treated her contrary to what was expected. And since then, the way Mary is referred to have always been †¦Ã¢â‚¬ disgraceful, venomous, and quite obscene†Ã¢â‚¬ ¦ . Ingram holds that pope fail to put into account the fact that women have a different mode of socialization when compared to men. In her argument defending women, she argues that it is not true to say women are empty vessels with no mind of their own. She

Risk Assessment Plan Term Paper Example | Topics and Well Written Essays - 1000 words

Risk Assessment Plan - Term Paper Example At one end are the patents and trademarks, which are legally protected and formally recorded. What follows is the knowledge incorporated in formal process and software. There is also the knowledge found in instructions, manuals, as well as other written sources. At the other end is the unwritten knowledge that is enshrined in the way people do the way they do. The risks associated with this category of capital includes: weak and inconsistent work process, inadequate documentation and diffusion of knowledge, and inadequate protection of proprietary knowledge. ii. Human capital Human capital includes all people that work in SunnyVille. The key risks associated with human capital includes: failure to create a culture that values learning and accepts change, inconsistent dissemination across the company and insufficiency of skills levels, and vulnerability to and probability of key staff and management turnover. iii. Relationship capital. Relationship capital includes customer relationsh ips, external network of vendors, partnerships, and outsourced services among many others. The key risks associated with this category of capital include the: threats to the brand, relationship loyalty to individuals, and vulnerability, and probability to partner defections or customers. iv. Business recipe This is the company’s strategy, because the appropriate strategy is an asset. The key risks associated with business recipes include the: exposure to economic cycles, potential substitutes, and threats of new competitors. Project Scope Statement During SunnyVille’s recent IT audit, the final report mentioned that the company’s risk assessment needs greater detail, the IT policies are inadequate, and the overall management of risk itself is unsubstantiated with little oversight from the board of directors. Following these observations, the risk assessment team met on June 10, 2013 to review the scope of risk assessment to be conducted in order to deliberate on how address the problems identified during the audit. The team reviewed the entire risk structure of the company, with strong emphasis being paid on IT policies, intangible risks, as well as the role of board of directors in mitigating risks. The findings of these assessments, reviews, and audit were used to develop risk assessment scope statement. On June 13, 201, SunnyVille’s staff conducted the risk assessment. The aim of this process was to identify threats that could have contributed to the issues raised following the audit. Different stakeholders, including the employees and board of directors were involved in the process of risk assessment. Qualitative/Quantitative Risk Analysis A quantitative method can be used for the risk analysis, whereby the risk will be presented using a variety of scales or through the financial extent as forecasted amount of losses associated with different types of risks (Szczepankiewicz & Szczepankiewicz, 2006). This method will rely on the available data; though where data is not available qualitative approach can be used. For the purpose of setting values, definition of the information will be done in order to ensure proper achievement of different business processes and their relevance for functioning of the company’s units and as a result the whole company (Galach, 2004). There are many Qualitative approaches to risk analysis, including NIST 800-30, CRAMM,

The Integration of African-American in Competitive Basketball Essay Example for Free

The Integration of African-American in Competitive Basketball Essay Basketball was invented by the Canadian-American physician, educator, and clergyman James Naismith in December 1891, who was then an instructor at the Young Men’s Christian Association Training School in Springfield, Massachusetts. The game of basketball being played by both men and women rapidly spread around America and Canada, as well as in other parts of the world. Because of its attractiveness as an informal outdoor game, servicemen of the United States all through the World War II played and introduced the sport in numerous countries. Between 1893 and 1895, many colleges in the United States adopted the game, and for the first time in 1934, college games were played in New York City’s Madison Square Garden, therefore attracting much interest in college basketball. By the 1950s, basketball had developed into a major college sport, leading the way for the escalation of interest in and, consequently, development of professional basketball in 1898 by the National Basketball League. By 1960s, professional teams from every State played before millions of crowds annually. Since the 1980s the National Basketball Association, successor of the NBL, has become one of the most well-liked sports organizations in the world, relatively on account of the marketability of several remarkable star players, most notably the African-American descents like Michael Jordan, Kobe Bryant and Lebron James. Discrimination of African-American in College Basketball Leagues During the late 19th and early 20th centuries, competitive sports were greatly recognized in the United States. Although basketball, unlike in baseball, hockey, and football, was an urban sport played by a diverse population on every level, African-American players were excluded (Parks, Quarterman, Thibault, 2007, p. 99). Because of the popularity of basketball, the American Basketball Association was organized in 1925 and as expected no African-Americans were allowed to join. The case was also true