A Critical Analysis on William Blake Essay Example for Free

A Critical Analysis on William Blake EssayAs ro small-armticism flourished in Europe in the late eighteenth and early nineteenth century in European culture one of the figures that stood foremost was William Blake. A poet, an engraver-putting it simply, an artificer, many have raised an eyebrow with his life-style and works. Being a lyric poet, a visionary and still a mystic at time people have come to doubt his state of mind, whether or non he truly was an artist or simply insane.Wordsworth, for example, commented that there is no doubt that this poor man was mad, but there is something in his madness which interests me more(prenominal) than the sanity of Lord Byron and Walter Scott and John Ruskin similarly felt that Blakes work was diseased and wild, even if his mind was great and wise(Dover,1998). Looking into Blakes background, we find that he lived an impoverished life in what we could say, was roughly absolute seclusion. His interest in outside ideas rested on bein g able to refute them.Blakes seclusion was not simply limited to isolation from other beings, it was also an isolation of the mind which has depart to many great works which differ in style. Blakes writings have ranged from lyrical practically(prenominal) as his Auguries of Innocence (Erdman and Bloom, 1965) as seen To see a homo in a grain of gritstone And heaven in a wild flower Hold infinity in the palm of your excrete And eternity in an hour. through highly elaborate apocalyptic and visionary . He purposely wrote in the manner of the Hebrew prophets and apocalyptic writers.See more how to write a critical analysis move step by stepHe envisioned his works as expressions of prophecy, following in the footsteps (or, more precisely stepping into the shoes) of Elijah and Milton. In fact, he clearly believed himself to be the living embodiment of the spirit of Milton (Gastfield, 2007). On other occasions, Blakes way of writing shifted to a highly speculative and paradoxical vi ew which is very much evident in his The marriage of Heaven and Hell (Erdman and Bloom, 1965) where he writes If the doors of perception were cleansed everything would appear to man as it is, infinite. This also particularly expressed his rebellion against the established values during this era. Blake accepted nothing and had a importunate so deep, for all that is intangible and unbounded to man under the dominion of God, matter, and reason (Kazin,1997). He was a man who had all the divergence of human existence in his hands, and he never forgot that it is the role of man to be able to find a solution for them. Although his contemporaries may have thought him as insane and having a diseased mind, William Blake was far ahead of his time being a visionary.A non conformist who embraced radical thinking, his works have influenced the lives of a great number of people, even being acclaimed by the subway movement. Having such great talent, and having so many ideas go through his mind, his works were merely an expression of the world that he lived in. A mind which privileged imagination over reason and believed that ideal forms should be created not by which our eyes allow us to see but by that which our mind allows us to see. It is so only through the mind of a genius that such great works could be produced. REFERENCES Dover, Richard.William Blake and side Poetry Willaim Blake A Helpfile 21October 1998 North East Wales Institute, K. 12 September 2007 http//www. newi. ac. uk/rdover/blake/index. htm Erdman, David and Bloom, Harold. The Complete Poetry and Prose of William Blake. Berkley UC Press, 1965 Gastfield, Gail. William Blake The William Blake Page, 2007, The William Blake Page 12 September 2007 http//www. gailgastfield. com/Blake. html Kazin, Alfred. AN INTRODUCTION TO WILLIAM BLAKE 4 July 2007. Multi Media Library. 12 September 2007 http//www. multimedialibrary. com/Articles/kazin/alfredblake. asp

Juvenile Court Characteristics Essay Example for Free

Juvenile Court Characteristics Essay

Business Proposal Essay Example for Free

Business Proposal experimentUsed properly condescension ends are tools that could easily double your hit rate on the business you pursue, substantially increase the margin on all the business you win, and bring existing and tender clients abide to you again and again.My focus throughout this entire business intents post series is upon teaching you how to write excellent, amiable proposals, step-by-step.Before getting into the other great resources here on business proposals, though, its important to be sure that when we talk about proposals who uses them, why they are used, and how you will learn to produce best of form examples that we are all thinking about the same thing. Its important to be sure that we bring on a common answer to the question what is a business proposal?The Business Proposal a DefinitionAnyone involved in modern solution selling need to be an expert proposal writer. A proposal is a lot like the artists sketch of a new building, which shows the g eneral form of the proposed structure. Its not intended to be a detailed floor jut out (a specification), or a detailed blueprint showing electrical or plumbing arrangements (a design), nor is it supposed to be the final product.A business proposal is designed to describe to an extent sufficient to sell the persuasion the concept you are proposing to your client.There are many more grandiose definitions of just what a proposal is, but the following describes those everyday that make up the majority of proposals youll come acrossA written proposal is a selling document, a statement of your capabilities to address a given client requirement. A proposal says I can do what you want.The Winning Proposal a definitionA taking proposal, on the other hand, does not simply say, Hey, I can do that but ratherHey, I fully understand what you are seek to do, I have a much better taking into custody than any of my competitors, I have a better solution to your problems than anyone else, I can do a better of job of delivering the required solution, and at a more attractive cost than anyone else, and heres why.A winning proposal is a genuine selling document. It is winning business proposals that this site will show you how to produce step by step.What is a business proposal? By the time youre finished with this series of posts youll agree that the winning business proposal is best friend to anyone trying to sell anything of value.

How Does Child Labour Effect Society Young People Essay

How Does Child Labour Effect Society Young People analyzeIn order to overcome our daily living needs we need to croak and earn concord to individual capacities. In a soundnessy society individual perform their role according to their age, capabilities and health condition. In contradiction to this, many of the babyren ar deprived of their basic rightfield of freedom and education and they are compelled to start work in a very early age. They are paid very slight so they start to work long hours in order to full fill their needs. This causes compromise in normal physiology. So it starts to affect any aspect of life from health, education and off course the socioeconomic status, thus automatically affecting the family and the whole society. According to Freedman (1998), Child labor is Work secure by kids full-time under the age of 15. Work that prevents kids from atdecadeding school, such as unlimited or unrestricted domestic work. Work that is dangerous for kids and that is hazardous to their physical, work forcetal or emotional health. thither are number of children who are engaged in incompatible kind of labours. According to International Labour governing (2009), in Pakistan on that point are 40 cardinal children age between 5- 14 social classs and among them 3.3 wizard thousand thousand children are engaged in labour. at that place are many serious social swerves which are non yet addressed properly and not getting attention from the public, media and the government. Child labor is one of them. I would be highlighting few of the impact of child labour on the society with the help of a story of a boy who captureed from child labour at the age of 8 years. This story was told by one of my friend.I was born in a very low socioeconomic class. I am the only son to my parents and elder to my three sisters. My father was a laborer and worked for a company on a daily wages. Still we were spending prosperous life in our limited resources and I ha d the fortune to get admission in a school. It seemed that education and comfort was there for my first eight year only as my father expired on road traffic accident. After this tragic front man my mother who at that time was expecting fourth child started on the job(p) for the same company to overcome our fiscal needs, entirely she couldnt continue it for longer and has to reconcile it as she had end up with serious gynecological issue which I hardly remember. One my relative suggested my mother to send me to work as she thought that was better than my mother and can earn enough if worked with dedication so I was referred to a gentleman who had an political machine workshop near by my house.I had cross by this workshop multiple times but didnt ever think of the life there. So many MACHINES (which I call it at that time), three men wearing unique costumes busy in fixing things together, very strong smell of different temperament which couldnt stop me to cover my nose for a while till one of them asked me to come to him in his compulsory voice. The sooner I get there he asked me wash an instrument and instruct me not to make it fall. That was so slippery but I did manage to wash it and get a smile from him. This helped me to suppose that they are in any case human being. By the end of the day I get my first pass for the day which at that time my mother thought is enough for us and it was wise decision to quit mu school and get into job.Oh yes I did show my dedication towards my work and by the time I was ten years old I had started to do overtime twice a week to overcome my familys change magnitude need. I get very much used to the routines and was adequate to do stuff like cleaning, embrocate application and fixing very easily, so it was easy for me to work for longer hours without any complaints. I was able to handle scolds and verbal abuses from my seniors and was luckily safe from an accident in which I could have lost my right arm.Things ne ver remain the same and I have entered in my late twenties no more(prenominal) dedication to work and family, I have chosen my own way which gives me plea real and Im not unaccompanied as well, have my own group of deprived friends. We work for a person to transport opium to different places, he is happy with my work provide me all the drugs without witch I cant think of life. I have no regrets and I think I was born to get here.This issue has a great negative impact on individual and family life. It starts to effect health right from the beginning where the working surroundings comes. The environment plays a very crucial part in maintaining optimum health specially in early develop mental age. In this age a child is very much open to catch infections, acquire foamy behaviors and at a very much risk for physical and mental disability. Lawrence (2007), Healthy children grow into healthy adults. The health of our children is one of the most significant investments that we can m ake and should be among our top priorities. In the above story the person is not playing its role as a healthy individual e.g. getting into drugs not only spoil his own health but to a fault harmful to others. Not supporting the family can be cause of another social issue that his sisters may involve in other unhealthy practices for their survival. This becomes an unbreakable chain, unless it is addressed at family society and country level.There are many causes of child labour e.g. poverty, illiteracy and least concerned parents. But to me the most important cause of child labour is the economic instability of the country. In an economically stable country there would be no unemployment issues, people will get proper salary secured job, health and education benefits. There are certain situations in which accommodation and dialogue is difficult but not impossible, like the archetype of the child in the above mentioned story he was left with no other option invite out to get a wo rk and to support the family. Serious action taken by the family and the country commencement from base could help reduce in child labour. In need child can work but its his right that he should be provided particular hours and adequate salary by the employer so that there will be no need of overtime and he has the time to rest and prevent exhaustion. If these issues are not taken care it start to affect the economy of a country as a whole, and there will be no contribution by the people to countrys economy. People will be living in hand to mouth condition and will be not able to distinguish countrys strength and hidden recourses causing economic recession and affecting whole society as well as globally.Least concerned parents, illiteracy and unawareness these are all directly linked to educational level of the society. Uneducated parents do not understand the value of education and have no precession for it. Without knowing the consequences they encourage their children to engag e in labour and quit education which hinders the society growth by providing less educated people. Thus people become resistant to change and there is no promotional material in the field which they are working. In this way the country is deprived of their human power. Parents education also counts when it comes to speak for their right and they can identify that if their child is being misused by the employer or the child is getting in to unhealthy habits.In Pakistan the Employment of Children Act 1991, describes almost all the condition in which a child can work and prohibition of work in certain hazardous environment and long working hour. According to Pakistan National Statics, more than two-third of child is working in the agricultural sector, 1.2 million Children are bonded in the carpet factories. 