Problem Based Exercise †Law an Example of the Topic Government and Law Essays by

Problem Based Exercise – Law Question One Arthur had a right not to pay for Victor's expenses amounting to $1000 as agreed since he did not honor his agreement of buying any Pro Hart landscape style painting at the auction sale. There was a contract between Arthur and Victor that stated that Arthur was to pay Victor's expenses and a fee of $1000 if Victor succeeded in acquiring a Pro Hart Landscape Style painting. A contract is an agreement between two or more persons which is intended to create legally binding obligations. The word binding is used for there are some contracts which are valid and yet they are not enforceable. For this case, according to the contract, Arthur was to pay Victor's expense of attending an auction sale and a fee of $1000 if he bought any Pro Hart landscape style painting. Need essay sample on "Problem Based Exercise Law" topic? We will write a custom essay sample specifically for you Proceed Arthur was not entitled to pay Victor the agreed some of money since he did not buy any Pro Hart landscape style painting as agreed as he instead bought one of Pro's Hart's child. Victor breached the contract. A contract may be breached by discharge or failure of one of the parties to a contract to perform his obligation under the contract. Although every breach of contract provides remedies to the innocent party, this does not necessarily discharge the contract. Thus, if a party breaks a term of contract going to its root, known as a condition, the other party will be released from his obligations under the contract, known as warranty; the innocent party will therefore not be released from performance and can only claim damages. But for this case, Arthur will only be released from his obligation under the contract. On the issue that Victor bought the painting believing to have been one of Pro Hart painting is under misrepresentation. The circumstance under which a contract, which is apparently complete and valid is vitiated are: mistake; misrepresentation; duress and undue influence. The presence of one of these factors in a contract renders the contract void or voidable. For example, a contract entered into due to a mistake of fact is void, while a contract effected by misrepresentation, duress or undue influence is voidable whereby it is set aside by one of the parties subject to certain conditions. The preliminary negotiations before a formal offer is made include statements of two kinds: those which become part of the contract, and are known as the terms of the contract and those which do not become terms of the contract, but nevertheless play an important role in including the parties entering into a contract. Such terms are known as mere representation if the representation is untrue. Misrepresentation does not render the contract void, but the party misled will be able to avoid the contract by proving that misrepresentation was of fundamental fact, not of law. A representation of law is not actionable merely because it turns out to be misleading or wrong. Where A tells B that a contract of guarantee, which subsequently proves unenforceable, B cannot sue A for fraudulent misrepresentation, as misrepresentation of law is not actionable. Misrepresentation occurs when a party to a contract is induced to contract with another by a misleading statement made by the second party. The false representation is not restricted to words, and may be made by the conduct of the parties. Misled person relies on his own judgment if the person on whom the fraud was practiced was not in actual fact deceived and acted on his own judgment, he has no legal ground to plead that he relied on the misrepresentation, even though he had been negligent. He can still get the contract set aside and claim damages. A relevant case studied is that of With vs. O'Flanagan of 1936. "In this case, With was induced to buy F's medical practice on the representation that it was worth 2000 a year. The representation was made in January, but the contract was completed in May. In the meantime, due to F's illness, his income from the practice was not more than 5 a week. It was held that the contract could have been avoided owing to F's failure to disclose the substantial reduction in his practice." As for the Arthur, he should give back the painting to the auctioneers since they misrepresented the painting to be that of Pro Harts and it actually turned out to be of his children. Question Two In the case between Carlill vs. Carbolic Smoke Ball Co. of 1893, the company had advertised for a reward of 100 to anyone who was to contract influenza after using their smoke ball for a fortnight. Mrs. Carlill won the case since she bought the smoke and used them as prescribed and still contracted influenza. In this case, Carbolic Smoke Ball Company may argue that the advertisement was merely an advertising puff but not an offer. This was merely a way of advertising for their products and wanted just to induce people to buy their product by showing them that they were willing to pay that much in anyone contracted influenza after using their product. The reward in question was a very high amount and it was unreasonable for one to believe that he would be given such amount as advertised. Question Three On the case where Hedley sold his accountancy consultancy firm, there was a contract that was entered between Hedley and Dither. For this case, both parties were to honor their promise as per the contract failure to which the defaulting party can be sued for breach of contract. A contract which was intended to creating a legally binding obligation ought to be binding, failure to which, the contract will be enforceable by a court of law. When Hedley entered into an agreement with Dither during the sale of his business, there was an intention of creating a legal relation between them. For this case, they agreed that Hedley should not practice his accounting consultancy within a radius of 300 kilometers from Clare for a period of 4 years. Hedley breached this contract since he open a similar business in Gawler, approximately 70 kilometers from Clare. For this case, he ought to have open a similar office within that radius after 4 years had expired after the sale if his business. Dither should sue him for breach of contract and he will be entitled for remedies for breach of contract. In such circumstance the court will rule on an injunction since Hedley should not start a business with a radius of 300 kilometers from Clare since he was to interfere with the business he had sold to Dither. A relevant case on injunction was that of Warner Brothers vs. Nelson of 1937. "In this case N, a film actress was contracted to work for the plaintiff for one year, agreeing not to work for anyone else during that period. She made a breach of contract and worked for a rival company. The court refused to force N to work for the plaintiff, but an injunction was granted to prevent her from working with someone else." The court will not, however enforce contract by injunction if damages are a more suitable remedy since it can always award damages in lieu of an injunction. The best remedy available to Dither is an injunction so as to restrain Hedley from putting up a similar business with a radius of 300 kilometers as per the contract. References Bohnet, I., S. Huck and B. S. Frey (1999). More Order With Less Law: On Contract Enforcement and Crowding. Mimeo. Kennedy School of Law. Harvard University. Emanuel, S. L. (2004): Fundamental of Business Law, 4th Edn, New York, Educational Publisher Emerson R. W (2003): Business Law, 5th Edn, New York, Educational Publisher Jertz, A., Miller L. R, (2004): Fundamentals of Business Law, 3rd Edn, New York, Macmillan Publisher Kronman, A.T (1985); Contract Law and the State of Nature, Journal of Law, Economics, & Organization, Vol. 1, No. 1 (spring, 1985), pp. 5-32 McKendrick, E. (2005): Contract Law: Text, Cases and Materials, Oxford: University Press Saleemi, N. A, (1992), Elements of Law, 2nd Edn, Nairobi, N.A, Saleemi Publishers Penrose, R (2005): Road to Reality: A Complete Guide to the Laws of the Universe, New York, Longman Publisher

