Management acounting Essay Example | Topics and Well Written Essays - 1000 words

Management acounting - Essay Example 220.5 (A) W7. Material M7 usage variance = ((2,100 ?0.68) – 1,470) ?1.75 =?73.5 (A) W8. Direct labour rate variance = (7.2 ?525) – 3,675 =?105.0 (F) W9. Direct labour efficiency variance = ((2,100 ?14/60) – 525) ? 7.2 =?252.0 (A) W10. Variable overhead expenditure variance = (2.1 ?525) – 1,260 =?157.5 (A) W11. Variable overhead efficiency variance = ((2,100 ? 14/60) – 525) ? 2.1 =?73.5 (A) Budgeted fixed production overhead = 497 ? 9= ?4,473 W12 Fixed production overhead expenditure variance = 4,473 – 4,725 = ?252.0 (A) Standard hours for actual production = 2,100 ?14/60 = 490 hours W13 Fixed production overhead efficiency variance = (490 – 525) ? 9 = ?315 (A) Fixed production overhead capacity variance = (497 – 525) ?9 = ?252 (F) b) Discuss how the operating statement can assist managers in (1) Controlling variable cost Variable cost refers to operating expenses that vary in ratio to the business activity. Examples of variable cost include in our case include Direct material, direct labor and variable production overhead. Operating statement does assist managers in controlling variable cost in the following ways. Measuring actual cost marks the beginning of controlling cost. This is followed by variance calculation that is meant to show the difference actual and budgeted/standard costs. Managers will be given these reports on variances since they have got duty to use the report on the day to day running of the business (Riahi, 2001). The manager can use the report given to him to decide whether the company needs to take action of bringing actual costs back. The operating statements for our case will play a role in providing information to managers that helps in decision-making procedure (Coombs, et, al 2005). The statement helps in quantifying the effect of the difference in volume between actual sales and budgeted sales. This means that comparison between budgeted cost of the actual output and the actual cost of the actual output will be made hence it helps to differentiate clearly between actual and planned performance. This helps management by exclusion because these mangers can now turn their energy on other important areas so that they can achieve the best results in relation to achieving actual performance. Variable costs do get affected in control terms during short period of time hence an operating system for the previous month indicating variable cost variances will outline areas where the organization needs action (Coombs, et, al 2005). For instance, managers can improve labour efficiency using different ways e.g. by training or reducing staff actions that do not aid production process. For our case, direct labour efficiency variance of ?252.0, which is 7.2%, could be reduced. Direct labour variance is given by the difference between labour flexed budget and actual results. The managers can break this down into labour rate variance and labour efficiency variance. This will help the company know what they paid for hours they actually used in comparison to what they budgeted for (Coombs, et, al 2005). On the other hand labour efficiency variance will indicate how much labour the organization used compared to what it thought it could have used. This can be illustrated from the analysis of the company’s operating statement for instance we are given direct labour rate variance to be ?105 which is favorable according to Ash plc producers. On the other hand, direct labour efficiency variance in the same company is ?252 which indicates adversity in the running

Strategic planning used by tesco

Strategic planning used by tesco This study is focusing on a Strategic planning of chosen organization. And it is the main function that a company is having in the early of their business years. Every organization has its own strategic plan which is unique to the business they are connecting with. We are taking the Tesco PLC as the chosen organization for this study. So we can find out the plans that are set in the Tesco at the initiative stage. And here also it is important to know the Tescos Board of Directors set their strategic plan to accomplish the best organization and the best performing firm in the industry as well. Tesco Private Limited Company Tesco is the British largest wholesaler retailer by global sales and also in UK domestic market. And also it is considers as the worlds third giant. Tesco firstly established in 1919 by Mr. Jack Cohen. But it is firstly appeared as Tesco brand in 1924. Tescos first supermarket was opened in 1956 and it was the first price reduction super market for Tesco. Then the diversify strategies implemented by the Tesco started. And that was the success for Tesco in their business world. The main outcomes expecting of Tesco corporate strategy are as follows, à ¢Ã¢â€š ¬Ã‚ ¢To be the best retailer in the Domestic market. à ¢Ã¢â€š ¬Ã‚ ¢Take necessary action to uplift the UK market. And use the UK market as the model for international business. à ¢Ã¢â€š ¬Ã‚ ¢To be the best in both foods and non food market in all over the world. à ¢Ã¢â€š ¬Ã‚ ¢To be the strongest in other alternative businesses as well such as Tesco Personal Finance, Telecoms and Tesco.com à ¢Ã¢â€š ¬Ã‚ ¢To be the excellent corporate social