Company Law and Secretarial Practices Essay Example for Free

Comp all Law and Secretarial Pr operationices Essay internalisation means the process of police forcefully declaring a incorporated entity as pick out entity from its owners. Incorporation has m whatever advantages for a c are and its owners, including Protects the owners assets against the communitys liabilities. Allows for easy transfer of ownership to a nonher party.Achieves a lower tax rate than on somebodyal income.Receives more lenient tax restrictions on loss carry forwards. Can raise chief city done the sale of the stock. Incorporation involves drafting a Memorandum of Association and an Articles of Association, which lists the primary aspiration of the business and its location, along with the number of considers and class of stock being coped, if any. Incorporation leave also involve state-specific registration information and fees. Those procedures are on a lower floortaken by a promoter who is a person who starts up a business, particularly a corporatio n, including the financing. The formation of a corporation starts with an idea.Pre-incorporation activities transform this idea into an actual corporation and the promoter is the individual who carries on these activities. Usually the promoter is the main shareh senescenter or one of the management team and receives stock for his/her efforts in organization. Without incorporation, Company Law deal non stand by itself as law amended is criti squawky meant to protect the sharebearers as vigorous as the member of the familiarity which is substantiate. As mentioned above, incorporation tends to protect the welfare of the business and its owners in various perspectives like intellectual property, taxation and with child(p) shares. In other words, Company law (or the law of business associations) is the field of law concerning companies.Furthermore, at that place are various types of bon ton that can be create in different jurisdictions as shown in Malaysian Company crop 1965 Se ction 14(2) which are a club limited by guarantee. Comm plainly employ where companies are formed for non-commercial purposes, such as clubs or charities. The members guarantee the even offment of certain (usually nominal) amounts if the caller-out goes into insolvent liquidation, and they have no economic rights in relation to the fellowship. a company limited by guarantee with a share capital. A hybrid entity, usually employ where the company is formed for non-commercial purposes, entirely the activities of the company are partly funded by investors who expect a return. a company limited by shares.The most common form of company used for business ventures. an unlimited company either with or without a share capital. This is a hybrid company, a company similar to its limited company (Ltd.) transcript but where the members or shareholders do non benefit from limited liability should the company ever go into formal liquidation. Meanwhile, there are thousands of company law matters that showed that incorporation is the bedrock of formation of Company Law. As such, We held out a few cases here which clearly indicated the importance of Company Law in find the judiciary case related to incorporation. Salomon v A Salomon and Co Ltd 1897 AC 22Corporate separate personalitySalomon conducted his business as a touch on trader. He sold it to a company incorporated for the purpose called A Salomon and Co Ltd. The only members were Mr Salomon, his wife, and their quintette children. Each member took one 1 share for each one. The company bought the business for 39,000. Mr Salomon guided for 20,000 further shares. However, 10,000 was not paid by the company, which instead issued Salomon with series of debentures and gave him a floating charge on its assets. When the company failed the companys pass receiver contended that the floating charge should not be honoured, and Salomon should be made responsible for the companys debts. Lord Halsbury LC stated it see ms to me impossible to dispute that once the company is lawfully incorporated it must be treated like any other independent person with its rights and liabilities appropriate to itself, and that the motives of those who took part in the promotion of the company are abruptly irrelevant in discussing what those rights and liabilities are.Hickman v Kent or Romney Marsh Sheep-Breeders AssociationOutsider rightsHickman was a member of the Kent or Romney Marsh Sheep-Breeders Association. He began a court trans movement complaining of various irregularities in the affairs of the association. Clause 49 of the Associations constitution stated that all disputes were to handled by arbitration. The question of whether a person who is not a member of the company has rights to sue on the statutory disregard provide by what is now dent 33 of the Companies practice 2006 was considered . It was held that an outsider to whom rights are purportedly given by the companys articles in his capacity as an outsider cannot sue in that capacity, whether he is also a member of the company or not. From this case comes the fundamental concept that a company has a sanctioned personality or identity separate from its members. A company is thus a licit person.Macaura v Northern Assurance Co Ltd 1925 AC 619Members have no interest in a companys propertyThe owner of a timber earth sold all the timber to a company which was owned almost solely by him. He was the companys largest creditor. He insured the timber against fire, but in his own let on. After the timber was destroyed by fire the insurance company refused the claim.The House of Lords held that in order to have an insurable interest in property a person must have a legal or equitable interest in that property. The claim failed as the corporator even if he holds all the shares is not the corporation neither he nor any creditor of the company has any property legal or equitable in the assets of the corporation.In a nutshell, the effect of incorporation which is embedded in Section 16(5) On and from the project of incorporation specified in the certificate of incorporation but subject to this motivate the subscribers to the memorandum together with such other persons as whitethorn from eon to time become members of the company shall be a body corporate bby the name contained in the memorandum capable forthwith of exercising all the functions of an incorporated company and of suing and being sued and having perpetual succession and a common seal with actor to hold nation but with such liability on the part of the members to contribute to the assets of the company in the event of its being wound up as is provided by this Act clearly demonstrated that the foundation of Company Law is the company and that without incorporation and the creation of a separate corporate personality, there couldnt be a base for the formation of Company law and Companies Act.2. In practice, in no circumstances, is it possible t o pierce the corporate veil between a parent and a underling company. A company is an artificial person. Once it is incorporated, it comes into being and is a separate legal entity from its members and big businessmanrs. The importance of the principle of separate legal entity was first established in the landmark case of Salomon v Salomon Co Ltd (1897).In this case, Mr Salomon was a sole-proprietor manufacturing boots. The business was successful. Mr Salomon incorporated a company and sold his business to the company in reflexion for 20000 shares and debentures of 10000 issued in favour of Mr Salomon. Mr Salomon ended up holding 20001 of the 20007 shares issued. The other six shared were held by his wife and five children as nominees for Mr Salomon. Unfortunately, the company experienced financial difficulty and was wound up. An action was brought against Mr Salomon to indemnify the company for all the debts due to its unsecured creditors. The House of Lords held that even thou gh the business was managed by the same persons and the same hands received the increases, the company was not an agent or trustee for the members. Incorporation of the company created a separate person. The members were not liable in respect of the companys liabilitys.The same applies to parent and underling companies. Both parent and subsidiary companies has their own separate legal entity. One example is the case of The stacks policy Co (M) v The Peoples Insurance Co Ltd (1986). In this case, the plaintiff company, Peoples Insurance Co. (M) Sdn. Bhd. (PICMSB) was a subsidiary of the first defendants company, Peoples Insurance Co. Ltd. (PICL). On 12 January 1978, five managing managing managing directors of PICMSM held a meeting.One of the directors was the Managing Director of the defendant (PICL), another one was General Manager and Director of the defendant (PICL), and another one was Executive Director of the defendant (PICL). During the meeting they passed a proclama tion that affect PICL. The defendant (PICL) denied any liability. The court held that i. The parent and subsidiary companies are two separate legal entities ii. Officers of the parent company who are on the mature of the subsidiary are not representatives of the parent company but sit at the Board Meeting as directors and agent of the subsidiary iii. A gag rule of the Board of directors of the subsidiary does not bind the parent company. The resolution did not constitute a contract between the parties.Thus, it is held that the principle of separate legal entity applies as well to related companies, including wholly owned subsidiaries. In Adams v Cape Industries PLC (1990), the main defendant was an English registered company presiding over a group of companies whose business was in the mining (in South Africa), and marketing, of asbestos. The company had become the subject of a class action lawsuit in the United States, and the company tried to avoid chip the case in the America n courts on jurisdictional grounds. The Plaintiffs obtained a appreciation against the English company in the American courts, but as Cape had no assets left in the U.S., they then sought to enforce the judgment against the principal company in the group in the English courts.The court conveyed that the purpose of the corporate group structure set up by Cape Industries had been used specifically to ensure that the legal liability of a particular subsidiary would fall only upon itself and not the parent company in England. The court refused to pierce the veil of incorporation to allow the judgment creditor to enforce its judgment against the judgment debtors holding company. The court refused to treat both the subsidiary and holding companies as one single entity.However the legislature recognizes that there may arise circumstances when this principle of separate legal entity may lead to adverse positions, and thus have enacted statutory exceptions to lift the veil of incorporati on under specified circumstances. Normally in new situations or circumstances, court decides on case by case basis to pierce the veil of incorporation. There are instances where the court held that the related companies do not have separate legal entities they are indeed one legal entity.In DHN Food Distributors Ltd v capital of the United Kingdom Borough of Tower Hamlets (1976), DHN carried on the business of operating a grocery on the property owned by one of its wholly owned subsidiaries. The property was mandatorily acquired by the authority which refused to pay compensation to DHN as it did not have any interest on the land. The English Court of Appeal held that the group operated as a single economic unit and thus DHN could recover the compensation due to them under law.In conclusion, in normal practice with no circumstances, it is not possible to pierce the corporate veil between a parent and a subsidiary company as mentioned in The Peoples Insurance Co (M) v The Peoples Insu rance Co Ltd (1986) and Adams v Cape Industries PLC (1990). Only when there arise circumstances can only the corporate veil of a parent and subsidiary company be pierced.3a. Joe and microphone issue sufficient RM1 shares to Luke to raise his stake to 40% to allow them to defeat the resolution of their removal from the board. The action proposed by Joe and Mike is not allowed under section 132D of Companies Act 1965. Section 132D(1) of the Act reads, notwithstanding anything in a companys memorandum or articles, the directors shall not, without the forward approval of the company in general meeting, exercise any power of the company to issue shares. Un little the power to issue shares has been vested in the members at a general meeting, the directors are not allowed to issue shares. Under this section, the companys power to issue shares is not transferred from the directors to the members in general meeting. Rather, it imposes an obligation on the directors to obtain the approval of the companys shareholders in general meeting before exercising their power to issue shares.When an allotment of shares takes place by the company without compiling without any statutory procedure, it is an irregular allotment. Although it is necessary to obtain only an ordinary resolution for the issuance of new shares, section 132D (5) requires such resolution to be lodged with the Registrar of Companies (ROC). When the minimum subscription is not received, it is an irregular allotment and it is void. The directors are liable to pay both the company and also to the allotee. On the other hand, prior approval of the members is not indispensable if the shares issued are consideration or part consideration for the acquisition of shares or assets by the company. Section 132D (6A) provides that if the consideration for the shares in sympathetic or partially in kind, it is sufficient for the directors to inform the members in opus at least 14 long time before the shares are issued.Th e consequences for non compliance of section 132D are provided in section 132D (6) which reads, Any issue of shares made by a company in contravention of this section shall be void and consideration given for the shares shall be recoverable accordingly. In fact, the directors are liable to compensate the company and the allottee for any loss, damages or costs which might get along