for the Basketball Association of America, which was organized in 1946. Up until 1950, universities and colleges, mainly in the South side of the United States, were prohibited to have a team sport composed of black and white players in view of the Jim Crow Laws. Nevertheless, a number of predominant white universities in the North side of the country did utilize African-Americans on their basketball teams. Some examples were William King of Long Island University, Lawrence Bleach of Detroit University, and Ben Franklin and Bob Yancy of Boston University. Jim Crow Laws Throughout the 1870s and 1880s, in the South side of the United States, it was not unusual for whites and blacks to make use of the same public facilities. However, Supreme Court decisions started to strip away the accomplishments of the Reconstruction movement. Following the American Civil War, most States in South passed state and local anti-African legislation, which were eventually recognized as Jim Crow laws. This included laws that discriminated against African-Americans with regards to public schools attendance and the use of facilities such as public baths, cinemas, hotels, theaters and restaurants. Jim Crow was more than a series of unyielding anti-Black laws, as it was at the time considered a lifestyle. Eventually, however, in 1954 in Brown v. Board of Education case, the Supreme Court of the United States declared State-sponsored school segregation as unconstitutional, and the remaining Jim Crow laws were generally overruled by the Voting Rights Act of 1965 and the Civil Rights Act of 1964 (Miller, Wiggins, 2004, p. 236). Integration of African-Americans in Professional Basketball Prior to the integration of any of the major sport leagues, the National Basketball League already welcomed African-American players that, as a result, forever changed the games. Most followers of the sport may not even be aware of the African-American players and the National Basketball League’s ground-breaking undertakings given that the integration in the NBL and professional basketball in general came with much less elaboration and fewer setbacks than it did in other major sports. In 1942, the National Basketball League, a forerunner to the National Basketball Association, became the first major professional basketball league of the contemporary period to integrate (Parks, Quarterman, Thibault, 2007, p. 99). Integration of African-American in basketball came 16 years before Willie O’Ree skated for the National Hockey League’s Boston Bruins, five years before Jackie Robinson broke the color barrier in Major League Baseball, and four years before Kenny Washington played football for the Los Angeles Rams of the National Football League (Miller, Wiggins, 2004, p. 235). Unlike professional hockey, football, and baseball, basketball did not integrate a single black player, seeing that during the 1942-1943 season, the National Basketball League integrated 10 African-American players for the two of the league’s teams, namely the Chicago Studebakers and the Toledo Jim White Chevrolets. Bill Jones, a college star-player at the University of Toledo, and one of the last living African-American players from that period, played four games for the Chevrolets. Jones, together with his fellow African-American teammates, Casey Jones, Al Price, and Shanty Barnett, made an immediate impression on the league, introducing some much-needed athleticism and speed to the game. The effect of African-American players to the game, by virtue of their skill, was instantly felt by the fans and other players. In 1943, the National Basketball League’s Cleveland franchise acquired African-American players, and by the same year blacks were playing in such cities as Youngstown, Rochester, and Tri-Cities. Eventually, in 1948 the Dayton team as well integrated. Notwithstanding their pioneering endeavors, both the Toledo and Studebakers disbanded. Nevertheless, the National Basketball League’s contribution to the integration of basketball continued all the way through the league’s final season in 1948-49. Nevertheless, it was not until the 1946-47 season that African-American players joined the league in appreciable numbers. The Rochester Royals, behind owner Les Harrison, acquired former Long Island University star Dolly King, the Tri-Cities Blackhawks signed the Harlem Renaissance star William â€Å"Pop† Gates, and Youngstown acquired the versatile Bill Farrow. Eventually, the Dayton Rens, coached by Gates, became the first all-African-American team to ever participate in a white dominated professional league. In 1965, Texas Western University with a team exclusively composed of African-American players, won the Division I NCAA Championship. It was the first time in an NCAA title game that an all-Black team played an all-white team (Miller, Wiggins, 2004, p. 244). Integration and Popularity of African-American in the NBA Although 80 percent of the current National Basketball Association players are African-American, yet in the first half of the 20th century professional basketball was contaminated by acts of racism, keeping numerous talented African-American off the courts. Originally, every team in the NBA was made up of entirely Caucasian players, but the 1950’s opened several significant changes for African-Americans in the world of basketball. Chuck Cooper became the first African-American to play in the National Basketball Association, and from 1950 to 1960, the professional league witnessed the arrivals of Elgin Baylor, Oscar Robertson, Wilt Chamberlain, and Bill Russell (Miller, Wiggins, 2004, p. 235). The aforesaid players started the ball rolling for Magic Johnson, Karl Malone, Julius Erving, Michael Jordan and now Kobe Bryant and Lebron James. In a period of 50 years, American professional basketball started out from 100 percent down to only 16 percent European-American players, and today, African-American dominated the rosters of the National Basketball Association. In part this trend of professional basketball rosters can be