Global Accounting Standards

How changing world environment is leading to an increased focus on international accounting Saudagaran (2009) says, â€Å"The purpose of accounting is to provide information that is useful for making business and other economical decisions.†Advertising We will write a custom research paper sample on Global Accounting Standards specifically for you for only $16.05 $11/page Learn More The growth for businesses from small companies to multinationals has raised the need for international accounting since the accounting information is needed by the stakeholders for making business and economical decisions. (Saudagaran). In the capital markets where capital is graded, listed companies need to apply international accounting standards especially if the market is experiencing a steady growth. This will make it easy for foreign investors to make timely and well informed decisions on investing in the market without undergoing the consultation cost or learnin g the new accounting standards. (Saudagaran, 2009). In 2008, during the sub-prime loan crisis in America, financial institutions and investors worldwide experienced massive losses from the meltdown. The crisis provided evidence that in a global financial system, national borders are porous. (Saudagaran) Difference in accounting method as they are applied internationally There are two types of accounting methods the cash and the accrual method. According to Rich et al 2009, cash method mainly deals with incomes. Under cash basis accounting, revenue has to be recorded when the cash is received regardless of when it is actually earned. Similarly, an expense is recorded when cash is paid.Advertising Looking for research paper on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More In addition, by recording only the cash effects of transactions, cash-basis financial statements may not reflect all the assets and liabilities of the c ompany at a particular date. For this reason, most companies do not use cash method. (Rich et al, 2009). Accrual method is an alternative of cash method and transactions are recorded when they occur. (Rich et al 2009) He further says that â€Å"the reason why accrual accounting is superior to cash method is because it ties income measurements to selling which is the principle activity of the company.† So this means that all revenues are recognized as they are earned and all expenses are recognized when incurred. Accrual method also has a more complex system that records both cash and non cash transactions. (Rich et al). Time period assumption Most stakeholders usually demand timely information from companies so companies have to frequently produce financial report like the quarter year report, half year report and end year report to satisfy information users (Rich et al, 2009). Since companies are involved in different activities every time, there is great need to record ever y transaction on time for proper accountability. Revenue recognition period This principle is used to determine when revenue is recorded and reported. Under this principle, revenue is to be recognized or reported in the period in which these two conditions are met; the revenue is earned and collection of cash is reasonably assured. According to Rich et al (2009), the requirements are met when goods or services have been delivered or performed to the customer since at this point the risk of ownership has been transferred from the seller to the buyer regardless of when the cash is received. Matching principle In matching principle expenses are incurred regardless of when the cash is paid. (Riahi, 1985) Expenses of an accounting period should include only those costs used to earn revenue that was recognized in an accounting period and exclude cost used to earn revenue in early or later periods thus the key to expense recognition is matching the expense with revenues. (Rich et al, 2009) .Advertising We will write a custom research paper sample on Global Accounting Standards specifically for you for only $16.05 $11/page Learn More Classification of accounting models used in different geographical regions Bhattacharyya 2005 states that, â€Å"accounting model is a key that unlocks the mystery of double entry accounting†. Accounting models are based on two major parts; the T model, the five ledger accounts model which are also the accounting models. Accounting models include asset account, revenue account, liability account, equity account and the expense account. The accounting model used in a particular geographical region basically falls under either of the above mentioned depending on the preferred model and business. Role of International Accounting Standards Committee and International Accounting Standards Board The role of International Accounting Standards Committee through committees and consultations with the Internationa l Accounting Standards Board in establishing International Accounting Standards is issuing interpretation of standards since was replaced by the International Accounting Standards Board. (Mattessich, 2007). The International Accounting Standards Board’s role is to regulate and amend International Accounting Standards and International Financial Reporting Standards and also to create new standards if possible. They essentially oversee the application of the standards to ensure uniformity. Examination of different accounting standards and determinants of national accounting standards Political and economical ties Countries which are geographically close usually create trade unions for free movement of goods, services and capital between them. Political and economical ties play a major role in the formation of these trade unions which relatively affect the accounting standards used by the union nations. (Riahi, 1985). Nations like Germany have adopted the cash method since itâ⠂¬â„¢s a communist government and its main focus is the welfare of every individual. Britain, a capitalist government has adopted accrual method since in a capitalist government the main focus is about competition which will in turn influence growth. Therefore, all the nations allied to the two countries tend to have similar accounting practices. (Riahi, 1985).Advertising Looking for research paper on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Level of inflation During inflation firms tend to choose a different accounting policy for stock keeping, either LIFO or FIFO, to ensure maximum profitability. (Mattessich, 2007). The governments usually try to cub the level of inflation by employing both scholars and professionals to try and regulate inflation. In Zimbabwe, a country that has the highest level of inflation, very minimal growth can be achieved so the government tries so much to fight inflation. In developed countries like America, inflation has very minimal effect so the two countries are forced to adopt different accounting standard for the welfare of the people. Level of economic development Germany is a major producer of goods and low producer of services since most of its population comprises of the elderly. This means the government receives more taxes from exports. The government has adopted the cash accounting model since this model ensures that the welfare of the people is well catered for. In Britain, the g overnment has adopted both the accrual and the cash model. This is because Britain is a major producer