as a result of the breach. According to section 132D (7), any director who knowingly contravenes, or permits or authorizes the contravention of, this section with respect to any issue of shares shall be liable to compensate the company and the person to whom the shares were issued for any loss, damages or costs which the company or that person may have free burning or incurred thereby. Thus, Joe and Mike shall be liable topay compensation to the company and Luke if any loss or cost incurred.However, the shareholders or creditor of the company may apply to the court for validation of the shares under secti on 63. If the court finds the issuance of shares is just and equitable, the court may order the validation of the shares which were not right issued. In the case of Kepala Sawit (Teluk Anson) Sdn Bhd v Yeoh Kim Leng Ors (1991), the court held that an act of the company which is irregular offers room for its regularization or validation by application of the just and equitable principles embodied in section 63. Nevertheless, it seems to be impossible for the court to validate the shares in the situation above if any appeal is made.Besides that, the intention of Joe and Mike to raise Lukes shares is to allow him to defeat the resolution of their removal from the board. Section 128 of the Companies Act 1965 provides for the removal of a director of a public company but no provision is made for the removal of a director of a private company. This is left to the companys article. Article 69 of Table A provides that the company may by ordinary resolution polish off a director. Thus, if telling Stars Sdn Bhds article has adopted Table A, then the procedure provided in Section 128 has to be followed. Also, depending on the companys article, either an ordinary or peculiar(prenominal) resolution has to be passed in the meeting by the shareholders of the company.In business or commercial law, ordinary resolution is a resolution passed by the shareholders of a company generally affirmed by not less than 50% of the members dramatis personaeing their votes, whereas surplus resolution is generally affirmed by not less than 75% of members casting their votes. Therefore, even if Lukes stake can be raised to 40%, he still cant defeat the resolution because a resolution is passed base on the voting cast by the majority in the meeting. Hence, Tony shall not worry about Joes and Mikes action in raising Lukes stake to 40% by issuing shares as its legality is bounded by section 132D of Companies Act 1965. Also, the removal of a director is allowed when a resolution is passed in the meeting. With only Joe, Mike and Luke to defeat the resolution, the resolution to remove them off as the directors can still be passed.3b. After this they leave behind pass resolutions to remove Tony from the board andto sub him with Luke.Directors are agents of the company and thus owe a fiduciary duty towards the company. Section 4(1) of the Companies Act 1965 provides that, director includes any person occupying the position of director of a corporation by whatever name called and includes a person in accordance with whose directions or instructions the directors of a corporation are accustomed to act and an alternate or substitute director. Section 4(1) states that a director includes a de facto director, a shadow director and an alternate or substitute director.Sections 122(1) and (1A) of the Companies Act 1965 provides that, every company shall have at least two directors, who each has his principal or only place of residence within Malaysia. Sections 122(2) of the Companies Act 1965 provides that, no person other than a natural person of full age shall be a director of a company. This is clear that only a human being can be a director. Besides that, Section 122(2) imposes the minimum age of the director which is 18 years old. Thus, only a person who is 18 years old and above may be official as a director. Section 129 of the Companies Act 1965 provides that, notwithstanding anything in the memorandum or articles of the company no person of or over the age of seventy years shall be appointed or act as a director of a public company or of a subsidiary of a public company. A person who aged 70 years old and above can only be a director if the resolution appointing him as a director receives approval from at least 75% of the votes at the companys annual general meeting.The office of a Tony as a director may become vacant if he is disqualified consistent to the Companies Act 1965 or the articles of association, resigned from the position, removed from the board of directors and retires by rotation.Articles of association of the company provides that the office of a director shall become vacant if the director (a)ceases to be a director by virtue of the Companies Act 1965 (b)becomes a bankrupt or makes any arrangement or composition with his creditors generally (c)is prohibited from being a director by reason of any order made under the Companies Act 1965 (d)becomes of unsound mind or a person whose person or estate is liable to be dealt with in any way under the law relating to metal disorder (e)resigns his office by notice in writing to the company (f)for more than six months is absent without the permission of the directors from meetings of the directors held during that period (g) without the consent of the company in general meeting holds any other office of profit under the company except that of managing director or manager (h)is directly or indirectly interested in any contract or proposed contract with the company a nd fails to declare the nature of his interest in a manner required by the Companies Act 1965.Tony result not be removed as he is not disqualified by the articles of association.The patience of a director may take effect on the date which the board receives the letter of resignation, the date stated in the letter or according to the articles of association. Section 122(6) of the Companies Act 1965 provides that, notwithstanding anything contained in this Act or in the memorandum or articles of a company or in any agreement with a company, a director of a company shall not resign or vacate his office if, by his resignation or vacation from office, the number of directors of the company is reduced at a lower place the minimum number required by subsection (1) and any purported resignation or vacation of office in contravention of this section shall be deemed to be invalid. Tony does not take action to resign from a director.Tony volition not be removed from the board. However, he may be removed from the board by an ordinary resolution. Section 128(1) of the Companies Act 1965 provides that, a public company may by ordinary resolution remove a director before the expiration of his period of office, notwithstanding anything in its memorandum or articles or in any agreement between it and him but where any director so removed was appointed to represent the interests of any particular class of shareholders or debenture holders the resolution to remove him shall not take effect until his successor has been appointed. A public company may remove a director by ordinary resolution before the expiration of his term of office.The resolution is passed if it garnered more than half of the votes casted. A director of a public company is not possible to be removed by other director as provided in Section 128(8) which reads that, a director of a public company shall not be removed by, or be required to vacate his office by reason of, any resolution request or notice of the directors or any of them notwithstanding anything in the articles or any agreement.Thus, Joe and Mike are not able to remove Tony from the board. To remove a director, a special notice of the resolution is required to serve to the company at least 28 days before the scheduled members meeting as stated in Section 128(2) of the Companies Act 1965, Notwithstanding anything to the contrary in the memorandum or articles of the company, special notice shall be required of any resolution to remove a director or to appoint some person in place of a director so removed at the meeting at which he is removed, and on receipt of notice of an intended resolution to remove a director the company shall forthwith send a copy thereof to the director concerned, and the director (whether or not he is a member of the company) shall be entitled to be heard on the resolution at the meeting. The special notice of ordinary resolutions is also called notice of intention is given by the members to the compan y at least 28 days before the scheduled meeting. then(prenominal) the company must give at least 14 days notice to the members before the meeting is scheduled to be held. It is provided in Section 153 of the Companies Act 1965, where by this Act special notice is required of a resolution, the resolution shall not be effective unless notice of intention to move it has been given to the company not less than twentyeight days before the meeting at which it is moved, and the company shall give its members notice of any such resolution at the same time and in the same manner as it gives notice of the meeting or ,if that is not practicable, shall give them notice thereof, in any manner allowed by the articles, not less than fourteen days before the meeting, but if after the notice of intention to move such a resolution has been given to a company, a meeting is called for a date twenty-eight days or less after the notice has been given, the notice, although not given to the company within the time required by this section, shall be deemed to be properly given.The board of directors may attempt to undermine the members proposal to remove a director, the board may call for the meeting to be scheduled less than 28 days from the receipts of the members notice. Section 153 of the Companies Act 1965 provides that the meeting is not invalidated if it is held less than 28 days after the notice was given by the members to the company. In Soliappan v Lim Yoke Fan 1968 2 MLJ 21, the High Court held that Section 128 was not mandatory. The power to remove directors under that section co-existed with any power contained in the articles of association. Therefore, 28 days notice is not necessary, the removal could be affected in accordance with the articles of association.However, on the facts the proper notice required under the articles of association had not been given either, so removed as director and consequently the plaintiff was not properly appointed as director of the com pany. If Tony is removed from the board, he may claim compensation or damages for the termination of his appointment as a director. Where the company has entered into a contract with Tony and the company breached it by removing him, then Tony has the rights to claim compensation. Section 128(7) of the Companies Act 1965 provides that, nothing in subsections (1) to (6) shall be taken as depriving a person removed thereunder of compensation or damages payable by him in respect of the termination of his appointment as director or of any appointment terminating with that as director or as derogating from any power to remove a director which may exist apart from this section.Tony who is appointed as a director is not required to retire unless the articles of association provides so. Upon retirement, the shareholders may re-elect the directors who have performed but not those who failed to perform up to expectations. In go across Teow Chuan Anor v YAM Tunku Nadzaruddin Ibni Tuanku Jaafa r Ors 2007 2 MLJ 212, the board of directors made a resolution that all executive directors must retire on attaining 55 years of age.The plaintiffs brought an action challenging the introduction of a new term into their existing contract that they should retire. The court held that the power to pass the resolution as to retirement of directors was a fiduciary power entrusted by the memorandum and articles of the Company. That power was used for a collateral or improper purpose, namely to remove the plaintiffs and was invalid. In conclusion, Joe and Mike are unavailing to remove Tony from the board and replace Tony with Luke. Tony will be removed from the board if he meets one of the events stated above.3c. As an added incentive the shares will be issued to Luke for RM0.60 each to allow for a tidy profit. The issue here is whether Joe and Mike can issue shares to Luke at RM0.60 each to allow for Lukes support towards them. The issuance of shares below the nominal value of RM1.00 is called issuance of shares at a discount. At common law, the issuance of shares below the par value (at a discount) is prohibited because it constitutes a drop-off of share capital without bank check by the High Court. Section 64 of the Companies Act 1965 requires a special resolution that authorizes the reduction of its share capital with the confirmation by the Court. Case Re Wragg Ltd.Facts A liquidator took up a court case seeking a declaration that certain shares in the company issued to two members and registered in their names as fully paid were not properly issued as fully paid up. The liquidator asked for an order that the two members pay the amounts unpaid thereon. Held The transaction was wholly legitimate. Lindley L.J. stated it is not law that persons cannot sell property to a limited company for fully paid-up shares and make a profit by the transaction. We must not allow ourselves to be misled by talking of value. The value paid to the company is measured by the p rice at which the company agrees to buy what it thinks it worth it while to acquire. Whilst the transaction is unimpeached, this is the only value to be considered.However, there are two exceptions to the rule against issuing shares at a discount that are stated in Section 58 and 59 of Companies Act 1965. In occasions where the company enters into an underwriting agreement wherein the underwriter will subscribe the shares in the company if the shares are not taken, in return, the company agrees to pay the underwriter a fee. Section 58 of Companies Act 1965 recognises this commercial agreement provided that the compensation of that commission is not more than 10% of the issued value of the shares and is authorized by the companys articles. Section 59(1) of the