Housing Problems and Options for Improvement essays

Housing Problems and Options for Improvement essays Everyone needs a house. Rich people poor people; all people are included. This is a problem, because housing costs a great deal of money. Poor people that can barely afford food and clothing also have a difficult time finding affordable housing. As a result, some live in unsafe and unsanitary conditions that are badly in need of repair. As we read in several Los Angeles Times articles, there are many people here in the Valley that live in places like these, and that live way below the poverty line. Many of these unkempt dwellings reside in the inner city of large urban areas, such as Los Angeles, Philadelphia or Chicago. According to our textbook, Urban Economics, (page 338) Poverty rates in the central city are about two times higher then the poverty rates for suburban areas. In some metropolitan areas, the differences in poverty rates are even higher. Poor people reside in the central city for two different reasons, according to discussions on various economic models from lecture. First, the farther away that you get from the central business district, the higher your transportation costs to get to your job (assuming that the job is located in the CBD). If you can not afford to commute to your work, you will be unable to keep your job, making you worse off economically. Therefore, you would chose to locate your residence close to your place of employment (closer to the CBD) in order to reduce your transportation costs. IF you live close enough to your place of employment, you may not need to use any form of transportation other then your feet, which doesnt cost you anything but your time. The second reason has to do with where new houses are built. New homes are built on land that was previously undeveloped, usually located on the outer edge of the residential district, furthest away from the central business district. The wealthiest people move into these new homes, leaving the upper middle class to move ...

Karl Marx Essay Example | Topics and Well Written Essays - 500 words

Karl Marx - Essay Example In the capitalist economy, Marx maintained that the worker was isolated from their labor, the product of their labor, and the conditions of their labor; that this isolation made it impossible for the worker to utilize their natural productive capacity. Marx particularly questions features of the capitalist economy such as the class system and currency. He maintains that history is the product of an ongoing struggle between masters and slaves; carried on between the bourgeois and the workers during the lifetime of Marx. Similarly, Marx identifies money as a force destructive to the worker's innate capacity. Both money and class hinder the ability of the worker to realize their full potential. According to Marx, the class struggle was destructive to production because one class always exploited the other and opposed their interests. In many respects, Marx considered that the struggle between classes created the alienation of the worker from his work. By being subjected to the rule of a master class, the worker is alienated from his work because he does not benefit directly from it. The worker is isolated from the product of his labor by the sense that his work is for someone else's benefit. Marx considered money to have a similar effect, if a more dramatic.

