Value Chain Framework Essay Example | Topics and Well Written Essays - 1250 words

Value Chain Framework - Essay Example The main changes are that at this value chain sophistication level, the company’s reliance on ERP for provision of Value chain support has been reduced and has initiated the utilisation of more BOB solutions for provision of more-advanced functionality. House-sourced technology tends to have been slightly increased within the stage as well. Here, companies develop specific applications for supplementing the core ERP functionality. Within this level, the amount of outsourced technology reduces the typically reduced functionality of some SCM SaaS solutions is deemed to be too functionally light, and on-premises BOBs are preferred. (Dua et al., 2011) Despite investing for growth, companies are aware that the disruption potential at any time does not vanish. Many work towards improving their Value chains’ resiliency for this risk mitigation. The past year brought about disruptions of global-scale Value chain which impacted multiple industries, right from chemicals to semiconductors as well as electronics to automotive. Increase in demand uncertainty as well as much more complex global Value networks reliant on high-risk geographic zones placed added pressures on Value chains’ ability to deliver results that are predictable. The disruptions have even called into question if Value chains have become too lean, requiring an essential approach change. (Shoanen and Joseph, 2004) In stormy times, as well as during the face of increasing risk and complexity, leading companies need more bearable, resilient Value chains which, support profitability and as well drive industry leadership. This necessitates that managers re-evaluate their Value network designs layout to ensure that they are made more resilient to future disasters. It may as well include designing products which, allow more flexibility in manufacturing and value, increasing long-term substitute sources of raw materials and logistics

Free topic Research Paper Example | Topics and Well Written Essays - 1500 words - 1

Free topic - Research Paper Example The cultural as well as religious identity related to Hinduism is considered as quite broad. In Hindu mythology, there are more than 330 million role models that are most likely to validate the person’s identity who have been framed in pace with the developing mankind since ancient times (Doyle, â€Å"Hindu Mythology†). Two short stories have been considered in the discussion henceforth, i.e. the Story of Yayati and the Incarnation of Vishnu as a Fish with the sole intention to obtain a better knowledge regarding the linkage of cultural values, philosophies and beliefs perceived by Indians with Hindu mythology. Hence, the chief objective of the discussion will be to obtain a better in-sight to the rudiments of Hindu mythology. According to the Satapatha Brahmana, a Hindu sacred text determining account of Vedic rituals, the first incarnation of Lord Vishnu on earth is known as Matsya Avatar. The story narrates that when Hari, who was considered to be the preserver of the universe, discovered the deed of the prince of the Danavas, became bound to take the shape of the fish which was known as Saphari or Matsya (Wilkins 134-141). According to the myth, Brahma was sleeping one day when Hayagriva, a horse-headed demon, took away the holy Vedas that helped God in creating life. The demon ran away and concealed inside the deep oceans which obstructed Brahma from nurturing the establishment of the universe. Owing to the fact that He was incapable of doing so, Brahma called Vishnu for assistance. It was during that time when Vishnu took the form of fish in order to get the Vedas back from the demon. Consequently, Vishnu took the avatar of Matsya, a one-horned fish, and swam into the hands of Satyavrata, who has also been the king of ancient Dravida-desa and renowned as Manu. Lord Vishnu, in his Matsya avatar then asked Manu for shelter from the predators in the ocean. In order to save the life of the fish, Manu took it

Book Review on Urban Poverty Essay Example for Free

Book Review on Urban Poverty Essay Urban poverty is the outcome of urban-bias development projects being predominantly financed by the external capital, either in the form of Foreign Direct Investment (FDI) or Aid. The urban-bias industrialization strategy performed as a pull factor for the rural unemployed. This strategy contributed to the expanding of urban informal sectors where unskilled as well as highly unorganized day labours remain concentrated in the urban and semi-urban areas. It is also debated that the redistribution of capital investment towards the rural based agricultural activities including plantation sectors through the coordinated efforts of both public and private sectors such as civil and non-governmental organizations (NGOs) can go a long way to break the growing negative effects of over urbanization on poverty, moral and social crimes as consequent of unequal economic growth. The author, Pramanik discusses urban poverty in Malaysia cases. He begins with the overview of the poverty scenario followed by research methods and research findings along with summarization policy suggestions. This book contented five chapters including appendices, references and index. In the introductory chapter (pp. 1-5), Pramanik says poverty is a multi-dimensional phenomenon that is hard to come up with a universally acceptable definition of poverty. Most commonly argued issue on poverty is whether poverty should be looked at from absolute or relative perspective. Absolute poverty based on specific income level called poverty line income (PLI) that can be calculated either using the market value of a basket full of goods and services considered essential for reasonably acceptable standard of living. On the contrary, relative poverty arises when we talk about how good or bad one member is doing in relation to another member living in the same society. According to O’Boyle, poverty is a concept that is both absolute and relative because human beings are at the same time individual and social (O’Boyle E.  J, 1990). In chapter two (pp. 7-20), Pramanik talks about poverty scenario in Malaysia. He argues that the income poverty using official poverty line income seems near to the absolute poverty whereas the human poverty based on the degree of human deprivation resembles relative poverty, which is ensuing of unequal access to income earning opportunity. Because of this, the author focuses more on human aspect of poverty in terms of its long term implications of social factors. Micro level study (Pramanik, 2004) do suggest that family size either in urban or rural areas of the four concentrated states namely, Kelantan, Terengganu, Kedah and Perak is quite above the family size used for the national level. Pramanik (1997 2000) examined that rural poverty in the four poverty-concentrated states on multi dimensional aspects of the problem such as, social, economic, demographic, psychological, political, moral, historical, attitudinal, and natural factors. In chapter three (pp. 5-20), the author discusses regarding research methodology. The study is based on the primary data as well as secondary information. The primary data collected through the administration of well-structured questionnaire in the middle of 2006. The sampling technique used is purposive as well as random and based on participatory observation method. Around 3112 households from 8 major cities living in poverty concentrated areas classified by squatters, low-cost buildings, longhouses etc. were selected for data collection. He defined â€Å"household† as an entity of those living under the same roof as well as eating from the same kitchen. In chapter four (pp. 21-97), he talks about the research findings. The author uses purposive and collecting sampling technique to identify the level of poverty suffered by those living in the squatters and in the area/blocks/buildings designed for the lower income groups in the major cities of Malaysia. This is because those who are living in these areas suffer different degrees and types of poverty measured by the level of deprivations. The household having less than RM 398(less than half of the poverty line) is called hardcore poor, household earning equal to RM 398 but less than 663 is called overall poor and more than RM 663 is called non-poor. The best performing state in terms of lowest incidence of overall poverty (0. 