Companies Act 1965 states that the company can issue shares at a discount of a class already issued if (a)The discounted shares are authorized by ordinary resolution passed in general meeting of the company and is affirm by Court order (b) The resolution specifies the maximal rate of discount at which the shares are to be issued (c) the company can only issue shares at a discount only after one year it is entitled to commence business and (d) the discounted shares must be issued within one month from courts confirmation or within extended time as allowed by Court. According to section 59(4), the discounted shares must be offered to existing members of that class based on pro rata basis. Failure to do so, the company and every officer who is in default shall be guilty of an offence punishable with a exquisite of RM1000 and default penalty in accordance with section 59(7) of the Companies Act 1965. Case Ooregum Gold Mining Co of India v RoperFacts The market value of the 1 ordinary shares of the company was 2 shillings and 6 pence (2s 6d). The company issued preference shares of 1 each with 15s credited as paid, leaving a liability of only 5s a share. Held The holders of the discounted shares are lia ble to pay the full nominal value to the company.In common law, issuance of shares at a discount is prohibited but there are statutory exceptions under section 58 and 59 which enable the company to issue shares at a discount. In this case, Luke is not the underwriter of Singing Stars Sdn Bhd. Therefore, Joe and Mike cannot issues shares at a discount to him by virtue of section 58 of the Companies Act 1965. However Luke can be entitled to get the shares at a discount if the discounted shares are passed by a majority of members who are present and votes at the meeting and confirmed by the Court order, which specify the maximum rate of discounts are to be issued, commence its business after one year and issue the discounted shares issued within one month from courts confirmation or within extended time as allowed by Court, then Luke can be entitled to the discounted shares after the existing shareholders are offered the discount.Luke will not be getting the shares at a discount becaus e the most of shareholders are not satisfied with Joe and Mike and wanted to vote them from the board. Hence, the majority of them will win and Luke will definitely not getting his shares at a discount. If Joe and Mike insist on issuing the shares at a discount to Luke, the holder of the shares (Luke) may be liable to pay the full nominal value of the shares as stated in the Ooregum principle. Besides, the directors (Joe and Mike) who are responsible for the unlawful issue may be held liable to the company for the discount allowed. In conclusion, Tony can sue Joe and Mike for breach of companies act and they will be held liable to company in respect of the discountallowed.From the above Tony and the other four shareholders can vote to reject the acceptance of payment by land from Luke for the shares. Joe and Mike do not have the power to accept the payment without the knowledge of the members of the company. If the transaction is still done Section 132D(6) provides that the shares i ssued are void and the directors shall be liable to compensate the company and the person whom the shares were issued to for any loss, damages or costs which they may sustain as consequence of the breach.3d. Luke has suggested that the company might accept some land which he owns as payment for the shares. Section 67 (1) of the Companies Act prohibits a company from Financing the purchase of its own or its holding companys shares cock-a-hoop financial care for the purpose of or in connection with the purchase of its own or its holding companys shares Dealing in or lending money on its own sharesIn the case of Datuk Tan Leng Teck v Sarjana Sdn Bhd, the plaintiff entered into a contract to sell a piece of land to the 2nd defendant, Pasti Hasil Sdn Bhd for a piece of land at a price of RM15, 896,995. According to the agreement, RM1,000,000 of the purchase consideration will be capitalized as paid-up capital for 1,000,000 shares in the SSB. PHSB had paid RM3,300,000 for the land to SS B and RM1,000,000 out of this payment had been considered as a payment for 1,000,000 shares in SSB. Thus, 1,000,000 shares had been allotted to Pasti Hasil Sdn Bhd. The court held that financial assistance has been given to Pasti Hasil Sdn Bhd as the defendant agreed to treat a portion of the sum owed by Pasti Hasil Sdn Bhd as payment for the shares. Section 67 (1) prohibits the company from giving financial assistance unless it is bona fide commercial transaction entered in good faith.As Pasti Hasil Sdn Bhd had not paid anything for the shares the share capital of the defendant had reduced. In the case of Belmont Finance Corporation Ltd v Williams Furniture Ltd (No 2), Belmonts directors paid 500,000 of Belmonts money under a scheme to help a company called Maximum ( which was owned and controlled by a Mr. Grosscurth) to buy shares of Belmont. Goff LJ held that the agreement was unlawful and the payment was made by Belmont for an illegal purpose, namely to facilitate the purchase b y Grosscurth and his associates of Belmonts shares.Lord Denning in Wallersteiner v Moir (1974) propounded the following test You look to the companys money and see what has become of in. You look to the companys shares and see into whose hands they have got. You will then see if the companys money has been used to finance the purchase.Thus for this case if the company accepts Lukes land as payment for the shares, it is not a bona fide commercial transaction entered in good faith and is prohibited by section 67(1). Thisi s because the land serves no specific purpose to the company and future benefits will not flow to the company through this entity. This means that the land is of no use to the company at the time of purchase which shows that it is not a bona fide commercial transaction. Furthermore this also shows that the companys money paid to Luke for the land will be used to purchase its shares. If Joe and Mike accept this transaction, they will be guilty under section 67(3) of t he Companies Act and section 67(4) provides that officers who are guilty are liable to compensate the company or any person who has suffered losses or damage as a result of the prohibited transaction.REFERENCES1) http//www.scribd.com/doc/64780622/1/S128-1-Companies-Act-1965 2) http//www.ssm.com.my/files/clrc/consultation_documents/cd2.pdf 3) Chan Wai Meng (2012) . Company Law in Malaysia Cengage Learning.

Value Creation and Value Capture in Corporate Governance Essay Example for Free

Value Creation and Value Capture in Corporate Governance EssayAbstractWe have followed the pry-based approach to investigate a major unified brass instrument reform affecting publically listed firms in China. The regulations required that, in each firm, the owners of non-tradable shares ( shut off shareholders) negotiate with the owners of tradable shares ( minority shareholders) to determine the compensation paid to the latter for allowing non-tradable shares to shell out on the downslope grocery store. If such an agreement is not obtained, the firm is forbidden to use equity refinancing in the next. The present study emphasizes the joint effect of nurture creation and value capture in determining the level of compensation, and finds that firms that expect to generate higher returns from future investments but face greater constraints in pursuance non-equity-based financing tend to issue higher levels of compensation. This joint effect is further moderated by factors r elated to investment returns and corporate institution. The empirical evidence lends strong endure to theoretical predictions. This study has important implications for corporate governance in emerging markets, and the application of the value-based approach to corporate governance research in general. Keywords Value-Based Approach, Corporate Governance, fluidity Reform, Bargaining, China *Contact Nan Jia, Marshall School of Business, University of Southern California, Email emailprotected, Tel 213-740-1045 Yongxiang Wang, Marshall School of Business, University of Southern California, Email emailprotected, Tel 213-740-7650. Acknowledgements We would like to thank Olivier Chatain, Gabriel Natividad, Victor Bennett, and Joanne Oxley for their reformative comments.1. Introduction Value creation and value appropriation are central to the question of how economic actors cooperate in value-producing activities and then compete to divide the value created a phenomenon that is fundamen tal to business strategy (MacDonald and Ryall, 2004 Gans, MacDonald, and Ryall, 2008 Chatain and Zemsky, 2011). To address this question, a rapidly growing body of research supports a value-based approach based on orb modeling (Brandenburger and Stuart, 1996, 2007 MacDonald and Ryall, 2004). The value-based approach has proven to be powerful tools for advancing our understanding of a wide range of topics in strategic management, such as market competition (MacDonald and Ryall, 2004 Gans et al., 2008), firms resource advantages (Lippman and Rumelt, 2003), buyer-supplier relationships (Chatain and Zemsky, 2007 Chatain, 2011 Jia, forthcoming), firms sustainable competitive advantages (Adner and Zemsky, 2006), social network positions (Ryall and Sorenson, 2007), and team organization (Bennett, 2012).What has escaped researchers attention so far is to employ the value-based approach to approach our understanding of corporate governance issues. As one of the to the highest degree inves tigated field in strategic management, corporate governance research focuses on how various governance structures align the incentives of all types of stakeholders (Daily, Dalton, and Rajagopalan 2003 Walls, Berrone, and Phan, 2012). Although theoretically speaking, inherent to many corporate governance issues is the tension between value creation and value capture, as stakeholders design corporate governance arrangements essentially both to incentivize all parties to work hard to increase the overall firm value, and to assist their competition with other stakeholders regarding sharing the value created (e.g., Tirole, 2001, Jensen, 2001), most strategy research has given overwhelming attention to the latter effect of competing over value appropriation, often called stakeholder opportunism (v. Werder, 2011).In particular, the research of firm governance in emerging markets has predominantly placed opportunism and misappropriation of minority shareholders center-stage, and appropriate ly so, as rampant expropriation of minority shareholders generates inefficiencies and stalls economic growth (Morck, Stangeland, and Yeung, 2000 Morck, Wolfenzon, and Yeung, 2005). We believe, however, that stronger safeguard of minority shareholders also requires incorporating the value creation perspective, to more closely link corporate governance to obtaining cooperation of all shareholders in assisting firms business operation in the future, rather of treating the bargaining between stakeholders merely as a zero-sum game. The following example of a major corporate governance reform in China understandably put downs how focusing on expropriation in a zero-sum game alone fails to reach the insights that can be achieved by the value-based approach. Prior to 2005, all firms listed in Chinas stock market had two types of shareholders owners of tradable shares and owners of non-tradable shares.Both types of shareholders enjoy the same voting rights and the same cash flow rights. T he sole(prenominal) difference between these shareholders is embodied in their names tradable shares can be traded freely on the stock market, while non-tradable shares cannot be traded on the stock market. Tradable shares are typically held by minority shareholders including individuals and institutional investors, and non-tradable shares are typically held by block shareholders, such as other business firms and the state. The 2005 reform was orchestrated by the CSRC (China Securities Regulatory Commission, Chinas SEC-equivalent) to view as all non-tradable shares tradable.In it, the CSRC stipulates that, for every firm, the non-tradable shareholders negotiate with the tradable shareholders to determine the compensation received by the latter (from the former1) in exchange for enabling non-tradable shares to trade on the stock market. The failure to reach such an agreement prohibits the firm from refinancing in the stock market. Absent the value creation perspective, viewing this ownership reform as the shareholders competing only to appropriate a larger share of a fixed pie makes it very difficult to explain why powerful, large shareholders are willing to mend minority shareholders. 2 Moreover, students of corporate governance in emerging markets are well versed with how block shareholders expropriate minority shareholders, and thus may expect especial(a) compensation paid to the latter.However, such explanations are incomplete. Through the lens of the value-based approach, we argue that the reform enables competition to create as well as to appropriate value. comer an agreement to reform the ownership structure increases a firms value in the future, as it provides the firm with access to equity refinancing to fund future investments. Therefore, non-tradable shareholders compensation for the minority shareholders in the reform should depend on their share of the firms expected returns from using equity refinancing to fund business operations in the futu re.We show that, the compensation for tradable shareholders (minority shareholders) include some of the value that non-tradable shareholders (block shareholders) expect to gain from the firms future investment, because the compensation reflects how much minority shareholders could hold up the block shareholders from creating more value through future investments. Using a formal model and then corroborating it with empirical evidence, we show that non-tradable shareholders are more willing to compensate tradable shareholders to reform the ownership when the firm is more effective in investments but face greater constraints with regard to alternative financing.