attributed to the ways in which African-American players bring to the game. In 1996, the National Basketball Association named its all time fifty greatest players, composing of 31 African-American and 18 European-American. In 2001, the Basketball Hall of Fame included 34 African-Americans out of the 113 inductees. To a number of fans and many in the media today, the appeal of basketball is tied up with admiring concept of African-American life. Conclusion Basketball is a team competition that has been changed by the presence of African-American, and is now becoming a significant lightning-rod of social, political and cultural change in the United States for over a century. Although the power and grace of Black athleticism has now achieved the high regard and approval of the world, yet for years it was forced to stay on the bench, as segregation in America were severely grounded on race. Like other areas of society, African-Americans’ struggle to be admitted into the world of professional basketball revealed the discriminatory policies and segregated practices of the time. The history of American basketball reveals a compelling chronicle regarding athletic competition in a nation struggling to live up to its principles of democracy and equality. The professional league was without doubt forward thinking and ahead of its time in the utilization and integration of African-American basketball players. Even so, African-American pioneering players have squarely fortified the impact brought by the National Basketball League. People may not appropriately recognize the effects of their undertaking today given that very little recognition has been attributed to the pioneering players of the National Basketball League. Accordingly, African-Americans have changed the National Basketball Association and the manner the game is played today. Collectively African-American players helped bring new confidence, excitement, and energy to professional basketball. The integration is, without doubt, an indicator of the social, political and cultural maturity in the United States. Speech Presentation During the 1950s, basketball had developed into a major sport, leading the way for the intensification of interest in the game. The game of basketball, unlike in baseball, hockey, and football, was an urban sport played by a diverse population on every level; nevertheless, African-American players were excluded. Universities and colleges, mainly in the South side of the United States, were prohibited to have a team sport composed of black and white players in view of the Jim Crow Laws. In 1942, the National Basketball League, a forerunner to the National Basketball Association, became the first major professional basketball league to integrate. The professional league was forward thinking and ahead of its time in the employment and integration of African-American basketball players. Unlike professional hockey, football, and baseball, basketball did not integrate a single black player, seeing that during the 1942-43 season, the National Basketball League integrated 10 African-American players. The effect of African-American players to the game, by virtue of their skill, was instantly felt by the fans and other players. Chuck Cooper became the first African-American to play in the National Basketball Association, and from 1950 to 1960, the professional league witnessed the arrivals of Elgin Baylor, Oscar Robertson, Wilt Chamberlain, and Bill Russell. The aforesaid players started the ball rolling for Magic Johnson, Karl Malone, Julius Erving, Michael Jordan and now Kobe Bryant and Lebron James. Although the power and grace of Black athleticism has now achieved the high regard and approval of the world, yet for years it was forced to stay on the bench. Like other areas of society, the African-Americans’ struggle to be admitted into the world of professional basketball revealed the discriminatory policies and segregated practices of the time. Without a doubt, the history of American basketball reveals a compelling chronicle concerning athletic competition in a nation struggling to live up to its principles of democracy and equality. References Miller, P. B. , Wiggins, D. (2004). Sport and the color line: black athletes and race relations in twentieth-century America. New York: Routledge. Parks, J. B. , Quarterman, J. , Thibault, L. (2007). Contemporary sport management. Human Kinetics.

Financial Inclusion for Inclusive Growth in India

Financial Inclusion for Inclusive Growth in India Amartya Sen (2000) convincingly argued that poverty is not merely insufficient income, but rather the absence of wide range of capabilities, including security and ability to participate in economic and political systems. Franklin Roosevelt, the popular president of United States of America in 1932, referred to the American poor as the forgotten man at the bottom of the economic pyramid. Today the term `bottom of the pyramid refers to the global poor most of whom live in the developing countries. These large numbers of poor are required to be provided with much needed financial assistance in order to sail them out of their conditions of poverty. Joseph.E.Stilglitz opines that, if economic growth is not shared throughout society then development has failed. Accordingly, there is felt a need for policy support in channeling the financial resources towards the economic upliftment of resource poor in any developing economy. This study is an attempt to comprehend and distinguish the significance of Financial Inclusion in the context of a developing country like India wherein a large population is deprived of the financial services which are very much essential for overall economic growth of a country. Our understandings and analysis on the topic are presented here below in the following sections. In Section-II, the importance of `Finance for economic growth has been established with adequate literature review. In section III, Inclusive Growth and its significance for achieving sustainable growth is discussed. Section-IV