of goods and services. They have adopted a capitalist kind of government which encourages people to work hard. National culture The national culture is usually carried down from one generation to another. Germany colonized most of the African and European countries. Germany has adopted a communist kind of government. Such countries adopted a similar kind of government and accounting practices that were carried down to the subsequent generations. Relationships between business and capital providers This is especially important if the capital providers are foreigners. This is because the capital providers will need accounting standards that they best understand. This is mostly experienced in the capital market especially when a steady growth is noted and most investors are foreigners (Bhattacharyya, 2005). Both Brazil and India have been forced to change their accounting standards to influence capital inflow from foreign investors which is healthy for growth. This is because the two countries have had a steady growth. Therefore, in conclusion, these various determinants impact significantly in the determination of a country’s accounting standards. Thus such factors should be put into consideration in understanding the reasons of adopting one accounting model over another. References Bhattacharyya, U. (2005). Municipal accounting: concepts and practical issues. Mittal Publications: India. Mattessich, R. (2007). Two Hundred Years of Accounting Research. Routledge: Britain. Riahi, B. (1985). International Accounting: issues and solutions. Quorum Books: California. Rich, J., Mowen, M., Hansen, D. Jones, J. (2009). Cornerstone of Financial Accounting. Cengage Learning: Florence. Saudagaran, S. (2009). International accounting: A User Perspective. (3rd ed.) CCH: Chicago. This research paper on Global Accounting Standards was written and submitted by user Jonah A. to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

Coca Cola Organizational Management Essay Example

Coca Cola Organizational Management Essay Example Coca Cola Organizational Management Essay Coca Cola Organizational Management Essay On Tuesday, April 23, 1985 The Coca Cola Company announced that it would change the formula of its flagship soft drink; a formula that had been America’s favorite for 100 years. Kansas newspaper editor William Allen White said, â€Å"Coca Cola is the sublimated essence of all that America stands for. A decent thing honestly made [and] universally distributed. † (As cited in Oliver, 1986, p. 4) How could Coca Cola have tampered with the taste of a drink that was distributed to 155 countries and consumed more than 303 million times a day? Years of planning preceded the arrival of New Coke and years of internal problems contributed to the demise of the old one. Some of the seeds to those problems were planted in the original formulation of the Coca Cola Company, but would go unnoticed during the company’s boom years. In 1885 John Pemberton, an Atlanta pharmacist registered a trademark for â€Å"French Wine Cola-Ideal Nerve Tonic Stimulant†. He eventually changed the formula by taking out the wine and adding caffeine and Kola nut. Thus, Coca Cola was born. Pemberton sold the rights to Coca Cola in 1889 to Georgia business man Asa Candler. Candler sold the syrup to wholesalers who mixed the syrup with carbonated water, and sold it to soda fountain proprietors. Also in 1899 Benjamin Thomas and Joseph Whitehead approached Candler with a proposition to bottle Coke. Candler thought it was too expensive a venture and wanted no part of it. Candler sold the bottling rights to Thomas and Whitehead for $1. 00! (Oliver, 1986. ) Each bottler had an exclusive right in perpetuity to bottle Coke in his area and no one else except soda fountains could sell Coke in that market. The bottlers actually owned the Coca-Cola trademark in their territories and the company could not refuse to sell them the syrup. (This set up, which formed the heart and soul of the Coca Cola system, would come under attack nearly 100 years later when the Federal Trade Commission charged the company with violating anti-trust laws by restricting competition. ) Candler contracted with the bottlers to sell them the syrup at a fixed price and by the 1920’s that contract was still binding. In Candler’s day sugar was 7 cents a pound, but post WWI inflation brought the price up to 28 cents a pound. When Coca cola tried to pass the increase on to the bottlers, they sued. They agreed to pay for the syrup according to the price of sugar based on the 1921 price with quarterly adjustments for the fluctuating price of sugar. However, the rest of the syrup ingredients prices were locked at the 1921 level. This pricing strategy worked for 50 years, but then the 1970’s came with its soaring inflation and the company barely made a profit on Coke. In 1923 Robert Woodruff , son of Earnest Woodruff who, as one of several businessmen bought the Coca Cola company from Asa Candler in 1919, became president of Coca Cola. Woodruff, acting as a structural change agent, launched radical new programs insisting on quality control, and firing up the bottling industry to make his product ubiquitous. These strategies signaled singular foresight because up until now, most people got their Coke at a soda fountain. Woodruff, in an effectual mix of theories E and O, fired his sales force and rehired them renaming them servicemen instead of salesmen. Part of their â€Å"new job† was to train retailers to properly dispense the syrup and find better methods for mixing the drink. At bottling plants, servicemen would increase productivity and efficiency by advising on all aspects of the operation. With Woodruff’s sweeping quality control programs, Coke lovers could expect to find one, and only one unmistakable taste in the North and South and from coast to coast. (Pendergrast, 2000) Woodruff wanted to place Coke â€Å"within arm’s reach of desire† anywhere and everywhere in the country. Wherever there are people who get thirsty, make Coke an option. Woodruff realized the enormous potential of the bottle as a means to carry out this dream. Coke in bottles could go anywhere. If people would sip Coke at the soda fountains and then find it on the grocery store shelves, they would probably buy it. Within Robert Woodruff’s first five years as president of the company, Coca Cola in bottles began to outsell Coke sold at soda fountains. Coke cropped up, as the 1927 advertising slogan claimed, â€Å"†¦around the corner from anywhere. † (Oliver, 1986) Woodruff outlined a plan in 1926 to test the drink in Europe. When the board of directors balked, he did it anyway in secret and turned a profit in three years. As Coca Cola went global, some recommended modifying coke’s flavor to suit the taste buds of each nationality but Woodruff stood by his belief in the universal appeal of coke’s single, secret formula. In the 1950’s Coca Cola ruled the soft drink world and its name was as universally known as that of any other product in commercial history. The advertising budget for the company in 1955 was 30 million dollars. Coca Cola continued to spend huge amounts of money on advertising, and Coke remained the favorite soft drink throughout the 50’s, 60’s and 70’s. Comfortable profits up to and including 1984, made it very difficult to Coca Cola’s top officials to accept that as Coke neared its 100th birthday it’s