9) with no hardcore poor followed by KL (2. 6) and JB (8. 1) inclusive of hardcore and overall poor. While less developed states- KB, KT, and AS, KB experiences the highest incidence of poverty hardcore poor and overall poor of 33. 7 followed by KT (23. 4) and AS (14). On the other hand, Sabah and Sarawak are worst performing states reported in 9MP and his survey data. The author suggests that as far as poverty reduction is concerned Sabah and Sarawak are still the worst among all other regions states in Malaysia in 2007. The poverty is gender bias is a universal when hardcore poverty is concerned. In terms of hardcore and overall poverty, the female –headed households are more likely to be poorer by 50 percent compared the male-headed households. The higher dependency of more members on a few incomes of earners in the households also creates a constraint on resources allocation by the poor households. Approximately 60 percent of poor household’s more than two members depend on the income of one earner. The lower dependency has implication for the ability of the poor households to hold out poverty at times of economic recession or downturn since higher dependency manifest through the lower dependency ratio is positively related to higher unemployment. Pramanik found on the distribution of households based on the dependency ratio and cities seem to suggest that the relatively higher percentages of households (68. 8) from LDS are associated with higher dependency as emerged through the lower coefficients of DR (0. ) as opposed to a lower percentage of households from MDS (53. 3) experiencing lower dependency ratio. Human capital is considered as the most fundamental asset. The presence of economic opportunities created by the growth, an individual with one additional year of education acquires more ability to compete and derive benefits from the market. As for as the illiterac y, the author suggests that the percentage of households having no education in much higher for the three Least Developed States( LDS) as compare to the More Developed States (MDS). If the education level exceeding 6 years but less than 12 year are considered as a measure of better educational standard, the highest percentage of household members (72. 7) come from 3 MDS followed by the lowest (57) from the two LDS. The better quality of life achievable through higher level of education has convinced the younger generation regardless of race or geographical distribution of population to pursue education by all possible means. So that government spends money for education, skills and training. Dr. Muhammad Yunus claims that access to credit should be treated as a part of human rights. The access to credit empowers the poor households to make use of their survival skills thus unleashing their productive potentials. Every human being is imparted with some sorts of surviving skills by the Almighty –the creator. Dr. Yunus has proven that an access to small credit can significantly help the asset less poor to unleash their hidden potentials to earn more and combat poverty. The poor have nobody to talk to and no place to go. Sometimes, they have no work to do and no food to eat and finally none to depend on. They are always by-passed and looked down upon (Narayan, 2000). The poor are not even trusted because of lack of social status. Of the three races the Chinese seem to be more satisfied with their neighbors (69 percent as very helpful) followed by the Indians (46 percent) and Malays take a middle position (64 percent). The criteria of social capital there appear to be a positive relationship between the lower Mean Monthly Household Income (MMHY) of the Indians and the lower level of trustworthiness as a proxy for very helpful neighbors. The relationship between trustworthiness and success in trade seems quite obvious among the Chinese compared to the Malays and the Indians. There are lots of arguments regarding poverty. â€Å"We are so rich, because they are so poor† (Landes, 1998). It means the existence of poor is essential for survival for rich. Yunus believes that the poverty is created by the system (Yunus with Jolis, 1998). The poor in any society are best known for their simplicity, altruism, moderation, complacency, peaceful coexistence, moral, conservative as well as traditional values. The presence of high morality and the future uncertainty, the poverty stricken parents never consider additional babies as a liability. For the poor, children are always considered as assets and blessing of God because they are the ones the poor parents can really depend on in their old age. Old –age pension or insurance for all are hardly found in the developing world, traditional babies are always treated as insurance for the old age. The author found that in general, the respondents from low income urban households give higher priority to good values like the spirit of tolerance reflected through ability to respect other races or religion, ability to maintain one’s own culture, ability to live like a good human being, having good moral standard. The findings clearly suggest that they show least preference for blindly imitating the life style of the better-off. So, the poor who are known for their simple and moderate life are not the victim of the demonstration effects. Concentration of power, lack of transparency and good governance among many others, interact to perpetual corruption in less developed countries (Pramanik, 2003 2007). In last chapter in his book (pp. 97-106), the author summarizes his findings and gives policy suggestions. Firstly, poverty is gender based. As far as poor, inclusive of hardcore and overall poor are concerned the female headed households far outweigh the male headed households. Secondly, there is an inverse relationship between family size and incidence of poverty. Thirdly, higher dependency measured by lower dependency ratio seems to be positively related to the incidence of poverty across the regions. Fourth, the access to human capital in terms of level of education emerges as one of the most important determinants of poverty. Fifth, the access to financial capital in the form of loan made seems to be a good determinant of household income regardless of regional or racial consideration. Finally, based on the perception of the urban poor about development, Pramanik findings suggest that, the human capital such as easy access to education, social overhead capital encompassing good roads, good and owned house, water and electricity deserve the highest priority. The author gives some policy suggestions relevant to the policy-makers, planners and administrators. First, in line with three major strategies such as, enhancing the nation’s competitiveness, strengthening human capital development and ensuring the well-being of all Malaysians within the contexts of elaborate policy strategies under ninth Malaysian plan, that will be to help the primary and secondary level students from broken families, unemployed parents, low income households living in crammed and unhealthy housing conditions. Second, the plan to establish different growth corridors covering the less and the least developed states. Four, having the good record of NGOs in eradicating poverty and enhancing social-economic well-being of the target groups, the existing public level institutions may gradually encourage the NGOs/welfare organization/civil societies supported either publicly or privately to shoulder responsibility in overcoming poverty. Finally, efforts can be made to raise the status of Aim as a full-pledge bank for the poor as like Grameen bank of Bangladesh to deal with poverty eradication. In conclusion it can be said that the author, Pramanik expounded very well regarding the poverty of Malaysia. The urban poverty is indistinguishably linked to rural poverty. In fact, the former is caused by the latter. The Pull and Push factors can significantly explain the prevailing dismal conditions associated with urban poverty. Based on the details findings on the multi-dimensional aspects of urban poverty, it can be suggested that the development should be taken to the people and not the people to the development which is mostly confined to the urban areas.

