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Showing posts from January, 2017

Executive Compensation (A Strategic Human Resource Management Topic)

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Executive compensation is how top executives of business corporations are paid. The purpose of compensation of an executive is for an individual who is in a management position at highest levels. This category includes presidents, vice presidents, managing directors and general managers. Managerial compensation cannot be compared to the wage and salary schemes meant for in other employees in organizations. Secrecy is maintained in respect of executive compensation. Executive pay is not supposed to be based individual performance rather on organizational performance. Executive Compensation is the compensation paid to executives of business corporations. Organizations competing with each other to attract, retain and motivate managers for their strategic requirement. The compensation program serves three main purposes. It must attract executives with the skills, experiences, and behavioral profile necessary to succeed in the position. It must be sufficient to retain these individ...

Consumer Learning (A Consumer Behavior Topic)

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Executive Summary Learning is a behavioral modification that occurs through experience or conditioning. Researchers have carried out studies to understand consumer learning. According to the behavioral learning theory, learning occurs from exposure to external stimuli such as advertising and according to the cognitive learning theory, consumer learning takes place by a process of internal knowledge transfer. Motivation, cues, response, and reinforcement are the basic elements of learning. Conditioning can be defined as "a learning process in which an organism's behavior becomes dependent on the occurrence of a stimulus in its environment. The most important aspects of classical conditioning are repetition, stimulus generalization, and stimulus discrimination. Instrumental conditioning, like classical conditioning, also has an association between stimulus and response but in instrumental conditioning, the stimulus that provides the most rewarding response will be learned. A...

Different Meetings of Companies (A Business Labor Laws Topic)

Meeting of the companies are of three kinds: Meetings of Members Meetings of Directors Meetings of Creditors Meetings of members are general meetings as they are attended by all the members. The management of the company is undertaken through meetings of the company’s shareholders where major decisions are to be taken. The meetings are usually called by directors, but may also be called by the shareholders. In case of default the Commission may call a meeting, either of its own accord or on the application of members. There are three types of meetings of members: the Statutory Meeting, the Annual General Meeting, And Extra Ordinary General Meeting. A Board of Directors generally must conduct a Board meeting to make company decisions,frame the general policy of the company, direct its affairs, appoints the company officers, ensures that they carry out their duties and recommend to the share holders regarding distribution of dividend. The Meeting where a bankruptcy trustee...

Types of Money Market Instruments

A segment of the financial market in which financial instruments with high liquidity and very short maturities are traded. The money market is used by participants as a means for borrowing and lending in the short term, from several days to just under a year. Money market securities consist of negotiable certificates of deposit (CDs), bankers acceptances, U.S. Treasury bills, commercial paper, municipal notes, federal funds and repurchase agreements (repos). The money market is used by a wide array of participants, from a company raising money by selling commercial paper into the market to an investor purchasing CDs as a safe place to park money in the short term. The money market is typically seen as a safe place to put money due the highly liquid nature of the securities and short maturities, but there are risks in the market that any investor needs to be aware of including the risk of default on securities such as commercial paper. The money market is different from the capital ma...

Foreign Direct Investment (FDI) - (A Credit Management Topic)

Foreign direct investment (FDI) refers to long term participation by a country A into country B (in this case Pakistan). It usually involves participation in management, joint-venture, transfer of technology and expertise. There are two types of FDI: inward foreign direct investment and outward foreign direct investment, resulting in a net FDI inflow (positive or negative). Foreign direct investment (FDI) is a measure of foreign ownership of productive assets, such as factories, mines and land. Increasing foreign investment can be used as one measure of growing economic globalization. Broadly, foreign direct investment includes "mergers and acquisitions, building new facilities, reinvesting profits earned from overseas operations and intro company loans". In a narrow sense, foreign direct investment refers just too building new facilities. The numerical FDI figures based on varied definitions are not easily comparable. As a part of the national accounts of a country, and ...