brings to fore the Financial Inclusion and its dimensions in detail. In Section-V, the importance of financial inclusion for achieving Inclusive Growth in India is detailed with a statistical analysis. Section-VI contains the Recommendations and the Conclusion is presented in Section-VII. II. FINANCE AND GROWTH The earlier theories of development concentrated on labor, capital, institutions etc as the factors for growth and development. The leading works hardly include finance as a factor for growth. Since then there has been numerous research analyzing how financial systems help in developing economies. A wide agreement exists among economists that financial development prompts economic growth. According to Rajan and Zingales (2003), development of the financial system contributes to economic growth. Empirical evidence time and again emphasizes the relationship between finance and growth. According to the works of King and Levine (1993a) and Levine and Zervos (1998), at the cross-country level, evidence indicates that various measures of financial development (including assets of the financial intermediaries, liquid liabilities of financial institutions, domestic credit to private sector, stock and bond market capitalisation) are robustly and positively related to economic growth. Other st udies also establish a positive relationship between financial development and growth at the industry level, like the one by Rajan and Zingales (1998). Since the groundbreaking contributions of King and Levine (1993a, b), economists have shown renewed interest in the finance-growth nexus. It is indeed irrefutable that considerable part of the differences in long run economic growth across countries can be elucidated by disparity in their financial development (King and Levine, 1993a; Levine and Zervos, 1998, Demirguc-Kunt and Maksimovic (1998) and Rajan and Zingales, 1998). Beck, Demirguc-Kunt, Laeven and Levine (2006) use Rajan and Zingales (1998) approach, which provides supplementary evidence that financial development increasingly props up the growth of smaller firms which constitute largely the priority sector lending in the case of Indian Financial sector. Recent survey evidence suggests that access to finance has a direct nexus with faster rates of innovation and firm dynamism consistent with the cross-country finding that finance promotes growth through increase in productivity (Ayyagari, M., Demirgà ¢Ã¢â€š ¬Ã‚ ¡-Kunt, A. a nd Maksimovic, V, 2007, Levine, 1998, 1999). Further, it has also been revealed that financial development plays a significant role in moderating the impact of external shocks on the domestic economy (Beck, T., Lundberg, M. and Majnoni, G, 2006 and Raddatz, C, 2006). Besides debate concerning the role of finance in economic development, economists have also debated the relative importance of bank-based and market-based financial systems for a long time (Golsdmith, 1969; Boot and Thakor, 1997; Allen and Gale, 2000; Demirguc-Kunt and Levine, 2001). Joseph Schumpeter argued in 1911 that banks play a pivotal role in economic development. According to this view, the banking sector alters the path of economic progress by affecting the allocation of savings and not necessarily by altering the saving rate. Largely, the Schumpeterian view of finance and development highlights the impact of banks on productivity growth (Schumpeter, Joseph A, 1934). Banking sector can wield a positive influence on the overall economy, and hence is of broad macroeconomic importance (Bonin and Wachtel, 1999, Jaffe and Levonian, 2001, Rajan and Zingales, 1998). It is established that better developed banks and markets are closely associated with faster growth (Levine, Loazya a nd Beck, 2000; Loayza and Ranciere (2002); Christopoulos and Tsionas, 2004). Improved functioning of banks can be able to boost resource allocation and hasten growth (Boyd and Prescott 1986; Greenwood and Jovanovic 1990; King and Levine 1993a; Levine, R. and S. Zervous 1998). Correspondingly, by aiding risk management, improving the liquidity of assets available to savers, and by lowering trading costs; banks can enliven investment in potential economic activities (Obstfeld 1994; Bencivenga and Smith 1991; Greenwood and Smith 1997). Banks do exercise significant and causal impact on productivity growth, which feeds through to overall GDP growth. The long-run association between prioritised banking and both capital growth and private savings are more tenuous (Levine, Ross; Loayza, Norman; and Beck, Thorsten, 1999). It is also ascertained by some researchers that the size of the banking sector can be safely considered a good predictor for future growth, especially when focusing on lon g term projects (Andrea Vaona, 2005). The research so far has not only looked at how finance facilitates economic activity but also social aspects like poverty, hunger etc. The consensus is that finance promotes economic growth but the magnitude of impact differs. Financial inclusion is intended to connect people to banks with consequential benefits. Ensuring that the financial system plays its due role in promoting inclusive growth is one of the biggest challenges facing the emerging economies. We therefore advocate that financial development creates enabling conditions for growth through either a `supply-leading (financial development spurs growth) or a `demand-following (growth generates demand for financial products) channel. Access to safe, easy and affordable credit and other financial services by the poor and vulnerable groups, disadvantaged areas and lagging sectors is recognised as a pre-condition for accelerating growth and reducing income disparities and poverty. Access to a well-functioning financial system, by creating equal opportunities, enables economically and socially excluded people to integrate better into the economy and actively contribute to development and protects themselves against economic shocks. III. INCLUSIVE GROWTH Development economists and states have often been for a long time interested