Islamic Finance and Mortages in the UK

Islamic Finance and Mortages in the UK Chapter 1: Introduction Around two million people in the UK are hesitating to get a mortgage from conventional banks or building societies because of religious obligations. Most of them are Muslims and like to obey the rules of Islam. Conventional banking systems offer the customers to pay interest against their loan or mortgage. According to Islam interest is called â€Å"riba†, which is forbidden by the rules of the Holy Quran. So how can the Muslims buy a home or get a loan where they cannot pay the interest. Most of Muslims are confused from where they can borrow money. Go with the conventional banks or newly established Islamic banks, who are not so much experienced in the UK mortgage market. According to Usmani (2005) the main drawback in interest based system is financier has no concern with money when he gives an interest bearing loan to a client. But in Islamic financial contract cash money is not given to client, first of all they purchase the commodity and transfer to client then all profit and loss will be distributed between parties according to agreed terms and conditions (Usmani, 2005). As the Islamic Sharia is not permitting to pay or receive any interest from conventional nor even from any person or agency, so especially any Muslim is not allowed to use conventional mortgage for religious faith. It is experienced that home or property purchase is too expensive by using the cash on hand. To solve this problem the financial organisation or the bank buy the property or house with their name act as a landlord and the client pay the rent plus some money for the contribution for the property. When the term finished predetermined by the lender and the client the prop erty is transferred to the client that means the client absolutely buy the property. According to Harding (2009) the Sharia serves mostly as a guide to personal conduct, though some rules are drafted into the legal codes of majority-Muslim states. Its founded, were always told, on revealed truth from the Quran and exemplary stories from the Hadith, the sayings and doings of the Prophet. But the real influence of the Sharia lies in the way this material is constantly read and recast by modern Islamic scholars, reinventing old traditions or asserting new ones. Whatever they take it to be, growing numbers of Muslims are keen to stay on the path when it comes to banking and finance. The global Muslim population is upwards of 1.3 billion roughly one in every five people on earth and, with a religious revival of twenty or thirty years standing, the way of Islam is now a crowded thoroughfare. It is plied by a great diversity of travellers from different parts of the world; some have money to burn, others next to none, but anybody with a modicum of wealth is nowadays a pot ential opportunity for banks offering Sharia-compliant retail services: current accounts, straightforward financing schemes and home-ownership plans (Harding, 2008). In some countries in the World like Iran, Pakistan and Sudan all banks are currently operating through Islamic financial law but other Muslim major countries like Indonesia, Bangladesh, Malaysia, GCC countries and North African countries operating both conventional and non-conventional banks. Islamic banking services run by Islamic bank and some conventional banks. In the UK some high street banks like HSBC Amanah, Bank of London and the Middle East (BLME) are the main two conventional banks that offer Islamic banking to the customers from all background. According to UN-HABITAT (2005) Islamic financial systems are located within the larger context of Islamic religious, ethical and economic systems. Islamic finance has seen annual growth rates of over 15% and the Islamic capital invested in global financial institutions is currently estimated at US$1.3 trillion. A key growth area is in the provision of Islamic mortgages, both within the Arab world and in Europe and North America (UN-HABITAT, 2005). Over the last few years some of the UK conventional high street banks like Lloyds TSB, HSBC have introduced Islamic products in several of their branches. In the year 2005 Lloyds TSB bank plc introduced Islamic products to some of its branches. A panel of Islamic scholars look after and guide the bank according to Sharia i.e. the Islamic rules for the Islamic products offered by the bank. Another high street bank HSBC has introduced Islamic products on the brand name Amanah. These two conventional banks are offering wide range of services w ith different windows on the basis of the Islam, like home insurance, mortgage, current accounts, pension etc. The Islamic Bank of Britain is the first Islamic bank in the UK started its operation in the year 2004 which welcomes Muslim and non-Muslims alike as customers. It is operating with a few branches mainly in London, Birmingham, Leicester and Manchester where Muslim people are majority. All of their financial products are approved by a committee of Islamic scholar, called the Sharia Supervisory Committee. All of the committee members are expert of the Islamic rules and finance as well. They introduced the banking system, mortgage and other related products as Halal, which may be accepted by the Muslim and non-Muslim customers. The Prime Minister of the UK Gordon Brown has pledged support for the growth of Islamic finance (BBC news, 13 June 2006). The UK is acting as a gateway for the growing industry. In another report of BBC news (17 October 2008) in the midst of turmoil in the global financial system, there is one branch of finance that aims to operate within strict moral and ethical boundaries Islamic finance. One expert on Islamic finance, Durham University professor Rodney Wilson, points out that no Islamic financial institution has yet failed in the current crisis. He contrasts â€Å"excessive risk-taking† in the mainstream financial sector with â€Å"a fairly classical banking model† still followed by Islamic institutions (BBC news, 17 October 2008). According to FSA (2007) The Islamic financial market as well as the Islamic mortgage market has become exceptionally complicated as well as increasingly competitive. Today, practically most of the financial institutions in the western countries are attracting the customers through Islamic finance whether by Islamic Sharia complaint, â€Å"Islamic windows† or some other Islamic financial product, like the Islamic mortgage marketing. Most of the expansion of Islamic finance in the UK has taken place in the last five years, but the continuation of Sharia-compliant transactions in the London financial markets goes back to the 1980s (FSA, 2007). . Aim The aim of this paper is to provide a thorough outline of the main principles of Islamic finance and practice of Islamic Finance especially in the field of home finance in the UK. The paper emphasises the core