responsible firm Understand the External environment affecting the Tesco Importance of the External Factors/ major changes in the Tesco and how those affect to the strategic Direction of the Tesco. Any business or organization does not run in an empty environment. Industries when it comes in a competitive market structure. So the organization or the business must act and react according to the environment inside and outside. So this is what we call the analysis of the environment. We have to understand the possible environment changes happening in the external world. It is depend on the degree of the competition. We have to understand the strength of the competitive alternative in the industry to find out the important of the external factors. Any way we have six main environmental factors happening in the external environment. And those factors are very important to examine and analysis when we try to understand the importance of the external factors. Social, major changes in Social factors can be the attitude changes due to alternative products. This will never happens so easily. Economic, this can be changes due to economic rescission or any other immediate down ward of economic factors. The taxation can be also affected the changes in business structure. Legal, if there is any policy changes happen in the structure of the Tesco it will affect the organizational structure as well. Political, the major changes can be happen in the Tesco political scenario. Any way this is very important to handle because the political authority is very important when it comes to the decision making in business. Ethical, this is important when it comes to the changes in moral and the motivation because the human rights or any other case. Technological, changes in technology will lead to the end of any company. Stakeholders of the Tesco PLC The importance of the business is stakeholders. They are the major partners in running the organization. And also they can be very crucial to make the profit of the organization. They will get the profit or loss both have to take in to consideration by the stakeholders. There are few stakeholders we can identify in the business as follows. Customer This is the most considerable stakeholder for any organization in the world. And without these customers there is no organization who can survive with. The customers are directly contributing to the profit and the turnover of the organization. Tesco has a unique blend of customers who can be different from any other people buying ordinary goods. Tesco is the lowest price holder in any part of the UK. So the customer base also is solid for the Tesco. Employees This stakeholder category is the back born of any organization in the world. Without employee satisfaction the organization is useless of making profit. And also we have to make the strategies to uplift the employees quality of life. And there they have to set the directions by consideration the employees as well. Tesco is dealing with the retail market and the services also related with people. So the employees are the most important factor on this regard. Tesco is having 586 retail shops all around in Great Britain. So the Employees factor is the most valuable factor for the Tesco PLC. Shareholders Tesco is there because of the Shareholders. The top they have achieve in the sector of their industry just because of the shareholders. This is the most important stakeholder group in financial purpose. They have the profit share and also the loss share as well. Competitors Food and no food retail industry is one of the biggest industries having in now days. So the complexity of the industry makes more competitors. We can have few competitors in domestic market like ASDA, Sainsbury, and Waitrose. And also the biggest international competitor for the Tesco is the Wall-Mart. So Tesco has more competitive advantages by the others. The UK Government In every successful and giant organization have some political influence. They sometimes have many policies over the firms. So this will make the loss in the organizations especially the organizations have more international relations as well as domestic powerful penetration. Review the Existing Business plans and Strategies of Tesco PLC 2.1 Current Position/ Strengths and Weaknesses The Tesco has many up and down times in their history. We can identify some important factors that will reflect the Tescos historical pathway to the success. And these are the main information that will indicate the todays position of Tescos. Very low population capacity of the Organization The inflation of the food price is so much low Well established and newly opened and fully structured supermarkets all over the country. It is so much hard to get the planning permissions for large Greenfields Three main well strong and powerful Competitors operating in the domestic market There are new store places for all the other well established organizations in the industry So the existing position is as above in the beginning. But the new situation or the position is the other side of the above facts and information. Soothe main strengths now is as follows, High capacity of customer base and the employee base with comparing the others The inflation has grown up the food price and the Tesco gets the advantage of that