35 million soccer balls stitched in Pakistan, children produce one quarter of the balls, most of them as bonded servants.Child labour does affect the whole society in every aspect. Making the law is the not the solution is not the solution to overcome it. The law should be unimaginative enough so that it can be practiced. It has to have a check and balance also, to make sure its applicability. Strict action should be taken against them who misuse child by providing very less incentives and unhealthy work place. They underlying cause should be identified first so that alternative arrangement could be done. E.g. what if the child is the only earning member of the family, if he is stop by doing work the remaining whole family suffer from it. Since it is not an overnight process it can be reduced by using the accommodation and negotiation according to situation.REFFERENCESFreedman, Lewis. (1998). Kids At Work Lewis Hine And The Crusade Against Child Labor. Retrieved from,http//www.nynetresources.org/Future%20Grant%20Projects/Projects/Child%20Labor/childlabor1.htmInternational Labour Organization. (1998). Retrieved from,http//www.oit.org/bequest/english/regions/as ro/newdelhi/ipec/index.htmLawrence, D., Deirdre, I. (2007). Environmental Injustice Childrens Health. Pediatrics, 3, 5.Employment of Children Act, (1991). Retrieved fromhttp//www.albarrtrust.com/Al%20Baar%20Web/SCAN%20RULES/Employment%20of%20Children%20Act,%201991.pdfPakistan National Statistics. (1999). Retrieved from,http//www.globalmarch.org/worstformsreport/world/pakistan.html

MTEF Reform in Bangladesh Analysis

MTEF Reform in Bangladesh AnalysisChapter 1 Introduction1.1 BackgroundThis speech studies the MTEF (Medium Term scotchal consumption cloth) reform in Bangladesh. The MTEF was introduced in 4 ministries including Ministry of upbringing from 2005-06, named as MTBF (Medium Term Bud see offary fabric). In the following course it included Ministry of Primary and Mass raising and Ministry of Health and Family Welf ar. All early(a) ministries will be brought under this manakin in near future. The focalization of this study is to explore the effect of introducing the MTEF in commandmental activity and wellness budgets, explain the difference between the MTEF and tralatitious budgetary system in the formulation and implementation of budget, analyze the effectiveness and qualification of budgetary disbursement collectable to adopting the MTEF in the education and wellness sectors considering the trine appearcomes ( primary(prenominal)taining pecuniary t all in ally, p romoting entirelyocative Efficiency and enhancing operational might) of cosmos usance steering (PEM) and finally to comment on whether returns were achieved or non callable to adopting the MTEF. This chapter turn up pull ins the relevancy of the study, the look into minds to be wait mavend in the subsequent chapters, methodology and analytical good example, limitations of the study and finally the constituteation structure.1.2 Rationale of the StudyThe chief(prenominal) objective of formulating a budget under the MTEF is to link the budgetary assignations with governances policies, priorities. This is for ensuring in effect(p) utilisation of limited exoteric resources, which will enhance pro-poor growth and poverty reduction. One of the policy precedency triangles set egress in states Poverty Reduction Strategy Paper (PRSP, 2005) is human information. So, program patronage and wellness sectors have been attached to guide side antecedence on investment b y the political science.1 fit to MTBF (2005-06, p-01), The Medium Term budgetary mannequin (MTBF) is a new budgeting approach generally known as the Medium Term wasting disease modelling (MTEF). Here, no canonic difference between MTEF and MTBF has been stated. So, the term MTEF will be wasting diseased ubiquitously in this address except quoting the adduces where applicable.These twain sectors account for almost 20% of the total governing body substance abuse each grade in Bangladesh. The MTEF has been implemented in these both sectors since 2006 and many of the government policy objectives atomic number 18 linked with them. It is inevitable to canvas the performance of the MTEF so that the out stray could be infused into ongoing works and corrective actions can be taken to planned activities accordingly. Thus, it seeks to investigate the tinct of the MTEF on budgetary system of these two sectors.1.3 Research QuestionsFor this paper, the query school principals are1. To what extent MTEF led to changesa in the formulation and carrying into action of education and health budgets?2. Has MTEF improved the effectivenessb and readinessc of budgetary ingestion on education and health?a. Mainly trinity types of changes- institutional, mold (procedure) and technical (technological).b. Effectiveness is around how far does the activity (here MTEF) achieve its objective- and the objective itself is greater allocative qualification.c. Efficiency here means at what hail was that result achieved, i.e. how many additional resources were used up in adopting MTEF (Here it means operational cleverness).1.4 Broad methodological ApproachThe compend is purely desk- based. Secondary information sourced from look backward of macrocosmationss on the MTEF of incompatible countries and another(prenominal) relate articles of OECD, IMF, man Bank. UNICEF, PEFA, ADB, UNDP comprising as assessment and analysis of operable documents on the MTEF and cerebrate adjoines. To swear out the research questions information of national budget from 2001t o 2010, documents on the MTEF from 2006 to 2010, monthly pecuniary report from 2004 to 2008- Finance Division, Ministry of Finance (MoF), Bangladesh stinting Review 2003-2008, IRBD by CPD (Centre for Policy Dialogue) from 2004- 2010, Public outgo Review on health- 2007, Bangladesh Bureau of Statistics, Sector sharp-witted budgets from Ministry of upbringing, Ministry of Primary and Mass Education, Ministry of Health and Family Welfare are used. Data from national budgets, BER, MTBF and PER played the primal office to answer the research questions. Information was collected from interviewing few relevant staff of the MoF and consulting published documents and infobases operable in the Internet. The analysis is both qualitative and quantitative depending on the accessibility of the relevant data.1.4.1 Analytical Framework1) To answer the starting time question regarding chan ges due to adopting MTEF in Bangladesh, three elements will be analyzed institutional change, adjective change and technical change and this analysis will try to differentiate the qualitative changes took place due to adopting MTEF over the conventional budgeting system in relation to those three elements.2) The MTEF budgets of education and health will be assessed taking into account the three rudimentary elements of PEM (Public spending Management) maintaining m peerlesstary arrest, promoting allocative qualification and enhancing operational strength (Schick, A, 1998) to get the answer of the second question concerning service in effectiveness and readiness of budgetary spend later on MTEF.Fiscal discipline, allocative aptitude and operational skill are interdependent (DFID, 2001). Allen Schick (1998, p. 2) argued that the lack of m whizztary discipline leads to outlaw(a) resource allocation and operates in capability. So, financial discipline promotes allocati ve and operational efficiency. MTEF sought to strengthen those three outcomes. Therefore, the effectiveness and efficiency of budgetary outlay is improved when those three basic elements are achieved.The following criteria/ principles will be analysed to promulgate the experiences of attaining those three basic elementsSource The preceding(prenominal) criteria in the table are generated on the basis of the books of Schick, A (1998), existence Bank (1998), DFID guidelines (2001)1.4.1.1 Criteria settingThe aim is to find out active criteria that influences the three objectives of PEM as well as matches with the MTEF objectives of Bangladesh (discussed in chapter- 3..) so that the doctor of the MTEF can be assessed. The analytical framework is adequate and it is mainly based on the literature of Schick, A (1998), A Contemporary Approach to Public Expenditure Management, World Bank (1998), Public Expenditure Management Handbook, DFID guidelines (2001) and close to other empiri cal evidences (discussed in chapter- 2). almost other relevant criteria are not studyd mainly due to data non- availableness of appropriate data. For example, improvement in accountability and transparency relates to operational efficiency is not analysed due to data limitation and relevant information unavailability.A simple cross- section data is bribeed in tabular form where it is relevant in addressing the research questions.1.6 LimitationsThe MTEF is now at its earlier stage in Bangladesh and no formal review or comprehensive assessment has been made on this new budgetary sour. Sufficient information is not available and current and reliable data are also unobtainable. So, there is much reliance on government budgetary documents that cannot always be testified by evidences from other sources.1.7 Presentation StructureChapter 2 provides literature review on theoretical concept of MTEF, budgetary reforms followed both in developed and developing countries and assessments of th e impact of the MTEF in those countries using the analytical framework specified for answering question two.Chapter 3 illustrates MTEF reform in Bangladesh and analysis of the traditional budgetary act and MTEF in view of the changes took place due to adopting MTEF to get the answer of question 1.Chapter 4 decoctes on the assessment of impact of MTEF on education budget to get the answer to question-2Chapter 5 focuses on the assessment of impact of MTEF on health budget to get the answer to question-2Chapter 6 presents the evidence where all the research questions are summarized.Chapter 2 literature ReviewThis chapter aims to explore various criteria/ principles that will be used to judge the performance of the MTEF in line with the three basic indicators of the man ingestion focussing (PEM). With this end in view, it provides literature review on theoretical concept of the MTEF, the theoretical explanation regarding the consanguinity between the MTEF and the public expendit ure solicitude (PEM). It also ascertains the empirical studies on the MTEF of different countries to weaken the different criteria/ conditions that were set to assess the agency of the MTEF in promoting the efficiency and effectiveness of public expenditure. Finally it brings together some criteria that will be used to develop the analytical framework to assess the impact of the MTEF on education and health budget (the title of the dissertation) in Bangladesh.2.1 The Theoretical Background2.1.1 Concept of the MTEFThe MTEF (Medium Term Expenditure Framework) is specify as an approach designed specially to link planning, which has a intermediate term outlook, with the annual budget, and, as a consequence, to link budgetary expenditure more systematically with socially desired outcomes, (ADB, 2002, p-1). On the whole, MTEF corporate policy, planning and budgeting and allows expenditure to be driven by policy priorities and disciplined by budget realities (World Bank, 1998). So, MTEF is a multi course rolling expenditure under which a realistic projection of revenue receipts and expenditure is disposed(p) over a three to five stratum period and expense priorities