principle of Islamic finance i.e. Sharia and Sharia complaint practices in the field of Islamic mortgage market, providing an insight view to understand and find out the effectiveness throughout the Muslim population as well as non-Muslim communities in the UK. By the end of the paper the readers should have a greater appreciation of the various types of ways to find the right mortgage products to be within the Sharia complaint environment as well as get an understanding of the effectiveness with .these kind of products. Through a mixture of different types of graphical presentations of some factors involving in the Islamic financial environment, the UK government policies, difference and comparison between the Islamic mortgage and the conventional mortgage, some examples of di fferent types Islamic halal financial products effective in other developing countries in the world will be presented to get an overview the wide range of factors involved in evaluating and analysing the Islamic mortgage market. Objectives Understand the core principles of Islamic finance Relate the principles to the Islamic mortgage The key features of Islamic mortgage Different types of Islamic contract relating to mortgage Analyse Islamic mortgage prospect in UK from the various point of views Dissertation formation Chapter 1 Introduction of the objectives subjects and discuss limitations. Chapter 2 Literature review: This chapter will consist of the academic review of the literature on Islamic finance, types of contracts involved in Islamic mortgage and overall review of Islamic mortgage market in the UK. Chapter 3 Research Methodology: This chapter will outline the research methodology adopted as well as its possible ways of application by the primary and the secondary data collection. Chapter 4 Data and Analysis: In this important chapter various data will be presented through table, chart and different opinions and findings derived from primary research and secondary research to examine the effectiveness of Islamic mortgage market in the UK. Chapter 5 Conclusion: This chapter will present the overall conclusion of the study. Chapter 6 Recommendation: This chapter will make recommendations, some of which will be general while others will be specific to what will need to be done in the future by the Islamic financial institutions in the UK. Chapter 2: Literature Review 2.1 Background of Islamic Finance The Organization of Islamic Conference (OIC) expressed â€Å"Islamic financial institution as a financial institution whose statutes, rules and procedures expressly state its commitment to the Principles of Islamic Sharia and to the banning of the receipt and payment of interest on any of its operations† (Hassan, 1999, p.60). Sharia is the path or lifestyle of Muslim, shown and cited in the Holy Quran, the sayings and conduct of the prophet Mohammed (PBUH), and the ruling of Islamic scholars. 2.2 Principle of Islamic Finance McKenzie (2009) stated that â€Å"the underlying financial principles in Islamic finance have remained unchanged historically since their development over 1,400 years ago. Financial products must be certified as Sharia compliant by an expert in Islamic law. Certification requires that the transaction adheres to a number of key principles that include: Backing by a tangible asset, so as to avoid ‘speculation (gharar). Prohibition of interest payments (riba). Risk to be shared amongst participants. Limitations on sale of financial assets and their use as collateral. Prohibition of finance for activities deemed incompatible with Sharia law (haram), such as alcohol, conventional financial services, gambling and tobacco.† (McKenzie, 2009) 2.2.1 Riba (Interest) â€Å"The interest that you give in order to increase the wealth of the people, does not increase in the sight of Allah; and the Zakat that you pay in order to win Allahs approval, its payers do indeed increase their wealth† (Surah Al-Rome no. 39 cited in Shafi and Usmani, 1997, p.67). 2.2.1.1 Prohibition of Riba (Interest) â€Å"The word riba literally means increase, addition, expansion or growth† ( Sulaiman, 2003). According to Institute of Islamic Banking and Insurance website (2010) Riba means increase or addition and commonly understood as interest charged or received on lending though the legal definition goes beyond just interest.It is one of the three fundamental prohibitions in Islamic finance, the other two being gharar and maysir. . Technically it denotes any increase or addition to capital obtained by the lender as a condition of the loan. In simple terms Riba covers any return on money on money, whether the interest rate is fixed, floating, simple or compounded and at whatever rate which is guaranteed irrespective of the performance of the investment, is considered riba and is so prohibited. Riba, in all forms, is strictly prohibited in Islamic tradition as it is considered an unjust return that leads to unjust enrichment (Institute of Islamic Banking and Insurance website, 2010) According to Usmani (2005) â€Å"exclusion of interest from financial activities does not necessarily mean that the financier cannot earn a profit. If financing is meant for a commercial purpose, it can be based on concept of profit and loss sharing, for which musharakah and mudarabah have been designed since the very inception of Islamic commercial law† (Usmani, 2005, p.10). According to Chapra (1986) it is however, not every increase or growth which has been prohibited by Islam. In the Shariah, riba technically refers to the â€Å"premium† that must be paid by the borrower to the lender along with the principal amount as a condition for the loan or for an extension in its maturity. In this sense, riba has the same meaning and import as interest in accordance with the consensus of all the fuqaha (jurists) without any exception (Chapra, 1986). 2.2.2 Gharar â€Å"The Arabic word gharar means risk, uncertainty, and hazard† (Obaidullah, 2005). According to Institute of Islamic Banking and Insurance website (2010) Gharar is one of the three fundamental prohibitions in Islamic finance, the other two are riba and maysir. Gharar means uncertainty, hazard, chance or risk. Technically Gharar can explained by the Institute of Banking and Insurance, â€Å"sale of a thing which is not present at hand; or the sale of a thing whose consequence or outcome is not known; or a sale involving risk or hazard in which one does not know whether it will come to be or not, such as fish in water or a bird in the air. It is an exchange in which one or more parties stand to be deceived through ignorance of an essential element of the exchange. Thus it refers to an element of absolute or excessive uncertainty in any business or contract (Institute of Islamic Banking and Insurance website 2010). Makhlouf (2000) described â€Å"there are several types of gharar , all of which are disallowed (haram). The following are some examples: Selling goods where the seller is unable to deliver, Selling known or unknown goods against an unknown price, such as selling the contents of a sealed box, in absence of any concept of its contents or value in the buyers mind, Selling goods without proper description, such as shop owner selling clothes with unspecified sizes, without providing the buyer the option to inspect the goods, Making a contract conditional on an unknown event, such as when my friend arrives if the time is not specified, Selling goods on the basis of false description, Selling goods without allowing the buyer the properly examine the goods (Makhlouf, 2000). Institute of Islamic Banking and Insurance website (2010) describes gharar as Deception through ignorance by one or more parties to a contract. Gambling is a form of gharar because the gambler is ignorant of the result of the gamble. Gharar can occur in several ways, all of which are haram (Institute of Islamic Banking and Insurance website, 2010). 