to grow themselves Fully structured and well established 586 retail stores under the capacity of Tesco They have so many Greenfields other than any other competitor. The Tesco is the No. 1 brand in the UK domestic market. And other competitors may have nothing to say on Tesco and they are sometimes unable to compete with Tesco. The Tesco has a large capacity and the power to handle the market structure some times. Tesco has the large number of stores and the well planned spaces in the food and non food industry in UK We can identify some of the weaknesses in the Tesco as follows, Lack of internal communication Present state is not communicated to the others. Promotion Process incomplete tension may create for the uniform and non uniform workers. Lack of physical fitness for the employees Public education is well needed and the attitudinal change is required. Need diversity training on sensitivity and all must have leadership development and the accountability 2.2 Current business Plans The business plan for the Tesco is very simple and the plan is given by the outcome oriented. So the business plan we can identify the strategic areas. The directional plans subcategories can be taken in to the business plan. The main focus or the objective is to maximise the sales of the Tesco. So to analyse the situation on this regard we have chosen the three main category that the Tesco is used to have in the pats. We can say the three areas that Tesco has followed is given below, Spend more to time and more money to the existing customers and the existing stores. Identify new customers in new channels Newly introduced geographies development But the growth strategies we explain in the above are having some problems and the profitable matters are not supported by the strategies used in the above tactics. So we have to switch the new strategic business plan to penetrate the market deeper. So they have thought the existing customers more and make some strategic business plan according to that. Now they have only focuses on the existing customers, like this, Existing Customers Product Service For the product they have made it two different parts that are segmented private labels and the expanded no-foods, and the services they have switch financial and telecommunication. These are the newly introduced services that Tesco Currently engaged in. Develop Options for Strategic Planning for Tesco PLC 3.1 Strategic Options for Tesco As we all know the Tesco is the worlds 3rd largest retail business organization. So the organization has many strategic options that they have to take in to consideration. Especially the financial side of the company they have to think many strategic options that will suite for the organization. We can identify there are some of the strategic options that Tesco may have and the important thing is that Tesco might have options that they can do anything they want just because they have the reputation and he monetary power. The high capacity of customer base is the biggest advantage they have right at the movement. Any way they may have following options if they want to switch in to any of the following options. Flexibility option we can magnitude the production or the manufacturing in to flexible operations. We can use the existing production and the other stuff in to flexible service and production. This will enhance the net present value of the organization. This can be done by the happening of massive fluctuations in the environmental changes. Growth Option we need to have a self evaluation and monitoring part if we want to find out there are any possibility that we can switch in to the growth option. Tesco need experience some of the stores in the UK although they have more than 1000 stores in the domestic market and the share of 33% of the total market they might need some of their businesses growth. Timing Option although the Tesco has giant improvements in their business they have some implementations to be commence in the time of the growth. So they may use the tactics that they will suddenly go in to some kind of projects that they will get more benefits. So they may use the option of going immediate projects by time to time. 3.2 Future strategic options and the suitable structure for all the stakeholders We can identify these two topics in one angle. The stakeholders are the most important of any business as we mention in the above. So we can use the most suitable structures that we can make the strategic options correctly. We can use the values that will give us the strategic option for all the stakeholders including. Market development this is the main strategic option they have on their hands. And this can be very crucial for all the stakeholders as well. The strategy Tesco use for market development is the joint development and the strategic alliance. Tesco is used t make alliances with the Asian international businesses. This will enhance the business strength of Tesco and it will make more profit share for the stakeholders as well. The other market development option they have is to switch in to the Latin American retail market, hey have already somewhat expanded this in to there. Product development this is the most important title to be discussed with the case of Tesco. They have the option of Diversification strategy. They have