in the relationship between financial development and economic growth especially in the period which is known as the era of the Washington Consensus. A growing GDP is an evidence of a society getting its collective act together for progress. As its economy grows, a society becomes more strongly organised, more compactly interwoven. Growth is good, Sustained high growth is better and Sustained high growth with inclusiveness is best of all. Inclusive growth in the economy can only be achieved when all the weaker sections of the society including agriculture and small scale industries are nurtured and brought on par with other sections of the society in terms of economic development. The major development challenge is to make the growth inclusive. Policies for inclusive growth are vital components of majority of government strategies for sustainable growth. Commission on Growth and Development notes that inclus iveness-a concept that encompasses equity, equality of opportunity, and protection in market and employment transitions is an essential ingredient of any successful growth strategy (Commission on Growth and Development, 2008). Three pillars of inclusive growth are; (i) Maximise economic opportunities (ii) Ensure economic well being and (iii) Ensure equal opportunities to economic opportunities (Ifzal Ali, 2007). An inclusive growth strategy encompasses the key elements of an effective poverty reduction strategy and, more importantly, expands the development agenda. Developing inclusive financial systems which are financially and socially sustainable, as a poverty reduction strategy, should be given priority (Amit K. Bhandari, 2009). Levine, (1998), (1999) and Beck, Demirguc-Kunt and Levine (2007) have noticed a positive effect of finance on poverty reduction. Economies with higher levels of financial development experience faster reduction of poverty. This has been explained by an extensive body of literature including Deininger and Squire (1998), Dollar and Kraay (2002), White and Anderson (2001), Ravallion (2001) and Bourguignon (2003). In an often cited cross-country study, Kraay (2004) proves that growth in average incomes explains 70 percent of the variation in poverty reduction (as measured by the headcount ratio) in the short run, and as much as 97 percent in the long run. Lopez and Servà ¢Ã¢â€š ¬Ã… ¡n (2004) suggest that for a given inequality intensity, the poorer the country is, the more vital is the growth component in explaining poverty reduction. Thus, equitable growth is indeed an imperative for inclusive growth. IV. FINANCIAL INCLUSION Importance of financial inclusion arises from the problem of financial exclusion of nearly 3 billion people from the formal financial services across the world. The review of literature suggests that the most operational definitions are context-specific, originating from country-specific problems of financial exclusion and socio-economic conditions. Thus, the context-specific dimensions of financial exclusion assume importance from the public policy perspective. The operational definition of financial inclusion, based on the access to financial products or services, also underscores the role of financial institutions or service providers involved in the process. Furthermore, the operational definitions have also evolved from the underlying public policy concerns that many people, particularly those living on low income, cannot access mainstream financial products such as bank accounts and low cost loans, which, in turn, imposes real costs on them -often the most vulnerable people (H. M. Treasury, 2007). Thus, over the years, several definitions of financial inclusion/exclusion have evolved. In the Indian context, Rangarajan Committee on Financial Inclusion in India (2008)) defines it as: Financial inclusion may be defined as the process of ensuring access to financial services and timely and adequate credit where needed by vulnerable groups such as weaker sections and low income groups at an affordable cost. The financial services include the entire gamut savings, loans, insurance, credit, payments etc. The financial system has to provide its function of transferring resources from surplus to deficit units but both deficit and surplus units are those with low incomes, poor background etc. By providing these services, the aim is to help them come out of poverty. Measurement of Financial Inclusion is not universally the same. Different countries adopt different indicators to measure financial inclusion. Definitional Aspects of Financial Inclusion / Exclusion and their indicators as recommended by United Nations, World Bank, Committee on Financial Inclusion in India (Chairman: C. Rangarajan), Asian Development Bank [ADB] and Treasury Committee, House of Commons, UK are presented in Table-1 in Annexure-1. Global Experiences In the developed countries, the formal financial sector serves most of the population, whereas in developing countries, a large segment of the society, mainly the low-income group, has modest access to financial services, either formally or informally. Consequently, many of them have to necessarily depend either on their own sources or informal sources of finance, which are generally at high cost. According to Peachy and Roe (2004) developed countries have experienced good levels of inclusion (99 per cent in Denmark, 96 per cent in France, 96 per cent in Germany and 91 per cent in the USA) have bank accounts. However, it is reported that (ADB, 2007), in the developing countries, formal financial sectors serve relatively a small segment, often not more than 20-30 per cent of the population, the vast majority of who are low income households in rural areas Recent data (Table-2 in Annexure-2) shows that countries with large proportion of population excluded from the formal financial system also show higher poverty ratios and higher inequality. Further, it is observed that, often countries with low levels of income inequality have a propensity to have lower levels of financial exclusion, whereas high