AP by John Updike

Presentation The universe of writing is the wellspring of new thoughts, considerations and motivations. The creators make us thoroughly consider our life. Without a doubt, everybody has the option to have their own feeling and the writing supports us being receptive and autonomous in our decisions. The epic AP by John Updike is one of the works, which has a fairly basic plot yet includes the significant message to the public.Advertising We will compose a custom research paper test on AP by John Updike explicitly for you for just $16.05 $11/page Learn More The point of this exposition is to sum up the plot of AP by John Updike and to examine the primary thought of the novel. The Summary of the Plot The plot of the novel unfurls at the basic food item shop AP, where a youngster Sammy works. He is the primary character and the storyteller of the story, which transpired in the work place. Sammy is just 19 years of age and, as opposed to the greater part of populace, he has rather insubor dinate perspectives on the American commercialization. Simultaneously, individuals, whom he watches each day at the shop, are, clearly, the splendid instances of the buyer society impact. Plus, Lengel, a supervisor of the store, assumes a significant job in the plot of the novel. He is the preservationist and exacting man, who considers any person’s conduct, which is not the same as the conduct of the lion's share, as a prohibited. At some point, three young ladies in swimsuits enter the shop. Sammy gets enchanted by them. While watching they are shopping at the store, he is looking at their bodies. His sexual dreams don't leave his psyche. In any case, we become acquainted with that he is fairly negative about the two of the young ladies. It appears as though they have bombed his assessment and can't rival the third one, whose appearance he considers as great. In his considerations, he calls her Queenie. It appears as though she is a pioneer among the three companions. The e ncounter happens when the chief of the store reprimands the young ladies for their look and demonstrates to their swimming outfits with condemnation. The young ladies need to leave the store. Sammy feels himself hurt and sickened. In an attack of temper, he leaves the activity. The Discussion The buyer society is, without a doubt, the fundamental topic of the novel by John Updike. The creator shows how much individuals are worried about the fulfillment of their wants. He accentuates that the clients at the shop are eager to purchase the snacks as opposed to the food staff vital for living.Advertising Looking for inquire about paper on american writing? We should check whether we can support you! Get your first paper with 15% OFF Learn More They, basically, spend their cash on nothing. The character of Sammy is unquestionably increasingly entangled as it appears at the principal look. Albeit, unexpectedly, he is driven by his physical wants as the clients do, he feels an inward dismi ssal of the usually acknowledged lifestyle just as of the affectation and conservatism of the supervisor. Sammy defies the buyer society when he finds employment elsewhere. The debate is clear in the plot of the novel. From one perspective, the principle character feels dismissal of the commercialization, and, then again, he investigates the figures of the young ladies from the purchaser point of view. I surmise the principle thought of the novel isn't just the disgrace on the crude estimations of the purchaser society yet in addition, and possibly more significantly, the disgrace on the traditionalism and rejection of the perspectives unique in relation to the ones, which are spread in the general public. The creator censures the general public for the bad faith and the guile. The uncertainty can be seen in the mentality and conduct of the director of the store. He scolds the young ladies for their improper look however is anxious to encourage the deals at his store simultaneously. It turns out to be certain that he is a piece of the purchaser society also however, rather than Sammy, his exacting and ordinary perspectives don't permit him being liberal and adaptable. The subject of human body likewise assumes the focal position in the novel. I think the creator attempts to show that individuals like an administrator Lengel are thought about the look, which the others have, considerably more than about their inward nature. They disregard the profound side of the world. The subjects of the purchaser society and the human body are firmly interconnected. The attractive figures of the young ladies and the disposition of Sammy to them emblematically speak to the enticements of the cutting edge world. The inquiry is how much the figures of these young ladies are unique in relation to the a lot of the tidbits and different wastes of time offered at the store in the assessment of Sammy. End In request to summarize all previously mentioned, it ought to be said that the novel AP by John Updike portrays the truth of the cutting edge society. The subject of commercialization assumes the focal position in the plot of the novel. The principle character opposes the affectation and trickery of the cutting edge society. Simultaneously, he is enticed by it as well.Advertising We will compose a custom research paper test on AP by John Updike explicitly for you for just $16.05 $11/page Learn More The creator accentuates the uncertainty of the mentality of numerous individuals these days. From one viewpoint, they support the humility just as for the specific model of conduct and are anxious to appreciate the delights of the shopper society, then again. This examination paper on AP by John Updike was composed and put together by client Madeline Robbins to help you with your own examinations. You are allowed to utilize it for research and reference purposes so as to compose your own paper; in any case, you should refer to it as needs be. You can give your paper here.

Man Sized Job Essays - Sharlot Hall, British Poetry, Literature

Man Sized Job Man-Sized Job was composed by Sharlot Hall (1870-1943). It is a sonnet that characterizes a lady's work from a man's perspective. Sonnets like this were phenomenal in the late 1800's ? mid 1900's, particularly if ladies thought of them. The two parts of this sonnet I might want to examine are the jargon utilized and the male high and mighty perspective. If not for these two overstated viewpoints, the sonnet would not have as solid of a significance. The jargon utilized in this sonnet is far structure legitimate. It is an embellishment used to make men sound less smart than they might suspect they are. Sharlot Hall needs men to sound less smart in this sonnet in light of the fact that the sonnet is from a man's perspective on what a lady's work ought to be. It is evident to anybody that peruses this sonnet that Hall is totally can't help contradicting the common male perspective on what ladies ought to and ought not do. Another purpose behind the language that is utilized is to make the men sound uneducated. Lobby is implying to her crowd that ladies are all things considered more brilliant than men. In spite of the fact that she is going after men, the way she goes about it makes this sonnet agreeable for both genders. The bullheaded perspective in this sonnet is self-evident. It is extraordinarily misrepresented with the goal that Hall can express what is on her mind to her crowd plainly. She likewise utilizes it to get the crowd on her side of the issue. This is a useful asset that can be utilized. At the point when somebody peruses a sonnet and they take they creators perspective regarding a matter, the sonnet turns into substantially more fascinating. This adds to the diversion estimation of the sonnet. All things considered, the reason for a sonnet ought to be to engage and get the enthusiasm of a group of people. Lobby utilizes this procedure furthering her potential benefit. Her utilization of the haughty perspective is most likely the way in to this sonnet being fantastic. The two parts of this sonnet I dissected in this paper were basic to the achievement of this sonnet. Both the jargon utilized by Hall and the male high and mighty perspective communicated were fundamental in expressing what is on her mind to her crowd. Albeit the two devices were misrepresented drastically, it was important for the purpose for the sonnet. As I would see it, this sonnet was composed for one explanation. This explanation is to just ridicule men and their perspectives. Corridor worked superbly.

the emperors new car :: essays research papers

The President's Old Cars Sometime in the distant past in the very nation you live in, there was a president who took in an exercise the most difficult way possible. See the president adored vehicles, new vehicles, quick vehicles, slow vehicles, rusted out vehicles, it didn't make a difference, on the off chance that he saw a vehicle he needed, he got it. Most different pioneers were helping their nations to get more grounded, while our own was off purchasing vehicles. At that point there came that important day when our leader took in his exercise. Â Â Â Â Â While out looking for new vehicles, the president went over one he didn't have. It was a 1986 Ford Escort. It was all corroded, missing hubcaps, and squeaked as he drove it not far off. Yet, while conversing with the vehicle sales rep, he never stressed over what wasn't right with it. The sales rep (attempting to dispose of this bit of garbage) told the president that this vehicle was fit as a fiddle and there would presumably never be another vehicle like this one. He likewise told the president that on the off chance that anybody attempted to reveal to him that this vehicle was uproarious and smoked that they were simply desirous and causing it to up. The president, glad to hear that somebody may be envious of him purchased the vehicle immediately with his nation's cash. Â Â Â Â Â On his way home individuals lined the avenues to see his new buy. Many chuckled and pointed as his Escort smoked putted along the road. The president recalling what the vehicle sales rep had said thought these individuals were simply desirous and imagining that his vehicle was making all the smoke and clamor. So he gladly drove around his 4-speed vehicle through the boulevards overlooking everybody that giggled at him. Â Â Â Â Â Now during the time the president was out purchasing new vehicles the American individuals more cash in light of the fact that their occupations weren't sufficiently paying. The president was giving less and less cash each time he gave out cash, so he would have cash to purchase another vehicle. The way that his kin were beginning to starve didn't trouble him by any means. Â Â Â Â Â A couple of weeks after the fact he was out to purchase another vehicle. He returned to the sales rep that had sold him the Escort before. The president told the sales rep that individuals really giggled at his past buy. At that point the sales rep and president snickered in light of the fact that they were certain that those individuals were simply desirous and making that stuff up about the vehicle.