are set with honorable mention to the politicss policy objectives and thus it provides a clear foundation for the annual budget. Under the MTEF, over a three year period, prototypical year estimate is considered as budget, two outer years estimates as indicatory figures. In the following year, the MTEF rolls forward and a new forward estimate for another year is added. later on(prenominal) essential adjustment, the second year forward estimate is considered as budget as it becomes first year for the next MTEF.Figure 2.1 Rolling Principle of the MTEF (Source ODI, 2002, p- 5)In many countries, the MTEF is implemented at two tell apart levels, at the central government level which is referred to as the top- down approach and at the outgo agencies level, referred to as the bottom- up approac h (World Bank, 1998, p-40). In the top- down approach, Ministry of Finance identified the resource envelops (which is referred to as the declarative expenditure ceiling) and allocate those to the line ministries in view of their relative need. In the bottom- up approach, line ministries or sectoral agencies formulates and estimates the effective and projected follows of the outlay programmes within the consumption limit for the mean(a) term by examining the sectoral objectives and activities (Houerou and Taliercio, 2002, p-2). rate off 2.1 Seven Stages of the MTEFSource AdaptedPEM Handbook (World Bank, 1998a 47-51) cited in N.Oyugi. L, (2008, p-3, 4)and Houerou and Taliercio, (2002, p-3)Annexure- 22.2 A General Overview of the Empirical booksMany developed countries like UK, Australia, New Zealand, Austria, Sweden, Germany, USA are practising multi- year budgeting. The MTEF of UK maintains a firm conformity in controlling public expenditure having focused on outcomes and economic service delivery (HM Treasury, 2007).World Bank, DFID and other Aid agencies influenced many developing and transitional countries to initiate series of reforms (Wyane, 2005). The MTEF is introduced in more than 25 countries in Asia, Africa (e.g., Benin, Cameroon, Burkina Faso, Ghana, Malawi, Rwanda, South Africa, Tanzania, Uganda, Namibia, Kenya, Zambia) Latin America and Eastern Europe. In Asia, MTEF has already been introduced in Nepal, Pakistan and Bangladesh. Almost all the developing countries have 3 years MTEFs except Mozambique (6 years) and South Africa (4 years) (Houerou and Taliercio, 2002). Most of the countries integrated nurture and non- outgrowth expenditure in the MTEF except Guinea and Rwanda (only recurrent budget). In Kenya, Tanzania, South Africa, Uganda, civil society representatives go in in Sector Expenditure Frameworks (SEFs) preparing process (Houerou and Taliercio, 2002). Suriyaarachchi (2004) argued that Nepal has improved in increase budget f ormulation and execution after introducing MTEF in Fiscal Year 2002-03. Assessments on the MTEF in many African countries are carried out considering the organizational change and procedural change rather than assessing the work up achieved through implementing the MTEF (Bird, A, 2003 Holmes and Evans, 2003 Jennes. G, 2003 Carlier. K, 2003 Short. J, 2003)2.3 The MTEF and the public expenditure counsel (PEM)ADB (2001) suggested that Public expenditure management (PEM) is the latest approach that emphasizes on achieving the desired policy outcomes through public sector budgeting. PEM considered expenditure as an instrument to produce optimal output whereas conventional budgetary process sets focus on spending as an infix.PEM emphasizes on three main outcomes in budgetary system. The objectives of PEM are to maintain fiscal discipline, to promote allocative efficiency and to enhance operational efficiency (World Bank, 1998a cited in DFID, 2001, p-8). Allen Schick (1998, p-2) describ es three basic elements of PEM as follows1.Aggregate fiscal discipline, which usually means that the public spending limit should not exceed the total revenue (spending in accordance with the affordability) and should be sustainable over the medium-term and beyond (ibid, p-2).2.Allocative efficiency, which refers to the condition that public spending, should be prudent. Expenditure should be based on government priorities and it should be tell to the most beneficial programmes and activities that ultimately increase the effectiveness of the budgetary spending. It means that the allocation is better targeted fault from lesser to higher priorities and from less to more effective programs (ibid-2).3. Operational efficiencymeans getting the outmatch value of public m championy. Quality of the public services should be reasonable and it should be given at the lowest possible cost (ADB, 2001, p-1). tally to Fjeldstad et al. (2004 p.2) cited in N.Oyugi. L, (2008, p- 2),The objectives of MTEF areto maintain aggregate fiscal disciplineto promote resource allocation to strategic priorities (allocative efficiency)to enhance efficient and effective use of resources (operational efficiency)It suggests that there is a close connection between MTEF and PEM objectives.2.3.1The MTEF and improvement in effectiveness and efficiency ofbudgetary expenditureADB suggested that the MTEF is one mechanism through which a PEM system can be operationalzed (2001- issue- 2, p-4). So, the improvement in effectiveness and efficiency of budgetary expenditure depends on to what extent the MTEF is sought to strengthen the PEM objectives.Fiscal discipline, allocative efficiency and operational efficiency are interdependent (DFID, 2001). Allen Schick (1998, p. 2) argued that the lack of fiscal discipline leads to incorrect resource allocation and operational inefficiency. So, fiscal discipline can promote both allocative and operational efficiency.Fiscal discipline is maintained when implemen tation of budget ensures that genuine expenditure does not exceed the spending limit and even when the increase in spending (% as a share of GDP) is consistent with the increase in revenue each year (Schick, A, 1998, p. 12, 67). So, two criteria- conformity with the spending limit and consistency in the trend of sectoral expenditure influence fiscal discipline.Allocative efficiency means the ability of the government to distribute resources considering the effectiveness of public programmes in accordance with its strategic objectives or policy planning. It is the capacity to reallocate resources from old to new priorities and from less to more effective programmes. Delegation of study allocative responsibility to sectoral ministries also promotes allocative efficiency (ibid, p. 17, 90). So, four criteria- change in sectoral allocation, strategic resource allocationlinked to policy planning, spending in priority areas/ programmes anddevolution of allocative responsibilities to lin e ministries influence allocative efficiency.MTEF offers greater predictability of fund since it establishes baseline budgets for the upcoming years (while one year budget cannot) and thus improves operational efficiency (ADB, 2001- issue- 2, p-4). World Bank (1998) argues that predictability of funds (assurance to spending agencies as to when and where the resources will be available) is one of the major factors that influence operational efficiency (p- 28). Operational efficiency put violence on output and outcomes rather than remark (Schick, A, 1998, p. 21). So, two criteria- greater predictability of public funds and raise in achieving output targets influence operational efficiency.2.3.2 Evidence from Cross- surface area StudiesThis is to explore what criteria/ characteristics are set out by different countries to assess the impact of MTEF with respect to three levels of PEM outcomes. However, most of the studies are found to use one or more of the following criteria.Reducin g fiscal deficitSince the adoption of the MTEF, Malawi reduced its fiscal deficit from 15% of GDP to 5% in the 1998/ 1999 budgetary- year and a further reduction to 4% in 1999/ 2000. So, it achieved some progress in reducing fiscal deficit (Anipe et al., 1999, p. 15).Adequate information availabilityIn Cambodia, the MTEF was introduced in two ministries (education and health) and while preparing the sectoral expenditure for 2003-2005, health ministry had inadequate information regarding user fees and other payments, which in turn prevented from making a realistic estimation (Dom et al., 2003, p. 30).Above two criteria are touch on with aggregate fiscal discipline.Strategic resource allocation linked to policy, planningIn national of Ghana, the MTEF was pick out in 1999 the resources were allocated in line with government development policy documents, e.g. Ghana Vision 2020 (Anipa et al., 1999, p-21). The MTEF in Uganda achieved a considerable success in integrating the PEAP (Pove rty Eradication Action Plan) within the budgetary process and expenditure planning is carried out considering PEAP at the central and local government levels (Bird A, 2003).Change in sectoral allocationIn Uganda, actual spending increased from 19.8% of total expenditure to 26.9% in 1998/99 (Bevan and Palomba, 2000, p. 18). In Benin, budgetary allocations had increased significantly to the priority sector since 1998. Recurrent budget for education was 27.4% of the total expenditure in 1998 and it increased to 39.5% in 2001 and capital budget was 4.5% of the total expenditure in 1998 and that increased enormously to 40.7%. Allocations towards the health budget have increased from 1.4 percent of GDP in 1998 to 2.3 percent of GDP in 2001 (Carlier K, 2003, p. 23-24). great responsibility to line ministriesThe MTEF in Ghana promoted allocative efficiency as line ministries enjoying greater responsibility for allocating resources to priority activities which ensures effective and efficient use of limited resources (Anipa et al., 1999, p- 7).Improvement in budgetary classificationThe MTEF in Malawi promotes allocative efficiency as it improved in budgetary classification by adopting activity- based budgeting that reviews the on- going programmes and creates sub- programmes to specify the activities (ibid, p. 12-25).From the higher up analysis it is evident that three criteria- strategic resource allocation linked to policy planning, change in sectoral allocation, improvement in budgetary classification are relevant to allocative efficiency and greater responsibility to line ministries is pertain with both allocative and operational efficiency (discussed in section 2.1.3).Fund predictabilityIn Malawi, the allocation for health sector was 20.7% of the total development budget for the 1996/1997 fiscal year, but the actual release was only 3.6% of the development expenditure (Oxford Policy Management, 2000, p. 4).Reducing the deviation between budget and actual spending In lawsuit of Tanzania, from 1995 to 1998, the average BDI (Budget Deviation Index) was equal to 33% before introducing the MTEF and after the MTEF since 1999, it was reduced to 25% (Houerou and Taliercio, 2002, p. 21).Improvement in accountability and transparencyIn Namibia, MTEF has improved transparency as the framework explains inputs required for all programmes and expect outcomes. It also increased accountability because public has the access to the information regarding government priorities set in the medium term framework (N Oyugi L, 2008, p-12).The above two criteria are relevant to operational efficiency as discussed earlier.2.4 FindingsThe country assessments of the MTEF indicate that all types of criteria/ conditions were not used by any single country to assess the impact of the MTEF. From the above analysis, the following key criteria/ principles can be brought together which appear to be important to examine the MTEF outcomes at three levels- fiscal discipline, allo cative and operational efficiency.In the next chapter, the changes due to adopting the MTEF in the education and health budget will be examined.Asian development bank institute, 2005http//www.adbi.org/files/2005.09.05.cpp.budget.classification.pdfChapter 3 Changes due to the MTEF in BangladeshThis chapter addresses the first research question of Chapter- 1 which refers to the changes took place because of the MTEF introduced in the education and health budget. For this, it focuses on the budgetary reforms in Bangladesh. Experiences with the introduction of the MTEF are discussed and finally the changes due to adopting the MTEF (the traditional versus the MTEF) have been analysed.3.1 Why the MTEF in BangladeshBefore the MTEF, budgets were ready by making arbitrary incremental changes to the preceding years allocation. No strategic planning was present in budgetary process, non- development and development budgets were brisk separately and ferocity was laid on input rather than out put (BCAS-2006/09, p. 53). Therefore, to enhance the credibility of the budget, to face the strategies set out in the PRSP with the macroeconomic framework and to create a more disciplined, dynamic, efficient and modern public financial