levels of exclusion are associated with the least equal ones. According to Kempson (2006), for example, While in the case of Sweden, lower than two per cent of adults did not have an account in 2000 in Germany, it was around three per cent. In comparison, less than four per cent of adults in Canada and five per cent in Belgium, lacked a bank account (Buckland et al, 2005). Countries with high levels of inequality record higher levels of banking exclusion. To illustrate, in Portugal, about 17 per cent of the adult population had no account of any kind in 2000 (Kempson, 2006). Policy Response to Financial Exclusion Country Experiences The policy responses to such exclusion have been varied. Two major kinds of policy responses have been implemented by central banks in response to financial exclusion: codes of practice and specific legislation. Table-3 (Annexure-3) presents the financial inclusion initiatives in different countries. Table-4 (Annexure-4) illustrates the extent of financial inclusion in some select countries. Initiatives for financial inclusion in India The broad strategy for financial inclusion in India in recent years comprises the following elements: (i) encouraging penetration into unbanked and backward areas and encouraging agents and intermediaries such as NGOs, MFIs, CSOs and business correspondents (BCs); (ii) focussing on a decentralised strategy by using existing arrangements such as State Level Bankers Committee (SLBC) and district consultative committee (DCC) and strengthening local institutions such as co-operatives and RRBs; (iii) using technology for furthering financial inclusion; (iv) advising banks to open a basic banking `no frills account; (vi) emphasis on financial literacy and credit counselling; and (vii) creating synergies between the formal and informal segments (Thorat, 2008). V. FINANCIAL INCLUSION AND INCLUSIVE GROWTH IN INDIA The importance of this study lies in the fact that India being a socialist, democratic republic, it is imperative on the policies of the government to ensure equitable growth of all sections of the economy. With only 34% of population engaged in formal banking, India has, 135 million financially excluded households, the second highest number after China. Further, the real rate of financial inclusion in India is also very low and about 40% of the bank account holders use their accounts not even once a month. It is universally opined that the resource poor need financial assistance at reasonable costs and that too with uninterrupted pace. However, the economic liberalization policies have always tempted the financial institutions to look for more and more greener pastures of business ignoring the weaker sections of the society. Some of the features of financial exclusion in India are captured in Figure-1 (Annexure-12). It is essential for any economy to aim at inclusive growth involving each and every citizen in the economic development progression. It is in this context that a study has to be made to understand the importance of priority sector lending in ensuring the inclusive growth in the Indian context. Select macro-economic and financial indicators of Indian economy are presented here below in Table-5 (Annexure-5). Analysis Based on the well accepted approaches for evaluation of the coverage of financial inclusion and to assess its impact on inclusive growth the study endeavors to analyse the following: Spatial Distribution of banking Services Regional Distribution of Banking Services Impact of Financial Inclusion on Inclusive Growth 1. Spatial Distribution of banking Services In order to analyse the spatial distribution of banking services in the country, data for the periods 1991 and 2005 has been verified. Further, bank offices in the country have been classified into Rural and Urban areas. This has been considered in order to get a clear understanding about how the spread of formal banking services has been affected in different parts of the country. The total number of saving accounts, considered to be a better indicator of banking penetration than other deposit accounts, as per cent of number of households, was 137 in rural areas and 244 in the urban areas on the eve of reforms in 1991. By 2005, despite the reforms, the differential continues to be similar. In the case of credit accounts, the situation have deteriorated for rural households while showing significant improvement in the urban areas (Table-6 in Annexure-6), corroborating the very significant increase in retail credit. 2. Regional Distribution of Banking Services An effort has been made to analyse the extent of financial inclusion in different regions of the country such as Northern, North-Eastern, Eastern, Central, Western and Southern regions apart from All India level. A purposeful analysis is made by comparing the data for the period from 1991 to 2005. Further, this data has been further split into rural and urban areas in the country in order to get an exact view about the distribution services in these areas. Further, the analysis is made in terms of population coverage per bank office, Number of Savings accounts per population of one hundred and Number of Credit (loan) accounts per population of one hundred. Table-7 (in Annexure-7) captures the data related to Financial Inclusion, Poverty levels, Population density and Literacy. Table-8 (in Annexure-8) presents the data related to Bank Branches, Workers, Population of Scheduled Castes and Percentage of Households with bank accounts in India. This data is largely sourced from the websit e of Census India and Reserve Bank of India publications. In terms of financial broadening, the scope for improvement remains. Table-9 (in Annexure-9) illustrates the level of financial inclusion in India with region wise statistics. It is discernible that Southern and Northern regions have population coverage below the national averages. All the other regions in the country have coverage well above the national average calling for urgent improvement in the population coverage of the