Vatican council 2 Essay Example | Topics and Well Written Essays - 500 words

Vatican board 2 - Essay Example O’Malley himself bolsters the third understanding and holds that Vatican II denotes an incredible change throughout the entire existence of the Church. In O’Malley’s conclusion, the Council has introduced orders â€Å"that denoted a genuine takeoff from past Catholic practice.† These remember the permit to draw in for joint supplication with Protestants and go to administrations in Protestant houses of worship. The Decree on Religious Liberty likewise shut down the earlierâ â€Å"ideal that Catholicism ought to be set up as the official religion of each country, even the United States.† O’Malley fights that the extreme part of Vatican Council II is its changing accentuation on the style of the Church. This accentuation is found in the â€Å"striking shift in language† in the reports of the Council. Withdrawing from the unexpected, tyrant tone of prior Councils, Vatican Council II receives a â€Å"invitational style† which endeavors to encourage exchange, regard for inner voice, the right to speak freely of discourse and a feeling of investment. The new â€Å"invitational† style of Vatican II is found in: the accentuation on organization and coordinated effort in relations among chapel chain of importance and with the people; the accentuation on the primary peaceful service being administration; receptiveness to change and improvement; an appeasing mentality towards all beliefs; and the dynamic interest of the whole gathering in the sacrament. O’Malley’s article endeavors to help the author’s dispute that the Vatican Council II introduces change in the style of the Church. The five focuses O’Malley refers to so as to help his stand are entirely trustworthy as they mark an alter of course in the Church. In any case, O’Malley contends that even this change is grounded in the past convention of the Church. The â€Å"partnership and collaboration† (O’Malley, 2003) which the Council suggests in the relationship of the Church progressive system is in accordance with the conventional comprehension of the ‘Mystery of the

Banking for a Multinational Essay - 275 Words

Banking for a Multinational (Essay Sample) Content: Name:Tutor:Course:Date of Submission:Banking for a MultinationalFluctuation of foreign exchange rates is a factor that Acme as a multinational ought to consider before choosing which bank to operate with. If the company is planning to invest in a country whose currency is inconsistent and weak, it would be best if the company banks with an American bank that provides international services (Howard 11).Acme as a multinational organization also ought to consider taxation based on the banking plan it chooses to subject to. Banking with local banks while operating abroad may attract a situation where there is double taxation (Howard 14). This is a situation where the company's earnings are taxed both in the country of operation and in the country of origin where they bank hence increasing the cost of capital (Mignolet 32). However, Acme should consider investing in a country that has favorable tax policies.Tax competition is a condition that somewhat arises to save the si tuation. In this case, local and foreign governments compete in and the effect is the reduction of taxes hence favoring the business operation conditions (Kumar). Considering this, it follows by intuition that the American government would be more flexible and accommodative than, say, a third world country in terms of tax reduction. Depending on the tax policies of various countries, it would be best to bank with an American bank that has multinational operations.Most American banks such as Bank of America, HSBC, and Citibank provide ready and easy access to funds in multinational operations. Citibank for instance provides services such as direct contact with foreign clients (Citibank). Basing argument on lending ability, it would be best if Acme banks with such banks rather than a bank in the foreign country where there would be inadequacy of funding hence increasing the cost of capital as the company would seek funds from another bank where it is not a client hence attracting more interests.The cost of capital for a multinational company may increase due to various factors. For the case of cost of debt, the company's cost of capital would increase when the interests charged for the loans from financial institutions are high (Kumar); this possibly the case in foreign countries. The risks posed by mult...