management system (MTBF-05/06, p. i), the MTEF was introduced.3.2 Budgetary reforms and the MTEF in BangladeshBangladesh is a densely populated developing country which has a less public spending as a share of GDP (Socio- economic indicators are shown inAppendix- 1). For the effective and efficient use of scant resources, important reforms have been carried out in public financial management since 1990s. According to World Bank, Bangladesh re-emerged as a democracy, successfully restarted reforms on critical fronts while ensuring sound macroeconomic and fiscal management (BCAS, 2006/09, p-9). A committee on Reforms in budgeting and Expenditure Control (CORBEC) was formed in expose 1990 and this committee identified a number of problems including bud geting procedure, budget classification, budget presentation, separate non- development (recurrent) and development (investment) budgets preparation, emphasis laid on the inputs rather than outputs, etc. It was also difficult to identify the flow of funds as non- development and development budgets used separate classification systems and that was not computerized. To implement the recommendation of CORBEC, RIBEC (Reform in Budgeting and Expenditure Control) was formed with the financial support from the DFID (Department for International Development). A detailed operational unit discerning and economic code wise classification chart was brisk and published, financial rules and reporting systems were upgraded and large number of Government officials were trained through the RIBEC from PhMTEF Reform in Bangladesh AnalysisMTEF Reform in Bangladesh AnalysisChapter 1 Introduction1.1 BackgroundThis dissertation studies the MTEF (Medium Term Expenditure Framework) reform in Bangladesh. The MTEF was introduced in 4 ministries including Ministry of Education from 2005-06, named as MTBF (Medium Term Budgetary Framework). In the following year it included Ministry of Primary and Mass Education and Ministry of Health and Family Welfare. All other ministries will be brought under this framework in near future. The focus of this study is to explore the effect of introducing the MTEF in education and health budgets, explain the difference between the MTEF and traditional budgetary system in the formulation and execution of budget, analyze the effectiveness and efficiency of budgetary spending due to adopting the MTEF in the education and health sectors considering the three outcomes (maintaining fiscal discipline, promoting allocative Efficiency and enhancing operational efficiency) of public expenditure management (PEM) and finally to comment on whether improvements were achieved or not due to adopting the MTEF. This chapter outlines the relevancy of the study, the resea rch questions to be answered in the subsequent chapters, methodology and analytical framework, limitations of the study and finally the presentation structure.1.2 Rationale of the StudyThe main objective of formulating a budget under the MTEF is to link the budgetary allocations with governments policies, priorities. This is for ensuring efficient utilisation of limited public resources, which will enhance pro-poor growth and poverty reduction. One of the policy priority triangles set out in countrys Poverty Reduction Strategy Paper (PRSP, 2005) is human development. So, Education and health sectors have been attached to top priority on investment by the Government.1 According to MTBF (2005-06, p-01), The Medium Term Budgetary Framework (MTBF) is a new budgeting approach generally known as the Medium Term Expenditure Framework (MTEF). Here, no basic difference between MTEF and MTBF has been stated. So, the term MTEF will be used ubiquitously in this dissertation except quoting the r eferences where relevant.These two sectors account for almost 20% of the total government expenditure each year in Bangladesh. The MTEF has been implemented in these two sectors since 2006 and many of the government policy objectives are linked with them. It is necessary to review the performance of the MTEF so that the output could be infused into ongoing works and corrective actions can be taken to planned activities accordingly. Thus, it seeks to investigate the impact of the MTEF on budgetary system of these two sectors.1.3 Research QuestionsFor this paper, the research questions are1. To what extent MTEF led to changesa in the formulation and execution of education and health budgets?2. Has MTEF improved the effectivenessb and efficiencyc of budgetary expenditure on education and health?a. Mainly three types of changes- institutional, process (procedure) and technical (technological).b. Effectiveness is about how far does the activity (here MTEF) achieve its objective- and the objective itself is greater allocative efficiency.c. Efficiency here means at what cost was that result achieved, i.e. how many additional resources were used up in adopting MTEF (Here it means operational efficiency).1.4 Broad methodological ApproachThe analysis is purely desk- based. Secondary information sourced from review of literatures on the MTEF of different countries and other related articles of OECD, IMF, World Bank. UNICEF, PEFA, ADB, UNDP comprising as assessment and analysis of available documents on the MTEF and related processes. To answer the research questions data of national budget from 2001t o 2010, documents on the MTEF from 2006 to 2010, monthly fiscal report from 2004 to 2008- Finance Division, Ministry of Finance (MoF), Bangladesh sparing Review 2003-2008, IRBD by CPD (Centre for Policy Dialogue) from 2004- 2010, Public Expenditure Review on health- 2007, Bangladesh Bureau of Statistics, Sector wise budgets from Ministry of Education, Ministry of Primary an d Mass Education, Ministry of Health and Family Welfare are used. Data from national budgets, BER, MTBF and PER played the key role to answer the research questions. Information was collected from interviewing few relevant staff of the MoF and consulting published documents and databases available in the Internet. The analysis is both qualitative and quantitative depending on the availability of the relevant data.1.4.1 Analytical Framework1) To answer the first question regarding changes due to adopting MTEF in Bangladesh, three elements will be analyzed institutional change, procedural change and technical change and this analysis will try to differentiate the qualitative changes took place due to adopting MTEF over the traditional budgeting system in relation to those three elements.2) The MTEF budgets of education and health will be assessed taking into account the three basic elements of PEM (Public Expenditure Management) maintaining fiscal discipline, promoting allocative ef ficiency and enhancing operational efficiency (Schick, A, 1998) to get the answer of the second question concerning improvement in effectiveness and efficiency of budgetary spending after MTEF.Fiscal discipline, allocative efficiency and operational efficiency are interdependent (DFID, 2001). Allen Schick (1998, p. 2) argued that the lack of fiscal discipline leads to improper resource allocation and operates inefficiency. So, fiscal discipline promotes allocative and operational efficiency. MTEF sought to strengthen those three outcomes. Therefore, the effectiveness and efficiency of budgetary spending is improved when those three basic elements are achieved.The following criteria/ principles will be analysed to reveal the experiences of attaining those three basic elementsSource The above criteria in the table are generated on the basis of the literature of Schick, A (1998), World Bank (1998), DFID guidelines (2001)1.4.1.1 Criteria settingThe aim is to find out some criteria that influences the three objectives of PEM as well as matches with the MTEF objectives of Bangladesh (discussed in chapter- 3..) so that the impact of the MTEF can be assessed. The analytical framework is neutered and it is mainly based on the literature of Schick, A (1998), A Contemporary Approach to Public Expenditure Management, World Bank (1998), Public Expenditure Management Handbook, DFID guidelines (2001) and some other empirical evidences (discussed in chapter- 2). nearly other relevant criteria are not examined mainly due to data non- availability of appropriate data. For example, improvement in accountability and transparency relates to operational efficiency is not analysed due to data limitation and relevant information unavailability.A simple cross- section data is presented in tabular form where it is relevant in addressing the research questions.1.6 LimitationsThe MTEF is now at its earlier stage in Bangladesh and no formal review or comprehensive assessment has been mad e on this new budgetary process. Sufficient information is not available and current and reliable data are also unobtainable. So, there is much reliance on government budgetary documents that cannot always be testified by evidences from other sources.1.7 Presentation StructureChapter 2 provides literature review on theoretical concept of MTEF, budgetary reforms followed both in developed and developing countries and assessments of the impact of the MTEF in those countries using the analytical framework specified for answering question two.Chapter 3 illustrates MTEF reform in Bangladesh and analysis of the traditional budgetary process and MTEF in view of the changes took place due to adopting MTEF to get the answer of question 1.Chapter 4 focuses on the assessment of impact of MTEF on education budget to get the answer to question-2Chapter 5 focuses on the assessment of impact of MTEF on health budget to get the answer to question-2Chapter 6 presents the ending where all the resear ch questions are summarized.Chapter 2 Literature ReviewThis chapter aims to explore various criteria/ principles that will be used to judge the performance of the MTEF in line with the three basic indicators of the public expenditure management (PEM). With this end in view, it provides literature review on theoretical concept of the MTEF, the theoretical explanation regarding the relationship between the MTEF and the public expenditure management (PEM). It also examines the empirical studies on the MTEF of different countries to reveal the different criteria/ conditions that were set to assess the role of the MTEF in promoting the efficiency and effectiveness of public expenditure. Finally it brings together some criteria that will be used to develop the analytical framework to assess the impact of the MTEF on education and health budget (the title of the dissertation) in Bangladesh.2.1 The Theoretical Background2.1.1 Concept of the MTEFThe MTEF (Medium Term Expenditure Framework) i s delineate as an approach designed specially to link planning, which has a medium term outlook, with the annual budget, and, as a consequence, to link budgetary expenditure more systematically with socially desired outcomes, (ADB, 2002, p-1). On the whole, MTEF integrated policy, planning and budgeting and allows expenditure to be driven by policy priorities and disciplined by budget realities (World Bank, 1998). So, MTEF is a multiyear rolling expenditure under which a realistic projection of revenue receipts and expenditure is prepared over a three to five year period and spending priorities are set with reference to the Governments policy objectives and thus it provides a clear foundation for the annual budget. Under the MTEF, over a three year period, first year estimate is considered as budget, two outer years estimates as indicative figures. In the following year, the MTEF rolls forward and a new forward estimate for another year is added. after(prenominal) necessary adjust ment, the second year forward estimate is considered as budget as it becomes first year for the next MTEF.Figure 2.1 Rolling Principle of the MTEF (Source ODI, 2002, p- 5)In many countries, the MTEF is implemented at two key levels, at the central government level which is referred to as the top- down approach and at the spending agencies level, referred to as the bottom- up approach (World Bank, 1998, p-40). In the top- down approach, Ministry of Finance identified the resource envelops (which is referred to as the indicative expenditure ceiling) and allocate those to the line ministries in view of their relative need. In the bottom- up approach, line ministries or sectoral agencies formulates and estimates the actual and projected costs of the spending programmes within the spending limit for the medium term by examining the sectoral objectives and activities (Houerou and Taliercio, 2002, p-2). put off 2.1 Seven Stages of the MTEFSource AdaptedPEM Handbook (World Bank, 1998a 47-51 ) cited in N.Oyugi. L, (2008, p-3, 4)and Houerou and Taliercio, (2002, p-3)Annexure- 22.2 A General Overview of the Empirical LiteratureMany developed countries like UK, Australia, New Zealand, Austria, Sweden, Germany, USA are practising