2.2.3 Maysir According to Institute of Islamic Banking and Insurance website (2010) â€Å"Maysir is one of three fundamental prohibitions in Islamic finance. Maysir is explained as Games of chance or gambling, trying to earn easy money without having to provide equivalent consideration. A prohibited activity, as it is a zero-sum game just transferring the wealth not creating new wealth. The prohibition on Maysir is often used as the grounds for criticism of conventional financial practices such as speculation, conventional insurance and derivatives† (Institute of Islamic Banking and Insurance website, 2010). The Quran states that are translated in English, â€Å"intoxication, games of chance, worship of idols, and divination by arrows are but an abomination, Satans hand I work; avoid it then, so that you might prosper! By means of intoxicants and games of chance Satan wants only to sow enmity and hatred among you, and hinder you from the remembrance of God and from prayer []† (The Q uran 5:90-91 cited Rohmatunnisa, 2008). Schoon (2007) explained â€Å"Maysir(or speculation) is an event in which there is a possibility of total loss to one party. Maysir has elements of gharar, but not every gharar is maysir† (Schoon, 2007)). 2.3 Types of Islamic Contracts 2.3.1 Mudarabah (finance by way of trust) Institute of Islamic Banking and Insurance website (2010) An investment partnership with profit-loss-sharing implications. One or more partners as investors (Rab al Mal) provide 100% the capital to an entrepreneur (the partner who provides entrepreneurship and management known as Mudarib) to undertake a business activity. Profit is shared between the partners on a pre-agreed ratio, any loss is borne only by the investing partner(s) alone. For the Mudarib the loss is the share of the expected income for the efforts put into the business activity. The investors have no right to interfere in the management of the business but can specify conditions that would ensure better management of the capital money. In this way Mudarabah is sometimes referred to as a sleeping partnership. As a financing mode, an Islamic bank can provide capital to a customer for a business activity. The customer provides the expertise, labor and management; profits are shared between the bank and the customer acco rding to predetermined ratio while financial losses are borne by the bank and the bank risks losing the capital invested with the customer which justifies the banks claim to a share of the business profit. Islamic banks also apply the concept of Mudarabah to pay a return on customer deposits held in investment account. The Bank becomes wholly responsible and liable in the management and investment the customer deposits and utliises the funds as business capital by the bank, the bank will have the right to manage the funds as it thinks fit in permissible activities that it considers are profitable and share the profit on the basis of the agreement made between the bank and the customer (Institute of Islamic Banking and Insurance website, 2010) According to Siddiqui (n.d) In this mode, the bank, at the request of its client, purchases the specified goods from a third party against payment. Immediately on the transfer of ownership of the goods as also obtaining its physical or, in most cases, the constructive possession, the bank sells these goods to the client at cost plus an agreed fixed profit margin. The client then takes physical possession of the goods and undertakes to pay the price to the bank either in instalments or in lump sum, at an agreed later date. The instances are not lacking where customers of the bank and the seller of the goods are sister concerns. In yet many other cases, the customers of the bank purchase the commodities themselves as agents of the bank and then they repurchase the same commodity from the bank for a cost plus profit to be paid at a mutually agreed later date. In many cases of Murabaha, there is therefore, only a change of name (Siddiqui, n.d). 2.3.2 Musharaka (finance by way of partnership) According to Institute of Islamic Banking and Insurance website (2010) The literal meaning of Musharakah is sharing, an investment partnership with profit-loss-sharing implications. All the partners contribute capital towards the financing to undertake a business activity. The partners share profits on a pre-agreed ratio while losses are shared according to each partners capital contribution. The business activity may be managed by all, some, or just one of the partners. Musharakah allows Islamic banks to provide financing for purchase of an asset required by a customer; the bank invests capital in the co-ownership in the asset with the customer, instead of providing interest-bearing loans. The bank will achieve a return on its capital contribution in the form of ashare of the actual profits earned, according to a ratio agreed in advance. However, unlike atraditional creditor, the bank will alsoshare inany losses. Musharakah is often used by Islamic banks for financing large projects . The concept is distinct from fixed-income investing. A contract of partnership in which two or more partners provide capital and share profits or losses as the case may be. An investment partnership with profit-and-loss sharing. A musharakah contract is similar to a mudarabah contract, the difference being that in a musharakah all the partners contribute to the capital and share in both the profit and the loss. They also have the right, but not the obligation to participate in the management. All partners have a right to participate in the management of the project. However, the partners also have a rig ht to waive the right of participation in favour of any specific partner or person. Profit is shared as per-agreed ratio while the loss is shared in proportion to the capital contributed (money invested by each partner. The term also refers to a financing