Airlines Strategy Analysis - Free Essay Example

A CASE STUDY OF DELTA AIRLINES Creative Media Services Research Team: Todd Beals, Matt Tucker, Mary Vick 12/02/03 Mission – to be an air carrier with superior customer service that provides air transportation for passengers and cargo, utilizing low-cost carriers and regional jets throughout the United States and around the world. SWOT ANALYSIS Strengths: 1. 3rd largest mega carrier; established name; excellent reputation; worldwide brand recognition. Delta has been among the DOT’s top three in on-time, baggage handling, and customer satisfaction for the past three years. Delta’s new CEO, Grinstein, has an excellent reputation of resolving labor disputes. 2. Delta has continued to use innovative strategic business moves: a. Recently announced a new low-fare subsidiary airline servicing the East coast called Song, which has met its’ goal to push unit costs below 8 cents per seatmile, a standard industry measure. b. Joining with other major airlines in the industry to form a global alliance called, SkyTeam. The SkyTeam alliance results in cost savings by sharing cargo and passenger terminal facilities, integrating frequent-flyer programs, consolidating sales, maintenance and administrative operation, combining information technologies, and engaging in joint procurement where feasible (Corridore, 2003, p. 7). c. In early 2000, Delta acquired Comair, whose entire fleet consists of regional jets, and Atlantic southeast Airlines (ASA). The additional use of regional jets helps move Delta’s average aircraft capacity downward to better match demand. . Deltas industry-leading airport model includes a combination of airport lobby re-design, increased self-service technology and new airport customer service roles for employees that will help deliver speedy, convenient, helpful, friendly service to Delta customers. Delta fosters customer loyalty through quality trained employees, short waiting times, quality in-flight food service an d good on-time performance. Weaknesses: 1. Labor is the industry’s largest cost item accounting for about 36% to 40% of total perating expense (Corridore, p. 21). Delta has been forced to layoff 18% of its’ workforce, or 16,000 employees, with more to follow (https://news. bbc. co. uk). Delta’s pilots are the highest-paid among the major US carriers but it has been unable to persuade the pilots to agree to concessions that would lower labor expenses. (In addition, an unexpected jump in pilot retirements will cost Delta Air Lines an additional $140 million this quarter, forcing the carrier to widen its anticipated loss for the fourth quarter. ) a. Poor Morale: The companys relationship with employees has been strained because of massive layoffs, bankruptcy-proof pension trusts and executive bonuses which were not tied to performance. 2. From 1993-2003, Delta’s market share has gone from 17. 4% to 15. 1%. Delta’s yield has decreased 13% compared t o 2000 and 5% compared to 2001. RPM’s for the US industry as a whole declined 2. 6% in 2002. According to the U. S. Department of Transportation, Delta ranked 5th out of the 10 major U. S. Airlines in passenger load factor. 3. Recent Trend of Being Unprofitable: Stock price decreased 66 % from $38. 0 on September 1st, 2001 to $13. 02 on November 1st, 2003 (see appendix A). The company has been unable to make a profit for the last 2 years and is headed for its third straight loss this year Opportunities: 1. Today’s market is in high demand for affordable new regional jets, which offer low costs and high flexibility in route planning. According to CNN, there will be a 50 % growth in air traffic within the next 10 years. In addition, the U. S. GDP recently grew at an 8. 2 Percent Pace in the 3rd Quarter of 2003, signaling a strengthening of business and consumer activity. Under its’ current pilot labor contract, Delta can operate as many regional jets as it like s, provided none has more than 70 seats. Delta can now compete with companies like Southwest, Jet Blue, and Air Tran in response to changing industry conditions. 2. Delta partially owns two separate online reservation services. Delta owns 40% of WORLDSPAN, L. P. , a limited partnership that operates and markets a computer reservation system (CRS) and related systems for the travel industry. CRS services are used primarily by travel agents to book airline, hotel, car rental and other travel reservations and issue airline tickets. Delta also owns approximately 18% of Orbitz, LLC, a limited liability company that operates an online travel agency that offers travel services to consumers and business customers via the Internet. 3. Delta has the opportunity to invest in technology to improve efficiencies by installing self-service kiosk in airports. With fees of approximately $25 for each paper ticket this would reduce costs as well improve the speed of air travel. Threats: 1. Due to t he effects of 9/11, Delta and the industry as a whole face increased costs of aviation security and excessive taxation of air travel. Some of these costs include, but aren’t limited to: reinforcement of cockpit doors, various new equipment and training, additional security checks for employees and suppliers, and high premiums for war and terrorism risk insurance. 2. Global airline industry losses totaled $13 billion in 2002 and $18 billion in 2001, according to the International Air Transport Association (IATA). Due to this, two major airlines, United and US Airways, have been forced into bankruptcy over the last two years. Economists are predicting that the industry will not fully recover until the 2005 year from the effects of 09/11, but this is obviously still uncertain. . Delta confronts a variety of competitors in an extremely time-sensitive industry and it also has been severely undercut by discount carriers, which have better routes, more modern aircraft and more fl ight frequencies. Delta also faces competition from other major, national and regional airlines and competes with other transportation modes, such as automobiles, railroads, and buses. Because the economic slowdown that began in 2001 led to significant cuts in corporate travel budgets and the leisure traveler is highly price sensitive, these other modes of transportation may be more attractive to the consumer. . There has been a general service degradation in the entire airline industry and as a result it has been doing an inadequate job of delivering quality customer service. Long-term Sustainable Competitive Advantage: According to John Kay, â€Å"Competitive advantage is based not on doing what others already do well, but on doing what others cannot do as well. † Although its’ revenues have recently shrunk with the decline in overall air travel, Delta is creating a sustainable competitive advantage through its’ frequency of flights, improved customer loyalty program, and through its vast network reach (www. eracast. com). The following items illustrate what Delta is currently doing to earn and sustain a return that outperforms its’ direct competitors. †¢ †¢ †¢ †¢ Largely non-union workforce that allows unique flexibility (i. e. part-time employees) Airline industry-leading airport model Transports more passengers worldwide than any other airline, through a vast worldwide route system Innovation: Delta has developed the worlds most sophisticated single-aisle in-flight entertainment system. Propitious Niche (PN): Delta does not currently have a PN. Achilles’ Heel (AH): Delta does not currently have an Achilles Heel. Evaluation of Mission: The current mission is consistent with the company’s stated goals and objectives. However, Delta needs to implement new strategies to adapt to the changing industry, thereby achieving its’ mission. The current forces Delta is facing are illustrated in Po rter’s model (see appendix B). MAIN ISSUES PROBLEMS Rising Operational Costs: Fixed costs throughout the industry have increased in the last 2 years since 09/11. Increased security for both the employees and suppliers as well as inflated terrorist-risk insurance premiums drives this fixed cost increase. Labor expense through salary and wages are the largest operating expenses at approximately 40% of total operating expenses. â€Å"Standard Poor’s estimates that labor costs absorbed 43. 9% of total industry revenues in 2002, up from 40. 6% in 2001 and sharply higher than the 34. 9% of 2000. † As a result of this increase in labor cost, Delta has been forced to layoff 18% of its’ workforce, or 16,000 employees, with more to follow. Unfortunately for Delta though, there is a lag time between employee layoffs and the actual realization of these cost saving maneuvers. Considering other major airlines have been successful at these salary and wage reduct ions, Delta is failing to match its’ competitor’s lower labor cost structure and will have to cut costs elsewhere to successfully compete. Delta also has the highest-paid pilots among the US carriers and has been ineffective at convincing them to take a decrease in salary for the short-term in order to help defend the longterm stability of the company. Adding to this exorbitant overhead cost, twice the usual number of pilots retired this year putting pressure on the pension fund since pilots take a portion of their benefits as a lump sum (Banstetterm, Nov. 3). Delta is not planning any wage cuts for employees of its’ new airline, Song, which puts it at a disadvantage to its’ competitors, since they will be operating at 10-30% lower cost structures. â€Å"Delta’s senior 757 pilots earn an estimated $245 per hour versus $149 at Southwest, $118 at AirTran, and $100 at JetBlue† (Banstetterm, Nov. 21, p. 2) (see Appendix C). Fuel costs remain hig h due to the continuing problems in the Middle East. By December 2002, fuel expenses were 35% higher than the prior year and predicted to increase. This increases the importance of newer fleets that can fly more efficiently achieving better fuel mileage than the older model aircraft. Another added expense in wake of September 11th is a government-imposed fee per passenger for security. According to Delta’s 2002 annual report, there was also a decline in â€Å"traffic due to the real and perceived ‘hassle factor’ resulting from increased airport security measures†. Unfortunately, the new security measures have made flying less convenient for travelers with increased baggage checking and longer wait times at airports. In addition, tax rates and fees have doubled in the past 10 years and most consumers are unwilling to absorb the increased cost. Delta’s cargo business was also negatively affected by the new FAA security measures. In the past, 50% of Delta’s mail business involved transporting mail weighing more than 16 ounces. But now, passenger airlines have been prohibited from transporting these heavier mail items. Delta’s cargo revenues have declined 7% as a result. Labor-Management Mistrust Delta was once known for treating its’ leaders and employees the same. Executives have given themselves huge awards while insisting on job and wage cuts from the workers. This compromises their ability to effectively lead, because these bonuses were triggered more by cash flow and less by profits and operational measures. Delta also created individual trusts for 33 executives to isolate their enhanced pension benefits from creditors if Delta filed for bankruptcy, adding to the mistrust. Declining Profits Market share: Airport capacity, route structures, weather, technology, and, most significantly, rising fuel and labor costs have significantly cut into airline profits. The airline industry finds itself o n a bumpy course as the entire landscape changed primarily resulting from 9/11, the war in IRAQ and SARS. Most US carriers still anticipate heavy losses for the near future. A major challenge will be to find new ways of attracting more premium passengers since they provide the most profit per ticket. The industry as a whole has seen a 5. 2% decrease in ASM’s in 2001. Even though the airlines are decreasing their ASM’s, decreased passenger demand is leading to low load factors of 70. 4% versus 72. 