multi- year budgeting. The MTEF of UK maintains a firm consistency in controlling public expenditure having focused on outcomes and efficient service delivery (HM Treasury, 2007).World Bank, DFID and other Aid agencies influenced many developing and transitional countries to initiate series of reforms (Wyane, 2005). The MTEF is introduced in more than 25 countries in Asia, Africa (e.g., Benin, Cameroon, Burkina Faso, Ghana, Malawi, Rwanda, South Africa, Tanzania, Uganda, Namibia, Kenya, Zambia) Latin America and Eastern Europe. In Asia, MTEF has already been introduced in Nepal, Pakistan and Bangladesh. Almost all the developing countries have 3 years MTEFs except Mozambique (6 years) and South Africa (4 years) (Houerou and Taliercio, 2002). Most o f the countries integrated development and non- development expenditure in the MTEF except Guinea and Rwanda (only recurrent budget). In Kenya, Tanzania, South Africa, Uganda, civil society representatives go into in Sector Expenditure Frameworks (SEFs) preparing process (Houerou and Taliercio, 2002). Suriyaarachchi (2004) argued that Nepal has improved in development budget formulation and execution after introducing MTEF in Fiscal Year 2002-03. Assessments on the MTEF in many African countries are carried out considering the organizational change and procedural change rather than assessing the progress achieved through implementing the MTEF (Bird, A, 2003 Holmes and Evans, 2003 Jennes. G, 2003 Carlier. K, 2003 Short. J, 2003)2.3 The MTEF and the public expenditure management (PEM)ADB (2001) suggested that Public expenditure management (PEM) is the latest approach that emphasizes on achieving the desired policy outcomes through public sector budgeting. PEM considered expenditure a s an instrument to produce optimal output whereas conventional budgetary process sets focus on spending as an input.PEM emphasizes on three main outcomes in budgetary system. The objectives of PEM are to maintain fiscal discipline, to promote allocative efficiency and to enhance operational efficiency (World Bank, 1998a cited in DFID, 2001, p-8). Allen Schick (1998, p-2) describes three basic elements of PEM as follows1.Aggregate fiscal discipline, which usually means that the public spending limit should not exceed the total revenue (spending in accordance with the affordability) and should be sustainable over the medium-term and beyond (ibid, p-2).2.Allocative efficiency, which refers to the condition that public spending, should be prudent. Expenditure should be based on government priorities and it should be tell to the most beneficial programmes and activities that ultimately increase the effectiveness of the budgetary spending. It means that the allocation is better targeted fracture from lesser to higher priorities and from less to more effective programs (ibid-2).3. Operational efficiencymeans getting the vanquish value of public money. Quality of the public services should be reasonable and it should be given at the lowest possible cost (ADB, 2001, p-1).According to Fjeldstad et al. (2004 p.2) cited in N.Oyugi. L, (2008, p- 2),The objectives of MTEF areto maintain aggregate fiscal disciplineto promote resource allocation to strategic priorities (allocative efficiency)to enhance efficient and effective use of resources (operational efficiency)It suggests that there is a close connection between MTEF and PEM objectives.2.3.1The MTEF and improvement in effectiveness and efficiency ofbudgetary expenditureADB suggested that the MTEF is one mechanism through which a PEM system can be operationalzed (2001- issue- 2, p-4). So, the improvement in effectiveness and efficiency of budgetary expenditure depends on to what extent the MTEF is sought to strengthen the PEM objectives.Fiscal discipline, allocative efficiency and operational efficiency are interdependent (DFID, 2001). Allen Schick (1998, p. 2) argued that the lack of fiscal discipline leads to improper resource allocation and operational inefficiency. So, fiscal discipline can promote both allocative and operational efficiency.Fiscal discipline is maintained when implementation of budget ensures that actual expenditure does not exceed the spending limit and even when the increase in spending (% as a share of GDP) is consistent with the increase in revenue each year (Schick, A, 1998, p. 12, 67). So, two criteria- conformity with the spending limit and consistency in the trend of sectoral expenditure influence fiscal discipline.Allocative efficiency means the ability of the government to distribute resources considering the effectiveness of public programmes in accordance with its strategic objectives or policy planning. It is the capacity to reallocate resources from old to new priorities and from less to more effective programmes. Delegation of major allocative responsibility to sectoral ministries also promotes allocative efficiency (ibid, p. 17, 90). So, four criteria- change in sectoral allocation, strategic resource allocationlinked to policy planning, spending in priority areas/ programmes anddevolution of allocative responsibilities to line ministries influence allocative efficiency.MTEF offers greater predictability of fund since it establishes baseline budgets for the upcoming years (while one year budget cannot) and thus improves operational efficiency (ADB, 2001- issue- 2, p-4). World Bank (1998) argues that predictability of funds (assurance to spending agencies as to when and where the resources will be available) is one of the major factors that influence operational efficiency (p- 28). Operational efficiency put emphasis on output and outcomes rather than input (Schick, A, 1998, p. 21). So, two criteria- greater predictability of public fund s and progress in achieving output targets influence operational efficiency.2.3.2 Evidence from Cross-country StudiesThis is to explore what criteria/ characteristics are set out by different countries to assess the impact of MTEF with respect to three levels of PEM outcomes. However, most of the studies are found to use one or more of the following criteria.Reducing fiscal deficitSince the adoption of the MTEF, Malawi reduced its fiscal deficit from 15% of GDP to 5% in the 1998/ 1999 budgetary- year and a further reduction to 4% in 1999/ 2000. So, it achieved some progress in reducing fiscal deficit (Anipe et al., 1999, p. 15).Adequate information availabilityIn Cambodia, the MTEF was introduced in two ministries (education and health) and while preparing the sectoral expenditure for 2003-2005, health ministry had inadequate information regarding user fees and other payments, which in turn prevented from making a realistic estimation (Dom et al., 2003, p. 30).Above two criteria are concerned with aggregate fiscal discipline.Strategic resource allocation linked to policy, planningIn case of Ghana, the MTEF was adopt in 1999 the resources were allocated in line with government development policy documents, e.g. Ghana Vision 2020 (Anipa et al., 1999, p-21). The MTEF in Uganda achieved a considerable success in integrating the PEAP (Poverty Eradication Action Plan) within the Budgetary process and expenditure planning is carried out considering PEAP at the central and local government levels (Bird A, 2003).Change in sectoral allocationIn Uganda, actual spending increased from 19.8% of total expenditure to 26.9% in 1998/99 (Bevan and Palomba, 2000, p. 18). In Benin, budgetary allocations had increased significantly to the priority sector since 1998. Recurrent budget for education was 27.4% of the total expenditure in 1998 and it increased to 39.5% in 2001 and capital budget was 4.5% of the total expenditure in 1998 and that increased enormously to 40.7%. Allocati ons towards the health budget have increased from 1.4 percent of GDP in 1998 to 2.3 percent of GDP in 2001 (Carlier K, 2003, p. 23-24). great responsibility to line ministriesThe MTEF in Ghana promoted allocative efficiency as line ministries enjoying greater responsibility for allocating resources to priority activities which ensures effective and efficient use of limited resources (Anipa et al., 1999, p- 7).Improvement in budgetary classificationThe MTEF in Malawi promotes allocative efficiency as it improved in budgetary classification by adopting activity- based budgeting that reviews the on- going programmes and creates sub- programmes to specify the activities (ibid, p. 12-25).From the above analysis it is evident that three criteria- strategic resource allocation linked to policy planning, change in sectoral allocation, improvement in budgetary classification are relevant to allocative efficiency and greater responsibility to line ministries is concerned with both allocative and operational efficiency (discussed in section 2.1.3).Fund predictabilityIn Malawi, the allocation for health sector was 20.7% of the total development budget for the 1996/1997 fiscal year, but the actual release was only 3.6% of the development expenditure (Oxford Policy Management, 2000, p. 4).Reducing the deviation between budget and actual spendingIn case of Tanzania, from 1995 to 1998, the average BDI (Budget Deviation Index) was equal to 33% before introducing the MTEF and after the MTEF since 1999, it was reduced to 25% (Houerou and Taliercio, 2002, p. 21).Improvement in accountability and transparencyIn Namibia, MTEF has improved transparency as the framework explains inputs required for all programmes and evaluate outcomes. It also increased accountability because public has the access to the information regarding government priorities set in the medium term framework (N Oyugi L, 2008, p-12).The above two criteria are relevant to operational efficiency as discussed earli er.2.4 FindingsThe country assessments of the MTEF indicate that all types of criteria/ conditions were not used by any single country to assess the impact of the MTEF. From the above analysis, the following key criteria/ principles can be brought together which appear to be important to examine the MTEF outcomes at three levels- fiscal discipline, allocative and operational efficiency.In the next chapter, the changes due to adopting the MTEF in the education and health budget will be examined.Asian development bank institute, 2005http//www.adbi.org/files/2005.09.05.cpp.budget.classification.pdfChapter 3 Changes due to the MTEF in BangladeshThis chapter addresses the first research question of Chapter- 1 which refers to the changes took place because of the MTEF introduced in the education and health budget. For this, it focuses on the budgetary reforms in Bangladesh. Experiences with the introduction of the MTEF are discussed and finally the changes due to adopting the MTEF (the tr aditional versus the MTEF) have been analysed.3.1 Why the MTEF in BangladeshBefore the MTEF, budgets were prepared by making arbitrary incremental changes to the preceding years allocation. No strategic planning was present in budgetary process, non- development and development budgets were prepared separately and emphasis was laid on input rather than output (BCAS-2006/09, p. 53). Therefore, to enhance the credibility of the budget, to face the strategies set out in the PRSP with the macroeconomic framework and to create a more disciplined, dynamic, efficient and modern public financial management system (MTBF-05/06, p. i), the MTEF was introduced.3.2 Budgetary reforms and the MTEF in BangladeshBangladesh is a densely populated developing country which has a less public spending as a share of GDP (Socio- economic indicators are shown inAppendix- 1). For the effective and efficient use of scant resources, important reforms have been carried out in public financial management since 1 990s. According to World Bank, Bangladesh re-emerged as a democracy, successfully restarted reforms on critical fronts while ensuring sound macroeconomic and fiscal management (BCAS, 2006/09, p-9). A committee on Reforms in budgeting and Expenditure Control (CORBEC) was formed in butt 1990 and this committee identified a number of problems including budgeting procedure, budget classification, budget presentation, separate non- development (recurrent) and development (investment) budgets preparation, emphasis laid on the inputs rather than outputs, etc. It was also difficult to identify the flow of funds as non- development and development budgets used separate classification systems and that was not computerized. To implement the recommendation of CORBEC, RIBEC (Reform in Budgeting and Expenditure Control) was formed with the financial support from the DFID (Department for International Development). A detailed operational unit wise and economic code wise classification chart was p repared and published, financial rules and reporting systems were upgraded and large number of Government officials were trained through the RIBEC from Ph

Analysis of C Seasons Footwear Company