lead over Pepsi was decreasing fast. Coca cola spent more than Pepsi on advertising, it was competitively priced and was more widely distributed that Pepsi. Apparently marketing technique was not the problem. In the end, the company felt it had no choice but to consider the product itself. Around this time, in 1984, we were experiencing the â€Å"Cola Wars. † Pepsi was going all out to prove that consumers liked the taste of Pepsi more than they liked the taste of Coke, and the â€Å"Pepsi Challenge† proved it. Exclusive Pepsi drinkers rated Pepsi higher than exclusive Coke drinkers rated Coke. Coca Cola had been collecting evidence and concluded that taste had to be the single most important cause of Coke’s decline. No matter how much money Coca Cola poured into its marketing programs, the results were not significant enough. â€Å"We estimated that the system, including bottler’s and the company, annually outspent Pepsi by 100 million and still their share declined. In 1980 when Coke’s market share grew, they outspent Pepsi by 150 million. † (Oliver, 1986. p. 95) The company’s top executives were also very busy at the time fighting law suits with their bottlers over the price of syrup, and not paying attention to a new and growing market population. Market analysts believed baby boomers were more likely to purchase diet drinks as they aged and became more health and weight conscious. Therefore any future growth in the full calorie segment had to come from younger drinkers, who at that time favored Pepsi and its sweetness by even more overwhelming margins than the market as a whole. While Coca Cola was enjoying a 52% share of the soft drink market, and fighting with the bottlers over rising syrup prices, Pepsi was hard at work attracting a younger, more â€Å"with it† segment of consumers. Pepsi had Michael Jackson touting its soft drink to this up and coming consumer group, and Coke had Bill Cosby, who was their parents’ age, as its spokesman. Younger people and teens were no longer depending on their moms to come home with the beverage of her choice. With this population becoming more economically independent, they were able to choose their own soft drinks and convince mom or dad to pick Pepsi up with the week’s groceries. Coca Cola’s senior executives commissioned a secret project named â€Å"Project Kansas† to test and perfect a new flavor for Coke itself. Much of the market research conducted between 1983 and 1985 on the possibility of a new Coke was discouraging. One set of focus groups said that Pepsi could improve its formula, but the answer to a Coke reformulation was a resounding NO. In other focus groups, there was another problem. When asked, What is your favorite drink? most people said, Coke!   Ã‚   When asked, What do you drink? the response was shocking:   sometimes Coke, sometimes Pepsi, sometimes even a generic if it was on sale. As Thomas Oliver puts it, There appeared to be a disturbing gap between what people said and what they did. (Oliver, 1986. p. 104) When Roberto Goizueta took over as CEO in 1980, he pointedly told employees there would be â€Å"no sacred cows in how the company did its business, including how it formulated its drinks. † (Newsweek, 22 July 1985. p. 39) Robert Woodruff was still alive and in his 80’s when Goizueta made this statement. Goizueta even said that Woodruff agreed with him about changing the taste of Coke. Bearing in mind what Woodruff said about 50 years before regarding the â€Å"single secret formula† being the only one for Coke, one must question the idea of Robert Woodruff being on board for a flavor change. The company’s marketing department went out in the field armed with samples of possible new drink for taste tests, focus groups and surveys. The results of that were strong; the high fructose corn syrup mixture overwhelmingly beat both the regular Coke and Pepsi. A small majority felt angry and alienated at the very thought, saying they would stop buying Coke altogether. Their presence in focus groups tended to skew results in a more negative direction as they exerted indirect peer pressure on other participants. The surveys, which were given more significance by standard marketing procedures of the era, were less negative and were key in convincing management to move forward with a change in formula for 1985. (Hays, 2004) But the focus groups had provided a clue as to how the change would play out in a public context, a data point that the company downplayed but which was to prove important later. In addition, the researchers never made it clear to the consumers that old Coke wouldn’t be available at all. Not stressing in the tests that the new taste would replace the old taste. Goizueta even defended the change by pointing out that the drink’s secret formula was not sacrosanct and inviolable. Referring of course, to the fact that the formula had been changed before, albeit minutely, to make it Kosher. One could argue that Goizueta was comparing apples to oranges by making this point. The reaction to the new Coke was immediate and violent. Three months of unrelenting protests ensued against the loss of coke. In addition to the noisier public protests, boycotts and bottles being emptied into the streets, the company had more serious reasons to be concerned. The bottlers were expressing concern over the new taste. Most of them saw great difficulty having to promote and sell a drink that had long been marketed as the â€Å"Real Thing†, constant and unchanging, now that it had changed. Bottlers also started threatening boycotts of New Coke. With the company now fearing boycotts from consumers and bottlers, talks about reintroducing the old formula moved from â€Å"if† to â€Å"when†. The resistance was so fierce that on July 11, 1985 Goizueta publically apologized to the American people. This mea culpa, in itself, changed American corporate behavior. Never before had a major corporation told the American people that it was sorry. Coca Cola executives announced the return of the original formula on July 10, 1985, less than three months after New Coke’s introduction. Throughout the 120 years of Coca Cola’s life, there have been a few changes. As Brian Dyson CEO at Coca Cola in the 1980’s said, â€Å"Eventually, anything that oesn’t change in the face of change will wither and die, and that’s the law of nature. † (Oliver, 1986. p. 99) Change is part of organizational life and essential for progress. When Robert Woodruff took over at President of the Coca Cola in 1923, he instituted structural change in that he treated the organization at a set of functional parts. Woodruff reorganized the parts of his machine, and achieved g reater overall performance. Most effectively by creating a service team with his salesmen and making the mixing process of Coca Cola syrup universal. He also substituted the title â€Å"serviceman† for the title, â€Å"salesman† for a team of employees, which changed the way his sales force was viewed by the bottlers. The salesmen were no longer seen as a force to be defended against, but part of the whole organization working together to create a fantastic, one and only product. Woodruff incorporated all four types of change; organizational, cost cutting, process, and cultural change into this one bold move. He was also a strong leader in that he insisted the taste of Coke would be universal throughout the world, and not be changed to