4% in 2000. Most airlines have had to resort to discount fares in order to simulate demand due to excess capacity across the industry. Delta is losing market share to other low-cost carriers that fly a single type of airplane, (which gives the additional savings of only having to maintain one type of parts inventory), offer few frills, and avoid the expensive hub-and-spoke networks of airports that require complex calculations to connect passengers and bags with flights. (A major hub-andspoke airline such as Delta has costs that can be 150% higher than those of a carrier that only flies from one city to the next. (www. baselinemag. com) Because the airline industry is such a network business, each carrier can potentially face a wide range of different competitors, depending on which city market one chooses to analyze. Poor Customer Service Too many passengers reach their destination late, too much baggage is lost, recovery from problems is insufficient, and technology is not as customer friendly as it should be. Moreover, the airlines in general present the public with huge opportunities to distrust them. All of this is occurring as the relentless march of ever-higher customer demand continues. Customer service breakdowns resulting from organizational challenges inflict serious reputational damage on the entire industry and send the public the message that airlines simply don’t care and that they are â€Å"out for themselves†. In an a ttempt to gain an operational advantage over its competitors, Delta has taken a decidedly different approach and has gone to its employees and demanded a premium service at a discount price. Delta employees have been asked to do more with a higher degree of quality and with fewer employees than any other airline employee group in the industry. SOLUTIONS Superior financial performance for Delta will come from choosing and sticking consistently with one of a relatively small range of ‘generic’ competitive strategies. Sticking consistently with a particular strategy means that every activity in Delta’s value chain should be coherently orchestrated around the logic underlying the chosen strategy. Delta’s new vision needs to identify a market opportunity and how in general terms it is to be exploited. It also needs to identify the needs and expectations of key stakeholders – employees, customers, and investors. (Holloway 2002). Delta needs a  "balanced perspective† that pays attention to both competitors and customers. The main goals should be the successful negotiation of a new pilot contract, operational cost-cutting, increasing market share, rebuilding customer service and improving employee morale. Delta should also shift to a more organic organizational structure to achieve this (see appendix D). Its’ managers need to try and channel the ambient level of motivation of the entire workforce. Rather than try and raise their overall motivation, management needs to try and corral and re-focus that energy that naturally exists. Operational Cost Saving Strategies: To reduce costs, Delta needs to make operational improvements such as more effective flight scheduling, maximizing crew resources, improving maintenance processes, and reducing aircraft turn-around times. It should also further pursue outsourcing as a method of reducing operational cost, but not always taking the lowest bid. Many of the efficienci es of the no frills, low cost carriers come from their ability to outsource contracts and to thereby consistently obtain the best services at the best prices. Delta also needs to focus on opportunities that can be successfully exploited with existing resources, rather than acquiring new ones. Delta must adapt to the rapidly changing airline industry landscape by â€Å"Fitting† itself to prevailing contingencies, having taken into account its own strengths and weaknesses. Although Delta currently ranks third in market share, its cost structure puts it at a disadvantage to competing airlines. Both JetBlue and Southwest are positioned in the low-fare arena with American and United both located in the Power Alley (see Appendix E). One of Delta’s most obvious strategic objectives should be to reduce costs while creating new prospects for revenue. Delta should pursue a growth strategy that focuses on growth through intensive market penetration and forward integration. Delta’s current fuel hedging program has been successful and should continue to be fully funded in an effort to continue to cut Delta’s fuel expense. Delta has deferred the purchase of 8 Boeing 737’s in 2005. This means that Delta will try to maximize the utility of its’ current fleet. This is a cost-cutting maneuver in almost every area except in relation to fuel cost. The newer the fleet the better fuel mileage; thus, the older fleet will no doubt increase the fuel cost over levels that would have been reached had these future capital expenditures not been deferred. By December 2002, fuel costs were 35% higher than the prior year and those costs are projected to continue increasing through the 2003 fiscal year. Since the conflicts in the Middle East continue to go unresolved, there is no guarantee of when these rising costs will decline. However, using the new fuel hedging program Delta has managed to reduce fuel cost by 26 million pretax dollars n t he September 2003 quarter alone. The average price of jet fuel for Delta for September 2003 was $0. 79 per gallon, excluding fuel tax. Since this fuel hedging program is a relatively new initiative by Delta, only 53% of its’ fuel requirements were hedged in the 3rd quarter of 2003. Delta is forecasting that approximately 47% of the jet fuel requirements for the 4th quarter of 2003 will be hedged. Instead, Delta should increase jet fuel hedging to 75% of the requirements for the 4th quarter. Every effort should be made by Delta to continue this program, if not increase concentration on such efforts. (www. elta. com) Forward Integration: Investing in technology to reduce cost and improve efficiency can be achieved by investing in distribution channels. Delta should seek to reduce ticket prices through installing more selfservicing kiosks in airports and offering more perks to customers for using internet check-in options, such as a 2% discount. Delta is installing over 400 addi tional self-service kiosks in airports in 2003 and needs to continue installing these kiosks until all major airports are fully equipped. Delta can also reduce costs by encouraging customers to use booking services such as Orbitz. Delta can seek to remove the fees charged by travel agents by offering part or the entire discount to the end user. Delta can in effect forwardly integrate its’ business by eliminating, where possible, the middle-man or travel agent. Delta could offer the consumer even more discounted fares (i. e. 3%) if booked by the on-line services in which Delta has a vested interest. Delta should also add a temporary double-miles promotion that will offer flyers double the SkyMiles for choosing to obtain their tickets via Orbitz. This double-miles promotion should not last longer than six months to a year. Not only will this strategy reduce commissions paid to travel agents, but the cost of issuing paper tickets is $25 per ticket and this will be eliminat ed through the e-ticket purchases. By introducing e-ticketing, promoting online bookings, and improving jointly owned internet travel ports, Delta is moving towards forward integration by acquiring control over its’ distribution channels. Improve Labor-Management Relations Delta needs to continue efforts focused at lowering capital expenditures and cost-cutting methods while at the same time increasing employee confidence in the long-term health of the company. Delta should implement a ‘no furlough policy’ similar to Southwest, which has never permanently laid off an employee. The new CEO Grinstein needs to connect and establish good relationships with the people in the organization that is key. He needs to isolate how the company can improve itself significantly and then communicate that clearly to the entire company. He should also rescind the 33 pension trusts previously established under Mullin’s leadership. In addition, the labor force needs to be come more educated about the economics of the industry so they more fully understand why certain initiatives are being implemented. Delta needs to send all of its’ employees to quality control training seminars per department semiannually. In addition, 40 hours per year of specific on-the-job training beyond the normal federal mandates needs to be implemented immediately. Also, management should agree to a cap on total executive pay and pension caps for unearned years to makeup for Mullin’s blunder last year. Bonuses should be based solely on performance. Values and beliefs in the workplace like pride, loyalty and ‘a sense of belonging’ also need to be re-emphasized to boost morale. Labor Concessions Delta needs to come to an agreement soon with its’ 8,500 pilots on a tentative pay cut. Delta’s pilots are averaging $245 an hour, which by far leads the industry with the lowest pilot wages being $100 an hour for pilots of JetBlue (see App endix C). Since economic times are rough and demand seems to be increasing at a slow rate, Delta can not maintain its ‘leader status’ in the industry without these cuts. Delta should propose a cut of 20% across the board for all pilots effective immediately, rather than the previous 26. 5 % (www. airportnet. org). Though the pilots’ nion may still be hesitant to accept these reductions, Delta could offset these reductions by offering a 3% annual increase above the industry’s standard rate for fiscal years 2008 through 2013. Since many of Delta’s pilots choose to take a portion of their retirement benefits as a lump sum, Delta should offer a delayed-retirement bonus of $1,000 for any pilot who chooses to delay these lump sum payments until after 2008. This 2008 end date should provide Delta the flexibility to recover from its’ current unprofitable trend, even in the event that the forecasts are wrong and the industry’s recovery is not f ully realized by 2005. By maintaining positive cash flows, lowering current labor expenses with a new pilot contract, and reducing retirement payouts, Delta can re-establish itself as the industry leader, while at the same time positioning itself for the promised wage and retirement increases in the future. To help induce the pilots to agree to the new contract, Delta should also offer its’ pilots a 3% increase in profit-sharing packages, a signing bonus of 100 shares of additional company stock issued to each pilot and two seats on the board of directors (currently there are 10 seats) in exchange for the 20 % pay cuts. The pay cut provision will include no wage increases for the next 5 years in exchange for an increased proportional allocation of future stock options, which would be separate stock option plans from what the other employees receive. Market Penetration: Since airline seats are perishable inventory, it is essential that Delta achieve the highest load fact ors possible on every flight. Delta had average load factors of 72. 4% for 2002. It needs to increase these load factors above the break-even level for every market or abandon that market. Delta should be able to better penetrate markets with the use of its’ regional airlines. Comair, Song, and ASA should be used to provide off-peak service when demand is insufficient to warrant a standard 100-plus seat aircraft. Normally the break-even point is approximately a 50% load factor for regional jets, versus about 63% for large jets. Delta should better evaluate regional demand and match service to further penetrate its current market and achieve more profitable load factors. Since proper aircraft selection and selecting the right fleet is a source of competitive advantage for the low cost carriers, Delta should analyze the importance of fleet commonality, high utilization and high reliability. Improve and Rebuild Customer Service Delta needs to implement new initiatives focu sing on improving customer service by adding extra value because airline allegiance is slowly disappearing as a result of internet sales and since most consumers have become so price sensitive. It can accomplish this through enhanced airport self service automation and an enhanced onboard experience. For example, Delta has installed selfservice kiosks in many terminals to allow customers to get boarding passes without having to stand in line at a counter. For people who miss a connecting flight or are subject to a cancellation, new devices should be installed in every gate area, allowing customers to get a printout of a new boarding pass on the next available flight, on which the airline automatically rebooks the passenger. Improved electronic gate displays should also be installed at every terminal, and Delta should continue working with the Transportation Security Administration to speed the flow of passengers through the terminal by 15%. It’s also very important to h ave crews that are flexible and friendly and go out of their way to serve the passengers. In addition, the following 3 points are crucial to adding value back to the Delta experience: †¢ Increased Comfort: Over the course of 3 years, all future planes should have more leg and elbow room for all passengers, not just 1st class. Also, a modification will be made to the existing fleet to accommodate severely overweight people, since 1 out of every 3 people are obese (NPR radio). Special seats will be made available on all future flights for people weighing over 300 pounds to avoid infringing on the ‘personal space’ of regular passengers. These special seat upgrades will be given out on a first-come-first-serve basis and determined at the time the ticket is purchased. †¢ More Kid-Friendly: Effective immediately, Delta will provide free headphones, in-flight children’s movies, children’s music station, playing cards, wings from the pilot, and a colo ring game booklet with crayons. A la Carte Food: Currently, there is a unique opportunity for Delta to put a new food product in front of business and leisure travelers for its’ longer distance domestic flights via collaboration with theme-restaurant giants