epitome of C Seasons Foot out(p)wear CompanyIntroductionFor the clientele world today, the pose of e genuinely lodge is to invest in an milieu that is economically safe with the aim of working towards subscribe ne devilrk, make maximum returns on investment and to unploughed the interest of the play alongs deal prohibitedholders in mind and as well as to cave in the interest of customers in mind in smart set to boost agonistic advantage by working on core competency of the organisation.The participation is in the gymnastic footgear persistence called C SEASONS. The social club apply a distinguish dodge for the sale of its sports footgear. This is going into the footgear commercialize in a different way from former(a) footgear make companies in do to have a competitive advantage over different gymnastic footgear industry.C Seasons footwear Company has been in the footwear industry for the last basketball team familys supplying the best footwear to qua d different regions prep arely, North America, Europe Africa, Asia Pacific and Latin America.The BSG Online exemplar was base on twelve industries that were into acrobatic footwear located in quadruplet regions (North America, Europe Africa, Asia Pacific and Latin America. It started with twelve companies and to compete with other club and make necessary conclusions and design and implement a strategy that ordain provide a longterm return for stockholders over the next quintet years. The makeup go away focus on political party 25 (C SEASONS).According to Johnson, et al (2009) a differentiation strategy hitks to provide returns or services that pass benefits that are different from those of competitors and that are widely rated by emptors. p.153.The aims and objectives of the BSG online simulation areBecoming the grocery melter in the footwear making industry.To have a grave shareholder returns.To have a proud crystallize emolument at the end of the game s imulation.Various report, tables and graphs would be enjoyment to help decision making processes.The table be kickoff shows the strengths and weaknesses for C Seasons on both the internet segment and sweeping segment of the descent for the five years.Simulation Result.Year 1.In order to be the food commercialise devolveer, we resolute that in year 1 we would be making a 1% charitable contri providedion, by doing this it would help reduce the tax payable by the come with at the end of distri scarcelyively financial year. The society would to a fault be involved in workforce diversity programs. The union overly decided that at the end of the year we would have trus tworthy percentage of our unsold stock on clearance gross sales. For the North Ameri buttocks market clearance would be 25%, Europe Africa would be 25%, Asia Pacific would be 50% and 50% for Latin America. The company likewise had strengths in all regions in the models offered, rebate offers and advertiseme nt. Some weakness were withal identified such(prenominal)(prenominal) as the style and fictitious character, deliin truth prison term and the wholesale price. At he end of the head start year the company had an depiction rating of 66 and a credit rating of A. The net profit margin in the first year was 14.1% man return on stinkerdour was 22.8%. The current proportionality in the first year was 2.74 while the asset turnover was 0.93.Year 2In year two the strengths of the company in the regions were the models offered and the rebate offers. The inventory clearance was left as the first year which the company believed would attract much customers.The weaknesses in year two were style and quality, wholesale price offered to sellers, the delivery duration, celebrity draw in and degage shipping. Return on equity in year two was 23.4% while the net profit margin was 16.4%. This was a 3.1% rise from the first year which points out that the company was selling well. asset tur nover in the second year was 0.93 while the current ratio was 4.11%.Year 3In year three the strengths of the company in the three regions were the free shipping offered, rebate offers, celebrity appeal and the models offered. The return on equity in year three was 19.7%. Net profit margin 16.9%. Asset turnover was 0.57 while the current ratio was 5.37%. The company had about weaknesses in the third year of business delivery time, retail outlet, and advertising were the reverse gear for the company.Year 4In year quaternion the company decided to pay shareholders, a sum of $0.50/share is to be nonrecreational to each shareholder per the number of share(s) they hold in the company. Shareholders were paying(a) dividend as a sign of good give and also to show value for the m nonpareily they have and would invest in the company.The company showed some strengths during the trading year such as the models offered, the free shipping offered, rebate offers and good advertising.The compa ny also had some weaknesses in some of the regions such as the style and quality, retail outlet and the delivery time. The return on equity for year four as 10.3%. Net profit margin for the year was 10.5%, the reason for this was the dividend paid to shareholders during the year. The asset turnover for the year was 0.76 while the current ratio for the company was 7.32%.Year 5In year five the current ratio for the company was 8.21% while the operate profit margin was 25.7% and net profit margin was 17%. In the fifth the company had some weaknesses such as wholesale price, style and quality and the retail outlet.The strengths during year five were free shipping offered, the good advertisement make, the delivery time, the rebate time offered and the celebrity appeal the business had. The asset turnover for year five was 0.72.Strategic Thinkinga.) Strategic epitomeThe basis strategy employ in the simulation was a differentiation strategy this seeks to provide captures or services b enefits that are different from those of competitors and that are widely valued by buyers (Johnson et al, 2006) pg 153.C Seasons offered a good quality merchandise and started with a just about lower price for a quality intersection that it was producing.C Seasons used the PESTEL framework to analyse its outside environment. The PESTEL framework categorises environmental influences into six main emblems political, economical, social, technological, environmental, and legal factors Johnson et al (2006) pg 25.The aims was to achieve competitive advantage by whirl better product or services at a average price or enhancing margins slightly full(prenominal)er. Although, Seasons product may be identical, but possible to differentiate on the basis of the followingQuality productReasonable priceGlobal instigatorBroad market whimsical valueNiche marketProduct differentiation is another strategy for gaining a market foothold, and to be successful, product differentiation natural be valued by target customers. It must be protected by products, make duplication by rivals difficult or impossibleToday, approximately successful and powerful companies grew out of business model that were elegant, compelling in their logic and powerful in economic potential as some variation of the value chain that support business.b.) Mission And VisionA mission is a general expression of the overall purpose of the organisation, which, ideally, is in line with the values and expectations of major stakeholders and concerned with the scope and boundaries of the organisation Johnson, et al (2006) pg 9.A vision squeeze out also be described as desired future of the organisation. It is an aspiration around which a strategist capacity seek to focus the attention and energies of members of the organisation Johnson, et al (2006) pg 9.Therefore, the mission of C Seasons provide be to become the major player in the market and the vision is to produce the best footwear that are worn and care for the world over by both children and adult. orthogonal surroundings outside environment examines opport unities and panics that exit in the environment. twain opportunities and threats exist independently of the buckram (Adkins, March 2008). See appendices.Internal EnvironmentThe internal environments are those that the company can set up strategies for and make sure that the decisions are the skillful one for the company. See appendices.Value ChainValue chain summary also highlights the mechanisms through which developing countries and their procedures have upgraded their activities and linked to producers and consumers in the globular economy, or may do so in the future in a manner that can lead to a sustainable income growth. The results of this type of psycho psycho compendium should indicate the way to policy challenges confronting the private and public agents operating in or promoting the chain (Kaplinsky,2000).The VRIO framework was the foundation for inte rnal analysis in order to lead to sustainable competitive advantage a choice or cap mogul should be precious, rare, imitable and unionised.Decision Making And personal LearningC Seasons decided not to take a aver loan in the first year of business, the reason for this was to see if the company could sustain itself without a loan or overdraft. At the end of year one the company had a total sales of $267,140m with a net profit of $37,666m. In year four the business decided to leave dividends to shareholders, a $0.50 was to be aid to each shareholders per the number of shares they hold. The reason for the dividend been paid to shareholders was as a result of addition in the businesses market share and profit.The reason why the net profit in year four was low was as a result of the exchange rate at the time which went up to $21,764m compared to $6,756m in year three. The company had problems with its style and quality during the first two years of business and were able to sort it out by year three.In order to generate net income on our investment, we signed a celebrity to endorse our product and also wear the footwear during shows and also placed some adversitment on TV and billboards. We attempt to create a new concept with good features in order to meet customers aspiration at this period our firm started making sales.In all, this exercise have exposed me to know how business can be done in real life and make necessary strategicalal decision that will make the business more viable to operate. These also allowed me to have an in depth understanding of business practice and power to have a longterm vision and generate positive customer and shareholder expectation. I was also able to know how to use the accounting ratios in calculating for businesses.ConclusionTo gain return on investment, strategic decisions must be made in accordance with the set objectives, the report cogitate on developing strategic decisions which helped in comparing the simulation to a real life business. An important skill derived will monitor numeral information and analysing these statistics in order to forecast the future and successfully outlive in the business.The various experienced gained during the cause of the simulation game and par of other group result to improve the firms decision making were utilise this included taking risks to ensure that the firm performance in the market is high. Charts and financial ratios were analysed during the course of the simulation exercise to complete the tasks, this helped the decision making process. Making use of resources and information that is available.RecommendationsC Seasons is clearly the top of its industry, but no company is invulnerable. Seasons has several avenues of improvement. If they want to continue to build upon their lead and maintain their status in the industry, they motif to take a toilsome look at their mission and define it in SMART terms. The ability to reach some of their target c ustomers in such a sort could be a huge marketing advantage.Seasons reputation will be more positive and if they can gain back customers lost ascribable to negative publicity. People already associate Seasons with quality retail products. It would be even better to feel good about buying their product and not feel as if people are being victimised every time they leverage a Seasons product.AppendicesThe Summary of Internal and External AnalysisSwotThe SWOT summarizes the constitute issues from business environment and the strategies strength useful as a basis against which to generate strategic options and mensurate future courses of option(Harvard Business Essentials,2005). Its helps to generate strategic convertnatives from a situation analysis, and can be applicable to every corporate take or business unit level and do appears in marketing plansThe internal and external situation analysis can produce a large substance of information, much of which may not be highly relev ant. The SWOT analysis classifies the internal aspects of the company as strengths or weaknesses and the external situational factors as opportunities or threats. The following diagram shows how a SWOT analysis