Customer Relationship Management Marketing Macro Environment Economics Essay

Customer Relationship Management Marketing Macro Environment Economics EssayA worry and its forces in its micro purlieu operate in larger macro environment of forces that shape opportunities and pose threats to the crinkle. It refers the major external and uncontrollable factors that influence an organizations closing making, and be active its performance and strategies.This involves factors outside of the direct control of the business. These macro-factors much(prenominal) as the economy, political sympathies policy and social reposition crapper have a squ be effect on a firms victory hardly the resemblanceship is fairly one mien. A change in the central rate can affect the ability of a firm to dispense abroad for example, the pound rose in value to nearly 2 dollars in 2007 making UK exports expensive in America or Chinese government support on continued devaluation of their Yuan currency made them penetrate and sell more and cheaper in worldwide market. The increasi ng interest in healthy eating has risinged organic sales. The ageing population in some economies has increased crave for healthcare resources. However, whilst these macro factors can fundamentally change the environment of an organization one individual business can rarely do much on its own to shape them. both one firm is un likely to be able to influence government taxation policy or new legislation, for example. The macro-environment can be analysis employ PESTEL analysis which is outlined below.PESTEL analysis of the macro-environmentThere are many factors in the macro-environment that will affect the decisions of the managers of any organization. Tax changes, new legal philosophys, administer barriers, demographic change and government policy changes are all examples of macro change. To help analyse these we managers can categorize them using the PESTEL model. This classification distinguishes amidA Political Factors Political and governmental Environment These refer to government policy such as the degree of intervention in the economy. What goods and services does a government want to provide? To what achievement does it believe in subsidising firms? What are its priorities in terms of business support? Political decisions can impact on many vital areas for business such as the education of the workforce, the health of the nation, international business and the quality of the infrastructure of the economy such as the road and rail trunk as a couple of(prenominal) examples of areas affected.Political factors often impact on business of e actually type and size Some examples are the worldwide movement towards privatization of former government-owned utilities and businesses and the shift outside(a) from defendion of workers rights. Firms need to be able to respond to the prevailing political mode and adjust the merchandising policy accordingly. For example, British Telecom, Deutsche Telekom and Telstra of Australia have all had to yield ma jor readjustments to their marketing approaches since being privatized, and in particular since seeing an upswing in competitive levels. Almost all the firms activities have been affected, from cutting the lead time between ordering and obtaining a new telephone, through to price competition in response to competitors cut-price long-distance and international calls. British Telecom was the UKs fifth biggest spender on advertising during 2003The political Factors includes laws, government agencies, and pressure groups that influence and limit various organizations and individuals in a given society. Various forms of legislation regulate business.1). Governments dilate public policy to guide commerce, marks of laws and regulations limiting business for the good of society as a whole.2). Almost e very(prenominal) marketing activity is subject to a wide range of laws and regulations. Some trends in the political environment includeIncreasing legislation toa). Protect companies from e ach other.b). protect consumers from unfair business practices.c). Protecting interests of society against unrestrained business behavior.Changing government agency enforcement. New laws and their enforcement will continue or increase.Increased emphasis on ethics and socially responsible actions. Socially responsible firms actively seek out ways to protect the long-run interests of their consumers and the environment.a). Enlightened companies encourage their managers to look beyond regulation and do the right thing.b). Recent scandals have increased concern about ethics and social responsibility.c). The boom in e-commerce and Internet marketing has created a new set of social and ethical issues. Concerns are Privacy, Security, Access by vulnerable or unauthorized groups.B Economic factors These include interest pass judgment, taxation changes, economic growth, inflation and exchange rates .It encompass such areas as the boom/bust cycle, and the growth in unemployment in some parts of the country as a direct of the closing of traditional industries. Macro-economic factors deal with the management of demand in the economy the main mechanisms governments use for this are interest rate controls, taxation policy and government spending. If the government increases expenditure (or reduces taxation), there will be more money in the economy and demand will rise if taxation is increased (or expenditure cut), there will be less money for consumers to spend, so demand will shrink. Rises in interest rates tend to reduce demand, as crime syndicate loans be settle more expensive and credit card charges rise.Economic environment of business has reference to the board characteristics of the economic system in which the business operates. The business sector has economic relation with the government, capital market household sector and global sector. These sectors together influence the trends and structure of the economy. The form and functioning of the economy change wid ely.The importance external factors that affect the economic environment of a business are(i) Economic Conditions The general Economic conditions prevailing in the country to wit national income, per capita income, economic resources, distribution of income and assets, economic development etc. are all-important(a) determinants of the business strategies.Business cycles and economic growth of the economy are important factors defining the economic environment.(ii) The economic system operating in the country also affects the business enterprise to a very nifty extent. The economic system of a country may be capitalist, socialist, communist or mixed.(iii) Economic Policies The government decides the economic environment of business through Budges, Industrial regulations, Economic planning, import and Export regulations, Business laws, Industrial policy, Control on prices and wages, Trade and transport policies, the size of the national Income, Demand supply of various goods et c.(iv) Economic result The stage of economic growth of the economy has direct impact on the business strategies. Increased economic growth rate and increase in spending expenditure, lower the general pressure within an industry and offers more opportunities then threats.(v) The rate of interest affects the demand for the products in the economy, particularly when general goods are to be purchased through borrowed finance. Low interest rated provides opportunities to the industries to expand whereas rising interest rates pose a threat to these institutions.(vi) Currency Exchange Current exchange rates have direct impact on the business environment. When the rupee was devalued in 1991, it was to make Indian products cheaper in the world market and consequently boost Indias exports.C Socio-cultural factors Socio-cultural factors are those areas that involve the shared beliefs and attitudes of the population. People learn to behave in particular ways as a result of feedback from the rest of society demeanor and attitudes that are regarded as inappropriate or rude are quickly modified, and also people develop expectations about how other people should behave.In the marketing context, people come to believe (for example) that shop assistants should be polite and helpful, that fastfood restaurants should be brightly lit and clean, that shops should have advertised items in stock. These beliefs are not laws of nature, but merely a consensus view of what should happen. There have certainly been many times (and many countries) where these standards have not applied. These prevailing beliefs and attitudes change over a period of time owing to changes in the world environment, changes in ethnic mix and changes in technology. These changes usually happen over fairly long periods of time. Since 1970 in most Western countries there has been a development towards a more diverse, individualistic society a large increase in the number of couples living(a) together without being married and a marked increase in the acceptance (and frequency)of single-parent families.Socio-cultural Environment Changes in social trends can impact on the demand for a firms products and the availability and willingness of individuals to work. Social class and caste of a person goes a long way in deciding the business activities in relation to its production and marketing activities. Tradition, customs and social attitudes have changed the attitude and beliefs of the persons which have their effect on organizational environment. Class and caste are influencing the purchasing pattern. Socio-cultural environment may include expectations of the society from business, attitudes of society towards business and its management, views towards achievement of work, views towards structure, responsibility and organizational positions, views towards customs, traditional and conventional, class structure and labour mobility and level of education.A very few cultural changes come abou t as the result of marketing activities a recent example in the UK is the gradual rehabilitation of Guy Fawkes nighttime as a family occasion with Halloween, an American import which has children dressing up in costumes and going from house to house trick or treat-ing. In replacement of celebrations involve letting off fireworks, which is a dangerous activity for amateurs, but much of the change has been driven by a desire by marketers to sell costumes, and by the influx of US-made films and TV programs which show Halloween celebrationsD Technological factors Technological advances in recent years have been rapid, and have affected almost all areas of life. unit of measurement new industries have appeared for example, satellite TV stations, cable networks, the Internet, CD recordings and virtual reality, and computer- aided design systems. All of these industries were unknown even twenty years ago. It seems likely that technological change will continue to increase, and that more new industries will appear in future. The corollary, of course, is that some old industries will disappear, or at the very least will face competition from entirely unexpected directions. Identifying these trends in advance is extremely difficult, but not impossible.The macro-environment also contains the remainder of the organizations publicsGovernmental publics are the local, national and international agencies that restrict the companys activities by passing legislation, setting interest rates, and fixing exchange rates. Governmental publics can be influenced by residenceing and by trade associations.Media publics Press, television, and radio services carry news, features and advertising that can aid the firms marketing, or conversely can damage a firms reputation. Public