suit any one nationality’s tastes. Robert Woodruff effectively mixed Harvard Business professors Michael Beer and Nitin Nohria’s Theory E and Theory O. before the theories were even discovered! (Luecke, 2003) While he aimed for a dramatic and rapid increase in profits by relying heavily on cost cutting, and process change, he also made use of Theory O by creating higher performance in fostering a powerful culture and capable employees through the servicemen training of bottlers and soda fountain owners regarding the mixing and dispensing of Coca Cola syrup. The syrup pricing debacle with the bottlers created a problem that would affect Coca Cola’s relationships and bottom line throughout the existence of the company. While hindsight may be 20/20, there may be no way that Asa Candler could have foreseen the precipitous jump in syrup ingredient prices in the years to come. Perhaps Candler could have used some more economic expertise to successfully forecast future rising prices. As far as Robert Goizueta and his decision to change the flavor of Coke, literally over Robert Woodruff’s dead body, that was clearly a structural process change made solely within the tenets of Theory O. While â€Å"it is impossible to anticipate the what when or where of change, it is something that business can count on and should plan for. † (Luecke, 2003. p. 1) Problem identification is important, but how the problem is identified is also important. Goizueta and his top executives were looking at their bottom line and shareholder value, and virtually nothing else. This included the lawsuits they were involved in with the bottlers over syrup prices. Candler’s deal with the bottler’s many years before came back to haunt them. They were looking at the prospect of Coca Cola being second in the market place for the first time in history. Their tunnel vision did not allow them to see the strides Pepsi was making with the â€Å"younger generation†. Coca Cola had made a structural process change in the flavor of Coke instead of a cultural change focusing on their relationship with bottlers, and most importantly, their relationship with consumers. They did not consider the fact that it was the unique taste of Coke that had made their company so successful. They should have left the taste of the â€Å"Real Thing† real. There were a few other things that could have been changed that needed fixing, rather than fix the one thing that wasn’t broken. For a few dollars more, they could have settled with the bottlers, and concentrated on what they could do to reel in the next generation of consumers without making the huge mistake of changing the formula.

Type Of Leader Essay Example | Topics and Well Written Essays - 500 words

Type Of Leader - Essay Example An important part of the avenues opened up to an RM is the opportunities for leading others; be they team members, patients, or assistants. Even by the simplest definition of nursing, where the nurse is seen as not much more than a care-giver dependent on other professionals to chart out the actual treatment plan; the nurse has been in a leadership position when interacting with patients and supervising their recovery. With the new areas of professional development and personal growth that have opened up to a nurse, the scope for leadership responsibilities has also grown. The nurse may be required to take up a position of leadership among peers when there is a situation to be dealt with; or immediate action to be taken. The position of a leader is also implied in a one – to – one care giving relationship; where the nurse actively takes decisions and implements treatment plans for a patient under his / her care. A nurse would be required to take decisions and motivate p eople when responding to a crisis situation like victims of a natural or social tragedy.

LEGOs Expectations from Flextronics and Outcome Essay

LEGOs Expectations from Flextronics and Outcome - Essay Example This essay declares that LEGO wanted to outsource its production to a famous Singaporean electronics manufacturing company Flextronics. So in the year 2006 LEGO finalized the contract with Flextronics for producing the major parts of its toys. The idea was considered brilliant because the prices were locked for an extended period of time, so this would save the company from the risks of product price fluctuations. Flextronics was handed over the production sites of LEGO for production purposes. The phases started from 2004 to 2006, and throughout this phase the company was making efforts to reduce their production capacity to about 20 percent. They were aiming at keeping a target of 80/20 percent for outsourcing their production functions. This paper stresses that LEGO had created a complex framework for outsourcing external providers. This was also a reason why LEGO faced issues while working with Flextronics. LEGO was going through extreme transition, so it can be said that it became problematic for them to delegate authority and control their global network of production. Further, complexity occurred regarding the flawless transmission of production knowledge. LEGO and Flextronics have different organization structure. Though LEGO outsourced Flextronics, but it could not match its complex systems with that of Flextronics. LEGO was a manufacturing company. It manufactured toys for children. ... Flextronics was an electronic hoods manufacturing company, in which plastic plays an important role. This was the reason behind Flextronics’s interest to move for a long-tem relationship with LEGO. LEGO too found Flextronics to be professional and systematic to work with. However, their collaboration did not last long because of several issues that developed during their three years journey. LEGO’s goal was to optimize their global supply chain by outsourcing their production system to Flextronics. Similarly, Flextronics wanted to utilize the expertise of LEGO in plastics. It was found that LEGO was not satisfied with the quality of facilities provided by Flextronics. LEGO had created a complex framework for outsourcing external providers. This was also a reason why LEGO faced issues while working with Flextronics. LEGO was going through extreme transition, so it can be said that it became problematic for them to delegate authority and control their global network of pr oduction. Further, complexity occurred regarding the flawless transmission of production knowledge. LEGO and Flextronics have different organization structure. Though LEGO outsourced Flextronics, but it could not match its complex systems with that of Flextronics. On the other hand the company who was outsourced would be working according to its own process and framework. So problems of disagreement and misalignment were the result of what the outcome was (LEGO, 2006). Key Challenges in Maintaining a Relationship LEGO was a manufacturing company. It manufactured toys for children. The focus of the company was mainly on production and management of the supply chain. Never did the company feel the need of out sourcing or documentation before it was

Strategic human resource management Essay Example | Topics and Well Written Essays - 3000 words