technique adopted by Islamic banks instead of lending on interest. It is an agreement under which the Islamic bank provides fund s which are mingled with the funds of the client and both are entitled to share in the resulting profit on a pre-agreed ratio and share the loss in accordance with their capital contributions. Also termed as a joint venture. Two forms of Musharakah are: Permanent Musharakah and Diminishing Musharakah (Institute of Islamic Banking and Insurance website, 2010). Saeed (1996) distinguishes three types of Musharaka: the commercial Musharaka, decreasing participation and permanent participation. In a â€Å"commercial Musharaka†, which is the most common form, the purpose of the transaction can be the purchase of plant, manufacturing equipment or commodities. Here, the transaction is fixed in its duration and capital provision is mostly short-term. Consequently, the liquidation of the project occurs quickly and capital turnover and returns are usually high. The second type of Musharaka, a Musharaka with â€Å"decreasing participation†, is mainly used for project financing in the industrial and agricultural sector and serves to transfer full ownership of the assets in the long-run to the business invested in. The banks invested capital is repaid in instalments and the bank receives a proportion of the projects cash flows for a specified period of time. Profit-sharing can be exercised in three different manners: the bank can either r eceive its share of the profit on a regular basis (which is sometimes associated with prohibited Riba) and reacquire its capital out of the remaining profits of the partner, or the partner annually buys back a part of the banks share in the business including profits, or the partner repurchases the bank s share in bulk after the termination of the Musharaka contract. All three forms are practiced by Islamic banks. Finally, in a â€Å"permanent participation Musharaka†, the bank actively contributes to the management of the business financed and shares in the profits and losses until the end of the Musharaka contract (Saeed, 1996 cited Rohmatunnisa, 2008). 2.3.3 Murabahah (cost-plus financing) According to Institute of Islamic Banking and Insurance website (2010). â€Å"Cost-plus financing a contract sale between the financier or bank and its client for the sale of goods at a price which includes a profit margin agreed by both parties. As a financing technique, it involves the financier or bank purchasing goods required by the client. The goods are then sold to the client with a mark-up. Repayment, usually in instalments is specified in the contract. Some have questioned the legality of this financing technique with mark-up on cost because of its similarity to riba or interest. Mark up or Cost plus financing. The word Murabaha is derived from the Arabic word Ribh that means profit. Originally, Murabaha was a contract of sale in which a commodity is sold onward at profit. The seller is obliged to tell the buyer the original cost price and the profit mark-up. This contract has been modified a little for application in the financial sector. In its modern form Murabaha has become the single most popular technique of financing amongst the Islamic banks all over the world. The Murabaha mode of finance operates in the following way: The client approaches an Islamic bank to get finance in order to purchase a specific commodity. An interest-based bank would lend the money on interest to this client. The client would go and buy the required commodity from the market. This option is not available to the Islamic bank, as it does not operate on the basis of interest. It cannot lend the money on interest. It cannot lend money with zero interest rate, as it has to make some profit to be in the business. The bank purchases the commodity on cash and sells it to the client on an agreed profit mark-up. The client buy the commodity from the bank on deferred payment basis. Thus, the client gets the commodity on credit for which financing would have been required and the Islamic bank makes some profit on the amount it has spent in acquiring the commodity and selling it on to the client(Institute of Islamic Banking and Insurance website, 201 0). Anotherway Murabahah was described by Bakhshi (2006) is the most popular form of Islamic financing. Within a murabahah contract, the bank agrees to buy an asset or goods from a third party at the request of its client, and then resell the goods to its client with a mark-up profit. The client purchases the goods either against immediate payment or for a deferred payment. This technique is sometimes considered akin to conventional interest-based finance. However, in theory, the mark-up profit is quite different. The mark-up is for the services the bank provides seeking and purchasing the required goods at the best price. Furthermore, the mark-up is not related to time because, if the client fails to pay a deferred payment on time, the mark-up does not increase due to delay and remains as pre-agreed. Most importantly, the bank owns the goods between the two sales and so assumes the title and the risk of the purchased goods, pending their resale to the client. This risk involves all ris ks normally contained in trading activities, in addition to the risk of not making the mark-up profit, or if the client does not purchase the goods from the bank and whether they have a justifiable excuse for refusing to do so (Hourani cited Bakhshi, 2006) 2.3.4 Ijara (leasing) According to Institute of Islamic Banking and Insurance website (2010)Lit: letting on lease. Technically, sale of a definite usufruct in exchange for a definite reward. Commonly used for wages, it also refers to a contract of land lease at a fixed rent payable in cash. It is contrary to Muzarah when rent is fixed as a certain percentage of the produce of land banks. It is an arrangement under which an Islamic bank leases equipment, a building or other facility to a client against an agreed rental. The rental is so fixed that the bank gets back its original investment plus a profit on it. Lit: letting on lease or simply, leasing. Technically, sale of a definite usufruct in exchange for a definite reward. Used for hire of services for wages and also refers to a lease of an asset at a fixed rent payable. As in a normal lease transaction, a lessor who owns the leased asset will lease it to another party (the lessee) in exchange for payment of rental. The lessee will get the full benefit of using the lease asset within the specified period for as long as he adheres to the lease terms and conditions. At the end of the lease period, the leased asset will be returned to the lessor.There are some other variants of leasing which incorporate the transfer or option to transfer ownership of the leased asset from the lessor to the lessee at the end of the lease period; these are referred to as; Ijarah Thumma Bai Lease