to use this strategy that they will get the best sales forever. And all the stakeholders will get the benefits and the employees will also have the chance to be innovative and more productive. Develop a Strategic Plan for the Organization Before developing the strategic plan for the organization of Tesco we have to consider the future goals that Tesco has. Any way the Tesco has the vision of be the global best retailer, it is easier for us to get an idea of how they need to be strategize. So there for we can have the following strategic planning steps that will suite for the organization. Review and develop the vision and the mission of the Tesco, We need to rethink the mission of the organization that how we can offer the best service and grab the higher part of the market share. This will indicate that we need to rethink the missions and the values and make the strategies according to those. Business and the environmental analysis We did this part in the above. We need to finds out the newly emerging trends that will affect for our business. And for that we need to create the strategies for overcome those threats. We can have a SWOT analysis of the Tesco and find out the threats and weaknesses that will affect the organizational future and overcome those. Establish strategic Objectives This step will show us the overall picture of the organization heading at. And we can do necessary actions to make the strategies that will suite for the direction of the Tesco. Resource allocation And we can allocate the resources we have according to the set objective strategies. And the allocation will take part of the newly introduced resources as well. We can find the wants and the needs of the stores and the employees to allocate the resources. Execution review This will be doing by the top level and the middle level management. And the monitoring part will need to maximize the production and the Discussion This study is mainly focused on the strategic planning of an organization. We have found and select the organization of Tesco PLC. Tesco is the worlds third biggest retailer in all the time on now days. Firstly we have analysed the organizational external environment and the facts that will affect the organizational changes. We have identified the existing business plans that they have to be the best organization in the world. So according to those plans thy have changed their organization by reviewing the past experiences and the success of the organization can be found in overcoming those obstacles. Then we have to consider the options that will affect to the organization we have found that the options we have is the values that we need to develop. And then we have to study the strategies that Tesco set for developing the marketing and the products. They have to be diversifying their products that they have to be the best of grabbing the market share. And finally we have come to the stage of making a strategic plan that will implement for the Tescos future development. Here we have considered the steps that we need to take according to develop a strategic plan.

Importance of the Setting in Uncle Toms Cabin :: Uncle Toms Cabin Essays

Importance of the Setting in Uncle Tom's Cabin The book, "Uncle Tom's Cabin" was obviously a novel where the setting was the major factor in the plot of the story. If this had taken place in any other area, like Canada, there would not have even been as story because slavery did not exist there. Therefore the South was the prime region to have this plot revolve around. Everything contained here contributed to the actions of the characters, which will be explained in the following paragraphs. The setting was such an important influence because, like I said before, it took place down in the South. This is where slavery was at its peak and was used and abused by almost every citizen. The black race was treated harshly just because of their color. They were beaten, over-worked, and disrespected. Most of them were illiterate as well which did not help one bit. In turn they could not make intelligent decisions, better yet pursue what they wanted. Even if they had that ability though, that option was not available because they were "black". The details of the setting that influenced the actions of the characters were, again, the time period and where it took place. However this was not the only thing that persuaded the characters because they influenced each other. The citizens followed the crowd and did not have their own opinions. If some person's idea differed from that of the majority, he/she would not dare speak up because they feared rejection. Legree was one of the people looked up to and respected even though what he was dong was totally wrong. Since he had power and money though, he was admired. The only three people that actually did take a stand, if you will, were George Shelby Jr., Augustine St. Clare, and his daughter, Evangeline. These three characters opposed slavery and tried to do something about it. (Unfortunately, though, the St. Clare's efforts were diminished because they both died). They were the citizens that should have been looked up to and followed. Specific examples that show the setting's influence on the characters were all over the book. The next three excerpts will give you an illustration of them.