such as Hard Rock to sell in-flight entrees and offer rotating in-flight menus, rather than offering free meals. It does lower costs, but the switch to food sales is also expected to satisfy customers demands for better-tasting meals. This unique and innovative initiative could become a significant and distinctive factor when passengers book their next flight. In the near future, all Delta passengers will have the ability to order from a menu when booking flights online. Better quality and variety of food can then be available for those that want it leading to increased revenues. Increase Customer Loyalty: Offering slightly roomier seating (using jets without first-class sections but with seats sporting about 5 extra in ches of legroom) and free chocolates and 1 free cocktail during evening flights could be the key to boosting Delta’s customer loyalty. Deltas goal should be to set itself apart with small but important extra amenities. For example, Songs new colorful seats, along with other flourishes like flight attendant uniforms designed by Kate Spade and the martinis sold onboard, are intended to evoke the glamour of commercial aviations past. In addition, Delta should reduce penalties and fees charged to its’ customers for flight changes and heavy bags. Most new strategies that are implemented break ‘new ground’, which often require structural adjustments. By slightly changing a structural dimension of the organization such as ‘specialization’, perhaps Delta can introduce a new type of customer service that will lead to a better overall travel experience as perceived by the customer. For example, by hiring and placing at least 1 attendant at all Del ta gates pre and post flight that are incredibly friendly, cheerful, courteous and helpful, it may be able to achieve a slight advantage in the eyes of many disgruntled travelers. Bringing more front line employees out more frequently to mingle with the crowd will allow flyers to get through the lines quicker. Perhaps Delta should also try to become more organic in the sense of focusing on being more of a ‘service provider’ rather than a provider of physical seats or tickets (products). It could mix-n-match its’ basic mechanistic structure with some organic elements to get the best that both have to offer like Southwest did with their relaxed corporate atmosphere. Since the airline industry is currently operating in such high uncertainty and is unpredictable, it is arguable that Delta should be pursuing more organic concepts that will allow it to adapt quicker to the unstable environment and allow more flexibility for future strategic choices. Employee Owne rship Culture When Delta starts to perform better, employees should be generously rewarded through a profit sharing program (without asking for wage concessions) and a broad-based stock option plan which will allows employees to participate in the financial benefits of an ownership culture, with all employees receiving an additional 5% stock discount, enabling many employees to realize big gains. This supports the common belief that ‘people take better care of things they own’, and that this special care is ultimately passed on to the customer. Ownership extends beyond just the financial benefits of profit sharing and stock option plans and is manifested in the priority they place on employee initiative and responsibility. † Delta should make its’ new profit sharing plan the heart of its’ benefits program. All employees will be rewarded in the future with 2% of the companys profits divided up and allocated by relative salary. Copy Successful Compe titor’s Strategies: Communication is vitally important to the future success of the company. According to last week’s Orlando Business Journal, â€Å"US Airways formed a consumer advisory board committee made up of a broad cross-section of customers to supplement and enhance its’ daily, weekly, and monthly reviews. This board meets several times a year and provides senior executives with open and honest criticism, feedback and compliments. † Delta should form a similar board to assist in its’ efforts to deliver superior customer service. Delta also needs to make its’ ticket pricing easy to understand and competitive. Pronged Hybrid Strategy: Consistently Technologically Innovative Customer-Centric Delta intends to be the first carrier to use radio-frequency identification (RFID) tags on passenger luggage, which allow for non-contact reading and are effective in environments where bar code labels could not survive. This will let the airli ne track bags more precisely than it can with existing bar-code systems (www. computerworld. com). By using RFID, Delta can further improve its’ baggage handling, provide real-time baggage updates, and provide better, faster and friendlier service. Song is also using computer simulations to devise a zone system to speed up the boarding process. Rather than boarding back rows first, passengers sitting in window seats board first, followed by the middle seats, then aisle seats. (www. ajc. com) Enrich the Travel Experience via multimedia Offering in-flight entertainment on all of its’ fleet should be one of its’ central strategies for attracting passengers. This will give all travelers a more satisfying in-flight entertainment experience. Delta should also add increased capabilities from each seat such as email, the ability to watch pay-per-view movies, ability to play interactive video games, ability to create customized MP3 play lists and the ability to rea d about current connecting gate information. In addition, power outlets should be built in to all future arm rests for MP3 players and laptops. This new type of â€Å"in-seat technology† could become a key feature that could make Delta more competitive with its low-cost rivals. Fliers dont have to miss their favorite shows when they travel now, said Mark Jackson, senior vice president, EchoStar. Song passengers will now be able to watch the same shows from ESPN, CNN, Discovery or Animal Planet in the air that they watch at home, making their travel more enjoyable. † Delta should also add server and satellite technology to all of its’ aircraft, by the end of 2004, providing high-speed internet access and wireless access for laptops. FALLOUT Hopefully, Delta’s new leader/CEO Gerald Grinstein, can challenge the process and publicly model what he expects Delta’s workforce to be doing now and in the future. If he doesn’t ‘encourage the he arts of the workers’ by making an emotional connection with them, it will be difficult to motivate them to act accordingly. Delta’s new champion needs to effectively inspire a shared vision of â€Å"what we’re all doing here and clearly define and express what the vision and values of the company are about† or the company will continue on as business as usual. If new rules aren’t established and put into place that will guide specific and desired behavior, nothing major will change. It’s possible that the new chairman of the board John Jack Smith Jr. , and Delta’s new CEO Gerald Grinstein, 71, were selected merely as interim leaders while the board seeks other candidates. This would be detrimental if the public perceived them as temporary leaders. The loss of internet access or the clogging of Delta’s own intranet could be a major problem if terrorists were to somehow bring it down. With the increased reliance for on-line re servations as the main form of booking flights, the results of computer problems (i. e. worms and viruses) could be devastating. If the Delta’s rising stars and cash cow fail to remain profitable then its upcoming ventures will not have the financial means to succeed (see appendix F). If nothing improves, Delta might have to file for bankruptcy protection. Although many of these proposed strategies may be costly upfront, they will ensure a lower cost structure in the future. In fact, several of the cost-cutting strategies will have an immediate effect. The fuel hedging program has manufactured $26 million in fuel cost savings while only being utilized with approximately half of Delta’s fuel requirements. The addition of 400 self-servicing kiosks will be a high upfront expense. However, it should cut into the customer service representatives needed as well as reduce check-in times. Discounts and double SkyMiles offered on flights through Orbitz and Worldspan may l ower profits initially. However, if future internet sales can be solicited and e-tickets issued, the cost savings for Delta would be approximately $25 dollars per ticket. Paper tickets are more expensive for Delta to produce. Assisting to fund these high upfront strategies is the labor concessions proposed to the pilots union. The 20% upfront pay cut will assist with these other strategies while the future savings and increased future demand can help to fund the future wage increases and the incentives promised to the pilots. However, pilot negotiations between the two sides could also stalemate. It’s highly probable that Delta will experience increased demand as a result of implementing these new strategies, which could lead to more congestion at airport-security checkpoints, since there are fewer federal screeners to keep things moving. In March of 2003, the Transportation Security Administration had 55,600 airport security screeners. By October, cost cutting had redu ced that work force to 48,279 (www. nytimes. com) Appendix A: Deltas Most Recent Market Prices and Dividends (www. delta. com) Year 2002 Quarter Ending: March 31 June 30 September 30 December 31 Year 2001 Quarter Ending: March 31 June 30 September 30 December 31 Closing Price High $38. 69 $32. 65 $20. 12 $14. 09 Low $28. 52 $18. 30 $8. 30 $6. 10 Cash Dividends $0. 025 $0. 025 $0. 025 $0. 025 Cash Dividends Closing Price High $52. 94 $48. 05 $46. 56 $31. 15 Low $37. 51 $37. 80 $20. 00 $22. 20 $0. 025 $0. 025 $0. 025 $0. 025 Appendix B: Buyer’s Bargaining Power Ability to secure discount fares by advance purchases and deeply discounted fares available through the internet Current Competitors American, United, Northwest, Continental, Southwest, USAir, America West, Alaska, ATA, JetBlue, AirTran, Spirit, Frontier, Others Supplier’s Bargaining Power Labor Union negotiating power, fuel contracts, travel agent commission rate structure, meal service Delta Airlines Poten tial Entrants Substitute Products Automobiles, railroads, and buses TED, Pinnacle Airlines Appendix C: Airline Pilot Wage Comparison $300 Hourly Wage $250 $200 $150 $100 $50 $0 Delta Southwest AirTran JetBlue Airline Series1 Appendix D: Gap Analysis Organic Formalization Specialization Standardization Centralization Span of Control Professionalism Communication type Mechanistic Delta, although large in size, is providing consumers with transportation service in an unpredictable market/environment. New booking and interline services are making airline technology unpredictable in the future. With the changing environment of the airline industry Delta needs a dynamic model to help move from an mechanistic organizational structure to a more organic structure. Appendix E: Halls Competitiveness Model 20 American 18 16 United Delta US Airways Northwest Delta Market Share 14 12 Northwest 10 Continental 8 Southwest US Airways Alaska Continental United American Southwest Frontier 6 Jet Blu e America West 4 America West 2 Jet Blue ATA Frontier 0 25 30 35 40 45 50 55 60 65 Operating Expenses per Available Seat-Mile (Relative Cost) Alaska ATA Appendix F: BCG Matrix Comair, ASA, SkyTeam Song, Orbitz, and WorldSpan $$$$$$ Delta Delta Express References: Banstetter, T. (2003, Nov. 13). Spike in Delta Airlines Pilot Retirements Will Widen FourthQuarter Loss. Knight-Ridder Tribune Business News. Banstetter, T. (2003, Nov. 21). Delta to Launch Its Own Discount Airline. Knight-Ridder Tribune Business News. Corridore, Jim. (2003, Sept. 25). Standard Poor’s Industry Surveys Airlines. New York: The McGraw-Hill Companies. Ehrhardt, Michael and Brigham, Eugene. A Focused Approach: Corporate Finance (pg. 173) Holloway, Stephen: Airlines- Managing to Make Money. Mullin, Leo. (2003, March 12). Delta Airlines 2002 Annual Report. Will, George F. : The Turbulence in the Business Rattles Airlines and Unions https://www. sunspot. net/news/opinion/oped/bal-op. witcover21sep21,0 ,155526. column? coll=baloped-headlines https://www. baselinemag. com/article2/0,3959,1013642,00. asp https://businessmajors. about. com/gi/dynamic/offsite. htm? site=https://biz. yahoo. com/p/d/dal. html https://www. marketwatch. com/tools/quotes/detail. asp? view=detailsymb=DALsiteid=yhoodi st=yhoostoryquote https://www. nytimes. com/2003/11/17/national/17ECON. tml? ex=1155445200en=e110f030f870 3c37ei=5035partner=MARKETWATCH https://www. newstream. com/us/story_pub. shtml? story_id=11366user_ip=66. 21. 238. 200 https://www. delta. com/inside/investors/forward_info/index. jsp https://www. veracast. com/ssb/2003/transportation/87202119. cfm https://shopping. capelinks. com/mall/stores/delta-airlines. shtml https://www. computerworld. com/mobiletopics/mobile/story/0,10801,82389,00. html https://news. bbc. co. uk/2/hi/business/2957013. stm https://www. airportnet. org/depts/federal/press/articles/1014wsj. htm