Compare and contrast the impact of late-19th and early-20th century Essay

Compare and contrast the impact of late-19th and early-20th century industrialization with that of late-20th and early-21st cent - Essay Example Division of labour is a key element in industrialization as it is essential to economic growth. On the other hand, globalization refers to the international integration resulting from interchange of world opinions, ideas, products, and general aspects of culture and religion1. Specifically, developments in telecommunication and infrastructure, use of the internet are the core drivers of globalization. This paper will focus on both positive and negative effects of industrialization as well as globalization. It will seek to establish the level of similar effects at the two different phases. By 1750 industrialization introduced mass production as several products could be manufactured as a go. This is because machinery replaced human labour and machinery could not get tired as human nature2. Therefore, machines could work longer hours as well as executing work that were initially done by several workers. Within 20th century, the emergency of globalization, production was made mare effec tive and faster processes as high advanced machines could be automated and function without human interference. Globalization enables production of as particular product in a different location with same qualities. This is because processes are duplicable and franchises are common. Both industrialization and globalization provided education and civilization to people. Before 1750, people were illiterate and primitive as they did not know the importance of education, schools were a rear commodity, and there were no resource centers to educate people on the importance of knowledge. With the rise of industrialization, people were getting aware of education, schools were set up, and children sent to school. Though learning institutions were available, children preferred going to work at the farms than going to school. During 20th and 21 centuruy, schools were available to every individual willing to advance knowledge; schools introduced exchange programs as international students would go on exchange academic programs within different country or even continent3. In addition, people are willing to learn as it is general knowledge that only the well-educated people scoop top jobs. Concisely, people associate education with a successful career contrary to industrialization. Both industrialization and globalization have a negative impact on the environment. They emit pollutants to water, air, soil, and atmosphere in general. Industrialization exposed people to a lot of noise from machineries, as most of the machines were crude and produced a lot of noise. This resulted to either permanent or partial hearing impairment to workers. By 1800, Mining was a substantial business whereby miners left open trenches after the mining process. This was dangerous to children and even adults as could cause accidents and deaths. Chemicals used in farms polluted soil and were mainly disposed to rivers. This act endangered the life of fish and other aquatic animals as well as human bei ng because water treatment was rare and rivers were the only source of water. The machinery used during industrialization was crude and could produce a lot of smoke hence polluting the air as coal was the main source of energy. On the other hand, globalization had same pollution challenges although less damaging than during industrialization because machineries were more developed hence could emit small smoke, water treatment

Press release assignment Essay Example | Topics and Well Written Essays - 750 words