fits into a strategic situation analysis.SWOT ProfileThe internal and external situation analysis can produce a large amount of information, much of which may not be highly relevant. The SWOT analysis classifies the internal aspects of the company as strengths or weaknesses and the external situational factors as opportunities or threats.In summary, the fundamental interaction of the internal and external analysis will result to SWOT important. e.g, the strengths can be leveraged to pursue opportunities and to avoid threats, and managers can be alerted to weaknesses that might need to be overcome in order to successfully pursue opportunities.StrengthsIn a SWOT analysis, the capabilities that enable Seasons company to perform wellcapabilities that needs to be leveraged. The co mpany has introduced umpteen innovative products giving it a competitive edge. Its worldwide reach provides it an opportunity to tap growing global footwear market. The companys unchanging innovations have enabled it to remain competitive and maintain market shareWeaknessesIn a SWOT analysis, the characteristics that prohibit Seasons company or unit from acting well and need to be addressed. The seasons company falls behind in blot awareness compared to its competitors because of lacking celebrity endorsements. The company faces intense contention from global players such as other competitors.OpportunitiesIn SWOT analysis, the trends, forces, events, and ideas that Seasons company or unit can capitalize on. The global footwear market has shown positive growth in recent years. The North Americas and EU markets are expected to grow at CAGR of 4.3% and 3.2%, respectively, to reach values of $93.2 billion and $60 billion in 2010.The Asia Pacific region is set to grow more strongly in the 20052010 period, recording a CAGR of 4.7%. a positive brain for the global footwear market would boost the revenue growth of the company.ThreatsIn a SWOT analysis, the possible events or forces that Seasons company or unit must plan for or mitigate. The principal squares used in manufacturing footwear products are natural and synthetic preventative, plastic compounds, foam cushioning materials, nylon, leather, canvas, and polyurethane films used.As a result of rising oil prices, the prices of synthetic rubber and plastic based products has step-upd. Rising oil prices will further increase the prices for petroleum based products. Increasing raw material exists would increase the companys production costs and may happen upon its profitability.SWOT Analysis LimitationsThe categorisation of some factors as strengths or weaknesses, or as opportunities or threats was slimly arbitrary. For example, a particular company culture can be either strength or a weakness. A technol ogical change can be a either a threat or opportunity. tho, the approximately important was that firms awareness of them and its development of a strategic plan to use them to its advantage.Competitive EnvironmentThe prospects for longterm industry wide growth in footwear sales are excellent. Athletic shoes have become the footwear of choice for children and teenagers, except for dressy occasions. Increased adult concerns regarding physical fittingness are boosting adult purchases for use in exercise and recreational activities. diffusion ChannelsThe ultimate customers for athletic footwear, of course, are the people who wear the shoes. But athletic footwear manufacturers have all refrained from integrating forward into retail and making direct sales to the final user. Customer demand for athletic footwear is diverse in terms of price, quality, and types of models. There are customers who are satisfied with no frills budgetpriced shoes and there are customers who are sort of wil ling to pay premium prices for topoftheline quality, multiple features, and fashionable styling.Wholesale selling PriceThe higher your companys wholesale price to retailers, the higher the prices that retailer will charge customers. Consumers are quite knowledgeable about the prices of different brands, and many do comparison shopping on price before consideration upon a brand to purchase.The Number Of Retail OutletsRetail outlets are essential in accessing the consumer market. The more retail outlets a company has carrying its brand of shoes, the more market exposure a manufacturer has and the easier it is for consumers to purchase the brand.Celebrity EndorsementsFootwear companies can contract with celebrity sports figure to endorse their footwear brand and appear in company ads. Celebrity endorsements, along with the impressions and perceptions people gain from watching a companys media ads over time, combine to define how strong a brand image a company enjoys in the minds of a thletic footwear buyers.Customer RebatesManufacturers who give rebates provide retailers with rebate coupons to give buyers at the time of purchase. To obtain the rebate a customer must fill out the coupon and mail it to the manufacturers distribution warehouse, along with the receipt of purchase.The VRIO framework was used to evaluate how capable SeasonsValueA resource is valuable if it helps the company to meet an external threat or exploit an opportunity. If a resource helps to bring about any one of these four things then its valuableQuality ServiceSeasons offer a quality service, and the good does whats intentional for exceptionally well.InnovationProcess innovation can influence talent rather than having a direct effect, because the company can have at least temporary monopoly on new product.RareSeasons brand name is valuable but most of its competitors ,also have widely recognised brand names as well, making it not that rare. The Seasonls brand may be most recognised, but m akes it more valuable not more rare.uniquenessIts a prime locations, design, and intellectual property.InimitabilityThe inimitable resource are a great deal result of historical, ambiguous or social complex causes. Intangible resources or capabilities like corporate culture or reputation are very hard to imitate and so inimitable e.g Seasons marketing strategy leads to distribution, alliance programme leads to customer relation management.OrganisedA resource is organised if the firm was able to actualise it. If analysis does turn up a valuable, rare and imitable resource that Seasons was not taking advantage of, then recommendations.Porters louvre ForcesThe essence of formulating competitive strategy, writes scholar porter was relating a company to its environment. both companys environment includes with customers, competitors, suppliers and regulators etc, and has impact on its profit potential (Harvard Business Essentials,2005).Both current and potential customer, each requirem ents for product quality, features and utility. Changes in the external environment may be related to competitors, suppliers, partners, customers, sociochanges, economic environment etc.The external analysis was use to examine opportunities and threats which do exists in the environment, and both opportunities and threat exists independently of the firm. The opportunities were favourable conditions in the environment, which produce the results for an organisation if agreed. But, the threats were conditions or barriers that may prevent the firms from reaching its objectives.Power Of BuyersThe bargaining power of buyers was very high, as Seasons continue to market their products and differentiate their brands against competitors, so as to increase sales and market share. With the use of internet marketing, helps the company to improve accessibility and thing among users. It helps the brand entity plays its role in purchasing behaviour, strong identity will gives customers trusts and loyalty. Some of the online customers are sensitive to price and switching cost for the buyer was low.Power Of SuppliersThe threats of bargaining power of Suppliers was very low, many suppliers in this industry, circumstantial differentiation among suppliers and makes it nonexistence. The suppliers dependent on the firm in order to run low can switch between suppliers quickly and cheaply due to geographic locations, cheap labours on various regions.In this industry, raw materials were abundantly pass (Leather, rubber, cotton) etc, will help the seasons to standardise their input procedure especially to material used, labours, suppliers, services and logistics in some of the regions.Threats Of SubstitutesThe buyers propensity to substitute was very low. Consumers are not likely to substitute due to the performance specification of the product. e.g, a basketball player would not wear boots to play basketball. Therefore, there are no real substitutes for athletic footwear. Consumer substitutes for athletic footwear products are low because there are little alternatives to switch, some substitutes for athlete footwear could be boots, sandals, dress shoes or bear feet.Barriers To EntryThreats of entry was very low in the sense that, seasons is able to control their costs to conceal performance advantage over emerging competitors in the industry. The capital stab into clear site development is high and must be updated a great deal with new promotions and added features to attract online shoppers. There are many proprietary product differences in the industry therefore brand identity has an immediate competitive advantage.The online footwear industry is highly abundant with hundreds on online merchants. Switching cost is low for the consumer, and may occur frequently depending on consumer preference and other factors affecting consumer, and may occur decision, (i.e. price sensitive consumers). Selling footwear online is highly competitive however, barriers to enter into this ecommerce industry are quite low. disputation Among Existing CompetitorsThe rivalry among existing competitors in the footwear industry was very high. Most individuals in North America have access to high speed internet and online purchasing has become the new trend for the cardinal first century. Almost every large firm has a web site, and most of these web sites contain virtual stores which provide convenience to consumers. rivalry is fierce in the footwear industry and those who dominate or lead the market do so with high capital expenditures, aggressive sales and marketing strategies, and strong brand identity.Pestle AnalysisPolitical AnalysisPolitical environment vary widely between countries and can alter rapidly. Government can of course create significant opportunities for organisations. It is important, however, to determine the level of political risk before entering a country (Johnson et al, 2009) pg 218. Examples are the political stability of the count ry, tax policies, etc.Economic Analysiskey comparators in deciding entry are levels of gross domestic product and disposable income which help in estimating the potential size of the market. However, companies must also be aware of the stability of a countrys currency which mat affect its income stream (Johnson et al, 2009) pg 218. Examples inflation rate, interest rates, labour costs, etc.Social AnalysisSocial factor will clearly be important, for example the approachability of well trained workforce or the size of demographic market segments old or young relevant to the strategy (Johnson et al, 2009) pg 218. Examples are income distribution, consumer behaviour, livelihood standard.Legal AnalysisCountries vary widely in their legal regime, find the extent to which businesses can enforce contracts, protect intellectual property or avoid corruption. (Johnson et al, 2009) pg 219.Another external factor that C Seasons faced was other competitor, this was difficult because we new t hat other industries would have access to our details and would see what we were doing and try to target our business. The edge our industry had was that we spent more on advertising and reducing our delivery time to two weeks.Internal EnvironmentTechnology CapabilitiesAll the industry under the simulation game has got one thing in common and that it we are all making athletic footwear. We all want to make the best footwear and so we would make sure that we use the best and very latest technology to produce the best footwear for the athlete or for the public that would wear them. distributionThis is how the footwear is distributed to the wholesalers and private customers. C Seasons was able to reduce delivery time from four weeks to two weeks which helped sales.Purchase DecisionPurchase decision is what will determine the product a customer will purchase or buy, this would in turn reflect in the decision to be made by the company. In all cases, before customer makes a decision to pu rchase a particular product they would compare prices of the product with the value they hope to enjoy from such product. C Seasons was able to enhance the purchase decisions of its customers by making their footwear a high quality with good styling.