Agreement Incorporating sale of leased asset at the end of the lease period. Ijarah Muntahiya Bil Tamleek Lease Agreement with option to own the leased asset at the end of the lease period. Ijarah Wa Iqtina Lease Agreement with option to acquire the leased asset at the end of the lease period. Often used in the context of home purchasing Ijarah wa Iqtina extends the concept of Ijarah to a hire and purchase agreement. It is a contract under which the Islamic bank finances equipment and machinery, building or other facilities for the customer against an agreed rental together with a unilateral undertaking by the bank or the customer that at the end of the lease period, the banks ownership in the leased asset would be transferred to the customer. The rental is so fixed that the bank recovers its investment plus a profit. Ijarah wa Iqtina extends the concept of Ijarah to a hire and purchase agreement. It is a contract under which the Islamic bank finances equipment and machinery, building or other facilities for the customer against an agreed rental together with a unilateral undertaking by the bank or the customer that at the end of the lease period, the banks ownership in the leased asset would be transferred to the customer. The rental is so fixed that the bank recovers its investment plus a profit. Ijarah wa Iqtina e xtends the concept of Ijarah to a hire and purchase agreement. It is a contract under which the Islamic bank finances equipment and machinery, building or other facilities for the customer against an agreed rental together with a unilateral undertaking by the bank or the customer that at the end of the lease period, the banks ownership in the leased asset would be transferred to the customer. The rental is so fixed that the bank recovers its investment plus a profit. Ijarah wa Iqtina extends the concept of Ijarah to a hire and purchase agreement. It is a contract under which the Islamic bank finances equipment and machinery, building or other facilities for the customer against an agreed rental together with a unilateral undertaking by the bank or the customer that at the end of the lease period, the banks ownership in the leased asset would be transferred to the customer. The rental is so fixed that the bank recovers its investment plus a profit (Institute of Islamic Banking and In surance website, 2010) â€Å"A form of leasing contract in which there is a transfer of ownership of service (for use of an asset) for a specified period for an agreed upon lawful consideration. Instead of lending money on interest, Ijarah allows a financial institution to earn profits by charging rentals for the use of the asset. Often used by Islamic banks for financing. Under this scheme of financing an Islamic bank purchases an asset as per specification provided by the client. The period of lease and the lease rental fee are set in advance and may be determined by mutual agreement according to nature of the asset. During the period of the lease, the asset remains in ownership of the bank (as lessor), but the client (as lessee) has the right to use it (Institute of Islamic Banking and Insurance website, 2010) 2.3.5 Salam (advance purchase) According to Khan (1996) salam is essentially a transaction where two parties agree to carry out a sale/purchase of an underlying asset at a predetermined future date but at a price determined and fully paid for today. The seller agrees to deliver the asset in the agreed quantity and quality to the buyer at the predetermined future date. This is similar to a conventional futures contract however, the big difference is that in a Salam sale, the buyer pays the entire amount in full at the time the contract is initiated . The contract also stipulates that the payment must be in cash form. The idea behind such a ‘prepayment requirement has to do with the fact that the objective in a Bai Salam contract is to help needy farmers and small businesses with working capital financing. The buyer in a contract therefore is often an Islamic financial institution. Since there is full prepayment, a Salam sale is clearly beneficial to the seller. As such, the predetermined price is norma

Kaleidoscopes of Light: Reflecting on Namibian Faith and Culture :: Essays Papers

Kaleidoscopes of Light: Reflecting on Namibian Faith and Culture In this illuminating semester in Southern Africa, my Christian beliefs have been colored with light from kaleidoscopes of cultures and people. I have been heavily challenged, strengthened anew, and turned on my head more than once. Perhaps most explicitly, I have learned about the role of religion in social change in Namibia, from study in this course, in visiting eight different churches over the course of three months, and in building relationships with inspiring Namibians. As I prepare to make my return journey home, I wonder if I will be prepared to share and describe what religious frustrations and exaltations of faith have filled my days. I wonder if my spiritual curiosity will continue to refine and deepen my appreciation for the meaning of Christianity in my life, especially as I return to work in a Christian summer camp in Montana. I wish I could say that the message of unconditional love cradled in the scripture of my faith has struck me anew during my time here. But my experiences have filled me with more spiritual questions and concerns than answers of affirmation. This is adventuresome and stimulating, to say the least, and I am glad for the challenge provided here; faith should never be a docile and lame journey of life. Throughout our religious classes this semester, meeting religious leaders and human rights activists has fueled my understanding of the meaning of Christianity. In lectures from community leaders, pastors and counselors, our class discussions bore witness to Christianity’s original context in Southern Africa, its profound role in the liberation struggle and its potential in continuing processes of reconciliation in Namibia. Reading historical reviews and articles of colonialism and apartheid exposed me to the heart-rending effects of religion in this country. What still strikes me to the core about what I’ve learned is the good religious communities can offer this nation. As our articulate speaker Rev. Nangula Kathindi, President of the Namibian Council of Churches, demonstrates with her words and her work, church involvement in breaking the wall of silence surrounding SWAPO atrocities and human rights violations is for the empowerment of Namibians everywhere. Her posit ion of authority within the church gives a fresh perspective on the role of the church playing into everyday life in Namibia, and how its influence can be used for progressive change today. The words of Kathindi fill me with hope for the future generations of Namibia; she is a living testament to the power of churches reshaping the race-war worn lives of Namibians today.