Press release assignment - Essay Example That is a key element in a successful press release. Another key element is to talk up why both companies are good for one another, how do the two companies complement each other? You need to indicate the similarities they have but also how is each the missing piece of the puzzle for the other. The final element is to tell shareholders how this will effect their bottomline. The reason people invest money in companies is because they want a return on their profit. Shareholders want to know how much money will they make from this? If all of this can be done, the deal will probably be approved. It is important to remember that how the deal is reflected in the press can have a direct influence on the price of the companies shares. Most investors get much of their information from reading business journals and newspapers. They care what reporters and analysts think. The key message from such press releases is to be very positive. Examples: Dow Jones- New Corp. http://www.scribd.com/doc/219699/Official-Dow-JonesNews-Corp-Merger-Press-Release HP – Compaq http://www.hp.com/hpinfo/newsroom/press/2001/010904a.html Avaya – Silver Lake http://www.avaya.com/gcm/master-usa/en-us/corporate/pressroom/pressreleases/2007/pr-070604a.htm Intel – McAfee http://newsroom.intel.com/community/intel_newsroom/blog/2010/08/19/intel-to-acquire-mcafee Question 2 Write the press release. 350 words. Press Release For immediate Release: 12th January 2011 BHP Billiton to acquire Anadarko Petroleum for $10 billion. BHP Billiton and Anadarko Petroleum today announced that they have entered into a clear and unambigious agreement under which BHP Billiton will purchase Anadarko Petroleum shares at a price of $55.90 per share of Anadarko Petroleum common stock in cash. The transaction has been approved by both BHP and Anadarko Petroleum boards of directors. It will be a boon to investors. The combination of BHP’s global scale and financial strength with Anadarko Petroleum excellent management and oil fields will certainly enh ance BHP’s ability to participate more aggressively in the oil and gas markets. Anadarko Petroleum's natural gas fields are particularly appealing as this is a fast growing sector of the energy market. This is truly a great deal. Anadarko Petroleum is one of the finest companies out there. â€Å"Anadarko Petroleum's innovative gas-capturing technology is ideal to expand BHP’s profit in this sector,† said Joe Davids, CEO of BHP Billiton. â€Å"This is going to be an excellent deal for everyone involved. Throughout the negotiations we have had the best interests of shareholders in mind.† The merger will happen soon, he said, and much of Anadarko's staff will join BHP. The new head office will be BHP's current office. The new company will be called BHP Billiton. Most of Anadarko's management will be kept on. The new company will work quickly to develop new plans and seize on new opportunities. â€Å"BHP is a world leader in so many sectors,† said J.D. McDade, CEO of Anadarko Petroleum. â€Å"It is a true pleasure to join them on this remarkable adventure. We are happy to join the BHP family. The best is yet to come.† Under the terms of the acquisition, Anadarko Petroleum stockholders will receive $55.90 in cash for each share of Anadarko Petroleum common stock that they hold at the closing of the deal. The acquisition is subject to customary closing conditions, including and not limited to the receipt of domestic and foreign regulatory approvals and the approval of Anadarko Petroleum's stockholders. There are a number of pro forma regulatory conditions which must be met. Due diligence must be completed. The transaction is expected to close during BHP’