Caribbean Literature 1900-1929 Essay

In the Caribbean, specifically Jamaica, during the year of 1900-1929 there were two poets whose work truly stood out and made a statement. Those poets were Thomas Redcam (1870-1933) and Claude McKay (1878-1972). Thomas Redcam was a Jamaican poet who came from Irish ancestry. Throughout his life he promoted Jamaican literature and was a notable poet. He was seen as helpful and encouragement to younger poets during that time period including Claude McKay. Both poets had such a love for their country and made it clear in their poems. They spoke about the beauty of Jamaica, how through thick and thin Jamaica would always be their heart and homeland. The themes of nature, faith, and love are very present within the six poems we read. In Thomas Redcam’s poem â€Å"My Beautiful Home† is where we first see the predominant themes of nature, faith, and love. In this poem he speaks of Jamaica in such vivid terms, making mention of the land only using words such as beautiful. He al so speaks of how the beauty of his homeland is the main reason he loves his land. He speaks of this love as being like none other, a love that is strong and rooted in heart and faith. He makes the idea clear that even when not there his love will always be there and living strong â€Å"Whenever I wander, for thee my love is abiding and strong† (Redcam, 45). This idea for love of country and nature continues in his next poem â€Å"O’little Green Island. Far Over the Sea† In this poem he speaks of the English rule throughout Jamaica and how it affects the people in one aspect but not at all in the other. Not once does he speak negatively about England but rather Redcam glorifies and praises their rule, â€Å"For England is England, brave, patient, and true.† (Redcam, 46) He speaks of how no matter who is ruling they are themselves and their love will always be for their own land Jamaica, â€Å"But my little Green Island, far over the sea, At eve-tide Jamaica, my heart turns to thee.† (Redcam, 46). Redcam makes it clear through his statement that living under the English rule does not change them but rather strengthens their love for their own homeland, Jamaica. Lastly but not least once again the themes of love and nature continue in Redcam’s last poem, but the theme of faith also becomes present in â€Å"Jamaica’s Coronation Ode†. Here more than in his other poems we find the idea of love for the country and how our love along with the idea of a strong faith helps us stand true to our country. He speaks of the war and hard times the people of Jamaica went through during this time period and although he speaks of hardship not once does he mention the idea of negativity. He speaks of positive thoughts and how their love and faith in Jamaica will carry them through the war and as a matter of fact anything in life. He speaks positive thoughts of the moving forward and the future to come after the war â€Å"We are marching to conquer the Future, We are sons of Jamaica the free, We are true to our King and our Country, We are heirs of the ages to be† (Redcam, 47) . This quote is mentioned throughout the poem which really shows the true faith and how they truly believed they could conquer it all with their strong love for Jamaica. Although in this poem the idea of faith in love is more predominant Redcam still mentions the nature he always speaks so highly of. A few years after the poems of Redcam came those of Claude McKay. Claude McKay was a Jamaican- American poet who inspired and guided by the work of Redcam. He was the author of four novels during the time of the Harlem Renaissances. During that time he also wrote short stories and poems, which he is noted for all around the world. McKay being under the guidance of Redcam had the same predominant themes in his poems which were that of nature, love, and faith. In McKay’s first poem â€Å"My Native Home Land† the theme of love is instantly noticeable. He speaks of his love and how he feels Jamaica has made him the man he is. He speaks of how through thick and thin he will stand by his country and defend her. â€Å" Though you cas’ me from your breas’ An’ trample me to deaf; My heart will trus’ you none de less, My land I won’t forget† (McKay, 64). McKay makes it clear that he will never lose his faith in Jamaica as well. In this poem Jamaica McKay believes that his country Jamaica is one that can do no wrong. Once again the ideas of nature, faith and love continue in his next poem â€Å"Flame Heart† but this time the idea of nature becomes the more predominant one. In this work Mckay speaks how he returns back to Jamaica. Throughout the poem he mentions aspects of nature in the land that he can not recall but then mentions the one part of the land he remembers so vividly. McKay speaks of poinsettia plants he remembers so well. He speaks of their beauty and