Strategic human resource management - Essay Example The business organisation tends to exits in a competitive environment and often faces issues like scare resources which needs to be managed effectively and thus gives the organization a competitive advantage. Thus applying the definition of strategic human resources, it can be said that it is a long term focus, provides a linkage in between the human resources and strategy process, enhances effective performance and finally foster excellence corporate skills (Deb, 2006, p. 45-48). The main purpose of HR strategies is to articulate the intention of organisation related policies and practises and as per the dictum of Fomburn (1984) the business and the manager needs to perform well in the current environment in order to succeed in the future business environment. Strategic human resource management has various sectors such as recruitment and selection, training and development, performance management and others. However this paper will talk widely about performance management and perfo rmance related pay (PRP). ... Reward is a key practise in the framework of performance management strategy. Reward systems are of two types, one is monetary component of reward management which tends to fulfil the needs of employees such as hygiene factors, security and physiological needs and second factor is recognition and job satisfaction (Kandula, 2006, p. 59). The logic behind implementing the performance pay by organisation is as follows, PRP focuses on the effort where the organisation actually requires it PRP supports the culture of performance oriented The PRP scheme emphasis the performance of individual PRP aims to strengthen the process of performance planning PRP rewards the right employee and hence motivates to work more (Salaman, Storey & Billsberry, 2005, p.178). Therefore PRP is an essential and important tool use by organisation to enhance the performance of both the employees and the organisation as a whole. The next section deals entirely with performance related pay and aim to answer to the proposition whether the disadvantage of performance related pay outshines the advantage of PRP schemes. Performance-related pay systems The various forms of paid employment which also includes remuneration on base pay tend to have performance expectation or standard attached to it. According to Behrend, every form of employment which is paid involves effort bargain and also pay bargain. Performance standards are highly implicit and thus are open to contestation and misunderstanding of psychological contract. Strategic decisions which take place at the board level encompass performance related pay mainly for senior managers and directors. The PRP is often regarded as motivational tool for the top level management to achieve the target which

Difficulties Arab Students Have Learning English English Language Essay

Difficulties Arab Students Have Learning English English Language Essay Introduction: As a teacher of English to Arabic speaking students I have encountered a number of specific difficulties Arab students have in mastering the English language. In this paper, I would like to focus on a particular grammatical problem they have in the area of verb tenses because, of all the mistakes that my students make, mistakes with verbs and verb tenses impede communication to the greatest degree. The specific problem I will attempt to look at the area of verbs is the problem that Arabic speakers have in using and confusing the present progressive. I will base the evidence for these mistakes on actual writing errors that Arabic students have made. Mistakes such as I am live in Abu Dhabi. come up frequently in my students writing. This paper is basically a contrastive analysis since I feel that the majority of my students problems in this area come from mother tongue interference. However, as will be noted below, this does not mean I rule out other sources of errors such as intralingual errors. The following is the outline of this paper: In the first section of this paper, I will describe the various aspects of the grammatical structure of the present simple and the present progressive in the English language. In the second section of the paper, I will contrast the grammatical structure of the present simple and the present progressive with its Arabic counterparts. I will show how Arabic has structures that vary significantly and radically from their English counterparts. In the third section, I will introduce a number of examples takes from students written work and give an indepth analysis of the possible sources of the errors, mainly with respect to mother tongue interference, but also looking at some possible intralingual sources for these errors as well. Finally, in the last section, I will attempt to suggest a general theoretical approach to dealing with such problems Part One: A grammatical description of the English Present Simple and the Present Progressive: The simple present tense As we already know, the simple present of every verb (with the exception of the verb BE, which I will not be dealing with as a grammatical description since it is not the specific focus of this paper) is identical in every person with the basic unmarked base form of the verb except for the third person forms he, she and it to which we generally add s or es (Quirk 1985, p.98). However, numerous irregularities arise in the spelling and pronunciation of this third person form (Leicester 1998, 12.12)(Thomson 1986, p. 150). Questions are formed by using the auxiliaries do, does, in the present, and did in the past by putting all these before the subject. Negation is formed in the same way using dont (or do not) and doesnt, (or does not) in the present, and didnt (or did not) in the past. These forms go after the subject. In addition, the verb must be changed to the basic form. The simple present is used for statements that are always true, (e.g. The earth revolves around the sun.) (Azar 1989,p.2). The simple present is also used for events, actions or situations which are true in the present period of time and which, for all we know, may continue indefinitely, (e.g. Fatima goes to school at Zayed University.) (Azar 1989, p.2) What we are saying in these expressions is that this is how things stand at the present moment (Huddleston 1984, p.81). A further use of the simple present is for actions that are habitual, things that happen repeatedly, (e.g. We study a lot.) (Alexander 1988, p.163)(Quirke 1985, p.107). Observations and declarations are another use of the present simple, as in the sentence (It says here that there is a new night club opening.)