Venture screening process Essays

Venture screening process Essays Venture screening process Essay Venture screening process Essay The new venture is an enterprise of a business nature in which there is considerable risk of loss as well as chance of gain (Oxford English Dictionary, 1989, Vol. XIX, p. 520). The word venture literally means a risky undertaking, which makes venture capitalists risk-takers. However, like all other types of investors, venture capitalists will only invest if perceived returns are greater than perceived risk. The saying, greater the risk, greater the return holds for venture capital financing provided it is not a speculative deal. Therefore, it is necessary to identify and quantify the probability of risk. The study by MacMillan, Siegel, and Narasimha have been undertaken to determine which criteria are important for evaluate new venture proposals. Some criteria have been point out by the Journal as the common criteria. This article is going to have a review on those criteria provide by MacMillan, Siegel, and Narasimaha and have a critical analysis whether those criteria provided could make the venture proposals successful. Summaries of the journal According to the study, the most important criteria is the quality of the entrepreneur that ultimately determines the funding decision. In the first part of the study, 24 criteria were scaled under 5 catalogs and use a survey method to examine the importance of them. The results of the study have found out that personality and experience, product and market characteristics and financial consideration are the most important criteria for venture capitalists to qualify the proposals. For personality and experience, the most important personality characteristics are evidence of staying power and an ability to handle risk. For product and market characteristics, the most important characteristic appears to be some proprietary protection. Finally for the financial considerations, the key concerns are with high upside potential and high investment liquidity. Then the study has identified 5 out of 10 most commonly rated criteria as essential have to do with the entrepreneurs themselves. By and large venture capitalists will not back ventures unless the entrepreneur is capable of sustained effort, has demonstrated leadership in the past, evaluates and reacts to risk well, has a track record relevant to the venture, and is capable of articulating the venture well. The study has also point out the characteristics of critically flawed proposals is a is important for venture capitalists to qualify the projects. That is , proposals that would be rejected by a significant majority of venture capitalists if they had only two flaws of the previous mentioned five most important criteria. Finally, with a factor analysis, the study allocates the venture capitalists into 3 broad types the Purposeful Risk Managers, the Determined Eclectics and the Parachutists. The Purposeful Risk Managers seeks the entrepreneurs with demonstrated leadership skills and a product and market with characteristics that clearly reduce the risk to manageable levels. The Determined Eclectics appear to deliberately impose an absolute minimum number of restrictions. And the Parachutists willing to support most ventures as long as they feel that they have a high liquidity parachute. The study by MacMillan, Siegel and Narasimha did provide us some common criteria for evaluating new proposals, but there are still some critics on those criteria listed by the author. Critiques of the journal According to the conclusion of the journal, the most important thing to consider for evaluation a new proposal is the quality of the entrepreneur. But in the real world venture capital practices there are some cases which quite match the criteria provide by MacMillan, Siegel and Narasimha and still failed. For example, according to the information provided by the study of MacMillan, Siegel and Subbanarasimha 1987, the investment on a highly familiar with the targeted market and had a well-established relevant track record team could just failed because the lack in capacity for sustained and intense effort. And also, according to the flawed ventures studies in this journal, it was said that if the proposals cannot match at least two of those indicator criteria the venture capitals would give up it. But there do are some example that represents a venture team lacking in terms of all the desirable criteria but only have high product protection and become successful. Finally, we should mention that Research by social judgment theorists suggests that espoused decision-making processes (that this present arguing study fallen in) may be a less than accurate reflection of in use decision-making processes (Shepherd, 1999, p.76). Conclusion The study that carried out by MacMillan, Siegel and Narasimha provide us some common criteria for evaluating new venture proposals. Those criteria are useful tools to indicate the successful of certain venture. Some of those criteria are key finds that still influence the venture capitalists in nowadays. But we should also notice there are numbers of criteria for judging a new proposal and some of those criteria have been marked as important criteria. But in real world practice proposals might be failed just because the lacking of the least important criteria even if they have all the other important criteria. And also, some venture cases may well successful with only one less important criteria (product protection) even they do not have any other desirable criteria mentioned by the study. As venture capital present a risk taking action, it is better to have a careful view on those criteria and chose the most appropriate one to reduce the risk to the lowest point. REFERENCES MacMillan, Zemann, Subbanarasimha, P. N 1987, Journal of Business Venturing Criteria distinguishing successful from unsuccessful ventures in the venture screening process Fred Pries 2001, Distinguishing successful from unsuccessful venture capital investments in technology-based new ventures: How investment decision criteria relate to deal performance, Waterloo, Ontario, Canada Brealey Myers, Principles of corporate finance, McGraw-Hill 2003

Supply chain project Research Paper Example | Topics and Well Written Essays - 1750 words