population. Again in terms of rural and urban areas there has been a distinct progress in the coverage of the population by the bank branch offices. Table-9 provides further clarity by providing a break-up of the deposit accounts. Both the deposit and credit accounts are lower in rural households than urban households. Hence despite the rural-push, the rural population has not come forward and avail even basic banking services Impact of Financial Inclusion on Inclusive Growth In order to involve a comprehensive measure of financial inclusion in the Indian context, we consider Priority Sector Lending as a measure of financial inclusion. We are of the opinion that, mere opening of bank account would not be a true indicator of financial inclusion, but availment of financial services, more importantly; the much needed credit for the excluded sections of the society would definitely depict the measure of financial inclusion. Further, this measure would meet the requirements of the definition for measurement of Financial Inclusion provided by United Nations, wherein it is said that the indicator should measure the Access to credit, insurance, savings and payment services. Priority Sector Lending as an indicator in our study addresses all the above aspects. In view of this an attempt has been made to establish the relationship of priority sector lending (as a measure of financial inclusion) with the indicators of inclusive growth such as rural poverty. Rural pov erty is considered to portray inclusive growth as more than 70 percent of India lives in rural areas. The required data for the analysis is obtained largely from the most reliable and official sources such as Reserve Bank of India website, NABARD website, India Development Report 2008 and other related sources. Economic Reforms in Indian economy were initiated in the year 1991-92. As such, to cover equal number of years of priority sector lending and inclusive growth during pre and post-Liberalisation period, data for the period from 1974-75 to 2007-08 has been analysed for understanding the trends. For the purpose of analysis the most popular statistical measure Multiple Regression (OLS) Analysis is used (Andrea Vaona, 2005, Andrea Vaona and Roberto Patuelli, 2008 have also used the same kind of analysis for similar studies). The objective of this section of the paper is to recognize the determinants of Inclusive Growth which can be captured in Rural Poverty (RU_POV) (measured in percentage against that of the total population in rural areas and these figures are provided by the Census of India data) in India and ascertain the impact of Priority Sector Lending (PSL) on rural poverty in India. Priority Sector Lending in the Indian context refers to the bank credit under the directed lending towards the private firms and individuals which is an important parameter that determines the measure of development that can significantly contribute to inclusive growth (Andrea Vaona, 2005). Domestic Savings (SAV) (measured in Rupees in Crores) is included as a determinant in order to account for the argument that savings propels economic activity in the system at large and helps in inclusive growth process (Beck, Levine and Loayza 2000). Rural Employment is one of the significant measures of economic development and consequently of inclusive growth. A greater level of rural employment can be taken as evidence of greater economic development (Cole Shawn, 2007). In recognition of this argument, Employment in Rural Primary sector (EMP_RP) (expressed in million numbers) is included as one of determinants to study their impact on inclusive growth. Agricultural Production is another important determinant that affects the inclusive growth process in rural India. As a large population of weaker sections of the society still depends to a large extent on agriculture, Agricultural Production (AGRI_PRO) (expressed in Kilograms/hectare) determines their upward movement in the income ladder (Andrea Vaona, 2005 also considered production as an important variable in a similar study). Accordingly, agricultural production is also considered as a determinant in the analysis. There is also an indisputable argument that overall credit has profound impact on inclusive growth process (Andrea Vaona, 2005). In view of this, Credit to Gross Domestic Product (CRED_GDP) (measured as a ratio in percentage to GDP) is included as a determinant. If there is an increase in Per Capita Income (PCI) (measured as per capita NNP at factor cost expressed in Crores in Rupees) there certainly will be an increase in inclusive growth process. As such, Per Capita Income (as used as a determinant in a similar analysis by Andrea Vaona and Roberto Patuelli, 2008, Srinivasan 1994, Streeten 1994, and Sugden 1993) is commonly accepted measure of standard of living of people and consequently is a major factor that enhances inclusive growth and hence it is included in the analysis. The regression model can be; Y = à   + à ¡1X1 + .. + à ¡nXn + à ¦ -> Accordingly, Rural Poverty can be better explained and estimated with the following version of equation; RU_POV = f (PSL, SAV, EMP_RP, AGRI_PRO, CRED_GDP, PCI) + à ¦ > In order to control for other factors associated with economic growth not linked to financial development, the regression results are presented by using a simple conditioning information set, including the constant, the logarithm of all explanatory variables. Due to potential nonlinearities, the natural logarithms of the regressors are considered (Levine, Loazya and Beck, 2000). Accordingly, when we log-transform this model (also called a log-log, double-log) we obtain: Log (RU_POV) = à   + log (PSL, SAV, EMP_RP, AGRI_PRO, CRED_GDP, PCI) + à ¦ > `à   represents the `Y intercept, à ¡1,?n represent the respective regression coefficients for explanatory variables X1 .. Xn and `à ¦ represents the error term. Where, `Y represents the `RU_POV , i.e, Rural Poverty and `X1, `X2 , ., `X14 represent the predictor variables and `à ¡1 , `à ¡2, .., `à ¡n represent the partial