(Alexander 19988, p.163). The present simple can also be used to express the future, especially when we want to express strong certainty, (e.g. When we graduate, we will get jobs.). Swan, Huddleston, Lewis, Thomson and Quirke, et. al. also add eight other functions of the present simple which might come up in other contexts such as: Demonstrations and commentaries (e.g. First, I take a bowl and break two eggs in it, thenà ¢Ã¢â€š ¬Ã‚ ¦..) The structures here comes and there goes, (e.g. here comes your husband.) Promises and oaths (e.g. I promiseà ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦., I swear à ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦, He deniesà ¢Ã¢â€š ¬Ã‚ ¦..) Formal correspondence (e.g. We write to advise you.) Instructions (e.g. You go left, turn rightà ¢Ã¢â€š ¬Ã‚ ¦.) Stories (e.g. In act one, Hamlet meets the ghost of his father.), which Huddleston calls the historic present. In expressions of understanding such as hear, see, gather (e.g. I hear youre getting married.) Finally, the simple present can be used in newspaper headlines (e.g. RUSSIANS RAISE OBJECTIONS) Since there are so many instances of when to use the present simple, is there any way to summarize all of these? I concur with Lewis explanation that the present simple: 1-Expresses an event as a total single point in time. 2-Expresses an event as a matter of fact. 3-Expresses an event as immediate rather than remote. The present progressive tense Both the simple and progressive forms usually tell us that an action takes place. But the progressive forms also tell us that an activity is or was, or will be, etc. in progress, or thought of as being in progress. In other words, the present progressive tells us that the speaker sees an action as taking place over a period of time as opposed to a point in time. In addition researchers would add that the speaker sees the period as limited (Lewis 1986; Leech, 1975; Huddleston, 1984; Quirke, 1985). The present progressive tense is formed with the present of be (am/is/are) (which adds aspect and voice), said by Quirke to be the finite verb, plus the ing form (the non-finite form) (Quirke 1985, p. 120). There are no complications with the additional ing form; however the spelling of the ing has some irregularities and needs to be taught to students e.g. write, writing; run, running; begin, beginning; lie, lying). (Alexander 1988; Huddleston 1984; Quirke 1985). Question formation takes place by switching the place of the auxiliary be and the subject. Negation is achieved by inserting not between the subject and the auxiliary or by contracting nt with the auxiliary verb forms (with the exception of the first person singular form am) (Quirke, 1985). In the classroom, the classical reason given for why we use the present progressive is that it shows an uncompleted action in progress at the time of speaking. To emphasise this, we often use adverbials like now, at the moment, just, etc. For example, Hes not home at the moment, hes working. (Quirke 1985). The present progressive can also be used to describe actions which have not been happening for long, or are thought of as being temporary situations, and which are going on around now, e.g. Abdullah is living with his aunt until he can find a place of his own.. A further use of the present progressive is to refer to activities and events planned for the future. We generally use adverbials in such sentences unless the meaning is clear from context, e.g. Were spending next Thursday in Abu Dhabi. (Azar 1989; Huddleston 1984; Quirke 1985). The present progressive can also be used to talk about developing and changing situations, e.g. That child is getting bigger all the time. (Swan 1980). Sometimes the present progressive can be used to talk about feelings, such as I am feeling fine. or My back is hurting me.. The present progressive is used to show repeated actions along with adverbs such as always, constantly, continually, forever, perpetually, and repeatedly, such as He is always helping people.. In this sense it conveys not temporariness, but continuousness. (Leech 1975; Huddleston 1984). The present progressive also is used to show repeated actions that are happening around now, e.g. He is studying a lot of English these days. Why is he going to the library? (Swan 1980). Dynamic versus Stative Verbs in the present simple and the progressive tenses Dynamic/progressive verbs refer to verbs which show actions which are deliberate or voluntary, e.g. Im building a house., or changing situations, e.g. Hes becoming fat.. Dynamic verbs can be used in both the progressive as well as the simple forms e.g. I eat at 5:00 (everyday). as opposed to Im eating now.. Stative verbs (also known as non-progressive verbs) are verbs which indicate a state, condition or experience. Specifically, stative verbs fall into categories such as feelings (like, love), thinking/believing (think, know, realize), wants and preferences (need, want), perception and the senses (smell, see), and being, seeming, having, and owning (seem, look, appear). Stative verbs are generally not used in the progressive forms (Quirke 1985). However some stative verbs can be used in both the present simple and the progressive tenses, which results in a different meaning in each form, e.g. Im thinking of a solution. as opposed to I think he is the best man for the job. or These flowers smell good. as opposed to Latifa is smelling the flowers in the garden.) (Alexander 1988; Azar 1989; Azar 1986; Quirke 1985). The present simple versus the present progressive Swan makes note of a number of areas where students might confuse the present simple with the present continuous. A. We use the simple present to talk about things that are true for the present period of time, or, as was noted above, to say this is how things stand at the present moment for the foreseeable future. However, if the event is temporary and is taking place right now, we use the present progressive. Afrah studies at the Higher Colleges. Afrah is studying her English lesson. B. We use the present progressive to talk about habitual actions if these are happening around the moment of speaking. Fayrouz and Fatima are preparing for the Eid holidays. However, if the habitual action is not closely connected to the moment of speaking, we generally use the present simple. I go to Saudi Arabia once every three years. C. Verbs that refer to physical feelings can sometimes be used in either the simple present or the present progressive. I feel great! or Im feeling great! My head hurts. or My head is hurting. (Swan 1980). PART TWO A grammatical description of the Arabic present simple and the present progressive In this part of the paper, I would like to give readers a very brief background of the Arabic verb system in regard to the simple present and the present progressive. The Arabic verb system is very complicated. However, this does not mean that a teacher has to master the Arabic language before s/he is able to pinpoint errors that may be a result of the interference of Arabic in English. One can study the Arabic language with the goal of simply understanding the structure, rather than with the goal of speaking and writing in the language. Let us first look at the present simple, then the present progressive, and finally the verb to be since all of these grammatical items are specifically relevant to the particular problem at hand. A.The Present Simple In Arabic, the formation of the present simple is radically different from English, since Arabic uses a root system made up of the three most important consonants (though two or four consonant roots do sometimes occur). In Arabic the three basic consonants (the root) stay the same but it is by changes in the vowels, the suffixes and the prefixes that tense and number are indicated. It is vastly more complicated than the way some English verbs change tense by changing vowels, e.g. give, gave. For example, the sentence, he learns could be represented phonetically by ya-droo-soo. The d-r-s is the root, ya is the part that indicates this is a third person singular masculine verb (though this is not the pronoun). The pattern of the vowels and consonants (ya + c1 + c2+ oo + c3 + oo), lets the speaker know that this is the present tense. In contrast, the past could be represented by a different