Merger between Vodfone and Mannesmann

Merger between Vodfone and Mannesmann INTRODUCTION The case on merger between two competing firms- British telecommunication firm, Vodafone Airtouch and German cellular provider, Mannesmann AG- shall be my highlight of this report. In short, this case illustrates a hostile takeover by Vodafone. Vodafone initiates the merger as it sees it as an opportunity for the firm to expand in a rapidly changing communications technology environment in Europe at that point in time. Initially, Mannesmann rejected the proposal. However, in a twist of event, it was eventually left without a choice but to merger with Vodafone. Third parties were enraged as they view this move as anticompetitive. They argued that the merging entity would gain dominant market power, raise barriers to entry and reap economies to scale which they could only dream of. The case was brought forth to the European Commission which only allow for the merger to succeed after Mannesmann de-merge with Orange and also after Vodafone ensured that it will enable third party non-disc riminatory access to the merged entitys integrated network so as to provide advanced mobile services to their respective customers. The Commission viewed these undertakings as sufficient to remove the competition concerns linked to the inability of third parties to provide competitive seamless pan-European mobile services. In this report, Ill analyze the economic benefits, how merger impacts upon consumers and/or producers benefit, as well as, the total welfare. Ill also touch on how merger has the potential to reduce competition and finally, the reasoning of the competition authoritys decision that leads to the success of the merger. ECONOMIC ANALYSIS The merger between Vodafone is Mannesmann is considered to be a horizontal one since both companies operates within telecommunication industry. The merger of the two entities reduces the number of competing firms by one and at the same time, increases the industrial concentration. In theory, a reduction in number of firms competing reduces supply whilst increasing prices of the good which is deemed to be harmful to consumers. The concept of improving/diminishing consumer surplus is further discussed later in the report. It is not always true that fewer firms and higher prices necessarily translate into higher profits for the merging firms. For instance, profitability of each firm is  ¼ in a four-firm industry. So, profits of two individual firms simply add up to  ½. Now, three firms remain after the merger of two. We observe a decline in profitability from  ½ to 1/3 for the merged firms. And although higher industrial concentration improves sales, this increase in sales is not enough to offset the rise in prices charged. Profitability still declines making the merging firms worse off. Thus, charging at price equals to marginal cost provides no incentive to merge unless all firms in the industry merge to form a monopoly. Having mentioned the above, merger doesnt only take place only when all firms merge. In reality, cases such as Vodafone/Mannesmann showed that mergers can lead to cost reduction. The efficiency that arises could be strong enough to drive this merger. Firms will want to produce at the minimum point of the AC curve where theyll be producing efficiently. They avoid duplication of fixed costs when they consolidate management and not employing two people to perform an identical task. By doing so, the firms are able to lower their cost of labour. In addition, both firms are only required to pay a fixed cost such as land and operating facilities, only once after the merger. Effectively, a cost saving of the fixed cost will increase profits, providing an incentive to merge especially when they increase their prices. Hence, the firms may do away with redundant labour, assets and facilities. As we know, a merger would lead to a rise in price as lesser firms are left competing in the industry. Firms are better off with a higher price imposed on consumers and when they gain from higher producer surplus. The opposite applies for consumers who are worse off when prices increase. When the increase in producer surplus outweighs the decrease in consumer surplus, total welfare is said to have increase. However, when the merger reduces marginal cost for Vodafone and Mannesmann, the merged firms may pass on such lower cost to their consumers in the form of lower prices. Lower prices are generally beneficial to consumers. As consumer surplus rise, there will be a subsequent increase in total welfare. Moreover, there might again be cost efficiencies which explain why merged firms can incur a lower marginal cost than the two pre-merger firms. Synergies can be easily exploited between the merging firms. Each firm knows what the other firm is capable of doing and thus, they only produce goods and services that give them the competitive advantage. Overall, a fall in marginal cost would mean cost saving that facilitates profitability. This profitability, in turn, promotes merger. Price, P P2 P1 = C1 C2 Demand, D 0 Q2 Q1 Quantity, Q Figure 1: Diagram illustrating welfare effects of a cost reducing merger (Adapted from lecture slides) From Figure 1, there is no producer surplus when price equals to cost (P1 = C1). Firms are only earning profits while producing at Q1. At this stage, consumer surplus resides in the area under the demand curve and above the C1 horizontal cost curve. After the merger between Vodafone and Mannesmann, lesser firms are left competing and therefore, price increases from P1 to P2. Consumers are gradually worse off with the rise in price. Now, their surplus is reduced to the area under the demand curve and above P2. The area enclosed within P2, P1 and Q2 is the surplus that is transferred from consumer to producer. On the other hand, the triangular areas under the demand curve, but bounded within Q1, Q2 and P1 signifies the deadweight loss. This deadweight loss refers to the surplus that is no longer gained by consumers and producers. Concurrently, there could be synergies between the merging firms that enable cost saving. This cost efficiency lowers cost from C1 to C2. Firms are better off. As shown in Figure 1, the area enclosed within P2, C2 and Q2 represents total producer surplus after the merger. The area within C1, C2 and Q2 is the surplus gained by producers from synergy that render better opportunities to grow margins. Looking at the above, we see that it is beneficial for firms to merge as they incur producer surplus. Total surplus improves as a result of a rise in producer surplus. Moving on, we shall consider competition with regards to the merger between Vodafone and Mannesmann. Assuming that theres no cost saving, a rise in price due to merger will ultimately erode consumer surplus substantially, to a point where losses to consumer outweigh gains to producers. From the producers point of view, this may provide an incentive for them to seek excuses to merge. They may falsify information to convince competition authorities to approve merger. Taking the impact of merger into account, competition authorities have to critically decide on whether to approve a merger especially those which involve large firms like Vodafone and Mannesmann. Such decision process will require them to get hold of accurate information which is not always easy to obtain. One main concerned of competition authorities is the size of the merged firm. Markets dominated by large firms tend to further inflate prices and force down consumers welfare. With reference to the case at hand, competition authorities were initially reluctant to grant merger to both firms. They were concerned that merger between the two large firms will turn out disastrous as they are already producing beyond Q* due to their sheer size. Approving their merger would only mean that these firms operate beyond the MES. Firms that merge at this stage face diseconomies of scale when cost is driven up as they continue to increase output along the AC curve. Cost, C Average Cost, AC MES 0 Q* Quantity, Q Figure 2: Diagram illustrating Minimum Efficient Scale (MES) on the AC curve. Rival firms strongly disapprove Vodafones proposal to merge with Mannesmann as they view the move as being anti-competitive. They argued that the merged entity will be able to provide exclusive