color, â€Å"I have forgotten much, but I still remember The poinsettia’s red, blood-red in warm December† (McKay, 70). He speaks so vividly of this one aspect of nature and not only does he mention the beauty of it, he dives even deeper when mention of climate comes in. This statement about the poinsettia is mentioned a few times in the poem giving off a strong vibe and conviction. Everything to the speaker is a blur but through his blurs he is able to remember that red-blood poinsettia plant in warm December month. In his last poem â€Å"I Shall Return† McKay touches upon all three themes in such strong points. This poem speaks of someone who has left Jamaica but has intentions of returning. It speaks of how their love for their country has encouraged them to return, but also their faithfulness. It speaks of how they truly miss the nature and beauty of their homeland. The speaker believes that when they return they will save themselves pain. â€Å"I shall return, I shall return again, to ease my mind of long, long years of pain† (McKay, 71). Jamaica is their home and they feel it is where they belong no matter where life takes them. Their faith and love will always bring them back home. These 6 poems are the perfect example of the three themes mentioned. Not one of them speaks of negative thoughts of Jamaica but instead glorifies all its beauty and the faith and love the Jamaican people truly have for their land. Both poets have such strong and impacting words when speaking of their land and truly believe that there is no land like theirs. They speak from the heart and truly give their readers vivid ideas of what things were like. These poets are have left a good impact on not only the people of their homeland but of people around the world through their poems. Works Cited Donnell, Alison, and Sarah Lawson Welsh. Routledge Reader in Caribbean Literature. London: Routledge, 1996. Print.

Innocent Smoothies

Innocent drink case study analysis: Innocent drinks are a unique business selling 100% natural fruit smoothies. (Innocent drinks) There are many factors that contribute to the company’s successful development so far. Firstly, and most importantly, their unique selling point which is using just fresh fruit in their drinks. This is a major strength to the company as they fit in today’s trend of a healthy eating lifestyle. â€Å"They contain even more antioxidants than the average five a day† (Adams 2007). Moreover Innocent has environmentally friendly packaging; their bottles are clear with simple product information in one colour. Straight away this makes it stand out more than the rest on that shop shelf. â€Å"They were the first company in the world to put drinks on shelves in 100% recycled plastic bottles† (Oracle 2008). However they did not carry out in depth research, they only asked consumers one question: â€Å"Do you think we should give up our jobs to make these smoothies? † (Bains et. al. 2008). No questions related to the product that could help them in the future were asked. Moreover the founders abided by their principles and they only produced their products how they wanted to. This had moved them from a niche market to a nationalised company, now holding more than half of the market share. Furthermore they have met their social responsibilities in many ways such as projects in India, providing food for the homeless and the big knit- providing warmth for the elderly. â€Å"We knitted 20,000 hats to raise ? 10,000 money for Age Concern† (Innocent drinks) Another factor of success to Innocent is their fun and informal business style. Their organisational structure is unique as their staff get bonuses on having children and snowboarding holidays. Even their website is fun-filled excitement; it has its own attractive style it tells you everything about them. Lester (2007) explains â€Å"Their Company’s offices are among the friendliest and relaxed in the world† However the difficulties that company’s like Innocent drinks face are firstly lack of experience and knowledge. Lester (2007) describes â€Å"Its founders had no real experience in the sector. † Moreover raising capital, the founders of Innocent being foolish gave their jobs up straight away without any solid plans. Lester (2007) explains â€Å"They needed to raise money to buy fruit and bottles and get the smoothies made. † However capital problems can be solved by finding ‘Business Angels’. Innocent also found theirs – a wealthy American Maurice Pinto, had the experience and the `money; he was highly impressed by Innocent. â€Å"Maurice decided to invest ? 