relations departments go to great lengths to ensure that positive images of the firm are conveyed to (and by) the media publics. For example, a company might issue a press release to publicise its sponsorship of a major libertine event. This could generate positive responses from the public, and a positive image of the company when the sporting event is broadcast.Citizen action publics are the pressure groups such as Greenpeace or consumers rights groups who lobby manufacturers and others in order to improve life for the public at large. Some pressure groups are informally organised recent years have seen an hatful in local pressure groups and protesters.New technologies create new products and new processes. MP3 players, computer games, online gambling and high definition TVs are all new markets created by technological advances. Online shopping, bar coding and computer aided design are all improvements to the way we do business as a result of breach technology. Technology can reduce costs, improve quality and lead to innovation. These developments can benefit consumers as well as the organisations providing the products.E Environmental factors Environmental factors have come to the forefront of thinking in the past fifteen years or so. The increasing scarcity of raw materials, the problems of disposing of waste materials, and the difficulty of finding appropriate locations for industrial complexes (particularly those with a major environmental impact) are all factors that are seriously affecting the business decision-making framework. In a marketing context, firms are having to take deem of public views on these issues and are often subjected to pressure from organized groups as well as individuals. Often the most effective way to deal with these issues is to set down by consulting the pressure groups concerned, so that disagreements can be resolved before the company has committed too many resources firms adopting the societal marketing concept would do this as a matter of course.Environmental factors include the weather and climate change. Changes in temperature can impact on many industries including farming, tourism and insurance. With major climate chan ges occurring due to global warming and with greater environmental awareness this external factor is becoming a significant issue for firms to consider. The growing desire to protect the environment is having an impact on many industries such as the travel and transportation industries (for example, more taxes being placed on air travel and the success of hybrid cars) and the general move towards more environmentally friendly products and processes is affecting demand patterns and creating business opportunities.F Legal factors These are related to the legal environment in which firms operate. In recent years in the UK there have been many significant legal changes that have affected firms behaviour. The introduction of age discrimination and constipation discrimination legislation, an increase in the minimum wage and greater requirements for firms to recycle are examples of relatively recent laws that affect an organisations actions. Legal changes can affect a firms costs (e.g. if new systems and procedures have to be developed) and demand (e.g. if the law affects the likelihood of customers buying the good or using the service).Legal factors follow on from political factors, in that governments often pass laws which affect business. Sometimes judges decide cases in a way that re-interprets legislation, however, and this in itself can affect the business position. A further complication within Europe arises as a result of EU legislation, which takes precedence over national law, and which can seriously affect the way firms do business in Europe. Case law and EU law are not dependent on the politics of the national governments, and are therefore less easy to predict. Clearly businesses must stay within the law, but it is increasingly difficult to be sure what the law says, and to know what changes in the law might be imminent.

Essay on Brendan Behan

Essay on Br residuean BehanThis essay looks at three of Br dyingan Behans main works which most critics moderate argon his scoop out. These three main works ar The Quare Fellow (1954), The warrantor (1958) and Borstal Boy (1958).The essay begins with a brief biography of Behans life and reveals some of the reasons how his younger socio-economic classs influenced his later works. The essay similarly gives a brief synopsis of these three works and explores some of the re-occurring themes within these works. It finally examines some of the ways that he has shaped and influenced the Irish interior(a) identity.Brendan Behan was born in capital of Ireland on 9 February 1923 into an educated capital of Ireland functional class family. He grew up in Dublins north inner city near Mountjoy Square. Both his parents had a big influence on the literature that he would later come to write. Behans father, Stephen, had been active in the Irish War of Independence his mother Kathleen remaine d politically active for all life and his uncle Peadar Kearney composed the Irish national anthem The Soldiers Song(Amhrn na bhFiann). When Brendan was a child his father would often read classic literature to the children at bedtime and his mother would take them on walks around the city pointing out different houses of storied Irish literary figures, while also showing them where the citys revolutionaries had been born or penalize. When Brendan was a child he would read whateverthing he could find and even at the age of six the head nun in his primary school had informed his mother Kathleen that she was rearing a genius (O Connor, 1970 p.20). Despite his obvious capability at school he decided at the age of 14 to leave and follow his fathers trade as a painter.Soon after go away school Brendan joined Fianna ireann, the youth organisation of the IRA. In 1939, at the age of 16, he went on a bombing mission to England but he was arrested and give to be in possession of explosiv es. He was sentenced to three years in a borstal institution in England but returned to Ireland in 1941. The following year he was imprisoned in Ireland and bring outd as part of a general amnesty in 1946. He wrote about these years in his autobiography novel Borstal Boy. Upon his release he moved between Dublin, Kerry and Connemara, and spent some time in Paris, where he wrote in twain Irish and position. Behan produced his first play The Quare Fellow in 1954 in Dublin. The following year he married Beatrice Ffrench-Salkeld. In 1958 Behan wrote his second play An Giall which was written in the Irish speech communication and performed in the Dublin. That same year The Hostage, which was Behans English language version of An Giall, met with great international success following Joan Littlewoods production of it in London. Also in 1958 Borstal Boy was published and it became an immediate best seller. Behans international success, along with the financial rewards, brought about an increase in his drinking problems. After years of heavy drinking he had developed diabetes and it was due to this that he died, aged 41, on 20 March 1964 (OConnor, 1970).This part of the essay shall examine, and give a brief synopsis of, Behans three main works The Quare Fellow (1954), The Hostage (1958) and Borstal Boy (1958). His first play The Quare Fellow is desexualize in a Dublin prison on the eve of the execution of the quare fellow, a colloquial bourn for someone on death sentence. One of the condemned prisoners, who has murdered his wife, has been recently pardoned while the other prisoner, the quare fellow who has murdered his brother, has non. Although the quare fellow is the centrepiece of the play, it is not about him and he never appears or utters any words. There is no question of his guilt and he is not a likeable figure. The only sympathy for him is that he is termination to be executed the following day. The play does not explore the effect of the execution on the quare fellow but looks at the effect on the prisoners, wardens and the hangman himself. The gun for hire in the play is Warden Regan who is a devoted Catholic while also organism a humanist. Although he accepts the system of the Church and Society, the humanity in him fanny see the hypocrisy in this system. The play ends the following morning with the quare fellow being executed. The play is based on Behans own experiences in Mountjoy prison, and it questions the right of any society to inflict or carry out the barbarous act of capital punishment which was still then in use in Ireland. It also attacks some of the false piety in attitudes in 1950s Ireland to sex, politics and religion (Russell,)The second play Behan wrote was An Gaill which was later translated into English and called The Hostage (1958). The play is set in Dublin guesthouse-cum-brothel during the late 1950s. It portrays the capturing and detention of a young Cockney British soldier by the IRA in response to the planned execution, by the British, of an IRA volunteer in Belfast. The 19 year old British soldier has been kidnapped as he is leaving an Armagh Dance Hall. The IRA declares that it will take aim the hostage Leslie Williams, if their Belfast Boy is executed at Belfast Gaol the following morning. Private Williams is imprisoned in a lower class Dublin guesthouse-cum-brothel owned by a fanatical Gael. During the course of the play Leslie falls in love with the young Irish convent girl, Theresa, and she also falls for him. They have both grown up in similar backgrounds, both are orphans who now find themselves in a city that they are foreign to, and neither of them cares practically for any wars or battles that have been fought between Britain and Ireland in the past or the present. The play is made up of a variety of characters such as fall rebel heroes, homosexual navvies, pimps and whores, convent girls and deteriorating civil servants who are loyal to the nationalist cause. Privat e Williams is entertained by them with jigs and reels, rock n roll dancing, rebel songs and tales about Irelands glorious past, and all the time the IRA guards await for news from Belfast.It is eventually only by accident that he discovers that he is the hostage and will be executed if the IRA volunteer in Belfast is hung. Towards the end of the play the manager of the place understands the futility of continuing the Old fight but feels powerless to intervene. At the end of the play the news arrives that the IRA volunteer has been hanged and in the ensuing armed Garda raid on the brothel the hostage is accidently shot and killed. At the finale of the English version of the play the corpse of the dead hostage rises up and sings The bells of hell/ Go ting-a-ling-a-ling.Also in 1958 Behan released his autobiographical novel Borstal Boy. The book is based on the three years that he spent in Hollesley Bay Borstal in Suffolk, England, after being caught with explosives in Liverpool. It i s a vivid memoir of the years that being spent there. Story depicts a young Behan, full of Republican fervour and idealism, softening his radicalism and warming to his fellow British inmates and the wardens known as screws. The story is not a venomous attack on Britain but instead it portrays Behans move away from radicalism and violence. The dialogue in the book captures the lively interactions amongst the Borstal inmates along with all their dissimilar distinctive accents from around the British Isles. As the story develops Behan skilfully demonstrates that due to their working class, whether they are Irish Catholic or English Protestant, they share a lot more in common than they had realised. Behan realises that any supposed barriers of religion