My Views On Educational Psychology - 932 Words

Educational Psychology has really opened my eyes and encouraged me to think about who I am and what kind of teacher I would like to be. In this class we have delved deep into ourselves with different self-assessments, which have lead to a better understanding of our strengths and weaknesses. Getting to know myself so thoroughly allowed me to realize how dynamic each one of my students will be and how my teaching style will need to be just as dynamic. Then, learning about the different philosophies of education helped me grasp how to formulate my own teaching philosophy. Last but not least, participating in the Junior Achievement program allowed me to get a taste of actually being in the classroom and gave me the opportunity to test out my own philosophy temporarily. Overall, understanding my personalities, learning about different educational philosophies and seeing how they work in the classroom has showed me how to be a teacher that makes a difference in the lives of my students. 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The internal factors of Islamic banking - Free Essay Example

Sample details Pages: 16 Words: 4829 Downloads: 10 Date added: 2017/06/26 Category Finance Essay Type Analytical essay Did you like this example? Introduction to the Subject Background of the Subject General Objective The purpose of this study is to examine how the internal factors of the Islamic Banking affected their performance before, during and after the financial crisis in the GCC in comparison to the conventional banking in the same area. Research Questions This study aims to answer the following questions: How did the financial crisis affect the profitability of Islamic Banks in comparison to Conventional Banks? What are the internal factors (bank specific characteristics) that influence the profitability of Islamic banking for every year from 2006 à ¢Ã¢â€š ¬Ã¢â‚¬Å" 2009? Did these factors have the same impact on the profitability of Islamic Banking before, during and after the financial crisis? Did these internal factors influence the profitability of Islamic Banking in the same manner as of the Conventional Banking? Don’t waste time! Our writers will create an original "The internal factors of Islamic banking" essay for you Create order Need for the Study Significance of the Study Assumptions of the Study Limitations of the Study Although we cannot neglect the importance of the external factors on the profitability of Islamic Banking, they were not included in this study. To understand the reason behind this decision, we need to go through the different types of external factors and how they are classified: Macroeconomic Factors Country Regulation Rules Bank Regulation Rules These factors were not included for the following reasons: Since we are examining the performance of 92 banks (27 Islamic Banks and 65 Conventional Banks) in 6 countries, the number of countries used in the study is not significant enough to study the impact of GDP and inflation accurately on Bank profitability especially when examining each year separately Country Regulation Rules as per the IMF Database, although it differs slightly for the selected countries, did not change over the period from 2006 to 2009. This means that for each bank, these factors remained constant. Data about Bank Regulation Rules could not be obtained for GCC banks Delimitation of the Study This study was delaminated to the Islamic and Conventional Banks in the GCC whose data could be obtained in the Bankscope database. Chapter 2: Literature Review Overview of Islamic Banking Islamic Baking has established as an alternative to conventional interest-based banking. The first stirring of the Islamic Banking movement began in 1963 by Dr. Ahmed Alnajar in a small town in Egypt, called Mit Ghamar. Dr. Alnajar completed his education in Germany and found that it had many saving banks operating on interest. He took the idea from a savings bank in Germany and created his own small Islamic bank that was interest free. After Dr. Alnajarà ¢Ã¢â€š ¬Ã¢â€ž ¢s small bank proved successful, the establishment of other Islamic banks followed. In 1971, the Nasser Social Bank was founded in Egypt with the objective of lending out money as a charity on the basis of a profit and loss sharing system and helping people in need. And in 1975, the idea of Islamic banking spread to other Islamic regions such Dubai Islamic bank in United Arab Emirates and The Islamic Development (IDB) Bank in Jeddah, Saudi Arabia (Wilson, 1990). Even though Islamic Banking has only been around for thirty years and is still in an evolving stage, Islamic Banking is the fastest growing segment of the credit markets in the Muslim countries. In 2009, Assets held by Islamic Banking banks rose by 28.6 percent to $822bn from $639bn in 2008, according to The Bankerà ¢Ã¢â€š ¬Ã¢â€ž ¢s à ¢Ã¢â€š ¬Ã…“Top 500 Islamic Financial Institutionsà ¢Ã¢â€š ¬? survey while conventional banks posted annual asset growth of just 6.8 percent. Furthermore, GCC states accounted for $353.2bn or 42.9 percent of the global aggregate, while Iran remained the largest single market for Shariah-compliant assets, accounting for 35.6 percent of the total. Source: Asian Banker Research, 2009 Finally, Islamic banking operations are not limited to Islamic countries but are spreading throughout the world. One reason is the growing trend toward transcending national boundaries, and unifying Muslims into a political and economic entity that could have a significant impact on the pattern of world trade (Abdel-Magid, 1981). Islamic Banking Rules and Principles Islamic banking rules are according to the Islamic Shariah derived from the Quran and prophet Mohamedà ¢Ã¢â€š ¬Ã¢â€ž ¢s sayings. The three main practices that are clearly prohibited in the Quran and the prophetà ¢Ã¢â€š ¬Ã¢â€ž ¢s sayings are, Riba (Interest), Gharar (Uncertainty), and Maysir (Betting). Prohibition of Riba or any predetermined or fixed rate in financial institutions is the most important factor in the Islamic principles pertaining to banking. As stated in the Quran à ¢Ã¢â€š ¬Ã…“Allah forbids ribaà ¢Ã¢â€š ¬?. Riba means an increase and under Shariah the term refers to the premium that must be paid by the borrower to the lender along with the principle amount as a condition for the loan (Omar and Abdel, 1996). Gharar occurs when the purchaser does not know what has been bought and the seller does not know what has been sold. In other words, trading should be clear by stating in a contract the existing actual object(s) to be sold, with a price and time to el iminate confusion and uncertainty between the buyers and the sellers. Maisir is considered in Islam as one form of injustice in the appropriation of othersà ¢Ã¢â€š ¬Ã¢â€ž ¢ wealth. The act of gambling, sometimes referred to betting on the occurrence of a future event, is prohibited and no reward accrues for the employment of spending of wealth that an individual may gain through means of gambling. Under this prohibition, any contract entered into, should be free from uncertainty, risk and speculation. Contracting parties should have perfect knowledge of the counter values intended to be exchanged as a result of their transactions. Therefore, and according to Ahmed and Hassan (2007), the principles of Islamic banking and finance enshrined from al-Qurà ¢Ã¢â€š ¬Ã¢â€ž ¢an and Prophet Mohamedà ¢Ã¢â€š ¬Ã‹Å"s Sayings can be summed up as follows: Any predetermined payment over and above the actual amount of principal is prohibited. The lender must share in the profits or loss es arising out of the enterprise for which the money was lent. Making money from money is not acceptable in Islam. Gharar (deception) and Maisir (gambling) are also prohibited. Investments should only support practices or products that are not forbidden or even discouraged by Islam. Islamic Banking Products Islamic Banking products have to be done according to Islamic rules and principles, based on profit and loss sharing as well as avoiding interest. According to BNM statistics 2007, Al Bai Bithaman Ajil financing is the most common in Islamic Banking. There are a lot of Islamic Banking products; however there are some famous Islamic products that will be discussed in this section. Al Bai Bithaman Ajil /BBA This involves the credit sale of goods on a deferred payment basis. In BAA, the Islamic bank will purchase certain assets on a deferred payment basis and then sell the goods back to the customer at an agreed price including some margin or profit. The customer will make payment by installments over an agreed period. A fixed rate BBA is a powerful hedging tool against interest rates (Rosly, 1999). Murabahah Murabahah is a contract of sale. The Islamic Bank acts as a middle man and purchases the goods requested by the customer. The bank will later sell the goods to the cu stomer in a sale and purchase agreement, whereby the lender re-sales to the borrower at a higher price agreed on by both parties. These are more for short term financing Mudharabah According to Kettel (2006), Mudharabah is a basic principle of profit and loss, where instead of lending money at a fixed rate return, the banker forms a partnership with the borrower, thereby sharing in a ventureà ¢Ã¢â€š ¬Ã¢â€ž ¢s profit and loss. Mudharabah is an agreement between the lender and entrepreneur, whereby the lender agrees to finance the project on a profit sharing basis according to a predetermined ratio agreed by both parties concerned. If there are any losses the lender will bear all the losses. Musharakah Musharakah means partnership whereby the Islamic institution provides the capital needed by the customer with the understanding that they both share the profit and loss according to a formula agreed before the business transaction is transacted. In Musharakah all partners a re entitled to participate in the management of the investment but it is not compulsory. Musharakah can help in providing financing for large investments in modern economic activities Al Ijarah Ijarah means meaning to give something on a rental basis. In Ijarah, the bank acquires ownership based on the promise and leases back to the client for a given period. The customer pays the rental but the ownership still remains with the bank or lender. As the ownership remains with the lessor (bank), it continues to give the service for which it was rented. Under this contract, the lessor has the right to re-negotiate the quantum of the lease payment at every agreed interval to ensure rental remains in line with the market rates (Hume, 2004). Wadiah Wadiah is a trust contract and the bank provides gift (hibah) and various types of benefits to the customer. This is exactly like a normal conventional savings account. Istisna Istisna allows one party buys the goods and the oth er party undertakes to manufacture them according to agreed specifications. Normally, Istisna is used to finance construction and manufacturing projects. Salam Salam is defined as the forward purchase of specified goods with full forward payment. This contract is normally used for financing agricultural production. According to Hassan (2004), Salam based future contracts for agricultural commodities, supported by Islamic Banks, can help to overcome the agricultural financial problems Table 2.1 lists the products of conventional banking and their correspondent products in Islamic Banking. Deposit Services Current Deposit Wadiah Wad Dhamana / Qard Hasan Savings Deposit Wadiah Wad Dhamana / Mudaraba General Investment deposit Mudaraba Special Investment deposit Mudaraba Retail / Consumer Banking Housing Property Finance BBA / Ijara wa Iktina /Diminishing Musharaka Hire Purchase Ijara Thumma Al-Bai Share Financing BBA / Mudaraba / Musharaka Working Capital Financing Murabahah/ Bai Al-Einah/ Tawarruq Credit Card Bai Al-Einah/ Tawarruq Charge Card Qard Hasan Corporate Banking/ Trade Finance Project Financing Mudaraba / Musharaka / BBA / Istisna / Ijara Letter of Credit Musharaka/ Wakala/ Murabaha Venture Capital Diminishing Mudaraba/ Musharaka Financing Syndication Musharaka + Murabaha/ Istisna / Ijara Revolving Financing Bai Al-Einah Short-term Cash Advance Bai Al-Einah/ Tawarruq Working Capital Finance Murabaha/ Salam/ Istijrar Letter of Credit Murabaha Letter of Guarantee Kafala + Ujr Leasing Ijara Export/ Import Finance Musharaka/ Salam/ Murabaha Work-in-Progress, Construction Finance Istisna Bill Discounting Bai al-Dayn Underwriting, Advisory Services Ujr Treasury / Money Market Investment Products Sell buy-back agreements Bai al-Einah Islamic Bonds Mudaraba / Mushraka + BBA / Istisna / Ijara Government Investment Issues Qard Hasan/ Salam/ Mudaraba Other Products Services Stock-Broking Services Murabaha/ Wakala/ Joala Funds Transfer (Domestic Foreign) Wakala/ Joala Safe-Keeping Collection (Negotiable Instruments) Wakala/ Joala Factoring Wakala/ Joala/ Bai al-Dayn Administration of Property, Estates and Wills Wakala Hiring of Strong Boxes Amana/ Wakala Demand Draft, Travellerà ¢Ã¢â€š ¬Ã¢â€ž ¢s Cheques Ujr/ Joala ATM Service, Standing Instruction, Telebanking Ujr Source: Obaidullah, 2005 Financial Crisis and the Islamic Banking Previous Literature The study of bank profitability is an important tool to evaluate bank operation by examining the different factors affecting bank profitability and using these factors for management planning and strategic analysis. In the last four decades, many studies have been conducted to study both bank profitability and the determinants of bank profitability either for particular country or for a panel of countries. These studies normally divide these factors into internal factors and external factors. Internal factors represent the bank-specific characteristics such as bank size, liquidity structure; liabilitiesà ¢Ã¢â€š ¬Ã‚ ¦etc while external factors can be macroeconomic factors such as inflation and GDP growth or Country-specific regulations rules and practices. In the area of banking profitability, many studies have been conducted to investigate the profitability of conventional banks while only few were conducted in the field of Islamic banking. In this chapter, we will review these studies for conventional banking first and then will focus on studies in the Islamic banking field. Then we will cover the conceptual framework of this research. Conventional Banking Different studies have been conducted in the field of conventional banking profitability. Short (1979), Bourke (1989), Molyneux and Thornton (1992), Goddard, Molyneux, and Wilson (2004), Peters et al. (2004) are some of the researchers in the field. Short (1979) is one of the early scholars who studied the relationship between banking profit rates and concentration for sixty banks in Canada, Western Europe and Japan during the 1970à ¢Ã¢â€š ¬Ã¢â€ž ¢s and he included independent variables including government ownership and concentration by using H index to quantify concentration. Results showed that the government ownership impact on profitability varied throughout the countries studied but expressed an overall negative relationship. He also found evidence that indicated higher concentration rates lead to higher profit rates (Short, 1979). Bourke (1989) also compared concentration to bank profitability but included other determinants. Bourke (1989) covered ninety banks in Aust ralia, Europe, and North America between 1972 and 198 and examined different internal and external factors: internal factors such as staff expenses, capital ratio, liquidity ratio, and loans to deposit ratio; external factors such as regulation, size of economies of scale, competition, concentration, growth in market, interest rate, government ownership, and market power. His results show that increase in government ownership leads to lower profitability in banking. He also found that concentration, interest rates, and money supply are positively related to profitability along with capital and reserves of total assets as well as cash and bank deposits of total assets. Bourke adds that well capitalized banks enjoy cheaper access to sources of funds as they are less risky than less capitalized banks (Bourke, 1989). Later, Molyneux and Thornton (1992) studied the determinants of European banks profitability. The paper examined eighteen counties in Europe between 1986 and 1989. This paper replicated Bourkeà ¢Ã¢â€š ¬Ã¢â€ž ¢s (1989) work by using internal and external determinants of bank profitability. However, Molyneux and Thornton (1992) results showed that government ownership expresses a positive coefficient with return on capital (profitability) which contradicts with Bourkeà ¢Ã¢â€š ¬Ã¢â€ž ¢s findings. Other results were similar to Bourkeà ¢Ã¢â€š ¬Ã¢â€ž ¢s, showing that concentration, interest rate, and money supply were positively related to bank profitability (Molyneux and Thornton, 1992). In one of the recent papers on bank profitability on European banks, Goddard, Molyneux, and Wilson (2004) shows similar findings to the paper by Molyneux and Thornton (1992). It investigates the determinants of profitability in six European countries and it covered 665 banks between 1992 and 1998. The study used cross-sectional and dynamic panel models. The variables used