services on a seamless basis because the merged entity has the integrated network that such services require. In the proposal, however, Vodafone claimed that if an interconnected network did develop it would not give rise to competition concerns, both because there will be scope for such networks to develop, and because there will be other routes for operators to ensure fair competition within the telecommunication industry. In any event, Vodafone considers that other operators will be in a position to provide seamless services on the same scope in the near future. COMPETITION AUTHORITIES DECISIONS The Commissions investigation has shown that with the complexities involved in agreeing on the modification on the existing network configuration, centralised management solutions and cost and profit allocation will make it exceedingly difficult for third parties to replicate. In addition to the uncertainty as to the replication of the merged entitys network by means of the right combination of mergers, this process would be extremely costly, time consuming and fraught with regulatory delays given the need for regulatory approval. This is supported by the significant number of failures over the past years in building similar solutions in related markets within the framework of joint ventures or strategic alliances. The merged entity would be the only mobile operator able to capture future growth through new customers who would be attracted by the seamless services offered by Vodafone/Mannesmann on its own network. Rival firms which could not offer a comparable service to attract enough market shares will find themselves losing out in the competition. Furthermore, given their inability to replicate the new entitys network, competitors will have, at best, i.e. if they are allowed access to Vodafones network at all, significant costs and performance/quality disadvantages given its dependency on Vodafone/Mannesmann. The merged entitys power to refuse third parties access to the its network or to allow access on terms and conditions entrench the merged entity into a dominant position and diminishes third party offerings. Whats more, customers would generally prefer Vodafone/Mannesmann to other mobile operators given its unrivalled possibility to provide advanced seamless services across Europe. This reinforces the merged entitys position in the industry as a dominant player. And through its unrivalled large customer base and position, Vodafone/Mannesmann will be in a unique bargaining power against handset manufacturers to negotiate design functionalities unavailable to competing operators. Customizing handsets make it more difficult for roamers from competing mobile operators to take advantage of the advanced pan-European services available over Vodafones network. Again, competitors lose out if the merger were to be approved. Upon investigation the Authorities revealed that the merged entity would face stiff competition from other operators and will not enjoy a dominant purchasing power in the long run. They agreed that the merged entity will be a strong buyer in the market for mobile handsets and network equipment, but there remain many other comparable incumbents competing in the market. So, the merged entity would not achieve the necessary buying power to become dominant on the market. In the light of the above the authorities concluded, à ¢Ã¢â€š ¬Ã‚ ¦ the notified transaction does not lead to the creation or strengthening of a dominant position in the global markets for mobile handset and mobile network equipment as a result of which effective competition would be significant impeded in those markets. Meaning to say, the authorities do not view the merger as a significant threat since its powers would have been neutralized by other relevant competitors within the industry. Further precautions were taken in ensuring fair competition within the industry as seen in the demerger of Orange with Mannesmann. This move aims at diluting the powers of Vodafone and Mannesmann after the approval of their merger. It is a well-received decision as it removes the competitive overlaps in the United Kingdom and Belgian markets of telecommunication services. Besides Vodafone has, on its own account, pledged to enable third party non-discriminatory access to the merger entitys integrated network that includes undertakings which cover exclusive roaming agreements, third parties access to roaming arrangements, third parties access to wholesale arrangements, standards and SIM-cards and a set of implementing measures aimed at ensuring their effectiveness. On top of that, it has proposed to set up a fast track dispute resolution procedure in order to solve disagreements in the mentioned aspects and also to reduce its anticompetitive stance. The undertakings as well as demerger is thought to be justifiable since it eliminates the competition concerns linked to the inability of third parties to provide similar competitive seamless pan-European mobile services. CONCLUSION In conclusion, Vodafones proposal to merge with Mannesmann is seen as an anticompetitive threat to other telecommunication service provider. Rival firms were concerned that the merger would bestow substantial market power to the merged entity. Thus, they were strongly against the merger proposal. However, after much consideration by the competition authorities, they concluded that the merger would not inflict much threat due to the presence of a number of strong, large and powerful buyers in the market which prevent Vodafone/Mannesmann from achieving dominant position on the provision of the related services. Moreover, the demerger of Orange with Mannesmann will erode market power of the merged entity. Furthermore, Vodafone submit undertakings that allow third parties access to its networks. Following the implementation of these undertakings, third parties will be in a position to offer competing advanced pan-European mobile services which also prevent the emergence of a dominant pos ition on the provision of these services. The possibility to offer similar services in competition with Vodafone will, in turn, also develop incentives for third parties to develop competing networks. Therefore, the authorities approved of the merger between Vodafone and Mannesmann. To some extent, I disagree that the merger should be approved. The authorities argument that the presence of comparable incumbents will be sufficient in reducing market power of the merged entity comes across as weak to me. Only few of such incumbents operate within the telecommunication industry. Thus, its influence on the merged entitys market power is almost negligible. Vodafone/Mannesmann could still operate like a monopoly by setting high prices and reducing output while erecting barrier to entry to deter competition. Consumer welfare would be greatly harmed as a result of the merger. On the other hand, I support the merger as it encourages innovations. In todays competitive society, only the strongest emerge as champions. Therefore, rival firms may invest in Research and Development (RD) in creating an innovative communicative technology or network system that gives it a competitive edge over Vodafone/Mannesmann existing resources. This encourages a forward-looking competitive that benefits society as a whole. Producers gain as it may develop ideas to increase efficiency while consumers may gain from perhaps cheaper pricing that is passed on to them from lower production cost incurred by producers. APPENDICES European Competition Commission, http://ec.europa.eu/competition/mergers/cases/decisions/m1795_en.pdf, assessed on 11 November 2010 Kendall (2010), Markets, Competition and Regulation Lecture Notes Session 8: Mergers; and Session 9: Competition Policy Merger Control and Remedies Policy in the E.U and U.S: the case of Telecommunications Mergers, http://www.cerna.ensmp.fr/Documents/GLB-TelecomMergerRemedies.pdf, assessed on 12 November 2010 United Kingdom Competition Commission, http://www.competition-commission.org.uk/rep_pub/reports/2003/475mobilephones.htm#full, accessed on 15 November 2010 Europa Press Release Rapid Commission clears merger between Vodafone Airtouch and Mannesmann AG with conditions, http://europa.eu/rapid/pressReleasesAction.do?reference=IP/00/373 http://news.bbc.co.uk/2/hi/business/630166.stm, assessed on 16 November 2010