pattern; hence, he learned, dar-ah-sah has the pattern (c1 + ai or ah + c2 + ai or ah + c3 + ah) (and this is just one pattern out of ten!) From a sentence point of view the verb in Arabic is not necessarily treated as the nucleus of a sentence and, in the case of the copula verb BE, can be omitted entirely (as we shall see below). The verb can also be placed at the beginning of the sentence. Like its English counterpart, the present simple tense in Arabic expresses a habitual action. There are other functions, but they are not relevant to this discussion. B.The Present Progressive In general, the present simple form is also used in Arabic to express the idea of a continuous action occurring in the present. Hence, the English sentence He is working now. in Arabic becomes He works now. (represented phonetically by huwwah yaamaloo al eyn.) What is he doing? in Arabic becomes What does he do? (represented phonetically by mehzah yafaaloo al eyn?) Hence, in almost all cases, the present simple form is used to show the idea of continuous action in the present. However, there is a single verb form in Arabic called the ism-ul-fail which is the exact parallel to the idea of continuous action. However, the difference in Arabic is that the ism-ul-fail is used very sparingly compared to English and then only for some very specific verbs of movement, or verbs that indicate changing from one state to another (going up, going in, going down, walking to a place, leaving a place, etc.). Since the ism-ul-fail is radically different in form from the English progressive it is doubtful that any interference in form occurs. C.A Few Points About The Verb BE as a Copula Although BE as a copula is not the focus of this paper, it does deserve mention here for two specific reasons. The first point is that BE in Arabic, when it is the copula in the present tense, is unwritten and unspoken (although this is not true of the copula in the past tense or the future where it is written and spoken). (Kharma, 1989, p. 89). For example, the literal translation of the sentence Ahmed is a student. is Ahmed student.. So it is conceivable that students might leave BE out as a copula OR as the helping verb in the present progressive because it does not exist in the present tense in Arabic (although there are other additional reasons why students might forget to add it to the present progressive as we shall see). The second point is that BE is used so often in English, in so many different kinds of structures, and that it is so irregular, that it might simply add to the confusion of students (Kharma 1989, p. 161). Students who keep on being corrected for leaving out the verb to be when it is necessary, may for example, hypercorrect themselves and start to write it everywhere. Again, we shall explore this issue further below. PART THREE A look at some common written errors made by Arabic speaking students when using the English present simple and present progressive Finding the exact causes of any error can be a difficult and meticulous task. This is partly because there may be multiple reasons as to why students make one particular error and these causes may also overlap at any given time. In addition, it is extremely problematic, even for a native speaker of both Arabic and English, (which I am) to know exactly what is going on linguistically in the mind of a student when s/he makes such an error. However, having said that, even with these obstacles, we can at least make some good hypotheses and lists of possibilities as to why these errors occur with our own students. As a result, we will be able to generate classroom strategies and methods in order to correct and remedy these sorts of mistakes. The following categories of errors are the most common that I have found in students written work with regards to the simple present versus the present progressive. I will look at each category in turn, and offer an analysis of the sources for these types of error. Category One Fatima studies now. Ahmed does his homework now. In these sentences, the intention of the Arabic speaking writer seems to be to convey the meaning of what in English would be a present continuous action, expressed by the present continuous tense. This is clear by the use of the adverb now or in the case of other examples not shown here, from other adverbs or the context of the sentence. In examples one and two, the Arabic speaker seems to be transferring the rules of his native language into English. The Arabic speaker usually uses only the present simple to express events that would be expressed in English by both the present simple and the present continuous. Category Two Mariam cant talk, she eating now. This kind of mistake is a bit more problematic in terms of analysis. It could be that the Arabic speaker, feeling that the full meaning of the action is expressed in the verb with the ing, has decided that the am/are/is forms are redundant and unnecessary. It could also be the case that this mistake is a direct transfer of a particular grammatical form in Arabic. In certain cases Arabic speakers do express the present continuous with a verb and prefix change (called ism-ul-fail), but without the corresponding be form. For example, the literal translation of the sentence Ahmed is running. is Ahmed running. . Category Three Are you knowing the way to Dubai? I am wanting to see my family. In this case, the student has learned the present progressive form, but is over generalizing it to all verbs (or perhaps does not remember or has not been taught the rules for exceptions such as the above). These types of errors could very well be intralingual. This over generalization could also be found in sentences that have the function of explaining, demonstrating teaching or narrating such as: Next I am pouring the oil into the cooking pan. Ali is passing the ball to the goalkeeper. Category Four I am live in Abu Dhabi. We are study English. This category is probably the most difficult to analyze. This is because it is unclear whether the Arabic speaker is making the mistake of adding the additional am/is/are form while trying to use the present tense, or making the mistake of forgetting to use the present participle while trying to use the present progressive tense. That is, did the speaker intend to say I live in Abu Dhabi. and use the extra am form by mistake, or did s/he intend to say I am living in Abu Dhabi. and forget the correct present participle form? Of course, there are other possibilities but these seem like the two most likely. We must obviously look at the context of the paragraph to see if we can get the gist of what the speaker meant. The following is a more detailed analysis of these two possibilities from the standpoint of the students reasoning. 