regression coefficients of `PSL i.e, `Priority Sector Lending, `SAV-Savings, `EMP_RP-Employment in Rural Primary sector, `AGRI_PRO-Agricultural production, `CRED_GDP-Credit to Gross Domestic Product and `PCI-Per Capita Income respectively. `à ¦ represents the `error term. The results of analysis are presented in Table-10 (Annexure-10) for the period from the year 1977 to 2007. Inferring from the results of this analysis, it can be concluded that Priority sector lending has significant impact on rural poverty. Graphical presentation of the trend of priority sector lending in the pre liberalisation period from 1974-75 to 1990-91 and post liberalisation period from 1991-92 to 2006-07 is illustrated in Figure-2 (Annexure-13). It is clearly evident from the figure that priority sector lending has taken a gradually upward moving curve indicating a steady rise in the post liberalisation era. Further, the Nature and strength of the impact of the various determinants on Inclusive growth are captured in Table-11 (Annexure-11). A graphical presentation of the trend of the inclusive growth in India is presented in Figure-3 (Annexure-14). It is orchestrated by the rhythmic forward movement trends of the above discussed determinants during the study period. Rural Poverty is on a declining trend more pronouncedly during the post liberalisation period. Findings of the Study The study found that Priority Sector Lending has a very high significant impact on inclusive growth, which is in line with the findings of Kraay (2004) and Beck, et all (2007). Domestic Savings (in line with the conclusions of Levine, Ross; Loayza, Norman; and Beck, Thorsten, 1999), Credit to Gross Domestic Product (as established by Ayyagari, M., Demirgà ¢Ã¢â€š ¬Ã‚ ¡-Kunt, A. and Maksimovic, V, 2007, Narasimham, 2002, Obstfeld 1994; Bencivenga and Smith 1991; Greenwood and Smith 1997) and Per Capita Income (as stated by Levine, 1998, 1999) are found to have significant impact on reducing rural poverty in India. The model developed in the study explains the trend of rural poverty (Lopez and Servà ¢Ã¢â€š ¬Ã… ¡n, 2004) to the extent of 93.5 percent involving the important determinants such as Priority Sector Lending (Rajan and Zingales 1998), Savings, Employment in Rural Primary sector, Agricultural Production (Andrea Vaona, 2005), Credit to Gross Domestic Product (Andrea Vaona, 2005 ) and Per Capita Income (Andrea Vaona and Roberto Patuelli, 2008, Srinivasan 1994, Streeten 1994 and Sugden 1993). Further, it is also demonstrated (Figure-2) that financial sector reforms have indeed had a positive impact on reduction of rural poverty. VI. RECOMMENDATIONS AND POLICY CHOICES Based on the outcome of the above analysis, we present here below our recommendations. Strategize the Provision of Bank Credit Need is felt to strategize the provision of bank credit to the rural farmer households. Majority of the marginal farmer households are not at all covered by the formal finance. As such public sector banks and the co-operative banks in the rural areas have to sensitize about the need for provision of timely and cheaper credit to these segments. Reserve Bank of India in consultation with NABARD should come out with a comprehensive strategy for revitalizing the quiescent rural credit mechanism. Cover the Poor It is imminent to encompass the tenant farmers, oral lessees and share croppers, marginal farmers with small un-economical land holdings, agricultural laborers, rural artisans and people involved in making handicrafts and also majority of weavers in handloom Sector. Extensive use of Co-operatives The large number of PACS and primary cooperatives under the parallel Acts located in rural areas are not functioning effectively. Many of these cooperatives are in districts where the DCCBs are defunct or moribund. Such PACS could provide valuable services to their members if they get access to a commercial bank. In view of these there is a need to revitalize these cooperatives as per the Vaidyanathan Committee recommendations and use them extensively for financial inclusion in the rural areas. Undoubtedly a Greater Role for NABARD NABARD ha to play a pro-active role by partnering with the rural credit institutions in the field and identify new initiatives that will contribute to effectively improving the extent of financial inclusion involving SHGs, MFIs, etc. Procedural / Documentation Changes It is inevitable on the part of the regulators to find out an easy way of procuring the documents for opening of bank accounts and availing loans. The present guidelines are more tedious and result in huge costs for the poor in accessing the banks for any kind of services. Exemption from Stamp Duty for Loans to Small and Marginal Farmers, Simplifying Mortgage Requirements, Saral Documentation for Agricultural Loans. Proactive Role of Government State Governments should asked by the Centre to play a pro-active role in facilitating Financial Inclusion. Issuing official identity documents for opening accounts , creating awareness and involving district and block level functionaries in the entire process, meeting cost of cards and other devices for pilots, undertaking financial literacy drives are some of the ways in which the State and district administration have involved themselves. A role for Rural Post Offices Post Offices in rural areas can be asked to provide their services in accelerating the financial inclusion activity. In view of the postmans intimate knowledge of the local population and the enormous trust reposed in him post offices can be good use in the process of financial inclusion Effective use of Information Technology Solutions Financial Inclusion initiatives. Adequate Publicity for the Project of Financial Inclusion In a huge country like India, there needs to be huge publicity for popularizing the concept and its benefits to the common man. In this direction, a comprehensive approach has to be developed involving all the concerned at all levels to impress upon the need for financial inclusion for accelerating th