in the regression analysis were ROE, the logarithmic of total assets, Off Balance Sheet (OBS) dividends, Capital to Asset Ratio (CAR). The results from both models were similar: evidence reveals that there is a positive relationship between size (total assets) and profitability. Meanwhile, OBS appears to have a positive relationship with profitability for UK but neutral or negative for other European countries. Moreover, results also state that CAR has a positive relationship with profitability. Furthermore, the paper touched on ownership type by indicating that there is high competition in banking due to the fact that there is foreign bank involvement in domestic banks, and that profitability is not linked to ownership (Goddard, Molyneux, and Wilson, 2004). Peters et al. (2004) studied the characteristics of banks in post-war Lebanon for the years 1993 to 2000 and compared the results to a group of banks from five other countries in the Middle East including UAE, KSA, Kuwait, Bahrain and Oman for the years 1995 through 1999. They used Return on Equity (ROE) measure prof itability and leverage and they employed regression models that relate bank profitability ratios to various explanatory variables. This study tests the relationships between bank profitability and size, asset portfolio composition, off-balance sheet items, ownership by a foreign bank, and the ratio of employment to assets. The results show a strong association between economic growth and bank profitability, whether measured by ROE or ROA. They found that Lebanese banks are profitable, but not as profitable as a control group of banks from five other countries located in the Middle East. Islamic Banking In the area of Islamic Banking, Bashir (2000) assessed the performance of Islamic banks in eight Middle Eastern countries. He analyzed important bank characteristics that affect the performance of Islamic banks by controlling economic and financial structure measures. The paper studied fourteen Islamic banks from Bahrain, Egypt, Jordan, Kuwait, Qatar, Sudan, Turkey, and United Arab Emirates between 1993 and 1998. To examining profitability, the paper used Non Interest Margin (NIM), Before Tax Profit (BTP), Return on Assets (ROA), and Return on Equity (ROE) as performance indicators. There were also internal and external variables: internal variables were bank size, leverage, loans, short-term funding, overhead, and ownership; external variables included macroeconomic environment, regulation, and financial market. In general, results from the study confirm previous findings and show that Islamic banks profitability is positively related to equity and loans. Consequently, if loans an d equity are high, Islamic banks should be more profitable. If leverage is high and loan to assets is also large, Islamic banks will be more profitable. The results also indicate that favorable macro-economic conditions help profitability (Bashir, 2000). Hassoune (2002) examined Islamic bank profitability in an interest rate cycle. In his paper, compared ROE and ROA Volatility for both Islamic and conventional banks in three GCC region, Kuwait, Saudi Arabia, and Qatar. He states that since Islamic banking is based on profit and loss sharing, managements have to generate sufficient returns for investors given that they are not willing accept no returns (Hassoune, 2002). Bashir and Hassan (2004) studied the determinants of Islamic banking profitability covers 43 Islamic Banks between 1994 and 2001 in 21 countries. Their figures show Islamic banks to have a better capital asset ratio compared to commercial banks which means that Islamic banks are well capitalized. Also, their pap er used internal and external banks characteristics to determine profitability as well as economic measures, financial structure variables, and country variables. They used, Net-non Interest Margin (NIM), which is non interest income to the bank such as, bank fees, service charges and foreign exchange to identify profitability. Other profitability indicators adopted were Before Tax Profit divided by total assets (BTP/TA), Return on Assets (ROA), and Return on Equity (ROE). Results obtained by Bashir and Hassan (2004), were similar to the Bashir (2000) results, which found a positive relationship between capital and profitability but a negative relationship between loans and profitability. Bashir and Hassan also found total assets to have a negative relationship with profitability which amazingly means that smaller banks are more profitable. In addition, during an economic boom, banks profitability seems to improve because there are fewer nonperforming loans. Inflation, on the oth er hand, does not have any effect on Islamic bank profitability. Finally, results also indicate that overhead expenses for Islamic banks have a positive relation with profitability which means if expenses increase, profitability also increases (Bashir and Hassan, 2004). Alkassim (2005) examined the determinants of profitability in the banking sector of the GCC countries and found that asset have a negative impact on profitability of conventional banks but have a positive impact on profitability of Islamic banks. They also observed that positive impact on profitability for conventional but have a negative impact for Islamic banking. Liu and Hung (2006) examined the relationship between service quality and long-term profitability of Taiwanà ¢Ã¢â€š ¬Ã¢â€ž ¢s banks and found a positive link between branch number and long-term profitability and also proved that average salaries are detrimental to banksà ¢Ã¢â€š ¬Ã¢â€ž ¢ profit. Masood, Aktan and Chaudhary (2009) studied the co-int egration and causal relationship between Return on Equity and Return on Assets for 12 banks in KSA for the period between 1999- 2007. For their research, the used time series model of ADF unit-root test, Johansen co-integration test, Granger causality test and graphical comparison model. They found that there are stable long run relationships between the two variables and that it is only a one-direction cause-effect relationship between ROE and ROA. The results show that ROE is a granger cause to ROA but ROA is not a granger cause to ROE that is ROE can affect ROA input but ROA does not affect the ROE in the Saudi Arabian Banking sector. Conceptual Framework Theoretical framework is a basic conceptual structure organized around a theory. It defines the kinds of variables that are going to be used in the analysis. In this research, the theoretical framework consists of seven independent variables that represent four aspects of the Bank Characteristics. Theses aspects are the Bank Size (Total Assets), Capital Structure (Equity and Tangible Equity), Liquidity (Loans and Liquid Assets) and Liabilities (Deposits and Overheads). Bank profitability is the dependent variable and two measures of bank profitability are used in this study, namely return on average equity (ROAE) and return on average assets (ROAA). Financial Crisis Internal Factors (Bank-Specific) Islamic Banking Profitability H1: Bank Size H2, H3: Capital Structure H4, H5: Liquidities H6, H7: Liabilities Return on Average Assets (ROAA) Return on Average Equity (ROAE) In this section we develop the hypothesis to be examined in this research paper. Development of Hypotheses This paper attempts to test seven hypotheses. A hypothesis is a claim or assumption about the value of a population parameter. It consists either of a suggested explanation for a phenomenon or of a reasoned proposal suggesting a possible correlation between multiple phenomena. According to Becker (1995), hypothesis testing is the process of judging which of two contradictory statements is correct. Hypothesis 1: Profitability has a positive and significant relationship with the total assets (ASSETS). Total Assets of a company represents its valuables including both tangible assets such as equipments and properties along with its intangible assets such as goodwill and patent. For banks, total assets include loans which are the basis for bank operations either through interest or interest-free practices. Total assets is used as a tool to measure the bank size; banks with higher total assets indicate bigger banks. Molyneux and el (2004) included total assets in their study and fo und a positive significant relationship between total assets and profitability. Therefore, total assets are expected to have positive relation with profitability which means that bigger banks are expected to be more profitable. Total assets are converted logarithmic to be more consistent with the other ratios Hypothesis 2: Profitability has a positive and significant relationship with equity to asset ratio (EQUITY). Total equity over total assets measures bankà ¢Ã¢â€š ¬Ã¢â€ž ¢s capital structure and adequate. It indicated bank ability to withstand losses and handle risk exposure with shareholders. Hassan and Bashir (2004) examined the relationship between EQUITY and bank profitability and found positive relationship. Therefore, EQUITY is included in this study and it is expected to have a positive relation with performance because well capitalized banks are less risky and more profitable (Bourke, 1989) Hypothesis 3: Profitability has a positive and significant relationship with Tangible Equity to total liabilities ratio (TNGEQTY). Tangible Equity represents the subset of shareholderà ¢Ã¢â€š ¬Ã¢â€ž ¢s equity that is not common shares and not intangible asset. Tangible Equity became very popular after the financial crisis as a measure of bank viability since it indicates of how much ownership equity owners of common stock would receive in the event of a companyà ¢Ã¢â€š ¬Ã¢â€ž ¢s liquidation. Beltratti and Stulz (2009) examined tangible equity to liabilities in their study to examine why some banks perform better during the financial crisis and found positive and insignificant relationship between TNEQTY and bank profitability. Therefore, TNEQTY is included in this study and it is expected to have positive relationship since banks with better capital structure in since of more equity à ¢Ã¢â€š ¬Ã¢â‚¬Å" seems to perform better. Hypothesis 4: Profitability has a positive and significant relationship with the loans to assets ratio (LOANS). Tota l loans over total assets a liquidity ratio used that indicates how much of bank assets are tied to loans. For banks, the higher LOANS ratio means less liquidity. Demirguc-Kunt and Huizinga, (1997) found positive relationship between LOANS and bank profitability. LOANS is included in this study and anticipated to have positive relationship with profitability. Furthermore, conventional banks rely on interest-based loans while Islamic banks rely on profit and loss sharing interest-free lending. Therefore, this ratio is also used to compare the performance of interest-based loans and interest-free lending. Hypothesis 5: Profitability has a positive and significant relationship with the liquid assets to total assets ratio (LIQUID). Liquid assets include currency, deposit accounts, and negotiable instruments that can be converted easily into cash. Liquid assets to total assets ratio is a liquidity ratio that measure how easily the banksà ¢Ã¢â€š ¬Ã¢â€ž ¢ assets can be converted int o cash. Beltratti and Stulz (2009) found that LIQUID has positive and significant relation with profitability as banks with more liquid assets tend to perform better. Therefore, LIQUID is included in this study and expected to have positive relationship with profitability. Hypothesis 6: Profitability has a reverse and significant relationship with the deposits to assets ratio (DEPOSITS). Deposits to total ratio is another liquidity indicator but is considered a liability since they measure the impact of liabilities on profitability. Bashir and Hassan (2004) examined deposits in their study and found a negative relationship with profitability. Therefore, we expect that DEPOSITS to have negative relationship with profitability. Hypothesis 7: Profitability has a positive and significant relationship with the overhead to assets ratio (OVERHEAD). Overhead costs represent all bank expenses excluding interest expenses as they are considered as operations expenses. Overhead over total assets is a liability ratio that measures the operation efficiency of the bank. Alkassim (2005) included OVERHEAD in his research and found positive relationship to profitability. Therefore, OVERHEAD is included in this study and expected to have positive relationship to profitability. Chapter 3: Methods Data Sample From 2006 to 2008 2009 Country Islamic Banks Conventional Banks Islamic Banks Conventional Banks Bahrain 12 14 5 5 Saudi Arabia 2 9 1 7 Qatar 3 5 2 4 Kuwait 4 14 1 3 Oman 0 6 0 3 UAE 6 17 0 7 Total 27 65 9 29 The data used in this analysis were extracted from Bankscope data for all Islamic and Conventional Banks in the GCC for the period from 2006 to 2009. Using Bankscope has many advantages: it has information for over 30,000 banks, plus the accounting information is presented in a standardized format. Therefore, the accounting information of Islamic Banking is adjusted to be comparable with accounting information of conventional banks. The data used for this study are from a pooled time-series cross-sectional data. The data are taken from various countries. Sample period for this study is from 2002 to 2007. Cross-sectional data provide information on variables for a given period of time. While time series data give information about variables over a number of periods of time. The data for internal variables are obtained from BankScope database which is compiled by International Bank Credit Analysis Limited (IBCA). Using BankScope has two advantages. Firstly, it has informatio n for 11,000 banks, accounting for about 90% of total assets in each country. Secondly, the accounting information at the bank level is presented in standardized formats, after adjustments for differences in accounting and reporting standards. The data for external variables are obtained from World Economic Outlook 2008 database, published by International Monetary Fund (IMF). A total of 60 Islamic banks from 18 countries were chosen in this study. The selected banks are those which are classified as Islamic bank in BankScope database. The Islamic banks have available data for at least one year between 2002 and 2007. This yielded an unbalanced panel data consisting of 260 observations. However, after eliminating cases with missing data, only 155 observations of balanced panel data are left. Variable Definition Independent Variable: Profitability Measures There are many ratios that have been used by researchers to measure bank profitability but the two most often used ratios are the return on assets (ROA) and the return on equity (ROE) (Iqbal et al., 2005). Return on Assets (ROA) Return of Assets ROA of a bank is the net after-tax income divided by its total assets (Rose, 2002). The return on assets (ROA) is the most important single ratio in comparing the efficiency and operating performance of banks since it indicates the return generated from the assets financed by the bank. Average assets are being used in this study, in order to capture any differences that occurred in assets during the fiscal year. Return on Equity (ROE) ROE is the ratio of a bankà ¢Ã¢â€š ¬Ã¢â€ž ¢s net after-tax income divided by its total equity capital (Rose, 2002). The return on equity (ROE) indicates how effectively the management of the enterprise (bank) is able to turn shareholdersà ¢Ã¢â€š ¬Ã… ¸ funds (i.e. equity) into net profit. It is the rate of return flowing to the bankà ¢Ã¢â€š ¬Ã… ¸s shareholders (Samad, 1999). The higher ROA and ROE reflect higher managerial efficiency of the bank and vice versa. Independent Variables: Internal Factors The table below summarizes the variables used in this study: Dependent Variables ROA Return on Assets Net Income / Total Assets ROE Return on Equity Net Income / Equity Independent Variables Bank Size ASSETS Total Assets Log (Total Assets) Positive (+) Capital EQUITY Equity Equity / Total Assets Positive (+) TNGEQTY Tangible Equity Tangible Equity / Total Liabilities Positive (+) Liquidity LOANS Loans Loans / Total Assets Positive (+) LIQUID Liquid Assets Liquid Assets / Total Assets Positive (+) Liabilities DEPOSITS Deposits Deposits / Total Assets Negative (-) OVERHEAD Overhead Costs Overhead Costs / Total Assets Positive (+) Methodology In line will the previous literature, Multiple Regression Equation will be used to examine the determinants of profitability in the Islamic Banking and compare the results with those of the conventional banking: Model 1 ROA ROA = ÃŽÂ ±1 + ÃŽÂ ²1 ASSET + ÃŽÂ ²2 EQUITY + ÃŽÂ ²3 TNGEQTY + ÃŽÂ ²4 LOANS + ÃŽÂ ²5 LIQUID +ÃŽÂ ²6 DEPOSITS + ÃŽÂ ²7 OVERHEAD + ÃŽÂ µ Model 2 ROE ROE = ÃŽÂ ±2 + ÃŽÂ ²1 ASSET + ÃŽÂ ²2 EQUITY + ÃŽÂ ²3 TNGEQTY + ÃŽÂ ²4 LOANS + ÃŽÂ ²5 LIQUID +ÃŽÂ ²6 DEPOSITS + ÃŽÂ ²7 OVERHEAD + ÃŽÂ µ Where: Independent Variables: ROA: Return on Assets ROE Return on Equity Dependent Variables: ASSETS: log (Total Assets) EQUITY: Equity / Total Assets TNGEQTY: Tangible Equity / Total Liabilities LOANS: Loans / Total Assets LIQUID: Liquid Assets / Total Assets DEPOSITS: Deposits / Total Assets OVERHEAD: Overhead Costs / Total Assets