and ethnicity are just superficial and are beliefs that have been imposed on him by an anxious middle class. Ultimately he emerges as a young man who is realistic and recognises the truth that violence, especially political violence, is futile. The image at end of the novel is of a young working class man, who has been stunted by crime and prison, coming right and growing into being an independent thinker, writer and playwright (Kearney, 1970).In the three works of Behans that have been looked at in this essay there are a number of re-occurring themes to be found within them. The stories are written from a working class perspective with socialist leanings. In these works Behan writes in his own voice and this is most obvious in the language used in the Borstal Boy. In this book Behan uses an engaging style of writing and incorporates the use of phonetic spelling in an interesting and creative way for an certain effect. The narrative flow is sometimes condensed and other times heavily unhurried. All these works are based around some form of imprisonment and they are critical of both church and state, religion and the power of authority. In the Quare Fellow we see Warden Regan questioning his society and battling w ith his conscience over the execution of even a guilty man. The theme of execution is also present in The Hostage with both Private Williams and the IRA volunteer awaiting possible execution. In The Hostage the top dog theme is of a young innocents being set against those with political motivations and ambitions. The Hostage questions the futility of patriotic fervour and political violence (Jeffs,1966) and this theme is also found in the Borstal Boy which was based on Behans own experiences.Both The Hostage and Borstal Boy examining the Anglo-Irish relationship exploring the fact that there is very little difference between working class Irish Catholics or working class English Protestants. In Behans two plays he somewhat questions the Irish identity itself and the new young Irish Free State. The plays look at this new Free State and exposes that it is carrying on the same practices of their old governing colonial power. For a Republican like Behan it moldiness have seemed brutall y ironic that the official hangman for the Irish Free State was often an imported Englishman (Kiberd, 1989, p.336). In The Quare Fellow, Behan has the lags Dunlavin put it as the Free State didnt replace anything more than the badges in the warders caps. The same olds class prejudices, which were imported from England, are still present and have not been rejected in the new Irish state. The Dublin Gaeilgeoir in the play represents this lack of change (Kiberd, 1989). John Brannigan, the author of the Behan biography Brendan Behan, Cultural Nationalism and the Revisionist Writer, questions some of the stereotypes that hang around the figure of Behan. He situates Behan amidst a generation of Irish writers in the mid-20th century Ireland having to deal with the dull, even gloomy aftermath of the previous, more heroic, age of Irish 20th century history. The promise of the sooner decades of the 20th century was not delivered and their age was of disappointment and anti-climax (Brannigan , 2002).Unfortunately, the success that Behan received for his writing only increased his drinking problem and he played into the drunk Irishman caricature. After translating his work An Gaill into English he allowed Joan Littlewoods production of The Hostage to compromise and dilute the realism of the original Irish version by giving it interludes of music-hall telling and dancing (OConnor, 1970). At the end of The Hostage, when it finishes with the dead British soldiers corpse rising up and singing The bells of hell/ Go ting-a-ling-a-ling, we are left wondering not only about Behans politics but also about his literary integrity. After the Borstal Boy, Behan was unable to produce another classic. His later books like Brendan Behans Island and Brendan Behans New York could not be compared to his former works.Whatever criticism there may be of Behans later works, it does not take away from what he has contributed to imagination of the Irish national identity. His work has been a s ignificant influence to many writers and he has made his way into many Irish and international songs. The Auld Triangle, which is Behans prisoner song from The Quare Fellow, has endure something of an Irish folk standard and has been recorded on numerous occasions by groups such as The Dubliners and also The Pogues. Both of his plays, as well as the Borstal Boy which was first made into a play in 1967, have still remained popular with Irish audiences (Murphy, 2014) and Borstal Boy was also made into a fritter in 2000.Word Count 2100BibliographyBrannigan, J., (2002) Brendan Behan, Cultural Nationalism and the Revisionist Writer. Dublin, Four Courts Press.Jeffs, R., (1966) Brendan Behan Man and Showman. London, Hutchinson Co.Kearney, C.,(1976) Borstal Boy A Portrait of the Artist as a Young Prisoner, Ariel. septet (April, 1976), pp. 47-62.Kiberd, D., (1989) Irish literature and of Irish history. In Foster, R.F., (1989) (ed.) The Oxford Illustrated History of Ireland. Oxford, Oxfor d University Press.Murphy, C., (2014) Brendan Behan the borstal boy, boozer and bomb-maker, Irish Independent, 07 September.OConnor, U., (1970) Brendan Behan. London, Granada Publishing Ltd.Russell, R.R., (2002) Brendan Behans Lament for Gaelic Ireland The Quare Fellow. New Hibernia Review. 6 (1) pp. 73-93

Analyze The Performance Of Maybank Group Finance Essay

Analyze The Performance Of Maybank grouping Finance Essay3.1 INTRODUCTIONIn this chapter, the researcher will look at the history of Maybank group as a whole besides that, the researcher will also review and give way the performance of Maybank group and also Moslem product that been offered by Maybank Moslem Berhad.COMPANY HISTORY3.2.1 MaybankMaybank was incorporated on 31 May 1960 and began operations on 12 September in the same year, advance from the spirit of Indep culminationence to pave the way for dynamic change in the countrys banking and fiscal landscape. Our founders were visionary in their desire to see Maybank grow to excel both in the domestic food market and in the region.Over the years, Maybank has led an aggressive drive to expand profit and maximize reach. The Group has consistently set new benchmarks in product and service delivery by achieving many firsts in the industry such as rural realization scheme, cards services, corporate and investment banking, mob ile banking services, internet banking and Muslim banking.Maybank ope grade through an extensive network of over 1,700 offices in 14 countries including 7 in South East Asia. The Group is represented in the major monetary centres of London, New York, Hong Kong and capital of Singapore.3.2.2 Maybank IslamicMaybank Islamic Berhad, a wholly- possess subsidiary and the Islamic banking beef up of the Maybank Group, is the largest Islamic bank in Malaysia. It started its initial operations offering Islamic pecuniary services through a window concept in 1993 and ulterior converged to full-fledged Islamic banking operations on 1 January 2008. With a breadth of more than 17 years experience in the Islamic banking and finance, Maybank Islamic has been regarded as the leading Islamic bank in the Asia Pacific region and ranks among the worlds top 15 Islamic fiscal institutions.Today, Maybank Islamic proudly stands above its peers in the station market with Shariah-compliant summations of more than USD12 jillion commanding significant market share in backing and deposits of over 24% and 21% respectively. Maybank Islamic believes that serving the unavoidably of customers is a frontity and as such it is committed to provide a wide array of Shariah-compliant financial products and services to suit its customers preference and choices.Apart from commercial message banking offered by Maybank Islamic, Maybank Groups Islamic investment banking and capital market business are offered through Maybank Investment beach and selected overseas offices in major financial centres of Bahrain, London, Singapore and the international offshore financial centre of Labuan. As an industry icon, Maybank Islamic is committed to scaling new heights as reflected in the way the Bank operates its business, the way its deliver products and services to customers and in the way the Bank engages more than 25,000 Maybankers across its central office country as well as its business partners and stakeholders glob ally3.3 OBJECTIVE OF ESTABLISHMENTThe objectives of the establishment of Maybank Islamic Berhad are as follows1. To continues as a Market Leader in Islamic banking field in the expectation of products and services.2. Introduced the financial product that is found on MM concept as a an alternative to current the BBA product3. Introduced the financial product that is based on Ijarah Mutahiah Bittamlek4. Introduced the management of investment in an Islamic way5. Involved in summation management in an openly way6. Introduced Islamic card credit7. Actively involved in Murabahah commodity productBOARD OF DIRECTORSDato Seri Ismail ShahudinDato Seri Ismail Shahudin was plant as a Director and Chairman of Maybank Islamic on 23 January 2010. He was Chairman of Bank Muamalat Malaysia Berhad from 2004 until his retirement in July 2008. He has held senior positions in Citibank, serving both in Malaysia and New York, United Asian Bank and Maybank where he was appointed Exe cutive Director in 1997. He left Maybank in 2002 to assume the position of Group Chief Executive Officer of MMC Corporation Berhad prior to his appointment to the Board of Bank Muamalat Malaysia Berhad. His current directorships in companies within the Maybank Group include as Director of Maybank Berhad. He serves as Chairman of the Nomination and profit Committee and as a member of the Credit Review, Risk Management, and Employee Share Option Scheme Committees of Maybank Berhad.Tan Sri Datuk Dr Hadenan bin A. JalilTan Sri Datuk Dr Hadenan bin A. Jalil was appointed as a Director of Maybank Islamic on 23 January 2010. Tan Sri Datuk Dr Hadenan bin A. Jalil was Auditor General from 2000 to 2006. He served with the Government for 36 years in motley capacities in the Treasury, the Ministry of foreign Trade and Industry and the Ministry of Works prior to his appointment as Auditor General. His current directorships in companies within the Maybank Group include as Director of Maybank Be rhad. He serves as Chairman of the Audit Committee and as a member of the Credit Review, Nomination and Remuneration, and Employee Share Option Scheme Committees of Maybank Berhad.Zainal Abidin JamalZainal Abidin Jamal was appointed as a Director of Maybank Islamic on 23 January 2010. He is a practicing corporate and commercial lawyer and established his firm, Zainal Abidin Co, in 1987, where he is a Senior Partner. He was enrolled as an Advocate Solicitor of the High Court of Malaya in 1986. Between 1983 and 1986, he served as the Company Secretary of Harrisons Malaysian Plantations Berhad. earlier to that, he had practiced in Singapore where he was enrolled in 1980 as an Advocate and Solicitor of the Supreme Court of Singapore and had also served as a First Class Magistrate in Brunei Darussalam. His current directorships in companies within the Maybank Group include as Chairman of Mayban Trustees Berhad and Director of Maybank Berhad, a Director of Etiqa Insurance Berhad, Etiqa Takaful Berhad, Maybank International (L) Limited, and Mayban International Trust (L) Ltd.Datuk Dr. Syed Othman bin Syed Hussin AlhabshiDatuk Dr. Syed Othman bin Syed Hussin Alhabshi was appointed as a Director of Maybank Islamic on 30 January 