1. If we believe from the context that the student was trying to use the present simple and added the additional am in error, then the following analyses apply: A. The student may be confused by the lack of inflectional endings in English, since Arabic is a highly inflected language, and every personal pronoun has a distinct corresponding inflected verb form. The similarity of the verb forms in I live, you live, etc. may seem very awkward to the Arabic speaker. Hence, they may want to remedy the situation by distinguishing the verb forms in some way by, for example, adding an exceedingly familiar and overused verb form like am, are, or is. B. The student may be over generalising based on what they have learned about the present continuous. That is, they may have learned how to form the present continuous quite easily since there is no mother tongue interference from Arabic, (although they may not have mastered its use). They then may go on to conclude that every verb in the present simple or present continuous in English needs to be preceded by am/is/are. C. Similarly, the student may be hypercorrecting. They may have been corrected so many times for forgetting to use the verb BE in their sentences e.g. Ahmed happy, that they may start to feel that every sentence needs the verb BE. 2. However, if we believe that the student was trying to use the present continuous tense and used the present simple live (instead of the present participle living), then the following analyses apply: A. The student may not have correctly understood how to form the present participle by adding ing to the end of the verb. B. Perhaps students have simply forgotten to add the ing prefix because the structure is so different in their language. This is by no means an exhaustive analysis. However, these are, from my experience and collaboration with other colleagues, both native and non-native speakers, some of the major possibilities. PART FOUR Pedogogical implications of the above research for teaching the present simple and the present progressive to Arabic speaking students From the evidence I have presented here, I believe it is clear that many of the mistakes in using the present simple and the present progressive in form (such as omission of the verb to be in the simple present for Arabic speakers, e.g. I studying), as well as other mistakes in usage (e.g. using the simple present when the present progressive is required) seem to be traceable directly to Arabic mother tongue interference. Based on my analyses, reading and discussion with colleagues, I do feel that in this particular area, teachers of EFL to Arabic speakers must consider mother tongue interference as a major impediment to learning the present tense versus the present progressive. If we know that mother tongue interference is the cause of many errors, what should this imply for our teaching? One thing which I think it does not imply is that we teach English from the point of view of the mother tongue. For example, trying to get students to understand English grammar through word for word translations or using the grammatical structure of Arabic to help students to understand the grammatical structure of English are only useful in certain cases, and then only by someone who is a master of both languages. My experience in reading the research, being bilingual and talking to Arabic speaking students who are at the final stages of their English studies leads me to believe that, at least in the case of Arabic and English, that the two languages are sufficiently different that they are both best looked at in their own respective grammars. Students must be made, not only to think in English, but to understand English grammar in terms of English grammar without constantly switching back and forth to compare it with Arabic. Such practices are ineffective and will cause confusion among students. As Lewis says students should never expect the foreign language to be like their ownà ¢Ã¢â€š ¬Ã‚ ¦..the fact that English has verb forms that contain [be] as an auxiliary does not suggest that other languages ought to have a corresponding formà ¢Ã¢â€š ¬Ã‚ ¦.students should be positively encouraged to explore the foreign language within itself rather than through the expectations they bring from their own. (Lewis, 1986, pp. 164-165). In addition, I should add that intralingual factors can also be at work when students make such errors (in addition to context specific factors like student motivation, teaching style and competence, etc.). For example, on the intralingual side, we know that students of ESL from many different language groups and even children make common mistakes with the verb to be. Therefore, many such mistakes might be intralingual. (Mattar 1989). Hence, when we try to analyse our students errors we should not be prejudiced to any one theory and we should try to be open to looking at all possible sources of errors. What we as teachers should be doing in the classroom is continually collecting research on student errors and student learning styles in order to form hypotheses about why such errors occur and why such one approach worked and another didnt. We should then be trying to test these hypotheses to see if they are true or not, and afterwards share this information w ith other teachers in similar situations. Only then will we be able to understand why students make errors and what is the most effective way to correct them. Word count: 4,161 words

Black Thusday: The Crash :: essays research papers

In the roaring 1920s, the United States bathed in previously unheard of prosperity. Industry and agriculture alike profited from the thriving economy. The Federal Reserve Board (known as "the Fed") practiced a policy of easy money, and consumer conf idence was high. Average income grew steadily throughout the decade and production soared. Levels of investment grew to new heights. At year's end in 1925, the market value of all stocks totaled $27 billion. By early October of 1929, that number had g rown to $87 billion. However, the economy began to slow down in 1928, and the trend continued in 1929. Agricultural prices slipped, a result of production surpluses and a downturn in business activity. In July of 1928, the Federal Reserve Board, took n otice and hiked interest rates in an attempt to slow investment to a pace more appropriate to the economic decline. Despite this and other warning signs, patterns of investment continued much as they had in the mid-20s, giving littl e recognition to the e conomic slowdown. The stage was set for a major market correction. On October 24, 1929, dubbed Black Thursday, the stock market crashed. Prices began to decline early in the day, triggering a selling panic in the New York Stock Exchange (NYSE). When trading closed the Dow Jones Industrial Average had fallen 9 percent and 12,894,650 shares of stock had changed hands, smashing the previous record of 8,246,742. Despite the crash, reports remained optimistic. Major New York banks united to buy up $30 million worth of stock in efforts to stabilize the market, and president Herbert Hoover announced that recovery was expected. Hoover's claims had little merit; the situation became bleaker during the next week. October 29 broke the now four-day old NYSE record for number of transactions: 16,410,035 shares changed hands in total. The market dropped 17.3 percent, confirming, and cementing, the permanency of the crash. The coming months saw no recovery. The crash in the market spelled disaster for the national economy. Corporations with heavy investments faced a sudden and almost insurmountable shock to their assets. Investing froze. As a result, the national economy fell into an unprecedented period of depression. Import spending dropped from $4.399 billion in 1929 to only $1.323 billion by 1932. The same period saw a sharp drop in exports as well. National income slipped lower each year from 1929 to 1932, and did not return to pre-depression levels until World War II.