Saving Grace, Enduring Love - 1497 Words

Saving Grace, Enduring Love With there being over 6500 languages spoken around the world and more than 5000 different ethnicities in existence, the probability of finding one single idea for the entire world to agree on is slim to none. In fact, with some countries being home multiple diverse cultures, the fact that they themselves are even able to come to an agreement as a nation is an amazing thing. The world is vast and its people differ like night and day, and yet, the Christians of the world are still able to band together under one idea. Although they may have different customs and procedures, Christians worldwide are all able to collectively agree on a few specific things: the mighty forces of God’s saving grace, his enduring love,†¦show more content†¦In the Old Testament, God was more of a father figure to mankind. The children of God are sinning wildly and still learning the ways of the world. The relationship between God and man was a journey from stern fat her to friend in the Old Testament, while in the New Testament, conversely, we see God almost as our equal. Encased in the body of a man, Jesus was available to us in a way that was not before. Still with all the power of God, suddenly we could approach Him as a friend- the father and the friend and teacher molding into one. Through thick and thin, God guides us, teaches us, and loves us more than anything. His love is not limited to certain kinds of people either; it is selfless and all consuming. As Ephesians 1:4 states â€Å"just as He chose us in Him before the foundation of the world, that we should be holy and without blame before Him in love.† God chose to love us, and He cares for the troubled and oppressed just as much as the privileged upperclassman. In fact, the bible reminds us that it is our Godly duty to remember and take action against the difficulties that oppressed groups face. True religion is â€Å"caring for someone who cannot take care of himself or hers elf.† Because God loves all of us so much, he also wants to push us to emulate him and care for orphans, widows and all other types of oppressed individuals that are overlooked in society and unable to