Essay --

Theresa Manganiello December 17, 2013 Osmosis Lab report Bio Honors (Yellow) Creating a Semi-Permeable membrane 1. Define osmosis. The diffusion of water through selectively permeable membranes 2. What is a semi-permeable membrane? â€Å"A semipermeable membrane, also termed a selectively permeable membrane, a partially permeable membrane or a differentially permeable membrane, is a membrane that will allow certain molecules or ions to pass through it by diffusion and occasionally specialized "facilitated diffusion". â€Å" 3. What is dialysis tubing? Dialysis tubing is a type of semi-permeable membrane tubing made from regenerated cellulose or cellophane. It can be used for diffusion with solutes or osmosis if used with water only. 4. What molecules are able to pass through the dialysis tubing? Unable to pass through the dialysis tubing? Selective permeability of dialysis tubing shows ions and molecules can pass through the dialysis tubing. Dialysis tubing is not permeable to starch because starch is too large.. 5. What is distilled water? Distilled water is water that has been purified through a process of heating and cooling. 6. What is the common name for sucrose? Draw a molecule of sucrose. Table Sugar 7. Develop your hypothesis with your lab partner I think that the more time each bag is given, the heavier it will get. So my hypothesis is: In this lab, the bags with sucrose and unknown solution will be heavier than the bags with water, and as time goes on the bags with sucrose will have more mass than the others. Hypothesis In this lab, the bags with sucrose and unknown solution will be heavier than the bags with water, and as time goes on the bags with sucrose will have more mass than the others. Materials - 6 pieces of 15... ...because it reacted in the same way in which the sucrose did. In this lab, I created a model, and observed the model of a semi permeable cell membrane. I thought that the bags with sucrose and unknown solution will be heavier than the bags with water, and as time goes on the bags with sucrose will have more mass than the others. I was able to accept my hypothesis, and prove it true through the lab. Bag one basically stayed the same, and five and six went down. Bags 2-4 all increased drastically in mass, proving my hypothesis. This lab mirrors what some scientists do every day, whether it be creating models, or studying cells. No matter where we go, science will always be with us. Work cited "Animation: How Osmosis Works." Animation: How Osmosis Works. N.p., n.d. Web. 12 Dec. 2013. "Learning By Osmosis." Something to Shout About. N.p., n.d. Web. 17 Dec. 2013.

NeoMed Tech

Subject line: Describe what went right and what went wrong with this venture. Add in how you would fix the Identified problems, If this was your company. Needed Technologies developed a diagnostic device used for cardiac testing, and is headquartered in Ohio. They developed a CAD screen system to detect coronary artery disease. The company was founded in 2000 and is based in Cleveland, Ohio.Needed Technologies was faced with a lot of difficult decisions at the beginning when it came to where their product would best fit and be most successful. They ad developed a technology that could fit Into many markets, but needed to choose a product path and market. Their continued challenges occurred due to the changes In the market direction of venture capital opportunities and the funding available, all due to changes in the economy at that time.Due to the lack of funding, and a continued decline in Venture Capital funding along with a downturn in the economy; I believe had the economic situa tion been different at the time when they needed venture capital funding, the would've faced less challenges. The management team and Board of Directors were selected carefully and all had the experience and the background needed for success In the product market space. Needed Technologies had a strong business plan, and had conducted extensive research in initial planning stages.I believe based on the reading materials in this chapter; they did all the right things in the planning and early development stages. Although Needed Technologies had to contend with big name competitors and major players in the diagnostic and imaging market such as GE Medical and Philips, also located in the Ohio region; their strategy to be headquartered in Ohio was a sound decision. However, they should've investigated further in the opportunity to obtain venture capital funding outside of the Ohio region.Perhaps they could've spent more time studying competitive business cases of companies Like competit or, Heartaches, who specializes In the BEST test. The Heartaches product, although more costly, had seen success and was widely accepted in the Medical field. Despite the added cost of the Heartaches BEST test, they were seeing success in the market. One strategy change I would've considered early on was not applying all resources of their technology into one area.Needed Technologies should've considered applying their initial product development to the technology of screening for drugs, drug delivery applications or detecting cancer. These areas would've possibly allowed for a quick to market product, without the additional approvals, quality standards applied in the medical equipment space, and FDA approvals needed. Bringing a simpler product to market first could've brought in revenue to fund the long-term reduce focus off CAD screen system.The profits from a drug screening or drug delivery product could've assisted in funding their long-term product focus, they missed an opportu nity to develop a quick revenue steam. Defense space, for detection of nuclear weapons, or dirty bombs. With the shift later in Venture Capital funding opportunities, they could've experienced success in this area as well. Bottom-line, they put all their eggs in one basket; they failed to have a backup product to develop a quick revenue stream to further fund their long-term goal.However, without a crystal ball that was a difficult decision. There were clear signs of shifts in investment opportunities, the shift indicted investments being shifted towards Homeland Security, military applications, and protection from various biological and chemical threats. Needed Technologies should shift some of their resources to developing a product to fit into that area, thus allowing them the opportunity to obtain additional venture capital funding, and perhaps developing a profitable product in the Homeland Security space.The revenue stream from this reduce would allow them later to proceed wit h their CAD screen system. There was another area of investment that should've been further investigated, â€Å"Angel Investors†, most of who are Entrepreneurs themselves currently, or at some point in their career. Inviting one of the Angel investors a seat on the board, as well as leveraging the experience they have gained from starting their own company, dealing with the challenges of starting a business, and investigating further Venture capital funding areas.Needed Technologies should've reached out farther than Just the Ohio-based Venture Capital firms, this would've allowed them a broader audience of investors and opportunity. I don't believe holding off for perfection is necessarily wrong, especially when dealing with, and factoring in the value of human life. The Needed Technologies board of directors and upper level management all appeared to encompass strong ethics and while that might be a weakness to others, ethics are important and should never be compromised. T oo many companies take the short cut to success and people get hurt.