Supply chain project - Research Paper Example The organization has a strong tradition and heritage in the Emirate of Abu Dhabi. In terms of customer preference the brand is known as the most popular brands. This Al Ain water company is owned by the AGTHIA group. This group of companies is one of the leading listed companies in the Abu Dhabi securities and stock market. The organization has various product lines, such as Al Ain bottled water. Under this segment the organization used to sell pure natural water, flavoured water and added fluoride and calcium water. Under the fruit drink segment the organization used to sell Capri Sun. this product is very much popular among the children. This Capri Sun is used to manufacture in several leading countries including USA. Moreover, the organization has launched Al Ain 5 Gallon water. Lastly, WOW Vitamin water is known as effective healthy drinks that have been introduced by the organization. The organization has strong international presence. They used to export their product in four l eading Middle East countries, such as, Bahrain, Oman, Kuwait and Qatar. Moreover, there Capri Sun is very much popular among the children in several international places. Several developed and developing countries including USA have the manufacturing facility of this specific product. In terms of logistic activities, Al Ain mineral water used to supply their bottled mineral water to several popular UAE based international airlines. Fly Emirates and Etihad are the leading clients of Al Ain water. The manufacturing and delivery process is quite adequate. Moreover, the organization always used to control the quality of products in order to gain customer loyalty. Inventory Al Ain mineral water organization has implemented advanced information communication technology in their inventory management. They have implemented PDA service in their warehouses in order to find and deliver the products in quick period of time. In terms of raw materials, they used to collect the water from the moun tains with full of calcium and mineral. Effective R&D team, skilled employees and integrated manufacturing and distribution process has helped the organization to finish the products. Moreover, the organization used to collect fresh fruit in order to add fresh and healthy extracted juice in the mineral water bottles. The life cycle of their stock is not more than 6 weeks (Shauter & Theillio, 2006). In the fifth week of the inventory cycle the organization used to place reorder in order to utilize the time of distribution. The organization has implemented manufacturing and merchandise inventory. For an example, in terms of Al Ain mineral water organization, raw materials, work in progress and finished goods come under merchandise inventory segment. The organization has classified its inventory basis on several aspects of business operation. The major aim of quadrant model is to focus on the vendor relations, prioritization and inventory. The organization has managed its critical prod ucts, Such as Capri Sin based on the criticality aspect. Then the organization has developed effective and strong relationship with its vendors and target customers basis on the product uniqueness and organizational value and mission. They have reduced unnecessary transportation cost and stockade level. The organization has implemented push forward strategy for the critical items. EOQ model is an effective inventory management Model. The following is the figure of the model. Moreover,

Theories of Policy Process Essay Example | Topics and Well Written Essays - 750 words

Theories of Policy Process - Essay Example The theory implies some policies can only change if certain restrains like stickiness and stakes of an institution are available. Policies are categorized into long-term policies and short-term policies. An example is if the country’s constitution states that a president should rule for two terms it is very difficult to implement a new policy, which suggests that the president must rule for one term, or three terms. Punctuated equilibrium theory seeks to explain simple observations like political processes. Political processes are continually associated with incrementalism and stability; they rarely produce large-scale departures from the past. Most policy areas experience stasis even though a crisis can occur. America is experiencing large-scale changes in policymaking and politics. Some Government programs can be altered in order to accommodate change. Strengths The theory includes periods of stasis or near equilibrium. In the event that an issue is seized by a subsystem and periods of disequilibrium, then a macro political agenda occurs. A macro political agenda can advance to the extent of causing changes in the policy process. Therefore, according to this theory small changes result in large changes. Weakness The theory is only applicable to situations facing stasis or equilibrium. In the event that there is no equilibrium variables and need for change, then the policy fails to exist. The Stage Heuristic Theory The theory states that the best way to study policymaking is to break it down to stages.

Bonds and Their Valuation Mini-Case Essay Example for Free

Bonds and Their Valuation Mini-Case Essay Sam Strother and Shawna Tibbs are vice-presidents of Mutual of Seattle Insurance Company and co-directors of the companys pension fund management division. A major new client, the Northwestern Municipal Alliance, has requested that Mutual of Seattle present an investment seminar to the mayors of the represented cities, and Strother and Tibbs, who will make the actual presentation, have asked you to help them by answering the following questions. Because the Boeing Company operates in one of the leagues cities, you are to work Boeing into the presentation. a.What are the key features of a bond? Answer: 1.Par or face value. We generally assume a $1,000 par value, but par can be anything, and often $5,000 or more is used. With registered bonds, which is what are issued today, if you bought $50,000 worth, that amount would appear on the certificate. 2.Coupon rate. The dollar coupon is the rent on the money borrowed, which is generally the par value of the bond. The coupon rate is the annual interest payment divided by the par value, and it is generally set at the value of r on the day the bond is issued. 3.Maturity. This is the number of years until the bond matures and the issuer must repay the loan (return the par value). 4.Issue date. This is the date the bonds were issued. 5.Default risk is inherent in all bonds except treasury bondswill the issuer have the cash to make the promised payments? Bonds are rated from AAA to D, and the lower the rating the riskier the bond, the higher its default risk premium, and, consequently, the higher its required rate of return.