2008. Datuk Dr. Syed Othamn has vast experience as an academician. He held various academic leadership and research post at International Islamic University of Malaysia, University Utara Malaysia, University Tun Abdul Razak and Institute of Islamic Understanding of Malaysia before he assumed indebtedness as the Professor of Islamic Economics, Chief Academic Officer and Head of Takaful at International Centre for Education in Islamic Finance (INCEIF). Datuk Dr. Syed Othman is a director of Etiqa Takaful Berhad. He is also a director of Prima Prai Sdn Bhd, Epen Bina Sdn Bhd and Universiti Teknikal MARA Sdn Bhd.PRODUCTS AND SERVICES IN MAYBANK ISLAMICHome Equity-iHomeEquity-i is a shariah compliant home funding plan based on the Musharakah Mut anaqisah or diminishing partnership concept.Maybank Islamic (the bank) and applicator enter into a joint partnership with bank to call forth capital for acquiring a property. Both parties become joint property owners with shares allotment based on amount of capital contributed. Maybank Islamic releases its shares to applicant who little by little acquires banks ownership of the property with monthly recompenses make over an agreed time period thereby diminishing the banks share till property is fully owned by applicant.Home Fianancing -iBBA is defined as remitred payment sale. BBA involves the sale and bargain for proceedings between the bank and the customer. Under this concept, customers may defer hit payment of asset which is the property in installments over a specific period of time.Fixed payment that shows exactly what customers need to pay throughout the tenure. mapful for those work on a monthly budget.MaxiHome-iMaxiHome-i refers to Home Financing under variable st ar invest Financing (VRF). Maxihome Loan Packages cater to the needs of unmarrieds and small businesses, including financing the bargain for of new properties, sub-sales, refinancing, redraws and remortgages. This product is applied under the concepts of Bai Bithaman Ajil (BBA).BBA is defined as deferred payment sale. BBA involves the sale purchase transactions between the bank and the customer. Under this concept, customers may defer total payment of the property in installments over a specific period of time.ShophouseEquity-iShophouseEquity-i is a shariah compliant home financing plan based on the Musharakah Mutanaqisah or diminishing partnership concept.Maybank Islamic and applicant enter into a joint partnership with bank to raise capital for acquiring a property.Both parties become joint property owners with shares allotment based on amount of capital contributed.Maybank Islamic releases its shares to applicant who gradually acquires banks ownership of the property with mon thly payments made over an agreed time period thereby diminishing the banks share till property is fully owned by applicant.Shop house Financing-iA frozen rate financing for buy at houses currently being practiced under the concept of Bai Bithaman Ajil (BBA), Shop house Financing-i is recomm conclusioned particularly for homebuyers who prefer a fixed monthly budget where you know exactly how much to pay throughout the tenure, whether by a single instalment sum or in-line with the multi-tiered rates.MaxiShop-iMaxiShop-i refers to Shophouse Financing-i under Variable Rate Financing (VRF). MaxiShop Loan Packages catering to the needs of individuals and small businesses, including financing the purchase of new commercial properties, sub-sales, refinancing, redraws and remortgages. The scope of commercial properties under MaxiShop includes shop houses, shop offices, commercial lots in shopping complex, office lots, factories, industrial buildings. This product is applied under the con cepts of Bai Bithaman Ajil (BBA).BBA is defined as deferred payment sale. BBA involves the sale purchase transactions between the bank and the customer. Under this concept, customers may defer total payment of the property in installments over a specific period of time.Variable Rate Financing (VRF) CASH LINE -i (OVERDRAFT)Murabahahis another type of sale and purchase contract, with a deferred payment element. The contract of sale may take place when a buyer who wishes to purchase assets, requests the Bank to purchase assets at cost (purchase price) and in return the Bank will charge the buyer an agreed profit coast which is incorporated into the selling price. The selling price is subsequently payable on a deferred single payment.ExeCash-i StandardExeCash-i Standard package is an Islamic personal call Financing under the Shariah normal ofBai Inah(sale with ready repurchase).Bai Inahis a buy and sell contract whereby Maybank Islamic (the Bank) would sell its assets to the applic ant on deferred payment basis. Subsequently, Maybank Islamic (the Bank) would buy back the same asset from the applicant at a lower price on cash basis.UnderBai Inahconcept, Maybank Islamic will use its asset as an underlying asset for the sale and purchase transactions.ExeCash-i SpecialExeCash-i Special package is an Islamic Personal Term Financing under the Syariah principle ofBai Inah(sale with immediate repurchase).Bai Inahis a buy and sell contract whereby Maybank Islamic (the Bank) would sell its assets to the applicant on deferred payment basis. Subsequently, Maybank Islamic (the Bank) would buy back the same asset from the applicant at a lower price on cash basis.ExeCash-i for GLCExeCash-i for GLC is an Islamic Personal Term Financing under the Shariah principle ofBai Inah(sale with immediate repurchase).Bai Inahis a buy and sell contract whereby Maybank Islamic (the Bank) would sell its assets to the applicant on deferred payment basis. Subsequently, Maybank Islamic (the Ba nk) would buy back the same asset from the applicant at a lower price on cash basis.TheExeCash-i for Government Linked Companies (GLC)provides financing without collateral to meet any of your personal needs.KOWAMASKOWAMAS is an Islamic Personal Term Financing under the Syariah principle ofBai Inah(sale with immediate repurchase).Bai Inahis a buy and sell contract whereby Maybank Islamic (the Bank) would sell its assets to the applicant on deferred payment basis. Subsequently, Maybank Islamic (the Bank) would buy back the same asset from the applicant at a lower price on cash basis.The personal financing package forKoperasi Wawasan Malaysia Berhad (KOWAMAS)provides financing without collateral to meet any of your personal need. lease Purchase-iHire Purchase-i is based on the underlying Shariah principle of Al-Ijarah Thumma Al-Bai (AITAB). It means leasing and subsequent purchase. It refers to 2 contracts undertaken one after another and consequentially i.e.Al-Ijarahcontract (leasing ) andAl-Baicontract (purchase). It is an extension of the principle ofAl-Ijarahwhereby both parties further agreed that at the end of the lease period, the customer will purchase from the Bank the asset concerned at an agreed price with all the lease rentals precedingly paid constituting part of the price.Operations of Hire Purchase-i are based on Hire Purchase Act 1967 whereby all provisions that conform to Shariah requirement are applicable.Maybankinvest-iMaybankinvest-i is an alternative Share Trading / Financing package from Maybank that is based on the Shariah principle of Murabahah. Under this contract, Maybank agrees to finance your share trading activities in approved Shariah counters listed in Bursa Malaysia.ASB Financing-iASB Financing-i is another form of term financing to purchase ASB unit trust based on Shariah principles ofBai Inah(sales with immediate repurchase)3.6 PERFORMANCE ANALYSIS OF MAYBANK ISLAMIC BERHADThe performance of Maybank Islamic Berhad are analyzed f rom the information that restrain been obtained from overall performance data of Maybank Maybank Islamic just been setup recently , thus the performance will be measured along with the parent company, all of the performance regarding loan that had been published and other information are depend from the performance of Maybank. The only thing that is separated is total net income and operational income of a Maybank Islamic1.The analyses that have been done by the researcher are from the summary of a Maybank itself. It includes various information of a bank performance as a whole that gave a clearer picture about the important information regarding total asset, total liability, total loan and various more. Besides that, there is also analysis of a statement of income that includes the performance of Maybank Islamic.3.6.1 Total Assets2For the financial year ended 30 June 2010, outstanding assets of the Group expanded by 8.4% or RM26.0 billion answering the total asset of group at RM 336,700 Million while at the Bank level, it increase 4.2% or RM10.1 billion to record an amount of RM 248,392 Million . For the previous year, the gibe growth rates were 15.5% at Group level and 8.7% at Bank level. The bulk of the Groups growth in assets was derived from the expansion of net loans and advances which grew by RM19.8 billion or 10.6% and RM7.0 billion or 4.9% for the Group and the Bank respectively.As at end of June 2010, net loans and advances represented 61.0% of total Group assets, higher than the 59.8% as at the end of June 2009.3.6.2 Securities purchased under resale agreements3Securities purchased under resale agreements are securities which the Group and the Bank had purchased with a commitment to resell at future dates. The commitments to resell the securities are reflected as assets on the relief sheet. Conversely, obligations on securities sold under repurchase agreements are securities which the Group and the Bank had sold from its portfolio, with a commi tment to repurchase at future dates. Such financing transactions and corresponding obligations to purchase the securities are reflected as liabilities on the balance sheet.As at end June 2010, the Group held RM371.2 million of securities purchased under resale agreements.3.6.3 Deposits and Placements with financial Institutions4The Groups deposits and placements with financial institutions grew by RM2.6 billion to RM8.9 billion or 41.5% as Customer deposits growth outpaced the growth in loans and advances.3.6.4 Life, General Takaful and Family Takaful Fund Assets5After a growth of 7% or RM1.1 billion in the previous year, this balance sheet item grew by a similar 7% to RM18.0 billion as at end of June 20103.6.5 Securities Portfolio6The investment securities portfolio of the Group decreased by RM3.6 billion or 6.2% primarily due to a diminution of shorter tenor Available-for-Sale holding (RM5.2 billion) as interest rates were expected to rise in the first half of 2010.Securities He ld-for-Trading increased by RM1.2 billion which was partially offset by the reduction in Available-for-Sale portfolio. Around 79% of the securities portfolio comprised of securities Available-for-Sale and further 16.5% securities Held-to-Maturity while 4.9% of the securities portfolio is Held-for-Trading.3.6.6 Loans, Advances and Financing7The Groups net loans and financing for financial year of 2010 expanded by 10.6% or RM19.8 billion compared to 12.9% or RM21.2 billion the previous financial year. The Groups gross loans grew 10.3% compared to 13.0% the previous year with domestic and overseas loans growth of 11.0% and 8.8% respectively. The domestic operations growth of 11.0% was better than the 6.5% preserve in the previous year as consumer loans expanded by 15.0% on the back of the RM3.3 billion or 28.6% growth in securities loans, chiefly for the purchase of relatively low-risk Amanah Saham Bumiputera units, and the RM2.6 billion or 13.2% increase in vehicle loans. The Groups overall domestic loans market share stood at 17.6% compared to 17.8% the previous year. Mortgage