250,000 in return for 20% stake in the business† (Lester 2007). Furthermore many new businesses underestimate things like how much raw material they will need, this was similar to Innocent. They had only ever made small quantities of their juices but were looking to expand across the nation† (Lester 2007). But using fresh fruits meant that the drinks will be perishable quicker and will have to be sold really quickly. Having too many founders can also be an obstacle to a small business. Innocent had three founders, which meant there were conflicts and every decision had to be discussed and debated befor e reaching a conclusion. This can slow down progress. Innocent have many more business opportunities now that they are a successfully developed business. They have already started to expand their product range in making further products like desserts. They could furthermore develop their product range from ice-creams to maybe even meals, keeping to their principles of healthy eating. Moreover, with the right market research, if these products became successful, they could even open up shops, even restaurants or cafes and possibly start selling online too. These are opportunities because â€Å"By differentiating the products or service the company increase the value of its operators and hence, improves performance† (Bradley 2002 p21). They could further enhance their existing products starting with new packaging, a new style, new combination of colours or even new sizes (king/snack size). Ali (2001 pg 24) suggests firms should â€Å"Keep products fresh by introducing new variants and improved versions†. Using incentives is a good way to get attention, Innocent could offer a free soft toy cow, or a free membership pass to a gym. Innocent use testimonials on their website, they could use famous faces to make these testimonials stand out more. Ali (2001 p11) also explains that a business should â€Å"Look at the various aspects of their business that customers use to form a view of you† Lastly Innocent could sponsor big charity events and music shows, this way they are being ethically responsible and they raise awareness about their products. All of these suggestions would contribute to reducing the risk of business failure for Innocent drinks in the future. Innocent is a fast growing business and one of the most successful. However Page, Ralph and Jones (1989 p 1-55) explain fast growth in a short period of time is a threat. Having to produce on a large scale and making deliveries on time can be difficult. Forecasting demand and market growth is essential; firms almost fail predicting this incorrectly. A fast growing business like Innocent, need to keep track of forecasts as accurately as they can, or they can lose their reputation and money. For example, â€Å"Firms need skill in measuring and forecasting the size, growth, and profit potential† (Kotler 1994 p 245). Also Innocent will have to be aware of changing trends and tastes in their market, drastic changes in the market can affect Innocent. However there are also external threats to Innocent like competition (Myroslaw 1987 p 45). They need to keep a constant watch on competitors to make comparisons with their own business. Moreover change in economic conditions effect firms, currently the economy is suffering a recession; (www. news. bbc. co. uk) during these times it would be best to lower prices. Even more technology changes can be threatening to the position of a firm, Innocent might need to update their current technology and re-train their employees. Finally meeting their liabilities, avoiding bad debts and cash flow problems will contribute to a firm’s success. In conclusion Innocent drinks is proven to be a surprisingly successful business even after all the struggles, they came through as a strong and honest business. However they now need to be extra careful because they have reached a high level of success, and the higher you are the harder it becomes to maintain that position. Word count: 1,062 Bibliography: Anthony S. Page, Ralph C. Jones (1989) ‘Business Growth – How to Achieve and Sustain It’, Leadership & Organization Development Journal, 10(2) p 1-55. Ali, M. (2001) Marketing Effectively, Hampton, Dorling Kindersley. Baines, P. Fill, C. and Page, K. (2008) Marketing. Oxford: Oxford University Press. Bradley, F. (2002) International Marketing Strategy, Dublin, Pearson Education. Kotler, P. (1994) Marketing Management, USA, Prentice Hall. Myroslaw J. (1987) ‘customer service competition business to business and industrial market’ Journal of Business & Industrial Marketing, 2(4) p45-52. ttp://www. innocentdrinks. co. uk/us/? Page=our_story Accessed 21/11/08 http://www. innocentdrinks. co. uk/bored/ Accessed 21/11/08 http://money. aol. co. uk/small-business/innocent-drinks-coming-to-fruition/article/20070814091309990004 Accessed 19/11/08 http://www. oracle. com/customers/snapshots/innocent-drinks-demantra-snapshot. pdf Accessed 21/11/08 http://www. drinks-business-review. com/art icle_feature. asp? guid=55937F47-8134-4E4F-A9A4-881AE440062F Accessed 21/11/08 http://news. bbc. co. uk/1/hi/magazine/7686531. stm Accessed 01/12/08