Human Resources Testing of Candidates Essay -- HR Human Resources

Introduction Among some of the most critical decision that human resource has to make is the biggest decision to hire the right person for the job. After the initial application and interviewing has been done, HR has a potential candidate; they must conduct an application screening. I will discuss HR process of testing application on their ability to perform the job and credit reports use to determine if the candidate is a good or bad candidate to hire. Testing The question is what test does HR use? There are so many test programs available that are design to test a variety of assessments, testing employees have become over whelming for HR. There is no one test that can determine if HR has chosen the right candidate. If a candidate cogent to pass the test, it will not show what kind of work habits, reliability, trustworthiness, honesty, leadership, ardent or level of stress that a candidate can tolerate. The selection of test has to fit the job description that a candidate is applying for. For example: if a candidate is applying for administrative job ; there selection would be a typing test or aptitude test, stress test, construction worker would take a test on math , financing person would take a test math, behavioral Test result defines candidate skills to see if they can do the job. The more in depth organizations dig into candidate ability to undercover the skill the more it will cost the organization. Because there are so many te st available HR has to take into an account that multi testing candidates’ will cost an organizations millions of dollars. The least cost effective ways to test potential candidates’, using paper and pencil, highly technology software testing cost millions of dollars especially if an... ...said, "because they need the job." Conclusion HR is responsible for making sure that potential candidates go through an application screening, testing and credit check before they are hired. It is important to make sure that the right candidates are hired by using the most cost effective testing tools to determine application, interview and references to determine if their are the right candidate. Works Cited Osborne, J E. (1996, December). Improving hiring decisions: Employee testing of candidates. Getting Results ... for the Hands - On Manager, 41(12), 6-7. Retrieved November 29, 2010, from ABI/INFORM Global. (Document ID: 10508917). Thomas Frank. (2009, February 13). Job credit checks called unfair :Needy hurt most; 5 states eye limits. USA TODAY,p. A.1. Retrieved November 29, 2010, from ProQuest Newsstand. (Document ID: 1645005741).