loans grew by RM3.1 billion or 9.8% compared to 3.3% in the previous year with market share at 13.4% compared to 13.9% the previous year. Credit card receivables for the financial year rose RM0.6 billion or 16.0%, outperforming the industrys 11.3% growth leading to market share rising to 12.8% from 12.7% the previous year. Automobile financing for domestic operations recorded a growth of 12.2% compared to 11.0% in the previous financial year and outperformed the industrys growth of 8.5%. With growth olympian the industry, the market share for financing of motor vehicles rose to 17.4% from 16.8% in June 2009.As at June 2010, the overseas operations loan book accounted for 32.3% of the Groups loan base from 32.8% in the previous year. The gross loans book for Singapore recorded a growth of 3.4% or RM1.3 billion after registering a growth of 6.2% in 2009. While for Indonesia, mainly due t o Bank Internasional Indonesia, gross loans grew 37.7% or RM4.7 billion to RM17.1 billion. In the other overseas locations, total gross loans declined 3.7% or RM0.4 billion mainly due to the reduction in loan exposure in the US and United Kingdom following the financial crisis. The Groups Islamic gross financing and advances grew by 31.2% or RM8.2 billion during the year. Islamic banking constitutes a growing portion of the Groups banking business, accounting for 16.3% of gross loans and financing from 13.7% the previous year. Islamic gross financing accounted for 24.0% of domestic gross loans, rising from 20.3% recorded in the previous year. Sustained efforts implemented to continuously improve asset quality have been effective. The Groups gross NPL ratio declined to 2.9% from 3.5% the previous year. The Groups net NPL ratio declined to 1.2% from 1.6% the previous year. The Groups net NPLs declined by RM0.5 billion to RM2.3 billion as at June 2010. The Groups NPL reserve cover (net of IIS) rose to a healthy 124.5% compared to 112.9% the previous year.3.7 Deposits from Customers8The Groups customer deposits expanded by 11.4% or RM24.3 billion to RM236.9 billion while at the Bank level it grew by RM7.3% or RM11.9 billion to RM175.4 billion. The Groups strong franchise contributed to a growth of 9.1% for crave deposits and 9.9% for savings deposits. The Banks domestic operations remained the leader in both demand and savings deposits with market shares of 20.7% and 27.4% compared to 21.3% and 26.6% respectively in the previous year. Fixed deposits grew by 10.0% compared to 12.3% in the previous year. The Groups overall deposit funding mix improved slightly as the Groups higher cost fixed deposits declined to 55.1% of total customer deposits from 55.8% in June 20093.6.8 Deposits and Placements of Financial Institutions9This item fell by 19.2% or RM5.5 billion due to increase in deposits from customers (RM24 billion) which resulted in less sourcing of funds from interbank market.3.6.9 Shareholders Equity10The Groups shareholders equity rose by 12.0% or RM3.0 billion to RM27.9 billion. The increase was mainly due to increase in retained profits for the year.3.6.10 Net Interest Income11Net interest income of the Group increased by RM851.4 million or 14.4%. The average net interest margin was 2.82% from 2.72% the previous year due to lower interest expenses in the Malaysian operations, especially interest expenses from fixed deposits, and lower interest expenses in the Singapore operations as well as full year contribution from Bank Internasional Indonesia (BII) for financial year of 2010.3.6.11 Islamic Banking12Net income from the Groups Islamic banking operations increased by RM210.4 million or 17.2% to RM1.4 billion. The increase was mainly due to growth of assets in Islamic business, specifically hire purchase and residential mortgages.3.6.12 Overhead Expenses13The Groups overheads expenses rose by RM852.9 million or 15.3% over that of the corresponding year as a result of an increase in personnel cost, full-year contribution from BII and expansion of BII, higher establishment costs, and credit card related expenses due to higher transaction, volume. The Groups cost to income ratio declined to 49.8% from 52.8% previously as net income growth outpaced the growth in expenses. Personnel costs increased by RM364 million or 14.3% due to an increase in salary, EPF, bonus and training. Establishment costs increased by RM66.2 million as a result of higher cost from depreciation and rental. On a comparable basis, the Groups familiarized cost to income ratio (without insurance claims and unrealised loss) would be 47.8% against 49.1% for the previous financial year.3.6.13 Loan and Financing Loss and Provisions14Loan loss and provisions of the Group amounted to RM1.2 billion, which is RM510.8 million or 30.1% lower than that of the previous year. This decrease was primarily due to high general provisions made in the final qua rter of financial year end of 2009 resulting from the weak global economic situation.3.6.13 Taxation15The effective tax rate of the Group is 26.1% which is higher than the statutory rate of 25% mainly due to non-deductible expenses.3.7 CONCLUSIONFrom the analysis it clearly shows that the financial performance of Maybank Islamic experienced a strong growth. The increase of the loan product especially individual loan and also with the stable increase of total income after tax , in addition to that the reducing of non performing loan portrayed the growth of Maybank Islamic especially their financial performance .According to a rough estimation from the analysis, it clearly shows that Maybank Islamic can compete with other Islamic banking institution.Based on the total asset that is increasing yearly and non performing loans that are reducing, it portrayed that the total net asset of Maybank Islamic are going stronger. Besides that, the increasing of individual loan shows that this i nstitution gaining the trust of the community.Although there is a slight fall in Islamic deposit, but it is mainly because of Islamic debt and sukuk debt that occur after-school(prenominal) of the country resulting the cost of fund to increase, and it is not because of a belief of a people about Islamic product offered by Maybank Islamic are not interesting enough.As a conclusion, Maybank Islamic Berhad has a strong position in their field as their finance and asset position are in truth good.

Essay --

Sanjiv PrabhunandanEnglish 10 H/3rd PeriodDemocracy vs. Absolutist RuleThe esteemed neurologist Sigmond Freud once said that elegance began the first time an angry person cast a word instead of a stone. Though these words ring true, they are ofttimes interpreted differently by those in power, and it is they who ultimately shape what kind of society will take shape during the times of formation. In Lord of the travel by William Golding, Ralph and Jacks contrasting personalities are displayed in their leadership styles. Ralph, the more passive and reasonable of the two, adopts a democratic style of leadership enchantment the latter adopts a more ruthless and absolutist one. While the democratic rule is more sensible and fair approach to take, the lack of any imprimatur brings out the savage nature of the boys and Jacks monarchy becomes not only the favored leadership style of the group but also the most effective.The crux of democratic thinking is the idea that everybodys thought s are equally valued and that everybody has an equal responsibility for the actions that take place. This is a concept that was developed by the superior thinking minds of the day and was promoted by Classical philosophers and thinkers who dreamed of a utopian society of equality and freedom for all. In fact, Pericles writes that we are called a democracy, for the administration of justice is in the hands of many and not of the few. But power comes with responsibility, and for a democracy to be successful, the concept has to be wholeheartedly accepted by its citizens. And frequently times, that means that citizens have to give up some of their individual in order to reap the benefit that The Fascist Decalogue states that the nation serves even as a senti... ...or worse, Jack followed the same steps that great absolutist leaders (Napoleon Bonaparte, Louis XIV, Joseph Stalin) in history have used he swayed public opinion to his side, deposed of the up-to-the-minute leadership, an d used propaganda and other methods to make the public think that he is a god-like presence. The fact that all this happens naturally instead of it being forced like Ralph proves that the absolutist form of ruling is the best option for the island. In a perfect world, giving the greatest power to the common man makes the most sense, but often times, situations arise where one person must take control and declare himself leader. Discerning which type of government is best for certain an environment is up for the race to decide. Though force and oppression can temporarily suppress the voice of the people, ultimately they get to choose who stays and goes.

Judaism, Christianity and Islam: The Three Oldest Religions are Based

Religion in all aspects is suitcased on assurance and commitment. It starts with a credence that people have in something that they have not seen. I have always wondered about the faith people show for their religion. No matter what is happening they stay strong in whatever it is that they believe in. Humans have come a long way from the beginning of conviction when it comes to forming religions. There atomic number 18 so many polar kinds of religions out there in this world right now. And all those religions come from some kind of faith and are based on a faith that emerged through something or someone. There are people out there in this time that are dying and killing for their faith. There are some religions that are based on the aforesaid(prenominal) roots but are called known as different religions because of their differences in faith. Although they have similar compass and roots they are very different from each other. Judaism, rescuerianity and Islam for example are three religions that have similar background and are branches of the same roots, but are very much different from each other because of the differences in their faith and belief.Faith, the word by which people base their afterlife, has become the foundation of every religion. The three religions Judaism, Christianity and Islam are one of the oldest religions of the world. They have always been known for the strong faith they adapt for their religion. Although the three religions are slenderly similar to each other they have their differences and beliefs. All three started with the same creator and got split to become their own religion. All of these religions started with Abraham and they still to this date hold Abraham in high position. Even with being almost the same religion they base everything o... ... same God, that is Abrahams God, but they differ when it comes to other things that make up their religion. The disbelief of Jews in Jesus differ them from Christians, the conc ept of all three religions have about the coming of Messiah also differs them from each other. Jews believe the christ is yet to come and is coming to revive the Jews, Christians believe in the second coming of the messiah and believe that he is going to take all the believers of Christ with him, and the Muslims believe that Jesus is coming again to fight as warrior for the Muslims against the world. From doing the study on the three religions, I have learned that they all have the same concept to which it started with, but no longer are the same because their faith changed along the way. And they broke off from one to another and formed the three strongest religions in the world presently.