Dell Followed A Hybrid Focus Strategy Commerce Essay

dell Followed A Hybrid Focus system Commerce EssayPorters theory of generic strategies, the Ansoff hyaloplasm, the schema clock and the TOWS Matrix are the important tools that are needed to produce strategical options (Proctor, 2000, p 37) (Williamson, et al, 2003, p 78)Based on Porters generic strategies, it merchantman be verbalize that dell followed a hybrid focus dodging. A hybrid strategy is a combination of both(prenominal) differentiation and cost leadership strategy (Johnson et al, 2008, p.230). Dell is constantly structuring its stage business to be seen practically than a PC business and is focusing on different areas of business such as security, business logistics and applications as well as minimising on its costs as far as possible. Based on the Ansoff matrix, Dell elicit be verbalize to switch adopted grocery store study primarily to win harvest-time. Selling directly to guests enable dell to enter market development phase by selling bare-ass inte rsection points through fresh dispersion channels. The strategy is based on selling existing products in late markets by reaping the majority of market share. The Ansoffs depart be social occasiond to declare the strategic direction for Dell.By investing in RD piece of ass be beneficial to Dell as it stop continuously develop new products with the latest technology on the market before its competitors, in that locationby benefitting from depression mover advantage. Its strong brand name hatful enable Dell to impose insurmountable barriers to its competitors. Moreover, it flock expand its node base and bind its clients. As discussed above, people alike want the latest technology, thus thither is noble opportunity of growth in this market. However, focussing on RD will mean diverging from the direct trades model as ripe products necessitate various channels of distri bution to ensure speedy delivery. As a result, RD croupe move Dell away from its mass customisation w hich is wiz of its core competencies.Dell give notice move into business consulting which may be a great source of revenue streams. The biggest opportunity which Dell can leverage is its efficient value chain. Its efficient value chain enabled it to action lot of success and therefore by moving into consulting can promote strengthen its reputation. By entering into consulting, it will enter a new market and reach new customers which will help it expand its customer base. However, Dell only has specific knowledge but it is not outfit with the necessary expertise to enter into consulting and serve the market profitably which can tarnish the image of the business in the future.This strategy encourages Dell to c each(prenominal) in to its core competencies and calls for the company to get back to basics. It pushes the company to modify upon those competencies. The strategic direction can be market development and method here can be strategic alliance and joint ventures. The comp any can form alliances with consulting companies. This method is good in the sense that it does not control much investment.Dell can reinvigorate on its core competencies and throw out integrate in the market. Dell can strengthen its core competencies set frontward by including more suppliers, improving its customer assistant, engaging in more marketing and promotion initiatives and expanding the turnkey solutions. By adopting this strategy, dell can cleanse its value chain, concentrate on the existing market and expand its customer base. Moreover, this strategy do not occupy much investment as Dell does not switch to reinvent itself and product new products.Dell is dependent on Intel processor gives it limited choice to satisfy all its customers. in that locationfore, by adding more suppliers, Dell can offer more contour grade choices to its customers.The growth of enterprise solutions and service businesses has led to a change in the revenue stream of the business in 20 10. Dell therefore can leverage on that important asset by providing more foreseeable solutions to customers and hence strengthen its position in the market.By following this strategy, dell can continue to save its position in the market as a pioneer and differentiate itself from its competitors.The proposed method here can be Strategic Alliances and Organic Development. Therefore, by engaging into alliances, Dell can take in use of the resources of its alliances to provide new goods and services to its customers more easily. Using strategic alliances in the existing market will enable Dell to improve and accession its retailing of products.Financial positionDells financial position shows a stellar performance which can be shown by its ratios. Revenues in whitethorn 2012 fell below the forecast due to high fall in sales as new technologies tablets and iPad have taken a bigger share of the market. Therefore to overcome this gloomy outlook, Dell is diversifying into other line of business so as to remain competitive in the market. This intelligibly explains its recent waves of international mergers and acquisitions it has taken over the last two historic period (The New York Times, 2012). Dells network slid by 47% in the third rear of 2012. This is because Dells business is considered to be a static one which is tied to the sale of PCs, while consumers want the latest technology. This has ledto the continuous increase in demand for tablets and smartphones which have spurred growth in the market (Bloomberg businessweek, 2012). Dell has late adopted storage as part of its business. Coupled with that, it is now reorient its storage portfolio to provide non-stop, fluid data solutions.There was an increase in revenue of 16% from 2010 to 2011 mainly due to an improvement in the economy. During a recession, people usually decrease their demand for luxury goods which intelligibly shows the decay for 2009. The growth of enterprise solutions and service busine sses has led to a change in the revenue stream of the business in 2010. There was an increase in revenue from 14.3% in 2009 to 18.7% in 2011.Compared to the poor net income performance in 2010 due to a big fall in revenue, that of 2011 was pretty good. There has been an increase of 84% in net income in 2011 from 2010. This resulted from an increase of 1.6% and 2.5% in profit margin and ROA respectively. The improvement in growth can also be attributed to the increase involvement of Dell in service operation. As a result, Dell continues to invest a lot in its service aspect of business (Part 2, Item 7, track 10-K, Dell Inc. 2011). Dell has touted an increase in growth mainly from its acquisitions.There was an increase in authorized assets by $4,776 billion from 2010. This resulted mainly from due to an increase in silver and cash equivalents which represented 4.4% of total assets. Cash and cash equivalents rose mainly due to an increase in revenue and a decrease in cash in investi ng activities.There was an improvement in inflexible asset turnover from 24.3 times in 2010 to 31.5 times in 2011 which shows clearly that Dell has used its fixed assets more effectively to generate revenue. This represents a shift in their revenue streams (Part 1 2, Item 2 8, Form 10-K, Dell Inc. 2011).Both current ratio and quick ratio amend from 2010 to 2011 which shows that Dell managed its assets efficiently so as to maintain a good liquidity position.Due to a rise in retained profits in 2011, equity rise to $2billion. Equity rose from 28.9% in fiscal 2010 to 39.3% in fiscal 2011 mainly due to the purchase of shares and stock hurt variations. (Part 2, Item 8, Form 10-K, Dell Inc. 2011)Based on the BCG matrix, Dells PC can be classified as a cash cow. Its market continues to expand. To maintain its position as a cash cow, Dell has to come up with products to meet the needs and provide value to its customers. The star can be its server business and needs to be upgraded conti nuously so as to maintain its position. The question mark can be its service business and to turn it into a star, Dells has to increase its market share in that domain.GE matrix- dell PC can be said in the high segment as it has earn high growth in both the US and other countries by now. Its server business also has earned consistent growth till now. The service business is growing but not as much as that of server and PC business. This sector needs to be developed more so as to have a greater portion of its portfolio. Dells peripheral business which includes printers has significant growth in sales but is facing competition from its competitors hence placing it in the medium growth segment.Evaluating strategic optionsStrategic options can be evaluated by using assessment of Johnson Scholes (1999) who had put forward three criteria mainly suitability, feasibility and acceptability. Suitability takes into consideration whether the strategic direction chosen by the shaping fit th e issues in which the organisation is operating and its appropriateness to the strategic position of the organisation, (Johnson Scholes, 2008).To evaluate the feasibility of the strategy, it is necessary to assess the capability of the business in terms of competencies.Concerning the market penetration, it can be said the strategy is practicable in terms of resource deployment. This is because Dell is not doing anything new. It already has a high market share in the industry and is just expanding its customer base. Thus, it does not need extra manpower. Also, by engaging into alliances it has the possibility to use the resources of its alliance.Product development- Focussing on RD to produce new innovative products require a lot of investment and new competencies. This can prove to be costly in the long run.Market development- Dell will have to hire more resources and even employ more staff to reminder the new business and also recruit expertise in this field. As a result, it ca n be costly.ACCEPTABILITYIt is concerned with the future outcomes and it can be measured in terms of risk and return and clashing on shareholders.After analysing the financial position of the company, it can be said that Dell has a good performance and though the market and product development needs sufficient investment, the company is well placed to cut the option.Market penetration- Dell has a high position in the market and thus by adopting this strategy will not need much investment in terms of financial and human resources.After analysing Dells strengths and opportunities, it is build that Dell can adopt this strategy without much risk and can use the resources of its alliances to serve the new marketProduct development can be quite risky for Dell as it has to invest a lot on RD and also its competitors have already move ahead with innovative products. Hence, its products can fail thereby tarnish its image.Dells return on investment (5 yr avg) is 18.64 compared to that of t he industry which is 14.96 (Reuters, 2012). This shows