Impact of Digital Marketing on Food Service Industry Essay -- Digital

Statement of the Problem In the contemporary world, every type of business is going digital. Manufacturers, retail stores, and restaurants, to name just a few, are realizing unimaginable profit margins due to incorporating modern technology in their marketing strategies. Entrance of digital media and real-time marketing into the scene has resulted in a significant improvement in the traditional ways of marketing and carrying out business. Dissemination of information and media has been highly revolutionized. However, there is limited research related to real-time marketing especially as it concerns the service industry. Digital media have proved to be very efficient in their degree of reliability and fast data transmission. This has led to a major boosts in the connectivity and communication of restaurant businesses with their customers. In restaurants, there exists a very close relationship between the attendants and the customer. With such attributive aspect, good customer-producer relations can be built comprehensively through digital media. This study will help justify the past research work and will also seek to unravel the mystery of the impact of technological marketing approaches on the discovery and progress of food and restaurant services enterprises. Background The internet is the biggest digital networking tool. The internet offers a number of platforms for digital marketing. Many electronic communication tools offer access to the internet. Personal computers, mobile phones, smart phones, tablets, and various other electronic products offer access to the internet. Over the internet, platforms such as websites, emails, applications (classic and mobile) and social networks are essential for marketing (Hutley,... ... of current research (Belch & Belch, 2001). References Ashcroft, L., and Hoey, C. (January 15, 2001). PR, marketing and the Internet: implications for information professionals. Library Management, 22, 68-74. Belch, G. E., & Belch, M. A. (2001). Advertising and promotion: An integrated marketing communications perspective. Boston, Mass: Irwin/McGraw-Hill. Hutley R. (2009). Social Networking as a Business Tool. Cisco Internet Business Solutions Joint Research Center Technical Reports (2008). Social Computing: Study on Use and Impact of Kotler, P., & Armstrong, G. (2005). Principles of marketing. Englewood Cliffs, N.J: Prentice Tamburrini, G. and Zhang, W (2014) Entrepreneurship in Time of Crisis: The Outsourcing of Services through Franchise Arrangements in the Italian Food Service Industry. Journal of Food service Business Research, 17(1), 28-47.

The Superstitious Life

Superstitions are Bored Superstitions are like a bad lie depends on you if you believe in it, superstitions depends on â€Å"good look† that is a different and more joyful word to say destiny, the begging of superstitions are more like the cause of the problems and the consequences aren’t â€Å"bad luck† the real consequences are â€Å"you brake it you pay it†. The consequences are the same in the superstitions and in the â€Å"real life† because if you pass under a ladder something can fall in your head and I think that could the â€Å"bad luck† for passing under a ladder.The â€Å"good luck† consequences, are also completely false because one time I hit my elbow, my mom told me don’t rub yourself and you will get good luck, I follow the advice of my mother and nothing happened, so is kind of fool to believe in superstitions. For many people the superstitions are like part of their life and let’s be intelligent you donâ €™t depend on your â€Å"luck†, life depends on your attitude. Also the â€Å"superstitions â€Å"are different around the world because in some place the action you make here means something and maybe in china means another.Traditions are also like â€Å"superstitions† because you decide the way things’ sense let’s say an example in some parts of the world if you burp at the table you don’t have education, but in India if you don’t burp means that you didn’t like the food, so is completely contradictory. But this is my personal opinion and you don’t have to follow my thoughts, everyone can have different ideas and believe whatever you want. Be yourself and have a pleasant and good life. By Ricardo Linares Hernandez 3rd A

Reflecting Back On This Pass Semester - 1198 Words

Reflecting back on this pass semester, I can see how I have come a long way. In the beginning of this semester I was not confident about my writing skills. I always I struggled to find the correct grammar and punctuation that would express my ideas so that they can flow on paper. Upon arriving to this class which is instructed by Dr. Shirokova, I am now recognizing that my writing skills could enhance to a new level. Even though my grades on my essays are not the best in the class, I can see an improvement of growth at a rapid pace. I truly feel the devolvement of writing skills within myself, even in the fifteen minute writing journals opens creative in my mind. Allowing me to focus on different topics has pushed me to write in detail†¦show more content†¦We went from being strangers to green brothers. A group of zombies like creatures to now earn the title and proudly call ourselves Marines!† In this sample from my literary essay â€Å"Hero† my purpose was to present a scenery of how exhausting the training had become. These are now traits that I have instilled in my life and live by to make me a better person and man that I am today. As I proof read the essay it made sit down for the first time a talk about myself. This essay opened my eyes to the different phrases in my life that has developed a level of maturity that was not visible until I saw it paper. Telling my story in my own words and describe all the trails and errors as Marine was something I hold more dearly to myself. Now I clearly can describe in details I felt as a service man of Armed Force for my country. My next essay was an analysis essay that challenged the fact that I had to read the text while trying to find the writers tone and thought pattern. By researching the authors thoughts and writing skills has made me found a common writing background with this writer. This writer had a different writing skill where he expressed himself in words and feeling. In a very sarc astic but defensive way he openly addressed the recent murders. Mr. Pitts to address the real issue behind his anger in his article which could have been fueled by the fact that the office employees were also fellow writers, journalists and authors that